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May 13, 2002 [H.R. 2646]

Farm Security and Rural Investment Act

of 2002.

7 USC 7901 note.

Public Law 107-171

107th Congress

An Act

To provide for the continuation of agricultural programs through fiscal year 2007, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) SHORT TITLE.-This Act may be cited as the "Farm Security and Rural Investment Act of 2002".

(b) TABLE OF CONTENTS.-The table of contents of this Act is as follows:

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Subtitle A-Direct Payments and Counter-Cyclical Payments

Sec. 1101. Establishment of base acres and payment acres for a farm.

Sec. 1102. Establishment of payment yield.

Sec. 1103. Availability of direct payments.

Sec. 1104. Availability of counter-cyclical payments.

Sec. 1105. Producer agreement required as condition of provision of direct payments and counter-cyclical payments.

Sec. 1106. Planting flexibility.

Sec. 1107. Relation to remaining payment authority under production flexibility contracts.

Sec. 1108. Period of effectiveness.

Subtitle B-Marketing Assistance Loans and Loan Deficiency Payments

Sec. 1201. Availability of nonrecourse marketing assistance loans for loan commodities.

Sec. 1202. Loan rates for nonrecourse marketing assistance loans.

Sec. 1203. Term of loans.

Sec. 1204. Repayment of loans.

Sec. 1205. Loan deficiency payments.

Sec. 1206. Payments in lieu of loan deficiency payments for grazed acreage.

Sec. 1207. Special marketing loan provisions for upland cotton.

Sec. 1208. Special competitive provisions for extra long staple cotton.

Sec. 1209. Availability of recourse loans for high moisture feed grains and seed cotton.

Subtitle C-Peanuts

Sec. 1301. Definitions.

Sec. 1302. Establishment of payment yield and base acres for peanuts for a farm.
Sec. 1303. Availability of direct payments for peanuts.

Sec. 1304. Availability of counter-cyclical payments for peanuts.

Sec. 1305. Producer agreement required as condition on provision of direct payments and counter-cyclical payments.

Sec. 1306. Planting flexibility.

Sec. 1307. Marketing assistance loans and loan deficiency payments for peanuts.
Sec. 1308. Miscellaneous provisions.

Sec. 1309. Termination of marketing quota programs for peanuts and compensation
to peanut quota holders for loss of quota asset value.

Sec. 1310. Repeal of superseded price support authority and effect of repeal.

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Sec. 1501. Milk price support program.

Sec. 1502. National dairy market loss payments.

Sec. 1503. Dairy export incentive and dairy indemnity programs.

Sec. 1504. Dairy product mandatory reporting.

Sec. 1505. Funding of dairy promotion and research program.

Sec. 1506. Fluid milk promotion.

Sec. 1507. Study of national dairy policy.

Sec. 1508. Studies of effects of changes in approach to national dairy policy and fluid milk identity standards.

Subtitle F-Administration

Sec. 1601. Administration generally.

Sec. 1602. Suspension of permanent price support authority.

Sec. 1603. Payment limitations.

Sec. 1604. Adjusted gross income limitation.

Sec. 1605. Commission on application of payment limitations.

Sec. 1606. Adjustments of loans.

Sec. 1607. Personal liability of producers for deficiencies.

Sec. 1608. Extension of existing administrative authority regarding loans.

Sec. 1609. Commodity Credit Corporation Inventory.

Sec. 1610. Reserve stock level.

Sec. 1611. Farm reconstitutions.

Sec. 1612. Assignment of payments.

Sec. 1613. Equitable relief from ineligibility for loans, payments, or other benefits. Sec. 1614. Tracking of benefits.

Sec. 1615. Estimates of net farm income.

Sec. 1616. Availability of incentive payments for certain producers.

Sec. 1617. Renewed availability of market loss assistance and certain emergency assistance to persons that failed to receive assistance under earlier authorities.

Sec. 1618. Producer retention of erroneously paid loan deficiency payments and marketing loan gains.

TITLE II-CONSERVATION

Subtitle A-Conservation Security

Sec. 2001. Conservation security program.

Sec. 2002. Conservation compliance.

Sec. 2003. Partnerships and cooperation.

Sec. 2004. Administrative requirements for conservation programs.
Sec. 2005. Reform and assessment of conservation programs.

Sec. 2006. Conforming amendments.

Sec. 2101. Conservation reserve program.

Subtitle B-Conservation Reserve

Subtitle C-Wetlands Reserve Program

Sec. 2201. Reauthorization.

Sec. 2202. Enrollment.

Sec. 2203. Easements and agreements.

Sec. 2204. Changes in ownership; agreement modification; termination.

Subtitle D-Environmental Quality Incentives

Sec. 2301. Environmental quality incentives program.

Subtitle E-Grassland Reserve

Sec. 2401. Grassland reserve program.

Subtitle F-Other Conservation Programs

Sec. 2501. Agricultural management assistance.

Sec. 2502. Grazing, wildlife habitat incentive, source water protection, and Great Lakes basin programs.

99-194 O-03-6: QL 3 Part 1

Sec. 2503. Farmland protection program.

Sec. 2504. Resource conservation and development program.
Sec. 2505. Small watershed rehabilitation program.

Sec. 2506. Use of symbols, slogans, and logos.

Sec. 2507. Desert terminal lakes.

Subtitle G-Conservation Corridor Demonstration Program

Sec. 2601. Definitions.

Sec. 2602. Conservation corridor demonstration program.
Sec. 2603. Implementation of conservation corridor plan.
Sec. 2604. Funding requirements.

Subtitle H-Funding and Administration

Sec. 2701. Funding and administration.

Sec. 2702. Regulations.

TITLE III-TRADE

Subtitle A-Agricultural Trade Development and Assistance Act of 1954 and

Sec. 3001. United States policy.

Related Statutes

Sec. 3002. Provision of agricultural commodities.

Sec. 3003. Generation and use of currencies by private voluntary organizations and cooperatives.

Sec. 3004. Levels of assistance.

Sec. 3005. Food Aid Consultative Group.

Sec. 3006. Maximum level of expenditures.

Sec. 3007. Administration.

Sec. 3008. Assistance for stockpiling and rapid transportation, delivery, and distribution of shelf-stable prepackaged foods.

Sec. 3009. Sale procedure.

Sec. 3010. Prepositioning.

Sec. 3011. Transportation and related costs.

Sec. 3012. Expiration date.

Sec. 3013. Micronutrient fortification programs.

Sec. 3014. John Ogonowski Farmer-to-Farmer Program.

Subtitle B-Agricultural Trade Act of 1978

Sec. 3101. Exporter assistance initiative.

Sec. 3102. Export credit guarantee program.

Sec. 3103. Market access program.

Sec. 3104. Export enhancement program.

Sec. 3105. Foreign market development cooperator program.

Sec. 3106. Food for progress.

Sec. 3107. McGovern-Dole International Food for Education and Child Nutrition Program.

Subtitle C-Miscellaneous

Sec. 3201. Surplus commodities for developing or friendly countries.

Sec. 3202. Bill Emerson Humanitarian Trust Act.

Sec. 3203. Emerging markets.

Sec. 3204. Biotechnology and agricultural trade program.

Sec. 3205. Technical assistance for specialty crops.

Sec. 3206. Global market strategy.

Sec. 3207. Report on use of perishable commodities and live animals.
Sec. 3208. Study on fee for services.

Sec. 3209. Sense of Congress concerning foreign assistance programs.
Sec. 3210. Sense of the Senate concerning agricultural trade.

Sec. 4001. Short title.

TITLE IV-NUTRITION PROGRAMS

Subtitle A-Food Stamp Program

Sec. 4101. Encouragement of payment of child support.
Sec. 4102. Simplified definition of income.

Sec. 4103. Standard deduction.

Sec. 4104. Simplified utility allowance.

Sec. 4105. Simplified determination of housing costs.

Sec. 4106. Simplified determination of deductions.

Sec. 4107. Simplified definition of resources.

Sec. 4108. Alternative issuance systems in disasters.

Sec. 4109. State option to reduce reporting requirements.

Sec. 4110. Cost neutrality for electronic benefit transfer systems.

Sec. 4111. Report on electronic benefit transfer systems.

Sec. 4112. Alternative procedures for residents of certain group facilities.
Sec. 4113. Redemption of benefits through group living arrangements.

Sec. 4114. Availability of food stamp program applications on the Internet.

Sec. 4115. Transitional food stamps for families moving from welfare.

Sec. 4116. Grants for simple application and eligibility determination systems and improved access to benefits.

Sec. 4117. Delivery to retailers of notices of adverse action.

Sec. 4118. Reform of quality control system.

Sec. 4119. Improvement of calculation of State performance measures.

Sec. 4120. Bonuses for States that demonstrate high or most improved perform

ance.

Sec. 4121. Employment and training program.

Sec. 4122. Reauthorization of food stamp program and food distribution program on Indian reservations.

Sec. 4123. Expanded grant authority.

Sec. 4124. Consolidated block grants for Puerto Rico and American Samoa.

Sec. 4125. Assistance for community food projects.

Sec. 4126. Availability of commodities for the emergency food assistance program.

Subtitle B-Commodity Distribution

Sec. 4201. Commodity supplemental food program.

Sec. 4202. Commodity donations.

Sec. 4203. Distribution of surplus commodities to special nutrition projects.
Sec. 4204. Emergency food assistance.

Subtitle C-Child Nutrition and Related Programs

Sec. 4301. Commodities for school lunch program.

Sec. 4302. Eligibility for free and reduced price meals.

Sec. 4303. Purchases of locally produced foods.

Sec. 4304. Applicability of Buy-American requirement to Puerto Rico.

Sec. 4305. Fruit and vegetable pilot program.

Sec. 4306. Eligibility for assistance under the special supplemental nutrition program for women, infants, and children.

Sec. 4307. WIC farmers' market nutrition program.

Subtitle D-Miscellaneous

Sec. 4401. Partial restoration of benefits to legal immigrants.
Sec. 4402. Seniors farmers' market nutrition program.

Sec. 4403. Nutrition information and awareness pilot program.
Sec. 4404. Hunger fellowship program.

Sec. 4405. General effective date.

TITLE V-CREDIT

Subtitle A-Farm Ownership Loans

Sec. 5001. Direct loans.

Sec. 5002. Financing of bridge loans.

Sec. 5003. Amount of guarantee of loans for farm operations on tribal lands.

Sec. 5004. Guarantee of loans made under State beginning farmer or rancher programs.

Sec. 5005. Down Payment Loan Program.

Sec. 5006. Beginning farmer and rancher contract land sales program.

Sec. 5101. Direct loans.

Subtitle B-Operating Loans

Sec. 5102. Suspension of limitation on period for which borrowers are eligible for guaranteed assistance.

Subtitle C-Emergency Loans

Sec. 5201. Emergency loans in response to an emergency resulting from quarantines.

Subtitle D-Administrative Provisions

Sec. 5301. Evaluations of direct and guaranteed loan programs.

Sec. 5302. Eligibility of trusts and limited liability companies for farm ownership loans, farm operating loans, and emergency loans.

Sec. 5303. Debt settlement.

Sec. 5304. Temporary authority to enter into contracts; private collection agencies. Sec. 5305. Interest rate options for loans in servicing.

Sec. 5306. Elimination of requirement that Secretary require county committees to certify in writing that certain loan reviews have been conducted. Sec. 5307. Simplified loan guarantee application available for loans of greater amounts.

Sec. 5308. Inventory property.

Sec. 5309. Administration of certified lenders and preferred certified lenders pro

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Sec. 5312. Reservation of funds for direct operating loans for beginning farmers and ranchers.

Sec. 5313. Interest rate reduction program.

Sec. 5314. Reamortization of recapture payments.

Sec. 5315. Allocation of certain funds for socially disadvantaged farmers and ranch

ers.

Sec. 5316. Waiver of borrower training certification requirement.

Sec. 5317. Timing of loan assessments.

Sec. 5318. Annual review of borrowers.

Sec. 5319. Loan eligibility for borrowers with prior debt forgiveness.

Sec. 5320. Making and servicing of loans by personnel of State, county, or area

committees.

Sec. 5321. Eligibility of employees of State, county, or area committee for loans and loan guarantees.

Subtitle E-Farm Credit

Sec. 5401. Repeal of burdensome approval requirements.

Sec. 5402. Banks for cooperatives.

Sec. 5403. Insurance corporation premiums.

Subtitle F-General Provisions

Sec. 5501. Technical amendments.

TITLE VI-RURAL DEVELOPMENT

Subtitle A-Consolidated Farm and Rural Development Act

Sec. 6001. Eligibility of rural empowerment zones and rural enterprise communities for direct and guaranteed loans for essential community facilities.

Sec. 6002. Water or waste disposal grants.

Sec. 6003. Rural business opportunity grants.

Sec. 6004. Child day care facilities.

Sec. 6005. Rural water and wastewater circuit rider program.

Sec. 6006. Multijurisdictional regional planning organizations.

Sec. 6007. Loan guarantees for certain rural development loans.

Sec. 6008. Tribal college and university essential community facilities.

Sec. 6009. Emergency and imminent community water assistance grant program. Sec. 6010. Water and waste facility grants for Native American tribes.

Sec. 6011. Grants for water systems for rural and native villages in Alaska. Sec. 6012. Grants to nonprofit organizations to finance the construction, refurbishing, and servicing of individually-owned household water well systems in rural areas for individuals with low or moderate incomes. Sec. 6013. Loans and loan guarantees for renewable energy systems.

Sec. 6014. Rural business enterprise grants.

Sec. 6015. Rural cooperative development grants.

Sec. 6016. Grants to broadcasting systems.

Sec. 6017. Business and industry loan modifications.

Sec. 6018. Use of rural development loans and grants for other purposes.

Sec. 6019. Simplified application forms for loan guarantees.

Sec. 6020. Definition of rural and rural area.

Sec. 6021. National Rural Development Partnership.

Sec. 6022. Rural telework.

Sec. 6023. Historic barn preservation.

Sec. 6024. Grants for NOAA weather radio transmitters.

Sec. 6025. Grants to train farm workers in new technologies and to train farm

workers in specialized skills necessary for higher value crops.

Sec. 6026. Rural community advancement program.

Sec. 6027. Delta Regional Authority.

Sec. 6028. Northern Great Plains Regional Authority.

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