US Codex
Pub. L.
Notes

Title I — Commodities

115th Congress · Approved Dec 20, 2018 · 132 Stat. 4490

TITLE I Commodities

Subtitle A Commodity Policy

SEC. 1101. Definition of Effective Reference Price.

Section 1111 of the Agricultural Act of 2014 (7 U.S.C. 9011) is amended—
(1)
by redesignating paragraphs (8) through (25) as paragraphs (9) through (26), respectively; and
(2)
by inserting after paragraph (7) the following:

“(8) Effective reference price.—The term ‘effective reference price’, with respect to a covered commodity for a crop year, means the lesser of the following:

“(A) An amount equal to 115 percent of the reference price for such covered commodity.

“(B) An amount equal to the greater of—

“(i) the reference price for such covered commodity; or

“(ii) 85 percent of the average of the marketing year average price of the covered commodity for the most recent 5 crop years, excluding each of the crop years with the highest and lowest marketing year average price.”

SEC. 1102. Base Acres.

(a)
Technical Corrections.— Section 1112(c)(2) of the Agricultural Act of 2014 (7 U.S.C. 9012(c)(2)) is amended by striking subparagraph (A) and inserting the following:

“(A) Any acreage on the farm enrolled in—

“(i) the conservation reserve program established under subchapter B of chapter 1 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3831 et seq.); or

“(ii) a wetland reserve easement under section 1265C of the Food Security Act of 1985 (16 U.S.C. 3865c).”

(b)
Reduction in Base Acres.— Section 1112(d) of the Agricultural Act of 2014 (7 U.S.C. 9012(d)) is amended by adding at the end the following:

“(3) Treatment of base acres on farms entirely planted to grass or pasture.—

“(A) In general.—In the case of a farm on which all of the cropland was planted to grass or pasture (including cropland that was idle or fallow), as determined by the Secretary, during the period beginning on January 1, 2009, and ending on December 31, 2017, the Secretary shall maintain all base acres and payment yields for the covered commodities on the farm, except that no payment shall be made with respect to those base acres under section 1116 or 1117 for the 2019 through 2023 crop years.

“(B) Ineligibility.—The producers on a farm for which all of the base acres are maintained under subparagraph (A) shall be ineligible for the option to change the election applicable to the producers on the farm under section 1115(h).

“(4) Prohibition on reconstitution of farm.—The Secretary shall ensure that producers on a farm do not reconstitute the farm to void or change the treatment of base acres under this section.”

SEC. 1103. Payment Yields.

(a)
Treatment of Designated Oilseeds.— Section 1113(b) of the Agricultural Act of 2014 (7 U.S.C. 9013(b)) is amended—
(1)
in paragraph (1), by striking “ designated oilseeds” and inserting “ oilseeds designated before the date of enactment of the Agriculture Improvement Act of 2018”;
(2)
in paragraphs (2) and (3), by striking “ a designated oilseed” each place it appears and inserting “ an oilseed designated before the date of enactment of the Agriculture Improvement Act of 2018”; and
(3)
by adding at the end the following:

“(4) Treatment of oilseeds designated after certain date.—In the case of oilseeds designated on or after the date of enactment of the Agriculture Improvement Act of 2018, the payment yield shall be equal to 90 percent of the average of the yield per planted acre for the most recent 5 crop years, as determined by the Secretary, excluding any crop year in which the acreage planted to the covered commodity was zero.”

(b)
Single Opportunity to Update Yields.— Section 1113 of the Agricultural Act of 2014 (7 U.S.C. 9013) is amended by striking subsection (d) and inserting the following:

“(d) Single Opportunity to Update Yields.—

“(1) Election to update.—At the sole discretion of the owner of a farm, the owner of a farm shall have a 1-time opportunity to update, on a covered-commodity-by-covered-commodity basis, the payment yield that would otherwise be used in calculating any price loss coverage payment for each covered commodity on the farm for which the election is made.

“(2) Method of updating yields for covered commodities.—If the owner of a farm elects to update yields under paragraph (1), the payment yield for a covered commodity on the farm, for the purpose of calculating price loss coverage payments only, shall be equal to the product obtained by multiplying—

“(A) 90 percent;

“(B) the average of the yield per planted acre for the crop of covered commodities on the farm for the 2013 through 2017 crop years, as determined by the Secretary, excluding any crop year in which the acreage planted to the covered commodity was zero; and

“(C) subject to paragraph (3), the ratio obtained by dividing—

“(i) the average of the 2008 through 2012 national average yield per planted acre for the covered commodity, as determined by the Secretary; by

“(ii) the average of the 2013 through 2017 national average yield per planted acre for the covered commodity, as determined by the Secretary.

“(3) Limitation.—In no case shall the ratio obtained under paragraph (2)(C) be less than 90 percent or greater than 100 percent.

“(4) Use of county average yield.—For the purposes of determining the average yield per planted acre under paragraph (2)(B), if the yield per planted acre for a crop of a covered commodity for a farm for any of the crop years described in that subparagraph was less than 75 percent of the average of county yields for those crop years for that commodity, the Secretary shall assign a yield for that crop year equal to 75 percent of the average of the 2013 through 2017 county yield for the covered commodity.

“(5) Upland cotton conversion.—In the case of seed cotton, for purposes of determining the average of the yield per planted acre under this subsection, the average yield for seed cotton per planted acre shall be equal to 2.4 times the average yield for upland cotton per planted acre.

“(6) Time for election.—An election under this subsection shall be made at a time and manner so as to be in effect beginning with the 2020 crop year, as determined by the Secretary.”

SEC. 1104. Payment Acres.

Section 1114 of the Agricultural Act of 2014 (7 U.S.C. 9014) is amended—
(1)
in subsection (d)—
(A)
in paragraph (1), by inserting “ , unless the sum of the base acres on the farm, when combined with the base acres of other farms in which the producer has an interest, is more than 10 acres” before the period at the end; and
(B)
in paragraph (2)—
(i)
in subparagraph (A), by striking “ or” at the end;
(ii)
in subparagraph (B), by striking the period at the end and inserting a semicolon; and
(iii)
by adding at the end the following:

“(C) a beginning farmer or rancher (as defined in subsection (a) of section 2501 of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279)); or

“(D) a veteran farmer or rancher (as defined in subsection (a) of section 2501 of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279)).”

; and

(2)
in subsection (e), by adding at the end the following:

“(5) Effect of reduction.—For each crop year for which fruits, vegetables (other than mung beans and pulse crops), or wild rice are planted to base acres on a farm for which a reduction in payment acres is made under this subsection, the Secretary shall consider such base acres to be planted, or prevented from being planted, to a covered commodity for purposes of any adjustment or reduction of base acres for the farm under section 1112.”

SEC. 1105. Producer Election.

Section 1115 of the Agricultural Act of 2014 (7 U.S.C. 9015) is amended—
(1)
in subsection (a), in the matter preceding paragraph (1), by striking “ Except as provided in subsection (g), for the 2014 through 2018 crop years” and inserting “ For the 2014 through 2018 crop years (except as provided in subsection (g)) and for the 2019 through 2023 crop years (subject to subsection (h))”;
(2)
in subsection (b), in the matter preceding paragraph (1), by striking “ subsection (a), the producers on a farm that elect under paragraph (2) of such subsection to obtain agriculture risk coverage under section 1117” and inserting “ subsection (a) or (h), as applicable, the producers on a farm that elect to obtain agriculture risk coverage”;
(3)
in subsection (c)—
(A)
in the matter preceding paragraph (1), by inserting “ or the 2019 crop year, as applicable” after “ 2014 crop year”;
(B)
in paragraph (1), by inserting “ or the 2019 crop year, as applicable,” after “ 2014 crop year”; and
(C)
by striking paragraph (2) and inserting the following:

“(2) subject to subsection (h), the producers on the farm shall be deemed to have elected, as applicable—

“(A) price loss coverage for all covered commodities on the farm for the 2015 through 2018 crop years; and

“(B) the same coverage for each covered commodity on the farm for the 2020 through 2023 crop years as was applicable for the 2015 through 2018 crop years.”

(4)
in subsection (g)(1), by inserting “ for the 2018 crop year,” before “ all of the producers”; and
(5)
by adding at the end the following:

“(h) Option to Change Election.—

“(1) In general.—For the 2021 crop year and each crop year thereafter, all of the producers on a farm may change the election under subsection (a), subsection (c), or this subsection, as applicable, to price loss coverage or agriculture risk coverage, as applicable.

“(2) Applicability.—An election change under paragraph (1) shall apply to—

“(A) the crop year for which the election change is made; and

“(B) each crop year thereafter until another election change is made under that paragraph.”

SEC. 1106. Price Loss Coverage.

Section 1116 of the Agricultural Act of 2014 (7 U.S.C. 9016) is amended—
(1)
in subsection (a)—
(A)
by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B), respectively, and indenting appropriately;
(B)
in the matter preceding subparagraph (A) (as so redesignated)—
(i)
by inserting “ or (h)” after “ subsection (a)”; and
(ii)
by striking “ determines that, for any of the 2014 through 2018 crop years—” and inserting

“(1) for any of the 2014 through 2018 crop years—

(C)
in paragraph (1)(B) (as so redesignated), by striking the period at the end and inserting “ ; or”; and
(D)
by adding at the end the following:

“(2) for any of the 2019 through 2023 crop years—

“(A) the effective price for the covered commodity for the crop year; is less than

“(B) the effective reference price for the covered commodity for the crop year.”

(2)
in subsection (c)—
(A)
by redesignating paragraphs (1) and (2) as clauses (i) and (ii), respectively, and indenting appropriately;
(B)
in the matter preceding clause (i) (as so redesignated), by striking “ The payment rate” and inserting the following:

“(1) In general.—

“(A) 2014 through 2018 crop years.—For the 2014 through 2018 crop years, the payment rate”

(C)
in paragraph (1) (as so designated), by adding at the end the following:

“(B) 2019 through 2023 crop years.—For the 2019 through 2023 crop years, the payment rate shall be equal to the difference between—

“(i) the effective reference price for the covered commodity; and

“(ii) the effective price determined under subsection (b) for the covered commodity.”

; and

(D)
by adding at the end the following:

“(2) Announcement.—Not later than 30 days after the end of each applicable 12-month marketing year for each covered commodity, the Secretary shall publish the payment rate determined under paragraph (1).

“(3) Insufficient data.—In the case of a covered commodity, such as temperate japonica rice, for which the Secretary cannot determine the payment rate for the most recent 12-month marketing year by the date described in paragraph (2) due to insufficient reporting of timely pricing data by 1 or more nongovernmental entities, including a marketing cooperative for the covered commodity, the Secretary shall publish the payment rate as soon as practicable after the marketing year data are made available.”

; and

(3)
by striking subsection (g) and inserting the following:

“(g) Reference Price for Temperate Japonica Rice.—In order to reflect price premiums, the Secretary shall provide a reference price with respect to temperate japonica rice in an amount equal to the amount established under subparagraph (F) of section 1111(19), as adjusted by paragraph (8) of such section, multiplied by the ratio obtained by dividing—

“(1) the simple average of the marketing year average price of medium grain rice from the 2012 through 2016 crop years; by

“(2) the simple average of the marketing year average price of all rice from the 2012 through 2016 crop years.”

SEC. 1107. Agriculture Risk Coverage.

Section 1117 of the Agricultural Act of 2014 (7 U.S.C. 9017) is amended—
(1)
in subsection (a), in the matter preceding paragraph (1)—
(A)
by inserting “ (beginning with the 2019 crop year, based on the physical location of the farm)” after “ payments”; and
(B)
by inserting “ or the 2019 through 2023 crop years, as applicable” after “ 2014 through 2018 crop years”;
(2)
in subsection (c)—
(A)
in paragraph (2)—
(i)
in subparagraph (A), by striking “ paragraph (4)” and inserting “ paragraphs (4) and (5)”; and
(ii)
in subparagraph (B), by striking “ (5)” and inserting “ (6)”;
(B)
in paragraph (3)—
(i)
in subparagraph (A)(ii), by striking “ (5)” and inserting “ (6)”; and
(ii)
in subparagraph (C), by striking “ 2018” and inserting “ 2023”;
(C)
in paragraph (4)—
(i)
by striking “ If” and inserting the following:

“(A) 2014 through 2018 crop years.—Effective for the 2014 through 2018 crop years, if”

; and

(ii)
by adding at the end the following:

“(B) 2019 through 2023 crop years.—Effective for the 2019 through 2023 crop years, if the yield per planted acre for the covered commodity or historical county yield per planted acre for the covered commodity for any of the 5 most recent crop years, as determined by the Secretary, is less than 80 percent of the transitional yield, as determined by the Secretary, the amounts used for any of those years in paragraph (2)(A) or (3)(A)(i) shall be 80 percent of the transitional yield.”

(D)
by redesignating paragraph (5) as paragraph (6);
(E)
by inserting after paragraph (4) the following:

“(5) Trend-adjusted yield.—The Secretary shall calculate and use a trend-adjusted yield factor to adjust the yield determined under paragraph (2)(A) and subsection (b)(1)(A), taking into consideration, but not exceeding, the trend-adjusted yield factor that is used to increase yield history under the endorsement under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) for that crop and county.”

; and

(F)
in paragraph (6) (as so redesignated)—
(i)
by striking “ Reference price.—If the national average market price” and inserting the following:

“(A) Reference price.—For the 2014 through 2018 crop years, if the national average market price”

; and

(ii)
by adding at the end the following:

“(B) Effective reference price.—For the 2019 through 2023 crop years, if the national average market price received by producers during the 12-month marketing year for any of the 5 most recent crop years is lower than the effective reference price for the covered commodity, the Secretary shall use the effective reference price for any of those years for the amounts in paragraph (2)(B) or (3)(A)(ii).”

(3)
in subsection (d)—
(A)
in paragraph (1), by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and indenting appropriately;
(B)
by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B), respectively, and indenting appropriately;
(C)
in the matter preceding subparagraph (A) (as so redesignated), by striking “ The payment” and inserting the following:

“(1) In general.—The payment”

; and

(D)
by adding at the end the following:

“(2) Announcement.—Not later than 30 days after the end of each applicable 12-month marketing year for each covered commodity, the Secretary shall publish the payment rate determined under paragraph (1) for each county.”

(4)
in subsection (e), in the matter preceding paragraph (1), by striking “ 2018” and inserting “ 2023”;
(5)
in subsection (g)—
(A)
in paragraph (2), by striking “ to the maximum extent practicable,”;
(B)
in paragraph (3), by striking “ and” after the semicolon at the end;
(C)
in paragraph (4)—
(i)
in the matter preceding subparagraph (A), by inserting “ effective for the 2014 through 2018 crop years,” before “ in the case of”; and
(ii)
in subparagraph (B), by striking the period at the end and inserting “ ; and”; and
(D)
by adding at the end the following:

“(5) effective for the 2019 through 2023 crop years, in the case of county coverage, assign an actual or benchmark county yield for each planted acre for the crop year for the covered commodity—

“(A) for a county for which county data collected by the Risk Management Agency are sufficient for the Secretary to offer a county-wide insurance product, using the actual average county yield determined by the Risk Management Agency; or

“(B) for a county not described in subparagraph (A), using—

“(i) other sources of yield information, as determined by the Secretary; or

“(ii) the yield history of representative farms in the State, region, or crop reporting district, as determined by the Secretary.”

; and

(6)
by adding at the end the following:

“(h) Publications.—

“(1) County guarantee.—

“(A) In general.—For each crop year for a covered commodity, the Secretary shall publish information describing, for that crop year for the covered commodity in each county—

“(i) the agriculture risk coverage guarantee for county coverage determined under subsection (c)(1);

“(ii) the average historical county yield determined under subsection (c)(2)(A); and

“(iii) the national average market price determined under subsection (c)(2)(B).

“(B) Timing.—

“(i) In general.—Except as provided in clauses (ii) and (iii), not later than 30 days after the end of each applicable 12-month marketing year, the Secretary shall publish the information described in subparagraph (A).

“(ii) Insufficient data.—In the case of a covered commodity, such as temperate japonica rice, for which the Secretary cannot determine the national average market price for the most recent 12-month marketing year by the date described in clause (i) due to insufficient reporting of timely pricing data by 1 or more nongovernmental entities, including a marketing cooperative for the covered commodity, as soon as practicable after the pricing data are made available, the Secretary shall publish information describing—

“(I) the agriculture risk coverage guarantee under subparagraph (A)(i); and

“(II) the national average market price under subparagraph (A)(iii).

“(iii) Transition.—Not later than 60 days after the date of enactment of the Agriculture Improvement Act of 2018, the Secretary shall publish the information described in clauses (i) and (ii) of subparagraph (A) for the 2018 crop year.

“(2) Actual average county yield.—As soon as practicable after each crop year, the Secretary shall determine and publish each actual average county yield for each covered commodity, as determined under subsection (b)(1)(A).

“(3) Data sources for county yields.—For the 2018 crop year and each crop year thereafter, the Secretary shall make publicly available information describing, for the most recent crop year—

“(A) the sources of data used to calculate county yields under subsection (c)(2)(A) for each covered commodity—

“(i) by county; and

“(ii) nationally; and

“(B) the number and outcome of occurrences in which the Farm Service Agency reviewed, changed, or determined not to change a source of data used to calculate county yields under subsection (c)(2)(A).

“(i) Administrative Units.—

“(1) In general.—For purposes of agriculture risk coverage payments in the case of county coverage, a county may be divided into not greater than 2 administrative units in accordance with this subsection.

“(2) Eligible counties.—A county that may be divided into administrative units under this subsection is a county that—

“(A) is larger than 1,400 square miles; and

“(B) contains more than 190,000 base acres.

“(3) Elections.—Before making any agriculture risk coverage payments for the 2019 crop year, the Farm Service Agency State committee, in consultation with the Farm Service Agency county or area committee of a county described in paragraph (2), may make a 1-time election to divide the county into administrative units under this subsection along a boundary that better reflects differences in weather patterns, soil types, or other factors.

“(4) Limitation.—The Secretary shall—

“(A) limit the number of counties that may be divided into administrative units under paragraph (3) to 25 counties; and

“(B) give preference to the division of counties that have greater variation in climate, soils, and expected productivity between the proposed administrative units.

“(5) Administration.—For purposes of providing agriculture risk coverage payments in the case of county coverage, the Secretary shall consider an administrative unit elected under paragraph (3) to be a county for the 2019 through 2023 crop years.”

SEC. 1108. Repeal of Transition Assistance for Producers of Upland Cotton.

Section 1119 of the Agricultural Act of 2014 (7 U.S.C. 9019) is repealed.

Subtitle B Marketing Loans

SEC. 1201. Extensions.

(a)
In General.— Section 1201(b)(1) of the Agricultural Act of 2014 (7 U.S.C. 9031(b)(1)) is amended by striking “ 2018” and inserting “ 2023”.
(b)
Repayment.— Section 1204 of the Agricultural Act of 2014 (7 U.S.C. 9034) is amended—
(1)
in subsection (e)(2)(B), in the matter preceding clause (i), by striking “ 2019”and inserting “ 2024”; and
(2)
in subsection (g), by striking “ 2018” and inserting “ 2023”.
(c)
Loan Deficiency Payments.—
(1)
Extension.— Section 1205(a)(2)(B) of the Agricultural Act of 2014 (7 U.S.C. 9035(a)(2)(B)) is amended by striking “ 2018” and inserting “ 2023”.
(2)
Payments in lieu of ldps.— Section 1206 of the Agricultural Act of 2014 (7 U.S.C. 9036) is amended in subsections (a) and (d) by striking “ 2018” each place it appears and inserting “ 2023”.

SEC. 1202. Loan Rates for Nonrecourse Marketing Assistance Loans.

(a)
In General.— Section 1202 of the Agricultural Act of 2014 (7 U.S.C. 9032) is amended—
(1)
in subsection (a), by striking the subsection heading and inserting “ 2014 through 2018 crop years”;
(2)
by redesignating subsections (b) and (c) as subsections (c) and (d), respectively;
(3)
by inserting after subsection (a) the following:

“(b) 2019 Through 2023 Crop Years.—For purposes of each of the 2019 through 2023 crop years, the loan rate for a marketing assistance loan under section 1201 for a loan commodity shall be equal to the following:

“(1) In the case of wheat, $3.38 per bushel.

“(2) In the case of corn, $2.20 per bushel.

“(3) In the case of grain sorghum, $2.20 per bushel.

“(4) In the case of barley, $2.50 per bushel.

“(5) In the case of oats, $2.00 per bushel.

“(6)

(A) Subject to subparagraphs (B) and (C), in the case of base quality of upland cotton, the simple average of the adjusted prevailing world price for the 2 immediately preceding marketing years, as determined by the Secretary and announced October 1 preceding the next domestic planting.

“(B) Except as provided in subparagraph (C), the loan rate determined under subparagraph (A) may not equal less than an amount equal to 98 percent of the loan rate for base quality of upland cotton for the preceding year.

“(C) The loan rate determined under subparagraph (A) may not be equal to an amount—

“(i) less than $0.45 per pound; or

“(ii) more than $0.52 per pound.

“(7) In the case of extra long staple cotton, $0.95 per pound.

“(8) In the case of long grain rice, $7.00 per hundredweight.

“(9) In the case of medium grain rice, $7.00 per hundredweight.

“(10) In the case of soybeans, $6.20 per bushel.

“(11) In the case of other oilseeds, $10.09 per hundredweight for each of the following kinds of oilseeds:

“(A) Sunflower seed.

“(B) Rapeseed.

“(C) Canola.

“(D) Safflower.

“(E) Flaxseed.

“(F) Mustard seed.

“(G) Crambe.

“(H) Sesame seed.

“(I) Other oilseeds designated by the Secretary.

“(12) In the case of dry peas, $6.15 per hundredweight.

“(13) In the case of lentils, $13.00 per hundredweight.

“(14) In the case of small chickpeas, $10.00 per hundredweight.

“(15) In the case of large chickpeas, $14.00 per hundredweight.

“(16) In the case of graded wool, $1.15 per pound.

“(17) In the case of nongraded wool, $0.40 per pound.

“(18) In the case of mohair, $4.20 per pound.

“(19) In the case of honey, $0.69 per pound.

“(20) In the case of peanuts, $355 per ton.”

; and

(4)
in subsection (c) (as so redesignated), by striking “ subsection (a)(11)” and inserting “ subsections (a)(11) and (b)(11)”.
(b)
Conforming Amendment.— Section 1204(h)(1) of the Agricultural Act of 2014 (7 U.S.C. 9034(h)(1)) is amended by striking “ section 1202(a)(20)” and inserting “ subsection (a)(20) or (b)(20), as applicable, of section 1202”.

SEC. 1203. Economic Adjustment Assistance for Textile Mills.

(a)
2008 Authority.— Section 1207 of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8737) is amended by striking subsection (c).
(b)
2014 Authority.— Section 1207(c) of the Agricultural Act of 2014 (7 U.S.C. 9037(c)) is amended by striking the subsection heading and inserting “ Economic Adjustment Assistance for Textile Mills”.

SEC. 1204. Special Competitive Provisions for Extra Long Staple Cotton.

(a)
In General.— Section 1208(a) of the Agricultural Act of 2014 (7 U.S.C. 9038(a)) is amended in the matter preceding paragraph (1) by striking “ 2019” and inserting “ 2024”.
(b)
Payments Under Program; Trigger.— Section 1208(b)(2) of the Agricultural Act of 2014 (7 U.S.C. 9038(b)(2)) is amended by striking “ 134 percent” and inserting “ 113 percent”.

SEC. 1205. Availability of Recourse Loans.

(a)
In General.— Section 1209 of the Agricultural Act of 2014 (7 U.S.C. 9039) is amended in subsections (a)(2) and (b) by striking “ 2018” each place it appears and inserting “ 2023”.
(b)
Recourse Loans Available for Contaminated Commodities.— Section 1209 of the Agricultural Act of 2014 (7 U.S.C. 9039) is amended—
(1)
by redesignating subsection (c) as subsection (d); and
(2)
by inserting after subsection (b) the following:

“(c) Recourse Loans Available for Contaminated Commodities.—In the case of a loan commodity that is ineligible for 100 percent of the nonrecourse marketing loan rate in the county due to a determination that the commodity is contaminated yet still merchantable, for each of the 2019 through 2023 crops of such loan commodity, the Secretary shall make available recourse commodity loans, at the rate provided under section 1202, on any production.”

Subtitle C Sugar

SEC. 1301. Sugar Policy.

(a)
Sugar Program.—
(1)
Sugarcane.— Section 156(a) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272(a)) is amended—
(A)
in paragraph (3), by striking “ and” at the end;
(B)
in paragraph (4), by striking the period at the end and inserting “ ; and”; and
(C)
by adding at the end the following:

“(5) 19.75 cents per pound for raw cane sugar for each of the 2019 through 2023 crop years.”

(2)
Sugar beets.— Section 156(b)(2) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272(b)(2)) is amended by striking “ 2018” and inserting “ 2023”.
(3)
Effective period.— Section 156(i) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272(i)) is amended by striking “ 2018” and inserting “ 2023”.
(b)
Flexible Marketing Allotments for Sugar.—
(1)
Sugar estimates.— Section 359b(a)(1) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359bb(a)(1)) is amended by striking “ 2018” and inserting “ 2023”.
(2)
Effective period.— Section 359l(a) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359ll(a)) is amended by striking “ 2018” and inserting “ 2023”.

Subtitle D Dairy Margin Coverage and Other Dairy Related Provisions

SEC. 1401. Dairy Margin Coverage.

(a)
Review of Data Used in Calculation of Average Feed Cost.— Not later than 60 days after the date of the enactment of this Act, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report evaluating the extent to which the average cost of feed used by a dairy operation to produce a hundredweight of milk calculated by the Secretary as required by section 1402(a) of the Agricultural Act of 2014 (7 U.S.C. 9052(a)) is representative of actual dairy feed costs.
(b)
Corn Silage Report.— Not later than 1 year after the date of the enactment of this Act, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report detailing the costs incurred by dairy operations in the use of corn silage as feed, and the difference between the feed cost of corn silage and the feed cost of corn.
(c)
Collection of Alfalfa Hay Data.— Not later than 120 days after the date of the enactment of this Act, the Secretary, acting through the National Agricultural Statistics Service, shall revise monthly price survey reports to include prices for high-quality alfalfa hay in the top five milk producing States, as measured by volume of milk produced during the previous month.
(d)
Registration of Multiproducer Dairy Operations.— Section 1404(b) of the Agricultural Act of 2014 (7 U.S.C. 9054(b)) is amended—
(1)
by redesignating paragraph (4) as paragraph (5); and
(2)
by striking paragraph (3) and inserting the following:

“(3) Election period for 2019 calendar year.—For the 2019 calendar year, the Secretary shall—

“(A) open the election period not later than 60 days after the effective date described in section 1401(m) of the Agriculture Improvement Act of 2018; and

“(B) hold that election period open for not less than 90 days.

“(4) Treatment of multiproducer dairy operation.—

“(A) In general.—If a participating dairy operation is operated by more than 1 dairy producer, the dairy producers of the dairy operation who elect to participate shall be treated as a single dairy operation for purposes of participating in dairy margin coverage.

“(B) Rule of construction.—Subparagraph (A) shall not be construed to allow a producer to adjust the proportion of their share covered under tier I or tier II premiums from the proportion covered for the operation.”

(e)
Relation to Livestock Gross Margin for Dairy Program.—
(1)
In general.— Section 1404 of the Agricultural Act of 2014 (7 U.S.C. 9054) is amended by striking subsection (d).
(2)
Retroactive program option.— Section 1404(b)(2) of the Agricultural Act of 2014 (7 U.S.C. 9054(b)(2)) is amended—
(A)
by striking “ The Secretary” and inserting the following:

“(A) In general.—The Secretary”

; and

(B)
by adding at the end the following:

“(B) Retroactive program option.—In the case of a dairy operation that, by operation of subsection (d) (as in effect on the day before the date of enactment of the Agriculture Improvement Act of 2018), was ineligible to participate in the margin protection program for any part of calendar year 2018, the Secretary shall establish a new election period for that calendar year that ends on a date that is not less than 90 days after the date of enactment of the Agriculture Improvement Act of 2018 and the Secretary determines is necessary for dairy operations to make new elections to participate in the margin protection program (as in effect on the day before the date of enactment of the Agriculture Improvement Act of 2018) for that calendar year, including dairy operations that elected to participate in the livestock gross margin for dairy program under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) before the date of enactment of the Bipartisan Budget Act of 2018 (Public Law 115–123).”

(f)
Production History of Participating Dairy Operators.—
(1)
Adjustment.— Section 1405 of the Agricultural Act of 2014 (7 U.S.C. 9055) is amended—
(A)
in subsection (a)—
(i)
in paragraph (2), by striking “ In subsequent years” and inserting “ In the subsequent calendar years ending before January 1, 2019”; and
(ii)
in paragraph (3), by inserting “ , as applicable” after “ paragraph (2)”; and
(B)
in subsection (b)—
(i)
by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B), respectively, and indenting appropriately;
(ii)
in the matter preceding subparagraph (A) (as so redesignated), by striking “ In the case” and inserting the following:

“(1) Dairy operations with less than 1 year of production history.—In the case”

; and

(iii)
by adding at the end the following:

“(2) Dairy operations with 1 year or more of production history.—In the case of a participating dairy operation that was not in operation prior to January 1, 2014, that has not established a production history, and that has been in operation for equal to or longer than 1 year, the participating dairy operation shall elect the annual milk marketings during any 1 calendar year to determine the production history of the participating dairy operation.

“(3) Adjustment.—The Secretary shall adjust the production history of a participating dairy operation determined under paragraph (1) or (2) to reflect any increase or decrease in the national average milk production relative to calendar year 2017.”

(2)
Limitation on changes to business structure.— Section 1405 of the Agricultural Act of 2014 (7 U.S.C. 9055) is amended by adding at the end the following new subsection:

“(d) Limitation on Changes to Business Structure.—The Secretary may not make dairy margin coverage payments to a participating dairy operation if the Secretary determines that the participating dairy operation has reorganized the structure of such operation solely for the purpose of qualifying as a new operation under subsection (b).”

(g)
Coverage Level Threshold and Coverage Percentage.— Section 1406 of the Agricultural Act of 2014 (7 U.S.C. 9056) is amended by striking subsection (a) and inserting the following:

“(a) Coverage Level Threshold and Coverage Percentage.—

“(1) Coverage level threshold.—

“(A) In general.—For purposes of receiving dairy margin coverage payments for a month, a participating dairy operation shall annually elect a coverage level threshold that is equal to $4.00, $4.50, $5.00, $5.50, $6.00, $6.50, $7.00, $7.50, $8.00, $8.50, $9.00, or $9.50.

“(B) Applicability.—Except as provided in subparagraph (C), the coverage level threshold elected under subparagraph (A) shall apply to the covered production elected by the participating dairy operation under paragraph (2).

“(C) Second coverage election for tier ii.—In the case of a participating dairy operation that elects a coverage level threshold of $8.50, $9.00, or $9.50 under subparagraph (A)—

“(i) that coverage level threshold shall apply to the first 5,000,000 pounds of milk marketings included in the covered production elected by the participating dairy operation; and

“(ii) the participating dairy operation shall elect a coverage level threshold that is equal to $4.00, $4.50, $5.00, $5.50, $6.00, $6.50, $7.00, $7.50, or $8.00 to apply to milk marketings in excess of 5,000,000 pounds included in the covered production elected by the participating dairy operation.

“(2) Coverage percentage.—For purposes of receiving dairy margin coverage payments for a month, a participating dairy operation shall annually elect a percentage of coverage, in 5-percent increments, not exceeding 95 percent of the production history of the participating dairy operation.”

(h)
Producer Premiums.— Section 1407 of the Agricultural Act of 2014 (7 U.S.C. 9057) is amended—
(1)
in subsection (b), by striking paragraphs (2) and (3) and inserting the following:

“(2) Producer premiums.—Except as provided in subsection (g), the following annual premiums apply:

“Coverage Level Premium per Cwt.
$4.00 None
$4.50 $0.0025
$5.00 $0.005
$5.50 $0.030
$6.00 $0.050
$6.50 $0.070
$7.00 $0.080
$7.50 $0.090
$8.00 $0.100
$8.50 $0.105
$9.00 $0.110
$9.50 $0.150”; and
(2)
in subsection (c), by striking paragraph (2) and inserting the following:

“(2) Producer premiums.—Except as provided in subsection (g), the following annual premiums apply:

“Coverage Level Premium per Cwt.
$4.00 None
$4.50 $0.0025
$5.00 $0.005
$5.50 $0.100
$6.00 $0.310
$6.50 $0.650
$7.00 $1.107
$7.50 $1.413
$8.00 $1.813”.
(i)
Repayment of Premiums.— Section 1407 of the Agricultural Act of 2014 (7 U.S.C. 9057) is amended by adding at the end the following:

“(f) Repayment of Premiums.—

“(1) In general.—Each dairy operation described in paragraph (2) shall be eligible to receive a repayment from the Secretary in an amount equal to the difference between—

“(A) the total amount of premiums paid by the participating dairy operation under this section for each applicable calendar year; and

“(B) the total amount of payments made to the participating dairy operation under section 1406 for that calendar year.

“(2) Eligibility.—A dairy operation that is eligible to receive a repayment under paragraph (1) is a dairy operation that—

“(A) participated in the margin protection program, as in effect for any of calendar years 2014 through 2017; and

“(B) submits to the Secretary an application for the repayment at such time, in such manner, and containing such information as the Secretary may require.

“(3) Method of repayment.—A dairy operation that is eligible to receive a repayment under paragraph (1) shall elect to receive the repayment—

“(A) in an amount equal to 75 percent of the repayment calculated under that paragraph as credit that may be used by the dairy operation for dairy margin coverage premiums; or

“(B) in an amount equal to 50 percent of the repayment calculated under that paragraph as a direct cash repayment.

“(4) Applicability.—Paragraph (1) shall only apply to a calendar year during the period of calendar years 2014 through 2017 for which the amount described in subparagraph (A) of that paragraph is greater than the amount described in subparagraph (B) of that paragraph.”

(j)
Premium Discount.— Section 1407 of the Agricultural Act of 2014 (7 U.S.C. 9057) (as amended by subsection (i)) is amended by adding at the end the following:

“(g) Premium Discount.—The premium per hundredweight specified in the tables contained in subsections (b) and (c) for each coverage level shall be reduced by 25 percent in accordance with the following:

“(1) In general.—For each of calendar years 2019 through 2023, for a participating dairy operation that makes a 1-time election of coverage level in a tier and of a percentage of coverage under section 1406(a) for the 5-year period beginning in January 2019.

“(2) New dairy operations.—For each applicable calendar year through 2023, for a participating dairy operation that—

“(A) establishes a production history pursuant to section 1405(b); and

“(B) makes a 1-time election of coverage level in a tier and of a percentage of coverage under section 1406(a) for the period beginning with the first available calendar year and ending in December 2023.

“(3) Full participation required.—Notwithstanding the annual elections under section 1406(a)—

“(A) a 1-time enrollment under this subsection shall remain in effect for the full duration applicable to a participating dairy operation in accordance with paragraph (1) or (2)(B), as applicable; and

“(B) a participating dairy operation that makes a 1-time enrollment under this subsection and is noncompliant under section 1408 shall be subject to that section.”

(k)
Conforming Amendments Related to Program Name.—
(1)
Heading.— The heading of part I of subtitle D of title I of the Agricultural Act of 2014 (Public Law 113–79; 128 Stat. 688) is amended to read as follows:

“PART I— DAIRY MARGIN COVERAGE”

.

(2)
Definitions.— Section 1401 of the Agricultural Act of 2014 (7 U.S.C. 9051) is amended—
(A)
by striking paragraphs (5) and (6) and inserting the following new paragraphs:

“(5) Dairy margin coverage.—The term ‘dairy margin coverage’ means the dairy margin coverage program required by section 1403.

“(6) Dairy margin coverage payment.—The term ‘dairy margin coverage payment’ means a payment made to a participating dairy operation under dairy margin coverage pursuant to section 1406.”

; and

(B)
in paragraphs (7) and (8), by striking “ the margin protection program” both places it appears and inserting “ dairy margin coverage”.
(3)
Calculation of actual dairy production margin.— Section 1402(b)(1) of the Agricultural Act of 2014 (7 U.S.C. 9052(b)(1)) is amended in the matter preceding subparagraph (A) by striking “ the margin protection program” and inserting “ dairy margin coverage”.
(4)
Program operation.— Section 1403 of the Agricultural Act of 2014 (7 U.S.C. 9053) is amended—
(A)
by striking the section heading and inserting “ dairy margin coverage”;
(B)
by striking “ Not later than September 1, 2014, the Secretary shall establish and administer a margin protection program” and inserting the following:

“(a) In General.—The Secretary shall continue to administer a dairy margin coverage program”

(C)
in subsection (a) (as so designated), by striking “ margin protection payment” both places it appears and inserting “ dairy margin coverage payment”; and
(D)
by adding at the end the following:

“(b) Regulations.—Subpart A of part 1430 of title 7, Code of Federal Regulations (as in effect on the date of enactment of the Agriculture Improvement Act of 2018), shall remain in effect for dairy margin coverage beginning with the 2019 calendar year, except to the extent that the regulations are inconsistent with any provision of this Act.”

(5)
Participation.— Section 1404 of the Agricultural Act of 2014 (7 U.S.C. 9054) is amended—
(A)
in the section heading, by striking “ margin protection program” and inserting “ dairy margin coverage”;
(B)
in subsection (a), by striking “ the margin protection program to receive margin protection payments” and inserting “ dairy margin coverage to receive dairy margin coverage payments”; and
(C)
in subsections (b) and (c), by striking “ the margin protection program” each place it appears and inserting “ dairy margin coverage”.
(6)
Production history.— Section 1405 of the Agricultural Act of 2014 (7 U.S.C. 9055) is amended in subsections (a)(1) and (c) by striking “ the margin protection program” each place it appears and inserting “ dairy margin coverage”.
(7)
Payments.— Section 1406 of the Agricultural Act of 2014 (7 U.S.C. 9056) is amended—
(A)
in the section heading, by striking “ margin protection” and inserting “ dairy margin coverage”;
(B)
by striking “ margin protection” each place it appears and inserting “ dairy margin coverage”; and
(C)
in the heading of subsection (c), by striking “ Margin Protection”.
(8)
Premiums.— Section 1407 of the Agricultural Act of 2014 (7 U.S.C. 9057) is amended—
(A)
in the section heading, by striking “ margin protection program” and inserting “ dairy margin coverage”;
(B)
in subsection (a), in the matter preceding paragraph (1), by striking “ the margin protection program” and inserting “ dairy margin coverage”;
(C)
in subsection (d), by striking “ program” and inserting “ dairy margin coverage”; and
(D)
in subsection (e)—
(i)
by striking “ the margin protection program” both places it appears and inserting “ dairy margin coverage”; and
(ii)
in paragraph (2), by striking “ integrity of the program” and inserting “ integrity of dairy margin coverage”.
(9)
Failure to pay administrative fees or premiums.— Section 1408 of the Agricultural Act of 2014 (7 U.S.C. 9058) is amended—
(A)
in subsection (a)(2), by striking “ margin protection” and inserting “ dairy margin coverage”; and
(B)
in subsection (b), by striking “ the margin protection program” and inserting “ dairy margin coverage”.
(10)
Administration and enforcement.— Section 1410 of the Agricultural Act of 2014 (7 U.S.C. 9060) is amended—
(A)
in subsections (a) and (c), by striking “ the margin protection program” each place it appears and inserting “ dairy margin coverage”; and
(B)
in subsection (b), by striking “ margin protection” and inserting “ dairy margin coverage”.
(l)
Duration.— Section 1409 of the Agricultural Act of 2014 (7 U.S.C. 9059) is amended—
(1)
by striking “ The margin protection program” and inserting “ Dairy margin coverage”; and
(2)
by striking “ 2018” and inserting “ 2023”.
(m)
Effective Date.— The amendments made by this section shall take effect on January 1, 2019.

SEC. 1402. Reauthorizations.

(a)
Forward Pricing.— Section 1502(e) of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8772(e)) is amended—
(1)
in paragraph (1), by striking “ 2018” and inserting “ 2023”; and
(2)
in paragraph (2), by striking “ 2021” and inserting “ 2026”.
(b)
Indemnity Program.— Section 3 of Public Law 90–484 (7 U.S.C. 4553) is amended by striking “ 2018” and inserting “ 2023”.
(c)
Promotion and Research.— Section 113(e)(2) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504(e)(2)) is amended by striking “ 2018” and inserting “ 2023”.

SEC. 1403. Class I Skim Milk Price.

(a)
Class I Skim Milk Price.— Section 8c(5)(A) of the Agricultural Adjustment Act (7 U.S.C. 608c(5)(A)), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937, is amended by striking “ Throughout” in the third sentence and all that follows through the period at the end of the fourth sentence and inserting “ Throughout the 2-year period beginning on the effective date of this sentence (and subsequent to such 2-year period unless modified by amendment to the order involved), for purposes of determining prices for milk of the highest use classification, the Class I skim milk price per hundredweight specified in section 1000.50(b) of title 7, Code of Federal Regulations (or successor regulations), shall be the sum of the adjusted Class I differential specified in section 1000.52 of such title 7 (or successor regulations), plus the adjustment to Class I prices specified in sections 1005.51(b), 1006.51(b), and 1007.51(b) of such title 7 (or successor regulations), plus the simple average of the advanced pricing factors computed in sections 1000.50(q)(1) and 1000.50(q)(2) of such title 7 (or successor regulations), plus $0.74.”.
(b)
Effective Date and Implementation.—
(1)
Effective date.— The amendment made by subsection (a) shall take effect on the first day of the first month beginning more than 120 days after the date of enactment of this Act.
(2)
Implementation.— Implementation of the amendment made by subsection (a) shall not be subject to any of the following:
(A)
The notice and comment provisions of section 553 of title 5, United States Code.
(B)
The notice and hearing requirements of section 8c(3) of the Agricultural Adjustment Act (7 U.S.C. 608c(3)), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937.
(C)
The order amendment requirements of section 8c(17) of that Act (7 U.S.C. 608c(17)).
(D)
A referendum under section 8c(19) of that Act (7 U.S.C. 608c(19)).

SEC. 1404. Dairy Product Donation.

(a)
Repeal of Dairy Product Donation Program.— Section 1431 of the Agricultural Act of 2014 (7 U.S.C. 9071) is repealed.
(b)
Milk Donation Program.—
(1)
In general.— Part III of subtitle D of title I of the Agricultural Act of 2014 (Public Law 113–79; 128 Stat. 695) is amended to read as follows:

“PART III— MILK DONATION PROGRAM

“SEC. 1431. MILK DONATION PROGRAM.

“(a) Definitions.—In this section:

“(1) Eligible dairy organization.—The term ‘eligible dairy organization’ means a dairy farmer (either individually or as part of a cooperative), or a dairy processor, who—

“(A) accounts to a Federal milk marketing order marketwide pool; and

“(B) incurs qualified expenses under subsection (e).

“(2) Eligible distributor.—The term ‘eligible distributor’ means a public or private nonprofit organization that distributes donated eligible milk.

“(3) Eligible milk.—The term ‘eligible milk’ means Class I fluid milk products produced and processed in the United States.

“(4) Eligible partnership.—The term ‘eligible partnership’ means a partnership between an eligible dairy organization and an eligible distributor.

“(5) Participating partnership.—The term ‘participating partnership’ means an eligible partnership for which the Secretary has approved a donation and distribution plan for eligible milk under subsection (c)(2).

“(b) Program Required; Purposes.—Not later than 180 days after the date of enactment of the Agriculture Improvement Act of 2018, the Secretary shall establish and administer a milk donation program for the purposes of—

“(1) encouraging the donation of eligible milk;

“(2) providing nutrition assistance to individuals in low-income groups; and

“(3) reducing food waste.

“(c) Donation and Distribution Plans.—

“(1) In general.—To be eligible to receive reimbursement under subsection (d), an eligible partnership shall submit to the Secretary a donation and distribution plan that—

“(A) describes the process that the eligible partnership will use for the donation, processing, transportation, temporary storage, and distribution of eligible milk;

“(B) includes an estimate of the quantity of eligible milk that the eligible partnership will donate each year, based on—

“(i) preplanned donations; and

“(ii) contingency plans to address unanticipated donations; and

“(C) describes the rate at which the eligible partnership will be reimbursed, which shall be based on a percentage of the limitation described in subsection (e)(2), not to exceed 100 percent.

“(2) Review and approval.—Not less frequently than annually, the Secretary shall—

“(A) review donation and distribution plans submitted under paragraph (1); and

“(B) determine whether to approve or disapprove each of those donation and distribution plans.

“(d) Reimbursement.—

“(1) In general.—On receipt of appropriate documentation under paragraph (2), the Secretary shall reimburse an eligible dairy organization that is a member of a participating partnership on a regular basis for qualified expenses described in subsection (e).

“(2) Documentation.—

“(A) In general.—An eligible dairy organization shall submit to the Secretary such documentation as the Secretary may require to demonstrate the qualified expenses described in subsection (e) of the eligible dairy organization.

“(B) Verification.—The Secretary may verify the accuracy of documentation submitted under subparagraph (A) by spot checks and audits.

“(3) Retroactive reimbursement.—In providing reimbursements under paragraph (1), the Secretary may provide reimbursements for qualified expenses incurred before the date on which the donation and distribution plan for the applicable participating partnership was approved by the Secretary.

“(e) Qualified Expenses.—

“(1) In general.—The amount of a reimbursement under subsection (d) shall be an amount equal to the product of—

“(A) the quantity of eligible milk donated by the eligible dairy organization under a donation and distribution plan approved by the Secretary under subsection (c); and

“(B) subject to the limitation under paragraph (2), the rate described in that donation and distribution plan under subsection (c)(1)(C).

“(2) Limitation.—Expenses eligible for reimbursement under subsection (d) shall not exceed the value that an eligible dairy organization incurred by accounting to the Federal milk marketing order pool at the difference in the Class I milk value and the lowest classified price for the applicable month (either Class III milk or Class IV milk).

“(f) Preapproval.—

“(1) In general.—The Secretary shall—

“(A) establish a process for an eligible partnership to apply for preapproval of donation and distribution plans under subsection (c); and

“(B) not less frequently than annually, preapprove an amount for qualified expenses described in subsection (e) that the Secretary will allocate for reimbursement under each donation and distribution plan preapproved under subparagraph (A), based on an assessment of—

“(i) the feasibility of the plan; and

“(ii) the extent to which the plan advances the purposes described in subsection (b).

“(2) Preference.—In preapproving amounts for reimbursement under paragraph (1)(B), the Secretary shall give preference to eligible partnerships that will provide funding and in-kind contributions in addition to the reimbursements.

“(3) Adjustments.—

“(A) In general.—The Secretary shall adjust or increase amounts preapproved for reimbursement under paragraph (1)(B) based on performance and demand.

“(B) Requests for increase.—

“(i) In general.—The Secretary shall establish a procedure for a participating partnership to request an increase in the amount preapproved for reimbursement under paragraph (1)(B) based on changes in conditions.

“(ii) Interim approval; incremental increase.—The Secretary may provide an interim approval of an increase requested under clause (i) and an incremental increase in the amount of reimbursement to the applicable participating partnership to allow time for the Secretary to review the request without interfering with the donation and distribution of eligible milk by the participating partnership.

“(g) Prohibition on Resale of Products.—

“(1) In general.—An eligible distributor that receives eligible milk donated under this section may not sell the products back into commercial markets.

“(2) Prohibition on future participation.—An eligible distributor that the Secretary determines has violated paragraph (1) shall not be eligible for any future participation in the program established under this section.

“(h) Administration.—The Secretary shall publicize opportunities to participate in the program established under this section.

“(i) Reviews.—The Secretary shall conduct appropriate reviews or audits to ensure the integrity of the program established under this section.

“(j) Funding.—Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section $9,000,000 for fiscal year 2019, and $5,000,000 for each fiscal year thereafter, to remain available until expended.”

(2)
Conforming amendment.— Section 1401 of the Agricultural Act of 2014 (7 U.S.C. 9051) is amended, in the matter preceding paragraph (1), by striking “ and part III”.

Subtitle E Supplemental Agricultural Disaster Assistance

SEC. 1501. Supplemental Agricultural Disaster Assistance.

(a)
Members of Indian Tribes.— Section 1501(a)(1)(B) of the Agricultural Act of 2014 (7 U.S.C. 9081(a)(1)(B)) is amended—
(1)
by redesignating clauses (iii) and (iv) as clauses (iv) and (v), respectively; and
(2)
by inserting after clause (ii) the following:

“(iii) an Indian tribe or tribal organization (as those terms are defined in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304));”

(b)
Covered Livestock Losses for Livestock Indemnity Payments.— Section 1501(b) of the Agricultural Act of 2014 (7 U.S.C. 9081(b)) is amended—
(1)
in paragraph (1)—
(A)
by striking “ or” at the end of subparagraph (A);
(B)
in subparagraph (B), by striking “ cold.” and inserting “ cold, on the condition that in the case of the death loss of unweaned livestock due to that adverse weather, the Secretary may disregard any management practice, vaccination protocol, or lack of vaccination by the eligible producer on a farm; or”; and
(C)
by adding at the end the following new subparagraph:

“(C) disease that, as determined by the Secretary—

“(i) is caused or transmitted by a vector; and

“(ii) is not susceptible to control by vaccination or acceptable management practices.”

; and

(2)
in paragraph (4), by striking “ A payment” and inserting “ Payment reductions.—A payment”.
(c)
Emergency Assistance for Livestock, Honey Bees, and Farm-raised Fish.—
(1)
In general.— Section 1501(d)(2) of the Agricultural Act of 2014 (7 U.S.C. 9081(d)(2)) is amended by inserting “ , including inspections of cattle tick fever” before the period at the end.
(2)
Effective date.— The amendment made by paragraph (1) shall apply to inspections of cattle tick fever conducted on or after the date of enactment of this Act.
(d)
Tree Assistance Program.— Section 1501(e) of the Agricultural Act of 2014 (7 U.S.C. 9081(e)) is amended—
(1)
in paragraph (3), in the matter preceding subparagraph (A), by striking “ paragraph (4)” and inserting “ paragraphs (4) and (5)”; and
(2)
by adding at the end the following:

“(5) Payment rate for beginning and veteran producers.—Subject to paragraph (4), in the case of a beginning farmer or rancher or a veteran farmer or rancher (as those terms are defined in subsection (a) of section 2501 of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279)) that is eligible to receive assistance under this subsection, the Secretary shall provide reimbursement of 75 percent of the costs under subparagraphs (A)(i) and (B) of paragraph (3).”

(e)
Payment Limitation.— Section 1501(f)(2) of the Agricultural Act of 2014 (7 U.S.C. 9081(f)(2)) is amended by striking “ this section (excluding payments received under subsections (b) and (e))” and inserting “ subsection (c)”.

Subtitle F Noninsured Crop Assistance

SEC. 1601. Noninsured Crop Assistance Program.

Section 196 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333) is amended—
(1)
in subsection (a)—
(A)
in paragraph (1), by adding at the end the following:

“(C) Data collection and sharing.—The Secretary shall coordinate with the Administrator of the Risk Management Agency on the type and format of data received under the noninsured crop disaster assistance program that—

“(i) best facilitates the use of that data in developing policies or plans of insurance offered under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.); and

“(ii) ensures the availability of that data on a regular basis.

“(D) Coordination.—The Secretary shall coordinate between the agencies of the Department that provide programs or services to farmers and ranchers that are potentially eligible for the noninsured crop disaster assistance program under this section—

“(i) to make available coverage under—

“(I) the fee waiver under subsection (k)(2); or

“(II) the premium discount under subsection (l)(3); and

“(ii) to share eligibility information to reduce paperwork and avoid duplication.”

(B)
in paragraph (2), by striking subparagraph (A) and inserting the following:

“(A) In general.—Subject to subparagraph (B), in this section, the term ‘eligible crop’ means each commercial crop or other agricultural commodity that is produced for food or fiber (except livestock) for which catastrophic risk protection under subsection (b) of section 508 of the Federal Crop Insurance Act (7 U.S.C. 1508) and additional coverage under subsections (c) and (h) of such section are not available or, if such coverage is available, it is only available under a policy that provides coverage for specific intervals based on weather indexes or under a whole farm plan of insurance.”

; and

(C)
in paragraph (4)(B)—
(i)
by striking clause (i) and inserting the following:

“(i) In general.—

“(I) Agricultural act of 2014.—During the first 4 crop years of planting, as determined by the Secretary, native sod acreage that has been tilled for the production of an annual crop during the period beginning on February 8, 2014, and ending on the date of enactment of the Agriculture Improvement Act of 2018 shall be subject to a reduction in benefits under this section as described in this subparagraph.

“(II) Subsequent years.—Native sod acreage that has been tilled for the production of an eligible crop after the date of enactment of the Agriculture Improvement Act of 2018 shall be subject to a reduction in benefits under this section as described in this subparagraph for not more than any 4 crop years—

“(aa) during the first 10 crop years after the initial tillage; and

“(bb) during which a crop on that acreage is enrolled under subsection (l)(2) or (k).”

; and

(ii)
in clause (iii)(I), by striking “ transitional yield of the producer” and inserting “ county expected yield”;
(2)
in subsection (b)—
(A)
in paragraph (1), by striking “ not later than 30 days” and inserting “ by an appropriate deadline”; and
(B)
by adding at the end the following:

“(4) Streamlined submission process.—The Secretary shall establish a streamlined process for the submission of records and acreage reports under paragraphs (2) and (3) for diverse production systems such as those typical of urban production systems, other small-scale production systems, and direct-to-consumer production systems.”

(3)
in subsection (d)—
(A)
by redesignating paragraphs (1), (2), and (3) as paragraphs (2), (3), and (4), respectively;
(B)
by inserting before paragraph (2) (as so redesignated) the following:

“(1) the producer’s share of the total acres devoted to the eligible crop; by”

; and

(C)
in paragraph (2) (as so redesignated), by striking “ established yield for the crop” and inserting “ approved yield for the crop, as determined by the Secretary”;
(4)
in subsection (e)—
(A)
in paragraph (1), by striking “ farm” and inserting “ approved”;
(B)
in paragraph (2)—
(i)
in the second sentence—
(I)
by inserting “ approved” before “ yield”; and
(II)
by striking “ Subject” and inserting the following:

“(B) Calculation.—Subject”

; and

(ii)
in the matter preceding subparagraph (B) (as so designated)—
(I)
by striking “ yield coverage” and inserting “ an approved yield”; and
(II)
by striking “ The Secretary” and inserting the following:

“(A) In general.—The Secretary”

; and

(C)
in paragraph (3), by striking “ transitional yield of the producer” and inserting “ county expected yield”;
(5)
in subsection (i)(2), by striking “ exceed $125,000” and inserting the following:

“(A) in the case of catastrophic coverage under subsection (c), $125,000; and

“(B) in the case of additional coverage under subsection (l), $300,000”

(6)
in subsection (k)(1)—
(A)
in subparagraph (A), by striking “ $250” and inserting “ $325”; and
(B)
in subparagraph (B)—
(i)
by striking “ $750” and inserting “ $825”; and
(ii)
by striking “ $1,875” and inserting “ $1,950”; and
(7)
in subsection (l)—
(A)
in paragraph (1)—
(i)
by redesignating subparagraphs (A), (B), and (C) as subparagraphs (B), (C), and (D), respectively;
(ii)
by inserting before subparagraph (B) (as so redesignated) the following:

“(A) the producer’s share of the total acres devoted to the crop;”

; and

(iii)
in subparagraph (C) (as so redesignated), by inserting “ , contract price, or other premium price (such as a local, organic, or direct market price, as elected by the producer)” after “ price”;
(B)
in paragraph (2)(B)(i)—
(i)
in subclause (IV), by striking “ and” at the end;
(ii)
in subclause (V), by striking “ or” at the end and inserting “ and”; and
(iii)
by adding at the end the following:

“(VI) the producer’s share of the crop; or”

(C)
by striking paragraphs (3) and (5); and
(D)
by redesignating paragraph (4) as paragraph (3).

Subtitle G Administration

SEC. 1701. Regulations.

Section 1601(c)(2) of the Agricultural Act of 2014 (7 U.S.C. 9091(c)(2)) is amended—
(1)
in the matter preceding subparagraph (A), by striking “ title and sections 11003 and 11017” and inserting “ title, sections 11003 and 11017, title I of the Agriculture Improvement Act of 2018 and the amendments made by that title, and section 10109 of that Act”;
(2)
in subparagraph (A), by adding “ and” at the end;
(3)
in subparagraph (B), by striking “ ; and” and inserting a period; and
(4)
by striking subparagraph (C).

SEC. 1702. Suspension of Permanent Price Support Authority.

Section 1602 of the Agricultural Act of 2014 (7 U.S.C. 9092) is amended by striking “ 2018” each place it appears and inserting “ 2023”.

SEC. 1703. Payment Limitations.

(a)
In General.— Section 1001 of the Food Security Act of 1985 (7 U.S.C. 1308) is amended—
(1)
in subsection (a)—
(A)
in paragraph (1), by striking “ section 1001 of the Food, Conservation, and Energy Act of 2008” and inserting “ section 1111 of the Agricultural Act of 2014 (7 U.S.C. 9011)”; and
(B)
in paragraph (2), by inserting “ first cousin, niece, nephew,” after “ sibling,”;
(2)
in subsections (b) and (c), by striking “ and as marketing loan gains or loan deficiency payments under subtitle B of title I of the Agricultural Act of 2014” each place it appears and inserting “ of the Agricultural Act of 2014 (7 U.S.C. 9016, 9017)”; and
(3)
in subsection (f), by adding at the end the following:

“(9) Administration of reduction.—The Secretary shall apply any order described in section 1614(d)(1) of the Agricultural Act of 2014 (7 U.S.C. 9097(d)(1)) to payments under sections 1116 and 1117 of that Act (7 U.S.C. 9016, 9017) prior to applying payment limitations under this section.”

(b)
Application.— The amendments made by this section shall apply beginning with the 2019 crop year.

SEC. 1704. Adjusted Gross Income Limitations.

(a)
Waiver.— Section 1001D(b) of the Food Security Act of 1985 (7 U.S.C. 1308–3a(b)) is amended—
(1)
in paragraph (2)(C), by inserting “ title II of the Agriculture Improvement Act of 2018,” after “ under”; and
(2)
by adding at the end the following:

“(3) Waiver.—The Secretary may waive the limitation established by paragraph (1) with respect to a payment pursuant to a covered benefit described in paragraph (2)(C), on a case-by-case basis, if the Secretary determines that environmentally sensitive land of special significance would be protected as a result of such waiver.”

(b)
Conforming Amendment.— Section 1001D(b)(1) of the Food Security Act of 1985 (7 U.S.C. 1308–3a(b)(1)) is amended by inserting “ subject to paragraph (3),” after “ of law,”.
(c)
Transition.— Section 1001D of the Food Security Act of 1985 (7 U.S.C. 1308–3a), as in effect on the day before the date of enactment of this Act, shall apply with respect to the 2018 crop, fiscal, or program year, as appropriate, for each program described in subsection (b)(2) of that section (as so in effect on that day).

SEC. 1705. Farm Service Agency Accountability.

(a)
In General.— Not later than 1 year after the date of enactment of this Act, the Secretary shall establish policies, procedures, and plans to improve program accountability and integrity through targeted and coordinated activities, including utilizing data mining to identify and reduce errors, waste, fraud, and abuse in programs administered by the Farm Service Agency.
(b)
Report.— Not later than 3 years after the date of enactment of this Act, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report describing the progress and results of the activities conducted under subsection (a).

SEC. 1706. Implementation.

(a)
Maintenance of Base Acres and Payment Yields.— Section 1614(a) of the Agricultural Act of 2014 (7 U.S.C. 9097(a)) is amended by inserting “ , and as adjusted pursuant to sections 1112 and 1113” before the period at the end.
(b)
Streamlining.— Section 1614 of the Agricultural Act of 2014 (7 U.S.C. 9097) is amended by striking subsection (b) and inserting the following:

“(b) Streamlining.—In implementing this title and the amendments made by this title, the Secretary shall—

“(1) continue to reduce administrative burdens and costs to producers by streamlining and reducing paperwork, forms, and other administrative requirements, to ensure that—

“(A) a producer (or an agent of a producer) may report information, electronically (including geospatial data) or conventionally, to the Department of Agriculture, subject to the Secretary—

“(i) establishing reasonable levels of tolerance that reflect the differences in accuracy between measures of common land units and geospatial data; and

“(ii) ensuring that discrepancies that occur within the levels of tolerance established under clause (i) shall not be used to penalize a producer (or an agent of a producer) under any program administered by the Department of Agriculture;

“(B) on the request of a producer (or an agent of a producer), the Department of Agriculture electronically shares with the producer (or agent) in real time and without cost to the producer (or agent) the common land unit data, related farm level data, conservation practices, and other information of the producer through a single Department of Agriculture-wide login;

“(C) not later than September 30, 2020, the Administrator of the Risk Management Agency and the Administrator of the Farm Service Agency shall implement a consistent method for determining crop acreage, acreage yields, farm acreage, property descriptions, and other common informational requirements, including measures of common land units;

“(D) except in the case of misrepresentation, fraud, or scheme and device, no crop insurance agent, approved insurance provider, or employee or contractor of a crop insurance agency or approved insurance provider bears responsibility or liability under the Acreage Crop Reporting and Streamlining Initiative (or any successor or similar initiative) for the eligibility of a producer for a program administered by the Department of Agriculture, not including a policy or plan of insurance offered under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.); and

“(E) on request of a crop insurance agent or approved insurance provider required to deliver policies and plans of insurance under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) the crop insurance agent or approved insurance provider receives, in a timely manner, any information held by the Farm Service Agency that is necessary to ensure effective crop insurance coverage for farmer customers;

“(2) continue to improve coordination, information sharing, and administrative work among the Farm Service Agency, Risk Management Agency, Natural Resources Conservation Service, and other agencies, as determined by the Secretary;

“(3) continue to take advantage of new technologies to enhance the efficiency and effectiveness of the delivery of Department of Agriculture programs to producers, including by developing and making publicly available data standards and security procedures to allow third-party providers to develop applications that use or feed data (including geospatial and precision agriculture data) into the datasets and analyses of the Department of Agriculture; and

“(4) reduce administrative burdens on producers participating in price loss coverage or agriculture risk coverage by offering—

“(A) those producers an option to remotely and electronically sign annual contracts for that coverage; and

“(B) to the maximum extent practicable, an option to sign a multiyear contract for that coverage.”

(c)
Implementation.— Section 1614(c) of the Agricultural Act of 2014 (7 U.S.C. 9097(c)) is amended by adding at the end the following:

“(4) Agriculture improvement act of 2018.—The Secretary shall make available to the Farm Service Agency to carry out title I of the Agriculture Improvement Act of 2018 and the amendments made by that title $15,500,000.”

(d)
Loan Implementation.— Section 1614(d)(1) of the Agricultural Act of 2014 (7 U.S.C. 9097(d)(1)) is amended by striking “ under subtitles” and all that follows through “ except” and inserting “ under subtitle B or C, under the amendments made by subtitle B or C, or under the amendments made by subtitle B or C of the Agriculture Improvement Act of 2018, except”.
(e)
Deobligation of Unliquidated Obligations.— Section 1614 of the Agricultural Act of 2014 (7 U.S.C. 9097) is amended by adding at the end the following:

“(e) Deobligation of Unliquidated Obligations.—

“(1) In general.—Subject to paragraph (3), any payment obligated or otherwise made available by the Secretary under this title on or after the date of enactment of the Agriculture Improvement Act of 2018 that is not disbursed to the recipient by the date that is 5 years after the date on which the payment is obligated or otherwise made available shall—

“(A) be deobligated; and

“(B) revert to the Treasury.

“(2) Outstanding payments.—

“(A) In general.—Subject to paragraph (3), any payment obligated or otherwise made available by the Farm Service Agency (or any predecessor agency of the Department of Agriculture) under the laws described in subparagraph (B) before the date of enactment of the Agriculture Improvement Act of 2018, that is not disbursed by the date that is 5 years after the date on which the payment is obligated or otherwise made available shall—

“(i) be deobligated; and

“(ii) revert to the Treasury.

“(B) Laws described.—The laws referred to in subparagraph (A) are any of the following:

“(i) This title.

“(ii) Title I of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8702 et seq.).

“(iii) Title I of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7901 et seq.).

“(iv) The Agricultural Market Transition Act (7 U.S.C. 7201 et seq.).

“(v) Titles I through XI of the Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101–624; 104 Stat. 3374) and the amendments made by those titles.

“(vi) Titles I through X of the Food Security Act of 1985 (Public Law 99–198; 99 Stat. 1362) and the amendments made by those titles.

“(vii) Titles I through XI of the Agriculture and Food Act of 1981 (Public Law 97–98; 95 Stat. 1218) and the amendments made by those titles.

“(viii) Titles I through X of the Food and Agriculture Act of 1977 (Public Law 95–113; 91 Stat. 917) and the amendments made by those titles.

“(3) Waiver.—The Secretary may delay the date of the deobligation and reversion under paragraph (1) or (2) of any payment—

“(A) that is the subject of—

“(i) ongoing administrative review or appeal;

“(ii) litigation; or

“(iii) the settlement of an estate; or

“(B) for which the Secretary otherwise determines that the circumstances are such that the delay is equitable.”

(f)
Report.— Section 1614 of the Agricultural Act of 2014 (7 U.S.C. 9097) (as amended by subsection (e)) is amended by adding at the end the following:

“(f) Report.—Not later than January 1, 2020, and each January 1 thereafter through January 1, 2023, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that describes the tilled native sod acreage that was subject to a reduction in benefits under section 196(a)(4)(B) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333(a)(4)(B) and section 508(o)(2) of the Federal Crop Insurance Act (7 U.S.C. 1508(o)(2))—

“(1) as of the date of submission of the report; and

“(2) by State and county, relative to the total acres of cropland in the State or county.”

SEC. 1707. Exemption from Certain Reporting Requirements for Certain Producers.

(a)
Definition of Exempted Producer.— In this section, the term “exempted producer” means an individual or entity that is eligible to participate in—
(1)
a conservation program under title II or a law amended by title II;
(2)
an indemnity or disease control program under the Animal Health Protection Act (7 U.S.C. 8301 et seq.) or the Plant Protection Act (7 U.S.C. 7701 et seq.); or
(3)
a commodity program under title I of the Agricultural Act of 2014 (7 U.S.C. 9011 et seq.), excluding the assistance provided to users of cotton under sections 1207(c) and 1208 of that Act (7 U.S.C. 9037(c), 9038).
(b)
Exemption.— Notwithstanding the Federal Funding Accountability and Transparency Act of 2006 (Public Law 109–282; 31 U.S.C. 6101 note), the requirements of parts 25 and 170 of title 2, Code of Federal Regulations (or successor regulations), shall not apply with respect to assistance received by an exempted producer from the Secretary, acting through the Chief of the Natural Resources Conservation Service, the Administrator of the Animal and Plant Health Inspection Service, or the Administrator of the Farm Service Agency.