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115th Congress } { Report
HOUSE OF REPRESENTATIVES
2d Session } { 115-1072
_______________________________________________________________________
AGRICULTURE IMPROVEMENT ACT OF 2018
----------
CONFERENCE REPORT
to accompany
H.R. 2
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
December 10, 2018.--Ordered to be printed
115th Congress } { Report
HOUSE OF REPRESENTATIVES
2d Session } { 115-1072
_______________________________________________________________________
AGRICULTURE IMPROVEMENT ACT OF 2018
__________
CONFERENCE REPORT
to accompany
H.R. 2
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
December 10, 2018.--Ordered to be printed
______
U.S. GOVERNMENT PUBLISHING OFFICE
33-422 WASHINGTON : 2018
115th Congress } { Report
HOUSE OF REPRESENTATIVES
2d Session } { 115-1072
======================================================================
AGRICULTURE IMPROVEMENT ACT OF 2018
_______
December 10, 2018.--Ordered to be printed
_______
Mr. Conaway, from the committee of conference, submitted the following
CONFERENCE REPORT
[To accompany H.R. 2]
The committee of conference on the disagreeing votes of
the two Houses on the amendment of the Senate to the bill (H.R.
2), to provide for the reform and continuation of agricultural
and other programs of the Department of Agriculture through
fiscal year 2023, and for other purposes, having met, after
full and free conference, have agreed to recommend and do
recommend to their respective Houses as follows:
That the House recede from its disagreement to the
amendment of the Senate and agree to the same with an amendment
as follows:
In lieu of the matter proposed to be inserted by the
Senate amendment, insert the following:
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the
``Agriculture Improvement Act of 2018''.
(b) Table of Contents.--The table of contents for this Act
is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. Definition of Secretary.
TITLE I--COMMODITIES
Subtitle A--Commodity Policy
Sec. 1101. Definition of effective reference price.
Sec. 1102. Base acres.
Sec. 1103. Payment yields.
Sec. 1104. Payment acres.
Sec. 1105. Producer election.
Sec. 1106. Price loss coverage.
Sec. 1107. Agriculture risk coverage.
Sec. 1108. Repeal of transition assistance for producers of upland
cotton.
Subtitle B--Marketing Loans
Sec. 1201. Extensions.
Sec. 1202. Loan rates for nonrecourse marketing assistance loans.
Sec. 1203. Economic adjustment assistance for textile mills.
Sec. 1204. Special competitive provisions for extra long staple cotton.
Sec. 1205. Availability of recourse loans.
Subtitle C--Sugar
Sec. 1301. Sugar policy.
Subtitle D--Dairy Margin Coverage and Other Dairy Related Provisions
Sec. 1401. Dairy margin coverage.
Sec. 1402. Reauthorizations.
Sec. 1403. Class I skim milk price.
Sec. 1404. Dairy product donation.
Subtitle E--Supplemental Agricultural Disaster Assistance
Sec. 1501. Supplemental agricultural disaster assistance.
Subtitle F--Noninsured Crop Assistance
Sec. 1601. Noninsured crop assistance program.
Subtitle G--Administration
Sec. 1701. Regulations.
Sec. 1702. Suspension of permanent price support authority.
Sec. 1703. Payment limitations.
Sec. 1704. Adjusted gross income limitations.
Sec. 1705. Farm Service Agency accountability.
Sec. 1706. Implementation.
Sec. 1707. Exemption from certain reporting requirements for certain
producers.
TITLE II--CONSERVATION
Subtitle A--Wetland Conservation
Sec. 2101. Wetland conversion.
Sec. 2102. Wetland conservation.
Sec. 2103. Mitigation banking.
Subtitle B--Conservation Reserve Program
Sec. 2201. Conservation reserve.
Sec. 2202. Conservation reserve enhancement program.
Sec. 2203. Farmable wetland program.
Sec. 2204. Pilot programs.
Sec. 2205. Duties of owners and operators.
Sec. 2206. Duties of the Secretary.
Sec. 2207. Payments.
Sec. 2208. Contracts.
Sec. 2209. Eligible land; State law requirements.
Subtitle C--Environmental Quality Incentives Program and Conservation
Stewardship Program
Sec. 2301. Repeal of conservation programs.
Sec. 2302. Purposes of environmental quality incentives program.
Sec. 2303. Definitions under environmental quality incentives program.
Sec. 2304. Establishment and administration of environmental quality
incentives program.
Sec. 2305. Environmental quality incentives program plan.
Sec. 2306. Limitation on payments under environmental quality incentives
program.
Sec. 2307. Conservation innovation grants and payments.
Sec. 2308. Conservation stewardship program.
Sec. 2309. Grassland conservation initiative.
Subtitle D--Other Conservation Programs
Sec. 2401. Watershed protection and flood prevention.
Sec. 2402. Soil and water resources conservation.
Sec. 2403. Emergency conservation program.
Sec. 2404. Conservation of private grazing land.
Sec. 2405. Grassroots source water protection program.
Sec. 2406. Voluntary public access and habitat incentive program.
Sec. 2407. Wildlife management.
Sec. 2408. Feral swine eradication and control pilot program.
Sec. 2409. Report on small wetlands.
Sec. 2410. Sense of Congress relating to increased watershed-based
collaboration.
Subtitle E--Funding and Administration
Sec. 2501. Commodity Credit Corporation.
Sec. 2502. Delivery of technical assistance.
Sec. 2503. Administrative requirements for conservation programs.
Sec. 2504. Temporary administration of conservation programs.
Subtitle F--Agricultural Conservation Easement Program
Sec. 2601. Establishment and purposes.
Sec. 2602. Definitions.
Sec. 2603. Agricultural land easements.
Sec. 2604. Wetland reserve easements.
Sec. 2605. Administration.
Subtitle G--Regional Conservation Partnership Program
Sec. 2701. Establishment and purposes.
Sec. 2702. Definitions.
Sec. 2703. Regional conservation partnerships.
Sec. 2704. Assistance to producers.
Sec. 2705. Funding.
Sec. 2706. Administration.
Sec. 2707. Critical conservation areas.
Subtitle H--Repeals and Technical Amendments
PART I--Repeals
Sec. 2811. Repeal of Conservation Corridor Demonstration Program.
Sec. 2812. Repeal of cranberry acreage reserve program.
Sec. 2813. Repeal of National Natural Resources Foundation.
Sec. 2814. Repeal of flood risk reduction.
Sec. 2815. Repeal of study of land use for expiring contracts and
extension of authority.
Sec. 2816. Repeal of Integrated Farm Management Program Option.
Sec. 2817. Repeal of clarification of definition of agricultural lands.
PART II--Technical Amendments
Sec. 2821. Technical amendments.
Sec. 2822. State technical committees.
TITLE III--TRADE
Subtitle A--Food for Peace Act
Sec. 3101. Labeling requirements.
Sec. 3102. Food aid quality assurance.
Sec. 3103. Local sale and barter of commodities.
Sec. 3104. Minimum levels of assistance.
Sec. 3105. Food aid consultative group.
Sec. 3106. Issuance of regulations.
Sec. 3107. Oversight, monitoring, and evaluation.
Sec. 3108. Assistance for stockpiling and rapid transportation,
delivery, and distribution of shelf-stable prepackaged foods.
Sec. 3109. Consideration of impact of provision of agricultural
commodities and other assistance on local farmers and economy.
Sec. 3110. Allowance for distribution costs.
Sec. 3111. Prepositioning of agricultural commodities.
Sec. 3112. Annual report regarding food aid programs and activities.
Sec. 3113. Deadline for agreements to finance sales or to provide other
assistance.
Sec. 3114. Minimum level of nonemergency food assistance.
Sec. 3115. Termination date for micronutrient fortification programs.
Sec. 3116. John Ogonowski and Doug Bereuter Farmer-to-Farmer program.
Subtitle B--Agricultural Trade Act of 1978
Sec. 3201. Agricultural trade promotion and facilitation.
Subtitle C--Other Agricultural Trade Laws
Sec. 3301. Growing American Food Exports.
Sec. 3302. Food for Progress Act of 1985.
Sec. 3303. Bill Emerson Humanitarian Trust Act.
Sec. 3304. Promotion of agricultural exports to emerging markets.
Sec. 3305. Cochran fellowship program.
Sec. 3306. Borlaug International Agricultural Science and Technology
Fellowship program.
Sec. 3307. International Agricultural Education Fellowship program.
Sec. 3308. International food security technical assistance.
Sec. 3309. McGovern-Dole International Food for Education and Child
Nutrition program.
Sec. 3310. Global Crop Diversity Trust.
Sec. 3311. Local and regional food aid procurement projects.
Sec. 3312. Foreign trade missions.
TITLE IV--NUTRITION
Subtitle A--Supplemental Nutrition Assistance Program
Sec. 4001. Requirements for online acceptance of benefits.
Sec. 4002. Re-evaluation of thrifty food plan.
Sec. 4003. Food distribution program on Indian reservations.
Sec. 4004. Simplified homeless housing costs.
Sec. 4005. Employment and training for supplemental nutrition assistance
program.
Sec. 4006. Improvements to electronic benefit transfer system.
Sec. 4007. Review of supplemental nutrition assistance program
operations.
Sec. 4008. Retail incentives.
Sec. 4009. Required action on data match information.
Sec. 4010. Incentivizing technology modernization.
Sec. 4011. Interstate data matching to prevent multiple issuances.
Sec. 4012. Requirement of live-production environments for certain pilot
projects relating to cost sharing for computerization.
Sec. 4013. Quality control improvements.
Sec. 4014. Evaluation of child support enforcement cooperation
requirements.
Sec. 4015. Longitudinal data for research.
Sec. 4016. Authorization of appropriations.
Sec. 4017. Assistance for community food projects.
Sec. 4018. Emergency food assistance program.
Sec. 4019. Nutrition education.
Sec. 4020. Retail food store and recipient trafficking.
Sec. 4021. Public-private partnerships.
Sec. 4022. Technical corrections.
Subtitle B--Commodity Distribution Programs
Sec. 4101. Commodity distribution program.
Sec. 4102. Commodity supplemental food program.
Sec. 4103. Distribution of surplus commodities to special nutrition
projects.
Sec. 4104. Food donation standards.
Subtitle C--Miscellaneous
Sec. 4201. Seniors farmers' market nutrition program.
Sec. 4202. Purchase of fresh fruits and vegetables for distribution to
schools and service institutions.
Sec. 4203. Service of traditional foods in public facilities.
Sec. 4204. Healthy food financing initiative.
Sec. 4205. The Gus Schumacher nutrition incentive program.
Sec. 4206. Micro-grants for food security.
Sec. 4207. Buy American requirements.
Sec. 4208. Healthy fluid milk incentives projects.
TITLE V--CREDIT
Subtitle A--Farm Ownership Loans
Sec. 5101. Modification of the 3-year experience eligibility requirement
for farm ownership loans.
Sec. 5102. Conservation loan and loan guarantee program.
Sec. 5103. Limitations on amount of farm ownership loans.
Sec. 5104. Relending program to resolve ownership and succession on
farmland.
Subtitle B--Operating Loans
Sec. 5201. Limitations on amount of operating loans.
Sec. 5202. Microloans.
Sec. 5203. Cooperative lending pilot projects.
Subtitle C--Administrative Provisions
Sec. 5301. Beginning farmer and rancher individual development accounts
pilot program.
Sec. 5302. Loan authorization levels.
Sec. 5303. Loan fund set-asides.
Sec. 5304. Use of additional funds for direct operating microloans under
certain conditions.
Sec. 5305. Equitable relief.
Sec. 5306. Socially disadvantaged farmers and ranchers; qualified
beginning farmers and ranchers.
Sec. 5307. Emergency loan eligibility.
Subtitle D--Miscellaneous
Sec. 5401. Technical corrections to the Consolidated Farm and Rural
Development Act.
Sec. 5402. State agricultural mediation programs.
Sec. 5403. Compensation of bank directors.
Sec. 5404. Sharing of privileged and confidential information.
Sec. 5405. Facility headquarters.
Sec. 5406. Removal and prohibition authority; industry-wide prohibition.
Sec. 5407. Jurisdiction over institution-affiliated parties.
Sec. 5408. Definition of institution-affiliated party.
Sec. 5409. Prohibition on use of funds.
Sec. 5410. Expansion of acreage exception to loan amount limitation.
Sec. 5411. Repeal of obsolete provisions; technical corrections.
Sec. 5412. Corporation as conservator or receiver; certain other powers.
Sec. 5413. Reporting.
Sec. 5414. Study on loan risk.
Sec. 5415. GAO report on ability of the Farm Credit System to meet the
agricultural credit needs of Indian tribes and their members.
Sec. 5416. GAO report on credit service to socially disadvantaged
farmers and ranchers.
TITLE VI--RURAL DEVELOPMENT
Subtitle A--Improving Health Outcomes in Rural America
Sec. 6101. Combating substance use disorder in rural America;
prioritizations.
Sec. 6102. Distance learning and telemedicine.
Sec. 6103. Refinancing of certain rural hospital debt.
Subtitle B--Connecting Rural Americans to High Speed Broadband
Sec. 6201. Access to broadband telecommunications services in rural
areas.
Sec. 6202. Expansion of middle mile infrastructure into rural areas.
Sec. 6203. Modifications to the Rural Gigabit Program.
Sec. 6204. Community Connect Grant Program.
Sec. 6205. Outdated broadband systems.
Sec. 6206. Default and deobligation; deferral.
Sec. 6207. Public notice, assessments, and reporting requirements.
Sec. 6208. Environmental reviews.
Sec. 6209. Use of loan proceeds to refinance loans for deployment of
broadband service.
Sec. 6210. Smart utility authority for broadband.
Sec. 6211. Refinancing of telephone loans.
Sec. 6212. Federal broadband program coordination.
Sec. 6213. Transition rule.
Sec. 6214. Rural broadband integration working group.
Subtitle C--Miscellaneous
Sec. 6301. Exclusion of certain populations from definition of rural
area.
Sec. 6302. Establishment of technical assistance program.
Sec. 6303. Rural energy savings program.
Sec. 6304. Northern Border Regional Commission reauthorization.
Sec. 6305. Definition of rural area for purposes of the Housing Act of
1949.
Sec. 6306. Council on Rural Community Innovation and Economic
Development.
Subtitle D--Additional Amendments to the Consolidated Farm and Rural
Development Act
Sec. 6401. Strategic economic and community development.
Sec. 6402. Expanding access to credit for rural communities.
Sec. 6403. Water, waste disposal, and wastewater facility grants.
Sec. 6404. Rural water and wastewater technical assistance and training
programs.
Sec. 6405. Rural water and wastewater circuit rider program.
Sec. 6406. Tribal college and university essential community facilities.
Sec. 6407. Emergency and imminent community water assistance grant
program.
Sec. 6408. Water systems for rural and native villages in Alaska.
Sec. 6409. Rural decentralized water systems.
Sec. 6410. Solid waste management grants.
Sec. 6411. Rural business development grants.
Sec. 6412. Rural cooperative development grants.
Sec. 6413. Locally or regionally produced agricultural food products.
Sec. 6414. Appropriate technology transfer for rural areas program.
Sec. 6415. Rural economic area partnership zones.
Sec. 6416. Intemediary relending program.
Sec. 6417. Access to information to verify income for participants in
certain rural housing programs.
Sec. 6418. Providing for additional fees for guaranteed loans under the
Consolidated Farm and Rural Development Act.
Sec. 6419. Rural Business-Cooperative Service programs technical
assistance and training.
Sec. 6420. National Rural Development Partnership.
Sec. 6421. Grants for NOAA weather radio transmitters.
Sec. 6422. Rural microentrepreneur assistance program.
Sec. 6423. Health care services.
Sec. 6424. Rural innovation stronger economy grant program.
Sec. 6425. Delta Regional Authority.
Sec. 6426. Rural business investment program.
Sec. 6427. Rural business investment program.
Subtitle E--Additional Amendments to the Rural Electrification Act of
1936
Sec. 6501. Amendments to section 2 of the Rural Electrification Act of
1936.
Sec. 6502. Loans for telephone service.
Sec. 6503. Cushion of credit payments program.
Sec. 6504. Extension of the rural economic development loan and grant
program.
Sec. 6505. Guarantees for bonds and notes issued for electrification or
telephone purposes.
Sec. 6506. Expansion of 911 access.
Sec. 6507. Cybersecurity and grid security improvements.
Subtitle F--Program Repeals
Sec. 6601. Elimination of unfunded programs.
Sec. 6602. Repeal of Rural Telephone Bank.
Sec. 6603. Amendments to LOCAL TV Act.
Subtitle G--Technical Corrections
Sec. 6701. Corrections relating to the Consolidated Farm and Rural
Development Act.
Sec. 6702. Corrections relating to the Rural Electrification Act of
1936.
TITLE VII--RESEARCH, EXTENSION, AND RELATED MATTERS
Subtitle A--National Agricultural Research, Extension, and Teaching
Policy Act of 1977
Sec. 7101. Purposes of agricultural research, extension, and education.
Sec. 7102. Matters related to certain school designations and
declarations.
Sec. 7103. National Agricultural Research, Extension, Education, and
Economics Advisory Board.
Sec. 7104. Specialty crop committee.
Sec. 7105. Renewable energy committee discontinued.
Sec. 7106. Veterinary services grant program.
Sec. 7107. Grants and fellowships for food and agriculture sciences
education.
Sec. 7108. Agricultural and food policy research centers.
Sec. 7109. Education grants to Alaska Native serving institutions and
Native Hawaiian serving institutions.
Sec. 7110. Next generation agriculture technology challenge.
Sec. 7111. Land-grant designation.
Sec. 7112. Nutrition education program.
Sec. 7113. Continuing animal health and disease research programs.
Sec. 7114. Carryover of funds for extension at 1890 land-grant colleges,
including Tuskegee University.
Sec. 7115. Extension and agricultural research at 1890 land-grant
colleges, including Tuskegee University.
Sec. 7116. Reports on disbursement of funds for agricultural research
and extension at 1862 and 1890 land-grant colleges, including
Tuskegee University.
Sec. 7117. Scholarships for students at 1890 institutions.
Sec. 7118. Grants to upgrade agricultural and food sciences facilities
at 1890 land-grant colleges, including Tuskegee University.
Sec. 7119. Grants to upgrade agriculture and food sciences facilities
and equipment at insular area land-grant institutions.
Sec. 7120. New Beginning for Tribal Students.
Sec. 7121. Hispanic-serving institutions.
Sec. 7122. Binational agricultural research and development.
Sec. 7123. Partnerships to build capacity in international agricultural
research, extension, and teaching.
Sec. 7124. Competitive grants for international agricultural science and
education programs.
Sec. 7125. Limitation on indirect costs for agricultural research,
education, and extension programs.
Sec. 7126. Research equipment grants.
Sec. 7127. University research.
Sec. 7128. Extension service.
Sec. 7129. Supplemental and alternative crops; hemp.
Sec. 7130. New Era Rural Technology program.
Sec. 7131. Capacity building grants for NLGCA Institutions.
Sec. 7132. Agriculture advanced research and development authority
pilot.
Sec. 7133. Aquaculture assistance programs.
Sec. 7134. Rangeland research programs.
Sec. 7135. Special authorization for biosecurity planning and response.
Sec. 7136. Distance education and resident instruction grants program
for insular area institutions of higher education.
Subtitle B--Food, Agriculture, Conservation, and Trade Act of 1990
Sec. 7201. Best utilization of biological applications.
Sec. 7202. Integrated management systems.
Sec. 7203. Sustainable agriculture technology development and transfer
program.
Sec. 7204. National training program.
Sec. 7205. National strategic germplasm and cultivar collection
assessment and utilization plan.
Sec. 7206. National Genetics Resources Program.
Sec. 7207. National Agricultural Weather Information System.
Sec. 7208. Agricultural genome to phenome initiative.
Sec. 7209. High-priority research and extension initiatives.
Sec. 7210. Organic agriculture research and extension initiative.
Sec. 7211. Farm business management.
Sec. 7212. Urban, indoor, and other emerging agricultural production
research, education, and extension initiative.
Sec. 7213. Centers of excellence at 1890 Institutions.
Sec. 7214. Clarification of veteran eligibility for assistive technology
program for farmers with disabilities.
Sec. 7215. National Rural Information Center Clearinghouse.
Subtitle C--Agricultural Research, Extension, and Education Reform Act
of 1998
Sec. 7301. National food safety training, education, extension,
outreach, and technical assistance program.
Sec. 7302. Integrated research, education, and extension competitive
grants program.
Sec. 7303. Support for research regarding diseases of wheat, triticale,
and barley caused by Fusarium graminearum or by Tilletia
indica.
Sec. 7304. Grants for youth organizations.
Sec. 7305. Specialty crop research initiative.
Sec. 7306. Food Animal Residue Avoidance Database program.
Sec. 7307. Office of Pest Management Policy.
Sec. 7308. Forestry products advanced utilization research.
Subtitle D--Food, Conservation, and Energy Act of 2008
PART I--Agricultural Security
Sec. 7401. Agricultural biosecurity communication center.
Sec. 7402. Assistance to build local capacity in agricultural
biosecurity planning, preparation, and response.
Sec. 7403. Research and development of agricultural countermeasures.
Sec. 7404. Agricultural biosecurity grant program.
PART II--Miscellaneous
Sec. 7411. Grazinglands research laboratory.
Sec. 7412. Farm and Ranch Stress Assistance Network.
Sec. 7413. Natural products research program.
Sec. 7414. Sun grant program.
Subtitle E--Amendments to Other Laws
Sec. 7501. Critical Agricultural Materials Act.
Sec. 7502. Equity in Educational Land-Grant Status Act of 1994.
Sec. 7503. Research Facilities Act.
Sec. 7504. Agriculture and Food Research Initiative.
Sec. 7505. Extension design and demonstration initiative.
Sec. 7506. Repeal of review of agricultural research service.
Sec. 7507. Biomass research and development.
Sec. 7508. Reinstatement of matching requirement for Federal funds used
in extension work at the University of the District of
Columbia.
Sec. 7509. Renewable Resources Extension Act of 1978.
Sec. 7510. National Aquaculture Act of 1980.
Sec. 7511. Federal agriculture research facilities.
Subtitle F--Other Matters
Sec. 7601. Enhanced use lease authority program.
Sec. 7602. Transfer of administrative jurisdiction over portion of Henry
A. Wallace Beltsville Agricultural Research Center,
Beltsville, Maryland.
Sec. 7603. Foundation for food and agriculture research.
Sec. 7604. Assistance for forestry research under the McIntire-Stennis
Cooperative Forestry Act.
Sec. 7605. Legitimacy of industrial hemp research.
Sec. 7606. Collection of data relating to barley area planted and
harvested.
Sec. 7607. Collection of data relating to the size and location of dairy
farms.
Sec. 7608. Agriculture innovation center demonstration program.
Sec. 7609. Smith-Lever community extension program.
Sec. 7610. Mechanization and automation for specialty crops.
Sec. 7611. Experienced services program.
Sec. 7612. Simplified plan of work.
Sec. 7613. Review of land-grant time and effort reporting requirements.
Sec. 7614. Matching funds requirement.
TITLE VIII--FORESTRY
Subtitle A--Cooperative Forestry Assistance Act of 1978
Sec. 8101. Support for State assessments and strategies for forest
resources.
Sec. 8102. State and private forest landscape-scale restoration program.
Subtitle B--Forest and Rangeland Renewable Resources Research Act of
1978
Sec. 8201. Repeal of recycling research.
Sec. 8202. Repeal of forestry student grant program.
Subtitle C--Global Climate Change Prevention Act of 1990
Sec. 8301. Repeals relating to biomass.
Subtitle D--Healthy Forests Restoration Act of 2003
Sec. 8401. Promoting cross-boundary wildfire mitigation.
Sec. 8402. Authorization of appropriations for hazardous fuel reduction
on Federal land.
Sec. 8403. Repeal of biomass commercial utilization grant program.
Sec. 8404. Water Source Protection Program.
Sec. 8405. Watershed Condition Framework.
Sec. 8406. Authorization of appropriations to combat insect infestations
and related diseases.
Sec. 8407. Healthy Forests Restoration Act of 2003 amendments.
Sec. 8408. Authorization of appropriations for designation of treatment
areas.
Subtitle E--Repeal or Reauthorization of Miscellaneous Forestry Programs
Sec. 8501. Repeal of revision of strategic plan for forest inventory and
analysis.
Sec. 8502. Semiarid agroforestry research center.
Sec. 8503. National Forest Foundation Act.
Sec. 8504. Conveyance of Forest Service administrative sites.
Subtitle F--Forest Management
Sec. 8601. Definition of National Forest System.
PART I--Expedited Environmental Analysis and Availability of Categorical
Exclusions to Expedite Forest Management Activities
Sec. 8611. Categorical exclusion for greater sage-grouse and mule deer
habitat.
PART II--Miscellaneous Forest Management Activities
Sec. 8621. Additional authority for sale or exchange of small parcels of
National Forest System land.
Sec. 8622. Forest Service participation in ACES program.
Sec. 8623. Authorization for lease of Forest Service sites.
Sec. 8624. Good neighbor authority.
Sec. 8625. Chattahoochee-Oconee National Forest land adjustment.
Sec. 8626. Tennessee wilderness.
Sec. 8627. Kisatchie National Forest land conveyance.
Sec. 8628. Purchase of Natural Resources Conservation Service property,
Riverside County, California.
Sec. 8629. Collaborative Forest Landscape Restoration Program.
Sec. 8630. Utility infrastructure rights-of-way vegetation management
pilot program.
Sec. 8631. Okhissa Lake rural economic development land conveyance.
Sec. 8632. Remote sensing technologies.
PART III--Timber Innovation
Sec. 8641. Definitions.
Sec. 8642. Clarification of research and development program for wood
building construction.
Sec. 8643. Wood innovation grant program.
Sec. 8644. Community wood energy and wood innovation program.
Subtitle G--Other Matters
Sec. 8701. Rural revitalization technologies.
Sec. 8702. Resource Advisory Committees.
Sec. 8703. Tribal forest management demonstration project.
Sec. 8704. Technical corrections.
Sec. 8705. Streamlining the Forest Service process for consideration of
communications facility location applications.
Sec. 8706. Report on wildfire, insect infestation, and disease
prevention on Federal land.
Sec. 8707. West Fork Fire Station.
Sec. 8708. Competitive forestry, natural resources, and environmental
grants program.
TITLE IX--ENERGY
Sec. 9001. Definitions.
Sec. 9002. Biobased markets program.
Sec. 9003. Biorefinery assistance.
Sec. 9004. Repowering assistance program.
Sec. 9005. Bioenergy program for advanced biofuels.
Sec. 9006. Biodiesel fuel education program.
Sec. 9007. Rural Energy for America Program.
Sec. 9008. Rural Energy Self-Sufficiency Initiative.
Sec. 9009. Feedstock flexibility.
Sec. 9010. Biomass Crop Assistance Program.
Sec. 9011. Carbon utilization and biogas education program.
TITLE X--HORTICULTURE
Sec. 10101. Specialty crops market news allocation.
Sec. 10102. Local agriculture market program.
Sec. 10103. Organic production and market data initiatives.
Sec. 10104. Organic certification.
Sec. 10105. National organic certification cost-share program.
Sec. 10106. Food safety education initiatives.
Sec. 10107. Specialty crop block grants.
Sec. 10108. Amendments to the Plant Variety Protection Act.
Sec. 10109. Multiple crop and pesticide use survey.
Sec. 10110. Report on the arrival in the United States of forest pests
through restrictions on the importation of certain plants for
planting.
Sec. 10111. Report on plant biostimulants.
Sec. 10112. Clarification of use of funds for technical assistance.
Sec. 10113. Hemp production.
Sec. 10114. Interstate commerce.
Sec. 10115. FIFRA interagency working group.
Sec. 10116. Study on methyl bromide use in response to an emergency
event.
TITLE XI--CROP INSURANCE
Sec. 11101. Definitions.
Sec. 11102. Data collection.
Sec. 11103. Sharing of records.
Sec. 11104. Use of resources.
Sec. 11105. Specialty crops.
Sec. 11106. Insurance period.
Sec. 11107. Cover crops.
Sec. 11108. Underserved producers.
Sec. 11109. Treatment of forage and grazing.
Sec. 11110. Administrative basic fee.
Sec. 11111. Enterprise units.
Sec. 11112. Continued authority.
Sec. 11113. Submission of policies and materials to board.
Sec. 11114. Crop production on native sod.
Sec. 11115. Use of national agricultural statistics service data to
combat waste, fraud, and abuse.
Sec. 11116. Submission of information to corporation.
Sec. 11117. Continuing education for loss adjusters and agents.
Sec. 11118. Program administration.
Sec. 11119. Agricultural commodity.
Sec. 11120. Maintenance of policies.
Sec. 11121. Reimbursement of research, development, and maintenance
costs.
Sec. 11122. Research and development authority.
Sec. 11123. Funding for research and development.
Sec. 11124. Technical amendment to pilot programs.
Sec. 11125. Education and risk management assistance.
Sec. 11126. Repeal of cropland report annual updates.
TITLE XII--MISCELLANEOUS
Subtitle A--Livestock
Sec. 12101. Animal disease prevention and management.
Sec. 12102. Sheep production and marketing grant program.
Sec. 12103. Feasibility study on livestock dealer statutory trust.
Sec. 12104. Definition of livestock.
Sec. 12105. National Aquatic Animal Health Plan.
Sec. 12106. Veterinary training.
Sec. 12107. Report on FSIS guidance and outreach to small meat
processors.
Sec. 12108. Regional Cattle and Carcass Grading Correlation and Training
Centers.
Subtitle B--Agriculture and Food Defense
Sec. 12201. Repeal of Office of Homeland Security.
Sec. 12202. Office of Homeland Security.
Sec. 12203. Agriculture and food defense.
Sec. 12204. Biological agents and toxins list.
Sec. 12205. Authorization of appropriations.
Subtitle C--Historically Underserved Producers
Sec. 12301. Farming opportunities training and outreach.
Sec. 12302. Urban agriculture.
Sec. 12303. Tribal Advisory Committee.
Sec. 12304. Beginning farmer and rancher coordination.
Sec. 12305. Agricultural youth organization coordinator.
Sec. 12306. Availability of Department of Agriculture programs for
veteran farmers and ranchers.
Subtitle D--Department of Agriculture Reorganization Act of 1994
Amendments
Sec. 12401. Office of Congressional Relations and Intergovernmental
Affairs.
Sec. 12402. Military Veterans Agricultural Liaison.
Sec. 12403. Civil rights analyses.
Sec. 12404. Farm Service Agency.
Sec. 12405. Under Secretary of Agriculture for Farm Production and
Conservation.
Sec. 12406. Office of Partnerships and Public Engagement.
Sec. 12407. Under Secretary of Agriculture for Rural Development.
Sec. 12408. Administrator of the Rural Utilities Service.
Sec. 12409. Rural Health Liaison.
Sec. 12410. Natural Resources Conservation Service.
Sec. 12411. Office of the Chief Scientist.
Sec. 12412. Appointment of national appeals division hearing officers.
Sec. 12413. Trade and foreign agricultural affairs.
Sec. 12414. Repeals.
Sec. 12415. Technical corrections.
Sec. 12416. Termination of authority.
Subtitle E--Other Miscellaneous Provisions
PART I--Miscellaneous Agriculture Provisions
Sec. 12501. Acer access and development program.
Sec. 12502. Protecting animals with shelter.
Sec. 12503. Marketing orders.
Sec. 12504. Establishment of food loss and waste reduction liaison.
Sec. 12505. Report on business centers.
Sec. 12506. Report on personnel.
Sec. 12507. Report on absent landlords.
Sec. 12508. Century farms program.
Sec. 12509. Report on importation of live dogs.
Sec. 12510. Tribal Promise Zones.
Sec. 12511. Precision agriculture connectivity.
Sec. 12512. Improvements to United States Drought Monitor.
Sec. 12513. Dairy business innovation initiatives.
Sec. 12514. Report on funding for the National Institute of Food and
Agriculture and other extension programs.
Sec. 12515. Prohibition on slaughter of dogs and cats for human
consumption.
Sec. 12516. Labeling exemption for single ingredient foods and products.
Sec. 12517. South Carolina inclusion in Virginia/Carolina peanut
producing region.
Sec. 12518. Forest Service hire authority.
Sec. 12519. Conversion authority.
Sec. 12520. Authorization of protection operations for the Secretary of
Agriculture and others.
PART II--National Oilheat Research Alliance
Sec. 12531. National oilheat research alliance.
Subtitle F--General Provisions
Sec. 12601. Baiting of migratory game birds.
Sec. 12602. Pima agriculture cotton trust fund.
Sec. 12603. Agriculture wool apparel manufacturers trust fund.
Sec. 12604. Wool research and promotion.
Sec. 12605. Emergency Citrus Disease Research and Development Trust
Fund.
Sec. 12606. Extension of merchandise processing fees.
Sec. 12607. Reports on land access and farmland ownership data
collection.
Sec. 12608. Reauthorization of rural emergency medical services training
and equipment assistance program.
Sec. 12609. Commission on Farm Transitions--Needs for 2050.
Sec. 12610. Exceptions under United States Grain Standards Act.
Sec. 12611. Conference report requirement threshold.
Sec. 12612. National agriculture imagery program.
Sec. 12613. Report on inclusion of natural stone products in Commodity
Promotion, Research, and Information Act of 1996.
Sec. 12614. Establishment of food access liaison.
Sec. 12615. Eligibility for operators on heirs property land to obtain a
farm number.
Sec. 12616. Extending prohibition on animal fighting to the territories.
Sec. 12617. Exemption of exportation of certain echinoderms from
permission and licensing requirements.
Sec. 12618. Data on conservation practices.
Sec. 12619. Conforming changes to Controlled Substances Act.
SEC. 2. DEFINITION OF SECRETARY.
In this Act, the term ``Secretary'' means the Secretary of
Agriculture.
TITLE I--COMMODITIES
Subtitle A--Commodity Policy
SEC. 1101. DEFINITION OF EFFECTIVE REFERENCE PRICE.
Section 1111 of the Agricultural Act of 2014 (7 U.S.C.
9011) is amended--
(1) by redesignating paragraphs (8) through (25) as
paragraphs (9) through (26), respectively; and
(2) by inserting after paragraph (7) the following:
``(8) Effective reference price.--The term
`effective reference price', with respect to a covered
commodity for a crop year, means the lesser of the
following:
``(A) An amount equal to 115 percent of the
reference price for such covered commodity.
``(B) An amount equal to the greater of--
``(i) the reference price for such
covered commodity; or
``(ii) 85 percent of the average of
the marketing year average price of the
covered commodity for the most recent 5
crop years, excluding each of the crop
years with the highest and lowest
marketing year average price.''.
SEC. 1102. BASE ACRES.
(a) Technical Corrections.--Section 1112(c)(2) of the
Agricultural Act of 2014 (7 U.S.C. 9012(c)(2)) is amended by
striking subparagraph (A) and inserting the following:
``(A) Any acreage on the farm enrolled in--
``(i) the conservation reserve
program established under subchapter B
of chapter 1 of subtitle D of title XII
of the Food Security Act of 1985 (16
U.S.C. 3831 et seq.); or
``(ii) a wetland reserve easement
under section 1265C of the Food
Security Act of 1985 (16 U.S.C.
3865c).''.
(b) Reduction in Base Acres.--Section 1112(d) of the
Agricultural Act of 2014 (7 U.S.C. 9012(d)) is amended by
adding at the end the following:
``(3) Treatment of base acres on farms entirely
planted to grass or pasture.--
``(A) In general.--In the case of a farm on
which all of the cropland was planted to grass
or pasture (including cropland that was idle or
fallow), as determined by the Secretary, during
the period beginning on January 1, 2009, and
ending on December 31, 2017, the Secretary
shall maintain all base acres and payment
yields for the covered commodities on the farm,
except that no payment shall be made with
respect to those base acres under section 1116
or 1117 for the 2019 through 2023 crop years.
``(B) Ineligibility.--The producers on a
farm for which all of the base acres are
maintained under subparagraph (A) shall be
ineligible for the option to change the
election applicable to the producers on the
farm under section 1115(h).
``(4) Prohibition on reconstitution of farm.--The
Secretary shall ensure that producers on a farm do not
reconstitute the farm to void or change the treatment
of base acres under this section.''.
SEC. 1103. PAYMENT YIELDS.
(a) Treatment of Designated Oilseeds.--Section 1113(b) of
the Agricultural Act of 2014 (7 U.S.C. 9013(b)) is amended--
(1) in paragraph (1), by striking ``designated
oilseeds'' and inserting ``oilseeds designated before
the date of enactment of the Agriculture Improvement
Act of 2018'';
(2) in paragraphs (2) and (3), by striking ``a
designated oilseed'' each place it appears and
inserting ``an oilseed designated before the date of
enactment of the Agriculture Improvement Act of 2018'';
and
(3) by adding at the end the following:
``(4) Treatment of oilseeds designated after
certain date.--In the case of oilseeds designated on or
after the date of enactment of the Agriculture
Improvement Act of 2018, the payment yield shall be
equal to 90 percent of the average of the yield per
planted acre for the most recent 5 crop years, as
determined by the Secretary, excluding any crop year in
which the acreage planted to the covered commodity was
zero.''.
(b) Single Opportunity to Update Yields.--Section 1113 of
the Agricultural Act of 2014 (7 U.S.C. 9013) is amended by
striking subsection (d) and inserting the following:
``(d) Single Opportunity to Update Yields.--
``(1) Election to update.--At the sole discretion
of the owner of a farm, the owner of a farm shall have
a 1-time opportunity to update, on a covered-commodity-
by-covered-commodity basis, the payment yield that
would otherwise be used in calculating any price loss
coverage payment for each covered commodity on the farm
for which the election is made.
``(2) Method of updating yields for covered
commodities.--If the owner of a farm elects to update
yields under paragraph (1), the payment yield for a
covered commodity on the farm, for the purpose of
calculating price loss coverage payments only, shall be
equal to the product obtained by multiplying--
``(A) 90 percent;
``(B) the average of the yield per planted
acre for the crop of covered commodities on the
farm for the 2013 through 2017 crop years, as
determined by the Secretary, excluding any crop
year in which the acreage planted to the
covered commodity was zero; and
``(C) subject to paragraph (3), the ratio
obtained by dividing--
``(i) the average of the 2008
through 2012 national average yield per
planted acre for the covered commodity,
as determined by the Secretary; by
``(ii) the average of the 2013
through 2017 national average yield per
planted acre for the covered commodity,
as determined by the Secretary.
``(3) Limitation.--In no case shall the ratio
obtained under paragraph (2)(C) be less than 90 percent
or greater than 100 percent.
``(4) Use of county average yield.--For the
purposes of determining the average yield per planted
acre under paragraph (2)(B), if the yield per planted
acre for a crop of a covered commodity for a farm for
any of the crop years described in that subparagraph
was less than 75 percent of the average of county
yields for those crop years for that commodity, the
Secretary shall assign a yield for that crop year equal
to 75 percent of the average of the 2013 through 2017
county yield for the covered commodity.
``(5) Upland cotton conversion.--In the case of
seed cotton, for purposes of determining the average of
the yield per planted acre under this subsection, the
average yield for seed cotton per planted acre shall be
equal to 2.4 times the average yield for upland cotton
per planted acre.
``(6) Time for election.--An election under this
subsection shall be made at a time and manner so as to
be in effect beginning with the 2020 crop year, as
determined by the Secretary.''.
SEC. 1104. PAYMENT ACRES.
Section 1114 of the Agricultural Act of 2014 (7 U.S.C.
9014) is amended--
(1) in subsection (d)--
(A) in paragraph (1), by inserting ``,
unless the sum of the base acres on the farm,
when combined with the base acres of other
farms in which the producer has an interest, is
more than 10 acres'' before the period at the
end; and
(B) in paragraph (2)--
(i) in subparagraph (A), by
striking ``or'' at the end;
(ii) in subparagraph (B), by
striking the period at the end and
inserting a semicolon; and
(iii) by adding at the end the
following:
``(C) a beginning farmer or rancher (as
defined in subsection (a) of section 2501 of
the Food, Agriculture, Conservation, and Trade
Act of 1990 (7 U.S.C. 2279)); or
``(D) a veteran farmer or rancher (as
defined in subsection (a) of section 2501 of
the Food, Agriculture, Conservation, and Trade
Act of 1990 (7 U.S.C. 2279)).''; and
(2) in subsection (e), by adding at the end the
following:
``(5) Effect of reduction.--For each crop year for
which fruits, vegetables (other than mung beans and
pulse crops), or wild rice are planted to base acres on
a farm for which a reduction in payment acres is made
under this subsection, the Secretary shall consider
such base acres to be planted, or prevented from being
planted, to a covered commodity for purposes of any
adjustment or reduction of base acres for the farm
under section 1112.''.
SEC. 1105. PRODUCER ELECTION.
Section 1115 of the Agricultural Act of 2014 (7 U.S.C.
9015) is amended--
(1) in subsection (a), in the matter preceding
paragraph (1), by striking ``Except as provided in
subsection (g), for the 2014 through 2018 crop years''
and inserting ``For the 2014 through 2018 crop years
(except as provided in subsection (g)) and for the 2019
through 2023 crop years (subject to subsection (h))'';
(2) in subsection (b), in the matter preceding
paragraph (1), by striking ``subsection (a), the
producers on a farm that elect under paragraph (2) of
such subsection to obtain agriculture risk coverage
under section 1117'' and inserting ``subsection (a) or
(h), as applicable, the producers on a farm that elect
to obtain agriculture risk coverage'';
(3) in subsection (c)--
(A) in the matter preceding paragraph (1),
by inserting ``or the 2019 crop year, as
applicable'' after ``2014 crop year'';
(B) in paragraph (1), by inserting ``or the
2019 crop year, as applicable,'' after ``2014
crop year''; and
(C) by striking paragraph (2) and inserting
the following:
``(2) subject to subsection (h), the producers on
the farm shall be deemed to have elected, as
applicable--
``(A) price loss coverage for all covered
commodities on the farm for the 2015 through
2018 crop years; and
``(B) the same coverage for each covered
commodity on the farm for the 2020 through 2023
crop years as was applicable for the 2015
through 2018 crop years.'';
(4) in subsection (g)(1), by inserting ``for the
2018 crop year,'' before ``all of the producers''; and
(5) by adding at the end the following:
``(h) Option to Change Election.--
``(1) In general.--For the 2021 crop year and each
crop year thereafter, all of the producers on a farm
may change the election under subsection (a),
subsection (c), or this subsection, as applicable, to
price loss coverage or agriculture risk coverage, as
applicable.
``(2) Applicability.--An election change under
paragraph (1) shall apply to--
``(A) the crop year for which the election
change is made; and
``(B) each crop year thereafter until
another election change is made under that
paragraph.''.
SEC. 1106. PRICE LOSS COVERAGE.
Section 1116 of the Agricultural Act of 2014 (7 U.S.C.
9016) is amended--
(1) in subsection (a)--
(A) by redesignating paragraphs (1) and (2)
as subparagraphs (A) and (B), respectively, and
indenting appropriately;
(B) in the matter preceding subparagraph
(A) (as so redesignated)--
(i) by inserting ``or (h)'' after
``subsection (a)''; and
(ii) by striking ``determines that,
for any of the 2014 through 2018 crop
years--'' and inserting ``determines
that--
``(1) for any of the 2014 through 2018 crop years--
'';
(C) in paragraph (1)(B) (as so
redesignated), by striking the period at the
end and inserting ``; or''; and
(D) by adding at the end the following:
``(2) for any of the 2019 through 2023 crop years--
``(A) the effective price for the covered
commodity for the crop year; is less than
``(B) the effective reference price for the
covered commodity for the crop year.'';
(2) in subsection (c)--
(A) by redesignating paragraphs (1) and (2)
as clauses (i) and (ii), respectively, and
indenting appropriately;
(B) in the matter preceding clause (i) (as
so redesignated), by striking ``The payment
rate'' and inserting the following:
``(1) In general.--
``(A) 2014 through 2018 crop years.--For
the 2014 through 2018 crop years, the payment
rate'';
(C) in paragraph (1) (as so designated), by
adding at the end the following:
``(B) 2019 through 2023 crop years.--For
the 2019 through 2023 crop years, the payment
rate shall be equal to the difference between--
``(i) the effective reference price
for the covered commodity; and
``(ii) the effective price
determined under subsection (b) for the
covered commodity.''; and
(D) by adding at the end the following:
``(2) Announcement.--Not later than 30 days after
the end of each applicable 12-month marketing year for
each covered commodity, the Secretary shall publish the
payment rate determined under paragraph (1).
``(3) Insufficient data.--In the case of a covered
commodity, such as temperate japonica rice, for which
the Secretary cannot determine the payment rate for the
most recent 12-month marketing year by the date
described in paragraph (2) due to insufficient
reporting of timely pricing data by 1 or more
nongovernmental entities, including a marketing
cooperative for the covered commodity, the Secretary
shall publish the payment rate as soon as practicable
after the marketing year data are made available.'';
and
(3) by striking subsection (g) and inserting the
following:
``(g) Reference Price for Temperate Japonica Rice.--In
order to reflect price premiums, the Secretary shall provide a
reference price with respect to temperate japonica rice in an
amount equal to the amount established under subparagraph (F)
of section 1111(19), as adjusted by paragraph (8) of such
section, multiplied by the ratio obtained by dividing--
``(1) the simple average of the marketing year
average price of medium grain rice from the 2012
through 2016 crop years; by
``(2) the simple average of the marketing year
average price of all rice from the 2012 through 2016
crop years.''.
SEC. 1107. AGRICULTURE RISK COVERAGE.
Section 1117 of the Agricultural Act of 2014 (7 U.S.C.
9017) is amended--
(1) in subsection (a), in the matter preceding
paragraph (1)--
(A) by inserting ``(beginning with the 2019
crop year, based on the physical location of
the farm)'' after ``payments''; and
(B) by inserting ``or the 2019 through 2023
crop years, as applicable'' after ``2014
through 2018 crop years'';
(2) in subsection (c)--
(A) in paragraph (2)--
(i) in subparagraph (A), by
striking ``paragraph (4)'' and
inserting ``paragraphs (4) and (5)'';
and
(ii) in subparagraph (B), by
striking ``(5)'' and inserting ``(6)'';
(B) in paragraph (3)--
(i) in subparagraph (A)(ii), by
striking ``(5)'' and inserting ``(6)'';
and
(ii) in subparagraph (C), by
striking ``2018'' and inserting
``2023'';
(C) in paragraph (4)--
(i) by striking ``If'' and
inserting the following:
``(A) 2014 through 2018 crop years.--
Effective for the 2014 through 2018 crop years,
if''; and
(ii) by adding at the end the
following:
``(B) 2019 through 2023 crop years.--
Effective for the 2019 through 2023 crop years,
if the yield per planted acre for the covered
commodity or historical county yield per
planted acre for the covered commodity for any
of the 5 most recent crop years, as determined
by the Secretary, is less than 80 percent of
the transitional yield, as determined by the
Secretary, the amounts used for any of those
years in paragraph (2)(A) or (3)(A)(i) shall be
80 percent of the transitional yield.'';
(D) by redesignating paragraph (5) as
paragraph (6);
(E) by inserting after paragraph (4) the
following:
``(5) Trend-adjusted yield.--The Secretary shall
calculate and use a trend-adjusted yield factor to
adjust the yield determined under paragraph (2)(A) and
subsection (b)(1)(A), taking into consideration, but
not exceeding, the trend-adjusted yield factor that is
used to increase yield history under the endorsement
under the Federal Crop Insurance Act (7 U.S.C. 1501 et
seq.) for that crop and county.''; and
(F) in paragraph (6) (as so redesignated)--
(i) by striking ``Reference
price.--If the national average market
price'' and inserting the following:
``Low national average market price.--
``(A) Reference price.--For the 2014
through 2018 crop years, if the national
average market price''; and
(ii) by adding at the end the
following:
``(B) Effective reference price.--For the
2019 through 2023 crop years, if the national
average market price received by producers
during the 12-month marketing year for any of
the 5 most recent crop years is lower than the
effective reference price for the covered
commodity, the Secretary shall use the
effective reference price for any of those
years for the amounts in paragraph (2)(B) or
(3)(A)(ii).'';
(3) in subsection (d)--
(A) in paragraph (1), by redesignating
subparagraphs (A) and (B) as clauses (i) and
(ii), respectively, and indenting
appropriately;
(B) by redesignating paragraphs (1) and (2)
as subparagraphs (A) and (B), respectively, and
indenting appropriately;
(C) in the matter preceding subparagraph
(A) (as so redesignated), by striking ``The
payment'' and inserting the following:
``(1) In general.--The payment''; and
(D) by adding at the end the following:
``(2) Announcement.--Not later than 30 days after
the end of each applicable 12-month marketing year for
each covered commodity, the Secretary shall publish the
payment rate determined under paragraph (1) for each
county.'';
(4) in subsection (e), in the matter preceding
paragraph (1), by striking ``2018'' and inserting
``2023'';
(5) in subsection (g)--
(A) in paragraph (2), by striking ``to the
maximum extent practicable,'';
(B) in paragraph (3), by striking ``and''
after the semicolon at the end;
(C) in paragraph (4)--
(i) in the matter preceding
subparagraph (A), by inserting
``effective for the 2014 through 2018
crop years,'' before ``in the case
of''; and
(ii) in subparagraph (B), by
striking the period at the end and
inserting ``; and''; and
(D) by adding at the end the following:
``(5) effective for the 2019 through 2023 crop
years, in the case of county coverage, assign an actual
or benchmark county yield for each planted acre for the
crop year for the covered commodity--
``(A) for a county for which county data
collected by the Risk Management Agency are
sufficient for the Secretary to offer a county-
wide insurance product, using the actual
average county yield determined by the Risk
Management Agency; or
``(B) for a county not described in
subparagraph (A), using--
``(i) other sources of yield
information, as determined by the
Secretary; or
``(ii) the yield history of
representative farms in the State,
region, or crop reporting district, as
determined by the Secretary.''; and
(6) by adding at the end the following:
``(h) Publications.--
``(1) County guarantee.--
``(A) In general.--For each crop year for a
covered commodity, the Secretary shall publish
information describing, for that crop year for
the covered commodity in each county--
``(i) the agriculture risk coverage
guarantee for county coverage
determined under subsection (c)(1);
``(ii) the average historical
county yield determined under
subsection (c)(2)(A); and
``(iii) the national average market
price determined under subsection
(c)(2)(B).
``(B) Timing.--
``(i) In general.--Except as
provided in clauses (ii) and (iii), not
later than 30 days after the end of
each applicable 12-month marketing
year, the Secretary shall publish the
information described in subparagraph
(A).
``(ii) Insufficient data.--In the
case of a covered commodity, such as
temperate japonica rice, for which the
Secretary cannot determine the national
average market price for the most
recent 12-month marketing year by the
date described in clause (i) due to
insufficient reporting of timely
pricing data by 1 or more
nongovernmental entities, including a
marketing cooperative for the covered
commodity, as soon as practicable after
the pricing data are made available,
the Secretary shall publish information
describing--
``(I) the agriculture risk
coverage guarantee under
subparagraph (A)(i); and
``(II) the national average
market price under subparagraph
(A)(iii).
``(iii) Transition.--Not later than
60 days after the date of enactment of
the Agriculture Improvement Act of
2018, the Secretary shall publish the
information described in clauses (i)
and (ii) of subparagraph (A) for the
2018 crop year.
``(2) Actual average county yield.--As soon as
practicable after each crop year, the Secretary shall
determine and publish each actual average county yield
for each covered commodity, as determined under
subsection (b)(1)(A).
``(3) Data sources for county yields.--For the 2018
crop year and each crop year thereafter, the Secretary
shall make publicly available information describing,
for the most recent crop year--
``(A) the sources of data used to calculate
county yields under subsection (c)(2)(A) for
each covered commodity--
``(i) by county; and
``(ii) nationally; and
``(B) the number and outcome of occurrences
in which the Farm Service Agency reviewed,
changed, or determined not to change a source
of data used to calculate county yields under
subsection (c)(2)(A).
``(i) Administrative Units.--
``(1) In general.--For purposes of agriculture risk
coverage payments in the case of county coverage, a
county may be divided into not greater than 2
administrative units in accordance with this
subsection.
``(2) Eligible counties.--A county that may be
divided into administrative units under this subsection
is a county that--
``(A) is larger than 1,400 square miles;
and
``(B) contains more than 190,000 base
acres.
``(3) Elections.--Before making any agriculture
risk coverage payments for the 2019 crop year, the Farm
Service Agency State committee, in consultation with
the Farm Service Agency county or area committee of a
county described in paragraph (2), may make a 1-time
election to divide the county into administrative units
under this subsection along a boundary that better
reflects differences in weather patterns, soil types,
or other factors.
``(4) Limitation.--The Secretary shall--
``(A) limit the number of counties that may
be divided into administrative units under
paragraph (3) to 25 counties; and
``(B) give preference to the division of
counties that have greater variation in
climate, soils, and expected productivity
between the proposed administrative units.
``(5) Administration.--For purposes of providing
agriculture risk coverage payments in the case of
county coverage, the Secretary shall consider an
administrative unit elected under paragraph (3) to be a
county for the 2019 through 2023 crop years.''.
SEC. 1108. REPEAL OF TRANSITION ASSISTANCE FOR PRODUCERS OF UPLAND
COTTON.
Section 1119 of the Agricultural Act of 2014 (7 U.S.C.
9019) is repealed.
Subtitle B--Marketing Loans
SEC. 1201. EXTENSIONS.
(a) In General.--Section 1201(b)(1) of the Agricultural Act
of 2014 (7 U.S.C. 9031(b)(1)) is amended by striking ``2018''
and inserting ``2023''.
(b) Repayment.--Section 1204 of the Agricultural Act of
2014 (7 U.S.C. 9034) is amended--
(1) in subsection (e)(2)(B), in the matter
preceding clause (i), by striking ``2019''and inserting
``2024''; and
(2) in subsection (g), by striking ``2018'' and
inserting ``2023''.
(c) Loan Deficiency Payments.--
(1) Extension.--Section 1205(a)(2)(B) of the
Agricultural Act of 2014 (7 U.S.C. 9035(a)(2)(B)) is
amended by striking ``2018'' and inserting ``2023''.
(2) Payments in lieu of ldps.--Section 1206 of the
Agricultural Act of 2014 (7 U.S.C. 9036) is amended in
subsections (a) and (d) by striking ``2018'' each place
it appears and inserting ``2023''.
SEC. 1202. LOAN RATES FOR NONRECOURSE MARKETING ASSISTANCE LOANS.
(a) In General.--Section 1202 of the Agricultural Act of
2014 (7 U.S.C. 9032) is amended--
(1) in subsection (a), by striking the subsection
heading and inserting ``2014 through 2018 crop years'';
(2) by redesignating subsections (b) and (c) as
subsections (c) and (d), respectively;
(3) by inserting after subsection (a) the
following:
``(b) 2019 Through 2023 Crop Years.--For purposes of each
of the 2019 through 2023 crop years, the loan rate for a
marketing assistance loan under section 1201 for a loan
commodity shall be equal to the following:
``(1) In the case of wheat, $3.38 per bushel.
``(2) In the case of corn, $2.20 per bushel.
``(3) In the case of grain sorghum, $2.20 per
bushel.
``(4) In the case of barley, $2.50 per bushel.
``(5) In the case of oats, $2.00 per bushel.
``(6)(A) Subject to subparagraphs (B) and (C), in
the case of base quality of upland cotton, the simple
average of the adjusted prevailing world price for the
2 immediately preceding marketing years, as determined
by the Secretary and announced October 1 preceding the
next domestic planting.
``(B) Except as provided in subparagraph (C), the
loan rate determined under subparagraph (A) may not
equal less than an amount equal to 98 percent of the
loan rate for base quality of upland cotton for the
preceding year.
``(C) The loan rate determined under subparagraph
(A) may not be equal to an amount--
``(i) less than $0.45 per pound; or
``(ii) more than $0.52 per pound.
``(7) In the case of extra long staple cotton,
$0.95 per pound.
``(8) In the case of long grain rice, $7.00 per
hundredweight.
``(9) In the case of medium grain rice, $7.00 per
hundredweight.
``(10) In the case of soybeans, $6.20 per bushel.
``(11) In the case of other oilseeds, $10.09 per
hundredweight for each of the following kinds of
oilseeds:
``(A) Sunflower seed.
``(B) Rapeseed.
``(C) Canola.
``(D) Safflower.
``(E) Flaxseed.
``(F) Mustard seed.
``(G) Crambe.
``(H) Sesame seed.
``(I) Other oilseeds designated by the
Secretary.
``(12) In the case of dry peas, $6.15 per
hundredweight.
``(13) In the case of lentils, $13.00 per
hundredweight.
``(14) In the case of small chickpeas, $10.00 per
hundredweight.
``(15) In the case of large chickpeas, $14.00 per
hundredweight.
``(16) In the case of graded wool, $1.15 per pound.
``(17) In the case of nongraded wool, $0.40 per
pound.
``(18) In the case of mohair, $4.20 per pound.
``(19) In the case of honey, $0.69 per pound.
``(20) In the case of peanuts, $355 per ton.''; and
(4) in subsection (c) (as so redesignated), by
striking ``subsection (a)(11)'' and inserting
``subsections (a)(11) and (b)(11)''.
(b) Conforming Amendment.--Section 1204(h)(1) of the
Agricultural Act of 2014 (7 U.S.C. 9034(h)(1)) is amended by
striking ``section 1202(a)(20)'' and inserting ``subsection
(a)(20) or (b)(20), as applicable, of section 1202''.
SEC. 1203. ECONOMIC ADJUSTMENT ASSISTANCE FOR TEXTILE MILLS.
(a) 2008 Authority.--Section 1207 of the Food,
Conservation, and Energy Act of 2008 (7 U.S.C. 8737) is amended
by striking subsection (c).
(b) 2014 Authority.--Section 1207(c) of the Agricultural
Act of 2014 (7 U.S.C. 9037(c)) is amended by striking the
subsection heading and inserting ``Economic Adjustment
Assistance for Textile Mills''.
SEC. 1204. SPECIAL COMPETITIVE PROVISIONS FOR EXTRA LONG STAPLE COTTON.
(a) In General.--Section 1208(a) of the Agricultural Act of
2014 (7 U.S.C. 9038(a)) is amended in the matter preceding
paragraph (1) by striking ``2019'' and inserting ``2024''.
(b) Payments Under Program; Trigger.--Section 1208(b)(2) of
the Agricultural Act of 2014 (7 U.S.C. 9038(b)(2)) is amended
by striking ``134 percent'' and inserting ``113 percent''.
SEC. 1205. AVAILABILITY OF RECOURSE LOANS.
(a) In General.--Section 1209 of the Agricultural Act of
2014 (7 U.S.C. 9039) is amended in subsections (a)(2) and (b)
by striking ``2018'' each place it appears and inserting
``2023''.
(b) Recourse Loans Available for Contaminated
Commodities.--Section 1209 of the Agricultural Act of 2014 (7
U.S.C. 9039) is amended--
(1) by redesignating subsection (c) as subsection
(d); and
(2) by inserting after subsection (b) the
following:
``(c) Recourse Loans Available for Contaminated
Commodities.--In the case of a loan commodity that is
ineligible for 100 percent of the nonrecourse marketing loan
rate in the county due to a determination that the commodity is
contaminated yet still merchantable, for each of the 2019
through 2023 crops of such loan commodity, the Secretary shall
make available recourse commodity loans, at the rate provided
under section 1202, on any production.''.
Subtitle C--Sugar
SEC. 1301. SUGAR POLICY.
(a) Sugar Program.--
(1) Sugarcane.--Section 156(a) of the Federal
Agriculture Improvement and Reform Act of 1996 (7
U.S.C. 7272(a)) is amended--
(A) in paragraph (3), by striking ``and''
at the end;
(B) in paragraph (4), by striking the
period at the end and inserting ``; and''; and
(C) by adding at the end the following:
``(5) 19.75 cents per pound for raw cane sugar for
each of the 2019 through 2023 crop years.''.
(2) Sugar beets.--Section 156(b)(2) of the Federal
Agriculture Improvement and Reform Act of 1996 (7
U.S.C. 7272(b)(2)) is amended by striking ``2018'' and
inserting ``2023''.
(3) Effective period.--Section 156(i) of the
Federal Agriculture Improvement and Reform Act of 1996
(7 U.S.C. 7272(i)) is amended by striking ``2018'' and
inserting ``2023''.
(b) Flexible Marketing Allotments for Sugar.--
(1) Sugar estimates.--Section 359b(a)(1) of the
Agricultural Adjustment Act of 1938 (7 U.S.C.
1359bb(a)(1)) is amended by striking ``2018'' and
inserting ``2023''.
(2) Effective period.--Section 359l(a) of the
Agricultural Adjustment Act of 1938 (7 U.S.C.
1359ll(a)) is amended by striking ``2018'' and
inserting ``2023''.
Subtitle D--Dairy Margin Coverage and Other Dairy Related Provisions
SEC. 1401. DAIRY MARGIN COVERAGE.
(a) Review of Data Used in Calculation of Average Feed
Cost.--Not later than 60 days after the date of the enactment
of this Act, the Secretary shall submit to the Committee on
Agriculture of the House of Representatives and the Committee
on Agriculture, Nutrition, and Forestry of the Senate a report
evaluating the extent to which the average cost of feed used by
a dairy operation to produce a hundredweight of milk calculated
by the Secretary as required by section 1402(a) of the
Agricultural Act of 2014 (7 U.S.C. 9052(a)) is representative
of actual dairy feed costs.
(b) Corn Silage Report.--Not later than 1 year after the
date of the enactment of this Act, the Secretary shall submit
to the Committee on Agriculture of the House of Representatives
and the Committee on Agriculture, Nutrition, and Forestry of
the Senate a report detailing the costs incurred by dairy
operations in the use of corn silage as feed, and the
difference between the feed cost of corn silage and the feed
cost of corn.
(c) Collection of Alfalfa Hay Data.--Not later than 120
days after the date of the enactment of this Act, the
Secretary, acting through the National Agricultural Statistics
Service, shall revise monthly price survey reports to include
prices for high-quality alfalfa hay in the top five milk
producing States, as measured by volume of milk produced during
the previous month.
(d) Registration of Multiproducer Dairy Operations.--
Section 1404(b) of the Agricultural Act of 2014 (7 U.S.C.
9054(b)) is amended--
(1) by redesignating paragraph (4) as paragraph
(5); and
(2) by striking paragraph (3) and inserting the
following:
``(3) Election period for 2019 calendar year.--For
the 2019 calendar year, the Secretary shall--
``(A) open the election period not later
than 60 days after the effective date described
in section 1401(m) of the Agriculture
Improvement Act of 2018; and
``(B) hold that election period open for
not less than 90 days.
``(4) Treatment of multiproducer dairy operation.--
``(A) In general.--If a participating dairy
operation is operated by more than 1 dairy
producer, the dairy producers of the dairy
operation who elect to participate shall be
treated as a single dairy operation for
purposes of participating in dairy margin
coverage.
``(B) Rule of construction.--Subparagraph
(A) shall not be construed to allow a producer
to adjust the proportion of their share covered
under tier I or tier II premiums from the
proportion covered for the operation.''.
(e) Relation to Livestock Gross Margin for Dairy Program.--
(1) In general.--Section 1404 of the Agricultural
Act of 2014 (7 U.S.C. 9054) is amended by striking
subsection (d).
(2) Retroactive program option.--Section 1404(b)(2)
of the Agricultural Act of 2014 (7 U.S.C. 9054(b)(2))
is amended--
(A) by striking ``The Secretary'' and
inserting the following:
``(A) In general.--The Secretary''; and
(B) by adding at the end the following:
``(B) Retroactive program option.--In the
case of a dairy operation that, by operation of
subsection (d) (as in effect on the day before
the date of enactment of the Agriculture
Improvement Act of 2018), was ineligible to
participate in the margin protection program
for any part of calendar year 2018, the
Secretary shall establish a new election period
for that calendar year that ends on a date that
is not less than 90 days after the date of
enactment of the Agriculture Improvement Act of
2018 and the Secretary determines is necessary
for dairy operations to make new elections to
participate in the margin protection program
(as in effect on the day before the date of
enactment of the Agriculture Improvement Act of
2018) for that calendar year, including dairy
operations that elected to participate in the
livestock gross margin for dairy program under
the Federal Crop Insurance Act (7 U.S.C. 1501
et seq.) before the date of enactment of the
Bipartisan Budget Act of 2018 (Public Law 115-
123).''.
(f) Production History of Participating Dairy Operators.--
(1) Adjustment.--Section 1405 of the Agricultural
Act of 2014 (7 U.S.C. 9055) is amended--
(A) in subsection (a)--
(i) in paragraph (2), by striking
``In subsequent years'' and inserting
``In the subsequent calendar years
ending before January 1, 2019''; and
(ii) in paragraph (3), by inserting
``, as applicable'' after ``paragraph
(2)''; and
(B) in subsection (b)--
(i) by redesignating paragraphs (1)
and (2) as subparagraphs (A) and (B),
respectively, and indenting
appropriately;
(ii) in the matter preceding
subparagraph (A) (as so redesignated),
by striking ``In the case'' and
inserting the following:
``(1) Dairy operations with less than 1 year of
production history.--In the case''; and
(iii) by adding at the end the
following:
``(2) Dairy operations with 1 year or more of
production history.--In the case of a participating
dairy operation that was not in operation prior to
January 1, 2014, that has not established a production
history, and that has been in operation for equal to or
longer than 1 year, the participating dairy operation
shall elect the annual milk marketings during any 1
calendar year to determine the production history of
the participating dairy operation.
``(3) Adjustment.--The Secretary shall adjust the
production history of a participating dairy operation
determined under paragraph (1) or (2) to reflect any
increase or decrease in the national average milk
production relative to calendar year 2017.''.
(2) Limitation on changes to business structure.--
Section 1405 of the Agricultural Act of 2014 (7 U.S.C.
9055) is amended by adding at the end the following new
subsection:
``(d) Limitation on Changes to Business Structure.--The
Secretary may not make dairy margin coverage payments to a
participating dairy operation if the Secretary determines that
the participating dairy operation has reorganized the structure
of such operation solely for the purpose of qualifying as a new
operation under subsection (b).''.
(g) Coverage Level Threshold and Coverage Percentage.--
Section 1406 of the Agricultural Act of 2014 (7 U.S.C. 9056) is
amended by striking subsection (a) and inserting the following:
``(a) Coverage Level Threshold and Coverage Percentage.--
``(1) Coverage level threshold.--
``(A) In general.--For purposes of
receiving dairy margin coverage payments for a
month, a participating dairy operation shall
annually elect a coverage level threshold that
is equal to $4.00, $4.50, $5.00, $5.50, $6.00,
$6.50, $7.00, $7.50, $8.00, $8.50, $9.00, or
$9.50.
``(B) Applicability.--Except as provided in
subparagraph (C), the coverage level threshold
elected under subparagraph (A) shall apply to
the covered production elected by the
participating dairy operation under paragraph
(2).
``(C) Second coverage election for tier
ii.--In the case of a participating dairy
operation that elects a coverage level
threshold of $8.50, $9.00, or $9.50 under
subparagraph (A)--
``(i) that coverage level threshold
shall apply to the first 5,000,000
pounds of milk marketings included in
the covered production elected by the
participating dairy operation; and
``(ii) the participating dairy
operation shall elect a coverage level
threshold that is equal to $4.00,
$4.50, $5.00, $5.50, $6.00, $6.50,
$7.00, $7.50, or $8.00 to apply to milk
marketings in excess of 5,000,000
pounds included in the covered
production elected by the participating
dairy operation.
``(2) Coverage percentage.--For purposes of
receiving dairy margin coverage payments for a month, a
participating dairy operation shall annually elect a
percentage of coverage, in 5-percent increments, not
exceeding 95 percent of the production history of the
participating dairy operation.''.
(h) Producer Premiums.--Section 1407 of the Agricultural
Act of 2014 (7 U.S.C. 9057) is amended--
(1) in subsection (b), by striking paragraphs (2)
and (3) and inserting the following:
``(2) Producer premiums.--Except as provided in
subsection (g), the following annual premiums apply:
------------------------------------------------------------------------
``Coverage Level Premium per Cwt.
------------------------------------------------------------------------
$4.00 None
$4.50 $0.0025
$5.00 $0.005
$5.50 $0.030
$6.00 $0.050
$6.50 $0.070
$7.00 $0.080
$7.50 $0.090
$8.00 $0.100
$8.50 $0.105
$9.00 $0.110
$9.50 $0.150''; and
------------------------------------------------------------------------
(2) in subsection (c), by striking paragraph (2)
and inserting the following:
``(2) Producer premiums.--Except as provided in
subsection (g), the following annual premiums apply:
------------------------------------------------------------------------
``Coverage Level Premium per Cwt.
------------------------------------------------------------------------
$4.00 None
$4.50 $0.0025
$5.00 $0.005
$5.50 $0.100
$6.00 $0.310
$6.50 $0.650
$7.00 $1.107
$7.50 $1.413
$8.00 $1.813''.
------------------------------------------------------------------------
(i) Repayment of Premiums.--Section 1407 of the
Agricultural Act of 2014 (7 U.S.C. 9057) is amended by adding
at the end the following:
``(f) Repayment of Premiums.--
``(1) In general.--Each dairy operation described
in paragraph (2) shall be eligible to receive a
repayment from the Secretary in an amount equal to the
difference between--
``(A) the total amount of premiums paid by
the participating dairy operation under this
section for each applicable calendar year; and
``(B) the total amount of payments made to
the participating dairy operation under section
1406 for that calendar year.
``(2) Eligibility.--A dairy operation that is
eligible to receive a repayment under paragraph (1) is
a dairy operation that--
``(A) participated in the margin protection
program, as in effect for any of calendar years
2014 through 2017; and
``(B) submits to the Secretary an
application for the repayment at such time, in
such manner, and containing such information as
the Secretary may require.
``(3) Method of repayment.--A dairy operation that
is eligible to receive a repayment under paragraph (1)
shall elect to receive the repayment--
``(A) in an amount equal to 75 percent of
the repayment calculated under that paragraph
as credit that may be used by the dairy
operation for dairy margin coverage premiums;
or
``(B) in an amount equal to 50 percent of
the repayment calculated under that paragraph
as a direct cash repayment.
``(4) Applicability.--Paragraph (1) shall only
apply to a calendar year during the period of calendar
years 2014 through 2017 for which the amount described
in subparagraph (A) of that paragraph is greater than
the amount described in subparagraph (B) of that
paragraph.''.
(j) Premium Discount.--Section 1407 of the Agricultural Act
of 2014 (7 U.S.C. 9057) (as amended by subsection (i)) is
amended by adding at the end the following:
``(g) Premium Discount.--The premium per hundredweight
specified in the tables contained in subsections (b) and (c)
for each coverage level shall be reduced by 25 percent in
accordance with the following:
``(1) In general.--For each of calendar years 2019
through 2023, for a participating dairy operation that
makes a 1-time election of coverage level in a tier and
of a percentage of coverage under section 1406(a) for
the 5-year period beginning in January 2019.
``(2) New dairy operations.--For each applicable
calendar year through 2023, for a participating dairy
operation that--
``(A) establishes a production history
pursuant to section 1405(b); and
``(B) makes a 1-time election of coverage
level in a tier and of a percentage of coverage
under section 1406(a) for the period beginning
with the first available calendar year and
ending in December 2023.
``(3) Full participation required.--Notwithstanding
the annual elections under section 1406(a)--
``(A) a 1-time enrollment under this
subsection shall remain in effect for the full
duration applicable to a participating dairy
operation in accordance with paragraph (1) or
(2)(B), as applicable; and
``(B) a participating dairy operation that
makes a 1-time enrollment under this subsection
and is noncompliant under section 1408 shall be
subject to that section.''.
(k) Conforming Amendments Related to Program Name.--
(1) Heading.--The heading of part I of subtitle D
of title I of the Agricultural Act of 2014 (Public Law
113-79; 128 Stat. 688) is amended to read as follows:
``PART I--DAIRY MARGIN COVERAGE''.
(2) Definitions.--Section 1401 of the Agricultural
Act of 2014 (7 U.S.C. 9051) is amended--
(A) by striking paragraphs (5) and (6) and
inserting the following new paragraphs:
``(5) Dairy margin coverage.--The term `dairy
margin coverage' means the dairy margin coverage
program required by section 1403.
``(6) Dairy margin coverage payment.--The term
`dairy margin coverage payment' means a payment made to
a participating dairy operation under dairy margin
coverage pursuant to section 1406.''; and
(B) in paragraphs (7) and (8), by striking
``the margin protection program'' both places
it appears and inserting ``dairy margin
coverage''.
(3) Calculation of actual dairy production
margin.--Section 1402(b)(1) of the Agricultural Act of
2014 (7 U.S.C. 9052(b)(1)) is amended in the matter
preceding subparagraph (A) by striking ``the margin
protection program'' and inserting ``dairy margin
coverage''.
(4) Program operation.--Section 1403 of the
Agricultural Act of 2014 (7 U.S.C. 9053) is amended--
(A) by striking the section heading and
inserting ``dairy margin coverage'';
(B) by striking ``Not later than September
1, 2014, the Secretary shall establish and
administer a margin protection program'' and
inserting the following:
``(a) In General.--The Secretary shall continue to
administer a dairy margin coverage program'';
(C) in subsection (a) (as so designated),
by striking ``margin protection payment'' both
places it appears and inserting ``dairy margin
coverage payment''; and
(D) by adding at the end the following:
``(b) Regulations.--Subpart A of part 1430 of title 7, Code
of Federal Regulations (as in effect on the date of enactment
of the Agriculture Improvement Act of 2018), shall remain in
effect for dairy margin coverage beginning with the 2019
calendar year, except to the extent that the regulations are
inconsistent with any provision of this Act.''.
(5) Participation.--Section 1404 of the
Agricultural Act of 2014 (7 U.S.C. 9054) is amended--
(A) in the section heading, by
striking``margin protection program'' and
inserting``dairy margin coverage'';
(B) in subsection (a), by striking ``the
margin protection program to receive margin
protection payments'' and inserting ``dairy
margin coverage to receive dairy margin
coverage payments''; and
(C) in subsections (b) and (c), by striking
``the margin protection program'' each place it
appears and inserting ``dairy margin
coverage''.
(6) Production history.--Section 1405 of the
Agricultural Act of 2014 (7 U.S.C. 9055) is amended in
subsections (a)(1) and (c) by striking ``the margin
protection program'' each place it appears and
inserting ``dairy margin coverage''.
(7) Payments.--Section 1406 of the Agricultural Act
of 2014 (7 U.S.C. 9056) is amended--
(A) in the section heading, by
striking``margin protection'' and
inserting``dairy margin coverage'';
(B) by striking ``margin protection'' each
place it appears and inserting ``dairy margin
coverage''; and
(C) in the heading of subsection (c), by
striking ``Margin Protection''.
(8) Premiums.--Section 1407 of the Agricultural Act
of 2014 (7 U.S.C. 9057) is amended--
(A) in the section heading, by
striking``margin protection program'' and
inserting``dairy margin coverage'';
(B) in subsection (a), in the matter
preceding paragraph (1), by striking ``the
margin protection program'' and inserting
``dairy margin coverage'';
(C) in subsection (d), by striking
``program'' and inserting ``dairy margin
coverage''; and
(D) in subsection (e)--
(i) by striking ``the margin
protection program'' both places it
appears and inserting ``dairy margin
coverage''; and
(ii) in paragraph (2), by striking
``integrity of the program'' and
inserting ``integrity of dairy margin
coverage''.
(9) Failure to pay administrative fees or
premiums.--Section 1408 of the Agricultural Act of 2014
(7 U.S.C. 9058) is amended--
(A) in subsection (a)(2), by striking
``margin protection'' and inserting ``dairy
margin coverage''; and
(B) in subsection (b), by striking ``the
margin protection program'' and inserting
``dairy margin coverage''.
(10) Administration and enforcement.--Section 1410
of the Agricultural Act of 2014 (7 U.S.C. 9060) is
amended--
(A) in subsections (a) and (c), by striking
``the margin protection program'' each place it
appears and inserting ``dairy margin
coverage''; and
(B) in subsection (b), by striking ``margin
protection'' and inserting ``dairy margin
coverage''.
(l) Duration.--Section 1409 of the Agricultural Act of 2014
(7 U.S.C. 9059) is amended--
(1) by striking ``The margin protection program''
and inserting ``Dairy margin coverage''; and
(2) by striking ``2018'' and inserting ``2023''.
(m) Effective Date.--The amendments made by this section
shall take effect on January 1, 2019.
SEC. 1402. REAUTHORIZATIONS.
(a) Forward Pricing.--Section 1502(e) of the Food,
Conservation, and Energy Act of 2008 (7 U.S.C. 8772(e)) is
amended--
(1) in paragraph (1), by striking ``2018'' and
inserting ``2023''; and
(2) in paragraph (2), by striking ``2021'' and
inserting ``2026''.
(b) Indemnity Program.--Section 3 of Public Law 90-484 (7
U.S.C. 4553) is amended by striking ``2018'' and inserting
``2023''.
(c) Promotion and Research.--Section 113(e)(2) of the Dairy
Production Stabilization Act of 1983 (7 U.S.C. 4504(e)(2)) is
amended by striking ``2018'' and inserting ``2023''.
SEC. 1403. CLASS I SKIM MILK PRICE.
(a) Class I Skim Milk Price.--Section 8c(5)(A) of the
Agricultural Adjustment Act (7 U.S.C. 608c(5)(A)), reenacted
with amendments by the Agricultural Marketing Agreement Act of
1937, is amended by striking ``Throughout'' in the third
sentence and all that follows through the period at the end of
the fourth sentence and inserting ``Throughout the 2-year
period beginning on the effective date of this sentence (and
subsequent to such 2-year period unless modified by amendment
to the order involved), for purposes of determining prices for
milk of the highest use classification, the Class I skim milk
price per hundredweight specified in section 1000.50(b) of
title 7, Code of Federal Regulations (or successor
regulations), shall be the sum of the adjusted Class I
differential specified in section 1000.52 of such title 7 (or
successor regulations), plus the adjustment to Class I prices
specified in sections 1005.51(b), 1006.51(b), and 1007.51(b) of
such title 7 (or successor regulations), plus the simple
average of the advanced pricing factors computed in sections
1000.50(q)(1) and 1000.50(q)(2) of such title 7 (or successor
regulations), plus $0.74.''.
(b) Effective Date and Implementation.--
(1) Effective date.--The amendment made by
subsection (a) shall take effect on the first day of
the first month beginning more than 120 days after the
date of enactment of this Act.
(2) Implementation.--Implementation of the
amendment made by subsection (a) shall not be subject
to any of the following:
(A) The notice and comment provisions of
section 553 of title 5, United States Code.
(B) The notice and hearing requirements of
section 8c(3) of the Agricultural Adjustment
Act (7 U.S.C. 608c(3)), reenacted with
amendments by the Agricultural Marketing
Agreement Act of 1937.
(C) The order amendment requirements of
section 8c(17) of that Act (7 U.S.C. 608c(17)).
(D) A referendum under section 8c(19) of
that Act (7 U.S.C. 608c(19)).
SEC. 1404. DAIRY PRODUCT DONATION.
(a) Repeal of Dairy Product Donation Program.--Section 1431
of the Agricultural Act of 2014 (7 U.S.C. 9071) is repealed.
(b) Milk Donation Program.--
(1) In general.--Part III of subtitle D of title I
of the Agricultural Act of 2014 (Public Law 113-79; 128
Stat. 695) is amended to read as follows:
``PART III--MILK DONATION PROGRAM
``SEC. 1431. MILK DONATION PROGRAM.
``(a) Definitions.--In this section:
``(1) Eligible dairy organization.--The term
`eligible dairy organization' means a dairy farmer
(either individually or as part of a cooperative), or a
dairy processor, who--
``(A) accounts to a Federal milk marketing
order marketwide pool; and
``(B) incurs qualified expenses under
subsection (e).
``(2) Eligible distributor.--The term `eligible
distributor' means a public or private nonprofit
organization that distributes donated eligible milk.
``(3) Eligible milk.--The term `eligible milk'
means Class I fluid milk products produced and
processed in the United States.
``(4) Eligible partnership.--The term `eligible
partnership' means a partnership between an eligible
dairy organization and an eligible distributor.
``(5) Participating partnership.--The term
`participating partnership' means an eligible
partnership for which the Secretary has approved a
donation and distribution plan for eligible milk under
subsection (c)(2).
``(b) Program Required; Purposes.--Not later than 180 days
after the date of enactment of the Agriculture Improvement Act
of 2018, the Secretary shall establish and administer a milk
donation program for the purposes of--
``(1) encouraging the donation of eligible milk;
``(2) providing nutrition assistance to individuals
in low-income groups; and
``(3) reducing food waste.
``(c) Donation and Distribution Plans.--
``(1) In general.--To be eligible to receive
reimbursement under subsection (d), an eligible
partnership shall submit to the Secretary a donation
and distribution plan that--
``(A) describes the process that the
eligible partnership will use for the donation,
processing, transportation, temporary storage,
and distribution of eligible milk;
``(B) includes an estimate of the quantity
of eligible milk that the eligible partnership
will donate each year, based on--
``(i) preplanned donations; and
``(ii) contingency plans to address
unanticipated donations; and
``(C) describes the rate at which the
eligible partnership will be reimbursed, which
shall be based on a percentage of the
limitation described in subsection (e)(2), not
to exceed 100 percent.
``(2) Review and approval.--Not less frequently
than annually, the Secretary shall--
``(A) review donation and distribution
plans submitted under paragraph (1); and
``(B) determine whether to approve or
disapprove each of those donation and
distribution plans.
``(d) Reimbursement.--
``(1) In general.--On receipt of appropriate
documentation under paragraph (2), the Secretary shall
reimburse an eligible dairy organization that is a
member of a participating partnership on a regular
basis for qualified expenses described in subsection
(e).
``(2) Documentation.--
``(A) In general.--An eligible dairy
organization shall submit to the Secretary such
documentation as the Secretary may require to
demonstrate the qualified expenses described in
subsection (e) of the eligible dairy
organization.
``(B) Verification.--The Secretary may
verify the accuracy of documentation submitted
under subparagraph (A) by spot checks and
audits.
``(3) Retroactive reimbursement.--In providing
reimbursements under paragraph (1), the Secretary may
provide reimbursements for qualified expenses incurred
before the date on which the donation and distribution
plan for the applicable participating partnership was
approved by the Secretary.
``(e) Qualified Expenses.--
``(1) In general.--The amount of a reimbursement
under subsection (d) shall be an amount equal to the
product of--
``(A) the quantity of eligible milk donated
by the eligible dairy organization under a
donation and distribution plan approved by the
Secretary under subsection (c); and
``(B) subject to the limitation under
paragraph (2), the rate described in that
donation and distribution plan under subsection
(c)(1)(C).
``(2) Limitation.--Expenses eligible for
reimbursement under subsection (d) shall not exceed the
value that an eligible dairy organization incurred by
accounting to the Federal milk marketing order pool at
the difference in the Class I milk value and the lowest
classified price for the applicable month (either Class
III milk or Class IV milk).
``(f) Preapproval.--
``(1) In general.--The Secretary shall--
``(A) establish a process for an eligible
partnership to apply for preapproval of
donation and distribution plans under
subsection (c); and
``(B) not less frequently than annually,
preapprove an amount for qualified expenses
described in subsection (e) that the Secretary
will allocate for reimbursement under each
donation and distribution plan preapproved
under subparagraph (A), based on an assessment
of--
``(i) the feasibility of the plan;
and
``(ii) the extent to which the plan
advances the purposes described in
subsection (b).
``(2) Preference.--In preapproving amounts for
reimbursement under paragraph (1)(B), the Secretary
shall give preference to eligible partnerships that
will provide funding and in-kind contributions in
addition to the reimbursements.
``(3) Adjustments.--
``(A) In general.--The Secretary shall
adjust or increase amounts preapproved for
reimbursement under paragraph (1)(B) based on
performance and demand.
``(B) Requests for increase.--
``(i) In general.--The Secretary
shall establish a procedure for a
participating partnership to request an
increase in the amount preapproved for
reimbursement under paragraph (1)(B)
based on changes in conditions.
``(ii) Interim approval;
incremental increase.--The Secretary
may provide an interim approval of an
increase requested under clause (i) and
an incremental increase in the amount
of reimbursement to the applicable
participating partnership to allow time
for the Secretary to review the request
without interfering with the donation
and distribution of eligible milk by
the participating partnership.
``(g) Prohibition on Resale of Products.--
``(1) In general.--An eligible distributor that
receives eligible milk donated under this section may
not sell the products back into commercial markets.
``(2) Prohibition on future participation.--An
eligible distributor that the Secretary determines has
violated paragraph (1) shall not be eligible for any
future participation in the program established under
this section.
``(h) Administration.--The Secretary shall publicize
opportunities to participate in the program established under
this section.
``(i) Reviews.--The Secretary shall conduct appropriate
reviews or audits to ensure the integrity of the program
established under this section.
``(j) Funding.--Of the funds of the Commodity Credit
Corporation, the Secretary shall use to carry out this section
$9,000,000 for fiscal year 2019, and $5,000,000 for each fiscal
year thereafter, to remain available until expended.''.
(2) Conforming amendment.--Section 1401 of the
Agricultural Act of 2014 (7 U.S.C. 9051) is amended, in
the matter preceding paragraph (1), by striking ``and
part III''.
Subtitle E--Supplemental Agricultural Disaster Assistance
SEC. 1501. SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE.
(a) Members of Indian Tribes.--Section 1501(a)(1)(B) of the
Agricultural Act of 2014 (7 U.S.C. 9081(a)(1)(B)) is amended--
(1) by redesignating clauses (iii) and (iv) as
clauses (iv) and (v), respectively; and
(2) by inserting after clause (ii) the following:
``(iii) an Indian tribe or tribal
organization (as those terms are
defined in section 4 of the Indian
Self-Determination and Education
Assistance Act (25 U.S.C. 5304));''.
(b) Covered Livestock Losses for Livestock Indemnity
Payments.--Section 1501(b) of the Agricultural Act of 2014 (7
U.S.C. 9081(b)) is amended--
(1) in paragraph (1)--
(A) by striking ``or'' at the end of
subparagraph (A);
(B) in subparagraph (B), by striking
``cold.'' and inserting ``cold, on the
condition that in the case of the death loss of
unweaned livestock due to that adverse weather,
the Secretary may disregard any management
practice, vaccination protocol, or lack of
vaccination by the eligible producer on a farm;
or''; and
(C) by adding at the end the following new
subparagraph:
``(C) disease that, as determined by the
Secretary--
``(i) is caused or transmitted by a
vector; and
``(ii) is not susceptible to
control by vaccination or acceptable
management practices.''; and
(2) in paragraph (4), by striking ``A payment'' and
inserting ``Payment reductions.--A payment''.
(c) Emergency Assistance for Livestock, Honey Bees, and
Farm-raised Fish.--
(1) In general.--Section 1501(d)(2) of the
Agricultural Act of 2014 (7 U.S.C. 9081(d)(2)) is
amended by inserting ``, including inspections of
cattle tick fever'' before the period at the end.
(2) Effective date.--The amendment made by
paragraph (1) shall apply to inspections of cattle tick
fever conducted on or after the date of enactment of
this Act.
(d) Tree Assistance Program.--Section 1501(e) of the
Agricultural Act of 2014 (7 U.S.C. 9081(e)) is amended--
(1) in paragraph (3), in the matter preceding
subparagraph (A), by striking ``paragraph (4)'' and
inserting ``paragraphs (4) and (5)''; and
(2) by adding at the end the following:
``(5) Payment rate for beginning and veteran
producers.--Subject to paragraph (4), in the case of a
beginning farmer or rancher or a veteran farmer or
rancher (as those terms are defined in subsection (a)
of section 2501 of the Food, Agriculture, Conservation,
and Trade Act of 1990 (7 U.S.C. 2279)) that is eligible
to receive assistance under this subsection, the
Secretary shall provide reimbursement of 75 percent of
the costs under subparagraphs (A)(i) and (B) of
paragraph (3).''.
(e) Payment Limitation.--Section 1501(f)(2) of the
Agricultural Act of 2014 (7 U.S.C. 9081(f)(2)) is amended by
striking ``this section (excluding payments received under
subsections (b) and (e))'' and inserting ``subsection (c)''.
Subtitle F--Noninsured Crop Assistance
SEC. 1601. NONINSURED CROP ASSISTANCE PROGRAM.
Section 196 of the Federal Agriculture Improvement and
Reform Act of 1996 (7 U.S.C. 7333) is amended--
(1) in subsection (a)--
(A) in paragraph (1), by adding at the end
the following:
``(C) Data collection and sharing.--The
Secretary shall coordinate with the
Administrator of the Risk Management Agency on
the type and format of data received under the
noninsured crop disaster assistance program
that--
``(i) best facilitates the use of
that data in developing policies or
plans of insurance offered under the
Federal Crop Insurance Act (7 U.S.C.
1501 et seq.); and
``(ii) ensures the availability of
that data on a regular basis.
``(D) Coordination.--The Secretary shall
coordinate between the agencies of the
Department that provide programs or services to
farmers and ranchers that are potentially
eligible for the noninsured crop disaster
assistance program under this section--
``(i) to make available coverage
under--
``(I) the fee waiver under
subsection (k)(2); or
``(II) the premium discount
under subsection (l)(3); and
``(ii) to share eligibility
information to reduce paperwork and
avoid duplication.'';
(B) in paragraph (2), by striking
subparagraph (A) and inserting the following:
``(A) In general.--Subject to subparagraph
(B), in this section, the term `eligible crop'
means each commercial crop or other
agricultural commodity that is produced for
food or fiber (except livestock) for which
catastrophic risk protection under subsection
(b) of section 508 of the Federal Crop
Insurance Act (7 U.S.C. 1508) and additional
coverage under subsections (c) and (h) of such
section are not available or, if such coverage
is available, it is only available under a
policy that provides coverage for specific
intervals based on weather indexes or under a
whole farm plan of insurance.''; and
(C) in paragraph (4)(B)--
(i) by striking clause (i) and
inserting the following:
``(i) In general.--
``(I) Agricultural act of
2014.--During the first 4 crop
years of planting, as
determined by the Secretary,
native sod acreage that has
been tilled for the production
of an annual crop during the
period beginning on February 8,
2014, and ending on the date of
enactment of the Agriculture
Improvement Act of 2018 shall
be subject to a reduction in
benefits under this section as
described in this subparagraph.
``(II) Subsequent years.--
Native sod acreage that has
been tilled for the production
of an eligible crop after the
date of enactment of the
Agriculture Improvement Act of
2018 shall be subject to a
reduction in benefits under
this section as described in
this subparagraph for not more
than any 4 crop years--
``(aa) during the
first 10 crop years
after the initial
tillage; and
``(bb) during which
a crop on that acreage
is enrolled under
subsection (l)(2) or
(k).''; and
(ii) in clause (iii)(I), by
striking ``transitional yield of the
producer'' and inserting ``county
expected yield'';
(2) in subsection (b)--
(A) in paragraph (1), by striking ``not
later than 30 days'' and inserting ``by an
appropriate deadline''; and
(B) by adding at the end the following:
``(4) Streamlined submission process.--The
Secretary shall establish a streamlined process for the
submission of records and acreage reports under
paragraphs (2) and (3) for diverse production systems
such as those typical of urban production systems,
other small-scale production systems, and direct-to-
consumer production systems.'';
(3) in subsection (d)--
(A) by redesignating paragraphs (1), (2),
and (3) as paragraphs (2), (3), and (4),
respectively;
(B) by inserting before paragraph (2) (as
so redesignated) the following:
``(1) the producer's share of the total acres
devoted to the eligible crop; by''; and
(C) in paragraph (2) (as so redesignated),
by striking ``established yield for the crop''
and inserting ``approved yield for the crop, as
determined by the Secretary'';
(4) in subsection (e)--
(A) in paragraph (1), by striking ``farm''
and inserting ``approved'';
(B) in paragraph (2)--
(i) in the second sentence--
(I) by inserting
``approved'' before ``yield'';
and
(II) by striking
``Subject'' and inserting the
following:
``(B) Calculation.--Subject''; and
(ii) in the matter preceding
subparagraph (B) (as so designated)--
(I) by striking ``yield
coverage'' and inserting ``an
approved yield''; and
(II) by striking ``The
Secretary'' and inserting the
following:
``(A) In general.--The Secretary''; and
(C) in paragraph (3), by striking
``transitional yield of the producer'' and
inserting ``county expected yield'';
(5) in subsection (i)(2), by striking ``exceed
$125,000'' and inserting the following: ``exceed--
``(A) in the case of catastrophic coverage
under subsection (c), $125,000; and
``(B) in the case of additional coverage
under subsection (l), $300,000'';
(6) in subsection (k)(1)--
(A) in subparagraph (A), by striking
``$250'' and inserting ``$325''; and
(B) in subparagraph (B)--
(i) by striking ``$750'' and
inserting ``$825''; and
(ii) by striking ``$1,875'' and
inserting ``$1,950''; and
(7) in subsection (l)--
(A) in paragraph (1)--
(i) by redesignating subparagraphs
(A), (B), and (C) as subparagraphs (B),
(C), and (D), respectively;
(ii) by inserting before
subparagraph (B) (as so redesignated)
the following:
``(A) the producer's share of the total
acres devoted to the crop;''; and
(iii) in subparagraph (C) (as so
redesignated), by inserting ``,
contract price, or other premium price
(such as a local, organic, or direct
market price, as elected by the
producer)'' after ``price'';
(B) in paragraph (2)(B)(i)--
(i) in subclause (IV), by striking
``and'' at the end;
(ii) in subclause (V), by striking
``or'' at the end and inserting
``and''; and
(iii) by adding at the end the
following:
``(VI) the producer's share
of the crop; or'';
(C) by striking paragraphs (3) and (5); and
(D) by redesignating paragraph (4) as
paragraph (3).
Subtitle G--Administration
SEC. 1701. REGULATIONS.
Section 1601(c)(2) of the Agricultural Act of 2014 (7
U.S.C. 9091(c)(2)) is amended--
(1) in the matter preceding subparagraph (A), by
striking ``title and sections 11003 and 11017'' and
inserting ``title, sections 11003 and 11017, title I of
the Agriculture Improvement Act of 2018 and the
amendments made by that title, and section 10109 of
that Act'';
(2) in subparagraph (A), by adding ``and'' at the
end;
(3) in subparagraph (B), by striking ``; and'' and
inserting a period; and
(4) by striking subparagraph (C).
SEC. 1702. SUSPENSION OF PERMANENT PRICE SUPPORT AUTHORITY.
Section 1602 of the Agricultural Act of 2014 (7 U.S.C.
9092) is amended by striking ``2018'' each place it appears and
inserting ``2023''.
SEC. 1703. PAYMENT LIMITATIONS.
(a) In General.--Section 1001 of the Food Security Act of
1985 (7 U.S.C. 1308) is amended--
(1) in subsection (a)--
(A) in paragraph (1), by striking ``section
1001 of the Food, Conservation, and Energy Act
of 2008'' and inserting ``section 1111 of the
Agricultural Act of 2014 (7 U.S.C. 9011)''; and
(B) in paragraph (2), by inserting ``first
cousin, niece, nephew,'' after ``sibling,'';
(2) in subsections (b) and (c), by striking ``and
as marketing loan gains or loan deficiency payments
under subtitle B of title I of the Agricultural Act of
2014'' each place it appears and inserting ``of the
Agricultural Act of 2014 (7 U.S.C. 9016, 9017)''; and
(3) in subsection (f), by adding at the end the
following:
``(9) Administration of reduction.--The Secretary
shall apply any order described in section 1614(d)(1)
of the Agricultural Act of 2014 (7 U.S.C. 9097(d)(1))
to payments under sections 1116 and 1117 of that Act (7
U.S.C. 9016, 9017) prior to applying payment
limitations under this section.''.
(b) Application.--The amendments made by this section shall
apply beginning with the 2019 crop year.
SEC. 1704. ADJUSTED GROSS INCOME LIMITATIONS.
(a) Waiver.--Section 1001D(b) of the Food Security Act of
1985 (7 U.S.C. 1308-3a(b)) is amended--
(1) in paragraph (2)(C), by inserting ``title II of
the Agriculture Improvement Act of 2018,'' after
``under''; and
(2) by adding at the end the following:
``(3) Waiver.--The Secretary may waive the
limitation established by paragraph (1) with respect to
a payment pursuant to a covered benefit described in
paragraph (2)(C), on a case-by-case basis, if the
Secretary determines that environmentally sensitive
land of special significance would be protected as a
result of such waiver.''.
(b) Conforming Amendment.--Section 1001D(b)(1) of the Food
Security Act of 1985 (7 U.S.C. 1308-3a(b)(1)) is amended by
inserting ``subject to paragraph (3),'' after ``of law,''.
(c) Transition.--Section 1001D of the Food Security Act of
1985 (7 U.S.C. 1308-3a), as in effect on the day before the
date of enactment of this Act, shall apply with respect to the
2018 crop, fiscal, or program year, as appropriate, for each
program described in subsection (b)(2) of that section (as so
in effect on that day).
SEC. 1705. FARM SERVICE AGENCY ACCOUNTABILITY.
(a) In General.--Not later than 1 year after the date of
enactment of this Act, the Secretary shall establish policies,
procedures, and plans to improve program accountability and
integrity through targeted and coordinated activities,
including utilizing data mining to identify and reduce errors,
waste, fraud, and abuse in programs administered by the Farm
Service Agency.
(b) Report.--Not later than 3 years after the date of
enactment of this Act, the Secretary shall submit to the
Committee on Agriculture of the House of Representatives and
the Committee on Agriculture, Nutrition, and Forestry of the
Senate a report describing the progress and results of the
activities conducted under subsection (a).
SEC. 1706. IMPLEMENTATION.
(a) Maintenance of Base Acres and Payment Yields.--Section
1614(a) of the Agricultural Act of 2014 (7 U.S.C. 9097(a)) is
amended by inserting ``, and as adjusted pursuant to sections
1112 and 1113'' before the period at the end.
(b) Streamlining.--Section 1614 of the Agricultural Act of
2014 (7 U.S.C. 9097) is amended by striking subsection (b) and
inserting the following:
``(b) Streamlining.--In implementing this title and the
amendments made by this title, the Secretary shall--
``(1) continue to reduce administrative burdens and
costs to producers by streamlining and reducing
paperwork, forms, and other administrative
requirements, to ensure that--
``(A) a producer (or an agent of a
producer) may report information,
electronically (including geospatial data) or
conventionally, to the Department of
Agriculture, subject to the Secretary--
``(i) establishing reasonable
levels of tolerance that reflect the
differences in accuracy between
measures of common land units and
geospatial data; and
``(ii) ensuring that discrepancies
that occur within the levels of
tolerance established under clause (i)
shall not be used to penalize a
producer (or an agent of a producer)
under any program administered by the
Department of Agriculture;
``(B) on the request of a producer (or an
agent of a producer), the Department of
Agriculture electronically shares with the
producer (or agent) in real time and without
cost to the producer (or agent) the common land
unit data, related farm level data,
conservation practices, and other information
of the producer through a single Department of
Agriculture-wide login;
``(C) not later than September 30, 2020,
the Administrator of the Risk Management Agency
and the Administrator of the Farm Service
Agency shall implement a consistent method for
determining crop acreage, acreage yields, farm
acreage, property descriptions, and other
common informational requirements, including
measures of common land units;
``(D) except in the case of
misrepresentation, fraud, or scheme and device,
no crop insurance agent, approved insurance
provider, or employee or contractor of a crop
insurance agency or approved insurance provider
bears responsibility or liability under the
Acreage Crop Reporting and Streamlining
Initiative (or any successor or similar
initiative) for the eligibility of a producer
for a program administered by the Department of
Agriculture, not including a policy or plan of
insurance offered under the Federal Crop
Insurance Act (7 U.S.C. 1501 et seq.); and
``(E) on request of a crop insurance agent
or approved insurance provider required to
deliver policies and plans of insurance under
the Federal Crop Insurance Act (7 U.S.C. 1501
et seq.) the crop insurance agent or approved
insurance provider receives, in a timely
manner, any information held by the Farm
Service Agency that is necessary to ensure
effective crop insurance coverage for farmer
customers;
``(2) continue to improve coordination, information
sharing, and administrative work among the Farm Service
Agency, Risk Management Agency, Natural Resources
Conservation Service, and other agencies, as determined
by the Secretary;
``(3) continue to take advantage of new
technologies to enhance the efficiency and
effectiveness of the delivery of Department of
Agriculture programs to producers, including by
developing and making publicly available data standards
and security procedures to allow third-party providers
to develop applications that use or feed data
(including geospatial and precision agriculture data)
into the datasets and analyses of the Department of
Agriculture; and
``(4) reduce administrative burdens on producers
participating in price loss coverage or agriculture
risk coverage by offering--
``(A) those producers an option to remotely
and electronically sign annual contracts for
that coverage; and
``(B) to the maximum extent practicable, an
option to sign a multiyear contract for that
coverage.''.
(c) Implementation.--Section 1614(c) of the Agricultural
Act of 2014 (7 U.S.C. 9097(c)) is amended by adding at the end
the following:
``(4) Agriculture improvement act of 2018.--The
Secretary shall make available to the Farm Service
Agency to carry out title I of the Agriculture
Improvement Act of 2018 and the amendments made by that
title $15,500,000.''.
(d) Loan Implementation.--Section 1614(d)(1) of the
Agricultural Act of 2014 (7 U.S.C. 9097(d)(1)) is amended by
striking ``under subtitles'' and all that follows through
``except'' and inserting ``under subtitle B or C, under the
amendments made by subtitle B or C, or under the amendments
made by subtitle B or C of the Agriculture Improvement Act of
2018, except''.
(e) Deobligation of Unliquidated Obligations.--Section 1614
of the Agricultural Act of 2014 (7 U.S.C. 9097) is amended by
adding at the end the following:
``(e) Deobligation of Unliquidated Obligations.--
``(1) In general.--Subject to paragraph (3), any
payment obligated or otherwise made available by the
Secretary under this title on or after the date of
enactment of the Agriculture Improvement Act of 2018
that is not disbursed to the recipient by the date that
is 5 years after the date on which the payment is
obligated or otherwise made available shall--
``(A) be deobligated; and
``(B) revert to the Treasury.
``(2) Outstanding payments.--
``(A) In general.--Subject to paragraph
(3), any payment obligated or otherwise made
available by the Farm Service Agency (or any
predecessor agency of the Department of
Agriculture) under the laws described in
subparagraph (B) before the date of enactment
of the Agriculture Improvement Act of 2018,
that is not disbursed by the date that is 5
years after the date on which the payment is
obligated or otherwise made available shall--
``(i) be deobligated; and
``(ii) revert to the Treasury.
``(B) Laws described.--The laws referred to
in subparagraph (A) are any of the following:
``(i) This title.
``(ii) Title I of the Food,
Conservation, and Energy Act of 2008 (7
U.S.C. 8702 et seq.).
``(iii) Title I of the Farm
Security and Rural Investment Act of
2002 (7 U.S.C. 7901 et seq.).
``(iv) The Agricultural Market
Transition Act (7 U.S.C. 7201 et seq.).
``(v) Titles I through XI of the
Food, Agriculture, Conservation, and
Trade Act of 1990 (Public Law 101-624;
104 Stat. 3374) and the amendments made
by those titles.
``(vi) Titles I through X of the
Food Security Act of 1985 (Public Law
99-198; 99 Stat. 1362) and the
amendments made by those titles.
``(vii) Titles I through XI of the
Agriculture and Food Act of 1981
(Public Law 97-98; 95 Stat. 1218) and
the amendments made by those titles.
``(viii) Titles I through X of the
Food and Agriculture Act of 1977
(Public Law 95-113; 91 Stat. 917) and
the amendments made by those titles.
``(3) Waiver.--The Secretary may delay the date of
the deobligation and reversion under paragraph (1) or
(2) of any payment--
``(A) that is the subject of--
``(i) ongoing administrative review
or appeal;
``(ii) litigation; or
``(iii) the settlement of an
estate; or
``(B) for which the Secretary otherwise
determines that the circumstances are such that
the delay is equitable.''.
(f) Report.--Section 1614 of the Agricultural Act of 2014
(7 U.S.C. 9097) (as amended by subsection (e)) is amended by
adding at the end the following:
``(f) Report.--Not later than January 1, 2020, and each
January 1 thereafter through January 1, 2023, the Secretary
shall submit to the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture, Nutrition,
and Forestry of the Senate a report that describes the tilled
native sod acreage that was subject to a reduction in benefits
under section 196(a)(4)(B) of the Federal Agriculture
Improvement and Reform Act of 1996 (7 U.S.C. 7333(a)(4)(B) and
section 508(o)(2) of the Federal Crop Insurance Act (7 U.S.C.
1508(o)(2))--
``(1) as of the date of submission of the report;
and
``(2) by State and county, relative to the total
acres of cropland in the State or county.''.
SEC. 1707. EXEMPTION FROM CERTAIN REPORTING REQUIREMENTS FOR CERTAIN
PRODUCERS.
(a) Definition of Exempted Producer.--In this section, the
term ``exempted producer'' means an individual or entity that
is eligible to participate in--
(1) a conservation program under title II or a law
amended by title II;
(2) an indemnity or disease control program under
the Animal Health Protection Act (7 U.S.C. 8301 et
seq.) or the Plant Protection Act (7 U.S.C. 7701 et
seq.); or
(3) a commodity program under title I of the
Agricultural Act of 2014 (7 U.S.C. 9011 et seq.),
excluding the assistance provided to users of cotton
under sections 1207(c) and 1208 of that Act (7 U.S.C.
9037(c), 9038).
(b) Exemption.--Notwithstanding the Federal Funding
Accountability and Transparency Act of 2006 (Public Law 109-
282; 31 U.S.C. 6101 note), the requirements of parts 25 and 170
of title 2, Code of Federal Regulations (or successor
regulations), shall not apply with respect to assistance
received by an exempted producer from the Secretary, acting
through the Chief of the Natural Resources Conservation
Service, the Administrator of the Animal and Plant Health
Inspection Service, or the Administrator of the Farm Service
Agency.
TITLE II--CONSERVATION
Subtitle A--Wetland Conservation
SEC. 2101. WETLAND CONVERSION.
Section 1221(d) of the Food Security Act of 1985 (16 U.S.C.
3821(d)) is amended--
(1) by striking ``Except as'' and inserting the
following:
``(1) In general.--Except as''; and
(2) by adding at the end the following:
``(2) Duty of the secretary.--No person shall
become ineligible under paragraph (1) if the Secretary
determines that an exemption under section 1222(b)
applies to that person.''.
SEC. 2102. WETLAND CONSERVATION.
Section 1222(c) of the Food Security Act of 1985 (16 U.S.C.
3822(c)) is amended--
(1) by striking ``No program'' and inserting the
following:
``(1) In general.--No program'';
(2) in paragraph (1) (as so designated), by
inserting ``, which, except as provided in paragraph
(2), shall be conducted in the presence of the affected
person'' before the period at the end; and
(3) by adding at the end the following:
``(2) Exception.--The Secretary may conduct an on-
site visit under paragraph (1) without the affected
person present if the Secretary has made a reasonable
effort to include the presence of the affected person
at the on-site visit.''.
SEC. 2103. MITIGATION BANKING.
Section 1222(k)(1)(B) of the Food Security Act of 1985 (16
U.S.C. 3822(k)(1)(B)) is amended to read as follows:
``(B) Authorization of appropriations.--
There is authorized to be appropriated to the
Secretary to carry out this paragraph
$5,000,000 for each of fiscal years 2019
through 2023.''.
Subtitle B--Conservation Reserve Program
SEC. 2201. CONSERVATION RESERVE.
(a) In General.--Section 1231(a) of the Food Security Act
of 1985 (16 U.S.C. 3831(a)) is amended by striking ``2018'' and
inserting ``2023''.
(b) Eligible Land.--Section 1231(b) of the Food Security
Act of 1985 (16 U.S.C. 3831(b)) is amended--
(1) in paragraph (1)(B), by striking ``Agricultural
Act of 2014 (except for land enrolled in the
conservation reserve program as of that date)'' and
inserting ``Agriculture Improvement Act of 2018, on the
condition that the Secretary shall consider to be
planted cropland enrolled in the conservation reserve
program'';
(2) by redesignating paragraphs (4) and (5) as
paragraphs (5) and (6), respectively;
(3) by inserting after paragraph (3) the following:
``(4) cropland, marginal pasture land, and
grasslands that will have a positive impact on water
quality and will be devoted to--
``(A) a grass sod waterway;
``(B) a contour grass sod strip;
``(C) a prairie strip;
``(D) a filterstrip;
``(E) a riparian buffer;
``(F) a wetland or a wetland buffer;
``(G) a saturated buffer;
``(H) a bioreactor; or
``(I) another similar water quality
practice, as determined by the Secretary;'';
(4) in paragraph (5) (as so redesignated)--
(A) in subparagraph (C), by striking ``or
filterstrips or riparian buffers devoted to
trees, shrubs, or grasses'' and inserting
``salt tolerant vegetation, field borders, or
practices to benefit State or federally
identified wellhead protection areas''; and
(B) in subparagraph (E), by striking ``or''
after the semicolon;
(5) in paragraph (6) (as so redesignated), in
subparagraph (B)(ii), by striking the period at the end
and inserting ``; or''; and
(6) by adding at the end the following:
``(7) as determined by the Secretary, land--
``(A) that was enrolled in the conservation
reserve program under a 15-year contract that
expired on September 30, 2017, or September 30,
2018;
``(B) for which there was no opportunity
for additional enrollment in that program; and
``(C) on which the conservation practice
under the expired contract under subparagraph
(A) is maintained.''.
(c) Enrollment.--Section 1231(d) of the Food Security Act
of 1985 (16 U.S.C. 3831(d)) is amended--
(1) in paragraph (1), by striking subparagraphs (A)
through (E) and inserting the following:
``(A) fiscal year 2019, not more than
24,000,000 acres;
``(B) fiscal year 2020, not more than
24,500,000 acres;
``(C) fiscal year 2021, not more than
25,000,000 acres;
``(D) fiscal year 2022, not more than
25,500,000 acres; and
``(E) fiscal year 2023, not more than
27,000,000 acres.'';
(2) in paragraph (2)--
(A) by striking subparagraphs (A) and (B)
and inserting the following:
``(A) Limitation.--For purposes of applying
the limitations in paragraph (1)--
``(i) the Secretary shall enroll
and maintain in the conservation
reserve not fewer than 2,000,000 acres
of the land described in subsection
(b)(3) by September 30, 2023; and
``(ii) in carrying out clause (i),
to the maximum extent practicable, the
Secretary shall maintain in the
conservation reserve at any one time
during--
``(I) fiscal year 2019,
1,000,000 acres;
``(II) fiscal year 2020,
1,500,000 acres; and
``(III) fiscal years 2021
through 2023, 2,000,000 acres.
``(B) Priority.--In enrolling acres under
subparagraph (A), the Secretary may give
priority to land, as determined by the
Secretary--
``(i) with expiring conservation
reserve contracts;
``(ii) at risk of conversion or
development; or
``(iii) of ecological significance,
including land that--
``(I) may assist in the
restoration of threatened or
endangered species under the
Endangered Species Act of 1973
(16 U.S.C. 1531 et seq.);
``(II) may assist in
preventing a species from being
listed as a threatened or
endangered species under the
Endangered Species Act of 1973
(16 U.S.C. 1531 et seq.); or
``(III) improves or creates
wildlife habitat corridors.'';
(B) in subparagraph (C)--
(i) by striking ``In enrolling''
and inserting the following:
``(i) In general.--In enrolling'';
(ii) in clause (i) (as so
designated), by striking ``a
continuous'' and inserting ``an
annual''; and
(iii) by adding at the end the
following:
``(ii) Timing of grassland ranking
period.--For purposes of grasslands
described in subsection (b)(3), the
Secretary shall announce at least 1
ranking period subsequent to the
announcement of general enrollment
offers.''; and
(C) by adding at the end the following:
``(D) Reservation of unenrolled acres.--If
the Secretary is unable in a fiscal year to
enroll enough acres of land described in
subsection (b)(3) to meet the number of acres
described in clause (ii) or (iii) of
subparagraph (A) for the fiscal year--
``(i) the Secretary shall reserve
the remaining number of acres for that
fiscal year for the enrollment of land
described in subsection (b)(3); and
``(ii) that number of acres shall
not be available for the enrollment of
any other type of eligible land.''; and
(3) by adding at the end the following:
``(3) Water quality practices to foster clean
lakes, estuaries, and rivers (clear initiative).--
``(A) In general.--The Secretary shall give
priority within continuous enrollment under
paragraph (6) to the enrollment of land
described in subsection (b)(4).
``(B) Sediment and nutrient loadings.--In
carrying out subparagraph (A), the Secretary
shall give priority to the implementation of
practices on land that, if enrolled, will help
reduce sediment loadings, nutrient loadings,
and harmful algal blooms, as determined by the
Secretary.
``(C) Acreage.--
``(i) In general.--Of the acres
maintained in the conservation reserve
in accordance with paragraph (1), to
the maximum extent practicable, not
less than 40 percent of acres enrolled
in the conservation reserve using
continuous enrollment under paragraph
(6) shall be of land described in
subsection (b)(4).
``(ii) Limitation.--The acres
described in clause (i) shall not
include grasslands described in
subsection (b)(3).
``(D) Report.--The Secretary shall--
``(i) in the monthly publication of
the Secretary describing conservation
reserve program statistics, include a
description of enrollments through the
priority under this paragraph; and
``(ii) publish on the website of
the Farm Service Agency an annual
report describing a summary of, with
respect to the enrollment priority
under this paragraph--
``(I) new enrollments;
``(II) expirations;
``(III) geographic
distribution; and
``(IV) estimated water
quality benefits.
``(4) State enrollment rates.--At the beginning of
each of fiscal years 2019 through 2023, to the maximum
extent practicable, the Secretary shall allocate to the
States proportionately 60 percent of the available
number of acres each year for enrollment in the
conservation reserve, in accordance with historical
State enrollment rates, taking into consideration--
``(A) the average number of acres of all
land enrolled in the conservation reserve in
each State during each of fiscal years 2007
through 2016;
``(B) the average number of acres of all
land enrolled in the conservation reserve
nationally during each of fiscal years 2007
through 2016; and
``(C) the acres available for enrollment
during each of fiscal years 2019 through 2023,
excluding acres described in paragraph (2).
``(5) Frequency.--In carrying out this subchapter,
for contracts that are not available on a continuous
enrollment basis, the Secretary shall hold a signup and
enrollment not less often than once each year.
``(6) Continuous enrollment procedure.--
``(A) In general.--To the maximum extent
practicable, the Secretary shall allow
producers to submit applications on a
continuous basis for enrollment in--
``(i) the conservation reserve of--
``(I) marginal pasture land
described in subsection (b)(2);
``(II) land described in
subsection (b)(4); and
``(III) cropland described
in subsection (b)(5); and
``(ii) the conservation reserve
enhancement program under section
1231A.
``(B) Limitation.--For purposes of applying
the limitations in paragraph (1)--
``(i) the Secretary shall, to the
maximum extent practicable, enroll and
maintain not fewer than 8,600,000 acres
of land under subparagraph (A) by
September 30, 2023; and
``(ii) in carrying out clause (i),
to the maximum extent practicable, the
Secretary shall maintain in the
conservation reserve at any one time
during--
``(I) fiscal year 2019,
8,000,000 acres;
``(II) fiscal year 2020,
8,250,000 acres;
``(III) fiscal year 2021,
8,500,000 acres; and
``(IV) fiscal years 2022
and 2023, 8,600,000 acres.''.
(d) Eligibility for Consideration.--Section 1231(h) of the
Food Security Act of 1985 (16 U.S.C. 3831(h)) is amended--
(1) by striking ``On the expiration'' and inserting
the following:
``(1) In general.--On the expiration''; and
(2) by adding at the end the following:
``(2) Reenrollment limitation for certain land.--
``(A) In general.--Except as provided in
subparagraph (B), land subject to a contract
entered into under this subchapter shall be
eligible for only one reenrollment in the
conservation reserve under paragraph (1) if the
land is devoted to hardwood trees.
``(B) Exclusions.--Subparagraph (A) shall
not apply to--
``(i) riparian forested buffers;
``(ii) forested wetlands enrolled
under subsection (d)(3) or the
conservation reserve enhancement
program under section 1231A; and
``(iii) shelterbelts.''.
SEC. 2202. CONSERVATION RESERVE ENHANCEMENT PROGRAM.
(a) In General.--Subchapter B of chapter 1 of subtitle D of
title XII of the Food Security Act of 1985 is amended by
inserting after section 1231 (16 U.S.C. 3831) the following:
``SEC. 1231A. CONSERVATION RESERVE ENHANCEMENT PROGRAM.
``(a) Definitions.--In this section:
``(1) CREP.--The term `CREP' means a conservation
reserve enhancement program carried out under
subsection (b)(1).
``(2) Eligible land.--The term `eligible land'
means land that is eligible to be included in the
program established under this subchapter.
``(3) Eligible partner.--The term `eligible
partner' means--
``(A) a State;
``(B) a political subdivision of a State;
``(C) an Indian tribe (as defined in
section 4 of the Indian Self-Determination and
Education Assistance Act (25 U.S.C. 5304)); or
``(D) a nongovernmental organization.
``(4) Management.--The term `management' means an
activity conducted by an owner or operator under a
contract entered into under this subchapter after the
establishment of a conservation practice on eligible
land, to regularly maintain or enhance the vegetative
cover established by the conservation practice--
``(A) throughout the term of the contract;
and
``(B) consistent with the conservation plan
that covers the eligible land.
``(b) Agreements.--
``(1) In general.--The Secretary may enter into an
agreement with an eligible partner to carry out a
conservation reserve enhancement program--
``(A) to assist in enrolling eligible land
in the program established under this
subchapter; and
``(B) that the Secretary determines will
advance the purposes of this subchapter.
``(2) Contents.--An agreement entered into under
paragraph (1) shall--
``(A) describe--
``(i) 1 or more specific State or
nationally significant conservation
concerns to be addressed by the
agreement;
``(ii) quantifiable environmental
goals for addressing the concerns under
clause (i);
``(iii) a suitable acreage goal for
enrollment of eligible land under the
agreement, as determined by the
Secretary;
``(iv) the location of eligible
land to be enrolled in the project area
identified under the agreement;
``(v) the payments to be offered by
the Secretary and eligible partner to
an owner or operator; and
``(vi) an appropriate list of
conservation reserve program
conservation practices that are
appropriate to meeting the concerns
described under clause (i), as
determined by the Secretary in
consultation with eligible partners;
``(B) subject to subparagraph (C), require
the eligible partner to provide matching
funds--
``(i) in an amount determined
during a negotiation between the
Secretary and 1 or more eligible
partners, if the majority of the
matching funds to carry out the
agreement are provided by 1 or more
eligible partners that are not
nongovernmental organizations; or
``(ii) in an amount not less than
30 percent of the cost required to
carry out the conservation measures and
practices described in the agreement,
if a majority of the matching funds to
carry out the agreement are provided by
1 or more nongovernmental
organizations; and
``(C) include procedures to allow for a
temporary waiver of the matching requirements
under subparagraph (B), or continued enrollment
with a temporary suspension of incentives or
eligible partner contributions for new
agreements, during a period when an eligible
partner loses the authority or ability to
provide matching contributions, if the
Secretary determines that the temporary waiver
or continued enrollment with a temporary
suspension will advance the purposes of this
subchapter.
``(3) Effect on existing agreements.--
``(A) In general.--Subject to subparagraph
(B), an agreement under this subsection shall
not affect, modify, or interfere with existing
agreements under this subchapter.
``(B) Modification of existing
agreements.--To implement this section, the
signatories to an agreement under this
subsection may mutually agree to a modification
of an agreement entered into before the date of
enactment of this section under the
Conservation Reserve Enhancement Program
established by the Secretary under this
subchapter.
``(c) Payments.--
``(1) Matching requirement.--Funds provided by an
eligible partner may be in cash, in-kind contributions,
or technical assistance, as determined by the
Secretary.
``(2) Marginal pastureland cost-share payments.--
The Secretary shall ensure that cost-share payments to
an owner or operator to install stream fencing,
crossings, and alternative water development on
marginal pastureland under a CREP reflect the fair
market value of the cost of installation.
``(3) Cost-share and practice incentive payments.--
``(A) In general.--On request of an owner
or operator, the Secretary shall provide cost-
share payments when a major component of a
conservation practice is completed under a
CREP, as determined by the Secretary.
``(B) Exemption.--For purposes of
implementing conservation practices on land
enrolled under a CREP, the Secretary may waive
the contribution limitation described in
section 1234(b)(2)(A).
``(4) Riparian buffer management payments.--
``(A) In general.--In the case of an
agreement under subsection (b)(1) that includes
riparian buffers as an eligible practice, the
Secretary shall make cost-share payments to
encourage the regular management of the
riparian buffer throughout the term of the
agreement, consistent with the conservation
plan that covers the eligible land.
``(B) Limitation.--The amount of payments
received by an owner or operator under
subparagraph (A) shall not be greater than 100
percent of the normal and customary projected
management cost, as determined by the
Secretary, in consultation with the applicable
State technical committee established under
section 1261(a).
``(d) Forested Riparian Buffer Practice.--
``(1) Food-producing woody plants.--In the case of
an agreement under subsection (b)(1) that includes
forested riparian buffers as an eligible practice, the
Secretary shall allow an owner or operator--
``(A) to plant food-producing woody plants
in the forested riparian buffers, on the
conditions that--
``(i) the plants shall contribute
to the conservation of soil, water
quality, and wildlife habitat; and
``(ii) the planting shall be
consistent with--
``(I) recommendations of
the applicable State technical
committee established under
section 1261(a); and
``(II) technical guide
standards of the applicable
field office of the Natural
Resources Conservation Service;
and
``(B) to harvest from plants described in
subparagraph (A), on the conditions that--
``(i) the harvesting shall not
damage the conserving cover or
otherwise have a negative impact on the
conservation concerns targeted by the
CREP;
``(ii) only native plant species
appropriate to the region shall be used
within 35 feet of the watercourse; and
``(iii) the producer shall be
subject to a reduction in the rental
rate commensurate to the value of the
crop harvested.
``(2) Technical assistance.--For the purpose of
enrolling forested riparian buffers in a CREP, the
Administrator of the Farm Service Agency shall
coordinate with the applicable State forestry agency.
``(e) Drought and Water Conservation Agreements.--In the
case of an agreement under subsection (b)(1) to address
regional drought concerns, in accordance with the conservation
purposes of the CREP, the Secretary, in consultation with the
applicable State technical committee established under section
1261(a), may--
``(1) notwithstanding subsection (a)(2), enroll
other agricultural land on which the resource concerns
identified in the agreement can be addressed if the
enrollment of the land is critical to the
accomplishment of the purposes of the agreement;
``(2) permit dryland agricultural uses with the
adoption of best management practices on enrolled land
if the agreement involves the significant long-term
reduction of consumptive water use and dryland
production is compatible with the agreement; and
``(3) calculate annual rental payments consistent
with existing administrative practice for similar
drought and water conservation agreements under this
subtitle and ensure regional consistency in those
rates.
``(f) Status Report.--Not later than 180 days after the end
of each fiscal year, the Secretary shall submit to Congress a
report that describes, with respect to each agreement entered
into under subsection (b)(1)--
``(1) the status of the agreement;
``(2) the purposes and objectives of the agreement;
``(3) the Federal and eligible partner commitments
made under the agreement; and
``(4) the progress made in fulfilling those
commitments.''.
(b) Conforming Amendments.--
(1) Section 1240R(c)(3) of the Food Security Act of
1985 (16 U.S.C. 3839bb-5(c)(3)) is amended by striking
``a special conservation reserve enhancement program
described in section 1234(f)(4)'' and inserting ``a
conservation reserve enhancement program under section
1231A''.
(2) Section 1244(f)(3) of the Food Security Act of
1985 (16 U.S.C. 3844(f)(3)) is amended by striking
``subsection (d)(2)(A)(ii) or (g)(2) of section 1234''
and inserting ``section 1231A''.
SEC. 2203. FARMABLE WETLAND PROGRAM.
Section 1231B of the Food Security Act of 1985 (16 U.S.C.
3831b) is amended--
(1) in subsection (a)(1), by striking ``2018'' and
inserting ``2023''; and
(2) in subsection (f)(2), by striking
``1234(d)(2)(A)(ii)'' and inserting ``1234(d)''.
SEC. 2204. PILOT PROGRAMS.
Subchapter B of chapter 1 of subtitle D of title XII of the
Food Security Act of 1985 is amended by inserting after section
1231B (16 U.S.C. 3831b) the following:
``SEC. 1231C. PILOT PROGRAMS.
``(a) CLEAR 30.--
``(1) In general.--
``(A) Enrollment.--The Secretary shall
establish a pilot program to enroll land in the
conservation reserve program through a 30-year
conservation reserve contract (referred to in
this subsection as a `CLEAR 30 contract') in
accordance with this subsection.
``(B) Inclusion of acreage limitation.--For
purposes of applying the limitations in section
1231(d)(1), the Secretary shall include acres
of land enrolled under this subsection.
``(2) Expired conservation contract election.--
``(A) Definition of covered contract.--In
this paragraph, the term `covered contract'
means a contract entered into under this
subchapter that--
``(i) expires on or after the date
of enactment of the Agriculture
Improvement Act of 2018; and
``(ii) covers land enrolled in the
conservation reserve program under the
clean lakes, estuaries, and rivers
priority described in section
1231(d)(3) (or the predecessor
practices that constitute the priority,
as determined by the Secretary).
``(B) Election.--On the expiration of a
covered contract, an owner or operator party to
the covered contract shall elect--
``(i) not to reenroll the land
under the contract;
``(ii) to offer to reenroll the
land under the contract if the land
remains eligible under the terms in
effect as of the date of expiration; or
``(iii) not to reenroll the land
under the contract and to enroll that
land through a CLEAR 30 contract under
this subsection.
``(3) Eligible land.--Only land that is subject to
an expired covered contract shall be eligible for
enrollment through a CLEAR 30 contract under this
subsection.
``(4) Term.--The term of a CLEAR 30 contract shall
be 30 years.
``(5) Agreements.--To be eligible to enroll land in
the conservation reserve program through a CLEAR 30
contract, the owner of the land shall enter into an
agreement with the Secretary--
``(A) to implement a conservation reserve
plan developed for the land;
``(B) to comply with the terms and
conditions of the contract and any related
agreements; and
``(C) to temporarily suspend the base
history for the land covered by the contract.
``(6) Terms and conditions of clear 30 contracts.--
``(A) In general.--A CLEAR 30 contract
shall include terms and conditions that--
``(i) permit--
``(I) repairs,
improvements, and inspections
on the land that are necessary
to maintain existing public
drainage systems; and
``(II) owners to control
public access on the land while
identifying access routes to be
used for restoration activities
and management and contract
monitoring;
``(ii) prohibit--
``(I) the alteration of
wildlife habitat and other
natural features of the land,
unless specifically authorized
by the Secretary as part of the
conservation reserve plan;
``(II) the spraying of the
land with chemicals or the
mowing of the land, except
where the spraying or mowing is
authorized by the Secretary or
is necessary--
``(aa) to comply
with Federal or State
noxious weed control
laws;
``(bb) to comply
with a Federal or State
emergency pest
treatment program; or
``(cc) to meet
habitat needs of
specific wildlife
species;
``(III) any activity to be
carried out on the land of the
owner or successor that is
immediately adjacent to, and
functionally related to, the
land that is subject to the
contract if the activity will
alter, degrade, or otherwise
diminish the functional value
of the land; and
``(IV) the adoption of any
other practice that would tend
to defeat the purposes of the
conservation reserve program,
as determined by the Secretary;
and
``(iii) include any additional
provision that the Secretary determines
is appropriate to carry out this
section or facilitate the practical
administration of this section.
``(B) Violation.--On the violation of a
term or condition of a CLEAR 30 contract, the
Secretary may require the owner to refund all
or part of any payments received by the owner
under the conservation reserve program, with
interest on the payments, as determined
appropriate by the Secretary.
``(C) Compatible uses.--Land subject to a
CLEAR 30 contract may be used for compatible
economic uses, including hunting and fishing,
managed timber harvest, or periodic haying or
grazing, if the use--
``(i) is specifically permitted by
the conservation reserve plan developed
for the land; and
``(ii) is consistent with the long-
term protection and enhancement of the
conservation resources for which the
contract was established.
``(7) Compensation.--
``(A) Amount of payments.--The Secretary
shall provide payment under this subsection to
an owner of land enrolled through a CLEAR 30
contract using 30 annual payments in an amount
equal to the amount that would be used if the
land were to be enrolled in the conservation
reserve program under section 1231(d)(3).
``(B) Form of payment.--Compensation for a
CLEAR 30 contract shall be provided by the
Secretary in the form of a cash payment in an
amount determined under subparagraph (A).
``(C) Timing.--The Secretary shall provide
any annual payment obligation under
subparagraph (A) as early as practicable in
each fiscal year.
``(D) Payments to others.--The Secretary
shall make a payment, in accordance with
regulations prescribed by the Secretary, in a
manner as the Secretary determines is fair and
reasonable under the circumstances, if an owner
who is entitled to a payment under this
section--
``(i) dies;
``(ii) becomes incompetent;
``(iii) is succeeded by another
person or entity who renders or
completes the required performance; or
``(iv) is otherwise unable to
receive the payment.
``(8) Technical assistance.--
``(A) In general.--The Secretary shall
assist owners in complying with the terms and
conditions of a CLEAR 30 contract.
``(B) Contracts or agreements.--The
Secretary may enter into 1 or more contracts
with private entities or agreements with a
State, nongovernmental organization, or Indian
Tribe to carry out necessary maintenance of a
CLEAR 30 contract if the Secretary determines
that the contract or agreement will advance the
purposes of the conservation reserve program.
``(9) Administration.--
``(A) Conservation reserve plan.--The
Secretary shall develop a conservation reserve
plan for any land subject to a CLEAR 30
contract, which shall include practices and
activities necessary to maintain, protect, and
enhance the conservation value of the enrolled
land.
``(B) Delegation of contract
administration.--
``(i) Federal, state, or local
government agencies.--The Secretary may
delegate any of the management,
monitoring, and enforcement
responsibilities of the Secretary under
this subsection to other Federal,
State, or local government agencies
that have the appropriate authority,
expertise, and resources necessary to
carry out those delegated
responsibilities.
``(ii) Conservation
organizations.--The Secretary may
delegate any management
responsibilities of the Secretary under
this subsection to conservation
organizations if the Secretary
determines the conservation
organization has similar expertise and
resources.
``(b) Soil Health and Income Protection Pilot Program.--
``(1) Definition of eligible land.--In this
subsection:
``(A) In general.--The term `eligible land'
means cropland that--
``(i) is selected by the owner or
operator of the land for proposed
enrollment in the pilot program under
this subsection; and
``(ii) as determined by the
Secretary--
``(I) is located within 1
or more States that are part of
the prairie pothole region, as
selected by the Secretary based
on consultation with State
Committees of the Farm Service
Agency and State technical
committees established under
section 1261(a) from that
region;
``(II) had a cropping
history or was considered to be
planted during each of the 3
crop years preceding
enrollment; and
``(III) is verified to be
less-productive land, as
compared to other land on the
applicable farm.
``(B) Exclusion.--The term `eligible land'
does not include any land that was enrolled in
a conservation reserve program contract in any
of the 3 crop years preceding enrollment in the
pilot program under this subsection.
``(2) Establishment.--
``(A) In general.--The Secretary shall
establish a voluntary soil health and income
protection pilot program under which eligible
land is enrolled through the use of contracts
to assist owners and operators of eligible land
to conserve and improve the soil, water, and
wildlife resources of the eligible land.
``(B) Deadline for participation.--Eligible
land may be enrolled in the program under this
section through December 31, 2020.
``(3) Contracts.--
``(A) Requirements.--A contract described
in paragraph (2) shall--
``(i) be entered into by the
Secretary, the owner of the eligible
land, and (if applicable) the operator
of the eligible land; and
``(ii) provide that, during the
term of the contract--
``(I) the lowest
practicable cost perennial
conserving use cover crop for
the eligible land, as
determined by the applicable
State conservationist after
considering the advice of the
applicable State technical
committee, shall be planted on
the eligible land;
``(II) except as provided
in subparagraph (E), the owner
or operator of the eligible
land shall pay the cost of
planting the conserving use
cover crop under subclause (I);
``(III) subject to
subparagraph (F), the eligible
land may be harvested for seed,
hayed, or grazed outside the
primary nesting season
established for the applicable
county;
``(IV) the eligible land
may be eligible for a walk-in
access program of the
applicable State, if any; and
``(V) a nonprofit wildlife
organization may provide to the
owner or operator of the
eligible land a payment in
exchange for an agreement by
the owner or operator not to
harvest the conserving use
cover.
``(B) Payments.--Except as provided in
subparagraphs (E) and (F)(ii)(II), the annual
rental rate for a payment under a contract
described in paragraph (2) shall be equal to 50
percent of the average rental rate for the
applicable county under section 1234(d), as
determined by the Secretary.
``(C) Limitation on enrolled land.--Not
more than 15 percent of the eligible land on a
farm may be enrolled in the pilot program under
this subsection.
``(D) Term.--
``(i) In general.--Except as
provided in clause (ii), each contract
described in paragraph (2) shall be for
a term of 3, 4, or 5 years, as
determined by the parties to the
contract.
``(ii) Early termination.--
``(I) Secretary.--The
Secretary may terminate a
contract described in paragraph
(2) before the end of the term
described in clause (i) if the
Secretary determines that the
early termination of the
contract is necessary.
``(II) Owners and
operators.--An owner and (if
applicable) an operator of
eligible land enrolled in the
pilot program under this
subsection may terminate a
contract described in paragraph
(2) before the end of the term
described in clause (i) if the
owner and (if applicable) the
operator pay to the Secretary
an amount equal to the amount
of rental payments received
under the contract.
``(E) Beginning, limited resource, socially
disadvantaged, or veteran farmers and
ranchers.--With respect to a beginning, limited
resource, socially disadvantaged, or veteran
farmer or rancher, as determined by the
Secretary--
``(i) a contract described in
paragraph (2) shall provide that,
during the term of the contract, of the
actual cost of establishment of the
conserving use cover crop under
subparagraph (A)(ii)(I)--
``(I) using the funds of
the Commodity Credit
Corporation, the Secretary
shall pay 50 percent; and
``(II) the beginning,
limited resource, socially
disadvantaged, or veteran
farmer or rancher shall pay 50
percent; and
``(ii) the annual rental rate for a
payment under a contract described in
paragraph (2) shall be equal to 75
percent of the average rental rate for
the applicable county under section
1234(d), as determined by the
Secretary.
``(F) Harvesting, haying, and grazing
outside applicable period.--The harvesting for
seed, haying, or grazing of eligible land under
subparagraph (A)(ii)(III) outside of the
primary nesting season established for the
applicable county shall be subject to the
conditions that--
``(i) with respect to eligible land
that is so hayed or grazed, adequate
stubble height shall be maintained to
protect the soil on the eligible land,
as determined by the applicable State
conservationist after considering the
advice of the applicable State
technical committee; and
``(ii) with respect to eligible
land that is so harvested for seed--
``(I) the eligible land
shall not be eligible to be
insured or reinsured under the
Federal Crop Insurance Act (7
U.S.C. 1501 et seq.); and
``(II) the rental payment
otherwise applicable to the
eligible land under this
subsection shall be reduced by
25 percent.
``(4) Acreage limitation.--Of the number of acres
available for enrollment in the conservation reserve
under section 1231(d)(1), not more than 50,000 total
acres of eligible land may be enrolled under the pilot
program under this subsection.
``(5) Report.--The Secretary shall submit to the
Committee on Agriculture of the House of
Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate an annual report
describing the eligible land enrolled in the pilot
program under this subsection, including--
``(A) the estimated conservation value of
the land; and
``(B) estimated savings from reduced
commodity payments, crop insurance indemnities,
and crop insurance premium subsidies.''.
SEC. 2205. DUTIES OF OWNERS AND OPERATORS.
Section 1232(a) of the Food Security Act of 1985 (16 U.S.C.
3832(a)) is amended--
(1) by redesignating paragraphs (10) and (11) as
paragraphs (11) and (12), respectively; and
(2) by inserting after paragraph (9) the following:
``(10) on land devoted to hardwood or other trees,
excluding windbreaks and shelterbelts, to carry out
proper thinning and other practices--
``(A) to enhance the conservation benefits
and wildlife habitat resources addressed by the
conservation practice under which the land is
enrolled; and
``(B) to promote forest management;''.
SEC. 2206. DUTIES OF THE SECRETARY.
(a) Cost-Share and Rental Payments.--Section 1233(a) of the
Food Security Act of 1985 (16 U.S.C. 3833(a)) is amended--
(1) in paragraph (1), by inserting ``, including
the cost of fencing and other water distribution
practices, if applicable'' after ``interest''; and
(2) in paragraph (2)--
(A) in the matter preceding subparagraph
(A), by striking ``in an amount necessary to
compensate'' and inserting ``, in accordance
with section 1234(d),'';
(B) in subparagraph (A)--
(i) by inserting ``, marginal
pastureland,'' after ``cropland''; and
(ii) by adding ``or'' at the end;
(C) by striking subparagraph (B); and
(D) by redesignating subparagraph (C) as
subparagraph (B).
(b) Specified Activities Permitted.--Section 1233 of the
Food Security Act of 1985 (16 U.S.C. 3833) is amended by
striking subsection (b) and inserting the following:
``(b) Specified Activities Permitted.--
``(1) In general.--The Secretary, in coordination
with the applicable State technical committee
established under section 1261(a), shall permit certain
activities or commercial uses of established cover on
land that is subject to a contract under the
conservation reserve program if--
``(A) those activities or uses--
``(i) are consistent with the
conservation of soil, water quality,
and wildlife habitat;
``(ii) are subject to appropriate
restrictions during the primary nesting
season for birds in the local area that
are economically significant, in
significant decline, or conserved in
accordance with Federal or State law;
``(iii) contribute to the health
and vigor of the established cover; and
``(iv) are consistent with a site-
specific plan, including vegetative
management requirements, stocking
rates, and frequency and duration of
activity, taking into consideration
regional differences, such as climate,
soil type, and natural resources; and
``(B) the Secretary, in coordination with
the State technical committee, includes
contract modifications--
``(i) without any reduction in the
rental rate for--
``(I) emergency haying,
emergency grazing, or other
emergency use of the forage in
response to a localized or
regional drought, flooding,
wildfire, or other emergency,
on all practices, outside the
primary nesting season, when--
``(aa) the county
is designated as D2
(severe drought) or
greater according to
the United States
Drought Monitor;
``(bb) there is at
least a 40 percent loss
in forage production in
the county; or
``(cc) the
Secretary, in
coordination with the
State technical
committee, determines
that the program can
assist in the response
to a natural disaster
event without permanent
damage to the
established cover;
``(II) emergency grazing on
all practices during the
primary nesting season if
payments are authorized for a
county under the livestock
forage disaster program under
clause (ii) of section
1501(c)(3)(D) of the
Agricultural Act of 2014 (7
U.S.C. 9081(c)(3)(D)), at 50
percent of the normal carrying
capacity determined under
clause (i) of that section,
adjusted to the site-specific
plan;
``(III) emergency haying on
certain practices, outside the
primary nesting season, if
payments are authorized for a
county under the livestock
forage disaster program under
clause (ii) of section
1501(c)(3)(D) of the
Agricultural Act of 2014 (7
U.S.C. 9081(c)(3)(D)), on not
more than 50 percent of
contract acres, as identified
in the site-specific plan;
``(IV) grazing of all
practices, outside the primary
nesting season, if included as
a mid-contract management
practice under section
1232(a)(5);
``(V) the intermittent and
seasonal use of vegetative
buffer established under
paragraphs (4) and (5) of
section 1231(b) that are
incidental to agricultural
production on land adjacent to
the buffer such that the
permitted use--
``(aa) does not
destroy the permanent
vegetative cover; and
``(bb) retains
suitable vegetative
structure for wildlife
cover and shelter
outside the primary
nesting season; or
``(VI) grazing on all
practices, outside the primary
nesting season, if conducted by
a beginning farmer or rancher;
or
``(ii) with a 25 percent reduction
in the annual rental rate for the acres
covered by the authorized activity,
including--
``(I) grazing not more
frequently than every other
year on the same land, except
that during the primary nesting
season, grazing shall be
subject to a 50 percent
reduction in the stocking rate
specified in the site-specific
plan;
``(II) grazing of all
practices during the primary
nesting season, with a 50
percent reduction in the
stocking rate specified in the
site-specific plan;
``(III) haying and other
commercial use (including the
managed harvesting of biomass
and excluding the harvesting of
vegetative cover), on the
condition that the activity--
``(aa) is completed
outside the primary
nesting season;
``(bb) occurs not
more than once every 3
years; and
``(cc) maintains 25
percent of the total
contract acres
unharvested, in
accordance with a site-
specific plan that
provides for wildlife
cover and shelter;
``(IV) annual grazing
outside the primary nesting
season if consistent with a
site-specific plan that is
authorized for the control of
invasive species; and
``(V) the installation of
wind turbines and associated
access, except that in
permitting the installation of
wind turbines, the Secretary
shall determine the number and
location of wind turbines that
may be installed, taking into
account--
``(aa) the
location, size, and
other physical
characteristics of the
land;
``(bb) the extent
to which the land
contains threatened or
endangered wildlife and
wildlife habitat; and
``(cc) the purposes
of the conservation
reserve program under
this subchapter.
``(2) Conditions on haying and grazing.--
``(A) In general.--The Secretary may permit
haying or grazing in accordance with paragraph
(1) on any land or practice subject to a
contract under the conservation reserve
program.
``(B) Exceptions.--
``(i) Damage to vegetative cover.--
Haying or grazing described in
paragraph (1) shall not be permitted on
land subject to a contract under the
conservation reserve program, or under
a particular practice, if haying or
grazing for that year under that
practice, as applicable, would cause
long-term damage to vegetative cover on
that land.
``(ii) Special agreements.--
``(I) In general.--Except
as provided in subclause (II),
haying or grazing described in
paragraph (1) shall not be
permitted on--
``(aa) land covered
by a contract enrolled
under the State acres
for wildlife
enhancement program
established by the
Secretary; or
``(bb) land covered
by a contract enrolled
under a conservation
reserve enhancement
program established
under section 1231A or
the Conservation
Reserve Enhancement
Program established by
the Secretary under
this subchapter.
``(II) Exception.--
Subclause (I) shall not apply
to land on which haying or
grazing is specifically
permitted under the applicable
conservation reserve
enhancement program agreement
or other partnership agreement
entered into under this
subchapter.''.
(c) Natural Disaster or Adverse Weather as Mid-contract
Management.--Section 1233 of the Food Security Act of 1985 (16
U.S.C. 3833) is amended by adding at the end the following:
``(e) Natural Disaster or Adverse Weather as Mid-contract
Management.--In the case of a natural disaster or adverse
weather event that has the effect of a management practice
consistent with the conservation plan, the Secretary shall not
require further management practices pursuant to section
1232(a)(5) that are intended to achieve the same effect.''.
SEC. 2207. PAYMENTS.
(a) Cost Sharing Payments.--Section 1234(b) of the Food
Security Act of 1985 (16 U.S.C. 3834(b)) is amended--
(1) by striking paragraphs (2) through (4) and
inserting the following:
``(2) Limitations.--
``(A) In general.--The Secretary shall
ensure, to the maximum extent practicable, that
cost sharing payments to an owner or operator
under this subchapter, when combined with the
sum of payments from all other funding sources
for measures and practices described in
paragraph (1), do not exceed 100 percent of the
total actual cost of establishing those
measures and practices, as determined by the
Secretary.
``(B) Mid-contract management grazing.--The
Secretary may not make any cost sharing payment
to an owner or operator under this subchapter
pursuant to section 1232(a)(5).
``(C) Seed cost.--In the case of seed costs
related to the establishment of cover, cost
sharing payments under this subchapter shall
not exceed 50 percent of the actual cost of the
seed mixture, as determined by the
Secretary.'';
(2) by redesignating paragraph (5) as paragraph
(3);
(3) in paragraph (3) (as so redesignated), by
striking ``An owner'' and inserting ``Except in the
case of incentive payments that are related to the cost
of the establishment of a practice and received from
eligible partners under the conservation reserve
enhancement program under section 1231A, an owner'';
and
(4) by adding at the end the following:
``(4) Practice incentives for continuous
practices.--In addition to the cost sharing payment
described in this subsection, the Secretary shall make
an incentive payment to an owner or operator of land
enrolled under section 1231(d)(6) in an amount not to
exceed 50 percent of the actual cost of establishing
all measures and practices described in paragraph (1),
including seed costs related to the establishment of
cover, as determined by the Secretary.''.
(b) Incentive Payments.--Section 1234(c) of the Food
Security Act of 1985 (16 U.S.C. 3834(c)) is amended--
(1) in the subsection heading, by striking
``Incentive'' and inserting ``Forest Management
Incentive'';
(2) in paragraph (1), by striking ``The Secretary''
and inserting ``Using funds made available under
section 1241(a)(1)(A), the Secretary''; and
(3) in paragraph (2), by striking ``150 percent''
and inserting ``100 percent''.
(c) Annual Rental Payments.--Section 1234(d) of the Food
Security Act of 1985 (16 U.S.C. 3834(d)) is amended--
(1) in paragraph (1)--
(A) by striking ``the Secretary may
consider, among other things, the amount'' and
inserting the following: ``the Secretary shall
consider--
``(A) the amount'';
(B) in subparagraph (A) (as so designated),
by striking the period at the end and inserting
a semicolon; and
(C) by adding at the end the following:
``(B) the impact on the local farmland
rental market; and
``(C) such other factors as the Secretary
determines to be appropriate.'';
(2) in paragraph (2)--
(A) in subparagraph (A)--
(i) in clause (i), by striking ``;
or'' and inserting a period;
(ii) by striking clause (ii); and
(iii) by striking ``determined
through--'' in the matter preceding
clause (i) and all that follows through
``the submission of bids'' in clause
(i) and inserting ``determined through
the submission of applications'';
(B) by redesignating subparagraph (B) as
subparagraph (C);
(C) by inserting after subparagraph (A) the
following:
``(B) Multiple enrollments.--
``(i) In general.--Subject to
clause (ii), if land subject to a
contract entered into under this
subchapter is reenrolled under section
1231(h)(1) or has been previously
enrolled in the conservation reserve,
the annual rental payment shall be in
an amount that is not more than 85
percent in the case of general
enrollment contacts, or 90 percent in
the case of continuous enrollment
contracts, of the applicable estimated
average county rental rate published
pursuant to paragraph (4) for the year
in which the reenrollment occurs.
``(ii) Conservation reserve
enhancement program.--The reduction in
annual rental payments under clause (i)
may be waived as part of the
negotiation between the Secretary and
an eligible partner to enter into a
conservation reserve enhancement
program agreement under section
1231A.'';
(D) in subparagraph (C) (as so
redesignated), by striking ``In the case'' and
inserting ``Notwithstanding subparagraph (A),
in the case''; and
(E) by adding at the end the following:
``(D) Continuous sign-up incentives.--The
Secretary shall make an incentive payment to
the owner or operator of land enrolled under
section 1231(d)(6) at the time of initial
enrollment in an amount equal to 32.5 percent
of the amount of the first annual rental
payment under subparagraph (A).'';
(3) by striking paragraph (4);
(4) by redesignating paragraph (5) as paragraph
(4); and
(5) in paragraph (4) (as so redesignated)--
(A) in subparagraph (A)--
(i) by striking ``, not less
frequently than once every other
year,'' and inserting ``annually''; and
(ii) by inserting ``, and shall
publish the estimates derived from the
survey not later than September 15 of
each year'' before the period at the
end;
(B) in subparagraph (B), by inserting ``and
the average current and previous soil rental
rates for each county'' after ``subparagraph
(A)'';
(C) in subparagraph (C), by striking ``may
use'' and inserting ``shall consider''; and
(D) by adding at the end the following:
``(D) Submission of additional information
by state fsa offices and crep partners.--
``(i) In general.--The Secretary
shall provide an opportunity for State
Committees of the Farm Service Agency
or eligible partners (as defined in
section 1231A(a)) in conservation
reserve enhancement programs under
section 1231A to propose an alternative
soil rental rate prior to finalizing
new rates, on the condition that
documentation described in clause (ii)
is provided to support the proposed
alternative.
``(ii) Acceptable documentation.--
Documentation referred to in clause (i)
includes--
``(I) an average of cash
rents from a random sample of
lease agreements;
``(II) cash rent estimates
from a published survey;
``(III) neighboring county
estimate comparisons from the
National Agricultural
Statistics Service;
``(IV) an average of cash
rents from Farm Service Agency
farm business plans;
``(V) models that estimate
cash rents, such as models that
use returns to estimate crop
production or land value data;
or
``(VI) other documentation,
as determined by the Secretary.
``(iii) Notification.--Not less
than 14 days prior to the announcement
of new or revised soil rental rates,
the Secretary shall offer a briefing to
the Chairman and Ranking Member of the
Committee on Agriculture of the House
of Representatives and the Chairman and
Ranking Member of the Committee on
Agriculture, Nutrition, and Forestry of
the Senate, including information on
and the rationale for the alternative
rates proposed under clause (i) that
were accepted or rejected.
``(E) Rental rate limitation.--
Notwithstanding forest management incentive
payments described in subsection (c), the
county average soil rental rate (before any
adjustments relating to specific practices,
wellhead protection, or soil productivity)
shall not exceed--
``(i) 85 percent of the estimated
rental rate determined under this
paragraph for general enrollment; or
``(ii) 90 percent of the estimated
rental rate determined under this
paragraph for continuous enrollment.''.
(d) Payment Limitation for Rental Payments.--Section
1234(g) of the Food Security Act of 1985 (16 U.S.C. 3834(g)) is
amended--
(1) in paragraph (1), by striking ``The total'' and
inserting ``Except as provided in paragraph (2), the
total''; and
(2) by striking paragraph (2) and inserting the
following:
``(2) Wellhead protection.--Paragraph (1) and
section 1001D(b) shall not apply to rental payments
received by a rural water district or association for
land that is enrolled under this subchapter for the
purpose of protecting a wellhead.''.
SEC. 2208. CONTRACTS.
(a) Transition Option for Certain Farmers or Ranchers.--
Section 1235(f) of the Food Security Act of 1985 (16 U.S.C.
3835(f)) is amended--
(1) in paragraph (1)--
(A) in the matter preceding subparagraph
(A), by striking ``retired farmer or rancher''
and inserting ``contract holder'';
(B) by striking ``retired or retiring owner
or operator'' each place it appears and
inserting ``contract holder'';
(C) in subparagraph (A), in the matter
preceding clause (i), by striking ``1 year''
and inserting ``2 years'';
(D) in subparagraph (B), by inserting ``,
including a lease with a term of less than 5
years and an option to purchase'' after
``option to purchase'';
(E) in subparagraph (D), by striking ``;
and'' and inserting a semicolon;
(F) by redesignating subparagraph (E) as
subparagraph (F); and
(G) by inserting after subparagraph (D) the
following:
``(E) give priority to the enrollment of
the land covered by the contract in--
``(i) the environmental quality
incentives program established under
subchapter A of chapter 4;
``(ii) the conservation stewardship
program established under subchapter B
of chapter 4; or
``(iii) the agricultural
conservation easement program
established under subtitle H; and'';
and
(2) in paragraph (2)--
(A) in the matter preceding subparagraph
(A), by striking ``The Secretary'' and
inserting ``To the extent that the maximum
number of acres permitted to be enrolled under
the conservation reserve program has not been
met, the Secretary''; and
(B) by striking subparagraph (A) and
inserting the following:
``(A)(i) is carried out on land described
in paragraph (4) or (5) of section 1231(b); and
``(ii) is eligible for continuous
enrollment under section 1231(d)(6); and''.
(b) End of Contract Considerations.--Section 1235(g) of the
Food Security Act of 1985 (16 U.S.C. 3835(g)) is amended to
read as follows:
``(g) End of Contract Considerations.--The Secretary shall
not consider an owner or operator to be in violation of a term
or condition of the conservation reserve contract if--
``(1) during the year prior to expiration of the
contract, the owner or operator--
``(A)(i) enters into a contract under the
environmental quality incentives program
established under subchapter A of chapter 4;
and
``(ii) begins the establishment of a
practice under that contract; or
``(B)(i) enters into a contract under the
conservation stewardship program established
under subchapter B of chapter 4; and
``(ii) begins the establishment of a
practice under that contract; or
``(2) during the 3 years prior to the expiration of
the contract, the owner or operator begins the
certification process under the Organic Foods
Production Act of 1990 (7 U.S.C. 6501 et seq.).''.
SEC. 2209. ELIGIBLE LAND; STATE LAW REQUIREMENTS.
The Secretary shall revise paragraph (4) of section
1410.6(d) of title 7, Code of Federal Regulations, to provide
that land enrolled under a Conservation Reserve Enhancement
Program agreement initially established before January 1, 2014
(including an amended or successor Conservation Reserve
Enhancement Program agreement, as determined by the Secretary),
shall not be ineligible for enrollment in the conservation
reserve program established under subchapter B of chapter 1 of
subtitle D of title XII of the Food Security Act of 1985 (16
U.S.C. 3831 et seq.) under that paragraph if the Deputy
Administrator (as defined in section 1410.2(b) of title 7, Code
of Federal Regulations (or successor regulations)), on
recommendation from and in consultation with the applicable
State technical committee established under section 1261(a) of
the Food Security Act of 1985 (16 U.S.C. 3861(a)) determines,
under such terms and conditions as the Deputy Administrator, in
consultation with the State technical committee, determines to
be appropriate, that making that land eligible for enrollment
in that program is not contrary to the purposes of that
program.
Subtitle C--Environmental Quality Incentives Program and Conservation
Stewardship Program
SEC. 2301. REPEAL OF CONSERVATION PROGRAMS.
(a) In General.--Chapter 4 of subtitle D of title XII of
the Food Security Act of 1985 (16 U.S.C. 3839aa et seq.) is
amended--
(1) by striking the chapter designation and heading
and inserting the following:
``CHAPTER 4--ENVIRONMENTAL QUALITY INCENTIVES PROGRAM AND CONSERVATION
STEWARDSHIP PROGRAM
``Subchapter A--Environmental Quality Incentives Program''; and
(2) by inserting after section 1240H the following:
``Subchapter B--Conservation Stewardship Program''.
(b) Conservation Stewardship Program.--Subchapter B of
chapter 2 of subtitle D of title XII of the Food Security Act
of 1985 (16 U.S.C. 3838d et seq.) is amended--
(1) by redesignating sections 1238D through 1238G
as sections 1240I through 1240L, respectively; and
(2) by moving sections 1240I through 1240L (as so
redesignated) so as to appear after the subchapter
heading for subchapter B of chapter 4 of subtitle D of
title XII of that Act (as added by subsection (a)(2)).
(c) Repeal.--
(1) In general.--Chapter 2 of subtitle D of title
XII of the Food Security Act of 1985 (16 U.S.C. 3838 et
seq.) (as amended by subsection (b)) is repealed.
(2) Termination of conservation stewardship
program.--Effective on the date of enactment of this
Act, the conservation stewardship program under
subchapter B of chapter 2 of subtitle D of title XII of
the Food Security Act of 1985 (16 U.S.C. 3838d et seq.)
(as in effect on the day before the date of enactment
of this Act) shall cease to be effective.
(3) Transitional provisions.--
(A) Effect on existing contracts and
agreements.--The cessation of effectiveness
under paragraph (2) shall not affect--
(i) the validity or terms of any
contract entered into by the Secretary
under subchapter B of chapter 2 of
subtitle D of title XII of the Food
Security Act of 1985 (16 U.S.C. 3838d
et seq.) before the date of enactment
of this Act, or any payments,
modifications, or technical assistance
required to be made in connection with
the contract; or
(ii) subject to subparagraph (D),
any agreement entered into by the
Secretary under the regional
conservation partnership program under
subtitle I of title XII of the Food
Security Act of 1985 (16 U.S.C. 3871 et
seq.) on or before September 30, 2018,
under which conservation stewardship
program acres and associated funding
have been allocated to the agreement
for the purpose of entering into a
contract under subchapter B of chapter
2 of subtitle D of title XII of that
Act (16 U.S.C. 3838d et seq.) (as in
effect on the day before the date of
enactment of this Act).
(B) Extension permitted.--Notwithstanding
paragraph (2), the Secretary may extend for 1
year a contract described in subparagraph
(A)(i) if that contract expires on or before
December 31, 2019, under the terms and payment
rate of the existing contract and in accordance
with subchapter B of chapter 2 of subtitle D of
title XII of the Food Security Act of 1985 (16
U.S.C. 3838d et seq.) (as in effect on the day
before the date of enactment of this Act).
(C) Renewal not permitted.--
(i) In general.--Notwithstanding
subparagraph (A), and subject to clause
(ii), the Secretary may not renew a
contract or agreement described in that
subparagraph.
(ii) Exception.--The Secretary may
renew a contract described in
subparagraph (A)(i)--
(I) if that contract
expires on or after December
31, 2019;
(II) under the terms of the
conservation stewardship
program under subchapter B of
chapter 4 of subtitle D of
title XII of the Food Security
Act of 1985 (as added by
subsections (a)(2) and (b));
and
(III) subject to the
limitation on funding for that
subchapter under section 1241
of the Food Security Act of
1985 (16 U.S.C. 3841).
(D) RCPP contracts.--
(i) Treatment of acreage.--In the
case of an agreement described in
subparagraph (A)(ii), the Secretary may
provide an amount of funding that is
equivalent to the value of any acres
covered by the agreement.
(ii) Funds and acres not
obligated.--In the case of an agreement
described in subparagraph (A)(ii) to
which program acres and associated
funding have been allocated but not yet
obligated to enter into a contract
under subchapter B of chapter 2 of
subtitle D of title XII of the Food
Security Act of 1985 (16 U.S.C. 3838d
et seq.) (as in effect on the day
before the date of enactment of this
Act)--
(I) the Secretary shall
modify the agreement to
authorize the entrance into a
contract under subchapter B of
chapter 4 of subtitle D of
title XII of the Food Security
Act of 1985 (as added by
subsections (a)(2) and (b));
and
(II) the funds associated
with the conservation
stewardship program acres
allocated under that agreement,
on modification under subclause
(I), may be used to enter into
conservation stewardship
program contracts with
producers under subchapter B of
chapter 4 of subtitle D of
title XII of the Food Security
Act of 1985 (as added by
subsections (a)(2) and (b)).
(4) Contract administration.--Subject to paragraphs
(3)(C) and (3)(D)(ii)(II), the Secretary shall
administer each contract and agreement described in
clauses (i) and (ii) of paragraph (3)(A) until the
expiration of the contract or agreement in accordance
with the regulations to carry out the conservation
stewardship program under subchapter B of chapter 2 of
subtitle D of title XII of the Food Security Act of
1985 (16 U.S.C. 3838d et seq.) (as in effect on the day
before the date of enactment of this Act) that are in
effect on the day before that date of enactment.
(5) Funding.--Notwithstanding paragraphs (1) and
(2), any funds made available from the Commodity Credit
Corporation under section 1241(a)(4) of the Food
Security Act of 1985 (16 U.S.C. 3841(a)(4)) for fiscal
years 2014 through 2018 shall be available to carry
out--
(A) any contract or agreement described in
paragraph (3)(A)(i) for fiscal year 2019;
(B) any contract or agreement described in
paragraph (3)(A)(ii);
(C) any contract extended under paragraph
(3)(B); and
(D) any contract or agreement under
subchapter B of chapter 4 of subtitle D of
title XII of the Food Security Act of 1985 (as
added by subsections (a)(2) and (b)).
(d) Conforming Amendments.--
(1) Food security act of 1985.--
(A) Section 1211(a)(3)(A) of the Food
Security Act of 1985 (16 U.S.C. 3811(a)(3)(A))
is amended by inserting ``subchapter A of''
before ``chapter 4''.
(B) Section 1221(b)(3)(A) of the Food
Security Act of 1985 (16 U.S.C. 3821(b)(3)(A))
is amended by inserting ``subchapter A of''
before ``chapter 4''.
(C) Section 1240J(b)(1) of the Food
Security Act of 1985 (as redesignated by
subsection (b)(1)) is amended by striking
subparagraph (C).
(D) Section 1240 of the Food Security Act
of 1985 (16 U.S.C. 3839aa) is amended in the
matter preceding paragraph (1) by striking
``chapter'' and inserting ``subchapter''.
(E) Section 1240A of the Food Security Act
of 1985 (16 U.S.C. 3839aa-1) is amended by
striking ``chapter'' each place it appears and
inserting ``subchapter''.
(F) Section 1240B(i)(2)(B) of the Food
Security Act of 1985 (16 U.S.C. 3839aa-
2(i)(2)(B)) is amended by striking ``chapter''
and inserting ``subchapter''.
(G) Section 1240C(b) of the Food Security
Act of 1985 (16 U.S.C. 3839aa-3(b)) is amended
in the matter preceding paragraph (1) by
striking ``chapter'' and inserting
``subchapter''.
(H) Section 1240E(b)(2) of the Food
Security Act of 1985 (16 U.S.C. 3839aa-5(b)(2))
is amended by striking ``chapter'' and
inserting ``subchapter''.
(I) Section 1240G of the Food Security Act
of 1985 (16 U.S.C. 3839aa-7) is amended by
striking ``chapter'' each place it appears and
inserting ``subchapter''.
(J) Section 1240H of the Food Security Act
of 1985 (16 U.S.C. 3839aa-8) is amended by
striking ``chapter'' each place it appears and
inserting ``subchapter''.
(K) Section 1244(c)(3) of the Food Security
Act of 1985 (16 U.S.C. 3844(c)(3)) is amended
by inserting ``subchapter A of'' before
``chapter 4''.
(L) Section 1244(l) of the Food Security
Act of 1985 (16 U.S.C. 3844(l)) is amended--
(i) by striking ``chapter 2'' and
inserting ``chapter 4''; and
(ii) by inserting ``subchapter A
of'' after ``incentives program
under''.
(2) Other laws.--
(A) Section 344(f)(8) of the Agricultural
Adjustment Act of 1938 (7 U.S.C. 1344(f)(8)) is
amended by inserting ``subchapter A of'' before
``chapter 4''.
(B) Section 377 of the Agricultural
Adjustment Act of 1938 (7 U.S.C. 1377) is
amended by inserting ``subchapter A of'' before
``chapter 4''.
(C) Paragraph (1) of the last proviso of
the matter under the heading ``conservation
reserve program'' under the heading ``Soil Bank
Programs'' of title I of the Department of
Agriculture and Farm Credit Administration
Appropriation Act, 1959 (7 U.S.C. 1831a), is
amended by inserting ``subchapter A of'' before
``chapter 4''.
(D) Section 8(b)(1) of the Soil
Conservation and Domestic Allotment Act (16
U.S.C. 590h(b)(1)) is amended by inserting
``subchapter A of'' before ``chapter 4''.
(E) Section 1271(c)(3)(C) of the Food,
Agriculture, Conservation, and Trade Act of
1990 (16 U.S.C. 2106a(c)(3)(C)) is amended by
inserting ``subchapter A of'' before ``chapter
4''.
(F) Section 304(a)(1) of the Lake Champlain
Special Designation Act of 1990 (33 U.S.C. 1270
note; Public Law 101-596) is amended by
inserting ``subchapter A of'' before ``chapter
4''.
(G) Section 202(c) of the Colorado River
Basin Salinity Control Act (43 U.S.C. 1592(c))
is amended by inserting ``subchapter A of''
before ``chapter 4''.
SEC. 2302. PURPOSES OF ENVIRONMENTAL QUALITY INCENTIVES PROGRAM.
Section 1240 of the Food Security Act of 1985 (16 U.S.C.
3839aa) is amended by striking paragraph (4) and inserting the
following:
``(4) assisting producers to make beneficial, cost-
effective changes to production systems, including
addressing identified, new, or expected resource
concerns related to organic production, grazing
management, fuels management, forest management,
nutrient management associated with crops and
livestock, pest management, irrigation management,
adapting to, and mitigating against, increasing weather
volatility, drought resiliency measures, or other
practices on agricultural and forested land.''.
SEC. 2303. DEFINITIONS UNDER ENVIRONMENTAL QUALITY INCENTIVES PROGRAM.
Section 1240A of the Food Security Act of 1985 (16 U.S.C.
3839aa-1) is amended--
(1) by redesignating paragraphs (1), (2), (3), (4)
and (5) as paragraphs (2), (4), (5), (6), and (8),
respectively;
(2) by inserting before paragraph (2) (as so
redesignated) the following:
``(1) Conservation planning assessment.--The term
`conservation planning assessment' means a report, as
determined by the Secretary, that--
``(A) is developed by--
``(i) a State or unit of local
government (including a conservation
district);
``(ii) a Federal agency; or
``(iii) a third-party provider
certified under section 1242(e)
(including a certified rangeland
professional);
``(B) assesses rangeland or cropland
function and describes conservation activities
to enhance the economic and ecological
management of that land; and
``(C) can be incorporated into a
comprehensive planning document required by the
Secretary for enrollment in a conservation
program of the Department of Agriculture.'';
(3) in paragraph (2) (as so redesignated), in
subparagraph (B)(vi)--
(A) by inserting ``environmentally
sensitive areas,'' after ``marshes,''; and
(B) by inserting ``identified or expected''
before ``resource concerns'';
(4) by inserting after paragraph (2) (as so
redesignated) the following:
``(3) Incentive practice.--The term `incentive
practice' means a practice or set of practices approved
by the Secretary that, when implemented and maintained
on eligible land, address 1 or more priority resource
concerns.'';
(5) in paragraph (6) (as so redesignated)--
(A) in subparagraph (A)--
(i) in clause (iv), by striking
``and'' at the end;
(ii) by redesignating clause (v) as
clause (vii); and
(iii) by inserting after clause
(iv) the following:
``(v) soil testing;
``(vi) soil remediation to be
carried out by the producer; and''; and
(B) in subparagraph (B)--
(i) in clause (i), by striking
``and'' at the end;
(ii) by redesignating clause (ii)
as clause (vi); and
(iii) by inserting after clause (i)
the following:
``(ii) planning for resource-
conserving crop rotations (as defined
in section 1240L(d)(1));
``(iii) soil health planning,
including increasing soil organic
matter and the use of cover crops;
``(iv) a conservation planning
assessment;
``(v) precision conservation
management planning; and'';
(6) by inserting after paragraph (6) (as so
redesignated) the following:
``(7) Priority resource concern.--The term
`priority resource concern' means a natural resource
concern or problem, as determined by the Secretary,
that--
``(A) is identified at the national, State,
or local level as a priority for a particular
area of a State; and
``(B) represents a significant concern in a
State or region.''; and
(7) by adding at the end the following:
``(9) Soil remediation.--The term `soil
remediation' means scientifically based practices
that--
``(A) ensure the safety of producers from
contaminants in soil;
``(B) limit contaminants in soil from
entering agricultural products for human or
animal consumption; and
``(C) regenerate and sustain the soil.
``(10) Soil testing.--The term `soil testing' means
the evaluation of soil health, including testing for--
``(A) the optimal level of constituents in
the soil, such as organic matter, nutrients,
and the potential presence of soil
contaminants, including heavy metals, volatile
organic compounds, polycyclic aromatic
hydrocarbons, or other contaminants; and
``(B) the biological and physical
characteristics indicative of proper soil
functioning.''.
SEC. 2304. ESTABLISHMENT AND ADMINISTRATION OF ENVIRONMENTAL QUALITY
INCENTIVES PROGRAM.
(a) Establishment.--Section 1240B(a) of the Food Security
Act of 1985 (16 U.S.C. 3839aa-2(a)) is amended by striking
``2019'' and inserting ``2023''.
(b) Payments.--Section 1240B(d) of the Food Security Act of
1985 (16 U.S.C. 3839aa-2(d)) is amended--
(1) in paragraph (4)(B)--
(A) in clause (i)--
(i) by striking ``Not more than''
and inserting ``On an election by a
producer described in subparagraph (A),
the Secretary shall provide at least'';
(ii) by striking ``may be
provided''; and
(iii) by striking ``the purpose
of'' and inserting ``all costs related
to''; and
(B) by adding at the end the following:
``(iii) Notification and
documentation.--The Secretary shall--
``(I) notify each producer
described in subparagraph (A),
at the time of enrollment in
the program, of the option to
receive advance payments under
clause (i); and
``(II) document the
election of each producer
described in subparagraph (A)
to receive advance payments
under clause (i) with respect
to each practice that has costs
described in that clause.'';
and
(2) by adding at the end the following:
``(7) Increased payments for high-priority
practices.--
``(A) State determination.--Each State, in
consultation with the State technical committee
established under section 1261(a) for the
State, may designate not more than 10 practices
to be eligible for increased payments under
subparagraph (B), on the condition that the
practice, as determined by the Secretary--
``(i) addresses specific causes of
impairment relating to excessive
nutrients in groundwater or surface
water;
``(ii) addresses the conservation
of water to advance drought mitigation
and declining aquifers;
``(iii) meets other environmental
priorities and other priority resource
concerns identified in habitat or other
area restoration plans; or
``(iv) is geographically targeted
to address a natural resource concern
in a specific watershed.
``(B) Increased payments.--Notwithstanding
paragraph (2), in the case of a practice
designated under subparagraph (A), the
Secretary may increase the amount that would
otherwise be provided for a practice under this
subsection to not more than 90 percent of the
costs associated with planning, design,
materials, equipment, installation, labor,
management, maintenance, or training.''.
(c) Allocation of Funding.--Section 1240B(f) of the Food
Security Act of 1985 (16 U.S.C. 3839aa-2(f)) is amended--
(1) in paragraph (1)--
(A) by striking ``2014 through 2018'' and
inserting ``2019 through 2023'';
(B) by striking ``60'' and inserting
``50''; and
(C) by striking ``production.'' and
inserting ``production, including grazing
management practices.''; and
(2) in paragraph (2)--
(A) by striking ``For each'' and inserting
the following:
``(A) Fiscal years 2014 through 2018.--For
each''; and
(B) by adding at the end the following:
``(B) Fiscal years 2019 through 2023.--For
each of fiscal years 2019 through 2023, at
least 10 percent of the funds made available
for payments under the program shall be
targeted at practices benefitting wildlife
habitat under subsection (g).''.
(d) Wildlife Habitat Incentive Program.--Section 1240B(g)
of the Food Security Act of 1985 (16 U.S.C. 3839aa-2(g)) is
amended by adding at the end the following:
``(3) Maximum term.--In the case of a contract
under the program entered into solely for the
establishment of 1 or more annual management practices
for the benefit of wildlife as described in paragraph
(1), notwithstanding any maximum contract term
established by the Secretary, the contract shall have a
term that does not exceed 10 years.
``(4) Included practices.--For the purpose of
providing seasonal wetland habitat for waterfowl and
migratory birds, a practice that is eligible for
payment under paragraph (1) and targeted for funding
under subsection (f) may include--
``(A) a practice to carry out postharvest
flooding; or
``(B) a practice to maintain the hydrology
of temporary and seasonal wetlands of not more
than 2 acres to maintain waterfowl and
migratory bird habitat on working cropland.''.
(e) Water Conservation or Irrigation Efficiency Practice.--
Section 1240B(h) of the Food Security Act of 1985 (16 U.S.C.
3839aa-2(h)) is amended--
(1) by striking paragraph (1) and inserting the
following:
``(1) Availability of payments.--The Secretary may
provide water conservation and system efficiency
payments under this subsection to an entity described
in paragraph (2) or a producer for--
``(A) water conservation scheduling, water
distribution efficiency, soil moisture
monitoring, or an appropriate combination
thereof;
``(B) irrigation-related structural or
other measures that conserve surface water or
groundwater, including managed aquifer recovery
practices; or
``(C) a transition to water-conserving
crops, water-conserving crop rotations, or
deficit irrigation.'';
(2) by redesignating paragraph (2) as paragraph
(3);
(3) by inserting after paragraph (1) the following:
``(2) Eligibility of certain entities.--
``(A) In general.--Notwithstanding section
1001(f)(6), the Secretary may enter into a
contract under this subsection with a State,
irrigation district, groundwater management
district, acequia, land-grant mercedes, or
similar entity under a streamlined contracting
process to implement water conservation or
irrigation practices under a watershed-wide
project that will effectively conserve water,
provide fish and wildlife habitat, or provide
for drought-related environmental mitigation,
as determined by the Secretary.
``(B) Implementation.--Water conservation
or irrigation practices that are the subject of
a contract entered into under subparagraph (A)
shall be implemented on--
``(i) eligible land of a producer;
or
``(ii) land that is--
``(I) under the control of
an irrigation district,
groundwater management
district, acequia, land-grant
mercedes, or similar entity;
and
``(II) adjacent to eligible
land described in clause (i),
as determined by the Secretary.
``(C) Waiver authority.--The Secretary may
waive the applicability of the limitations in
section 1001D(b) or section 1240G for a payment
made under a contract entered into under this
paragraph if the Secretary determines that the
waiver is necessary to fulfill the objectives
of the project.
``(D) Contract limitations.--If the
Secretary grants a waiver under subparagraph
(C), the Secretary may impose a separate
payment limitation for the contract with
respect to which the waiver applies.'';
(4) in paragraph (3) (as so redesignated)--
(A) in the matter preceding subparagraph
(A), by striking ``to a producer'' and
inserting ``under this subsection'';
(B) in subparagraph (A), by striking ``the
eligible land of the producer is located, there
is a reduction in water use in the operation of
the producer'' and inserting ``the land on
which the practices will be implemented is
located, there is a reduction in water use in
the operation on that land''; and
(C) in subparagraph (B), by inserting
``except in the case of an application under
paragraph (2),'' before ``the producer
agrees''; and
(5) by adding at the end the following:
``(4) Effect.--Nothing in this subsection
authorizes the Secretary to modify the process for
determining the annual allocation of funding to States
under the program.''.
(f) Payments for Conservation Practices Related to Organic
Production.--Section 1240B(i)(3) of the Food Security Act of
1985 (16 U.S.C. 3839aa-2(i)(3)) is amended--
(1) in the first sentence, by striking ``Payments''
and inserting the following:
``(A) In general.--Payments'';
(2) in the second sentence, by striking ``In
applying these limitations'' and inserting the
following:
``(B) Technical assistance.--In applying
the limitations under subparagraph (A)''; and
(3) in subparagraph (A) (as so designated)--
(A) by striking ``aggregate, $20,000 per
year or $80,000 during any 6-year period.'' and
inserting the following: ``aggregate--
``(i) through fiscal year 2018--
``(I) $20,000 per year; or
``(II) $80,000 during any
6-year period; and''; and
(B) by adding at the end the following:
``(ii) during the period of fiscal
years 2019 through 2023, $140,000.''.
(g) Conservation Incentive Contracts.--Section 1240B of the
Food Security Act of 1985 (16 U.S.C. 3839aa-2) is amended by
adding at the end the following:
``(j) Conservation Incentive Contracts.--
``(1) Identification of eligible priority resource
concerns for states.--
``(A) In general.--The Secretary, in
consultation with the applicable State
technical committee established under section
1261(a), shall identify watersheds (or other
appropriate regions or areas within a State)
and the corresponding priority resource
concerns for those watersheds or other regions
or areas that are eligible to be the subject of
an incentive contract under this subsection.
``(B) Limitation.--For each of the relevant
land uses within the watersheds, regions, or
other areas identified under subparagraph (A),
the Secretary shall identify not more than 3
eligible priority resource concerns.
``(2) Contracts.--
``(A) Authority.--
``(i) In general.--The Secretary
shall enter into contracts with
producers under this subsection that
require the implementation, adoption,
management, and maintenance of
incentive practices that effectively
address at least 1 eligible priority
resource concern identified under
paragraph (1) for the term of the
contract.
``(ii) Inclusions.--Through a
contract entered into under clause (i),
the Secretary may provide--
``(I) funding, through
annual payments, for certain
incentive practices to attain
increased levels of
conservation on eligible land;
or
``(II) assistance, through
a practice payment, to
implement an incentive
practice.
``(B) Term.--A contract under this
subsection shall have a term of not less than
5, and not more than 10, years.
``(C) Prioritization.--Notwithstanding
section 1240C, the Secretary shall develop
criteria for evaluating incentive practice
applications that--
``(i) give priority to applications
that address eligible priority resource
concerns identified under paragraph
(1); and
``(ii) evaluate applications
relative to other applications for
similar agriculture and forest
operations.
``(3) Incentive practice payments.--
``(A) In general.--The Secretary shall
provide payments to producers through contracts
entered into under paragraph (2) for--
``(i) adopting and installing
incentive practices; and
``(ii) managing, maintaining, and
improving the incentive practices for
the duration of the contract, as
determined appropriate by the
Secretary.
``(B) Payment amounts.--In determining the
amount of payments under subparagraph (A), the
Secretary shall consider, to the extent
practicable--
``(i) the level and extent of the
incentive practice to be installed,
adopted, completed, maintained,
managed, or improved;
``(ii) the cost of the
installation, adoption, completion,
management, maintenance, or improvement
of the incentive practice;
``(iii) income foregone by the
producer, including payments, as
appropriate, to address--
``(I) increased economic
risk;
``(II) loss in revenue due
to anticipated reductions in
yield; and
``(III) economic losses
during transition to a
resource-conserving cropping
system or resource-conserving
land use; and
``(iv) the extent to which
compensation would ensure long-term
continued maintenance, management, and
improvement of the incentive practice.
``(C) Delivery of payments.--In making
payments under subparagraph (A), the Secretary
shall, to the extent practicable--
``(i) in the case of annual
payments under paragraph (2)(A)(ii)(I),
make those payments as soon as
practicable after October 1 of each
fiscal year for which increased levels
of conservation are maintained during
the term of the contract; and
``(ii) in the case of practice
payments under paragraph
(2)(A)(ii)(II), make those payments as
soon as practicable on the
implementation of an incentive
practice.''.
SEC. 2305. ENVIRONMENTAL QUALITY INCENTIVES PROGRAM PLAN.
Section 1240E(a)(3) of the Food Security Act of 1985 (16
U.S.C. 3839aa-5(a)(3)) is amended by inserting ``progressive''
before ``implementation''.
SEC. 2306. LIMITATION ON PAYMENTS UNDER ENVIRONMENTAL QUALITY
INCENTIVES PROGRAM.
Section 1240G of the Food Security Act of 1985 (16 U.S.C.
3839aa-7) is amended--
(1) by striking ``A person'' and inserting ``Not
including payments made under section 1240B(j), a
person''; and
(2) by inserting ``or the period of fiscal years
2019 through 2023,'' after ``2018,''.
SEC. 2307. CONSERVATION INNOVATION GRANTS AND PAYMENTS.
(a) Competitive Grants for Innovative Conservation
Approaches.--Section 1240H(a)(2) of the Food Security Act of
1985 (16 U.S.C. 3839aa-8(a)(2)) is amended--
(1) in subparagraph (A), by striking ``program;''
and inserting ``program or community colleges (as
defined in section 1473E(a) of the National
Agricultural Research, Extension, and Teaching Policy
Act of 1977 (7 U.S.C. 3319e(a))) carrying out
demonstration projects on land of the community
college;'';
(2) by redesignating subparagraphs (E) and (F) as
subparagraphs (G) and (H), respectively; and
(3) by inserting after subparagraph (D) the
following:
``(E) partner with farmers to develop
innovative practices for urban, indoor, or
other emerging agricultural operations;
``(F) utilize edge-of-field and other
monitoring practices on farms--
``(i) to quantify the impacts of
practices implemented under the
program; and
``(ii) to assist producers in
making the best conservation
investments for the operations of the
producers;''.
(b) Air Quality Concerns From Agricultural Operations.--
Section 1240H(b)(2) of the Food Security Act of 1985 (16 U.S.C.
3839aa-8(b)(2)) is amended by striking ``$25,000,000 for each
of fiscal years 2009 through 2018'' and inserting ``$37,500,000
for each of fiscal years 2019 through 2023''.
(c) On-Farm Conservation Innovation Trials; Reporting and
Database.--Section 1240H of the Food Security Act of 1985 (16
U.S.C. 3839aa-8) is amended by striking subsection (c) and
inserting the following:
``(c) On-Farm Conservation Innovation Trials.--
``(1) Definitions.--In this subsection:
``(A) Eligible entity.--The term `eligible
entity' means, as determined by the Secretary--
``(i) a third-party private entity
the primary business of which is
related to agriculture;
``(ii) a nongovernmental
organization with experience working
with agricultural producers; or
``(iii) a governmental
organization.
``(B) New or innovative conservation
approach.--The term `new or innovative
conservation approach' means--
``(i) new or innovative--
``(I) precision agriculture
technologies;
``(II) enhanced nutrient
management plans, nutrient
recovery systems, and
fertilization systems;
``(III) soil health
management systems, including
systems to increase soil carbon
levels;
``(IV) water management
systems;
``(V) resource-conserving
crop rotations (as defined in
section 1240L(d)(1));
``(VI) cover crops; and
``(VII) irrigation systems;
and
``(ii) any other conservation
approach approved by the Secretary as
new or innovative.
``(2) Testing new or innovative conservation
approaches.--Using $25,000,000 of the funds made
available to carry out this subchapter for each of
fiscal years 2019 through 2023, the Secretary shall
carry out on-farm conservation innovation trials, on
eligible land of producers, to test new or innovative
conservation approaches--
``(A) directly with producers; or
``(B) through eligible entities.
``(3) Incentive payments.--
``(A) Agreements.--In carrying out
paragraph (2), the Secretary shall enter into
agreements with producers (either directly or
through eligible entities) on whose land an on-
farm conservation innovation trial is being
carried out to provide payments (including
payments to compensate for foregone income, as
appropriate to address the increased economic
risk potentially associated with new or
innovative conservation approaches) to the
producers to assist with adopting and
evaluating new or innovative conservation
approaches to achieve conservation benefits.
``(B) Adjusted gross income requirements.--
``(i) In general.--Adjusted gross
income requirements under section
1001D(b)(1) shall--
``(I) apply to producers
receiving payments under this
subsection; and
``(II) be enforced by the
Secretary.
``(ii) Reporting.--An eligible
entity participating in an on-farm
conservation innovation trial under
this subsection shall report annually
to the Secretary on the amount of
payments made to individual farm
operations under this subsection.
``(C) Limitation on administrative
expenses.--None of the funds made available to
carry out this subsection may be used to pay
for the administrative expenses of an eligible
entity.
``(D) Length of agreements.--An agreement
entered into under subparagraph (A) shall be
for a period determined by the Secretary that
is--
``(i) not less than 3 years; and
``(ii) if appropriate, more than 3
years, including if such a period is
appropriate to support--
``(I) adaptive management
over multiple crop years; and
``(II) adequate data
collection and analysis by a
producer or eligible entity to
report the natural resource and
agricultural production
benefits of the new or
innovative conservation
approaches to the Secretary.
``(4) Flexible adoption.--The scale of adoption of
a new or innovative conservation approach under an on-
farm conservation innovation trial under an agreement
under paragraph (2) may include multiple scales on an
operation, including whole farm, field-level, or sub-
field scales.
``(5) Technical assistance.--The Secretary shall
provide technical assistance--
``(A) to each producer or eligible entity
participating in an on-farm conservation
innovation trial under paragraph (2) with
respect to the design, installation, and
management of the new or innovative
conservation approaches; and
``(B) to each eligible entity participating
in an on-farm conservation innovation trial
under paragraph (2) with respect to data
analyses of the on-farm conservation innovation
trial.
``(6) Geographic scope.--The Secretary shall
identify a diversity of geographic regions of the
United States in which to establish on-farm
conservation innovation trials under paragraph (2),
taking into account factors such as soil type, cropping
history, and water availability.
``(7) Soil health demonstration trial.--Using funds
made available to carry out this subsection, the
Secretary shall carry out a soil health demonstration
trial under which the Secretary coordinates with
eligible entities--
``(A) to provide incentives to producers to
implement conservation practices that--
``(i) improve soil health;
``(ii) increase carbon levels in
the soil; or
``(iii) meet the goals described in
clauses (i) and (ii);
``(B) to establish protocols for measuring
carbon levels in the soil and testing carbon
levels on land where conservation practices
described in subparagraph (A) were applied to
evaluate gains in soil health as a result of
the practices implemented by the producers in
the soil health demonstration trial; and
``(C)(i) not later than September 30, 2020,
to initiate a study regarding changes in soil
health and, if feasible, economic outcomes,
generated as a result of the conservation
practices described in subparagraph (A) that
were applied by producers through the soil
health demonstration trial; and
``(ii) to submit to the Committee on
Agriculture of the House of Representatives and
the Committee on Agriculture, Nutrition, and
Forestry of the Senate annual reports on the
progress and results of the study under clause
(i).
``(d) Reporting and Database.--
``(1) Report required.--Not later than September
30, 2019, and every 2 years thereafter, the Secretary
shall submit to the Committee on Agriculture of the
House of Representatives and the Committee on
Agriculture, Nutrition, and Forestry of the Senate a
report on the status of activities funded under this
section, including--
``(A) funding awarded;
``(B) results of the activities, including,
if feasible, economic outcomes;
``(C) incorporation of findings from the
activities, such as new technology and
innovative approaches, into the conservation
efforts implemented by the Secretary; and
``(D) on completion of the study required
under subsection (c)(7)(C), the findings of the
study.
``(2) Conservation practice database.--
``(A) In general.--The Secretary shall use
the data reported under paragraph (1) to
establish and maintain a publicly available
conservation practice database that provides--
``(i) a compilation and analysis of
effective conservation practices for
soil health, nutrient management, and
source water protection in varying soil
compositions, cropping systems, slopes,
and landscapes; and
``(ii) a list of recommended new
and effective conservation practices.
``(B) Privacy.--Information provided under
subparagraph (A) shall be transformed into a
statistical or aggregate form so as to not
include any identifiable or personal
information of individual producers.''.
SEC. 2308. CONSERVATION STEWARDSHIP PROGRAM.
(a) Definitions.--Section 1240I of the Food Security Act of
1985 (as redesignated by section 2301(b)) is amended--
(1) in paragraph (2)(B)--
(A) in clause (i), by striking ``and'' at
the end;
(B) in clause (ii), by striking the period
at the end and inserting a semicolon; and
(C) by adding at the end the following:
``(iii) development of a
comprehensive conservation plan, as
defined in section 1240L(e)(1);
``(iv) soil health planning,
including planning to increase soil
organic matter; and
``(v) activities that will assist a
producer to adapt to, or mitigate
against, increasing weather
volatility.''; and
(2) in paragraph (7), by striking the period at the
end and inserting the following: ``through the use of--
``(A) quality criteria under a resource
management system;
``(B) predictive analytics tools or models
developed or approved by the Natural Resources
Conservation Service;
``(C) data from past and current enrollment
in the program; and
``(D) other methods that measure
conservation and improvement in priority
resource concerns, as determined by the
Secretary.''.
(b) Conservation Stewardship Program.--
(1) Establishment.--Subsection (a) of section 1240J
of the Food Security Act of 1985 (as redesignated by
section 2301(b)) is amended in the matter preceding
paragraph (1) by striking ``2014 through 2018'' and
inserting ``2019 through 2023''.
(2) Exclusions.--Subsection (b)(2) of section 1240J
of the Food Security Act of 1985 (as redesignated by
section 2301(b)) is amended in the matter preceding
paragraph (1) by striking ``the Agricultural Act of
2014'' and inserting the ``Agriculture Improvement Act
of 2018''.
(c) Stewardship Contracts.--Section 1240K of the Food
Security Act of 1985 (as redesignated by section 2301(b)) is
amended--
(1) in subsection (b), by striking paragraph (1)
and inserting the following:
``(1) Ranking of applications.--
``(A) In general.--In evaluating contract
offers submitted under subsection (a) and
contract renewals under subsection (e), the
Secretary shall rank applications based on--
``(i) the natural resource
conservation and environmental benefits
that result from the conservation
treatment on all applicable priority
resource concerns at the time of
submission of the application;
``(ii) the degree to which the
proposed conservation activities
increase natural resource conservation
and environmental benefits; and
``(iii) other consistent criteria,
as determined by the Secretary.
``(B) Additional criterion.--If 2 or more
applications receive the same ranking under
subparagraph (A), the Secretary shall rank
those contracts based on the extent to which
the actual and anticipated conservation
benefits from each contract are provided at the
lowest cost relative to other similarly
beneficial contract offers.'';
(2) in subsection (c)--
(A) by striking ``the program under
subsection (a)'' and inserting ``a contract or
contract renewal under this section'';
(B) by inserting ``or contract renewal''
before ``offer ranks'';
(C) by inserting ``or contract renewal''
after ``stewardship contract''; and
(D) by adding ``or contract renewal''
before the period at the end;
(3) in subsection (d)(2)(A), by striking
``1238G(d)'' and inserting ``1240L(c)''; and
(4) in subsection (e)--
(A) in the matter preceding paragraph (1),
by striking ``At the end'' and all that follows
through ``period'' the second place it appears
and inserting the following: ``The Secretary
may provide the producer an opportunity to
renew an existing contract in the first half of
the fifth year of the contract period'';
(B) in paragraph (1), by striking
``initial'' and inserting ``existing'';
(C) in paragraph (2)--
(i) by inserting ``new or
improved'' after ``integrate''; and
(ii) by inserting ``demonstrating
continued improvement during the
additional 5-year period,'' after
``operation,''; and
(D) in paragraph (3)(B), by striking ``to
exceed the stewardship threshold of'' and
inserting ``to adopt or improve conservation
activities, as determined by the Secretary, to
achieve higher levels of performance with
respect to not less than''.
(d) Duties of Secretary.--Section 1240L of the Food
Security Act of 1985 (as redesignated by section 2301(b)) is
amended--
(1) in subsection (b), in the matter preceding
paragraph (1), by striking ``acres'' and inserting
``funding'';
(2) by striking subsection (c);
(3) by redesignating subsections (d) and (e) as
subsections (c) and (d), respectively;
(4) in subsection (c) (as so redesignated), by
adding at the end the following:
``(5) Payment for cover crop activities.--The
amount of a payment under this subsection for cover
crop activities shall be not less than 125 percent of
the annual payment amount determined by the Secretary
under paragraph (2).'';
(5) in subsection (d) (as so redesignated)--
(A) in the subsection heading, by inserting
``and Advanced Grazing Management'' after
``Rotations'';
(B) by striking paragraph (2);
(C) by redesignating paragraphs (1) and (4)
as paragraphs (2) and (1), respectively, and
moving the paragraphs so as to appear in
numerical order;
(D) in paragraph (1) (as so redesignated)--
(i) by redesignating subparagraphs
(A) through (D) and (E) as clauses (i)
through (iv) and (vi), respectively,
and indenting appropriately;
(ii) by striking the paragraph
designation and all that follows
through ``the term'' in the matter
preceding clause (i) (as so
redesignated) and inserting the
following:
``(1) Definitions.--In this subsection:
``(A) Advanced grazing management.--The
term `advanced grazing management' means the
use of a combination of grazing practices (as
determined by the Secretary), which may include
management-intensive rotational grazing, that
provide for--
``(i) improved soil health and
carbon sequestration;
``(ii) drought resilience;
``(iii) wildlife habitat;
``(iv) wildfire mitigation;
``(v) control of invasive plants;
and
``(vi) water quality improvement.
``(B) Management-intensive rotational
grazing.--The term `management-intensive
rotational grazing' means a strategic,
adaptively managed multipasture grazing system
in which animals are regularly and
systematically moved to fresh pasture in a
manner that--
``(i) maximizes the quantity and
quality of forage growth;
``(ii) improves manure distribution
and nutrient cycling;
``(iii) increases carbon
sequestration from greater forage
harvest;
``(iv) improves the quality and
quantity of cover for wildlife;
``(v) provides permanent cover to
protect the soil from erosion; and
``(vi) improves water quality.
``(C) Resource-conserving crop rotation.--
The term''; and
(iii) in subparagraph (C) (as so
designated)--
(I) in clause (iv) (as so
redesignated), by striking
``and'' at the end; and
(II) by inserting after
clause (iv) (as so
redesignated) the following:
``(v) builds soil organic matter;
and'';
(E) in paragraph (2) (as so redesignated),
by striking ``improve resource-conserving'' and
all that follows through the period at the end
and inserting the following: ``improve, manage,
and maintain--
``(A) resource-conserving crop rotations;
or
``(B) advanced grazing management.'';
(F) in paragraph (3)--
(i) by striking ``paragraph (1)''
and inserting ``paragraph (2)''; and
(ii) by striking ``and maintain''
and all that follows through the period
at the end and inserting ``or improve,
manage, and maintain resource-
conserving crop rotations or advanced
grazing management for the term of the
contract.''; and
(G) by adding at the end the following:
``(4) Amount of payment.--An additional payment
provided under paragraph (2) shall be not less than 150
percent of the annual payment amount determined by the
Secretary under subsection (c)(2).'';
(6) by inserting after subsection (d) (as so
redesignated) the following:
``(e) Payment for Comprehensive Conservation Plan.--
``(1) Definition of comprehensive conservation
plan.--In this subsection, the term `comprehensive
conservation plan' means a conservation plan that meets
or exceeds the stewardship threshold for each priority
resource concern identified by the Secretary under
subsection (a)(2).
``(2) Payment for comprehensive conservation
plan.--The Secretary shall provide a 1-time payment to
a producer that develops a comprehensive conservation
plan.
``(3) Amount of payment.--The Secretary shall
determine the amount of payment under paragraph (2)
based on--
``(A) the number of priority resource
concerns addressed in the comprehensive
conservation plan; and
``(B) the number of types of land uses
included in the comprehensive conservation
plan.'';
(7) in subsection (f), by striking ``2014 through
2018'' and inserting ``2019 through 2023'';
(8) in subsection (h)--
(A) by striking the subsection designation
and heading and all that follows through ``The
Secretary'' and inserting the following:
``(h) Organic Certification.--
``(1) Coordination.--The Secretary''; and
(B) by adding at the end the following:
``(2) Allocation.--
``(A) In general.--Using funds made
available for the program for each of fiscal
years 2019 through 2023, the Secretary shall
allocate funding to States to support organic
production and transition to organic production
through paragraph (1).
``(B) Determination.--The Secretary shall
determine the allocation to a State under
subparagraph (A) based on--
``(i) the number of certified and
transitioning organic operations within
the State; and
``(ii) the number of acres of
certified and transitioning organic
production within the State.''; and
(9) by adding at the end the following:
``(j) Streamlining and Coordination.--To the maximum extent
feasible, the Secretary shall provide for streamlined and
coordinated procedures for the program and the environmental
quality incentives program under subchapter A, including
applications, contracting, conservation planning, conservation
practices, and related administrative procedures.
``(k) Soil Health.--To the maximum extent feasible, the
Secretary shall manage the program to enhance soil health.
``(l) Annual Report.--Each fiscal year, the Secretary shall
submit to the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture, Nutrition,
and Forestry of the Senate a report describing the payment
rates for conservation activities offered to producers under
the program and an analysis of whether payment rates can be
reduced for the most expensive conservation activities.''.
SEC. 2309. GRASSLAND CONSERVATION INITIATIVE.
Subchapter B of chapter 4 of subtitle D of title XII of the
Food Security Act of 1985 (as added by subsections (a)(2) and
(b) of section 2301) is amended by adding at the end the
following:
``SEC. 1240L-1. GRASSLAND CONSERVATION INITIATIVE.
``(a) Definitions.--In this section:
``(1) Eligible land.--Notwithstanding sections
1240I(4) and 1240J(b)(2), the term `eligible land'
means cropland on a farm for which base acres have been
maintained by the Secretary under section 1112(d)(3) of
the Agricultural Act of 2014 (7 U.S.C. 9012(d)(3)).
``(2) Initiative.--The term `initiative' means the
grassland conservation initiative established under
subsection (b).
``(b) Establishment and Purpose.--The Secretary shall
establish within the program a grassland conservation
initiative for the purpose of assisting producers in protecting
grazing uses, conserving and improving soil, water, and
wildlife resources, and achieving related conservation values
by conserving eligible land through grassland conservation
contracts under subsection (e).
``(c) Election.--Beginning in fiscal year 2019, the
Secretary shall provide a 1-time election to enroll eligible
land in the initiative under a contract described in subsection
(e).
``(d) Method of Enrollment.--The Secretary shall--
``(1) notwithstanding subsection (b) of section
1240K, determine under subsection (c) of that section
that eligible land ranks sufficiently high under the
evaluation criteria described in subsection (b) of that
section; and
``(2) enroll the eligible land in the initiative
under a contract described in subsection (e).
``(e) Grassland Conservation Contract.--
``(1) In general.--Notwithstanding section
1240K(a)(1), to enroll eligible land in the initiative
under a grassland conservation contract, a producer
shall agree--
``(A) to meet or exceed the stewardship
threshold for not less than 1 priority resource
concern by the date on which the contract
expires; and
``(B) to comply with the terms and
conditions of the contract.
``(2) Terms.--A grassland conservation contract
entered into under this section shall--
``(A)(i) be for a single 5-year term; and
``(ii) not be subject to renewal or
reenrollment under section 1240K(e); and
``(B) be subject to section 1240K(d).
``(3) Early termination.--The Secretary shall allow
a producer that enters into a grassland conservation
contract under this section--
``(A) to terminate the contract at any
time; and
``(B) to retain payments already received
under the contract.
``(f) Grassland Conservation Plan.--The grassland
conservation plan developed for eligible land shall be limited
to--
``(1) eligible land; and
``(2) resource concerns and activities relating to
grassland.
``(g) Payments.--
``(1) In general.--Beginning in fiscal year 2019,
of the funds made available for this subchapter under
section 1241(a)(3)(B), and notwithstanding any payment
under title I of the Agriculture Improvement Act of
2018, an amendment made by that title, or section
1240L(c), the Secretary shall make annual grassland
conservation contract payments to the producer of any
eligible land that is the subject of a grassland
conservation contract under this section.
``(2) Payment noneligibility.--A grassland
conservation contract under this section shall not be--
``(A) eligible for payments under section
1240L(d); or
``(B) subject to the payment limitations
under this subchapter.
``(3) Limitation.--The amount of an annual payment
under this subsection shall be $18 per acre, not to
exceed the number of base acres on a farm.
``(h) Considered Planted.--The Secretary shall consider
land enrolled under a grassland conservation contract under
this section during a crop year to be planted or considered
planted to a covered commodity (as defined in section 1111 of
the Agricultural Act of 2014 (7 U.S.C. 9011)) during that crop
year.
``(i) Other Contracts.--A producer with an agricultural
operation that contains land eligible under this section and
land eligible under section 1240K--
``(1) may enroll the land eligible under this
section through a contract under this section or under
section 1240K; and
``(2) shall not be prohibited from enrolling the
land eligible under section 1240K through a contract
under section 1240K.''.
Subtitle D--Other Conservation Programs
SEC. 2401. WATERSHED PROTECTION AND FLOOD PREVENTION.
(a) Assistance to Local Organizations.--Section 3 of the
Watershed Protection and Flood Prevention Act (16 U.S.C. 1003)
is amended--
(1) by striking the section designation and all
that follows through ``In order to assist'' and
inserting the following:
``SEC. 3. ASSISTANCE TO LOCAL ORGANIZATIONS.
``(a) In General.--In order to assist''; and
(2) by adding at the end the following:
``(b) Waiver.--The Secretary may waive the watershed plan
for works of improvement if the Secretary determines that--
``(1) the watershed plan is unnecessary or
duplicative; and
``(2) the works of improvement are otherwise
consistent with applicable requirements under section
4.''.
(b) Authorization of Appropriations.--Section 14(h)(2)(E)
of the Watershed Protection and Flood Prevention Act (16 U.S.C.
1012(h)(2)(E)) is amended by striking ``2018'' and inserting
``2023''.
(c) Funds of Commodity Credit Corporation.--The Watershed
Protection and Flood Prevention Act (16 U.S.C. 1001 et seq.) is
amended by adding at the end the following:
``SEC. 15. FUNDING.
``In addition to any other funds made available by this
Act, of the funds of the Commodity Credit Corporation, the
Secretary shall make available to carry out this Act
$50,000,000 for fiscal year 2019 and each fiscal year
thereafter.''.
SEC. 2402. SOIL AND WATER RESOURCES CONSERVATION.
The Soil and Water Resources Conservation Act of 1977 (16
U.S.C. 2001 et seq.) is amended--
(1) in section 5(e) (16 U.S.C. 2004(e)), by
striking ``and December 31, 2015'' and inserting
``December 31, 2015, and December 31, 2022'';
(2) in section 6(d) (16 U.S.C. 2005(d)), by
striking ``, respectively'' and inserting ``, and a
program update shall be completed by December 31,
2023'';
(3) in section 7 (16 U.S.C. 2006)--
(A) in subsection (a), by striking ``and
2016'' and inserting ``, 2016, and 2022''; and
(B) in subsection (b), in the matter
preceding paragraph (1), by striking ``and
2017'' and inserting ``, 2017, and 2023''; and
(4) in section 10 (16 U.S.C. 2009), by striking
``2018'' and inserting ``2023''.
SEC. 2403. EMERGENCY CONSERVATION PROGRAM.
(a) Repair or Replacement of Fencing.--
(1) In general.--Section 401 of the Agricultural
Credit Act of 1978 (16 U.S.C. 2201) is amended--
(A) by inserting ``wildfires,'' after
``hurricanes,'';
(B) by striking the section designation and
all that follows through ``The Secretary of
Agriculture'' and inserting the following:
``SEC. 401. EMERGENCY CONSERVATION PROGRAM.
``(a) In General.--The Secretary of Agriculture (referred
to in this title as the `Secretary')''; and
(C) by adding at the end the following:
``(b) Repair or Replacement of Fencing.--
``(1) In general.--With respect to a payment to an
agricultural producer under subsection (a) for the
repair or replacement of fencing, the Secretary shall
give the agricultural producer the option of receiving
not more than 25 percent of the payment, determined by
the Secretary based on the applicable percentage of the
fair market value of the cost of the repair or
replacement, before the agricultural producer carries
out the repair or replacement.
``(2) Return of funds.--If the funds provided under
paragraph (1) are not expended by the end of the 60-day
period beginning on the date on which the agricultural
producer receives those funds, the funds shall be
returned within a reasonable timeframe, as determined
by the Secretary.''.
(2) Conforming amendments.--
(A) Sections 402, 403, 404, and 405 of the
Agricultural Credit Act of 1978 (16 U.S.C.
2202, 2203, 2204, 2205) are amended by striking
``Secretary of Agriculture'' each place it
appears and inserting ``Secretary''.
(B) Section 407(a) of the Agricultural
Credit Act of 1978 (16 U.S.C. 2206(a)) is
amended by striking paragraph (4).
(b) Cost Share Payments.--Title IV of the Agricultural
Credit Act of 1978 is amended by inserting after section 402
(16 U.S.C. 2202) the following:
``SEC. 402A. COST-SHARE REQUIREMENT.
``(a) Cost-share Rate.--Subject to subsections (b) and (c),
the maximum cost-share payment under sections 401 and 402 shall
not exceed 75 percent of the total allowable cost, as
determined by the Secretary.
``(b) Exception.--Notwithstanding subsection (a), a payment
to a limited resource farmer or rancher, a socially
disadvantaged farmer or rancher (as defined in subsection (a)
of section 2501 of the Food, Agriculture, Conservation, and
Trade Act of 1990 (7 U.S.C. 2279), or a beginning farmer or
rancher under section 401 or 402 shall not exceed 90 percent of
the total allowable cost, as determined by the Secretary.
``(c) Limitation.--The total payment under sections 401 and
402 for a single event may not exceed 50 percent of the
agriculture value of the land, as determined by the
Secretary.''.
(c) Payment Limitations.--Title IV of the Agricultural
Credit Act of 1978 (16 U.S.C. 2201 et seq.) is amended by
inserting after section 402A (as added by subsection (b)) the
following:
``SEC. 402B. PAYMENT LIMITATION.
``The maximum payment made under the emergency conservation
program to an agricultural producer under sections 401 and 402
shall not exceed $500,000.''.
(d) Watershed Protection Program.--Section 403 of the
Agricultural Credit Act of 1978 (16 U.S.C. 2203) is amended--
(1) by striking the section heading and inserting
``emergency watershed program''; and
(2) in subsection (a), by inserting ``watershed
protection'' after ``emergency''.
(e) Funding and Administration.--Section 404 of the
Agricultural Credit Act of 1978 (16 U.S.C. 2204) is amended--
(1) in the fourth sentence, by striking ``The
Corporation'' and inserting the following:
``(d) Limitation.--The Commodity Credit Corporation'';
(2) in the third sentence (as amended by subsection
(a)(2)(A)), by striking ``In implementing the
provisions of'' and inserting the following:
``(c) Use of Commodity Credit Corporation.--In
implementing'';
(3) by striking the second sentence;
(4) by striking the section designation and all
that follows through ``There are authorized'' in the
first sentence and inserting the following:
``SEC. 404. FUNDING AND ADMINISTRATION.
``(a) Authorization of Appropriations.--There are
authorized'';
(5) in subsection (a) (as so designated), by
inserting ``, to remain available until expended''
before the period at the end; and
(6) by inserting after subsection (a) (as so
designated) the following:
``(b) Set-aside for Fencing.--Of the amounts made available
under subsection (a) for a fiscal year, 25 percent shall be set
aside until April 1 of that fiscal year for the repair or
replacement of fencing.''.
SEC. 2404. CONSERVATION OF PRIVATE GRAZING LAND.
Section 1240M of the Food Security Act of 1985 (16 U.S.C.
3839bb) is amended--
(1) in subsection (c)(2), by adding at the end the
following:
``(C) Partnerships.--In carrying out the
program under this section, the Secretary shall
provide education and outreach activities
through partnerships with--
``(i) land-grant colleges and
universities (as defined in section
1404 of the National Agricultural
Research, Extension, and Teaching
Policy Act of 1977 (7 U.S.C. 3103));
and
``(ii) nongovernmental
organizations.''; and
(2) in subsection (e), by striking ``2018'' and
inserting ``2023''.
SEC. 2405. GRASSROOTS SOURCE WATER PROTECTION PROGRAM.
(a) Authorization of Appropriations.--Section 1240O(b)(1)
of the Food Security Act of 1985 (16 U.S.C. 3839bb-2(b)(1)) is
amended by striking ``2018'' and inserting ``2023''.
(b) Availability of Funds.--Section 1240O(b) of the Food
Security Act of 1985 (16 U.S.C. 3839bb-2(b)) is amended by
adding at the end the following:
``(3) Additional funding.--In addition to any other
funds made available under this subsection, of the
funds of the Commodity Credit Corporation, the
Secretary shall use $5,000,000 beginning in fiscal year
2019, to remain available until expended.''.
SEC. 2406. VOLUNTARY PUBLIC ACCESS AND HABITAT INCENTIVE PROGRAM.
Section 1240R of the Food Security Act of 1985 (16 U.S.C.
3839bb-5) is amended--
(1) in subsections (a) and (c), by striking
``grants'' each place it appears and inserting
``funding'';
(2) in subsections (b) and (d)(2), by striking ``a
grant'' each place it appears and inserting
``funding'';
(3) in subsection (c)(3) (as amended by section
2202(b)(1)), by inserting ``or on land covered by a
wetland reserve easement under section 1265C'' before
``by providing''; and
(4) in subsection (f)--
(A) in paragraph (1)--
(i) by striking ``2012 and'' and
inserting ``2012,''; and
(ii) by inserting ``, and
$50,000,000 for the period of fiscal
years 2019 through 2023'' before the
period at the end;
(B) by redesignating paragraph (2) as
paragraph (3); and
(C) by inserting after paragraph (1) the
following:
``(2) Enhanced public access to wetland reserve
easements.--To the maximum extent practicable, of the
funds made available under paragraph (1), the Secretary
shall use $3,000,000 for the period of fiscal years
2019 through 2023 to encourage public access to land
covered by wetland reserve easements under section
1265C through agreements with States and tribal
governments under this section.''.
SEC. 2407. WILDLIFE MANAGEMENT.
(a) In General.--The Secretary and the Secretary of the
Interior shall continue to carry out the Working Lands for
Wildlife model of conservation on working landscapes, as
implemented on the day before the date of enactment of this
Act, in accordance with--
(1) the document entitled ``Partnership Agreement
Between the United States Department of Agriculture
Natural Resources Conservation Service and the United
States Department of the Interior Fish and Wildlife
Service'', numbered A-3A7516-937, and formalized by the
Chief of the Natural Resources Conservation Service on
September 15, 2016, and by the Director of the United
States Fish and Wildlife Service on August 4, 2016, as
in effect on September 15, 2016; and
(2) United States Fish and Wildlife Service
Director's Order No. 217, dated August 9, 2016, as in
effect on August 9, 2016.
(b) Expansion of Model.--The Secretary and the Secretary of
the Interior may expand the conservation model described in
subsection (a) through a new partnership agreement between the
Farm Service Agency and the United States Fish and Wildlife
Service for the purpose of carrying out conservation activities
for species conservation.
(c) Extension of Period of Regulatory Predictability.--
(1) Definition of period of regulatory
predictability.--In this subsection, the term ``period
of regulatory predictability'' means the period of
regulatory predictability under the Endangered Species
Act of 1973 (16 U.S.C. 1531 et seq.) initially
determined in accordance with the document and order
described in paragraphs (1) and (2), respectively, of
subsection (a).
(2) Extension.--After the period of regulatory
predictability, on request of the Secretary, the
Secretary of the Interior, acting through the Director
of the United States Fish and Wildlife Service, may
provide additional consultation under section 7(a)(2)
of the Endangered Species Act of 1973 (16 U.S.C.
1536(a)(2)), or additional conference under section
7(a)(4) of that Act (16 U.S.C. 1536(a)(4)), as
applicable, with the Chief of the Natural Resources
Conservation Service or the Administrator of the Farm
Service Agency, as applicable, to extend the period of
regulatory predictability.
SEC. 2408. FERAL SWINE ERADICATION AND CONTROL PILOT PROGRAM.
(a) In General.--The Secretary shall establish a feral
swine eradication and control pilot program to respond to the
threat feral swine pose to agriculture, native ecosystems, and
human and animal health.
(b) Duties of the Secretary.--In carrying out the pilot
program, the Secretary shall--
(1) study and assess the nature and extent of
damage to the pilot areas caused by feral swine;
(2) develop methods to eradicate or control feral
swine in the pilot areas;
(3) develop methods to restore damage caused by
feral swine; and
(4) provide financial assistance to agricultural
producers in pilot areas.
(c) Assistance.--The Secretary may provide financial
assistance to agricultural producers under the pilot program to
implement methods to--
(1) eradicate or control feral swine in the pilot
areas; and
(2) restore damage caused by feral swine.
(d) Coordination.--The Secretary shall ensure that the
Natural Resources Conservation Service and the Animal and Plant
Health Inspection Service coordinate for purposes of this
section through State technical committees established under
section 1261(a) of the Food Security Act of 1985 (16 U.S.C.
3861(a)).
(e) Pilot Areas.--The Secretary shall carry out the pilot
program in areas of States in which feral swine have been
identified as a threat to agriculture, native ecosystems, or
human or animal health, as determined by the Secretary.
(f) Cost Sharing.--
(1) Federal share.--The Federal share of the costs
of activities under the pilot program may not exceed 75
percent of the total costs of such activities.
(2) In-kind contributions.--The non-Federal share
of the costs of activities under the pilot program may
be provided in the form of in-kind contributions of
materials or services.
(g) Funding.--
(1) Mandatory funding.--Of the funds of the
Commodity Credit Corporation, the Secretary shall use
to carry out this section $75,000,000 for the period of
fiscal years 2019 through 2023.
(2) Distribution of funds.--Of the funds made
available under paragraph (1)--
(A) 50 percent shall be allocated to the
Natural Resources Conservation Service to carry
out the pilot program, including the provision
of financial assistance to producers for on-
farm trapping and technology related to
capturing and confining feral swine; and
(B) 50 percent shall be allocated to the
Animal and Plant Health Inspection Service to
carry out the pilot program, including the use
of established, and testing of innovative,
population reduction methods.
(3) Limitation on administrative expenses.--Not
more than 10 percent of funds made available under this
section may be used for administrative expenses of the
pilot program.
SEC. 2409. REPORT ON SMALL WETLANDS.
(a) In General.--The Secretary, acting through the Chief of
the Natural Resources Conservation Service, shall submit to the
Committee on Agriculture of the House of Representatives and
the Committee on Agriculture, Nutrition, and Forestry of the
Senate a report describing the number of wetlands with an area
not more than 1 acre that have been delineated in each of the
States of North Dakota, South Dakota, Minnesota, and Iowa
during fiscal years 2014 through 2018.
(b) Requirement.--In the report under subsection (a), the
Secretary, acting through the Chief of the Natural Resources
Conservation Service, shall list the number of wetlands acres
in each State described in the report by tenths of an acre, and
ensure the report is based on the best available science.
SEC. 2410. SENSE OF CONGRESS RELATING TO INCREASED WATERSHED-BASED
COLLABORATION.
It is the sense of Congress that the Federal Government
should recognize and encourage partnerships at the watershed
level between nonpoint sources and regulated point sources to
advance the goals of the Federal Water Pollution Control Act
(33 U.S.C. 1251 et seq.) and provide benefits to farmers,
landowners, and the public.
Subtitle E--Funding and Administration
SEC. 2501. COMMODITY CREDIT CORPORATION.
(a) Annual Funding.--Section 1241(a) of the Food Security
Act of 1985 (16 U.S.C. 3841(a)) is amended--
(1) in the matter preceding paragraph (1), by
striking ``2018 (and fiscal year 2019 in the case of
the program specified in paragraph (5))'' and inserting
``2023'';
(2) in paragraph (1)--
(A) in subparagraph (A), by striking
``$10,000,000 for the period of fiscal years
2014 through 2018'' and inserting ``$12,000,000
for the period of fiscal years 2019 through
2023''; and
(B) in subparagraph (B)--
(i) by striking ``$33,000,000 for
the period of fiscal years 2014 through
2018'' and inserting ``$50,000,000 for
the period of fiscal years 2019 through
2023, including not more than
$5,000,000 to provide outreach and
technical assistance,''; and
(ii) by striking ``retired or
retiring owners and operators'' and
inserting ``contract holders'';
(3) in paragraph (2)--
(A) in subparagraph (D), by striking
``and'' at the end;
(B) in subparagraph (E), by striking the
period at the end and inserting ``; and''; and
(C) by adding at the end the following:
``(F) $450,000,000 for each of fiscal years
2019 through 2023.'';
(4) by striking paragraph (3) and inserting the
following:
``(3) The programs under chapter 4, using, to the
maximum extent practicable--
``(A) for the environmental quality
incentives program under subchapter A of that
chapter--
``(i) $1,750,000,000 for fiscal
year 2019;
``(ii) $1,750,000,000 for fiscal
year 2020;
``(iii) $1,800,000,000 for fiscal
year 2021;
``(iv) $1,850,000,000 for fiscal
year 2022; and
``(v) $2,025,000,000 for fiscal
year 2023; and
``(B) for the conservation stewardship
program under subchapter B of that chapter--
``(i) $700,000,000 for fiscal year
2019;
``(ii) $725,000,000 for fiscal year
2020;
``(iii) $750,000,000 for fiscal
year 2021;
``(iv) $800,000,000 for fiscal year
2022; and
``(v) $1,000,000,000 for fiscal
year 2023.'';
(5) in paragraph (4), by inserting ``(as in effect
on the day before the date of enactment of the
Agriculture Improvement Act of 2018), using such sums
as are necessary to administer contracts entered into
before that date of enactment'' before the period at
the end; and
(6) by striking paragraph (5).
(b) Availability of Funds.--Section 1241(b) of the Food
Security Act of 1985 (16 U.S.C. 3841(b)) is amended by striking
``2018 (and fiscal year 2019 in the case of the program
specified in subsection (a)(5))'' and inserting ``2023''.
(c) Report on Program Enrollments and Assistance.--Section
1241(i) of the Food Security Act of 1985 (16 U.S.C. 3841(i)) is
amended to read as follows:
``(i) Report on Program Enrollments and Assistance.--Not
later than December 15 of each of calendar years 2019 through
2023, the Secretary shall submit to the Committee on
Agriculture of the House of Representatives and the Committee
on Agriculture, Nutrition, and Forestry of the Senate an annual
report containing statistics by State related to enrollments in
conservation programs under this title, as follows:
``(1) The annual and current cumulative activity
reflecting active agreement and contract enrollment
statistics.
``(2) Secretarial exceptions, waivers, and
significant payments, including--
``(A) payments made under the agricultural
conservation easement program for easements
valued at $250,000 or greater;
``(B) payments made under the regional
conservation partnership program subject to the
waiver of adjusted gross income limitations
pursuant to section 1271C(c)(3);
``(C) waivers granted by the Secretary
under section 1001D(b)(3);
``(D) exceptions and activity associated
with section 1240B(h)(2); and
``(E) exceptions provided by the Secretary
under section 1265B(b)(2)(B)(ii).''.
(d) Allocations Review and Update.--Section 1241(g) of the
Food Security Act of 1985 (16 U.S.C. 3841(g)) is amended--
(1) in paragraph (1)--
(A) by striking ``January'' and all that
follows through ``shall'' and inserting ``1
year after the date of enactment of the
Agriculture Improvement Act of 2018, the
Secretary, acting through the Chief of the
Natural Resources Conservation Service and the
Administrator of the Farm Service Agency,
shall'';
(B) by inserting ``annual'' after
``utilize''; and
(C) by inserting ``relevant data on local
natural resource concerns, resource
inventories, evaluations and reports,
recommendations from State technical committees
established under section 1261(a),'' after
``accounting for''; and
(2) in paragraph (2)--
(A) by striking ``that the formulas'' and
inserting the following: ``that--
``(A) the formulas'';
(B) in subparagraph (A) (as so designated),
by striking the period at the end and inserting
a semicolon; and
(C) by adding at the end the following:
``(B) to the maximum extent practicable,
local natural resource concerns are considered
a leading factor in determining annual funding
allocation to States;
``(C) the process used at the national
level to evaluate State budget proposals and to
allocate funds is reviewed annually to assess
the effect of allocations in addressing
identified natural resource priorities and
objectives; and
``(D) the allocation of funds to States
addresses priority natural resource concerns
and objectives.''.
(e) Assistance to Certain Farmers or Ranchers for
Conservation Access.--Section 1241(h) of the Food Security Act
of 1985 (16 U.S.C. 3841(h)) is amended--
(1) in paragraph (1)--
(A) by redesignating subparagraphs (A) and
(B) as clauses (i) and (ii), respectively, and
indenting appropriately;
(B) in the matter preceding clause (i) (as
so redesignated), by striking ``Of the funds''
and inserting the following:
``(A) Fiscal years 2009 through 2018.--Of
the funds''; and
(C) by adding at the end the following:
``(B) Fiscal years 2019 through 2023.--Of
the funds made available for each of fiscal
years 2019 through 2023 to carry out the
environmental quality incentives program under
subchapter A of chapter 4 of subtitle D and the
conservation stewardship program under
subchapter B of chapter 4 of subtitle D, the
Secretary shall use, to the maximum extent
practicable--
``(i) 5 percent to assist beginning
farmers or ranchers; and
``(ii) 5 percent to assist socially
disadvantaged farmers or ranchers.'';
(2) in paragraph (2), by inserting ``and, in the
case of fiscal years 2019 through 2023, under the
conservation stewardship program under subchapter B of
chapter 4 of subtitle D'' before the period at the end;
(3) in paragraph (3), by striking ``year, acres not
obligated under paragraph (1)'' and inserting ``year
through fiscal year 2018, acres not obligated under
paragraph (1)(A)''; and
(4) in paragraph (4), by striking ``subparagraph
(A) or (B) of paragraph (1)'' and inserting ``, as
applicable, clause (i) or (ii) of paragraph (1)(A) or
clause (i) or (ii) of paragraph (1)(B)''.
(f) Conservation Standards and Requirements.--Section 1241
of the Food Security Act of 1985 (16 U.S.C. 3841) is amended by
adding at the end the following:
``(j) Conservation Standards and Requirements.--
``(1) In general.--Subject to the requirements of
this title, the Natural Resources Conservation Service
shall serve as the lead agency in developing and
establishing technical standards and requirements for
conservation programs carried out under this title,
including--
``(A) standards for conservation practices
under this title;
``(B) technical guidelines for implementing
conservation practices under this title,
including the location of the conservation
practices; and
``(C) standards for conservation plans.
``(2) Consistency of farm service agency technical
standards and payment rates.--The Administrator of the
Farm Service Agency shall ensure that--
``(A) technical standards of programs
administered by the Farm Service Agency are
consistent with the technical standards
established by the Natural Resources
Conservation Service under paragraph (1); and
``(B) payment rates, to the extent
practicable, are consistent between the Farm
Service Agency and the Natural Resources
Conservation Service.''.
SEC. 2502. DELIVERY OF TECHNICAL ASSISTANCE.
(a) Definitions.--Section 1242(a) of the Food Security Act
of 1985 (16 U.S.C. 3842(a)) is amended to read as follows:
``(a) Definitions.--In this section:
``(1) Eligible participant.--The term `eligible
participant' means a producer, landowner, or entity
that is participating in, or seeking to participate in,
programs in which the producer, landowner, or entity is
otherwise eligible to participate under this title or
the agricultural management assistance program under
section 524(b) of the Federal Crop Insurance Act (7
U.S.C. 1524(b)).
``(2) Third-party provider.--The term `third-party
provider' means a commercial entity (including a farmer
cooperative, agriculture retailer, or other commercial
entity (as defined by the Secretary)), a nonprofit
entity, a State or local government (including a
conservation district), or a Federal agency, that has
expertise in the technical aspect of conservation
planning, including nutrient management planning,
watershed planning, or environmental engineering.''.
(b) Certification Process.--Section 1242(e) of the Food
Security Act of 1985 (16 U.S.C. 3842(e)) is amended by adding
at the end the following:
``(4) Certification process.--The Secretary shall
certify a third-party provider through--
``(A) a certification process administered
by the Secretary, acting through the Chief of
the Natural Resources Conservation Service; or
``(B) a non-Federal entity approved by the
Secretary to perform the certification.
``(5) Streamlined certification.--The Secretary
shall provide a streamlined certification process for a
third-party provider that has an appropriate specialty
certification, including a sustainability
certification.''.
(c) Expedited Revision of Standards.--Section 1242(h) of
the Food Security Act of 1985 (16 U.S.C. 3842(h)) is amended--
(1) in paragraph (1)--
(A) by striking subparagraph (A) and
inserting the following:
``(A) not later than 1 year after the date
of enactment of the Agriculture Improvement Act
of 2018, complete a review of each conservation
practice standard, including engineering design
specifications, in effect on the day before the
date of enactment of that Act;'';
(B) in subparagraph (B), by striking
``and'' at the end;
(C) in subparagraph (C), by striking the
period at the end and inserting ``; and''; and
(D) by adding at the end the following:
``(D) evaluate opportunities to increase
flexibility in conservation practice standards
in a manner that ensures equivalent natural
resource benefits.'';
(2) in paragraph (2), by inserting ``State
technical committees established under section
1261(a),'' before ``crop consultants''; and
(3) by striking paragraph (3) and inserting the
following:
``(3) Expedited revision of standards.--Not later
than 1 year after the date of enactment of the
Agriculture Improvement Act of 2018, the Secretary
shall develop for the programs under this title an
administrative process for--
``(A) expediting the establishment and
revision of conservation practice standards;
``(B) considering conservation innovations
and scientific and technological advancements
with respect to any establishment or revision
under subparagraph (A);
``(C) allowing local flexibility in the
creation of--
``(i) interim practice standards
and supplements to existing practice
standards to address the considerations
described in subparagraph (B); and
``(ii) partnership-led proposals
for new and innovative techniques to
facilitate implementing agreements and
grants under this title; and
``(D) soliciting regular input from State
technical committees established under section
1261(a) for recommendations that identify
innovations or advancements described in
subparagraph (B).
``(4) Report.--Not later than 2 years after the
date of enactment of the Agriculture Improvement Act of
2018, and every 2 years thereafter, the Secretary shall
submit to Congress a report on--
``(A) the administrative process developed
under paragraph (3);
``(B) conservation practice standards that
were established or revised under that process;
and
``(C) conservation innovations that were
considered under that process.''.
SEC. 2503. ADMINISTRATIVE REQUIREMENTS FOR CONSERVATION PROGRAMS.
(a) Acreage Limitations.--Section 1244(f) of the Food
Security Act of 1985 (16 U.S.C. 3844(f)) is amended--
(1) in paragraph (1)(B), by striking ``10'' and
inserting ``15''; and
(2) in paragraph (5), by striking ``the
Agricultural Act of 2014'' and inserting ``the
Agriculture Improvement Act of 2018''.
(b) Requirements for Conservation Programs.--Section 1244
of the Food Security Act of 1985 (16 U.S.C. 3844) is amended--
(1) by striking subsection (m);
(2) by redesignating subsections (j) through (l) as
subsections (k) through (m), respectively; and
(3) by inserting after subsection (i) the
following:
``(j) Review and Guidance for Practice Costs and Payment
Rates.--
``(1) In general.--Not later than 1 year after the
date of enactment of the Agriculture Improvement Act of
2018, and not later than October 1 of each year
thereafter, the Secretary shall--
``(A) review the estimates for practice
costs and rates of payments made to producers
for practices on eligible land under this
title; and
``(B) evaluate whether those costs and
rates reflect a payment that--
``(i) encourages participation in a
conservation program administered by
the Secretary;
``(ii) encourages implementation of
the most effective practices to address
local natural resource concerns on
eligible land; and
``(iii) accounts for regional,
State, and local variability relating
to the complexity, implementation, and
adoption of practices on eligible land.
``(2) Guidance; review.--The Secretary shall--
``(A) issue guidance to States to annually
review and adjust the estimates for practice
costs and rates of payments made to producers
to reflect the evaluation factors described in
paragraph (1)(B); and
``(B) determine the appropriate practice
costs and rates of payments for each State by--
``(i) annually reviewing each
conservation program payment schedule
and payment rate used in the State; and
``(ii) consulting with the State
technical committee established under
section 1261(a) in that State.''.
(c) Funding for Indian Tribes.--Section 1244(m) of the Food
Security Act of 1985 (as redesignated by subsection (b)(2)) is
amended--
(1) by striking ``may'' and inserting ``shall'';
(2) by striking ``that the goals'' and inserting
the following: ``that--
``(1) the goals'';
(3) in paragraph (1) (as so designated), by
striking ``arrangements, and that statutory'' and
inserting the following: ``arrangements;
``(2) a sufficient number of eligible participants
will be aggregated under the alternative funding
arrangement to accomplish the underlying purposes and
objectives of the applicable program; and
``(3) statutory''; and
(4) in paragraph (3) (as so designated), by
striking the period at the end and inserting ``, except
that the Secretary may approve a waiver if the
Secretary is authorized to approve a waiver under the
statutory authority of the applicable program.''.
(d) Source Water Protection Through Targeting of
Agricultural Practices.--Section 1244 of the Food Security Act
of 1985 (16 U.S.C. 3844) (as amended by subsection (b)) is
amended by adding at the end the following:
``(n) Source Water Protection Through Targeting of
Agricultural Practices.--
``(1) In general.--In carrying out any conservation
program administered by the Secretary, the Secretary
shall encourage practices that relate to water quality
and water quantity that protect source water for
drinking water (including protecting against public
health threats) while also benefitting agricultural
producers.
``(2) Collaboration with water systems and
increased incentives.--
``(A) In general.--In encouraging practices
under paragraph (1), the Secretary shall--
``(i) work collaboratively with
community water systems and State
technical committees established under
section 1261(a) to identify, in each
State, local priority areas for the
protection of source waters for
drinking water; and
``(ii) subject to subparagraph (B),
for practices described in paragraph
(1), offer to producers increased
incentives and higher payment rates
than are otherwise statutorily
authorized by the applicable
conservation program administered by
the Secretary.
``(B) Limitation.--An increased payment
under subparagraph (A)(ii) shall not exceed 90
percent of practice costs associated with
planning, design, materials, equipment,
installation, labor, management, maintenance,
or training.
``(3) Reservation of funds.--
``(A) In general.--In each of fiscal years
2019 through 2023, the Secretary shall use to
carry out this subsection not less than 10
percent of any funds available for conservation
programs administered by the Secretary under
this title (other than the conservation reserve
program established under subchapter B of
chapter 1 of subtitle D).
``(B) Limitation.--Funds available for a
specific conservation program shall not be
transferred to fund a different conservation
program under this title.''.
(e) Environmental Services Market.--Section 1244 of the
Food Security Act of 1985 (16 U.S.C. 3844) (as amended by
subsection (d)) is amended by adding at the end the following:
``(o) Environmental Services Market.--The Secretary may not
prohibit, through a contract, easement, or agreement under this
title, a participant in a conservation program administered by
the Secretary under this title from participating in, and
receiving compensation from, an environmental services market
if 1 of the purposes of the market is the facilitation of
additional conservation benefits that are consistent with the
purposes of the conservation program administered by the
Secretary.''.
(f) Regulatory Certainty.--Section 1244 of the Food
Security Act of 1985 (16 U.S.C. 3844) (as amended by subsection
(e)) is amended by adding at the end the following:
``(p) Regulatory Certainty.--
``(1) In general.--In addition to technical and
programmatic information that the Secretary is
otherwise authorized to provide, on request of a
Federal agency, a State, an Indian tribe, or a unit of
local government, the Secretary may provide technical
and programmatic information--
``(A) subject to paragraph (2), to the
Federal agency, State, Indian tribe, or unit of
local government to support specifically the
development of mechanisms that would provide
regulatory certainty, regulatory
predictability, safe harbor protection, or
other similar regulatory assurances to a
farmer, rancher, or private nonindustrial
forest landowner under a regulatory
requirement--
``(i) that relates to soil, water,
or wildlife; and
``(ii) over which that Federal
agency, State, Indian tribe, or unit of
local government has authority; and
``(B) relating to conservation practices or
activities that could be implemented by a
farmer, rancher, or private nonindustrial
forest landowner to address a targeted soil,
water, or wildlife resource concern that is the
direct subject of a regulatory requirement
enforced by that Federal agency, State, Indian
tribe, or unit of local government, as
applicable.
``(2) Mechanisms.--The Secretary shall only provide
additional technical and programmatic information under
paragraph (1) if the mechanisms to be developed by the
Federal agency, State, Indian tribe, or unit of local
government, as applicable, under paragraph (1)(A) are
anticipated to include, at a minimum--
``(A) the implementation of 1 or more
conservation practices or activities that
effectively addresses the soil, water, or
wildlife resource concern identified under
paragraph (1);
``(B) the on-site confirmation that the
applicable conservation practices or activities
identified under subparagraph (A) have been
implemented;
``(C) a plan for a periodic audit, as
appropriate, of the continued implementation or
maintenance of each of the conservation
practices or activities identified under
subparagraph (A); and
``(D) notification to a farmer, rancher, or
private nonindustrial forest landowner of, and
an opportunity to correct, any noncompliance
with a requirement to obtain regulatory
certainty, regulatory predictability, safe
harbor protection, or other similar regulatory
assurance.
``(3) Continuing current collaboration on soil,
water, or wildlife conservation practices.--The
Secretary shall--
``(A) continue collaboration with Federal
agencies, States, Indian tribes, or local units
of government on existing regulatory certainty,
regulatory predictability, safe harbor
protection, or other similar regulatory
assurances in accordance with paragraph (2);
and
``(B) continue collaboration with the
Secretary of the Interior on consultation under
section 7(a)(2) of the Endangered Species Act
of 1973 (16 U.S.C. 1536(a)(2)) or conference
under section 7(a)(4) of that Act (16 U.S.C.
1536(a)(4)), as applicable, for wildlife
conservation efforts, including the Working
Lands for Wildlife model of conservation on
working landscapes, as implemented on the day
before the date of enactment of the Agriculture
Improvement Act of 2018, in accordance with--
``(i) the document entitled
`Partnership Agreement Between the
United States Department of Agriculture
Natural Resources Conservation Service
and the United States Department of the
Interior Fish and Wildlife Service',
numbered A-3A75-16-937, and formalized
by the Chief of the Natural Resources
Conservation Service on September 15,
2016, and by the Director of the United
States Fish and Wildlife Service on
August 4, 2016, as in effect on
September 15, 2016; and
``(ii) United States Fish and
Wildlife Service Director's Order No.
217, dated August 9, 2016, as in effect
on August 9, 2016.
``(4) Savings clause.--Nothing in this subsection--
``(A) preempts, displaces, or supplants any
authority or right of a Federal agency, a
State, an Indian tribe, or a unit of local
government;
``(B) modifies or otherwise affects,
preempts, or displaces--
``(i) any cause of action; or
``(ii) a provision of Federal or
State law establishing a remedy for a
civil or criminal cause of action; or
``(C) applies to a case in which the
Department of Agriculture is the originating
agency requesting a consultation or other
technical and programmatic information or
assistance from another Federal agency in
assisting farmers, ranchers, or nonindustrial
private forest landowners participating in a
conservation program administered by the
Secretary.''.
SEC. 2504. TEMPORARY ADMINISTRATION OF CONSERVATION PROGRAMS.
(a) Interim Administration.--Subject to subsection (d), the
Secretary shall use the applicable regulations in effect on the
day before the date of enactment of this Act, to the extent
that the terms and conditions of those regulations are
consistent with the amendments made by this title, to carry out
the programs under laws as amended by this title, including--
(1) the conservation reserve program under
subchapter B of chapter 1 of subtitle D of title XII of
the Food Security Act of 1985 (16 U.S.C. 3831 et seq.)
(as amended by subtitle B);
(2) the environmental quality incentives program
under subchapter A of chapter 4 of subtitle D of title
XII of the Food Security Act of 1985 (16 U.S.C. 3839aa
et seq) (as added by section 2301(a)(1) and amended by
subtitle C);
(3) the conservation stewardship program under
subchapter B of chapter 4 of subtitle D of title XII of
the Food Security Act of 1985 (as added by subsections
(a)(2) and (b) of section 2301 and amended by subtitle
C); and
(4) the agricultural conservation easement program
established under subtitle H of title XII of the Food
Security Act of 1985 (16 U.S.C. 3865 et seq.) (as
amended by subtitle F).
(b) Regional Conservation Partnership Program.--
Notwithstanding subsection (e) of section 1271E of the Food
Security Act of 1985 (16 U.S.C. 3871e) (as amended by section
2706), and subject to subsection (d), for fiscal year 2019, the
Secretary may use an availability of program funding
announcement consistent with the amendments made by subtitle G
to carry out the regional conservation partnership program
under subtitle I of title XII of the Food Security Act of 1985
(16 U.S.C. 3871 et seq.) without issuing a regulation.
(c) Funding.--The Secretary may only use funds authorized
to be made available by this title or the amendments made by
this title for the specific programs described in paragraphs
(1) through (4) of subsection (a) and subsection (b), in
accordance with any restrictions on the use of those funds, for
the purposes described in subsections (a) and (b).
(d) Termination of Authority.--The authority of the
Secretary to carry out subsections (a) and (b) shall terminate
on September 30, 2019.
(e) Permanent Administration.--Effective beginning on the
termination date described in subsection (d), the Secretary
shall carry out this title and the amendments made by this
title in accordance with such final regulations as the
Secretary considers necessary to carry out this title and the
amendments made by this title.
Subtitle F--Agricultural Conservation Easement Program
SEC. 2601. ESTABLISHMENT AND PURPOSES.
Section 1265(b) of the Food Security Act of 1985 (16 U.S.C.
3865(b)) is amended--
(1) in paragraph (3), by inserting ``that
negatively affect the agricultural uses and
conservation values'' after ``that land''; and
(2) in paragraph (4), by striking ``restoring and''
and inserting ``restoring or''.
SEC. 2602. DEFINITIONS.
Section 1265A of the Food Security Act of 1985 (16 U.S.C.
3865a) is amended--
(1) in paragraph(1)(B), by striking ``subject to an
agricultural land easement plan, as approved by the
Secretary'';
(2) by redesignating paragraphs (2), (3), (4), and
(5) as paragraphs (3), (4), (6), and (7), respectively;
(3) by inserting after paragraph (1) the following:
``(2) Buy-protect-sell transaction.--
``(A) In general.--The term `buy-protect-
sell transaction' means a legal arrangement--
``(i) between an eligible entity
and the Secretary relating to land that
an eligible entity owns or is going to
purchase prior to acquisition of an
agricultural land easement;
``(ii) under which the eligible
entity certifies to the Secretary that
the eligible entity shall--
``(I)(aa) hold an
agricultural land easement on
that land, but transfer
ownership of the land to a
farmer or rancher that is not
an eligible entity prior to or
on acquisition of the
agricultural land easement; or
``(bb) hold an agricultural
land easement on that land, but
transfer ownership of the land
to a farmer or rancher that is
not an eligible entity in a
timely manner and, subject to
subparagraph (B), not later
than 3 years after the date of
acquisition of the agricultural
land easement; and
``(II) make an initial sale
of the land subject to the
agricultural land easement to a
farmer or rancher at not more
than agricultural value, plus
any reasonable holding and
transaction costs incurred by
the eligible entity, as
determined by the Secretary;
and
``(iii) under which the Secretary
shall be reimbursed for the entirety of
the Federal share of the cost of the
agricultural land easement by the
eligible entity if the eligible entity
fails to transfer ownership under item
(aa) or (bb), as applicable, of clause
(ii)(I).
``(B) Time extension.--Under subparagraph
(A)(ii)(I)(bb), an eligible entity may transfer
land later than 3 years after the date of
acquisition of the agricultural land easement
if the Secretary determines an extension of
time is justified.'';
(4) in paragraph (4) (as so redesignated)--
(A) in subparagraph (A)(i)--
(i) by striking ``to a'' and
inserting the following: ``to--
``(I) a'';
(ii) in subclause (I) (as so
designated), by adding ``or'' at the
end; and
(iii) by adding at the end the
following:
``(II) a buy-protect-sell
transaction;''; and
(B) in subparagraph (B)(i)(II), by striking
``, as determined by the Secretary in
consultation with the Secretary of the Interior
at the local level''; and
(5) by inserting after paragraph (4) (as so
redesignated) the following:
``(5) Monitoring report.--The term `monitoring
report' means a report, the contents of which are
formulated and prepared by the holder of an
agricultural land easement, that accurately documents
whether the land subject to the agricultural land
easement is in compliance with the terms and conditions
of the agricultural land easement.''.
SEC. 2603. AGRICULTURAL LAND EASEMENTS.
(a) Availability of Assistance.--Section 1265B(a) of the
Food Security Act of 1985 (16 U.S.C. 3865b(a)) is amended--
(1) in paragraph (1), by striking ``and'' at the
end;
(2) in paragraph (2), by striking ``provide for the
conservation of natural resources pursuant to an
agricultural land easement plan.'' and inserting
``implement the program, including technical assistance
for the development of a conservation plan under
subsection (b)(4)(C)(iv); and''; and
(3) by adding at the end the following:
``(3) buy-protect-sell transactions.''.
(b) Cost-share Assistance.--
(1) Scope of assistance available.--Section
1265B(b)(2) of the Food Security Act of 1985 (16 U.S.C.
3865b(b)(2)) is amended--
(A) in subparagraph (B), by striking clause
(ii) and inserting the following:
``(ii) Grasslands exception.--In
the case of grassland of special
environmental significance, as
determined by the Secretary, the
Secretary may provide an amount not to
exceed 75 percent of the fair market
value of the agricultural land
easement.
``(iii) Permissible forms.--The
non-Federal share provided by an
eligible entity under this subparagraph
may comprise--
``(I) cash resources;
``(II) a charitable
donation or qualified
conservation contribution (as
defined in section 170(h) of
the Internal Revenue Code of
1986) from the private
landowner from which the
agricultural land easement will
be purchased;
``(III) costs associated
with securing a deed to the
agricultural land easement,
including the cost of
appraisal, survey, inspection,
and title; and
``(IV) other costs, as
determined by the Secretary.'';
and
(B) by striking subparagraph (C).
(2) Evaluation and ranking of applications.--
Section 1265B(b)(3) of the Food Security Act of 1985
(16 U.S.C. 3865b(b)(3)) is amended--
(A) by redesignating subparagraph (C) as
subparagraph (E); and
(B) by inserting after subparagraph (B) the
following:
``(C) Accounting for geographic
differences.--The Secretary may adjust the
criteria established under subparagraph (A) to
account for geographic differences, if the
adjustments--
``(i) meet the purposes of the
program; and
``(ii) continue to maximize the
benefit of the Federal investment under
the program.
``(D) Priority.--In evaluating applications
under the program, the Secretary may give
priority to an application for the purchase of
an agricultural land easement that, as
determined by the Secretary, maintains
agricultural viability.''.
(3) Agreements with eligible entities.--Section
1265B(b)(4) of the Food Security Act of 1985 (16 U.S.C.
3865b(b)(4)) is amended--
(A) in subparagraph (C), by striking
clauses (iii) and (iv) and inserting the
following:
``(iii) include a right of
enforcement for the Secretary that--
``(I) may be used only if
the terms and conditions of the
easement are not enforced by
the eligible entity; and
``(II) does not extend to a
right of inspection unless--
``(aa)(AA) the
holder of the easement
fails to provide
monitoring reports in a
timely manner; or
``(BB) the
Secretary has a
reasonable and
articulable belief that
the terms and
conditions of the
easement have been
violated; and
``(bb) prior to the
inspection, the
Secretary notifies the
eligible entity and the
landowner of the
inspection and provides
a reasonable
opportunity for the
eligible entity and the
landowner to
participate in the
inspection;
``(iv) include a conservation plan
only for any portion of the land
subject to the agricultural land
easement that is highly erodible
cropland; and'';
(B) by redesignating subparagraphs (D) and
(E) as subparagraphs (E) and (F), respectively;
and
(C) by inserting after subparagraph (C) the
following:
``(D) Additional permitted terms and
conditions.--An eligible entity may include
terms and conditions for an agricultural land
easement that--
``(i) are intended to keep the land
subject to the agricultural land
easement under the ownership of a
farmer or rancher, as determined by the
Secretary;
``(ii) allow subsurface mineral
development on the land subject to the
agricultural land easement and in
accordance with applicable State law
if, as determined by the Secretary--
``(I) the subsurface
mineral development--
``(aa) has a
limited and localized
impact;
``(bb) does not
harm the agricultural
use and conservation
values of the land
subject to the
easement;
``(cc) does not
materially alter or
affect the existing
topography;
``(dd) shall comply
with a subsurface
mineral development
plan that--
``(AA)
includes a plan
for the
remediation of
impacts to the
agricultural
use and
conservation
values of the
land subject to
the easement;
and
``(BB) is
approved by the
Secretary prior
to the
initiation of
mineral
development
activity;
``(ee) is not
accomplished by any
surface mining method;
``(ff) is within
the impervious surface
limits of the easement
under subparagraph
(C)(v); and
``(gg) uses
practices and
technologies that
minimize the duration
and intensity of
impacts to the
agricultural use and
conservation values of
the land subject to the
easement; and
``(II) each area impacted
by the subsurface mineral
development shall be reclaimed
and restored by the holder of
the mineral rights at cessation
of operation; and
``(iii) include other relevant
activities relating to the agricultural
land easement, as determined by the
Secretary.''.
(4) Certification of eligible entities.--Section
1265B(b)(5) of the Food Security Act of 1985 (16 U.S.C.
3865b(b)(5)) is amended--
(A) in subparagraph (A)--
(i) in clause (ii), by striking ``;
and'' and inserting a semicolon;
(ii) in clause (iii), by striking
the period at the end and inserting ``;
and''; and
(iii) by adding at the end the
following:
``(iv) allow a certified eligible
entity to use its own terms and
conditions, notwithstanding paragraph
(4)(C), as long as the terms and
conditions are consistent with the
purposes of the program.''; and
(B) in subparagraph (B)--
(i) in clause (iii), by
redesignating subclauses (I) through
(III) as items (aa) through (cc),
respectively, and indenting
appropriately;
(ii) by redesignating clauses (i)
through (iii) as subclauses (I) through
(III), respectively, and indenting
appropriately;
(iii) in the matter preceding
subclause (I) (as so redesignated), by
striking ``entity will'' and inserting
the following: ``eligible entity--
``(i) will'';
(iv) in clause (i)(III)(cc) (as so
redesignated), by striking the period
at the end and inserting a semicolon;
and
(v) by adding at the end the
following:
``(ii) has--
``(I) been accredited by
the Land Trust Accreditation
Commission, or by an equivalent
accrediting body, as determined
by the Secretary;
``(II) acquired not fewer
than 10 agricultural land
easements under the program or
any predecessor program; and
``(III) successfully met
the responsibilities of the
eligible entity under the
applicable agreements with the
Secretary, as determined by the
Secretary, relating to
agricultural land easements
that the eligible entity has
acquired under the program or
any predecessor program; or
``(iii) is a State department of
agriculture or other State agency with
statutory authority for farm and
ranchland protection that has--
``(I) acquired not fewer
than 10 agricultural land
easements under the program or
any predecessor program; and
``(II) successfully met the
responsibilities of the
eligible entity under the
applicable agreements with the
Secretary, as determined by the
Secretary, relating to
agricultural land easements
that the eligible entity has
acquired under the program or
any predecessor program.''.
(5) Technical assistance.--Section 1265B of the
Food Security Act of 1985 (16 U.S.C. 3865b) is amended
by striking subsection (d) and inserting the following:
``(d) Technical Assistance.--The Secretary may provide
technical assistance, if requested, to assist in compliance
with the terms and conditions of easements.''.
SEC. 2604. WETLAND RESERVE EASEMENTS.
Section 1265C of the Food Security Act of 1985 (16 U.S.C.
3865c) is amended--
(1) in subsection (b)--
(A) in paragraph (3)(C), by inserting ``or
improving water quality'' before the period at
the end; and
(B) in paragraph (5)--
(i) in subparagraph (C)--
(I) by striking ``Land
subject'' and inserting the
following:
``(i) In general.--Land subject'';
(II) in clause (i) (as so
designated), by inserting
``water management,'' after
``timber harvest,''; and
(III) by adding at the end
the following:
``(ii) Compatible use
authorization.--In evaluating and
authorizing a compatible economic use
under clause (i), the Secretary shall--
``(I) request and consider
the advice of the applicable
State technical committee
established under section
1261(a) about the 1 or more
types of uses that may be
authorized to be conducted on
land subject to a wetland
reserve easement, including the
frequency, timing, and
intensity of those uses;
``(II) consider the ability
of an authorized use to
facilitate the practical
administration and management
of that land; and
``(III) ensure that an
authorized use furthers the
functions and values for which
the wetland reserve easement
was established.''; and
(ii) in subparagraph (D)(i)(III),
by inserting after ``under subsection
(f)'' the following: ``or a grazing
management plan that is consistent with
the wetland reserve easement plan and
has been reviewed, and modified as
necessary, at least every 5 years'';
and
(2) in subsection (f)--
(A) by striking paragraph (1) and inserting
the following:
``(1) Wetland reserve easement plan.--
``(A) In general.--The Secretary shall
develop a wetland reserve easement plan--
``(i) for any eligible land subject
to a wetland reserve easement; and
``(ii) that restores, protects,
enhances, manages, maintains, and
monitors the eligible land subject to
the wetland reserve easements acquired
under this section.
``(B) Practices and activities.--A wetland
reserve easement plan under subparagraph (A)
shall include practices and activities,
including repair or replacement, that are
necessary to restore and maintain the enrolled
land and the functions and values of the
wetland subject to a wetland reserve
easement.'';
(B) by redesignating paragraphs (2) and (3)
as paragraphs (3) and (4), respectively; and
(C) by inserting after paragraph (1) the
following:
``(2) Alternative plant communities.--The
Secretary, in coordination with State technical
committees established under section 1261(a) and
pursuant to State-specific criteria and guidelines, may
authorize the establishment or restoration of a
hydrologically appropriate native community or
alternative naturalized vegetative community as part of
a wetland reserve easement plan on land subject to a
wetland reserve easement if that hydrologically
appropriate native or alternative naturalized
vegetative community shall--
``(A) substantially support or benefit
migratory waterfowl or other wetland wildlife;
or
``(B) meet local resource concerns or needs
(including as an element of a regional, State,
or local wildlife initiative or plan).''.
SEC. 2605. ADMINISTRATION.
Section 1265D of the Food Security Act of 1985 (16 U.S.C.
3865d) is amended--
(1) in paragraph (a)(4), by striking ``proposed''
and inserting ``permitted'';
(2) by striking subsection (c) and inserting the
following:
``(c) Subordination, Exchange, Modification, and
Termination.--
``(1) Subordination.--The Secretary may subordinate
any interest in land, or portion of such interest,
administered by the Secretary (including for the
purposes of utilities and energy transmission services)
either directly or on behalf of the Commodity Credit
Corporation under the program if the Secretary
determines that the subordination--
``(A) increases conservation values or has
a limited negative effect on conservation
values;
``(B) minimally affects the acreage subject
to the interest in land; and
``(C) is in the public interest or furthers
the practical administration of the program.
``(2) Modification and exchange.--
``(A) Authority.--The Secretary may approve
a modification or exchange of any interest in
land, or portion of such interest, administered
by the Secretary, either directly or on behalf
of the Commodity Credit Corporation under the
program if the Secretary determines that--
``(i) no reasonable alternative
exists and the effect on the interest
in land is avoided or minimized to the
extent practicable; and
``(ii) the modification or
exchange--
``(I) results in equal or
increased conservation values;
``(II) results in equal or
greater economic value to the
United States;
``(III) is consistent with
the original intent of the
easement;
``(IV) is consistent with
the purposes of the program;
and
``(V) is in the public
interest or furthers the
practical administration of the
program.
``(B) Limitation.--In modifying or
exchanging an interest in land, or portion of
such interest, under this paragraph, the
Secretary may not increase any payment to an
eligible entity.
``(3) Termination.--The Secretary may approve a
termination of any interest in land, or portion of such
interest, administered by the Secretary, directly or on
behalf of the Commodity Credit Corporation under the
program if the Secretary determines that--
``(A) termination is in the interest of the
Federal Government;
``(B) the United States will be fully
compensated for--
``(i) the fair market value of the
interest in land;
``(ii) any costs relating to the
termination; and
``(iii) any damages determined
appropriate by the Secretary; and
``(C) the termination will--
``(i) address a compelling public
need for which there is no practicable
alternative even with avoidance and
minimization; and
``(ii) further the practical
administration of the program.
``(4) Consent.--The Secretary shall obtain consent
from the landowner and eligible entity, if applicable,
for any subordination, exchange, modification, or
termination of interest in land, or portion of such
interest, under this subsection.
``(5) Notice.--At least 90 days before taking any
termination action described in paragraph (3), the
Secretary shall provide written notice of such action
to the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate.''; and
(3) in subsection (d)--
(A) in paragraph (1), by striking
``transferred into the program'' and inserting
``enrolled in an easement under section
1265C(b)''; and
(B) by adding at the end the following:
``(3) Agricultural land easements.--A farmer or
rancher who owns eligible land subject to an
agricultural land easement may enter into a contract
under subchapter B of chapter 1 of subtitle D.''.
Subtitle G--Regional Conservation Partnership Program
SEC. 2701. ESTABLISHMENT AND PURPOSES.
Section 1271 of the Food Security Act of 1985 (16 U.S.C.
3871) is amended--
(1) in subsection (a)--
(A) in paragraph (1), by inserting ``,
including partnership agreements funded through
alternative funding arrangements or grant
agreements under section 1271C(d),'' after
``partnership agreements''; and
(B) in paragraph (2), by striking
``contracts with producers'' and inserting
``program contracts with producers''; and
(2) in subsection (b)--
(A) in paragraph (1), in the matter
preceding subparagraph (A), by striking ``use
covered programs'' and inserting ``carry out
eligible activities'';
(B) by striking paragraph (2) and inserting
the following:
``(2) To further the conservation, protection,
restoration, and sustainable use of soil, water
(including sources of drinking water and groundwater),
wildlife, agricultural land, and related natural
resources on eligible land on a regional or watershed
scale.'';
(C) in paragraph (3)--
(i) in subparagraph (A), by
inserting ``, including through
alignment of partnership projects with
other national, State, and local
agencies and programs addressing
similar natural resource or
environmental concerns'' after
``eligible land''; and
(ii) in subparagraph (B), by
striking ``installation'' and inserting
``adoption, installation,''; and
(D) by adding at the end the following:
``(4) To encourage the flexible and streamlined
delivery of conservation assistance to producers
through partnership agreements.
``(5) To engage producers and eligible partners in
conservation projects to achieve greater conservation
outcomes and benefits for producers than would
otherwise be achieved.''.
SEC. 2702. DEFINITIONS.
Section 1271A of the Food Security Act of 1985 (16 U.S.C.
3871a) is amended--
(1) in paragraph (1)--
(A) in subparagraph (C), by inserting ``,
not including the grassland conservation
initiative under section 1240L-1'' before the
period at the end; and
(B) by adding at the end the following:
``(E) The conservation reserve program
established under subchapter B of chapter 1 of
subtitle D.
``(F) The programs established by the
Secretary to carry out the Watershed Protection
and Flood Prevention Act (16 U.S.C. 1001 et
seq.), except for any program established by
the Secretary to carry out section 14 (16
U.S.C. 1012) of that Act.'';
(2) by striking paragraphs (2) and (3) and
inserting the following:
``(2) Eligible activity.--The term `eligible
activity' means a practice, activity, agreement,
easement, or related conservation measure that is
available under the statutory authority for a covered
program.
``(3) Eligible land.--The term `eligible land'
means any agricultural or nonindustrial private forest
land or associated land on which the Secretary
determines an eligible activity would help achieve
conservation benefits.'';
(3) in paragraph (4)--
(A) in subparagraph (E), by inserting
``acequia,'' after ``irrigation district,'';
and
(B) by adding at the end the following:
``(I) An organization described in section
1265A(3)(B).
``(J) A conservation district.'';
(4) by striking paragraph (5) and inserting the
following:
``(5) Partnership agreement.--The term `partnership
agreement' means the programmatic agreement entered
into between the Secretary and an eligible partner,
subject to the terms and conditions under section
1271B.''; and
(5) by adding at the end the following:
``(7) Program contract.--
``(A) In general.--The term `program
contract' means the contract between the
Secretary and a producer entered into under
this subtitle.
``(B) Exclusion.--The term `program
contract' does not include a contract under a
covered program.''.
SEC. 2703. REGIONAL CONSERVATION PARTNERSHIPS.
Section 1271B of the Food Security Act of 1985 (16 U.S.C.
3871b) is amended--
(1) by striking subsection (b) and inserting the
following:
``(b) Length.--
``(1) In general.--A partnership agreement shall
be--
``(A) for a period not to exceed 5 years;
or
``(B) for a period that is longer than 5
years, if the longer period is necessary to
meet the objectives of the program, as
determined by the Secretary.
``(2) Renewal.--A partnership agreement may be
renewed under subsection (e)(5) for a period not to
exceed 5 years.
``(3) Extension.--A partnership agreement, or any
renewal of a partnership agreement, may each be
extended 1 time for a period not longer than 12 months,
as determined by the Secretary.'';
(2) in subsection (c)--
(A) in paragraph (1)--
(i) in subparagraph (A)--
(I) by redesignating
clauses (iii) and (iv) as
clauses (iv) and (v),
respectively; and
(II) by striking clauses
(i) and (ii) and inserting the
following:
``(i) 1 or more conservation
benefits that the project shall
achieve;
``(ii) the eligible activities on
eligible land to be conducted under the
project to achieve conservation
benefits;
``(iii) the implementation timeline
for carrying out the project, including
any interim milestones;'';
(ii) in subparagraph (D), by
striking ``funds'' and inserting
``contributions''; and
(iii) in subparagraph (E), by
striking ``of the project's effects;
and'' and inserting the following:
``of--
``(i) the progress made by the
project in achieving each conservation
benefit defined in the partnership
agreement, including in a quantified
form to the extent practicable; and
``(ii) as appropriate, other
outcomes of the project; and''; and
(B) in paragraph (2)--
(i) by striking ``An eligible'' and
inserting the following:
``(A) In general.--An eligible''; and
(ii) by adding at the end the
following:
``(B) Form.--A contribution of an eligible
partner under this paragraph may be in the form
of--
``(i) direct funding;
``(ii) in-kind support; or
``(iii) a combination of direct
funding and in-kind support.
``(C) Treatment.--Any amounts expended
during the period beginning on the date on
which the Secretary announces the approval of
an application under subsection (e) and ending
on the day before the effective date of the
partnership agreement by an eligible partner
for staff salaries or development of the
partnership agreement may be considered to be a
part of the contribution of the eligible
partner under this paragraph.'';
(3) by redesignating subsection (d) as subsection
(e);
(4) by inserting after subsection (c) the
following:
``(d) Duties of Secretary.--The Secretary shall--
``(1) establish a timeline for carrying out the
duties of the Secretary under a partnership agreement,
including--
``(A) entering into program contracts with
producers;
``(B) providing financial assistance to
producers; and
``(C) in the case of a partnership
agreement that is funded through an alternative
funding arrangement or grant agreement under
section 1271C(d), providing the payments to the
eligible partner for carrying out eligible
activities;
``(2) identify in each State a program coordinator
for the State, who shall be responsible for providing
assistance to eligible partners under the program;
``(3) establish guidance to assist eligible
partners with carrying out the assessment required
under subsection (c)(1)(E);
``(4) provide to each eligible partner that has
entered into a partnership agreement that is not funded
through an alternative funding arrangement or grant
agreement under section 1271C(d)--
``(A) a semiannual report describing the
status of each pending and obligated contract
under the project of the eligible partner; and
``(B) an annual report describing how the
Secretary used amounts reserved by the
Secretary for that year for technical
assistance under section 1271D(f); and
``(5) ensure that any eligible activity effectively
achieves the conservation benefits identified in the
partnership agreement under subsection (c)(1)(A)(i).'';
(5) in subsection (e) (as redesignated by paragraph
(3))--
(A) in paragraph (1), by inserting
``simplified'' after ``conduct a'';
(B) in paragraph (3)--
(i) by striking the paragraph
designation and heading and all that
follows through ``description of--''
and inserting the following:
``(3) Contents.--The Secretary shall develop a
simplified application that includes a description of--
'';
(ii) in subparagraph (C), by
striking ``, including the covered
programs to be used''; and
(iii) in subparagraph (D), by
striking ``financial'';
(C) in paragraph (4)--
(i) by striking subparagraph (D);
(ii) by redesignating subparagraphs
(E) and (F) as subparagraphs (G) and
(H), respectively; and
(iii) by inserting after
subparagraph (C) the following:
``(D) build new partnerships with local,
State, and private entities to include a
diversity of stakeholders in the project;
``(E) deliver a high percentage of applied
conservation--
``(i) to achieve conservation
benefits; or
``(ii) in the case of a project in
a critical conservation area under
section 1271F, to address the priority
resource concern for that critical
conservation area;
``(F) implement the project consistent with
existing watershed, habitat, or other area
restoration plans;''; and
(D) by adding at the end the following:
``(5) Renewals.--If the Secretary determines that a
project that is the subject of a partnership agreement
has met or exceeded the objectives of the project, the
Secretary may renew the partnership agreement through
an expedited noncompetitive process if the 1 or more
eligible partners that are parties to the partnership
agreement request the renewal in order--
``(A) to continue to implement the project
under a renewal of the partnership agreement;
or
``(B) to expand the scope of the project
under a renewal of the partnership agreement,
as long as the expansion is within the
objectives and purposes of the original
partnership agreement.''; and
(6) by adding at the end the following:
``(f) Nonapplicability of Adjusted Gross Income
Limitation.--The adjusted gross income limitation described in
section 1001D(b)(1) shall not apply to an eligible partner
under the program.''.
SEC. 2704. ASSISTANCE TO PRODUCERS.
Section 1271C of the Food Security Act of 1985 (16 U.S.C.
3871c) is amended--
(1) by striking subsections (a) and (b) and
inserting the following:
``(a) In General.--A producer may receive financial or
technical assistance to conduct eligible activities on eligible
land through a program contract entered into with the
Secretary.
``(b) Program Contracts.--
``(1) In general.--The Secretary shall establish a
program contract to be entered into with a producer to
conduct eligible activities on eligible land, subject
to such terms and conditions as the Secretary may
establish.
``(2) Application bundles.--
``(A) In general.--An eligible partner may
submit to the Secretary, on behalf of
producers, a bundle of applications for
assistance under the program through program
contracts to address a substantial portion of
the conservation benefits to be achieved by the
project, as defined in the partnership
agreement.
``(B) Priority.--The Secretary may give
priority to applications described in
subparagraph (A).'';
(2) in subsection (c)--
(A) in paragraph (1), by striking ``In
accordance with statutory requirements of the
covered programs involved, the Secretary may
make payments to a producer'' and inserting
``Subject to section 1271D, the Secretary may
make payments to a producer''; and
(B) in paragraph (3), by striking
``participating''; and
(3) by adding at the end the following:
``(d) Funding Through Alternative Funding Arrangements or
Grant Agreements.--
``(1) In general.--A partnership agreement entered
into with an eligible partner may be funded through an
alternative funding arrangement or grant in accordance
with this subsection.
``(2) Duties of the secretary.--The Secretary
shall--
``(A) under a funding agreement under
paragraph (1)--
``(i) use funding made available to
carry out this subtitle to provide
funding directly to the eligible
partner; and
``(ii) provide technical and
administrative assistance, as mutually
agreed by the parties; and
``(B) enter into not more than 15
alternative funding arrangements or grant
agreements with 1 or more eligible partners
each fiscal year.
``(3) Duties of eligible partners.--Under a funding
agreement under paragraph (1), the eligible partner
shall--
``(A) carry out eligible activities on
eligible land in agreement with producers to
achieve conservation benefits on a regional or
watershed scale, such as--
``(i) infrastructure investments
relating to agricultural or
nonindustrial private forest production
that would--
``(I) benefit multiple
producers; and
``(II) address natural
resource concerns such as
drought, wildfire, or water
quality impairment on the land
covered by the project;
``(ii) projects addressing natural
resources concerns in coordination with
producers, including the development
and implementation of watershed,
habitat, or other area restoration
plans;
``(iii) projects that use
innovative approaches to leveraging the
Federal investment in conservation with
private financial mechanisms, in
conjunction with agricultural
production or forest resource
management, such as--
``(I) the provision of
performance-based payments to
producers; and
``(II) support for an
environmental market; or
``(iv) other projects for which the
Secretary determines that the goals and
objectives of the program would be
easier to achieve through the funding
agreement under paragraph (1); and
``(B) submit to the Secretary, in addition
to any information that the Secretary requires
to prepare the report under section 1271E(b),
an annual report that describes the status of
the project, including a description of--
``(i) the use of the funds awarded
under paragraph (1);
``(ii) any subcontracts awarded;
``(iii) the producers receiving
funding through the funding agreement
under paragraph (1);
``(iv)(I) the progress made by the
project in addressing each natural
resource concern defined in the funding
agreement under paragraph (1),
including in a quantified form to the
extent practicable; and
``(II) as appropriate, other
outcomes of the project; and
``(v) any other reporting data the
Secretary determines are necessary to
ensure compliance with the program
rules.''.
SEC. 2705. FUNDING.
Section 1271D of the Food Security Act of 1985 (16 U.S.C.
3871d) is amended--
(1) in subsection (a)--
(A) by striking ``$100,000,000'' and
inserting ``$300,000,000''; and
(B) by striking ``2014 through 2018'' and
inserting ``2019 through 2023'';
(2) by striking subsection (c);
(3) by redesignating subsections (d) and (e) as
subsections (c) and (d), respectively;
(4) in subsection (c) (as so redesignated)--
(A) in the matter preceding paragraph (1)--
(i) by striking ``and acres''; and
(ii) by striking ``and reserved for
the program under subsection (c)'';
(B) in paragraph (1)--
(i) by striking ``25 percent of the
funds and acres to projects based on a
State competitive process administered
by the State Conservationist, with the
advice of the State technical
committee'' and inserting ``50 percent
of the funds to projects based on a
State or multistate competitive process
administered by the Secretary at the
local level with the advice of the
applicable State technical
committees''; and
(ii) by adding ``and'' after the
semicolon;
(C) by striking paragraph (2);
(D) by redesignating paragraph (3) as
paragraph (2); and
(E) in paragraph (2) (as so redesignated),
by striking ``35 percent of the funds and
acres'' and inserting ``50 percent of the
funds'';
(5) in subsection (d) (as so redesignated)--
(A) by striking ``None of the funds made
available or reserved for the program'' and
inserting the following:
``(1) In general.--Except as provided in paragraph
(2), none of the funds made available for the program,
including for a partnership agreement funded through an
alternative funding arrangement or grant agreement
under section 1271C(d),''; and
(B) by adding at the end the following:
``(2) Project development and outreach.--Under a
partnership agreement that is not funded through an
alternative funding arrangement or grant agreement
under section 1271C(d), the Secretary may advance
reasonable amounts of funding for not longer than 90
days for technical assistance to eligible partners to
conduct project development and outreach activities in
a project area, including--
``(A) providing outreach and education to
producers for potential participation in the
project;
``(B) establishing baseline metrics to
support the development of the assessment
required under section 1271B(c)(1)(E); or
``(C) providing technical assistance to
producers.''; and
(6) by adding at the end the following:
``(e) Technical Assistance.--
``(1) In general.--At the time of project
selection, the Secretary shall identify and make
publicly available the amount that the Secretary shall
use to provide technical assistance under the terms of
the partnership agreement.
``(2) Limitation.--The Secretary shall limit costs
of the Secretary for technical assistance to costs
specific and necessary to carry out the objectives of
the program.
``(3) Third-party providers.--The Secretary shall
develop and implement strategies to encourage third-
party technical service providers to provide technical
assistance to eligible partners pursuant to a
partnership agreement.''.
SEC. 2706. ADMINISTRATION.
Section 1271E of the Food Security Act of 1985 (16 U.S.C.
3871e) is amended--
(1) in subsection (a), by striking ``1271B(d)''
each place it appears and inserting ``1271B(e)'';
(2) in subsection (b)--
(A) in the matter preceding paragraph (1),
by striking ``December 31, 2014'' and inserting
``December 31, 2019'';
(B) by redesignating paragraphs (1) through
(4) as paragraphs (2) through (5),
respectively;
(C) by inserting before paragraph (2) (as
so redesignated) the following:
``(1) a summary of--
``(A) the progress made towards achieving
the conservation benefits defined for the
projects; and
``(B) any other related outcomes of the
projects;'';
(D) in paragraph (4) (as so redesignated),
by striking ``and'' at the end;
(E) in paragraph (5) (as so redesignated)--
(i) in the matter preceding
subparagraph (A), by striking
``1271C(b)(2)'' and inserting
``1271C(d)''; and
(ii) in subparagraph (C), by
striking the period at the end and
inserting ``; and''; and
(F) by adding at the end the following:
``(6) in the case of a project within a critical
conservation area under section 1271F, the status of
each priority resource concern for each designated
critical conservation area, including--
``(A) the priority resource concerns for
which each critical conservation area is
designated;
``(B) conservation goals and outcomes
sufficient to demonstrate that progress is
being made to address the priority resource
concerns;
``(C) the partnership agreements selected
to address each conservation goal and outcome;
and
``(D) the extent to which each conservation
goal and outcome is being addressed by the
partnership agreements.''; and
(3) by adding at the end the following:
``(c) Compliance With Certain Requirements.--The Secretary
may not provide assistance under the program to a producer
unless the producer agrees, during the program year for which
the assistance is provided--
``(1) to comply with applicable conservation
requirements under subtitle B; and
``(2) to comply with applicable wetland protection
requirements under subtitle C.
``(d) Historically Underserved Producers.--To the maximum
extent practicable, in carrying out the program, the Secretary
and eligible partners shall conduct outreach to beginning
farmers and ranchers, veteran farmers and ranchers, socially
disadvantaged farmers and ranchers, and limited resource
farmers and ranchers to encourage participation by those
producers in a project subject to a partnership agreement or
funding agreement under 1271C(d).
``(e) Regulations.--The Secretary shall issue regulations
to carry out the program.''.
SEC. 2707. CRITICAL CONSERVATION AREAS.
Section 1271F of the Food Security Act of 1985 (16 U.S.C.
3871f) is amended--
(1) by redesignating subsections (a), (b), and (c)
as subsections (b), (c), and (e), respectively;
(2) by inserting before subsection (b) (as so
redesignated) the following:
``(a) Definitions.--In this section:
``(1) Critical conservation area.--The term
`critical conservation area' means a geographical area
that contains a critical conservation condition that
can be addressed through the program.
``(2) Priority resource concern.--The term
`priority resource concern' means a natural resource
concern located in a critical conservation area that
can be addressed through--
``(A) water quality improvement, including
through reducing erosion, promoting sediment
control, and addressing nutrient management
activities affecting large bodies of water of
regional, national, or international
significance;
``(B) water quantity improvement, including
improvement relating to--
``(i) drought;
``(ii) groundwater, surface water,
aquifer, or other water sources; or
``(iii) water retention and flood
prevention;
``(C) wildlife habitat restoration to
address species of concern at a Federal, State,
or local level; and
``(D) other natural resource improvements,
as determined by the Secretary, within the
critical conservation area.'';
(3) in subsection (b) (as so redesignated)--
(A) by striking ``(b) In General.--'' and
inserting the following:
``(b) Applications.--'';
(B) by striking ``1271D(d)(3)'' and
inserting ``1271D(d)(2)'';
(C) by striking ``producer'' and inserting
``program''; and
(D) by inserting ``that address 1 or more
priority resource concerns for which the
critical conservation area is designated''
before the period at the end;
(4) in subsection (c) (as so redesignated)--
(A) by redesignating paragraphs (1) through
(3) as paragraphs (2) through (4),
respectively;
(B) by inserting before paragraph (2) (as
so redesignated) the following:
``(1) In general.--The Secretary shall identify 1
or more priority resource concerns that apply to each
critical conservation area designated under this
section after the date of enactment of the Agricultural
Act of 2014 (Public Law 113-79; 128 Stat. 649),
including the conservation goals and outcomes
sufficient to demonstrate that progress is being made
to address the priority resource concern.'';
(C) in paragraph (2) (as so redesignated)--
(i) by striking subparagraphs (C)
and (D) and inserting the following:
``(C) contains 1 or more priority resource
concerns; or''; and
(ii) by redesignating subparagraph
(E) as subparagraph (D); and
(D) by striking paragraph (3) (as so
redesignated) and inserting the following:
``(3) Review and withdrawal.--The Secretary may--
``(A) review designations of critical
conservation areas under this section not more
frequently than once every 5 years; and
``(B) withdraw designation of a critical
conservation area only if the Secretary
determines that the area is no longer a
critical conservation area.'';
(5) by inserting after subsection (c) (as so
redesignated) the following:
``(d) Outreach to Eligible Partners and Producers.--The
Secretary shall provide outreach and education to eligible
partners and producers in critical conservation areas
designated under this section to encourage the development of
projects to address each priority resource concern identified
by the Secretary for that critical conservation area.''; and
(6) in subsection (e) (as so redesignated)--
(A) in paragraph (1), by striking
``producer'' and inserting ``program''; and
(B) by striking paragraph (3).
Subtitle H--Repeals and Technical Amendments
PART I--REPEALS
SEC. 2811. REPEAL OF CONSERVATION CORRIDOR DEMONSTRATION PROGRAM.
(a) In General.--Subtitle G of title II of the Farm
Security and Rural Investment Act of 2002 (16 U.S.C. 3801 note;
Public Law 107-171) is repealed.
(b) Conforming Amendment.--Section 5059 of the Water
Resources Development Act of 2007 (16 U.S.C. 3801 note; Public
Law 110-114) is repealed.
SEC. 2812. REPEAL OF CRANBERRY ACREAGE RESERVE PROGRAM.
Section 10608 of the Farm Security and Rural Investment Act
of 2002 (16 U.S.C. 3801 note; Public Law 107-171) is repealed.
SEC. 2813. REPEAL OF NATIONAL NATURAL RESOURCES FOUNDATION.
Subtitle F of title III of the Federal Agriculture
Improvement and Reform Act of 1996 (16 U.S.C. 5801 et seq.) is
repealed.
SEC. 2814. REPEAL OF FLOOD RISK REDUCTION.
Section 385 of the Federal Agriculture Improvement and
Reform Act of 1996 (7 U.S.C. 7334) is repealed.
SEC. 2815. REPEAL OF STUDY OF LAND USE FOR EXPIRING CONTRACTS AND
EXTENSION OF AUTHORITY.
Section 1437 of the Food, Agriculture, Conservation, and
Trade Act of 1990 (16 U.S.C. 3831 note; Public Law 101-624) is
repealed.
SEC. 2816. REPEAL OF INTEGRATED FARM MANAGEMENT PROGRAM OPTION.
Section 1451 of the Food, Agriculture, Conservation, and
Trade Act of 1990 (7 U.S.C. 5822) is repealed.
SEC. 2817. REPEAL OF CLARIFICATION OF DEFINITION OF AGRICULTURAL LANDS.
Section 325 of the Federal Agriculture Improvement and
Reform Act of 1996 (Public Law 104-127; 110 Stat. 992) is
repealed.
PART II--TECHNICAL AMENDMENTS
SEC. 2821. TECHNICAL AMENDMENTS.
(a) Watershed Protection and Flood Prevention Act.--Section
5(4) of the Watershed Protection and Flood Prevention Act (16
U.S.C. 1005(4)) is amended--
(1) by striking ``goodwater'' and inserting
``floodwater''; and
(2) by striking ``Secretary of Health, Education,
and Welfare'' each place it appears and inserting
``Secretary of Health and Human Services''.
(b) Delineation of Wetlands; Exemptions.--Section 1222(j)
of the Food Security Act of 1985 (16 U.S.C. 3822(j)) is amended
by striking ``National Resources Conservation Service'' and
inserting ``Natural Resources Conservation Service''.
(c) Farmable Wetland Program.--Section 1231B(b)(2)(A)(i) of
the Food Security Act of 1985 (16 U.S.C. 3831b(b)(2)(A)(i)) is
amended by adding a semicolon at the end.
(d) Terminal Lakes Assistance.--Section 2507 of the Farm
Security and Rural Investment Act of 2002 (16 U.S.C. 3839bb-6)
is amended--
(1) in subsection (e)--
(A) by striking paragraph (1);
(B) by redesignating paragraph (2) as
paragraph (1); and
(C) by adding at the end the following:
``(2) No additional funds.--
``(A) In general.--Nothing in this section
authorizes any additional funds to carry out
this section.
``(B) Availability of funds.--Any funds
made available to carry out this section before
the date of enactment of the Agriculture
Improvement Act of 2018 may remain available
until expended.''; and
(2) by adding at the end the following:
``(f) Termination of Authority.--The authority provided by
this section shall terminate on October 1, 2023.''.
(e) Delivery of Technical Assistance.--Section 1242 of the
Food Security Act of 1985 (16 U.S.C. 3842) is amended by
striking ``third party'' each place it appears and inserting
``third-party''.
(f) Administrative Requirements for Conservation
Programs.--Section 1244(b)(4)(B) of the Food Security Act of
1985 (16 U.S.C. 3844(b)(4)(B)) is amended by striking ``General
Accounting Office'' and inserting ``Government Accountability
Office''.
SEC. 2822. STATE TECHNICAL COMMITTEES.
(a) Standards.--Section 1261(b)(2) of the Food Security Act
of 1985 (16 U.S.C. 3861(b)(2)) is amended by striking ``under
section 1262(b)''.
(b) Composition.--Section 1261(c) of the Food Security Act
of 1985 (16 U.S.C. 3861(c)) is amended by adding at the end the
following:
``(14) The State Cooperative Extension Service and
land grant university in the State.''.
TITLE III--TRADE
Subtitle A--Food for Peace Act
SEC. 3101. LABELING REQUIREMENTS.
Section 202(g) of the Food for Peace Act (7 U.S.C. 1722(g))
is amended to read as follows:
``(g) Labeling of Assistance.--Agricultural commodities and
other assistance provided under this title shall, to the extent
practicable, be clearly identified with appropriate markings on
the package or container of such agricultural commodities or
food procured outside of the United States, or on printed
material that accompanies other assistance, in the language of
the locality in which such commodities and other assistance are
distributed, as being furnished by the people of the United
States of America.''.
SEC. 3102. FOOD AID QUALITY ASSURANCE.
Section 202(h)(3) of the Food for Peace Act (7 U.S.C.
1722(h)(3)) is amended by striking ``2018'' and inserting
``2023''.
SEC. 3103. LOCAL SALE AND BARTER OF COMMODITIES.
Section 203 of the Food for Peace Act (7 U.S.C. 1723) is
amended--
(1) in subsection (a), by inserting ``to generate
proceeds to be used as provided in this section''
before the period at the end;
(2) by striking subsection (b); and
(3) by redesignating subsections (c) and (d) as
subsections (b) and (c), respectively.
SEC. 3104. MINIMUM LEVELS OF ASSISTANCE.
Section 204(a) of the Food for Peace Act (7 U.S.C. 1724(a))
is amended in paragraphs (1) and (2) by striking ``2018'' both
places it appears and inserting ``2023''.
SEC. 3105. FOOD AID CONSULTATIVE GROUP.
Section 205 of the Food for Peace Act (7 U.S.C. 1725) is
amended--
(1) in subsection (d)(1), in the first sentence, by
striking ``45'' and inserting ``30''; and
(2) in subsection (f), by striking ``2018'' and
inserting ``2023''.
SEC. 3106. ISSUANCE OF REGULATIONS.
Section 207(c)(1) of the Food for Peace Act (7 U.S.C.
1726a(c)(1)) is amended by striking ``the Agricultural Act of
2014''and inserting ``the Agriculture Improvement Act of
2018''.
SEC. 3107. OVERSIGHT, MONITORING, AND EVALUATION.
Section 207(f)(4) of the Food for Peace Act (7 U.S.C.
1726a(f)(4)) is amended--
(1) in subparagraph (A)--
(A) by striking ``$17,000,000'' and
inserting ``1.5 percent, but not less than
$17,000,000,''; and
(B) by striking ``2018'' each place it
appears and inserting ``2023''; and
(2) in subparagraph (B)--
(A) in clause (i), by striking ``2018'' and
inserting ``2023''; and
(B) in clause (ii), by striking ``chapter 1
of part I of''.
SEC. 3108. ASSISTANCE FOR STOCKPILING AND RAPID TRANSPORTATION,
DELIVERY, AND DISTRIBUTION OF SHELF-STABLE
PREPACKAGED FOODS.
Section 208 of the Food for Peace Act (7 U.S.C. 1726b) is
amended--
(1) by amending the section heading to read as
follows: ``international food relief partnership.'';
and
(2) in subsection (f), by striking ``2018'' and
inserting ``2023''.
SEC. 3109. CONSIDERATION OF IMPACT OF PROVISION OF AGRICULTURAL
COMMODITIES AND OTHER ASSISTANCE ON LOCAL FARMERS
AND ECONOMY.
(a) Inclusion of All Modalities.--Section 403(a) of the
Food for Peace Act (7 U.S.C. 1733(a)) is amended--
(1) in the matter preceding paragraph (1), by
inserting ``, food procured outside of the United
States, food voucher, or cash transfer for food'' after
``agricultural commodity'';
(2) in paragraph (1), by inserting ``in the case of
the provision of an agricultural commodity,'' before
``adequate''; and
(3) in paragraph (2), by striking ``commodity'' and
inserting ``agricultural commodity or use of the food
procured outside of the United States, food voucher, or
cash transfer for food''.
(b) Avoidance of Disruptive Impact.--Section 403(b) of the
Food for Peace Act (7 U.S.C. 1733(b)) is amended--
(1) in the first sentence, by inserting ``, the use
of food procured outside of the United States, food
vouchers, and cash transfers for food,'' after
``agricultural commodities''; and
(2) in the second sentence, by striking ``of sales
of agricultural commodities''.
SEC. 3110. ALLOWANCE FOR DISTRIBUTION COSTS.
Section 406(b)(6) of the Food for Peace Act (7 U.S.C.
1736(b)(6)) is amended by striking ``and distribution costs''
and inserting ``, distribution, and program implementation
costs to use the commodities''.
SEC. 3111. PREPOSITIONING OF AGRICULTURAL COMMODITIES.
Section 407(c)(4)(A) of the Food for Peace Act (7 U.S.C.
1736a(c)(4)(A)) is amended by striking ``2018'' each place it
appears and inserting ``2023''.
SEC. 3112. ANNUAL REPORT REGARDING FOOD AID PROGRAMS AND ACTIVITIES.
(a) In General.--Section 407(f) of the Food for Peace Act
(7 U.S.C. 1736a(f)) is amended to read as follows:
``(f) Annual Report Regarding Food Aid Programs and
Activities.--
``(1) Annual report.--Not later than April 1 of
each fiscal year, the Administrator and the Secretary
shall jointly, or each separately, prepare and submit
to the appropriate committees of Congress a report
regarding each program and activity carried out under
this Act by the Administrator, the Secretary, or both,
as applicable, during the prior fiscal year.
``(2) Contents.--An annual report described in
paragraph (1) shall include, with respect to the prior
fiscal year, the following:
``(A) A list that contains a description of
each country and organization that receives
food and other assistance under this Act
(including the quantity of food and assistance
provided to each country and organization).
``(B) A general description of each project
and activity implemented under this Act
(including each activity funded through the use
of local currencies) and the total number of
beneficiaries of the project.
``(C) A statement describing the quantity
of agricultural commodities made available to,
and the total number of beneficiaries in, each
country pursuant to--
``(i) this Act;
``(ii) section 416(b) of the
Agricultural Act of 1949 (7 U.S.C.
1431(b));
``(iii) the Food for Progress Act
of 1985 (7 U.S.C. 1736o); and
``(iv) the McGovern-Dole
International Food for Education and
Child Nutrition Program established by
section 3107 of the Farm Security and
Rural Investment Act of 2002 (7 U.S.C.
1736o-1).
``(D) An assessment of the progress made
through programs under this Act towards
reducing food insecurity in the populations
receiving food assistance from the United
States.
``(E) A description of efforts undertaken
by the Food Aid Consultative Group under
section 205 to achieve an integrated and
effective food assistance program.
``(F) An assessment of--
``(i) each program oversight,
monitoring, and evaluation system
implemented under section 207(f); and
``(ii) the impact of each program
oversight, monitoring, and evaluation
system on the effectiveness and
efficiency of assistance provided under
this title.
``(G) An assessment of the progress made by
the Administrator in addressing issues relating
to quality with respect to the provision of
food assistance.
``(H) A statement of the amount of funds
(including funds for administrative costs,
indirect cost recovery, internal
transportation, storage and handling, and
associated distribution costs) provided to each
eligible organization that received assistance
under this Act, that further describes the
following:
``(i) How such funds were used by
the eligible organization.
``(ii) The actual rate of return
for each commodity made available under
this Act, including factors that
influenced the rate of return, and, for
the commodity, the costs of bagging or
further processing, ocean
transportation, inland transportation
in the recipient country, storage
costs, and any other information that
the Administrator and the Secretary
determine to be necessary.
``(iii) For each instance in which
a commodity was made available under
this Act at a rate of return less than
70 percent, the reasons for the rate of
return realized.
``(I) For funds expended for purposes of
section 202(e), 406(b)(6), and 407(c)(1)(B), a
detailed accounting of the expenditures and
purposes of such expenditures with respect to
each such section.
``(3) Rate of return described.--For purposes of
applying subparagraph (H) of paragraph (2), the rate of
return for a commodity shall be equal to the proportion
that--
``(A) the proceeds the implementing
partners generate through monetization; bears
to
``(B) the cost to the Federal Government to
procure and ship the commodity to a recipient
country for monetization.''.
(b) Conforming Repeal.--Subsection (m) of section 403 of
the Food for Peace Act (7 U.S.C. 1733) is repealed.
SEC. 3113. DEADLINE FOR AGREEMENTS TO FINANCE SALES OR TO PROVIDE OTHER
ASSISTANCE.
Section 408 of the Food for Peace Act (7 U.S.C. 1736b) is
amended by striking ``2018'' and inserting ``2023''.
SEC. 3114. MINIMUM LEVEL OF NONEMERGENCY FOOD ASSISTANCE.
Section 412(e) of the Food for Peace Act (7 U.S.C.
1736f(e)) is amended to read as follows:
``(e) Minimum Level of Nonemergency Food Assistance.--
``(1) In general.--For each of fiscal years 2019
through 2023, not less than $365,000,000 of the amounts
made available to carry out emergency and nonemergency
food assistance programs under title II, nor more than
30 percent of such amounts, shall be expended for
nonemergency food assistance programs under such title.
``(2) Community development funds.--Funds
appropriated each year to carry out part I of the
Foreign Assistance Act of 1961 (22 U.S.C. 2151 et seq.)
that are made available through grants or cooperative
agreements to strengthen food security in developing
countries and that are consistent with section
202(e)(1)(C) may be considered amounts expended for
nonemergency food assistance programs for purposes of
paragraph (1).
``(3) Farmer-to-farmer program.--In determining the
amount expended for a fiscal year for nonemergency food
assistance programs under paragraph (1), amounts
expended for that year to carry out programs under
section 501 may be considered amounts expended for
nonemergency food assistance programs.''.
SEC. 3115. TERMINATION DATE FOR MICRONUTRIENT FORTIFICATION PROGRAMS.
Section 415(c) of the Food for Peace Act (7 U.S.C. 1736g-
2(c)) is amended by striking ``2018'' and inserting ``2023''.
SEC. 3116. JOHN OGONOWSKI AND DOUG BEREUTER FARMER-TO-FARMER PROGRAM.
Section 501 of the Food for Peace Act (7 U.S.C. 1737) is
amended--
(1) in subsection (b)--
(A) in the matter preceding paragraph (1),
by inserting ``section 1342 of title 31, United
States Code, or'' after ``Notwithstanding'';
(B) in paragraph (1) by inserting
``technical'' before ``assistance''; and
(C) in paragraph (2)--
(i) in the matter preceding
subparagraph (A), by inserting
``employees or staff of a State
cooperative institution (as such term
is defined in paragraph 18 of section
1404 of the National Agricultural
Research, Extension, and Teaching
Policy Act of 1977 (7 U.S.C. 3103),
except that subparagraphs (E), (F), and
(G) of such paragraph shall not
apply),'' after ``private
corporations,''; and
(ii) in subparagraph (A)--
(I) by striking ``; and''
at the end of clause (viii);
and
(II) by striking clause
(ix) and inserting the
following:
``(ix) agricultural education and
extension;
``(x) selection of seed varieties
and plant stocks;
``(xi) knowledge of insecticide and
sanitation procedures to prevent crop
destruction;
``(xii) use and maintenance of
agricultural equipment and irrigation
systems; and
``(xiii) selection of fertilizers
and methods of soils treatment; and'';
(2) in subsection (d), in the matter preceding
paragraph (1), by striking ``2018'' and inserting
``2023'';
(3) in subsection (e)(1), in the matter preceding
subparagraph (A), by striking ``2018'' and inserting
``2023''; and
(4) by adding at the end the following:
``(f) Grant Program to Create New Partners and
Innovation.--
``(1) In general.--The Administrator of the Agency
for International Development shall develop a grant
program to be carried out in fiscal years 2019 through
2023 to facilitate new and innovative partnerships and
activities under this title.
``(2) Use of funds.--A grant recipient under this
subsection shall use funds received under this
subsection to--
``(A) prioritize new implementing partners;
``(B) develop innovative volunteer models;
``(C) develop, improve, or maintain
strategic partnerships with other United States
development programs; and
``(D) expand the footprint and impact of
the programs and activities under this title,
and diversity among program participants,
including land-grant colleges and universities
and cooperative extension services (as such
terms are defined in section 1404 of the
National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C.
3103)).''.
Subtitle B--Agricultural Trade Act of 1978
SEC. 3201. AGRICULTURAL TRADE PROMOTION AND FACILITATION.
(a) In General.--Section 203 of the Agricultural Trade Act
of 1978 (7 U.S.C. 5623) is amended to read as follows:
``SEC. 203. AGRICULTURAL TRADE PROMOTION AND FACILITATION.
``(a) Establishment.--The Secretary shall carry out
activities under this section--
``(1) to access, develop, maintain, and expand
markets for United States agricultural commodities; and
``(2) to promote cooperation and the exchange of
information.
``(b) Market Access Program.--
``(1) Definition of eligible trade organization.--
In this subsection, the term `eligible trade
organization' means--
``(A) a United States agricultural trade
organization or regional State-related
organization that promotes the export and sale
of United States agricultural commodities and
that does not stand to profit directly from
specific sales of United States agricultural
commodities;
``(B) a cooperative organization or State
agency that promotes the sale of United States
agricultural commodities; or
``(C) a private organization that promotes
the export and sale of United States
agricultural commodities if the Secretary
determines that such organization would
significantly contribute to United States
export market development.
``(2) In general.--The Commodity Credit Corporation
shall establish and carry out a program, to be known as
the `Market Access Program', to encourage the
development, maintenance, and expansion of commercial
export markets for United States agricultural
commodities (including commodities that are organically
produced (as defined in section 2103 of the Organic
Foods Production Act of 1990 (7 U.S.C. 6502))) through
cost-share assistance to eligible trade organizations
that implement a foreign market development program.
``(3) Participation requirements.--
``(A) Marketing plan and other
requirements.--To be eligible for cost-share
assistance under this subsection, an eligible
trade organization shall--
``(i) prepare and submit a
marketing plan to the Secretary that
meets the guidelines governing such a
marketing plan specified in this
paragraph or otherwise established by
the Secretary;
``(ii) meet any other requirements
established by the Secretary; and
``(iii) enter into an agreement
with the Secretary.
``(B) Purpose of marketing plan.--A
marketing plan submitted under this paragraph
shall describe the advertising or other market
oriented export promotion activities to be
carried out by the eligible trade organization
with respect to which assistance under this
subsection is being requested.
``(C) Specific elements.--To be approved by
the Secretary, a marketing plan submitted under
this paragraph shall--
``(i) specifically describe the
manner in which assistance received by
the eligible trade organization, in
conjunction with funds and services
provided by the eligible trade
organization, will be expended in
implementing the marketing plan;
``(ii) establish specific market
goals to be achieved under the
marketing plan; and
``(iii) contain whatever additional
requirements are determined by the
Secretary to be necessary.
``(D) Branded promotion.--A marketing plan
approved by the Secretary may provide for the
use of branded advertising to promote the sale
of United States agricultural commodities in a
foreign country under such terms and conditions
as may be established by the Secretary.
``(E) Amendments.--An approved marketing
plan may be amended by the eligible trade
organization at any time, subject to the
approval of the amendment by the Secretary.
``(4) Level of assistance and cost-share
requirements.--
``(A) In general.--The Secretary shall
justify in writing the level of assistance to
be provided to an eligible trade organization
under this subsection and the level of cost
sharing required of the organization.
``(B) Limitation on branded promotion.--
Assistance provided under this subsection for
activities described in paragraph (3)(D) shall
not exceed 50 percent of the cost of
implementing the marketing plan, except that
the Secretary may determine not to apply such
limitation in the case of United States
agricultural commodities with respect to which
there has been a favorable decision by the
United States Trade Representative under
section 301 of the Trade Act of 1974 (19 U.S.C.
2411). Criteria used by the Secretary for
determining that the limitation shall not apply
shall be consistent and documented.
``(5) Other terms and conditions.--
``(A) Multiyear basis.--The Secretary may
provide assistance under this subsection on a
multiyear basis, subject to annual review by
the Secretary for compliance with the approved
marketing plan.
``(B) Termination of assistance.--The
Secretary may terminate any assistance made, or
to be made, available under this subsection if
the Secretary determines that--
``(i) the eligible trade
organization is not adhering to the
terms and conditions applicable to the
provision of the assistance;
``(ii) the eligible trade
organization is not implementing the
approved marketing plan or is not
adequately meeting the established
goals of the plan;
``(iii) the eligible trade
organization is not adequately
contributing its own resources to the
implementation of the plan; or
``(iv) the Secretary determines
that termination of assistance in a
particular instance is in the best
interests of the Market Access Program.
``(C) Evaluations.--Beginning not later
than 15 months after the initial provision of
assistance under this subsection to an eligible
trade organization, the Secretary shall monitor
the expenditures by the eligible trade
organization of such assistance, including the
following:
``(i) An evaluation of the
effectiveness of the marketing plan of
the eligible trade organization in
developing or maintaining markets for
United States agricultural commodities.
``(ii) An evaluation of whether
assistance provided under this
subsection is necessary to maintain
such markets.
``(iii) A thorough accounting of
the expenditure by the eligible trade
organization of the assistance provided
under this subsection.
``(6) Restrictions on use of funds.--Assistance
provided under this subsection to an eligible trade
organization may not be used--
``(A) to provide direct assistance to any
foreign for-profit corporation for the
corporation's use in promoting foreign-produced
products; or
``(B) to provide direct assistance to any
for-profit corporation that is not recognized
as a small business concern (as described in
section 3(a) of the Small Business Act (15
U.S.C. 632(a))), excluding--
``(i) a cooperative;
``(ii) an association described in
the first section of the Act entitled
`An Act To authorize association of
producers of agricultural products',
approved February 18, 1922 (7 U.S.C.
291); or
``(iii) a nonprofit trade
association.
``(7) Permissive use of funds.--Assistance provided
under this subsection to a United States agricultural
trade association, cooperative, or small business may
be used for individual branded promotional activity
related to a United States branded product, if the
beneficiaries of the activity have provided funds for
the activity in an amount that is at least equivalent
to the amount of such assistance.
``(8) Priority.--In providing assistance for
branded promotion, the Secretary should give priority
to small-sized entities.
``(9) Contribution level.--
``(A) In general.--The Secretary should
require a minimum contribution level of 10
percent from an eligible trade organization
that receives assistance for nonbranded
promotion.
``(B) Increases in contribution level.--The
Secretary may increase the contribution level
in any subsequent year that an eligible trade
organization receives assistance for nonbranded
promotion.
``(10) Additionality.--The Secretary should require
each participant in the Market Access Program to
certify that any Federal funds received supplement, but
do not supplant, private or third party participant
funds or other contributions to Program activities.
``(11) Independent audits.--If as a result of an
evaluation or audit of activities of a participant
under the Market Access Program, the Secretary
determines that a further review is justified in order
to ensure compliance with the requirements of the
Program, the Secretary should require the participant
to contract for an independent audit of the Program
activities, including activities of any subcontractor.
``(12) Tobacco.--No funds made available under the
Market Access Program may be used for activities to
develop, maintain, or expand foreign markets for
tobacco.
``(c) Foreign Market Development Cooperator Program.--
``(1) Definition of eligible trade organization.--
In this subsection, the term `eligible trade
organization' means a United States trade organization
that--
``(A) promotes the export of 1 or more
United States agricultural commodities; and
``(B) does not have a business interest in
or receive remuneration from specific sales of
agricultural commodities.
``(2) Establishment.--The Secretary shall establish
and, in cooperation with eligible trade organizations,
carry out a program to be known as the `Foreign Market
Development Cooperator Program' to maintain and develop
foreign markets for United States agricultural
commodities.
``(3) Use of funds.--Funds made available to carry
out this subsection shall be used only to provide--
``(A) cost-share assistance to an eligible
trade organization under a contract or
agreement with the eligible trade organization;
and
``(B) assistance for other costs that are
appropriate to carry out the Foreign Market
Development Cooperator Program, including
contingent liabilities that are not otherwise
funded.
``(d) E (Kika) De La Garza Emerging Markets Program.--
``(1) Definition of emerging market.--In this
subsection, the term `emerging market' means any
country, foreign territory, customs union, or other
economic market that the Secretary determines--
``(A) is taking steps toward a market-
oriented economy through the food, agriculture,
or rural business sectors of its economy; and
``(B) has the potential to provide a viable
and significant market for United States
agricultural commodities.
``(2) Establishment.--The Secretary shall establish
and carry out a program, to be known as the `E (Kika)
de la Garza Emerging Markets Program'--
``(A) to develop agricultural markets in
emerging markets; and
``(B) to promote cooperation and exchange
of information between agricultural
institutions and agribusinesses in the United
States and emerging markets.
``(3) Development of agricultural systems.--
``(A) In general.--
``(i) Implementation.--To develop,
maintain, or expand markets for exports
of United States agricultural
commodities, the Secretary shall make
available to emerging markets the
expertise of the United States--
``(I) to make assessments
of food and rural business
systems needs;
``(II) to make
recommendations on measures
necessary to enhance the
effectiveness of the food and
rural business systems
described in subclause (I),
including potential reductions
in trade barriers; and
``(III) to identify and
carry out specific
opportunities and projects to
enhance the effectiveness of
the food and rural business
systems described in subclause
(I).
``(ii) Extent of program.--The
Secretary shall implement this
subparagraph with respect to at least 3
emerging markets in each fiscal year.
``(B) Experts from the united states.--The
Secretary may implement subparagraph (A) by
providing--
``(i) assistance to teams
(consisting primarily of agricultural
consultants, agricultural producers,
other persons from the private sector,
and government officials expert in
assessing the food and rural business
systems of other countries) to enable
those teams to conduct the assessments,
make the recommendations, and identify
the opportunities and projects
described in subparagraph (A)(i) in
emerging markets;
``(ii) for necessary subsistence
and transportation expenses of--
``(I) United States food
and rural business system
experts, including United
States agricultural producers
and other United States
individuals knowledgeable in
agricultural and agribusiness
matters, to enable such United
States food and rural business
system experts to assist in
transferring knowledge and
expertise to entities from
emerging markets; and
``(II) individuals
designated by emerging markets
to enable such designated
individuals to consult with
such United States experts to
enhance food and rural business
systems of such emerging
markets and to transfer
knowledge and expertise to such
emerging markets.
``(C) Cost-sharing.--The Secretary shall
encourage the nongovernmental experts described
in subparagraph (B) to share the costs of, and
otherwise assist in, the participation of those
experts in the E (Kika) de la Garza Emerging
Markets Program.
``(D) Technical assistance.--The Secretary
is authorized to provide, or pay the necessary
costs for, technical assistance (including the
establishment of extension services) to enable
individuals or other entities to carry out
recommendations, projects, and opportunities in
emerging markets, including recommendations,
projects, and opportunities described in
subclauses (II) and (III) of subparagraph
(A)(i).
``(E) Reports to secretary.--A team that
receives assistance under subparagraph (B)(i)
shall prepare and submit to the Secretary such
reports as the Secretary may require.
``(F) Advisory committee.--To provide the
Secretary with information that may be useful
to the Secretary in carrying out this
subsection, the Secretary may establish an
advisory committee composed of representatives
of the various sectors of the food and rural
business systems of the United States.
``(G) Effect.--The authority provided under
this subsection shall be in addition to and not
in place of any other authority of the
Secretary or the Commodity Credit Corporation.
``(e) Technical Assistance for Specialty Crops.--
``(1) Establishment.--The Secretary of Agriculture
shall establish an export assistance program, in this
subsection referred to as the `program', to address
existing or potential unique barriers that prohibit or
threaten the export of United States specialty crops.
``(2) Purpose.--The program shall provide direct
assistance through public and private sector projects
and technical assistance, including through the program
under section 2(e) of the Competitive, Special, and
Facilities Research Grant Act (7 U.S.C. 3157(e)), to
remove, resolve, or mitigate existing or potential
sanitary, phytosanitary, and technical barriers to
trade.
``(3) Priority.--The program shall address time
sensitive and strategic market access projects based
on--
``(A) trade effect on market retention,
market access, and market expansion; and
``(B) trade impact.
``(4) Multiyear projects.--The Secretary may
provide assistance under the program to a project for
longer than a 5-year period if the Secretary determines
that further assistance would effectively support the
purpose described in paragraph (2).
``(5) Outreach and technical assistance.--The
Secretary shall--
``(A) conduct outreach to inform eligible
organizations of the requirements of the
program and the process by which such
organizations may submit proposals for funding;
``(B) provide technical assistance to
eligible organizations to assist in developing
proposals and complying with the requirements
of the program; and
``(C) solicit input from eligible
organizations on improvements to streamline and
facilitate the provision of assistance under
this subsection.
``(6) Regulations and procedures.--
``(A) In general.--Not later than 1 year
after the date of enactment of the Agriculture
Improvement Act of 2018, the Secretary shall
review program regulations, procedures, and
guidelines for assistance under this subsection
and make revisions to streamline, improve, and
clarify the application, approval and
compliance processes for such assistance,
including revisions to implement the
requirements of paragraph (5).
``(B) Considerations.--In reviewing and
making revisions under subparagraph (A), the
Secretary shall consider--
``(i) establishing accountability
standards that are appropriate for the
size and scope of a project; and
``(ii) establishing streamlined
application and approval processes,
including for smaller-scale projects or
projects to address time-sensitive
trade barriers.
``(7) Annual report.--Each year, the Secretary
shall submit to the appropriate committees of Congress
a report that contains, for the period covered by the
report, a description of--
``(A) each factor that affects the export
of specialty crops, including each factor
relating to any--
``(i) significant sanitary or
phytosanitary issue;
``(ii) trade barrier; or
``(iii) emerging sanitary or
phytosanitary issue or trade barrier;
and
``(B)(i) any funds provided under
subsection (f)(3)(A)(iv) that were not
obligated in a fiscal year; and
``(ii) the reason such funds were not
obligated.
``(f) Funding and Administration.--
``(1) Commodity credit corporation.--The Secretary
shall use the funds, facilities, and authorities of the
Commodity Credit Corporation to carry out this section.
``(2) Funding amount.--For each of fiscal years
2019 through 2023, of the funds of, or an equal value
of commodities owned by, the Commodity Credit
Corporation, the Secretary shall use to carry out this
section $255,000,000, to remain available until
expended.
``(3) Allocation.--
``(A) In general.--For each of fiscal years
2019 through 2023, the Secretary shall allocate
funds to carry out this section in accordance
with the following:
``(i) Market access program.--For
market access activities authorized
under subsection (b), of the funds of,
or an equal value of commodities owned
by, the Commodity Credit Corporation,
not less than $200,000,000 for each
fiscal year.
``(ii) Foreign market development
cooperator program.--To carry out
subsection (c), of the funds of, or an
equal value of commodities owned by,
the Commodity Credit Corporation, not
less than $34,500,000 for each fiscal
year.
``(iii) E (kika) de la garza
emerging markets program.--To provide
assistance under subsection (d), of the
funds of, or an equal value of
commodities owned by, the Commodity
Credit Corporation, not more than
$8,000,000 for each fiscal year.
``(iv) Technical assistance for
specialty crops.--To carry out
subsection (e), of the funds of, or an
equal value of the commodities owned
by, the Commodity Credit Corporation,
$9,000,000 for each fiscal year.
``(v) Priority trade fund.--
``(I) In general.--In
addition to the amounts
allocated under clauses (i)
through (iv), and
notwithstanding any limitations
in those clauses, as determined
by the Secretary, for 1 or more
programs under this section for
authorized activities to
access, develop, maintain, and
expand markets for United
States agricultural
commodities, $3,500,000 for
each fiscal year.
``(II) Considerations.--In
allocating funds made available
under subclause (I), the
Secretary may consider
providing a greater allocation
to 1 or more programs under
this section for which the
amounts requested under
applications exceed available
funding for the 1 or more
programs.
``(B) Reallocation.--Any funds allocated
under clauses (i) through (iv) of subparagraph
(A) that remain unobligated one year after the
end of the fiscal year in which they are first
made available shall be reallocated to the
priority trade fund under subparagraph (A)(v).
To the maximum extent practicable, the
Secretary shall allocate such reallocated funds
to support exports of those types of United
States agricultural commodities eligible for
assistance under the program for which the
funds were originally allocated under
subparagraph (A).
``(4) Cuba.--Notwithstanding section 908 of the
Trade Sanctions Reform and Export Enhancement Act of
2000 (22 U.S.C. 7207) or any other provision of law,
funds made available under this section may be used to
carry out the programs authorized under subsections (b)
and (c) in Cuba. Funds may not be used as described in
the previous sentence in contravention with directives
set forth under the National Security Presidential
Memorandum entitled `Strengthening the Policy of the
United States Toward Cuba' issued by the President on
June 16, 2017, during the period in which that
memorandum is in effect.
``(5) Authorization of appropriations.--In addition
to any other amounts provided under this subsection,
there are authorized to be appropriated such sums as
are necessary to carry out the programs and authorities
under paragraph (3)(A)(v) and subsections (b) through
(e).''.
(b) Conforming Amendments.--
(1) Market access program.--
(A) Section 211 of the Agricultural Trade
Act of 1978 (7 U.S.C. 5641) is amended by
striking subsection (c).
(B) Section 402(a)(1) of the Agricultural
Trade Act of 1978 (7 U.S.C. 5662(a)(1)) is
amended by striking ``203'' and inserting
``203(b)''.
(C) Section 282(f)(2)(C) of the
Agricultural Marketing Act of 1946 (7 U.S.C.
1638a(f)(2)(C)) is amended by striking
``section 203 of the Agricultural Trade Act of
1978 (7 U.S.C. 5623)'' and inserting ``section
203(b) of the Agricultural Trade Act of 1978 (7
U.S.C. 5623(b))''.
(D) Section 718 of the Agriculture, Rural
Development, Food and Drug Administration, and
Related Agencies Appropriations Act, 1999 (7
U.S.C. 5623 note; Public Law 105-277) is
amended by striking ``section 203 of the
Agricultural Trade Act of 1978 (7 U.S.C.
5623)'' and inserting ``section 203(b) of the
Agricultural Trade Act of 1978 (7 U.S.C.
5623(b)''.
(E) Section 1302 of the Omnibus Budget
Reconciliation Act of 1993 is repealed.
(2) Foreign market development cooperator
program.--Title VII of the Agricultural Trade Act of
1978 (7 U.S.C. 5721 et seq.) is repealed.
(3) E (kika) de la garza emerging markets
program.--
(A) Section 1542 of the Food, Agriculture,
Conservation, and Trade Act of 1990 (7 U.S.C
5622 note; Public Law 101-624) is amended--
(i) by striking subsection (d);
(ii) by redesignating subsections
(e) and (f) as subsections (d) and (e),
respectively; and
(iii) in subsection (e) (as so
redesignated)--
(I) in the matter preceding
paragraph (1), by striking
``country'' and inserting
``country, foreign territory,
customs union, or other
economic market''; and
(II) in paragraph (1), by
striking ``the economy of the
country'' and inserting ``its
economy''.
(B) Section 1543(b)(5) of the Food,
Agriculture, Conservation, and Trade Act of
1990 (7 U.S.C. 3293(b)(5)) is amended by
striking ``section 1542(f)'' and inserting
``section 1542(e)''.
(C) Section 1543A(c)(2) of the Food,
Agriculture, Conservation, and Trade Act of
1990 (7 U.S.C. 5679(c)(2)) is amended by
inserting ``and section 203(d) of the
Agricultural Trade Act of 1978'' after
``section 1542''.
(4) Technical assistance for specialty crops.--
Section 3205 of the Farm Security and Rural Investment
Act of 2002 (7 U.S.C. 5680) is repealed.
Subtitle C--Other Agricultural Trade Laws
SEC. 3301. GROWING AMERICAN FOOD EXPORTS.
Section 1543A of the Food, Agriculture, Conservation, and
Trade Act of 1990 (7 U.S.C. 5679) is amended--
(1) in subsection (b)(1)(A), by inserting ``or new
agricultural production technologies'' after
``biotechnology''; and
(2) in subsection (d), by striking ``$6,000,000''
and all that follows through the period at the end and
inserting ``$2,000,000 for each of fiscal years 2019
through 2023.''.
SEC. 3302. FOOD FOR PROGRESS ACT OF 1985.
Section 1110 of the Food Security Act of 1985 (also known
as the Food for Progress Act of 1985 (7 U.S.C. 1736o)) is
amended--
(1) by striking ``President'' each place it appears
and inserting ``Secretary'';
(2) in subsection (b)--
(A) in paragraph (5)--
(i) by striking ``and'' at the end
of subparagraph (E);
(ii) by redesignating subparagraph
(F) as subparagraph (G); and
(iii) by inserting after
subparagraph (E) the following new
subparagraph:
``(F) a college or university (as such
terms are defined in section 1404(4) of the
Food and Agriculture Act of 1977 (7 U.S.C.
3103(4)); and''; and
(B) by adding at the end the following new
paragraphs:
``(10) Rate of return.--For purposes of applying
subsection (j)(3), the rate of return for an eligible
commodity shall be equal to the proportion that--
``(A) the proceeds eligible entities
generate through monetization of such
commodity, bears to
``(B) the cost to the Federal Government to
procure and ship the commodity to the country
where it is monetized.
``(11) Secretary.--The term `Secretary' means the
Secretary of Agriculture.'';
(3) in subsection (f)(3), by striking ``2018'' and
inserting ``2023'';
(4) in subsection (g), by striking ``2018'' and
inserting ``2023'';
(5) in subsection (j)(3)--
(A) by striking ``December 1'' and
inserting ``April 1'';
(B) by striking ``of the Senate a list of
programs'' and inserting ``of the Senate--
``(A) a list of programs'';
(C) by striking ``approved to date for the
fiscal year'' and inserting ``approved during
the prior fiscal year'';
(D) by striking the period at the end and
inserting a semicolon; and
(E) by adding at the end the following new
subparagraphs:
``(B) a description of the actual rate of
return for each commodity made available under
this section for the previous fiscal year
including--
``(i) factors that influenced the
rate of return; and
``(ii) with respect to the
commodity, the costs of bagging or
further processing, ocean
transportation, inland transportation,
storage costs, and any other
information that the Secretary
determines to be necessary; and
``(C) for each instance in which a
commodity was made available under this section
at a rate of return less than 70 percent, an
explanation for the rate of return realized.''.
(6) in subsection (k), by striking ``2018'' and
inserting ``2023'';
(7) in subsection (l)(1), by striking ``2018'' and
inserting ``2023'';
(8) in the heading of subsection (m), by striking
``Presidential'' and inserting ``Secretarial'';
(9) in subsection (o), by striking ``(acting
through the Secretary)'';
(10) in subsection (o)(1), by striking
``subparagraphs (C) and (F)'' and inserting
``subparagraphs (C) and (G)''; and
(11) by adding at the end the following new
subsection:.
``(p) Pilot Agreements.--
``(1) In general.--For each of fiscal years 2019
through 2023, subject to the availability of
appropriations pursuant to the authorization in
paragraph (3), the Secretary shall enter into 1 or more
pilot agreements with 1 or more eligible entities
through which the Secretary shall provide financial
assistance to the eligible entities to carry out
activities consistent with subsection (l)(4)(A).
``(2) Report required.--In each of fiscal years
2020 through 2024, the Secretary shall submit to the
Committee on Agriculture of the House of
Representatives and Committee on Agriculture,
Nutrition, and Forestry of the Senate a report
describing, with respect to the previous fiscal year--
``(A) the amount provided to eligible
entities under each pilot agreement pursuant to
paragraph (1) and how the funds were used;
``(B) the activities carried out under each
pilot agreement;
``(C) the number of direct and indirect
beneficiaries of those activities; and
``(D) the effectiveness of the pilot
agreements, including as applicable the impact
on food security and agricultural productivity.
``(3) Authorization of appropriations.--There is
authorized to be appropriated to carry out pilot
agreements pursuant to this subsection $10,000,000 for
each of fiscal years 2019 through 2023.''.
SEC. 3303. BILL EMERSON HUMANITARIAN TRUST ACT.
Section 302 of the Bill Emerson Humanitarian Trust Act (7
U.S.C. 1736f-1) is amended--
(1) in subsection (b)(2)(B)(i), by striking
``2018'' each place it appears and inserting ``2023'';
and
(2) in subsection (h), by striking ``2018'' each
place it appears and inserting ``2023''.
SEC. 3304. PROMOTION OF AGRICULTURAL EXPORTS TO EMERGING MARKETS.
Section 1542(a) of the Food, Agriculture, Conservation, and
Trade Act of 1990 (7 U.S.C. 5622 note; Public Law 101-624) is
amended by striking ``2018'' and inserting ``2023''.
SEC. 3305. COCHRAN FELLOWSHIP PROGRAM.
Section 1543 of the Food, Agriculture, Conservation, and
Trade Act of 1990 (7 U.S.C. 3293) is amended--
(1) in subsection (a), by striking ``for study in
the United States.'' and inserting the following: ``for
study--
``(1) in the United States; or
``(2) at a college or university located in an
eligible country that the Secretary determines--
``(A) has sufficient scientific and
technical facilities;
``(B) has established a partnership with at
least one college or university in the United
States; and
``(C) has substantial participation by
faculty members of the United States college or
university in the design of the fellowship
curriculum and classroom instruction under the
fellowship.'';
(2) in subsection (c)--
(A) in paragraph (1), by inserting ``(which
may include agricultural extension services)''
after ``systems''; and
(B) in paragraph (2)--
(i) by striking ``enhance trade''
and inserting the following:
``enhance--
``(A) trade'';
(ii) in subparagraph (A) (as so
designated) by striking the period at
the end and inserting ``; or''; and
(iii) by adding at the end the
following:
``(B) linkages between agricultural
interests in the United States and regulatory
systems governing sanitary and phytosanitary
standards for agricultural products that--
``(i) may enter the United States;
and
``(ii) may pose risks to human,
animal, or plant life or health.''; and
(3) in subsection (f)--
(A) in paragraph (1), by striking
``$3,000,000'' and inserting ``$4,000,000'';
(B) in paragraph (2), by striking
``$2,000,000'' and inserting ``$3,000,000'';
and
(C) in paragraph (3), by striking
``$5,000,000'' and inserting ``$6,000,000''.
SEC. 3306. BORLAUG INTERNATIONAL AGRICULTURAL SCIENCE AND TECHNOLOGY
FELLOWSHIP PROGRAM.
Section 1473G of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3319j) is
amended--
(1) in subsection (c)(2)--
(A) in the matter preceding subparagraph
(A), by striking ``shall support'' and
inserting ``support'';
(B) in subparagraph (C), by striking
``and'' at the end;
(C) in subparagraph (D), by striking the
period at the end and inserting ``; and''; and
(D) by adding at the end the following:
``(E) the development of agricultural
extension services in eligible countries.'';
and
(2) in subsection (f)--
(A) by striking ``The Secretary'' and
inserting the following:
``(1) In general.--The Secretary''; and
(B) by adding at the end the following:
``(2) Leveraging alumni engagement.--In carrying
out the purposes and programs under this section, the
Secretary shall encourage ongoing engagement with
fellowship recipients who have completed training under
the program to provide advice regarding, and
participate in, new or ongoing agricultural development
projects, with a priority for capacity-building
projects.''.
SEC. 3307. INTERNATIONAL AGRICULTURAL EDUCATION FELLOWSHIP PROGRAM.
(a) Fellowship Program Establishment.--The Secretary shall
establish a fellowship program to be known as the International
Agricultural Education Fellowship Program to provide
fellowships to citizens of the United States to assist eligible
countries in developing school-based agricultural education and
youth extension programs.
(b) Eligible Country Described.--For purposes of this
section, an eligible country is a developing country, as
determined by the Secretary using a gross national income per
capita test selected by the Secretary.
(c) Purpose of Fellowships.--The goals of providing a
fellowship under this section are to--
(1) develop globally minded United States
agriculturists with experience living abroad;
(2) focus on meeting the food and fiber needs of
the domestic population of eligible countries; and
(3) strengthen and enhance trade linkages between
eligible countries and the United States agricultural
industry.
(d) Eligible Candidates.--The Secretary may provide
fellowships to citizens of the United States who--
(1) hold at least a bachelors degree in an
agricultural related field of study; and
(2) have an understanding of United States school-
based agricultural education and youth extension
programs, as determined by the Secretary.
(e) Candidate Identification.--The Secretary shall consult
with the National FFA Organization, the National 4-H Council,
and other entities as the Secretary determines are appropriate
to identify candidates for fellowships.
(f) Program Implementation.--The Secretary shall provide
for the management, coordination, evaluation, and monitoring of
the Fellowship Program, except that the Secretary may contract
out the management of the fellowship program to an outside
organization with experience in implementing fellowship
programs focused on building capacity for school-based
agricultural education and youth extension programs in
developing countries.
(g) Authorization of Appropriations.--
(1) In general.--There are authorized to be
appropriated $5,000,000 to carry out this section for
each of fiscal years 2019 through 2023.
(2) Duration.--Any funds made available under this
subsection shall remain available until expended.
SEC. 3308. INTERNATIONAL FOOD SECURITY TECHNICAL ASSISTANCE.
The Food, Agriculture, Conservation, and Trade Act of 1990
is amended by inserting after section 1543A (7 U.S.C. 5679) the
following:
``SEC. 1543B. INTERNATIONAL FOOD SECURITY TECHNICAL ASSISTANCE.
``(a) Definition of International Food Security.--In this
section, the term `international food security' means access by
any person at any time to food and nutrition that is sufficient
for a healthy and productive life.
``(b) Collection of Information.--The Secretary of
Agriculture (referred to in this section as the `Secretary')
shall compile information from appropriate mission areas of the
Department of Agriculture (including the Food, Nutrition, and
Consumer Services mission area) relating to the improvement of
international food security.
``(c) Public Availability.--To benefit programs for the
improvement of international food security, the Secretary shall
organize the information described in subsection (b) and make
the information available in a format suitable for--
``(1) public education; and
``(2) use by--
``(A) a Federal, State, or local agency;
``(B) an agency or instrumentality of the
government of a foreign country;
``(C) a domestic or international
organization, including a domestic or
international nongovernmental organization; and
``(D) an intergovernmental organization.
``(d) Technical Assistance.--On request by an entity
described in subsection (c)(2), the Secretary may provide
technical assistance to the entity to implement a program for
the improvement of international food security.
``(e) Program Priority.--In carrying out this section, the
Secretary shall give priority to programs relating to the
development of food and nutrition safety net systems with a
focus on food insecure countries.
``(f) Authorization of Appropriations.--There is authorized
to be appropriated to carry out this section $1,000,000 for
each of fiscal years 2019 through 2023.''.
SEC. 3309. MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION AND CHILD
NUTRITION PROGRAM.
Section 3107 of the Farm Security and Rural Investment Act
of 2002 (7 U.S.C. 1736o-1) is amended--
(1) in subsection (a)--
(A) by striking ``that is'' and inserting
the following: ``that--
``(1) is'';
(B) in paragraph (1) (as so designated), by
striking the period at the end and inserting
``; or''; and
(C) by adding at the end the following:
``(2)(A) is produced in and procured from--
``(i) a developing country that is a
recipient country; or
``(ii) a developing country in the same
region as a recipient country; and
``(B) at a minimum, meets each nutritional,
quality, and labeling standard of the recipient
country, as determined by the Secretary.'';
(2) in subsection (c)(2)(A)--
(A) in clause (v)(IV), by striking ``and''
at the end;
(B) by redesignating clause (vi) as clause
(vii); and
(C) by inserting after clause (v) the
following:
``(vi) the costs associated with
transporting the commodities described
in subsection (a)(2) from a developing
country described in subparagraph
(A)(ii) of that subsection to any
designated point of entry within the
recipient country; and'';
(3) in subsection (f)(1)--
(A) by redesignating subparagraphs (E) and
(F) as subparagraphs (F) and (G), respectively;
and
(B) by inserting after subparagraph (D) the
following:
``(E) ensure to the maximum extent
practicable that assistance--
``(i) is provided under this
section in a timely manner; and
``(ii) is available when needed
throughout the applicable school
year;''; and
(4) in subsection (l)--
(A) in paragraph (2), by striking ``2018''
and inserting ``2023''; and
(B) by adding at the end the following:
``(4) Purchase of commodities.--Of the funds made
available to carry out this section, not more than 10
percent shall be used to purchase agricultural
commodities described in subsection (a)(2).''.
SEC. 3310. GLOBAL CROP DIVERSITY TRUST.
Section 3202 of the Food, Conservation, and Energy Act of
2008 (22 U.S.C. 2220a note; Public Law 110-246) is amended--
(1) by amending subsection (b) to read as follows:
``(b) United States Contribution Limit.--
``(1) In general.--The aggregate contributions of
funds of the Federal Government provided to the Trust
shall not exceed--
``(A) for the period of fiscal years 2014
through 2018, 25 percent of the total amount of
funds contributed to the Trust from all
sources; and
``(B) subject to paragraph (2), effective
beginning with fiscal year 2019, 33 percent of
the total amount of funds contributed to the
Trust from all sources.
``(2) Annual limitation.--The contributions of
funds of the Federal Government provided to the Trust
shall not exceed $5,500,000 for each of fiscal years
2019 through 2023.''; and
(2) in subsection (c), by striking ``2018'' and
inserting ``2023''.
SEC. 3311. LOCAL AND REGIONAL FOOD AID PROCUREMENT PROJECTS.
Section 3206(e)(1) of the Food, Conservation, and Energy
Act of 2008 (7 U.S.C. 1726c(e)(1)) is amended--
(1) by inserting ``to the Secretary'' after
``appropriated''; and
(2) by striking ``2014 through 2018'' and inserting
``2019 through 2023''.
SEC. 3312. FOREIGN TRADE MISSIONS.
(a) Tribal Representation on Trade Missions.--
(1) In general.--The Secretary, in consultation
with the Tribal Advisory Committee established under
subsection (b)(2) of section 309 of the Federal Crop
Insurance Reform and Department of Agriculture
Reorganization Act of 1994 (7 U.S.C. 6921(b)(2)) (as
added by section 12303(2)) (referred to in this section
as the ``Advisory Committee''), shall seek--
(A) to support the greater inclusion of
Tribal agricultural and food products in
Federal trade-related activities; and
(B) to increase the collaboration between
Federal trade promotion efforts and other
Federal trade-related activities in support of
the greater inclusion sought under subparagraph
(A).
(2) Interdepartmental coordination.--In carrying
out activities to increase the collaboration described
in paragraph (1)(B), the Secretary shall coordinate
with--
(A) the Secretary of Commerce;
(B) the Secretary of State;
(C) the Secretary of the Interior; and
(D) the heads of any other relevant Federal
agencies.
(b) Report; Goals.--
(1) Report.--Not later than 2 years after the date
of enactment of this Act, the Secretary shall submit a
report describing the efforts of the Department of
Agriculture and other Federal agencies under this
section to--
(A) the Advisory Committee;
(B) the Committee on Agriculture of the
House of Representatives;
(C) the Committee on Energy and Commerce of
the House of Representatives;
(D) the Committee on Agriculture,
Nutrition, and Forestry of the Senate;
(E) the Committee on Commerce, Science, and
Transportation of the Senate; and
(F) the Committee on Indian Affairs of the
Senate.
(2) Goals.--Not later than 90 days after the date
of enactment of this Act, the Secretary shall establish
goals for measuring, in an objective and quantifiable
format, the extent to which Indian Tribes and Tribal
agricultural and food products are included in the
trade-related activities of the Department of
Agriculture.
TITLE IV--NUTRITION
Subtitle A--Supplemental Nutrition Assistance Program
SEC. 4001. REQUIREMENTS FOR ONLINE ACCEPTANCE OF BENEFITS.
(a) Definition.--Section 3(o)(1) of the Food and Nutrition
Act of 2008 (7 U.S.C. 2012(o)(1)) is amended by striking ``or
house-to-house trade route'' and inserting ``, house-to-house
trade route, or online entity''.
(b) Acceptance of Benefits.--Section 7(k) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2016(k)) is amended--
(1) by striking the heading and inserting
``Acceptance of Program Benefits Through Online
Transactions'',
(2) in paragraph (4) by striking subparagraph (C),
and
(3) by striking paragraph (5).
SEC. 4002. RE-EVALUATION OF THRIFTY FOOD PLAN.
Section 3(u) of the Food and Nutrition Act of 2008 (7
U.S.C. 2012(u)) is amended by inserting after the 1st sentence
the following:
``By 2022 and at 5-year intervals thereafter, the Secretary
shall re-evaluate and publish the market baskets of the thrifty
food plan based on current food prices, food composition data,
consumption patterns, and dietary guidance.''.
SEC. 4003. FOOD DISTRIBUTION PROGRAM ON INDIAN RESERVATIONS.
(a) In General.--Section 4(b) of the Food and Nutrition Act
of 2008 (7 U.S.C. 2013(b)) is amended--
(1) by striking paragraph (4) and inserting the
following:
``(4) Administrative costs.--
``(A) In general.--Subject to subparagraph
(B), the Secretary shall pay not less than 80
percent of administrative costs and
distribution costs on Indian reservations as
the Secretary determines necessary for
effective administration of such distribution
by a State agency or tribal organization.
``(B) Waiver.--The Secretary shall waive up
to 100 percent of the non-Federal share of the
costs described in subparagraph (A) if the
Secretary determines that--
``(i) the tribal organization is
financially unable to provide a greater
non-Federal share of the costs; or
``(ii) providing a greater non-
Federal share of the costs would be a
substantial burden for the tribal
organization.
``(C) Limitation.--The Secretary may not
reduce any benefits or services under the food
distribution program on Indian reservations
under this subsection to any tribal
organization that is granted a waiver under
subparagraph (B).
``(D) Tribal contribution.--The Secretary
may allow a tribal organization to use funds
provided to the tribal organization through a
Federal agency or other Federal benefit to
satisfy all or part of the non-Federal share of
the costs described in subparagraph (A) if that
use is otherwise consistent with the purpose of
the funds.'',
(2) in paragraph (6)--
(A) in the heading by striking ``locally-
grown'' and inserting ``locally- and
regionally-grown'',
(B) in subparagraph (A) by striking
``locally-grown'' and inserting ``locally- and
regionally-grown'',
(C) in subparagraph (C)--
(i) in the heading by striking
``locally grown'' and inserting
``locally- and regionally-grown'', and
(ii) by striking ``locally-grown''
and inserting ``locally- and
regionally-grown'',
(D) by amending subparagraph (D) to read as
follows:
``(D) Purchase of foods.--In carrying out
this paragraph, the Secretary shall purchase or
offer to purchase those traditional foods that
may be procured cost-effectively.'',
(E) by striking subparagraph (E), and
(F) in subparagraph (F)--
(i) by striking ``(F)'' and
inserting ``(E)'', and
(ii) by striking ``2018'' and
inserting ``2023'', and
(3) by adding at the end the following:
``(7) Availability of funds.--
``(A) In general.--Funds made available for
a fiscal year to carry out this subsection
shall remain available for obligation for a
period of 2 fiscal years.
``(B) Administrative costs.--Funds made
available for a fiscal year to carry out
paragraph (4) shall remain available for
obligation by the State agency or tribal
organization for a period of 2 fiscal years.''.
(b) Demonstration Project for Tribal Organizations.--
(1) Definitions.--In this subsection:
(A) Demonstration project.--The term
``demonstration project'' means the
demonstration project established under
paragraph (2).
(B) Food distribution program.--The term
``food distribution program'' means the food
distribution program on Indian reservations
carried out under section 4(b) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2013(b)).
(C) Indian reservation.--The term ``Indian
reservation'' has the meaning given the term
``reservation'' in section 3 of the Food and
Nutrition Act of 2008 (7 U.S.C. 2012).
(D) Indian tribe.--The term ``Indian
tribe'' has the meaning given the term in
section 4 of the Indian Self-Determination and
Education Assistance Act (25 U.S.C. 5304).
(E) Self-determination contract.--The term
``self-determination contract'' has the meaning
given the term in section 4 of the Indian Self-
Determination and Education Assistance Act (25
U.S.C. 5304).
(F) Tribal organization.--The term ``tribal
organization'' has the meaning given the term
in section 3 of the Food and Nutrition Act of
2008 (7 U.S.C. 2012).
(2) Establishment.--Subject to the availability of
appropriations, the Secretary shall establish a
demonstration project under which 1 or more tribal
organizations may enter into self-determination
contracts to purchase agricultural commodities under
the food distribution program for the Indian
reservation of that tribal organization.
(3) Eligibility.--
(A) Consultation.--The Secretary shall
consult with the Secretary of the Interior and
Indian tribes to determine the process and
criteria under which a tribal organization may
participate in the demonstration project.
(B) Criteria.--The Secretary shall select
for participation in the demonstration project
tribal organizations that--
(i) are successfully administering
the food distribution program of the
tribal organization under section
4(b)(2)(B) of the Food and Nutrition
Act of 2008 (7 U.S.C. 2013(b)(2)(B)),
(ii) have the capacity to purchase
agricultural commodities in accordance
with paragraph (4) for the food
distribution program of the tribal
organization, and
(iii) meet any other criteria
determined by the Secretary, in
consultation with the Secretary of the
Interior and Indian tribes.
(4) Procurement of agricultural commodities.--Any
agricultural commodities purchased by a tribal
organization under the demonstration project shall--
(A) be domestically produced,
(B) supplant, not supplement, the type of
agricultural commodities in existing food
packages for that tribal organization,
(C) be of similar or higher nutritional
value as the type of agricultural commodities
that would be supplanted in the existing food
package for that tribal organization, and
(D) meet any other criteria determined by
the Secretary.
(5) Report.--Not later than 1 year after the date
on which funds are appropriated under paragraph (6) and
annually thereafter, the Secretary shall submit to the
Committee on Agriculture of the House of
Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate a report
describing the activities carried out under the
demonstration project during the preceding year.
(6) Funding.--
(A) Authorization of appropriations.--There
is authorized to be appropriated to the
Secretary to carry out this subsection
$5,000,000, to remain available until expended.
(B) Appropriations in advance.--Only funds
appropriated under subparagraph (A) in advance
specifically to carry out this subsection shall
be available to carry out this subsection.
(c) Conforming Amendment.--Section 3(v) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2012(v)) is amended by striking
``the Indian Self-Determination Act (25 U.S.C. 450b(b))'' and
inserting ``section 4 of the Indian Self-Determination and
Education Assistance Act (25 U.S.C. 5304)''.
SEC. 4004. SIMPLIFIED HOMELESS HOUSING COSTS.
Section 5(e)(6)(D) of the Food and Nutrition Act of 2008 (7
U.S.C. 2014(e)(6)(D)) is amended--
(1) by redesignating clause (ii) as clause (iii),
and
(2) by striking clause (i) and inserting the
following:
``(i) Alternative deduction.--The
State agency shall allow a deduction of
$143 a month for households--
``(I) in which all members
are homeless individuals;
``(II) that are not
receiving free shelter
throughout the month; and
``(III) that do not opt to
claim an excess shelter expense
deduction under subparagraph
(A).
``(ii) Adjustment.--For fiscal year
2019 and each subsequent fiscal year
the amount of the homeless shelter
deduction specified in clause (i) shall
be adjusted to reflect changes for the
12-month period ending the preceding
November 30 in the Consumer Price Index
for All Urban Consumers published by
the Bureau of Labor Statistics of the
Department of Labor.''.
SEC. 4005. EMPLOYMENT AND TRAINING FOR SUPPLEMENTAL NUTRITION
ASSISTANCE PROGRAM.
(a) Employment and Training Programs That Meet State and
Local Workforce Needs.--Section 6(d)(4) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2015(d)(4)) is amended--
(1) in subparagraph (A)--
(A) in clause (i)--
(i) by inserting ``, in
consultation with the State workforce
development board, or, if the State
demonstrates that consultation with
private employers or employer
organizations would be more effective
or efficient, in consultation with
private employers or employer
organizations,'' after ``designed by
the State agency'', and
(ii) by striking ``that will
increase their ability to obtain
regular employment.'' and inserting the
following: ``that will--
``(I) increase the ability
of the household members to
obtain regular employment; and
``(II) meet State or local
workforce needs.'', and
(B) in clause (ii) by inserting ``and
implemented to meet the purposes of clause
(i)'' after ``under this paragraph'',
(2) in subparagraph (B)--
(A) in the matter preceding clause (i), by
inserting ``case management services such as
comprehensive intake assessments,
individualized service plans, progress
monitoring, or coordination with service
providers and'' after ``contains'',
(B) in clause (iv) by redesignating
subclauses (I) and (II) as items (aa) and (bb),
respectively, and indenting appropriately,
(C) by redesignating clauses (i) through
(vii) and clause (viii) as subclauses (I)
through (VII) and subclause (IX), respectively,
and indenting appropriately,
(D) by striking subclause (I), as so
redesignated, and inserting the following:
``(I) Supervised job search
programs that occur at State-
approved locations at which the
activities of participants
shall be directly supervised
and the timing and activities
of participants tracked in
accordance with guidelines
issued by the State.'',
(E) in subclause (II), as so redesignated,
by striking ``jobs skills assessments, job
finding clubs, training in techniques for'' and
inserting ``employability assessments, training
in techniques to increase'',
(F) in subclause (IV), as so redesignated,
in the first sentence, by inserting ``,
including subsidized employment and
apprenticeships'' before the period at the end,
(G) in subclause (VII), as so redesignated,
by inserting ``not less than 30 days but''
after ``period of'',
(H) by inserting after subclause (VII), as
so redesignated, the following:
``(VIII) Programs and
activities under clause (iv) of
section 16(h)(1)(F) that the
Secretary determines, based on
results from the independent
evaluations conducted under
clause (vii)(I) of such
section, have the most
demonstrable impact on the
ability of participants to find
and retain employment that
leads to increased household
income and reduced reliance on
public assistance.'',
(I) in the matter preceding subclause (I),
as so redesignated--
(i) by striking ``this
subparagraph'' and inserting ``this
clause'', and
(ii) by striking ``(B) For purposes
of this Act, an'' and inserting the
following:
``(B) Definitions.--In this Act:
``(i) Employment and training
program.--The term'', and
(J) by adding at the end the following:
``(ii) Workforce partnership.--
``(I) In general.--The term
`workforce partnership' means a
program that--
``(aa) is operated
by--
``(AA) a
private
employer, an
organization
representing
private
employers, or a
nonprofit
organization
providing
services
relating to
workforce
development; or
``(BB) an
entity
identified as
an eligible
provider of
training
services under
section 122(d)
of the
Workforce
Innovation and
Opportunity Act
(29 U.S.C.
3152(d));
``(bb) the
Secretary certifies, or
the State agency
certifies to the
Secretary--
``(AA)
subject to
subparagraph
(N)(ii), would
assist
participants
who are members
of households
participating
in the
supplemental
nutrition
assistance
program in
gaining high-
quality, work-
relevant
skills,
training, work,
or experience
that will
increase the
ability of the
participants to
obtain regular
employment;
``(BB)
subject to
subparagraph
(N)(ii), would
provide
participants
with not less
than 20 hours
per week of
training, work,
or experience
under subitem
(AA);
``(CC)
would not use
any funds
authorized to
be appropriated
by this Act;
``(DD)
would provide
sufficient
information, on
request by the
State agency,
for the State
agency to
determine that
participants
who are members
of households
participating
in the
supplemental
nutrition
assistance
program are
fulfilling any
applicable work
requirement
under this
subsection or
subsection (o);
``(EE)
would be
willing to
serve as a
reference for
participants
who are members
of households
participating
in the
supplemental
nutrition
assistance
program for
future
employment or
work-related
programs; and
``(FF)
meets any other
criteria
established by
the Secretary,
on the
condition that
the Secretary
shall not
establish any
additional
criteria that
would impose
significant
paperwork
burdens on the
workforce
partnership;
and
``(cc) is in
compliance with the
Fair Labor Standards
Act of 1938 (29 U.S.C.
201 et seq.), if
applicable.
``(II) Inclusion.--The term
`workforce partnership'
includes a multistate
program.'',
(3) in subparagraph (E)--
(A) in the second sentence, by striking
``Such requirements'' and inserting the
following:
``(ii) Variation.--The requirements
under clause (i)'',
(B) by striking ``(E) Each State'' and
inserting the following:
``(E) Requirements for participation for
certain individuals.--
``(i) In general.--Each State'',
and
(C) by adding at the end the following:
``(iii) Application to workforce
partnerships.--To the extent that a
State agency requires an individual to
participate in an employment and
training program, the State agency
shall consider an individual
participating in a workforce
partnership to be in compliance with
the employment and training
requirements.'',
(4) in subparagraph (H), by striking ``(B)(v)'' and
inserting ``(B)(i)(V)'', and
(5) by adding at the end the following:
``(N) Workforce partnerships.--
``(i) Certification.--In certifying
that a program meets the requirements
of subitems (AA) and (BB) of
subparagraph (B)(ii)(I)(bb) to be
certified as a workforce partnership,
the Secretary or the State agency shall
require that the program submit to the
Secretary or State agency sufficient
information that describes--
``(I) the services and
activities of the program that
would provide participants with
not less than 20 hours per week
of training, work, or
experience under those
subitems; and
``(II) how the program
would provide services and
activities described in
subclause (I) that would
directly enhance the
employability or job readiness
of the participant.
``(ii) Supplement, not supplant.--A
State agency may use a workforce
partnership to supplement, not to
supplant, the employment and training
program of the State agency.
``(iii) Participation.--A State
agency--
``(I) shall--
``(aa) maintain a
list of workforce
partnerships certified
under subparagraph
(B)(ii)(I)(bb); and
``(bb) not less
frequently than at
certification and
recertification,
provide to a household
member subject to work
requirements under
subsection (d)(1) or
subsection (o),
electronically or by
other means, the list
described in item (aa);
but
``(II) may not require any
member of a household
participating in the
supplemental nutrition
assistance program to
participate in a workforce
partnership.
``(iv) Effect.--
``(I) In general.--A
workforce partnership shall not
replace the employment or
training of an individual not
participating in the workforce
partnership.
``(II) Selection.--Nothing
in this subsection or
subsection (o) affects the
criteria or screening process
for selecting participants by a
workforce partnership.
``(v) Limitation on reporting
requirements.--In carrying out this
subparagraph, the Secretary and each
applicable State agency shall limit the
reporting requirements of a workforce
partnership to--
``(I) on notification that
an individual is receiving
supplemental nutrition
assistance program benefits,
notifying the applicable State
agency that the individual is
participating in the workforce
partnership;
``(II) identifying
participants who have completed
or are no longer participating
in the workforce partnership;
``(III) identifying changes
to the workforce partnership
that result in the workforce
partnership no longer meeting
the certification requirements
of the Secretary or the State
agency under subparagraph
(B)(ii)(I)(bb); and
``(IV) providing sufficient
information, on request by the
State agency, for the State
agency to verify that a
participant is fulfilling any
applicable work requirements
under this subsection or
subsection (o).
``(O) Referral of certain individuals.--
``(i) In general.--In accordance
with such regulations as may be issued
by the Secretary, with respect to any
individual who is not eligible for an
exemption under paragraph (2) and who
is determined by the operator of an
employment and training program
component to be ill-suited to
participate in that employment and
training program component, the State
agency shall--
``(I) refer the individual
to an appropriate employment
and training program component;
``(II) refer the individual
to an appropriate workforce
partnership, if available;
``(III) reassess the
physical and mental fitness of
the individual under paragraph
(1)(A); or
``(IV) to the maximum
extent practicable, coordinate
with other Federal, State, or
local workforce or assistance
programs to identify work
opportunities or assistance for
the individual.
``(ii) Process.--In carrying out
clause (i), the State agency shall
ensure that an individual undergoing
and complying with the process
established under that clause shall not
be found to have refused without good
cause to participate in an employment
and training program.''.
(b) Work Requirements.--Section 6(o) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2015(o)) is amended--
(1) in paragraph (1)--
(A) in subparagraph (B) by striking ``and''
at the end,
(B) in subparagraph (C) by striking ``job
search program or a job search training
program.'' and inserting ``supervised job
search program or job search training
program;'', and
(C) by adding at the end the following:
``(D) a program of employment and training
for veterans operated by the Department of
Labor or the Department of Veterans Affairs,
and approved by the Secretary; and
``(E) a workforce partnership under
subsection (d)(4)(N).'',
(2) in paragraph (4)(A) by inserting ``and with the
support of the chief executive officer of the State''
after ``agency'', and
(3) in paragraph (6)--
(A) in the heading by striking ``15-percent
exemption'' and inserting ``Exemptions'',
(B) in subparagraph (B) by striking ``(G)''
and inserting ``(H)'',
(C) in subparagraph (C) by striking ``(E)
and (G)'' and inserting ``(F) and (H)'' ,
(D) in subparagraph (D)--
(i) in the heading by striking
``Subsequent fiscal years'' and
inserting ``Fiscal years 1999 through
2019'',
(ii) by striking ``(E) through
(G)'' and inserting ``(F) through
(H)'', and
(iii) by striking ``year,'' and
inserting ``year through fiscal year
2019,'',
(E) in subparagraph (E) by striking ``or
(D)'' and inserting ``, (D), or (E)'',
(F) by redesignating subparagraphs (E),
(F), and (G) as subparagraphs (F), (G), and
(H), respectively, and
(G) by inserting after subparagraph (D) the
following:
``(E) Subsequent fiscal years.--Subject to
subparagraphs (F) through (H), for fiscal year
2020 and each subsequent fiscal year, a State
agency may provide a number of exemptions such
that the average monthly number of exemptions
in effect during the fiscal year does not
exceed 12 percent of the number of covered
individuals in the State, as estimated by the
Secretary under subparagraph (C), adjusted by
the Secretary to reflect changes in the State's
caseload and the Secretary's estimate of
changes in the proportion of members of
households that receive supplemental nutrition
assistance program benefits covered by waivers
granted under paragraph (4).''.
(c) State Plans.--Section 11 of the Food and Nutrition Act
of 2008 (7 U.S.C. 2020) is amended--
(1) in subsection (e)(19) by inserting ``the extent
to which such programs will be carried out in
coordination with the activities carried out under
title I of the Workforce Innovation and Opportunity Act
(29 U.S.C. 3111 et seq.),'' before ``and the basis,'',
and
(2) by adding at the end the following:
``(w) For households containing at least one adult, with no
elderly or disabled members and with no earned income at their
last certification or required report, a State agency shall, at
the time of recertification, be required to advise members of
the household not exempt under section 6(d)(2) regarding
available employment and training services.''.
(d) Funding of Employment and Training Programs.--Section
16(h) of the Food and Nutrition Act of 2008 (7 U.S.C. 2025(h))
is amended--
(1) in paragraph (1)--
(A) in subparagraph (A) by striking
``$90,000,000'' and inserting ``$103,900,000'',
(B) in subparagraph (C)--
(i) in clause (i) by inserting ``,
subject to clauses (ii) through (v),''
after ``(B), the Secretary'', and
(ii) by adding at the end the
following:
``(iv) Priority.--The Secretary
shall reallocate funds under this
subparagraph as follows:
``(I)(aa) Subject to items
(bb) and (cc), not less than 50
percent shall be reallocated to
State agencies requesting such
funds to conduct employment and
training programs and
activities for which such State
agencies had previously
received funding under
subparagraph (F)(viii) that the
Secretary determines have the
most demonstrable impact on the
ability of participants to find
and retain employment that
leads to increased household
income and reduced reliance on
public assistance.
``(bb) The Secretary shall
base the determination under
item (aa) on--
``(AA) project
results from the
independent evaluations
conducted under
subparagraph
(F)(vii)(I); or
``(BB) if the
project results from
the independent
evaluations conducted
under subparagraph
(F)(vii)(I) are not yet
available, the reports
under subparagraph
(F)(vii)(II) or other
information relating to
performance of the
programs and activities
funded under
subparagraph (F)(viii).
``(cc) Employment and
training activities funded
under this subclause are not
subject to subparagraph
(F)(vii), but are subject to
monitoring under paragraph
(h)(5).
``(II) Not less than 30
percent shall be reallocated to
State agencies requesting such
funds to implement or continue
employment and training
programs and activities under
section 6(d)(4)(B)(i) that the
Secretary determines have the
most demonstrable impact on the
ability of participants to find
and retain employment that
leads to increased household
income and reduced reliance on
public assistance, including
programs and activities that
are targeted to--
``(aa) individuals
50 years of age or
older;
``(bb) formerly
incarcerated
individuals;
``(cc) individuals
participating in a
substance abuse
treatment program;
``(dd) homeless
individuals;
``(ee) people with
disabilities seeking to
enter the workforce;
``(ff) other
individuals with
substantial barriers to
employment; or
``(gg) households
facing multi-
generational poverty,
to support employment
and workforce
participation through
an integrated and
family-focused approach
in providing supportive
services.
``(III) The Secretary shall
reallocate any remaining funds
available under this
subparagraph, to State agencies
requesting such funds to use
for employment and training
programs and activities that
the Secretary determines have
the most demonstrable impact on
the ability of participants to
find and retain employment that
leads to increased household
income and reduced reliance on
public assistance under section
6(d)(4)(B)(i).
``(v) Consideration.--In
reallocating funds under this
subparagraph, a State agency that
receives reallocated funds under clause
(iv)(I) may also be considered for
reallocated funding under clause
(iv)(II).'', and
(C) in subparagraph (D) by striking
``$50,000'' and inserting ``$100,000'', and
(2) in paragraph (5)(B) by adding at the end the
following:
``(v) State option.--The State
agency may report relevant data from a
workforce partnership carried out under
section 6(d)(4)(N) to demonstrate the
number of program participants served
by the workforce partnership.''.
(e) Expired Authority.--Section 17(b) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2026(b)) is amended--
(1) by striking paragraph (2), and
(2) by redesignating paragraph (3) as paragraph
(2).
SEC. 4006. IMPROVEMENTS TO ELECTRONIC BENEFIT TRANSFER SYSTEM.
(a) EBT Portability.--Section 7(f)(5) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2016(f)(5)) is amended by
adding at the end the following:
``(C) Operation of individual point of sale
device by farmers' markets and direct marketing
farmers.--A farmers' market or direct marketing
farmer that is exempt under paragraph (2)(B)(i)
shall be allowed to operate an individual
electronic benefit transfer point of sale
device at more than 1 location under the same
supplemental nutrition assistance program
authorization, if--
``(i) the farmers' market or direct
marketing farmer provides to the
Secretary information on location and
hours of operation at each location;
and
``(ii)(I) the point of sale device
used by the farmers' market or direct
marketing farmer is capable of
providing location information of the
device through the electronic benefit
transfer system; or
``(II) if the Secretary determines
that the technology is not available
for a point of sale device to meet the
requirement under subclause (I), the
farmers' market or direct marketing
farmer provides to the Secretary any
other information, as determined by the
Secretary, necessary to ensure the
integrity of transactions processed
using the point of sale device.''.
(b) Modernization of Electronic Benefit Transfer
Regulations.--The 1st sentence of section 7(h)(2) of the Food
and Nutrition Act of 2008 (7 U.S.C. 2016(h)(2)) is amended by
inserting ``and shall periodically review such regulations and
modify such regulations to take into account evolving
technology and comparable industry standards'' before the
period at the end.
(c) Benefit Recovery.--Section 7(h)(12) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2016(h)(12)) is amended--
(1) in subparagraph (A) by inserting ``, or due to
the death of all members of the household'' after
``inactivity'', and
(2) by striking subparagraphs (B) and (C) and
inserting the following:
``(B) Benefit storage.--
``(i) In general.--A State agency
may store recovered electronic benefits
off-line in accordance with clause
(ii), if the household has not accessed
the account after 3 months.
``(ii) Notice of benefit storage.--
A State agency shall--
``(I) send notice to a
household the benefits of which
are stored under clause (i);
and
``(II) not later than 48
hours after request by the
household, make the stored
benefits available to the
household.
``(C) Benefit expunging.--
``(i) In general.--Subject to
clause (ii), a State agency shall
expunge benefits that have not been
accessed by a household after a period
of 9 months, or upon verification that
all members of the household are
deceased.
``(ii) Notice of benefit
expunging.--Not later than 30 days
before benefits are to be expunged
under clause (i), a State agency
shall--
``(I) provide sufficient
notice to the household that
benefits will be expunged due
to inactivity, and the date
upon which benefits will be
expunged;
``(II) for benefits stored
off-line in accordance with
subparagraph (B), provide the
household an opportunity to
request that such benefits be
restored to the household; and
``(III) not later than 48
hours after request by the
household, make the benefits
available to the household.''.
(d) Prohibited Fees.--Section 7 of the Food and Nutrition
Act of 2008 (7 U.S.C. 2016) is amended--
(1) by amending subsection (h)(13) to read as
follows:
``(13) Fees.--
``(A) Interchange fees.--No interchange
fees shall apply to electronic benefit transfer
transactions under this subsection.
``(B) Other fees.--Effective through fiscal
year 2023, neither a State, nor any agent,
contractor, or subcontractor of a State who
facilitates the provision of supplemental
nutrition assistance program benefits in such
State may impose a fee for switching (as
defined in subsection (j)(1)(H)) or routing
such benefits.'', and
(2) by amending subsection (j)(1)(H) to read as
follows:
``(H) Switching.--The term `switching'
means the routing of an intrastate or
interstate transaction that consists of
transmitting the details of a transaction
electronically recorded through the use of an
electronic benefit transfer card in one State
to the issuer of the card that may be in the
same or different State.''.
(e) Mobile Technologies.--Section 7(h)(14) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2016(h)(14)) is amended--
(1) by amending subparagraph (A) to read as
follows:
``(A) In general.--Subject to subparagraph
(B), the Secretary shall authorize the use of
mobile technologies for the purpose of
accessing supplemental nutrition assistance
program benefits.'',
(2) in subparagraph (B)--
(A) by striking the heading and inserting
``Demonstration projects on access of benefits
through mobile technologies'',
(B) by amending clause (i) to read as
follows:
``(i) Demonstration projects.--
Before authorizing implementation of
subparagraph (A) in all States, the
Secretary shall approve not more than 5
demonstration project proposals
submitted by State agencies that will
pilot the use of mobile technologies
for supplemental nutrition assistance
program benefits access.'',
(C) in clause (ii)--
(i) in the heading by striking
``Demonstration projects'' and
inserting ``Project requirements'',
(ii) by striking ``retail food
store'' the first place it appears and
inserting ``State agency'',
(iii) by striking ``includes'',
(iv) by striking subclauses (I),
(II), (III), and (IV), and inserting
the following:
``(I) provides recipient
protections regarding privacy,
ease of use, household access
to benefits, and support
similar to the protections
provided under existing
methods;
``(II) ensures that all
recipients, including those
without access to mobile
payment technology and those
who shop across State borders,
have a means of benefit access;
``(III) requires retail
food stores, unless exempt
under section 7(f)(2)(B), to
bear the costs of acquiring and
arranging for the
implementation of point-of-sale
equipment and supplies for the
redemption of benefits that are
accessed through mobile
technologies;
``(IV) requires that foods
purchased with benefits issued
under this section through
mobile technologies are
purchased at a price not higher
than the price of the same food
purchased by other methods used
by the retail food store, as
determined by the Secretary;
``(V) ensures adequate
documentation for each
authorized transaction,
adequate security measures to
deter fraud, and adequate
access to retail food stores
that accept benefits accessed
through mobile technologies, as
determined by the Secretary;
``(VI) provides for an
evaluation of the demonstration
project, including, but not
limited to, an evaluation of
household access to benefits;
``(VII) requires that the
State demonstration projects
are voluntary for all retail
food stores and that all
recipients are able to use
benefits in non-participating
retail food stores; and
``(VIII) meets other
criteria as established by the
Secretary.'',
(D) by amending clause (iii) to read as
follows:
``(iv) Date of project approval.--
The Secretary shall solicit and approve
the qualifying demonstration projects
required under subparagraph (B)(i) not
later than January 1, 2021.'', and
(E) by inserting after clause (ii) the
following:
``(iii) Priority.--The Secretary
may prioritize demonstration project
proposals that would--
``(I) reduce fraud;
``(II) encourage positive
nutritional outcomes; and
``(III) meet such other
criteria as determined by the
Secretary.'', and
(3) in subparagraph (C)(i)--
(A) by striking ``2017'' and inserting
``2022'', and
(B) by inserting ``requires further study
by way of an extended pilot period or'' after
``States'' the 2d place it appears.
(f) Approval of Retail Food Stores.--Section 9 of the Food
and Nutrition Act (7 U.S.C. 2018) is amended--
(1) in subsection (a)(1)--
(A) in the 4th sentence by striking ``No
retail food store'' and inserting the
following:
``(D) Visit required.--No retail food
store'',
(B) in the 3d sentence by striking
``Approval'' and inserting the following:
``(C) Certificate.--Approval'',
(C) in the 2d sentence--
(i) by striking ``food; and (D)
the'' and inserting the following:
``food;
``(iv) any information, if
available, about the ability of the
anticipated or existing electronic
benefit transfer equipment and service
provider of the applicant to provide
sufficient information through the
electronic benefit transfer system to
minimize the risk of fraudulent
transactions; and
``(v) the'',
(ii) by striking ``concern; (C)
whether'' and inserting the following:
``concern;
``(iii) whether'',
(iii) by striking ``applicant; (B)
the'' and inserting the following:
``applicant;
``(ii) the'',
(iv) by striking ``following: (A)
the nature'' and inserting the
following: ``following:
``(i) the nature'', and
(v) in the matter preceding clause
(i), as so designated, by striking ``In
determining'' and inserting the
following:
``(B) Factors for consideration.--In
determining'', and
(D) in the 1st sentence by striking
``(a)(1) Regulations'' and inserting the
following:
``(a) Authorization to Accept and Redeem Benefits.--
``(1) Applications.--
``(A) In general.--Regulations'',
(2) in subsection (a) by adding at the end the
following:
``(4) Electronic benefit transfer equipment and
service providers.--Before implementing clause (iv) of
paragraph (1)(B), the Secretary shall issue guidance
for retail food stores on how to select electronic
benefit transfer equipment and service providers that
are able to meet the requirements of that clause.'',
and
(3) in the 1st sentence of subsection (c) by
inserting ``records relating to electronic benefit
transfer equipment and related services, transaction
and redemption data provided through the electronic
benefit transfer system,'' after ``purchase
invoices,''.
SEC. 4007. REVIEW OF SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM
OPERATIONS.
Section 9 of the Food and Nutrition Act of 2008 (7 U.S.C.
2018) is amended by adding at the end the following:
``(i) Review of Program Operations.--
``(1) Review by the secretary.--The Secretary--
``(A) shall review a representative sample
of currently authorized facilities referred to
in section 3(k)(3) to determine whether
benefits are properly used by or on behalf of
participating households residing in such
facilities and whether such facilities are
using more than 1 source of Federal or State
funding to meet the food needs of residents;
``(B) may carry out similar reviews for
currently participating residential drug and
alcohol treatment and rehabilitation programs,
and group living arrangements for the blind and
disabled, referred to in section 3(k);
``(C) shall gather information, and such
facilities, programs, and arrangements shall be
required to submit information deemed necessary
for a full and thorough review; and
``(D) shall report the results of these
reviews to the Committee on Agriculture of the
House of Representatives and the Committee on
Agriculture, Nutrition, and Forestry of the
Senate not later than 18 months after the date
of the enactment of the Agriculture Improvement
Act of 2018, along with recommendations
regarding--
``(i) any additional requirements
or oversight that would be appropriate
for such facilities, programs, and
arrangements; and
``(ii) whether such facilities,
programs, and arrangements should
continue to be authorized to
participate in the supplemental
nutrition assistance program.
``(2) Limitation.--Nothing in this subsection shall
authorize the Secretary to deny any application for
continued authorization, any application for
authorization, or any request to withdraw the
authorization of any such facility, program, or
arrangement based on a determination that residents of
any such facility or entity are residents of an
institution for a period of 18 months from the date of
enactment of the Agriculture Improvement Act of
2018.''.
SEC. 4008. RETAIL INCENTIVES.
Section 9 of the Food and Nutrition Act of 2008 (7 U.S.C.
2018), as amended by section 4007, is amended by adding at the
end the following:
``(j) Incentives.--
``(1) Definition of eligible incentive food.--In
this subsection, the term `eligible incentive food'
means--
``(A) a staple food that is identified for
increased consumption, consistent with the most
recent dietary recommendations; and
``(B) a fruit, vegetable, dairy, whole
grain, or product thereof.
``(2) Guidance.--
``(A) In general.--The Secretary shall
issue guidance to clarify the process by which
an approved retail food store may seek a waiver
to offer an incentive, which may be used only
for the purchase of an eligible incentive food
at the point of purchase, to a household
purchasing food with benefits issued under this
Act.
``(B) Guidance.--The guidance under
subparagraph (A) shall establish a process
under which an approved retail food store,
prior to carrying out an incentive program
under this subsection, shall provide to the
Secretary information describing the incentive
program, including--
``(i) the types of incentives that
will be offered;
``(ii) the types of foods that will
be incentivized for purchase; and
``(iii) an explanation of how the
incentive program intends to support
meeting dietary intake goals.
``(3) No limitation on benefits.--A waiver granted
under this subsection shall not be used to carry out
any activity that limits the use of benefits under this
Act or any other Federal nutrition law.
``(4) Effect.--Guidance provided under this
subsection shall not affect any requirements under
section 4405 of the Food, Conservation, and Energy Act
of 2008 (7 U.S.C. 7517), including the eligibility of a
retail food store to participate in a project funded
under such section.
``(5) Report.--The Secretary shall submit to the
Committee on Agriculture of the House of
Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate an annual report
describing the types of incentives approved under this
subsection.''.
SEC. 4009. REQUIRED ACTION ON DATA MATCH INFORMATION.
Section 11(e) of the Food and Nutrition Act of 2008 (7
U.S.C. 2020(e)) is amended--
(1) in paragraph (24) by striking ``and'' after the
semicolon,
(2) in paragraph (25) by striking the period at the
end and inserting ``; and'', and
(3) by adding at the end the following:
``(26) that for a household participating in the
supplemental nutrition assistance program, the State
agency shall pursue clarification and verification, if
applicable, of information relating to the
circumstances of the household received from data
matches for the purpose of ensuring an accurate
eligibility and benefit determination, only if the
information--
``(A) appears to present significantly
conflicting information from the information
that was used by the State agency at the time
of certification of the household;
``(B) is obtained from data matches carried
out under subsection (q), (r), or (x); or
``(C)(i) is less than 60 days old relative
to the current month of participation of the
household; and
``(ii) if accurate, would have been
required to be reported by the household based
on the reporting requirements assigned to the
household by the State agency under section
6(c).''.
SEC. 4010. INCENTIVIZING TECHNOLOGY MODERNIZATION.
Section 11(t) of the Food and Nutrition Act of 2008 (7
U.S.C. 2020(t)) is amended--
(1) by striking the heading and inserting ``Grants
for Simplified Application and Eligibility
Determination Systems and Improved Access to
Benefits'',
(2) in paragraph (1) by striking ``implement--''
and all that follows through the period at the end, and
inserting ``implement supplemental nutrition assistance
program simplified application and eligibility
determination systems.'', and
(3) in paragraph (2)--
(A) by amending subparagraph (B) to read as
follows:
``(B) establishing enhanced technological
methods that improve the administrative
infrastructure used in processing applications
and determining eligibility; or'',
(B) by striking subparagraphs (C) and (D),
and
(C) by redesignating subparagraph (E) as
subparagraph (C).
SEC. 4011. INTERSTATE DATA MATCHING TO PREVENT MULTIPLE ISSUANCES.
Section 11 of the Food and Nutrition Act of 2008 (7 U.S.C.
2020), as amended by section 4005(c), is amended by adding at
the end the following:
``(x) National Accuracy Clearinghouse.--
``(1) Definition of indication of multiple
issuance.--In this subsection, the term `indication of
multiple issuance' means an indication, based on a
computer match, that supplemental nutrition assistance
program benefits are being issued to an individual by
more than 1 State agency simultaneously.
``(2) Establishment.--
``(A) In general.--The Secretary shall
establish an interstate data system, to be
known as the `National Accuracy Clearinghouse',
to prevent multiple issuances of supplemental
nutrition assistance program benefits to an
individual by more than 1 State agency
simultaneously.
``(B) Data matching.--The Secretary shall
require that State agencies make available to
the National Accuracy Clearinghouse only such
information as is necessary for the purpose
described in subparagraph (A).
``(C) Data protection.--The information
made available by State agencies under
subparagraph (B)--
``(i) shall be used only for the
purpose described in subparagraph (A);
``(ii) shall be exempt from the
disclosure requirements of section
552(a) of title 5 of the United States
Code pursuant to section 552(b)(3) of
title 5 of the United States Code, to
the extent such information is obtained
or received by the Secretary;
``(iii) shall not be retained for
longer than is necessary to accomplish
the purpose in subparagraph (A);
``(iv) shall be used in a manner
that protects the identity and location
of a vulnerable individual (including a
victim of domestic violence) that is an
applicant for, or recipient of,
supplemental nutrition assistance
program benefits; and
``(v) shall meet security standards
as determined by the Secretary.
``(3) Issuance of interim final regulations.--Not
later than 18 months after the date of enactment of the
Agriculture Improvement Act of 2018, the Secretary
shall promulgate regulations (which shall include
interim final regulations) to carry out this subsection
that--
``(A) incorporate best practices and
lessons learned from the pilot program under
section 4032(c) of the Agricultural Act of 2014
(7 U.S.C. 2036c(c));
``(B) require a State agency to take
appropriate action, as determined by the
Secretary, with respect to each indication of
multiple issuance of supplemental nutrition
assistance program benefits, or each indication
that an individual receiving such benefits in 1
State has applied to receive such benefits in
another State, while ensuring timely and fair
service to applicants for, and recipients of,
such benefits;
``(C) establish standards to limit and
protect the information submitted through or
retained by the National Accuracy Clearinghouse
consistent with paragraph (2)(C);
``(D) establish safeguards to protect--
``(i) the information submitted
through or retained by the National
Accuracy Clearinghouse, including by
limiting the period of time that
information is retained to the period
necessary to accomplish the purpose
described in paragraph (2)(A); and
``(ii) the privacy of information
that is submitted through or retained
by the National Accuracy Clearinghouse
consistent with subsection (e)(8); and
``(E) include such other rules and
standards the Secretary determines appropriate
to carry out this subsection.
``(4) Timing.--The initial match and corresponding
actions required by paragraph (3)(B) shall occur within
3 years after the date of the enactment of the
Agriculture Improvement Act of 2018.''.
SEC. 4012. REQUIREMENT OF LIVE-PRODUCTION ENVIRONMENTS FOR CERTAIN
PILOT PROJECTS RELATING TO COST SHARING FOR
COMPUTERIZATION.
Section 16(g)(1) of the Food and Nutrition Act of 2008 (7
U.S.C. 2025(g)(1)) is amended--
(1) in subparagraph (F) by redesignating clauses
(i) and (ii) as subclauses (I) and (II), respectively,
and indenting appropriately;
(2) by redesignating subparagraphs (A) through (F)
as clauses (i) through (vi), respectively, and
indenting appropriately;
(3) in the matter preceding clause (i), as so
redesignated--
(A) by striking ``paragraphs (2) and (3)''
and inserting ``paragraph (2)''; and
(B) by striking ``in the planning'' and
inserting the following: ``in the--
``(A) planning'',
(4) in clause (v), as so redesignated, of
subparagraph (A), as so designated, by striking
``implementation, including through pilot projects in
limited areas for major systems changes as determined
under rules promulgated by the Secretary, data from
which'' and inserting the following: ``implementation,
including a requirement that--
``(I) such testing shall be
accomplished through pilot
projects in limited areas for
major systems changes (as
determined under rules
promulgated by the Secretary);
``(II) each pilot project
described in subclause (I) that
is carried out before the
implementation of a system
shall be conducted in a live-
production environment; and
``(III) the data resulting
from each pilot project carried
out under this clause'';
(5) in clause (vi), as so redesignated, by striking
the period at end and inserting ``; and'', and
(6) by adding at the end the following:
``(B) operation of 1 or more automatic data
processing and information retrieval systems
that the Secretary determines may continue to
be operated in accordance with clauses (i)
through (vii) of subparagraph (A).''.
SEC. 4013. QUALITY CONTROL IMPROVEMENTS.
(a) Records.--Section 11(a)(3)(B) of the Food and Nutrition
Act of 2008 (7 U.S.C. 2020(a)(3)(B)) is amended--
(1) by striking ``Records described'' and inserting
``All records, and the entire information systems in
which records are contained, that are covered'', and
(2) by amending clause (i) to read as follows:
``(i) be made available for
inspection and audit by the Secretary,
subject to data and security protocols
agreed to by the State agency and
Secretary;''.
(b) Quality Control System.--Section 16(c)(1)(B) of the
Food and Nutrition Act of 2008 (7 U.S.C. 2025(c)(1)(B)) is
amended to read as follows:
``(B) Quality control system integrity.--
``(i) In general.--Not later than
180 days after the date of enactment of
the Agriculture Improvement Act of
2018, the Secretary shall issue interim
final regulations that--
``(I) ensure that the
quality control system
established under this
subsection produces valid
statistical results;
``(II) provide for
oversight of contracts entered
into by a State agency for the
purpose of improving payment
accuracy;
``(III) ensure the accuracy
of data collected under the
quality control system
established under this
subsection; and
``(IV) for each fiscal
year, to the maximum extent
practicable, provide for the
evaluation of the integrity of
the quality control process of
not fewer than 2 State
agencies, selected in
accordance with criteria
determined by the Secretary.
``(ii) Debarment.--In accordance
with the nonprocurement debarment
procedures under part 417 of title 2,
Code of Federal Regulations, or
successor regulations, the Secretary
shall debar any person that, in
carrying out the quality control system
established under this subsection,
knowingly submits, or causes to be
submitted, false information to the
Secretary.''.
(c) Reporting Requirements.--The 1st sentence of section
16(c)(4) of the Food and Nutrition Act of 2008 (7 U.S.C.
2025(c)(4)) is amended by inserting ``, including providing
access to applicable State records and the entire information
systems in which the records are contained,'' after
``necessary''.
(d) State Performance Indicators.--Section 16(d) of the
Food and Nutrition Act of 2008 (7 U.S.C. 2025(d)) is amended--
(1) by striking the heading and inserting ``State
Performance Indicators'',
(2) in paragraph (2)--
(A) in the heading by striking ``and
thereafter'' and inserting ``through 2017'',
(B) in subparagraph (A) by striking ``and
each fiscal year thereafter'' and inserting
``through fiscal year 2017'', and
(C) in subparagraph (B) by striking ``and
each fiscal year thereafter'' and inserting
``through fiscal year 2017'', and
(3) by adding at the end the following:
``(6) Fiscal year 2018 and fiscal years
thereafter.--
``(A) With respect to fiscal year 2018 and
each fiscal year thereafter, the Secretary
shall establish, by regulation, performance
criteria relating to--
``(i) actions taken to correct
errors, reduce rates of error, and
improve eligibility determinations; and
``(ii) other indicators of
effective administration determined by
the Secretary.
``(B) The Secretary shall not award
performance bonus payments to State agencies in
fiscal year 2019 for fiscal year 2018
performance.''.
(e) Cost Sharing for Computerization.--Section 16(g)(1)(A)
of the Food and Nutrition Act of 2008 (7 U.S.C. 2025(g)(1)(A)),
as amended by section 4012, is amended--
(1) in clause (v)(III) by striking ``and'', and
(2) by adding at the end the following:
``(vii) would be accessible by the
Secretary for inspection and audit
under section 11(a)(3)(B); and''.
SEC. 4014. EVALUATION OF CHILD SUPPORT ENFORCEMENT COOPERATION
REQUIREMENTS.
Section 17 of the Food and Nutrition Act of 2008 (7 U.S.C.
2026) is amended by adding at the end the following:
``(m) Evaluation of Child Support Enforcement Cooperation
Requirements.--
``(1) In general.--The Secretary, in consultation
with the Secretary of Health and Human Services, shall
conduct an independent evaluation of a representative
sample of States--
``(A) to assess the implementation and
impact of the eligibility requirements
described in subsections (l) through (n) of
section 6 in States that have formerly
implemented or continue to implement those
requirements, and the feasibility of
implementing those requirements in other
States;
``(B) to assess the factors that
contributed to the decision of States that
formerly implemented the eligibility
requirements described in each of subsections
(l) through (n) of section 6 to cease such
implementation;
``(C) to review alternatives to the
eligibility requirements described in each of
subsections (l) through (n) of section 6 that
are used by other States to assist participants
in the supplemental nutrition assistance
program to make or receive child support
payments and the effectiveness of those
alternatives; and
``(D) to evaluate the costs and benefits to
households and to State agencies, of requiring
State agencies to implement each of the
eligibility requirements described in
subsections (l) through (n) of section 6.
``(2) Evaluation.--The evaluation under paragraph
(1) shall include, to the maximum extent practicable,
an assessment of--
``(A) the manner in which applicable State
agencies implement and enforce the eligibility
requirements described in subparagraph (A) of
such paragraph, including--
``(i) the procedures used by each
State to determine cooperation, to
sanction participants for failure to
cooperate, and to determine good cause
for noncooperation under each of
subsections (l) through (n) of section
6; and
``(ii) the manner in which each
State aligns the procedures for
implementing those eligibility
requirements with procedures for
implementing other Federal programs
that require cooperation with child
support enforcement, including the
program of block grants to States for
temporary assistance for needy families
established under part A of title IV of
the Social Security Act (42 U.S.C. 601
et seq.), the Medicaid program under
title XIX of the Social Security Act
(42 U.S.C. 1396 et seq.), and programs
carried out under the Child Care and
Development Block Grant Act of 1990 (42
U.S.C. 9857 et seq.);
``(B) the Federal, State, and local costs
associated with implementing those eligibility
requirements, including costs incurred under
this Act and by child support enforcement
agencies for personnel, technology upgrades,
and other costs;
``(C) the effect of those eligibility
requirements on the establishment of new child
support orders, the establishment of paternity,
changes in child support payments to custodial
households, and changes in arrears owed on
child support orders;
``(D) with respect to the eligibility
requirements under each of subsections (l)
through (n) of section 6--
``(i) the number of individuals
subject to those requirements;
``(ii) the number of individuals in
each State who meet those requirements;
and
``(iii) the number of individuals
in each State who fail to meet those
requirements;
``(E) the number of individuals in each
State for whom good cause for noncooperation
has been found under section 6(l)(2);
``(F) the impact of those eligibility
requirements on the supplemental nutrition
assistance program eligibility, benefit levels,
food security, income, and economic stability
of--
``(i) individuals subject to those
requirements;
``(ii) the household members of
those individuals, including children;
and
``(iii) households with
nontraditional family structures,
including a household in which a
grandparent is the primary caretaker of
a grandchild of the grandparent.
``(3) State agency cooperation.--Each State agency
selected under paragraph (1) shall provide information
to the Secretary necessary to conduct the evaluation
under such paragraph.
``(4) Report.--Not later than 3 years after the
date of enactment of the Agriculture Improvement Act of
2018, the Secretary shall submit to the Committee on
Agriculture of the House of Representatives and the
Committee on Agriculture, Nutrition, and Forestry of
the Senate a report describing the findings from the
evaluation conducted under paragraph (1).''.
SEC. 4015. LONGITUDINAL DATA FOR RESEARCH.
(a) Longitudinal Data.--Section 17 of the Food and
Nutrition Act of 2008 (7 U.S.C. 2026), as amended by section
4014, is amended by adding at the end the following:
``(n) Longitudinal Data for Research.--
``(1) In general.--Subject to paragraphs (3)
through (5), a State agency may, on approval by the
Secretary, establish a longitudinal database that
contains information about households and members of
households that receive benefits under the supplemental
nutrition assistance program in the State.
``(2) Purpose.--Each longitudinal database
established under paragraph (1) shall be used solely to
conduct research on participation in and the operation
of the supplemental nutrition assistance program,
including duration of participation in the program.
``(3) Requirements for databases.--Prior to the
approval of State agencies to establish longitudinal
databases under paragraph (1), the Secretary shall--
``(A) identify features that shall be
standard across States such as database format
to facilitate use of longitudinal databases
established under paragraph (1) for research
purposes;
``(B) identify features of longitudinal
databases established under paragraph (1) that
may vary across States;
``(C) identify a procedure for States
operating longitudinal databases under
paragraph (1) to use a unique identifier to
provide relevant information on household
members who receive benefits under the
supplemental nutrition assistance program for
the purpose of comparing participation data in
multiple participating States over time while
protecting participant privacy;
``(D) establish the manner in which data
security and privacy protections, as required
by Federal law and consistent with other
appropriate practices, shall be implemented and
maintained;
``(E) provide direction to State agencies
on the responsibilities of and funding
arrangements for State agencies and any State
contractors (including entities providing
technical assistance) relating to the
establishment and operation of a longitudinal
database;
``(F) provide a description of the
documentation that States shall submit to the
Secretary prior to allowing researchers access
to a longitudinal database;
``(G) consult with other Federal research
agencies, including the Bureau of the Census;
``(H) consult with States that have already
established databases used for purposes similar
to the purposes outlined in this subsection;
and
``(I) identify any other requirements
determined appropriate by the Secretary.
``(4) Included data.--
``(A) In general.--Subject to subparagraph
(B), each longitudinal database established
under paragraph (1)--
``(i) shall include monthly
information about households and
members of households that receive
benefits under the supplemental
nutrition assistance program in the
participating State taken from existing
information collected by the State
agency including, if available,--
``(I) demographic
characteristics;
``(II) income and financial
resources (as described in
section 5(g));
``(III) employment status;
``(IV) household
circumstances, such as
deductible expenses; and
``(V) the amount of the
monthly allotment received
under the supplemental
nutrition assistance program;
and
``(ii) may include information from
other State data sources such as--
``(I) earnings and
employment data from the State
department of labor;
``(II) health insurance
program data; or
``(III) data from
participation in other programs
administered by the State.
``(B) Data protection.--Any State that
establishes a longitudinal database under
paragraph (1) shall, in accordance with all
applicable Federal and State privacy standards
and requirements--
``(i) protect the privacy of
information about each member of each
household that receives benefits under
the supplemental nutrition assistance
program in such State by ensuring that
no personally identifiable information
(including social security number, home
address, or contact information) is
included in the longitudinal database;
and
``(ii) make the data under this
paragraph available to researchers and
the Secretary.
``(5) Approval.--The Secretary shall approve the
establishment of longitudinal databases under paragraph
(1) in States that--
``(A) meet the requirements for databases
under paragraph (3) and (4)(B);
``(B) reflect a range of participant
numbers, demographics, operational structures,
and geographic regions; and
``(C) have the capacity to provide on a
periodic and ongoing basis household and
participant data derived from the eligibility
system and other data sources of the State.
``(6) Grants.--
``(A) In general.--In carrying out this
subsection, the Secretary may provide grants to
States that have been approved by the Secretary
in accordance with paragraph (5) out of funds
made available under paragraph (9).
``(B) Method of awarding grants.--Grants
awarded under this paragraph shall be made in
such amounts and under such terms and
conditions as the Secretary determines
necessary to carry out the purposes of this
subsection.
``(7) Report.--
``(A) In general.--Not later than 4 years
after the effective date of this subsection,
the Secretary shall submit to the Committee on
Agriculture of the House of Representatives and
the Committee on Agriculture, Nutrition, and
Forestry of the Senate a report on the
feasibility of expanding implementation of
longitudinal databases to every State.
``(B) Contents.--The report required under
subparagraph (A) shall describe--
``(i) the cost of expanding
implementation of longitudinal
databases with consistent data to every
State;
``(ii) the challenges and benefits
of using State longitudinal databases
with consistent data; and
``(iii) alternatives to expanding
implementation of longitudinal
databases with consistent data to every
State that may achieve similar research
outcomes and the advantages and
disadvantages of those alternatives.
``(8) Effect.--Nothing in this subsection shall be
construed to prevent or limit the ability of State
agencies to establish or continue operating databases
used for purposes similar to the purposes outlined in
this subsection.
``(9) Funding.--Of the funds made available under
section 18, the Secretary shall use to carry out this
subsection--
``(A) $20,000,000 for fiscal year 2019 to
remain available through fiscal year 2021; and
``(B) $5,000,000 for fiscal year 2022 and
each fiscal year thereafter.''.
(b) Conforming Amendment.--The 1st sentence of section
16(a) of the Food and Nutrition Act of 2008 is amended--
(1) by striking ``and (8)'' and inserting ``(8)'';
and
(2) by inserting ``, and (9) establishing and
operating a longitudinal database in accordance with
section 17(n)'' before ``: Provided''.
SEC. 4016. AUTHORIZATION OF APPROPRIATIONS.
The 1st sentence of section 18(a)(1) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2027(a)(1)) is amended by
striking ``2018'' and inserting ``2023''.
SEC. 4017. ASSISTANCE FOR COMMUNITY FOOD PROJECTS.
Section 25(b)(2) of the Food and Nutrition Act of 2008 (7
U.S.C. 2034(b)(2)) is amended--
(1) in subparagraph (B) by striking ``and'' at the
end,
(2) in subparagraph (C) by striking ``fiscal year
2015 and each fiscal year thereafter.'' and inserting
``each of fiscal years 2015 through 2018; and'', and
(3) by adding at the end the following:
``(D) $5,000,000 for fiscal year 2019 and
each fiscal year thereafter.''.
SEC. 4018. EMERGENCY FOOD ASSISTANCE PROGRAM.
(a) State Plan.--Section 202A(b) of the Emergency Food
Assistance Act of 1983 (7 U.S.C. 7503(b)) is amended--
(1) in paragraph (3), by striking ``and'' after the
semicolon;
(2) in paragraph (4), by striking the period at the
end and inserting a semicolon; and
(3) by adding at the end the following:
``(5) at the option of the State agency, describe a
plan of operation for 1 or more projects in partnership
with 1 or more emergency feeding organizations located
in the State to harvest, process, package, or transport
donated commodities received under section 203D(d); and
``(6) describe a plan, which may include the use of
a State advisory board established under subsection
(c), that provides emergency feeding organizations or
eligible recipient agencies within the State an
opportunity to provide input on the commodity
preferences and needs of the emergency feeding
organization or eligible recipient agency.''.
(b) State and Local Supplementation of Commodities.--
Section 203D of the Emergency Food Assistance Act of 1983 (7
U.S.C. 7507) is amended by adding at the end the following:
``(d) Projects to Harvest, Process, Package, or Transport
Donated Commodities.--
``(1) Definition of project.--In this subsection,
the term `project' means the harvesting, processing,
packaging, or transportation of unharvested,
unprocessed, or unpackaged commodities donated by
agricultural producers, processors, or distributors for
use by emergency feeding organizations under subsection
(a).
``(2) Federal funding for projects.--
``(A) In general.--Subject to subparagraphs
(B) and (C) and paragraph (3), using funds made
available under paragraph (5), the Secretary
may provide funding to States to pay for the
costs of carrying out a project.
``(B) Federal share.--The Federal share of
the cost of a project under subparagraph (A)
shall not exceed 50 percent of the total cost
of the project.
``(C) Allocation.--
``(i) In general.--Each fiscal
year, the Secretary shall allocate the
funds made available under subparagraph
(A), based on a formula determined by
the Secretary, to States that have
submitted a State plan describing a
plan of operation for a project under
section 202A(b)(5).
``(ii) Reallocation.--If the
Secretary determines that a State will
not expend all of the funds allocated
to the State for a fiscal year under
clause (i), the Secretary shall
reallocate the unexpended funds to
other States that have submitted under
section 202A(b)(5) a State plan
describing a plan of operation for a
project during that fiscal year or the
subsequent fiscal year, as the
Secretary determines appropriate.
``(iii) Reports.--Each State to
which funds are allocated for a fiscal
year under this subparagraph shall, on
a regular basis, submit to the
Secretary financial reports describing
the use of the funds.
``(3) Project purposes.--A State may only use
Federal funds received under paragraph (2) for a
project the purposes of which are--
``(A) to reduce food waste at the
agricultural production, processing, or
distribution level through the donation of
food;
``(B) to provide food to individuals in
need; and
``(C) to build relationships between
agricultural producers, processors, and
distributors and emergency feeding
organizations through the donation of food.
``(4) Cooperative agreements.--The Secretary may
encourage a State agency that carries out a project
using Federal funds received under paragraph (2) to
enter into cooperative agreements with State agencies
of other States under section 203B(d) to maximize the
use of commodities donated under the project.
``(5) Funding.--Out of funds not otherwise
appropriated, the Secretary of the Treasury shall
transfer to the Secretary to carry out this subsection
$4,000,000 for each of fiscal years 2019 through 2023,
to remain available until the end of the subsequent
fiscal year.''.
(c) Food Waste.--Section 203D of the Emergency Food
Assistance Act of 1983 (7 U.S.C. 7507), as amended by
subsection (b), is amended by adding at the end the following:
``(e) Food Waste.--The Secretary shall issue guidance
outlining best practices to minimize the food waste of the
commodities donated under subsection (a).''.
(d) Emergency Food Program Infrastructure Grants.--Section
209(d) of the Emergency Food Assistance Act of 1983 (7 U.S.C.
7511a(d)) is amended by striking ``2018'' and inserting
``2023''.
(e) Availability of Commodities for the Emergency Food
Assistance Program.--Section 27(a) of the Food and Nutrition
Act of 2008 (7 U.S.C. 2036(a)) is amended--
(1) in paragraph (1), by striking ``2018'' and
inserting ``2023''; and
(2) in paragraph (2)--
(A) in subparagraph (C), by striking
``2018'' and inserting ``2023'';
(B) in subparagraph (D)--
(i) in the matter preceding clause
(i), by striking ``2018'' and inserting
``2023'';
(ii) in clause (iii), by striking
``and'' after the semicolon;
(iii) in clause (iv), by striking
``and'' after the semicolon;
(iv) by adding at the end the
following:
``(v) for fiscal year 2019,
$23,000,000;
``(vi) for fiscal year 2020,
$35,000,000;
``(vii) for fiscal year 2021,
$35,000,000;
``(viii) for fiscal year 2022,
$35,000,000; and
``(ix) for fiscal year 2023,
$35,000,000; and''; and
(C) in subparagraph (E)--
(i) by striking ``2019'' and
inserting ``2024'';
(ii) by striking ``(D)(iv)'' and
inserting ``(D)(ix)''; and
(iii) by striking ``June 30, 2017''
and inserting ``June 30, 2023''.
SEC. 4019. NUTRITION EDUCATION.
Section 28(c) of the Food and Nutrition Act of 2008 (7
U.S.C. 2036a(c)) is amended--
(1) in paragraph (2)--
(A) in subparagraph (B)--
(i) in the matter preceding clause
(i), by striking ``Except as provided
in subparagraph (C), a'' and inserting
``A'',
(ii) in clause (ii) by striking
``and'' after the semicolon,
(iii) by redesignating clause (iii)
as clause (iv), and
(iv) by inserting after clause (ii)
the following:
``(iii) describe how the State
agency shall use an electronic
reporting system to--
``(I) measure and evaluate
the projects; and
``(II) account for the
allowable State agency
administrative costs including
for--
``(aa) salaries and
benefits of State
agency personnel;
``(bb) office
supplies and equipment;
``(cc) travel
costs;
``(dd) development
and production of
nutrition education
materials;
``(ee) memberships,
subscriptions, and
professional
activities;
``(ff) lease or
rental costs;
``(gg) maintenance
and repair expenses;
``(hh) indirect
costs; and
``(ii) cost of
using publicly-owned
building space; and'',
and
(B) by striking subparagraph (C),
(2) in paragraph (3)(B) in the matter preceding
clause (i), by inserting ``, the Director of the
National Institute of Food and Agriculture,'' before
``and outside stakeholders'',
(3) in paragraph (5) by inserting ``the expanded
food and nutrition education program or'' before
``other health promotion'', and
(4) by adding at the end the following:
``(6) Information clearinghouse.--The Secretary
shall establish an online clearinghouse that makes
available to State agencies, local agencies,
institutions of higher education, and community
organizations best practices for planning,
implementing, and evaluating nutrition education and
obesity prevention services to ensure that projects
carried out with funds received under this section are
appropriate for the target population.
``(7) Technical assistance.--The Secretary shall
provide technical assistance to a State agency in
developing and implementing a nutrition education State
plan, including--
``(A) by identifying common challenges
faced by entities described in paragraph (6)
that participate in projects carried out with
funds received under this section;
``(B) by coordinating efforts to address
those common challenges;
``(C) by collecting and disseminating
information on evidence-based practices
relating to nutrition education and obesity
prevention;
``(D) by facilitating communication between
and among grantees and subgrantees of funds
received under this section;
``(E) by assisting State agencies in
creating or maintaining systems to compile
program data; and
``(F) by performing or assisting with other
activities, as determined by the Secretary.
``(8) Annual state report.--Each State agency that
delivers nutrition education and obesity prevention
services under this subsection shall submit to the
Secretary an annual report, which shall be made
publicly available by the Secretary, that includes--
``(A) the use of funds on the State
agency's program, including for each category
of allowable State agency administrative costs
identified in paragraph (2)(B)(iii)(II);
``(B) a description of each project carried
out by that agency under this subsection,
including, with respect to the project, the
target population, interventions, educational
materials used, key performance indicators
used, and evaluations made;
``(C) a comprehensive analysis of the
impacts and outcomes--
``(i) of the project, including
with respect to the elements described
in subparagraph (A); and
``(ii) to the extent practicable,
of completed multiyear projects; and
``(D) the status of any ongoing multiyear
project.
``(9) Annual federal report.--The Administrator of
the Food and Nutrition Service, in consultation with
the Director of the National Institute of Food and
Agriculture, shall annually submit to the Committee on
Agriculture of the House of Representatives and the
Committee on Agriculture, Nutrition, and Forestry of
the Senate a report that--
``(A) evaluates the level of coordination
between--
``(i) the nutrition education and
obesity prevention grant program under
this section;
``(ii) the expanded food and
nutrition education program under
section 1425 of the National
Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C.
3175); and
``(iii) any other nutrition
education program administered by the
Department of Agriculture; and
``(B) includes the use of funds on such
programs including State agency administrative
costs reported by States under paragraph
(8)(A).''.
SEC. 4020. RETAIL FOOD STORE AND RECIPIENT TRAFFICKING.
Section 29(c)(1) of the Food and Nutrition Act of 2008 (7
U.S.C. 2036b(c)(1)) is amended by striking ``2018'' and
inserting ``2023''.
SEC. 4021. PUBLIC-PRIVATE PARTNERSHIPS.
The Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.)
is amended by adding at the end the following:
``SEC. 30. PILOT PROJECTS TO ENCOURAGE THE USE OF PUBLIC-PRIVATE
PARTNERSHIPS COMMITTED TO ADDRESSING FOOD
INSECURITY.
``(a) In General.--The Secretary may, on application of
eligible entities, approve not more than 10 pilot projects to
support public-private partnerships that address food
insecurity and poverty.
``(b) Definitions.--For purposes of this section--
``(1) the term `eligible entity' means--
``(A) a nonprofit organization;
``(B) a community-based organization;
``(C) an institution of higher education;
or
``(D) a private entity, as determined by
the Secretary; and
``(2) the term `public agency' means a department,
agency, other unit, or instrumentality of Federal,
State, or local government.
``(c) Project Requirements.--Projects approved under this
section shall--
``(1) be limited to 2 years in length; and
``(2) include a collaboration between one or more
public agencies and one or more eligible entities
that--
``(A) improves the effectiveness and impact
of the supplemental nutrition assistance
program;
``(B) develops food security solutions that
are specific to the needs of a community or
region; and
``(C) strengthens the capacity of
communities to address food insecurity and
poverty.
``(d) Evaluation.--The Secretary shall provide for an
independent evaluation of pilot projects approved under this
section that includes--
``(1) a summary of the activities conducted under
the pilot projects;
``(2) an assessment of the effectiveness of the
pilot projects; and
``(3) best practices regarding the use of public-
private partnerships to improve the effectiveness of
public benefit programs to address food insecurity and
poverty.
``(e) Funding.--
``(1) Authorization of appropriations.--There is
authorized to be appropriated to carry out this section
$5,000,000 to remain available until expended.
``(2) Appropriation in advance.--Only funds
appropriated under paragraph (1) in advance
specifically to carry out this section shall be
available to carry out this section.''.
SEC. 4022. TECHNICAL CORRECTIONS.
The Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.)
is amended--
(1) in section 3--
(A) in subsections (d) and (i) by striking
``7(i)'' and inserting ``7(h)'', and
(B) in subsection (o)(1)(A) by striking
``(r)(1)'' and inserting ``(q)(1)'',
(2) in section 5(a) by striking ``and section''
each place it appears and all that follows through
``households'' the respective next place it appears,
and inserting ``and section 3(m)(4), households'',
(3) in subsections (e)(1) and (f)(1)(A)(i) of
section 8 by striking ``3(n)(5)'' and inserting
``3(m)(5)'',
(4) in the 1st sentence of section 10--
(A) by striking ``or the Federal Savings
and Loan Insurance Corporation'' each place it
appears, and
(B) by striking ``3(p)(4)'' and inserting
``3(o)(4)'',
(5) in section 11--
(A) in subsection (a)(2) by striking
``3(t)(1)'' and inserting ``3(s)(1)'', and
(B) in subsection (d)--
(i) by striking ``3(t)(1)'' each
place it appears and inserting
``3(s)(1)'', and
(ii) by striking ``3(t)(2)'' each
place it appears and inserting
``3(s)(2)'', and
(C) in subsection (e)--
(i) in paragraph (17) by striking
``3(t)(1)'' inserting ``3(s)(1)'', and
(ii) in paragraph (23) by striking
``Simplified Supplemental Nutrition
Assistance Program'' and inserting
``simplified supplemental nutrition
assistance program'',
(6) in section 15(e) by striking ``exchange'' and
all that follows through ``anything'', and inserting
``exchange for benefits, or anything'',
(7) in section 17(b)(1)(B)(iv)(III)(aa) by striking
``3(n)'' and inserting ``3(m)'',
(8) in section 25(a)(1)(B)(i)(I) by striking the 2d
semicolon at the end, and
(9) in section 26(b) by striking ``out'' and all
that follows through ``(referred'', and inserting ``out
a simplified supplemental nutrition assistance program
(referred''.
Subtitle B--Commodity Distribution Programs
SEC. 4101. COMMODITY DISTRIBUTION PROGRAM.
The 1st sentence of section 4(a) of the Agriculture and
Consumer Protection Act of 1973 (7 U.S.C. 612c note) is amended
by striking ``2018'' and inserting ``2023''.
SEC. 4102. COMMODITY SUPPLEMENTAL FOOD PROGRAM.
Section 5 of the Agriculture and Consumer Protection Act of
1973 (7 U.S.C. 612c note; Public Law 93-86) is amended--
(1) in subsection (a)--
(A) in paragraph (1) by striking ``2018''
and inserting ``2023'', and
(B) in paragraph (2)(B), in the matter
preceding clause (i), by striking ``2018'' and
inserting ``2023'',
(2) in subsection (d)(2), in the 1st sentence, by
striking ``2018'' and inserting ``2023'', and
(3) in subsection (g)--
(A) by striking ``Except'' and inserting
the following:
``(1) In general.--Except'', and
(B) by adding at the end the following:
``(2) Certification.--
``(A) Definition of certification period.--
In this paragraph, the term `certification
period' means the period during which a
participant in the commodity supplemental food
program in a State may continue to receive
benefits under the commodity supplemental food
program without a formal review of the
eligibility of the participant.
``(B) Minimum certification period.--
Subject to subparagraphs (C) and (D), a State
shall establish for the commodity supplemental
food program of the State a certification
period of--
``(i) not less than 1 year; but
``(ii) not more than 3 years.
``(C) Temporary certification.--An eligible
applicant for the commodity supplemental food
program in a State may be provided with a
temporary monthly certification to fill any
caseload slot resulting from nonparticipation
by certified participants.
``(D) Approvals.--A certification period of
more than 1 year established by a State under
subparagraph (B) shall be subject to the
approval of the Secretary, who shall approve
such a certification period on the condition
that, with respect to each participant
receiving benefits under the commodity
supplemental food program of the State, the
local agency in the State administering the
commodity supplemental food program, on an
annual basis during the certification period
applicable to the participant--
``(i) verifies the address and
continued interest of the participant;
and
``(ii) has sufficient reason to
determine that the participant still
meets the income eligibility standards
under paragraph (1), which may include
a determination that the participant
has a fixed income.''.
SEC. 4103. DISTRIBUTION OF SURPLUS COMMODITIES TO SPECIAL NUTRITION
PROJECTS.
Section 1114(a)(2)(A) of the Agriculture and Food Act of
1981 (7 U.S.C. 1431e(a)(2)(A)) is amended by striking ``2018''
and inserting ``2023''.
SEC. 4104. FOOD DONATION STANDARDS.
Section 203D of the Emergency Food Assistance Act of 1983
(7 U.S.C. 7507), as amended by section 4018(c), is amended by
adding at the end the following:
``(f) Food Donation Standards.--
``(1) Definitions.--In this subsection:
``(A) Apparently wholesome food.--The term
`apparently wholesome food' has the meaning
given the term in section 22(b) of the Child
Nutrition Act of 1966 (42 U.S.C. 1791(b)).
``(B) Institution of higher education.--The
term `institution of higher education' has the
meaning given the term in section 102 of the
Higher Education Act of 1965 (20 U.S.C. 1002).
``(C) Qualified direct donor.--The term
`qualified direct donor' means a retail food
store, wholesaler, agricultural producer,
restaurant, caterer, school food authority, or
institution of higher education.
``(2) Guidance.--
``(A) In general.--Not later than 180 days
after the date of enactment of the Agriculture
Improvement Act of 2018, the Secretary shall
issue guidance to promote awareness of
donations of apparently wholesome food
protected under section 22(c) of the Child
Nutrition Act of 1966 (42 U.S.C. 1791(c)) by
qualified direct donors in compliance with
applicable State and local health, food safety,
and food handling laws (including regulations).
``(B) Issuance.--The Secretary shall
encourage State agencies and emergency feeding
organizations to share the guidance issued
under subparagraph (A) with qualified direct
donors.''.
Subtitle C--Miscellaneous
SEC. 4201. SENIORS FARMERS' MARKET NUTRITION PROGRAM.
Section 4402(a) of the Farm Security and Rural Investment
Act of 2002 (7 U.S.C. 3007(a)) is amended by striking ``2018''
and inserting ``2023''.
SEC. 4202. PURCHASE OF FRESH FRUITS AND VEGETABLES FOR DISTRIBUTION TO
SCHOOLS AND SERVICE INSTITUTIONS.
Section 10603(b) of the Farm Security and Rural Investment
Act of 2002 (7 U.S.C. 612c-4(b)) is amended by striking
``2018'' and inserting ``2023''.
SEC. 4203. SERVICE OF TRADITIONAL FOODS IN PUBLIC FACILITIES.
Section 4033(d)(1) of the Agricultural Act of 2014 (128
Stat. 818) is amended--
(1) by striking ``and'' the 1st place it appears,
(2) by inserting ``, a State, a county or county
equivalent, a local educational agency, and an entity
or person authorized to facilitate the donation,
storage, preparation, or serving of traditional food by
the operator of a food service program'' after
``organization'', and
(3) by inserting ``storage, preparation, or'' after
``donation to or''.
SEC. 4204. HEALTHY FOOD FINANCING INITIATIVE.
Section 243 of the Department of Agriculture Reorganization
Act of 1994 (7 U.S.C. 6953) is amended--
(1) in subsection (a), by inserting ``and
enterprises'' after ``retailers'';
(2) in subsection (b)(3)(B)(iii), by inserting
``and enterprises'' after ``retailers''; and
(3) in subsection (c)(2)(B)(ii), by inserting ``as
applicable,'' before ``to accept''.
SEC. 4205. THE GUS SCHUMACHER NUTRITION INCENTIVE PROGRAM.
(a) Amendment to Program.--Section 4405 of the Food,
Conservation, and Energy Act of 2008 (7 U.S.C. 7517) is
amended--
(1) by striking the heading and inserting ``the gus
schumacher nutrition incentive program'',
(2) in subsection (a)--
(A) by amending paragraph (1) to read as
follows:
``(1) Eligible entity.--The term `eligible entity'
means a governmental agency or nonprofit
organization.'',
(B) in paragraph (3) by striking ``means
the'' and all that follows through the period
at the end, and inserting the following:
``means--
``(A) the supplemental nutrition assistance
program established under the Food and
Nutrition Act of 2008 (7 U.S.C. 2011 et seq.);
and
``(B) the programs for nutrition assistance
under section 19 of such Act (7 U.S.C.
2028).'', and
(C) by adding at the end the following:
``(4) Healthcare partner.--The term `healthcare
partner' means a healthcare provider, including--
``(A) a hospital;
``(B) a Federally-qualified health center
(as defined in section 1905(l) of the Social
Security Act (42 U.S.C. 1396d(l)));
``(C) a hospital or clinic operated by the
Secretary of Veterans Affairs; or
``(D) a healthcare provider group.
``(5) Member.--The term `member' means, as
determined by the applicable eligible entity or
healthcare partner carrying out a project under
subsection (c) in accordance with procedures
established by the Secretary--
``(A) an individual eligible for--
``(i) benefits under the Food and
Nutrition Act of 2008 (7 U.S.C. 2011 et
seq.); or
``(ii) medical assistance under a
State plan or a waiver of such a plan
under title XIX of the Social Security
Act (42 U.S.C. 1396 et seq.) and
enrolled under such plan or waiver; and
``(B) a member of a low-income household
that suffers from, or is at risk of developing,
a diet-related health condition.'',
(3) in subsection (b)--
(A) in paragraph (1)--
(i) in subparagraph (B) by striking
``The'' and inserting ``Except as
provided in subparagraph (D)(iii),
the'',
(ii) in subparagraph (C) by adding
at the end the following:
``(iii) Tribal agencies.--The
Secretary may allow a Tribal agency to
use funds provided to the Indian Tribe
of the Tribal agency through a Federal
agency (including the Indian Health
Service) or other Federal benefit to
satisfy all or part of the non-Federal
share described in clause (i) if such
use is otherwise consistent with the
purpose of such funds.'',
(iii) by redesignating
subparagraphs (B) and (C) as
subparagraphs (C) and (D), and
(iv) by inserting after
subparagraph (A) the following:
``(B) Partners and collaborators.--An
eligible entity that receives a grant under
this subsection may partner with, or make
subgrants to, public, private, nonprofit, or
for-profit entities, including--
``(i) an emergency feeding
organization;
``(ii) an agricultural cooperative;
``(iii) a producer network or
association;
``(iv) a community health
organization;
``(v) a public benefit corporation;
``(vi) an economic development
corporation;
``(vii) a farmers' market;
``(viii) a community-supported
agriculture program;
``(ix) a buying club;
``(x) a retail food store
participating in the supplemental
nutrition assistance program;
``(xi) a State, local, or tribal
agency;
``(xii) another eligible entity
that receives a grant under this
subsection; and
``(xiii) any other entity the
Secretary designates.'',
(B) in paragraph (2)--
(i) by amending subparagraph (A) to
read as follows:
``(A) In general.--To receive a grant under
this subsection, an eligible entity shall--
``(i) meet the application criteria
set forth by the Secretary; and
``(ii) propose a project that, at a
minimum--
``(I) has the support of
the State agency administering
the supplemental nutrition
assistance program;
``(II) would increase the
purchase of fruits and
vegetables by low-income
households participating in the
supplemental nutrition
assistance program by providing
an incentive for the purchase
of fruits and vegetables at the
point of purchase to a
household purchasing food with
supplemental nutrition
assistance program benefits;
``(III) except in the case
of projects receiving $100,000
or less over 1 year, would
measure the purchase of fruits
and vegetables by low-income
households participating in the
supplemental nutrition
assistance program;
``(IV) ensures that the
same terms and conditions apply
to purchases made by
individuals with benefits
issued under the Food and
Nutrition Act of 2008 and
incentives provided for in this
subsection as apply to
purchases made by individuals
who are not members of
households receiving benefits,
such as provided for in section
278.2(b) of title 7, Code of
Federal Regulations (or a
successor regulation);
``(V) has adequate plans to
collect data for reporting and
agrees to provide that
information for the report
described in subsection
(e)(2)(B)(iii); and
``(VI) would share
information with the Nutrition
Incentive Program Training,
Technical Assistance,
Evaluation, and Information
Centers established under
subsection (e).'',
(ii) in subparagraph (B)--
(I) by striking clause (v),
(II) by redesignating
clause (vi) as clause (x), and
(III) by inserting after
clause (iv) the following:
``(v) include a project design--
``(I) that provides
incentives when fruits or
vegetables are purchased using
supplemental nutrition
assistance program benefits;
and
``(II) in which the
incentives earned may be used
only to purchase fruits or
vegetables;
``(vi) have demonstrated the
ability to provide services to
underserved communities;
``(vii) include coordination with
multiple stakeholders, such as farm
organizations, nutrition education
programs, cooperative extension
services, public health departments,
health providers, private and public
health insurance agencies, cooperative
grocers, grocery associations, and
community-based and nongovernmental
organizations;
``(viii) offer supplemental
services in high-need communities,
including online ordering,
transportation between home and store,
and delivery services;
``(ix) include food retailers that
are open--
``(I) for extended hours;
and
``(II) most or all days of
the year; or'', and
(C) by striking paragraphs (3) and (4),
(4) in subsection (c)--
(A) in paragraph (1) by striking
``subsection (b) $5,000,000 for each of fiscal
years 2014 through 2018'' and inserting ``this
section $5,000,000 for each of fiscal years
2014 through 2023'', and
(B) in paragraph (2)--
(i) in the matter preceding
subparagraph (A), by striking
``subsection (b)'' and inserting ``this
section'',
(ii) in subparagraph (B) by
striking ``and'' at the end,
(iii) in subparagraph (C) by
striking the period at the end and
inserting a semicolon, and
(iv) by adding at the end the
following:
``(C) $45,000,000 for fiscal year 2019;
``(D) $48,000,000 for fiscal year 2020;
``(E) $48,000,000 for fiscal year 2021;
``(F) $53,000,000 for fiscal year 2022; and
``(G) $56,000,000 for fiscal year 2023 and
each fiscal year thereafter.
``(3) Use of funds.--With respect to funds made
available under this section for fiscal years 2019
through 2023--
``(A) for each fiscal year the Secretary
shall use not more than 10 percent of such
funds available for such fiscal year for the
produce prescription program described in
subsection (c);
``(B) for each fiscal year not more than 8
percent of such funds available for such fiscal
year shall be used by the National Institute of
Food and Agriculture and the Food and Nutrition
Service for administration; and
``(C) the Secretary shall use for the
Nutrition Incentive Program Training, Technical
Assistance, Evaluation, and Information Centers
established under subsection (e) not more
than--
``(i) $17,000,000 in the aggregate
for fiscal years 2019 and 2020; and
``(ii) $7,000,000 for each of the
fiscal years 2021 through 2023.'',
(5) by redesignating subsection (c) as subsection
(f), and
(6) by inserting after subsection (b) the
following:
``(c) Produce Prescription Program.--
``(1) In general.--The Secretary shall establish a
grant program under which the Secretary shall award
grants to eligible entities to conduct projects that
demonstrate and evaluate the impact of the projects
on--
``(A) the improvement of dietary health
through increased consumption of fruits and
vegetables;
``(B) the reduction of individual and
household food insecurity; and
``(C) the reduction in healthcare use and
associated costs.
``(2) Healthcare partners.--In carrying out a
project using a grant received under paragraph (1), an
eligible entity shall partner with 1 or more healthcare
partners.
``(3) Grant applications.--
``(A) In general.--To be eligible to
receive a grant under paragraph (1), an
eligible entity--
``(i) shall--
``(I) prescribe fresh
fruits and vegetables to
members;
``(II) submit to the
Secretary an application
containing such information as
the Secretary may require,
including the information
described in subparagraph (B);
and
``(ii) may--
``(I) provide financial or
non-financial incentives for
members to purchase or procure
fresh fruits and vegetables;
``(II) provide educational
resources on nutrition to
members; and
``(III) establish
additional accessible locations
for members to procure fresh
fruits and vegetables.
``(B) Application.--An application shall--
``(i) identify the 1 or more
healthcare partners with which the
eligible entity is partnering under
paragraph (2); and
``(ii) include--
``(I) a description of the
methods by which an eligible
entity shall--
``(aa) screen and
verify eligibility for
members for
participation in a
produce prescription
project, in accordance
with procedures
established under
subsection (a)(5);
``(bb) implement an
effective produce
prescription project,
including the role of
each healthcare partner
in implementing the
produce prescription
project;
``(cc) evaluate
members participating
in a produce
prescription project
with respect to the
matters described in
subparagraphs (A)
through (C) of
paragraph (1);
``(dd) provide
educational
opportunities relating
to nutrition to members
participating in a
produce prescription
project; and
``(ee) inform
members of the
availability of the
produce prescription
project, including
locations at which
produce prescriptions
may be redeemed;
``(II) a description of any
additional nonprofit or
emergency feeding organizations
that shall be involved in the
project and the role of each
additional nonprofit or
emergency feeding organization
in implementing and evaluating
an effective produce
prescription project;
``(III) documentation of a
partnership agreement with a
relevant State Medicaid agency
or other appropriate entity, as
determined by the Secretary, to
evaluate the effectiveness of
the produce prescription
project in reducing healthcare
use and associated costs;
``(IV) adequate plans to
collect data for reporting and
agreement to provide that
information for the report
described in subsection
(e)(2)(B)(iii); and
``(V) agreement to share
information with the Nutrition
Incentive Program Training,
Technical Assistance,
Evaluation, and Information
Centers established under
subsection (e).
``(4) Coordination.--In carrying out the grant
program established under paragraph (1), the Secretary
shall coordinate with the Secretary of Health and Human
Services and the heads of other appropriate Federal
agencies that carry out activities relating to
healthcare partners.
``(5) Partnerships.--
``(A) In general.--In carrying out the
grant program under paragraph (1), the
Secretary may enter into 1 or more memoranda of
understanding with a Federal agency, a State,
or a private entity to ensure the effective
implementation and evaluation of each project.
``(B) Memorandum of understanding.--A
memorandum of understanding entered into under
subparagraph (A) shall include--
``(i) a description of a plan to
provide educational opportunities
relating to nutrition to members
participating in produce prescription
projects;
``(ii) a description of the role of
the Federal agency, State, or private
entity, as applicable, in implementing
and evaluating an effective produce
prescription project; and
``(iii) documentation of a
partnership agreement with a relevant
State Medicaid agency or other
appropriate entity, as determined by
the Secretary.
``(d) Applicability.--
``(1) In general.--The value of any benefit
provided to a participant in any activity funded under
subsections (b) or (c) shall be treated as supplemental
nutrition benefits under section 8(b) of the Food and
Nutrition Act of 2008 (7 U.S.C. 2017(b)).
``(2) Prohibition on collection of sales taxes.--
Each State shall ensure that no State or local tax is
collected on a purchase of food with assistance
provided under subsections (b) and (c).
``(3) No limitation on benefits.--Grants made
available under subsections (b) and (c) shall not be
used to carry out any project that limits the use of
benefits under the Food and Nutrition Act of 2008 (7
U.S.C. 2011 et seq.) or any other Federal nutrition
law.
``(4) Household allotment.--Assistance provided
under subsections (b) and (c) to households receiving
benefits under the supplemental nutrition assistance
program shall not--
``(A) be considered part of the
supplemental nutrition assistance program
benefits of the household; or
``(B) be used in the collection or
disposition of claims under section 13 of the
Food and Nutrition Act of 2008 (7 U.S.C. 2022).
``(e) Nutrition Incentive Program Training, Technical
Assistance, Evaluation, and Information Centers.--
``(1) In general.--The Secretary shall--
``(A) establish 1 or more Nutrition
Incentive Program Training, Technical
Assistance, Evaluation, and Information
Centers, in consultation with the Director of
the National Institute of Food and Agriculture;
and
``(B) to the extent practicable, consult on
the design and scope of such Centers with
grocers, farmers, health professionals,
researchers, incentive program managers, and
employees of the Department of Agriculture with
direct experience with implementation of
existing incentive programs or projects.
``(2) Establishment.--The Centers shall be capable
of providing services related to grants under
subsections (b) and (c), including--
``(A) offering incentive program training
and technical assistance to applicants and
grantees to the extent practicable, including--
``(i) collecting and providing
information on best practices that may
include communications, signage,
record-keeping, incentive instruments,
development and integration of point of
sale systems, and reporting;
``(ii) disseminating information
and assisting with collaboration among
grantee projects, applicable State
agencies, and nutrition education
programs;
``(iii) facilitating communication
between grantees and the Department of
Agriculture and applicable State
agencies; and
``(iv) providing support for the
development of best practices for
produce prescription projects and the
sharing of information among eligible
entities and healthcare providers that
participate in a produce prescription
project under subsection (c); and
``(v) other services identified by
the Secretary; and
``(B) creating a system to collect and
compile core data sets from eligible entities
that--
``(i) uses standard metrics with
consideration of outcome measures for
existing projects;
``(ii) includes to the extent
practicable grocers, farmers, health
professionals, researchers, incentive
program managers, and employees of the
Department of Agriculture with direct
experience with implementation of
existing incentive programs in the
design of the instrument through which
data will be collected and the
mechanism for reporting;
``(iii) compiles project data from
grantees, and beginning in fiscal year
2020 generates an annual report to
Congress on grant outcomes, including--
``(I) the results of the
project; and
``(II) the amount of grant
funds used for the project; and
``(iv) creates and maintains a
publicly accessible online site that
makes annual reports and incentive
program information available in an
anonymized format that protects
confidential, personal, or other
sensitive data.
``(3) Cooperative agreement.--
``(A) In general.--To carry out paragraph
(1), the Secretary may, on a competitive basis,
enter into 1 or more cooperative agreements
with 1 or more organizations with expertise in
developing outcome-based reporting, at least 1
of which has expertise in the food insecurity
nutrition incentive program and at least 1 of
which has expertise in produce prescription
projects.
``(B) Inclusion.--The organizations
referred to in subparagraph (A) may include--
``(i) nongovernmental
organizations;
``(ii) State cooperative extension
services;
``(iii) regional food system
centers;
``(iv) Federal, State, or Tribal
agencies;
``(v) institutions of higher
education (as defined in section 101(a)
of the Higher Education Act of 1965 (20
U.S.C. 1001(a))); or
``(vi) other appropriate entities
as determined by the Secretary.''.
(b) Conforming Amendment.--The table of contents of the
Food, Conservation, and Energy Act of 2008 (Public Law 113-188)
is amended by striking the item relating to section 4405 and
inserting the following:
``Sec. 4405. The Gus Schumacher nutrition incentive program.''.
SEC. 4206. MICRO-GRANTS FOR FOOD SECURITY.
(a) Purpose.--The purpose of this section is to increase
the quantity and quality of locally grown food through small-
scale gardening, herding, and livestock operations in food
insecure communities in areas of the United States that have
significant levels of food insecurity and import a significant
quantity of food.
(b) Definitions.--In this section:
(1) Eligible entity.--The term ``eligible entity''
means an entity that--
(A) is--
(i) an individual;
(ii) an Indian tribe or tribal
organization, as defined in section 4
of the Indian Self-Determination and
Education Assistance Act (25 U.S.C.
5304);
(iii) a nonprofit organization
engaged in increasing food security, as
determined by the Secretary,
including--
(I) a religious
organization;
(II) a food bank; or
(III) a food pantry;
(iv) a federally funded educational
facility, including--
(I) a Head Start program or
an Early Head Start program
carried out under the Head
Start Act (42 U.S.C. 9831 et
seq.);
(II) a public elementary
school or public secondary
school;
(III) a public institution
of higher education (as defined
in section 101 of the Higher
Education Act of 1965 (20
U.S.C. 1001));
(IV) a Tribal College or
University (as defined in
section 316(b) of the Higher
Education Act of 1965 (20
U.S.C. 1059c(b))); or
(V) a job training program;
or
(v) a local or Tribal government
that may not levy local taxes under
State or Federal law; and
(B) is located in an eligible State.
(2) Eligible state.--The term ``eligible State''
means--
(A) the State of Alaska;
(B) the State of Hawaii;
(C) American Samoa;
(D) the Commonwealth of the Northern
Mariana Islands;
(E) the Commonwealth of Puerto Rico;
(F) the Federated States of Micronesia;
(G) Guam;
(H) the Republic of the Marshall Islands;
(I) the Republic of Palau; and
(J) the United States Virgin Islands.
(c) Establishment.--The Secretary shall distribute funds to
the agricultural department or agency of each eligible State
for the competitive distribution of subgrants to eligible
entities to increase the quantity and quality of locally grown
food in food insecure communities, including through small-
scale gardening, herding, and livestock operations.
(d) Distribution of Funds.--
(1) In general.--Of the amount made available under
subsection (g), the Secretary shall distribute--
(A) 40 percent to the State of Alaska;
(B) 40 percent to the State of Hawaii; and
(C) 2.5 percent to each eligible State
described in any of subparagraphs (C) through
(J) of subsection (b)(2).
(2) Carryover of funds.--Funds distributed under
paragraph (1) shall remain available until expended.
(3) Administrative funds.--An eligible State that
receives funds under paragraph (1) may use not more
than 3 percent of those funds--
(A) to administer the competition for
providing subgrants to eligible entities in
that eligible State;
(B) to provide oversight of the subgrant
recipients in that eligible State; and
(C) to collect data and submit a report to
the Secretary under subsection (f)(2).
(e) Subgrants to Eligible Entities.--
(1) Amount of subgrants.--
(A) In general.--The amount of a subgrant
to an eligible entity under this section shall
be--
(i) in the case of an eligible
entity that is an individual, not
greater than $5,000 per year; and
(ii) in the case of an eligible
entity described in any of clauses (ii)
through (v) of subsection (b)(1)(A),
not greater than $10,000 per year.
(B) Matching requirement.--As a condition
of receiving a subgrant under this section, an
eligible entity shall provide funds equal to 10
percent of the amount received by the eligible
entity under the subgrant, to be derived from
non-Federal sources. A State may waive the
matching requirement for an individual who
otherwise meets the requirements to receive a
subgrant by the eligible State.
(C) Project period.--Funds received by an
eligible entity that is awarded a subgrant
under this section shall remain available for
expenditure not later than 3 years after the
date the funds are received.
(2) Priority.--In carrying out the competitive
distribution of subgrants under subsection (c), an
eligible State may give priority to an eligible entity
that--
(A) has not previously received a subgrant
under this section; or
(B) is located in a community or region in
that eligible State with the highest degree of
food insecurity, as determined by the
agricultural department or agency of the
eligible State.
(3) Projects.--An eligible State may provide
subgrants to 2 or more eligible entities to carry out
the same project.
(4) Use of subgrant funds by eligible entities.--An
eligible entity that receives a subgrant under this
section shall use the funds to engage in activities
that will increase the quantity and quality of locally
grown food for food insecure individuals, families,
neighborhoods, and communities, including by--
(A) purchasing gardening tools or
equipment, soil, soil amendments, seeds,
plants, animals, canning equipment,
refrigeration, or other items necessary to grow
and store food;
(B) purchasing or building composting
units;
(C) purchasing or building towers designed
to grow leafy green vegetables;
(D) expanding an area under cultivation or
engaging in other activities necessary to be
eligible to receive funding under the
environmental quality incentives program
established under chapter 4 of subtitle D of
title XII of the Food Security Act of 1985 (16
U.S.C. 3839aa et seq.) for a high tunnel;
(E) engaging in an activity that extends
the growing season;
(F) starting or expanding hydroponic and
aeroponic farming of any scale;
(G) building, buying, erecting, or
repairing fencing for livestock, poultry, or
reindeer;
(H) purchasing and equipping a slaughter
and processing facility approved by the
Secretary;
(I) traveling to participate in
agricultural education provided by--
(i) a State cooperative extension
service;
(ii) a land-grant college or
university (as defined in section 1404
of the National Agricultural Research,
Extension, and Teaching Policy Act of
1977 (7 U.S.C. 3103));
(iii) a Tribal College or
University (as defined in section
316(b) of the Higher Education Act of
1965 (20 U.S.C. 1059c(b)));
(iv) an Alaska Native-serving
institution or a Native Hawaiian-
serving institution (as such terms are
defined in section 317(b) of the Higher
Education Act of 1965 (20 U.S.C.
1059d(b))); or
(v) a Federal or State agency;
(J) paying for shipping of purchased items
relating to growing or raising food for local
consumption or purchase;
(K) creating or expanding avenues for--
(i) the sale of food commodities,
specialty crops, and meats that are
grown by the eligible entity for sale
in the local community; or
(ii) increasing the availability of
fresh, locally grown, and nutritious
food; and
(L) engaging in other activities relating
to increasing food security (including
subsistence), as determined by the Secretary.
(5) Eligibility for other financial assistance.--An
eligible entity shall not be ineligible to receive
financial assistance under another program administered
by the Secretary as a result of receiving a subgrant
under this section.
(f) Reporting Requirement.--
(1) Subgrant recipients.--As a condition of
receiving a subgrant under this section, an eligible
entity shall agree to submit to the eligible State in
which the eligible entity is located a report--
(A) not later than 60 days after the end of
the project funded by the subgrant; and
(B) that describes the use of the subgrants
by eligible entities, the quantity of food
grown through small-scale gardening, herding,
and livestock operations, and the number of
food insecure individuals fed as a result of
the subgrant.
(2) Report to the secretary.--Not later than 120
days after the date on which an eligible State receives
a report from each eligible entity in that State under
paragraph (1), the eligible State shall submit to the
Secretary a report that describes, in the aggregate,
the information and data contained in the reports
received from those eligible entities.
(g) Funding.--
(1) Authorization of appropriations.--There is
authorized to be appropriated to the Secretary to carry
out this section $10,000,000 for fiscal year 2019 and
each fiscal year thereafter, to remain available until
expended.
(2) Appropriations in advance.--Only funds
appropriated under paragraph (1) in advance
specifically to carry out this section shall be
available to carry out this section.
SEC. 4207. BUY AMERICAN REQUIREMENTS.
(a) Enforcement.--Not later than 180 days after the date of
the enactment of this Act, the Secretary of Agriculture shall--
(1) enforce full compliance with the requirements
of section 12(n) of the Richard B. Russell National
School Lunch Act (42 U.S.C. 1760(n)) for purchases of
agricultural commodities, including fish, meats,
vegetables, and fruits, and the products thereof, and
(2) ensure that States and school food authorities
fully understand their responsibilities under such Act.
(b) Requirement.--The products of the agricultural
commodities described in subsection (a)(1) shall be processed
in the United States and substantially contain--
(1) meats, vegetables, fruits, and other
agricultural commodities produced in--
(A) a State,
(B) the District of Columbia,
(C) the Commonwealth of Puerto Rico, or
(D) any territory or possession of the
United States, or
(2) fish harvested--
(A) within the Exclusive Economic Zone of
the United States, as described in Presidential
Proclamation 5030 (48 Fed. Reg. 10605; March
10, 1983), or
(B) by a United States flagged vessel.
(c) Report.--Not later than 180 days after the date of the
enactment of this Act, the Secretary shall submit to Congress a
report on the actions the Secretary has taken, and plans to
take, to comply with this section.
SEC. 4208. HEALTHY FLUID MILK INCENTIVES PROJECTS.
(a) Definition of Fluid Milk.--In this section the term
``fluid milk'' means all varieties of pasteurized cow's milk
that--
(1) is without flavoring or sweeteners,
(2) is consistent with the most recent dietary
recommendations,
(3) is packaged in liquid form, and
(4) contains vitamins A and D at levels consistent
with the Food and Drug Administration, State, and local
standards for fluid milk.
(b) Projects.--The Secretary of Agriculture shall carry
out, under such terms and conditions as the Secretary considers
to be appropriate, healthy fluid milk incentive projects to
develop and test methods to increase the purchase and
consumption of fluid milk by members of households that receive
supplemental nutrition assistance program benefits by providing
an incentive for the purchase of fluid milk at the point of
purchase to members of households purchasing food with
supplemental nutrition assistance program benefits.
(c) Grants or Cooperative Agreements.--
(1) In general.--To carry out this section, the
Secretary, on a competitive basis, shall enter into
cooperative agreements with, or provide grants to,
governmental entities or nonprofit organizations for
projects that meet the purpose and selection criteria
specified in this subsection.
(2) Application.--To be eligible to enter into a
cooperative agreement or receive a grant under this
subsection, a government entity or nonprofit
organization shall submit to the Secretary an
application containing such information as the
Secretary may require.
(3) Selection criteria.--Projects proposed in
applications shall be evaluated against publicly
disseminated criteria that shall incorporate a
scientifically based strategy that is designed to
improve diet quality and nutritional outcomes through
the increased purchase of fluid milk by members of
households that participate in the supplemental
nutrition assistance program.
(4) Use of funds.--Funds made available to carry
out this section shall not be used for any project that
limits the use of benefits provided under the Food and
Nutrition Act of 2008.
(d) Evaluation and Reporting.--
(1) Evaluation.--
(A) Independent evaluation.--
(i) In general.--The Secretary
shall provide for an independent
evaluation of projects selected under
this section that measures, to the
maximum extent practicable, the impact
on health and nutrition.
(ii) Requirement.--The independent
evaluation under this subparagraph
shall use rigorous methodologies,
particularly random assignment or other
methods that are capable of producing
scientifically valid information
regarding which activities are
effective.
(B) Costs.--The Secretary may use funds not
to exceed 7 percent of the funding provided to
carry out this section to pay costs associated
with evaluating the outcomes of the healthy
fluid milk incentive projects.
(2) Reporting.--Not later than December 31 of 2020,
and biennially thereafter, the Secretary shall submit
to the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate a report that
includes a description of--
(A) the status of each healthy fluid milk
incentives project, and
(B) the results of any completed evaluation
that--
(i) include, to the maximum extent
practicable, the impact of the healthy
fluid milk incentive projects on health
and nutrition outcomes among households
participating in such projects, and
(ii) have not been submitted in a
previous report under this paragraph.
(3) Public dissemination.--In addition to the
reporting requirements under paragraph (2), evaluation
results shall be shared publicly to promote wide use of
successful strategies.
(e) Funding.--
(1) Authorization of appropriations.--There is
authorized to be appropriated $20,000,000 to carry out
and evaluate the outcomes of projects under this
section, to remain available until expended.
(2) Appropriations in advance.--Only funds
appropriated under paragraph (1) in advance
specifically to carry out this section shall be
available to carry out this section.
TITLE V--CREDIT
Subtitle A--Farm Ownership Loans
SEC. 5101. MODIFICATION OF THE 3-YEAR EXPERIENCE ELIGIBILITY
REQUIREMENT FOR FARM OWNERSHIP LOANS.
Section 302(b) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1922(b)) is amended by adding at the
end the following:
``(4) Waiver authority.--In the case of a qualified
beginning farmer or rancher, the Secretary may--
``(A) reduce the 3-year requirement in
paragraph (1) to 1 or 2 years, if the farmer or
rancher has--
``(i) not less than 16 credit hours
of post-secondary education in a field
related to agriculture;
``(ii) successfully completed a
farm management curriculum offered by a
cooperative extension service, a
community college, an adult vocational
agriculture program, a nonprofit
organization, or a land-grant college
or university;
``(iii) at least 1 year of
experience as hired farm labor with
substantial management
responsibilities;
``(iv) successfully completed a
farm mentorship, apprenticeship, or
internship program with an emphasis on
management requirements and day-to-day
farm management decisions;
``(v) significant business
management experience;
``(vi) been honorably discharged
from the armed forces of the United
States;
``(vii) successfully repaid a youth
loan made under section 311(b); or
``(viii) an established
relationship with an individual who has
experience in farming or ranching, or
is a retired farmer or rancher, and is
participating as a counselor in a
Service Corps of Retired Executives
program authorized under section
8(b)(1)(B) of the Small Business Act
(15 U.S.C. 637(b)(1)(B)), or with a
local farm or ranch operator or
organization, approved by the
Secretary, that is committed to
mentoring the farmer or rancher; or
``(B) waive the 3-year requirement in
paragraph (1) if the farmer or rancher meets
the requirements of clauses (iii) and (viii) of
subparagraph (A).''.
SEC. 5102. CONSERVATION LOAN AND LOAN GUARANTEE PROGRAM.
Section 304(h) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1924(h)) is amended by striking
``2018'' and inserting ``2023''.
SEC. 5103. LIMITATIONS ON AMOUNT OF FARM OWNERSHIP LOANS.
Section 305 of the Consolidated Farm and Rural Development
Act (7 U.S.C. 1925) is amended--
(1) in subsection (a)(2)--
(A) by striking ``$300,000'' and inserting
``$600,000'';
(B) by striking ``$700,000'' and inserting
``$1,750,000''; and
(C) by striking ``2000'' and inserting
``2019''; and
(2) in subsection (c)--
(A) in paragraph (1), by striking
``August'' and inserting ``July''; and
(B) in paragraph (2), by striking ``ending
on August 31, 1996'' and inserting ``that
immediately precedes the 12-month period
described in paragraph (1)''.
SEC. 5104. RELENDING PROGRAM TO RESOLVE OWNERSHIP AND SUCCESSION ON
FARMLAND.
Subtitle A of title III of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1922 et seq.) is amended by adding at
the end the following:
``SEC. 310I. RELENDING PROGRAM TO RESOLVE OWNERSHIP AND SUCCESSION ON
FARMLAND.
``(a) In General.--The Secretary may make loans to eligible
entities described in subsection (b) so that the eligible
entities may relend the funds to individuals and entities for
the purposes described in subsection (c).
``(b) Eligible Entities.--Entities eligible for loans
described in subsection (a) are cooperatives, credit unions,
and nonprofit organizations with--
``(1) certification under section 1805.201 of title
12, Code of Federal Regulations (or successor
regulations), to operate as a lender;
``(2) experience assisting socially disadvantaged
farmers and ranchers (as defined in subsection (a) of
section 2501 of the Food, Agriculture, Conservation,
and Trade Act of 1990 (7 U.S.C. 2279)) or limited
resource or new and beginning farmers and ranchers,
rural businesses, cooperatives, or credit unions,
including experience in making and servicing
agricultural and commercial loans; and
``(3) the ability to provide adequate assurance of
the repayment of a loan.
``(c) Eligible Purposes.--The proceeds from loans made by
the Secretary pursuant to subsection (a) shall be re-lent by
eligible entities for projects that assist heirs with undivided
ownership interests to resolve ownership and succession on
farmland that has multiple owners.
``(d) Preference.--In making loans under subsection (a),
the Secretary shall give preference to eligible entities--
``(1) with not less than 10 years of experience
serving socially disadvantaged farmers and ranchers;
and
``(2) in States that have adopted a statute
consisting of an enactment or adoption of the Uniform
Partition of Heirs Property Act, as approved and
recommended for enactment in all States by the National
Conference of Commissioners on Uniform State Laws in
2010, that relend to owners of heirs property (as
defined in that Act).
``(e) Loan Terms and Conditions.--The following terms and
conditions shall apply to loans made under this section:
``(1) The interest rate at which intermediaries may
borrow funds under this section shall be determined by
the Secretary.
``(2) The rates, terms, and payment structure for
borrowers to which intermediaries lend shall be--
``(A) determined by the intermediary in an
amount sufficient to cover the cost of
operating and sustaining the revolving loan
fund; and
``(B) clearly and publicly disclosed to
qualified ultimate borrowers.
``(3) Borrowers to which intermediaries lend shall
be--
``(A) required to complete a succession
plan as a condition of the loan; and
``(B) be offered the opportunity to borrow
sufficient funds to cover costs associated with
the succession plan under subparagraph (A) and
other associated legal and closing costs.
``(f) Report.--Not later than 1 year after the date of
enactment of this section, the Secretary shall submit to the
Committee on Agriculture of the House of Representatives and
the Committee on Agriculture, Nutrition, and Forestry of the
Senate a report describing the operation and outcomes of the
program under this section, with recommendations on how to
strengthen the program.
``(g) Authorization of Appropriations.--There is authorized
to be appropriated to carry out this section $10,000,000 for
each of fiscal years 2019 through 2023.''.
Subtitle B--Operating Loans
SEC. 5201. LIMITATIONS ON AMOUNT OF OPERATING LOANS.
Section 313 of the Consolidated Farm and Rural Development
Act (7 U.S.C. 1943) is amended--
(1) in subsection (a)(1)--
(A) by striking ``$300,000'' and inserting
``$400,000'';
(B) by striking ``$700,000'' and inserting
``$1,750,000''; and
(C) by striking ``2000'' and inserting
``2019''; and
(2) in subsection (b)--
(A) in paragraph (1), by striking
``August'' and inserting ``July''; and
(B) in paragraph (2), by striking ``ending
on August 31, 1996'' and inserting ``that
immediately precedes the 12-month period
described in paragraph (1)''.
SEC. 5202. MICROLOANS.
Section 313(c)(2) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1943(c)(2)) is amended by striking
``title'' and inserting ``subsection''.
SEC. 5203. COOPERATIVE LENDING PILOT PROJECTS.
Section 313(c)(4)(A) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1943(c)(4)(A)) is amended by striking
``2018'' and inserting ``2023''.
Subtitle C--Administrative Provisions
SEC. 5301. BEGINNING FARMER AND RANCHER INDIVIDUAL DEVELOPMENT ACCOUNTS
PILOT PROGRAM.
Section 333B(h) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1983b(h)) is amended by striking
``2018'' and inserting ``2023''.
SEC. 5302. LOAN AUTHORIZATION LEVELS.
Section 346(b)(1) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1994(b)(1)) is amended--
(1) in the matter preceding subparagraph (A), by
striking ``$4,226,000,000 for each of fiscal years 2008
through 2018'' and inserting ``$10,000,000,000 for each
of fiscal years 2019 through 2023''; and
(2) by striking subparagraphs (A) and (B) and
inserting the following:
``(A) $3,000,000,000 shall be for direct
loans, of which--
``(i) $1,500,000,000 shall be for
farm ownership loans under subtitle A;
and
``(ii) $1,500,000,000 shall be for
operating loans under subtitle B; and
``(B) $7,000,000,000 shall be for
guaranteed loans, of which--
``(i) $3,500,000,000 shall be for
farm ownership loans under subtitle A;
and
``(ii) $3,500,000,000 shall be for
operating loans under subtitle B.''.
SEC. 5303. LOAN FUND SET-ASIDES.
Section 346(b)(2)(A)(ii)(III) of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1994(b)(2)(A)(ii)(III)) is
amended by striking ``2018'' and inserting ``2023''.
SEC. 5304. USE OF ADDITIONAL FUNDS FOR DIRECT OPERATING MICROLOANS
UNDER CERTAIN CONDITIONS.
Section 346(b) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1994(b)) is amended by adding at the
end the following:
``(5) Use of additional funds for direct operating
microloans under certain conditions.--
``(A) In general.--If the Secretary
determines that the amount needed for a fiscal
year for direct operating loans (including
microloans) under subtitle B is greater than
the aggregate principal amount authorized for
that fiscal year by this Act, an appropriations
Act, or any other provision of law, the
Secretary shall make additional microloans
under subtitle B using amounts made available
under subparagraph (C).
``(B) Notice.--Not later than 15 days
before the date on which the Secretary uses the
authority under subparagraph (A), the Secretary
shall submit a notice of the use of that
authority to--
``(i) the Committee on
Appropriations of the House of
Representatives;
``(ii) the Committee on
Appropriations of the Senate;
``(iii) the Committee on
Agriculture of the House of
Representatives; and
``(iv) the Committee on
Agriculture, Nutrition, and Forestry of
the Senate.
``(C) Authorization of appropriations.--
There is authorized to be appropriated to carry
out this paragraph $5,000,000 for each of
fiscal years 2019 through 2023.''.
SEC. 5305. EQUITABLE RELIEF.
The Consolidated Farm and Rural Development Act is amended
by inserting after section 365 (7 U.S.C. 2008) the following:
``SEC. 366. EQUITABLE RELIEF.
``(a) In General.--Subject to subsection (b), the Secretary
may provide a form of relief described in subsection (c) to any
farmer or rancher who--
``(1) received a direct farm ownership, operating,
or emergency loan under this title; and
``(2) the Secretary determines is not in compliance
with the requirements of this title with respect to the
loan.
``(b) Limitation.--The Secretary may only provide relief to
a farmer or rancher under subsection (a) if the Secretary
determines that the farmer or rancher--
``(1) acted in good faith; and
``(2) relied on an action of, or the advice of, the
Secretary (including any authorized representative of
the Secretary) to the detriment of the farming or
ranching operation of the farmer or rancher.
``(c) Forms of Relief.--The Secretary may provide to a
farmer or rancher under subsection (a) any of the following
forms of relief:
``(1) The farmer or rancher may retain loans or
other benefits received in association with the loan
with respect to which the farmer or rancher was
determined to be noncompliant under subsection (a)(2).
``(2) The farmer or rancher may receive such other
equitable relief as the Secretary determines to be
appropriate.
``(d) Condition.--As a condition of receiving relief under
this section, the Secretary may require the farmer or rancher
to take actions designed to remedy the noncompliance.
``(e) Administrative Appeal; Judicial Review.--A
determination or action of the Secretary under this section--
``(1) shall be final; and
``(2) shall not be subject to administrative appeal
or judicial review under chapter 7 of title 5, United
States Code.''.
SEC. 5306. SOCIALLY DISADVANTAGED FARMERS AND RANCHERS; QUALIFIED
BEGINNING FARMERS AND RANCHERS.
The Consolidated Farm and Rural Development Act is amended
by inserting after section 366 (as added by section 5305) the
following:
``SEC. 367. SOCIALLY DISADVANTAGED FARMERS AND RANCHERS; QUALIFIED
BEGINNING FARMERS AND RANCHERS.
``In the case of a loan guaranteed by the Secretary under
subtitle A or B to a socially disadvantaged farmer or rancher
(as defined in section 355(e)) or a qualified beginning farmer
or rancher, the Secretary may provide for a standard guarantee
plan, which shall cover an amount equal to 95 percent of the
outstanding principal of the loan.''.
SEC. 5307. EMERGENCY LOAN ELIGIBILITY.
Section 373(b)(2)(B) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 2008h(b)(2)(B)) is amended--
(1) by redesignating clauses (i) and (ii) as
subclauses (I) and (II), respectively, and indenting
appropriately;
(2) in the matter preceding subclause (I) (as so
redesignated), by striking ``The Secretary'' and
inserting the following:
``(i) In general.--The Secretary'';
and
(3) by adding at the end the following:
``(ii) Restructured loans.--For
purposes of clause (i), a borrower who
was restructured with a write-down or
restructuring under section 353 shall
not be considered to have received debt
forgiveness on a loan made or
guaranteed under this title.''.
Subtitle D--Miscellaneous
SEC. 5401. TECHNICAL CORRECTIONS TO THE CONSOLIDATED FARM AND RURAL
DEVELOPMENT ACT.
(a)(1) Section 321(a) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1961(a)) is amended in the second
sentence by striking ``and limited liability companies'' and
inserting ``limited liability companies, and such other legal
entities''.
(2) The amendment made by this subsection shall take effect
as if included in the enactment of section 5201(2)(C) of the
Agricultural Act of 2014 (Public Law 113-79) in lieu of the
amendment made by such section.
(b)(1) Section 331D(e) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1981d(e)) is amended by inserting
after ``within 60 days after receipt of the notice required in
this section'' the following: ``or, in extraordinary
circumstances as determined by the applicable State director,
after the 60-day period''.
(2) The amendment made by this subsection shall take effect
as if included in the enactment of section 10 of the
Agricultural Credit Improvement Act of 1992 (Public Law 102-
554).
(c)(1) Section 333A(f)(1)(A) of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1983a(f)(1)(A)) is amended by
striking ``114'' and inserting ``339''.
(2) The amendment made by this subsection shall take effect
as if included in the enactment of section 14 of the
Agricultural Credit Improvement Act of 1992 (Public Law 102-
554).
(d) Section 339(d)(3) of the Consolidated Farm and Rural
Development Act (7 U.S.C.1989(d)(3)) is amended by striking
``preferred certified lender'' and inserting ``Preferred
Certified Lender''.
(e)(1) Section 343(a)(11)(C) of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1991(a)(11)(C)) is amended by
striking ``or joint operators'' and inserting ``joint operator,
or owners''.
(2) The amendment made by this subsection shall take effect
as of the effective date of section 5303(a)(2) of the
Agricultural Act of 2014 (Public Law 113-79).
(f)(1) Section 343(b) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1991(b)) is amended by striking
``307(e)'' and inserting ``307(d)''.
(2) The amendment made by paragraph (1) shall take effect
as of the date of enactment of the Agricultural Act of 2014
(Public Law 113-79).
(g) Section 346(a) of the Consolidated Farm and Rural
Development Act (7 U.S.C.1994(a)) is amended by striking the
last comma.
SEC. 5402. STATE AGRICULTURAL MEDIATION PROGRAMS.
(a) Issues Covered by State Mediation Programs.--Section
501(c) of the Agricultural Credit Act of 1987 (7 U.S.C.
5101(c)) is amended--
(1) in paragraph (1)--
(A) in subparagraph (B)--
(i) in the matter preceding clause
(i), by striking ``under the
jurisdiction of the Department of
Agriculture'';
(ii) in clause (ii), by inserting
``and the national organic program
established under the Organic Foods
Production Act of 1990 (7 U.S.C. 6501
et seq.)'' before the period at the
end; and
(iii) by striking clause (vii) and
inserting the following:
``(vii) Lease issues, including
land leases and equipment leases.
``(viii) Family farm transition.
``(ix) Farmer-neighbor disputes.
``(x) Such other issues as the
Secretary or the head of the department
of agriculture of each participating
State considers appropriate for better
serving the agricultural community and
persons eligible for mediation.''; and
(B) by adding at the end the following:
``(C) Mediation services.--Funding provided
for the mediation program of a qualifying State
may also be used to provide credit counseling
to persons described in paragraph (2)--
``(i) prior to the initiation of
any mediation involving the Department
of Agriculture; or
``(ii) unrelated to any ongoing
dispute or mediation in which the
Department of Agriculture is a
party.'';
(2) in paragraph (2)(A)--
(A) in clause (ii), by striking ``and''
after the semicolon;
(B) in clause (iii), by striking the period
at the end and inserting ``; and''; and
(C) by adding at the end the following:
``(iv) any other persons involved
in an issue for which mediation
services are provided by a mediation
program described in paragraph
(1)(B).''; and
(3) in paragraph (3)(F), by striking ``that
persons'' and inserting the following: ``that--
``(i) the Department of Agriculture
receives adequate notification of those
issues; and
``(ii) persons''.
(b) Report Required.--Section 505 of the Agricultural
Credit Act of 1987 (7 U.S.C. 5105) is amended to read as
follows:
``SEC. 505. REPORT.
``Not later than 2 years after the date of enactment of the
Agriculture Improvement Act of 2018, the Secretary shall submit
to Congress a report describing--
``(1) the effectiveness of the State mediation
programs receiving matching grants under this subtitle;
``(2) recommendations for improving the delivery of
mediation services to producers;
``(3) the steps being taken to ensure that State
mediation programs receive timely funding under this
subtitle; and
``(4) the savings to the States as a result of
having a mediation program.''.
(c) Authorization of Appropriations.--Section 506 of the
Agricultural Credit Act of 1987 (7 U.S.C. 5106) is amended by
striking ``2018'' and inserting ``2023''.
SEC. 5403. COMPENSATION OF BANK DIRECTORS.
Section 4.21 of the Farm Credit Act of 1971 (12 U.S.C.
2209) is repealed.
SEC. 5404. SHARING OF PRIVILEGED AND CONFIDENTIAL INFORMATION.
Section 5.19 of the Farm Credit Act of 1971 (12 U.S.C.
2254) is amended by adding at the end the following:
``(e) Sharing of Privileged and Confidential Information.--
A System institution shall not be considered to have waived the
confidentiality of a privileged communication with an attorney
or an accountant if the System institution provides the content
of the communication to the Farm Credit Administration pursuant
to the supervisory or regulatory authorities of the Farm Credit
Administration.''.
SEC. 5405. FACILITY HEADQUARTERS.
Section 5.16 of the Farm Credit Act of 1971 (12 U.S.C.
2251) is amended by striking all that precedes ``to the rental
of quarters'' and inserting the following:
``SEC. 5.16. QUARTERS AND FACILITIES FOR THE FARM CREDIT
ADMINISTRATION.
``(a) The Farm Credit Administration shall maintain its
principal office within the Washington D.C.-Maryland-Virginia
standard metropolitan statistical area, and such other offices
within the United States as in its judgment are necessary.
``(b) As an alternate''.
SEC. 5406. REMOVAL AND PROHIBITION AUTHORITY; INDUSTRY-WIDE
PROHIBITION.
Part C of title V of the Farm Credit Act of 1971 is amended
by inserting after section 5.29 (12 U.S.C. 2265) the following:
``SEC. 5.29A. REMOVAL AND PROHIBITION AUTHORITY; INDUSTRY-WIDE
PROHIBITION.
``(a) Definition of Person.--In this section, the term
`person' means--
``(1) an individual; and
``(2) in the case of a specific determination by
the Farm Credit Administration, a legal entity.
``(b) Industry-wide Prohibition.--Except as provided in
subsection (c), any person who, pursuant to an order issued
under section 5.28 or 5.29, has been removed or suspended from
office at a System institution or prohibited from participating
in the conduct of the affairs of a System institution shall
not, during the period of effectiveness of the order, continue
or commence to hold any office in, or participate in any manner
in the conduct of the affairs of--
``(1) any insured depository institution subject to
section 8(e)(7)(A)(i) of the Federal Deposit Insurance
Act (12 U.S.C. 1818(e)(7)(A)(i));
``(2) any institution subject to section
8(e)(7)(A)(ii) of the Federal Deposit Insurance Act (12
U.S.C. 1818(e)(7)(A)(ii));
``(3) any insured credit union under the Federal
Credit Union Act (12 U.S.C. 1751 et seq.);
``(4) any Federal home loan bank;
``(5) any institution chartered under this Act;
``(6) any appropriate Federal financial
institutions regulatory agency (as defined in section
8(e)(7)(D) of the Federal Deposit Insurance Act (12
U.S.C. 1818(e)(7)(D)));
``(7) the Federal Housing Finance Agency; or
``(8) the Farm Credit Administration.
``(c) Exception for Institution-affiliated Party That
Receives Written Consent.--
``(1) In general.--
``(A) Affiliated parties.--If, on or after
the date on which an order described in
subsection (b) is issued that removes or
suspends an institution-affiliated party from
office at a System institution or prohibits an
institution-affiliated party from participating
in the conduct of the affairs of a System
institution, that party receives written
consent described in subparagraph (B),
subsection (b) shall not apply to that party--
``(i) to the extent provided in the
written consent received; and
``(ii) with respect to the
institution described in each written
consent.
``(B) Written consent described.--The
written consent referred to in subparagraph (A)
is written consent received from--
``(i) the Farm Credit
Administration; and
``(ii) each appropriate Federal
financial institutions regulatory
agency (as defined in section
8(e)(7)(D) of the Federal Deposit
Insurance Act (12 U.S.C.
1818(e)(7)(D))) of the applicable
institution described in any of
paragraphs (1), (2), (3), or (4) of
subsection (b) with respect to which
the party proposes to be become an
affiliated party.
``(2) Disclosure.--Any agency described in clause
(i) or (ii) of paragraph (1)(B) that provides a written
consent under that paragraph shall--
``(A) report the action to the Farm Credit
Administration; and
``(B) publicly disclose the action.
``(3) Consultation between agencies.--The agencies
described in clauses (i) and (ii) of paragraph (1)(B)
shall consult with each other before providing any
written consent under that paragraph.
``(d) Violations.--A violation of subsection (b) by any
person who is subject to an order described in that subsection
shall be treated as violation of that order.''.
SEC. 5407. JURISDICTION OVER INSTITUTION-AFFILIATED PARTIES.
Part C of title V of the Farm Credit Act of 1971 is amended
by inserting after section 5.31 (12 U.S.C. 2267) the following:
``SEC. 5.31A. JURISDICTION OVER INSTITUTION-AFFILIATED PARTIES.
``(a) In General.--For purposes of sections 5.25, 5.26, and
5.32, the jurisdiction of the Farm Credit Administration over
parties, and the authority of the Farm Credit Administration to
initiate actions, shall include enforcement authority over
institution-affiliated parties.
``(b) Effect of Separation on Jurisdiction and Authority.--
Subject to subsection (c), the resignation, termination of
employment or participation, or separation of an institution-
affiliated party (including a separation caused by the merger,
consolidation, conservatorship, or receivership of a Farm
Credit System institution) shall not affect the jurisdiction
and authority of the Farm Credit Administration to issue any
notice or order and proceed under this part against that party.
``(c) Limitation.--To proceed against a party under
subsection (b), the notice or order described in that
subsection shall be served not later than 6 years after the
date on which the party ceased to be an institution-affiliated
party with respect to the applicable Farm Credit System
institution.
``(d) Applicability.--The date on which a party ceases to
be an institution-affiliated party described in subsection (c)
may occur before, on, or after the date of enactment of this
section.''.
SEC. 5408. DEFINITION OF INSTITUTION-AFFILIATED PARTY.
Section 5.35 of the Farm Credit Act of 1971 (12 U.S.C.
2271) is amended--
(1) in paragraph (3), by striking ``and'' at the
end;
(2) by redesignating paragraph (4) as paragraph
(5); and
(3) by inserting after paragraph (3) the following:
``(4) the term `institution-affiliated party'
means--
``(A) a director, officer, employee,
shareholder, or agent of a System institution;
``(B) an independent contractor (including
an attorney, appraiser, or accountant) who
knowingly or recklessly participates in--
``(i) a violation of law (including
regulations) that is associated with
the operations and activities of 1 or
more System institutions;
``(ii) a breach of fiduciary duty;
or
``(iii) an unsafe practice that
causes or is likely to cause more than
a minimum financial loss to, or a
significant adverse effect on, a System
institution; and
``(C) any other person, as determined by
the Farm Credit Administration (by regulation
or on a case-by-case basis) who participates in
the conduct of the affairs of a System
institution; and''.
SEC. 5409. PROHIBITION ON USE OF FUNDS.
Section 5.65 of the Farm Credit Act of 1971 (12 U.S.C.
2277a-14) is amended by adding at the end the following:
``(e) Prohibition on Uses of Funds Related to Federal
Agricultural Mortgage Corporation.--No funds from
administrative accounts or from the Farm Credit System
Insurance Fund may be used by the Corporation to provide
assistance to the Federal Agricultural Mortgage Corporation or
to support any activities related to the Federal Agricultural
Mortgage Corporation.''.
SEC. 5410. EXPANSION OF ACREAGE EXCEPTION TO LOAN AMOUNT LIMITATION.
(a) In General.--Section 8.8(c)(2) of the Farm Credit Act
of 1971 (12 U.S.C. 2279aa-8(c)(2)) is amended by striking
``1,000'' and inserting ``2,000''.
(b) Effective Date.--The amendment made by subsection (a)
shall take effect 1 year after the date a report submitted in
accordance with section 5414 of this Act indicates that it is
feasible to increase the acreage limitation in section
8.8(c)(2) of the Farm Credit Act of 1971 to 2,000 acres.
SEC. 5411. REPEAL OF OBSOLETE PROVISIONS; TECHNICAL CORRECTIONS.
(1) Section 1.1(c) of the Farm Credit Act of 1971
(12 U.S.C. 2001(c)) is amended in the first sentence by
striking ``including any costs of defeasance under
section 4.8(b),''.
(2) Section 1.2 of the Farm Credit Act of 1971 (12
U.S.C. 2002) is amended by striking subsection (a) and
inserting the following:
``(a) Composition.--The Farm Credit System shall include
the Farm Credit Banks, the bank for cooperatives, Agricultural
Credit Banks, the Federal Land Bank Associations, the Federal
Land Credit Associations, the Production Credit Associations,
the agricultural credit associations, the Federal Farm Credit
Banks Funding Corporation, the Federal Agricultural Mortgage
Corporation, service corporations established pursuant to
section 4.25, and such other institutions as may be made a part
of the Farm Credit System, all of which shall be chartered by
and subject to regulation by the Farm Credit Administration.''.
(3) Section 2.4 of the Farm Credit Act of 1971 (12
U.S.C. 2075) is amended by striking subsection (d).
(4) Section 3.0(a) of the Farm Credit Act of 1971
(12 U.S.C. 2121(a)) is amended--
(A) in the third sentence, by striking
``and a Central Bank for Cooperatives''; and
(B) by striking the fifth sentence.
(5) Section 3.2 of the Farm Credit Act of 1971 (12
U.S.C. 2123) is amended--
(A) in subsection (a)--
(i) in paragraph (1), by striking
``not merged into the United Bank for
Cooperatives or the National Bank for
Cooperatives''; and
(ii) in paragraph (2)(A), in the
matter preceding clause (i), by
striking ``(other than the National
Bank for Cooperatives)'';
(B) by striking subsection (b);
(C) in subsection (a)--
(i) by striking ``(a)(1) Each
bank'' and inserting the following:
``(a) In General.--Each bank''; and
(ii) by striking ``(2)(A) If
approved'' and inserting the following:
``(b) Nomination and Election.--
``(1) In general.--If approved'';
(D) in subsection (b)(1) (as so
designated)--
(i) in subparagraph (B), by
striking ``(B) The total'' and
inserting the following:
``(2) Number of votes.--The total''; and
(ii) by redesignating clauses (i)
and (ii) as subparagraphs (A) and (B),
respectively, and indenting
appropriately; and
(E) in paragraph (2) (as so designated), by
striking ``paragraph'' and inserting
``subsection''.
(6) Section 3.5 of the Farm Credit Act of 1971 (12
U.S.C. 2126) is amended in the third sentence by
striking ``district''.
(7) Section 3.7(a) of the Farm Credit Act of 1971
(12 U.S.C. 2128(a)) is amended by striking the second
sentence.
(8) Section 3.8(b)(1)(A) of the Farm Credit Act of
1971 (12 U.S.C. 2129(b)(1)(A)) is amended by inserting
``(or any successor agency)'' after ``Rural
Electrification Administration''.
(9) Section 3.9(a) of the Farm Credit Act of 1971
(12 U.S.C. 2130(a)) is amended by striking the third
sentence.
(10) Section 3.10 of the Farm Credit Act of 1971
(12 U.S.C. 2131) is amended--
(A) in subsection (c), by striking the
second sentence; and
(B) in subsection (d)--
(i) by striking ``district'' each
place it appears; and
(ii) by inserting ``for
cooperatives (or any successor bank)''
before ``on account''.
(11) Section 3.11 of the Farm Credit Act of 1971
(12 U.S.C. 2132) is amended--
(A) in subsection (a), in the first
sentence, by striking ``subsections (b) and (c)
of this section'' and inserting ``subsection
(b)'';
(B) in subsection (b)--
(i) in the first sentence, by
striking ``district''; and
(ii) in the second sentence, by
striking ``Except as provided in
subsection (c) below, all'' and
inserting ``All'';
(C) by striking subsection (c); and
(D) by redesignating subsections (d)
through (f) as subsections (c) through (e),
respectively.
(12) Part B of title III of the Farm Credit Act of
1971 (12 U.S.C. 2141 et seq.) is amended in the part
heading by striking ``United and''.
(13) Section 3.20 of the Farm Credit Act of 1971
(12 U.S.C. 2141) is amended--
(A) in subsection (a), by striking ``or the
United Bank for Cooperatives, as the case may
be''; and
(B) in subsection (b), by striking ``the
district banks for cooperatives and the Central
Bank for Cooperatives'' and inserting ``the
constituent banks described in section 413(b)
of the Agricultural Credit Act of 1987 (12
U.S.C. 2121 note; Public Law 100-233)''.
(14) Section 3.21 of the Farm Credit Act of 1971
(12 U.S.C. 2142) is repealed.
(15) Section 3.28 of the Farm Credit Act of 1971
(12 U.S.C. 2149) is amended by striking ``a district
bank for cooperatives and the Central Bank for
Cooperatives'' and inserting ``the constituent banks
described in section 413(b) of the Agricultural Credit
Act of 1987 (12 U.S.C. 2121 note; Public Law 100-
233)''.
(16) Section 3.29 of the Farm Credit Act of 1971
(12 U.S.C. 2149a) is repealed.
(17) Section 4.0 of the Farm Credit Act of 1971 (12
U.S.C. 2151) is repealed.
(18) Section 4.8 of the Farm Credit Act of 1971 (12
U.S.C. 2159) is amended--
(A) by striking the section designation and
heading and all that follows through ``Each
bank'' in subsection (a) and inserting the
following:
``SEC. 4.8. PURCHASE AND SALE OF OBLIGATIONS.
``Each bank''; and
(B) by striking subsection (b).
(19) Section 4.9 of the Farm Credit Act of 1971 (12
U.S.C. 2160) is amended--
(A) in subsection (d)--
(i) by striking paragraph (2) and
inserting the following:
``(3) Representation of board.--The Farm Credit
System Insurance Corporation shall not have
representation on the board of directors of the
Corporation.'';
(ii) in the undesignated matter
following paragraph (1)(D), by striking
``In selecting'' and inserting the
following:
``(2) Considerations.--In selecting''; and
(iii) in paragraph (2) (as so
designated), by inserting ``of
paragraph (1)'' after ``(A) and (B)'';
(B) by striking subsection (e); and
(C) by redesignating subsection (f) as
subsection (e).
(20) Section 4.9A(c) of the Farm Credit Act of 1971
(12 U.S.C. 2162(c)) is amended--
(A) by striking ``institution, and--'' in
the matter preceding paragraph (1) and all that
follows through the period at the end of
paragraph (2) and inserting ``institution.'';
(B) by striking ``If an institution'' and
inserting the following:
``(1) In general.--If an institution'';
(C) in paragraph (1) (as so designated), by
striking ``the receiver of the institution''
and inserting ``the Farm Credit System
Insurance Corporation, acting as receiver,'';
and
(D) by adding at the end the following:
``(2) Funding.--The Farm Credit System Insurance
Corporation shall use such funds from the Farm Credit
Insurance Fund as are sufficient to carry out this
section.''.
(21) Section 4.12A(a) of the Farm Credit Act of
1971 (12 U.S.C. 2184(a)) is amended by striking
paragraph (1) and inserting the following:
``(1) In general.--A Farm Credit System bank or
association shall provide to a stockholder of the bank
or association a current list of stockholders of the
bank or association not later than 7 calendar days
after the date on which the bank or association
receives a written request for the stockholder list
from the stockholder.''.
(22) Section 4.14A of the Farm Credit Act of 1971
(12 U.S.C. 2202a) is amended--
(A) in subsection (a)--
(i) in the matter preceding
paragraph (1), by inserting ``and
section 4.36'' before the colon at the
end; and
(ii) in paragraph (5)(B)(ii)(I), by
striking ``4.14C,'';
(B) by striking subsection (h);
(C) by redesignating subsections (i)
through (l) as subsections (h) through (k),
respectively; and
(D) in subsection (k) (as so redesignated),
by striking ``production credit''.
(23) Section 4.14C of the Farm Credit Act of 1971
(12 U.S.C. 2202c) is repealed.
(24) Section 4.17 of the Farm Credit Act of 1971
(12 U.S.C. 2205) is amended in the third sentence by
striking ``Federal intermediate credit banks and''.
(25) Section 4.19(a) of the Farm Credit Act of 1971
(12 U.S.C. 2207(a)) is amended--
(A) in the first sentence--
(i) by striking ``district''; and
(ii) by striking ``Federal land
bank association and production
credit''; and
(B) in the second sentence, by striking
``units'' and inserting ``institutions''.
(26) Section 4.38 of the Farm Credit Act of 1971
(12 U.S.C. 2219c) is amended by striking ``The
Assistance Board established under section 6.0 and
all'' and inserting ``All''.
(27) Section 4.39 of the Farm Credit Act of 1971
(12 U.S.C. 2219d) is amended by striking ``8.0(7))''
and inserting ``8.0)''.
(28) Section 5.16 of the Farm Credit Act of 1971
(12 U.S.C. 2251) is amended in the undesignated matter
following paragraph (5) of subsection (b) (as
designated by section 5405)--
(A) in the fifth sentence, by striking ``In
actions undertaken by the banks pursuant to the
foregoing provisions of this section'' and
inserting the following:
``(5) Agent for banks.--In actions undertaken by
the banks pursuant to this section'';
(B) in the fourth sentence, by striking
``The plans'' and inserting the following:
``(4) Approval of board.--The plans'';
(C) in the third sentence, by striking
``The powers'' and inserting the following:
``(3) Powers of banks.--The powers'';
(D) in the second sentence, by striking
``Such advances'' and inserting the following:
``(2) Advances.--The advances of funds described in
paragraph (1)''; and
(E) in the first sentence, by striking
``The Board'' and inserting the following:
``(c) Financing.--
``(1) In general.--The Board''.
(29) Section 5.17(a)(2) of the Farm Credit Act of
1971 (12 U.S.C. 2252(a)(2)) is amended by striking the
second and third sentences.
(30) Section 5.18 of the Farm Credit Act of 1971
(12 U.S.C. 2253) is repealed.
(31) Section 5.19 of the Farm Credit Act of 1971
(12 U.S.C. 2254) is amended--
(A) in subsection (a)--
(i) in the first sentence, by
striking ``Except for Federal land bank
associations, each'' and inserting
``Each''; and
(ii) by striking the second
sentence; and
(B) in subsection (b)--
(i) by striking ``(b)(1) Each'' and
inserting ``(b) Each'';
(ii) in the matter preceding
paragraph (2) (as so designated)--
(I) in the second sentence,
by striking ``, except with
respect to any actions taken by
any banks of the System under
section 4.8(b),''; and
(II) by striking the third
sentence; and
(iii) by striking paragraphs (2)
and (3).
(32) Section 5.31 of the Farm Credit Act of 1971
(12 U.S.C. 2267) is amended in the second sentence by
striking ``4.14A(i)'' and inserting ``4.14A(h)''.
(33) Section 5.32(h) of the Farm Credit Act of 1971
(12 U.S.C. 2268(h)) is amended by striking ``4.14A(i)''
and inserting ``4.14A(h)''.
(34) Section 5.35 of the Farm Credit Act of 1971
(12 U.S.C. 2271) is amended in paragraph (5) (as
redesignated by section 5408(2))--
(A) in subparagraph (A), by adding ``and''
at the end;
(B) by striking subparagraph (B);
(C) by redesignating subparagraph (C) as
subparagraph (B); and
(D) in subparagraph (B) (as so
redesignated)--
(i) by striking ``after December
31, 1992,''; and
(ii) by striking ``by the Farm
Credit System Assistance Board under
section 6.6 or''.
(35) Section 5.38 of the Farm Credit Act of 1971
(12 U.S.C. 2274) is amended by striking ``a farm'' and
all that follows through ``land bank'' and inserting
``a Farm Credit Bank board, officer, or employee shall
not remove any director or officer of any''.
(36) Section 5.44 of the Farm Credit Act of 1971
(12 U.S.C. 2275) is repealed.
(37) Section 5.58(2) of the Farm Credit Act of 1971
(12 U.S.C. 2277a-7(2)) is amended by striking the
second sentence.
(38) Section 5.60 of the Farm Credit Act of 1971
(12 U.S.C. 2277a-9) is amended--
(A) in subsection (b), by striking the
subsection designation and heading and all that
follows through ``The Corporation'' in
paragraph (2) and inserting the following:
``(b) Amounts in Fund.--The Corporation''; and
(B) in subsection (c)(2), by striking
``Insurance Fund to--'' in the matter preceding
subparagraph (A) and all that follows through
``ensure'' in subparagraph (B) and inserting
``Insurance Fund to ensure''.
(39) Title VI of the Farm Credit Act of 1971 (12
U.S.C. 2278a et seq.) is repealed.
(40) Section 7.9 of the Farm Credit Act of 1971 (12
U.S.C. 2279c-2) is amended by striking subsection (c).
(41) Section 7.10(a) of the Farm Credit Act of 1971
(12 U.S.C. 2279d(a)) is amended by striking paragraph
(4) and inserting the following:
``(4) the institution pays to the Farm Credit
Insurance Fund the amount by which the total capital of
the institution exceeds 6 percent of the assets;''.
(42) Section 8.0 of the Farm Credit Act of 1971 (12
U.S.C. 2279aa) is amended--
(A) in paragraph (2), by striking ``means--
'' in the matter preceding subparagraph (A) and
all that follows through the period at the end
of the undesignated matter following
subparagraph (B) and inserting ``means the
board of directors established under section
8.2.'';
(B) by striking paragraphs (6) and (8);
(C) by redesignating paragraphs (7), (9),
and (10) as paragraphs (6), (7), and (8),
respectively; and
(D) in subparagraph (B)(i) of paragraph (7)
(as so redesignated), by striking ``(b) through
(d)'' and inserting ``(b) and (c)''.
(43) Section 8.2 of the Farm Credit Act of 1971 (12
U.S.C. 2279aa-2) is amended--
(A) by striking subsection (a);
(B) in subsection (b), by striking the
subsection designation and heading and all that
follows through the period at the end of
paragraph (1) and inserting the following:
``(a) In General.--
``(1) Establishment.--The Corporation shall be
under the management of the board of directors.'';
(C) in subsection (a) (as so designated)--
(i) by striking ``permanent board''
each place it appears and inserting
``Board'';
(ii) by striking paragraph (3);
(iii) by redesignating paragraphs
(4) through (10) as paragraphs (3)
through (9), respectively; and
(iv) in paragraph (3)(A) (as so
redesignated), by striking ``(6)'' and
inserting ``(5)''; and
(D) by redesignating subsection (c) as
subsection (b).
(44) Section 8.4(a)(1) of the Farm Credit Act of
1971 (12 U.S.C. 2279aa-4(a)(1)) is amended--
(A) in the sixth sentence--
(i) by striking ``Class B'' and
inserting the following:
``(iii) Class b stock.--Class B'';
and
(ii) by striking ``8.2(b)(2)(B)''
and inserting ``8.2(a)(2)(B)'';
(B) in the fifth sentence--
(i) by striking ``Class A'' and
inserting the following:
``(ii) Class a stock.--Class A'';
and
(ii) by striking ``8.2(b)(2)(A)''
and inserting ``8.2(a)(2)(A)'';
(C) in the fourth sentence, by striking
``The stock'' and inserting the following:
``(D) Classes of stock.--
``(i) In general.--The stock'';
(D) by striking the third sentence and
inserting the following:
``(C) Offers.--
``(i) In general.--The Board shall
offer the voting common stock to banks,
other financial institutions, insurance
companies, and System institutions
under such terms and conditions as the
Board may adopt.
``(ii) Requirements.--The voting
common stock shall be fairly and
broadly offered to ensure that--
``(I) no institution or
institutions acquire a
disproportionate share of the
total quantity of the voting
common stock outstanding of a
class of stock; and
``(II) capital
contributions and issuances of
voting common stock for the
contributions are fairly
distributed between entities
eligible to hold class A stock
and class B stock.'';
(E) in the second sentence, by striking
``Each share'' and inserting the following:
``(B) Number of votes.--Each share''; and
(F) in the first sentence, by striking
``The Corporation'' and inserting the
following:
``(A) In general.--The Corporation''.
(45) Section 8.6 of the Farm Credit Act of 1971 (12
U.S.C. 2279aa-6) is amended--
(A) by striking subsection (d);
(B) by redesignating subsection (e) as
subsection (d); and
(C) in paragraph (2) of subsection (d) (as
so redesignated), by striking ``8.0(9))'' and
inserting ``8.0)''.
(46) Section 8.9 of the Farm Credit Act of 1971 (12
U.S.C. 2279aa-9) is amended by striking ``4.14C,'' each
place it appears.
(47) Section 8.11(e) of the Farm Credit Act of 1971
(12 U.S.C. 2279aa-11(e)) is amended by striking
``8.0(7))'' and inserting ``8.0)''.
(48) Section 8.32(a) of the Farm Credit Act of 1971
(12 U.S.C. 2279bb-1(a)) is amended--
(A) in the first sentence of the matter
preceding paragraph (1), by striking ``Not
sooner than the expiration of the 3-year period
beginning on the date of enactment of the Farm
Credit System Reform Act of 1996, the'' and
inserting ``The''; and
(B) in paragraph (1)(B), by striking
``8.0(9)(C)'' and inserting ``8.0(7)(C)''.
(49) Section 8.33(b)(2)(A) of the Farm Credit Act
of 1971 (12 U.S.C. 2279bb-2(b)(2)(A)) is amended by
striking ``8.6(e)'' and inserting ``8.6(d)''.
(50) Section 8.35 of the Farm Credit Act of 1971
(12 U.S.C. 2279bb-4) is amended by striking subsection
(e).
(51) Section 8.38 of the Farm Credit Act of 1971
(12 U.S.C. 2279bb-7) is repealed.
(52) Section 4 of the Agricultural Marketing Act
(12 U.S.C. 1141b) is repealed.
(53) Section 5 of the Agricultural Marketing Act
(12 U.S.C. 1141c) is repealed.
(54) Section 6 of the Agricultural Marketing Act
(12 U.S.C. 1141d) is repealed.
(55) Section 7 of the Agricultural Marketing Act
(12 U.S.C. 1141e) is repealed.
(56) Section 8 of the Agricultural Marketing Act
(12 U.S.C. 1141f) is repealed.
(57) Section 14 of the Agricultural Marketing Act
(12 U.S.C. 1141i) is repealed.
(58) The Act of June 22, 1939 (53 Stat. 853,
chapter 239; 12 U.S.C. 1141d-1), is repealed.
(59) Section 201(e) of the Emergency Relief and
Construction Act of 1932 (12 U.S.C. 1148) is repealed.
(60) Section 2 of the Act of July 14, 1953 (67
Stat. 150, chapter 192; 12 U.S.C. 1148a-4), is
repealed.
(61) Section 32 of the Farm Credit Act of 1937 (12
U.S.C. 1148b) is repealed.
(62) Section 33 of the Farm Credit Act of 1937 (12
U.S.C. 1148c) is repealed.
(63) Section 34 of the Farm Credit Act of 1937 (12
U.S.C. 1148d) is repealed.
(64) The Joint Resolution of March 3, 1932 (47
Stat. 60, chapter 70; 12 U.S.C. 1401 et seq.), is
repealed.
SEC. 5412. CORPORATION AS CONSERVATOR OR RECEIVER; CERTAIN OTHER
POWERS.
Part E of title V of the Farm Credit Act of 1971 is amended
by inserting after section 5.61B (12 U.S.C. 2277a-10b) the
following:
``SEC. 5.61C. CORPORATION AS CONSERVATOR OR RECEIVER; CERTAIN OTHER
POWERS.
``(a) Definition of Institution.--In this section, the term
`institution' includes any System institution for which the
Corporation has been appointed as conservator or receiver.
``(b) Certain Powers and Duties of Corporation as
Conservator or Receiver.--In addition to the powers inherent in
the express grant of corporate authority under section 5.58(9),
and other powers exercised by the Corporation under this part,
the Corporation shall have the following express powers to act
as a conservator or receiver:
``(1) Rulemaking authority of corporation.--The
Corporation may prescribe such regulations as the
Corporation determines to be appropriate regarding the
conduct of conservatorships or receiverships.
``(2) General powers.--
``(A) Successor to system institution.--The
Corporation shall, as conservator or receiver,
and by operation of law, succeed to--
``(i) all rights, titles, powers,
and privileges of the System
institution, and of any stockholder,
member, officer, or director of such
System institution with respect to the
System institution and the assets of
the System institution; and
``(ii) title to the books, records,
and assets of any previous conservator
or other legal custodian of such System
institution.
``(B) Operate the system institution.--The
Corporation may, as conservator or receiver--
``(i) take over the assets of and
operate the System institution with all
the powers of the stockholders or
members, the directors, and the
officers of the System institution and
conduct all business of the System
institution;
``(ii) collect all obligations and
money due the System institution;
``(iii) perform all functions of
the System institution in the name of
the System institution which are
consistent with the appointment as
conservator or receiver;
``(iv) preserve and conserve the
assets and property of such System
institution; and
``(v) provide by contract for
assistance in fulfilling any function,
activity, action, or duty of the
Corporation as conservator or receiver.
``(C) Functions of system institution's
officers, directors, members, and
stockholders.--The Corporation may, by
regulation or order, provide for the exercise
of any function by any stockholder, member,
director, or officer of any System institution
for which the Corporation has been appointed
conservator or receiver.
``(D) Powers as conservator.--Subject to
any Farm Credit Administration approvals
required under this Act, the Corporation may,
as conservator, take such action as may be--
``(i) necessary to put the System
institution in a sound and solvent
condition; and
``(ii) appropriate to carry on the
business of the System institution and
preserve and conserve the assets and
property of the System institution.
``(E) Additional powers as receiver.--The
Corporation may, as receiver, liquidate the
System institution and proceed to realize upon
the assets of the System institution, in such
manner as the Corporation determines to be
appropriate.
``(F) Organization of new system bank.--The
Corporation may, as receiver with respect to
any System bank, organize a bridge System bank
under subsection (h).
``(G) Merger; transfer of assets and
liabilities.--
``(i) In general.--Subject to
clause (ii), the Corporation may, as
conservator or receiver--
``(I) merge the System
institution with another System
institution; and
``(II) transfer or sell any
asset or liability of the
System institution in default
without any approval,
assignment, or consent with
respect to such transfer.
``(ii) Approval.--No merger or
transfer under clause (i) may be made
to another System institution (other
than a bridge System bank under
subsection (h)) without the approval of
the Farm Credit Administration.
``(H) Payment of valid obligations.--The
Corporation, as conservator or receiver, shall,
to the extent that proceeds are realized from
the performance of contracts or the sale of the
assets of a System institution, pay all valid
obligations of the System institution in
accordance with the prescriptions and
limitations of this section.
``(I) Incidental powers.--
``(i) In general.--The Corporation
may, as conservator or receiver--
``(I) exercise all powers
and authorities specifically
granted to conservators or
receivers, respectively, under
this section and such
incidental powers as shall be
necessary to carry out such
powers; and
``(II) take any action
authorized by this section,
which the Corporation
determines is in the best
interests of--
``(aa) the System
institution in
receivership or
conservatorship;
``(bb) System
institutions;
``(cc) System
institution
stockholders or
investors; or
``(dd) the
Corporation.
``(ii) Termination of rights and
claims.--
``(I) In general.--Except
as provided in subclause (II),
notwithstanding any other
provision of law, the
appointment of the Corporation
as receiver for a System
institution and the succession
of the Corporation, by
operation of law, to the
rights, titles, powers, and
privileges described in
subparagraph (A) shall
terminate all rights and claims
that the stockholders and
creditors of the System
institution may have, arising
as a result of their status as
stockholders or creditors,
against the assets or charter
of the System institution or
the Corporation.
``(II) Exceptions.--
Subclause (I) shall not
terminate the right to payment,
resolution, or other
satisfaction of the claims of
stockholders and creditors
described in that subclause, as
permitted under paragraphs (10)
and (11) and subsection (d).
``(iii) Charter.--Notwithstanding
any other provision of law, for
purposes of this section, the charter
of a System institution shall not be
considered to be an asset of the System
institution.
``(J) Utilization of private sector.--In
carrying out its responsibilities in the
management and disposition of assets from
System institutions, as conservator, receiver,
or in its corporate capacity, the Corporation
may utilize the services of private persons,
including real estate and loan portfolio asset
management, property management, auction
marketing, legal, and brokerage services, if
the Corporation determines utilization of such
services is practicable, efficient, and cost
effective.
``(3) Authority of receiver to determine claims.--
``(A) In general.--The Corporation may, as
receiver, determine claims in accordance with
the requirements of this subsection and
regulations prescribed under paragraph (4).
``(B) Notice requirements.--The receiver,
in any case involving the liquidation or
winding up of the affairs of a closed System
institution, shall--
``(i) promptly publish a notice to
the System institution's creditors to
present their claims, together with
proof, to the receiver by a date
specified in the notice which shall be
not less than 90 days after the
publication of such notice; and
``(ii) republish such notice
approximately 1 month and 2 months,
respectively, after the publication
under clause (i).
``(C) Mailing required.--The receiver shall
mail a notice similar to the notice published
under subparagraph (B)(i) at the time of such
publication to any creditor shown on the System
institution's books--
``(i) at the creditor's last
address appearing in such books; or
``(ii) upon discovery of the name
and address of a claimant not appearing
on the System institution's books
within 30 days after the discovery of
such name and address.
``(4) Rulemaking authority relating to
determination of claims.--The Corporation may prescribe
regulations regarding the allowance or disallowance of
claims by the receiver and providing for administrative
determination of claims and review of such
determination.
``(5) Procedures for determination of claims.--
``(A) Determination period.--
``(i) In general.--Before the end
of the 180-day period beginning on the
date any claim against a System
institution is filed with the
Corporation as receiver, the
Corporation shall determine whether to
allow or disallow the claim and shall
notify the claimant of any
determination with respect to such
claim.
``(ii) Extension of time.--The
period described in clause (i) may be
extended by a written agreement between
the claimant and the Corporation.
``(iii) Mailing of notice
sufficient.--The requirements of clause
(i) shall be deemed to be satisfied if
the notice of any determination with
respect to any claim is mailed to the
last address of the claimant which
appears--
``(I) on the System
institution's books;
``(II) in the claim filed
by the claimant; or
``(III) in documents
submitted in proof of the
claim.
``(iv) Contents of notice of
disallowance.--If any claim filed under
clause (i) is disallowed, the notice to
the claimant shall contain--
``(I) a statement of each
reason for the disallowance;
and
``(II) the procedures
available for obtaining agency
review of the determination to
disallow the claim or judicial
determination of the claim.
``(B) Allowance of proven claims.--The
receiver shall allow any claim received on or
before the date specified in the notice
published under paragraph (3)(B)(i) by the
receiver from any claimant which is proved to
the satisfaction of the receiver.
``(C) Disallowance of claims filed after
end of filing period.--
``(i) In general.--Except as
provided in clause (ii), claims filed
after the date specified in the notice
published under paragraph (3)(B)(i)
shall be disallowed and such
disallowance shall be final.
``(ii) Certain exceptions.--Clause
(i) shall not apply with respect to any
claim filed by any claimant after the
date specified in the notice published
under paragraph (3)(B)(i) and such
claim may be considered by the receiver
if--
``(I) the claimant did not
receive notice of the
appointment of the receiver in
time to file such claim before
such date; and
``(II) such claim is filed
in time to permit payment of
such claim.
``(D) Authority to disallow claims.--
``(i) In general.--The receiver may
disallow any portion of any claim by a
creditor or claim of security,
preference, or priority which is not
proved to the satisfaction of the
receiver.
``(ii) Payments to less than fully
secured creditors.--In the case of a
claim of a creditor against a System
institution which is secured by any
property or other asset of such System
institution, any receiver appointed for
any System institution--
``(I) may treat the portion
of such claim which exceeds an
amount equal to the fair market
value of such property or other
asset as an unsecured claim
against the System institution;
and
``(II) may not make any
payment with respect to such
unsecured portion of the claim
other than in connection with
the disposition of all claims
of unsecured creditors of the
System institution.
``(iii) Exceptions.--No provision
of this paragraph shall apply with
respect to--
``(I) any extension of
credit from any Federal Reserve
bank or the United States
Treasury to any System
institution; or
``(II) any security
interest in the assets of the
System institution securing any
such extension of credit.
``(E) No judicial review of determination
pursuant to subparagraph (d).--No court may
review the Corporation's determination pursuant
to subparagraph (D) to disallow a claim.
``(F) Legal effect of filing.--
``(i) Statute of limitation
tolled.--For purposes of any applicable
statute of limitations, the filing of a
claim with the receiver shall
constitute a commencement of an action.
``(ii) No prejudice to other
actions.--Subject to paragraph (12) and
the determination of claims by a
receiver, the filing of a claim with
the receiver shall not prejudice any
right of the claimant to continue any
action which was filed before the
appointment of the receiver.
``(6) Provision for judicial determination of
claims.--
``(A) In general.--Before the end of the
60-day period beginning on the earlier of--
``(i) the end of the period
described in paragraph (5)(A)(i) with
respect to any claim against a System
institution for which the Corporation
is receiver; or
``(ii) the date of any notice of
disallowance of such claim pursuant to
paragraph (5)(A)(i),
the claimant may request administrative review
of the claim in accordance with paragraph (7)
or file suit on such claim (or continue an
action commenced before the appointment of the
receiver) in the district or territorial court
of the United States for the district within
which the System institution's principal place
of business is located or the United States
District Court for the District of Columbia
(and such court shall have jurisdiction to hear
such claim).
``(B) Statute of limitations.--If any
claimant fails to file suit on such claim (or
continue an action commenced before the
appointment of the receiver), before the end of
the 60-day period described in subparagraph
(A), the claim shall be deemed to be disallowed
(other than any portion of such claim which was
allowed by the receiver) as of the end of such
period, such disallowance shall be final, and
the claimant shall have no further rights or
remedies with respect to such claim.
``(7) Review of claims; administrative hearing.--If
any claimant requests review under this paragraph in
lieu of filing or continuing any action under paragraph
(6) and the Corporation agrees to such request, the
Corporation shall consider the claim after opportunity
for a hearing on the record. The final determination of
the Corporation with respect to such claim shall be
subject to judicial review under chapter 7 of title 5,
United States Code.
``(8) Expedited determination of claims.--
``(A) Establishment required.--The
Corporation shall establish a procedure for
expedited relief outside of the routine claims
process established under paragraph (5) for
claimants who--
``(i) allege the existence of
legally valid and enforceable or
perfected security interests in assets
of any System institution for which the
Corporation has been appointed
receiver; and
``(ii) allege that irreparable
injury will occur if the routine claims
procedure is followed.
``(B) Determination period.--Before the end
of the 90-day period beginning on the date any
claim is filed in accordance with the
procedures established pursuant to subparagraph
(A), the Corporation shall--
``(i) determine--
``(I) whether to allow or
disallow such claim; or
``(II) whether such claim
should be determined pursuant
to the procedures established
pursuant to paragraph (5); and
``(ii) notify the claimant of the
determination, and if the claim is
disallowed, provide a statement of each
reason for the disallowance and the
procedure for obtaining agency review
or judicial determination.
``(C) Period for filing or renewing suit.--
Any claimant who files a request for expedited
relief shall be permitted to file a suit, or to
continue a suit filed before the appointment of
the receiver, seeking a determination of the
claimant's rights with respect to such security
interest after the earlier of--
``(i) the end of the 90-day period
beginning on the date of the filing of
a request for expedited relief; or
``(ii) the date the Corporation
denies the claim.
``(D) Statute of limitations.--If an action
described in subparagraph (C) is not filed, or
the motion to renew a previously filed suit is
not made, before the end of the 30-day period
beginning on the date on which such action or
motion may be filed in accordance with
subparagraph (B), the claim shall be deemed to
be disallowed as of the end of such period
(other than any portion of such claim which was
allowed by the receiver), such disallowance
shall be final, and the claimant shall have no
further rights or remedies with respect to such
claim.
``(E) Legal effect of filing.--
``(i) Statute of limitation
tolled.--For purposes of any applicable
statute of limitations, the filing of a
claim with the receiver shall
constitute a commencement of an action.
``(ii) No prejudice to other
actions.--Subject to paragraph (12),
the filing of a claim with the receiver
shall not prejudice any right of the
claimant to continue any action which
was filed before the appointment of the
receiver.
``(9) Agreement as basis of claim.--
``(A) Requirements.--Except as provided in
subparagraph (B), any agreement which does not
meet the requirements set forth in section
5.61(d) shall not form the basis of, or
substantially comprise, a claim against the
receiver or the Corporation.
``(B) Exception to contemporaneous
execution requirement.--Notwithstanding section
5.61(d), any agreement relating to an extension
of credit between a Federal Reserve bank or the
United States Treasury and any System
institution which was executed before such
extension of credit to such System institution
shall be treated as having been executed
contemporaneously with such extension of credit
for purposes of subparagraph (A).
``(10) Payment of claims.--
``(A) In general.--The receiver may, in the
receiver's discretion and to the extent funds
are available from the assets of the System
institution, pay creditor claims which are
allowed by the receiver, approved by the
Corporation pursuant to a final determination
pursuant to paragraph (7) or (8), or determined
by the final judgment of any court of competent
jurisdiction in such manner and amounts as are
authorized under this Act.
``(B) Liquidation payments.--The receiver
may, in the receiver's sole discretion, pay
from the assets of the System institution
portions of proved claims at any time, and no
liability shall attach to the Corporation (in
such Corporation's corporate capacity or as
receiver), by reason of any such payment, for
failure to make payments to a claimant whose
claim is not proved at the time of any such
payment.
``(C) Rulemaking authority of
corporation.--The Corporation may prescribe
such rules, including definitions of terms, as
it deems appropriate to establish a single
uniform interest rate for or to make payments
of post insolvency interest to creditors
holding proven claims against the receivership
estates of System institutions following
satisfaction by the receiver of the principal
amount of all creditor claims.
``(11) Priority of expenses and claims.--
``(A) In general.--Amounts realized from
the liquidation or other resolution of any
System institution by any receiver appointed
for such System institution shall be
distributed to pay claims (other than secured
claims to the extent of any such security) in
the following order of priority:
``(i) Administrative expenses of
the receiver.
``(ii) If authorized by the
Corporation, wages, salaries, or
commissions, including vacation,
severance, and sick leave pay earned by
an individual--
``(I) in an amount that is
not more than $11,725 for each
individual (as indexed for
inflation, by regulation of the
Corporation); and
``(II) that is earned 180
days or fewer before the date
of appointment of the
Corporation as receiver.
``(iii) In the case of the
resolution of a System bank, all claims
of holders of consolidated and System-
wide bonds and all claims of the other
System banks arising from the payments
of the System banks pursuant to--
``(I) section 4.4 on
consolidated and System-wide
bonds issued under subsection
(c) or (d) of section 4.2; or
``(II) an agreement, in
writing and approved by the
Farm Credit Administration,
among the System banks to
reallocate the payments.
``(iv) In the case of the
resolution of a production credit
association or other association making
direct loans under section 7.6, all
claims of a System bank based on the
financing agreement between the
association and the System bank--
``(I) including interest
accrued before and after the
appointment of the receiver;
and
``(II) not including any
setoff for stock or other
equity of that System bank
owned by the association, on
that condition that, prior to
making that setoff, that System
bank shall obtain the approval
of the Farm Credit
Administration Board for the
retirement of that stock or
equity.
``(v) Any general or senior
liability of the System institution
(which is not a liability described in
clause (vi) or (vii)).
``(vi) Any obligation subordinated
to general creditors (which is not an
obligation described in clause (vii)).
``(vii) Any obligation to
stockholders or members arising as a
result of their status as stockholders
or members.
``(B) Payment of claims.--
``(i) In general.--
``(I) Payment.--All claims
of each priority described in
clauses (i) through (vii) of
subparagraph (A) shall be paid
in full, or provisions shall be
made for that payment, prior to
the payment of any claim of a
lesser priority.
``(II) Insufficient
funds.--If there are
insufficient funds to pay in
full all claims in any priority
described clauses (i) through
(vii) of subparagraph (A),
distribution on that priority
of claims shall be made on a
pro rata basis.
``(ii) Distribution of remaining
assets.--Following the payment of all
claims in accordance with subparagraph
(A), the receiver shall distribute the
remainder of the assets of the System
institution to the owners of stock,
participation certificates, and other
equities in accordance with the
priorities for impairment under the
bylaws of the System institution.
``(iii) Eligible borrower stock.--
Notwithstanding subparagraph (C) or any
other provision of this section,
eligible borrower stock shall be
retired in accordance with section
4.9A.
``(C) Effect of state law.--
``(i) In general.--The provisions
of subparagraph (A) shall not supersede
the law of any State except to the
extent such law is inconsistent with
the provisions of such subparagraph,
and then only to the extent of the
inconsistency.
``(ii) Procedure for determination
of inconsistency.--Upon the
Corporation's own motion or upon the
request of any person with a claim
described in subparagraph (A) or any
State which is submitted to the
Corporation in accordance with
procedures which the Corporation shall
prescribe, the Corporation shall
determine whether any provision of the
law of any State is inconsistent with
any provision of subparagraph (A) and
the extent of any such inconsistency.
``(iii) Judicial review.--The final
determination of the Corporation under
clause (ii) shall be subject to
judicial review under chapter 7 of
title 5, United States Code.
``(D) Accounting report.--Any distribution
by the Corporation in connection with any claim
described in subparagraph (A)(vii) shall be
accompanied by the accounting report required
under paragraph (15)(B).
``(12) Suspension of legal actions.--
``(A) In general.--After the appointment of
a conservator or receiver for a System
institution, the conservator or receiver may
request a stay for a period not to exceed--
``(i) 45 days, in the case of any
conservator; and
``(ii) 90 days, in the case of any
receiver,
in any judicial action or proceeding to which
such System institution is or becomes a party.
``(B) Grant of stay by all courts
required.--Upon receipt of a request by any
conservator or receiver pursuant to
subparagraph (A) for a stay of any judicial
action or proceeding in any court with
jurisdiction of such action or proceeding, the
court shall grant such stay as to all parties.
``(13) Additional rights and duties.--
``(A) Prior final adjudication.--The
Corporation shall abide by any final
unappealable judgment of any court of competent
jurisdiction which was rendered before the
appointment of the Corporation as conservator
or receiver.
``(B) Rights and remedies of conservator or
receiver.--In the event of any appealable
judgment, the Corporation as conservator or
receiver shall--
``(i) have all the rights and
remedies available to the System
institution (before the appointment of
such conservator or receiver) and the
Corporation in its corporate capacity,
including removal to Federal court and
all appellate rights; and
``(ii) not be required to post any
bond in order to pursue such remedies.
``(C) No attachment or execution.--No
attachment or execution may issue by any court
on--
``(i) assets in the possession of
the receiver; or
``(ii) the charter of a System
institution for which the Corporation
has been appointed receiver.
``(D) Limitation on judicial review.--
Except as otherwise provided in this
subsection, no court shall have jurisdiction
over--
``(i) any claim or action for
payment from, or any action seeking a
determination of rights with respect
to, the assets of any System
institution for which the Corporation
has been appointed receiver, including
assets which the Corporation may
acquire from itself as such receiver;
or
``(ii) any claim relating to any
act or omission of such System
institution or the Corporation as
receiver.
``(E) Disposition of assets.--In exercising
any right, power, privilege, or authority as
receiver in connection with any sale or
disposition of assets of any System institution
for which the Corporation is acting as
receiver, the Corporation shall, to the maximum
extent practicable, conduct its operations in a
manner which--
``(i) maximizes the net present
value return from the sale or
disposition of such assets;
``(ii) minimizes the amount of any
loss realized in the resolution of
cases;
``(iii) ensures adequate
competition and fair and consistent
treatment of offerors;
``(iv) prohibits discrimination on
the basis of race, sex, or ethnic
groups in the solicitation and
consideration of offers; and
``(v) mitigates the potential for
serious adverse effects to the rest of
the System.
``(14) Statute of limitations for actions brought
by conservator or receiver.--
``(A) In general.--Notwithstanding any
provision of any contract, the applicable
statute of limitations with regard to any
action brought by the Corporation as
conservator or receiver shall be--
``(i) in the case of any contract
claim, the longer of--
``(I) the 6-year period
beginning on the date the claim
accrues; or
``(II) the period
applicable under State law; and
``(ii) in the case of any tort
claim, the longer of--
``(I) the 3-year period
beginning on the date the claim
accrues; or
``(II) the period
applicable under State law.
``(B) Determination of the date on which a
claim accrues.--For purposes of subparagraph
(A), the date on which the statute of
limitations begins to run on any claim
described in such subparagraph shall be the
later of--
``(i) the date of the appointment
of the Corporation as conservator or
receiver; or
``(ii) the date on which the cause
of action accrues.
``(C) Revival of expired state causes of
action.--
``(i) In general.--In the case of
any tort claim described in clause (ii)
for which the statute of limitation
applicable under State law with respect
to such claim has expired not more than
5 years before the appointment of the
Corporation as conservator or receiver,
the Corporation may bring an action as
conservator or receiver on such claim
without regard to the expiration of the
statute of limitation applicable under
State law.
``(ii) Claims described.--A tort
claim referred to in clause (i) is a
claim arising from fraud, intentional
misconduct resulting in unjust
enrichment, or intentional misconduct
resulting in substantial loss to the
System institution.
``(15) Accounting and recordkeeping requirements.--
``(A) In general.--The Corporation as
conservator or receiver shall, consistent with
the accounting and reporting practices and
procedures established by the Corporation,
maintain a full accounting of each
conservatorship and receivership or other
disposition of System institutions in default.
``(B) Annual accounting or report.--With
respect to each conservatorship or receivership
to which the Corporation was appointed, the
Corporation shall make an annual accounting or
report, as appropriate, available to the Farm
Credit Administration Board.
``(C) Availability of reports.--Any report
prepared pursuant to subparagraph (B) shall be
made available by the Corporation upon request
to any stockholder of the System institution
for which the Corporation was appointed
conservator or receiver or any other member of
the public.
``(D) Recordkeeping requirement.--
``(i) In general.--Except as
provided in clause (ii), after the end
of the 6-year period beginning on the
date the Corporation is appointed as
receiver of a System institution, the
Corporation may destroy any records of
such System institution which the
Corporation, in the Corporation's
discretion, determines to be
unnecessary unless directed not to do
so by a court of competent jurisdiction
or governmental agency, or prohibited
by law.
``(ii) Old records.--
Notwithstanding clause (i), the
Corporation may destroy records of a
System institution which are at least
10 years old as of the date on which
the Corporation is appointed as the
receiver of such System institution in
accordance with clause (i) at any time
after such appointment is final,
without regard to the 6-year period of
limitation contained in clause (i).
``(16) Fraudulent transfers.--
``(A) In general.--The Corporation, as
conservator or receiver for any System
institution, may avoid a transfer of any
interest of a System institution-affiliated
party, or any person who the Corporation
determines is a debtor of the System
institution, in property, or any obligation
incurred by such party or person, that was made
within 5 years of the date on which the
Corporation was appointed conservator or
receiver if such party or person voluntarily or
involuntarily made such transfer or incurred
such liability with the intent to hinder,
delay, or defraud the System institution, the
Farm Credit Administration, or the Corporation.
``(B) Right of recovery.--To the extent a
transfer is avoided under subparagraph (A), the
Corporation may recover, for the benefit of the
System institution, the property transferred,
or, if a court so orders, the value of such
property (at the time of such transfer) from--
``(i) the initial transferee of
such transfer or the System
institution-affiliated party or person
for whose benefit such transfer was
made; or
``(ii) any immediate or mediate
transferee of any such initial
transferee.
``(C) Rights of transferee or obligee.--The
Corporation may not recover under subparagraph
(B) from--
``(i) any transferee that takes for
value, including satisfaction or
securing of a present or antecedent
debt, in good faith; or
``(ii) any immediate or mediate
good faith transferee of such
transferee.
``(D) Rights under this paragraph.--The
rights under this paragraph of the Corporation
shall be superior to any rights of a trustee or
any other party (other than any party which is
a Federal agency) under title 11, United States
Code.
``(17) Attachment of assets and other injunctive
relief.--Subject to paragraph (18), any court of
competent jurisdiction may, at the request of the
Corporation (in the Corporation's capacity as
conservator or receiver for any System institution or
in the Corporation's corporate capacity with respect to
any asset acquired or liability assumed by the
Corporation under section 5.61), issue an order in
accordance with Rule 65 of the Federal Rules of Civil
Procedure, including an order placing the assets of any
person designated by the Corporation under the control
of the court and appointing a trustee to hold such
assets.
``(18) Standards.--
``(A) Showing.--Rule 65 of the Federal
Rules of Civil Procedure shall apply with
respect to any proceeding under paragraph (17)
without regard to the requirement of such rule
that the applicant show that the injury, loss,
or damage is irreparable and immediate.
``(B) State proceeding.--If, in the case of
any proceeding in a State court, the court
determines that rules of civil procedure
available under the laws of such State provide
substantially similar protections to such
party's right to due process as Rule 65 (as
modified with respect to such proceeding by
subparagraph (A)), the relief sought by the
Corporation pursuant to paragraph (17) may be
requested under the laws of such State.
``(19) Treatment of claims arising from breach of
contracts executed by the receiver or conservator.--
Notwithstanding any other provision of this subsection,
any final and unappealable judgment for monetary
damages entered against a receiver or conservator for a
System institution for the breach of an agreement
executed or approved by such receiver or conservator
after the date of its appointment shall be paid as an
administrative expense of the receiver or conservator.
Nothing in this paragraph shall be construed to limit
the power of a receiver or conservator to exercise any
rights under contract or law, including terminating,
breaching, canceling, or otherwise discontinuing such
agreement.
``(c) Provisions Relating to Contracts Entered Into Before
Appointment of Conservator or Receiver.--
``(1) Authority to repudiate contracts.--In
addition to any other rights a conservator or receiver
may have, the conservator or receiver for a System
institution may disaffirm or repudiate any contract or
lease--
``(A) to which such System institution is a
party;
``(B) the performance of which the
conservator or receiver, in the conservator's
or receiver's discretion, determines to be
burdensome; and
``(C) the disaffirmance or repudiation of
which the conservator or receiver determines,
in the conservator's or receiver's discretion,
will promote the orderly administration of the
System institution's affairs.
``(2) Timing of repudiation.--The Corporation as
conservator or receiver for any System institution
shall determine whether or not to exercise the rights
of repudiation under this subsection within a
reasonable period following such appointment.
``(3) Claims for damages for repudiation.--
``(A) In general.--Except as otherwise
provided in subparagraph (C) and paragraphs
(4), (5), and (6), the liability of the
conservator or receiver for the disaffirmance
or repudiation of any contract pursuant to
paragraph (1) shall be--
``(i) limited to actual direct
compensatory damages; and
``(ii) determined as of--
``(I) the date of the
appointment of the conservator
or receiver; or
``(II) in the case of any
contract or agreement referred
to in paragraph (8), the date
of the disaffirmance or
repudiation of such contract or
agreement.
``(B) No liability for other damages.--For
purposes of subparagraph (A), the term `actual
direct compensatory damages' does not include--
``(i) punitive or exemplary
damages;
``(ii) damages for lost profits or
opportunity; or
``(iii) damages for pain and
suffering.
``(C) Measure of damages for repudiation of
financial contracts.--In the case of any
qualified financial contract or agreement to
which paragraph (8) applies, compensatory
damages shall be--
``(i) deemed to include normal and
reasonable costs of cover or other
reasonable measures of damages utilized
in the industries for such contract and
agreement claims; and
``(ii) paid in accordance with this
subsection and subsection (j), except
as otherwise specifically provided in
this section.
``(4) Leases under which the system institution is
the lessee.--
``(A) In general.--If the conservator or
receiver disaffirms or repudiates a lease under
which the System institution was the lessee,
the conservator or receiver shall not be liable
for any damages (other than damages determined
pursuant to subparagraph (B)) for the
disaffirmance or repudiation of such lease.
``(B) Payments of rent.--Notwithstanding
subparagraph (A), the lessor under a lease to
which such subparagraph applies shall--
``(i) be entitled to the
contractual rent accruing before the
later of the date--
``(I) the notice of
disaffirmance or repudiation is
mailed; or
``(II) the disaffirmance or
repudiation becomes effective,
unless the lessor is in default
or breach of the terms of the
lease; and
``(ii) have no claim for damages
under any acceleration clause or other
penalty provision in the lease; and
``(iii) have a claim for any unpaid
rent, subject to all appropriate
offsets and defenses, due as of the
date of the appointment, which shall be
paid in accordance with this subsection
and subsection (j).
``(5) Leases under which the system institution is
the lessor.--
``(A) In general.--If the conservator or
receiver repudiates an unexpired written lease
of real property of the System institution
under which the System institution is the
lessor and the lessee is not, as of the date of
such repudiation, in default, the lessee under
such lease may either--
``(i) treat the lease as terminated
by such repudiation; or
``(ii) remain in possession of the
leasehold interest for the balance of
the term of the lease, unless the
lessee defaults under the terms of the
lease after the date of such
repudiation.
``(B) Provisions applicable to lessee
remaining in possession.--If any lessee under a
lease described in subparagraph (A) remains in
possession of a leasehold interest pursuant to
clause (ii) of such subparagraph--
``(i) the lessee--
``(I) shall continue to pay
the contractual rent pursuant
to the terms of the lease after
the date of the repudiation of
such lease; and
``(II) may offset against
any rent payment which accrues
after the date of the
repudiation of the lease, any
damages which accrue after such
date due to the nonperformance
of any obligation of the System
institution under the lease
after such date; and
``(ii) the conservator or receiver
shall not be liable to the lessee for
any damages arising after such date as
a result of the repudiation, other than
the amount of any offset allowed under
clause (i)(II).
``(6) Contracts for the sale of real property.--
``(A) In general.--If the conservator or
receiver repudiates any contract that meets the
requirements of paragraphs (1) through (4) of
section 5.61(d) for the sale of real property,
and the purchaser of such real property under
such contract is in possession and is not, as
of the date of such repudiation, in default,
such purchaser may either--
``(i) treat the contract as
terminated by such repudiation; or
``(ii) remain in possession of such
real property.
``(B) Provisions applicable to purchaser
remaining in possession.--If any purchaser of
real property under any contract described in
subparagraph (A) remains in possession of such
property pursuant to clause (ii) of such
subparagraph--
``(i) the purchaser--
``(I) shall continue to
make all payments due under the
contract after the date of the
repudiation of the contract;
and
``(II) may offset against
any such payments any damages
which accrue after such date
due to the nonperformance
(after such date) of any
obligation of the System
institution under the contract;
and
``(ii) the conservator or receiver
shall--
``(I) not be liable to the
purchaser for any damages
arising after that date as a
result of the repudiation,
other than the amount of any
offset allowed under clause
(i)(II);
``(II) deliver title to the
purchaser in accordance with
the contract; and
``(III) have no obligation
under the contract, other than
the performance required under
subclause (II).
``(C) Assignment and sale allowed.--
``(i) In general.--No provision of
this paragraph shall be construed as
limiting the right of the conservator
or receiver to assign the contract
described in subparagraph (A) and sell
the property subject to the contract
and this paragraph.
``(ii) No liability after
assignment and sale.--If an assignment
and sale described in clause (i) is
consummated, the Corporation, acting as
conservator or receiver, shall have no
further liability under the applicable
contract described in subparagraph (A)
or with respect to the real property
which was the subject of such contract.
``(7) Provisions applicable to service contracts.--
``(A) Services performed before
appointment.--In the case of any contract for
services between any person and any System
institution for which the Corporation has been
appointed conservator or receiver, any claim of
such person for services performed before the
appointment of the conservator or the receiver
shall be--
``(i) a claim to be paid in
accordance with subsections (b) and
(d); and
``(ii) deemed to have arisen as of
the date the conservator or receiver
was appointed.
``(B) Services performed after appointment
and prior to repudiation.--If, in the case of
any contract for services described in
subparagraph (A), the conservator or receiver
accepts performance by the other person before
the conservator or receiver makes any
determination to exercise the right of
repudiation of such contract under this
section--
``(i) the other party shall be paid
under the terms of the contract for the
services performed; and
``(ii) the amount of such payment
shall be treated as an administrative
expense of the conservatorship or
receivership.
``(C) Acceptance of performance no bar to
subsequent repudiation.--The acceptance by any
conservator or receiver of services referred to
in subparagraph (B) in connection with a
contract described in such subparagraph shall
not affect the right of the conservator or
receiver, to repudiate such contract under this
section at any time after such performance.
``(8) Certain qualified financial contracts.--
``(A) Definitions.--In this paragraph:
``(i) Commodity contract.--The term
`commodity contract' means--
``(I) with respect to a
futures commission merchant, a
contract for the purchase or
sale of a commodity for future
delivery on, or subject to the
rules of, a contract market or
board of trade;
``(II) with respect to a
foreign futures commission
merchant, a foreign future;
``(III) with respect to a
leverage transaction merchant,
a leverage transaction;
``(IV) with respect to a
clearing organization, a
contract for the purchase or
sale of a commodity for future
delivery on, or subject to the
rules of, a contract market or
board of trade that is cleared
by such clearing organization,
or commodity option traded on,
or subject to the rules of, a
contract market or board of
trade that is cleared by such
clearing organization;
``(V) with respect to a
commodity options dealer, a
commodity option;
``(VI) any other agreement
or transaction that is similar
to any agreement or transaction
referred to in this clause;
``(VII) any combination of
the agreements or transactions
referred to in this clause;
``(VIII) any option to
enter into any agreement or
transaction referred to in this
clause;
``(IX) a master agreement
that provides for an agreement
or transaction referred to in
any of subclauses (I) through
(VIII), together with all
supplements to any such master
agreement, without regard to
whether the master agreement
provides for an agreement or
transaction that is not a
commodity contract under this
clause, except that the master
agreement shall be considered
to be a commodity contract
under this clause only with
respect to each agreement or
transaction under the master
agreement that is referred to
in subclause (I), (II), (III),
(IV), (V), (VI), (VII), or
(VIII); or
``(X) any security
agreement or arrangement or
other credit enhancement
related to any agreement or
transaction referred to in this
clause, including any guarantee
or reimbursement obligation in
connection with any agreement
or transaction referred to in
this clause.
``(ii) Forward contract.--The term
`forward contract' means--
``(I) a contract (other
than a commodity contract) for
the purchase, sale, or transfer
of a commodity or any similar
good, article, service, right,
or interest which is presently
or in the future becomes the
subject of dealing in the
forward contract trade, or
product or byproduct thereof,
with a maturity date more than
2 days after the date the
contract is entered into,
including a repurchase or
reverse repurchase transaction
(whether or not such repurchase
or reverse repurchase
transaction is a repurchase
agreement), consignment, lease,
swap, hedge transaction,
deposit, loan, option,
allocated transaction,
unallocated transaction, or any
other similar agreement;
``(II) any combination of
agreements or transactions
referred to in subclauses (I)
and (III);
``(III) any option to enter
into any agreement or
transaction referred to in
subclause (I) or (II);
``(IV) a master agreement
that provides for an agreement
or transaction referred to in
subclauses (I) through (III),
together with all supplements
to any such master agreement,
without regard to whether the
master agreement provides for
an agreement or transaction
that is not a forward contract
under this clause, except that
the master agreement shall be
considered to be a forward
contract under this clause only
with respect to each agreement
or transaction under the master
agreement that is referred to
in subclause (I), (II), or
(III); or
``(V) any security
agreement or arrangement or
other credit enhancement
related to any agreement or
transaction referred to in
subclause (I), (II), (III), or
(IV), including any guarantee
or reimbursement obligation in
connection with any agreement
or transaction referred to in
any such subclause.
``(iii) Person.--The term
`person'--
``(I) has the meaning given
the term in section 1 of title
1, United States Code; and
``(II) includes any
governmental entity.
``(iv) Qualified financial
contract.--The term `qualified
financial contract' means any
securities contract, commodity
contract, forward contract, repurchase
agreement, swap agreement, and any
similar agreement that the Corporation
determines by regulation, resolution,
or order to be a qualified financial
contract for purposes of this
paragraph.
``(v) Repurchase agreement.--
``(I) In general.--The term
`repurchase agreement'
(including with respect to a
reverse repurchase agreement)--
``(aa) means--
``(AA) an
agreement,
including
related terms,
which provides
for the
transfer of one
or more
certificates of
deposit,
mortgage-
related
securities (as
such term is
defined in
section 3(a) of
the Securities
Exchange Act of
1934 (15 U.S.C.
78c(a))),
mortgage loans,
interests in
mortgage-
related
securities or
mortgage loans,
eligible
bankers'
acceptances,
qualified
foreign
government
securities or
securities that
are direct
obligations of,
or that are
fully
guaranteed by,
the United
States or any
agency of the
United States
against the
transfer of
funds by the
transferee of
such
certificates of
deposit,
eligible
bankers'
acceptances,
securities,
mortgage loans,
or interests
with a
simultaneous
agreement by
such transferee
to transfer to
the transferor
thereof
certificates of
deposit,
eligible
bankers'
acceptances,
securities,
mortgage loans,
or interests as
described
above, at a
date certain
not later than
1 year after
such transfers
or on demand,
against the
transfer of
funds, or any
other similar
agreement;
``(BB) any
combination of
agreements or
transactions
referred to in
subitems (AA)
and (CC);
``(CC) any
option to enter
into any
agreement or
transaction
referred to in
subitem (AA) or
(BB);
``(DD) a
master
agreement that
provides for an
agreement or
transaction
referred to in
subitem (AA),
(BB), or (CC),
together with
all supplements
to any such
master
agreement,
without regard
to whether the
master
agreement
provides for an
agreement or
transaction
that is not a
repurchase
agreement under
this item,
except that the
master
agreement shall
be considered
to be a
repurchase
agreement under
this item only
with respect to
each agreement
or transaction
under the
master
agreement that
is referred to
in subitem
(AA), (BB), or
(CC); and
``(EE) any
security
agreement or
arrangement or
other credit
enhancement
related to any
agreement or
transaction
referred to in
any of subitems
(AA) through
(DD), including
any guarantee
or
reimbursement
obligation in
connection with
any agreement
or transaction
referred to in
any such
subitem; and
``(bb) does not
include any repurchase
obligation under a
participation in a
commercial mortgage,
loan unless the
Corporation determines
by regulation,
resolution, or order to
include any such
participation within
the meaning of such
term.
``(II) Related
definition.--For purposes of
subclause (I)(aa), the term
`qualified foreign government
security' means a security that
is a direct obligation of, or
that is fully guaranteed by,
the central government of a
member of the Organization for
Economic Cooperation and
Development (as determined by
regulation or order adopted by
the appropriate Federal banking
authority).
``(vi) Securities contract.--The
term `securities contract'--
``(I) means--
``(aa) a contract
for the purchase, sale,
or loan of a security,
a certificate of
deposit, a mortgage
loan, any interest in a
mortgage loan, a group
or index of securities,
certificates of
deposit, or mortgage
loans or interests
therein (including any
interest therein or
based on the value
thereof) or any option
on any of the
foregoing, including
any option to purchase
or sell any such
security, certificate
of deposit, mortgage
loan, interest, group
or index, or option,
and including any
repurchase or reverse
repurchase transaction
on any such security,
certificate of deposit,
mortgage loan,
interest, group or
index, or option
(whether or not the
repurchase or reverse
repurchase transaction
is a repurchase
agreement);
``(bb) any option
entered into on a
national securities
exchange relating to
foreign currencies;
``(cc) the
guarantee (including by
novation) by or to any
securities clearing
agency of any
settlement of cash,
securities,
certificates of
deposit, mortgage loans
or interests therein,
group or index of
securities,
certificates of
deposit, or mortgage
loans or interests
therein (including any
interest therein or
based on the value
thereof) or option on
any of the foregoing,
including any option to
purchase or sell any
such security,
certificate of deposit,
mortgage loan,
interest, group or
index, or option
(whether or not the
settlement is in
connection with any
agreement or
transaction referred to
in any of items (aa),
(bb), and (dd) through
(kk));
``(dd) any margin
loan;
``(ee) any
extension of credit for
the clearance or
settlement of
securities
transactions;
``(ff) any loan
transaction coupled
with a securities
collar transaction, any
prepaid securities
forward transaction, or
any total return swap
transaction coupled
with a securities sale
transaction;
``(gg) any other
agreement or
transaction that is
similar to any
agreement or
transaction referred to
in this subclause;
``(hh) any
combination of the
agreements or
transactions referred
to in this subclause;
``(ii) any option
to enter into any
agreement or
transaction referred to
in this subclause;
``(jj) a master
agreement that provides
for an agreement or
transaction referred to
in any of items (aa)
through (ii), together
with all supplements to
any such master
agreement, without
regard to whether the
master agreement
provides for an
agreement or
transaction that is not
a securities contract
under this subclause,
except that the master
agreement shall be
considered to be a
securities contract
under this subclause
only with respect to
each agreement or
transaction under the
master agreement that
is referred to in item
(aa), (bb), (cc), (dd),
(ee), (ff), (gg), (hh),
or (ii); and
``(kk) any security
agreement or
arrangement or other
credit enhancement
related to any
agreement or
transaction referred to
in this subclause,
including any guarantee
or reimbursement
obligation in
connection with any
agreement or
transaction referred to
in this subclause; and
``(II) does not include any
purchase, sale, or repurchase
obligation under a
participation in a commercial
mortgage loan unless the
Corporation determines by
regulation, resolution, or
order to include any such
agreement within the meaning of
such term.
``(vii) Swap agreement.--The term
`swap agreement' means--
``(I) any agreement,
including the terms and
conditions incorporated by
reference in any such
agreement, that is--
``(aa) an interest
rate swap, option,
future, or forward
agreement, including a
rate floor, rate cap,
rate collar, cross-
currency rate swap, and
basis swap;
``(bb) a spot, same
day-tomorrow, tomorrow-
next, forward, or other
foreign exchange
precious metals or
other commodity
agreement;
``(cc) a currency
swap, option, future,
or forward agreement;
``(dd) an equity
index or equity swap,
option, future, or
forward agreement;
``(ee) a debt index
or debt swap, option,
future, or forward
agreement;
``(ff) a total
return, credit spread
or credit swap, option,
future, or forward
agreement;
``(gg) a commodity
index or commodity
swap, option, future,
or forward agreement;
``(hh) a weather
swap, option, future,
or forward agreement;
``(ii) an emissions
swap, option, future,
or forward agreement;
or
``(jj) an inflation
swap, option, future,
or forward agreement;
``(II) any agreement or
transaction that is similar to
any other agreement or
transaction referred to in this
clause and that is of a type
that has been, is presently, or
in the future becomes, the
subject of recurrent dealings
in the swap or other
derivatives markets (including
terms and conditions
incorporated by reference in
such agreement) and that is a
forward, swap, future, option
or spot transaction on one or
more rates, currencies,
commodities, equity securities
or other equity instruments,
debt securities or other debt
instruments, quantitative
measures associated with an
occurrence, extent of an
occurrence, or contingency
associated with a financial,
commercial, or economic
consequence, or economic or
financial indices or measures
of economic or financial risk
or value;
``(III) any combination of
agreements or transactions
referred to in this clause;
