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114th Congress      {                                }          Report
   1st Session      {    HOUSE OF REPRESENTATIVES    }         114-133
                                                   
======================================================================
 
     UNITED STATES GRAIN STANDARDS ACT REAUTHORIZATION ACT OF 2015

                                _______
                                

  May 29, 2015.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

Mr. Conaway, from the Committee on Agriculture, submitted the following

                              R E P O R T

                        [To accompany H.R. 2088]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Agriculture, to whom was referred the bill 
(H.R. 2088) to amend the United States Grain Standards Act to 
improve inspection services performed at export elevators at 
export port locations, to reauthorize certain authorities of 
the Secretary of Agriculture under such Act, and for other 
purposes, having considered the same, report favorably thereon 
without amendment and recommend that the bill do pass.

                           Brief Explanation

    The United States Grain Standards Act Reauthorization Act 
of 2015, H.R. 2088, reauthorizes provisions of the United 
States Grain Standards Act until September 30, 2020, and 
provides a safeguard mechanism in the event of an interruption 
of official inspection services. In addition, H.R. 2088 revises 
the process for the delegation and designation of authority by 
the Secretary to provide official inspection services and 
allows for the review of current delegations. Finally, the 
legislation amends the United States Grain Standards Act to 
provide a basis for fees based on export tonnage and for the 
adjustment of those fees.

                           Purpose and Needs

    Witnesses testifying before the subcommittee, as well as 
producer organizations submitting statements for the hearing 
record, affirmed that it remains FGIS's ultimate responsibility 
to provide accurate, reliable, consistently available, and 
cost-effective grain inspection and weighing services. Though 
proposals varied, each organization underscored the importance 
of adopting a workable safeguard mechanism to ensure 
continuation of grain inspection and weighing services in the 
event that a delegated State agency is unable or unwilling to 
carry out their responsibility, and FGIS fails to fulfill its 
statutory mandate and provide inspection and weighing services. 
The Committee therefore adopted a safeguard mechanism that 
provides flexibility to the export elevators at export port 
locations receiving services to petition other delegated or 
designated State agencies to step in if FGIS fails to do so. 
This structure will maintain inspection and weighing services 
at a level consistent with the current expectations of our 
trading partners.

Extension of operations

    Under the United States Grain Standards Act (USGSA) of 
1916, the Federal Government is authorized to establish 
official marketing standards for grains and oilseeds, and to 
provide procedures for grain inspection and weighing. Most of 
the Act is permanently authorized, including mandatory 
inspection and weighing of exported grain, as well as authority 
to amend grain standards of quality. However, several 
provisions expire on September 30, 2015. A lapse in 
authorization could disrupt the current grain inspection and 
weighing program.
    The provisions expiring on September 30, 2015, are:
     Authority for appropriations (7 U.S.C. 87h)
     Federal Grain Inspection Service (FGIS) authority 
for charging fees required for Federal supervision of State 
agencies' export inspections and weighing (7 U.S.C. 79(j)(4) 
and 7 U.S.C. 79a(l)(3))
     Administrative/supervisory cost cap of 30% (7 
U.S.C. 79d)
     Authority for an advisory committee (7 U.S.C. 
87j(e))

Safeguard against interruption of official inspection services

    In early July 2014, Washington State Department of 
Agriculture (WSDA), the delegated State agency providing export 
inspections at the United Grain Corporation terminal at the 
Port of Vancouver (Washington), discontinued its export 
inspection service amid an ongoing labor dispute between United 
Grain, two other exporting companies, and the International 
Longshore and Warehouse Union. The United Grain terminal is a 
major grain export facility on the West Coast. Under the USGSA, 
when a delegated agency, in this case WSDA, fails to perform 
their duties, FGIS is statutorily required to step in to resume 
export inspections.
    In a letter released by WSDA, the agency offered that their 
justification for removing inspectors was based on the belief 
that the ``continued provision of inspections services appears 
to have been unhelpful in leading to any foreseeable 
resolution'' of the labor dispute. Many observers interpreted 
these comments to suggest the service disruption was driven by 
politics associated with labor policy, not employee safety as 
FGIS later stated.
    In mid-July 2014, a number of agricultural groups urged 
FGIS to take immediate action to restore service, by using 
either Federal inspectors or qualified inspectors from other 
delegated agencies. The Grain Inspection Advisory Committee 
also called on FGIS to restore grain inspection service. They 
adopted the following resolution in its July 2014 meeting.

          Therefore be it resolved that the Grain Inspection 
        Advisory Committee urges in the strongest terms that 
        FGIS take whatever actions are necessary to immediately 
        restore official grain inspection and weighing service 
        wherever and whenever it is disrupted, either by 
        immediately replacing absent inspectors with FGIS 
        Official personnel or with inspectors from available 
        qualified providers, including other designated or 
        delegated Official Agencies.

    Although export inspections are mandatory under USGSA, FGIS 
has discretion to grant a waiver of inspection in an emergency 
(as determined by the Secretary of Agriculture). In July, USDA 
granted United Grain a single inspection waiver but failed to 
provide similar waivers in response to other requests. To 
address the urgency of the situation created by FGIS's failure 
to either provide waivers of inspection or to fulfill their 
statutory mandate, the company relocated grain to other 
facilities for inspection significantly increasing shipping 
costs.
    In early August 2014, FGIS again declined using Federal 
inspectors at the United Grain Corporation terminal at the Port 
of Vancouver because FGIS implied the situation does not ensure 
that FGIS inspectors will have safe access to the facility.
    Safety inspectors from the U.S. Department of Agriculture 
(USDA) were sent to assess employee safety at the facility. To 
date, USDA has chosen to withhold those safety assessments from 
the Committee despite repeated requests to review those 
reports. Committee staff interviewed the USDA official who 
audited security at the port and was informed that the official 
reported what security issues he could identify were easily 
mitigated, and he saw no reason why USDA could not immediately 
assume grain inspection services. USDA originally indicated 
that no report was filed, then recently asserted that the 
Department determined that it cannot share these reports with 
Congress due to concerns that sharing such reports would be 
inconsistent with Departmental regulation 3440-2 pertaining to 
public disclosure of classified or sensitive information. The 
Supreme Court has held that Congress may obtain confidential or 
even classified information in order to fulfill its 
constitutional authority to enact legislation. Contrary to 
USDA's assertion, giving a report to Congress is not making a 
report public. Further, USDA regulations do not apply to 
Congress. USDA's insistence on withholding information from 
Congress raises even more questions regarding their decision to 
withhold inspectors.
    Finally, in August 2014, after a prolonged period without 
official inspection services, the grain companies and union 
reached an agreement to end the dispute, and inspections 
resumed at the United Grain company terminal.
    In order to address significant concerns that future 
disruptions could adversely affect the reputation of U.S. grain 
exporters as reliable suppliers and cause more economic harm, 
H.R. 2088 provides a safeguard mechanism in the event of 
another disruption in service.
    In the event of an anticipated disruption in service not 
caused by a major disaster, the delegated State agency shall 
give FGIS at least 72 hours prior notice. Once the disruption 
in service occurs, FGIS must resume official inspection and 
weighing services within six hours. If no prior notice was 
given, FGIS has 12 hours to provide the services. FGIS may use 
either Federal inspectors or inspectors from another delegated 
State agency to remedy the situation. If for any reason FGIS 
cannot resume official inspection and weighing services within 
the applicable timeframe, the interested person at an export 
elevator at an export port location may request that another 
delegated or designated State agency perform official 
inspection and weighing services.
    If a disruption in service occurs, the Secretary must 
review the delegated State agency and report to Congress: (1) 
the reason(s) for the service interruption, and (2) the 
determination and justification for revoking or retaining the 
State agency's delegated status. Receipt of 72 hour prior 
notice will be a mitigating factor in the Secretary's 
determination.

Delegation process for State agencies

    The bill ends the permanent delegation of State agencies to 
carry out export inspection and weighing services. Within two 
years of enactment, FGIS must review current State agency 
delegations by existing statutory criteria. The review will 
also have a public notice and comment period. The delegations 
will be for a maximum five-year period, at the end of which, 
the delegated State agency must reapply for their delegated 
status. This process will bring transparency to a currently 
opaque process. The bill also makes other state agencies 
eligible to apply for delegated authority to perform official 
inspection and weighing services.

Length of designations

    The bill increases the length of domestic inspection 
designations from three years to five years. This change will 
allow officially designated entities more stability for 
planning purposes. GIPSA will still be able to suspend or 
revoke the entity's designation if it is warranted per current 
law.

User fee calculation

    The bill changes the fee calculation for inspection and 
weighing services based on export tonnage to be based on a 
five-year rolling average of export tonnage volumes. The five 
year rolling average will be more predictable and reflective of 
the market. It also directs the Secretary of Agriculture to 
annually adjust the fees to maintain a three to six month 
operation reserve.

               Section-by-Section Analysis of Legislation


Section 1. Short title

    Section 1 of the bill designates the title of the bill as 
``United State Grain Standards Act Reauthorization Act of 
2015''.

Section 2. Reauthorization of United States Grain Standards Act

    Subsection (a) amends the purposes of the Act, found in 
section 2(b) (7 U.S.C. 72(b)), by amending paragraph (1) and 
adding a new paragraph (4). Paragraph (1) is amended to provide 
that it is the policy of Congress to promote the marketing of 
high quality grain responsive to the purchase specifications of 
domestic and foreign buyers. Paragraph (4) provides that, it is 
the policy of Congress to provide an accurate, reliable, 
consistently available and cost-effective official grain 
inspection and weighing system.
    Subsection (b) amends section 3 of the Act (7 U.S.C. 75) to 
include a new paragraph (aa) and to make technical and 
conforming amendments to section 3. Paragraph (aa) defines the 
term ``major disaster''.
    Subsection (c) amends section 5(a) of the Act (7 U.S.C. 
77(a)(1)) to remove the Secretary's discretionary waiver 
authority in emergency situations in paragraph (1) and amends 
paragraph (2) to provide that transfers of grain into an export 
elevator by any mode of transportation are not required to be 
officially weighed.
    Subsection (d) amends section 7(e) of the Act (7 U.S.C. 
79(e)) to revise the process that the Secretary uses to 
delegate authority to State agencies. The amended process 
includes an application process, public notice and comment 
period, investigation, and, ultimately, findings and decision 
by the Secretary. This section also provides for a 72-hour 
notice to the Secretary should any delegated State agency 
intend to temporarily discontinue official inspection services. 
In addition, this subsection provides that, should any 
delegated State agency fail to perform official inspection 
services, the Secretary is required to review the delegation of 
authority, make a finding as to whether or not the State agency 
should retain its delegated authority, and report this 
information to Congress within 90 days. A State agency 
delegated authority by the Secretary retains the ability to 
request a cancellation of authority for any reason upon 90-days 
advance notice to the Secretary. Subsection (d) further amends 
the term of delegation to a period not to exceed five years. 
Finally, subsection (d) provides for the review by the 
Secretary of all State agencies delegated authority within two 
years of the date of enactment of this Act.
    Subsection (e) further amends section 7(e) (7 U.S.C. 79(e)) 
by providing that official inspection services are to be 
provided in an uninterrupted manner. Where official inspection 
services are interrupted, the Secretary has a period of time to 
reestablish services using USDA personnel or personnel from 
another delegated State agency. Where a delegated State agency 
gives advance notice, the Secretary has six hours to resume 
services. Where a delegated State agency does not give advance 
notice, the Secretary has twelve hours to resume service. Where 
the Secretary is unable to reestablish official inspection 
services within the time period allotted, the export elevator 
at the export port location may request services from any other 
delegated or designated State agency. Should any other 
delegated or designated State agency agree to provide such 
services, such an agency may, at their own discretion, provide 
those services up to 90 days from the date such service is 
initiated. The Secretary is further required to maintain a list 
of such delegated State agencies and all official agencies 
contact information for such agencies on USDA's website.
    In developing this legislation, FGIS provided the Committee 
with invaluable technical assistance. Among the issues that 
were discussed between the FGIS and Committee were the need for 
FGIS to audit each export elevator at an export port location 
in order to evaluate and correct any concerns with employee 
safety before those concerns manifest into a service 
disruption. Further, the FGIS agreed to develop location 
specific contingency plans to ensure that FGIS can fulfill its 
statutory obligation of providing uninterrupted weighing and 
grading services at each export elevator at an export port 
location. The Committee appreciates this input and requests 
that such contingency plans be developed in cooperation with 
stakeholders and be made final within one year of enactment.
    The Committee engaged FGIS on several logistical questions 
pertaining to implementation of this safeguard provision, and 
whether the agency had regulatory authority to deal with these 
items, or if the agency would require statutory direction. The 
FGIS confirmed both the underlying authority to address these 
logistical items by regulation, and their willingness to do so 
expeditiously. Those logistical items include, but are not 
limited to ensuring any delegated or designated State agency 
providing temporary inspection services in the event of a 
service interruption would be granted unhindered access to 
equipment and facilities to carry out weighing and grading 
services; and provisions to establish an appropriate fee 
structure to cover weighing and grading service costs, 
including costs associated with transportation and lodging of 
temporary inspectors.
    Subsection (f) amends section 7(f)(2) of the Act (7 U.S.C. 
79(f)(2)) by removing paragraphs (A) and (B)(ii); redesignating 
clauses (i) and (ii) as subparagraphs (A) and (B) and inserting 
a new subparagraph (C) and making other technical and 
conforming changes. New subparagraph (C) allows the Secretary 
to waive the geographic boundaries for designated agencies 
where an official agency and an adjacent official agency have 
agreed in writing to waive the geographic boundaries.
    Subsection (g) amends Section 7(g)(1) of the Act (7 U.S.C. 
79(g)(1)) by amending the duration of designations of official 
agencies from three to five years.
    Subsection (h) amends Section 7(j)(1) of the Act (7 U.S.C. 
79(j)(1) to allow the portion of fees for official inspections 
and weighing that is based on export tonnage to be based on a 
rolling five-year average of export tonnage volumes and to 
allow for the adjustment of those fees on at least an annual 
basis. Section 7(j)(1) is also amended to allow for fees to be 
adjusted to maintain an operating reserve of three to six 
months and to extend until September 30, 2020, the application 
of fees to cover the administrative and supervisory costs 
related to the official inspection of grain.
    Subsection (i) makes technical and conforming changes to 
Section 7A(c)(2) of the Act (7 U.S.C. 79a(c)(2)) to conform 
that section to the changes made by subsection (e).
    Subsection (j) amends Section 7A(l)(3) of the Act (7 U.S.C. 
79a(l)(2)) by extending until September 30, 2020, the 
collection of fees for weighing services.
    Subsection (k) amends Section 7D of the Act (7 U.S.C. 79d) 
by extending until September 30, 2020, the limitation of 
administrative and supervisory costs.
    Subsection (l) amends Section 8 of the Act (7 U.S.C. 84) by 
amending the duration of authorizations from three to five 
years and by amending the persons who may be hired as official 
inspection personnel.
    Subsection (m) amends Section 19 of the Act (7 U.S.C. 87h) 
by extending until September 30, 2020, the authorization for 
appropriations.
    Subsection (n) amends Section 21 of the Act (7 U.S.C. 
87j(e)) by extending until September 30, 2020, the 
authorization of the advisory committee.

                        Committee Consideration


                              I. HEARINGS

    On April 22, 2015, the Subcommittee on General Farm 
Commodities and Risk Management held a public hearing to review 
reauthorization of the United States Grains Standards Act.
    Members of the Subcommittee heard testimony and discussed 
reauthorization of the United States Grains Standards Act. 
First enacted in 1916, the Act has been the cornerstone of the 
grain trade both for domestically and internationally. This law 
is relied upon not only by exporters and domestic shippers, but 
the whole United States agricultural sector. It established 
official marketing standards and procedures for the inspection 
and weighing of grains and oilseeds, providing a critical 
service to the grain marketplace. During the hearing, the 
following witnesses testified on matters included in H.R. 2088:
     Mr. David M. Winkles, Jr., President, South 
Carolina Farm Bureau, Columbia, SC
     Mr. David Cox, Sr., National President, American 
Federation of Government Employees, AFL-CIO, Washington, DC
     Mr. Nick Friant, Chairman, Grain Grades and 
Weights Committee, National Grain and Feed Association; Co-
Chair, Grain Grades and Inspections Committee, North American 
Export Grain Association, Wayzata, MN

                           II. FULL COMMITTEE

    The Committee on Agriculture met, pursuant to notice, with 
a quorum present, on April 30, 2015, to consider H.R. 2088, 
United States Grains Standards Act Reauthorization Act of 2015.
    H.R. 2088 was placed before the Committee for 
consideration. Without objection, a first reading of the bill 
was waived and it was open for amendment at any point.
    Chairman Conaway, Mr. Peterson, Mr. Crawford, and Mr. Walz 
were recognized for statements. There being no amendments, Mr. 
Peterson was recognized to offer a motion that the bill H.R. 
2088 be reported favorably to the House with the recommendation 
that it do pass. The motion was subsequently approved by voice 
vote.
    At the conclusion of the meeting, Chairman Conaway advised 
Members that pursuant to the rules of the House of 
Representatives Members had until May 4, 2015, to file any 
supplemental, minority, additional, or dissenting views with 
the Committee.
    Without objection, staff was given permission to make any 
necessary clerical, technical or conforming changes to reflect 
the intent of the Committee. Chairman Conaway thanked all the 
Members and adjourned the meeting.

                            Committee Votes

    In compliance with clause 3(b) of rule XIII of the House of 
Representatives, H.R. 2088 was reported by voice vote with a 
majority quorum present. There was no request for a recorded 
vote.

                      Committee Oversight Findings

    Pursuant to clause 3(c)(1) of rule XIII of the Rules of the 
House of Representatives, the Committee on Agriculture's 
oversight findings and recommendations are reflected in the 
body of this report.

           Budget Act Compliance (Sections 308, 402, and 423)

    The provisions of clause 3(c)(2) of rule XIII of the Rules 
of the House of Representatives and section 308(a)(1) of the 
Congressional Budget Act of 1974 (relating to estimates of new 
budget authority, new spending authority, new credit authority, 
or increased or decreased revenues or tax expenditures) are not 
considered applicable. The estimate and comparison required to 
be prepared by the Director of the Congressional Budget Office 
under clause 3(c)(3) of rule XIII of the Rules of the House of 
Representatives and sections 402 and 423 of the Congressional 
Budget Act of 1974 submitted to the Committee prior to the 
filing of this report are as follows:

                                     U.S. Congress,
                               Congressional Budget Office,
                                      Washington, DC, May 13, 2015.
Hon. K. Michael Conaway,
Chairman, Committee on Agriculture,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 2088, the United 
States Grain Standards Act Reauthorization Act of 2015.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Jim Langley.
            Sincerely,
                                                        Keith Hall.
    Enclosure.

H.R. 2088--United States Grain Standards Act Reauthorization Act of 
        2015

    Summary: H.R. 2088 would amend and extend, through 2020, 
the U.S. Department of Agriculture's (USDA's) authority to 
carry out activities under the United States Grain Standards 
Act. The bill would authorize annual appropriations of amounts 
necessary for the Grain Inspection, Packers, and Stockyards 
Administration (GIPSA, an agency of USDA) to carry out 
activities under that act and extend GIPSA's authority to 
collect and spend fees for certain grain inspection and 
weighing services. H.R. 2088 also would allow the Secretary of 
Agriculture to authorize state agencies and private entities to 
perform export inspection and weighing services and would 
specify procedures whereby such activities would continue 
during disaster conditions or other disruptions in services.
    CBO estimates that implementing H.R. 2088 would cost $106 
million over the 2016-2020 period, assuming appropriation of 
the necessary amounts. Enacting the bill would affect direct 
spending; therefore, pay-as-you-go procedures apply. However, 
CBO estimates that such effects would not be significant in any 
year. The bill would not affect revenues.
    H.R. 2088 contains no intergovernmental mandates as defined 
in the Unfunded Mandates Reform Act (UMRA) and would impose no 
costs on state, local, or tribal governments.
    H.R. 2088 would impose a private-sector mandate, as defined 
in UMRA, on grain exporters by extending GIPSA's authority to 
collect fees for grain inspection and weighing services. Based 
on information from GIPSA, CBO estimates that the cost of 
complying with the mandate would fall below the annual 
threshold established in UMRA for private-sector mandates ($154 
million in 2015, adjusted annually for inflation).
    Estimated cost to the Federal Government: The estimated 
budgetary effect of H.R. 2088 is shown in the following table. 
The costs of this legislation fall within budget function 350 
(agriculture).

----------------------------------------------------------------------------------------------------------------
                                                                 By fiscal year, in millions of dollars--
                                                         -------------------------------------------------------
                                                            2016     2017     2018     2019     2020   2016-2020
----------------------------------------------------------------------------------------------------------------
                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION
 
Estimated Authorization Level...........................       20       21       21       22       22       106
Estimated Outlays.......................................       20       21       21       22       22       106
----------------------------------------------------------------------------------------------------------------

    Basis of estimate: For this estimate, CBO assumes that H.R. 
2088 will be enacted by October 1, 2015, and that the necessary 
amounts will be appropriated in each of the next five years.
    The legislation would reauthorize, through 2020, annual 
appropriations of amounts necessary for GIPSA to establish 
standards and monitor grain inspection and weighing services 
provided on a fee-for-service basis under the United States 
Grain Standards Act. (Under current law, such authorities will 
expire on September 30, 2015). For 2015, GIPSA received $20 
million for those activities. Assuming that GIPSA's costs under 
H.R. 2088 would remain in line with current funding levels and 
adjusting for anticipated inflation, CBO estimates that fully 
funding GIPSA's activities would require appropriations 
totaling $20 million in 2016 and $106 million over the 2016-
2020 period.
    The bill also would extend GIPSA's authority to collect and 
spend fees for inspection and weighing services conducted at 
various export elevators at export port locations. GIPSA 
establishes such fees to recover the costs of providing those 
services, and to maintain a three- to six-month operating 
reserve to finance accrued liabilities. CBO estimates that 
offsetting receipts from such fees will total $47 million in 
2015 and $55 million in 2016. Because fee collections would be 
adjusted at least annually to offset the cost of inspection and 
weighing services, CBO estimates that the legislation would 
have no significant net effect on direct spending in any year.
    Pay-As-You-Go considerations: None.
    Impact on state, local, and tribal governments: H.R. 2088 
contains no intergovernmental mandates as defined in UMRA and 
would impose no costs on state, local, or tribal governments. 
The bill would extend the USDA's authority to collect fees from 
state agencies to which it has delegated certain 
responsibilities under the Grain Standards Act, but the 
agencies pay those fees as a condition of participating in a 
voluntary federal program.
    Estimated impact to the private sector: H.R. 2088 would 
impose a private-sector mandate, as defined in UMRA, on grain 
exporters by extending GIPSA's authority to collect fees for 
grain inspection and weighing services. Inspection and weighing 
services are mandatory for most grain exported from the United 
States. Fees for inspection and weighing services are collected 
by GIPSA, State agencies, or private entities approved by the 
Secretary of Agriculture. Based on information from GIPSA, CBO 
estimates that the fees paid by grain exporters for mandatory 
inspection and weighing services would amount to $50 million to 
$60 million annually. Consequently, the cost of complying with 
the mandate would fall below the annual threshold established 
in UMRA for private-sector mandates ($154 million in 2015, 
adjusted annually for inflation).
    Estimate prepared by: Federal costs: Jim Langley; Impact on 
state, local, and tribal governments: J'nell Blanco Suchy; 
Impact on the private sector: Amy Petz.
    Estimate approved by: Theresa Gullo, Assistant Director for 
Budget Analysis.

                    Performance Goals and Objectives

    With respect to the requirement of clause 3(c)(4) of rule 
XIII of the Rules of the House of Representatives, the 
performance goals and objectives of this legislation are to 
amend the United States Grain Standards Act to improve 
inspection services performed at export elevators at export 
port locations, to reauthorize certain authorities of the 
Secretary of Agriculture under such Act, and for other 
purposes.

                        Committee Cost Estimate

    Pursuant to clause 3(d)(2) of rule XIII of the Rules of the 
House of Representatives, the Committee report incorporates the 
cost estimate prepared by the Director of the Congressional 
Budget Office pursuant to sections 402 and 423 of the 
Congressional Budget Act of 1974.

                      Advisory Committee Statement

    No advisory committee within the meaning of section 5(b) of 
the Federal Advisory Committee Act was created by this 
legislation.

                Applicability to the Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act (Public Law 
104-1).

                       Federal Mandates Statement

    The Committee adopted as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act (Public Law 104-4).

  Earmark Statement Required by Clause 9 of Rule XXI of the Rules of 
                        House of Representatives

    H.R. 2088 does not contain any congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined in 
clause 9(e), 9(f), or 9(g) of rule XXI of the Rules of the 
House Representatives.

                    Duplication of Federal Programs

    This bill does not establish or reauthorize a program of 
the Federal Government known to be duplicative of another 
Federal program, a program that was included in any report from 
the Government Accountability Office to Congress pursuant to 
section 21 of Public Law 111-139, or a program related to a 
program identified in the most recent Catalog of Federal 
Domestic Assistance.

                  Disclosure of Directed Rule Makings

    The Committee does not believe that the legislation directs 
an executive branch official to conduct any specific rule 
making proceedings within the meaning of 5 U.S.C. 551.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, and existing law in which no 
change is proposed is shown in roman):

UNITED STATES GRAIN STANDARDS ACT

           *       *       *       *       *       *       *



                         declaration of policy

  Sec. 2. (a) Grain is an essential source of the world's total 
supply of human food and animal feed and is merchandised in 
interstate and foreign commerce. It is declared to be the 
policy of the Congress, for the promotion and protection of 
such commerce in the interests of producers, merchandisers, 
warehousemen, processors, and consumers of grain, and the 
general welfare of the people of the United States, to provide 
for the establishment of official United States standards for 
grain, to promote the uniform application thereof by official 
inspection personnel, to provide for an official inspection 
system for grain, and to regulate the weighing and the 
certification of the weight of grain shipped in interstate or 
foreign commerce in the manner hereinafter provided; with the 
objectives that grain may be marketed in an orderly and timely 
manner and that trading in grain may be facilitated. It is 
hereby found that all grain and other articles and transactions 
in grain regulated under this Act are either in interstate or 
foreign commerce or substantially affect such commerce and that 
regulation thereof as provided in this Act is necessary to 
prevent or eliminate burdens on such commerce and to regulate 
effectively such commerce.
  (b) It is also declared to be the policy of Congress--
          (1) to promote the marketing of grain of high quality 
        [to both domestic and foreign buyers] responsive to the 
        purchase specifications of domestic and foreign buyers;
          (2) that the primary objective of the official United 
        States standards for grain is to certify the quality of 
        grain as accurately as practicable; [and]
          (3) that official United States standards for grain 
        shall--
                  (A) define uniform and accepted descriptive 
                terms to facilitate trade in grain;
                  (B) provide information to aid in determining 
                grain storability;
                  (C) offer users of such standards the best 
                possible information from which to determine 
                end-product yield and quality of grain;
                  (D) provide the framework necessary for 
                markets to establish grain quality improvement 
                incentives;
                  (E) reflect the economic value-based 
                characteristics in the end uses of grain; and
                  (F) accommodate scientific advances in 
                testing and new knowledge concerning factors 
                related to, or highly correlated with, the end 
                use performance of grain[.]; and
          (4) to provide an accurate, reliable, consistently 
        available, and cost-effective official grain inspection 
        and weighing system.

                              definitions

  Sec. 3. When used in this Act, except where the context 
requires [otherwise--] otherwise:
          (a) [the term] The term ``Secretary'' means the 
        Secretary of Agriculture of the United States or 
        delegates of the Secretary[;].
          (b) [the term] The term ``Department of Agriculture'' 
        means the United States Department of Agriculture[;].
          (c) [the term] The term ``person'' means any 
        individual, partnership, corporation, association, or 
        other business entity[;].
          (d) [the term] The term ``United States'' means the 
        States (including Puerto Rico) and the territories and 
        possessions of the United States (including the 
        District of Columbia)[;].
          (e) [the term] The term  ``State'' means any one of 
        the States (including Puerto Rico) or territories or 
        possessions of the United States (including the 
        District of Columbia)[;].
          (f) [the term] The term  ``interstate or foreign 
        commerce'' means commerce from any State to or through 
        any other State, or to or through any foreign 
        county[;].
          (g) [the term] The term ``grain'' means corn, wheat, 
        rye, oats, barley, flaxseed, sorghum, soybeans, mixed 
        grain, and any other food grains, feed grains, and 
        oilseeds for which standards are established under 
        section 4 of this Act[;].
          (h) [the term] The term  ``export grain'' means grain 
        for shipment from the United States to any place 
        outside thereof[;].
          (i) [the term] The term ``official inspection'' means 
        the determination (by original inspection, and when 
        requested, reinspection and appeal inspection) and the 
        certification, by official inspection personnel of the 
        kind, class, quality, or condition of grain, under 
        standards provided for in this Act, or the condition of 
        vessels and other carriers or receptacles for the 
        transportation of grain insofar as it may affect the 
        quality or condition of such grain; or other facts 
        relating to grain under other criteria approved by the 
        Secretary under this Act (the term ``officially 
        inspected'' shall be construed accordingly)[;].
          (j) [the term] The term  ``official inspection 
        personnel'' means persons licensed or otherwise 
        authorized by the Secretary pursuant to section 8 of 
        this Act to perform all or specified functions involved 
        in official inspection, official weighing, or 
        supervision of weighing, or in the supervision of 
        official inspection, official weighing or supervision 
        of weighing[;].
          (k) [the term] The term  ``official mark'' means any 
        symbol prescribed by regulations of the Secretary to 
        show the official determination of official inspection 
        or official weighing[;].
          (l) [the term] The term  ``official grade 
        designation'' means a numerical or sample grade 
        designation, specified in the standards relating to 
        kind, class, quality, and condition of grain, provided 
        for in this Act[;].
          (m) [the term] The term ``official agency'' means any 
        State or local governmental agency, or any person, 
        designated by the Secretary pursuant to subsection (f) 
        of section 7 of this Act for the conduct of official 
        inspection (other than appeal inspection), or 
        subsection (c) of section 7A of this Act for the 
        conduct of official weighing or supervision of weighing 
        (other than appeal weighing)[;].
          (n) [the terms] The terms  ``official certificate'' 
        and ``official form'' mean, respectively, a certificate 
        or other form prescribed by regulations of the 
        Secretary under this Act[;].
          (o) [the term] The term ``official sample'' means a 
        sample obtained from a lot of grain by, and submitted 
        for official inspection by, official inspection 
        personnel (the term ``official sampling'' shall be 
        construed accordingly)[;].
          (p) [the term] The term ``submitted sample'' means a 
        sample submitted by or for an interested person for 
        official inspection, other than an official sample[;].
          (q) [the term] The term  ``lot'' means a specific 
        quantity of grain identified as such[;].
          (r) [the term] The term  ``interested person'' means 
        any person having a contract or other financial 
        interest in grain as the owner, seller, purchaser, 
        warehouseman, or carrier, or otherwise[;].
          (s) [the verb] The verb  ``ship'' with respect to 
        grain means transfer physical possession of the grain 
        to another person for the purpose of transportation by 
        any means of conveyance, or transport one's own grain 
        by any means of conveyance[;].
          (t) [the terms] The terms  ``false'', ``incorrect'', 
        and ``misleading'' mean, respectively, false, 
        incorrect, and misleading in any particular[;].
          (u) [the term] The term  ``deceptive loading, 
        handling, weighing, or sampling'' means any manner of 
        loading, handling, weighing, or sampling that deceives 
        or tends to deceive official inspection personnel, as 
        specified by regulations of the Secretary under this 
        Act[;].
          (v) [the term] The term  ``export elevator'' means 
        any grain elevator, warehouse, or other storage or 
        handling facility in the United States as determined by 
        the Secretary, from which grain is shipped from the 
        United States to an area outside thereof[;].
          (w) [the term] The term  ``export port location'' 
        means a commonly recognized port of export in the 
        United States or Canada, as determined by the 
        Secretary, from which grain produced in the United 
        States shipped to any place outside the United 
        States[;].
          (x) [the term] The term  ``official weighing'' means 
        the determination and certification by official 
        inspection personnel of the quantity of a lot of grain 
        under standards provided for in this Act, based on the 
        actual performance of weighing or the physical 
        supervision thereof, including the physical inspection 
        and testing for accuracy of the weights and scales and 
        the physical inspection of the premises at which the 
        weighing is performed and the monitoring of the 
        discharge of grain into the elevator or [conveyance 
        (the terms] conveyance. The terms ``officially weigh'' 
        and ``officially weighed'' shall be construed 
        [accordingly);] accordingly.
          (y) [the term] The term  ``supervision of weighing'' 
        means such supervision by official inspection personnel 
        of the grain-weighing process as is determined by the 
        Secretary to be adequate to reasonably assure the 
        integrity and accuracy of the weighing and of 
        certificates which set forth the weight of the grain 
        and such physical inspection by such personnel of the 
        premises at which the grain weighing is performed as 
        will reasonably assure that all the grain intended to 
        be weighed has been weighed and discharged into the 
        elevator or conveyance[; and].
          (z) [the term] The term  ``intracompany shipment'' 
        means the shipment, within the United States, of grain 
        lots between facilities owned or controlled by the 
        person owning the grain. The shipment of grain owned by 
        a cooperative, from a facility owned by that 
        cooperative, to an export facility which it jointly 
        owns with other cooperative, qualifies as an 
        intracompany shipment.
          (aa) The term ``major disaster'' has the meaning 
        given that term in section 102(2) of the Robert T. 
        Stafford Disaster Relief and Emergency Assistance Act 
        (42 U.S.C. 5122(2)), except that the term includes a 
        severe weather incident causing a region-wide 
        interruption of government services.

           *       *       *       *       *       *       *


             official inspection and weighing requirements

  Sec. 5. (a) Whenever standards or procedures, are effective 
under section 4 of this Act for any grain--
          (1) no person shall ship from the United States to 
        any place outside thereof any lot of such grain, unless 
        such lot is officially weighed and officially inspected 
        in accordance with such standards or procedures, and 
        unless a valid official certificate showing the 
        official grade designation and certified weight of the 
        lot of grain has been provided by official inspection 
        personnel and is promptly furnished by the shipper, or 
        the agent of the shipper, to the consignee with the 
        bill of lading or other shipping documents covering the 
        shipment: Provided, That the Secretary [may waive] 
        shall promptly waive the foregoing requirement in 
        emergency or other circumstances which would not impair 
        the objectives of this Act: Provided further, That the 
        Secretary shall waive the requirement for official 
        inspection whenever the parties to a contract for such 
        shipment of a lot of grain (which is not sold, offered 
        for sale, or consigned for sale by grade) from the 
        United States to any place outside thereof mutually 
        agree under the contract to ship such lot of grain 
        without official inspection being performed and a copy 
        of the contract is furnished to the Secretary prior to 
        shipment;
          (2) except as the Secretary may provide in emergency 
        or other circumstances which would not impair the 
        objectives of this Act, all other grain transferred out 
        of and all grain transferred into an export elevator at 
        an export port location shall be officially weighed in 
        accordance with such standards or procedure: Provided, 
        That, unless the shipper or receiver requests that the 
        grain be officially weighed, [intracompany shipments of 
        grain into an export elevator by any mode of 
        transportation, grain transferred into an export 
        elevator by transportation modes other than barge,] 
        shipments of grain into an export elevator by any mode 
        of transportation and grain transferred out of an 
        export elevator to destinations within the United 
        States shall not be officially weighed; and
          (3) except as otherwise authorized by the Secretary, 
        whenever a lot of grain is both officially inspected 
        and officially weighed while being transferred into or 
        out of a grain elevator, warehouse, or other storage or 
        handling facility, an official certificate shall be 
        issued showing both the official grade designation and 
        the certified weight of the lot of grain.
  (b) All official inspection and official weighing, whether 
performed by authorized employees of the Secretary or any other 
person licensed under section 8 of this Act, shall be 
supervised by representatives of the Secretary, in accordance 
with such regulations as the Secretary may provide.
  (c) The Secretary is authorized and directed to require that 
all corn exported from the United States be tested to ascertain 
whether it exceeds acceptable levels of aflatoxin 
contamination, unless the contract for export between the buyer 
and seller stipulates that aflatoxin testing shall not be 
conducted.

           *       *       *       *       *       *       *


               official inspection authority and funding

  Sec. 7. (a) The Secretary is authorized to cause official 
inspection under the standards provided for in section 4 of 
this Act to be made of all grain required to be officially 
inspected as provided in section 5 of this Act, in accordance 
with such regulations as the Secretary may prescribe.
  (b) The Secretary is further authorized, upon request of any 
interested person, and under such regulations as the Secretary 
may prescribe, to cause official inspection to be made with 
respect to any grain whether by official sample, submitted 
sample, or otherwise within the United States under standards 
provided for in section 4 of this Act, or, upon request of the 
interested person, under other criteria approved by the 
Secretary for determining the kind, class, quality, or 
condition of grain, or other facts relating to grain, whenever 
in the judgment of the Secretary providing such service will 
effectuate any of the objectives stated in section 2 of this 
Act.
  (c) The regulations prescribed by the Secretary under this 
Act shall include provisions for reinspections and appeal 
inspections; cancellation and surrender of certificates 
superseded by reinspections and appeal inspections; and the use 
of standards forms for official certificates. The Secretary may 
provide by regulation that samples obtained by or for employees 
of the Secretary for purposes of official inspection shall 
become the property of the United States, and such samples may 
be disposed of without regard to the provisions of the Federal 
Property and Administrative Services Act of 1949, as amended 
(40 U.S.C. 471 et seq.).
  (d) Official certificates setting out the results of official 
inspection issued and not canceled under this Act shall be 
received by all officers and all courts of the United States as 
prima facie evidence of the truth of the facts stated therein.
  (e)[(1) Except as otherwise provided in paragraph (2) of this 
subsection, the Secretary shall cause official inspection at 
export port locations, for all grain required or authorized to 
be inspected by this Act, to be performed by official 
inspection personnel employed by the Secretary or other persons 
under contract with the Secretary as provided in section 8 of 
this Act.] (1) Except as otherwise provided in paragraphs (3) 
and (4) of this subsection, the Secretary shall cause official 
inspection at export elevators at export port locations, for 
all grain required or authorized to be inspected by this Act, 
to be performed--
          (A) by official inspection personnel employed by the 
        Secretary; or
          (B) by other persons under contract with the 
        Secretary as provided in section 8 of this Act. 
  (2) If the Secretary determines, pursuant to paragraph (3) of 
this subsection, that a State agency is qualified to perform 
official inspection[, meets the criteria in subsection 
(f)(1)(A) of this section, and (A) was performing official 
inspection at an export port location under this Act on July 1, 
1976, or (B)(i) performed official inspection at an export port 
location at any time prior to July 1, 1976, (ii) was designated 
under subsection (f) of this section on the date of enactment 
of the Agriculture and Food Act of 1981 to perform official 
inspections at locations other than export port locations, and 
(iii) operates in a State from which total annual exports of 
grain do not exceed, as determined by the Secretary, 5 per 
centum of the total amount of grain exported from the United 
States annually, the Secretary may delegate] and meets the 
criteria specified in subsection (f)(1)(A) of this section, the 
Secretary may delegate authority to the State agency to perform 
all or specified functions involved in official inspection 
(other than appeal inspection) [at export port locations within 
the State, including export port locations] at export elevators 
at export port locations within the State, including at export 
elevators at export port locations which may in the future be 
established, subject to such rules, regulations, instructions, 
and oversight as the Secretary may prescribe, and any such 
official inspection shall continue to be the direct 
responsibility of the Secretary. [Any such delegation] The 
delegation under this paragraph of authority to conduct 
official inspection services shall be for a term not to exceed 
five years, and may be renewed thereafter in accordance with 
this subsection, except that any such delegation may be revoked 
by the Secretary, at the discretion of the Secretary, at any 
time upon notice to the State agency without opportunity for a 
hearing.
  [(3) Prior to delegating authority to a State agency for the 
performance of official inspection at export port locations 
pursuant to paragraph (2) of this subsection, the Secretary 
shall (A) conduct an investigation to determine whether such 
agency is qualified, and (B) make findings based on such 
investigation. In conducting the investigation, the Secretary 
shall consult with, and review the available files of the 
Department of Justice, the Office of Investigation of the 
Department of Agriculture (or such other organization or agency 
within the Department of Agriculture which may be delegated the 
authority, in lieu thereof, to conduct investigations on behalf 
of the Department of Agriculture), and the General Accounting 
Office.]
  (3) Prior to delegating authority to a State agency for the 
performance of official inspection services at export elevators 
at export port locations pursuant to paragraph (2) of this 
subsection, the Secretary shall comply with the following:
          (A) Upon receipt of an application from a State 
        agency requesting the delegation of authority to 
        perform official inspection services on behalf of the 
        Secretary, publish notice of the application in the 
        Federal Register and provide a minimum 30-day comment 
        period on the application.
          (B) Evaluate the comments received under subparagraph 
        (A) with respect to an application and conduct an 
        investigation to determine whether the State agency 
        that submitted the application and its personnel are 
        qualified to perform official inspection services on 
        behalf of the Secretary. In conducting the 
        investigation, the Secretary shall consult with, and 
        review the available files of the Department of 
        Justice, the Office of Inspector General of the 
        Department of Agriculture, and the Government 
        Accountability Office.
          (C) Make findings based on the results of the 
        investigation and consideration of public comments 
        received.
          (D) Publish a notice in the Federal Register 
        announcing whether the State agency has been delegated 
        the authority to perform official inspection services 
        at export elevators at export port locations on behalf 
        of the Secretary, and the basis upon which the 
        Secretary has made the decision.
  (4)(A) Except in the case of a major disaster, if a State 
agency that has been delegated the authority to perform 
official inspection services at export elevators at export port 
locations on behalf of the Secretary fails to perform such 
official services, the Secretary shall submit to Congress, 
within 90 days after the first day on which inspection services 
were not performed by the delegated State agency, a report 
containing--
                  (i) the reasons for the State agency's 
                failure; and
                  (ii) the rationale as to whether or not the 
                Secretary will permit the State agency to 
                retain its delegated authority.
  (B) A State agency may request that the delegation of 
inspection authority to the agency be canceled by providing 
written notice to the Secretary at least 90 days in advance of 
the requested cancellation date.
  (C) If a State agency that has been delegated the authority 
under paragraph (2) of this subsection to perform official 
inspection services at an export elevator at an export port 
location on behalf of the Secretary intends to temporarily 
discontinue such official inspection services or weighing 
services for any reason, except in the case of a major 
disaster, the State agency shall notify the Secretary in 
writing of its intention to do so at least 72 hours in advance 
of the discontinuation date. The receipt of such prior notice 
shall be considered by the Secretary as a mitigating factor in 
determining whether to maintain or revoke the delegation of 
authority to the State agency.
  (5) Except in the case of a major disaster, the Secretary 
shall cause official inspections at an export elevator at an 
export port location--
          (A) to be performed without interruption by official 
        inspection personnel employed by the Secretary or by a 
        State agency delegated such authority under paragraph 
        (2) of this subsection; or
          (B) if interrupted, to be resumed at the export 
        elevator by utilizing official inspection personnel 
        employed by the Secretary or by another delegated State 
        agency as provided under paragraph (2) of this 
        subsection as follows:
                  (i) Within six hours after the interruption, 
                if the interruption is caused by a State agency 
                delegated such authority under this subsection 
                and the Secretary received advance notice of 
                the interruption pursuant to paragraph (4)(C) 
                of this subsection.
                  (ii) Within 12 hours after the interruption, 
                if the State agency failed to provide the 
                required advance notice of the interruption.
  (6)(A) If the Secretary is unable to restore official 
inspection services within the applicable time period required 
by paragraph (5)(B) of this subsection, the interested person 
requesting such services at the export elevator at an export 
port location shall be authorized to utilize official 
inspection personnel, as provided under section 8 of the Act, 
employed by another State agency delegated authority under 
paragraph (2) of this subsection or designated under subsection 
(f)(1) of this section.
  (B) A delegated or designated State agency providing 
inspection services under subparagraph (A) may, at its 
discretion, provide such services for a period of up to 90 days 
from the date on which the services are initiated, after which 
time the Secretary may restore official inspection services 
using official inspection personnel employed by the Secretary 
or a State agency delegated such authority under this 
subsection, if available. The State agency shall notify the 
Secretary in writing of its intention to discontinue inspection 
services under subparagraph (A) at least 72 hours in advance of 
the discontinuation date.
  (7) Not later than 60 days after the date of the enactment of 
this paragraph, the Secretary shall make available to the 
public, including pursuant to a website maintained by the 
Secretary, a list of all delegated States and all official 
agencies authorized to perform official inspections on behalf 
of the Secretary. This list shall include the name, contact 
information, and category of authority granted. The Secretary 
shall update the list at least semiannually.
  (f)(1) With respect to official inspections [other than at 
export port locations] (other than at an export elevator at an 
export port location), the Secretary is authorized, upon 
application by any State or local governmental agency, or any 
person, to designate such agency or person as an official 
agency for the conduct of all or specified functions involved 
in official inspection (other than appeal inspection) at 
locations where the Secretary determines official inspection is 
needed, if--
          (A) the agency or person shows to the satisfaction of 
        the Secretary that such agency or person--
                  (i) has adequate facilities and qualified 
                personnel for the performance of such official 
                inspection functions;
                  (ii) will provide for the periodic rotation 
                of official inspection personnel among the 
                grain elevators, warehouses, or other storage 
                or handling facilities at which the State or 
                person provides official inspection, as is 
                necessary to preserve the integrity of the 
                official inspection service;
                  (iii) will meet training requirements and 
                personnel standards established by the 
                Secretary under section 8(g) of this Act;
                  (iv) will otherwise conduct such training and 
                provide such supervision of its personnel as 
                are necessary to assure that they will provide 
                official inspection in accordance with this Act 
                and the regulations and instructions 
                thereunder;
                  (v) will not charge official inspection fees 
                that are discriminatory or unreasonable;
                  (vi) if a State or local governmental agency, 
                will not use any moneys collected pursuant to 
                the charging of fees for any purpose other than 
                the maintenance of the official inspection 
                operation of the State or local governmental 
                agency;
                  (vii) and any related entities do not have a 
                conflict of interest prohibited by section 11 
                of this Act;
                  (viii) will maintain complete and accurate 
                records of its organization, staffing, official 
                activities, and fiscal operations, and such 
                other records as the Secretary may require by 
                regulation;
                  (ix) if a State or local governmental agency, 
                will employ personnel on the basis of job 
                qualifications rather than political 
                affiliations;
                  (x) will comply with all provisions of this 
                Act and the regulations and instructions 
                thereunder; and
                  (xi) meets other criteria established in 
                regulations issued under this Act relating to 
                official functions under this Act; and
          (B) the Secretary determines that the applicant is 
        better able than any other applicant to provide 
        official inspection service.
          (2) Geographic boundaries for official agencies.--Not 
        more than one official agency designated under 
        paragraph (1) or State delegated authority under 
        subsection (e)(2) to carry out the inspection 
        provisions of this Act shall be operative at the same 
        time in any geographic area defined by the Secretary, 
        except that, if the Secretary determines that the 
        presence of more than one designated official agency in 
        the same geographic area will not undermine the policy 
        stated in section 2, [the Secretary may--] the 
        Secretary shall allow a designated official agency to 
        cross boundary lines to carry out inspections in 
        another geographic area if--
                  [(A) allow more than one designated official 
                agency to carry out inspections within the same 
                geographical area as part of a pilot program; 
                and
                  [(B) allow a designated official agency to 
                cross boundary lines to carry out inspections 
                in another geographic area if the Secretary 
                also determines that--
                          [(i) the current designated official 
                        agency for that geographic area is 
                        unable to provide inspection services 
                        in a timely manner;
                          [(ii) a person requesting inspection 
                        services in that geographic area has 
                        not been receiving official inspection 
                        services from the current designated 
                        official agency for that geographic 
                        area; or
                          [(iii) a person requesting inspection 
                        services in that geographic area 
                        requests a probe inspection on a barge-
                        lot basis.]
                  (A) the current designated official agency 
                for that geographic area is unable to provide 
                inspection services in a timely manner;
                  (B) a person requesting inspection services 
                in that geographic area requests a probe 
                inspection on a barge-lot basis; or
                  (C) the current official agency for that 
                geographic area agrees in writing with the 
                adjacent official agency to waive the current 
                geographic area restriction at the request of 
                the applicant for service.
  (3) Except as authorized by the Secretary, no official agency 
or State delegated authority pursuant to subsection (e)(2) of 
this section shall officially inspect under this Act any 
official or other sample drawn from a lot of grain and 
submitted for inspection unless such lot of grain is physically 
located within the geographic area assigned to the agency by 
the Secretary at the time such sample is drawn.
  (4) No State or local governmental agency or person shall 
provide any official inspection for the purposes of this Act 
except pursuant to an unsupended and unrevoked delegation of 
authority or designation by the Secretary, as provided in this 
section, or as provided in section 8(a) of this Act.
  [(4)] (5) The Secretary may provide that grain loaded at an 
interior point in the United States into a rail car, barge, or 
other container as the final carrier in which it is to be 
transported from the United States shall be inspected in the 
manner provided in this subsection [or subsection (f)] or 
subsection (e) of this section, as the Secretary determines 
will best meet the objectives of this Act.
  (g)(1) Designations of official agencies shall terminate at 
such time as specified by the Secretary but not later than 
[triennially] every five years and may be renewed in accordance 
with the criteria and procedure prescribed in subsection (f) of 
this section.
  (2) A designation of an official agency may be amended at any 
time upon application by the official agency if the Secretary 
determines that the amendment will be consistent with the 
provisions and objectives of this Act; and a designation will 
be cancelled upon request by the official agency with ninety 
days written notice to the Secretary. A fee as prescribed by 
regulations of the Secretary shall be paid by the official 
agency to the Secretary for each such amendment, to cover the 
costs incurred by the Secretary in connection therewith, and it 
shall be deposited in the fund created in subsection (j) of 
this section.
  (3) The Secretary may revoke a designation of an official 
agency whenever, after opportunity for hearing is afforded the 
agency, the Secretary determines that the agency has failed to 
meet one or more of the criteria specified in subsection (f) of 
this section or the regulations under this Act for the 
performance of official functions, or otherwise has not 
complied with any provision of this Act or any regulation 
prescribed or instruction issued to such agency under this Act, 
or has been convicted of any violation of other Federal law 
involving the handling or official inspection of grain: 
Provided, That the Secretary may, without first affording the 
official agency an opportunity for a hearing, suspend any 
designation pending final determination of the proceeding 
whenever the Secretary has reason to believe there is cause for 
revocation of the designation and considers such action to be 
in the best interest of the official inspection system under 
this Act. The Secretary shall afford any such agency an 
opportunity for a hearing within thirty days after temporarily 
suspending such designation.
  (h) If the Secretary determines that official inspection by 
an official agency designated under subsection (f) of this 
section is not available on a regular basis at any location 
(other than at an export port location) where the Secretary 
determines such inspection is needed to effectuate the 
objectives stated in section 2 of this Act, and that no 
official agency within reasonable proximity to such location is 
willing to provide or has or can acquire adequate personnel and 
facilities for providing such service on an interim basis, 
official inspection shall be provided by authorized employees 
of the Secretary, and other persons licensed by the Secretary 
to perform official inspection functions, as provided in 
section 8 of this Act, until such time as the service can be 
provided on a regular basis by an official agency.
  (i) The Secretary is authorized to cause official inspection 
under this Act to be made, as provided in subsection (a) of 
section 5 of this Act, in Canadian ports of United States 
export grain transshipped through Canadian ports, and pursuant 
thereto the Secretary is authorized to enter into an agreement 
with the Canadian Government for such inspection. All or 
specified functions of such inspection shall be performed by 
official inspection personnel employed by the Secretary or, 
except for appeals, by persons operating under a contract with 
the Secretary or as otherwise provided by agreement with the 
Canadian Government.
  (j)(1) (A) The Secretary shall, under such regulations as the 
Secretary may prescribe, charge and collect reasonable 
inspection fees to cover the estimated cost to the Secretary 
incident to the performance of official inspection except when 
the official inspection is performed by a designated official 
agency or by a State under a delegation of authority. The fees 
authorized by this subsection shall, as nearly as practicable 
and after taking into consideration any proceeds from the sale 
of samples, cover the costs of the Secretary incident to its 
performance of official inspection services in the United 
States and on United States grain in Canadian ports, including 
administrative and supervisory costs related to such official 
inspection of grain. Such fees, and the proceeds from the sale 
of samples obtained for purposes of official inspection which 
become the property of the United States, shall be deposited 
into a fund which shall be available without fiscal year 
limitation for the expenses of the Secretary incident to 
providing services under this Act.
  (B) For official inspections and weighing at an export 
elevator at an export port location performed by the Secretary, 
performed by a State agency delegated the authority to perform 
official inspection services at the export elevator on behalf 
of the Secretary, or performed by a State agency utilized as 
authorized by subsection (e)(6)(A), the portion of the fees 
based upon export tonnage shall be based upon a rolling five-
year average of export tonnage volumes. In order to maintain an 
operating reserve of between three to six months, the Secretary 
shall adjust such fees at least annually.
  (2) Each designated official agency and each State agency to 
which authority has been delegated under subsection (e) of this 
section shall pay to the Secretary fees in such amount as the 
Secretary determines fair and reasonable and as will cover the 
estimated costs incurred by the Secretary relating to 
supervision of official agency personnel and supervision by the 
Secretary of the Secretary's field office personnel, except 
costs incurred under paragraph (3) of subsection (g) of this 
section and sections 9, 10, and 14 of this Act. The fees shall 
be payable after the services are performed at such times as 
specified by the Secretary and shall be deposited in the fund 
created in paragraph (1) of this subsection. Failure to pay the 
fee within thirty days after it is due shall result in 
automatic termination of the delegation or designation, which 
shall be reinstated upon payment, within such period as 
specified by the Secretary, of the fee currently due plus 
interest and any further expenses incurred by the Secretary 
because of such termination. The interest rate on overdue fees 
shall be as prescribed by the Secretary, but not less than the 
current average market yield on outstanding marketable 
obligations of the United States of comparable maturity, plus 
an additional charge of not to exceed 1 per centum per annum as 
determined by the Secretary and adjusted to the nearest one-
eighth of 1 per centum.
  (3) Any sums collected or received by the Secretary under 
this Act and deposited to the fund created in paragraph (1) of 
this subsection and any late payment penalties collected by the 
Secretary and credited to such fund may be invested by the 
Secretary in insured or fully collateralized, interest-bearing 
accounts or, at the discretion of the Secretary, by the 
Secretary of the Treasury in United States Government debt 
instruments. The interest earned on such sums and any late 
payment penalties collected by the Secretary shall be credited 
to the fund and shall be available without fiscal year 
limitation for the expenses of the Secretary incident to 
providing services under this Act.
  (4) The duties imposed by paragraph (2) on designated 
official agencies and State agencies described in such 
paragraph and the investment authority provided by paragraph 
(3) shall expire on [September 30, 2015] September 30, 2020. 
After that date, the fees established by the Secretary pursuant 
to paragraph (1) shall not cover administrative and supervisory 
costs related to the official inspection of grain.

                           weighing authority

  Sec. 7A. (a) The Secretary shall cause official weighing 
under standards or procedures provided for in section 4 of this 
Act to be made of all grain required to be officially weighed 
as provided in section 5 of this Act, in accordance with such 
regulations as the Secretary may prescribe.
  (b) The Secretary is authorized to cause official weighing or 
supervision of weighing under standards or procedures provided 
in section 4 of this Act to be performed at any grain elevator, 
warehouse, or other storage or handling facility located other 
than at export elevators at export port locations at which 
official inspection is provided pursuant to the provisions of 
this Act, in such manner as the Secretary deems appropriate and 
under such regulations as the Secretary may provide.
  (c)(1) With respect to official weighing or supervision of 
weighing for locations at which official inspection is provided 
by the Secretary, the Secretary shall cause such official 
weighing or supervision of weighing to be performed by official 
inspection personnel employed by the Secretary.
  (2) With respect to official weighing or supervision of 
weighing for any location at which official inspection is 
provided other than by the Secretary, the Secretary is 
authorized, [with respect to export port locations] with 
respect to an export elevator at an export port location, to 
delegate authority to perform official weighing or supervision 
of weighing to the State agency providing official inspection 
service at such location, and with respect to any other 
location, to designate the agency or person providing official 
inspection service at such location to perform official 
weighing or supervision of weighing, if such agency or person 
qualifies for a delegation of authority or designation under 
section 7 of this Act, except that where the term ``official 
inspection'' is used in such section it shall be deemed to 
refer to ``official weighing'' or ``supervision of weighing'' 
under this section. If such agency or person is not available 
to perform such weighing services, or the Secretary determines 
that such agency or person is not qualified to perform such 
weighing services, then (A) at export port locations official 
weighing or supervision of weighing shall be performed by 
official inspection personnel employed by the Secretary, and 
(B) at any other location, the Secretary is authorized to cause 
official weighing or supervision of weighing to be performed by 
official inspection personnel employed by the Secretary or 
designate any State or local governmental agency, or any person 
to perform official weighing or supervision of weighing, if 
such agency, or person meets the same criteria that agencies 
must meet to be designated to perform official inspection as 
set out in section 7 of this Act, except that where the term 
``official inspection'' is used in such section it shall be 
deemed to refer to ``official weighing'' or ``supervision of 
weighing'' under this section. Delegations and designations 
made pursuant to this subsection shall be subject to the same 
provisions for delegations and designations set forth in 
[subsection (g) of section 7] subsection (e) and (g) of section 
7 of this Act.
  (d) The Secretary is authorized to cause official weighing 
under this Act to be made, as provided in subsection (a) of 
section 5 of this Act, in Canadian ports of United States 
export grain transshipped through Canada; and pursuant thereto 
the Secretary is authorized to enter into an agreement with the 
Canadian Government for such official weighing. All or 
specified functions of such weighing shall be performed by 
official inspection personnel employed by the Secretary or, 
except for appeals, by persons operating under a contract with 
the Secretary or as otherwise provided by agreement with the 
Canadian Government.
  (e) The Secretary is further authorized to cause official 
weighing or supervision of weighing under standards or 
procedures provided for in section 4 of this Act to be made at 
grain elevators, warehouses, or other storage or handling 
facilities not subject to subsection (a) or (b) of this 
section, upon request of the operator of such grain elevator, 
warehouse, or other storage or handling facility and in 
accordance with such regulations as the Secretary may 
prescribe.
  (f) No official weighing or supervision of weighing shall be 
provided for the purposes of this act at any grain elevator, 
warehouse, or other storage or handling facility until such 
time as the operator of the facility has demonstrated to the 
satisfaction of the Secretary that the operator (1) has and 
will maintain, in good order, suitable grain-handling equipment 
and accurate scales for all weighing of grain at the facility, 
in accordance with the regulations of the Secretary; (2) will 
permit only competent persons with a reputation for honesty and 
integrity and who are approved by the Secretary to operate the 
scales and to handle grain in connection with weighing of the 
grain, in accordance with this Act; (3) when weighing is to be 
done by persons other than official inspection personnel, will 
require such persons to operate the scales in accordance with 
the regulations of the Secretary and to require that each lot 
of grain for delivery from any railroad car, truck, barge, 
vessel, or other means of conveyance at the facility is 
entirely removed from such means of conveyance and delivered to 
the scales without avoidable waste or loss, and each lot of 
grain weighed at the elevator for shipment from the facility is 
entirely delivered to the means of conveyance for which 
intended, and without avoidable waste or loss, in accordance 
with the regulations of the Secretary; (4) will provide all 
assistance needed by the Secretary for making any inspection or 
examination and carrying out other functions at the facility 
pursuant to this Act; and (5) will comply with all other 
requirements of this Act and the regulations hereunder.
  (g) Official certificates setting out the results of official 
weighing or supervision of weighing, issued and not cancelled 
under this Act, shall be received by all officers and all 
courts of the United States as prima facie evidence of the 
truth of the facts stated herein.
  (h) No State or local governmental agency or person shall 
weigh or state in any document the weight of grain determined 
at a location where official weighing is required to be 
performed as provided for in this section except in accordance 
with the procedures prescribed pursuant to this section.
  (i) Unauthorized Weighing Prohibited.--
          (1) In general.--No State or local governmental 
        agency or person other than an authorized employee of 
        the Secretary shall perform official weighing or 
        supervision of weighing for the purposes of this Act 
        except in accordance with the provisions of an 
        unsuspended and unrevoked delegation of authority or 
        designation by the Secretary as provided in this 
        section or as otherwise provided in section 7(i) and 
        subsection (d).
          (2) Geographic boundaries for official agencies.--Not 
        more than one designated official agency referred to in 
        paragraph (1) or State agency delegated authority 
        pursuant to subsection (c)(2) to carry out the weighing 
        provisions of this Act shall be operative at the same 
        time in any geographic area defined by the Secretary, 
        except that, if the Secretary determines that the 
        presence of more than one designated official agency in 
        the same geographic area will not undermine the policy 
        stated in section 2, [the Secretary may--] the 
        Secretary shall allow a designated official agency to 
        cross boundary lines to carry out weighing in another 
        geographic area if--
                  [(A) allow more than one designated official 
                agency to carry out the weighing provisions 
                within the same geographical area as part of a 
                pilot program; and
                  [(B) allow a designated official agency to 
                cross boundary lines to carry out the weighing 
                provisions in another geographic area if the 
                Secretary also determines that--
                          [(i) the current designated official 
                        agency for that geographic area is 
                        unable to provide the weighing services 
                        in a timely manner; or
                          [(ii) a person requesting weighing 
                        services in that geographic area has 
                        not been receiving official weighing 
                        services from the current designated 
                        official agency for that geographic 
                        area.]
                  (A) the current designated official agency 
                for that geographic area is unable to provide 
                weighing services in a timely manner; or
                  (B) the current official agency for that 
                geographic area agrees in writing with the 
                adjacent official agency to waive the current 
                geographic area restriction at the request of 
                the applicant for service.
  (j) The provisions of this section shall not limit any 
authority vested in the Secretary under the United States 
Warehouse Act (39 Stat. 486, as amended; 7 U.S.C. 241 et seq.).
  (k) The representatives of the Secretary shall be afforded 
access to any elevator, warehouse, or other storage or handling 
facility from which grain is delivered for shipment in 
interstate or foreign commerce or to which grain is delivered 
from shipment in interstate or foreign commerce and all 
facilities therein for weighing grain.
  (l)(1) The Secretary shall, under such regulations as the 
Secretary may prescribe, charge and collect reasonable fees to 
cover the estimated costs to the Secretary incident to the 
performance of the functions provided for under this section 
except as otherwise provided in paragraph (2) of this 
subsection. The fees authorized by this paragraph shall, as 
nearly as practicable, cover the costs of the Secretary 
incident to performance of its functions related to weighing, 
including administrative and supervisory costs directly related 
thereto. Such fees shall be deposited into the fund created in 
section 7(j) of this Act.
  (2) Each agency to which authority has been delegated under 
this section and each agency or other person which has been 
designated to perform functions related to weighing under this 
section shall pay to the Secretary fees in such amount as the 
Secretary determines fair and reasonable and as will cover the 
costs incurred by the Secretary relating to supervision of the 
agency personnel and supervision by the Secretary of the 
Secretary's field office personnel incurred as a result of the 
functions performed by such agencies, except costs incurred 
under sections 7(g)(3), 9, 10, and 14 of this Act. The fees 
shall be payable after the services are performed at such times 
as specified by the Secretary and shall be deposited in the 
fund created in section 7(j) of this Act. Failure to pay the 
fee within thirty days after it is due shall result in 
automatic termination of the delegation or designation, which 
shall be reinstated upon payment, within such period as 
specified by the Secretary, of the fee currently due plus 
interest and any further expenses incurred by the Secretary 
because of such termination. The interest rate on overdue fees 
shall be as prescribed by the Secretary, but not less than the 
current average market yield on outstanding marketable 
obligations of the United States of comparable maturity, plus 
an additional charge of not to exceed 1 per centum per annum as 
determined by the Secretary, and adjusted to the nearest one-
eighth of 1 per centum.
  (3) The authority provided to the Secretary by paragraph (1) 
and the duties imposed by paragraph (2) on agencies and other 
persons described in such paragraph shall expire on [September 
30, 2015] September 30, 2020. After that date, the Secretary 
shall, under such regulations as the Secretary may prescribe, 
charge and collect reasonable fees to cover the estimated costs 
of official weighing and supervision of weighing except when 
the official weighing or supervision of weighing is performed 
by a designated official agency or by a State under a 
delegation of authority. The fees authorized by this paragraph 
shall, as nearly as practicable, cover the costs of the 
Secretary incident to its performance of official weighing and 
supervision of weighing services in the United States and on 
United States grain in Canadian ports, excluding administrative 
and supervisory costs. The fees authorized by this paragraph 
shall be deposited into a fund which shall be available without 
fiscal year limitation for the expenses of the Secretary 
incident to providing services under this Act.

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          Limitation and administrative and supervisory costs

  Sec. 7D. The total administrative and supervisory costs which 
may be incurred under this Act for services performed 
(excluding standardization, compliance, and foreign monitoring 
activities) for each of the fiscal years 1989 through [2015] 
2020 shall not exceed 30 per centum of the total costs for such 
activities carried out by the Secretary for such year.

                      licenses and authorizations

  Sec. 8. (a) The Secretary is authorized (1) to issue a 
license to any individual upon presentation to the Secretary of 
satisfactory evidence that such individual is competent, and is 
employed (or is supervised under a contractual arrangement) by 
an official agency or a State agency delegated authority under 
section 7 or 7A of this Act, to perform all or specified 
functions involved in original inspection or reinspection 
functions involved in official inspection, or in the official 
weighing or the supervision of weighing, other than appeal 
weighing, or grain in the United States; (2) to authorize any 
competent employee of the Secretary to (A) perform all or 
specified original inspection, reinspection, or appeal 
inspection functions involved in official inspection of grain 
in the United States, or of United States grain in Canadian 
ports, (B) perform official weighing or supervision of weighing 
(including appeal weighing) of grain in the United States, or 
of United States grain in Canadian ports, (C) supervise the 
official inspection, official weighing, or supervision of 
weighing of grain in the United States and of United States 
grain in Canadian ports or the testing of equipment, and (D) 
perform monitoring activities in foreign ports with respect to 
grain officially inspected and officially weighed under this 
Act; (3) to contract with any person or government agency to 
perform specified sampling, laboratory testing, inspection, 
weighing, and similar technical functions and to license 
competent persons to perform such functions pursuant to such 
contract; and (4) to contract with any competent person for the 
performance of monitoring activities in foreign ports with 
respect to grain officially inspected and officially weighed 
under this Act. Except as otherwise provided in sections 7(i) 
and 7A(d), no person shall perform any official inspection or 
weighing function for purposes of this Act unless such person 
holds an unsuspended and unrevoked license or authorization 
from the Secretary under this Act.
  (b) All classes of licenses issued under this Act shall 
terminate [triennially] every five years on a date or dates to 
be fixed by regulation of the Secretary: Provided, That any 
license shall be suspended automatically when the licensee 
ceases to be employed by an official agency or by a State 
agency under a delegation of authority pursuant to this Act or 
to operate under the terms of a contract for the conduct of any 
functions under this Act: Provided further, That subject to 
subsection (c) of this section such license shall be reinstated 
if the licensee is employed by an official agency or by a State 
agency under a delegation of authority pursuant to this Act or 
resumes operation under such a contract within one year of the 
suspension date and the license has not expired in the interim.
  (c) The Secretary may require such examinations and 
reexaminations as the Secretary may deem warranted to determine 
the competence of contract with the Secretary shall not, unless 
otherwise employed by the Federal Government, be determined to 
be employees of the Federal Government of the United States: 
Provided, That such persons shall be considered in the 
performance of any official inspection, official weighing, or 
supervision of weighing function as prescribed by this Act or 
by the rules and regulations of the Secretary, as persons 
acting for or on behalf of the United States, for the purpose 
of determining the application of section 201 of title 18 of 
the United States Code, to such persons and as employees of the 
Department of Agriculture assigned to perform inspection 
functions for the purposes of sections 1114 and 111 of title 18 
of the United States Code.
  (d) Persons employed or supervised under a contractual 
arrangement by an official agency (including persons employed 
or supervised under a contractual arrangement by a State agency 
under a delegation of authority pursuant to this Act) and 
persons performing official inspection functions under contract 
with the Secretary shall not, unless otherwise employed by the 
Federal Government, be determined to be employees of the 
Federal Government of the United States: Provided, That such 
persons shall be considered in the performance of any official 
inspection, official weighing, or supervision of weighing 
function as prescribed by this Act or by the rules and 
regulations of the Secretary, as persons acting for or on 
behalf of the United States, for the purpose of determining the 
application of section 201 of title 18 of the United States 
Code, to such persons and as employees of the Department of 
Agriculture assigned to perform inspection functions for the 
purposes of sections 1114 and 111 of title 18 of the United 
States Code.
  (e) The Secretary may hire (without regard to the provisions 
of title 5 of the United States Code, governing appointments in 
the competitive service) as official inspection personnel any 
individual who is licensed [(on the date of enactment of the 
United States Grain Standards Act of 1976)] to perform 
functions of official inspection under [the United States Grain 
Standards Act] this Act and as personnel to perform supervisory 
weighing or official weighing functions any individual who[, on 
the date of enactment of the United States Grain Standards Act 
of 1976, was performing] performs similar functions: Provided, 
That the Secretary determines that such individual is of good 
moral character and is technically and professionally qualified 
for the duties to which the individual will be assigned. The 
Secretary may compensate such personnel at any rate within the 
appropriate grade of the General Schedule as the Secretary 
deems necessary without regard to section 5333 of title 5 of 
the United States Code.
  (f) The Secretary shall provide for the periodic rotation of 
supervisory personnel and official inspection personnel 
employed by the Secretary as the Secretary deems necessary to 
preserve the integrity of the official inspection and weighing 
system provided by this Act.
  (g) The Secretary shall develop and effectuate standards for 
the recruiting, training, and supervising of official 
inspection personnel and appropriate work production standards 
for such personnel, which shall be applicable to the Secretary, 
all State agencies under delegation of authority pursuant to 
this Act, and all official agencies and all persons licensed or 
authorized to perform functions under this Act: Provided, That 
persons licensed or authorized on the date of enactment of the 
United States Grain Standards Act of 1978 to perform any 
official function under this Act, shall be exempted from the 
uniform recruiting and training provisions of this subsection 
and regulations or standards issued pursuant thereto if the 
Secretary determines that such persons are technically and 
professionally qualified for the duties to which they will be 
assigned and they agree to complete whatever additional 
training the Secretary deems necessary.

           *       *       *       *       *       *       *


                          general authorities

  Sec. 16. (a) The Secretary is authorized to conduct such 
investigations; hold such hearings; require such reports from 
any official agency, any State agency delegated authority under 
this Act, license, or other person; and prescribe such rules, 
regulations, and instructions, as the Secretary deems necessary 
to effectuate the purposes or provisions of this Act. Such 
regulations may require, as a condition for official inspection 
or official weighing or supervision of weighing, among other 
things, (1) that there be installed specified sampling, 
handling, weighing, and monitoring equipment in grain 
elevators, warehouses, and other grain storage or handling 
facilities, (2) that approval of the Secretary be obtained as 
to the condition of vessels and other carriers or receptacles 
for the transporting or storing of grain, and (3) that persons 
having a financial interest in the grain which is to be 
inspected (or their agents) shall be afforded an opportunity to 
observe the weighing, loading, and official inspection thereof, 
under conditions prescribed by the Secretary. Whether any 
certificate, other form, representation, designation, or other 
description is false, incorrect, or misleading within the 
meaning of this Act shall be determined by tests made in 
accordance with such procedures as the Secretary may adopt to 
effectuate the objectives of this Act, if the relevant facts 
are determinable by such tests. Proceedings under section 9 of 
this Act for refusal to renew, or for suspension or revocation 
of, a license shall not, unless requested by the respondent, be 
subject to the administrative procedure provisions in sections 
554, 556, and 557 of title 5 of the United States Code.
  (b) The Secretary is authorized to investigate reports or 
complaints of discrepancies and abuses in the official 
inspection and weighing of grain under this Act. The Secretary 
shall prescribe by regulation procedures for (1) promptly 
investigating (A) complaints of foreign grain purchasers 
regarding the official inspection or official weighing of grain 
shipped from the United States, (B) the cancellation of 
contracts for the export sale of grain required to be inspected 
or weighed under this Act, and (C) any complaint regarding the 
operation or administration of this Act or any official 
transaction with which this Act is concerned; and (2) taking 
appropriate action on the basis of the findings of any 
investigation of such complaints.
  (c) The Secretary is authorized to cause official inspection 
personnel to monitor in foreign nations which are substantial 
importers of grain from the United States, grain imported from 
the United States upon its entry into the foreign nation, to 
determine whether such grain is of a comparable kind, class, 
quality, and condition after considering the handling methods 
and conveyance utilized at the time of loading, and the same 
quantity that it was certified to be upon official inspection 
and official weighing in the United States.
  (d) [The Office of Investigation of the Department of 
Agriculture (or such other organization or agency within the 
Department of Agriculture which may be delegated the authority, 
in lieu thereof, to conduct investigations on behalf of the 
Department of Agriculture)] The Office of Inspector General of 
the Department of Agriculture shall conduct such investigations 
regarding the operation or administration of this Act or any 
official transaction with which this Act is concerned, as the 
Director thereof deems necessary to assure the integrity of 
official inspection and weighing under this Act.
  (e) The Secretary is authorized to conduct, in cooperation 
with other agencies within the Department of Agriculture, a 
continuing research program for the purpose of developing 
methods to improve accuracy and uniformity in grading grain.
  (f) To assure the normal movement of grain at all inspection 
points in a timely manner consistent with the policy expressed 
in section 2 of this Act, the Secretary shall, notwithstanding 
any other provision of law, provide adequate personnel to meet 
the inspection and weighing requirements of this Act.
  (g) Testing of Certain Weighing Equipment.--(1) Subject to 
paragraph (2), the Secretary may provide for the testing of 
weighing equipment used for purposes other than weighing grain. 
The testing shall be performed--
          (A) in accordance with such regulations as the 
        Secretary may prescribe; and
          (B) for a reasonable fee established by regulation or 
        contractual agreement and sufficient to cover, as 
        nearly as practicable, the estimated costs of the 
        testing performed.
  (2) Testing performed under paragraph (1) may not conflict 
with or impede the objectives specified in section 2.
  (h) Testing of Grain Inspection Instruments.--(1) Subject to 
paragraph (2), the Secretary may provide for the testing of 
grain inspection instruments used for commercial inspection. 
The testing shall be performed--
          (A) in accordance with such regulations as the 
        Secretary may prescribe; and
          (B) for a reasonable fee established by regulation or 
        contractual agreement and sufficient to cover, as 
        nearly as practicable, the estimated costs of the 
        testing performed.
  (2) Testing performed under paragraph (1) may not conflict 
with or impede the objectives specified in section 2.
  (i) Additional For Fee Services.--(1) In accordance with such 
regulations as the Secretary may provide, the Secretary may 
perform such other services as the Secretary considers to be 
appropriate.
  (2) In addition to the fees authorized by sections 7, 7A, 7B, 
17A, and this section, the Secretary shall collect reasonable 
fees to cover the estimated costs of services performed under 
paragraph (1) other than standardization and foreign monitoring 
activities.
  (3) To the extent practicable, the fees collected under 
paragraph (2), together with any proceeds from the sale of any 
samples, shall cover the costs, including administrative and 
supervisory costs, of services performed under paragraph (1).
  (j) Deposit of Fees.--Fees collected under subsections (g), 
(h), and (i) shall be deposited into the fund created under 
section 7(j).
  (k) Official Courtesies.--The Secretary may extend 
appropriate courtesies to official representatives of foreign 
countries in order to establish and maintain relationships to 
carry out the policy stated in section 2. No gift offered or 
accepted pursuant to this subsection shall exceed $20 in value.

           *       *       *       *       *       *       *


                             appropriations

  Sec. 19. There are hereby authorized to be appropriated such 
sums as are necessary for standardization and compliance 
activities, monitoring in foreign ports grain officially 
inspected and weighed under this Act, and any other expenses 
necessary to carry out the provisions of this Act for each of 
the fiscal years 1988 through [2015] 2020, to the extent that 
financing is not obtained from fees and sales of samples as 
provided for in sections 7, 7A, 7B, 16, and 17A.

                           advisory committee

  Sec. 21. (a) Not later than ninety days after the date of 
enactment of this section, the Secretary shall establish an 
advisory committee to provide advice to the Secretary with 
respect to implementation of this Act consistent with the 
declarations of policy in section 2 of this Act. The advisory 
committee shall consist of fifteen members, appointed by the 
Secretary, who represent the interests of all segments of the 
grain producing, processing, storing, merchandising, consuming, 
and exporting industries, including grain inspection and 
weighing agencies and scientists with expertise in research 
related to the policies established in section 2 of this Act. 
Members of the advisory committee shall be appointed to three-
year terms, except that of the initial fifteen members of the 
advisory committee first appointed following the enactment of 
this section, five shall be appointed for terms of one year and 
five shall be appointed for terms of two years. No member of 
the advisory committee may serve successive terms.
  (b) The advisory committee shall be governed by the 
provisions of the Federal Advisory Committee Act (5 U.S.C. App. 
2).
  (c) The Secretary shall provide the advisory committee with 
necessary clerical assistance and staff personnel.
  (d) Members of the advisory committee shall serve without 
compensation, if not otherwise officers or employees of the 
United States, except that members shall, while away from their 
homes or regular places of business in the performance of 
services under this Act, be allowed travel expenses, including 
per diem in lieu of subsistence, as authorized under section 
5703 of title 5, United States Code.
  (e) The authority provided to the Secretary for the 
establishment and maintenance of an advisory committee under 
this section shall expire on [September 30, 2015] September 30, 
2020.

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