SA 3711. Mr. LUGAR (for himself, Mr. Lautenberg, Mr. Menendez, Mr. Cardin, Mr. Whitehouse, Mr. Reed, Mr. Hatch, Ms. Collins, Mr. Domenici, Mr. Nelson of Florida, Mr. Sununu, and Mr. McCain) submitted an amendment intended to be proposed by him to the bill H.R. 2419, to provide for the continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

Beginning on page 24, strike line 1 and all follows through page 124, line 20, and insert the following:
Subtitle A--Traditional Payments and Loans


SEC. 1101. COMMODITY PROGRAMS.
(a) Repeals.--Subtitles A through C of title I of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7901 et seq.) (other than sections 1001, 1101, 1102, 1103, 1104, and 1106) are repealed.
(b) Base Acres and Payment Acres.--Section 1101 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7911) is amended--
(1) in subsections (a)(1) and (e)(2), by striking ``and counter-cyclical payments'' each place it appears; and
(2) by adding at the end the following:
``(i) Production of Fruits or Vegetables for Processing.--
``(1) IN GENERAL.--Subject to paragraphs (2) and (3), the producers on a farm, with the consent of the owner of and any other producers on the farm, may reduce the base acres for a covered commodity for the farm if the reduced acres are used for the planting and production of fruits or vegetables for processing.
``(2) REVERSION TO BASE ACRES FOR COVERED COMMODITY.--Any reduced acres on a farm devoted to the planting and production of fruits or vegetables during a crop year under paragraph (1) shall be included in base acres for the covered commodity for the subsequent crop year, unless the producers on the farm make the election described in paragraph (1) for the subsequent crop year.
``(3) RECALCULATION OF BASE ACRES.--
``(A) IN GENERAL.--Subject to subparagraph (B), if the Secretary recalculates base acres for a farm, the planting and production of fruits or vegetables for processing under paragraph (1) shall be considered to be the same as the planting, prevented planting, or production of the covered commodity.
``(B) AUTHORITY.--Nothing in this subsection provides authority for the Secretary to recalculate base acres for a farm.''.
(c) Payment Yields.--Section 1102 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7912) is amended--
(1) in subsection (a), by striking ``and counter-cyclical payments'';
(2) in subsection (b), by striking ``2007'' and inserting ``2012'';
(3) in subsection (c), by striking ``, but before'' and all that follows through ``subsection (e)''; and
(4) by striking subsection (e).
(d) Recourse Loan Program.--Subtitle F of title I of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7991 et seq.) is amended by adding at the end the following:
``SEC. 1619. RECOURSE LOAN PROGRAM.
``For each of the 2008 through 2012 crop years, the Secretary shall establish a recourse loan program for each loan commodity at a rate of interest to be determined by the Secretary.''.
(e) Administration.--
(1) SUSPENSION OF PERMANENT PRICE SUPPORT AUTHORITY.--Section 1602 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7992) is amended by striking ``2007'' each place it appears and inserting ``2012''.
(2) ADJUSTED GROSS INCOME LIMITATION.--Section 1001D(e) of the Food Security Act of 1985 (7 U.S.C. 1308-3a(e)) is amended by striking ``2007'' and inserting ``2012''.
(f) Availability of Counter-Cyclical Payments.--Section 1104 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7914) is amended--
(1) by striking ``2007'' each place it appears (other than paragraphs (3)(B) and (4)(B) of subsection (f)) and inserting ``2008''; and
(2) in subsection (f)--
(A) in paragraph (3)(B)--
(i) in the subparagraph heading, by striking ``2007 CROP YEAR'' and inserting ``2007 AND 2008 CROP YEARS''; and
(ii) by striking ``the 2007 crop year'' and inserting ``each of the 2007 and 2008 crop years''; and
(B) in paragraph (4)(B)--
(i) in the subparagraph heading, by striking ``2007 CROP YEAR'' and inserting ``2007 AND 2008 CROP YEARS''; and
(ii) by striking ``the 2007 crop year'' each place it appears and inserting ``each of the 2007 and 2008 crop years''.
(g) Availability of Direct Payments.--Section 1103 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7913) is amended--
(1) in subsection (a), by striking ``For each of the 2002 through 2007'' and inserting ``For each of the 2008 through 2012''; and
(2) in subsection (c), by adding at the end the following:
``(4)(A) In each of crop years 2008 and 2009, 25 percent.
``(B) In each of crop years 2010 and 2011, 20 percent.
``(C) In crop year 2012, 0 percent.''.
On page 233, strikes lines 8 through 13 and insert the following:
``(e) Funding.--Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section $1,000,0000 for each of fiscal years 2008 through 2012.''.
On page 246, strike lines 3 through 10 and insert the following:
``(i) Funding.--
``(1) IN GENERAL.--Subject to paragraph (2), of the funds of the Commodity Credit Corporation, the Secretary of Agriculture shall make grants under this section, using--
``(A) $135,000,000 for fiscal year 2008;
``(B) $140,000,000 for fiscal year 2009;
``(C) $145,000,000 for fiscal year 2010;
``(D) $150,000,000 for fiscal year 2011; and
``(E) $0 for fiscal year 2012.
``(2) AQUACULTURE AND SEAFOOD PRODUCTS.--Of the amount made available under subparagraphs (A) through (D) of paragraph (1), the Secretary shall ensure that at least $50,000 is used each fiscal year to promote the competitiveness of aquacultural and seafood products.''.
On page 247, line 17, insert ``seafood products, aquaculture (including ornamental fish), sea grass, sea oats,'' after ``floriculture,''.
On page 265, strike lines 9 and 10 and insert the following:
(1) by striking subparagraph (A) and inserting the following:
``(A) BASIC FEE.--
``(i) IN GENERAL.--Except as provided in clause (ii), each producer shall pay an administrative fee for catastrophic risk protection in an amount that is, as determined by the Corporation, equal to 25 percent of the premium amount for catastrophic risk protection established under subsection (d)(2)(A) per crop per county.
``(ii) MAXIMUM AMOUNT.--The total amount of administrative fees for catastrophic risk protection payable by a producer under clause (i) shall not exceed $5,000 for all crops in all counties.''.
Beginning on page 273, strike line 1 and all that follows through page 274, line 2.
On page 276, between lines 2 and 3, insert the following:
SEC. 19__. CONTROLLING CROP INSURANCE PROGRAM COSTS.
(a) Share of Risk.--Section 508(k)(3) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)(3)) is amended by striking paragraph (3) and inserting the following:
``(3) SHARE OF RISK.--
``(A) IN GENERAL.--Except as provided in subparagraph (B), the reinsurance agreements of the Corporation with a reinsured company shall require the reinsured company to provide to the Corporation 30 percent of the cumulative underwriting gain or loss of the reinsured company.
``(B) LIVESTOCK.--In the case of a policy or plan of insurance covering livestock, the reinsurance agreements of the Corporation with the reinsured companies shall require the reinsured companies to bear a sufficient share of any potential loss under the agreement so as to ensure that the reinsured company will sell and service policies of insurance in a sound and prudent manner, taking into consideration the financial condition of the reinsured companies and the availability of private
reinsurance.''.
(b) Reimbursement Rate.--Section 508(k)(4)(A) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)(4)(A)) is amended by striking clause (ii) and inserting the following:
``(ii) for each of the 2008 and subsequent reinsurance years--
``(I) 15 percent of the premium used to define loss ratio; and
``(II) in the case of a policy or plan of insurance covering livestock, 27 percent of the premium used to define loss ratio.''.
SEC. 19__. SUPPLEMENTAL DEDUCTIBLE COVERAGE.
(a) In General.--Section 508(c)(4) of the Federal Crop Insurance Act (7 U.S.C. 1508(c)(4)) is amended--
(1) by striking ``The level of coverage'' and inserting the following:
``(A) BASIC COVERAGE.--The level of coverage''; and
(2) by adding at the end the following:
``(B) SUPPLEMENTAL COVERAGE.--
``(i) IN GENERAL.--Notwithstanding paragraph (3) and subparagraph (A), the Corporation may offer supplemental coverage, based on an area yield and loss basis, to cover that portion of a crop loss not covered under the individual yield and loss basis plan of insurance of a producer, including any revenue plan of insurance with coverage based in part on individual yield and loss.
``(ii) LIMITATION.--The sum of the indemnity paid to the producer under the individual yield and loss plan of insurance and the supplemental coverage may not exceed 100 percent of the loss incurred by the producer for the crop.
``(iii) ADMINISTRATIVE AND OPERATING EXPENSE REIMBURSEMENT.--Notwithstanding subsection (k)(4), the reimbursement rate for approved insurance providers for the supplemental coverage shall equal 6 percent of the premium used to define the loss ratio.
``(iv) DIRECT COVERAGE.--If the Corporation determines that it is in the best interests of producers, the Corporation may offer supplemental coverage as a Corporation endorsement to existing plans and policies of crop insurance authorized under this title.
``(v) PAYMENT OF PORTION OF PREMIUM BY CORPORATION.--Notwithstanding subsection (e), the amount of the premium to be paid by the Corporation for supplemental coverage offered pursuant to this subparagraph shall be determined by the Corporation, but may not exceed the sum of--
``(I) 50 percent of the amount of premium established under subsection (d)(2)(C)(i); and
``(II) the amount determined under subsection (d)(2)(C)(ii) for the coverage level selected to cover operating and administrative expenses.''.
(b) Conforming Amendments.--Section 508(d)(2) of the Federal Crop Insurance Act (7 U.S.C. 1508(d)(2)) is amended--
(1) by striking ``additional coverage'' the first place it appears and inserting ``additional and supplemental coverages''; and
(2) by adding at the end the following:
``(C) SUPPLEMENTAL COVERAGE.--In the case of supplemental coverage offered under subsection (c)(4)(B), the amount of the premium shall--
``(i) be sufficient to cover anticipated losses and a reasonable reserve; and
``(ii) include an amount for operating and administrative expenses, as determined by the Corporation on an industry-wide basis as a percentage of the amount of the premium used to define loss ratio.''.
SEC. 19__. REVENUE-BASED SAFETY NET.
(a) Establishment.--Section 508(c) of the Federal Crop Insurance Act (7 U.S.C. 1508(c)) is amended by adding at the end the following:
``(11) GROUP RISK INCOME PROTECTION AND GROUP RISK PROTECTION.--The Corporation shall offer, at no cost to a producer, revenue and yield coverage plans that allow producers in a county to qualify for an indemnity if the actual revenue or yield per acre in the county in which the producer is located is below 85 percent of the average revenue or yield per acre for the county, for each agricultural commodity for which a futures price is available, or as otherwise approved by the Secretary,
to the extent the coverage is actuarially sound.''.
(b) Premiums.--Section 508(e)(2) of the Federal Crop Insurance Act (7 U.S.C. 1508(e)(2)) is amended by adding at the end the following:
``(H) In the case of a group risk income protection and group risk protection offered under subsection (c)(11) beginning in fiscal year 2009, and the whole farm insurance plan offered under subsection (c)(12) beginning in fiscal year 2010, the entire amount of the premium for the plan shall be paid by the Corporation.''.
SEC. 19__. WHOLE FARM INSURANCE.
(a) Establishment.--Section 508(c) of the Federal Crop Insurance Act (7 U.S.C. 1508(c)) (as amended by section 19__(a)) is amended by adding at the end the following:

``(12) WHOLE FARM INSURANCE PLAN.--The Corporation shall offer, at no cost to a producer described in paragraph (11), a whole farm insurance plan that allows the producer to qualify for an indemnity if actual gross farm revenue is below 80 percent of the average gross farm revenue of the producer.''.
(b) Adjusted Gross Revenue Insurance Pilot Program.--Section 523(e) of the Federal Crop Insurance Act (7 U.S.C. 1523(e)) is amended--
(1) in paragraph (1), by striking ``2004'' and inserting ``2012'';
(2) in paragraph (2), by striking subparagraph (A) and inserting the following:
``(A) IN GENERAL.--In addition to counties otherwise included in the pilot program, the Corporation shall include in the pilot program for each of the 2010 through 2012 reinsurance years all States and counties that meet the criteria for selection (pending required rating), as determined by the Corporation.''; and
(3) by adding at the end the following:
``(3) ELIGIBLE PRODUCERS.--The Corporation shall permit the producer of any type of agricultural commodity (including a producer of specialty crops, floricultural, ornamental nursery, and Christmas tree crops, turfgrass sod, seed crops, aquacultural products (including ornamental fish), sea grass and sea oats, and industrial crops) to participate in a pilot program established under this subsection.''.
(c) Prevention of Duplication.--Section 508(c) of the Federal Crop Insurance Act (7 U.S.C. 1508(c)) (as amended by subsection (a)) is amended by adding at the end the following:
``(13) PREVENTION OF DUPLICATION.--The Administrator of the Risk Management Agency and Administrator of the Farm Service Agency shall cooperate to ensure, to the maximum extent practicable, that producers on a farm do not receive duplicative compensation under Federal law for the same loss, including by reducing crop insurance indemnity payments.''.
On page 295, between lines 16 and 17, insert the following:
SEC. 19__. CROP INSURANCE EDUCATION ASSISTANCE.
(a) Partnerships for Risk Management Education.--Section 524(a)(3) of the Federal Crop Insurance Act (7 U.S.C. 1524(a)(3)) is amended--
(1) in subparagraph (B), by striking ``A grant'' and inserting ``Subject to subparagraph (E), a grant''; and
(2) by adding at the end the following:
``(E) ALLOCATION TO STATES.--The Secretary shall allocate funds made available to carry out this subsection for each fiscal year in a manner that ensures that grants are provided to eligible entities in States based on the ratio that the value of agricultural production of each State bears to the total value of agricultural production in all States, as determined by the Secretary.''.
(b) Funding.--Paragraph (5) of section 524(a) of the Federal Crop Insurance Act (7 U.S.C. 1524(a)) (as redesignated by section 1920(2)) is amended by striking subparagraph (B) and inserting the following:
``(B) for the partnerships for risk management education program established under paragraph (3)--
``(i) $20,000,000 for fiscal year 2008, of which not less than $15,000,000 shall be used to provide educational assistance with respect to whole farm and adjusted gross revenue insurance plans;
``(ii) $15,000,000 for fiscal year 2009, of which not less than $10,000,000 shall be used to provide educational assistance described in clause (i);
``(iii) $10,000,000 for fiscal year 2010, of which not less than $5,000,000 shall be used to provide educational assistance described in clause (i); and
``(iv) $5,000,000 for fiscal year 2011 and each fiscal year thereafter.''.
On page 299, between lines 15 and 16, insert the following:
Subtitle B--Risk Management Accounts


SEC. 1931. DEFINITIONS.
In this subtitle:
(1) ADJUSTED GROSS REVENUE.--The term ``adjusted gross revenue'', with respect to a farm of an operator or producer, means the adjusted gross income of the farm, as determined by the Secretary, from the sale or transfer of eligible commodities of the farm, as calculated--
(A) taking into consideration the gross receipts (including insurance indemnities) from each sale;
(B) including all farm payments received by the operator or producer from any Federal, State, or local government agency relating to the eligible commodities;
(C) by deducting the cost or basis of any eligible livestock or other item purchased for resale, such as feeder livestock, by the farm;
(D) excluding any revenue that does not arise from the sale of eligible commodities of the farm, such as revenue associated with the packaging, merchandising, marketing, or reprocessing beyond what is typically carried out by a producer of the eligible commodity, as determined by the Secretary; and
(E) using such adjustments, additions, and additional documentation as the Secretary determines to be appropriate, as presented on--
(i) a schedule F form of the Federal income tax returns of the operator or producer; or
(ii) a comparable tax form relating to the farm, as approved by the Secretary.
(2) APPLICABLE YEAR.--The term ``applicable year'' means a fiscal year covered by a risk management account contract.
(3) AVERAGE ADJUSTED GROSS REVENUE.--The term ``average adjusted gross revenue'' means--
(A) the rolling average of the adjusted gross revenue of an operator or producer for each of the 5 preceding taxable years; or
(B) in the case of a beginning farmer or rancher, or another agricultural operation that does not have adjusted gross revenue for each of the 5 preceding taxable years, the estimated income of the operation for the applicable year, as determined by the Secretary.
(4) ELIGIBLE COMMODITY.--The term ``eligible commodity'' means any annual or perennial crop raised or produced by an operator or producer.
(5) FARM.--
(A) IN GENERAL.--The term ``farm'' means any parcel of land used for the raising or production of an eligible commodity that is considered to be a separate operation, as determined by the Secretary.
(B) INCLUSIONS.--The term ``farm'' includes--
(i) any parcel of land and related agricultural production facilities on which an operator or producer has more than de minimis operational control; and
(ii) any parcel of land subject to more than de minimis common ownership, as determined by the Secretary, unless the common owners of the parcel--
(I) except with respect to a conservation condition established in an applicable rental agreement, do not have operational control regarding any portion of the parcel; and
(II) do not share in the proceeds of the parcel, other than cash rent.
(C) EXCLUSION.--The term ``farm'' does not include a parcel that is not a portion of a farm subject to a risk management account contract.
(D) APPLICABILITY OF CFR.--Except as otherwise provided in this subtitle or by the Secretary, by regulation, part 718 of title 7, Code of Federal Regulations (or successor regulations), shall apply to the definition, constitution, and reconstitution of a farm for purposes of this paragraph.
(6) OPERATOR.--The term ``operator'' means a producer who controls an agricultural operation on a farm, as determined by the Secretary.
(7) PRODUCER.--The term ``producer'' means a person that, as determined by the Secretary, for an applicable year--
(A) shares in the risk of producing, or provides a material contribution in producing, an eligible commodity;
(B) has a substantial beneficial interest in the farm on which the eligible commodity is produced;
(C)(i) for each of the 5 preceding taxable years, has filed--
(I) a schedule F form of the Federal income tax return relating to the eligible commodity; or
(II) a comparable tax form related to the eligible commodity, as approved by the Secretary; or
(ii) is a beginning farmer or rancher, or another producer that does not have adjusted gross revenue for each of the 5 preceding taxable years, as determined by the Secretary; and
(D)(i) during the 5 preceding taxable years, has earned at least $10,000 in average adjusted gross revenue;
(ii) is a limited resource farmer or rancher, as determined by the Secretary; or
(iii) in the case of a beginning farmer or rancher, or another producer that does not have adjusted gross revenue for each of the 5 preceding taxable years, has at least $10,000 in estimated income from all farms for the applicable year, as determined by the Secretary.
(8) RISK MANAGEMENT ACCOUNT.--The term ``risk management account'' means a farm income stabilization assistance account maintained at a qualified financial institution in accordance with such terms as the Secretary may establish.
SEC. 1932. RISK MANAGEMENT ACCOUNT CONTRACTS.
(a) Establishment of Program.--The Secretary shall establish and carry out a program under which the Secretary shall offer to enter into contracts with eligible operators and producers in accordance with this section--
(1) to provide to the operators and producers a reserve to assist in the stabilization of farm income during low-revenue years;
(2) to assist operators and producers to invest in value-added farms; and
(3) to recognize high levels of environmental stewardship.
(b) Eligibility.--
(1) IN GENERAL.--Any operator that has participated in a commodity program under title I of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7901 et seq.), and that otherwise meets each eligibility requirement under this subtitle, shall be eligible to enter into a risk management account contract for agricultural production during each of fiscal years 2008 through 2012.
(2) OTHER PRODUCERS.--A producer that is not an operator described in paragraph (1) shall be eligible to enter into a risk management account contract for agricultural production during each of fiscal years 2008 through 2012.
(3) LIMITATIONS.--
(A) IN GENERAL.--No farm or portion of a farm shall be subject to more than 1 risk management account contract during any fiscal year.
(B) MULTIPLE RISK MANAGEMENT ACCOUNT CONTRACTS.--
(i) IN GENERAL.--Except as provided in clause (ii), no operator or producer shall participate or have a beneficial interest in more than 1 risk management account contract during any fiscal year.
(ii) EXCEPTION.--Notwithstanding clause (i), an operator that is eligible to receive a transition payment during a fiscal year, and that participates or has a beneficial interest in a risk management account contract during that fiscal year, may enter into an additional risk management account contract during the fiscal year if--
(I) the additional risk management account contract is entered into solely for the purpose of receiving the transition payment; and
(II) the operator is not otherwise eligible to participate or have a beneficial interest in the additional risk management account contract.
(c) Risk Management Accounts.--
(1) IN GENERAL.--Each risk management account contract entered into under this section shall establish, in the name of the farm of the operator or producer, as applicable, in an appropriate financial institution and subject to such investment rules and other procedures as the Secretary, on approval of the Secretary of the Treasury, determines to be necessary to provide reasonable assurance of the viability and stability of the account, a risk management account, to consist of--
(A) such amounts as are transferred to the risk management account by the Secretary during an applicable year in accordance with paragraph (2) (including the amendments made by that paragraph); and
(B) such amounts as are voluntarily contributed by the operator or producer during the applicable year in accordance with paragraph (6).
(2) TRANSFERS.--Section 1103 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7913) is amended by adding at the end the following:
``(e) Risk Management Accounts.--Of the total amount of direct payments made to producers, payments in excess of $10,000 for a crop year shall be deposited into risk management accounts established under section 1102 of the Food and Energy Security Act of 2007.''.
(3) OPERATOR AND PRODUCER CONTRIBUTIONS.--During any applicable year, an operator or producer may voluntarily contribute to the risk management account of the operator or producer.
(4) WITHDRAWALS.--
(A) IN GENERAL.--An operator or producer may withdraw amounts in the risk management account of the operator or producer only--
(i) for an applicable year during which the adjusted gross revenue of the operator or producer is equal to less than 95 percent of the average adjusted gross revenue of the operator or producer, in an amount that is equal to the lesser of--
(I) the difference between--
(aa) the average adjusted gross revenue of the operator or producer; and
(bb) the adjusted gross revenue of the operator or producer; and
(II) the amount of coverage that could be purchased under an adjusted gross revenue product available to the operator or producer through the Federal crop insurance program;
(ii) for investment in a value-added agricultural operation that contributes to the agricultural economy, as determined by the Secretary, and is not farmland or equipment used to produce raw agricultural products, an amount equal to the product obtained by multiplying--
(I) the total amount in the risk management account of the operator or producer on September 30 of the preceding applicable year; and
(II) 10 percent;
(iii) as the Secretary determines to be necessary to protect the solvency of a farm of the operator or producer; or
(iv) to purchase revenue insurance or crop insurance.
(B) TRANSFER TO IRA ACCOUNT.--In any calendar year, an individual operator or producer aged 65 years or older who is the holder of a risk management account in existence for at least 5 years may elect to rollover not more than 15 percent of the balance of the risk management account into an individual retirement account pursuant to section 408 of the Internal Revenue Code of 1986.
(5) LIMITATIONS.--
(A) ATTRIBUTION REQUIREMENT.--The Secretary shall ensure that each payment transferred to a risk management account under this subsection is attributed to an individual operator or producer that is a party to the applicable risk management account contract.
(B) NO INDIVIDUAL BENEFIT.--
(i) IN GENERAL.--The Secretary shall ensure that no individual operator or producer receives a direct benefit from more than 1 risk management account.
(ii) PROPORTIONAL REDUCTION.--The Secretary shall reduce the amount of a standard payment under this subsection in an amount equal to the proportion that--
(I) the amount of each direct or indirect benefit received by the applicable individual operator or producer under the applicable risk management account contract; bears to
(II) the amount of any direct or indirect benefit received by the individual operator or producer under any other risk management account contract under which a standard payment is transferred to a risk management account.
(6) CONSERVATION COMPLIANCE.--Each operator, and each holder of a beneficial interest in a farm subject to a risk management account contract, shall comply with--
(A) applicable highly erodible land conservation requirements under subtitle B of title XII of the Food Security Act of 1985 (16 U.S.C. 3811 et seq.); and
(B) applicable wetland conservation requirements under subtitle C of title XII of that Act (16 U.S.C. 3821 et seq.).
(7) REGULATIONS.--The Secretary shall promulgate such regulations as the Secretary determines to be necessary to carry out this subsection.
SEC. 1933. TREATMENT OF RISK MANAGEMENT ACCOUNT ACCOUNTS ON TRANSFER.
(a) In General.--In transferring, by sale or other means, any interest in a farm subject to a risk management account, an operator or producer may elect--
(1) to transfer the risk management account to another farm in which the operator or producer--
(A) has a controlling ownership interest; or
(B) not later than 2 years after the date of the transfer, will acquire a controlling ownership interest;
(2) to transfer the risk management account to the purchaser of the interest in the farm, if the purchaser is not already a holder of a risk management account; or
(3)(A) if the operator or producer is an individual, to rollover amounts in the risk management account into an individual retirement account of the operator or producer pursuant to section 408 of the Internal Revenue Code of 1986; or
(B) if the operator or producer is not an individual, to transfer amounts in the risk management account into an account of any individual who has a substantial beneficial interest in the farm (including a substantial beneficiary of a trust that holds at least a 50 percent ownership interest in the farm).
(b) Transfer or Acquisition of Land or Portion of Operation.--The Secretary shall promulgate such regulations as the Secretary determines to be appropriate to require reformulation, reaffirmation, or abandonment of a risk management account contract--
(1) on transfer of all or part of a farm under this section; or
(2) on any other major change to the farm, as determined by the Secretary.
SEC. 1934. ADMINISTRATION OF RISK MANAGEMENT ACCOUNTS.
(a) Implementation.--The Secretary shall carry out this subtitle through the Farm Service Agency.
(b) Compliance.--The Secretary shall conduct random audits of operators and producers subject to risk management account contracts under this subtitle as the Secretary determines to be necessary to ensure compliance with the risk management account contracts.
(c) Violations.--If the Secretary determines that an operator or producer is in violation of the terms of an applicable risk management account contract--
(1) the operator or producer shall refund to the Secretary an amount equal to the amount transferred by the Secretary under section 1103(e) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7913(e)) to the affected risk management account during the applicable year in which the violation occurred; and
(2) for a serious or deliberate violation, as determined by the Secretary--
(A) the risk management account contract shall be terminated; and
(B) amounts remaining in each applicable risk management account as the result of a transfer by the Secretary under section 1103(e) of that Act shall be refunded to the Secretary.
(d) Regulations.--The Secretary shall promulgate such regulations as the Secretary determines to be necessary to carry out this subtitle.
(e) Adjusted Gross Income Limitation.--The adjusted gross income limitation under section 1001D of the Food Security Act of 1985 (7 U.S.C. 1308-3a) shall apply to participation in the farm income stabilization assistance program under this subtitle.
(f) Commodity Credit Corporation.--The Secretary shall use the funds, facilities, and authorities of the Commodity Credit Corporation to carry out this subtitle.
On page 347, strike lines 17 through 20 and insert the following:
``SEC. 1237T. FUNDING.
``Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this subchapter $70,000,0000 for each of the fiscal years 2008 through 2012.''.
On page 408, line 15, strike ``$165,000,000'' and ``$265,000,000''.
On page 444, after line 22, add the following:
SEC. 23__. MIGRATORY BIRD HABITAT CONSERVATION SECURITY PROGRAM.
Chapter 5 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3839bb et seq.) (as amended by section 2399) is amended by adding at the end the following:
``SEC. 1240S-1. MIGRATORY BIRD HABITAT CONSERVATION SECURITY PROGRAM.
``(a) In General.--The Secretary, acting through the Natural Resources Conservation Service, shall establish a migratory bird habitat conservation program under which the Secretary shall provide payments and technical assistance to rice producers to promote the conservation of migratory bird habitat.
``(b) Eligibility.--To be eligible for payments and technical assistance under this section, an eligible producer shall maintain on rice acreage of the producer (as determined by the Secretary)--
``(1) straw residue on a minimum of 50 percent of the rice acreage by flooding, rolling, or stomping, and maintaining, water depths of at least 4 inches from November through February in a manner that benefits migratory waterfowl; or
``(2) if supplemental water is not available, planting a winter cover crop (such as vetch) on the rice acreage.
``(c) Administration.--In carrying out this section, the Secretary shall--
``(1) enroll not more than 100,000 acres of irrigated rice; and
``(2) provide payments to a participating rice producer for the value of the ecological benefit, but not less than $25 per acre.
``(d) Review.--In cooperation with a national, State, or regional association of rice producers, the Secretary shall periodically review--
``(1) the value of the ecological benefit of practices for which assistance is provided under this section on a per acre basis; and
``(2) the practices for which assistance is provided under this section to maximize the wildlife benefit to migratory bird populations on land in rice production.
``(e) Funding.--Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section $13,000,000 for the period of fiscal years 2008 through 2012.''.
On page 445, line 20, strike ``$97,000,000'' and insert ``$120,000,000''.
On page 445, line 24 , strike ``$240,000,000'' and insert ``$400,000,000''.
On page 446, line 4, strike ``$1,270,000,000'' and insert ``$1,410,000,000''.
On page 446, line 6, strike ``$1,300,000,000'' and insert ``$1,420,000,000''.
On page 446, line 10, strike ``$85,000,000'' and insert ``$100,000,000''.
On page 508, between lines 20 and 21, insert the following:
SEC. 26__. CONSERVATION OF GREATER EVERGLADES ECOSYSTEM.
Of the funds of the Commodity Credit Corporation, the Secretary shall use $7,000,000 for each of fiscal years 2008 through 2012 to provide assistance to 1 or more States to carry out conservation activities in or for the greater Everglades ecosystem.
On page 552, strike lines 3 through 6 and insert the following:
(5) in subsection (l)--
(A) by striking paragraphs (1) and (2) and inserting the following:
``(1) IN GENERAL.--Of the funds of the Commodity Credit Corporation, the President shall use $450,000,000 for each of fiscal years 2008 through 2012 to carry out this section.''; and
(B) by redesignating paragraph (3) as paragraph (2).
On page 566, lines 9 and 10, strike ``$140, $239, $197, and $123'' and insert ``$145, $248, $205, and $128''.
On page 567, line 3, strike ``$281'' and insert ``$291''.
On page 574, line 6, strike ``10 percent'' and inserting ``20 percent''.
Beginning on page 574, strike line 23 and all that follows through page 575, line 3, and insert the following:
``(2) AMOUNTS.--In addition to the amounts made available under paragraph (1), from amounts made available to carry out this Act, the Secretary shall use to carry out this subsection--
``(A) for fiscal year 2008, $110,000,000; and
``(B) for fiscal year 2009 and each fiscal year thereafter, an amount that is equal to the amount made available for the previous fiscal year adjusted to the nearest lower dollar increment to reflect changes for the 12-month period ending the preceding June 30 in the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.''.
On page 658, lines 18 through 21, strike ``for fiscal year 2008 and each fiscal year thereafter, of the funds of the Commodity Credit Corporation, the Secretary of Agriculture shall use $10,000,000'' and insert ``for fiscal year 2008 and each fiscal year thereafter, of the funds of the Commodity Credit Corporation, the Secretary of Agriculture shall use $50,000,000''.
On page 659, between lines 19 and 20, insert the following:
SEC. 4703. WIC FARMERS' MARKET NUTRITION PROGRAM.
Section 17(m)(9)(A) of the Child Nutrition Act of 1966 (42 U.S.C. 1786(m)(9)(A)) is amended--
(1) in clause (i), by striking ``each of fiscal years 2004 through 2009'' and inserting ``each fiscal year''; and
(2) by striking clause (ii) and inserting the following:
``(ii) MANDATORY FUNDING.--Of the funds of the Commodity Credit Corporation, the Secretary shall make available to carry out this subsection, $40,000,000 for each fiscal year.''.
On page 664, between lines 15 and 16, insert the following:
SEC. 49__. SUMMER FOOD SERVICE PROGRAM FOR CHILDREN.
(a) Payments to Service Institutions.--Section 13(b) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1761(b)) is amended--
(1) in paragraph (1)--
(A) by striking subparagraph (A);
(B) by redesignating subparagraphs (B) through (D) as subparagraphs (A) through (C), respectively;
(C) in subparagraph (A) (as redesignated by subparagraph (B)), by striking ``(A)'' and all that follows through ``shall not exceed--'' and inserting the following:
``(A) IN GENERAL.--Subject to subparagraph (B), in addition to amounts made available under paragraph (3), payments to service institutions shall be--'';
(D) in subparagraph (B) (as redesignated by subparagraph (B)), by striking ``subparagraph (B)'' and inserting ``subparagraph (A)''; and
(E) in subparagraph (C) (as redesignated by subparagraph (B)), by striking ``(A), (B), and (C)'' and inserting ``(A) and (B)''; and
(2) in the second sentence of paragraph (3), by striking ``full amount of State approved'' and all that follows through ``maximum allowable''.
(b) Conforming Amendments.--Section 18 of the Richard B. Russell National School Lunch Act (42 U.S.C. 1769) is amended--
(1) by striking subsection (f); and
(2) by redesignating subsection (g) through (k) as subsections (f) through (j), respectively.
(c) Effective Date.--The amendments made by this section take effect on January 1 of the first full calendar year following the date of enactment of this Act.
On page 663, between lines 17 and 18, insert the following:
Subtitle F--Food Employment Empowerment and Development Program


SEC. 4851. SHORT TITLE.
This subtitle may be cited as the ``Food Employment Empowerment and Development Program Act of 2007'' or the ``FEED Act of 2007''.
SEC. 4852. DEFINITIONS.
In this subtitle:
(1) ELIGIBLE ENTITY.--The term ``eligible entity'' means an entity that meets the requirements of section 4013(b).
(2) VULNERABLE SUBPOPULATION.--
(A) IN GENERAL.--The term ``vulnerable subpopulation'' means low-income individuals, unemployed individuals, and other subpopulations identified by the Secretary as being likely to experience special risks from hunger or a special need for job training.
(B) INCLUSIONS.--The term ``vulnerable subpopulation'' includes--
(i) addicts (as defined in section 102 of the Controlled Substances Act (21 U.S.C. 802));
(ii) at-risk youths (as defined in section 1432 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6472));
(iii) individuals that are basic skills deficient (as defined in section 101 of the Workforce Investment Act of 1998 (29 U.S.C. 2801));
(iv) homeless individuals (as defined in section 17(b) of the Child Nutrition Act of 1966 (42 U.S.C. 1786(b));
(v) homeless youths (as defined in section 387 of the Runaway and Homeless Youth Act (42 U.S.C. 5732a));
(vi) individuals with disabilities (as defined in section 3 of the Americans with Disabilities Act of 1990 (42 U.S.C. 12102));
(vii) low-income individuals (as defined in section 101 of the Workforce Investment Act of 1998 (29 U.S.C. 2801)); and
(viii) older individuals (as defined in section 102 of the Older Americans Act of 1965 (42 U.S.C. 3002)).
SEC. 4853. FOOD EMPLOYMENT EMPOWERMENT AND DEVELOPMENT PROGRAM.
(a) Establishment.--The Secretary shall establish a food employment empowerment and development program under which the Secretary shall make grants to eligible entities to encourage the effective use of community resources to combat hunger and the root causes of hunger by creating opportunity through food recovery and job training.
(b) Eligible Entities.--To be eligible to receive a grant under this section, an entity shall be a public agency, or private nonprofit institution, that conducts, or will conduct, 2 or more of the following activities as an integral part of the normal operation of the entity:
(1) Recovery of donated food from area restaurants, caterers, hotels, cafeterias, farms, or other food service businesses.
(2) Distribution of meals or recovered food to--
(A) nonprofit organizations described in section 501(c)(3) of the Internal Revenue Code of 1986;
(B) entities that feed vulnerable subpopulations; and
(C) other agencies considered appropriate by the Secretary.
(3) Training of unemployed and underemployed adults for careers in the food service industry.
(4) Carrying out of a welfare-to-work job training program in combination with--
(A) production of school meals, such as school meals served under the Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.) or the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.); or
(B) support for after-school programs, such as programs conducted by community learning centers (as defined in section 4201(b) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7171(b))).
(c) Use of Funds.--An eligible entity may use a grant awarded under this section for--
(1) capital investments related to the operation of the eligible entity;
(2) support services for clients, including staff, of the eligible entity and individuals enrolled in job training programs;
(3) purchase of equipment and supplies related to the operation of the eligible entity or that improve or directly affect service delivery;
(4) building and kitchen renovations that improve or directly affect service delivery;
(5) educational material and services;
(6) administrative costs, in accordance with guidelines established by the Secretary; and
(7) additional activities determined appropriate by the Secretary.
(d) Preferences.--In awarding grants under this section, the Secretary shall give preference to eligible entities that perform, or will perform, any of the following activities:
(1) Carrying out food recovery programs that are integrated with--
(A) culinary worker training programs, such as programs conducted by a food service management institute under section 21 of the Richard B. Russell National School Lunch Act (42 U.S.C. 1769b-1);
(B) school education programs; or
(C) programs of service-learning (as defined in section 101 of the National and Community Service Act of 1990 (42 U.S.C. 12511)).
(2) Providing job skills training, life skills training, and case management support to vulnerable subpopulations.
(3) Integrating recovery and distribution of food with a job training program.
(4) Maximizing the use of an established school, community, or private food service facility or resource in meal preparation and culinary skills training.
(5) Providing job skills training, life skills training, and case management support to vulnerable subpopulations.
(e) Eligibility for Job Training.--To be eligible to receive job training assistance from an eligible entity using a grant made available under this section, an individual shall be a member of a vulnerable subpopulation.
(f) Performance Indicators.--The Secretary shall establish, for each year of the program, performance indicators and expected levels of performance for meal and food distribution and job training for eligible entities to continue to receive and use grants under this section.
(g) Technical Assistance.--
(1) IN GENERAL.--The Secretary shall provide technical assistance to eligible entities that receive grants under this section to assist the eligible entities in carrying out programs under this section using the grants.
(2) FORM.--Technical assistance for a program provided under this subsection includes--
(A) maintenance of a website, newsletters, email communications, and other tools to promote shared communications, expertise, and best practices;
(B) hosting of an annual meeting or other forums to provide education and outreach to all programs participants;
(C) collection of data for each program to ensure that the performance indicators and purposes of the program are met or exceeded;
(D) intervention (if necessary) to assist an eligible entity to carry out the program in a manner that meets or exceeds the performance indicators and purposes of the program;
(E) consultation and assistance to an eligible entity to assist the eligible entity in providing the best services practicable to the community served by the eligible entity, including consultation and assistance related to--
(i) strategic plans;
(ii) board development;
(iii) fund development;
(iv) mission development; and
(v) other activities considered appropriate by the Secretary;
(F) assistance considered appropriate by the Secretary regarding--
(i) the status of program participants;
(ii) the demographic characteristics of program participants that affect program services;
(iii) any new idea that could be integrated into the program; and
(iv) the review of grant proposals; and
(G) any other forms of technical assistance the Secretary considers appropriate.
(h) Relationship to Other Law.--
(1) BILL EMERSON GOOD SAMARITAN FOOD DONATION ACT.--An action taken by an eligible entity using a grant provided under this section shall be covered by the Bill Emerson Good Samaritan Food Donation Act (42 U.S.C. 1791).
(2) FOOD HANDLING GUIDELINES.--In using a grant provided under this section, an eligible entity shall comply with any applicable food handling guideline established by a State or local authority.
(3) INSPECTIONS.--An eligible entity using a grant provided under this section shall be exempt from inspection under sections 303.1(d)(2)(iii) and 381.10(d)(2)(iii) of volume 9, Code of Federal Regulations (or a successor regulation), if the eligible entity--
(A) has a hazard analysis and critical control point (HACCP) plan;
(B) has a sanitation standard operating procedure (SSOP); and
(C) otherwise complies with the Federal Meat Inspection Act (21 U.S.C. 601 et seq.) and the Poultry Products Inspection Act (21 U.S.C. 451 et seq.).
(i) Maximum Amount of Grant.--The amount of a grant provided to an eligible entity for a fiscal year under this section shall not exceed $200,000.
(j) Authorization of Appropriations.--
(1) IN GENERAL.--There are authorized to be appropriated to carry out this section $20,000,000 for each of fiscal years 2008 through 2012.
(2) TECHNICAL ASSISTANCE.--Of the amount of funds that are made available for a fiscal year under paragraph (1), the Secretary shall use to provide technical assistance under subsection (g) not more than the greater of--
(A) 5 percent of the amount of funds that are made available for the fiscal year under paragraph (1); or
(B) $1,000,000.
Beginning on page 691, strike line 21 and all that follows through page 692, line 17.
On page 981, line 12, strike ``$16,000,000'' and insert ``$30,000,000''.
Beginning on page 1046, strike line 15 and all that follows through page 1053, line 23, and insert the following:
SEC. 8002. COMMUNITY FORESTS WORKING LAND PROGRAM.
Section 7 of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2103c) is amended--
(1) by redesignating subsection (m) as subsection (n); and
(2) by inserting after subsection (l) the following:
``(m) Community Forests Working Land Program.--
``(1) DEFINITIONS.--In this subsection:
``(A) COMMUNITY FOREST LAND.--The term `community forest land' means a parcel of land that is--
``(i) forested; and
``(ii) located, as determined by the Secretary, within, or in close proximity to, a population center.
``(B) UNIT OF LOCAL GOVERNMENT.--The term `unit of local government' means a town, city, or other unit of local government.
``(2) PURPOSES.--The purposes of the community forests working land program are--
``(A) to help protect environmentally important forest land near population centers, as determined by the Secretary;
``(B) to facilitate land use planning by units of local government; and
``(C) to facilitate the donations, acceptance, and enforcement of conservation easements on community forest land.
``(3) ESTABLISHMENT.--The Secretary, in cooperation with the States, shall offer financial and technical assistance to units of local government by providing, in priority areas (as defined by the Secretary)--
``(A) financial assistance to purchase conservation easements on, facilitate the donation, acceptance, and enforcement of conservation easements on, or otherwise acquire, community forest land; and
``(B) technical assistance to facilitate--
``(i) conservation of community forests;
``(ii) management of community forests;
``(iii) training related to forest management and forest conservation; and
``(iv) other forest conservation activities, as determined by the Secretary.
``(4) AUTHORIZATION OF APPROPRIATIONS.--There is authorized to be appropriated to carry out this subsection $65,000,000 for each of fiscal years 2008 through 2012.''.
On page 1112, line 8, strike ``$300,000,000'' and insert ``$360,000,000''.
On page 1129, line 18, strike ``$230,000,000'' and insert ``$300,000,000''.
On page 1150, strike lines 11 through 24 and insert the following:
``(h) Funding.--Of the funds of the Commodity Credit Corporation, the Secretary of Agriculture shall use to carry out this section $345,000,000 for the period of fiscal years 2008 through 2012, to remain available until expended.''.
On page 1295, strike lines 6 through 11 and insert the following:
``(A) FUNDING.--Of the funds of the Commodity Credit Corporation, the Secretary shall make available to carry out this subsection $15,000,000 for each of fiscal years 2008 through 2012.'';
(ii) in subparagraph (B), by striking ``authorized to be appropriated under subparagraph (A)'' and inserting ``made available under subparagraph (A)''; and
(iii) by adding at the end the following:


(As printed in the Congressional Record for the Senate on Nov 15, 2007.)