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AMENDMENTS SUBMITTED [104th]
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AMENDMENTS SUBMITTED
(Senate - February 01, 1996) Text of this article available as:
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[Pages S744-S859] AMENDMENTS SUBMITTED ______ THE AGRICULTURAL MARKET TRANSITION ACT OF 1996 ______ FEINGOLD AMENDMENTS NOS. 3186-3191 (Ordered to lie on the table.) Mr. FEINGOLD submitted six amendments intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill (S. 1541) to extend, reform, and improve agricultural commodity, trade, conservation, and other programs, and for other purposes; as follows: Amendment No. 3186 At the appropriate place insert the following: Subtitle ____--Agricultural Promotion Accountability SEC. ____1. SHORT TITLE. This subtitle may be cited as the ``Agricultural Promotion Accountability Act of 1996''. SEC. ____2. PURPOSE. The purpose of this subtitle is to make agricultural promotion boards and councils more responsive to producers whose mandatory assessments support the activities of such boards and councils, to improve the representation and participation of such producers on such boards and councils, to ensure the independence of such boards and councils, to ensure the appropriate use of promotion funds, and to prevent legislatively authorized agricultural promotion and research boards from using mandatory assessments to directly or indirectly influence legislation or governmental action or policy. SEC. ____3. DEFINITIONS. In this subtitle: (1) Influencing legislation or governmental action or policy.--The term ``influencing legislation or governmental action or policy'' includes-- (A) establishing, administering, contributing to, or paying the expenses of a political party campaign, political action committee, or other organization established for the purpose of influencing the outcome of an election; (B) attempting to influence-- (i) the outcome of any Federal, State or local election, referendum, initiative, or similar procedure through a cash contribution, in-kind contribution, endorsement, publicity or public relations activity or similar activity; (ii) the introduction, modification, or enactment of any Federal or State legislation or signature or veto of any enrolled Federal or State legislation, including through-- (I) communication with any member or employee of a legislative body or agency or with any governmental official or employee who may participate in the formulation of the legislation, including engaging State or local officials in similar activity (not including a communication to an appropriate government official in response to a written request by the official for factual, scientific, or technical information relating to the conduct, implementation, or results of promotion, research, consumer information and education, industry information, or producer information activities under a promotion program); (II) planning, preparing, funding, or distributing any publicity or propaganda to affect the opinion of the general public or a segment of the public in connection with a pending legislative matter; or (III) urging members of the general public or any segment of the general public to contribute to, or participate in, any mass demonstration, march, rally, fund-raising drive, lobbying campaign, letter-writing campaign, or telephone campaign in connection with a pending legislative matter; (C) carrying out a legislative liaison activity, including attendance at a legislative session or committee hearing to gather information regarding legislation or to analyze the effect of legislation, if the activity is carried on in support of, or in knowing preparation for, an effort to influence legislation or government action or policy; (D) carrying out an opinion survey of the general public or a segment of the public, general research, or information gathering, if carried out in support of, or in knowing preparation for, an effort to influence legislation or government action or policy; or (E) attempting to influence any agency action or agency proceeding, as the terms are defined in section 551 of title 5, United States Code, through-- (i) communication with any government official or employee who may participate in the action or proceeding (not including a communication to an appropriate government official in response to a written request by the official for factual, scientific, or technical information relating to the conduct, implementation, or results of promotion, research, consumer information or education, or industry information of producer information activities under a promotion program); (ii) planning, preparing, funding, or distributing any publicity or propaganda to affect the opinions of the general public or any segment of the general public in connection with the action or proceeding; or (iii) urging members of the general public or any segment of the general public to contribute to, or participate in, any mass demonstration, march, rally, fundraising drive, lobbying campaign, letter-writing campaign, or telephone campaign in connection with the action or proceeding. (2) Promotion program.--The term ``promotion program'' means-- (A) the cotton research and promotion program established under the Cotton Research and Promotion Act (7 U.S.C. 2101 et seq.); (B) the potato research, development, advertising, and promotion program established under the Potato Research and Promotion Act (7 U.S.C. 2611 et seq.); (C) the egg research, consumer and producer education, and promotion program established under the Egg Research and Consumer Information Act (7 U.S.C. 2701 et seq.); (D) the beef promotion and research program established under the Beef Research and Information Act (7 U.S.C. 2901 et seq.); (E) the wheat research and nutrition education program established under the Wheat and Wheat Foods Research and Nutrition Education Act (7 U.S.C. 3401 et seq.); [[Page S745]] (F) the dairy promotion program established under the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4501 et seq.); (G) the honey research, promotion, and consumer education program established under the Honey Research, Promotion, and Consumer Information Act (7 U.S.C. 4601 et seq.); (H) the pork promotion, research, and consumer information program established under the Pork Promotion, Research, and Consumer Information Act (7 U.S.C. 4801 et seq.); (I) the watermelon research, development, advertising, and promotion program established under the Watermelon Research and Promotion Act (7 U.S.C. 4901 et seq.); (J) the pecan promotion, research, industry information, and consumer information program established under the Pecan Promotion and Research Act of 1990 (7 U.S.C. 6001 et seq.); (K) the mushroom promotion, research, and consumer and industry information program established under the Mushroom Promotion, Research, and Consumer Information Act of 1990 (7 U.S.C. 6101 et seq.); (L) the lime research, promotion, and consumer information program established under the Lime Research, Promotion, and Consumer Information Act of 1990 (7 U.S.C. 6201 et seq.); (M) the soybean promotion, research, consumer information, and industry information program established under the Soybean Promotion, Research, and Consumer Information Act (7 U.S.C. 6301 et seq.); (N) the fluid milk advertising and promotion program established under the Fluid Milk Promotion Act of 1990 (7 U.S.C. 6401 et seq.); (O) the flowers and greens promotion, consumer information, and related research program established under the Fresh Cut Flowers and Fresh Cut Greens Promotion and Information Act of 1993 (7 U.S.C. 6801 et seq.); (P) the sheep promotion, research, consumer information, education, and industry information program established under the Sheep Promotion, Research, and Information Act of 1994 (7 U.S.C. 7101 et seq.); and (Q) any other coordinated program of promotion, research, industry information, and consumer information that is funded by mandatory assessments on producers and designed to maintain and expand markets and uses for an agricultural commodity, as determined by the Secretary. (3) Secretary.--The term ``Secretary'' means the Secretary of Agriculture. SEC. ____4. INFLUENCING LEGISLATION OR GOVERNMENTAL ACTION OR POLICY. (a) In General.--A board or council established by a promotion program may not use any funds collected by the board or council for the purpose of directly or indirectly influencing legislation or governmental action or policy, except for the development and recommendation of amendments to the promotion program to the Secretary. (b) Conforming Amendments.-- (1) Cotton.--Section 7(h) of the Cotton Research and Promotion Act (7 U.S.C. 2106(h)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (2) Potatoes.--Section 308(f)(3) of the Potato Research and Promotion Act (7 U.S.C. 2617(f)(3)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (3) Eggs.--Section 8(h) of the Egg Research and Consumer Information Act (7 U.S.C. 2707) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (4) Beef.--Section 5(10) of the Beef Research and Information Act (7 U.S.C. 2904(10)) is amended-- (A) by striking ``influencing governmental action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''; and (B) by inserting ``to the Secretary'' before the period at the end. (5) Wheat.--Section 1706(i) of the Wheat and Wheat Foods Research and Nutrition Education Act (7 U.S.C. 3405(i)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (6) Dairy.--Section 113(j) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504(j)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996),''. (7) Honey.--Section 7(h) of the Honey Research, Promotion, and Consumer Information Act (7 U.S.C. 4606(h)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (8) Pork.--Section 1620(e) of the Pork Promotion, Research, and Consumer Information Act (7 U.S.C. 4809(e)) is amended by striking ``influencing legislation'' and all that follows through the period at the end and inserting the following: ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996), except to recommend amendments to the order to the Secretary.''. (9) Watermelons.--Section 1647(g)(3) of the Watermelon Research and Promotion Act (7 U.S.C. 4906(g)(3)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (10) Pecans.--Section 1910(g)(1) of the Pecan Promotion and Research Act of 1990 (7 U.S.C. 6005(g)(1)) is amended-- (A) in the matter preceding paragraph (1)-- (i) by striking ``to,'' and inserting ``for the purpose of,''; and (ii) by striking ``to--'' and inserting ``for the purpose of--''; (B) in paragraph (1), by striking ``influence legislation or governmental action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''; (C) in paragraph (2), by striking ``engage'' and inserting ``engaging''; and (D) in paragraph (3), by striking ``engage'' and inserting ``engaging''. (11) Mushrooms.--Section 1925(h) of the Mushroom Promotion, Research, and Consumer Information Act of 1990 (7 U.S.C. 6104(h)) is amended by striking ``influencing legislation or governmental action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (12) Limes.--Section 1955(g) of the Lime Research, Promotion, and Consumer Information Act of 1990 (7 U.S.C. 6204(g)) is amended by striking ``influencing legislation or governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (13) Soybeans.--Section 1969(p) of the Soybean Promotion, Research, and Consumer Information Act (7 U.S.C. 6304(p) is amended-- (A) in paragraph (1), by striking ``influencing legislation or governmental action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''; and (B) in paragraph (2)-- (i) in subparagraph (A), by inserting ``to the Secretary'' before the semicolon; and (ii) in subparagraph (B), by inserting ``, in response to a request made by the officials,'' after ``officials''. (14) Milk.--Section 1999H(j)(1) of the Fluid Milk Promotion Act of 1990 (7 U.S.C. 6407(j)(1)) is amended by striking ``influencing legislation or governmental action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (15) Flowers and greens.--Section 5(i) of the Fresh Cut Flowers and Fresh Cut Greens Promotion and Information Act of 1993 (7 U.S.C. 6804(i)) is amended by striking ``influencing legislation or government action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (16) Sheep.--Section 5(l)(1) of the Sheep Promotion, Research, and Information Act of 1994 (7 U.S.C. 7104(l)(1)) is amended by striking ``influencing legislation or government action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. SEC. ____5. PROMOTING THE IMAGE OF AN INDUSTRY PROHIBITED. (a) In General.--A board or council established by a promotion program may not use any funds collected by the board or council for the purpose of enhancing the image of an industry, except that the board or council may promote the image of a product with the express intent of stimulating demand for and sales of an agricultural product in the marketplace. (b) Conforming Amendments.-- (1) Beef.--Section 3(9) of the Beef Research and Information Act (7 U.S.C. 2902(9)) is amended by striking ``, increased efficiency'' and all that follows through ``industry'' and inserting ``and increased efficiency''. (2) Pecans.--Section 1907(12) of the Pecan Promotion and Research Act of 1990 (7 U.S.C. 6002(12)) is amended by striking ``, increased efficiency'' and all that follows through ``industry'' and inserting ``and increased efficiency''. (3) Mushrooms.--Section 1923(7) of the Mushroom Promotion, Research, and [[Page S746]] Consumer Information Act of 1990 (7 U.S.C. 6103(7)) is amended by striking ``, increased efficiency'' and all that follows through ``industry'' and inserting ``and increased efficiency''. (4) Soybeans.--Section 1967(7) of the Soybean Promotion, Research, and Consumer Information Act (7 U.S.C. 6302(7)) is amended by striking ``, and activities'' and all that follows through ``industry''. SEC. ____6. LIMITATIONS ON CONTRACTING. (a) Permitted Contracts or Agreements.--Notwithstanding any other provision of law, a board or council established by a promotion program shall not be limited to contracting with, or entering into an agreement with, an established national nonprofit industry-governed organization. (b) Competitive Bidding.--It is the policy of Congress that boards and councils should, to the extent practicable, use competitive bidding in the awarding of contracts and grants for activities authorized under a promotion program. (c) Independence of Boards and Councils.-- (1) Applications and recommendations not binding.-- Notwithstanding any other provision of law, a board or council established by a promotion program shall not be bound by a proposed application for a board or council contract or a recommendation or advice of a potential contractor or a national nonprofit industry-governed organization on the use of board or council receipts. (2) Interlocking boards or membership.--Notwithstanding any other provision of law, no person shall be eligible to be a member of any board or council established by a promotion program (including operating and nominating committees) if the person serves in any decision making capacity, such as that of a member of the board of directors, executive committee, or other committee, for an entity that enters into a contract or other agreement with the board or council. (3) Requirements for contracting.--A contractor or grantee of a board or council may not use funds collected through mandatory assessments under a promotion program to fund any staff (including expenses or other activities of the staff) who, in part, engage in 1 or more activities to influence legislation or governmental action or policy. (d) Producer Approval of Relationships With Boards or Councils.-- (1) In general.--Except as provided in paragraph (2) and notwithstanding any other provision of law, the entering into of a permanent cooperative arrangement or the establishment of a joint committee (including an arrangement that is advisory in nature) by a board or council established by a promotion program with a national nonprofit industry-governed organization shall require the prior approval of at least 2/ 3 of the eligible producers under the promotion program. (2) Exception.--Paragraph (1) shall not apply to a cooperative arrangement or joint committee-- (A) that was established prior to January 1, 1995; or (B) that includes representatives or participation from all producer-, processor-, or handler-governed national nonprofit organizations (including general farm organizations) that represent any but an insignificant number of producers, processors, or handlers paying assessments under the promotion program to the board or council, as determined by the Secretary. (3) Permanent cooperative arrangement.--In this subsection, the term ``permanent cooperative arrangement'' means a formal or informal, written or unwritten agreement or understanding establishing a relationship, a liaison, a sole source contract, or an operational mechanism under which a board or council shares staff, facilities, or other resources or carries out coordinated activities with any entity on a more or less permanent and exclusive basis. (e) Fungibility of Board or Council Funds.-- (1) In general.--The Inspector General of the Department of Agriculture shall conduct an annual review of contractual arrangements between each board or council established by a promotion program and any entity or association that engages in activities to influence legislation or governmental action or policy and receives a significant amount of funding from the board or council as determined by the Secretary. (2) Scope of review.--A review under paragraph (1) shall examine whether any funds collected by the board or council are used to directly or indirectly fund or subsidize an entity or association that engages in influencing legislation or governmental action or policy. (3) Report.--The Secretary shall submit a report on the findings of any review under this subsection and make recommendations for any actions that should be taken as a result of the findings to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate. SEC. ____7. PERIODIC REFERENDA. (a) In General.--Notwithstanding any other provision of law, not less than 4 nor more than 6 years after the date of enactment of this Act or the date on which the Secretary determines the results of the most recent referendum for a promotion program, whichever is earlier, and not less than once every 5 years thereafter, the Secretary shall conduct a referendum to determine whether to approve or terminate the order under the promotion program and whether refunds should be made under the order. (b) Procedure.--The referendum under subsection (a) shall be conducted using the same eligibility and other procedures as the referendum used to approve the original order under the promotion program, except that, notwithstanding any other provision of law, no greater than a simple majority of eligible producers shall be required to approve the making of refunds to producers. (c) Termination.-- (1) In general.--If the percentage of persons voting to approve the order does not equal or exceed the percentage of persons necessary to approve the continuation of the original order under the promotion program, the Secretary shall terminate the order. (2) Time of termination.--The Secretary shall terminate the order at the end of the marketing year during which the referendum is conducted. (d) Refunds.--If the making of refunds is approved in a referendum under subsection (a), the Secretary shall establish a procedure for making the refunds not later than 180 days after the date of the referendum. (e) Cooperative Association.--Notwithstanding subsection (b), a cooperative association may not vote on behalf of the members of the association in a referendum conducted under this section. (f) Inactive Promotion Programs.--The Secretary shall not conduct a referendum of a promotion program under this section if the Secretary determines that the promotion program is not active. ____ Amendment No. 3187 At the appropriate place insert the following: SEC. ____. DAIRY PROMOTION PROGRAM IMPROVEMENT. (a) Funding of Dairy Promotion and Research Program.-- (1) Declaration of policy.--The first sentence of section 110(b) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4501(b)) is amended-- (A) by inserting after ``commercial use'' the following: ``and on imported dairy products''; and (B) by striking ``products produced in'' and inserting ``products produced in or imported into''. (2) Definitions.--Section 111 of the Act (7 U.S.C. 4502) is amended-- (A) in subsection (k), by striking ``and'' at the end; (B) in subsection (l), by striking the period at the end and inserting a semicolon; and (C) by adding at the end the following new subsections: ``(m) the term `imported dairy product' means-- ``(1) any dairy product, including milk and cream and fresh and dried dairy products; ``(2) butter and butterfat mixtures; ``(3) cheese; ``(4) casein and mixtures; and ``(5) other dairy products; that are imported into the United States; and ``(n) the term `importer' means a person that imports an imported dairy product into the United States.''. (2) Funding.-- (A) Representation on board.--Section 113(b) of the Act (7 U.S.C. 4504(b)) is amended-- (i) by designating the first through ninth sentences as paragraphs (1) through (5) and paragraphs (7) through (10), respectively; (ii) in paragraph (1) (as so designated), by striking ``thirty-six'' and inserting ``38''; (iii) in paragraph (2) (as so designated), by striking ``Members'' and inserting ``Of the members of the Board, 36 members''; and (iv) by inserting after paragraph (5) (as so designated) the following new paragraph: ``(6) Of the members of the Board, 2 members shall be representatives of importers of imported dairy products. The importer representatives shall be appointed by the Secretary from nominations submitted by importers under such procedures as the Secretary determines to be appropriate.''. (B) Assessment.--Section 113(g) of the Act is amended-- (i) by designating the first through fifth sentences as paragraphs (1) through (5), respectively; and (ii) by adding at the end the following new paragraph: ``(6)(A) The order shall provide that each importer of imported dairy products shall pay an assessment to the Board in the manner prescribed by the order. ``(B) The rate of assessment on imported dairy products shall be determined in the same manner as the rate of assessment per hundredweight or the equivalent of milk. ``(C) For the purpose of determining the assessment on imports under subparagraph (B), the value to be placed on imported dairy products shall be established by the Secretary in a fair and equitable manner.''. (C) Records.--The first sentence of section 113(k) of the Act is amended by striking ``person receiving'' and inserting ``importer of imported dairy products, each person receiving''. (D) Referendum.--Section 116 of the Act (7 U.S.C. 4507) is amended by adding at the end the following new subsection: ``(d)(1) On the request of a representative group comprising 10 percent or more of the number of producers subject to the order, the Secretary shall-- ``(A) conduct a referendum to determine whether the producers favor suspension of the application of the amendments made by section 2 of the Dairy Promotion Program Improvement Act of 1995; and [[Page S747]] ``(B) suspend the application of the amendments until the results of the referendum are known. ``(2) The Secretary shall continue the suspension of the application of the amendments made by section 2 only if the Secretary determines that suspension of the application of the amendments is favored by a majority of the producers voting in the referendum who, during a representative period (as determined by the Secretary), have been engaged in the production of milk for commercial use.''. (b) Periodic Referenda.--Section 115(a) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4506(a)) is amended-- (1) in the first sentence, by striking ``Within the sixty- day period immediately preceding September 30, 1985'' and inserting ``Every 5 years''; and (2) in the second sentence, by striking ``six months'' and inserting ``3 months''. (c) Prohibition on Bloc Voting.--Section 117 of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4508) is amended-- (1) in the first sentence, by striking ``Secretary shall'' and inserting ``Secretary shall not''; and (2) by striking the second through fifth sentences. ____ Amendment No. 3188 At the appropriate place insert the following: SEC. . LOCATION ADJUSTMENTS FOR MINIMUM PRICES FOR CLASS I MILK Section 8c(5) of the Agricultural Adjustment Act (7 U.S.C. 608c(5)), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937, is amended-- (1) in paragraph (A)-- (A) in clause (3) of the second sentence, by inserting after ``the locations'' the following: ``within a marketing area subject to the order''; and (B) by striking the last 2 sentences and inserting the following: ``Notwithstanding paragraph (18) or any other provision of law, when fixing minimum prices for milk of the highest use classification in a marketing area subject to an order under this subsection, the Secretary may not, directly or indirectly, base the prices on the distance from, or all or part of the costs incurred to transport milk to or from, any location that is not within the marketing area subject to the order, unless milk from the location constitutes at least 50 percent of the total supply of milk of the highest use classification in the marketing area. The Secretary shall report to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate on the criteria that are used as the basis for the minimum prices referred to in the preceding sentence, including a certification that the minimum prices are made in accordance with the preceding sentence.''; and (2) in paragraph (B)(c), by inserting after ``the locations'' the following: ``within a marketing area subject to the order''. ____ Amendment No. 3189 At the appropriate place insert the following: SEC. . MILK MANUFACTURING MARKETING ADJUSTMENT. Subsections (a) and (b) of section 102 of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 1446e-1) are amended to read as follows: ``(a) Definitions.--In this section: ``(1) Federal make allowance.--The term `Federal make allowance' means the allowance for the processing of milk that is permitted under a Federal program to establish a Grade A price for manufacturing butter, nonfat dry milk, or cheese. ``(2) Person.--The term `person' includes a cooperative. ``(3) State make allowance.--The term `State make allowance' means the allowance for the processing of milk that is permitted by a State for manufacturing butter, nonfat dry milk, or cheese. ``(b) Milk Manufacturing Marketing Adjustment.-- Notwithstanding any other provision of law, if a person collects a State make allowance that is higher than the Federal make allowance and the milk or product of milk that is subject to the allowance is purchased by the Commodity Credit Corporation, regardless of the point of sale, the Corporation shall reduce the support purchase price for the milk and each product of the milk by an amount that is equal to the difference between the State make allowance and the Federal make allowance for the milk and product, as determined by the Secretary of Agriculture.''. ____ Amendment No. 3190 At the appropriate place insert the following: SEC. . SPECIAL RESEARCH GRANTS PROGRAM. (a) In General.--Section 2(c)(2) of the Competitive, Special, and Facilities Research Grant Act (7 U.S.C. 450i(c)(2)) is amended-- (1) in subparagraph (A), by striking ``or'' at the end; (2) in subparagraph (B), by striking the period at the end and inserting ``; or''; and (3) by adding at the end the following: ``(C) unless the project to receive the grant has been subject to a competitive selection process and a scientific peer review evaluation by qualified scientists in the Federal Government, colleges and universities, State agricultural experiment stations, and the private sector.''. (b) Application.--The amendments made by subsection (a) shall apply only in the case of a project that has not been specifically authorized, or for which no funds have been made available, as of the date of enactment of this Act. ____ Amendment No. 3191 At the appropriate place insert the following: SEC. 7. COMPETITIVE MATCHING GRANT PROGRAM FOR APPLIED RESEARCH. (a) Purpose.--The purpose of this section is to convert the current special grants program administered by the Secretary under subsection (c) of the Competitive, Special, and Facilities Research Grant Act (7 U.S.C. 450i(c)) into a competitive matching grant program for applied research in coordination with the research priorities outlined in section 1402 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3101). (b) Title Changes.--The Competitive, Special, and Facilities Research Grant Act (7 U.S.C. 450i) is amended-- (1) In the section heading, by striking ``, SPECIAL, AND FACILITIES'' after ``COMPETITIVE''; (2) In subsection (a)(2), by striking ``, Special, and Facilities'' after ``Competitive''; and (3) In the heading of subsection (b) by striking ``Competitive'' and inserting ``National research initiative''. (c) Competitive Grant Program for Applied Research.-- Section 2(c) (7 U.S.C. 450i)(c)) is amended-- (1) In the heading, by striking ``Special Grants'' and inserting ``Competitive Grants for Applied Research''; (2) In paragraph (1) by striking ''grants,'' and all that follows, including subparagraphs (A) and (B), and inserting ``competitive grants for applied research in the research priority areas identified in section 1402 of National Agricultural Research, Extension, and Teaching Policy Act of 1977.''; (3) In paragraph (3), by striking all that follows ``matching funds.--'' and inserting ``The Secretary may establish such matching requirements for grants made pursuant to this section as the Secretary deems appropriate. Such matching requirements established by the Secretary may be met with unreimbursed indirect costs and in-kind contributions, except that the Secretary may include an evaluation preference for projects for which the applicant proposes funds for the direct costs of the project to meet the required match.''; and (4) In paragraph (4), by striking all text after ``(4)'' and inserting ``eligible institutions.--For purposes of this subsection, ``eligible institutions'' mean State agricultural experiment stations, land-grant colleges and universities, research foundations established by land-grant colleges and universities, colleges and universities receiving funds under the Act of October 10, 1962 (16 U.S.C. 582a, et seq.), and accredited schools or colleges of veterinary medicine.''. ______ DOMENICI AMENDMENT NO. 3192 (Ordered to lie on the table.) Mr. DOMENICI submitted an amendment intended to be proposed by him to the bill S. 1541, supra; as follows: On page 52, line 16, strike ``New Mexico.'' and insert the following: ``New Mexico and that, in the case of the 1996 and subsequent crops, Valencia peanuts not physically produced in the State shall not be eligible to participate in the pools of the State, except that a resident of the State who entered a quantity of Valencia peanuts physically produced outside the State in the pools of the State during the 1995 crop year shall be eligible to enter not more than the same quantity of Valencia peanuts physically produced outside the State in the pools of the State.'' ______ STEVENS (AND MURKOWSKI) AMENDMENTS NOS. 3193-3194 Mr. STEVENS (for himself and Mr. Murkowski) submitted two amendments intended to be proposed by them to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra, as follows: Amendment No. 3193 At the appropriate place in the amendment, insert the following: SEC. . WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA. The Consolidated Farm and Rural Development Act is amended by inserting after section 306C (7 U.S.C. 1926c) the following: ``SEC. 306D. WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA. ``(a) In General.--The Secretary may make grants to the State of Alaska for the benefit of rural or Native villages in Alaska to provide for the development and construction of water and wastewater systems to improve the health and sanitation conditions in those villages. ``(b) Matching Funds.--To be eligible to receive a grant under subsection (a), the State of Alaska shall provide equal matching funds from non-Federal sources. ``(c) Consultation with the State of Alaska.--The Secretary shall consult with the State of Alaska on a method of prioritizing the allocation of grants under subsection (a) according to the needs of, and relative health and sanitation conditions in, each village. [[Page S748]] ``(d) Authorization of Appropriations.--There is authorized to be appropriated to carry out this section $15,000,000 for each of fiscal years 1996 through 2002.''. ____ Amendment No. 3194 At the appropriate place in the substitute, insert the following: SEC. . WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA. The Consolidated Farm and Rural Development Act is amended by inserting after section 306C (7 U.S.C. 1926c) the following: ``SEC. 306D. WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA. ``(a) In General.--The Secretary may make grants to the State of Alaska for the benefit of rural or Native villages in Alaska to provide for the development and construction of water and wastewater systems to improve the health and sanitation conditions in those villages. ``(b) Matching Funds.--To be eligible to receive a grant under subsection (a), the State of Alaska shall provide equal matching funds from non-Federal sources. ``(c) Consultation with the State of Alaska.--The Secretary shall consult with the State of Alaska on a method of prioritizing the allocation of grants under subsection (a) according to the needs of, and relative health and sanitation conditions in, each village. ``(d) Authorization of Appropriations.--There is authorized to be appropriated to carry out this section $15,000,000 for each of fiscal years 1996 through 2002.''. ______ BRYAN AMENDMENTS NOS. 3195-3198 (Ordered to lie on the table.) Mr. BRYAN submitted four amendments intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: Amendment No. 3195 In Title I, strike the section 107 beginning on page 1-67, line 1 through page 1-73, line 11. ____ Amendment No. 3196 In Title II, Section 202, on page 2-2, line 8, strike ``$100,000,000'' and insert ``$2,000,000'' where appropriate. ____ Amendment No. 3197 In Title II, Section 202, on page 2-2, line 8, strike ``$100,000,000'' and insert ``$70,000,000'' where appropriate. ____ Amendment No. 3198 In Title I, strike the section 106 beginning on page 1-50, line 6 through page 1-66, line 24. ______ BAUCUS AMENDMENT NO. 3199 (Ordered to lie on the table.) Mr. BAUCUS submitted an amendment intended to be proposed by him to the bill S. 1541, supra; as follows: Amend section 110 by adding the following at the end: (d) Nonrecourse Marketing Assistance Loans and Loan Deficiency Payments.--In the case of the 2003 and subsequent crops of wheat and feed grains, the Secretary shall provide marketing loans to producers of such crops. (1) Availability of nonrecourse loans.-- (A) Availability.--For each of the 1996 through 2002 crops, the Secretary shall make available to producers on a farm nonrecourse marketing assistance loans for wheat and feed grains produced on the farm. The loans shall be made under the terms and conditions that are prescribed by the Secretary and at the loan rate established under subsection (2) for the commodity. (B) Eligible production.--The following production shall be eligible for a marketing assistance loan under this section: (i) In the case of a marketing assistance loan for a contract commodity, any production by a producer who has entered into a production flexibility contract. (2) Loan rates.-- (A) Wheat.-- (i) Loan rate.--The loan rate for wheat shall be-- (I) not less than 90 percent of the simple average price received by producers of wheat, as determined by the Secretary, during the marketing years for the immediately five preceding 5 crops of wheat, excluding the year in which the average price was the highest and the year in which the average price was the lowest in the period. (B) Feed grains.-- (i) Loan rate.--The loan rate for a marketing assistance loan for corn shall be-- (I) not less than 90 percent of the simple average price received by producers of corn as determined by the Secretary, during the marketing years for the immediately five preceding 5 crops of corn, excluding the year in which the average price was the highest and the year in which the average price was the lowest in the period. (II) Other feed grains.--The loan for a marketing assistance loan for grain sorghum, barley, and oats, respectively, shall be established at such level as the Secretary determines is fair and reasonable in relation to the rate that loans are made available for corn, taking into consideration the feeding value of commodity in relation to corn. (3) Term of loan.--In the case of wheat and feed grains, a marketing assistance loan under subsection (a) shall have a term of 9 months beginning on the first day of the first month after the month in which the loan is made. (4) Repayment.-- (A) Repayment rates for wheat and feed grains.--The Secretary shall permit a producer to repay a marketing assistance loan under subsection (a) for wheat, corn, grain sorghum, barley, and oats at a level that the Secretary determines will-- (i) minimize potential loan forfeitures; (ii) minimize the accumulation of stocks of the commodities by the Federal Government; (iii) minimize the costs incurred by the Federal Government in storing the commodities; and (iv) allow the commodities produced in the United States to be marketed freely and competitively, both domestically and internationally. (5) Loan deficiency payments.-- (A) Availability.--The Secretary may make loan deficiency payments available to producers who, although ineligible to obtain a marketing assistance loan under subsection (a) with respect to a loan commodity, agree to forego obtaining the loan for the commodity in return for payments under this subsection. (B) Computation.--A loan deficiency payment shall be computed by multiplying-- (i) the loan payment rate under paragraph (3) for the loan commodity; by (ii) the quantity of the loan commodity that the producers on a farm are eligible to place under loan but for which the producers forego obtaining the loan in return for payments under this subsection. (C) Loan payment rate.--For purposes of this subsection, the loan payment rate shall be the amount by which-- (i) the loan rate established under subsection (2) for the loan commodity; exceeds (ii) the rate at which a loan for the commodity may be repaid under subsection (d). (6) Source of loans.-- (A) In general.--The Secretary shall provide the loans authorized by this section and the Agricultural Adjustment Act of 1938 (7 U.S.C. 1281 et seq.) through the Commodity Credit Corporation and other means available to the Secretary. (B) Processors.--Whenever any loan or surplus removal for any agricultural commodity is carried out through purchases from or loans or payments to processors, the Secretary shall, to the extent practicable, obtain from the processors such assurances as the Secretary considers adequate that the producers of the commodity have received or will receive the maximum benefit from the loan or surplus removal operation. (7) Adjustments of loans.-- (A) In general.--The Secretary may make appropriate adjustments in the loan levels for differences in grade, type, quality, location, and other factors. (B) Loan level.--The adjustments shall, to the maximum extent practicable, be made in such manner that the average loan level for the commodity will, on the basis of the anticipated incidence of the factors, be equal to the level of support determined as provided in this section or the Agricultural Adjustment Act of 1938 (7 U.S.C. 1281 et seq.). (8) Personal liability of producers for deficiencies.-- (A) In general.--Except as provided in paragraph (2), no producer shall be personally liable for any deficiency arising from the sale of the collateral securing any nonrecourse loan made under this section or the Agricultural Adjustment Act of 1938 (7 U.S.C. 1281 et. seq.), unless the loan was obtained through a fraudulent representation by the producer. (B) Limitations.--Paragraph (1) shall not prevent the Commodity Credit Corporation or the Secretary from requiring the producer to assume liability for-- (i) a deficiency in the grade, quality, or quantity of a commodity stored on a farm or delivered by the producer; (ii) a failure to properly care for and preserve a commodity; or (iii) a failure or refusal to deliver a commodity in accordance with a program established under this section or the Agricultural Adjustment Act of 1938. (C) Acquisition of collateral.--The Secretary may include in a contract for a nonrecourse loan made under this section or the Agricultural Adjustment Act of 1938 a provision that permits the Commodity Credit Corporation, on and after the maturity of the loan or any extension of the loan, to acquire title to the unredeemed collateral without obligation to pay for any market value that the collateral may have in excess of the loan indebtedness. (D) Sugarcane and sugar beets.--A security interest obtained by the Commodity Credit Corporation as a result of the execution of a security agreement by the processor of sugarcane or sugar beets shall be superior to all statutory and common law liens on raw cane sugar and refined beet sugar in favor of the producers of sugarcane and sugar beets from which the sugar was derived. (9) Exception.--Notwithstanding the provisions of the previous section, the provisions of this section shall be applicable to 1996 through 2002 crops if the provisions of title I of this Act are rendered inapplicable to such crops of wheat and feed grains. ______ EXON AMENDMENT NO. 3200 (Ordered to lie on the table.) [[Page S749]] Mr. EXON submitted an amendment intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: Section 110 is amended by adding at the end the following: ``(d) Permanent Law.--Title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1301 et seq.) is amended by adding after section 307 the following: `SEC. 308. MARKETING LOANS. `(a) In General.--Except as provided in subsection (c) in the case of the 1996 and subsequent crops, the Secretary shall make available to producers on a farm a nonrecourse marketing assistance loan for crops of wheat, feed grains, upland cotton, rice, and oilseeds (hereafter referred ``loan crops'') produced on the farm. The loans shall be made under terms and conditions that are prescribed by the Secretary and at the loan rate established under subsection (b). `(b) Loan Rate.--The loan rate shall be not less than 95 percent of the simple average price received by producers of loan crops, as determined by the Secretary, during the marketing years for the immediately preceding 5 crops for the specific loan crop. `(c) Suspension.--The provisions of this section are suspended for the 1996 through 2002 crops of wheat, feed grains, upland cotton, rice, and oilseeds.' '' ______ BAUCUS AMENDMENT NO. 3201 (Ordered to lie on the table.) Mr. BAUCUS submitted an amendment intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: At the appropriate place, insert the following: ``Notwithstanding the provisions of the Federal Crop Insurance Act, the Secretary shall ensure that crop insurance is made available to producers so that protection at the 75 percent level of coverage shall be available at the rate for which coverage at the 65 percent level is available on the date prior to the date of enactment.'' ______ GREGG (AND OTHERS) AMENDMENT NO. 3202 (Ordered to lie on the table.) Mr. GREGG (for himself, Mr. Reid, Mr. Santorum, and Mrs. Feinstein) submitted an amendment intended to be proposed by them to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: Strike section 107 on page 70. ______ WELLSTONE AMENDMENTS NOS. 3203-3204 (Ordered to lie on the table.) Mr. WELLSTONE submitted two amendments intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: Amendment No. 3203 Amend Title I by adding to the end the following: SEC. 112 ADJUSTMENT TO LOAN RATE CAPS. ``(a) Attribution.--Notwithstanding the provisions of sections 1001 and 1001A of the Food Security Act of 1985 (7 U.S.C. 1308 and 1308-1) in the case of the 1996 through 2002 crops of wheat, feed grains, and oilseeds, the Secretary shall attribute payments specified in section 1001 of Food Security Act of 1985 to persons who receive the payments directly, and attribute payments received by entities to the individuals who own such entities in proportion to their ownership interest in the entity.'' ``(b) Adjustments in Contract Accounts and Loan Guarantee Authority.--For the crops after the Secretary has implemented subsection (a), the Secretary shall-- ``(1) notwithstanding the provisions of this Title, reduce the Contract Payment wheat and feed grains provided in section 103 for each fiscal year by $80,000,000; and ``(2) use such savings generated in paragraph (1) to carry out a program to issue guarantee against the risk of non- payment arising out of loans taken out by agricultural producers to finance the purchase of stock or membership capital in cooperative associations engaged in value added, food, or industrial-use processing of agricultural commodities.'' ____ Amendment No. 3204 Amend Title I by adding to the end the following: SEC. 112 ADJUSTMENT TO LOAN RATE CAPS. ``(a) Attribution.--Notwithstanding the provisions of sections 1001 and 1001A of the Food Security Act of 1985 (7 U.S.C. 1308 and 1308-1) in the case of the 1996 through 2002 crops of wheat, feed grains, upland cotton, rice, and oilseeds, the Secretary shall attribute payments specified in section 1001 of Food Security Act of 1985 to persons who receive the payments directly, and attribute payments received by entities to the individuals who own such entities in proportion to their ownership interest in the entity.'' ``(b) Adjustments in Contract Accounts and Loan Rate Caps.--For the crops after the Secretary has implemented subsection (a), the Secretary shall-- ``(1) notwithstanding the provisions of this Title, reduce the Contract Payment Account provided in section 103 for each fiscal year by $140,000,000; and ``(2) increase the loan rate caps in section 104 as follows: ``(A) $3.25 per bushel for wheat; ``(B) $2.25 per bushel for corn; ``(C) $0.60 per pound for upland cotton; ``(D) $7.00 per hunderweight for rice; ``(E) $5.10 per bushel for soybeans; and ``(F) $.10 per pound for sunflower seed, canola, rapeseed, safflower, mustard seed, and flaxseed.'' ______ MOYNIHAN (AND MIKULSKI) AMENDMENT NO. 3205 (Ordered to lie on the table.) Mr. MOYNIHAN (for himself and Ms. Mikulski) submitted an amendment intended to be proposed by them to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: On page 1-73, strike line 9 and insert the following: (i) Emergency Relief for Sugarcane Refiners.--Section 902(a) of the Food Security Act of 1985 (Public Law 99-198; 7 U.S.C. 1446g note) is amended by adding at the end the following: ``The Secretary of Agriculture shall permit the importation of additional raw cane sugar, from individuals who held quotas under part VII of subtitle B of title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa et seq.) on the day before the date of enactment of the Agricultural Market Transition Act, during such time as the Secretary determines that the domestic price of raw cane sugar exceeds 115 percent of the loan rate determined under section 107 of the Agricultural Market Transition Act.''. (j) Crops.--This section (other than subsections (h) and (i)). ______ DORGAN AMENDMENTS NOS. 3206-3207 (Ordered to lie on the table.) Mr. DORGAN submitted two amendments intended to be proposed by him to the bill S. 1541, supra; as follows: Amendment No. 3206 SECTION 1. SHORT TITLE. This Act may be referred to as the ``Agricultural Act of 1996.''. SEC. 2. FINDINGS. The Congress findings that failure to enact timely legislation extending farm and related programs will: (a) Cause economic uncertainty to family farmers across the country who represent the backbone of American Agriculture; (b) Create instability in commodity markets; (c) Result in lost export markets for U.S. agricultural commodities; and (d) Prevent the Secretary of Agriculture from administering such programs in an orderly and efficient manner. SEC. 3. AUTHORITY FOR 1996 AGRICULTURAL PROGRAMS. (a) In General.--Notwithstanding any other provisions of law except as provided in this Act and the amendments made by this Act, the provisions of the Agricultural Adjustment of 1938 (7 U.S.C. 1281 et seq.), the Agricultural Act of 1949 (7 U.S.C. 1421 et seq.), the Food Security Act of 1985 (Public Law 99-198), and the Food, Agriculture, Conservation and Trade Act of 1990 (Public Law 101-624) and each program that was authorized or reauthorized by any of the Acts, that were applicable on September 30, 1995, shall be applicable for 1996. (b) Flexibility.--Amend section 504 of the Agricultural Act of 1949 (7 U.S.C. 1464) by-- (1) Striking subsections (c), (d), and (e) and inserting the following: ``(c) Non-Payment Acres.--In the case of the 1996 crops, any crop or conserving crop specified in subsection (b)(1) may be planted on the acres of a crop acreage base that is not eligible for payment under this Act.''; ``(d) Loan Eligibility.--In the case of the 1996 crops, producers on a farm with crop acreage base may plant any program crop on the crop acreage base and shall be eligible to receive purchases, loans, and loan deficiency payments for the program crop.''. SEC. 4. MISCELLANEOUS PROVISIONS. (a) Payments.--Section 114(a)(2) of the Agricultural Act of 1949 (7 U.S.C. 1445(j)(a)(2)) is amended by adding at the end the following: ``(K) 1995 disasters.--In the case of the producers who were prevented from planting, or incurred a reduced yield of 20 percent or more of, the 1995 crop due to weather or related condition, the Secretary may settle claims for the repayment by producers required under subparagraph (G) or (H) on terms determined by the Secretary to be fair and equitable, except that no claim shall be reduced by more than $3,500.'' (b) Conservation.--Section 1231(b)(4) of the Food Security Act of 1985 (16 U.S.C. 3831(b)(4)) is amended-- (1) in subparagraph (C), by striking ``or'' at the end; (2) in subparagraph (D), by striking the period at the end and inserting ``; or''; and (3) by adding at the end the following: ``(E) if the Secretary determines that such lands will be used to store water for flood control in a closed basin.'' (c) Advanced Payments.-- [[Page S750]] (1) In general.--In the case of 1996 crops, advanced payments shall be made in accordance with the formula described in paragraph (2). (2) Formula.--Payments authorized under this subsection shall be based on a rate equal to 50 percent of the average deficiency payment rate for the 1990 through 1994 crops. (3) Nonrefundable.--

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[Pages S744-S859] AMENDMENTS SUBMITTED ______ THE AGRICULTURAL MARKET TRANSITION ACT OF 1996 ______ FEINGOLD AMENDMENTS NOS. 3186-3191 (Ordered to lie on the table.) Mr. FEINGOLD submitted six amendments intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill (S. 1541) to extend, reform, and improve agricultural commodity, trade, conservation, and other programs, and for other purposes; as follows: Amendment No. 3186 At the appropriate place insert the following: Subtitle ____--Agricultural Promotion Accountability SEC. ____1. SHORT TITLE. This subtitle may be cited as the ``Agricultural Promotion Accountability Act of 1996''. SEC. ____2. PURPOSE. The purpose of this subtitle is to make agricultural promotion boards and councils more responsive to producers whose mandatory assessments support the activities of such boards and councils, to improve the representation and participation of such producers on such boards and councils, to ensure the independence of such boards and councils, to ensure the appropriate use of promotion funds, and to prevent legislatively authorized agricultural promotion and research boards from using mandatory assessments to directly or indirectly influence legislation or governmental action or policy. SEC. ____3. DEFINITIONS. In this subtitle: (1) Influencing legislation or governmental action or policy.--The term ``influencing legislation or governmental action or policy'' includes-- (A) establishing, administering, contributing to, or paying the expenses of a political party campaign, political action committee, or other organization established for the purpose of influencing the outcome of an election; (B) attempting to influence-- (i) the outcome of any Federal, State or local election, referendum, initiative, or similar procedure through a cash contribution, in-kind contribution, endorsement, publicity or public relations activity or similar activity; (ii) the introduction, modification, or enactment of any Federal or State legislation or signature or veto of any enrolled Federal or State legislation, including through-- (I) communication with any member or employee of a legislative body or agency or with any governmental official or employee who may participate in the formulation of the legislation, including engaging State or local officials in similar activity (not including a communication to an appropriate government official in response to a written request by the official for factual, scientific, or technical information relating to the conduct, implementation, or results of promotion, research, consumer information and education, industry information, or producer information activities under a promotion program); (II) planning, preparing, funding, or distributing any publicity or propaganda to affect the opinion of the general public or a segment of the public in connection with a pending legislative matter; or (III) urging members of the general public or any segment of the general public to contribute to, or participate in, any mass demonstration, march, rally, fund-raising drive, lobbying campaign, letter-writing campaign, or telephone campaign in connection with a pending legislative matter; (C) carrying out a legislative liaison activity, including attendance at a legislative session or committee hearing to gather information regarding legislation or to analyze the effect of legislation, if the activity is carried on in support of, or in knowing preparation for, an effort to influence legislation or government action or policy; (D) carrying out an opinion survey of the general public or a segment of the public, general research, or information gathering, if carried out in support of, or in knowing preparation for, an effort to influence legislation or government action or policy; or (E) attempting to influence any agency action or agency proceeding, as the terms are defined in section 551 of title 5, United States Code, through-- (i) communication with any government official or employee who may participate in the action or proceeding (not including a communication to an appropriate government official in response to a written request by the official for factual, scientific, or technical information relating to the conduct, implementation, or results of promotion, research, consumer information or education, or industry information of producer information activities under a promotion program); (ii) planning, preparing, funding, or distributing any publicity or propaganda to affect the opinions of the general public or any segment of the general public in connection with the action or proceeding; or (iii) urging members of the general public or any segment of the general public to contribute to, or participate in, any mass demonstration, march, rally, fundraising drive, lobbying campaign, letter-writing campaign, or telephone campaign in connection with the action or proceeding. (2) Promotion program.--The term ``promotion program'' means-- (A) the cotton research and promotion program established under the Cotton Research and Promotion Act (7 U.S.C. 2101 et seq.); (B) the potato research, development, advertising, and promotion program established under the Potato Research and Promotion Act (7 U.S.C. 2611 et seq.); (C) the egg research, consumer and producer education, and promotion program established under the Egg Research and Consumer Information Act (7 U.S.C. 2701 et seq.); (D) the beef promotion and research program established under the Beef Research and Information Act (7 U.S.C. 2901 et seq.); (E) the wheat research and nutrition education program established under the Wheat and Wheat Foods Research and Nutrition Education Act (7 U.S.C. 3401 et seq.); [[Page S745]] (F) the dairy promotion program established under the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4501 et seq.); (G) the honey research, promotion, and consumer education program established under the Honey Research, Promotion, and Consumer Information Act (7 U.S.C. 4601 et seq.); (H) the pork promotion, research, and consumer information program established under the Pork Promotion, Research, and Consumer Information Act (7 U.S.C. 4801 et seq.); (I) the watermelon research, development, advertising, and promotion program established under the Watermelon Research and Promotion Act (7 U.S.C. 4901 et seq.); (J) the pecan promotion, research, industry information, and consumer information program established under the Pecan Promotion and Research Act of 1990 (7 U.S.C. 6001 et seq.); (K) the mushroom promotion, research, and consumer and industry information program established under the Mushroom Promotion, Research, and Consumer Information Act of 1990 (7 U.S.C. 6101 et seq.); (L) the lime research, promotion, and consumer information program established under the Lime Research, Promotion, and Consumer Information Act of 1990 (7 U.S.C. 6201 et seq.); (M) the soybean promotion, research, consumer information, and industry information program established under the Soybean Promotion, Research, and Consumer Information Act (7 U.S.C. 6301 et seq.); (N) the fluid milk advertising and promotion program established under the Fluid Milk Promotion Act of 1990 (7 U.S.C. 6401 et seq.); (O) the flowers and greens promotion, consumer information, and related research program established under the Fresh Cut Flowers and Fresh Cut Greens Promotion and Information Act of 1993 (7 U.S.C. 6801 et seq.); (P) the sheep promotion, research, consumer information, education, and industry information program established under the Sheep Promotion, Research, and Information Act of 1994 (7 U.S.C. 7101 et seq.); and (Q) any other coordinated program of promotion, research, industry information, and consumer information that is funded by mandatory assessments on producers and designed to maintain and expand markets and uses for an agricultural commodity, as determined by the Secretary. (3) Secretary.--The term ``Secretary'' means the Secretary of Agriculture. SEC. ____4. INFLUENCING LEGISLATION OR GOVERNMENTAL ACTION OR POLICY. (a) In General.--A board or council established by a promotion program may not use any funds collected by the board or council for the purpose of directly or indirectly influencing legislation or governmental action or policy, except for the development and recommendation of amendments to the promotion program to the Secretary. (b) Conforming Amendments.-- (1) Cotton.--Section 7(h) of the Cotton Research and Promotion Act (7 U.S.C. 2106(h)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (2) Potatoes.--Section 308(f)(3) of the Potato Research and Promotion Act (7 U.S.C. 2617(f)(3)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (3) Eggs.--Section 8(h) of the Egg Research and Consumer Information Act (7 U.S.C. 2707) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (4) Beef.--Section 5(10) of the Beef Research and Information Act (7 U.S.C. 2904(10)) is amended-- (A) by striking ``influencing governmental action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''; and (B) by inserting ``to the Secretary'' before the period at the end. (5) Wheat.--Section 1706(i) of the Wheat and Wheat Foods Research and Nutrition Education Act (7 U.S.C. 3405(i)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (6) Dairy.--Section 113(j) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504(j)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996),''. (7) Honey.--Section 7(h) of the Honey Research, Promotion, and Consumer Information Act (7 U.S.C. 4606(h)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (8) Pork.--Section 1620(e) of the Pork Promotion, Research, and Consumer Information Act (7 U.S.C. 4809(e)) is amended by striking ``influencing legislation'' and all that follows through the period at the end and inserting the following: ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996), except to recommend amendments to the order to the Secretary.''. (9) Watermelons.--Section 1647(g)(3) of the Watermelon Research and Promotion Act (7 U.S.C. 4906(g)(3)) is amended by striking ``influencing governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (10) Pecans.--Section 1910(g)(1) of the Pecan Promotion and Research Act of 1990 (7 U.S.C. 6005(g)(1)) is amended-- (A) in the matter preceding paragraph (1)-- (i) by striking ``to,'' and inserting ``for the purpose of,''; and (ii) by striking ``to--'' and inserting ``for the purpose of--''; (B) in paragraph (1), by striking ``influence legislation or governmental action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''; (C) in paragraph (2), by striking ``engage'' and inserting ``engaging''; and (D) in paragraph (3), by striking ``engage'' and inserting ``engaging''. (11) Mushrooms.--Section 1925(h) of the Mushroom Promotion, Research, and Consumer Information Act of 1990 (7 U.S.C. 6104(h)) is amended by striking ``influencing legislation or governmental action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (12) Limes.--Section 1955(g) of the Lime Research, Promotion, and Consumer Information Act of 1990 (7 U.S.C. 6204(g)) is amended by striking ``influencing legislation or governmental policy or action'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (13) Soybeans.--Section 1969(p) of the Soybean Promotion, Research, and Consumer Information Act (7 U.S.C. 6304(p) is amended-- (A) in paragraph (1), by striking ``influencing legislation or governmental action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''; and (B) in paragraph (2)-- (i) in subparagraph (A), by inserting ``to the Secretary'' before the semicolon; and (ii) in subparagraph (B), by inserting ``, in response to a request made by the officials,'' after ``officials''. (14) Milk.--Section 1999H(j)(1) of the Fluid Milk Promotion Act of 1990 (7 U.S.C. 6407(j)(1)) is amended by striking ``influencing legislation or governmental action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (15) Flowers and greens.--Section 5(i) of the Fresh Cut Flowers and Fresh Cut Greens Promotion and Information Act of 1993 (7 U.S.C. 6804(i)) is amended by striking ``influencing legislation or government action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. (16) Sheep.--Section 5(l)(1) of the Sheep Promotion, Research, and Information Act of 1994 (7 U.S.C. 7104(l)(1)) is amended by striking ``influencing legislation or government action or policy'' and inserting ``directly or indirectly influencing legislation or governmental action or policy (as defined in section ____3(1) of the Agricultural Promotion Accountability Act of 1996)''. SEC. ____5. PROMOTING THE IMAGE OF AN INDUSTRY PROHIBITED. (a) In General.--A board or council established by a promotion program may not use any funds collected by the board or council for the purpose of enhancing the image of an industry, except that the board or council may promote the image of a product with the express intent of stimulating demand for and sales of an agricultural product in the marketplace. (b) Conforming Amendments.-- (1) Beef.--Section 3(9) of the Beef Research and Information Act (7 U.S.C. 2902(9)) is amended by striking ``, increased efficiency'' and all that follows through ``industry'' and inserting ``and increased efficiency''. (2) Pecans.--Section 1907(12) of the Pecan Promotion and Research Act of 1990 (7 U.S.C. 6002(12)) is amended by striking ``, increased efficiency'' and all that follows through ``industry'' and inserting ``and increased efficiency''. (3) Mushrooms.--Section 1923(7) of the Mushroom Promotion, Research, and [[Page S746]] Consumer Information Act of 1990 (7 U.S.C. 6103(7)) is amended by striking ``, increased efficiency'' and all that follows through ``industry'' and inserting ``and increased efficiency''. (4) Soybeans.--Section 1967(7) of the Soybean Promotion, Research, and Consumer Information Act (7 U.S.C. 6302(7)) is amended by striking ``, and activities'' and all that follows through ``industry''. SEC. ____6. LIMITATIONS ON CONTRACTING. (a) Permitted Contracts or Agreements.--Notwithstanding any other provision of law, a board or council established by a promotion program shall not be limited to contracting with, or entering into an agreement with, an established national nonprofit industry-governed organization. (b) Competitive Bidding.--It is the policy of Congress that boards and councils should, to the extent practicable, use competitive bidding in the awarding of contracts and grants for activities authorized under a promotion program. (c) Independence of Boards and Councils.-- (1) Applications and recommendations not binding.-- Notwithstanding any other provision of law, a board or council established by a promotion program shall not be bound by a proposed application for a board or council contract or a recommendation or advice of a potential contractor or a national nonprofit industry-governed organization on the use of board or council receipts. (2) Interlocking boards or membership.--Notwithstanding any other provision of law, no person shall be eligible to be a member of any board or council established by a promotion program (including operating and nominating committees) if the person serves in any decision making capacity, such as that of a member of the board of directors, executive committee, or other committee, for an entity that enters into a contract or other agreement with the board or council. (3) Requirements for contracting.--A contractor or grantee of a board or council may not use funds collected through mandatory assessments under a promotion program to fund any staff (including expenses or other activities of the staff) who, in part, engage in 1 or more activities to influence legislation or governmental action or policy. (d) Producer Approval of Relationships With Boards or Councils.-- (1) In general.--Except as provided in paragraph (2) and notwithstanding any other provision of law, the entering into of a permanent cooperative arrangement or the establishment of a joint committee (including an arrangement that is advisory in nature) by a board or council established by a promotion program with a national nonprofit industry-governed organization shall require the prior approval of at least 2/ 3 of the eligible producers under the promotion program. (2) Exception.--Paragraph (1) shall not apply to a cooperative arrangement or joint committee-- (A) that was established prior to January 1, 1995; or (B) that includes representatives or participation from all producer-, processor-, or handler-governed national nonprofit organizations (including general farm organizations) that represent any but an insignificant number of producers, processors, or handlers paying assessments under the promotion program to the board or council, as determined by the Secretary. (3) Permanent cooperative arrangement.--In this subsection, the term ``permanent cooperative arrangement'' means a formal or informal, written or unwritten agreement or understanding establishing a relationship, a liaison, a sole source contract, or an operational mechanism under which a board or council shares staff, facilities, or other resources or carries out coordinated activities with any entity on a more or less permanent and exclusive basis. (e) Fungibility of Board or Council Funds.-- (1) In general.--The Inspector General of the Department of Agriculture shall conduct an annual review of contractual arrangements between each board or council established by a promotion program and any entity or association that engages in activities to influence legislation or governmental action or policy and receives a significant amount of funding from the board or council as determined by the Secretary. (2) Scope of review.--A review under paragraph (1) shall examine whether any funds collected by the board or council are used to directly or indirectly fund or subsidize an entity or association that engages in influencing legislation or governmental action or policy. (3) Report.--The Secretary shall submit a report on the findings of any review under this subsection and make recommendations for any actions that should be taken as a result of the findings to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate. SEC. ____7. PERIODIC REFERENDA. (a) In General.--Notwithstanding any other provision of law, not less than 4 nor more than 6 years after the date of enactment of this Act or the date on which the Secretary determines the results of the most recent referendum for a promotion program, whichever is earlier, and not less than once every 5 years thereafter, the Secretary shall conduct a referendum to determine whether to approve or terminate the order under the promotion program and whether refunds should be made under the order. (b) Procedure.--The referendum under subsection (a) shall be conducted using the same eligibility and other procedures as the referendum used to approve the original order under the promotion program, except that, notwithstanding any other provision of law, no greater than a simple majority of eligible producers shall be required to approve the making of refunds to producers. (c) Termination.-- (1) In general.--If the percentage of persons voting to approve the order does not equal or exceed the percentage of persons necessary to approve the continuation of the original order under the promotion program, the Secretary shall terminate the order. (2) Time of termination.--The Secretary shall terminate the order at the end of the marketing year during which the referendum is conducted. (d) Refunds.--If the making of refunds is approved in a referendum under subsection (a), the Secretary shall establish a procedure for making the refunds not later than 180 days after the date of the referendum. (e) Cooperative Association.--Notwithstanding subsection (b), a cooperative association may not vote on behalf of the members of the association in a referendum conducted under this section. (f) Inactive Promotion Programs.--The Secretary shall not conduct a referendum of a promotion program under this section if the Secretary determines that the promotion program is not active. ____ Amendment No. 3187 At the appropriate place insert the following: SEC. ____. DAIRY PROMOTION PROGRAM IMPROVEMENT. (a) Funding of Dairy Promotion and Research Program.-- (1) Declaration of policy.--The first sentence of section 110(b) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4501(b)) is amended-- (A) by inserting after ``commercial use'' the following: ``and on imported dairy products''; and (B) by striking ``products produced in'' and inserting ``products produced in or imported into''. (2) Definitions.--Section 111 of the Act (7 U.S.C. 4502) is amended-- (A) in subsection (k), by striking ``and'' at the end; (B) in subsection (l), by striking the period at the end and inserting a semicolon; and (C) by adding at the end the following new subsections: ``(m) the term `imported dairy product' means-- ``(1) any dairy product, including milk and cream and fresh and dried dairy products; ``(2) butter and butterfat mixtures; ``(3) cheese; ``(4) casein and mixtures; and ``(5) other dairy products; that are imported into the United States; and ``(n) the term `importer' means a person that imports an imported dairy product into the United States.''. (2) Funding.-- (A) Representation on board.--Section 113(b) of the Act (7 U.S.C. 4504(b)) is amended-- (i) by designating the first through ninth sentences as paragraphs (1) through (5) and paragraphs (7) through (10), respectively; (ii) in paragraph (1) (as so designated), by striking ``thirty-six'' and inserting ``38''; (iii) in paragraph (2) (as so designated), by striking ``Members'' and inserting ``Of the members of the Board, 36 members''; and (iv) by inserting after paragraph (5) (as so designated) the following new paragraph: ``(6) Of the members of the Board, 2 members shall be representatives of importers of imported dairy products. The importer representatives shall be appointed by the Secretary from nominations submitted by importers under such procedures as the Secretary determines to be appropriate.''. (B) Assessment.--Section 113(g) of the Act is amended-- (i) by designating the first through fifth sentences as paragraphs (1) through (5), respectively; and (ii) by adding at the end the following new paragraph: ``(6)(A) The order shall provide that each importer of imported dairy products shall pay an assessment to the Board in the manner prescribed by the order. ``(B) The rate of assessment on imported dairy products shall be determined in the same manner as the rate of assessment per hundredweight or the equivalent of milk. ``(C) For the purpose of determining the assessment on imports under subparagraph (B), the value to be placed on imported dairy products shall be established by the Secretary in a fair and equitable manner.''. (C) Records.--The first sentence of section 113(k) of the Act is amended by striking ``person receiving'' and inserting ``importer of imported dairy products, each person receiving''. (D) Referendum.--Section 116 of the Act (7 U.S.C. 4507) is amended by adding at the end the following new subsection: ``(d)(1) On the request of a representative group comprising 10 percent or more of the number of producers subject to the order, the Secretary shall-- ``(A) conduct a referendum to determine whether the producers favor suspension of the application of the amendments made by section 2 of the Dairy Promotion Program Improvement Act of 1995; and [[Page S747]] ``(B) suspend the application of the amendments until the results of the referendum are known. ``(2) The Secretary shall continue the suspension of the application of the amendments made by section 2 only if the Secretary determines that suspension of the application of the amendments is favored by a majority of the producers voting in the referendum who, during a representative period (as determined by the Secretary), have been engaged in the production of milk for commercial use.''. (b) Periodic Referenda.--Section 115(a) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4506(a)) is amended-- (1) in the first sentence, by striking ``Within the sixty- day period immediately preceding September 30, 1985'' and inserting ``Every 5 years''; and (2) in the second sentence, by striking ``six months'' and inserting ``3 months''. (c) Prohibition on Bloc Voting.--Section 117 of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4508) is amended-- (1) in the first sentence, by striking ``Secretary shall'' and inserting ``Secretary shall not''; and (2) by striking the second through fifth sentences. ____ Amendment No. 3188 At the appropriate place insert the following: SEC. . LOCATION ADJUSTMENTS FOR MINIMUM PRICES FOR CLASS I MILK Section 8c(5) of the Agricultural Adjustment Act (7 U.S.C. 608c(5)), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937, is amended-- (1) in paragraph (A)-- (A) in clause (3) of the second sentence, by inserting after ``the locations'' the following: ``within a marketing area subject to the order''; and (B) by striking the last 2 sentences and inserting the following: ``Notwithstanding paragraph (18) or any other provision of law, when fixing minimum prices for milk of the highest use classification in a marketing area subject to an order under this subsection, the Secretary may not, directly or indirectly, base the prices on the distance from, or all or part of the costs incurred to transport milk to or from, any location that is not within the marketing area subject to the order, unless milk from the location constitutes at least 50 percent of the total supply of milk of the highest use classification in the marketing area. The Secretary shall report to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate on the criteria that are used as the basis for the minimum prices referred to in the preceding sentence, including a certification that the minimum prices are made in accordance with the preceding sentence.''; and (2) in paragraph (B)(c), by inserting after ``the locations'' the following: ``within a marketing area subject to the order''. ____ Amendment No. 3189 At the appropriate place insert the following: SEC. . MILK MANUFACTURING MARKETING ADJUSTMENT. Subsections (a) and (b) of section 102 of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 1446e-1) are amended to read as follows: ``(a) Definitions.--In this section: ``(1) Federal make allowance.--The term `Federal make allowance' means the allowance for the processing of milk that is permitted under a Federal program to establish a Grade A price for manufacturing butter, nonfat dry milk, or cheese. ``(2) Person.--The term `person' includes a cooperative. ``(3) State make allowance.--The term `State make allowance' means the allowance for the processing of milk that is permitted by a State for manufacturing butter, nonfat dry milk, or cheese. ``(b) Milk Manufacturing Marketing Adjustment.-- Notwithstanding any other provision of law, if a person collects a State make allowance that is higher than the Federal make allowance and the milk or product of milk that is subject to the allowance is purchased by the Commodity Credit Corporation, regardless of the point of sale, the Corporation shall reduce the support purchase price for the milk and each product of the milk by an amount that is equal to the difference between the State make allowance and the Federal make allowance for the milk and product, as determined by the Secretary of Agriculture.''. ____ Amendment No. 3190 At the appropriate place insert the following: SEC. . SPECIAL RESEARCH GRANTS PROGRAM. (a) In General.--Section 2(c)(2) of the Competitive, Special, and Facilities Research Grant Act (7 U.S.C. 450i(c)(2)) is amended-- (1) in subparagraph (A), by striking ``or'' at the end; (2) in subparagraph (B), by striking the period at the end and inserting ``; or''; and (3) by adding at the end the following: ``(C) unless the project to receive the grant has been subject to a competitive selection process and a scientific peer review evaluation by qualified scientists in the Federal Government, colleges and universities, State agricultural experiment stations, and the private sector.''. (b) Application.--The amendments made by subsection (a) shall apply only in the case of a project that has not been specifically authorized, or for which no funds have been made available, as of the date of enactment of this Act. ____ Amendment No. 3191 At the appropriate place insert the following: SEC. 7. COMPETITIVE MATCHING GRANT PROGRAM FOR APPLIED RESEARCH. (a) Purpose.--The purpose of this section is to convert the current special grants program administered by the Secretary under subsection (c) of the Competitive, Special, and Facilities Research Grant Act (7 U.S.C. 450i(c)) into a competitive matching grant program for applied research in coordination with the research priorities outlined in section 1402 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3101). (b) Title Changes.--The Competitive, Special, and Facilities Research Grant Act (7 U.S.C. 450i) is amended-- (1) In the section heading, by striking ``, SPECIAL, AND FACILITIES'' after ``COMPETITIVE''; (2) In subsection (a)(2), by striking ``, Special, and Facilities'' after ``Competitive''; and (3) In the heading of subsection (b) by striking ``Competitive'' and inserting ``National research initiative''. (c) Competitive Grant Program for Applied Research.-- Section 2(c) (7 U.S.C. 450i)(c)) is amended-- (1) In the heading, by striking ``Special Grants'' and inserting ``Competitive Grants for Applied Research''; (2) In paragraph (1) by striking ''grants,'' and all that follows, including subparagraphs (A) and (B), and inserting ``competitive grants for applied research in the research priority areas identified in section 1402 of National Agricultural Research, Extension, and Teaching Policy Act of 1977.''; (3) In paragraph (3), by striking all that follows ``matching funds.--'' and inserting ``The Secretary may establish such matching requirements for grants made pursuant to this section as the Secretary deems appropriate. Such matching requirements established by the Secretary may be met with unreimbursed indirect costs and in-kind contributions, except that the Secretary may include an evaluation preference for projects for which the applicant proposes funds for the direct costs of the project to meet the required match.''; and (4) In paragraph (4), by striking all text after ``(4)'' and inserting ``eligible institutions.--For purposes of this subsection, ``eligible institutions'' mean State agricultural experiment stations, land-grant colleges and universities, research foundations established by land-grant colleges and universities, colleges and universities receiving funds under the Act of October 10, 1962 (16 U.S.C. 582a, et seq.), and accredited schools or colleges of veterinary medicine.''. ______ DOMENICI AMENDMENT NO. 3192 (Ordered to lie on the table.) Mr. DOMENICI submitted an amendment intended to be proposed by him to the bill S. 1541, supra; as follows: On page 52, line 16, strike ``New Mexico.'' and insert the following: ``New Mexico and that, in the case of the 1996 and subsequent crops, Valencia peanuts not physically produced in the State shall not be eligible to participate in the pools of the State, except that a resident of the State who entered a quantity of Valencia peanuts physically produced outside the State in the pools of the State during the 1995 crop year shall be eligible to enter not more than the same quantity of Valencia peanuts physically produced outside the State in the pools of the State.'' ______ STEVENS (AND MURKOWSKI) AMENDMENTS NOS. 3193-3194 Mr. STEVENS (for himself and Mr. Murkowski) submitted two amendments intended to be proposed by them to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra, as follows: Amendment No. 3193 At the appropriate place in the amendment, insert the following: SEC. . WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA. The Consolidated Farm and Rural Development Act is amended by inserting after section 306C (7 U.S.C. 1926c) the following: ``SEC. 306D. WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA. ``(a) In General.--The Secretary may make grants to the State of Alaska for the benefit of rural or Native villages in Alaska to provide for the development and construction of water and wastewater systems to improve the health and sanitation conditions in those villages. ``(b) Matching Funds.--To be eligible to receive a grant under subsection (a), the State of Alaska shall provide equal matching funds from non-Federal sources. ``(c) Consultation with the State of Alaska.--The Secretary shall consult with the State of Alaska on a method of prioritizing the allocation of grants under subsection (a) according to the needs of, and relative health and sanitation conditions in, each village. [[Page S748]] ``(d) Authorization of Appropriations.--There is authorized to be appropriated to carry out this section $15,000,000 for each of fiscal years 1996 through 2002.''. ____ Amendment No. 3194 At the appropriate place in the substitute, insert the following: SEC. . WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA. The Consolidated Farm and Rural Development Act is amended by inserting after section 306C (7 U.S.C. 1926c) the following: ``SEC. 306D. WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA. ``(a) In General.--The Secretary may make grants to the State of Alaska for the benefit of rural or Native villages in Alaska to provide for the development and construction of water and wastewater systems to improve the health and sanitation conditions in those villages. ``(b) Matching Funds.--To be eligible to receive a grant under subsection (a), the State of Alaska shall provide equal matching funds from non-Federal sources. ``(c) Consultation with the State of Alaska.--The Secretary shall consult with the State of Alaska on a method of prioritizing the allocation of grants under subsection (a) according to the needs of, and relative health and sanitation conditions in, each village. ``(d) Authorization of Appropriations.--There is authorized to be appropriated to carry out this section $15,000,000 for each of fiscal years 1996 through 2002.''. ______ BRYAN AMENDMENTS NOS. 3195-3198 (Ordered to lie on the table.) Mr. BRYAN submitted four amendments intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: Amendment No. 3195 In Title I, strike the section 107 beginning on page 1-67, line 1 through page 1-73, line 11. ____ Amendment No. 3196 In Title II, Section 202, on page 2-2, line 8, strike ``$100,000,000'' and insert ``$2,000,000'' where appropriate. ____ Amendment No. 3197 In Title II, Section 202, on page 2-2, line 8, strike ``$100,000,000'' and insert ``$70,000,000'' where appropriate. ____ Amendment No. 3198 In Title I, strike the section 106 beginning on page 1-50, line 6 through page 1-66, line 24. ______ BAUCUS AMENDMENT NO. 3199 (Ordered to lie on the table.) Mr. BAUCUS submitted an amendment intended to be proposed by him to the bill S. 1541, supra; as follows: Amend section 110 by adding the following at the end: (d) Nonrecourse Marketing Assistance Loans and Loan Deficiency Payments.--In the case of the 2003 and subsequent crops of wheat and feed grains, the Secretary shall provide marketing loans to producers of such crops. (1) Availability of nonrecourse loans.-- (A) Availability.--For each of the 1996 through 2002 crops, the Secretary shall make available to producers on a farm nonrecourse marketing assistance loans for wheat and feed grains produced on the farm. The loans shall be made under the terms and conditions that are prescribed by the Secretary and at the loan rate established under subsection (2) for the commodity. (B) Eligible production.--The following production shall be eligible for a marketing assistance loan under this section: (i) In the case of a marketing assistance loan for a contract commodity, any production by a producer who has entered into a production flexibility contract. (2) Loan rates.-- (A) Wheat.-- (i) Loan rate.--The loan rate for wheat shall be-- (I) not less than 90 percent of the simple average price received by producers of wheat, as determined by the Secretary, during the marketing years for the immediately five preceding 5 crops of wheat, excluding the year in which the average price was the highest and the year in which the average price was the lowest in the period. (B) Feed grains.-- (i) Loan rate.--The loan rate for a marketing assistance loan for corn shall be-- (I) not less than 90 percent of the simple average price received by producers of corn as determined by the Secretary, during the marketing years for the immediately five preceding 5 crops of corn, excluding the year in which the average price was the highest and the year in which the average price was the lowest in the period. (II) Other feed grains.--The loan for a marketing assistance loan for grain sorghum, barley, and oats, respectively, shall be established at such level as the Secretary determines is fair and reasonable in relation to the rate that loans are made available for corn, taking into consideration the feeding value of commodity in relation to corn. (3) Term of loan.--In the case of wheat and feed grains, a marketing assistance loan under subsection (a) shall have a term of 9 months beginning on the first day of the first month after the month in which the loan is made. (4) Repayment.-- (A) Repayment rates for wheat and feed grains.--The Secretary shall permit a producer to repay a marketing assistance loan under subsection (a) for wheat, corn, grain sorghum, barley, and oats at a level that the Secretary determines will-- (i) minimize potential loan forfeitures; (ii) minimize the accumulation of stocks of the commodities by the Federal Government; (iii) minimize the costs incurred by the Federal Government in storing the commodities; and (iv) allow the commodities produced in the United States to be marketed freely and competitively, both domestically and internationally. (5) Loan deficiency payments.-- (A) Availability.--The Secretary may make loan deficiency payments available to producers who, although ineligible to obtain a marketing assistance loan under subsection (a) with respect to a loan commodity, agree to forego obtaining the loan for the commodity in return for payments under this subsection. (B) Computation.--A loan deficiency payment shall be computed by multiplying-- (i) the loan payment rate under paragraph (3) for the loan commodity; by (ii) the quantity of the loan commodity that the producers on a farm are eligible to place under loan but for which the producers forego obtaining the loan in return for payments under this subsection. (C) Loan payment rate.--For purposes of this subsection, the loan payment rate shall be the amount by which-- (i) the loan rate established under subsection (2) for the loan commodity; exceeds (ii) the rate at which a loan for the commodity may be repaid under subsection (d). (6) Source of loans.-- (A) In general.--The Secretary shall provide the loans authorized by this section and the Agricultural Adjustment Act of 1938 (7 U.S.C. 1281 et seq.) through the Commodity Credit Corporation and other means available to the Secretary. (B) Processors.--Whenever any loan or surplus removal for any agricultural commodity is carried out through purchases from or loans or payments to processors, the Secretary shall, to the extent practicable, obtain from the processors such assurances as the Secretary considers adequate that the producers of the commodity have received or will receive the maximum benefit from the loan or surplus removal operation. (7) Adjustments of loans.-- (A) In general.--The Secretary may make appropriate adjustments in the loan levels for differences in grade, type, quality, location, and other factors. (B) Loan level.--The adjustments shall, to the maximum extent practicable, be made in such manner that the average loan level for the commodity will, on the basis of the anticipated incidence of the factors, be equal to the level of support determined as provided in this section or the Agricultural Adjustment Act of 1938 (7 U.S.C. 1281 et seq.). (8) Personal liability of producers for deficiencies.-- (A) In general.--Except as provided in paragraph (2), no producer shall be personally liable for any deficiency arising from the sale of the collateral securing any nonrecourse loan made under this section or the Agricultural Adjustment Act of 1938 (7 U.S.C. 1281 et. seq.), unless the loan was obtained through a fraudulent representation by the producer. (B) Limitations.--Paragraph (1) shall not prevent the Commodity Credit Corporation or the Secretary from requiring the producer to assume liability for-- (i) a deficiency in the grade, quality, or quantity of a commodity stored on a farm or delivered by the producer; (ii) a failure to properly care for and preserve a commodity; or (iii) a failure or refusal to deliver a commodity in accordance with a program established under this section or the Agricultural Adjustment Act of 1938. (C) Acquisition of collateral.--The Secretary may include in a contract for a nonrecourse loan made under this section or the Agricultural Adjustment Act of 1938 a provision that permits the Commodity Credit Corporation, on and after the maturity of the loan or any extension of the loan, to acquire title to the unredeemed collateral without obligation to pay for any market value that the collateral may have in excess of the loan indebtedness. (D) Sugarcane and sugar beets.--A security interest obtained by the Commodity Credit Corporation as a result of the execution of a security agreement by the processor of sugarcane or sugar beets shall be superior to all statutory and common law liens on raw cane sugar and refined beet sugar in favor of the producers of sugarcane and sugar beets from which the sugar was derived. (9) Exception.--Notwithstanding the provisions of the previous section, the provisions of this section shall be applicable to 1996 through 2002 crops if the provisions of title I of this Act are rendered inapplicable to such crops of wheat and feed grains. ______ EXON AMENDMENT NO. 3200 (Ordered to lie on the table.) [[Page S749]] Mr. EXON submitted an amendment intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: Section 110 is amended by adding at the end the following: ``(d) Permanent Law.--Title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1301 et seq.) is amended by adding after section 307 the following: `SEC. 308. MARKETING LOANS. `(a) In General.--Except as provided in subsection (c) in the case of the 1996 and subsequent crops, the Secretary shall make available to producers on a farm a nonrecourse marketing assistance loan for crops of wheat, feed grains, upland cotton, rice, and oilseeds (hereafter referred ``loan crops'') produced on the farm. The loans shall be made under terms and conditions that are prescribed by the Secretary and at the loan rate established under subsection (b). `(b) Loan Rate.--The loan rate shall be not less than 95 percent of the simple average price received by producers of loan crops, as determined by the Secretary, during the marketing years for the immediately preceding 5 crops for the specific loan crop. `(c) Suspension.--The provisions of this section are suspended for the 1996 through 2002 crops of wheat, feed grains, upland cotton, rice, and oilseeds.' '' ______ BAUCUS AMENDMENT NO. 3201 (Ordered to lie on the table.) Mr. BAUCUS submitted an amendment intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: At the appropriate place, insert the following: ``Notwithstanding the provisions of the Federal Crop Insurance Act, the Secretary shall ensure that crop insurance is made available to producers so that protection at the 75 percent level of coverage shall be available at the rate for which coverage at the 65 percent level is available on the date prior to the date of enactment.'' ______ GREGG (AND OTHERS) AMENDMENT NO. 3202 (Ordered to lie on the table.) Mr. GREGG (for himself, Mr. Reid, Mr. Santorum, and Mrs. Feinstein) submitted an amendment intended to be proposed by them to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: Strike section 107 on page 70. ______ WELLSTONE AMENDMENTS NOS. 3203-3204 (Ordered to lie on the table.) Mr. WELLSTONE submitted two amendments intended to be proposed by him to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: Amendment No. 3203 Amend Title I by adding to the end the following: SEC. 112 ADJUSTMENT TO LOAN RATE CAPS. ``(a) Attribution.--Notwithstanding the provisions of sections 1001 and 1001A of the Food Security Act of 1985 (7 U.S.C. 1308 and 1308-1) in the case of the 1996 through 2002 crops of wheat, feed grains, and oilseeds, the Secretary shall attribute payments specified in section 1001 of Food Security Act of 1985 to persons who receive the payments directly, and attribute payments received by entities to the individuals who own such entities in proportion to their ownership interest in the entity.'' ``(b) Adjustments in Contract Accounts and Loan Guarantee Authority.--For the crops after the Secretary has implemented subsection (a), the Secretary shall-- ``(1) notwithstanding the provisions of this Title, reduce the Contract Payment wheat and feed grains provided in section 103 for each fiscal year by $80,000,000; and ``(2) use such savings generated in paragraph (1) to carry out a program to issue guarantee against the risk of non- payment arising out of loans taken out by agricultural producers to finance the purchase of stock or membership capital in cooperative associations engaged in value added, food, or industrial-use processing of agricultural commodities.'' ____ Amendment No. 3204 Amend Title I by adding to the end the following: SEC. 112 ADJUSTMENT TO LOAN RATE CAPS. ``(a) Attribution.--Notwithstanding the provisions of sections 1001 and 1001A of the Food Security Act of 1985 (7 U.S.C. 1308 and 1308-1) in the case of the 1996 through 2002 crops of wheat, feed grains, upland cotton, rice, and oilseeds, the Secretary shall attribute payments specified in section 1001 of Food Security Act of 1985 to persons who receive the payments directly, and attribute payments received by entities to the individuals who own such entities in proportion to their ownership interest in the entity.'' ``(b) Adjustments in Contract Accounts and Loan Rate Caps.--For the crops after the Secretary has implemented subsection (a), the Secretary shall-- ``(1) notwithstanding the provisions of this Title, reduce the Contract Payment Account provided in section 103 for each fiscal year by $140,000,000; and ``(2) increase the loan rate caps in section 104 as follows: ``(A) $3.25 per bushel for wheat; ``(B) $2.25 per bushel for corn; ``(C) $0.60 per pound for upland cotton; ``(D) $7.00 per hunderweight for rice; ``(E) $5.10 per bushel for soybeans; and ``(F) $.10 per pound for sunflower seed, canola, rapeseed, safflower, mustard seed, and flaxseed.'' ______ MOYNIHAN (AND MIKULSKI) AMENDMENT NO. 3205 (Ordered to lie on the table.) Mr. MOYNIHAN (for himself and Ms. Mikulski) submitted an amendment intended to be proposed by them to amendment No. 3184 proposed by Mr. Leahy to the bill S. 1541, supra; as follows: On page 1-73, strike line 9 and insert the following: (i) Emergency Relief for Sugarcane Refiners.--Section 902(a) of the Food Security Act of 1985 (Public Law 99-198; 7 U.S.C. 1446g note) is amended by adding at the end the following: ``The Secretary of Agriculture shall permit the importation of additional raw cane sugar, from individuals who held quotas under part VII of subtitle B of title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa et seq.) on the day before the date of enactment of the Agricultural Market Transition Act, during such time as the Secretary determines that the domestic price of raw cane sugar exceeds 115 percent of the loan rate determined under section 107 of the Agricultural Market Transition Act.''. (j) Crops.--This section (other than subsections (h) and (i)). ______ DORGAN AMENDMENTS NOS. 3206-3207 (Ordered to lie on the table.) Mr. DORGAN submitted two amendments intended to be proposed by him to the bill S. 1541, supra; as follows: Amendment No. 3206 SECTION 1. SHORT TITLE. This Act may be referred to as the ``Agricultural Act of 1996.''. SEC. 2. FINDINGS. The Congress findings that failure to enact timely legislation extending farm and related programs will: (a) Cause economic uncertainty to family farmers across the country who represent the backbone of American Agriculture; (b) Create instability in commodity markets; (c) Result in lost export markets for U.S. agricultural commodities; and (d) Prevent the Secretary of Agriculture from administering such programs in an orderly and efficient manner. SEC. 3. AUTHORITY FOR 1996 AGRICULTURAL PROGRAMS. (a) In General.--Notwithstanding any other provisions of law except as provided in this Act and the amendments made by this Act, the provisions of the Agricultural Adjustment of 1938 (7 U.S.C. 1281 et seq.), the Agricultural Act of 1949 (7 U.S.C. 1421 et seq.), the Food Security Act of 1985 (Public Law 99-198), and the Food, Agriculture, Conservation and Trade Act of 1990 (Public Law 101-624) and each program that was authorized or reauthorized by any of the Acts, that were applicable on September 30, 1995, shall be applicable for 1996. (b) Flexibility.--Amend section 504 of the Agricultural Act of 1949 (7 U.S.C. 1464) by-- (1) Striking subsections (c), (d), and (e) and inserting the following: ``(c) Non-Payment Acres.--In the case of the 1996 crops, any crop or conserving crop specified in subsection (b)(1) may be planted on the acres of a crop acreage base that is not eligible for payment under this Act.''; ``(d) Loan Eligibility.--In the case of the 1996 crops, producers on a farm with crop acreage base may plant any program crop on the crop acreage base and shall be eligible to receive purchases, loans, and loan deficiency payments for the program crop.''. SEC. 4. MISCELLANEOUS PROVISIONS. (a) Payments.--Section 114(a)(2) of the Agricultural Act of 1949 (7 U.S.C. 1445(j)(a)(2)) is amended by adding at the end the following: ``(K) 1995 disasters.--In the case of the producers who were prevented from planting, or incurred a reduced yield of 20 percent or more of, the 1995 crop due to weather or related condition, the Secretary may settle claims for the repayment by producers required under subparagraph (G) or (H) on terms determined by the Secretary to be fair and equitable, except that no claim shall be reduced by more than $3,500.'' (b) Conservation.--Section 1231(b)(4) of the Food Security Act of 1985 (16 U.S.C. 3831(b)(4)) is amended-- (1) in subparagraph (C), by striking ``or'' at the end; (2) in subparagraph (D), by striking the period at the end and inserting ``; or''; and (3) by adding at the end the following: ``(E) if the Secretary determines that such lands will be used to store water for flood control in a closed basin.'' (c) Advanced Payments.-- [[Page S750]] (1) In general.--In the case of 1996 crops, advanced payments shall be made in accordance with the formula described in paragraph (2). (2) Formula.--Payments authorized under this subsection shall be based on a rate equal to 50 percent of the average deficiency payment rate for the 1990 through 1994 crops. (3) Nonref

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