--- kind: "section" citation: "7 U.S.C. § 1359ee" title: "7" title_heading: "Agriculture" number: "1359ee" heading: "Reassignment of deficits" release: "119-102" date: "2026-07-12" url: "https://uscodex.org/usc/7/1359ee" units: - "Chapter 35 — Agricultural Adjustment Act of 1938" - "Subchapter II — Loans, Parity Payments, Consumer Safeguards, Marketing Quotas, and Marketing Certificates" - "Part B — Marketing Quotas" - "Subpart vii — flexible marketing allotments for sugar" --- # §1359ee. Reassignment of deficits - (a) **Estimates of deficits—** At any time allotments are in effect under this subpart, the [Secretary](/usc/7/1301.md?p=a-7), from time to time, shall determine whether (in view of then-current inventories of sugar, the estimated production of sugar and expected [marketings](/usc/7/1301.md?p=b-6-B), and other pertinent factors) any processor of sugarcane will be unable to [market](/usc/7/1359aa.md?p=3-A) the sugar covered by the portion of the [State](/usc/7/1359aa.md?p=5) cane sugar allotment allocated to the processor and whether any processor of sugar beets will be unable to [market](/usc/7/1359aa.md?p=3-A) sugar covered by the portion of the beet sugar allotment allocated to the processor. - (b) **Reassignment of deficits—** - (1) **Cane sugar—** If the [Secretary](/usc/7/1301.md?p=a-7) determines that any sugarcane processor who has been allocated a share of a [State](/usc/7/1359aa.md?p=5) cane sugar allotment will be unable to [market](/usc/7/1359aa.md?p=3-A) the processor’s allocation of the [State](/usc/7/1359aa.md?p=5)’s allotment for the crop year— - (A) the [Secretary](/usc/7/1301.md?p=a-7) first shall reassign the estimated quantity of the deficit to the allocations for other processors within that [State](/usc/7/1359aa.md?p=5), depending on the capacity of each other processor to fill the portion of the deficit to be assigned to it and taking into account the interests of producers served by the processors; - (B) if after the reassignments the deficit cannot be completely eliminated, the [Secretary](/usc/7/1301.md?p=a-7) shall reassign the estimated quantity of the deficit proportionately to the allotments for other cane sugar [States](/usc/7/1359aa.md?p=5), depending on the capacity of each other [State](/usc/7/1359aa.md?p=5) to fill the portion of the deficit to be assigned to it, with the reassigned quantity to each [State](/usc/7/1359aa.md?p=5) to be allocated among processors in that [State](/usc/7/1359aa.md?p=5) in proportion to the allocations of the processors; - (C) if after the reassignments the deficit cannot be completely eliminated, the [Secretary](/usc/7/1301.md?p=a-7) shall reassign the estimated quantity of the deficit to the Commodity Credit Corporation and shall sell such quantity of sugar from inventories of the Corporation unless the [Secretary](/usc/7/1301.md?p=a-7) determines that such sales would have a significant effect on the price of sugar; and - (D) if after the reassignments and sales, the deficit cannot be completely eliminated, the [Secretary](/usc/7/1301.md?p=a-7) shall reassign the remainder to imports of raw cane sugar. - (2) **Beet sugar—** - (A) **In general—** If the [Secretary](/usc/7/1301.md?p=a-7) determines that a sugar beet processor who has been allocated a share of the beet sugar allotment will be unable to [market](/usc/7/1359aa.md?p=3-A) that allocation— - (i) the [Secretary](/usc/7/1301.md?p=a-7) first shall reassign the estimated quantity of the deficit to the allotments for other sugar beet processors, depending on the capacity of each other processor to fill the portion of the deficit to be assigned to it and taking into account the interests of producers served by the processors; - (ii) if after the reassignments the deficit cannot be completely eliminated, the [Secretary](/usc/7/1301.md?p=a-7) shall reassign the estimated quantity of the deficit to the Commodity Credit Corporation and shall sell such quantity of sugar from inventories of the Corporation unless the [Secretary](/usc/7/1301.md?p=a-7) determines that such sales would have a significant effect on the price of sugar; and - (iii) if after the reassignments and sales, the deficit cannot be completely eliminated, the [Secretary](/usc/7/1301.md?p=a-7) shall reassign the remainder to imports of raw cane sugar. - (B) **Timing—** In carrying out [subparagraph (A)](#b-2-A), the [Secretary](/usc/7/1301.md?p=a-7) shall— - (i) make an initial determination based on the World Agricultural Supply and Demand Estimates approved by the World Agricultural Outlook Board for January that shall be applicable to the crop year for which allotments are required; and - (ii) provide for an initial reassignment under [subparagraph (A)(i)](#b-2-A-i) not later than 30 days after the date on which the World Agricultural Supply and Demand Estimates described in [clause (i)](#b-2-B-i) is released. - (3) **Corresponding increase—** The allocation of each processor receiving a reassigned quantity of an allotment under this subsection for a crop year shall be increased to reflect the reassignment. ## Source credit (Feb. 16, 1938, ch. 30, title III, § 359e, as added Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 Stat. 197; amended Pub. L. 110–234, title I, § 1403(e), May 22, 2008, 122 Stat. 986; Pub. L. 110–246, § 4(a), title I, § 1403(e), June 18, 2008, 122 Stat. 1664, 1714; Pub. L. 119–21, title I, § 10312(c)(3), July 4, 2025, 139 Stat. 97.) ## Notes ### Editorial Notes ### Codification Pub. L. 110–234 and Pub. L. 110–246 made identical amendments to this section. The amendments by Pub. L. 110–234 were repealed by section 4(a) of Pub. L. 110–246. ### Prior Provisions A prior section 1359ee, act Feb. 16, 1938, ch. 30, title III, § 359e, as added Pub. L. 101–624, title IX, § 902, Nov. 28, 1990, 104 Stat. 3484; amended Pub. L. 102–237, title I, § 111(g), Dec. 13, 1991, 105 Stat. 1833, related to reassignment of sugar deficits, prior to the general amendment of this subpart by Pub. L. 107–171. ### Amendments 2025—Subsec. (b)(2). Pub. L. 119–21 designated existing provisions as subpar. (A) and inserted heading, redesignated former subpars. (A) to (C) as cls. (i) to (iii), respectively, of subpar. (A) and realigned margins, and added subpar. (B). 2008—Subsec. (b)(1)(D), (2)(C). Pub. L. 110–246, § 1403(e), inserted “of raw cane sugar” after “imports”. ### Statutory Notes and Related Subsidiaries ### Effective Date of 2008 Amendment Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title.