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                                                      Calendar No. 177
115th Congress      }                                   {       Report
                                 SENATE
 1st Session        }                                   {      115-131

======================================================================



 
   AGRICULTURE, RURAL DEVELOPMENT, FOOD AND DRUG ADMINISTRATION, AND 
               RELATED AGENCIES APPROPRIATIONS BILL, 2018
                                _______
                                

                  July 20, 2017--Ordered to be printed

           Mr. Hoeven, from the Committee on Appropriations, 
                        submitted the following

                                 REPORT

                         [To accompany S. 1603]

    The Committee on Appropriations reports the bill (S. 1603) 
making appropriations for Agriculture, Rural Development, Food 
and Drug Administration, and Related Agencies programs for the 
fiscal year ending September 30, 2018, and for other purposes, 
reports favorably thereon and recommends that the bill do pass.



New obligational authority

Total of bill as reported to the Senate.................$145,922,507,000
Amount of 2017 appropriations........................... 153,907,888,000
Amount of 2018 budget estimate.......................... 141,054,866,000
Bill as recommended to Senate compared to--
    2017 appropriations.................................  -7,985,381,000
    2018 budget estimate................................  +4,867,641,000

















                                CONTENTS

                              ----------                              
                                                                   Page
Breakdown by Title...............................................     4
Overview and Summary of the Bill.................................     5
Reports to Congress..............................................     6
Title I:
    Agricultural Programs:
        Production, Processing, and Marketing:
            Office of the Secretary..............................     7
            Executive Operations.................................    10
            Office of Hearings and Appeals.......................    11
            Office of the Chief Information Officer..............    12
            Office of the Chief Financial Officer................    12
            Office of the Assistant Secretary for Civil Rights...    13
            Office of Civil Rights...............................    13
            Agriculture Buildings and Facilities.................    14
            Hazardous Materials Management.......................    14
            Office of Inspector General..........................    14
            Office of the General Counsel........................    15
            Office of Ethics.....................................    15
            Office of the Under Secretary for Research, 
              Education, and Economics...........................    16
            Economic Research Service............................    16
            National Agricultural Statistics Service.............    17
            Agricultural Research Service........................    25
            National Institute of Food and Agriculture...........    26
            Office of the Under Secretary for Marketing and 
              Regulatory Programs................................    34
            Animal and Plant Health Inspection Service...........    34
            Agricultural Marketing Service.......................    41
            Grain Inspection, Packers and Stockyards 
              Administration.....................................    44
            Office of the Under Secretary for Food Safety........    45
            Food Safety and Inspection Service...................    45
Title II:
    Farm Production and Conservation:
        Office of the Under Secretary for Farm Production and 
          Conser-
          vation.................................................    48
        Farm Service Agency......................................    49
        Risk Management Agency...................................    53
        Natural Resources Conservation Service...................    53
    Corporations:
        Federal Crop Insurance Corporation Fund..................    56
        Commodity Credit Corporation Fund........................    56
Title III:
    Rural Development Programs:
        Office of the Under Secretary for Rural Development......    59
        Rural Housing Service....................................    60
        Rural Community Facilities Program Account...............    65
        Rural Business--Cooperative Service......................    66
        Rural Utilities Service..................................    70
Title IV:
    Domestic Food Programs:
        Office of the Under Secretary for Food, Nutrition, and 
          Consumer Services......................................    74
        Food and Nutrition Service...............................    75
Title V:
    Foreign Assistance and Related Programs:
        Office of the Under Secretary for Trade and Foreign 
          Agricultural Affairs...................................    83
        Foreign Agricultural Service.............................    83
Title VI:
    Related Agency and Food and Drug Administration:
        Department of Health and Human Services: Food and Drug 
          Administration.........................................    87
        Independent Agency: Farm Credit Administration...........    99
Title VII: General Provisions....................................   101
Program, Project, and Activity...................................   104
Compliance With Paragraph 7, Rule XVI of the Standing Rules of 
  the 
  Senate.........................................................   104
Compliance With Paragraph 7(c), Rule XXVI of the Standing Rules 
  of the Senate..................................................   105
Compliance With Paragraph 12, Rule XXVI of the Standing Rules of 
  the 
  Senate.........................................................   106
Budgetary Impact of Bill.........................................   118
Comparative Statement of Budget Authority........................   119

                           BREAKDOWN BY TITLE

    The amounts of obligational authority for each of the seven 
titles are shown in the following table. A detailed tabulation, 
showing comparisons, appears at the end of this report. 
Recommendations for individual appropriation items, projects 
and activities are carried in this report under the appropriate 
item headings.


                        [In thousands of dollars]
------------------------------------------------------------------------
                                     Fiscal year 2017      Committee
                                         enacted         recommendation
------------------------------------------------------------------------
Title I: Agricultural programs....          6,730,384          6,707,123
Title II: Farm Production and              32,684,861         28,454,876
 Conservation programs............
Title III: Rural economic and               2,937,153          2,753,752
 community development programs...
Title IV: Domestic food programs..        108,111,345        104,730,801
Title V: Foreign assistance and             1,872,883          2,013,693
 related programs.................
Title VI: Related agencies and              2,771,166          2,772,166
 Food and Drug Administration.....
Title VII: General provisions.....         -1,199,904         -1,509,904
                                   -------------------------------------
      Total, new budget                   153,907,888        145,922,507
       (obligational) authority...
------------------------------------------------------------------------


                    OVERVIEW AND SUMMARY OF THE BILL

    The Agriculture, Rural Development, Food and Drug 
Administration, and Related Agencies appropriations bill 
provides funding for a wide array of Federal programs, mostly 
in the U.S. Department of Agriculture [USDA]. These programs 
include agricultural research, education, and extension 
activities; natural resources conservation programs; farm 
income and support programs; marketing and inspection 
activities; domestic food assistance programs; rural housing, 
economic and community development, and telecommunication and 
electrification assistance; and various export and 
international activities of the USDA.
    The bill also provides funding for the Food and Drug 
Administration [FDA] and allows the use of collected fees for 
administrative expenses of the Farm Credit Administration 
[FCA].
    The discretionary programs and activities of USDA and FDA 
that are supported by this bill include high priority 
responsibilities entrusted to the Federal Government and its 
partners to protect human health and safety, contribute to 
economic recovery, and achieve policy objectives strongly 
supported by the American people. The ability to provide for 
these measures is made difficult by growing pressure on 
available levels of discretionary spending as a consequence of 
the overall public debate on Federal spending, revenues, and 
size of the Federal debt.
    Too often, the USDA programs funded by this bill are 
confused with farm subsidies and other mandatory spending more 
properly associated with multi-year farm bills. In contrast, 
this bill provides annual funding for programs familiar to all 
Americans such as protecting food safety through the Food 
Safety and Inspection Service and the Food and Drug 
Administration, which also plays a vital role in maintaining 
the safety of the Nation's blood supply and availability of 
safe and effective medical products and other components of our 
health system. This bill also provides funding to fight against 
the introduction and spread of noxious or infectious and often 
invasive pests and disease that threaten our plant and animal 
health environments, as well as funding for many other missions 
of dire importance to the American people.
    In the context of overall pressures on spending and the 
competing priorities that the Committee faces, this bill as 
reported provides the proper amount of emphasis on 
agricultural, rural development, and other programs and 
activities funded by the bill. It is consistent with the 
subcommittee's allocation for fiscal year 2018.
    All accounts in the bill have been closely examined to 
ensure that an appropriate level of funding is provided to 
carry out the programs of USDA, FDA, and FCA. Details on each 
of the accounts, the funding level, and the Committee's 
justifications for the funding levels are included in the 
report.

                          REPORTS TO CONGRESS

    The Committee has, throughout this report, requested 
agencies to provide studies and reports on various issues. The 
Committee utilizes these reports to evaluate program 
performance and make decisions on future appropriations. The 
Committee directs that all studies and reports be provided to 
the Committee as electronic documents in an agreed upon format 
within 120 days after the date of enactment, unless an 
alternative submission schedule is specifically stated in the 
report request.

                                TITLE I

                         AGRICULTURAL PROGRAMS

                 Production, Processing, and Marketing

                        Office of the Secretary

Appropriations, 2017....................................     $44,555,000
Budget estimate, 2018...................................      42,064,000
Committee recommendation................................      48,355,000

    The Secretary of Agriculture, assisted by the Deputy 
Secretary, Under Secretaries and Assistant Secretaries, Chief 
Information Officer, Chief Financial Officer, and members of 
their immediate staffs, directs and coordinates the work of the 
Department. This includes developing policy, maintaining 
relationships with agricultural organizations and others in the 
development of farm programs, and maintaining liaison with the 
Executive Office of the President and Members of Congress on 
all matters pertaining to agricultural policy.
    The general authority of the Secretary to supervise and 
control the work of the Department is contained in the Organic 
Act (7 U.S.C. 2201-2202). The delegation of regulatory 
functions to Department employees and authorization of 
appropriations to carry out these functions is contained in 7 
U.S.C. 450c-450g.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $48,355,000 
for the Office of the Secretary. The Committee recommendation 
includes the following accounts under the Office of the 
Secretary: Office of the Secretary; Office of Tribal Relations; 
Office of Homeland Security and Emergency Coordination; Office 
of Advocacy and Outreach; Office of the Assistant Secretary for 
Administration; Departmental Administration; Office of 
Assistant Secretary for Congressional Relations; and Office of 
Communications. The following table reflects the amount 
provided by the Committee for each office and activity:

                                             OFFICE OF THE SECRETARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2017  Fiscal year 2018      Committee
                                                                 enacted       budget request    recommendation
----------------------------------------------------------------------------------------------------------------
Office of the Secretary...................................             5,051             4,859             5,051
Office of Tribal Relations................................               502               501               502
Assistant to the Secretary for Rural Development..........  ................  ................               800
Office of Homeland Security and Emergency Coordination....             1,496             1,448             1,496
Office of Advocacy and Outreach...........................             1,209             1,171             4,209
Office of Assistant Secretary for Administration..........               804               802               804
Departmental Administration...............................            24,124            22,501            24,124
Office of Assistant Secretary for Congressional Relations.             3,869             3,521             3,869
Office of Communications..................................             7,500             7,261             7,500
                                                           -----------------------------------------------------
      Total...............................................            44,555            42,064            48,355
----------------------------------------------------------------------------------------------------------------

    2050 Global Food Production.--The Committee understands 
that, in order to meet the world's forecasted population of 
over 9 billion in 2050, global food production must be 60 
percent higher than in 2014. While several Federal agencies and 
departments are involved in addressing food and nutrition 
security and challenges of today and the future, the Committee 
is concerned that the integrated approach required to achieve 
the necessary levels of domestic and global food production and 
food and nutrition security does not currently exist. 
Therefore, the Committee encourages the Secretary to take a 
leadership role in working with other relevant departments and 
agencies in establishing a Federal interagency task force to 
meet the food and nutrition challenges of 2050, and to align 
domestic and global programs related to food production and 
food and nutrition security to meet these challenges.
    Century Farms.--The Committee encourages the Secretary to 
create a program to recognize farms that have been in operation 
for 100 years and encourages the establishment of a National 
Century Farms Designation.
    Commodity Credit Corporation [CCC] Obligations and 
Commitments.--The Secretary is directed to notify the 
Committees on Appropriations of the House and Senate in writing 
15 days prior to the obligation or commitment of any emergency 
funds from the CCC.
    Drought Relief.--The Committee directs USDA to provide 
quarterly reports to the Senate and House Committees on 
Appropriations detailing USDA's efforts to provide drought 
relief to States where all or the majority of counties are 
declared to be in a drought disaster, as well as any unmet 
needs or backlogs for USDA drought relief programs. The 
Committee encourages USDA to consider providing drought relief 
by opening CP ineligible acres to emergency grazing and haying, 
at the discretion of the Secretary, after the conclusion of the 
primary nesting season for D2 and higher intensity drought 
areas. The Committee further encourages USDA to allocate 
additional staff and other appropriate resources to drought 
stricken areas to provide support to local staff to address the 
backlog and expedite relief for producers.
    Imported Beef.--The Committee is encouraged by the 
Secretary of Agriculture's recent decision to protect American 
consumers and ranchers by halting imports of all raw intact 
beef products from Brazil. The Committee, however, remains 
concerned about the long-term safety of imported meat products 
from Brazil following the recent bribery scandal and the 
reports on the unacceptable level of physical examination 
failures of raw intact beef. Therefore, the Committee directs 
the Secretary to report to the Committee within 60 days of 
enactment on the status of the Department's actions regarding 
meat imports from Brazil from the period March 18, 2017 to the 
present. Specifically, the Secretary shall identify 1) the 
results of any onsite trips taken by USDA personnel to Brazil 
since March 18, 2017 2) when the next comprehensive audit of 
the Brazilian meat inspection system will be conducted 3) the 
results of the intensified re-inspection regime at our ports-
of-entry on Brazilian meat products still accepted, including 
failure rates broken down by meat product 4) a detailed 
explanation of benchmarks that Brazil will be required to meet 
to resume exporting raw intact beef to the United States.
    Livestock Crossing.--The Committee is concerned with the 
ongoing problem of the crossing of livestock from Mexico into 
the U.S. without proper inspection, which creates risk of 
disease and loss of forage for U.S. ranchers in the Southwest 
border region. The Committee directs the agency, in 
consultation with other Federal and State agencies, to develop 
a plan of action to better prevent and reduce unauthorized 
international crossing of livestock on the Southwest border.
    Multi-Agency Transparency.--The Committee expresses support 
for increasing transparency within all agencies of the 
Department of Agriculture. The agencies are encouraged to 
disclose costs associated with analyses required by the 
National Environmental Policy Act.
    National Bio and Agro-Defense Facility [NBAF].--Upon its 
completion, NBAF will serve as the Nation's primary research 
facility to counter foreign animal diseases and will enable the 
phase out of the Plum Island Animal Disease Center [PIADC]. As 
such, it is critical to develop a robust plan that ensures a 
qualified workforce, assesses the transition of existing 
research and development [R&D;] efforts, and considers any new 
capabilities that may be necessary for future operations at 
NBAF. While the Department of Homeland Security [DHS] is 
responsible for the PIADC facilities, the R&D;, diagnostics, and 
educational activities continue to be managed by USDA. 
Similarly, while there is consensus that DHS should retain 
responsibility for completing construction of NBAF, the 
Committee understands, based on current mission requirements, 
virtually all of the R&D; activities will be under USDA 
auspices. Therefore, the Committee encourages DHS and USDA to 
work together on a plan for the future operation of NBAF, 
including consideration of the appropriate agency to manage the 
facility.
    Outreach to Socially Disadvantaged and Veteran Farmers and 
Ranchers.--The Committee supports the efforts of the Office of 
Advocacy and Outreach to increase the accessibility of USDA 
programs to underserved constituents, and notes that 
$10,000,000 in mandatory funds is available to assist socially 
disadvantaged and veteran farmers and ranchers in owning and 
operating farms and ranches to meet the growing need for 
financial, production, management, and other assistance to 
those communities and address workforce shortages. 
Additionally, the Committee recommendation includes an increase 
of $3,000,000 in discretionary funding for these activities.
    Resource Conservation and Development Councils.--Since 
1964, the Resource Conservation and Development [RC&D;] Councils 
have worked at the grassroots level with local leaders to plan, 
develop, and carry out programs for land and water conservation 
and management. The Committee encourages the Secretary to 
consider the maximum practical use of RC&D; Councils, where such 
RC&D; Councils meet agency performance requirements, in the 
delivery of USDA programs and services.
    State Rural Development Councils.--The Committee recognizes 
the successful work of State Rural Development Councils [SRDCs) 
and their role in advancing rural America and promoting 
strength and prosperity across the country, and urges the 
Secretary to provide resources to help improve and expand the 
impact of SRDCs.
    Wheat Grading.--The Committee is concerned about unfair 
wheat grading practices that negatively affects American wheat 
growers that export to Canada. Current Canadian wheat grading 
law automatically downgrades America wheat to the lowest 
quality designation regardless of the type or quality of the 
wheat. In the United States, however, our grading system 
provides a fair examination for wheat imported from Canada. 
This discrepancy needs to be addressed to ensure our wheat 
growers are being treated fairly. Therefore, the Committee 
urges the Secretary of Agriculture to work with the Department 
of Commerce and the United States Trade Representative to 
prioritize initiating conversations with the Canadian 
Government to address trade inequities resulting from Canada's 
current wheat grading practices.
    Zoonotic Disease Collaboration.--The Committee believes 
that complex problems affecting the health of humans, animals, 
and the environment are best solved through important 
communication, cooperation, and collaboration across 
disciplines, sectors, between agencies, and between other 
appropriate domestic and international actors. The Committee 
requests a report detailing existing collaborative efforts 
between FDA, USDA, and other agencies to prevent and respond to 
zoonotic disease outbreaks in animals and humans; a proposed 
framework to improve these efforts; and specific activities 
requested to achieve the proposed framework.

                          Executive Operations

    Executive operations were established as a result of the 
reorganization of the Department to provide a support team for 
USDA policy officials and selected department-wide services. 
Activities under the executive operations include the Office of 
the Chief Economist, the National Appeals Division, and the 
Office of Budget and Program Analysis.

                     OFFICE OF THE CHIEF ECONOMIST

Appropriations, 2017....................................     $18,917,000
Budget estimate, 2018...................................      17,211,000
Committee recommendation................................      16,917,000

    The Office of the Chief Economist advises the Secretary of 
Agriculture on the economic implications of Department policies 
and programs. The Office serves as the single focal point for 
the Nation's economic intelligence and analysis, risk 
assessment, and cost-benefit analysis related to domestic and 
international food and agriculture issues, provides policy 
direction for renewable energy development, conducts analyses 
of climate change impacts on agriculture and forestry, and is 
responsible for coordination and review of all commodity and 
aggregate agricultural and food-related data used to develop 
outlook and situation material within the Department.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $16,917,000 
for the Office of the Chief Economist.
    Policy Research.--The Committee recommendation includes 
$4,000,000 for policy research under 7 U.S.C. 3155 for entities 
with existing institutional capacity to conduct complex 
economic and policy analysis and a lengthy and well-documented 
record of conducting policy analysis for the benefit of the 
Department of Agriculture, the Congressional Budget Office, or 
the Congress. To maximize resources, the Committee expects the 
Department to focus efforts on entities that have developed 
models, databases, and staff necessary to conduct in-depth 
analysis of impacts of agriculture or rural development policy 
proposals on rural communities, farmers, agribusiness, 
taxpayers, and consumers.

                     Office of Hearings and Appeals

Appropriations, 2017....................................     $13,399,000
Budget estimate, 2018...................................      14,716,000
Committee recommendation................................      13,399,000

    The Office of Hearings and Appeals conducts administrative 
hearings and reviews of adverse program decisions made by the 
Rural Development mission area, the Farm Service Agency, the 
Risk Management Agency, and the Natural Resources Conservation 
Service.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $13,399,000 
for the Office of Hearings and Appeals.

                 OFFICE OF BUDGET AND PROGRAM ANALYSIS

Appropriations, 2017....................................      $9,525,000
Budget estimate, 2018...................................       9,093,000
Committee recommendation................................       9,525,000

    The Office of Budget and Program Analysis provides 
direction and administration of the Department's budgetary 
functions including development, presentation, and execution of 
the budget; reviews program and legislative proposals for 
program, budget, and related implications; analyzes program and 
resource issues and alternatives, and prepares summaries of 
pertinent data to aid the Secretary and departmental policy 
officials and agency program managers in the decisionmaking 
process; and provides departmentwide coordination for and 
participation in the presentation of budget-related matters to 
the committees of the Congress, the media, and interested 
public. The Office also provides department-wide coordination 
of the preparation and processing of regulations and 
legislative programs and reports.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $9,525,000 for 
the Office of Budget and Program Analysis.

                Office of the Chief Information Officer

Appropriations, 2017....................................     $49,538,000
Budget estimate, 2018...................................      58,950,000
Committee recommendation................................      58,950,000

    The Office of the Chief Information Officer was established 
in August 1996 (40 U.S.C. 1401 et seq.), pursuant to the 
Clinger-Cohen Act of 1996, which required the establishment of 
a Chief Information Officer for major Federal agencies. This 
Office provides policy guidance, leadership, coordination, and 
direction to the Department's information management and 
information technology investment activities in support of USDA 
program delivery, and is the lead office in USDA e-gov efforts. 
The Office provides long-range planning guidance, implements 
measures to ensure that technology investments are economical 
and effective, coordinates interagency information resources 
management projects, and implements standards to promote 
information exchange and technical interoperability. In 
addition, the Office of the Chief Information Officer is 
responsible for certain activities financed under the 
Department's Working Capital Fund (7 U.S.C. 2235). The Office 
also provides telecommunication and automated data processing 
[ADP] services to USDA agencies through the National 
Information Technology Center with locations in Fort Collins, 
Colorado, Kansas City, Missouri and Washington, DC. Direct ADP 
operational services are also provided to the Office of the 
Secretary, the Office of the General Counsel, the Office of 
Communications, the Office of the Chief Financial Officer, and 
Departmental Management.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $58,950,000 
for the Office of the Chief Information Officer.
    Software Licenses.--The Committee encourages the 
Department's Chief Information Officer to perform periodic 
automated inventories of software licenses in use across the 
Department. The Department should compare those usage numbers 
to its purchased licenses and seek to increase efficiency 
wherever it identifies discrepancies. The Department is to 
consider using this information to obtain department-wide 
acquisitions as opposed to component-specific purchases of 
licenses.

                 Office of the Chief Financial Officer

Appropriations, 2017....................................      $8,028,000
Budget estimate, 2018...................................       5,836,000
Committee recommendation................................       8,028,000

    The Office of the Chief Financial Officer is responsible 
for the dual roles of Chief Financial Management Policy Officer 
and Chief Financial Management Advisor to the Secretary and 
mission area heads. The Office provides leadership for all 
financial management, accounting, travel, Federal assistance, 
and strategic planning performance measurement activities 
within the Department. The Office is also responsible for the 
management and operation of the National Finance Center and the 
Departmental Working Capital Fund.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $8,028,000 for 
the Office of the Chief Financial Officer.
    National Finance Center.--The Committee supports the 
replacement and acquisition of capital equipment, including 
equipment for the resumption, improvement and implementation of 
financial management systems, information technology, and other 
systems of the National Finance Center as a result of the 
recent tornado and related weather damage to Center operations 
and equipment.

           Office of the Assistant Secretary for Civil Rights

Appropriations, 2017....................................        $901,000
Budget estimate, 2018...................................         896,000
Committee recommendation................................         901,000

    The Office of the Assistant Secretary for Civil Rights 
provides oversight of civil rights and related functions. This 
includes coordination of the administration of civil rights 
laws and regulations for employees of the Department of 
Agriculture and participants in programs of the Department, and 
ensuring compliance with civil rights laws.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $901,000 for 
the Office of the Assistant Secretary for Civil Rights.

                         Office of Civil Rights

Appropriations, 2017....................................     $24,206,000
Budget estimate, 2018...................................      23,304,000
Committee recommendation................................      24,206,000

    The Office of Civil Rights provides overall leadership 
responsibility for all department-wide civil rights activities. 
These activities include employment opportunity as well as 
program nondiscrimination policy development, analysis, 
coordination, and compliance. The Office is responsible for 
providing leadership in facilitating the fair and equitable 
treatment of USDA employees, and for monitoring program 
activities to ensure that all USDA programs are delivered in a 
nondiscriminatory manner. The Office's outreach functions 
provide leadership, coordination, facilitation, and expertise 
to internal and external partners to ensure equal and timely 
access to USDA programs for all constituents, with emphasis on 
the underserved, through information sharing, technical 
assistance, and training.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $24,206,000 
for the Office of Civil Rights.

                  Agriculture Buildings and Facilities

Appropriations, 2017....................................     $84,189,000
Budget estimate, 2018...................................      62,145,000
Committee recommendation................................      67,293,000

    Department headquarters presently operates in a two-
building, Government-owned complex in downtown Washington, DC, 
the George Washington Carver Center in Beltsville, Maryland, 
and in leased buildings in the metropolitan Washington, DC, 
area. Under an arrangement with the General Services 
Administration, USDA operates, maintains, and repairs these 
facilities, in lieu of rental payments. For the last several 
years the Department has implemented a strategic space plan to 
locate staff more efficiently, renovate its buildings, and 
eliminate safety hazards, particularly in the Agriculture South 
Building.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $67,293,000 
for Agriculture Buildings and Facilities.

                     Hazardous Materials Management

Appropriations, 2017....................................      $3,633,000
Budget estimate, 2018...................................       3,503,000
Committee recommendation................................       3,633,000

    Under the Comprehensive Environmental Response, 
Compensation, and Liability Act and the Resource Conservation 
and Recovery Act, the Department has the responsibility to meet 
the same standards regarding the storage and disposition of 
hazardous materials as private businesses. The Department is 
required to contain, cleanup, monitor, and inspect for 
hazardous materials in areas under the Department's 
jurisdiction.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $3,633,000 for 
Hazardous Materials Management.

                      Office of Inspector General

Appropriations, 2017....................................     $98,208,000
Budget estimate, 2018...................................      92,689,000
Committee recommendation................................      98,208,000

    The Office of Inspector General [OIG] was established 
October 12, 1978, by the Inspector General Act of 1978 (Public 
Law 95-452). This act expanded and provided specific 
authorities for the activities of OIG which had previously been 
carried out under the general authorities of the Secretary of 
Agriculture.
    The Office is administered by an inspector general who 
reports directly to the Secretary of Agriculture. Functions and 
responsibilities of this Office include direction and control 
of audit and investigative activities within the Department, 
formulation of audit and investigative policies and procedures 
regarding Department programs and operations, and analysis and 
coordination of program-related audit and investigation 
activities performed by other Department agencies.
    The activities of this Office are designed to assure 
compliance with existing laws, policies, regulations, and 
programs of the Department's agencies, and to provide 
appropriate officials with the means for prompt corrective 
action where deviations have occurred. The scope of audit and 
investigative activities is large and includes administrative, 
program, and criminal matters. These activities are 
coordinated, when appropriate, with various audit and 
investigative agencies of the executive and legislative 
branches of the Government.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $98,208,000 
for the Office of Inspector General. The recommendation also 
includes funding for OIG to address violations of section 26 of 
the Animal Welfare Act (7 U.S.C. 2156) and to coordinate with 
State and local law enforcement personnel in this effort.

                     Office of the General Counsel

Appropriations, 2017....................................     $44,697,000
Budget estimate, 2018...................................      42,970,000
Committee recommendation................................      44,697,000

    The Office of the General Counsel provides all legal 
advice, counsel, and services to the Secretary and to all 
agencies, offices, and corporations of the Department. The 
Office represents the Department in administrative proceedings; 
nonlitigation debt collection proceedings; State water rights 
adjudications; proceedings before the Environmental Protection 
Agency, Interstate Commerce Commission, Federal Maritime 
Administration, and International Trade Commission; and, in 
conjunction with the Department of Justice, in judicial 
proceedings and litigation.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $44,697,000 
for the Office of the General Counsel.

                            Office of Ethics

Appropriations, 2017....................................      $4,136,000
Budget estimate, 2018...................................       3,538,000
Committee recommendation................................       4,136,000

    The Office of Ethics is the centralized and consolidated 
office implementing USDA's ethics program throughout the 
Department. The Office provides ethics services to all 
employees at the Department concerning advice, training, and 
guidance about compliance with conflict of interest and 
impartiality rules. This includes complying with the 
requirements of the Stop Trading on Congressional Knowledge 
Act, Public Law 112-105 (the STOCK Act), and the Office of 
Government Ethics regulatory requirements (5 CFR parts 2634 
through 2641).

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $4,136,000 for 
the Office of Ethics.

  Office of the Under Secretary for Research, Education, and Economics

Appropriations, 2017....................................        $893,000
Budget estimate, 2018...................................         891,000
Committee recommendation................................         893,000

    The Office of the Under Secretary for Research, Education, 
and Economics provides direction and coordination in carrying 
out the laws enacted by the Congress for food and agricultural 
research, education, extension, and economic and statistical 
information. The Office has oversight and management 
responsibilities for the Agricultural Research Service; 
National Institute of Food and Agriculture; Economic Research 
Service; and National Agricultural Statistics Service.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $893,000 for 
the Office of the Under Secretary for Research, Education, and 
Economics.
    Industrial Hemp.--The Committee is aware of statements made 
by the Department acknowledging the eligibility of researchers 
participating in industrial hemp pilot programs as defined by 
Section 7606 of the Agricultural Act of 2014 to compete for 
Federal funds awarded by the Department. The Committee directs 
the Department to work with and inform stakeholders of this 
eligibility and to support industrial hemp research as 
authorized by Section 7606 of the Agricultural Act of 2014.

                       Economic Research Service

Appropriations, 2017....................................     $86,757,000
Budget estimate, 2018...................................      76,690,000
Committee recommendation................................      86,757,000

    The Economic Research Service [ERS] provides economic and 
other social science research and analysis for public and 
private decisions on agriculture, food, the environment, and 
rural America. The information that ERS produces is for use by 
the general public and to help the executive and legislative 
branches develop, administer, and evaluate agricultural and 
rural policies and programs.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $86,757,000 
for the Economic Research Service.
    Breastfeeding Study.--The Committee recognizes the 
important role of the Special Supplemental Nutrition Program 
for Women, Infants, and Children [WIC] in encouraging 
breastfeeding. Breastfeeding can be an important preventive 
measure in infant and maternal health, and WIC offers multiple 
services and supports to mothers to help achieve optimal 
breastfeeding. As Congress looks for ways to reduce Federal 
healthcare spending, it is important to understand the 
preventive impact of breastfeeding and WIC's initiatives within 
broader healthcare spending. The Committee requests within 12 
months an updated study from the ERS on the economic benefits 
of breastfeeding, including its potential cost-savings for 
Medicaid and the WIC program.
    Feed Costs.--The Committee maintains funding provided in 
fiscal year 2017 for ERS to expand its current feed cost 
components surveys nationally.
    Low Density Polyethylene.--The use of Low Density 
Polyethylene [LDPE] as an agricultural aid on farms is common 
practice but as a single use material represents a negative 
impact on the environment. The Committee encourages ERS to 
conduct research into the viability of creating collection 
networks and potential markets for agricultural LDPE.
    Organic Data Analysis.--The organic industry has grown at a 
tremendous rate over the past several years, and accurate data 
for the production, pricing and marketing of organic products 
is essential. Therefore, the Committee encourages ERS to 
continue and expand the efforts relating to organic data 
analysis.

                National Agricultural Statistics Service

Appropriations, 2017....................................    $171,239,000
Budget estimate, 2018...................................     185,677,000
Committee recommendation................................     191,717,000

    The National Agricultural Statistics Service [NASS] 
administers the Department's program of collecting and 
publishing current national, State, and county agricultural 
statistics. These statistics provide accurate and timely 
projections of current agricultural production and measures of 
the economic and environmental welfare of the agricultural 
sector which are essential for making effective policy, 
production, and marketing decisions. NASS also furnishes 
statistical services to other USDA and Federal agencies in 
support of their missions, and provides consulting, technical 
assistance, and training to developing countries.
    NASS is also responsible for administration of the Census 
of Agriculture, which is taken every 5 years and provides 
comprehensive data on the agricultural economy including: data 
on the number of farms, land use, production expenses, farm 
product values, value of land and buildings, farm size and 
characteristics of farm operators, market value of agricultural 
production sold, acreage of major crops, inventory of livestock 
and poultry, and farm irrigation practices.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $191,717,000 
for the National Agricultural Statistics Service.
    Alfalfa Prices.--The Committee is concerned that the 
National Agricultural Statistics Service monthly Agricultural 
Prices Report only lists the average price received by 
agricultural producers for alfalfa sold, with no further 
breakdown of alfalfa hay that meets the higher quality 
standards required for dairy feed (graded as premium or better, 
or the equivalent). The Committee directs the National 
Agricultural Statistics Service to calculate and report in the 
monthly Agricultural Prices Report on the average price of 
premium or better alfalfa sold in the United States.
    Barley Estimates.--Barley acreage and production estimates 
provide critical data to maltster, brewer, distiller, food, and 
feed end-users in domestic and export markets to make 
procurement decisions and investment plans; and by policy 
makers in developing and implementing agricultural programs. 
The Committee directs NASS to reinstate acreage and production 
estimates for barley in States that were discontinued in 2016.
    Chemical Use Data Series.--The Committee believes that the 
Chemical Use Data Series provides timely, valuable information 
on fertilizer and chemical use data on major field crops and 
selected specialty crops. The Committee encourages the National 
Agricultural Statistics Service to continue funding the 
collection and analysis of chemical use data as well as 
practices such as integrated pest management. The Committee 
supports the National Agricultural Statistics Service's effort 
to resume collecting Fruit Chemical Use data and Vegetable 
Chemical Use data in alternating years and also directs the 
continuation of this practice to ensure equal access to Federal 
statistics.
    Organic Data Collection.--The Committee believes the 
Organic Production Survey is essential to the growth of the 
organic industry, and should be conducted on a regular basis to 
properly assess the characteristics, trends, and changes in the 
sector. The Committee expects NASS to incorporate funding for 
an annual organic production survey into its internal budgeting 
process, and report to the Committee on the cost estimate for 
such survey.

                     Agricultural Research Service


                         SALARIES AND EXPENSES

Appropriations, 2017....................................  $1,170,235,000
Budget estimate, 2018...................................     993,144,000
Committee recommendation................................   1,182,435,000

    The Agricultural Research Service [ARS] is responsible for 
conducting basic, applied, and developmental research through 
its major program areas of New Products/Product Quality/Value 
Added; Livestock/Crop Production; Food Safety; Livestock/Crop 
Protection; Human Nutrition; and Environmental Stewardship. The 
research applies to a wide range of goals; commodities; natural 
resources; fields of science; and geographic, climatic, and 
environmental conditions.
    ARS is also responsible for the Abraham Lincoln National 
Agricultural Library which provides agricultural information 
and library services through traditional library functions and 
modern electronic dissemination to agencies of the USDA, public 
and private organizations, and individuals.
    As the USDA's in-house agricultural research unit, ARS has 
major responsibilities for conducting and leading the national 
agricultural research effort. It provides initiative and 
leadership in five areas: research on broad regional and 
national problems, research to support Federal action and 
regulatory agencies, expertise to meet national emergencies, 
research support for international programs, and scientific 
resources to the executive branch and Congress.
    The mission of ARS research is to develop and transfer 
solutions to agricultural problems of high national priority 
and provide information access and dissemination to ensure 
high-quality, safe food and other agricultural products; assess 
the nutritional needs of Americans; sustain a competitive 
agricultural economy; enhance the natural resource base and the 
environment; and provide economic opportunities for rural 
citizens, communities, and society as a whole.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $1,182,435,000 
for salaries and expenses of the Agricultural Research Service. 
The Committee does not concur with the President's budget 
request regarding the termination of research programs and 
laboratory closures. The Committee expects extramural research 
to be funded at no less than the fiscal year 2017 levels.
    Aerial Application Research.--The Committee recognizes the 
importance of the ARS Aerial Application Technology Program. 
The program conducts innovative research making aerial 
applications more efficient, effective and precise. Research 
for aerial application serves the public good as a vital tool 
for the future, as agriculture strives to meet the food, fiber, 
and bio-energy demands of a growing population.
    Agricultural Genomics.--The Committee provides no less than 
the fiscal year 2017 level for agricultural genomic research to 
expand the knowledge of public and private sector entities and 
persons concerning genomes for species of importance to the 
food and agriculture sectors in order to maximize the return on 
the investment in genomics of agriculturally important species.
    Agroforestry.--Agroforestry can provide on-farm financial 
and environmental benefits while also addressing the regional 
and national-scale issues of clean water, wildlife habitat, and 
hypoxia. Agroforesters manage trees with crops, livestock, and 
pasture to combine the best of both agriculture and forestry. 
Recognizing the importance of agroforestry to farm practices 
and the environment, the Committee recommendation includes no 
less than the fiscal year 2017 level to develop integrated 
strategies to manage multifunctional agricultural landscapes 
that combine trees with agricultural and horticultural crops, 
forages and grazing livestock for optimal economic, 
environmental, and natural resources benefits.
    Alfalfa Research.--The Committee notes that research into 
alfalfa seed and alfalfa forage systems holds the potential to 
increase yields, increase milk production, and improve 
genetics, and the Committee recommendation includes an increase 
of $1,000,000 to support research focused on alfalfa 
improvement. Research should focus on using tools to accelerate 
and enhance existing breeding programs focused on improving 
yield and quality parameters; developing innovative harvesting 
and utilization systems; developing new markets for co-
products; and quantifying environmental benefits from alfalfa-
based systems.
    Antimicrobial Research and Development.--The Committee 
strongly supports enhanced research efforts to advance the 
development of alternatives to antibiotics used in animal 
production. The Committee encourages ARS to examine the role of 
nutritional alternatives/feed additives containing bioactives 
and prebiotics that may lead to reduced antibiotic use and 
boost immune responses in livestock. The Committee requests 
that ARS provide an update on this effort in its fiscal year 
2019 budget request.
    Aquaculture Seedstock.--The Committee is concerned that 
vital seedstock to support the development of aquaculture in 
Federal waters of the Gulf of Mexico will be sourced from 
foreign aquaculture producers. Domestic on-land recirculating 
aquaculture systems and offshore aquaculture are highly capable 
of producing seedstock to support new industries including 
broodstock acquisition and care, spawning, and larval culture 
techniques. Therefore, the Committee encourages the agency to 
support and protect the U.S. aquaculture industry by working 
collaboratively with U.S. aquaculture producers and research 
institutions that specialize in the development of aquaculture 
technologies.
    Atlantic Salmon Breeding Program.--The Committee directs 
ARS to continue its Atlantic salmon breeding and domestication 
work. The Committee notes that domestic salmon farms are 
required to only use strains of salmon that are of North 
American origin and that these strains need substantial 
breeding improvement in order to be competitive with strains 
currently used by foreign producers. The Committee notes that 
the current ARS Atlantic salmon breeding program lacks a 
geneticist and supports efforts by the Department to address 
this need.
    Citrus Greening Disease Research.--The Committee commends 
ARS on its research efforts on citrus greening disease and 
encourages the agency to continue working to develop methods to 
reduce transmission, enhance immunity in citrus trees, and work 
with industry, universities, growers, and other partners to 
develop effective control mechanisms. The Committee also 
encourages ARS to coordinate its efforts with the 
HuanglongbiAng Multi-Agency Coordination [HLB-MAC] group.
    Coffee Germplasm.--The Committee directs ARS to issue a 
report and recommendations on the feasibility of including 
coffee in the National Clonal Germplasm Repository within 90 
days of enactment of this Act.
    Cotton Ginning.--The Committee recognizes the importance of 
pollution abatement, improving fiber quality, ginning 
efficiency, cotton seed and other byproducts, and provides an 
additional $500,000 to expand research in cotton ginning and 
innovation by existing laboratories.
    Cover Crops Research and Outreach.--The Committee 
recognizes the importance of developing profitable and 
practicable cover crop options for use in dairy, grain, and 
vegetable production systems, including for use in no-till 
organic systems and as forages. Therefore, the Committee 
recommendation includes no less than the fiscal year 2017 level 
for ARS to support research with the purposes of improving 
measures of soil health and resiliency, varietal development, 
optimizing dairy forage species combinations, timing and 
strategies for cover crop seeding and termination, forage 
integration into organic dairy systems, and mitigation of 
environmental and extreme rainfall impacts on water quality and 
soil security for diverse cover crop systems.
    Cranberry Research.--The Committee recognizes the need for 
advancements in water conservation, pest control, disease 
reduction, and fruit quality improvements in cranberry 
production. The Committee recommendation includes no less than 
the fiscal year 2017 level for the improvement of cranberry 
yields, pest management, disease management, and water resource 
management by developing fields devoted to cranberry research 
and collection and storage of samples for analysis in 
appropriate existing laboratory facilities. The Committee 
acknowledges that the sale or encumbrance of real property by a 
non-Federal entity may be necessary to advance the 
aforementioned purposes and may be considered an originally 
authorized purpose under the current governing regulations at 
the awarding agency's discretion.
    Emerging Cereal Rust Diseases.--The Committee is aware that 
emerging cereal rust diseases are a threat to domestic and 
world food supplies. Therefore, the Department should continue 
to dedicate funding to speed efforts to combat cereal rust 
disease, including development of Ug99-resistant wheat 
varieties.
    Floriculture and Nursery Research.--The Committee 
recognizes the economic importance of the floriculture and 
nursery sector of agriculture and the industry's need for 
continued innovation. The Committee encourages ARS to support 
academic and Federal researchers to pursue efforts in crop 
protection, breeding, mechanization and other areas through 
USDA's Floriculture and Nursery Research Initiative to secure a 
more efficient and productive floriculture and nursery 
industry.
    Food Systems.--The Committee directs ARS to work with a 
land-grant institution to establish a Food Systems Center that 
will address how local, regional and global food systems can 
provide nutritious and culturally appropriate food, regardless 
of individual life circumstances.
    Forage Production Systems.--The Committee recommendation 
includes no less than the fiscal year 2017 level to develop 
management practices that improve the production efficiency of 
grazing operations in temperate pastures.
    Forest Products.--The Committee recognizes the important 
role of the forests products sector to the U.S. economy. The 
need to create new and improved value-added products and 
renewable energy from our Nation's wood supply is critical to 
the sustainability of the national economy. The Committee 
recommendation includes no less than the fiscal year 2017 level 
to support research on wood quality improvement and improvement 
in forest products evaluation standards and valuation 
techniques. ARS shall conduct this research in consultation 
with the Forest Products Laboratory.
    Fruit Fly and Exotic Pest Control.--Within 90 days of 
enactment of this Act, the Committee directs ARS to study and 
make recommendations on the feasibility of additional support 
to prevent the spread of fruit flies and other exotic pests to 
the U.S. mainland from the tropical Pacific.
    Genetic Oat Research.--The Committee recognizes the 
potential genetic oat research has to improve disease 
resistance (especially rusts and viruses), genetics, increase 
yields, and develop crop rotation systems that include oat, 
which will enhance the value of oats and provide benefits to 
producers and consumers. The Committee encourages ARS to expand 
existing research focused on oat improvement.
    Genomes to Fields.--The Committee recommendation includes 
no less than the fiscal year 2017 level to expand the Germplasm 
Enhancement of Maize [GEM] project to complement the existing 
USDA maize germplasm programs and support the emerging large-
scale public sector effort to investigate the interaction of 
maize genome variation and environments, known as the Genomes 
to Fields project.
    High Performance Computing Support.--The Committee provides 
$1,000,000 to expand high performance computing capability to 
address scientific needs and directs ARS to collaborate with 
appropriate partners with the technical capacity and scientific 
synergy to provide cost-effective high performance computing 
support.
    Human Nutrition Research.--The Committee remains concerned 
about the high rates of obesity in this country, and believes 
that research into human nutrition is important to help prevent 
childhood obesity and the medical issues obesity brings. The 
Committee recommendation includes no less than the fiscal year 
2017 level to expand research regarding the growth, health 
promotion, diet, immune function, and disease prevention of the 
developing child.
    National Agricultural Library.--The Committee strongly 
encourages the Agricultural Research Service to maintain its 
focus on agriculture-related legal issues within the National 
Agricultural Library. The Committee notes that as the 
agriculture sector faces increasing financial stress, there is 
a necessity that agriculture-related legal issues be addressed 
on an increasingly frequent basis. Further, agricultural-
related legal issues are increasingly complex and the impact of 
these legal issues continues to broaden in scope. Therefore, 
the Committee recommendation includes an increase of $2,000,000 
above the fiscal year 2017 enacted level for the National 
Agricultural Library to expand the Agricultural Law Information 
Partnership.
    National Apple Rootstock Breeding Program.--The Committee 
recognizes the importance of the National Apple Rootstock 
Breeding Program, which provides virus-free rootstock to apple 
growers throughout the Nation. Therefore, the Committee 
recommendation includes no less than the fiscal year 2017 level 
to support the ARS National Apple Rootstock Breeding Program.
    National Bio and Agro-Defense Facility Workforce 
Development.--The Committee notes that significant resources 
have been invested in the new National Bio and Agro-Defense 
Facility [NBAF] and is concerned about the potential shortage 
of qualified scientists, including DVM-PhDs, when the facility 
opens in 2022. The Committee recommendation includes no less 
than the fiscal year 2017 level for ARS to develop the 
necessary mechanisms to ensure a viable and qualified 
scientific workforce is available, and to implement a program 
to recruit and train scientists, and other technical positions, 
focused on pathology, virology, immunology, entomology, 
epidemiology, microbiology, and computational biology for 
productive USDA careers at NBAF.
    Nutrient Density Profile.--The ARS is directed to update 
the nutrient profile and nutrient density characterization of 
pure maple syrup.
    Nutrition Research and Aging.--Food and nutrition play a 
central role in U.S. health, environment, and economic 
development. In fact, diet-related disease has become America's 
largest single cause of premature death and disability. More 
research is needed to address the needs of all Americans, with 
a particular focus on the elderly, the fastest growing segment 
of the population. Therefore, the Agricultural Research Service 
is encouraged to prioritize human nutrition research to explore 
the relationship between nutrition, physical activity, and 
healthy and active aging.
    Office of Pest Management Policy.--The Committee recognizes 
the critical role that the Office of Pest Management Policy 
[OPMP] plays in fulfilling USDA's statutory role in the 
interagency consultative process under the Federal Insecticide, 
Fungicide, and Rodenticide Act. The importance of OPMP's 
mission has increased commensurately with the increased actions 
undertaken by EPA, and the Committee provides no less than the 
fiscal year 2017 level for OPMP to fulfill its obligations on 
behalf of USDA.
    Pear Genetics and Genomics.--The Committee recognizes that 
research into pear genetics and genomics is needed to identify 
genetic sources of pest resistance and to contribute to 
improved, size-controlling rootstocks to enhance orchard 
efficiency, and to otherwise improve cultivated pear research. 
The Committee recommendation includes an increase of $500,000 
to support research into pear genetics and genomics.
    Poultry Research.--The Committee recognizes the important 
role of the poultry sector to the U.S. economy. The Committee 
provides no less than the fiscal year 2017 funding level to 
expand the research capacity for poultry production and health.
    Rangeland Research.--The Committee recognizes the 
demonstrated potential for cooperative partnerships to address 
complex sagebrush steppe ecosystem challenges in the Great 
Basin region. The Committee recommendation includes $1,000,000 
for ARS to support a regional, multi-institutional cooperative 
partnership to advance collaborative science-based conservation 
research, extension, and education to address time-sensitive 
and shared rangeland challenges affecting sustainable 
agricultural productivity, rural communities, and wildlife 
habitats.
    Research Assistance.--The Committee encourages the 
Agricultural Research Service to provide direct, place-based 
assistance to 1862 Institutions in States that do not have 
Agricultural Research Service facilities to address the 
research priorities of such States, such as invasive plant 
species and insects that cause significant impacts to 
agriculture, aquaculture, and communities in such States and to 
assist in the development of specialty and horticultural crops 
to increase food security and expand marketing opportunities 
for small farmers.
    Research Facilities.--The Committee directs ARS to work 
cooperatively with land-grant universities to better utilize 
available state-of-the-art laboratory space to effectively 
address important agricultural research issues, including 
obstacles to increasing food production. These challenges 
include diseases which affect the blueberry, potato, apple, and 
marine finfish aquaculture production. The Committee again 
directs ARS to study ways in which the Federal labs could be 
better utilized, in cooperation with land-grant universities, 
to explore new scientific opportunities that benefit the 
Nation's food and agriculture system, and to submit a report 
with recommendations to the Committee by January 30, 2018. The 
report should include information on the current utilization of 
ARS facilities by universities and other cooperators, as well 
as the extent in which ARS is housed in cooperator facilities.
    Roseau Cane.--The Committee is concerned with the invasive 
species scale insect pest that is destroying Roseau cane in the 
Mississippi River's Delta region along the Gulf of Mexico. An 
estimated 225,000 acres of wetlands in the Delta have been 
affected with the die-off, and Roseau cane is important in 
maintaining a healthy marsh and preventing erosion. The 
Committee directs ARS to work with the Animal and Plant Health 
Inspection Service [APHIS] and stakeholders to develop an 
integrated management program for control of the Roseau cane 
scale insect pest infestation.
    Sage Steppe Restoration Science.--The Committee includes no 
less than the fiscal year 2017 level for ARS to advance 
sagebrush habitat restoration science in the Northern Great 
Basin including cooperative research, testing and deploying 
precision restoration methods to restore habitat impacted by 
significant disturbance such as wildfire and invasive species.
    Sclerotinia.--The Committee is aware of the economic 
importance of controlling sclerotinia, which affects 
sunflowers, soybeans, canola, edible beans, peas, and lentils 
and encourages ARS to continue both core research and 
cooperative projects of the National Sclerotinia Initiative.
    Shellfish Research.--The Committee encourages the 
Agricultural Research Service to increase its investment in 
partnerships with research institutions on research to improve 
shellfish survival and growth rates and to classify and 
preserve natural genetic variation.
    Soft White Wheat Falling Numbers Test.--The Committee 
recognizes the emerging crisis surrounding wheat starch 
degradation, as detected by the Hagberg-Perten Falling Numbers 
[FN] Test. The Committee recommendation includes an increase of 
$1,000,000 to research the accuracy of the FN test, and better 
understand environmental, storage, and genetic conditions 
leading to this quality loss.
    Small Grains Genomic Initiative.--The Committee supports 
research on barley and wheat high throughput genomics and 
phenotyping and recognizes its importance in improving crop 
traits and developing new cultivars. The Committee 
recommendation includes no less than the fiscal year 2017 level 
to support the Small Grains Genomic Initiative.
    Sorghum Genetic Database.--The Committee recognizes the 
importance of phenotyping and genotyping that allows breeders 
to understand which genes are responsible for improvements in 
pest resistance, drought tolerance, and yield. The Committee 
recommends an increase of no less than the fiscal year 2017 
level to further facilitate the partnership between ARS and the 
Department of Energy on sorghum genome mapping--particularly 
the creation of an easily-accessed database to house the 
information generated from the ongoing genetic sequencing 
research which will facilitate further crop development 
efforts, especially in combating the sugarcane aphid, a new and 
devastating invasive pest.
    Sustainable Water Use Research.--The alluvial plain within 
the Lower Mississippi River Basin is one of most productive 
agricultural regions in the United States. The Committee 
remains concerned with the unsustainable use of water in the 
Alluvial Aquifer as a result of increasing water withdrawals 
and stagnant recharging. The Committee provides an increase of 
$1,000,000 for research to improve the recharge capabilities of 
the Alluvial Aquifer and to develop new conservation and 
irrigation techniques to reduce water usage in agriculture 
production.
    Tropical and Subtropical Research.--Research on Tropical 
and Subtropical crops is critical as the presence of and 
destruction by invasive pests such as fruit flies, coffee berry 
borer, felted macadamia nut coccid, and plant viruses and 
funguses increase and threaten crop security in the Pacific and 
Insular Areas, and the Committee encourages ARS to support this 
research.
    UAS Precision Agriculture Applications.--The Committee 
provides an additional $3,000,000 to expand efforts utilizing 
unmanned aerial systems [UAS] in crop production operations and 
to address the challenges associated with data capture, 
transfer and analysis.
    U.S. Wheat and Barley Scab Initiative [USWBSI].--The 
Committee recognizes that fusarium head blight is a major 
threat to agriculture, inflicting substantial yield and quality 
losses throughout the U.S. The Committee supports research 
carried out through the USWBSI. The Committee recommendation 
includes no less than the fiscal year 2017 level to conduct 
further research on reducing the impact of fusarium head blight 
on wheat and barley.
    Warmwater Aquaculture.--The Committee provides and 
additional $1,200,000 to facilitate the advancement of 
technologies that improve the efficiency, profitability and 
sustainability of warmwater aquaculture production.
    Wheat and Sorghum Research.--The Committee recognizes the 
potential impact heat and drought can have on the yield and 
quality of wheat and sorghum and the need for new cultivars to 
adapt to changing climatic conditions. In addition, sorghum 
crops have been particularly hit hard by the invasive sugarcane 
aphid and new resistant cultivars are needed. The Committee 
provides no less than the fiscal year 2017 level for research 
to improve the productivity and quality of wheat and sorghum 
during uncertain growing seasons resulting from extended 
droughts and increased temperatures. Within this increase, 
funding is included to initiate gene flow research to advance 
the durability and sustainability of fitness traits in sorghum.

                     Agricultural Research Service


                        BUILDINGS AND FACILITIES

Appropriations, 2017....................................     $99,600,000
Budget estimate, 2018...................................................
Committee recommendation................................................

                       COMMITTEE RECOMMENDATIONS

    The Committee does not recommend an appropriation for 
Agricultural Research Service, Buildings and Facilities.

               National Institute of Food and Agriculture

    Section 7511(f)(2) of the Food, Conservation, and Energy 
Act of 2008 amends the Department of Agriculture Reorganization 
Act of 1994 (7 U.S.C. 6971) by establishing an agency to be 
known as the National Institute of Food and Agriculture [NIFA]. 
The Secretary transferred to the Director of NIFA, effective 
October 1, 2009, all authorities administered by the 
Administrator of the Cooperative State, Research, Education and 
Extension Service. The mission is to work with university 
partners and customers to advance research, extension, and 
higher education in the food and agricultural sciences and 
related environmental and human sciences to benefit people, 
communities, and the Nation.

                   RESEARCH AND EDUCATION ACTIVITIES

Appropriations, 2017....................................    $849,518,000
Budget estimate, 2018...................................     769,613,000
Committee recommendation................................     854,871,000

    Research and Education programs administered by NIFA are 
USDA's principal entree to the university system of the United 
States for the purpose of conducting agricultural research and 
education programs as authorized by the Hatch Act of 1887, as 
amended (7 U.S.C. 361a-361i); the McIntire-Stennis Cooperative 
Forestry Act of 1962, as amended (16 U.S.C. 582a et seq.); the 
Competitive, Special, and Facilities Research Grant Act, as 
amended (7 U.S.C. 450i); the National Agricultural, Research, 
Extension, and Teaching Policy Act of 1977, as amended (7 
U.S.C. 3101 et seq.); the Equity in Educational Land-Grant 
Status Act of 1994 (7 U.S.C. 301 note); the Agricultural 
Research, Extension and Education Reform Act of 1998 (Public 
Law 105-185), as amended; the Food, Agriculture, Conservation 
and Trade Act of 1990 (Public Law 101-624); the Farm Security 
and Rural Investment Act of 2002 (Public Law 107-171); and the 
Food, Conservation and Energy Act of 2008 (Public Law 110-246). 
Through these authorities, USDA participates with State and 
other cooperators to encourage and assist the State 
institutions in the conduct of agricultural research and 
education through the State Agricultural Experiment Stations of 
the 50 States and the territories; by approved Schools of 
Forestry; the 1890 Land-Grant Institutions and Tuskegee 
University and West Virginia State University; 1994 Land-Grant 
Institutions; by Colleges of Veterinary Medicine; and other 
eligible institutions. The appropriated funds provide Federal 
support for research and education programs at these 
institutions.
    The research and education programs participate in a 
nationwide system of agricultural research program planning and 
coordination among the State institutions, U.S. Department of 
Agriculture, and the agricultural industry of America.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $854,871,000 
for research and education activities of the National Institute 
of Food and Agriculture.
    The following table summarizes the Committee's 
recommendations for research and education activities:

                  NATIONAL INSTITUTE OF FOOD AND AGRICULTURE--RESEARCH AND EDUCATION ACTIVITIES
                                             [Dollars in thousands]
----------------------------------------------------------------------------------------------------------------
                                                                                                    Committee
               Program/Activity                                  Authorization                    recommendation
----------------------------------------------------------------------------------------------------------------
Hatch Act.....................................  7 U.S.C. 361a-i................................          243,701
McIntire-Stennis Cooperative Forestry Act.....  16 U.S.C. 582a through a-7.....................           33,961
Research at 1890 Institutions (Evans-Allen      7 U.S.C. 3222..................................           54,185
 Program).
Payments to the 1994 Institutions.............  534(a)(1) of Public Law 103-382................            3,439
Education Grants for 1890 Institutions........  7 U.S.C. 3152(b)...............................           19,336
Education Grants for Hispanic-Serving           7 U.S.C. 3241..................................            9,219
 Institutions.
Education Grants for Alaska Native and Native   7 U.S.C. 3156..................................            3,194
 Hawaiian-Serving Institutions.
Research Grants for 1994 Institutions.........  536 of Public Law 103-382......................            3,801
Capacity Building for Non Land-Grant Colleges   7 U.S.C. 3319i.................................            5,000
 of Agriculture.
Resident Instruction and Distance Education     7 U.S.C. 3362 and 3363.........................            2,000
 Grants for Insular Areas.
Agriculture and Food Research Initiative......  7 U.S.C. 450i(b)...............................          375,000
Veterinary Medicine Loan Repayment............  7 U.S.C. 3151a.................................            6,500
Veterinary Services Grant Program.............  7 U.S.C. 3151b.................................            2,500
Continuing Animal Health and Disease Research   7 U.S.C. 3195..................................            4,000
 Program.
Supplemental and Alternative Crops............  7 U.S.C. 3319d.................................              825
Multicultural Scholars, Graduate Fellowship     7 U.S.C. 3152(b)...............................            9,000
 and Institutions Challenge Grants.
Secondary and 2-year Post-Secondary Education.  7 U.S.C. 3152(j)...............................              900
Aquaculture Centers...........................  7 U.S.C. 3322..................................            5,000
Sustainable Agriculture Research and Education  7 U.S.C. 5811, 5812, 5831, and 5832............           30,000
Farm Business Management......................  7 U.S.C. 5925f.................................            1,450
Sun Grant Program.............................  7 U.S.C. 8114..................................            3,000
Improved Pest Control:
    Minor Crop Pest Management (IR-4).........  7 U.S.C. 450i(c)...............................           11,913
    Alfalfa Forage and Research Program.......  7 U.S.C. 5925..................................            2,250
Special Research Grants:7 U.S.C. 450i(c):
    Global Change/UV Monitoring...............  ...............................................            1,405
    Potato Research...........................  ...............................................            2,250
    Aquaculture Research......................  ...............................................            1,350
                                                                                                ----------------
        Total, Special Research Grants........  ...............................................            5,005
                                                                                                ================
Necessary Expenses of Research and Education
 Activities:
    Grants Management System..................  ...............................................            7,830
    Federal Administration--Other Necessary     ...............................................           11,862
     Expenses for Research and Education
     Activities.
                                                                                                ----------------
        Total, Necessary Expenses.............  ...............................................           19,692
                                                                                                ================
        Total, Research and Education           ...............................................          854,871
         Activities.
----------------------------------------------------------------------------------------------------------------

    Agriculture and Food Research Initiative.--The Committee 
recommendation includes $375,000,000 for the Agriculture and 
Food Research Initiative [AFRI].
    Section 7406 of the Food, Conservation, and Energy Act of 
2008 specifies priority areas with the Agriculture and Food 
Research Initiative [AFRI], including an emphasis on 
conventional (classical) plant and animal breeding. The 
Committee notes the importance of this requirement to provide 
farmers nationwide with greater access to cultivars that are 
locally and regionally adapted to their soils, climates and 
farming systems. Because of the agency's lack of progress in 
prioritizing this effort, the Committee urges the agency to 
make regionally adapted, publicly held cultivar development a 
distinct funding priority within AFRI for fiscal year 2018, and 
directs the agency to report its progress in meeting this goal.
    Agricultural Research Enhancement Awards.--The Committee 
remains determined to see that quality research and enhanced 
human resources development in the agricultural and related 
sciences be a nationwide commitment. Therefore, the Committee 
continues its direction that not less than 15 percent of the 
competitive research grant funds be used for USDA's 
agricultural research enhancement awards program, including 
USDA-EPSCoR.
    Agriculture Technology.--The Committee encourages USDA to 
support research and development of agricultural robotics, 
particularly to increase yields in vertically stacked farming 
production.
    Agroecosystems Research.--Section 7406 of the Food, 
Conservation, and Energy Act of 2008 specifies priority areas 
for the Agriculture and Food Research Initiative [AFRI], 
including an emphasis on the fundamental structures and 
functions of ecosystems, the biological and physical bases of 
sustainable production systems, minimizing soil and water 
losses, and biological diversity. The intended goal of this 
section is ecologically-based management of production systems 
that generates ecosystem services with benefits to farmers, 
rural and urban communities, and the environment. Therefore, 
the Committee strongly urges making agroecosystems research, 
including explicit integration of social, economic and 
environmental dimensions, with direct routes to implementation, 
as an increased priority for funding within the AFRI program.
    Alfalfa and Forage Research.--The Committee notes that 
research into alfalfa seed and alfalfa forage systems holds the 
potential to increase yields, increase milk production, and 
improve genetics. The Committee recommendation includes 
$2,250,000 to support research into the improvement of yields, 
water conservation, creation of new uses, and the development 
of new storage and harvest systems.
    Aquaculture Disease Research.--The Committee encourages 
USDA to support aquaculture disease and vaccine research, 
including research on coldwater aquaculture vaccines. There is 
currently no national facility for pathogen testing. Research 
into finfish vaccines and pathogens has the potential to 
accelerate the growth of sustainable U.S. aquaculture, reduce 
the trade deficit attributable to imported seafood, and reduce 
the pressure on overfished species.
    Aquaculture Research.--The Committee recognizes the 
importance of the domestic aquaculture industry to the U.S. 
economy. The Committee recommendation includes $1,350,000 for 
aquaculture research to address issues related to genetics, 
disease, systems, and economics.
    Aquaponics Workforce Development.--As aquaculture, 
aquaponics and related industries continue to grow as 
significant economic drivers and food producers, the need for 
training to develop an informed and competent workforce becomes 
critical. The Committee encourages USDA to consider developing 
a program to create national standards for these disciplines 
across the Nation, and to provide workforce training for jobs 
in the aquaculture and aquaculture related industries.
    Brucellosis Research.--Federal and State animal health 
officials have made eradicating livestock disease with 
significant reservoirs a national animal health priority. This 
need was reflected in the Agricultural Act of 2014, which made 
the research and development of surveillance methods, vaccines, 
vaccination delivery systems or diagnostics tests a priority 
research area under the Competitive, Special, and Facilities 
Research Grant Act particularly for bovine brucellosis and 
bovine tuberculosis. The Committee recognizes the need for this 
research and encourages the agency to make competitive grants 
available to study improved management tools for zoonotic 
livestock diseases with significant wildlife reservoirs.
    Cereal Crop Research.--Research on cereal crops has 
historically been conducted by USDA and public universities, 
and the Committee recognizes the importance of continuing 
investment in cereal crop research. The Committee strongly 
encourages USDA to provide funding for cereal crop research in 
the areas of genetic and genomic research, plant pest research, 
and improved production systems.
    Childhood Obesity.--The Committee encourages USDA to 
support innovative efforts to address the unique challenges 
faced in addressing obesity among children and youth in urban, 
minority low-income populations through a combination of family 
education and clinical studies.
    Citrus Disease Research Program.--The 2014 farm bill 
established the Emergency Citrus Disease Research and Extension 
Program, which is intended to discover and develop tools for 
early detection, control, and eradication of diseases and pests 
that threaten domestic citrus production and processing, and 
provided $25,000,000 per year in mandatory funding for the 
program through the Specialty Crop Research Initiative. The 
Committee believes research projects funded under this 
authority should be prioritized based on the critical threat of 
citrus greening and encourages NIFA, to the maximum extent 
practicable, to follow the recommendations of the National 
Agricultural Research, Extension, and Education Advisory 
Board's citrus disease subcommittee and to collaborate with the 
HLB-MAC group.
    Community College Centers of Excellence in Agribusiness 
Workforce Training.--The Committee encourages NIFA to designate 
Community College Centers of Excellence in Agribusiness 
Workforce Training, to include a limited number of 2-year 
community and technical colleges with a demonstrated capability 
to provide training and education for Agribusiness. The Centers 
of Excellence will seek to develop model programs in 
Agribusiness and promote economic development.
    Countering Seafood Fraud.--The Committee remains concerned 
about countering economic fraud and improving food safety of 
the U.S. food supply. The Committee is concerned that adequate 
technology is not yet available to provide for appropriate 
sampling of the food supply. The Committee believes NIFA should 
conduct research to develop technologies that will provide 
rapid, portable and facile screening of fish species at port 
sites, wholesale, and retail centers.
    Diversification in Agriculture.--The Committee recognizes 
the rapid evolution of U.S. agriculture, including the 
diversification of practices, markets, and technologies as 
farms transition to one generation from another, and encourages 
NIFA to prioritize investments that deliver hands-on technical 
education in diversified agriculture and food systems.
    Food Safety.--The Committee recommends that NIFA prioritize 
research on funding for new food safety technologies relating 
to the Nation's meat supply that helps researchers, producers, 
and manufacturers.
    Food Safety and Defense Technology.--The Committee is 
concerned that insufficient progress is being made in the 
development of detection technology in the food safety sector. 
The ability to rapidly, accurately, and cost effectively detect 
pathogens or contaminants throughout the food supply chain is 
critical to protecting the United States from food-borne 
illnesses and malicious acts. As such, the Committee encourages 
NIFA to increase research of novel biodetection technologies 
and the implementation of mobile biodetection platforms in 
real-world conditions. The Department should consider 
technologies currently in use or under development in other 
fields, such as medicine or homeland security, to determine 
whether the technology can meet the needs in either high volume 
food production or mobile food defense monitoring.
    Lowbush Blueberries.--The Committee directs NIFA to work 
with research institutions to develop and refine predictive 
models and monitoring technologies for native and invasive 
pests for incorporation into integrated pest management 
programs for naturally seeded, native berry crops to increase 
the margin of food safety and product quality.
    Oak Mites.--The Committee directs NIFA to study the recent 
infestation of oak mites and focus on suppression and 
eradication possibilities.
    Organic Research.--USDA's National Organic Standards Board 
[NOSB] has identified key organic research priorities, many of 
which would help to address challenges that have limited the 
growth in organic production in this country. The Committee 
encourages NIFA to give strong consideration to the NOSB 
organic research priorities when crafting the fiscal year 2018 
RFAs for AFRI and the Organic Transition Program.
    Protein Functionality.--The Committee encourages USDA to 
support research projects that characterize protein from crop 
plants such as chickpeas, sorghum, lentils, fava beans, lupin, 
rice, oats, mushrooms, and water lentils to assess their 
suitability for use in food products. The Committee is 
particularly interested in research projects involving plants 
that can be easily cultivated in the U.S. and that are 
sustainably grown and produced (in terms of factors such as 
water usage or fertilizer and pesticide requirements).
    Regional Research Priorities.--The Committee encourages 
NIFA to consider providing funding within AFRI to assist with 
State and regional research priorities, with USDA oversight and 
review.
    Seafood.--The Committee encourages USDA, in partnership 
with universities with established domestic shrimp farming 
programs, to support the development of a domestic industry 
that will help ensure the safety and quality of the Nation's 
seafood supply, promote environmentally sustainable 
aquaculture, create new opportunities for U.S. agriculture, and 
forge new markets for U.S. grain and oilseed products and 
technology services.
    Soil Remediation Research.--Lead contamination of soil is 
an urgent problem in both rural and urban areas of the country. 
The Committee notes that phytotechnology, using plants to 
remove contaminants from soil, has been used to remediate soils 
contaminated with heavy metals such as zinc, cadmium, selenium, 
nickel and lead, but that technical barriers to more widespread 
adoption of this technology exist. Therefore, the Committee 
encourages USDA to support innovative efforts to improve 
phytoremediation technologies.
    Specialty Crop Research Initiative.--The Committee 
emphasizes the important role of the Specialty Crop Research 
Initiative in addressing the critical needs of the specialty 
crop industry through research and extension activities, and 
encourages NIFA to prioritize proposals for and enhance its 
overall commitment to identifying and addressing threats to 
pollinators from pests and diseases.
    Sustainable Agriculture Research and Education.--The 
Committee is strongly supportive of the SARE program and 
directs USDA to ensure that research, education and extension 
activities carried out within SARE remain intact.
    Unmanned Aerial Systems in Agriculture.--The Committee 
encourages USDA to support regional institutes focused on the 
development of Unmanned Aerial Systems [UAS] and fostering new 
innovations in agriculture and cybersecurity. UAS is a tool to 
obtain data in a wide variety of application areas including 
energy, agriculture, power infrastructure, and transportation, 
all critical to rural States. The Committee encourages NIFA to 
support the research, development, and expansion of the use of 
UAS and high performance computing.
    Veterinary Corps.--Veterinarians fulfilling the terms of a 
contract under USDA's Veterinary Medicine Loan Repayment 
Program, authorized by the National Veterinary Medical Services 
Act, shall be members of the National Veterinary Medical 
Services Corps and members who have fulfilled the terms of 
their contract shall be alumni of the Corps.
    Zoonotic Disease Research.--Federal and State animal health 
officials have made eradicating livestock diseases with 
significant wildlife reservoirs a national animal health 
priority. This need is reflected in the Agricultural Act of 
2014 which made the research and development of surveillance 
methods, vaccines, vaccination delivery systems or diagnostic 
tests a priority research area under the Competitive, Special, 
and Facilities Research Grant Act particularly for bovine 
brucellosis and bovine tuberculosis. The Committee recognizes 
the need for this research and encourages the agency to make 
competitive grants available to study improved management tools 
for zoonotic livestock diseases with significant wildlife 
reservoirs.

              NATIVE AMERICAN INSTITUTIONS ENDOWMENT FUND

Appropriations, 2017....................................     $11,880,000
Budget estimate, 2018...................................................
Committee recommendation................................      11,880,000

    The Native American Institutions Endowment Fund authorized 
by Public Law 103-382, the Equity in Educational Land-Grant 
Status Act, provides an endowment for the 1994 land-grant 
institutions (34 tribally controlled colleges). This program 
will enhance educational opportunity for Native Americans by 
building educational capacity at these institutions in the 
areas of student recruitment and retention, curricula 
development, faculty preparation, instruction delivery systems, 
and scientific instrumentation for teaching. Income funds are 
also available for facility renovation, repair, construction, 
and maintenance. On the termination of each fiscal year, the 
Secretary shall withdraw the income from the endowment fund for 
the fiscal year, and after making adjustments for the cost of 
administering the endowment fund, distribute the adjusted 
income as follows: 60 percent of the adjusted income from these 
funds shall be distributed among the 1994 land-grant 
institutions on a pro rata basis, the proportionate share being 
based on the Indian student count; and 40 percent of the 
adjusted income shall be distributed in equal shares to the 
1994 land-grant institutions.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $11,880,000 
for the Native American Institutions Endowment Fund.

                          EXTENSION ACTIVITIES

Appropriations, 2017....................................    $477,391,000
Budget estimate, 2018...................................     462,890,000
Committee recommendation................................     481,376,000

    Cooperative extension work was established by the Smith-
Lever Act of May 8, 1914, as amended. The Department of 
Agriculture is authorized to provide, through the land-grant 
colleges, cooperative extension work that consists of the 
development of practical applications of research knowledge and 
the giving of instruction and practical demonstrations of 
existing or improved practices or technologies in agriculture 
and related subjects, and to encourage the application of such 
information by demonstrations, publications, through 4-H clubs, 
and other means to persons not in attendance or resident at the 
colleges.
    To fulfill the requirements of the Smith-Lever Act, State 
and county extension offices in each State, the District of 
Columbia, Puerto Rico, the Virgin Islands, Guam, American 
Samoa, the Northern Marianas, and Micronesia conduct 
educational programs to improve American agriculture and 
strengthen the Nation's families and communities.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $481,376,000 
for extension activities of the National Institute of Food and 
Agriculture.
    The following table summarizes the Committee's 
recommendations for extension activities:

                        NATIONAL INSTITUTE OF FOOD AND AGRICULTURE--EXTENSION ACTIVITIES
                                             [Dollars in thousands]
----------------------------------------------------------------------------------------------------------------
                                                                                                    Committee
               Program/Activity                                  Authorization                    recommendation
----------------------------------------------------------------------------------------------------------------
Smith-Lever Act, Section 3(b) and (c) and       7 U.S.C. 343(b) and (c) and 208(c) of Public             300,000
 Cooperative Extension.                          Law 93-471.
Extension Services at 1890 Institutions.......  7 U.S.C. 3221..................................           45,620
Extension Services at 1994 Institutions.......  7 U.S.C. 343(b)(3).............................            6,446
Facility Improvements at 1890 Institutions....  7 U.S.C. 3222b.................................           19,730
Renewable Resources Extension Act.............  16 U.S.C. 1671 et seq..........................            4,060
Rural Health and Safety Education Programs....  7 U.S.C. 2662(i)...............................            3,000
Food and Animal Residue Avoidance Database      7 U.S.C. 7642..................................            1,250
 Program.
Women and Minorities in STEM Fields...........  7 U.S.C. 5925..................................              400
Food Safety Outreach Program..................  7 U.S.C. 7625..................................            7,000
Smith-LeverAct, Section 3(d):
    Food and Nutrition Education..............  7 U.S.C. 343(d)................................           67,934
    Farm Safety and Youth Farm Safety           7 U.S.C. 343(d)................................            4,610
     Education Programs.
    New Technologies for Agricultural           7 U.S.C. 343(d)................................            1,550
     Extension.
    Children, Youth, and Families at Risk.....  7 U.S.C. 343(d)................................            8,395
    Federally Recognized Tribes Extension       7 U.S.C. 343(d)................................            3,039
     Program.
                                               -----------------------------------------------------------------
      Total, Section 3(d).....................  ...............................................           85,528
Necessary Expenses of Research and Education
 Activities:
    Agriculture in the K-12 Classroom.........  ...............................................              552
    Federal Administration--Other Necessary     ...............................................            7,790
     Expenses for Research and Education
     Activities.
                                               -----------------------------------------------------------------
        Total, Necessary Expenses.............  ...............................................            8,342
        Total, Extension Activities...........  ...............................................          481,376
----------------------------------------------------------------------------------------------------------------

                         INTEGRATED ACTIVITIES

Appropriations, 2017....................................     $36,000,000
Budget estimate, 2018...................................      20,276,000
Committee recommendation................................      37,000,000

    Section 406, as amended, of the Agricultural Research, 
Extension, and Education Reform Act of 1998 authorizes an 
integrated research, education, and extension competitive 
grants program.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $37,000,000 
for integrated activities of the National Institute of Food and 
Agriculture.
    The following table summarizes the Committee's 
recommendations for integrated activities:

                        NATIONAL INSTITUTE OF FOOD AND AGRICULTURE--INTEGRATED ACTIVITIES
                                             [Dollars in thousands]
----------------------------------------------------------------------------------------------------------------
                                                                                                    Committee
               Program/Activity                                  Authorization                    recommendation
----------------------------------------------------------------------------------------------------------------
Methyl Bromide Transition Program.............  7 U.S.C. 7626..................................            2,000
Organic Transition Program....................  7 U.S.C. 7626..................................            5,000
Regional Rural Development Centers............  7 U.S.C. 450i(c)...............................            2,000
Food and Agriculture Defense Initiative.......  7 U.S.C. 3351..................................            8,000
Crop Protection/Pest Management...............  7 U.S.C. 343(d)................................           20,000
                                                                                                ----------------
      Total, Integrated Activities............  ...............................................           37,000
----------------------------------------------------------------------------------------------------------------

    Food and Agriculture Defense Initiative.--The Committee 
supports the important work being done through the publicly 
funded diagnostic laboratory network and encourages NIFA to 
prioritize funding to strengthen animal health diagnostic 
laboratories taking into consideration the degree to which the 
capacity for surveillance, monitoring, response, and capacity 
is enhanced; the concentration of human and animal populations 
that are directly at risk; trade, tourism, and cultural 
considerations; geography, ecology, and climate; evidence of 
active collaboration with, and support of, the State animal 
health officials; those States with highest risk for the 
introduction of foreign and emerging pests and diseases; and 
evidence of stakeholder support and engagement.
    Potato Research.--To minimize the application of pesticides 
and to maximize the yield and quality of harvested potatoes, 
the Committee directs the Secretary to support pest management 
programs in potato growing States. Such programs help 
scientists track potential pest outbreaks and provide growers 
and industry professionals with current information on specific 
and timely treatments. Additionally, the programs help identify 
serious diseases, such as late blight disease, in their early 
stages, allowing for preventive measures to be put into place 
quickly to avoid crop losses.

  Office of the Under Secretary for Marketing and Regulatory Programs

Appropriations, 2017....................................        $901,000
Budget estimate, 2018...................................         891,000
Committee recommendation................................         901,000

    The Office of the Under Secretary for Marketing and 
Regulatory Programs provides direction and coordination in 
carrying out laws with respect to the Department's marketing, 
grading, and standardization activities related to grain; 
competitive marketing practices of livestock, marketing orders, 
and various programs; veterinary services; and plant protection 
and quarantine. The Office has oversight and management 
responsibilities for the Animal and Plant Health Inspection 
Service; Agricultural Marketing Service; and Grain Inspection, 
Packers and Stockyards Administration.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $901,000 for 
the Office of the Under Secretary for Marketing and Regulatory 
Programs.

               Animal and Plant Health Inspection Service


                         SALARIES AND EXPENSES

Appropriations, 2017....................................    $946,212,000
Budget estimate, 2018...................................     810,000,000
Committee recommendation................................     953,212,000

    The Secretary of Agriculture established the Animal and 
Plant Health Inspection Service [APHIS] on April 2, 1972, under 
the authority of reorganization plan No. 2 of 1953, and other 
authorities. The major objectives of APHIS are to protect the 
animal and plant resources of the Nation from diseases and 
pests. These objectives are carried out under the major areas 
of activity, as follows:
    Safeguarding and Emergency Preparedness/Response.--The 
agency monitors plant and animal health worldwide, and sets 
import polices to prevent the introduction of foreign plant and 
animal pests and diseases. Domestically, the agency works 
cooperatively to conduct plant and animal health monitoring 
programs, pursue eradication, or limit the spread of the 
threat. The agency also conducts diagnostic laboratory 
activities that support disease prevention, detection, control, 
and eradication programs. In addition, the agency protects 
agriculture from detrimental animal predators, and through its 
regulatory structure helps advance genetic research while 
protecting against the release of harmful organisms.
    Safe Trade and International Technical Assistance.--The 
agency helps resolve technical trade issues to ensure the 
smooth and safe movement of agricultural commodities into and 
out of the United States. The agency negotiates animal and 
plant health certification requirements and assists U.S. 
exporters meet foreign regulatory demands. In addition, the 
agency assists developing countries in improving their 
safeguarding systems, to protect the United States from 
emerging plant and animal pests and diseases.
    Animal Care.--The agency conducts regulatory activities 
that ensure the humane care and treatment of animals and horses 
as the Animal Welfare and Horse Protection Acts require. These 
activities include inspection of certain establishments that 
handle animals intended for research, exhibition, and as pets, 
and monitoring certain horse shows.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $953,212,000 
for salaries and expenses of the Animal and Plant Health 
Inspection Service.
    The following table reflects the Committee's specific 
recommendations for the Animal and Plant Health Inspection 
Service:

                                   ANIMAL AND PLANT HEALTH INSPECTION SERVICE
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Safeguarding and International Technical Assistance:
    Animal Health Technical Services.........................           37,857           35,272           37,857
    Aquatic Animal Health....................................            2,253            2,249            2,253
    Avian Health.............................................           55,340           55,235           55,340
    Cattle Health............................................           91,500           91,326           91,500
    Equine, Cervid and Small Ruminant Health.................           20,000           19,463           20,000
    National Veterinary Stockpile............................            5,723            3,965            5,723
    Swine Health.............................................           24,800           24,753           24,800
    Veterinary Biologics.....................................           16,417           16,386           16,417
    Veterinary Diagnostics...................................           39,540           36,471           39,540
    Zoonotic Disease Management..............................           16,523            9,505           16,523
                                                              --------------------------------------------------
      Subtotal, Animal Health................................          309,953          294,625          309,953
                                                              ==================================================
    Agricultural Quarantine Inspection (Appropriated)........           29,330           27,847           29,330
    Cotton Pests.............................................           11,520            7,000           11,520
    Field Crop & Rangeland Ecosystems Pests..................            8,826            8,809            8,826
    Pest Detection...........................................           27,446           27,394           27,446
    Plant Protection Methods Development.....................           20,686           20,647           20,686
    Specialty Crop Pests.....................................          166,500          148,033          166,500
    Tree & Wood Pests........................................           54,000           30,000           56,000
                                                              --------------------------------------------------
      Subtotal, Plant Health.................................          318,308          269,730          320,308
                                                              ==================================================
    Wildlife Damage Management...............................          103,376           56,331          108,376
    Wildlife Services Methods Development....................           18,856           18,820           18,856
                                                              --------------------------------------------------
      Subtotal, Wildlife Services............................          122,232           75,151          127,232
                                                              ==================================================
    Animal & Plant Health Regulatory Enforcement.............           16,224           16,193           16,224
    Biotechnology Regulatory Services........................           18,875           18,839           18,875
                                                              --------------------------------------------------
      Subtotal, Regulatory Services..........................           35,099           35,032           35,099
    Contingency Fund.........................................              470              469              470
    Emergency Preparedness & Response........................           40,966           16,934           40,966
                                                              --------------------------------------------------
      Subtotal, Emergency Management.........................           41,436           17,403           41,436
                                                              ==================================================
      Subtotal, Safeguarding and Emergency Preparedness/               827,028          691,941          827,028
       Response..............................................
                                                              ==================================================
Safe Trade and International Technical Assistance:
    Agriculture Import/Export................................           15,599           15,070           15,599
    Overseas Technical & Trade Operations....................           22,114           22,072           22,114
                                                              --------------------------------------------------
      Subtotal, Safe Trade...................................           37,713           37,142           37,713
                                                              ==================================================
Animal Welfare:
    Animal Welfare...........................................           28,810           28,356           28,810
    Horse Protection.........................................              697              696              697
                                                              --------------------------------------------------
      Subtotal, Animal Welfare...............................           29,507           29,052           29,507
                                                              ==================================================
Agency Management:
    APHIS Information Technology Infrastructure..............            4,251            4,243            4,251
    Physical/Operational Security............................            5,146            5,136            5,146
    Rent and DHS security payments...........................           42,567           42,486           42,567
                                                              --------------------------------------------------
      Subtotal, Agency Management............................           51,964           51,865           51,964
                                                              ==================================================
      Total, Direct Appropriation............................          946,212          810,000          953,212
----------------------------------------------------------------------------------------------------------------

    Agricultural Quarantine Inspection.--The Committee 
recognizes that prevention of infestations of pests and 
diseases is much more cost effective than subsequent control or 
eradication. This is an important Federal responsibility and 
the Committee provides $29,330,000 for the agricultural 
quarantine inspections [AQI] function, including pre-departure 
and interline inspections.
    The Committee is concerned that new fee regulations under 
the AQI program may not be equitable to small commercial 
aircraft. The Committee directs the Secretary to review AQI 
user fees to ensure they are in line with the costs of 
delivering AQI services, ,and to review both the equity of user 
fees among smaller regional jets compared to larger 
transpacific aircraft, and a pro-rated fee based on aircraft 
size. The Committee directs the Secretary to report on these 
findings to this Committee within 90 days of enactment of this 
Act.
    Animal Disease Traceability.--The Committee is concerned 
with APHIS' consideration of expanding the Animal Disease 
Traceability [ADT] program related to requiring identification 
of beef cattle younger than 18 months of age or feeder cattle. 
While the committee supports the agency's mission to conduct 
animal disease tracing, the mandatory identification and 
tracing of feeder cattle would be costly. Prior to 
implementation of any new changes to the ADT program related to 
feeder cattle, the committee directs the Secretary to submit a 
report detailing the cost and benefits to all pertinent 
stakeholders, including but not limited to, livestock markets, 
livestock producers, meatpackers, and livestock dealers, of any 
proposed program changes. The report shall consider costs of 
tagging and reading tags such as labor, facilities, and speed 
of commerce.
    Bee Pests.--The Committee remains concerned with declining 
bee populations and the tragic implications for pollination of 
U.S. agriculture. The Committee directs the agency to continue 
priority work with other Federal and State agencies and the 
public to manage, suppress, and eradicate varroa mites, small 
hive beetles, and other pests and diseases contributing to 
colony collapse disorder.
    Cattle Fever Ticks.--The Committee appreciates the 
commitment by APHIS, including recent additional funding, to 
respond to the most recent outbreak of cattle fever ticks. The 
Committee encourages the agency to maintain this focus and 
provide adequate funding for all activities under the Cattle 
Fever Tick Eradication Program [CFTEP]; heighten efforts to 
coordinate the response with the Department of Interior on 
national wildlife refuges; and provide sufficient funding for 
research and scientific tools to be developed that concentrate 
on the following: new systematic cattle fever tick treatment 
products with longer treatment intervals for cattle; new cattle 
fever tick treatment products for wildlife, especially nilgai 
antelope; and new or improved cattle fever tick preventative 
therapies, such as vaccines, for both cattle and wildlife 
hosts.
    Ceratocystis Disease.--The Secretary is directed to 
continue the study of Ceratocystis in the United States and 
implement actions and recommendations for response and 
management in the report mandated by this Committee in fiscal 
year 2017.
    Chronic Wasting Disease.--The Committee provides no less 
than $3,500,000 for cervid health activities. Within the funds 
provided, APHIS should give consideration to indemnity payments 
if warranted.
    Citrus Health Response Program [CHRP].--CHRP is a national 
effort to maintain a viable citrus industry within the United 
States, maintain producer's continued access to export markets, 
and safeguard citrus producing states against a variety of 
invasive pests and diseases. These funds are designed to 
partner with state departments of agriculture and industry 
groups to address the challenges of citrus pests and diseases. 
In addition to the funds provided in this account, the 
Committee encourages APHIS to utilize the funds available in 
the Plant Pest and Disease Management and Disaster Prevention 
Programs account to the greatest extent possible in an attempt 
to sustain the economic viability of the citrus industry.
    Coconut Rhinoceros Beetle.--The Secretary is directed to 
continue efforts to control and eradicate the coconut 
rhinoceros beetle in the Pacific to prevent the spread of the 
beetle to the U.S. mainland, and may, if appropriate, provide 
additional surge funding to match Department of Defense 
spending for this purpose.
    Feral Swine Management.--The Committee recognizes the 
importance of the National Feral Swine Damage Management 
Program in reducing adverse ecological and economic impacts 
caused by feral swine. The Committee provides no less than the 
fiscal year 2017 level in support of APHIS efforts to decrease 
these invasive pests' damage and risk to agriculture, natural 
resources, and property.
    Huanglongbing Emergency Response.--The Committee maintains 
the increased funding levels for Huanglongbing Emergency 
Response within the Specialty Crop Pests line item included in 
fiscal year 2017. The Committee encourages APHIS to allocate 
sufficient resources in order to continue vital management, 
control, and associated activities to address citrus greening. 
The disease, for which there is no cure, has caused a reduction 
in citrus production by over 60 percent since 2007 in Florida 
alone. All citrus producing counties in Texas are under 
quarantine, and California has detected the disease in some 
backyard trees in the Los Angeles basin. The spread of this 
disease has called the domestic citrus industry's future into 
question, costing thousands of jobs and millions in lost 
revenue and increased production costs per acre. In addition, 
the agency is encouraged to support priorities and strategies 
identified by the Huanglongbing Multi-Agency Coordination [HLB-
MAC] Group which will benefit the citrus industry. The agency 
should appropriately allocate resources based on critical need 
and maximum effect to the citrus industry. The Committee 
maintains the $2,000,000 increase from fiscal year 2017 for 
citrus health to support priorities and strategies identified 
by the HLB-MAC group. The MAC is focused on short-term 
solutions to help the citrus industry, and the cooperative 
nature of Federal, state, and industry representatives in this 
group is expected to result in the development of tools and 
techniques to address this devastating disease. Helping growers 
explore new possible solutions, the MAC has been an effective 
resource. The agency should appropriately allocate resources 
based on critical need and maximum impact to the citrus 
industry. These citrus health activities directly protect 
citrus production on approximately 765,000 acres in the United 
States worth more than $11,000,000,000 in total.
    Huanglongbing Multi-Agency Coordination [HLB-MAC] Group.--
The Committee recognizes the significant economic impact of 
this disease on the citrus industry, which is especially acute 
in Florida and a growing concern in both Texas and California. 
The Committee also understands that growers are requesting the 
right to try treatments that have begun to show success in 
early stages of testing. The Committee encourages the HLB-MAC 
group to explore and identify new methods to expedite the 
delivery of promising treatments directly to growers. Finally, 
the Committee expects any funds which are redirected from 
existing HLB-MAC projects be repurposed to other priority HLB-
MAC projects that are showing promising results to ensure these 
critical funds remain committed to help facilitate the design 
and implementation of the rapid delivery pathway to growers.
    Invasive Tree Pests.--The Committee recognizes that the 
forests products industry and family forest owners are under 
increasing threat from a growing number of invasive forest 
pests. It is essential that APHIS carry out a comprehensive 
program to counter the spread of invasive species and work 
towards complete eradication of the Asian long-horned beetle. 
The Secretary is directed to report to the Committee regarding 
the steps being taken to eradicate the Asian long-horned beetle 
and spotted lanternfly and to minimize the spread of other 
pests such as the polyphagous and Kuroshio shot hole borers.
    National Bio and Agro-Defense Human Capital Development.--
The Committee notes that significant resources have been 
invested in the new National Bio and Agro-Defense Facility 
[NBAF] and is concerned about projected staffing shortages of 
qualified veterinary diagnosticians and scientists for the 
NBAF, which is slated for full operation in 2022. The Committee 
provides $3,000,000 to APHIS to ensure necessary steps are 
taken to develop a qualified workforce that are subject matter 
experts in foreign, emerging and zoonotic diseases capable of 
developing, validating and conducting needed diagnostics, 
performing epidemiologic studies, and completing bioinformatics 
analyses.
    Pacific Ants Prevention Plan.--The Secretary is encouraged 
to lead the revision of the Pacific Ants Prevention Plan, in 
collaboration with U.S. and international partners. The plan 
should include: research; the development of technologies and 
methodologies for prevention, eradication, and control of 
invasive ants; and the collaborative implementation of projects 
to prevent, monitor, and control invasive ants in affected 
Pacific Islands.
    Peer-Reviewed Accreditation.--The Committee notes APHIS's 
collaboration with accrediting organizations in the 
establishment and operation of the Zoo and Aquarium Hazards 
Preparedness, Response and Recovery Fusion Center. The Center's 
role in facilitating and enhancing collaboration between the 
emergency management community and the greater managed wildlife 
community will assist in emergency preparedness and response 
for a wide range of circumstances including natural disasters 
and animal disease outbreaks. This effort is commended and is 
expected and encouraged to continue.
    Regional Biosecurity Plan for Micronesia and Hawaii.--The 
Secretary is directed to submit a report to this Committee on 
USDA activities to implement the Regional Biosecurity Plan for 
Micronesia and Hawaii [RBP]. The report shall include an update 
on agencies' activities to date to implement the RBP, and 
agencies' planned activities for further implementation.
    Roseau Cane.--The Committee is concerned with the invasive 
species scale insect pest that is destroying Roseau cane in the 
Mississippi River's Delta region along the Gulf of Mexico. An 
estimated 225,000 acres of wetlands in the Delta have been 
affected with the die-off, and Roseau cane is important in 
maintaining a healthy marsh and preventing erosion. The 
Committee directs APHIS to work with the Agricultural Research 
Service [ARS] and stakeholders to develop an integrated 
management program for control of the Roseau cane scale insect 
pest infestation.
    Sudden Oak Death.--APHIS protects natural resources and 
nursery stock production and trade by limiting the spread of 
Phytopthora ramorum, which causes sudden oak death, from 
quarantine areas and affected nurseries through implementation 
of best management practices and regulatory activities. 
Affected interstate-shipping nurseries include those in the 
quarantine area and those outside the quarantine area that have 
tested positive in the last 3 years. These nurseries must meet 
annual certification survey and sampling requirements to 
prevent the movement of potentially infested material. For 
these efforts, the Committee provides APHIS no less than the 
fiscal year 2017 level of funding.
    West Nile Virus.--The Committee remains concerned with the 
threats to human and animal health posed by West Nile virus and 
recognizes that a critical strategy for addressing these 
threats is necessary to prevent the infection and transmission 
by known vectors, including farm-raised alligators. The 
Committee encourages APHIS to further investigate West Nile 
virus and other infectious diseases affecting farm raised 
alligators and develop treatments and methods to prevent 
infection and transmission.
    Wildlife Damage Management.--APHIS is responsible for 
providing Federal leadership in managing problems caused by 
wildlife. The Committee provides $108,376,000 for wildlife 
damage control to maintain priority initiatives, including 
preventing the transport of invasive snakes and other harmful 
species. No less than $250,000 should be available for the 
agency to support the use of fixed-wing aircraft to reduce 
blackbird depredation in the Northern Great Plains.
    The Committee maintains support for assistance to 
aquaculture producers to help mitigate wildlife depredation, 
particularly as it pertains to fish-eating and disease-carrying 
birds. The Committee provides no less than the fiscal year 2017 
level for damage management efforts and the development of 
methods to assist producers in combatting the persistent threat 
and economic hardship caused by cormorants, pelicans, and other 
birds.
    The Committee recognizes the importance of the National 
Feral Swine Damage Management Program in reducing adverse 
ecological and economic impacts caused by feral swine. The 
Committee provides an additional $5,000,000 in support of APHIS 
efforts to decrease these invasive pests' damage and risk to 
agriculture, natural resources, and property.
    The Committee provides $28,000,000 for the National Rabies 
Management Program to fortify existing barriers and advance 
prevention and eradication efforts.
    Given the shared and complementary goals of Wildlife Damage 
Management and the U.S. Fish and Wildlife Services to 
sustainably integrate wildlife into natural habitats while 
protecting livestock, the Secretary is directed to coordinate 
with the U.S. Fish and Wildlife Services on innovative 
strategies to provide predator management and reduce predator-
livestock conflict. The Secretary is further directed to report 
to this Committee on how the two agencies can work together to 
improve wildlife management.
    Wildlife Services Education and Training.--The Committee is 
aware of the wide range of hazardous procedures and materials 
utilized by APHIS personnel in the conduct of daily duties. In 
addition, a recent comprehensive study noted the critical need 
to provide standardized safety training, certification, and 
database management for tracking, to ensure the safest working 
environment possible. As such, the Committee provides 
$2,000,000 within Wildlife Damage Management to maintain a 
National Training Academy focused on those areas of greatest 
concern such as pyrotechnics, firearms, hazardous materials, 
immobilization and euthanasia drugs, pesticides, animal care 
and handling, land vehicles, watercraft, and zoonotic diseases.
    Wildlife Services Methods Development.--The Committee 
appreciates the important work done by the National Wildlife 
Research Center and its affiliated field locations to resolve 
problems caused by the interaction of wild animals and society. 
The Committee provides $18,875,000 to ensure continued 
development of technical and scientific information on wildlife 
damage management.

                        BUILDINGS AND FACILITIES

Appropriations, 2017....................................      $3,175,000
Budget estimate, 2018...................................       2,852,000
Committee recommendation................................       3,175,000

    The APHIS appropriation for ``Buildings and Facilities'' 
funds major nonrecurring construction projects in support of 
specific program activities and recurring construction, 
alterations, preventive maintenance, and repairs of existing 
APHIS facilities.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommendation includes an appropriation of 
$3,175,000 for buildings and facilities of the Animal and Plant 
Health Inspection Service. This funding is necessary to allow 
APHIS to maintain existing facilities, and perform critically 
needed repairs to and replacements of building components, such 
as heating, ventilation and air-conditioning on a prioritized 
basis at APHIS facilities. The Committee notes that due to the 
environmentally sensitive nature of many APHIS facilities, 
closure of a facility could result if APHIS is unable to 
complete the required repairs.

                     Agricultural Marketing Service


                           MARKETING SERVICES

Appropriations, 2017....................................     $84,933,000
Budget estimate, 2018...................................      77,462,000
Committee recommendation................................      88,933,000

    The Agricultural Marketing Service [AMS] was established by 
the Secretary of Agriculture on April 2, 1972. AMS carries out 
programs authorized by more than 50 different statutory 
authorities, the primary ones being the Agricultural Marketing 
Act of 1946 (7 U.S.C. 1621-1627, 1635-1638); the U.S. Cotton 
Standards Act (7 U.S.C. 51-65); the Cotton Statistics and 
Estimates Act (7 U.S.C. 471-476); the Tobacco Inspection Act (7 
U.S.C. 511-511q); the Perishable Agricultural Commodities Act 
(7 U.S.C. 499a-499t); the Egg Products Inspection Act (21 
U.S.C. 1031-1056); and section 32 of the Act of 1935 (Public 
Law 74-320, 7 U.S.C. 612c).
    Programs administered by this agency include the market 
news services, standardization, grading, classing, shell egg 
surveillance services, transportation services, wholesale 
farmers and alternative market development, grant payments to 
States for marketing activities, the Federal administration of 
marketing agreements and orders, commodity purchases, 
Perishable Agricultural Commodities Act, the Plant Variety 
Protection Act (7 U.S.C. 2321 et seq.), and market protection 
and promotion activities.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $88,933,000 
for Marketing Services of the Agricultural Marketing Service.
    National Organic Program.--The Committee provides 
$12,094,000 for the National Organic Program [NOP], an increase 
of $3,000,000. A healthy market for organic products requires a 
clear market distinction backed by a trusted, verified and 
enforced claim. The Committee recognizes that the NOP, which 
enforces the organic regulations and ensures they evolve to 
keep pace with consumer expectations is essential. The 
Committee strongly encourages USDA to focus resources for NOP 
on robust oversight of domestic and international operations 
that carry the USDA organic seal in light of recent news 
reports that have shed light on inadequate enforcement of the 
standards.
    Public Meeting Transcripts.--The Committee is concerned by 
the Department's proposal to replace meeting transcripts for 
the National Organic Standards Board public meeting with 
meeting summaries. The Committee directs the Secretary to 
continue to produce National Organic Standards Board public 
meeting transcripts.

                 LIMITATION ON ADMINISTRATIVE EXPENSES

Limitation, 2017........................................     $61,227,000
Budget limitation, 2018.................................      60,982,000
Committee recommendation................................      60,982,000

    The Omnibus Budget Reconciliation Act of 1981 (Public Law 
97-35) initiated a system of user fees for the cost of grading 
and classing cotton, and tobacco. These activities, authorized 
under the U.S. Cotton Standards Act (7 U.S.C. 51 et seq.), the 
Tobacco Inspection Act (7 U.S.C. 511 et seq.), and other 
provisions of law are designed to facilitate commerce and 
protect participants in the industry.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a limitation of $60,982,000 on 
administrative expenses of the Agricultural Marketing Service.

          FUNDS FOR STRENGTHENING MARKETS, INCOME, AND SUPPLY

Appropriations, 2017....................................     $20,705,000
Budget estimate, 2018...................................      20,489,000
Committee recommendation................................      20,489,000

    Under section 32 of the Act of August 24, 1935, (7 U.S.C. 
612c), an amount equal to 30 percent of customs receipts 
collected during each preceding calendar year and unused 
balances are available for encouraging the domestic consumption 
and exportation of agricultural commodities. An amount equal to 
30 percent of receipts collected on fishery products is 
transferred to the Department of Commerce. Additional transfers 
to the child nutrition programs of the Food and Nutrition 
Service have been provided in recent appropriations Acts.
    The following table reflects the status of this fund for 
fiscal years 2017-2018:

              ESTIMATED TOTAL FUNDS AVAILABLE AND BALANCE CARRIED FORWARD-- FISCAL YEARS 2017-2018
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2017  Fiscal year 2018      Committee
                                                                 enacted       budget request    recommendation
----------------------------------------------------------------------------------------------------------------
Appropriation (30% of Customs Receipts)...................        10,929,841        10,370,877        10,370,877
Less Transfers:
    Food and Nutrition Service............................        -9,503,998        -8,872,010        -8,872,010
    Commerce Department...................................          -145,175          -154,867          -154,867
                                                           -----------------------------------------------------
      Total, Transfers....................................        -9,649,173        -9,026,877        -9,026,877
 
Prior Year Appropriation Available, Start of Year.........           166,333           125,000           125,000
Transfer of Prior Year Funds to FNS (F&V;).................          -125,000          -125,000          -125,000
                                                           -----------------------------------------------------
      Budget Authority, Farm Bill.........................         1,322,000         1,344,000         1,344,000
Rescission of Current Year Funds..........................          -231,374          -263,393          -263,393
Appropriations Temporarily Reduced - Sequestration........           -79,626           -77,352           -77,352
Unavailable for Obligations (Fruit and Veg transfer to              -125,000          -125,000          -125,000
 FNS).....................................................
                                                           -----------------------------------------------------
      Budget Authority, Appropriations Act................           886,000           878,255           878,255
                                                           =====================================================
Less Obligations:
    Child Nutrition Programs (Entitlement Commodities)....           465,000           465,000           465,000
    State Option Contract.................................             5,000             5,000             5,000
    Removal of Defective Commodities......................             2,500             2,500             2,500
    Emergency Surplus Removal.............................  ................  ................  ................
    Disaster Relief.......................................             5,000             5,000             5,000
    Additional Fruits, Vegetables, and Nuts Purchases.....           206,000           206,000           206,000
    Fresh Fruit and Vegetable Program.....................            43,000            47,000            47,000
    Estimated Future Needs................................           103,355            91,413            91,413
                                                           -----------------------------------------------------
      Total, Commodity Procurement........................           829,855           821,913           821,913
 
Administrative Funds:
    Commodity Purchase Support............................            35,440            35,853            35,853
    Marketing Agreements and Orders.......................            20,705            20,489            20,489
                                                           -----------------------------------------------------
      Total, Administrative Funds.........................            56,145            56,342            56,342
                                                           -----------------------------------------------------
      Total Obligations...................................           886,000           878,255           878,255
                                                           =====================================================
Unobligated Balance, End of Year..........................  ................  ................  ................
Unavailable for Obligations (Fruit and Veg transfer to               125,000           125,000           125,000
 FNS).....................................................
Balances, Collections and Recoveries Not Available........  ................  ................  ................
                                                           -----------------------------------------------------
      Total End of Year Balances..........................           125,000           125,000           125,000
----------------------------------------------------------------------------------------------------------------

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a transfer from section 32 funds 
of $20,489,000 for the formulation and administration of 
marketing agreements and orders.
    Section 32 Authorities.--Under the authority described in 
clause 3 of 7 U.S.C. 612c, the Secretary is able to direct 
funds from the section 32 account to increase the purchasing 
power of producers. This practice has been used on various 
occasions to provide direct assistance to producers when market 
forces or natural conditions adversely affect the financial 
condition of farmers and ranchers. The Committee notes the 
importance of the ability of the Secretary to utilize this 
authority, but believes that communication between the 
Department and the Congress should be improved when this 
practice is used. Therefore, the Committee directs the 
Secretary to provide notification to the Appropriations 
Committee in advance of any public announcement or release of 
section 32 funds under the specific authorities cited above.

                   PAYMENTS TO STATES AND POSSESSIONS

Appropriations, 2017....................................      $1,235,000
Budget estimate, 2018...................................       1,109,000
Committee recommendation................................       1,235,000

    The Federal-State Marketing Improvement Program [FSMIP] is 
authorized by section 204(b) of the Agricultural Marketing Act 
of 1946 and is also funded from appropriations. Matching grants 
are awarded on a competitive basis to State marketing agencies 
to identify and test market alternative farm commodities, 
determine methods of providing more reliable market 
information, and develop better commodity grading standards. 
This program has made possible many types of projects, such as 
electronic marketing and agricultural product diversification. 
Current projects are focused on the improvement of marketing 
efficiency and effectiveness, and seeking new outlets for 
existing farm produced commodities. The legislation grants the 
U.S. Department of Agriculture authority to establish 
cooperative agreements with State departments of agriculture or 
similar State agencies to improve the efficiency of the 
agricultural marketing chain. The States perform the work or 
contract it to others, and must contribute at least one-half of 
the cost of the projects.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $1,235,000 for 
Payments to States and Possessions for Federal-State marketing 
projects and activities.

        Grain Inspection, Packers and Stockyards Administration


                         SALARIES AND EXPENSES

Appropriations, 2017....................................     $43,482,000
Budget estimate, 2018...................................      42,975,000
Committee recommendation................................      43,482,000

    The Grain Inspection, Packers and Stockyards Administration 
[GIPSA] was established pursuant to the Secretary's 1994 
reorganization. Grain inspection and weighing programs are 
carried out under the U.S. Grain Standards Act (7 U.S.C. 71 et 
seq.) and other programs under the authority of the 
Agricultural Marketing Act of 1946, including the inspection 
and grading of rice and grain-related products; conducting 
official weighing and grain inspection activities; and grading 
dry beans and peas, and processed grain products. Under the 
Packers and Stockyards Act (7 U.S.C. 181 et seq.), assurance of 
the financial integrity of the livestock, meat, and poultry 
markets is provided. The Administration monitors competition in 
order to protect producers, consumers, and industry from 
deceptive and fraudulent practices which affect meat and 
poultry prices.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $43,482,000 
for salaries and expenses of the Grain Inspection, Packers and 
Stockyards Administration.

        LIMITATION ON INSPECTION AND WEIGHING SERVICES EXPENSES

Limitation, 2017........................................     $55,000,000
Budget limitation, 2018.................................      60,000,000
Committee recommendation................................      57,500,000

    The agency provides an official grain inspection and 
weighing system under the U.S. Grain Standards Act [USGSA], and 
official inspection of rice and grain-related products under 
the Agricultural Marketing Act [AMA] of 1946. The USGSA was 
amended in 1981 to require the collection of user fees to fund 
the costs associated with the operation, supervision, and 
administration of Federal grain inspection and weighing 
activities.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a limitation of $57,500,000 on 
inspection and weighing services expenses.

             Office of the Under Secretary for Food Safety

Appropriations, 2017....................................        $819,000
Budget estimate, 2018...................................         814,000
Committee recommendation................................         819,000

    The Office of the Under Secretary for Food Safety provides 
direction and coordination in carrying out the laws enacted by 
the Congress with respect to the Department's inspection of 
meat, poultry, and processed egg products. The Office has 
oversight and management responsibilities for the Food Safety 
and Inspection Service.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $819,000 for 
the Office of the Under Secretary for Food Safety.

                   Food Safety and Inspection Service

Appropriations, 2017....................................  $1,032,062,000
Budget estimate, 2018...................................   1,038,069,000
Committee recommendation................................   1,038,069,000

    The major objectives of the Food Safety and Inspection 
Service are to assure that meat and poultry products are 
wholesome, unadulterated, and properly labeled and packaged, as 
required by the Federal Meat Inspection Act (21 U.S.C. 601 et 
seq.) and the Poultry Products Inspection Act (21 U.S.C. 451 et 
seq.); and to provide continuous in-plant inspection to egg 
processing plants under the Egg Products Inspection Act.
    The Food Safety and Inspection Service was established on 
June 17, 1981, by Secretary's Memorandum No. 1000-1, issued 
pursuant to Reorganization Plan No. 2 of 1953.
    The inspection program of the Food Safety and Inspection 
Service provides in-plant inspection of all domestic plants 
preparing meat, poultry or egg products for sale or 
distribution; reviews foreign inspection systems and 
establishments that prepare meat or poultry products for export 
to the United States; and provides technical and financial 
assistance to States which maintain meat and poultry inspection 
programs.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $1,038,069,000 
for the Food Safety and Inspection Service [FSIS]. The 
Committee provides an increase of $5,500,000, for FSIS to fully 
implement Siluriformes fish and fish product inspection.
    Breed Claim Standards.--FSIS is directed to conduct a study 
to (1) evaluate the current processes for the labeling of 100 
percent pure breed claim standards for livestock products 
within the relevant agencies of the Department; and (2) 
identify instances of conflicting 100 percent pure breed claim 
standards for livestock. This report shall be completed within 
90 days after enactment.
    Game Birds.--The Committee directs the FSIS to provide a 
report on the impact of defining games birds, such as quail, as 
amendable in Federal code in regard to inspection.
    Humane Slaughter.--The Committee directs FSIS to continue 
to provide annual reports to the Committee on the 
implementation of objective scoring methods undertaken by FSIS 
to enforce the Humane Methods of Slaughter Act.
    The Committee also directs FSIS to ensure that personnel 
hired with funding previously provided specifically for Humane 
Methods of Slaughter Act enforcement focus their attention on 
overseeing compliance with humane handling rules for live 
animals as they arrive and are offloaded and handled in pens, 
chutes, and stunning areas and that all inspectors receive 
robust training.
    Inspections.--The Committee directs FSIS to complete 
equivalence determinations for all countries wishing to 
continue exporting Siluriformes to the United States not later 
than March 1, 2018, and directs FSIS to complete equivalence 
determinations on a country-by-country basis based on volume of 
catfish exports to the Unites States.
    The following table represents the Committee's specific 
recommendations for the Food Safety and Inspection Service as 
compared to the fiscal year 2017 and budget request levels:

                            FOOD SAFETY AND INSPECTION SERVICE SALARIES AND EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                    Fiscal year
                                                                    Fiscal year     2018 budget      Committee
                                                                   2017 enacted       request     recommendation
----------------------------------------------------------------------------------------------------------------
Food safety inspection:
    Federal.....................................................         915,755         921,762         921,762
    State.......................................................          61,568          61,568          61,568
    International...............................................          16,487          16,487          16,487
    Codex Alimentarius..........................................           3,672           3,672           3,672
    PHDCIS......................................................          34,580          34,580          34,580
                                                                 -----------------------------------------------
      Total.....................................................       1,032,062       1,038,069       1,038,069
----------------------------------------------------------------------------------------------------------------


                                TITLE II

                    FARM PRODUCTION AND CONSERVATION

   Office of the Under Secretary for Farm Production and Conservation

Appropriations, 2017....................................        $901,000
Budget estimate, 2018...................................         896,000
Committee recommendation................................         901,000

    The Office of the Under Secretary for Farm Production and 
Conservation provides direction and coordination in carrying 
out the laws enacted by the Congress with respect to the 
Department's commodity programs, farm loans, disaster 
assistance, crop insurance, natural resources conservation and 
environment programs, and some energy programs. The Office has 
oversight and management responsibilities for the Farm Service 
Agency (including the Commodity Credit Corporation), Risk 
Management Agency, and the Natural Resources Conservation 
Service.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $901,000 for 
the Office of the Under Secretary for Farm Production and 
Conservation.
    Deputy Under Secretary for Conservation.--The Committee 
recognizes that NRCS, FSA, and RMA each play an important role 
in helping farmers, ranchers, and foresters manage risk and 
build the resilience of their operations. Additionally, better 
coordination and data sharing between the three agencies can 
limit inefficiencies, improve conservation outcomes, and 
enhance USDA's ability to serve its customers. The Committee 
therefore encourages the Secretary to establish a Deputy Under 
Secretary for Conservation under the Farm Production and 
Conservation Mission Area to facilitate such coordination and 
ensure that each of the three agencies is supporting the 
conservation objectives of the producers that they serve.
    Emergency Response.--The Committee directs USDA to produce 
a report outlining the average and longest length of time it 
takes USDA to provide reimbursement under the following 
emergency assistance programs: crop insurance; Noninsured Crop 
Disaster Assistance Program [NAP]; Livestock Indemnity Program 
[LIP]; Livestock Forage Disaster Program [LFP]; Emergency 
Assistance for Livestock, Honey Bees, and Farm-Raised Fish 
Program [ELAP]; Tree Assistance Program [TAP]; Emergency 
Conservation Program; and Emergency Forest Restoration Program 
[EFRP]. USDA is also directed to include in the report any 
barriers to implementing a more efficient reimbursement process 
and recommendations to the Committee on potential improvements.

                          Farm Service Agency

    The Farm Service Agency [FSA] was established October 13, 
1994, pursuant to the Federal Crop Insurance Reform and 
Department of Agriculture Reorganization Act of 1994, Public 
Law 103-354. The FSA administers a variety of activities, such 
as the commodity price support and production adjustment 
programs financed by the Commodity Credit Corporation; the 
Conservation Reserve Program [CRP]; the Emergency Conservation 
Program; the Commodity Operation Programs including the 
warehouse examination function; farm ownership, farm operating, 
emergency disaster, and other loan programs; and the Noninsured 
Crop Disaster Assistance Program [NAP], which provides crop 
loss protection for growers of many crops for which crop 
insurance is not available. In addition, FSA currently provides 
certain administrative support services to the Foreign 
Agricultural Service [FAS] and to the Risk Management Agency 
[RMA].

                         SALARIES AND EXPENSES

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                 Transfers from    Total, FSA,
                                                                Appropriations      program        salaries and
                                                                                    accounts         expenses
----------------------------------------------------------------------------------------------------------------
Appropriations, 2017.........................................        1,206,110          309,610        1,515,720
Budget estimate, 2018........................................        1,130,163          297,888        1,428,051
Committee recommendation.....................................        1,212,116          309,610        1,521,726
----------------------------------------------------------------------------------------------------------------

    The account Salaries and Expenses, Farm Service Agency, 
funds the administrative expenses of program administration and 
other functions assigned to FSA. The funds consist of 
appropriations and transfers from the CCC export credit 
guarantees, Food for Peace loans, and Agricultural Credit 
Insurance Fund program accounts, and miscellaneous advances 
from other sources. All administrative funds used by FSA are 
consolidated into one account. The consolidation provides 
clarity and better management and control of funds, and 
facilitates accounting, fiscal, and budgetary work by 
eliminating the necessity for making individual allocations and 
allotments and maintaining and recording obligations and 
expenditures under numerous separate accounts.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $1,521,726,000 
for salaries and expenses of the Farm Service Agency, including 
a direct appropriation of $1,212,116,000. The Committee 
supports the mission of FSA and the important services that 
they provide across the country; therefore, the Committee does 
not accept the full decrease for information technology as 
proposed in the budget. The Committee provides $16,100,000 for 
CCC audit readiness, an increase of $6,850,000 for reports and 
analytics for field operations, and an increase of $2,918,000 
for Bridges to Opportunity.
    Continuous Conservation Reserve Program.--The Secretary is 
strongly encouraged to, within the total acreage made available 
for enrollment in the conservation reserve program and without 
reducing the periodic availability of general signup, enroll, 
to the maximum extent practicable, acreage for activities 
included in the State Acres for Wildlife Enhancement practice 
or other similar administratively established wetland and 
habitat practices that benefit priority fish and wildlife 
species identified in State, regional, and national 
conservation initiatives with a priority for initiatives that 
provide large blocks of cover ideal for wildlife nesting.
    Information Technology.--The Committee remains dedicated to 
ensuring FSA has reliable and functioning IT systems because it 
is critical that farmers and ranchers have access to the tools 
they need to succeed. The Committee has invested significant 
taxpayer dollars to modernize outdated systems and continues to 
provide resources above the budget request. The Committee 
continues statutory language that allows funds for IT to be 
obligated only after the Secretary meets certain reporting 
requirements. The Committee has reviewed the third-party IT 
analysis and expects the agency to follow the recommendations 
where applicable.
    National Agriculture Imagery Program.--The Committee 
recommends that funding shall be allocated to purchase imagery 
products to meet programmatic requirements.

                         STATE MEDIATION GRANTS

Appropriations, 2017....................................      $3,904,000
Budget estimate, 2018...................................       3,398,000
Committee recommendation................................       3,904,000

    This program is authorized under title V of the 
Agricultural Credit Act of 1987 (7 U.S.C. 5101 et seq.). 
Originally designed to address agricultural credit disputes, 
the program was expanded by the Federal Crop Insurance Reform 
and Department of Agriculture Reorganization Act of 1994 
(Public Law 103-354) to include other agricultural issues such 
as wetland determinations, conservation compliance, rural water 
loan programs, grazing on National Forest System lands, and 
pesticides. Grants are made to States whose mediation programs 
have been certified by the FSA. Grants will be solely for 
operation and administration of the State's agricultural 
mediation program.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $3,904,000 for 
State Mediation Grants.

               GRASSROOTS SOURCE WATER PROTECTION PROGRAM

Appropriations, 2017....................................      $6,500,000
Budget estimate, 2018...................................................
Committee recommendation................................       6,500,000

    This program is intended to assist in the protection of 
groundwater through State rural water associations.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $6,500,000 for 
Grassroots Source Water Protection.

                        DAIRY INDEMNITY PROGRAM

Appropriations, 2017....................................        $500,000
Budget estimate, 2018...................................         500,000
Committee recommendation................................         500,000

    Under the program, the Department makes indemnification 
payments to dairy farmers and manufacturers of dairy products 
who, through no fault of their own, suffer income losses 
because they are directed to remove their milk from commercial 
markets due to contamination of their products by registered 
pesticides. The program also authorizes indemnity payments to 
dairy farmers for losses resulting from the removal of cows or 
dairy products from the market due to nuclear radiation or 
fallout.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of such sums as 
may be necessary, estimated in fiscal year 2018 to be $500,000, 
for indemnity payments to dairy farmers.

           AGRICULTURAL CREDIT INSURANCE FUND PROGRAM ACCOUNT

    The Agricultural Credit Insurance Fund Program Account is 
used to provide direct and guaranteed farm ownership, farm 
operating, conservation, Indian highly fractioned land, and 
emergency loans to individuals, as well as the following types 
of loans to associations: irrigation and drainage, grazing, 
Indian tribe land acquisition, and boll weevil eradication.
    FSA is also authorized to provide financial assistance to 
borrowers by guaranteeing loans made by private lenders having 
a contract of guarantee from FSA as approved by the Secretary 
of Agriculture and to establish Beginning Farmer and Rancher 
Individual Development grant accounts.
    The following programs are financed through this fund:
    Boll Weevil Eradication Loans.--Made to assist foundations 
in financing the operations of the boll weevil eradication 
programs provided to farmers.
    Credit Sales of Acquired Property.--Property is sold out of 
inventory and is made available to an eligible buyer by 
providing FSA loans.
    Emergency Loans.--Made to producers to aid recovery from 
production and physical losses due to drought, flooding, other 
natural disasters, or quarantine. The loans may be used to: 
restore or replace essential property; pay all or part of 
production costs associated with the disaster year; pay 
essential family living expenses; reorganize the farming 
operation; and refinance certain debts.
    Farm Operating Loans.--Provide short-to-intermediate term 
production or chattel credit to farmers who cannot obtain 
credit elsewhere, to improve their farm and home operations, 
and to develop or maintain a reasonable standard of living. The 
term of the loan varies from 1 to 7 years.
    Farm Ownership Loans.--Made to borrowers who cannot obtain 
credit elsewhere to restructure their debts, improve or 
purchase farms, refinance nonfarm enterprises which supplement 
but do not supplant farm income, or make additions to farms. 
Loans are made for 40 years or less.
    Indian Tribe Land Acquisition Loans.--Made to any Indian 
tribe recognized by the Secretary of the Interior or tribal 
corporation established pursuant to the Indian Reorganization 
Act (Public Law 93-638) which does not have adequate 
uncommitted funds to acquire lands or interest in lands within 
the tribe's reservation or Alaskan Indian community, as 
determined by the Secretary of the Interior, for use of the 
tribe or the corporation or the members thereof.
    Indian Highly Fractionated Land Loans.--Made to Indian 
tribal members to purchase highly fractionated lands, as 
authorized by the Food, Conservation, and Energy Act of 2008.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a total loan level of 
$8,005,610,000 for programs within the Agricultural Credit 
Insurance Fund Program Account.
    Loan Programs.--The Committee continues to support FSA loan 
programs that ensure farmers and ranchers have access to credit 
to maintain and improve their operations. The Committee is 
aware of the heightened operating loan activity in fiscal year 
2017 and notes the statutory authority allowing program level 
increases that do not require additional budget authority. The 
Committee will continue to monitor program demand in the coming 
months and directs FSA to provide timely estimates for future 
needs.
    The following table reflects the program levels for farm 
credit programs administered by the Farm Service Agency 
recommended by the Committee, as compared to the fiscal year 
2017 and the budget request levels:

                                    AGRICULTURAL CREDIT PROGRAMS--LOAN LEVELS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Farm Ownership:
    Direct...................................................        1,500,000        1,500,000        1,500,000
    Guaranteed...............................................        2,750,000        2,500,000        2,750,000
Farm Operating:
    Direct...................................................        1,530,000        1,304,851        1,530,000
    Guaranteed unsubsidized..................................        1,960,000        1,393,423        1,960,000
Emergency Loans..............................................           22,576           25,610           22,581
Indian Tribe Land Acquisition................................           20,000           20,000           20,000
Conservation Loans:
    Guaranteed...............................................          150,000          150,000          150,000
Indian Highly Fractionated Land Loans........................           10,000  ...............           10,000
Boll Weevil Eradication......................................           60,000           60,000           60,000
----------------------------------------------------------------------------------------------------------------

    The Federal Credit Reform Act of 1990 established the 
program account. Appropriations to this account are used to 
cover the lifetime subsidy costs associated with the direct 
loans obligated and loan guarantees committed, as well as for 
administrative expenses.
    The following table reflects the cost of programs under 
credit reform:

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Farm Operating:
    Direct...................................................           65,178           52,716           61,812
    Guaranteed unsubsidized..................................           20,972           15,467           21,756
Emergency Loans..............................................            1,262            1,260            1,111
Indian Highly Fractionated Land Loans........................            2,550  ...............            2,272
----------------------------------------------------------------------------------------------------------------

                         Risk Management Agency

Appropriations, 2017....................................     $74,829,000
Budget estimate, 2018...................................      55,000,000
Committee recommendation................................      74,829,000

    The Risk Management Agency performs administrative 
functions relative to the Federal crop insurance program that 
is authorized by the Federal Crop Insurance Act (7 U.S.C. 
1508), as amended by the Agricultural Risk Protection Act of 
2000 [ARPA], Public Law 106-224, and the Agricultural Act of 
2014 (Public Law 113-79).
    ARPA authorized significant changes in the crop insurance 
program. This act provides higher government subsidies for 
producer premiums to make coverage more affordable; expands 
research and development for new insurance products and under-
served areas through contracts with the private sector; and 
tightens compliance. Functional areas of risk management are: 
research and development; insurance services; and compliance, 
whose functions include policy formulation and procedures and 
regulations development.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $74,829,000 
for the Risk Management Agency.
    The Committee recognizes that there are many research 
priorities that competitive funding may be used to address, 
including the feasibility of insurance programs to cover 
business interruption due to integrator bankruptcy and 
catastrophic loss in the poultry industry. The Committee 
encourages RMA to support research into these priorities.

                 Natural Resources Conservation Service

    The Natural Resources Conservation Service [NRCS] was 
established pursuant to Public Law 103-354, the Department of 
Agriculture Reorganization Act of 1994 (7 U.S.C. 6962). The 
NRCS works with conservation districts, watershed groups, and 
Federal and State agencies to bring about physical adjustments 
in land use that will conserve soil and water resources, 
provide for agricultural production on a sustained basis, and 
reduce flood damage and sedimentation.

                        CONSERVATION OPERATIONS

Appropriations, 2017....................................    $864,474,000
Budget estimate, 2018...................................     766,000,000
Committee recommendation................................     874,107,000

    Conservation operations are authorized by Public Law 74-46 
(16 U.S.C. 590a-590f). Activities include:
    Conservation Technical Assistance provides assistance to 
district cooperators and other land users in the planning and 
application of conservation treatments to control erosion and 
improve the quantity and quality of soil resources, improve and 
conserve water, enhance fish and wildlife habitat, conserve 
energy, improve woodland, pasture and range conditions, and 
reduce upstream flooding; all to protect and enhance the 
natural resource base.
    Resource appraisal and program development ensures that 
programs administered by the Secretary of Agriculture for the 
conservation of soil, water, and related resources shall 
respond to the Nation's long-term needs.
    Plant Materials Centers assemble, test, and encourage 
increased use of plant species which show promise for use in 
the treatment of conservation problem areas.
    Snow Survey and Water Forecasting provides estimates of 
annual water availability from high mountain snow packs and 
relates to summer stream flow in the Western States and Alaska. 
Information is used by agriculture, industry, and cities in 
estimating future water supplies.
    Soil Surveys inventory the Nation's basic soil resources 
and determine land capabilities and conservation treatment 
needs. Soil survey publications include interpretations useful 
to cooperators, other Federal agencies, State, and local 
organizations.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $874,107,000 
for Conservation Operations. The Committee recommendation 
includes $768,844,000 for Conservation Technical Assistance, 
$80,802,000 for Soil Surveys, $9,380,000 for Snow Survey and 
Water Forecasting, and $9,481,000 for Plant Materials Centers.
    Acre-for-Acre Wetlands Mitigation.--The Secretary is 
encouraged to use mitigation with the conversion of a natural 
wetland and equivalent wetlands functions at a ratio not to 
exceed a ratio of 1-to-1 acreage.
    Agricultural Conservation Easement Program.--The Committee 
notes that no other Federal program exists to protect the long-
term viability of the Nation's food supply by preventing 
conversion of productive working farmlands to non-agricultural 
uses. The Committee is concerned by the excessive delays in 
completing Agricultural Conservation Easement Program 
easements, and directs the Department to move additional real 
estate functions in-house to improve the quality and speed of 
completion of valuations and appraisals for projects. In 
addition, the Committee is troubled by a one-size-fits-all 
national approach to deed terms for ACEP easements, and 
encourages the Department address regional needs and work with 
partners to give farmers the ability to anticipate, adapt to, 
and address the changing needs of the farm economy.
    Agricultural Management Assistance.--In carrying out the 
programs under section 524(b) of the Federal Crop Insurance 
Act, the Secretary is encouraged to establish multi-year pilot 
projects to provide financial and technical assistance to farms 
regulated under FSMA Produce Safety Rule, for capital 
improvements required to comply with the rule and otherwise 
enhance food safety practices at the production level. Payment 
limits and other provisions of the AMA program will apply.
    Regional Conservation Partnership Program.--The Committee 
is concerned that the Natural Resources Conservation Service is 
not operating the Regional Conservation Partnership Program 
with a consistent standard for reimbursing certain technical 
assistance costs. The Committee believes that NRCS should 
clarify that travel to and from participating farms and ranches 
by a partner to deliver technical services is generally 
eligible for reimbursement as a technical assistance cost under 
RCPP. Therefore, the Committee encourages the NRCS to use the 
same technical assistance reimbursement standard for RCPP as 
they do for other NRCS conservation programs, in order to 
properly facilitate this important program.
    Salton Sea.--The Committee encourages NRCS to closely 
coordinate with the Army Corps of Engineers and the State of 
California on efforts to restore the Salton Sea in order to 
expedite project planning and implementation. NRCS is directed 
to brief the Committee not later than 90 days after enactment 
of this Act on its current and planned efforts to help restore 
the Salton Sea.
    Technical Assistance.--The Committee directs NRCS to 
maintain a record of total technical assistance dollars for the 
past 3 years and annually in the future, and provide the data 
to the Appropriations Subcommittee on Agriculture, and the 
Committee on Agriculture, Nutrition and Forestry. This report 
should differentiate mandatory and discretionary allocations.

               WATERSHED AND FLOOD PREVENTION OPERATIONS

Appropriations, 2017....................................    $150,000,000
Budget estimate, 2018...................................................
Committee recommendation................................     150,000,000

    The Watershed Protection and Flood Prevention Act (Public 
Law 566, 83d Cong.) (16 U.S.C. 1000-1005, 1007-1009) provides 
for cooperation between the Federal Government and the States 
and their political subdivisions in a program to prevent 
erosion, floodwater, and sediment damages in the watersheds or 
rivers and streams and to further the conservation, 
development, utilization, and disposal of water, and to further 
the conservation and proper utilization of land in authorized 
watersheds.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $150,000,000 
for the Watershed and Flood Prevention Operations Program.
    The Committee recognizes the critical challenges facing 
rural water resource management and protection and supports 
needed investments in watershed operations. These Federal-
State-local partnerships are uniquely positioned to identify 
critical watershed protection and flood prevention needs in 
rural communities and implement projects that deliver multiple 
streams of benefits for homes, businesses, and transportation 
infrastructure and natural resources. In selecting projects for 
funding, the Committee expects the Agency to balance the needs 
of addressing the project backlog, remediation of existing 
structures, and new projects.

                    WATERSHED REHABILITATION PROGRAM

Appropriations, 2017....................................     $12,000,000
Budget estimate, 2018...................................................
Committee recommendation................................................

    The watershed rehabilitation program account provides for 
technical and financial assistance to carry out rehabilitation 
of structural measures, in accordance with section 14 of the 
Watershed Protection and Flood Prevention Act, approved August 
4, 1954 (16 U.S.C. 1012, U.S.C. 1001, et seq.), as amended by 
section 313 of Public Law 106-472, November 9, 2000, and by 
section 2803 of Public Law 110-246.

                       COMMITTEE RECOMMENDATIONS

    The Committee does not recommend an appropriation for the 
Watershed Rehabilitation Program.

                              CORPORATIONS


                Federal Crop Insurance Corporation Fund

Appropriations, 2017....................................  $8,667,000,000
Budget estimate, 2018...................................   8,245,000,000
Committee recommendation................................   8,245,000,000

    The Federal Crop Insurance Act, as amended by the Federal 
Crop Insurance Reform Act of 1994, authorizes the payment of 
expenses which may include indemnity payments, loss adjustment, 
delivery expenses, program-related research and development, 
startup costs for implementing this legislation such as 
studies, pilot projects, data processing improvements, public 
outreach, and related tasks and functions.
    All program costs, except for Federal salaries and 
expenses, are mandatory expenditures subject to appropriation.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of such sums as 
may be necessary, estimated to be $8,245,000,000 in fiscal year 
2018 for the Federal Crop Insurance Corporation Fund.

                   Commodity Credit Corporation Fund

    The Commodity Credit Corporation [CCC] is a wholly owned 
Government corporation created in 1933 to stabilize, support, 
and protect farm income and prices; to help maintain balanced 
and adequate supplies of agricultural commodities, including 
products, foods, feeds, and fibers; and to help in the orderly 
distribution of these commodities. CCC was originally 
incorporated under a Delaware charter and was reincorporated 
June 30, 1948, as a Federal corporation within the Department 
of Agriculture by the Commodity Credit Corporation Charter Act, 
approved June 29, 1948 (15 U.S.C. 714).
    The Commodity Credit Corporation engages in buying, 
selling, lending, and other activities with respect to 
agricultural commodities, their products, food, feed, and 
fibers. Its purposes include stabilizing, supporting, and 
protecting farm income and prices; maintaining the balance and 
adequate supplies of selected commodities; and facilitating the 
orderly distribution of such commodities. In addition, the 
Corporation makes available materials and facilities required 
in connection with the storage and distribution of such 
commodities. The Corporation also disburses funds for sharing 
of costs with producers for the establishment of approved 
conservation practices on environmentally sensitive land and 
subsequent rental payments for such land for the duration of 
Conservation Reserve Program contracts.
    Corporation activities are primarily governed by the 
following statutes: the Commodity Credit Corporation Charter 
Act (Public Law 80-806), as amended; the Agricultural Act of 
1949 (Public Law 81-439), as amended (1949 Act); the 
Agricultural Adjustment Act of 1938 (Public Law 75-430), as 
amended (the 1938 Act); the Food Security Act of 1985 (Public 
Law 99-198), as amended (1985 Act); the Food, Conservation, and 
Energy Act of 2008 (Public Law 110-246); and the Agricultural 
Act of 2014 (Public Law 113-79).
    Management of the Corporation is vested in a board of 
directors, subject to the general supervision and direction of 
the Secretary of Agriculture, who is an ex officio director and 
chairman of the board. The board consists of seven members, in 
addition to the Secretary, who are appointed by the President 
of the United States with the advice and consent of the Senate. 
Officers of the Corporation are designated according to their 
positions in the Department of Agriculture.
    The activities of the Corporation are carried out mainly by 
the personnel and through the facilities of the Farm Service 
Agency [FSA] and the Farm Service Agency State and county 
committees. The Foreign Agricultural Service, the General Sales 
Manager, other agencies and offices of the Department, and 
commercial agents are also used to carry out certain aspects of 
the Corporation's activities.
    Under Public Law 87-155 (15 U.S.C. 713a-11, 713a-12), 
annual appropriations are authorized for each fiscal year, 
commencing with fiscal year 1961. These appropriations are to 
reimburse the Corporation for net realized losses.

                 REIMBURSEMENT FOR NET REALIZED LOSSES

Appropriations, 2017.................................... $21,290,712,000
Budget estimate, 2018...................................  17,483,000,000
Committee recommendation................................  17,483,000,000

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of such sums as 
may be necessary, estimated in fiscal year 2018 to be 
$17,483,000,000, for the payment to reimburse the Commodity 
Credit Corporation for net realized losses.
    CRP Wetland Restoration and Wildlife Enhancement.--The 
Committee notes that agricultural commodity crops, if left 
unharvested, may help reduce degradation of wetlands and 
improve sediment trapping, surface and ground water supply, 
erosion control, and wildlife habitat while providing winter 
food for waterfowl and other wildlife. The Committee directs 
the Commodity Credit Corporation, within 60 days of enactment, 
to amend its program policies and guidelines for CRP 
conservation practices CP23 and CP23A, to provide that current 
and future participants are permitted to plant--but not 
harvest--agricultural commodity crops as wildlife food plots on 
up to 10 percent of the enrolled land to enhance waterfowl and 
upland bird food and habitat.

                       HAZARDOUS WASTE MANAGEMENT

Limitation, 2017........................................      $5,000,000
Budget estimate, 2018...................................       5,000,000
Committee recommendation................................       5,000,000

    The Commodity Credit Corporation's [CCC] hazardous waste 
management program is intended to ensure compliance with the 
Comprehensive Environmental Response, Compensation, and 
Liability Act (42 U.S.C. 9601 et seq.) and the Resource 
Conservation and Recovery Act (42 U.S.C. 6901 et seq.). The CCC 
funds operations and maintenance costs as well as site 
investigation and cleanup expenses. Investigative and cleanup 
costs associated with the management of CCC hazardous waste are 
also paid from USDA's hazardous waste management appropriation.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a limitation of $5,000,000 for the 
Commodity Credit Corporation's hazardous waste management 
program.

                               TITLE III

                       RURAL DEVELOPMENT PROGRAMS

    The Federal Crop Insurance Reform and Department of 
Agriculture Reorganization Act of 1994 (Public Law 103-354) 
abolished the Farmers Home Administration, Rural Development 
Administration, and Rural Electrification Administration and 
replaced those agencies with the Rural Housing and Community 
Development Service, (currently, the Rural Housing Service), 
Rural Business and Cooperative Development Service (currently, 
the Rural Business--Cooperative Service), and Rural Utilities 
Service and placed them under the oversight of the Under 
Secretary for Rural Economic and Community Development, 
(currently, Rural Development). These agencies deliver a 
variety of programs through a network of State and field 
offices.

          Office of the Under Secretary for Rural Development

Appropriations, 2017....................................        $896,000
Budget estimate, 2018...................................         891,000
Committee recommendation................................         896,000

    The Office of the Under Secretary for Rural Development 
provides direction and coordination in carrying out laws with 
respect to the Department's rural economic and community 
development activities. The Office has oversight and management 
responsibilities for the Rural Housing Service, Rural 
Business--Cooperative Service, and the Rural Utilities Service.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $896,000 for 
the Office of the Under Secretary for Rural Development.
    Bioenergy Program for Advanced Biofuels.--The Committee is 
concerned with the interim rule proposed by the Department 
under the Bioenergy Program for Advanced Biofuels program 
(section 9005 of the Energy title of the farm bill, Public Law 
113-79), which is intended to promote the development of 
different qualifying advanced fuel categories. The Committee is 
concerned that the allocation formula for distribution of 
section 9005 funds among the qualified fuel categories is 
inequitable, disproportionate, and inconsistent with the 
purpose and intent of the section 9005 program. The Committee 
urges the Department to administer the section 9005 program in 
a way that is fuel and technology-neutral. Consistent with 
these objectives, the Committee directs USDA to propose 
amendments to the interim rule to ensure that any final rule to 
implement section 9005 provides for a more equitable and 
proportional allocation of funding among the qualified advanced 
biofuels and the energy pathways they represent.

                                     RURAL DEVELOPMENT SALARIES AND EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Appropriation................................................          225,835          186,076          225,835
Transfer from:
    Rural Housing Insurance Fund Loan Program Account........          412,254          244,249          412,254
    Rural Electrification and Telecommunications Program                33,270           38,027           33,270
     Account.................................................
    Rural Development Loan Program Account...................            4,468  ...............            4,468
    Community Facilities Program Account.....................  ...............          147,591  ...............
    Distance Learning, Telemedicine and Broadband Program      ...............            8,057  ...............
     Account.................................................
                                                              --------------------------------------------------
      Total, Rural Development salaries and expenses.........          675,827          624,000          675,827
----------------------------------------------------------------------------------------------------------------

    These funds are used to administer the loan and grant 
programs of the Rural Utilities Service, the Rural Housing 
Service, and the Rural Business--Cooperative Service, including 
reviewing applications, making and collecting loans and 
providing technical assistance and guidance to borrowers; and 
to assist in extending other Federal programs to people in 
rural areas.
    Under credit reform, administrative costs associated with 
loan programs are appropriated to the program accounts. 
Appropriations to the salaries and expenses account will be for 
costs associated with grant programs.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $675,827,000 for salaries and 
expenses of Rural Development.

                         Rural Housing Service

    The Rural Housing Service [RHS] was established under the 
Federal Crop Insurance Reform and Department of Agriculture 
Reorganization Act of 1994, dated October 13, 1994.

              RURAL HOUSING INSURANCE FUND PROGRAM ACCOUNT

Appropriations, 2017 (budget authority).................    $509,892,000
Budget estimate, 2018 (budget authority)................     244,249,000
Committee recommendation (budget authority).............     478,338,000

    This fund was established in 1965 (Public Law 89-117) 
pursuant to section 517 of title V of the Housing Act of 1949 
(42 U.S.C. 517(d)), as amended. This fund may be used to insure 
or guarantee rural housing loans for single-family homes, 
rental and cooperative housing, farm labor housing, and rural 
housing sites. Rural housing loans are made to construct, 
improve, alter, repair, or replace dwellings and essential farm 
service buildings that are modest in size, design, and cost. 
Rental housing insured loans are made to individuals, 
corporations, associations, trusts, or partnerships to provide 
low-cost rental housing and related facilities in rural areas. 
These loans are repayable in terms up to 30 years.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $478,338,000 
for the Rural Housing Insurance Fund Program Account [RHIF].
    The Federal Credit Reform Act of 1990 (Public Law 101-508) 
established the RHIF program account. Appropriations to this 
account will be used to cover the lifetime subsidy costs 
associated with the direct loans obligated and loan guarantees 
committed in 2018, as well as for administrative expenses. The 
following table presents the loan subsidy levels as compared to 
the 2017 levels and the 2018 budget request:

                                  RURAL HOUSING INSURANCE FUND PROGRAM ACCOUNT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Loan Levels:
    Single-Family Housing (sec. 502):
        Direct...............................................        1,000,000  ...............        1,000,000
        Guaranteed...........................................       24,000,000       24,000,000       24,000,000
    Housing repair (sec. 504)................................           26,278  ...............           26,278
    Direct rental housing (sec. 515).........................           35,000  ...............           35,000
    Guaranteed rental housing (sec. 538).....................          230,000          250,000          230,000
    Site development loans (sec. 524)........................            5,000  ...............            5,000
    Credit sales of acquired property........................           10,000           10,000           10,000
    Self help land development loans (sec. 523)..............            5,000  ...............            5,000
    Farm labor housing loans (sec. 514)......................           23,855  ...............           23,855
                                                              --------------------------------------------------
      Total, loan levels.....................................       25,335,133       24,260,000       25,335,133
                                                              ==================================================
Loan Subsidies and Grants:
    Single-Family Housing (sec. 502):
        Direct...............................................           67,700  ...............           38,500
    Housing repair (sec. 504)................................            3,663  ...............            3,240
    Direct rental housing (sec. 515).........................           10,360  ...............            9,209
    Site development (sec. 524)..............................              111  ...............               58
    Self help land development (sec. 523)....................              417  ...............              368
    Farm labor housing loans (sec. 514)......................            7,051  ...............            6,374
    Farm labor housing grants (sec. 516).....................            8,336  ...............            8,336
                                                              --------------------------------------------------
      Total, loan subsidies and grants.......................           97,638  ...............           66,085
                                                              ==================================================
Administrative expenses......................................          412,254          244,249          412,254
                                                              ==================================================
      Total, loan subsidies and administrative expenses......          509,892          244,249          478,338
----------------------------------------------------------------------------------------------------------------

    Energy Efficiency.--The Committee recognizes opportunities 
to reduce costs for rural housing and save taxpayer money by 
embracing energy efficiency standards in rural housing, with 
measures such as air sealing, and installing insulation, window 
films, and roofs.
    Maturing Mortgages.--The Committee is very concerned about 
the alarming number of multi-family housing mortgages scheduled 
to mature in the next few years. As these mortgages mature, 
projects and units will be removed from USDA's affordable rural 
housing program, placing very low income rural residents in 
jeopardy of untenable rent increases and possible eviction. In 
spite of numerous requests from the Committee, the Department 
has failed to identify and develop potential solutions to this 
looming crisis.
    The Secretary is directed to engage affordable housing 
advocates, project owners, tenants, and others as practicable, 
to find acceptable and effective long term solutions that will 
retain projects in the affordable rural housing program. The 
need for affordable rural housing is too great to allow the 
program to expire.

                       RENTAL ASSISTANCE PROGRAM

Appropriations, 2017....................................  $1,405,033,000
Budget estimate, 2018...................................   1,345,293,000
Committee recommendation................................   1,345,293,000

    Rental assistance is authorized under section 521(a)(2) of 
the Housing Act of 1949, as amended (42 U.S.C. 1490a). The 
objective of the program is to reduce rents paid by low-income 
families living in Rural Housing Service financed rental 
projects and farm labor housing projects. Under this program, 
low-income tenants will contribute the higher of: (1) 30 
percent of monthly adjusted income; (2) 10 percent of monthly 
income; or (3) designated housing payments from a welfare 
agency.
    Payments from the fund are made to the project owner for 
the difference between the tenant's payment and the approved 
rental rate established for the unit.
    The program is administered in tandem with the Rural 
Housing Service section 515 rural rental housing program and 
the farm labor loan and grant programs. Priority is given to 
existing projects for units occupied by rent over-burdened low-
income families and projects experiencing financial 
difficulties beyond the control of the owner.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $1,345,293,000 
for the Rental Assistance Program.

          MULTI-FAMILY HOUSING REVITALIZATION PROGRAM ACCOUNT

Appropriations, 2017....................................     $41,400,000
Budget estimate, 2018...................................      20,000,000
Committee recommendation................................      41,400,000

    The Rural Housing Voucher Program was authorized under the 
Housing Act of 1949 (42 U.S.C. 1940r) to assist very low income 
families and individuals who reside in rental housing in rural 
areas. Housing vouchers may be provided to residents of rental 
housing projects financed by section 515 loans that have been 
prepaid after September 30, 2005. Voucher amounts reflect the 
difference between comparable market rents and tenant-paid rent 
prior to loan prepayment. Vouchers allow tenants to remain in 
existing projects or move to other rental housing.
    The Multi-family Housing Revitalization Program includes 
funding for housing vouchers and a demonstration program for 
the preservation and revitalization of affordable multi-family 
housing projects. Rural Development's multi-family housing 
portfolio faces dual pressures for loan prepayments and repair/
rehabilitation stemming from inadequate reserves resulting in 
deferred property maintenance.
    Provision of affordable rental housing can be accomplished 
more economically by revitalizing existing housing stock rather 
than funding new construction. The Multi-family Housing 
Revitalization Program includes revitalization tools for 
maintenance of existing units and vouchers to protect tenants 
in those projects that prepay. Flexibility is provided to allow 
Rural Development to utilize funding to meet the most urgent 
local needs for tenant protection and project revitalization.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $41,400,000 
for the Multi-family Housing Revitalization Program, including 
$19,400,000 for vouchers and $22,000,000 for a housing 
preservation demonstration program.

                  MUTUAL AND SELF-HELP HOUSING GRANTS

Appropriations, 2017....................................     $30,000,000
Budget estimate, 2018...................................................
Committee recommendation................................      30,000,000

    The Mutual and Self-Help Housing Grants Program is 
authorized by title V of the Housing Act of 1949. Grants are 
made to local organizations to promote the development of 
mutual or self-help programs under which groups of usually 6 to 
10 families build their own homes by mutually exchanging labor. 
Funds may be used to pay the cost of construction supervisors 
who work with families in the construction of their homes and 
for administrative expenses of the organizations providing the 
self-help assistance.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $30,000,000 
for Mutual and Self-Help Housing Grants.

                    RURAL HOUSING ASSISTANCE GRANTS

Appropriations, 2017....................................     $33,701,000
Budget estimate, 2018...................................................
Committee recommendation................................      33,701,000

    The Rural Housing Assistance Grants Program consolidates 
funding for rural housing grant programs. This consolidation of 
housing grant funding provides greater flexibility to tailor 
financial assistance to applicant needs.
    Very Low-Income Housing Repair Grants.--The Very Low-Income 
Housing Repair Grants Program is authorized under section 504 
of title V of the Housing Act of 1949. The rural housing repair 
grant program is carried out by making grants to very low-
income families to make necessary repairs to their homes in 
order to make such dwellings safe and sanitary, and remove 
hazards to the health of the occupants, their families, or the 
community.
    These grants may be made to cover the cost of improvements 
or additions, such as repairing roofs, providing toilet 
facilities, providing a convenient and sanitary water supply, 
supplying screens, repairing or providing structural supports 
or making similar repairs, additions, or improvements, 
including all preliminary and installation costs in obtaining 
central water and sewer service. A grant can be made in 
combination with a section 504 very low-income housing repair 
loan.
    No assistance can be extended to any one individual in the 
form of a loan, grant, or combined loans and grants in excess 
of $27,500, and grant assistance is limited to persons, or 
families headed by persons who are 62 years of age or older.
    Supervisory and Technical Assistance Grants.--Supervisory 
and technical assistance grants are made to public and private 
nonprofit organizations for packaging loan applications for 
housing assistance under sections 502, 504, 514/516, 515, and 
533 of the Housing Act of 1949. The assistance is directed to 
very low-income families in underserved areas where at least 20 
percent of the population is below the poverty level and at 
least 10 percent or more of the population resides in 
substandard housing. In fiscal year 1994 a Homebuyer Education 
Program was implemented under this authority. This program 
provides low-income individuals and families education and 
counseling on obtaining and/or maintaining occupancy of 
adequate housing and supervised credit assistance to become 
successful homeowners.
    Compensation for Construction Defects.--Compensation for 
construction defects provides funds for grants to eligible 
section 502 borrowers to correct structural defects, or to pay 
claims of owners arising from such defects on a newly 
constructed dwelling purchased with RHS financial assistance. 
Claims are not paid until provisions under the builder's 
warranty have been fully pursued. Requests for compensation for 
construction defects must be made by the owner of the property 
within 18 months after the date financial assistance was 
granted.
    Rural Housing Preservation Grants.--Rural housing 
preservation grants (section 533) of the Housing and Urban-
Rural Recovery Act of 1983 (42 U.S.C. 1490m) authorizes the 
Rural Housing Service to administer a program of home repair 
directed at low- and very low-income people.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $33,701,000 
for the Rural Housing Assistance Grants Program.
    The following table compares the grant program levels 
recommended by the Committee to the fiscal year 2017 levels and 
the budget request:

                                         RURAL HOUSING ASSISTANCE GRANTS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Very low-income housing repair grants........................           28,701  ...............           28,701
Housing preservation grants..................................            5,000  ...............            5,000
                                                              --------------------------------------------------
      Total..................................................           33,701  ...............           33,701
----------------------------------------------------------------------------------------------------------------

    The Committee recommends that the Rural Housing Service 
prioritize funding for communities with unique weather patterns 
in need of replacing antiquated heating systems with more 
efficient technologies.

               Rural Community Facilities Program Account

Appropriations, 2017....................................     $47,100,000
Budget estimate, 2018...................................................
Committee recommendation................................      48,628,000

    Community facility loans were created by the Rural 
Development Act of 1972 (7 U.S.C. 1926 et seq.) to finance a 
variety of rural community facilities. Loans are made to 
organizations, including certain Indian tribes and corporations 
not operated for profit and public and quasi-public agencies, 
to construct, enlarge, extend, or otherwise improve community 
facilities providing essential services to rural residents. 
Such facilities include those providing or supporting overall 
community development, such as fire and rescue services, 
healthcare, transportation, traffic control, and community, 
social, cultural, and recreational benefits. Loans are made for 
facilities which primarily serve rural residents of open 
country and rural towns and villages of not more than 20,000 
people. Healthcare, fire and rescue facilities, and educational 
facilities are the priorities of the program and receive the 
majority of available funds.
    The Community Facility Grant Program authorized in the 
Federal Agriculture Improvement and Reform Act of 1996 (Public 
Law 104-127), is used in conjunction with the existing direct 
and guaranteed loan programs for the development of community 
facilities, such as hospitals, fire stations, and community 
centers. Grants are targeted to the lowest income communities. 
Communities that have lower population and income levels 
receive a higher cost-share contribution through these grants, 
to a maximum contribution of 75 percent of the cost of 
developing the facility.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $48,628,000 
for the Rural Community Facilities Program Account.
    The following table provides the Committee's 
recommendations, as compared to the fiscal year 2017 and budget 
request levels:

                                   RURAL COMMUNITY FACILITIES PROGRAM ACCOUNT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Loan levels:
    Community facilities direct loans........................        2,600,000        3,000,000        3,000,000
    Community facilities guaranteed loans....................          148,305  ...............          148,305
                                                              --------------------------------------------------
      Total loan levels......................................        2,748,305        3,000,000        3,148,305
                                                              ==================================================
Budget authority:
    Community facilities guaranteed loans....................            3,322  ...............            4,850
    Community facilities grants..............................           30,000  ...............           30,000
    Economic initiative grants...............................            5,778  ...............            5,778
    Rural community development initiative...................            4,000  ...............            4,000
    Tribal college grants....................................            4,000  ...............            4,000
                                                              --------------------------------------------------
      Total budget authority.................................           47,100  ...............           48,628
----------------------------------------------------------------------------------------------------------------

                  Rural Business--Cooperative Service

    The Rural Business--Cooperative Service [RBS] was 
established by Public Law 103-354, Federal Crop Insurance 
Reform and Department of Agriculture Reorganization Act of 
1994, dated October 13, 1994. Its programs were previously 
administered by the Rural Development Administration, the Rural 
Electrification Administration, and the Agricultural 
Cooperative Service.

                     RURAL BUSINESS PROGRAM ACCOUNT

Appropriations, 2017....................................     $65,319,000
Budget estimate, 2018...................................................
Committee recommendation................................      64,342,000

    The Rural Business and Industry Loan Program was created by 
the Rural Development Act of 1972, and finances a variety of 
rural industrial development loans. Loans are made for rural 
industrialization and rural community facilities under Rural 
Development Act amendments to the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1932 et seq.) authorities. Business 
and industrial loans are made to public, private, or 
cooperative organizations organized for profit, to certain 
Indian tribes, or to individuals for the purpose of improving, 
developing or financing business, industry, and employment or 
improving the economic and environmental climate in rural 
areas. Such purposes include financing business and industrial 
acquisition, construction, enlargement, repair or 
modernization, financing the purchase and development of land, 
easements, rights-of-way, buildings, payment of startup costs, 
and supplying working capital.
    Rural business development grants were authorized by the 
Agricultural Act of 2014 and can be made to governmental and 
nonprofit entities, and Indian tribes. Up to 10 percent of 
appropriated funds may be used to: identify and analyze 
business opportunities; identify, train, and provide technical 
assistance to existing or prospective rural entrepreneurs and 
managers; assist in the establishment of new rural businesses 
and the maintenance of existing businesses; conduct economic 
development planning, coordination and leadership development; 
and establish centers for training, technology, and trade. The 
balance of appropriated funding may be used for projects that 
support the development of business enterprises that finance or 
facilitate: the development of small and emerging private 
business enterprise; the establishment, expansion, and 
operation of rural distance learning networks; the development 
of rural learning programs; and the provision of technical 
assistance and training to rural communities for the purpose of 
improving passenger transportation.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $64,342,000 
for the Rural Business Program Account.
    The following table provides the Committee's 
recommendations, as compared to the fiscal year 2017 and budget 
request levels:

                                         RURAL BUSINESS PROGRAM ACCOUNT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Loan levels:
    Business and industry guaranteed loans loan levels.......          919,765  ...............          919,765
Budget authority:
    Business and industry guaranteed loans...................           35,319  ...............           37,342
    Rural business development grants........................           24,000  ...............           24,000
    Delta Regional Authority grants..........................            6,000  ...............            3,000
                                                              --------------------------------------------------
      Total budget authority.................................           65,319  ...............           64,342
----------------------------------------------------------------------------------------------------------------

    Regional Food Hubs.--The Committee encourages USDA to 
partner with States and other interested partners to build and 
refurbish food hub and food distribution centers that serve 
rural farmers but are located in urban areas through programs 
like the Business and Industry guaranteed loan program.
    Rural Business Development Grants.--Rural coastal economies 
have often been economically disadvantaged by the loss of 
natural resource-related jobs and have been the first rural 
communities to feel the negative effects of a changing climate. 
As these rural coastal communities continue to have 
agriculture-related economic opportunity such as value-added 
seafood processing as well as new opportunities, the use of 
Rural Business Development grants may be prioritized in rural 
coastal communities to support innovation and job growth within 
all sectors, including for related infrastructure. Particular 
priority should be given in the case of public-private 
partnerships and cross-jurisdictional efforts.
    Rural Business Program Account.--The Committee recommends 
$500,000 for transportation technical assistance.
    The Committee directs that of the $4,000,000 recommended 
for grants to benefit Federally Recognized Native American 
Tribes, $250,000 shall be used to implement an American Indian 
and Alaska Native passenger transportation development and 
assistance initiative.

                  INTERMEDIARY RELENDING PROGRAM FUND

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2017  Fiscal year 2018      Committee
                                                                 enacted       budget request    recommendation
----------------------------------------------------------------------------------------------------------------
Estimated loan level......................................            18,889  ................            18,889
Direct loan subsidy.......................................             5,476  ................             4,361
Administrative expenses...................................             4,468  ................             4,468
                                                           -----------------------------------------------------
      Total, loan subsidies and administrative expenses...             9,944  ................             8,829
----------------------------------------------------------------------------------------------------------------

    The rural development intermediary relending loan program 
was originally authorized by the Economic Opportunity Act of 
1964 (Public Law 88-452). The making of rural development loans 
by the Department of Agriculture was reauthorized by Public Law 
113-79, the Agricultural Act of 2014.
    Loans are made to intermediary borrowers (small investment 
groups) who in turn will reloan the funds to rural businesses, 
community development corporations, private nonprofit 
organizations, public agencies, et cetera, for the purpose of 
improving business, industry, community facilities, and 
employment opportunities and diversification of the economy in 
rural areas.
    The Federal Credit Reform Act of 1990 established the 
program account. Appropriations to this account will be used to 
cover the lifetime subsidy costs associated with the direct 
loans obligated in 2018, as well as for administrative 
expenses.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $8,829,000 for 
the Intermediary Relending Program Fund.

            RURAL ECONOMIC DEVELOPMENT LOANS PROGRAM ACCOUNT

                        [In thousands of dollars]
------------------------------------------------------------------------
                                                          Estimated loan
                                                              level
------------------------------------------------------------------------
Fiscal year 2017 level.................................           42,213
Fiscal year 2018 request...............................  ...............
Committee recommendation...............................           42,213
------------------------------------------------------------------------

    The Rural Economic Development Loans program was 
established by the Reconciliation Act of December 1987 (Public 
Law 100-203), which amended the Rural Electrification Act of 
1936 (Act of May 20, 1936), by establishing a new section 313. 
This section of the Rural Electrification Act (7 U.S.C. 901) 
established a cushion of credit payment program and created the 
rural economic development subaccount. The Administrator of RUS 
is authorized under the act to utilize funds in this program to 
provide zero interest loans to electric and telecommunications 
borrowers for the purpose of promoting rural economic 
development and job creation projects, including funding for 
feasibility studies, startup costs, and other reasonable 
expenses for the purpose of fostering rural economic 
development.

                        COMMITTEE RECOMMENDATION

    The Committee recommends a loan program level of 
$42,213,000, to be funded from earnings on the Cushion of 
Credit and fees on guaranteed underwriting loans made pursuant 
to section 313A of the Rural Electrification Act of 1936.

                  RURAL COOPERATIVE DEVELOPMENT GRANTS

Appropriations, 2017....................................     $26,550,000
Budget estimate, 2018...................................................
Committee recommendation................................      26,550,000

    Rural cooperative development grants are authorized under 
section 310B(e) of the Consolidated Farm and Rural Development 
Act, as amended. Grants are made to fund the establishment and 
operation of centers for rural cooperative development with 
their primary purpose being the improvement of economic 
conditions in rural areas. Grants may be made to nonprofit 
institutions or institutions of higher education. Grants may be 
used to pay up to 75 percent of the cost of the project and 
associated administrative costs. The applicant must contribute 
at least 25 percent from non-Federal sources, except 1994 
institutions, which only need to provide 5 percent. Grants are 
competitive and are awarded based on specific selection 
criteria.
    Cooperative research agreements are authorized by 7 U.S.C. 
2204b. The funds are used for cooperative research agreements, 
primarily with colleges and universities, on critical 
operational, organizational, and structural issues facing 
cooperatives.
    Cooperative agreements are authorized under 7 U.S.C. 2201 
to any qualified State departments of agriculture, university, 
and other State entity to conduct research that will strengthen 
and enhance the operations of agricultural marketing 
cooperatives in rural areas.
    The Appropriate Technology Transfer for Rural Areas [ATTRA] 
program was first authorized by the Food Security Act of 1985. 
The program provides information and technical assistance to 
agricultural producers to adopt sustainable agricultural 
practices that are environmentally friendly and lower 
production costs.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $26,550,000 
for Rural Cooperative Development Grants.
    Of the funds recommended, $2,750,000 is for the Appropriate 
Technology Transfer for Rural Areas program.
    The Committee has included language in the bill that not 
more than $3,000,000 shall be made available to cooperatives or 
associations of cooperatives whose primary focus is to provide 
assistance to small, minority producers.
    Value Added.--The Committee recommends $15,000,000 for 
value-added agricultural product market development grants. Of 
this amount, the Secretary is directed to make $1,000,000 for 
Agriculture Innovation Center funding available as grants to 
States authorized to host, and that have previously hosted a 
USDA Agriculture Innovation Center and where the State 
continues to demonstrate support, and provide non-Federal grant 
funding to producers developing, producing, and marketing 
value-added agricultural and food products.

                    RURAL ENERGY FOR AMERICA PROGRAM

Appropriations, 2017....................................        $352,000
Budget estimate, 2018...................................................
Committee recommendation................................         293,000

    The Rural Energy for America Program is authorized under 
section 9007 of the Farm Security and Rural Investment Act of 
2002 (7 U.S.C. 8107). This program may fund energy audits, 
direct loans, loan guarantees, and grants to farmers, ranchers, 
and small rural businesses for the purchase of renewable energy 
systems and for energy efficiency improvements.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $293,000 for 
the Rural Energy for America Program.
    The following table provides the Committee's recommendation 
as compared to the fiscal year 2017 and budget request levels:

                                        RURAL ENERGY FOR AMERICA PROGRAM
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                    Fiscal year
                                                                    Fiscal year     2018 budget      Committee
                                                                   2017 enacted       request     recommendation
----------------------------------------------------------------------------------------------------------------
Estimated loan level............................................           7,576  ..............           7,576
Guaranteed loan subsidy.........................................             352  ..............             293
----------------------------------------------------------------------------------------------------------------

    Energy Efficiency Coordination.--The Committee directs 
increased coordination and cooperation among USDA agencies and 
offices to better utilize the energy efficiency and renewable 
energy programs available through the Rural Energy for America 
program. Additionally, no later than 120 days after enactment 
of this Act, USDA is directed to submit a report to the 
Committee detailing how the agencies make information about its 
energy programs accessible to rural communities and how funds 
are being leveraged for energy efficiency investments in rural 
areas.

                        Rural Utilities Service

    The Rural Utilities Service [RUS] was established under the 
Federal Crop Insurance Reform and Department of Agriculture 
Reorganization Act of 1994 (Public Law 103-354), October 13, 
1994. RUS administers the electric and telephone programs of 
the former Rural Electrification Administration and the water 
and waste programs of the former Rural Development 
Administration.

             RURAL WATER AND WASTE DISPOSAL PROGRAM ACCOUNT

Appropriations, 2017....................................    $571,190,000
Budget estimate, 2018...................................................
Committee recommendation................................     550,383,000

    The water and waste disposal program is authorized by 
sections 306, 306A, 309A, 306C, 306D, 306E, and 310B of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et 
seq., as amended). This program makes loans for water and waste 
development costs. Development loans are made to associations, 
including corporations operating on a nonprofit basis, 
municipalities and similar organizations, generally designated 
as public or quasi-public agencies, that propose projects for 
the development, storage, treatment, purification, and 
distribution of domestic water or the collection, treatment, or 
disposal of waste in rural areas. Such grants may not exceed 75 
percent of the development cost of the projects and can 
supplement other funds borrowed or furnished by applicants to 
pay development costs.
    The solid waste grant program is authorized under section 
310B(b) of the Consolidated Farm and Rural Development Act. 
Grants are made to public bodies and private nonprofit 
organizations to provide technical assistance to local and 
regional governments for the purpose of reducing or eliminating 
pollution of water resources and for improving the planning and 
management of solid waste disposal facilities.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $550,383,000 
for the Rural Water and Waste Disposal Program Account.
    The Committee recommends $66,500,000 for water and waste 
disposal systems grants for Native Americans, including Native 
Alaskans, and the Colonias. The Committee recognizes the 
special needs and problems for delivery of basic services to 
these populations, and encourages the Secretary to distribute 
these funds in line with the fiscal year 2014 distribution, to 
the degree practicable. In addition, the Committee makes up to 
$18,000,000 available for the circuit rider program.
    The following table provides the Committee's 
recommendations, as compared to the fiscal year 2017 and budget 
request levels:

                                 RURAL WATER AND WASTE DISPOSAL PROGRAM ACCOUNT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2017  Fiscal year 2018      Committee
                                                                 enacted       budget request    recommendation
----------------------------------------------------------------------------------------------------------------
Loan levels:
    Water and waste disposal direct loans.................         1,200,000  ................         1,200,000
    Water and waste disposal guaranteed loans.............            50,000  ................            50,000
                                                           -----------------------------------------------------
      Total loan levels...................................         1,250,000  ................         1,250,000
                                                           =====================================================
Budget authority:
    Water and waste disposal direct loans.................            52,080  ................            25,680
    Water and waste disposal guaranteed loans.............               240  ................               230
    Water and waste disposal grants.......................           391,980  ................           393,980
    Solid waste management grants.........................             4,000  ................             4,000
    Water well systems grants.............................               993  ................               993
    Colonias and AK/HI/Native American grants.............            64,000  ................            66,500
    Water and waste water revolving funds.................             1,000  ................             1,000
    High energy cost grants...............................            10,000  ................            10,000
    Circuit rider.........................................            16,897  ................            18,000
    Emergency community water assistance grants...........            10,000  ................            10,000
    Technical assistance grants...........................            20,000  ................            20,000
                                                           -----------------------------------------------------
      Total, budget authority.............................           571,190  ................           550,383
----------------------------------------------------------------------------------------------------------------

   RURAL ELECTRIFICATION AND TELECOMMUNICATIONS LOANS PROGRAM ACCOUNT

    The Rural Electrification Act of 1936 (7 U.S.C. 901 et 
seq.) provides the statutory authority for the electric and 
telecommunications programs.
    The Federal Credit Reform Act of 1990 (Public Law 101-508) 
established the program account. An appropriation to this 
account will be used to cover the lifetime subsidy costs 
associated with the direct loans obligated and loan guarantees 
committed in fiscal year 2018, as well as for administrative 
expenses.

                       COMMITTEE RECOMMENDATIONS

    The following table reflects the Committee's recommendation 
for the Rural Electrification and Telecommunications Loans 
Program Account, the loan subsidy and administrative expenses, 
as compared to the fiscal year 2017 and budget request levels:

                       RURAL ELECTRIFICATION AND TELECOMMUNICATIONS LOANS PROGRAM ACCOUNT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Loan authorizations:
    Electric:
        Direct FFB...........................................        5,500,000        5,500,000        5,500,000
        Guaranteed underwriting..............................          750,000  ...............          750,000
    Telecommunications:
        Direct, Treasury Rate................................          345,000          345,000          345,000
        Direct, FFB..........................................          345,000          345,000          345,000
                                                              --------------------------------------------------
      Total loan authorization...............................        6,940,000        6,190,000        6,940,000
                                                              ==================================================
      Total budget authority.................................            3,071              863              863
----------------------------------------------------------------------------------------------------------------


                     DISTANCE LEARNING, TELEMEDICINE, AND BROADBAND PROGRAM LOANS AND GRANTS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Loan and grant levels:
    Distance learning and Telemedicine Program:
        Grants...............................................           26,600  ...............           26,600
Broadband program:
    Treasury rate loans......................................           27,043           26,991           27,043
    Treasury rate loans budget authority.....................            4,500            4,521            4,530
    Grants...................................................           34,500  ...............           30,000
                                                              --------------------------------------------------
      Total DLT and Broadband Program level..................           88,143           26,991           83,643
                                                              ==================================================
      Total DLT and Broadband Budget authority...............           65,600            4,521           61,130
----------------------------------------------------------------------------------------------------------------


    The Distance Learning, Telemedicine, and Broadband Program 
is authorized by the Food, Agriculture, Conservation and Trade 
Act of 1990 (7 U.S.C. 950aaa et seq.), as amended by the 
Federal Agriculture Improvement and Reform Act of 1996 (Public 
Law 104-127). This program provides incentives to improve the 
quality of phone services, to provide access to advanced 
telecommunications services and computer networks, and to 
improve rural opportunities.
    This program provides the facilities and equipment to link 
rural education and medical facilities with more urban centers 
and other facilities providing rural residents access to better 
healthcare through technology and increasing educational 
opportunities for rural students. These funds are available for 
loans and grants.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $61,130,000 
for the Distance Learning, Telemedicine, and Broadband Program. 
Funds recommended for the RUS broadband program are intended to 
promote broadband availability in those areas where there is 
not otherwise a business case for private investment in a 
broadband network. The Committee encourages RUS to focus 
expenditures on projects that bring broadband service to 
currently unserved households.
    The Committee is concerned about the longstanding, unmet 
health needs in the Mississippi River Delta. The Committee 
recommendation includes $3,000,000 to address critical 
healthcare needs in the region, as authorized by section 379G 
of the Consolidated Farm and Rural Development Act.
    Broadband Grants.--Of the funds recommended, $30,000,000 in 
grants shall be made available to support broadband 
transmission for rural areas.
    Broadband Infrastructure.--The Committee notes that it is 
the policy of RUS to avoid duplication of efforts when 
financing telecommunications infrastructure via its programs; 
however, the Committee is concerned that this policy does not 
extend to the deployment of broadband-capable infrastructure. 
In order to prevent duplication of services, the Committee 
directs RUS to implement operational changes and report back to 
the Committee on administrative efforts to eliminate 
duplicative or over building of broadband technology.
    Multi-Strand Fiber Optic Cable.--The Committee recommends 
that, within these funds, the Secretary explore a pilot grant 
program to demonstrate the use of multi-strand fiber optic 
cable that exist as part of electrical transmission 
infrastructure to provide state-of-the-art broadband services 
to currently underserved rural schools and medical centers 
within a mile of the existing cable.

                                      RURAL ECONOMIC INFRASTRUCTURE ACCOUNT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                    Fiscal year
                                                                    Fiscal year     2018 budget      Committee
                                                                   2017 enacted       request     recommendation
----------------------------------------------------------------------------------------------------------------
Rural Economic Infrastructure Grants............................  ..............        $161,893  ..............
----------------------------------------------------------------------------------------------------------------

    The Rural Economic Infrastructure grant program represents 
a proposal to merge five existing grants programs: very low 
income housing repair grants; housing preservation grants; 
rural community facilities grants; distance learning and 
telemedicine grants; and broadband grants.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommendation does not include funding for 
Rural Economic Infrastructure grants but continues to fund each 
component grant program individually.

                                TITLE IV

                         DOMESTIC FOOD PROGRAMS

Office of the Under Secretary for Food, Nutrition and Consumer Services

Appropriations, 2017....................................        $814,000
Budget estimate, 2018...................................         809,000
Committee recommendation................................         814,000

    The Office of the Under Secretary for Food, Nutrition and 
Consumer Services provides direction and coordination in 
carrying out the laws enacted by the Congress with respect to 
the Department's nutrition assistance activities. The Office 
has oversight and management responsibilities for the Food and 
Nutrition Service.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $814,000 for 
the Office of the Under Secretary for Food, Nutrition and 
Consumer Services.
    Food and Agriculture Service Learning Program.--Recognizing 
the widespread need for children and schools to access food and 
agriculture education, the Committee encourages USDA to provide 
funding, through existing resources, for the Food and 
Agriculture Service Learning Program, authorized under section 
4209 of the Agricultural Act of 2014.
    Food Security in Frontier Communities.--The Committee 
appreciates the intent of the Food and Nutrition Service to 
focus on implementing locally-designed initiatives to increase 
food security in frontier communities within its area of 
responsibility. Helping these communities to adapt to changing 
growing conditions and subsistence food availability and to 
develop the capacity to grow more food locally will improve 
their tenuous food security and provide opportunities for 
economic development in extremely low-income regions. The 
Committee therefore strongly encourages the Food and Nutrition 
Service to finalize plans to work with relevant stakeholders to 
develop and implement the plans that were initiated in the past 
year.
    Interagency Partnerships.--The Committee commends USDA for 
its work to support access to combating hunger and eliminating 
barriers to healthy food access through innovative interagency 
partnerships. The Committee encourages USDA to continue these 
partnerships, particularly the new Summer VISTA partnership 
program.
    Nutrition Program Efficiency.--The Committee encourages the 
Secretary to focus process and technology improvement grants 
within the Food and Nutrition Service [FNS] to expand public-
private partnerships to increase food security in a cost-
efficient and accountable manner.
    School Meals.--The Committee is concerned with practices in 
some school districts that unintentionally shame students with 
unpaid school meal fees. The Committee encourages the Food and 
Nutrition Service to work with stakeholders, including parents, 
guardians, and school food service professionals to move 
towards a solution to avoid embarrassment and shaming of school 
children for unpaid school meal fees.

                       Food and Nutrition Service

    The Food and Nutrition Service represents an organizational 
effort to eliminate hunger and malnutrition in this country. 
Nutrition assistance programs provide access to a nutritionally 
adequate diet for families and persons with low incomes and 
encourage better eating patterns among the Nation's children. 
These programs include:
    Child Nutrition Programs.--The National School Lunch and 
School Breakfast, Summer Food Service, and Child and Adult Care 
Food programs provide funding to the States, Puerto Rico, the 
Virgin Islands, American Samoa, and Guam for use in serving 
nutritious lunches and breakfasts to children attending schools 
of high school grades and under, to children of preschool age 
in child care centers, and to children in other institutions in 
order to improve the health and well-being of the Nation's 
children, and broaden the markets for agricultural food 
commodities. Through the Special Milk Program, assistance is 
provided to the States for making reimbursement payments to 
eligible schools and child care institutions which institute or 
expand milk service in order to increase the consumption of 
fluid milk by children. Funds for this program are provided by 
direct appropriation and transfer from section 32.
    Special Supplemental Nutrition Program for Women, Infants, 
and Children [WIC].--This program safeguards the health of 
pregnant, postpartum, and breast-feeding women, infants, and 
children up to age 5 who are at nutritional risk because of 
inadequate nutrition and income by providing supplemental 
foods. The delivery of supplemental foods may be done through 
health clinics, vouchers redeemable at retail food stores, or 
other approved methods which a cooperating State health agency 
may select. Funds for this program are provided by direct 
appropriation.
    Supplemental Nutrition Assistance Program.--This program 
seeks to improve nutritional standards of needy persons and 
families. Assistance is provided to eligible households to 
enable them to obtain a better diet by increasing their food 
purchasing capability, usually by furnishing benefits in the 
form of electronic access to funds. The program also includes 
Nutrition Assistance to Puerto Rico.
    The program also includes the Food Distribution Program on 
Indian Reservations, which provides nutritious agricultural 
commodities to low-income persons living on or near Indian 
reservations who choose not to participate in the Supplemental 
Nutrition Assistance Program.
    Commodity Assistance Program [CAP].--This program provides 
funding for the Commodity Supplemental Food Program [CSFP], the 
Farmers' Market Nutrition Program, Disaster Assistance, Pacific 
Island Assistance, and administrative expenses for TEFAP.
    CSFP provides supplemental foods to low-income elderly 
persons age 60 and over.
    TEFAP provides commodities and grant funds to State 
agencies to assist in the cost of storage and distribution of 
donated commodities.
    Nutritious agricultural commodities are provided to 
residents of the Federated States of Micronesia and the 
Marshall Islands. Cash assistance is provided to distributing 
agencies to assist them in meeting administrative expenses 
incurred. It also provides funding for use in non-
presidentially declared disasters, and for FNS' administrative 
costs in connection with relief for all disasters. Funds for 
this program are provided by direct appropriation.
    Nutrition Programs Administration.--Most salaries and 
Federal operating expenses of the Food and Nutrition Service 
are funded from this account. Also included is the Center for 
Nutrition Policy and Promotion [CNPP] which oversees 
improvements in and revisions to the food guidance systems, and 
serves as the focal point for advancing and coordinating 
nutrition promotion and education policy to improve the health 
of all Americans.

                        CHILD NUTRITION PROGRAMS

Appropriations, 2017.................................... $22,793,982,000
Budget estimate, 2018...................................  24,256,266,000
Committee recommendation................................  24,296,505,000

    The Child Nutrition Programs, authorized by the Richard B. 
Russell National School Lunch Act (Public Law 79-396) and the 
Child Nutrition Act of 1966 (Public Law 89-642), provide 
Federal assistance to State agencies in the form of cash and 
commodities for use in preparing and serving nutritious meals 
to children while they are attending school, residing in 
service institutions, or participating in other organized 
activities away from home. The purpose of these programs is to 
help maintain the health and proper physical development of 
America's children. Milk is provided to children either free or 
at a low cost, depending on their family income level. FNS 
provides cash subsidies to States for administering the 
programs and directly administers the program in the States 
which choose not to do so. Grants are also made for nutritional 
training and surveys and for State administrative expenses. 
Under current law, most of these payments are made on the basis 
of reimbursement rates established by law and applied to 
lunches and breakfasts actually served by the States. The 
reimbursement rates are adjusted annually to reflect changes in 
the Consumer Price Index for food away from home.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $24,296,505,000 for the Child 
Nutrition Programs.
    Child and Adult Care Food Program.--The Committee notes 
that the Child and Adult Care Food Program [CACFP] is an 
important source of funding for nutrition for children in early 
childhood education and care programs. Therefore, the Committee 
is concerned that complexity of CACFP requirements creates 
tremendous administrative challenges for the child care homes, 
centers, and agencies that are responsible for delivering these 
essential benefits to children. The Secretary shall examine the 
recommendations set forth by the Child and Adult Care Food 
Program Paperwork Reduction Work Group's 2015 report to 
Congress, and submit to the Committee, no later than 60 days 
after enactment of this Act, an evaluation of all the 
recommendations, including which actions to streamline 
administrative processes and remove barriers to participation 
the Secretary has the authority to change, without compromising 
the measures taken to protect program integrity. The Committee 
directs the Secretary to work with States to encourage 
implementation of recommendations contained in the Child and 
Adult Care Food Program Paperwork Reduction Work Group's 2015 
report to Congress that would make monitoring and reporting 
processes more effective at improving CACFP participation and 
performance in all eligible child and adult care centers and 
facilities.
    Crediting System for Nutrition Programs.--The Committee 
recognizes that the current crediting system used by Food and 
Nutrition Service in administering the school lunch program and 
the School Breakfast Program is in need of reform. The 
crediting system has historically provided significant service 
to school food authorities and suppliers to the National School 
Lunch and the School Breakfast Program. However, the program 
has not been updated to keep pace with innovation in the 
marketplace. New products that provide additional nutrition to 
program participants have entered the marketplace but school 
food authorities are not receiving proper crediting due to the 
fact that the system is outdated. For example, Greek yogurt 
receives the same protein crediting as other products with less 
protein. Not later than 180 days after the date of enactment of 
this Act, the Secretary shall review the system of crediting 
and submit to the Committee on Appropriations and the Committee 
on Education and the Workforce of the House of Representatives 
and the Committee on Appropriations and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate a report 
that describes the results of the review.
    School Meals Procurement.--The Committee directs the Food 
and Nutrition Service to ensure that school food authorities 
abide by Section 12(n) of the Richard B. Russell National 
School Lunch Act, 42 USC 1760(n), when purchasing seafood or 
seafood products for the school meals programs. The Committee 
also encourages the Food and Nutrition Service to use the 
funding available for training and technical assistance for 
school food authorities in procurement practices.
    Summer Food Service Program.--The Committee recognizes that 
in many rural and frontier areas of the country where homes are 
widely scattered, children and youth are unable to access 
congregate feeding sites that participate in the Summer Food 
Service Program and that existing mobile food delivery efforts 
are not able to meet the need. The Committee supports the Food 
and Nutrition Service allowing State Agencies to enable Summer 
Food Service Program service institutions that serve such areas 
where eligible children and youth have barriers to access or 
limited access to a congregate feeding site to use their 
customary reimbursement payments to develop and implement 
innovative methods to deliver or otherwise make available foods 
to eligible children and youth by non-congregate means or in 
non-congregate settings.
    The Committee's recommendation provides for the following 
annual rates for the child nutrition programs.

                      TOTAL OBLIGATIONAL AUTHORITY
                        [In thousands of dollars]
------------------------------------------------------------------------
                                          Fiscal year
       Child nutrition programs           2018 budget       Committee
                                            request       recommendation
------------------------------------------------------------------------
School Lunch Program..................       13,010,053       13,010,053
School Breakfast Program..............        4,775,629        4,775,629
Child and Adult Care Food Program.....        3,919,384        3,919,384
Summer Food Service Program...........          639,789          639,789
Special Milk Program..................            8,759            8,759
State Administrative Expenses.........          299,139          299,139
Commodity Procurement.................        1,489,349        1,489,349
Team Nutrition/HUSSC/CMS..............           16,972           17,004
Food Safety Education.................            2,880            2,880
Coordinated Review....................           10,000           10,000
Computer Support......................           11,921           11,921
Training and Technical Assistance.....           13,702           23,137
CNP Studies and Evaluation............           21,277           21,277
Farm to School Team...................            3,439            4,168
Payment Accuracy......................           11,016           11,016
School Meal Equipment Grants..........  ...............           30,000
Summer EBT Demonstration..............           22,957           23,000
------------------------------------------------------------------------

    The Committee expects FNS to utilize the National Food 
Service Management Institute to carry out the food safety 
education program.

SPECIAL SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS, AND CHILDREN 
                                 [WIC]

Appropriations, 2017....................................  $6,350,000,000
Budget estimate, 2018...................................   6,150,000,000
Committee recommendation................................   6,350,000,000

    The special supplemental nutrition program for women, 
infants, and children [WIC] is authorized by section 17 of the 
Child Nutrition Act of 1966. Its purpose is to safeguard the 
health of pregnant, breast-feeding and postpartum women and 
infants, and children up to age 5 who are at nutritional risk 
because of inadequate nutrition and inadequate income.
    The WIC program food packages are designed to provide foods 
which studies have demonstrated are lacking in the diets of the 
WIC program target population. The authorized supplemental 
foods are iron-fortified breakfast cereal, fruit or vegetable 
juice which contains vitamin C, dry beans, peas, and peanut 
butter.
    There are three general types of delivery systems for WIC 
foods: (1) retail purchase in which participants obtain 
supplemental foods through retail stores; (2) home delivery 
systems in which food is delivered to the participant's home; 
and (3) direct distribution systems in which participants pick 
up food from a distribution outlet. The food is free of charge 
to all participants.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $6,350,000,000 
for the Special Supplemental Food Program for Women, Infants, 
and Children [WIC].
    The Committee recommendation fully funds estimated WIC 
participation in fiscal year 2018. The Committee recommendation 
includes $80,000,000 for breastfeeding support initiatives and 
$14,000,000 for infrastructure.
    WIC Food Package.--The Committee appreciates the work of 
the National Academies of Science to review and make 
recommendations for updating the WIC food packages to reflect 
current science and cultural factors. The Committee notes, 
however, that while all revised packages now allow some fish, 
the amounts remain low compared to the recommendations of 
authoritative agencies such as the World Health Organization 
and in some cases, sporadic. The Committee strongly encourages 
the Department to prioritize the health and cultural benefits 
of fish consumption as regulations are revised to implement the 
NAS recommendations and to increase the amount of healthful 
fish above the amounts recommended by the NAS. The Committee 
also strongly encourages the Department to allow States to 
prioritize fish over legumes and peanut butter to respond to 
the cultural preferences of WIC participants in States like 
Alaska.
    WIC Food Package Recommendation.--The Committee supports 
the important public health role WIC plays in assuring healthy 
pregnancies and birth outcomes, and growing healthy young 
children ready to learn when they enter school through quality 
nutrition education and prescribed foods. The Committee 
encourages the Secretary to review and implement the 
recommendations, where appropriate, established in the January 
2017 National Academies of Sciences, Engineering, and Medicine 
report, Review of WIC Food Packages: Improving Balance and 
Choice: Final Report. The recommendations are in accordance 
with the regular review of the Food Packages provided for under 
the Healthy, Hunger Free Kids Act of 2010.

               SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM

Appropriations, 2017.................................... $78,480,694,000
Budget estimate, 2018...................................  73,612,500,000
Committee recommendation................................  73,612,502,000

    The Food Stamp Program was reauthorized through fiscal year 
2012 and renamed the Supplemental Nutrition Assistance Program 
[SNAP] in the Food, Conservation, and Energy Act of 2008. The 
Supplemental Nutrition Assistance Program attempts to alleviate 
hunger and malnutrition among low-income persons by increasing 
their food purchasing power. Eligible households receive SNAP 
benefits with which they can purchase food through regular 
retail stores.
    Other programs funded through SNAP include Nutrition 
Assistance to Puerto Rico and American Samoa, the Food 
Distribution Program on Indian Reservations, the Emergency Food 
Assistance Program, and the Community Food Projects program.
    The Supplemental Nutrition Assistance Program is currently 
in operation in all 50 States, the District of Columbia, the 
Virgin Islands, and Guam. Participating households receive food 
benefits, the value of which is determined by household size 
and income. The cost of the benefits is paid by the Federal 
Government. As required by law, the Food and Nutrition Service 
annually revises household benefit allotments to reflect 
changes in the cost of the thrifty food plan.
    Administrative Costs.--All direct and indirect 
administrative costs incurred for certification of households, 
issuance of benefits, quality control, outreach, and fair 
hearing efforts are shared by the Federal Government and the 
States on a 50-50 basis.
    State Antifraud Activities.--Under the provisions of the 
Food and Nutrition Act of 2008, States are eligible to be 
reimbursed for 50 percent of the costs of their fraud 
investigations and prosecutions.
    States are required to implement an employment and training 
program for the purpose of assisting members of households 
participating in SNAP in gaining skills, training, or 
experience that will increase their ability to obtain regular 
employment. The Department of Agriculture has implemented a 
grant program to States to assist them in providing employment 
and training services.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of 
$73,612,502,000 for the Supplemental Nutrition Assistance 
Program. Of the amount recommended, $3,000,000,000 is made 
available as a contingency reserve.
    State SNAP Implementation.--The Committee is concerned 
about implementation of the SNAP program in certain states 
where states are failing to meet the required deadlines for 
processing applications. USDA is encouraged to work closely 
with States to remedy program deficiency and be aggressive in 
combating any falsification of SNAP implementation data.

                      COMMODITY ASSISTANCE PROGRAM

Appropriations, 2017....................................    $315,139,000
Budget estimate, 2018...................................     293,591,000
Committee recommendation................................     317,139,000

    The Commodity Assistance Program includes funding for the 
Commodity Supplemental Food Program and funding to pay expenses 
associated with the storage and distribution of commodities 
through The Emergency Food Assistance Program.
    The Commodity Supplemental Food Program [CSFP].--Authorized 
by section 4(a) of the Agricultural and Consumer Protection Act 
of 1973 (7 U.S.C. 612c note), as amended in 1981 by Public Law 
97-98 and in 2014 by Public Law 113-79, this program provides 
supplemental food to low-income senior citizens and in some 
cases low-income infants and children up to age six, low-income 
pregnant and postpartum women. The Agricultural Act of 2014 
discontinued the admission of new pregnant and postpartum women 
and children into the program. Those already in the program can 
continue to receive assistance until they are no longer 
eligible.
    The foods for CSFP are provided by the Department of 
Agriculture for distribution through State agencies. The 
authorized commodities include: iron-fortified infant formula, 
rice cereal, cheese, canned juice, evaporated milk and/or 
nonfat dry milk, canned vegetables or fruits, canned meat or 
poultry, egg mix, dehydrated potatoes, farina, and peanut 
butter and dry beans. Elderly participants may receive all 
commodities except iron-fortified infant formula and rice 
cereal.
    The Emergency Food Assistance Program [TEFAP].--Authorized 
by the Emergency Food Assistance Act of 1983 (7 U.S.C. 7501 et 
seq.), as amended, the program provides nutrition assistance to 
low-income people through prepared meals served on site and 
through the distribution of commodities to low-income 
households for home consumption. The commodities are provided 
by USDA to State agencies for distribution through State-
established networks. State agencies make the commodities 
available to local organizations, such as soup kitchens, food 
pantries, food banks, and community action agencies, for their 
use in providing nutrition assistance to those in need.
    Funds are administered by FNS through grants to State 
agencies which operate commodity distribution programs. 
Allocation of the funds to States is based on a formula which 
considers the States' unemployment rate and the number of 
persons with income below the poverty level.
    Farmers' Market Nutrition Program.--The Farmers' Market 
Nutrition Program [FMNP] provides WIC or WIC-eligible 
participants with coupons to purchase fresh, nutritious, 
unprepared foods, such as fruits and vegetables, from farmers' 
markets. This benefits both participants and local farmers by 
increasing the awareness and use of farmers' markets by low-
income households.
    Pacific Island and Disaster Assistance.--This program 
provides funding for assistance to the nuclear-affected islands 
in the form of commodities and administrative funds. It also 
provides funding for use in non-presidentially declared 
disasters and for FNS' administrative costs in connection with 
relief for all disasters.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $317,139,000 
for the Commodity Assistance Program. The Committee continues 
to encourage the Department to distribute Commodity Assistance 
Program funds equitably among the States, based on an 
assessment of the needs and priorities of each State and the 
State's preference to receive commodity allocations through 
each of the programs funded under this account.
    Commodity Supplemental Food Program.--The Committee 
recommends $238,120,000 for the Commodity Supplemental Food 
Program. This amount fully funds participation in fiscal year 
2018.
    Farmers' Market Nutrition Program.--The Committee is aware 
that the Farmers' Market Nutrition Program provides fresh 
fruits and vegetables to low-income mothers and children, 
benefiting not only WIC participants, but local farmers as 
well. Therefore, the Committee recommends $18,548,000 for the 
Farmers' Market Nutrition Program and directs the Secretary to 
obligate these funds within 45 days.
    The Emergency Food Assistance Program.--The Agricultural 
Act of 2014 provides $288,750,000 for TEFAP commodities to be 
purchased with Supplemental Nutrition Assistance Program funds. 
The Committee recommendation includes $59,401,000 for TEFAP 
transportation, storage, and program integrity. In addition, 
the Committee recommendation grants the Secretary authority to 
transfer up to an additional 10 percent from TEFAP commodities 
for this purpose and urges the Secretary to use this authority.
    The Committee encourages the Secretary to identify 
opportunities for increasing the supply of TEFAP commodities in 
the coming fiscal year through bonus and specialty crop 
purchases. The Department shall make available to the States 
domestically produced catfish fillets for distribution to local 
agencies.

                   NUTRITION PROGRAMS ADMINISTRATION

Appropriations, 2017....................................    $170,716,000
Budget estimate, 2018...................................     148,541,000
Committee recommendation................................     153,841,000

    The Nutrition Programs Administration appropriation 
provides for most of the Federal operating expenses of the Food 
and Nutrition Service, which includes the Child Nutrition 
Programs; Special Milk Program; Special Supplemental Nutrition 
Program for Women, Infants, and Children [WIC]; Supplemental 
Nutrition Assistance Program; Nutrition Assistance for Puerto 
Rico; the Commodity Assistance Program, including the Commodity 
Supplemental Food Program and the Emergency Food Assistance 
Program; and Farmers' Market Nutrition Program and Pacific 
Island and Disaster Assistance.
    The major objective of Nutrition Programs Administration is 
to efficiently and effectively carry out the nutrition 
assistance programs mandated by law. This is to be accomplished 
by the following: (1) giving clear and consistent guidance and 
supervision to State agencies and other cooperators; (2) 
assisting the States and other cooperators by providing 
program, managerial, financial, and other advice and expertise; 
(3) measuring, reviewing, and analyzing the progress being made 
toward achieving program objectives; and (4) carrying out 
regular staff support functions.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $153,841,000 
for Nutrition Programs Administration. The Committee 
recommendation includes $1,825,000 for decentralized rent and 
security payments.

                                TITLE V

                FOREIGN ASSISTANCE AND RELATED PROGRAMS

   Office of the Under Secretary for Trade and Foreign Agricultural 
                                Affairs

Appropriations, 2017....................................................
Budget estimate, 2018...................................................
Committee recommendation................................        $875,000

    The Office of the Under Secretary for Trade and Foreign 
Agricultural Affairs provides direction and coordination in 
carrying out the laws enacted by the Congress with respect to 
the Department's international affairs (except for foreign 
economic development). The Office has oversight and management 
responsibilities for the Foreign Agricultural Service.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriations of $875,000 for 
the Office of the Under Secretary for Trade and Foreign 
Agricultural Affairs.
    Food Chain Systems.--The Committee is aware that the lack 
of comprehensive cold food chain systems is one of the main 
causes of food loss and results in a significant percentage of 
food spoilage from farm-to-market. Preventing food loss and 
implementing a robust cold food chain results in substantial 
benefits such as increased nutrition, a safer food supply, 
greater economic opportunity, and increased resilience. In 
order to maximize the benefit investment in the agricultural 
productivity of the developing world, the Committee encourages 
the Department to give strong consideration to the use of cold 
chain technologies and include the development of appropriate 
cooling technologies in programs, policies, and strategic plans 
aimed at hunger prevention and food security in developing 
agricultural markets.

                      Foreign Agricultural Service


                         SALARIES AND EXPENSES

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                 Transfers from
                                                                Appropriations   loan accounts        Total
----------------------------------------------------------------------------------------------------------------
Appropriations, 2017.........................................          196,571            6,074          202,645
Budget estimate, 2018........................................          188,167            6,382          194,549
Committee recommendation.....................................          197,506            6,074          203,580
----------------------------------------------------------------------------------------------------------------

    The Foreign Agricultural Service [FAS] was established 
March 10, 1953, by Secretary's Memorandum No. 1320, supplement 
1. Public Law 83-690, approved August 28, 1954, transferred the 
agricultural attaches from the Department of State to the 
Foreign Agricultural Service.
    The mission of FAS overseas is to represent U.S. 
agricultural interests, to promote export of domestic farm 
products, improve world trade conditions, and report on 
agricultural production and trade in foreign countries. FAS 
staff are stationed at 98 offices around the world where they 
provide expertise in agricultural economics and marketing, as 
well as provide attache services.
    FAS carries out several export assistance programs to 
counter the adverse effects of unfair trade practices by 
competitors on U.S. agricultural trade. The Market Access 
Program [MAP] conducts both generic and brand-identified 
promotional programs in conjunction with nonprofit agricultural 
associations and private firms financed through reimbursable 
CCC payments.
    The General Sales Manager was established pursuant to 
section 5(f) of the charter of the Commodity Credit Corporation 
and 15 U.S.C. 714-714p. The funds allocated to the General 
Sales Manager are used for conducting the following programs: 
(1) CCC Export Credit Guarantee Program (GSM-102), including 
facilities financing guarantees; (2) Food for Peace; (3) 
section 416b Overseas Donations Program; (4) Market Access 
Program; and (5) programs authorized by the Commodity Credit 
Corporation Charter Act including barter, export sales of most 
CCC-owned commodities, export payments, and other programs as 
assigned to encourage and enhance the export of U.S. 
agricultural commodities.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $203,580,000 for the Foreign 
Agricultural Service, including a direct appropriation of 
$197,506,000.
    Borlaug Fellows Program.--The Committee recommendation 
includes $3,500,000 for the Borlaug International Agricultural 
Science and Technology Fellows Program. This program provides 
training for international scientists and policymakers from 
selected developing countries. The fellows work closely with 
U.S. specialists in their fields of expertise and apply that 
knowledge in their home countries. The Committee recognizes the 
importance of this program in helping developing countries 
strengthen their agricultural practices and food security.
    Cochran Fellowship Program.--The Committee recommendation 
includes $6,500,000 for the Cochran Fellowship Program. The 
Committee encourages the Secretary to continue to provide 
additional support for the program through the Commodity Credit 
Corporation Emerging Markets Program.
    Foreign Market Development Cooperator Program.--The 
Committee expects the FAS to fund the Foreign Market 
Development Cooperator Program.
    Market Access Program.--The Committee continues the full 
mandatory funding for the Market Access Program and expects the 
Department to administer the program as authorized in 7 U.S.C. 
5623, without changing the eligibility requirements for 
participation of cooperative organizations, small businesses, 
trade associations, and other entities.

  FOOD FOR PEACE TITLE I DIRECT CREDIT AND FOOD FOR PROGRESS PROGRAM 
                                ACCOUNT

Appropriations, 2017....................................        $149,000
Budget estimate, 2018...................................         149,000
Committee recommendation................................         149,000

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $149,000 for 
administrative expenses to continue servicing existing Food for 
Peace title I agreements.

                     FOOD FOR PEACE TITLE II GRANTS

Appropriations, 2017....................................  $1,466,000,000
Budget estimate, 2018...................................................
Committee recommendation................................   1,600,000,000

    Commodities Supplied in Connection With Dispositions Abroad 
(Title II) (7 U.S.C. 1721-1726).--Commodities are supplied 
without cost through foreign governments to combat malnutrition 
and to meet famine and other emergency requirements. 
Commodities are also supplied for nonemergencies through public 
and private agencies, including intergovernmental 
organizations. The Commodity Credit Corporation pays ocean 
freight on shipments under this title, and may also pay 
overland transportation costs to a landlocked country, as well 
as internal distribution costs in emergency situations. The 
funds appropriated for title II are made available to private 
voluntary organizations and cooperatives to assist these 
organizations in meeting administrative and related costs.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $1,600,000,000 
for Food for Peace title II grants.

  MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION AND CHILD NUTRITION 
                             PROGRAM GRANTS

Appropriations, 2017....................................    $201,626,000
Budget estimate, 2018...................................................
Committee recommendation................................     206,626,000

    The McGovern-Dole International Food for Education and 
Child Nutrition Program helps support education, child 
development, and food security for some of the world's poorest 
children. The program provides for donations of U.S. 
agricultural products, as well as financial and technical 
assistance, for school feeding and maternal and child nutrition 
projects in low-income, food-deficit countries that are 
committed to universal education. Commodities made available 
for donation through agreements with private voluntary 
organizations, cooperatives, intergovernmental organizations, 
and foreign governments may be donated for direct feeding or 
for local sale to generate proceeds to support school feeding 
and nutrition projects.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $206,626,000 
for the McGovern-Dole International Food for Education and 
Child Nutrition Program.
    Local and Regional Procurement.--The Committee provides an 
appropriation of $15,000,000 for efforts to build long-term 
agriculture sustainability and establish a local investment in 
school feeding programs. With direct U.S. commodity 
contributions, projects supported by the McGovern-Dole Food for 
Education Program have significantly improved the attendance, 
nourishment, and learning capacity of school-aged children in 
low-income countries throughout the impoverished world. New 
funding authorities would enable school feeding programs to 
proactively transition from direct commodity assistance to 
locally source agriculture products. The Committee directs the 
Secretary to conduct the Local and Regional Food Aid 
Procurement Project Program in accordance with the priorities 
of the McGovern-Dole International Food for Education and Child 
Nutrition Program.

COMMODITY CREDIT CORPORATION EXPORT LOANS PROGRAM ACCOUNT (EXPORT CREDIT
                          PROGRAMS AND GSM-102)
                        [In thousands of dollars]
------------------------------------------------------------------------
                                        Guaranteed loan   Administrative
                                             levels          expenses
------------------------------------------------------------------------
Appropriations, 2017..................        5,500,000            8,537
Budget estimate, 2018.................        5,500,000            6,735
Committee recommendation..............        5,500,000            8,537
------------------------------------------------------------------------

    In 1980, the Commodity Credit Corporation [CCC] instituted 
the Export Credit Guarantee Program (GSM-102) under its charter 
authority. With this program, CCC guarantees, for a fee, 
payments due U.S. exporters under deferred payment sales 
contracts (up to 36 months) for defaults due to commercial as 
well as noncommercial risks. The risk to CCC extends from the 
date of export to the end of the deferred payment period 
covered in the export sales contract and covers only that 
portion of the payments agreed to in the assurance agreement. 
Operation of this program is based on criteria which will 
assure that it is used only where it is determined that it will 
develop new market opportunities and maintain and expand 
existing world markets for U.S. agricultural commodities. The 
program encourages U.S. financial institutions to provide 
financing to those areas where the institutions would be 
unwilling to provide financing in the absence of the CCC 
guarantees. CCC also provides facilities financing guarantees.
    The Federal Credit Reform Act of 1990 establishes the 
program account. The subsidy costs of the CCC export guarantee 
programs are exempt from the requirement of advance 
appropriations of budget authority according to section 
504(c)(2) of the Federal Credit Reform Act of 1990, Public Law 
101-508. Appropriations to this account will be used for 
administrative expenses.

                                TITLE VI

            RELATED AGENCY AND FOOD AND DRUG ADMINISTRATION

                Department of Health and Human Services

                      FOOD AND DRUG ADMINISTRATION

    The Food and Drug Administration [FDA] is a scientific 
regulatory agency whose mission is to promote and protect the 
public health and safety of Americans. FDA's work is a blend of 
science and law. The Food and Drug Administration Amendments 
Act of 2007 [FDAAA] (Public Law 110-85) reaffirmed the 
responsibilities of the FDA: to ensure safe and effective 
products reach the market in a timely way, and to monitor 
products for continued safety while they are in use. In 
addition, FDA is entrusted with two critical functions in the 
Nation's war on terrorism: preventing willful contamination of 
all regulated products, including food, and improving the 
availability of medications to prevent or treat injuries caused 
by biological, chemical, radiological, or nuclear agents.
    The FDA Foods program has the primary responsibility for 
assuring that the food supply, quality of foods, food 
ingredients and dietary supplements are safe, sanitary, 
nutritious, wholesome, and honestly labeled, and that cosmetic 
products are safe and properly labeled. The variety and 
complexity of the food supply has grown dramatically while new 
and more complex safety issues, such as emerging microbial 
pathogens, natural toxins, and technological innovations in 
production and processing, have developed. This program plays a 
major role in keeping the United States food supply among the 
safest in the world.
    In January 2011, the Food Safety Modernization Act was 
signed into law. This law enables FDA to better protect public 
health by strengthening the food safety system. It enables FDA 
to focus more on preventing food safety and feed problems 
rather than relying primarily on reacting to problems after 
they occur. The law also provides FDA with new enforcement 
authorities designed to achieve higher rates of compliance with 
prevention- and risk-based food and feed safety standards and 
to better respond to and contain problems when they do occur. 
The law also gives FDA important new tools to hold imported 
food and feed to the same standards as domestic food and feed 
and directs FDA to build an integrated national food safety 
system in partnership with State and local authorities.
    The FDA Drugs programs are comprised of four separate 
areas, Human Drugs, Animal Drugs, Medical Devices and 
Biologics. FDA is responsible for the lifecycle of products, 
including premarket review and postmarket surveillance of human 
and animal drugs, medical devices and biological products to 
ensure their safety and effectiveness. For Human Drugs this 
includes assuring that all drug products used for the 
prevention, diagnosis and treatment of disease are safe and 
effective. Additional procedures include the review of 
investigational new drug applications; evaluation of market 
applications for new and generic drugs, labeling and 
composition of prescription and over-the-counter drugs; 
monitoring the quality and safety of products manufactured in, 
or imported into, the United States; and, regulating the 
advertising and promotion of prescription drugs. The Animal 
Drugs and Feeds Program ensures only safe and effective 
veterinary drugs, intended for the treatment and/or prevention 
of diseases in animals and the improved production of food-
producing animals, are approved for marketing.
    The FDA Biologics program assures that blood and blood 
products, blood test kits, vaccines, and therapeutics are pure, 
potent, safe, effective, and properly labeled. The program 
inspects blood banks and blood processors, licenses and 
inspects firms collecting human source plasma, evaluates and 
licenses biologics manufacturing firms and products; lot 
releases licensed products; and monitors adverse events 
associated with vaccine immunization, blood products, and other 
biologics.
    The FDA Devices and Radiological program ensures the safety 
and effectiveness of medical devices and eliminates unnecessary 
human exposure to manmade radiation from medical, occupational, 
and consumer products. In addition, the program enforces 
quality standards under the Mammography Quality Standards Act 
(Public Law 108-365). Medical devices include thousands of 
products from thermometers and contact lenses to heart 
pacemakers, hearing aids, and MRIs. Radiological products 
include items such as microwave ovens and video display 
terminals.
    FDA's National Center for Toxicological Research in 
Jefferson, Arkansas, serves as a specialized resource, 
conducting peer-review scientific research that provides the 
basis for FDA to make sound science-based regulatory decisions 
through its premarket review and postmarket surveillance. The 
research is designed to define and understand the biological 
mechanisms of action underlying the toxicity of products and 
lead to developing methods to improve assessment of human 
exposure, susceptibility and risk of those products regulated 
by FDA.
    In 2009, Congress granted FDA new authority to regulate the 
manufacture, distribution, and marketing of tobacco products. 
FDA exercises this responsibility by protecting the public 
health from the health effects of tobacco, setting scientific 
standards and standards for tobacco product review, conducting 
compliance activities to enforce its authority over tobacco, 
and conducting public education and outreach about the health 
effects of tobacco products.

                         SALARIES AND EXPENSES

                        [In thousands of dollars]
------------------------------------------------------------------------
                               Appropriation    User fees       Total
------------------------------------------------------------------------
Appropriations, 2017.........      2,759,378     1,895,711     4,655,089
Budget estimate, 2018........      1,819,718     3,164,392     4,984,110
Committee recommendation.....      2,760,378     2,386,567     5,146,945
------------------------------------------------------------------------

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $2,760,378,000 
for FDA salaries and expenses. The Committee also recommends 
$2,386,567,000 in definite user fees, including: $937,434,000 
in Prescription Drug User Fee Act user fee collections; 
$193,291,000 in Medical Device User Fee and Modernization Act 
user fee collections; and $24,142,000 in Animal Drug User Fee 
Act user fee collections; $12,100,000 in Animal Generic Drug 
User Fee Act user fee collections; $672,000,000 in Tobacco 
Product user fee collections; $493,600,000 in Generic Drug User 
Fee Act user fee collections; and $54,000,000 in Biosimilar 
User Fee Act user fee collections. The Committee also 
recommends $58,960,000 in permanent, indefinite user fees, 
including: $5,300,000 in Voluntary Qualified Importer Program 
collections; $1,434,000 in food and feed recall collections; 
$6,414,000 in food reinspection collections; $20,522,000 in 
Mammography Quality Standards Act fee collections; $10,062,000 
in color certification collections; $7,686,000 in Pediatric 
Disease Priority Review Voucher collections; $1,400,000 in 
third-party auditor collections; $1,446,000 in outsourcing 
facility collections; and $4,696,000 in export and 
certification fees, as assumed in the President's budget. The 
Committee recommendation includes bill language which prohibits 
FDA from developing, establishing, or operating any program of 
user fees authorized by 31 U.S.C. 9701.
    The Committee recommendation does not include proposed user 
fees for food facility registration and inspection, food 
import, food contact substance notification, cosmetics, and 
international courier imports. None of these user fee proposals 
have been authorized by Congress. The Committee will continue 
to monitor any action by the appropriate authorizing Committees 
regarding these proposed user fees.
    The Committee expects FDA to continue all projects, 
activities, laboratories, and programs as included in fiscal 
year 2017 unless otherwise specified. The Committee does not 
support the proposed $3,120,000 reduction to the National 
Center for Toxicological Research. The Committee accepts the 
budget proposal to eliminate funding for consumer education and 
outreach regarding agricultural biotechnology.
    The Committee recommendation includes an increase of 
$500,000 to the Center for Drug Evaluation and Research and 
$500,000 to the Center for Food Safety and Applied Nutrition to 
review Botanical Drug and Dietary Supplement interactions.
    The following table reflects the Committee's 
recommendations, as compared to the fiscal year 2017 and budget 
request levels:

                               FOOD AND DRUG ADMINISTRATION SALARIES AND EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2018 budget       Committee
                                                                 2017 enacted       request       recommendation
----------------------------------------------------------------------------------------------------------------
Centers and related field activities:
    Foods....................................................        1,025,503          910,428        1,026,003
        Center for Food Safety and Applied Nutrition [CFSAN].          310,994          277,643          308,494
        Field Activities.....................................          714,509          632,785          717,509
    Human Drugs..............................................          492,203          179,139          492,703
        Center for Drug Evaluation and Research [CDER].......          355,996           94,353          356,496
        Field Activities.....................................          136,207           84,786          136,207
    Biologics................................................          215,443           95,893          215,443
        Center for Biologics Evaluation and Research [CBER]..          174,052           61,398          174,052
        Field Activities.....................................           41,391           34,495           41,391
    Animal Drugs.............................................          162,852          107,606          162,852
        Center for Veterinary Medicine [CVM].................           98,205           49,117           98,205
        Field Activities.....................................           64,647           58,489           64,647
    Medical and radiological devices.........................          329,764          140,069          329,764
        Center for Devices and Radiological Health...........          246,319           73,842          246,319
        Field Activities.....................................           83,445           66,227           83,445
    National Center for Toxicological Research...............           63,331           60,211           63,331
Other Activities.............................................          185,087          125,432          185,087
Rent and related activities..................................          114,987           72,450          114,987
Rental Payments to GSA.......................................          170,208          128,490          170,208
                                                              --------------------------------------------------
      Total, FDA salaries and expenses, new budget authority.        2,759,378        1,819,718        2,760,378
----------------------------------------------------------------------------------------------------------------

    Active Pharmaceutical Ingredients.--The Committee is 
concerned that the FDA has not yet approved a list of active 
pharmaceutical ingredients [APIs] for use by compounding 
pharmacists pursuant to the Federal Food, Drug, and Cosmetic 
Act [FDCA]. Within 90 days of the enactment of this act, the 
FDA is directed to provide a timeline for when the remaining 
substances will be considered, and in the meantime re-consider 
its policy with regard to enforcement of the bulk drug 
substances provisions under section 503A.
    Added Sugar Labeling.--The Committee is concerned about 
potential consumer confusion over the new FDA nutritional 
labeling requirements for added sugar for single ingredient 
products like maple syrup and honey, where sugar is naturally 
occurring in the product rather than added to the product. The 
Committee is aware that the FDA has had discussions with maple 
and honey producers regarding their concerns that the labeling 
requirement as currently drafted could mislead consumers to 
think that sugar has been added to a pure single-ingredient 
maple or honey product. The Committee directs the FDA to report 
to the Committee on its efforts to implement regulations and 
provide clarity to the maple syrup and honey industries on the 
labeling of the sugar content of their packaged products and 
avoiding consumer confusion.
    Atypical Actives.--The Committee requests that the FDA 
provide an update on how it regulates ``atypical actives.''
    Autoantibody Qualification.--The appearance of certain 
islet autoantibodies in the serum of individuals increases the 
chance of developing type 1 diabetes at some point in the 
future. Therefore the Committee encourages the FDA to work with 
the Type 1 diabetes community on the assessment of potential 
diabetes biomarkers related to islet autoimmunity, which might 
help inform the design of clinical studies.
    Botanical Dietary Supplements Research.--The Committee 
appreciates the work CFSAN has done to ensure the safety of 
botanical dietary supplements. Existing work to develop 
authentication and identification tools for evaluation of 
botanical supplements is promising, and the Committee directs 
the Center to invest further in this important research.
    Botanical Drug and Drug Interactions.--The Committee 
commends CDER for its work to ensure that botanical drugs 
available to the public are safe and effective. However, little 
is known about potential drug interactions caused by botanical 
drugs, and given the recent publication of the Botanical Drug 
Development Guidance for Industry, the Committee is concerned 
that this will likely catalyze additional applications for 
approval of botanical drugs. Therefore, the Committee directs 
the FDA to invest in this research by working with its Center 
of Excellence network partners with expertise in developing 
analytical methods and reference standards for botanical 
formulations.
    Caloric Content.--The Committee is concerned that the FDA 
Nutrition Facts Label final rule does not include specific 
requirements for certain carbohydrates that may have 
insignificant or no caloric content. Consumers generally rely 
on the caloric information provided on food and beverage 
labels. The Committee is aware that the FDA is working to 
provide additional information for food manufacturers 
clarifying how certain carbohydrates, as appropriate, that may 
have insignificant or no caloric content should be labeled. The 
Committee urges the FDA to provide clarity to food 
manufacturers on the labeling of such carbohydrates, as 
appropriate.
    Center for Safety and Nutrition Centers of Excellence.--The 
Committee is aware of the important contribution of the FDA 
Center for Food Safety and Applied Nutrition's Centers of 
Excellence [COEs] program in supporting critical basic research 
as well as facilitating the implementation of the FDA Food 
Safety Modernization Act. The Committee encourages the Agency 
to continue to fully utilize the COEs to accomplish these 
goals, and instructs that it enhance its level of support for 
FDA Food Safety Modernization Act activities.
    Centers of Excellence in Regulatory Science and 
Innovation.--The Committee is encouraged by the ongoing 
research and collaboration underway at the Centers of 
Excellence in Regulatory Science and Innovation program. The 
Committee believes that these programs will help the Agency 
improve public health, address scientific challenges presented 
by revolutions in medical product development, and improve food 
safety and quality. The Committee commends the Agency for 
launching this program in 2011 and expanding it in 2014. For 
this reason, the Committee believes that the Agency should 
continue to invest in the existing locations in the CERSI 
network at their original funding level for a period of at 
least 5 years to ensure their efficacy and to capitalize on 
existing studies.
    Cotton Ginning.--The Committee is concerned about the 
impact of the ``Current Good Manufacturing Practice, Hazard 
Analysis, and Risk-Based Preventive Controls for Food for 
Animals'' final rule (80 FR 56170; September 17, 2015) on the 
cotton industry. The Committee notes post-harvest activity of 
ginning cotton does not transform the resulting cottonseed into 
a ``processed food,'' and thus, cottonseed should fall within 
the definition of a ``raw agricultural commodity'' for purposes 
of rules promulgated pursuant to the FSMA. In addition, the 
Committee is concerned about the rationale for the definitions 
of ``primary production farm'' and ``secondary activities 
farm'' and how these definitions factor into the determination 
of operations either being exempt from or covered by certain 
requirements of the final rule. Therefore, the Committee 
directs the FDA to provide outreach and technical assistance to 
cotton ginning operations to assist them in complying with the 
final rule or subsequent guidance documents.
    Dietary Fiber.--The Committee is concerned that the FDA has 
not issued final guidance regarding the definition of dietary 
fiber, and encourages the FDA to issue these final guidance 
documents and provide sufficient time for food manufacturers to 
comply.
    Dietary Ingredients Guidance.--The Committee encourages FDA 
to meet with representatives of the supplement industry as well 
as consumer groups and to review all comments received 
regarding the ``Dietary Supplements: New Dietary Ingredient 
[NDI] Notifications and Related Issues'' guidance.
    Donor Milk Supply.--The Committee recognizes the growing 
use of donor human milk for newborns, including premature 
infants at risk for conditions such as necrotizing 
enterocolitis. The Committee directs the FDA to provide a 
report no later than 12 months after enactment of this Act on 
its efforts to implement regulations to help assure a safe and 
stable human milk supply and prevent contaminated milk from 
reaching vulnerable infants. The report shall include 
information on specific safeguards related to the collection, 
processing, testing, and distribution of donor human milk and 
products derived from human milk. The report shall also include 
FDA's assessment of the possibility of reclassifying donor 
human milk and products derived from human milk as exempt 
infant formula.
    Drug Shortages.--The committee requests that the FDA report 
on how it works with manufacturers to facilitate timely 
communication to the field on the availability of drugs 
application reviews and facility inspections during times of or 
risk of critical drug shortages.
    Drug Vial Sizes.--Senate Report 114-259 directed the FDA to 
provide a report to Congress within 180 days of enactment of 
the fiscal 2017 Appropriations Act with recommendations on 
``how the FDA may assist in addressing concerns about 
appropriate vial sizes and fill volumes from a safety 
perspective, to ensure that patients are receiving the 
appropriate care.'' The Committee expects the FDA to comply 
with this directive.
    Duschenne Muscular Dystrophy.--The Committee is encouraged 
by FDA's recent approvals of therapies to treat Duchenne 
Muscular Dystrophy and is aware of the authorities within the 
21st Century Cures Act that clarify the agency's ability to 
allow sponsors of targeted rare disease therapies to use data 
from previously approved applications. The Committee is aware 
of the relevance of this policy to Duchenne and other rare 
disease therapy developments and of the agency's work to 
implement the law, and we request an update on these efforts 
within 180 days of enactment.
    Fatal and Debilitating Diseases.--The Committee directs the 
FDA to exercise its current law authorities, as provided under 
the FDA Safety and Innovation Act and the 21st Century Cures 
Act, when reviewing new drug applications for patients with 100 
percent fatal and debilitating diseases. The Committee further 
encourages the FDA to afford patients, caregivers and treating 
physicians the opportunity to participate in the drug review 
process.
    Food Contact Notification User Fees.--The Committee 
recommendation does not include proposed user fees.
    Food Safety Mission.--The Committee directs the FDA Foods 
Program to report to the Committee all activities and resources 
spent on nutrition-related activities for the Center for Food 
Safety and Applied Nutrition [CFSAN], associated field offices 
[ORA], and support components.
    Food Safety Modernization Act.--The Committee is aware that 
some states that have entered into cooperative agreements under 
the State Produce Implementation Cooperative Agreement Program 
to provide education, outreach, and technical assistance are 
considering changing the state agency responsible for 
implementing these agreements. The Food and Drug Administration 
is directed to work with any state that designates a new 
implementing agency to ensure it can continue to receive 
funding under existing cooperative agreements without delay or 
loss of funding.
    Foreign High Risk Inspections.--The Committee has provided 
robust funding for this initiative over the last several years 
and directs the FDA to provide an update on these efforts, 
including estimated efficiencies and concerns, and plans to 
continue or expand this effort in the future.
    FSMA & Strategic Partnerships.--The Committee notes FDA's 
public hearing regarding reliance on ``Strategic Partnerships 
to Enhance the Safety of Imported Foods.'' In particular, the 
Committee recommends that FDA give serious consideration to 
suggestions made during the hearing to place greater reliance 
on private-sector third party auditors to help FDA implement 
FSMA. The Committee supports the FDA's recognition that 
strategic partnerships with existing government food safety 
programs and accredited private-sector third party auditing/
certification organizations can help achieve cost efficiencies 
for Agency programs and encourages the Agency to continue its 
dialogue with such organizations.
    FSMA Clarification for Small Farms.--The Committee directs 
the FDA to provide further clarification to small farms on the 
requirements for compliance with the Food Safety Modernization 
Act, including information on the qualified exemptions 
available to small and very small farms and the actions 
required to achieve compliance under these exemptions. The 
Committee also urges the Food and Drug Administration to 
communicate with (including through appropriate guidance) and 
offer technical assistance to assist small farms with 
compliance.
    Glass Contamination of Injectable Drugs.--In 2011, FDA 
issued the Advisory to Drug Manufacturers: Formation of Glass 
Lamellae in Certain Injectable Drugs, which noted that drugs 
containing glass fragments have the potential to cause embolic, 
thrombotic, and other vascular events when administered 
intravenously, and when administered subcutaneously, could lead 
to the development of foreign body granuloma, local injection 
site reactions, and increased immunogenicity. The Committee 
understands that the FDA has initiated studies concerning glass 
products for injectable products; however the Committee is 
concerned about the threat of glass quality issues to public 
health. The Committee directs the FDA to evaluate the Agency's 
study data and any other appropriate available data and report 
back to the Committee within 90 days on the appropriate action 
needed to address the issue.
    Grape Varietals.--The Committee is aware that the FDA has 
excluded certain produce that is rarely consumed raw from 
having to comply with the FSMA Produce Safety Final Rule 
entitled ``Standards for Growing, Harvesting, Packing, and 
Holding of Produce for Human Consumption.'' There is concern 
that the FDA did not distinguish between grape varietals that 
are consumed raw and those that are grown, harvested and used 
for wine and further processing. The Committee directs the FDA 
to consider any relevant distinctions between grape varietals, 
including grape varietals from different regions, that may 
provide additional flexibility to wine grape growers in 
demonstrating a product is eligible for exemption or exclusion 
from the produce safety regulation, including through listing 
as a produce that is rarely consumed raw.
    Human Drug Review Committee.--The Committee strongly 
encourages the FDA to fully utilize its authorities under 18 
U.S.C. 208(b)(3) to include no less than two members with an 
expertise in the indication for which the drug is meant to 
treat on each Advisory Committee when that Committee is 
reviewing a drug that has been designated as an Orphan Drug.
    Improving Diversity in Clinical Trials and Safety 
Studies.--The Committee supports FDA's efforts, including the 
FDASIA 907 Action Plan, to promote inclusion of racially and 
ethnically diverse populations into clinical trials. The 
Committee encourages FDA to address the specific lack of racial 
and ethnic diversity in genome-wide association studies, 
precision medicine studies, and post-market surveillance safety 
monitoring for drugs, biological products, and devices. The 
Committee further encourages FDA to also include data for 
Hispanics in the Clinical Trials Drug Snapshots, including 
stating when no data is available based on the study design of 
the clinical trial. The Committee also directs FDA's to help 
ensure that public-facing resources are available in Spanish, 
including Medwatch reporting forms and online portal, and 
consumer information materials.
    Improving Import Review.--The Committee directs the FDA to 
submit a report within 180 days of enactment of this Act on how 
FDA is monitoring the impact of the reorganization under 
Program Alignment, and if such reorganization has improved the 
consistency of facility inspections.
    In Silico Clinical Trials.--The Committee appreciates FDA's 
interest in in silico medicine and directs the Office of the 
Chief Scientist to enter into an affiliation agreement with an 
academic institution with expertise in physiological modeling 
for the purpose of bridging the gaps between genetics and 
clinical practice with in silico clinical trials, allowing the 
development of personalized medicine and optimizing the 
regulatory process, pursuant to the goals set forth in the 
Critical Path Initiative.
    Medical Gas Rulemaking.--The Committee is concerned that 
the FDA has not initiated a rulemaking on medical air labeling, 
adverse event reporting, or the numerous longstanding medical 
gas regulatory issues identified at the December 6, 2013 public 
meeting. While Section 1112 of Food and Drug Administration 
Safety and Innovation Act [FDASIA] required the Secretary to 
make a determination on whether to propose new regulations for 
medical gases, the 2017 Consolidated Appropriations Act 
required the Secretary to issue new regulations by July 15, 
2017. Congress has twice enacted laws on this issue and expects 
the FDA to reach a consensus with industry by incorporating 
general concerns into regulations, either through incorporation 
by reference or principle-based regulation. FDA's role as a 
regulator is to vet and propose regulations, especially when 
directed to do so by Congress. Resources have been provided to 
the FDA through discretionary appropriations and user fees to 
accomplish its mission. FDA is directed to convene with 
stakeholders in a public meeting on the regulation of medical 
gases and provide a written report to Congress including a 
description of the sections of the Code of Federal Regulations 
that will be updated no later than December 31, 2017 and issue 
the final regulations required by Public Law No: 115-31 no 
later than July 15, 2018.
    Misleading Maple Marketing.--The Committee is concerned 
about the explosion of products marketed using the word maple 
and related iconography, which intentionally misleads consumers 
who perceive the use of the word maple and related iconography 
to mean that a food product contains some measurable quantity 
of maple syrup to flavor or sweeten the product, which 
consumers identify as a characterizing ingredient. The 
Committee directs the FDA to perform a detailed analysis of 
consumer perception of foods marketed with the word maple or 
related iconography.
    National Antimicrobial Resistance Monitoring System.--The 
Committee recommendation includes $10,800,000 for the National 
Antimicrobial Resistance Monitoring System, equal to the level 
provided in fiscal year 2017.
    Olive Oil.--The Committee supports ongoing monitoring by 
FDA of the olive oil market to determine if it is adulterated 
with seed oil. The Committee also encourages FDA to respond to 
a 2012 citizen petition requesting a standard of identity for 
olive oil and olive pomace oil.
    Opioids.--The Committee is deeply concerned about the 
opioid abuse epidemic that took the lives of more than 33,000 
Americans in 2015. As the agency that oversees the approval of 
these drugs, the FDA has a responsibility to consider the 
public health impact of opioid misuse, abuse, diversion and 
overdose death. The Committee supports FDA's commitment to 
addressing this crisis through all available authorities, and 
encourages them to work with other Federal Agencies in their 
efforts.
    The Committee continues its directive for FDA to refer any 
new drug application for an opioid submitted under section 
505(b) of the Federal Food, Drug and Cosmetic Act to an 
advisory committee for their recommendations prior to approval, 
unless the FDA finds that holding such advisory committee is 
not in the interest of protecting and promoting the public 
health.
    The Committee notes that the vast majority of patients 
prescribed opioids are dispensed a substantially larger amount 
of pills than what is effective for pain management, and that 8 
percent of patients who receive a week's supply of opioids 
continue to use them 1 year later. Additionally, despite 
promotion of abuse deterrent varieties of opioid medication, 
FDA has itself recognized that these drugs are still 
misunderstood as being abuse-proof by prescribers. Therefore, 
the Committee believes that it is imperative that FDA, 
consistent with its own Advisory Committee recommendations, 
take any and all steps necessary to require continuing medical 
education, aligned with the most recent Center for Disease 
Control and Prevention's Guidelines for Prescribing Opioids for 
Chronic Pain, for providers who write opioid prescriptions, 
including through the Risk Evaluations and Mitigation Strategy. 
The Committee directs FDA to establish authoritative opioid 
labeling guidelines that align prescribing and dispensing 
volumes with the lowest number of pills needed to be effective 
for pain management. Additionally, the Committee believes that 
FDA should develop messaging to mitigate the risk that 
healthcare practitioners will confuse the term ``abuse-
deterrent'' for ``abuse-proof''.
    The Committee is also concerned that the Drug Enforcement 
Administration's approved annual aggregate production quota for 
opioids, which are established through engagement with the FDA, 
have increased dramatically in the last two decades. The 
Committee directs the FDA to account for changes in the 
currently accepted medical use of opioids and the downstream 
public health impact when informing DEA's quota-setting 
process, and provide public justification for any future 
recommended changes to the DEA's aggregate production quote for 
opioids.
    Opioid Policy Steering Committee.--The Committee strongly 
supports the Commissioner's efforts to establish the Opioid 
Policy Steering Committee to establish methods to curb our 
opioid crisis in part by adequately considering the potential 
risk of abuse and misuse as part of the FDA's drug approval 
process of prescription opioids. The Committee encourages the 
FDA to work with private stakeholders and researchers in this 
process. The Committee requests for an update on the Steering 
Committee's progress within 90 days, including any legislative 
action necessary to achieve the Steering Committee's goals.
    Orphan Products Development.--The Committee is encouraged 
by the Office of Orphan Products Development and recognizes the 
importance of the work being supported by Orphan Product 
Grants. The Committee requests for the FDA to provide a review 
of the indication for which the drug is intended to treat and 
for the number of pediatric clinical trials that have received 
a grant since fiscal year 2015.
    OTC Switch.--The Committee is concerned that there is a 
significant amount of time between an FDA approval of a switch 
of a drug from prescription to over-the-counter and when such 
switch is enforced. Allowing the prescription products of FDA-
switched OTC drugs to remain on the market has led to physician 
and consumer confusion as inaccurate assumptions are made that 
the product requires a prescription, as well as additional 
costs due to unnecessary physician visits and prescriptions. 
The Committee requests the FDA for an update on their progress 
and timeline for a final determination regarding the 
outstanding prescription products and to comment on a process 
for improving these timelines moving forward.
    Oversight Activities.--The Committee recommendation 
includes $1,500,000 for the HHS Office of Inspector General 
specifically for oversight of FDA activities.
    Patient Experience.--The Committee is appreciative of the 
steps the FDA has taken to implement Subtitle A of Title III 
within the 21st Century Cures Act to better incorporate patient 
experience in the drug development and approval processes. The 
Committee is aware of provisions enacted via the 21st Century 
Cures Act to provide for greater transparency on how FDA is 
using patient experience and related data to inform regulatory 
reviews, and to issue updated guidance to inform developers of 
patient-focused drug developments tools. The Committee requests 
a status report from FDA on implementation of these provisions 
including any challenges or impediments being faced.
    Pediatric Cancer Drug Approvals.--The Committee is 
encouraged by the enactment of the RACE for Children Act as 
part of the reauthorization of the Prescription Drug User Fee 
Authorization Act. RACE for Children could improve the 
treatment options for children battling cancer and close the 
divide between adult and pediatric oncology therapies. The 
Committee encourages the FDA to fully implement the provisions 
specific to the lists of molecular targets and FDA guidance on 
pediatric study plans under the Pediatric Research Equity Act 
and the Best Pharmaceutical Practices for Children Act.
    Pediatric Device Consortia Grants.--The Committee is 
pleased that the nine FDA-funded Pediatric Device Consortia 
have assisted in the development of more than 650 proposed 
pediatric medical devices since its inception in 2009, as well 
as promoting job-growth in the healthcare sector, and as such, 
continues to support this critical effort. The program funds 
consortia to assist innovators in developing medical and 
surgical devices designed for the unique needs of children that 
often go unmet by devices currently available on the market. 
The Committee recommendation includes no less than the fiscal 
year 2017 funding level for Pediatric Device Consortia Grants.
    Rare Disease Therapies.--The Committee is encouraged by 
FDA's recent approvals of therapies to treat rare diseases, 
like Duchenne Muscular Dystrophy, and is aware of the 
authorities within Section 3012 the 21st Century Cures Act that 
clarify the agency's ability to allow sponsors of targeted rare 
disease therapies to use data from previously approved 
applications. The Committee is aware of the relevance of this 
policy to rare disease therapy development and of the agency's 
work to implement the law, and we request an update on these 
efforts within 180 days of enactment.
    Seafood Advisory.--The Committee is concerned that the FDA 
published final seafood advice for pregnant and nursing women 
on January 18, 2017, without going through necessary 
interagency review, consumer focus group testing, or the 
opportunity for the public to comment on the scientific peer 
review. Therefore, the Committee directs the FDA to review its 
final seafood advice and to make such technical corrections as 
are necessary to ensure the advice is consistent with the FDA's 
scientific review of the net effects of seafood consumption. In 
addition, the Committee directs the FDA to follow the 
Administration's review process prior to publishing the updated 
seafood advice.
    Sunscreen Labeling Regulations.--The Committee remains 
significantly concerned that the FDA has not approved a new 
over-the-counter [OTC] sunscreen ingredient since the 1990s, 
despite having a number of ingredients pending approval for 
more than a decade. After the U.S. Surgeon General issued ``A 
Call to Action to Prevent Skin Cancer,'' which concluded that 
nearly 5 million people are treated annually for all skin 
cancers at a cost of approximately $8.1 billion per year, 
Congress passed the Sunscreen Innovation Act of 2014 to improve 
the process by which the FDA reviews sunscreen ingredients and 
to require the FDA to finalize an effective sunscreen monograph 
within 5 years. The Committee directs the FDA to work with 
stakeholders to develop a testing regimen, consistent with 
current scientific standards, that appropriately balances the 
benefit of additional skin cancer prevention tools versus the 
risk of skin cancer within 90 days of enactment. The Committee 
also directs FDA to maintain funding for agency efforts to 
clear this backlog of sunscreen applications.
    In addition, the Committee is disappointed that FDA has not 
yet finalized a rule limiting the maximum Sun Protection Factor 
[SPF] to ``50'' or ``50+'' as directed by the fiscal year 2017 
Consolidated Appropriations Act, and as such the Committee 
directs FDA to finalize the rule immediately. The Committee is 
also disappointed that FDA failed to issue a proposed rule to 
establish testing and labeling standards for sunscreen sprays 
and directs FDA to do so immediately.
    Vibrio.--The Committee is aware of the public health 
challenge related to the naturally occurring bacteria called 
Vibrio parahaemolyticus that can accumulate in shellfish and 
believes that more scientific research is necessary to develop 
proper controls that will reduce the risk to consumers and 
sustain a healthy domestic shellfish industry. The Committee 
encourages the Food and Drug Administration [FDA] to increase 
funding for research into Vibrio illnesses associated with the 
consumption of raw molluscan shellfish, improve risk assessment 
models, and develop improved rapid detection methods for 
virulent Vibrio strains.
    White Oak Expansion.--The Committee is aware of the need 
for FDA facilities to accommodate an anticipated expanded 
workforce due to broader missions related to food safety and 
other mandates in legislation over the last few years. Due to 
the challenging fiscal environment, the Committee encourages 
the FDA and GSA to consider innovative financing options to 
allow for the space allocation required. In particular, the 
Committee directs the FDA and GSA to consider partnership 
opportunities with non-Federal Government entities that provide 
reasonable cost options that will enable the FDA to maintain 
very close proximity to its campus headquarters in White Oak, 
including space contiguous to the White Oak campus.

                        BUILDINGS AND FACILITIES

Appropriations, 2017....................................     $11,788,000
Budget estimate, 2018...................................       8,771,000
Committee recommendation................................      11,788,000

    FDA maintains offices and staff in 49 States and in the 
District of Columbia and Puerto Rico, including field 
laboratories and specialized facilities, as well as the 
National Center for Toxicological Research complex. Repairs, 
modifications, improvements, and construction to FDA 
headquarters and field facilities must be made to preserve the 
properties, ensure employee safety, meet changing program 
requirements, and permit the agency to keep its laboratory 
methods up to date.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $11,788,000 
for FDA buildings and facilities. This funding shall be used to 
upgrade FDA facilities and laboratories which are currently 
below public safety standards and incapable of performing 
agency requirements.

                           INDEPENDENT AGENCY


                       Farm Credit Administration


                 LIMITATION ON ADMINISTRATIVE EXPENSES

Appropriations, 2017....................................     $68,600,000
Budget estimate, 2018...................................      72,600,000
Committee recommendation................................      69,000,000

    The Farm Credit Administration [FCA] is the independent 
agency in the executive branch of the Government responsible 
for the examination and regulation of the banks, associations, 
and other institutions of the Farm Credit System.
    Activities of the Farm Credit Administration include the 
planning and execution of examinations of Farm Credit System 
institutions and the preparation of examination reports. FCA 
also promulgates regulations, establishes standards, enforces 
rules and regulations, and approves certain actions of the 
institutions.
    The administration and the institutions under its 
jurisdiction now operate under authorities contained in the 
Farm Credit Act of 1971, Public Law 92-181, effective December 
10, 1971. Public Law 99-205, effective December 23, 1985, 
restructured FCA and gave the agency regulatory authorities and 
enforcement powers.
    The act provides for the farmer-owned cooperative system to 
make sound, adequate, and constructive credit available to 
farmers and ranchers and their cooperatives, rural residences, 
and associations and other entities upon which farming 
operations are dependent, and to modernize existing farm credit 
law to meet current and future rural credit needs.
    The Agricultural Credit Act of 1987 authorized the 
formation of the Federal Agricultural Mortgage Corporation 
[FAMC] to operate a secondary market for agricultural and rural 
housing mortgages. The Farm Credit Administration, under 
section 8.11 of the Farm Credit Act of 1971, as amended, is 
assigned the responsibility of regulating this entity and 
assuring its safe and sound operation.
    Expenses of the Farm Credit Administration are paid by 
assessments collected from the Farm Credit System institutions 
and by assessments to the Federal Agricultural Mortgage 
Corporation.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a limitation of $69,000,000 on 
administrative expenses of the Farm Credit Administration.

                               TITLE VII

                           GENERAL PROVISIONS

    The Committee recommends the following provisions:
    Section 701. This section makes funds available for the 
purchase, replacement, and hire of passenger motor vehicles.
    Section 702. This section gives the Secretary of 
Agriculture authority to transfer unobligated balances to the 
Working Capital Fund and clarifies longstanding practices 
associated with the Fund.
    Section 703. This section limits the funding provided in 
the bill to 1 year, unless otherwise specified.
    Section 704. This section limits negotiated indirect costs 
on cooperative agreements between the Department of Agriculture 
and nonprofit organizations to 10 percent.
    Section 705. This section makes appropriations to the 
Department of Agriculture for the cost of direct guaranteed 
loans available until expended to disperse obligations for 
certain Rural Development programs.
    Section 706. This section prohibits the purchase of new 
information technology equipment in excess of $25,000 without 
the prior approval of the Chief Information Officer.
    Section 707. This section makes funds for certain 
conservation programs available until expended to disburse 
certain obligations made in the current fiscal year.
    Section 708. This section makes certain former Rural 
Utilities Service borrowers eligible for the Rural Economic 
Development loan and grant program.
    Section 709. This section provides funds for Rural 
Development and the Farm Service Agency information technology 
expenses.
    Section 710. This section includes language regarding 
first-class travel.
    Section 711. This section includes language regarding the 
Commodity Credit Corporation.
    Section 712. This section makes funds available for the 
expenses and activities of certain advisory committees, panels, 
commissions, and task forces at the Department of Agriculture.
    Section 713. This section includes language regarding the 
limitation on direct costs for grants awarded by the National 
Institute of Food and Agriculture.
    Section 714. This section includes language regarding the 
availability of funds for certain Department of Agriculture 
programs.
    Section 715. This section includes language regarding the 
availability of funds for certain Department of Agriculture 
programs.
    Section 716. This section prohibits the use of funds for 
user fee proposals that fail to provide sufficient budget 
impact information.
    Section 717. This section prohibits the reprogramming of 
funds for programs, projects, or activities in excess of 
$500,000 or 10 percent, whichever is less without the prior 
notification of the Committee on Appropriations.
    Section 718. This section includes language for the 
establishment of a fee under the business and industry loan 
program.
    Section 719. This section prohibits the Department of 
Agriculture and the Department of Health and Human Services 
from transmitting questions or responses as a result of the 
appropriations hearing process to non-Department employees.
    Section 720. This section includes language regarding 
prepackaged news.
    Section 721. This section requires Department of 
Agriculture agencies to provide reimbursement to other 
Department of Agriculture agencies for employees detailed for 
longer than 60 days.
    Section 722. This section includes language regarding 
industrial hemp.
    Section 723. This section includes language regarding 
spending plans.
    Section 724. This section provides funding for the 
Geographically Disadvantaged Farmers Program.
    Section 725. This section includes language regarding 
section 502 single family direct loans.
    Section 726. This section includes language regarding loans 
and loan guarantees.
    Section 727. This section includes language regarding 
credit card refunds.
    Section 728. This section includes language regarding 
commodity programs.
    Section 729. This section includes language regarding 
conservation.
    Section 730. This section includes language regarding the 
Agriculture and Food Research Initiative.
    Section 731. This section includes language regarding the 
Rural Utilities Service.
    Section 732. This section includes language regarding the 
Rural Housing Service.
    Section 733. This section includes language regarding 
disclosure of information for pharmaceuticals.
    Section 734. This section includes language regarding 
research exemptions.
    Section 735. This section includes language regarding dried 
spent grain products.
    Section 736. This section includes language regarding the 
Conservation Reserve Program.
    Section 737. This section includes language regarding the 
Water Bank Program.
    Section 738. This section includes language regarding 
partially hydrogenated oils.
    Section 739. This section provides funding for a pilot 
program through the National Institute of Food and Agriculture.
    Section 740. This section includes language regarding 
reporting requirements.
    Section 741. This section includes a rescission of funds.
    Section 742. This section includes language regarding Rural 
Economic Area Partnership Zones.
    Section 743. This section includes language regarding the 
Rural Housing Service.
    Section 744. This section includes funding for the Healthy 
Food Financing Initiative.
    Section 745. This section provides funding for a pilot 
program through the Rural Housing Service.
    Section 746. This section provides funding for a pilot 
program through the Farm Service Agency.
    Section 747. This section includes language regarding the 
Supplemental Nutrition Assistance Program.
    Section 748. This section provides funding to carry out a 
program for hardwood trees.
    Section 749. This section provides funding for a pilot 
program through the Food and Nutrition Service.
    Section 750. This section includes language regarding 
computer networks.
    Section 751. This section includes language regarding the 
Food and Drug Administration.
    Section 752. This section includes language regarding a 
Working Capital Fund.
    Section 753. This section provides funding for the Animal 
and Plant Health Inspection Service.
    Section 754. This section includes language regarding 
watersheds.
    Section 755. This section includes language regarding rural 
development.
    Section 756. This section includes language regarding 
drought relief.
    Section 757. This section includes language regarding 
genetically engineered salmon.
    Section 758. This section includes language regarding the 
use of funds for certain horse inspection activities.

                     PROGRAM, PROJECT, AND ACTIVITY

    During fiscal year 2018, for purposes of the Balanced 
Budget and Emergency Deficit Control Act of 1985 (Public Law 
99-177) or the Balanced Budget and Emergency Deficit Control 
Reaffirmation Act of 1987 (Public Law 100-119), the following 
information provides the definition of the term ``program, 
project, and activity'' for departments and agencies under the 
jurisdiction of the Agriculture, Rural Development, Food and 
Drug Administration, and Related Agencies Subcommittee. The 
term ``program, project, and activity'' shall include the most 
specific level of budget items identified in the Agriculture, 
Rural Development, Food and Drug Administration, and Related 
Agencies Appropriations Act, 2018, and the accompanying Senate 
Report.
    If a sequestration order is necessary, in implementing the 
Presidential order, departments and agencies shall apply any 
percentage reduction required for fiscal year 2018 pursuant to 
the provisions of Public Law 99-177 or Public Law 100-119 to 
all items specified in the explanatory notes submitted to the 
Committees on Appropriations of the House and Senate in support 
of the fiscal year 2018 budget estimates, as amended, for such 
departments and agencies, as modified by congressional action, 
and in addition:
    For the Agricultural Research Service the definition shall 
include specific research locations as identified in the 
explanatory notes.
    For the Natural Resources Conservation Service the 
definition shall include individual flood prevention projects 
as identified in the explanatory notes and individual 
operational watershed projects as summarized in the notes.
    For the Farm Service Agency the definition shall include 
individual, regional, State, district, and county offices.

  COMPLIANCE WITH PARAGRAPH 7, RULE XVI OF THE STANDING RULES OF THE 
                                 SENATE

    Paragraph 7 of rule XVI requires that Committee reports 
accompanying general appropriations bills identify each 
recommended amendment which proposes an item of appropriation 
which is not made to carry out the provisions of an existing 
law, a treaty stipulation, or an act or resolution previously 
passed by the Senate during that session.
    The Committee is filing an original bill, which is not 
covered under this rule, but reports this information in the 
spirit of full disclosure.
    The Committee recommends funding for the following programs 
or activities which currently lack authorization for fiscal 
year 2018:
      Child Nutrition Program State Administrative Expenses
      Farmers Market Nutrition Program
      Grain Inspection Service
      Multi-family Housing Revitalization Program
      Special Supplemental Nutrition Program for Women, Infants 
        and Children
      Summer Food Service Program

COMPLIANCE WITH PARAGRAPH 7(c), RULE XXVI OF THE STANDING RULES OF THE 
                                 SENATE

    Pursuant to paragraph 7(c) of rule XXVI, on July 20, 2017, 
the Committee ordered favorably reported an original bill (S. 
1603) making appropriations for Agriculture, Rural Development, 
Food and Drug Administration, and Related Agencies programs for 
the fiscal year ending September 30, 2018, and for other 
purposes, provided, that the bill be subject to amendment and 
that the bill be consistent with the subcommittee funding 
guidance, and provided that the Chairman of the Committee or 
his designee be authorized to offer the substance of the 
original bill as a Committee amendment in the nature of a 
substitute to the House companion measure, by a recorded vote 
of 31-0, a quorum being present. The vote was as follows:
        Yeas                          Nays
Chairman Cochran
Mr. McConnell
Mr. Shelby
Mr. Alexander
Ms. Collins
Ms. Murkowski
Mr. Graham
Mr. Blunt
Mr. Moran
Mr. Hoeven
Mr. Boozman
Mrs. Capito
Mr. Lankford
Mr. Daines
Mr. Kennedy
Mr. Rubio
Mr. Leahy
Mrs. Murray
Mrs. Feinstein
Mr. Durbin
Mr. Reed
Mr. Tester
Mr. Udall
Mrs. Shaheen
Mr. Merkley
Mr. Coons
Mr. Schatz
Ms. Baldwin
Mr. Murphy
Mr. Manchin
Mr. Van Hollen

 COMPLIANCE WITH PARAGRAPH 12, RULE XXVI OF THE STANDING RULES OF THE 
                                 SENATE

    Paragraph 12 of rule XXVI requires that Committee reports 
on a bill or joint resolution repealing or amending any statute 
or part of any statute include ``(a) the text of the statute or 
part thereof which is proposed to be repealed; and (b) a 
comparative print of that part of the bill or joint resolution 
making the amendment and of the statute or part thereof 
proposed to be amended, showing by stricken-through type and 
italics, parallel columns, or other appropriate typographical 
devices the omissions and insertions which would be made by the 
bill or joint resolution if enacted in the form recommended by 
the committee.''
    In compliance with this rule, changes in existing law 
proposed to be made by the bill are shown as follows: existing 
law to be omitted is enclosed in black brackets; new matter is 
printed in italic; and existing law in which no change is 
proposed is shown in roman.

                          TITLE 7--AGRICULTURE


                       Chapter 36--Crop Insurance


                  Subchapter I--Federal Crop Insurance


Sec. 1508b. Stacked Income Protection Plan for producers of upland 
                    cotton

(a) Availability

           *       *       *       *       *       *       *

(e) Relation to other coverages
    The Stacked Income Protection Plan is in addition to all 
other coverages available to producers of upland cotton.
    (f) Limitation.--Effective beginning with the 2018 crop 
year, a farm shall not be eligible for the Stacked Income 
Protection Plan for a crop year for which the farm is enrolled 
in coverage for cottonseed under--

          (1) price loss coverage under section 1116 of the 
        Agricultural Act of 2014 (7 U.S.C. 9016); or

          (2) agriculture risk coverage under section 1117 of 
        that Act (7 U.S.C. 9017).

           *       *       *       *       *       *       *


 Chapter 58--Erodible Land and Wetland Conservation and Reserve Program


                Subchapter V--Funding and Administration


Sec. 3844. Administrative requirements for conservation programs

(a) Incentives for certain farmers and ranchers and Indian 
            tribes

           *       *       *       *       *       *       *

(l) Funding for Indian tribes

    In carrying out the conservation stewardship program under 
subpart B of part II of subchapter IV and the environmental 
quality incentives program under part IV of subchapter IV, the 
Secretary may enter into alternative funding arrangements with 
Indian tribes if the Secretary determines that the goals and 
objectives of the programs will be met by such arrangements, 
and that statutory limitations regarding contracts with 
individual producers will not be exceeded by any tribal member.


    (m) Exemption From Certain Reporting Requirements.--

          (1) Definition of Exempted Producer.--In this 
        subsection, the term ``exempted producer'' means a 
        producer or landowner eligible to participate in any 
        conservation program administered by the Secretary.

          (2) 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 (and any successor regulations), shall not 
        apply with respect to assistance received by an 
        exempted producer from the Secretary, acting through 
        the Natural Resources Conservation Service.

           *       *       *       *       *       *       *


          Chapter 98--Department of Agriculture Reorganization


        Subchapter III--Rural Economic and Community Development


Sec. 6941. Under Secretary of Agriculture for Rural Development

(a) Authorization

    The Secretary [is authorized to] shall establish in the 
Department the position of Under Secretary of Agriculture for 
Rural Development.

(b) Confirmation required

    [If the Secretary establishes the position of Under 
Secretary of Agriculture for Rural Development authorized under 
subsection (a), the Under Secretary] The Under Secretary of 
Agriculture for Rural Development shall be appointed by the 
President, by and with the advice and consent of the Senate.

           *       *       *       *       *       *       *

[(d) Succession

    Any official who is serving as Under Secretary of 
Agriculture for Small Community and Rural Development on 
October 13, 1994, and who was appointed by the President, by 
and with the advice and consent of the Senate, shall not be 
required to be reappointed under subsection (b) to the 
successor position authorized under subsection (a) if the 
Secretary establishes the position, and the official occupies 
the new position, within 180 days after October 13, 1994 (or 
such later date set by the Secretary if litigation delays rapid 
succession).]

[(e)] (d) Loan approval authority

    Approval authority for loans and loan guarantees in 
connection with the electric and telephone loan and loan 
guarantee programs authorized by the Rural Electrification Act 
of 1936 (7 U.S.C. 901 et seq.) shall not be transferred to, or 
conditioned on review of, a State director or other employee 
whose primary duty is not the review and approval of such loans 
or the provision of assistance to such borrowers.

           *       *       *       *       *       *       *


         Subchapter IX--Miscellaneous Reorganization Provisions


Sec. 7014. Termination of authority

(b) Functions

    Subsection (a) shall not affect:

          (1) * * *

           *       *       *       *       *       *       *

          (8) The authority of the Secretary to carry out 
        amendments made to this chapter by the Agricultural Act 
        of 2014.

          (9) The authority of the Secretary to establish in 
        the Department the position of Under Secretary of 
        Agriculture for Rural Development under section 231.
                                ------                                


                         TITLE 16--CONSERVATION


         Chapter 18--Watershed Protection and Flood Prevention


Sec. 1002. Definitions

    For the purposes of this chapter, the following terms shall 
mean:

          The ``Secretary''--the Secretary of Agriculture of 
        the United States.

          ``Works of improvement''--any undertaking for--

                  (1) flood prevention (including structural 
                and land treatment measures),

                  (2) the conservation, development, 
                utilization, and disposal of water, or

                  (3) the conservation and proper utilization 
                of land,
                in watershed or subwatershed area not exceeding 
                two hundred and fifty thousand acres and not 
                including any single structure which provides 
                more than twelve thousand five hundred acre-
                feet of floodwater detention capacity, and more 
                than twenty-five thousand acre-feet of total 
                capacity. No appropriation shall be made for 
                any plan involving an estimated Federal 
                contribution to construction costs in excess of 
                [$5,000,000] $25,000,000, or which includes any 
                structure which provides more than twenty-five 
                hundred acre-feet of total capacity unless such 
                plan has been approved by resolutions adopted 
                by the appropriate committees of the Senate and 
                House of Representatives: Provided, That in the 
                case of any plan involving no single structure 
                providing more than 4,000 acre-feet of total 
                capacity the appropriate committees shall be 
                the Committee on Agriculture, Nutrition, and 
                Forestry of the Senate and the Committee on 
                Agriculture of the House of Representatives and 
                in the case of any plan involving any single 
                structure of more than 4,000 acre-feet of total 
                capacity the appropriate committees shall be 
                the Committee on Environment and Public Works 
                of the Senate and the Committee on Public Works 
                and Transportation of the House of 
                Representatives, respectively. Each project 
                must contain benefits directly related to 
                agriculture, including rural communities, that 
                account for at least 20 percent of the total 
                benefits of the project. A number of such 
                subwatersheds when they are component parts of 
                a larger watershed may be planned together when 
                the local sponsoring organizations so desire.

           *       *       *       *       *       *       *


Sec. 1005. Works of improvement

  (1) Engineering and other services; reimbursement; advances

           *       *       *       *       *       *       *

  (3) Transmission of certain plans to Congress

          Whenever the estimated Federal contribution to the 
        construction cost of works of improvement in the plan 
        for any watershed or subwatershed area shall exceed 
        [$5,000,000] $25,000,000 or the works of improvement 
        include any structure having a total capacity in excess 
        of twenty-five hundred acre-feet, the Secretary shall 
        transmit a copy of the plan and the justification 
        therefor to the Congress through the President.

  (4) Transmission of certain plans and recommendations to 
            Congress

          Any plans for works of improvement involving an 
        estimated Federal contribution to construction costs in 
        excess of [$5,000,000] $25,000,000 or including any 
        structure having a total capacity in excess of twenty-
        five hundred acre-feet (a) which includes works of 
        improvement for reclamation or irrigation, or which 
        affects public or other lands or wildlife under the 
        jurisdiction of the Secretary of the Interior, (b) 
        which includes Federal assistance for goodwater 
        detention structures, (c) which includes features which 
        may affect the public health, or (d) which includes 
        measures for control or abatement of water pollution, 
        shall be submitted to the Secretary of the Interior, 
        the Secretary of the Army, the Secretary of Health and 
        Human Services, or the Administrator of the 
        Environmental Protection Agency, respectively, for his 
        views and recommendations at least thirty days prior to 
        transmission of the plan to the Congress through the 
        President. The views and recommendations of the 
        Secretary of the Interior, the Secretary of the Army, 
        the Secretary of Health and Human Services, and the 
        Administrator of the Environmental Protection Agency, 
        if received by the Secretary prior to the expiration of 
        the above thirty-day period, shall accompany the plan 
        transmitted by the Secretary to the Congress through 
        the President.

           *       *       *       *       *       *       *


 Chapter 58--Erodible Land and Wetland Conservation and Reserve Program


       Subchapter IV--Agricultural Resources Conservation Program


           Part IV--Environmental Quality Incentives Program


Sec. 3839aa-2. Establishment and administration

[(a) Establishment

    During each of the 2002 through 2018 fiscal years, the 
Secretary shall provide payments to producers that enter into 
contracts with the Secretary under the program.]
    (a) Establishment.--During each of the 2002 through 2019 
fiscal years, the Secretary shall provide payments to producers 
that enter into contracts with the Secretary under the program.

           *       *       *       *       *       *       *


                Subchapter V--Funding And Administration


Sec. 3841. Commodity Credit Corporation

(a) Annual funding

    For each of fiscal years 2014 through [2018] 2018 (and 
fiscal year 2019 in the case of the program specified in 
paragraph (5)), the Secretary shall use the funds, facilities, 
and authorities of the Commodity Credit Corporation to carry 
out the following programs under this chapter (including the 
provision of technical assistance):
          (1) * * *

           *       *       *       *       *       *       *

          (5) The environmental quality incentives program 
        under part IV of subchapter IV, using, to the maximum 
        extent practicable--

                  (A) * * *

           *       *       *       *       *       *       *

                  (E) $1,750,000,000 for [fiscal year 2018] 
                each of fiscal years 2018 through 2019.

(b) Availability of funds

    Amounts made available by subsection (a) for fiscal years 
2014 through [2018] 2018 (and fiscal year 2019 in the case of 
the program specified in subsection (a)(5)) shall be used by 
the Secretary to carry out the programs specified in such 
subsection and shall remain available until expended.
                                ------                                


                TITLE 42--THE PUBLIC HEALTH AND WELFARE


                   Chapter 13--School Lunch Programs


Sec. 1758. Program requirements

(a) Nutritional requirements

           *       *       *       *       *       *       *

(h) Food safety

  (1) In general

           *       *       *       *       *       *       *

  (3) Audits and reports by States

    [For fiscal year 2017] For fiscal year 2018, each State 
shall annually--

           *       *       *       *       *       *       *

  (4) Audit by the Secretary

    [For fiscal year 2017] For fiscal year 2018, the Secretary 
shall annually audit State reports of food safety inspections 
of schools submitted under paragraph (3).

           *       *       *       *       *       *       *


Sec. 1769g. Information clearinghouse

(a) In general

           *       *       *       *       *       *       *

(d) Funding

    Out of any moneys in the Treasury not otherwise 
appropriated, the Secretary of the Treasury shall pay to the 
Secretary to provide to the organization selected under this 
section, to establish and maintain the information 
clearinghouse, $200,000 for each of fiscal years 1995 and 1996, 
$150,000 for fiscal year 1997, $100,000 for fiscal year 1998, 
$166,000 for each of fiscal years 1999 through 2004, and 
$250,000 for each of fiscal years [2010 through 2017] 2010 
through 2018. The Secretary shall be entitled to receive the 
funds and shall accept the funds, without further 
appropriation.
                                ------                                


               AGRICULTURE ACT OF 2014, PUBLIC LAW 113-79


                          TITLE I--COMMODITIES


                    Subtitle A--Repeals and Reforms


                       Part II--Commodity Policy


SEC. 1111. DEFINITIONS.

    In this subtitle and subtitle B:

          (1) Actual crop revenue.--* * *

           *       *       *       *       *       *       *

          (6) Covered commodity.--[The term] (A) In general.--
        The term ``covered commodity'' means wheat, oats, and 
        barley (including wheat, oats, and barley used for 
        haying and grazing), corn, grain sorghum, long grain 
        rice, medium grain rice, pulse crops, soybeans, other 
        oilseeds, and peanuts.

                  (B) Inclusion.--Effective beginning with the 
                2018 crop year, the term ``covered commodity'' 
                includes cottonseed.

           *       *       *       *       *       *       *

          (18) Reference price.--The term ``reference price'', 
        with respect to a covered commodity for a crop year, 
        means the following:

                  (A) * * *

           *       *       *       *       *       *       *

                  (N) For large chickpeas, $21.54 per 
                hundredweight.

                  (O) For cottonseed, $15.00 per hundredweight.

           *       *       *       *       *       *       *


SEC. 1113. PAYMENT YIELDS.

    (b) Payment Yields for Designated Oilseeds.--

          (1) Determination of average yield.--* * *

           *       *       *       *       *       *       *

          (3) Use of county average yield.--If the yield per 
        planted acre for a crop of a designated oilseed for a 
        farm for any of the 1998 through 2001 crop years was 
        less than 75 percent of the county yield for that 
        designated oilseed, the Secretary shall assign a yield 
        for that crop year equal to 75 percent of the county 
        yield for the purpose of determining the average under 
        paragraph (1).

          (4) Payment yield for cottonseed.--

                  (A) Payment yield.--Subject to subparagraph 
                (B), the payment yield for a farm for 
                cottonseed shall be equal to 1.4 times the 
                payment yield for upland cotton for the farm 
                established under section 1104(e)(3) of the 
                Food, Conservation, and Energy Act of 2008 (7 
                U.S.C. 8714(e)(3)) (as in effect on February 6, 
                2014).

                  (B) Update.--At the sole discretion of the 
                owner of a farm, the owner of a farm shall have 
                a 1-time opportunity to update the payment 
                yield described in subparagraph (A) in 
                accordance with subsection (d).

           *       *       *       *       *       *       *


SEC. 1114. PAYMENT ACRES.

    (b) Treatment of generic base acres.--

          (1) In general.--* * *

          (2) Attribution.--With respect to a farm containing 
        generic base acres, for the purpose of applying 
        [paragraphs (1)(B) and (2)(B)] paragraphs (1) and (2) 
        of subsection (a), generic base acres on the farm are 
        attributed to a covered commodity in the following 
        manner:

           *       *       *       *       *       *       *

          (3) Treated as additional acreage.--When generic base 
        acres are planted to a covered commodity or acreage 
        planted to a covered commodity is attributed to generic 
        base acres, the generic base acres are in addition to 
        other base acres on the farm.

          (4) Cottonseed.--Effective for the 2018 crop year and 
        each crop year thereafter, the Secretary shall allocate 
        generic base acres for producers on a farm as follows:

                  (A) In the case of a farm on which no covered 
                commodities (including cottonseed) were planted 
                or were prevented from being planted at any 
                time during each of the 2009 through 2016 crop 
                years, generic base acres shall be allocated to 
                unassigned crop base for which no payments may 
                be made under section 1116 or 1117.

                  (B) In the case of a farm not described in 
                subparagraph (A), generic base acres shall be 
                allocated--

                          (i) to cottonseed base acres in a 
                        quantity equal to the greater of--

                                  (I) subject to subparagraph 
                                (C), 80 percent of the generic 
                                base acres on the farm; and

                                  (II) the average number of 
                                cottonseed acres planted or 
                                prevented from being planted on 
                                the farm during each of the 
                                2009 through 2012 crop years 
                                (not to exceed the total 
                                generic base acres on the 
                                farm); or

                          (ii) to base acres for covered 
                        commodities (including cottonseed), by 
                        applying subparagraphs (B), (D), (E), 
                        and (F) of section 1112(a)(3).

                  (C) In the case of a farm on which generic 
                base acres are allocated under subparagraph 
                (B)(i)(I), the remaining 20 percent of generic 
                base acres shall be allocated to unassigned 
                crop base for which no payments may be made 
                under section 1116 or 1117.

           *       *       *       *       *       *       *

    (e) Effect of planting fruits and vegetables.--

          (1) Reduction required.--* * *

           *       *       *       *       *       *       *


          (4) Reduction exceptions.--* * *

                  (A) * * *

                  (B) in any region in which there is a history 
                of double-cropping covered commodities with 
                crops referred to in paragraph (1) and such 
                crops were so double-cropped on the base acres, 
                as determined by the Secretary.

    (f) Unassigned Crop Base.--The Secretary shall maintain 
information on generic base acres on a farm allocated as 
unassigned crop base under subparagraphs (A) and (C) of 
subsection (b)(4).

SEC. 1115. PRODUCER ELECTION.

    (a) Election Required.--[For] Except as provided in 
subsection (g), for the 2014 through 2018 crop years, all of 
the producers on a farm shall make a 1-time, irrevocable 
election to obtain--

           *       *       *       *       *       *       *

    (f) Prohibition on Reconstitution.--The Secretary shall 
ensure that producers on a farm do not reconstitute the farm to 
void or change an election or selection made under this 
section.

    (g) Special Election.--In the case of a farm on which 
generic base acres are attributed to cottonseed or on which 
generic base acres are allocated to cottonseed, the producers 
on the farm shall be given the opportunity to make a new 1-time 
election under subsection (a) for the 2018 crop year and each 
crop year thereafter to reflect the designation of cottonseed 
as a covered commodity under section 1111(6)(B).

           *       *       *       *       *       *       *


                      Subtitle B--Marketing Loans


SEC. 1202. LOAN RATES FOR NONRECOURSE MARKETING ASSISTANCE LOANS.

    (a) In General.--* * *

           *       *       *       *       *       *       *


    (b) Single County Loan Rate for Other Oilseeds.--The 
Secretary shall establish a single loan rate in each county for 
each kind of other oilseeds described in subsection (a)(11).


    (c) Cottonseed.--

          (1) In general.--For purposes of section 1116(b)(2) 
        and paragraphs (1)(B)(ii) and (2)(A)(ii)(II) of section 
        1117(b), the loan rate for cottonseed shall be equal to 
        $8.00 per hundredweight.

          (2) Effect.--Nothing in this subsection authorizes 
        any nonrecourse marketing assistance loan under this 
        subtitle for cottonseed.

           *       *       *       *       *       *       *


                           Subtitle C--Sugar


         Part I--Margin Protection Program for Dairy Producers


SEC. 1401. DEFINITIONS.

    In this part and part III:

          (1) Actual dairy production margin.--* * *

          (2) All-milk price.--* * *

          (3) Average feed cost.--* * *

          [(4) Consecutive 2-month period.--The term 
        ``consecutive 2-month period'' refers to the 2-month 
        period consisting of the months of January and 
        February, March and April, May and June, July and 
        August, September and October, or November and 
        December, respectively.]

          [(5)] (4) Dairy operation.--* * *

          [(6)] (5) Margin protectoin program.--* * *

          [(7)] (6) Margin protection program payment.--* * *

          [(8)] (7) Participating dairy operation.--* * *

          [(9)] (8) Production history.--* * *

          [(10)] (9) Secretary.--* * *

          [(11)] (10) United states.--* * *

SEC. 1402. CALCULATION OF AVERAGE FEED COST AND ACTUAL DAIRY PRODUCTION 
                    MARGINS.

    (b) Calculation of Actual Dairy Production Margin.--

          (1) In general.--For use in the margin protection 
        program, the Secretary shall calculate the actual dairy 
        production margin for each [consecutive 2-month period] 
        month by subtracting--

                  (A) the average feed cost for that 
                [consecutive 2-month period] month, determined 
                in accordance with subsection (a); from

                  (B) the all-milk price for that [consecutive 
                2-month period] month.

           *       *       *       *       *       *       *


SEC. 1404. PARTICIPATION OF DAIRY OPERATIONS IN MARGIN PROTECTION 
                    PROGRAM.

    (b) Registration Process.--

          (1) In general.--The Secretary shall specify the 
        manner and form by which a participating dairy 
        operation may register to participate in the margin 
        protection program, including the establishment of a 
        date each coverage year by which a dairy operation 
        shall register for the coverage year.

          (2) Election.--

                  (A) In general.--For the 2019 through 2023 
                coverage years, a dairy operation may make an 
                irrevocable election to participate in the 
                margin protection program.

                  (B) Coverage years.--A dairy operation that 
                elects to participate in the margin protection 
                program under subparagraph (A) shall 
                participate in the margin protection program 
                for the coverage year for which the 
                participating dairy operation elects to 
                participate and each subsequent coverage year 
                through coverage year 2023.

          [(2)] (3) Treatment of multiproducer dairy 
        operations.--If a participating dairy operation is 
        operated by more than 1 dairy producer, all of the 
        dairy producers of the participating dairy operation 
        shall be treated as a single dairy operation for 
        purposes of participating in the margin protection 
        program.

          [(3)] (4) Treatment of producers with multiple dairy 
        operations.--If a dairy producer operates 2 or more 
        dairy operations, each dairy operation of the producer 
        shall separately register to participate in the margin 
        protection program.

    (c) Annual Administrative Fee.--

          (1) Administrative fee required.--* * *

           *       *       *       *       *       *       *


          (3) Use of fees.--The Secretary shall use 
        administrative fees collected under this subsection to 
        cover administrative costs incurred to carry out the 
        margin protection program.

          (4) Exemption.--A limited resource, beginning, 
        veteran, or socially disadvantaged farmer, as defined 
        by the Secretary, shall be exempt from the 
        administrative fee under this subsection.

           *       *       *       *       *       *       *


SEC. 1405. PRODUCTION HISTORY OF PARTICIPATING DAIRY OPERATIONS.

    (a) Production History.--

          (1) In general.--* * *

          (2) Adjustment.--In subsequent years, the Secretary 
        shall adjust the production history of a participating 
        dairy operation determined under paragraph (1) to 
        reflect any increase in the national average milk 
        production.

          (3) Continued applicability of base production 
        history.--A production history established for a dairy 
        operation under paragraph (1) shall be the base 
        production history for the dairy operation in 
        subsequent years (as adjusted under paragraph (2)).

           *       *       *       *       *       *       *


SEC. 1406. MARGIN PROTECTION PAYMENTS.

    (a) Coverage Level Threshold And Coverage Percentage.--For 
purposes of receiving margin protection payments for a 
[consecutive 2-month period] month, a participating dairy 
operation shall annually elect--

          (1) 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; and

          (2) a percentage of coverage, in 5-percent 
        increments, beginning with 25 percent and not exceeding 
        90 percent of the production history of the 
        participating dairy operation.

    (b) Payment Threshold.--A participating dairy operation 
shall receive a margin protection payment whenever the average 
actual dairy production margin for a [consecutive 2-month 
period] month is less than the coverage level threshold 
selected by the participating dairy operation.

    (c) Amount of Margin Protection Payment.--The margin 
protection payment for the participating dairy operation shall 
be determined as follows:

          (1) The Secretary shall calculate the amount by which 
        the coverage level threshold selected by the 
        participating dairy operation exceeds the average 
        actual dairy production margin for the [consecutive 2-
        month period] month.

          (2) The amount determined under paragraph (1) shall 
        be multiplied by--

                  (A) the coverage percentage selected by the 
                participating dairy operation; and

                  (B) the production history of the 
                participating dairy operation divided by [6] 
                12.

SEC. 1407. PREMIUMS FOR MARGIN PROTECTION PROGRAM.

    (b) [Premium Per Hundredweight for First 4 Million Pounds 
of Production] Tier I: Premium Per Hundredweight for First 
5,000,000 Pounds of Production._

          (1) In general.--For the first [4,000,000] 5,000,000 
        pounds of milk marketings included in the production 
        history of a participating dairy operation, the premium 
        per hundredweight for each coverage level is specified 
        in the table contained in paragraph (2).

          (2) Producer premiums.--Except as provided in 
        paragraph (3), the following annual premiums apply:

------------------------------------------------------------------------
           Coverage Level                      Premium per Cwt.
------------------------------------------------------------------------
                        $4.00                                 None
                        $4.50                        [$0.010] None
                        $5.00                        [$0.025] None
                        $5.50                      [$0.040] $0.009
                        $6.00                      [$0.055] $0.017
                        $6.50                      [$0.090] $0.043
                        $7.00                      [$0.217] $0.068
                        $7.50                      [$0.300] $0.094
                        $8.00                      [$0.475] $0.153
------------------------------------------------------------------------

                                     

           *       *       *       *       *       *       *
    (c) [Premium Per Hundredweight for Production in Excess of 
4 Million Pounds] Tier II: Premium Per Hundredweight for 
Production in Excess of 5,000,000 Pounds._

          (1) In general.--For milk marketings in excess of 
        [4,000,000] 5,000,000 pounds included in the production 
        history of a participating dairy operation, the premium 
        per hundredweight for each coverage level is specified 
        in the table contained in paragraph (2).

           *       *       *       *       *       *       *

    (e) Premium Obligations.--

          (1) Pro-ration of premium for new participants.--* * 
        *

          (2) Legal obligation.--A participating dairy 
        operation in the margin protection program [for a 
        calendar year shall be legally obligated to pay the 
        applicable premium for that calendar year] shall be 
        legally obligated to pay the applicable premium elected 
        by the participating dairy operation for the coverage 
        year, except that the Secretary may waive that 
        obligation, under terms and conditions determined by 
        the Secretary, for any participating dairy operation in 
        the case of death, retirement, permanent dissolution of 
        a participating dairy operation, or other circumstances 
        as the Secretary considers appropriate to ensure the 
        integrity of the program.

                        BUDGETARY IMPACT OF BILL


  PREPARED IN CONSULTATION WITH THE CONGRESSIONAL BUDGET OFFICE PURSUANT TO SEC. 308(A), PUBLIC LAW 93-344, AS
                                                     AMENDED
                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                               Budget authority                 Outlays
                                                         -------------------------------------------------------
                                                            Committee    Amount  in     Committee    Amount  in
                                                           guidance\1\      bill       guidance\1\      bill
----------------------------------------------------------------------------------------------------------------
Comparison of amounts in the bill with the subcommittee
 allocation for 2018: Subcommittee on Agriculture, Rural
 Development, Food and Drug Administration, and Related
 Agencies:
    Mandatory...........................................      111,509       111,509       100,005    \2\100,005
    Discretionary.......................................       20,525        20,525        21,621     \2\21,621
        Security........................................  ............  ............  ............           NA
        Nonsecurity.....................................       20,525        20,525            NA            NA
Projections of outlays associated with the
 recommendation:
    2018................................................  ............  ............  ............   \3\104,859
    2019................................................  ............  ............  ............        5,659
    2020................................................  ............  ............  ............        1,282
    2021................................................  ............  ............  ............          565
    2022 and future years...............................  ............  ............  ............        1,062
Financial assistance to State and local governments for            NA        40,438            NA     \3\32,440
 2018...................................................
 
----------------------------------------------------------------------------------------------------------------
\1\There is no section 302(a) allocation to the Committee on Appropriations for fiscal year 2018.
\2\Includes outlays from prior-year budget authority.
\3\Excludes outlays from prior-year budget authority.
 
NA: Not applicable.
 
NOTE.--Pursuant to section 1002(b)(3)(B) of the 21st Century Cures Act (Public Law 114-255), $60,000,000 in
  budget authority and the resulting outlays do not count for the purposes of estimates under the Congressional
  Budget and Impoundment Control Act of 1974 or the Balanced Budget and Emergency Deficit Control Act of 1985.


  COMPARATIVE STATEMENT OF NEW BUDGET (OBLIGATIONAL) AUTHORITY FOR FISCAL YEAR 2017 AND BUDGET ESTIMATES AND AMOUNTS RECOMMENDED IN THE BILL FOR FISCAL
                                                                        YEAR 2018
                                                                [In thousands of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                         Senate Committee recommendation
                                                                                                                             compared with (+ or -)
                                Item                                       2017       Budget estimate     Committee    ---------------------------------
                                                                      appropriation                     recommendation        2017
                                                                                                                         appropriation   Budget estimate
--------------------------------------------------------------------------------------------------------------------------------------------------------
                   TITLE I--AGRICULTURAL PROGRAMS
 
                Processing, Research, and Marketing
 
                      Office of the Secretary
 
Office of the Secretary............................................           5,051            4,859            5,051   ...............            +192
Office of Tribal Relations.........................................             502              501              502   ...............              +1
Assistant to the Secretary for Rural Development...................  ...............  ...............             800             +800             +800
Office of Homeland Security and Emergency Coordination.............           1,496            1,448            1,496   ...............             +48
Office of Advocacy and Outreach....................................           1,209            1,171            4,209           +3,000           +3,038
Office of the Assistant Secretary for Administration...............             804              802              804   ...............              +2
Departmental Administration........................................          24,124           22,501           24,124   ...............          +1,623
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Departmental Administration........................          24,928           23,303           24,928   ...............          +1,625
 
Office of the Assistant Secretary for Congressional Relations......           3,869            3,521            3,869   ...............            +348
Office of Communications...........................................           7,500            7,261            7,500   ...............            +239
                                                                    ------------------------------------------------------------------------------------
      Total, Office of the Secretary...............................          44,555           42,064           48,355           +3,800           +6,291
                                                                    ====================================================================================
Executive Operations:
    Office of the Chief Economist..................................          18,917           17,211           16,917           -2,000             -294
    Office of Hearings and Appeals.................................          13,399           14,716           13,399   ...............          -1,317
    Office of Budget and Program Analysis..........................           9,525            9,093            9,525   ...............            +432
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Executive Operations...............................          41,841           41,020           39,841           -2,000           -1,179
 
Office of the Chief Information Officer............................          49,538           58,950           58,950           +9,412   ...............
Office of the Chief Financial Officer..............................           8,028            5,836            8,028   ...............          +2,192
Office of the Assistant Secretary for Civil Rights.................             901              896              901   ...............              +5
Office of Civil Rights.............................................          24,206           23,304           24,206   ...............            +902
Building and Facilities Agriculture Buildings and Facilities.......          84,189           62,145           67,293          -16,896           +5,148
Hazardous materials management.....................................           3,633            3,503            3,633   ...............            +130
Office of Inspector General........................................          98,208           92,689           98,208   ...............          +5,519
Office of the General Counsel......................................          44,697           42,970           44,697   ...............          +1,727
Office of Ethics...................................................           4,136            3,538            4,136   ...............            +598
                                                                    ------------------------------------------------------------------------------------
      Total, Departmental Administration...........................         403,932          376,915          398,248           -5,684          +21,333
                                                                    ====================================================================================
Office of the Under Secretary for Research, Education, and                      893              891              893   ...............              +2
 Economics.........................................................
Economic Research Service..........................................          86,757           76,690           86,757   ...............         +10,067
National Agricultural Statistics Service...........................         171,239          185,677          191,717          +20,478           +6,040
    Census of Agriculture..........................................         (42,177)         (63,900)         (63,350)        (+21,173)           (-550)
 
Agricultural Research Service:
    Salaries and expenses..........................................       1,170,235          993,144        1,182,435          +12,200         +189,291
    Buildings and facilities.......................................          99,600   ...............  ...............         -99,600   ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Agricultural Research Service.........................       1,269,835          993,144        1,182,435          -87,400         +189,291
                                                                    ====================================================================================
National Institute of Food and Agriculture:
    Research and education activities..............................         849,518          769,613          854,871           +5,353          +85,258
    Native American Institutions Endowment Fund....................         (11,880)         (11,857)         (11,880)  ...............            (+23)
    Extension activities...........................................         477,391          462,890          481,376           +3,985          +18,486
    Integrated activities..........................................          36,000           20,276           37,000           +1,000          +16,724
                                                                    ------------------------------------------------------------------------------------
      Total, National Institute of Food and Agriculture............       1,362,909        1,252,779        1,373,247          +10,338         +120,468
                                                                    ====================================================================================
Office of the Under Secretary for Marketing and Regulatory Programs             901              891              901   ...............             +10
 
Animal and Plant Health Inspection Service:
    Salaries and expenses..........................................         946,212          810,000          953,212           +7,000         +143,212
    Buildings and facilities.......................................           3,175            2,852            3,175   ...............            +323
                                                                    ------------------------------------------------------------------------------------
      Total, Animal and Plant Health Inspection Service............         949,387          812,852          956,387           +7,000         +143,535
                                                                    ====================================================================================
Agricultural Marketing Service:
    Marketing Services.............................................          84,933           77,462           88,933           +4,000          +11,471
        Standardization activities (user fees).....................         (65,000)  ...............         (65,000)  ...............        (+65,000)
    (Limitation on administrative expenses, from fees collected)...         (61,227)         (60,982)         (60,982)           (-245)  ...............
    Funds for strengthening markets, income, and supply (Section
     32):
        Permanent, Section 32......................................       1,322,000        1,344,000        1,344,000          +22,000   ...............
            Marketing agreements and orders (transfer from section          (20,705)         (20,489)         (20,489)           (-216)  ...............
             32)...................................................
    Payments to States and Possessions.............................           1,235            1,109            1,235   ...............            +126
                                                                    ------------------------------------------------------------------------------------
      Total, Agricultural Marketing Service program................       1,469,395        1,483,553        1,495,150          +25,755          +11,597
                                                                    ====================================================================================
Grain Inspection, Packers and Stockyards Administration:
    Salaries and expenses..........................................          43,482           42,975           43,482   ...............            +507
    Limitation on inspection and weighing services.................         (55,000)         (60,000)         (57,500)         (+2,500)         (-2,500)
Office of the Under Secretary for Food Safety......................             819              814              819   ...............              +5
Food Safety and Inspection Service.................................       1,032,062        1,038,069        1,038,069           +6,007   ...............
    Lab accreditation fees.........................................          (1,000)          (1,000)          (1,000)  ...............  ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Processing, Research, and Marketing...................       6,730,384        6,204,268        6,707,123          -23,261         +502,855
                                                                    ====================================================================================
      Total, Title I, Agricultural Programs........................       6,730,384        6,204,268        6,707,123          -23,261         +502,855
          (By transfer)............................................         (20,705)         (20,489)         (20,489)           (-216)  ...............
          (Limitation on administrative expenses)..................        (116,227)        (120,982)        (118,482)         (+2,255)         (-2,500)
                                                                    ====================================================================================
        TITLE II--FARM PRODUCTION AND CONSERVATION PROGRAMS
 
                      Farm Production Programs
 
Office of the Under Secretary for Farm Production and Conservation.             901              896              901   ...............              +5
 
Farm Service Agency:
    Salaries and expenses..........................................       1,206,110        1,130,163        1,212,116           +6,006          +81,953
    (Transfer from Food for Peace (Public Law 480))................            (149)            (149)            (149)  ...............  ...............
    (Transfer from export loans)...................................          (2,463)            (353)          (2,463)  ...............         (+2,110)
    (Transfer from ACIF)...........................................        (306,998)        (297,386)        (306,998)  ...............         (+9,612)
                                                                    ------------------------------------------------------------------------------------
      Subtotal, transfers from program accounts....................        (309,610)        (297,888)        (309,610)  ...............        (+11,722)
                                                                    ------------------------------------------------------------------------------------
      Total, Salaries and expenses.................................      (1,515,720)      (1,428,051)      (1,521,726)         (+6,006)        (+93,675)
                                                                    ====================================================================================
    State mediation grants.........................................           3,904            3,398            3,904   ...............            +506
    Grassroots source water protection program.....................           6,500   ...............           6,500   ...............          +6,500
    Dairy indemnity program........................................             500              500              500   ...............  ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Farm Service Agency................................       1,217,014        1,134,061        1,223,020           +6,006          +88,959
 
    Agricultural Credit Insurance Fund [ACIF] Program Account:
        Loan authorizations:
            Farm ownership loans:
                Direct.............................................      (1,500,000)      (1,500,000)      (1,500,000)  ...............  ...............
                Guaranteed.........................................      (2,750,000)      (2,500,000)      (2,750,000)  ...............       (+250,000)
                                                                    ------------------------------------------------------------------------------------
                  Subtotal.........................................      (4,250,000)      (4,000,000)      (4,250,000)  ...............       (+250,000)
 
            Farm operating loans:
                Direct.............................................      (1,530,000)      (1,304,851)      (1,530,000)  ...............       (+225,149)
                Unsubsidized guaranteed............................      (1,960,000)      (1,393,423)      (1,960,000)  ...............       (+566,577)
                                                                    ------------------------------------------------------------------------------------
                  Subtotal.........................................      (3,490,000)      (2,698,274)      (3,490,000)  ...............       (+791,726)
 
            Emergency loans........................................         (22,576)         (25,610)         (22,581)             (+5)         (-3,029)
            Indian tribe land acquisition loans....................         (20,000)         (20,000)         (20,000)  ...............  ...............
            Conservation loans:
                Guaranteed.........................................        (150,000)        (150,000)        (150,000)  ...............  ...............
            Indian Highly Fractionated Land Loans..................         (10,000)  ...............         (10,000)  ...............        (+10,000)
            Boll weevil eradication loans..........................         (60,000)         (60,000)         (60,000)  ...............  ...............
                                                                    ------------------------------------------------------------------------------------
              Total, Loan authorizations...........................      (8,002,576)      (6,953,884)      (8,002,581)             (+5)     (+1,048,697)
                                                                    ====================================================================================
        Loan subsidies:
            Farm operating loans:
                Direct.............................................          65,178           52,716           61,812           -3,366           +9,096
                Unsubsidized guaranteed............................          20,972           15,467           21,756             +784           +6,289
                                                                    ------------------------------------------------------------------------------------
                  Subtotal.........................................          86,150           68,183           83,568           -2,582          +15,385
 
            Emergency Loans........................................           1,262            1,260            1,111             -151             -149
            Indian Highly Fractionated Land Loans..................           2,550   ...............           2,272             -278           +2,272
                                                                    ------------------------------------------------------------------------------------
              Total, Loan subsidies and grants.....................          89,962           69,443           86,951           -3,011          +17,508
                                                                    ====================================================================================
        ACIF administrative expenses:
            Salaries and expenses (transfer to FSA)................         306,998          297,386          306,998   ...............          +9,612
            Administrative expenses................................          10,070            7,905           10,070   ...............          +2,165
                                                                    ------------------------------------------------------------------------------------
              Total, ACIF expenses.................................         317,068          305,291          317,068   ...............         +11,777
                                                                    ------------------------------------------------------------------------------------
              Total, Agricultural Credit Insurance Fund............         407,030          374,734          404,019           -3,011          +29,285
                (Loan authorization)...............................      (8,002,576)      (6,953,884)      (8,002,581)             (+5)     (+1,048,697)
                                                                    ------------------------------------------------------------------------------------
                  Total, Farm Service Agency.......................       1,624,945        1,509,691        1,627,940           +2,995         +118,249
                                                                    ====================================================================================
Risk Management Agency:
    RMA Salaries and expenses......................................          74,829           55,000           74,829   ...............         +19,829
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Risk Management Agency.............................          74,829           55,000           74,829   ...............         +19,829
                                                                    ------------------------------------------------------------------------------------
      Total, Farm Production Programs..............................       1,699,774        1,564,691        1,702,769           +2,995         +138,078
                                                                    ====================================================================================
Office of the Under Secretary for Natural Resources and Environment             901              896   ...............            -901             -896
 
Natural Resources Conservation Service:
    Private Lands Conservation Operations..........................         864,474          766,000          874,107           +9,633         +108,107
        Transfer...................................................  ...............  ...............  ...............  ...............  ...............
        Farm Security and Rural Investment program (transfer         ...............        (985,000)  ...............  ...............       (-985,000)
         authority)................................................
                                                                    ------------------------------------------------------------------------------------
          Total, Conservation operations...........................         864,474          766,000          874,107           +9,633         +108,107
                                                                    ====================================================================================
    Watershed flood and prevention operations......................         150,000   ...............         150,000   ...............        +150,000
    Watershed rehabilitation program...............................          12,000   ...............  ...............         -12,000   ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Natural Resources Conservation Service................       1,026,474          766,000        1,024,107           -2,367         +258,107
                                                                    ====================================================================================
                            Corporations
 
Federal Crop Insurance Corporation:
    Federal Crop Insurance Corporation fund........................       8,667,000        8,245,000        8,245,000         -422,000   ...............
 
Commodity Credit Corporation Fund:
    Reimbursement for net realized losses..........................      21,290,712       17,483,000       17,483,000       -3,807,712   ...............
    Hazardous waste management (limitation on expenses)............          (5,000)          (5,000)          (5,000)  ...............  ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Corporations..........................................      29,957,712       25,728,000       25,728,000       -4,229,712   ...............
                                                                    ====================================================================================
      Total, Title II, Farm Production and Conservation Programs...      32,684,861       28,059,587       28,454,876       -4,229,985         +395,289
                                                                    ====================================================================================
                    TITLE III--RURAL DEVELOPMENT
 
Office of the Under Secretary for Rural Development................             896              891              896   ...............              +5
 
Rural Development:
    Rural development expenses:
        Salaries and expenses......................................         225,835          186,076          225,835   ...............         +39,759
        (Transfer from RHIF).......................................        (412,254)        (244,249)        (412,254)  ...............       (+168,005)
        (Transfer from RCFP).......................................  ...............        (147,591)  ...............  ...............       (-147,591)
        (Transfer from RDLFP)......................................          (4,468)  ...............          (4,468)  ...............         (+4,468)
        (Transfer from RETLP)......................................         (33,270)         (38,027)         (33,270)  ...............         (-4,757)
        (Transfer from DLTBP)......................................  ...............          (8,057)  ...............  ...............         (-8,057)
                                                                    ------------------------------------------------------------------------------------
          Subtotal, Transfers from program accounts................        (449,992)        (437,924)        (449,992)  ...............        (+12,068)
                                                                    ------------------------------------------------------------------------------------
          Total, Rural development expenses........................        (675,827)        (624,000)        (675,827)  ...............        (+51,827)
                                                                    ====================================================================================
Rural Housing Service:
    Rural Housing Insurance Fund Program Account:
        Loan authorizations:
            Single family direct (Sec. 502)........................      (1,000,000)  ...............      (1,000,000)  ...............     (+1,000,000)
                Unsubsidized guaranteed............................     (24,000,000)     (24,000,000)     (24,000,000)  ...............  ...............
                                                                    ------------------------------------------------------------------------------------
                  Subtotal, Single family..........................     (25,000,000)     (24,000,000)     (25,000,000)  ...............     (+1,000,000)
 
            Housing repair (Sec. 504)..............................         (26,278)  ...............         (26,278)  ...............        (+26,278)
            Rental housing (Sec. 515)..............................         (35,000)  ...............         (35,000)  ...............        (+35,000)
            Multi-family housing guarantees (Sec. 538).............        (230,000)        (250,000)        (230,000)  ...............        (-20,000)
            Site development loans (Sec. 524)......................          (5,000)  ...............          (5,000)  ...............         (+5,000)
            Single family housing credit sales.....................         (10,000)         (10,000)         (10,000)  ...............  ...............
            Self-help housing land development housng loans (Sec.            (5,000)  ...............          (5,000)  ...............         (+5,000)
             523)..................................................
            Farm Labor Housing (Sec.514)...........................         (23,855)  ...............         (23,855)  ...............        (+23,855)
                                                                    ------------------------------------------------------------------------------------
              Total, Loan authorizations...........................     (25,335,133)     (24,260,000)     (25,335,133)  ...............     (+1,075,133)
                                                                    ====================================================================================
        Loan subsidies:
            Single Family Direct (Sec. 502)........................          67,700   ...............          38,500          -29,200          +38,500
            Housing repair (Sec. 504)..............................           3,663   ...............           3,240             -423           +3,240
            Rental housing (Sec. 515)..............................          10,360   ...............           9,209           -1,151           +9,209
            Farm labor housing (Sec.514)...........................           7,051   ...............           6,374             -677           +6,374
            Self-Help Land Devleopment Housing Loans (Sec.523).....             417   ...............             368              -49             +368
            Site Development Loans (Sec.524).......................             111   ...............              58              -53              +58
                                                                    ------------------------------------------------------------------------------------
              Total, Loan subsidies................................          89,302   ...............          57,749          -31,553          +57,749
                                                                    ====================================================================================
            Farm labor housing grants..............................           8,336   ...............           8,336   ...............          +8,336
            RHIF administrative expenses (transfer to RD)..........         412,254          244,249          412,254   ...............        +168,005
                                                                    ------------------------------------------------------------------------------------
              Total, Rural Housing Insurance Fund program..........         509,892          244,249          478,339          -31,553         +234,090
                (Loan authorization)...............................     (25,335,133)     (24,260,000)     (25,335,133)  ...............     (+1,075,133)
                                                                    ====================================================================================
    Rental assistance program:
        Rental assistance (Sec. 521)...............................       1,405,033        1,345,293        1,345,293          -59,740   ...............
 
Multi-Family Housing Revitalization Program Account:
    Rural housing voucher program..................................          19,400           20,000           19,400   ...............            -600
    Multi-family housing revitalization program....................          22,000   ...............          22,000   ...............         +22,000
                                                                    ------------------------------------------------------------------------------------
      Total, Multi-family housing revitalization...................          41,400           20,000           41,400   ...............         +21,400
                                                                    ====================================================================================
    Mutual and self-help housing grants............................          30,000   ...............          30,000   ...............         +30,000
    Rural housing assistance grants................................          33,701   ...............          33,701   ...............         +33,701
    Rural Community Facilities Program Account:
        Loan authorizations:
            Community facility:
                Direct.............................................      (2,600,000)      (3,000,000)      (3,000,000)       (+400,000)  ...............
                Guaranteed.........................................        (148,305)  ...............        (148,305)  ...............       (+148,305)
                                                                    ------------------------------------------------------------------------------------
                  Total, Loan authorizations.......................      (2,748,305)      (3,000,000)      (3,148,305)       (+400,000)       (+148,305)
                                                                    ====================================================================================
        Loan subsidies and grants:
            Community facility:
                Guaranteed.........................................           3,322   ...............           4,850           +1,528           +4,850
                Grants.............................................          30,000   ...............          30,000   ...............         +30,000
            Rural community development initiative.................           4,000   ...............           4,000   ...............          +4,000
            Economic impact initiative grants......................           5,778   ...............           5,778   ...............          +5,778
            Tribal college grants..................................           4,000   ...............           4,000   ...............          +4,000
            RCFP administrative expenses (transfer to RD)..........  ...............         147,591   ...............  ...............        -147,591
                                                                    ------------------------------------------------------------------------------------
              Total, RCFP Loan subsidies and grants................          47,100          147,591           48,628           +1,528          -98,963
                                                                    ------------------------------------------------------------------------------------
              Subtotal, grants and payments........................         110,801          147,591          112,329           +1,528          -35,262
                                                                    ====================================================================================
      Total, Rural Housing Service.................................       2,067,126        1,757,133        1,977,361          -89,765         +220,228
          (Loan authorization).....................................     (28,083,438)     (27,260,000)     (28,483,438)       (+400,000)     (+1,223,438)
                                                                    ====================================================================================
 
Rural Business--Cooperative Service:
    Rural Business Program Account:
        (Guaranteed business and industry loans)...................        (919,765)  ...............        (919,765)  ...............       (+919,765)
        Loan subsidies and grants:
            Guaranteed business and industry subsidy...............          35,319   ...............          37,342           +2,023          +37,342
                Rural business development grants..................          24,000   ...............          24,000   ...............         +24,000
                Delta Regional Authority and Appalachian Regional             6,000   ...............           3,000           -3,000           +3,000
                 Commission........................................
                                                                    ------------------------------------------------------------------------------------
                  Total, RBP loan subsidies and grants.............          65,319   ...............          64,342             -977          +64,342
                                                                    ====================================================================================
    Intermediary Relending Program Fund Account:
        (Loan authorization).......................................         (18,889)  ...............         (18,889)  ...............        (+18,889)
        Loan subsidy...............................................           5,476   ...............           4,361           -1,115           +4,361
        Administrative expenses (transfer to RD)...................           4,468   ...............           4,468   ...............          +4,468
                                                                    ------------------------------------------------------------------------------------
          Total, IRP Fund..........................................           9,944   ...............           8,829           -1,115           +8,829
                                                                    ====================================================================================
    Rural Economic Development Loans Program Account:
        (Loan authorization).......................................         (42,213)  ...............         (42,213)  ...............        (+42,213)
        Limit cushion of credit interest spending..................        (132,000)        (176,000)        (196,000)        (+64,000)        (+20,000)
            (Rescission)...........................................        -132,000         -176,000         -196,000          -64,000          -20,000
    Rural Cooperative Development Grants:
        Cooperative development....................................           5,800   ...............           5,800   ...............          +5,800
        Appropriate Technology Transfer for Rural Areas............           2,750   ...............           2,750   ...............          +2,750
        Grants to assist minority producers........................           3,000   ...............           3,000   ...............          +3,000
        Value-added agricultural product market development........          15,000   ...............          15,000   ...............         +15,000
                                                                    ------------------------------------------------------------------------------------
          Total, Rural Cooperative development grants..............          26,550   ...............          26,550   ...............         +26,550
                                                                    ====================================================================================
    Rural Energy for America Program (Loan authorization)..........          (7,576)  ...............          (7,576)  ...............         (+7,576)
        Loan subsidy and grants....................................             352   ...............             293              -59             +293
                                                                    ------------------------------------------------------------------------------------
          Total, Rural Energy for America Program..................             352   ...............             293              -59             +293
                                                                    ====================================================================================
      Total, Rural Business-Cooperative Service....................         -29,835         -176,000          -95,986          -66,151          +80,014
          (Loan authorization).....................................        (988,443)  ...............        (988,443)  ...............       (+988,443)
                                                                    ====================================================================================
Rural Utilities Service:
    Rural water and waste disposal program account:
        Loan authorizations:
            Direct.................................................      (1,200,000)  ...............      (1,200,000)  ...............     (+1,200,000)
            Guaranteed.............................................         (50,000)  ...............         (50,000)  ...............        (+50,000)
                                                                    ------------------------------------------------------------------------------------
              Total, Loan authorization............................       1,250,000   ...............       1,250,000   ...............      +1,250,000
                                                                    ====================================================================================
        Loan subsidies and grants:
            Direct subsidy.........................................          52,080   ...............          25,680          -26,400          +25,680
            Guaranteed subsidy.....................................             240   ...............             230              -10             +230
            Water and waste revolving fund.........................           1,000   ...............           1,000   ...............          +1,000
            Water well system grants...............................             993   ...............             993   ...............            +993
            Colonias and AK/HI grants..............................          64,000   ...............          66,500           +2,500          +66,500
            Water and waste technical assistance...................          20,000   ...............          20,000   ...............         +20,000
            Circuit rider program..................................          16,897   ...............          18,000           +1,103          +18,000
            Solid waste management grants..........................           4,000   ...............           4,000   ...............          +4,000
            High energy cost grants................................          10,000   ...............          10,000   ...............         +10,000
            Water and waste disposal grants........................         391,980   ...............         393,980           +2,000         +393,980
            306A(i)(2) grants......................................          10,000   ...............          10,000   ...............         +10,000
                                                                    ------------------------------------------------------------------------------------
              Total, Loan subsidies and grants.....................         571,190   ...............         550,383          -20,807         +550,383
                                                                    ====================================================================================
    Rural Electrification and Telecommunications Loans Program
     Account:
        Loan authorizations:
            Electric:
                Direct, FFB........................................      (5,500,000)      (5,500,000)      (5,500,000)  ...............  ...............
                Guaranteed underwriting............................        (750,000)  ...............        (750,000)  ...............       (+750,000)
                                                                    ------------------------------------------------------------------------------------
                  Subtotal, Electric...............................      (6,250,000)      (5,500,000)      (6,250,000)  ...............       (+750,000)
 
            Telecommunications:
                Direct, Treasury rate..............................        (345,000)        (345,000)        (345,000)  ...............  ...............
                Direct, FFB........................................        (345,000)        (345,000)        (345,000)  ...............  ...............
                                                                    ------------------------------------------------------------------------------------
                  Subtotal, Telecommunications.....................        (690,000)        (690,000)        (690,000)  ...............  ...............
                                                                    ------------------------------------------------------------------------------------
                  Total, Loan authorizations.......................      (6,940,000)      (6,190,000)      (6,940,000)  ...............       (+750,000)
                                                                    ====================================================================================
        Loan Subsidy:
                Telecommunications Direct, Treasury Rate...........           3,071              863              863           -2,208   ...............
                                                                    ------------------------------------------------------------------------------------
                  Total, Loan subsidies............................           3,071              863              863           -2,208   ...............
                                                                    ====================================================================================
        RETLP administrative expenses (transfer to RD).............          33,270           38,027           33,270   ...............          -4,757
                                                                    ------------------------------------------------------------------------------------
          Total, Rural Electrification and Telecommunications Loans          36,341           38,890           34,133           -2,208           -4,757
           Program Account.........................................
                (Loan authorization)...............................      (6,940,000)      (6,190,000)      (6,940,000)  ...............       (+750,000)
                                                                    ====================================================================================
    Broadband Program:
        Loan authorizations:
            Broadband telecommunications...........................         (27,043)         (26,991)         (27,043)  ...............            (+52)
                                                                    ------------------------------------------------------------------------------------
              Total, Loan authorizations...........................         (27,043)         (26,991)         (27,043)  ...............            (+52)
                                                                    ====================================================================================
        Loan subsidies and grants:
            Distance learning and telemedicine:
                Grants.............................................          26,600   ...............          26,600   ...............         +26,600
            Broadband telecommunications:
                Direct.............................................           4,500            4,521            4,530              +30               +9
                Grants.............................................          34,500   ...............          30,000           -4,500          +30,000
                                                                    ------------------------------------------------------------------------------------
                  Total, Loan subsidies and grants.................          65,600            4,521           61,130           -4,470          +56,609
                                                                    ====================================================================================
        DLTBP administrative expenses (transfer to RD).............  ...............           8,057   ...............  ...............          -8,057
                                                                    ====================================================================================
      Total, Rural Utilities Service...............................         673,131           51,468          645,646          -27,485         +594,178
          (Loan authorization).....................................      (8,217,043)      (6,216,991)      (8,217,043)  ...............     (+2,000,052)
                                                                    ====================================================================================
Rural Economic Infrastructure Grants...............................  ...............         161,893   ...............  ...............        -161,893
                                                                    ====================================================================================
      Total, Title III, Rural Development Programs.................       2,937,153        1,981,461        2,753,752         -183,401         +772,291
          (By transfer)............................................        (449,992)        (437,924)        (449,992)  ...............        (+12,068)
          (Loan authorization).....................................     (37,288,924)     (33,476,991)     (37,688,924)       (+400,000)     (+4,211,933)
                                                                    ====================================================================================
                  TITLE IV--DOMESTIC FOOD PROGRAMS
 
Office of the Under Secretary for Food, Nutrition and Consumer                  814              809              814   ...............              +5
 Services..........................................................
 
Food and Nutrition Service:
    Child nutrition programs.......................................      22,745,982       24,233,309       24,243,505       +1,497,523          +10,196
        School breakfast program equipment grants..................          25,000   ...............          30,000           +5,000          +30,000
        Demonstration projects (Summer EBT)........................          23,000           22,957           23,000   ...............             +43
                                                                    ------------------------------------------------------------------------------------
          Total, Child nutrition programs..........................      22,793,982       24,256,266       24,296,505       +1,502,523          +40,239
 
    Special supplemental nutrition program for women, infants, and        6,350,000        6,150,000        6,350,000   ...............        +200,000
     children (WIC)................................................
    Supplemental nutrition assistance program:
        (Food stamp program).......................................      75,479,696       70,611,504       70,611,504       -4,868,192   ...............
            Reserve................................................       3,000,000        3,000,000        3,000,000   ...............  ...............
            FDPIR nutrition education services.....................             998              996              998   ...............              +2
                                                                    ------------------------------------------------------------------------------------
              Total, Food stamp program............................      78,480,694       73,612,500       73,612,502       -4,868,192               +2
 
            Fiscal year 2017.......................................     (78,480,694)     (73,612,500)     (73,612,502)     (-4,868,192)             (+2)
                                                                    ====================================================================================
    Commodity Assistance Program:
        Commodity supplemental food program........................         236,120          238,120          238,120           +2,000   ...............
        Farmers market nutrition program...........................          18,548   ...............          18,548   ...............         +18,548
        Emergency food assistance program..........................          59,401           54,401           59,401   ...............          +5,000
        Pacific island and disaster assistance.....................           1,070            1,070            1,070   ...............  ...............
                                                                    ------------------------------------------------------------------------------------
          Total, Commodity assistance program......................         315,139          293,591          317,139           +2,000          +23,548
                                                                    ====================================================================================
    Nutrition programs administration..............................         170,716          148,541          153,841          -16,875           +5,300
                                                                    ------------------------------------------------------------------------------------
      Total, Food and Nutrition Service............................     108,110,531      104,460,898      104,729,987       -3,380,544         +269,089
 
                Fiscal year 2017...................................    (108,110,531)    (104,460,898)    (104,729,987)     (-3,380,544)       (+269,089)
                                                                    ====================================================================================
      Total, Title IV, Domestic Food Programs......................     108,111,345      104,461,707      104,730,801       -3,380,544         +269,094
 
                Fiscal year 2017...................................    (108,110,531)    (104,460,898)    (104,729,987)     (-3,380,544)       (+269,089)
                                                                    ====================================================================================
          TITLE V--FOREIGN ASSISTANCE AND RELATED PROGRAMS
 
Office of the Under Secretary for Trade and Foreign Agricultural     ...............  ...............             875             +875             +875
 Affairs...........................................................
 
                    Foreign Agricultural Service
 
Salaries and expenses..............................................         196,571          188,167          197,506             +935           +9,339
    (Transfer from export loans)...................................          (6,074)          (6,382)          (6,074)  ...............           (-308)
                                                                    ------------------------------------------------------------------------------------
      Total, Salaries and expenses.................................         202,645          194,549          203,580             +935           +9,031
                                                                    ====================================================================================
Food for Peace Title I Direct Credit and Food for Progress Program
 Account, Administrative Expenses:
    Farm Service Agency, Salaries and expenses (transfer to FSA)...             149              149              149   ...............  ...............
 
Food for Peace Title II Grants:
    Expenses.......................................................       1,466,000   ...............       1,600,000         +134,000       +1,600,000
 
Commodity Credit Corporation Export Loans Program Account
 (administrative expenses):
    Salaries and expenses (Export Loans):
        Foreign Agriculture Service, S&E; (transfer to FAS).........           6,074            6,382            6,074   ...............            -308
        Farm Service Agency S&E; (transfer to FSA)..................           2,463              353            2,463   ...............          +2,110
                                                                    ------------------------------------------------------------------------------------
          Total, CCC Export Loans Program Account..................           8,537            6,735            8,537   ...............          +1,802
                                                                    ====================================================================================
McGovern-Dole International Food for Education and Child Nutrition          201,626   ...............         206,626           +5,000         +206,626
 program grants....................................................
                                                                    ====================================================================================
      Total, Title V, Foreign Assistance and Related Programs......       1,872,883          195,051        2,013,693         +140,810       +1,818,642
          (By transfer)............................................          (6,074)          (6,382)          (6,074)  ...............           (-308)
                                                                    ====================================================================================
    TITLE VI--RELATED AGENCIES AND FOOD AND DRUG ADMINISTRATION
 
              DEPARTMENT OF HEALTH AND HUMAN SERVICES
 
                    Food and Drug Administration
 
Salaries and expenses, direct appropriation........................       2,759,378        1,819,718        2,760,378           +1,000         +940,660
    Prescription drug user fees....................................        (754,524)      (1,262,182)        (937,434)       (+182,910)       (-324,748)
    Medical device user fees.......................................        (126,083)        (439,001)        (193,291)        (+67,208)       (-245,710)
    Human generic drug user fees...................................        (323,011)        (615,746)        (493,600)       (+170,589)       (-122,146)
    Biosimilar biological products user fees.......................         (22,079)         (86,736)         (54,000)        (+31,921)        (-32,736)
    Animal drug user fees..........................................         (23,673)         (70,252)         (24,142)           (+469)        (-46,110)
    Animal generic drug user fees..................................         (11,341)         (18,475)         (12,100)           (+759)         (-6,375)
    Tobacco product user fees......................................        (635,000)        (672,000)        (672,000)        (+37,000)  ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal, user fees, enacted and definite....................      (1,895,711)      (3,164,392)      (2,386,567)       (+490,856)       (-777,825)
                                                                    ------------------------------------------------------------------------------------
      Subtotal (including user fees)...............................      (4,655,089)      (4,984,110)      (5,146,945)       (+491,856)       (+162,835)
 
    Mammography user fees..........................................         (20,522)         (21,000)         (20,522)  ...............           (-478)
    Export and color certification user fees.......................         (14,378)         (15,000)         (14,758)           (+380)           (-242)
    Food and Feed Recall user fees.................................          (1,434)          (1,000)          (1,434)  ...............           (+434)
    Food Reinspection fees.........................................          (6,414)          (6,000)          (6,414)  ...............           (+414)
    Voluntary qualified importer program fees......................          (5,300)          (5,000)          (5,300)  ...............           (+300)
    Pharmacy compounding fees (CBO estimate).......................          (1,370)          (1,000)          (1,370)  ...............           (+370)
    Priority review vouchers (PRV) pediatric disease...............          (7,686)          (8,000)          (7,686)  ...............           (-314)
    Third party auditor............................................          (1,400)          (1,000)          (1,400)  ...............           (+400)
                                                                    ------------------------------------------------------------------------------------
      Subtotal, FDA user fees......................................      (1,954,215)      (3,222,392)      (2,445,451)       (+491,236)       (-776,941)
                                                                    ------------------------------------------------------------------------------------
      Subtotal, FDA (including user fees)..........................      (4,713,593)      (5,042,110)      (5,205,829)       (+492,236)       (+163,719)
 
Buildings and facilities...........................................          11,788            8,771           11,788   ...............          +3,017
FDA Innovation account.............................................          20,000           60,000           60,000          +40,000   ...............
 
Offset of appropriation pursuant to Section 1002(b)(3)(B) of the            -20,000          -60,000          -60,000          -40,000   ...............
 21st Century Cures Act (P.L. 114-255).............................
                                                                    ------------------------------------------------------------------------------------
      Total, FDA (w/user fees, including proposals)................      (4,725,381)      (5,050,881)      (5,217,617)       (+492,236)       (+166,736)
      Total, FDA (w/enacted user fees only)........................      (4,725,381)      (5,050,881)      (5,217,617)       (+492,236)       (+166,736)
      Total, FDA (excluding user fees).............................       2,771,166        1,828,489        2,772,166           +1,000         +943,677
                                                                    ====================================================================================
                        INDEPENDENT AGENCIES
 
Farm Credit Administration (limitation on administrative expenses).         (68,600)         (72,600)         (69,000)           (+400)         (-3,600)
                                                                    ====================================================================================
      Total, Title VI, Related Agencies and Food and Drug                 2,771,166        1,828,489        2,772,166           +1,000         +943,677
       Administration..............................................
                                                                    ====================================================================================
                   TITLE VII--GENERAL PROVISIONS
 
Limit Dam Rehab (Sec. 714(1))......................................         -54,000          -55,000          -55,000           -1,000   ...............
Limit Environmental Quality Incentives Program (Sec. 714(2)).......        -179,000         -209,000         -179,000   ...............         +30,000
Limit Biomass Crop Assistance Program (Sec. 714(3))................         -20,000          -20,000          -21,000           -1,000           -1,000
Limit Biorefinery Assistance (Sec. 714(4)).........................         -20,000   ...............         -36,000          -16,000          -36,000
Limit Ag Management Assistance (Sec. 714 (5))......................          -2,000           -9,000   ...............          +2,000           +9,000
Limit Biorefinery Assistance (Sec. 714 (4)) (cancellation).........  ...............        -175,000   ...............  ...............        +175,000
Limit fruit and vegetable program (Sec. 715).......................        -125,000         -125,000         -125,000   ...............  ...............
Section 32 (Sec. 715) (rescission).................................        -231,000         -263,000         -263,000          -32,000   ...............
APHIS B&F--Fruit; Fly Rearing (Sec. 743)............................          47,000   ...............  ...............         -47,000   ...............
WIC (rescission) (Sec. 745)........................................        -850,000         -500,000         -800,000          +50,000         -300,000
TEFAP (Sec. 748)...................................................          19,000   ...............  ...............         -19,000   ...............
Ebola/Zika Funding (Sec. 752)......................................          10,000   ...............  ...............         -10,000   ...............
Citrus Greening (Sec. 757).........................................           5,500   ...............           5,500   ...............          +5,500
RD balances (Sec. 758) (rescission)................................          -3,951   ...............  ...............          +3,951   ...............
Healthy Food Financing Initiative..................................           1,000   ...............           1,000   ...............          +1,000
RD unobligated balances (rescission)...............................  ...............        -108,000   ...............  ...............        +108,000
ARS B&F; unobligated balances (rescission)..........................  ...............        -211,697   ...............  ...............        +211,697
Hardwood Trees (Reforestation Pilot Program).......................             600   ...............             600   ...............            +600
Water Bank program.................................................           4,000   ...............           4,000   ...............          +4,000
Geographic Disadvantaged farmers...................................           1,996   ...............           1,996   ...............          +1,996
Emergency Conservation Program.....................................          28,651   ...............  ...............         -28,651   ...............
Food for Peace.....................................................         134,000   ...............  ...............        -134,000   ...............
Rural Energy Savings Program.......................................           8,000   ...............           8,000   ...............          +8,000
Maturing mortgage pilot............................................           1,000   ...............           1,000   ...............          +1,000
FSA ARC pilot......................................................           5,000   ...............           5,000   ...............          +5,000
NIFA Military Veteran Grants.......................................           5,000   ...............           5,000   ...............          +5,000
Conservation Reserve Program Pilot.................................  ...............  ...............           1,000           +1,000           +1,000
Child Nutrition Training pilot.....................................  ...............  ...............           2,000           +2,000           +2,000
Cottonseed Dairy program...........................................  ...............  ...............         -66,000          -66,000          -66,000
Electric Loan Refinancing..........................................          13,800   ...............  ...............         -13,800   ...............
STEM Program.......................................................             500   ...............  ...............            -500   ...............
                                                                    ====================================================================================
      Total, Title VII, General Provisions.........................      -1,199,904       -1,675,697       -1,509,904         -310,000         +165,793
                                                                    ====================================================================================
      Grand total..................................................     153,907,888      141,054,866      145,922,507       -7,985,381       +4,867,641
          Appropriations fiscal year 2017..........................    (155,124,839)    (142,488,563)    (147,181,507)     (-7,943,332)     (+4,692,944)
          Disaster relief..........................................  ...............  ...............  ...............  ...............  ...............
          Advance appropriations, fiscal year 2017.................  ...............  ...............  ...............  ...............  ...............
        (By transfer)..............................................        (786,381)        (762,683)        (786,165)           (-216)        (+23,482)
        (Loan authorization).......................................     (45,291,500)     (40,430,875)     (45,691,505)       (+400,005)     (+5,260,630)
        (Limitation on administrative expenses)....................        (189,827)        (198,582)        (192,482)         (+2,655)         (-6,100)
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