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Title 7 — Agriculture

Chapter 50 — Agricultural Credit

§ 1981e. Planting and production history guidelines

Statutory text

(a)

In general

The Secretary shall ensure that appropriate procedures, including to the extent practicable onsite inspections, or use of county or State yield averages, are used in calculating future yields for an applicant for a loan, when an accurate projection cannot be made because the applicant’s past production history has been affected by natural disasters declared under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.).

(b)

Calculation of yields

(1)

In general

For purposes of averaging past yields of the farm of a borrower or applicant over a period of crop years to calculate future yields for the farm under this chapter (except for loans under subchapter III), the Secretary shall permit the borrower or applicant to exclude the crop year with the lowest actual or county average yield for the farm from the calculation, if the borrower or applicant was affected by a disaster during at least 2 of the crop years during the period.

(2)

Affected by a disaster

For purposes of paragraph (1), a borrower or applicant was affected by a disaster if the Secretary finds that the borrower or applicant’s farming operations have been substantially affected by a natural disaster in the United States or by a major disaster or emergency designated by the President under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.), including a borrower or applicant who has a qualifying loss but is not located in a designated or declared disaster area.

(3)

Application of subsection

Paragraph (1) shall apply to all actions taken by the Secretary to carry out this chapter (except for loans under subchapter III) that involve the yields of a farm of a borrower or applicant, including making loans and loan guarantees, servicing loans, and making credit sales.

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

  1. Agricultural Act of 1961

    Pub. L. 87–128 title III § 331E · 75 Stat. 294

    Enacted · 7 U.S.C. § 1981e

    Pub. L. 87–128, title III, § 331E, as added Pub. L. 100–233, title VI, § 606, Jan. 6, 1988, 101 Stat. 1667

    Source evidence

    Code source credit
    Pub. L. 87–128, title III, § 331E, as added Pub. L. 100–233, title VI, § 606, Jan. 6, 1988, 101 Stat. 1667

  2. Pub. L. 102–237 title V § 501(d)(1) · 105 Stat. 1818

    1. Amended · 7 U.S.C. § 1981e

      Pub. L. 102–237 designated existing provisions as subsec. (a)

    2. Inserted · 7 U.S.C. § 1981e

      Pub. L. 102–237 inserted heading

    3. Added · 7 U.S.C. § 1981e

      Pub. L. 102–237 added subsec. (b)

    Source evidence

    Code amendment note
    Pub. L. 102–237 designated existing provisions as subsec. (a), inserted heading, and added subsec. (b).

    Enacted provision · exact public law section
    (1) In general.— Section 331E of such Act (7 U.S.C. 1981e) is amended— (A) by striking “The” and inserting “(a) IN GENERAL.— The”; and (B) by adding at the end the following new subsection:

    Effective date note
    Pub. L. 102–552, title V, § 516(g)(2), Oct. 28, 1992, 106 Stat. 4138, provided that: “The amendments made by paragraph (1) of this subsection [amending this section] shall take effect immediately after section 501(d) of the Food, Agriculture, Conservation, and Trade Act Amendments of 1991 (Public Law 102–237; 105 Stat. 1866) [amending this section and enacting provisions set out below] took effect.”

  3. Farm Credit Banks and Associations Safety and Soundness Act of 1992

    Pub. L. 102–552 § 516(g)(1)(A) · 106 Stat. 4102

    Substituted · 7 U.S.C. § 1981e(a)

    Pub. L. 102–552, § 516(g)(1)(A), substituted “Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.)” for “Disaster Relief Act of 1974”

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 102–552, § 516(g)(1)(A), substituted “Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.)” for “Disaster Relief Act of 1974”.

    Enacted provision · exact public law section
    (A) in subsection (a), by striking “Disaster Relief Act of 1974” and inserting “Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.)”; and

    Effective date note
    Pub. L. 102–552, title V, § 516(g)(2), Oct. 28, 1992, 106 Stat. 4138, provided that: “The amendments made by paragraph (1) of this subsection [amending this section] shall take effect immediately after section 501(d) of the Food, Agriculture, Conservation, and Trade Act Amendments of 1991 (Public Law 102–237; 105 Stat. 1866) [amending this section and enacting provisions set out below] took effect.”

  4. Farm Credit Banks and Associations Safety and Soundness Act of 1992

    Pub. L. 102–552 § 516(g)(1)(B) · 106 Stat. 4102

    Inserted · 7 U.S.C. § 1981e(b)(2)

    Pub. L. 102–552, § 516(g)(1)(B), inserted “Robert T. Stafford” before “Disaster Relief”

    Source evidence

    Code amendment note
    Subsec. (b)(2). Pub. L. 102–552, § 516(g)(1)(B), inserted “Robert T. Stafford” before “Disaster Relief”.

    Enacted provision · exact public law section
    (B) in subsection (b), by inserting “Robert T. Stafford” before “Disaster Relief”.

    Effective date note
    Pub. L. 102–552, title V, § 516(g)(2), Oct. 28, 1992, 106 Stat. 4138, provided that: “The amendments made by paragraph (1) of this subsection [amending this section] shall take effect immediately after section 501(d) of the Food, Agriculture, Conservation, and Trade Act Amendments of 1991 (Public Law 102–237; 105 Stat. 1866) [amending this section and enacting provisions set out below] took effect.”

5 of 6 references resolved to an enrolled provision · 1 partial

Editorial Notes

References in Text

The Robert T. Stafford Disaster Relief and Emergency Assistance Act, referred to in subsecs. (a) and (b)(2), is Pub. L. 93–288, , 88 Stat. 143, which is classified principally to chapter 68 (§ 5121 et seq.) of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see Short Title note set out under section 5121 of Title 42 and Tables.

This chapter, referred to in subsec. (b)(1), (3), was in the original “this title”, meaning title III of Pub. L. 87–128, , 75 Stat. 307, known as the Consolidated Farm and Rural Development Act, which is classified principally to this chapter. For complete classification of title III to the Code, see Short Title note set out under section 1921 of this title and Tables.

Amendments1991–1992 · 2 rounds

1992

Subsec. (a). Pub. L. 102–552, § 516(g)(1)(A), substituted “Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.)” for “Disaster Relief Act of 1974”.

Subsec. (b)(2). Pub. L. 102–552, § 516(g)(1)(B), inserted “Robert T. Stafford” before “Disaster Relief”.

1991

Pub. L. 102–237 designated existing provisions as subsec. (a), inserted heading, and added subsec. (b).

Statutory Notes and Related Subsidiaries

Effective Date of 1992 Amendment

Pub. L. 102–552, title V, § 516(g)(2), , 106 Stat. 4138, provided that: “The amendments made by paragraph (1) of this subsection [amending this section] shall take effect immediately after section 501(d) of the Food, Agriculture, Conservation, and Trade Act Amendments of 1991 (Public Law 102–237; 105 Stat. 1866) [amending this section and enacting provisions set out below] took effect.”

Effective Date of 1991 Amendment

Pub. L. 102–237, title V, § 501(d)(3), , 105 Stat. 1867, provided that:

“(A)

In general.—

Except as provided in subparagraph (B), the amendment made by paragraph (1) [amending this section] shall become effective on the date of publication of the interim regulations issued pursuant to paragraph (2)(A) [set out below].

“(B)

Exception.—

The amendment made by paragraph (1) shall apply to each primary loan servicing application submitted on or after the date of enactment of this Act [].”

Regulations

Pub. L. 102–237, title V, § 501(d)(2), , 105 Stat. 1867, provided that:

“(A)

Interim regulations.—

Notwithstanding section 553 of title 5, United States Code, as soon as practicable after the date of enactment of this Act [] and without a requirement for prior public notice and comment, the Secretary of Agriculture shall issue interim regulations that provide for the implementation of the amendment made by paragraph (1) [amending this section] beginning in crop year 1992.

“(B)

Final regulations.—

The Secretary of Agriculture shall provide for public notice and comment before the issuance of final regulations to implement the amendment made by paragraph (1).”

Credits

1988–1992 · 3 acts
  1. 1988Pub. L. 87–128, title III, § 331E, as added Pub. L. 100–233, title VI, § 606, , 101 Stat. 1667
  2. 1991amended Pub. L. 102–237, title V, § 501(d)(1), , 105 Stat. 1866
  3. 1992Pub. L. 102–552, title V, § 516(g)(1), , 106 Stat. 4138.
Show as published

(Pub. L. 87–128, title III, § 331E, as added Pub. L. 100–233, title VI, § 606, , 101 Stat. 1667; amended Pub. L. 102–237, title V, § 501(d)(1), , 105 Stat. 1866; Pub. L. 102–552, title V, § 516(g)(1), , 106 Stat. 4138.)

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