Collapse to view only § 1431f. Assistance to foreign countries to mitigate effects of HIV and AIDS

§ 1421. Price support
(a) Source
(b) Authority of Secretary; factors considered
(c) Compliance by producer; program for diverted acres
(d) Time of determining levels
(e) Processors’ assurances; payment if assurances inadequate
(1) Whenever any price support or surplus removal operation for any agricultural commodity is carried out through purchases from or loans or payments to processors, the Secretary shall, to the extent practicable, obtain from the processors such assurances as he deems adequate that the producers of the agricultural commodity involved have received or will receive maximum benefits from the price support or surplus removal operation.
(2)
(A) If the assurances under paragraph (1) are not adequate to cause the producers of sugar beets and sugarcane, because of the bankruptcy or other insolvency of the processor, to receive maximum benefits from the price support program within 30 days after the final settlement date provided for in the contract between such producers and processor, the Secretary, on demand made by such producers and on such assurances as to nonpayment as the Secretary shall require, shall pay such producers such maximum benefits less benefits previously received by such producers.
(B) On such payment, the Secretary shall—
(i) be subrogated to all claims of such producers against the processor and other persons responsible for nonpayment; and
(ii) have authority to pursue such claims as necessary to recover the benefits not paid to the producers.
(C) The Secretary shall carry out this paragraph through the Commodity Credit Corporation.
(Oct. 31, 1949, ch. 792, title IV, § 401, 63 Stat. 1054; Aug. 28, 1954, ch. 1041, title II, §§ 206, 207, 68 Stat. 901; Pub. L. 88–297, title I, § 103(c), Apr. 11, 1964, 78 Stat. 175; Pub. L. 99–198, title IX, § 903(a), Dec. 23, 1985, 99 Stat. 1444; Pub. L. 100–707, title I, 109(a)(1), Nov. 23, 1988, 102 Stat. 4708.)
§ 1421a. Financial impact study
(a) Study
(b) Report
(c) Informational purposes
(Pub. L. 101–624, title XI, § 1147, Nov. 28, 1990, 104 Stat. 3516.)
§ 1421b. Costs of production
Congress finds that, to improve the accuracy of commodity program benefit forecasts, the Secretary of Agriculture should designate a single organization to manage its commodity program forecasting and establish a quality control program to—
(1) systematically identify the source of forecasting errors;
(2) maintain records of data used for supply and demand forecasts;
(3) document its forecasting methods; and
(4) correct weaknesses in its various forecasting components.
(Pub. L. 101–624, title XXV, § 2512, Nov. 28, 1990, 104 Stat. 4073; Pub. L. 104–66, title I, § 1011(b), Dec. 21, 1995, 109 Stat. 709.)
§ 1421c. Repealed. Pub. L. 104–66, title I, § 1011(c), Dec. 21, 1995, 109 Stat. 709
§ 1421d. Commodity reports
(a) Crop reports
(b) Special reports
(1) In general
In addition to the reports compiled pursuant to subsection (a), the Secretary shall annually survey producers for information for reports regarding supply, acreage, production, disposition, and prices for the following commodities as determined by the Secretary:
(A) 25 fresh market vegetables;
(B) 3 processing vegetables;
(C) 6 fruits and nuts;
(D) 17 forage and turf seeds;
(E) 50 vegetable seeds; and
(F) maple syrup.
(2) Administrative
(c) Tree inventories
(d) Omitted
(e) Authorization
(Pub. L. 101–624, title XXV, § 2514, Nov. 28, 1990, 104 Stat. 4074.)
§ 1422. Increase of price support levels
(a) Notwithstanding any other provision of this Act, price support at a level in excess of the maximum level of price support otherwise prescribed in this Act may be made available for any agricultural commodity if the Secretary determines, after a public hearing of which reasonable notice has been given, that price support at such increased level is necessary in order to prevent or alleviate a shortage in the supply of any agricultural commodity essential to the national welfare or in order to increase or maintain the production of any agricultural commodity in the interest of national security. The Secretary’s determination and the record of the hearing shall be available to the public.
(b) Effective only for the 1991 through 1995 crops of wheat, feed grains, cotton, and rice, the Secretary of Agriculture may provide for annual adjustments in the established prices for such program crops to reflect any change during the last calendar year ending before the beginning of each such crop year in the index of prices paid by farmers for production items, interest, taxes, and wage rates in such calendar year.
(Oct. 31, 1949, ch. 792, title IV, § 402, 63 Stat. 1054; Pub. L. 101–624, title XI, § 1127, Nov. 28, 1990, 104 Stat. 3508.)
§ 1423. Adjustments of support prices
(a) In general
(b) Adjustment in support prices for cotton
(c) Limitation on adjustments for wheat and feed grains
(Oct. 31, 1949, ch. 792, title IV, § 403, 63 Stat. 1054; Pub. L. 85–835, title I, §§ 108, 111, Aug. 28, 1958, 72 Stat. 993; Pub. L. 89–321, title VIII, § 802, Nov. 3, 1965, 79 Stat. 1213; Pub. L. 97–98, title V, § 507, Dec. 22, 1981, 95 Stat. 1241; Pub. L. 100–203, title I, § 1105, Dec. 22, 1987, 101 Stat. 1330–5; Pub. L. 101–624, title XI, § 1128, title XX, § 2011, Nov. 28, 1990, 104 Stat. 3508, 3932.)
§ 1424. Utilization of services and facilities of Commodity Credit Corporation

The Secretary, in carrying out programs under section 612c of this title and section 1755 of title 42, may utilize the services and facilities of the Commodity Credit Corporation (including but not limited to procurement by contract), and make advance payments to it.

(Oct. 31, 1949, ch. 792, title IV, § 404, 63 Stat. 1054; Pub. L. 106–78, title VII, § 752(b)(2), Oct. 22, 1999, 113 Stat. 1169.)
§ 1425. Producer rights and liabilities
(a) Liability for deficiencies
(b) Sugarcane and sugar beets
(Oct. 31, 1949, ch. 792, title IV, § 405, 63 Stat. 1054; Pub. L. 85–835, title V, § 502, Aug. 28, 1958, 72 Stat. 996; Pub. L. 99–198, title X, § 1004, Dec. 23, 1985, 99 Stat. 1447; Pub. L. 100–460, title VI, § 634(a), Oct. 1, 1988, 102 Stat. 2263; Pub. L. 102–237, title I, § 111(b), Dec. 13, 1991, 105 Stat. 1830.)
§ 1425a. Producers of honey; loan obligations and liabilities
(a) Loan forfeiture limitation
(b) Liability for nonforfeitable part of obligation
(c) Extent of personal liability
(d) Promulgation of regulations
(Oct. 31, 1949, ch. 792, title IV, § 405A, as added Pub. L. 100–460, title VI, § 634(b), Oct. 1, 1988, 102 Stat. 2263; amended Pub. L. 101–624, title X, § 1002, title XI, § 1161(d), Nov. 28, 1990, 104 Stat. 3490, 3521.)
§ 1426. Repealed. Pub. L. 104–127, title I, § 171(b)(2)(I), Apr. 4, 1996, 110 Stat. 938
§ 1427. Commodity Credit Corporation sales price restrictions
(a) In general
(b) Inventories
(c) Sales price restrictions
(1) In generalExcept as otherwise provided in this section, the Corporation shall not sell any basic agricultural commodity or storable nonbasic commodity at less than 115 percent of the lower of—
(A) the current national average price support loan rate for the commodity adjusted for the current market differentials reflecting grade, quality, location, reasonable carrying charges, and other factors determined appropriate by the Corporation; or
(B) the loan repayment level.
(2) Extra long staple cotton
(3) OilseedsThe Corporation shall not sell oilseeds at less than the lower of—
(A) 105 percent of the current national average price support loan rate for the oilseed, adjusted for the current market differentials reflecting grade, quality, location, reasonable carrying charges, and other factors determined appropriate by the Corporation; or
(B) 115 percent of the loan repayment level.
(4) Wheat and feed grains
(5) Upland cotton
(d) Nonapplication of sales price restrictionsThe foregoing restrictions of this section shall not apply to—
(1) sales for new or byproduct uses;
(2) sales of peanuts and oilseeds for the extraction of oil;
(3) sales for seed or feed if the sales will not substantially impair any price support program;
(4) sales of commodities that have substantially deteriorated in quality or as to which there is a danger of loss or waste through deterioration or spoilage;
(5) sales for the purpose of establishing claims arising out of contract or against persons who have committed fraud, misrepresentation, or other wrongful acts with respect to the commodity;
(6) sales for export (excluding sales of upland cotton for export);
(7) sales of wool; and
(8) sales for other than primary uses.
(e) Distress, disaster, and livestock emergency areas
(1) In generalNotwithstanding the foregoing provisions of this section, the Corporation, on such terms and conditions as the Secretary may consider in the public interest, may—
(A) make available any farm commodity or product thereof owned or controlled by the Corporation for use in relieving distress—
(i) in any area in the United States (including the Virgin Islands) declared by the President to be an acute distress area because of unemployment or other economic cause, if the President finds that the use will not displace or interfere with normal marketing of agricultural commodities; and
(ii) in connection with any major disaster determined by the President to warrant assistance by the Federal Government under the Disaster Relief and Emergency Assistance Act (
(B) donate or sell commodities in accordance with subchapter V.
(2) CostsExcept on a reimbursable basis, the Corporation shall not bear any costs in connection with making the commodity available under this subsection beyond the cost of the commodities to the Corporation in—
(A) the storage of the commodity; and
(B) the handling and transportation costs in making delivery of the commodity to designated agencies at one or more central locations in each State or other area.
(f) Efficient operations
(1) In general
(2) Offsets
(3) Competitive bid basis
(g) Sales for exportFor the purposes of this section, sales for export shall include—
(1) sales made on condition that the identical commodities sold be exported; and
(2) sales made on condition that commodities of the same kind and of comparable value or quantity be exported, either in raw or processed form.
(Oct. 31, 1949, ch. 792, title IV, § 407, 63 Stat. 1055; July 10, 1954, ch. 469, title III, § 308, formerly § 301, 68 Stat. 458, renumbered § 308, Pub. L. 95–88, title II, § 211(a)(1), Aug. 3, 1977, 91 Stat. 548; amended July 29, 1954, ch. 643, 68 Stat. 583; Jan. 28, 1956, ch. 14, 70 Stat. 6; Pub. L. 85–835, title I, § 109, Aug. 28, 1958, 72 Stat. 993; Pub. L. 87–127, Aug. 7, 1961, 75 Stat. 293; Pub. L. 87–703, title III, § 325(2), title IV, § 404, Sept. 27, 1962, 76 Stat. 631, 632; Pub. L. 88–297, title I, § 104, title II, § 204, Apr. 11, 1964, 78 Stat. 175, 183; Pub. L. 88–585, § 1, Sept. 11, 1964, 78 Stat. 927; Pub. L. 89–321, title IV, § 404, Nov. 3, 1965, 79 Stat. 1197; Pub. L. 89–808, § 3(e), Nov. 11, 1966, 80 Stat. 1538; Pub. L. 90–475, § 7, Aug. 11, 1968, 82 Stat. 703; Pub. L. 90–559, § 1(5), Oct. 11, 1968, 82 Stat. 996; Pub. L. 91–524, title IV, § 409, title VI, § 603, Nov. 30, 1970, 84 Stat. 1367, 1377; Pub. L. 95–113, title IV, § 408, title VI, § 603, Sept. 29, 1977, 91 Stat. 927, 939; Pub. L. 97–98, title V, § 503, title XI, §§ 1103, 1111(a), Dec. 22, 1981, 95 Stat. 1240, 1264, 1267; Pub. L. 98–88, § 5, Aug. 26, 1983, 97 Stat. 499; Pub. L. 99–198, title V, § 503, title X, § 1007, title XVII, § 1763(b), Dec. 23, 1985, 99 Stat. 1418, 1451, 1651; Pub. L. 100–387, title I, § 101(b)(2), Aug. 11, 1988, 102 Stat. 931; Pub. L. 100–707, title I, § 109(a)(2), Nov. 23, 1988, 102 Stat. 4708; Pub. L. 101–624, title XI, § 1130, Nov. 28, 1990, 104 Stat. 3509.)
§ 1427–1. Quality requirements for Commodity Credit Corporation owned grain
(a) Establishment of minimum standards
(b) Inspection of grain acquisitions
(Oct. 31, 1949, ch. 792, title IV, § 407A, as added Pub. L. 101–624, title XX, § 2012, Nov. 28, 1990, 104 Stat. 3933.)
§ 1427a. Reserve inventories for alleviation of distress of natural disaster
(a) Establishment, maintenance and disposal by Secretary; amount and nature of reserve
(b) Acquisition of commodities through price support program
(c) Prerequisites for sale or disposition of commodities in reserve
(d) Additional authorization for disposition of commodities to relieve distress or for civil defense emergencies
(e) Sale at equivalent prices for maintenance of reserve
(f) Utilization of Commodity Credit Corporation and usual and customary channels, etc., of trade and commerce
(g) Rules and regulations
(h) Authorization of appropriations
(Pub. L. 91–524, title VIII, § 813, as added Pub. L. 93–86, § 1(27)(B), Aug. 10, 1973, 87 Stat. 239; amended Pub. L. 95–113, title XI, § 1103, Sept. 29, 1977, 91 Stat. 953; Pub. L. 97–98, title X, § 1003, Dec. 22, 1981, 95 Stat. 1260; Pub. L. 100–707, title I, § 109(b), Nov. 23, 1988, 102 Stat. 4708; Pub. L. 103–337, div. C, title XXXIV, § 3412(b)(3), Oct. 5, 1994, 108 Stat. 3111.)
§ 1428. Definitions
For the purposes of this Act—
(a) A commodity shall be considered storable upon determination by the Secretary that, in normal trade practice, it is stored for substantial periods of time and that it can be stored under the price-support program without excessive loss through deterioration or spoilage or without excessive cost for storage for such periods as will permit its disposition without substantial impairment of the effectiveness of the price-support program.
(b) A “cooperator” with respect to any basic agricultural commodity shall be a producer on whose farm the acreage planted to the commodity does not exceed the farm acreage allotment for the commodity under subchapter II of chapter 35 of this title, or in the case of price support for corn or wheat to a producer outside the commercial corn-producing or wheat-producing area, a producer who complies with conditions of eligibility prescribed by the Secretary: Provided, That for upland cotton a cooperator shall be a producer on whose farm the acreage planted to such cotton does not exceed the cooperator percentage, which shall be in the case of the 1966 crop, 87.5 per centum of such farm acreage allotment and, in the case of each of the 1967 through 1970 crops, such percentage, not less than 87.5 or more than 100 per centum, of such farm acreage allotment as the Secretary may specify for such crop, except that in the case of small farms (i.e. farms on which the acreage allotment is 10 acres or less, or on which the projected farm yield times the acreage allotment is 3,600 pounds or less, and the acreage allotment has not been reduced under section 1344(m) of this title) the acreage of cotton on the farm shall not be required to be reduced below the farm acreage allotment: And provided, That for the 1971 through 1977 crops of upland cotton a cooperator shall be a producer on a farm on which a farm base acreage allotment has been established who has set aside the acreage required under section 1444(e) of this title: Provided further, That for the 1976 through 1981 crops of rice, a cooperator shall be a person who produces rice on a farm for which a farm acreage allotment has been established or to which a producer acreage allotment has been allocated and, if a set-aside is in effect, who has set aside any acreage required under section 1441(g) of this title: Provided further, That for the 1978 through 1981 crops of upland cotton, a cooperator shall be a producer on a farm who has set aside the acreage required under section 1444(f) of this title. For the purpose of this subsection, a producer shall not be deemed to have exceeded his farm acreage allotment unless such producer knowingly exceeded such allotment.
(c) A “basic agricultural commodity” shall mean corn, cotton, rice, and wheat, respectively.
(d) A “nonbasic agricultural commodity” shall mean any agricultural commodity other than a basic agricultural commodity.
(e) The “supply percentage” as to any commodity shall be the percentage which the estimated total supply is of the normal supply as determined by the Secretary from the latest available statistics of the Department of Agriculture as of the beginning of the marketing year for the commodity.
(f) “Total supply” of any nonbasic agricultural commodity for any marketing year shall be the carry-over at the beginning of such marketing year, plus the estimated production of the commodity in the United States during the calendar year in which such marketing year begins and the estimated imports of the commodity into the United States during such marketing year.
(g) “Carry-over” of any nonbasic agricultural commodity for any marketing year shall be the quantity of the commodity on hand in the United States at the beginning of such marketing year, not including any part of the crop or production of such commodity which was produced in the United States during the calendar year then current. The carryover of any such commodity may also include the quantity of such commodity in processed form on hand in the United States at the beginning of such marketing year, if the Secretary determines that the inclusion of such processed quantity of the commodity is necessary to effectuate the purposes of this Act.
(h) “Normal supply” of any nonbasic agricultural commodity for any marketing year shall be (1) the estimated domestic consumption of the commodity for the marketing year for which such normal supply is being determined, plus (2) the estimated exports of the commodity for such marketing year, plus (3) an allowance for carry-over. The allowance for carry-over shall be the average carry-over of the commodity for the five marketing years immediately preceding the marketing year in which such normal supply is determined, adjusted for surpluses or deficiencies caused by abnormal conditions, changes in marketing conditions, or the operation of any agricultural program. In determining normal supply, the Secretary shall make such adjustments for current trends in consumption and for unusual conditions as he may deem necessary.
(i) “Marketing year” for any nonbasic agricultural commodity means any period determined by the Secretary during which substantially all of a crop or production of such commodity is normally marketed by the producers thereof.
(j) Any term defined in the Agricultural Adjustment Act of 1938 [7 U.S.C. 1281 et seq.], shall have the same meaning when used in this Act.
(k)
(1) Reference made in sections 1422, 1423, 1426, 1427, and 1431 of this title to the terms “support price”, “level of support”, and “level of price support” shall be considered to apply as well to the loan and purchase level for wheat, feed grains, upland cotton, extra long staple cotton, honey, oilseeds and rice under this Act.
(2) References made to the terms “price support”, “price support operations”, and “price support program” in such sections and in section 1421(a) of this title shall be considered as applying as well to loan and purchase operations for wheat, feed grains, upland cotton, extra long staple cotton, honey, oilseeds and rice under this Act.
(3) Notwithstanding any other provision of law, this subsection shall be effective only for the 1991 through 1995 crops of wheat, feed grains, upland cotton, extra long staple cotton, honey, oilseeds and rice.
(l) “Producer” shall include a person growing hybrid seed under contract. In determining the interest of a grower of hybrid seed in a crop, the Secretary shall not take into consideration the existence of a hybrid seed contract.
(Oct. 31, 1949, ch. 792, title IV, § 408, 63 Stat. 1055; Aug. 28, 1954, ch. 1041, title II, § 209, 68 Stat. 901; Pub. L. 89–321, title IV, § 402(b), Nov. 3, 1965, 79 Stat. 1197; Pub. L. 90–559, § 1(4), Oct. 11, 1968, 82 Stat. 996; Pub. L. 91–524, title IV, § 408, title VI, §§ 604, 607, Nov. 30, 1970, 84 Stat. 1367, 1378; Pub. L. 93–86, § 1(22), Aug. 10, 1973, 87 Stat. 235; Pub. L. 94–214, title III, §§ 303, 304, Feb. 16, 1976, 90 Stat. 187, 188; Pub. L. 95–113, title IV, § 407, title VI, § 604(a), (b), title VII, §§ 704, 705, Sept. 29, 1977, 91 Stat. 927, 939, 944; Pub. L. 97–98, title XI, § 1104, Dec. 22, 1981, 95 Stat. 1264; Pub. L. 99–198, title X, § 1018, Dec. 23, 1985, 99 Stat. 1459; Pub. L. 101–624, title XI, § 1131, Nov. 28, 1990, 104 Stat. 3511; Pub. L. 107–171, title I, § 1310(a)(2)(B), May 13, 2002, 116 Stat. 182; Pub. L. 108–357, title VI, § 612(c), Oct. 22, 2004, 118 Stat. 1524.)
§ 1429. Determinations of Secretary as final and conclusive

Determinations made by the Secretary under this Act shall be final and conclusive: Provided, That the scope and nature of such determinations shall not be inconsistent with the provisions of the Commodity Credit Corporation Charter Act [15 U.S.C. 714 et seq.].

(Oct. 31, 1949, ch. 792, title IV, § 412, 63 Stat. 1057.)
§ 1430. Retroactive effect

This Act shall not be effective with respect to price support operations for any agricultural commodity for any marketing year or season commencing prior to January 1, 1950, except to the extent that the Secretary of Agriculture shall, without reducing price support theretofore undertaken or announced, elect to apply the provisions of this Act.

(Oct. 31, 1949, ch. 792, title IV, § 413, 63 Stat. 1057.)
§ 1431. Disposition of commodities to prevent waste
(a) Eligible recipients; barter; estimates; reprocessing and other charges
(b) Furnishing of eligible commodities for carrying out programs of assistance in developing and friendly countries; availability of eligible commodities for nonprofit and voluntary agencies and cooperatives
(1) The Secretary, subject to the requirements of paragraph (10), may furnish eligible commodities for carrying out programs of assistance in developing countries and friendly countries under titles II and III of the Food for Peace Act [7 U.S.C. 1721 et seq., 1727 et seq.] and under the Food for Progress Act of 1985 [7 U.S.C. 1736o], as approved by the Secretary, and for such purposes as are approved by the Secretary. To ensure that the furnishing of commodities under this subsection is coordinated with and complements other United States foreign assistance, assistance under this subsection shall be coordinated through the mechanism designated by the President to coordinate assistance under the Food for Peace Act [7 U.S.C. 1691 et seq.].
(2) As used in this subsection, the term “eligible commodities” means—
(A) dairy products, wheat, rice, feed grains, and oilseeds acquired by the Commodity Credit Corporation through price support operations, and the products thereof, that the Secretary determines meet the criteria specified in subsection (a); and
(B) such other edible agricultural commodities as may be acquired by the Secretary or the Commodity Credit Corporation in the normal course of operations and that are available for disposition under this subsection, except that no such commodities may be acquired for the purpose of their use under this subsection.
(3)
(A) Commodities may not be made available for disposition under this subsection in amounts that (i) will, in any way, reduce the amounts of commodities that traditionally are made available through donations to domestic feeding programs or agencies, or (ii) will prevent the Secretary from fulfilling any agreement entered into by the Secretary under a payment-in-kind program under this Act or other Acts administered by the Secretary.
(B)
(i) The requirements of section 403(a) of the Food for Peace Act [7 U.S.C. 1733(a)] shall apply with respect to commodities furnished under this subsection. Commodities may not be furnished for disposition to any country under this subsection except on determinations by the Secretary that—(I) the receiving country has the absorptive capacity to use the commodities efficiently and effectively; and(II) such disposition of the commodities will not interfere with usual marketings of the United States, nor disrupt world prices of agricultural commodities and normal patterns of commercial trade with developing countries.
(ii) The requirement for safeguarding usual marketings of the United States shall not be used to prevent the furnishing under this subsection of any eligible commodity for use in countries that—(I) have not traditionally purchased the commodity from the United States; or(II) do not have adequate financial resources to acquire the commodity from the United States through commercial sources or through concessional sales arrangements.
(C) The Secretary shall take reasonable precautions to ensure that—
(i) commodities furnished under this subsection will not displace or interfere with sales that otherwise might be made; and
(ii) sales or barter under paragraph (7) will not unduly disrupt world prices of agricultural commodities nor normal patterns of commercial trade with friendly countries.
(D) If eligible commodities are made available under this subsection to a friendly country, nonprofit and voluntary agencies and cooperatives shall also be eligible to receive commodities for food aid programs in the country.
(4) Agreements may be entered into under this subsection to provide eligible commodities in installments over an extended period of time. In agreements with recipients of eligible commodities under this subsection (including nonprofit and voluntary agencies or cooperatives), subject to the availability of commodities each fiscal year, the Secretary, on request, shall approve multiyear agreements to make agricultural commodities available for distribution or sale by the recipients if the agreements otherwise meet the requirements of this subsection.
(5)
(A) Section 406 of the Food for Peace Act [7 U.S.C. 1736] shall apply to the commodities furnished under this subsection.
(B) The Commodity Credit Corporation may pay the processing and domestic handling costs incurred, as authorized under this subsection, in the form of eligible commodities, as defined in paragraph (2)(A), if the Secretary determines that such in-kind payment will not disrupt domestic markets.
(6) The cost of commodities furnished under this subsection, and expenses incurred under section 406 of the Food for Peace Act [7 U.S.C. 1736] in connection with those commodities, shall be in addition to the level of assistance programmed under that Act [7 U.S.C. 1691 et seq.] and shall not be considered expenditures for international affairs and finance.
(7) Eligible commodities furnished under this subsection may be sold or bartered only with the approval of the Secretary and solely as follows:
(A) Sales and barter that are incidental to the donation of the commodities or products.
(B) Sales and barter to finance the distribution, handling, and processing costs of the donated commodities or products in the importing country or in a country through which such commodities or products must be transshipped, or other activities in the importing country that are consistent with providing food assistance to needy people.
(C) Sales and barter of commodities and products furnished to intergovernmental agencies or organizations, insofar as they are consistent with normal programming procedures in the distribution of commodities by those agencies or organizations.
(D)
(i) Sales of commodities and products furnished to nonprofit and voluntary agencies, or cooperatives, for food assistance under agreements that provide for the use, by the agency or cooperative, of proceeds generated from such sale of commodities or products for the purposes established in clause (ii) of this subparagraph.
(ii) Proceeds generated from partial or full sales or barter of commodities by a nonprofit and voluntary agency or cooperative shall be used—(I) to transport, store, distribute, and otherwise enhance the effectiveness of the use of commodities and the products thereof donated under this section; and(II) to implement income generating, community development, health, nutrition, cooperative development, agricultural programs, and other developmental activities.(I) any project undertaken in Poland under the auspices of the Charitable Commission of the Polish Catholic Episcopate for the benefit of handicapped or orphaned children;(II) any project for the reconstruction, renovation, or maintenance of the Research Center on Jewish History and Culture of the Jagiellonian University of Krakow, Poland, established for the study of events related to the Holocaust in Poland;(III) any other project or activity which strengthens and supports private and independent sectors of the Polish economy, especially independent farming and agriculture; and(IV) the Polish Catholic Episcopate’s Rural Water Supply Foundation.
In addition, proceeds generated in Poland may also be used by governmental and nongovernmental agencies or cooperatives for eligible activities approved by the joint commission established pursuant to section 2226 of the American Aid to Poland Act of 1988 and by the United States chief of diplomatic mission in Poland that would improve the quality of life of the Polish people and would strengthen and support the activities of governmental or private, nongovernmental independent institutions in Poland. Activities eligible under the preceding sentence include—
(iii) Except as otherwise provided in clause (v), such agreements, taken together for each fiscal year, shall provide for sales of commodities and products for proceeds in amounts that are, in the aggregate, not less than 10 percent of the aggregate value of all commodities and products furnished, or the minimum tonnage required, whichever is greater, for carrying out programs of assistance under this subsection in such fiscal year. The minimum allocation requirements of this clause apply with respect to commodities and products made available under this subsection for carrying out programs of assistance under titles II and III of the Food for Peace Act [7 U.S.C. 1721 et seq., 1727 et seq.], and not with respect to commodities and products made available to carry out the Food for Progress Act of 1985 [7 U.S.C. 1736o].
(iv) Proceeds generated from the sale of commodities or products under this subparagraph shall be expended within the country of origin within a reasonable length of time, as determined by the Secretary, except that the Secretary may permit the use of proceeds in a country other than the country of origin as necessary to expedite the transportation of commodities and products furnished under this subsection, or to otherwise carry out the purposes of this subsection.
(v) The provisions of clause (iii) of this subparagraph establishing minimum annual allocations for sales and use of proceeds shall not apply to the extent that there have not been sufficient requests for such sales and use of proceeds nor to the extent required under paragraph (3).
(E) Sales and barter to cover expenses incurred under paragraph (5)(a).
(F) The provisions of sections 403(i) and 407(c) 1
1 See References in Text note below.
of the Food for Peace Act [7 U.S.C. 1733(i), 1736a(c)] shall apply to donations, sales and barters of eligible commodities under this subsection.
The Secretary may approve the use of proceeds or services realized from the sale or barter of a commodity furnished under this subsection by a nonprofit voluntary agency, cooperative, or intergovernmental agency or organization to meet administrative expenses incurred in connection with activities undertaken under this subsection.
(8)Administrative provisions.—
(A)Expedited procedures.—To the maximum extent practicable, expedited procedures shall be used in the implementation of this subsection.
(B)Estimate of commodities.—The Secretary shall publish in the Federal Register, not later than October 31 of each fiscal year, an estimate of the types and quantities of commodities and products that will be available under this section for the fiscal year.
(C)Finalization of agreements.—The Secretary is encouraged to finalize program agreements under this section not later than December 31 of each fiscal year.
(D)Regulations.—The Secretary shall be responsible for regulations governing sales and barter, and the use of foreign currency proceeds, under paragraph (7) of this subsection that will provide reasonable safeguards to prevent the occurrence of abuses in the conduct of activities provided for in paragraph (7).
(9)
(A) Each recipient of commodities and products approved for sale or barter under paragraph (7) shall report to the Secretary information with respect to the items required to be included in the Secretary’s report pursuant to clauses (i) through (iv) of subparagraph (B). Reports pursuant to this subparagraph shall be submitted in accordance with regulations of the Secretary. Such regulations shall require at least one report annually, to be submitted not later than December 31 following the end of the fiscal year in which the commodities and products are received; except that a report shall not be required with respect to fiscal year 1985.
(B) Omitted.
(10)Sale procedure.—In approving sales of commodities under this subsection, the Secretary shall follow the sale procedure described in section 403(l) of the Food for Peace Act [7 U.S.C. 1733(l)].
(11)Requirements.—
(A)In general.—Not later than 270 days after May 13, 2002, the Secretary shall review and, as necessary, make changes in regulations and internal procedures designed to streamline, improve, and clarify the application, approval, and implementation processes pertaining to agreements under this section.
(B)Considerations.—In conducting the review, the Secretary shall consider—
(i) revising procedures for submitting proposals;
(ii) developing criteria for program approval that separately address the objectives of the program;
(iii) pre-screening organizations and proposals to ensure that the minimum qualifications are met;
(iv) implementing e-government initiatives and otherwise improving the efficiency of the proposal submission and approval processes;
(v) upgrading information management systems;
(vi) improving commodity and transportation procurement processes; and
(vii) ensuring that evaluation and monitoring methods are sufficient.
(C)Consultations.—Not later than 1 year after May 13, 2002, the Secretary shall consult with the Committee on Agriculture, and the Committee on International Relations, of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate on changes made in regulations and procedures under this paragraph.
(Oct. 31, 1949, ch. 792, title IV, § 416, 63 Stat. 1058; July 10, 1954, ch. 469, title III, § 309, formerly § 302, 68 Stat. 458, renumbered § 309, Pub. L. 95–88, title II, § 211(a)(1), Aug. 3, 1977, 91 Stat. 548; amended May 28, 1956, ch. 327, title II, § 212, 70 Stat. 203; Pub. L. 85–483, § 1, July 2, 1958, 72 Stat. 286; Aug. 26, 1954, ch. 937, title IV, § 402, 68 Stat. 843, as amended Pub. L. 86–108, ch. II, § 205(c), July 24, 1959, 73 Stat. 250; Pub. L. 87–703, title II, § 202, Sept. 27, 1962, 76 Stat. 611; Pub. L. 88–638, § 4, Oct. 8, 1964, 78 Stat. 1038; Pub. L. 89–808, § 3(c), Nov. 11, 1966, 80 Stat. 1538; Pub. L. 91–233, Apr. 17, 1970, 84 Stat. 199; Pub. L. 92–603, title IV, § 411(g), Oct. 30, 1972, 86 Stat. 1492; Pub. L. 95–113, title XIII, § 1302(a)(2), Sept. 29, 1977, 91 Stat. 979; Pub. L. 97–253, title I, § 110, Sept. 8, 1982, 96 Stat. 766; Pub. L. 98–258, title V, § 502, Apr. 10, 1984, 98 Stat. 137; Pub. L. 99–83, title X, § 1007, Aug. 8, 1985, 99 Stat. 271; Pub. L. 99–198, title XI, §§ 1109, 1129, Dec. 23, 1985, 99 Stat. 1467, 1486; Pub. L. 99–260, § 16, Mar. 20, 1986, 100 Stat. 55; Pub. L. 100–203, title I, § 1503, Dec. 22, 1987, 101 Stat. 1330–28; Pub. L. 100–277, §§ 1–5, Apr. 4, 1988, 102 Stat. 67, 68; Pub. L. 100–418, title II, § 2225, Aug. 23, 1988, 102 Stat. 1337; Pub. L. 101–513, title V, § 562 (part), Nov. 5, 1990, 104 Stat. 2032; Pub. L. 101–624, title XV, §§ 1514, 1575, title XVII, § 1771(b)(2), Nov. 28, 1990, 104 Stat. 3662, 3702, 3807; Pub. L. 102–237, title III, § 333, Dec. 13, 1991, 105 Stat. 1859; Pub. L. 102–289, § 1, May 20, 1992, 106 Stat. 176; Pub. L. 103–306, title V, § 576(c), Aug. 23, 1994, 108 Stat. 1654; Pub. L. 104–127, title II, § 264, Apr. 4, 1996, 110 Stat. 974; Pub. L. 107–171, title III, §§ 3009(b)(1), 3201, May 13, 2002, 116 Stat. 283, 299; Pub. L. 107–206, title I, § 105, Aug. 2, 2002, 116 Stat. 824; Pub. L. 110–246, title III, § 3001(b)(1)(A), (2)(B), June 18, 2008, 122 Stat. 1820.)
§ 1431a. Cotton donations to educational institutions

Commodity Credit Corporation is authorized, on such terms as the Secretary of Agriculture may approve, to donate cotton acquired through its price support operations to educational institutions for use in the training of students in the processing and manufacture of cotton into textiles.

(Pub. L. 85–835, title V, § 505, Aug. 28, 1958, 72 Stat. 996.)
§ 1431b. Distribution of surplus commodities to other United States areas

Notwithstanding any other provision of law those areas under the jurisdiction or administration of the United States are authorized to receive from the Department of Agriculture for distribution on the same basis as domestic distribution in any State, Territory, or possession of the United States, without exchange of funds, such surplus commodities as may be available pursuant to clause (2) of section 612c of this title and section 1431 of this title.

(Pub. L. 85–931, § 9, Sept. 6, 1958, 72 Stat. 1792; Pub. L. 87–703, title II, § 204, Sept. 27, 1962, 76 Stat. 611; Pub. L. 89–808, § 3(a), Nov. 11, 1966, 80 Stat. 1538.)
§ 1431c. Enrichment and packaging of cornmeal, grits, rice, and white flour available for distribution
(a) In order to insure the nutritional value of cornmeal, grits, rice, and white flour when such foods are made available for distribution under section 1431(3) 1
1 See References in Text note below.
of this title or for distribution to schools under the Richard B. Russell National School Lunch Act [42 U.S.C. 1751 et seq.] or any other Act, such foods shall be enriched so as to meet the standards for enriched cornmeal, enriched corn grits, enriched rice, or enriched flour, as the case may be, prescribed in regulations promulgated under the Federal Food, Drug, and Cosmetic Act [21 U.S.C. 301 et seq.]; and in order to protect the nutritional value and sanitary quality of such enriched foods during transportation and storage such foods shall be packaged in sanitary containers. For convenience and ease in handling, the weight of any sanitary container when filled shall not exceed fifty pounds unless a larger container is requested by the recipient agency. Nothing in this section shall prohibit the distribution of fortified parboiled rice which is substantially equal in nutritional value to that of enriched rice.
(b) The term “sanitary container” means any container of such material and construction as (1) will not permit the infiltration of foreign matter into the contents of such container under ordinary conditions of shipping and handling, and (2) will not, for a period of at least one year, disintegrate so as to contaminate the contents of the container, necessitating the washing of the contents prior to use.
(Pub. L. 86–341, title II, § 201, Sept. 21, 1959, 73 Stat. 610; Pub. L. 87–803, Oct. 11, 1962, 76 Stat. 910; Pub. L. 106–78, title VII, § 752(b)(3), Oct. 22, 1999, 113 Stat. 1169.)
§ 1431d. Donations for school feeding programs abroad; student financing; priorities

In any school feeding programs undertaken on and after September 27, 1962 outside the United States pursuant to section 1431 of this title, section 308 of Public Law 480 (83d Congress), as amended, and section 1431b of this title, the Secretary shall receive assurances satisfactory to him that, insofar as practicable, there will be student participation in the financing of such programs on the basis of ability to pay, and such programs shall be undertaken with the understanding that commodities will be available for those programs only in accordance with the provisions of such statutes and that commodities made available under section 1431 of this title will be available only in accordance with the priorities established in such section.

(Pub. L. 87–703, title II, § 205, Sept. 27, 1962, 76 Stat. 611.)
§ 1431e. Distribution of surplus commodities to special nutrition projects; reprocessing agreements with private companies
(1) Notwithstanding any other provision of law, whenever Government stocks of commodities are acquired under the price support programs and are not likely to be sold by the Commodity Credit Corporation or otherwise used in programs of commodity sale or distribution, such commodities shall be made available without charge or credit to nutrition projects under the authority of the Older Americans Act of 1965 (42 U.S.C. 3001 et seq.), to child nutrition programs providing food service, and to food banks participating in the special nutrition projects established under section 4004 of this title. Such distribution may include bulk distribution to congregate nutrition sites and to providers of home delivered meals under the Older Americans Act of 1965. The Commodity Credit Corporation is authorized to use available funds to operate the program under this subsection and to further process products to facilitate bonus commodity use. Commodities made available under this section shall include, but not be limited to, dairy products, wheat or the products thereof, rice, honey, and cornmeal.
(2)
(A) For each of fiscal years 2008 through 2023, whenever a commodity is made available without charge or credit under any nutrition program administered by the Secretary of Agriculture, the Secretary shall encourage consumption of such commodity through agreements with private companies under which the commodity is reprocessed into end-food products for use by eligible recipient agencies. The expense of reprocessing shall be paid by such eligible recipient agencies.
(B) To maintain eligibility to enter into, and to continue, any agreement with the Secretary of Agriculture under subparagraph (A), a private company shall annually settle all accounts with the Secretary and any appropriate State agency regarding commodities processed under such agreements.
(C) Whenever commodities are made available to agencies pursuant to section 311(a)(4) 1
1 See References in Text note below.
of the Older Americans Act of 1965, the Secretary shall encourage access to processed end products containing the commodities when in the Secretary’s judgment it is cost effective. The requirements of this subparagraph shall be met in the most efficient and effective way possible. The Secretary may, among other alternatives, use direct purchase, State option contracts authorized under section 3A of the Commodity Distribution Reform Act and WIC Amendments of 1987 (Public Law 100–237; 7 U.S.C. 612c note), State processing programs, and (beginning in fiscal year 1994) agreements with private companies operated as a part of the national commodity processing program.
(D) In each of fiscal years 1992, 1993, and 1994, the Secretary shall conduct a pilot project in not more than three States under which any commodity made available to agencies pursuant to section 311(a)(4) 1 of the Older Americans Act of 1965 that the Secretary determines to be appropriate for reprocessing is made available to the agencies as reprocessed end products. The reprocessing shall be performed pursuant to agreements with private companies, at the expense of the agencies, and operated as part of the national commodity processing program established under subparagraph (A). In determining the appropriateness of the commodities to be reprocessed under the pilot project, the Secretary shall consider the common needs of the agencies and the availability of processors.
(Pub. L. 97–98, title XI, § 1114(a), Dec. 22, 1981, 95 Stat. 1269; Pub. L. 99–198, title XV, § 1567(a), (b), Dec. 23, 1985, 99 Stat. 1591, 1592; Pub. L. 100–237, § 6, Jan. 8, 1988, 101 Stat. 1740; Pub. L. 101–624, title XVII, § 1775, Nov. 28, 1990, 104 Stat. 3813; Pub. L. 102–237, title IX, § 921, Dec. 13, 1991, 105 Stat. 1887; Pub. L. 104–127, title IV, § 405, Apr. 4, 1996, 110 Stat. 1029; Pub. L. 107–171, title IV, § 4203, May 13, 2002, 116 Stat. 330; Pub. L. 110–234, title IV, § 4406(b)(4), May 22, 2008, 122 Stat. 1142; Pub. L. 110–246, § 4(a), title IV, § 4406(b)(4), June 18, 2008, 122 Stat. 1664, 1903; Pub. L. 113–79, title IV, § 4103, Feb. 7, 2014, 128 Stat. 820; Pub. L. 115–334, title IV, § 4103, Dec. 20, 2018, 132 Stat. 4655.)
§ 1431f. Assistance to foreign countries to mitigate effects of HIV and AIDSOn and after November 10, 2005, of any shipments of commodities made pursuant to section 1431(b) of this title, the Secretary of Agriculture shall, to the extent practicable, direct that tonnage equal in value to not more than $25,000,000 shall be made available to foreign countries to assist in mitigating the effects of the Human Immunodeficiency Virus and Acquired Immune Deficiency Syndrome on communities, including the provision of—
(1) agricultural commodities to—
(A) individuals with Human Immunodeficiency Virus or Acquired Immune Deficiency Syndrome in the communities; and
(B) households in the communities, particularly individuals caring for orphaned children; and
(2) agricultural commodities monetized to provide other assistance (including assistance under microcredit and microenterprise programs) to create or restore sustainable livelihoods among individuals in the communities, particularly individuals caring for orphaned children.
(Pub. L. 109–97, title VII, § 725, Nov. 10, 2005, 119 Stat. 2153.)
§ 1432. Extension of price support on long staple cotton seeds and products

Any price support program in effect on cottonseed or any of its products shall be extended to the same seed and products of the cottons defined under section 1347(a) of this title.

(Oct. 31, 1949, ch. 792, title IV, § 420, as added July 17, 1952, ch. 933, § 3(2), 66 Stat. 759.)
§ 1433. Repealed. Pub. L. 100–387, title I, § 101(b)(3), Aug. 11, 1988, 102 Stat. 931
§ 1433a. Forgiveness of violations; determinations

Notwithstanding any other provision of law, whenever a producer samples, turns, moves, or replaces grain or any other commodity which is security for a Commodity Credit Corporation producer loan or is held under a producer reserve program, and does so in violation of law or regulation, the appropriate county committee established under section 590h(b) of title 16 may forgive some or all of the penalties and requirements that would normally be imposed on the producer by reason of the violation, if such committee determines that (1) the violation occurred inadvertently or accidentally, because of lack of knowledge or understanding of the law or regulation, or because the producer or the producer’s agent acted to prevent spoilage of the commodity, and (2) the violation did not result in harm or damage to the rights or interests of any person. The county committee shall furnish a copy of its determination to the Administrator of the Agricultural Stabilization and Conservation Service and the appropriate State committee established under section 590h(b) of title 16. The determination may be disapproved by either the Administrator or the State committee within sixty days after receipt of a copy of the determination. Any determination not disapproved by the Administrator or such State committee within such sixty-day period shall be considered approved.

(Oct. 31, 1949, ch. 792, title IV, § 422, as added Pub. L. 97–98, title X, § 1002, Dec. 22, 1981, 95 Stat. 1260.)
§ 1433b. Processing of surplus agricultural commodities into liquid fuels and agricultural commodity byproducts
(a) Authority of Commodity Credit Corporation; terms and conditions established by Secretary; fuel prices
(b) Feasibility of processing
(Oct. 31, 1949, ch. 792, title IV, § 423, as added Pub. L. 97–358, § 2, Oct. 21, 1982, 96 Stat. 1714; amended Pub. L. 99–198, title X, § 1024, Dec. 23, 1985, 99 Stat. 1460.)
§ 1433c. Advance recourse commodity loans

Notwithstanding any other provision of this Act, the Secretary may make advance recourse loans available to producers of the commodities of the 1986 through 1990 crops for which nonrecourse loans are made available under this Act if the Secretary finds that such action is necessary to ensure that adequate operating credit is available to producers. Such recourse loans may be made available under such reasonable terms and conditions as the Secretary may prescribe, except that the Secretary shall require that a producer obtain crop insurance for the crop as a condition of eligibility for a loan.

(Oct. 31, 1949, ch. 792, title IV, § 424, as added Pub. L. 99–198, title X, § 1003, Dec. 23, 1985, 99 Stat. 1447.)
§ 1433c–1. Advance recourse loans
(a) Availability; due date; procedures for repayment; applicability; security; limitationIt is the sense of Congress that the Secretary of Agriculture carry out a program authorized by section 424 of the Agricultural Act of 1949 [7 U.S.C. 1433c]. Such program, if implemented, shall provide for the following:
(1) Advance recourse loans shall be made available only to those producers of a commodity who are unable to obtain sufficient credit elsewhere to finance the production of the 1986 crop of that commodity, taking into consideration prevailing private and cooperative rates and terms for loans for similar purposes (as determined by the Secretary) in the community in or near which the applicant resides. A producer who has received a commitment or been furnished sufficient credit or a loan for production of the 1986 crop of a commodity shall not be eligible for an advance recourse loan to finance the production of that commodity for such crop year.
(2) Advance recourse loans shall be made available to producers of a commodity at the applicable nonrecourse loan rate for the commodity (as determined by the Secretary). Within the limits set out in paragraphs (5) and (7), advance recourse loans shall be available—
(A) to producers of wheat, feed grains, cotton, and rice who agree to participate in the program announced for the commodity on an amount of the commodity equal to one-half of the farm program yield for the commodity multiplied by the farm program acreage intended to be planted to the commodity for harvest in 1986, as determined by the Secretary;
(B) to producers of peanuts who are on a farm for which a marketing quota or poundage quota has been established on an amount of the commodity equal to one-half of the farm marketing quota or poundage quota for the commodity, as determined by the Secretary; and
(C) to producers of other commodities on an amount of the commodity equal to one-half of the farm yield for the commodity multiplied by the farm acreage intended to be planted to the commodity for harvest in 1986, as determined by the Secretary.
(3) An advance recourse loan under section 424 [7 U.S.C. 1433c] shall come due at such time immediately following harvest as the Secretary determines appropriate. Each loan contract entered into under section 424 shall specify the date on which the loan is to come due.
(4)
(A) The Secretary shall establish procedures, when practicable, under which a producer, simultaneously with repayment of his recourse loan, may obtain a nonrecourse loan on his crop (as otherwise provided for in the Agricultural Act of 1949 [7 U.S.C. 1421 et seq.]) in an amount sufficient to repay his recourse loan.
(B) In cases in which nonrecourse loans under such Act are not normally made available directly to producers, the Secretary shall establish procedures under which a producer may repay a recourse loan at the same time the producer receives advances or other payment from the producer’s disposition of his crop.
(5) Advance recourse loans shall be made available as needed solely to cover costs involved in the production of the 1986 crop that are incurred or are outstanding on or after March 20, 1986.
(6) To obtain an advance recourse loan, the producer on a farm must—
(A) provide as security for the loan a first lien on the crop covered by the loan or provide such other security as may be available to the producer and determined by the Secretary to be adequate to protect the Government’s interests; and
(B) obtain multiperil crop insurance, if available, to protect the crop that serves as security for the loan.
If a producer does not have multiperil crop insurance and is located in a county in which the signup period for multiperil crop insurance has expired, the producer shall be required to obtain other crop insurance, if available.
(7) The total amount in advance recourse loans that may be made to a producer under section 424 [7 U.S.C. 1433c] may not exceed $50,000.
(8) An advance recourse loan may be made available only to a producer who agrees to comply with such other terms and conditions determined appropriate by the Secretary and consistent with the provisions of section 424 [7 U.S.C. 1433c].
(b) Use of Commodity Credit Corporation, Agricultural Stabilization and Conservation Service, and county committees
(c) Regulations
(Pub. L. 99–260, § 13, Mar. 20, 1986, 100 Stat. 53; Pub. L. 108–357, title VI, § 611(q), Oct. 22, 2004, 118 Stat. 1523.)
§ 1433d. Omitted
§ 1433e. Repealed. Pub. L. 103–354, title II, § 281(b), Oct. 13, 1994, 108 Stat. 3233
§ 1433f. Repealed. Pub. L. 104–127, title I, § 171(b)(2)(I), Apr. 4, 1996, 110 Stat. 938
§ 1434. Encouragement of production of crops of which United States is a net importer and for which price support programs are not in effect; authority to plant on set-aside acreage with no reduction in payment rate

Notwithstanding any other provisions of this Act, the Secretary shall encourage the production of any crop of which the United States is a net importer and for which a price support program is not in effect by permitting the planting of such crop on set-aside acreage and with no reduction in the rate of payment for the commodity.

(Pub. L. 91–524, title VIII, § 814, as added Pub. L. 93–86, § 1(27)(B), Aug. 10, 1973, 87 Stat. 240.)
§ 1435. Production of commodities for conversion into alcohol or hydrocarbons for use as motor fuels or other fuels; terms and conditions; determinations; payments, etc., for program
(a) The Secretary of Agriculture shall permit, subject to such terms and conditions as the Secretary shall prescribe, all or any part of the acreage set aside or diverted under the Agricultural Act of 1949 [7 U.S.C. 1421 et seq.] from the production of a commodity for any crop year to be devoted to the production of any commodity for conversion into alcohol or hydrocarbons for use as motor fuel or other fuel, if the Secretary of Agriculture determines that such production is desirable in order to provide an adequate supply of commodities for such conversion, is not likely to increase the cost of price support programs, and will not adversely affect farm income.
(b)
(1) During any year in which no set-aside or diversion of acreage is in effect under the Agricultural Act of 1949 [7 U.S.C. 1421 et seq.], the Secretary of Agriculture may formulate and administer a program for the production, subject to such terms and conditions as he may prescribe, of commodities for conversion into alcohol or hydrocarbons for use as motor fuel or other fuel. Under such program, producers of wheat, feed grains, upland cotton, and rice shall be paid incentive payments to devote a portion of their acreage to such production.
(2) The payments under this subsection shall be made at such rate or rates as the Secretary of Agriculture determines to be fair and reasonable, taking into consideration the participation necessary to ensure an adequate supply of commodities for such conversion.
(3) The Secretary may issue any regulations necessary to carry out the provisions of this subsection.
(4) There are authorized to be appropriated such sums as may be necessary to carry out the provisions of this subsection.
(Pub. L. 95–113, title XX, § 2001, as added Pub. L. 96–294, title II, § 260(a), June 30, 1980, 94 Stat. 709.)
§ 1436. Reimbursement of appropriations available for classing or grading agriculture commodities without charge

On and after June 29, 1949, appropriations available for classing or grading any agricultural commodity without charge to the producers thereof may be reimbursed from nonadministrative funds of the Commodity Credit Corporation for the cost of classing or grading any such commodity for producers who obtain Commodity Credit Corporation price support.

(June 29, 1949, ch. 280, title I, 63 Stat. 344.)
§ 1436a. Transfer of nonadministrative funds of Commodity Credit Corporation for classing and grading purposes

On and after August 31, 1951, there may be transferred to appropriations available for classing or grading any agricultural commodity without charge to the producers thereof such sums from nonadministrative funds of the Commodity Credit Corporation as may be necessary in addition to other funds available for these purposes, such transfers to be reimbursed from subsequent appropriations therefor.

(Aug. 31, 1951, ch. 374, title I, 65 Stat. 239.)