§ 1985. Security servicing

Footnotes

1. 1 See References in Text note below.

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. 1961

   Agricultural Act of 1961

   Pub. L. 87–128 title III § 335 · 75 Stat. 294

   Enacted · 7 U.S.C. § 1985

   Pub. L. 87–128, title III, § 335, Aug. 8, 1961, 75 Stat. 315

   Source evidence

   Code source credit
   Pub. L. 87–128, title III, § 335, Aug. 8, 1961, 75 Stat. 315

   Enacted provision · exact public law section
   Sec. 335. (a) The Secretary is authorized and empowered to make advances, without regard to any loan or total indebtedness limitation, to preserve and protect the security for or the lien or priority of the lien securing any loan or other indebtedness owing to, insured by, or acquired by the Secretary under this title or under any other programs administered by the Farmers Home Administration; to bid for and purchase at any execution, foreclosure, or other sale or otherwise to acquire property upon which the United States has a lien by reason of a judgment or execution arising from, or which is pledged, mortgaged, conveyed, attached, or levied upon to secure the payment of, any such indebtedness whether or not such property is subject to other liens, to accept title to any property so purchased or acquired; and to sell, manage, or otherwise dispose of such property as hereinafter provided. (b) Real property administered under the provisions of this title may be operated or leased by the Secretary for such period or periods as the Secretary may deem necessary to protect the Government’s investment therein. (c) The Secretary may determine whether real property administered under this title is suitable for disposition to persons eligible for assistance under subtitle A. Any property which the Secretary determines to be suitable for such purposes shall, whenever practicable, be sold by the Secretary as expeditiously as possible to such eligible persons in a manner consistent with the provisions of subtitle A hereof. Real property which is not determined suitable for sale to such eligible persons or which has not been purchased by such persons within a period of three years from the date of acquisition, shall be sold by the Secretary after public notice at public sale and, if no acceptable bid is received then by negotiated sale, at the best price ob-tainable for cash or on secured credit without regard to the laws Governing the disposition of excess or surplus property of the United States. The terms of such sale shall require an initial downpayment of at least 20 per centum and the remainder of the sales price payable in not more than five annual installments with interest on unpaid balance at the rate determined by the Secretary. Any conveyances under this section shall include all of the interest of the United States, including mineral rights. (d) With respect to any real property administered under this title, the Secretary is authorized to grant or sell easements or rights-of-way for roads, utilities, and other appurtenances not inconsistent with the public interest. With respect to any rights-of-way over land on which the United States has a lien administered under this title, the Secretary may release said lien upon payment to the United States of adequate consideration, and the interest of the United States arising under any such lien may be acquired for highway purposes by any State or political subdivision thereof in condemnation proceedings under State law by service by certified mail upon the United States attorney for the district, the State Director of the Farmers Home Administration for the State in which the farm is located, and the Attorney General of the United States: Provided, however, That the United States shall not be required to appear, answer, or respond to any notice or writ sooner than ninety days from the time such notice or writ is returnable or purports to be effective, and the taking or vesting of title to the interest of the United States shall not become final under any proceeding, order, or decree until adequate compensation and damages have been finally determined and paid to the United States or into the registry of the court.

2. 1972

   Rural Development Act of 1972

   Pub. L. 92–419 title I § 127 · 86 Stat. 657

   1. Substituted · 7 U.S.C. § 1985(c)

      Pub. L. 92–419 substituted “the provisions of any law administered by the Farmers Home Administration” for “subchapter I of this chapter” in second sentence

   2. Substituted · 7 U.S.C. § 1985(c)

      Pub. L. 92–419 substituted “such provisions” for “the provisions of subchapter I of this chapter” in second sentence

   3. Struck · 7 U.S.C. § 1985(c)

      Pub. L. 92–419 struck out from fourth sentence initial minimum 20 per centum downpayment requirement and provision for payment of remainder in not more than five annual installments, and provided in such fourth sentence for interest rates and terms not more favorable than legally permissible for eligible borrowers

   Source evidence

   Code amendment note
   Subsec. (c). Pub. L. 92–419 substituted “the provisions of any law administered by the Farmers Home Administration” for “subchapter I of this chapter” in first sentence and “such provisions” for “the provisions of subchapter I of this chapter” in second sentence, struck out from fourth sentence initial minimum 20 per centum downpayment requirement and provision for payment of remainder in not more than five annual installments, and provided in such fourth sentence for interest rates and terms not more favorable than legally permissible for eligible borrowers.

   Enacted provision · exact public law section
   Sec. 127. Disposition of Real Property.— Section 335(c) of the Consolidated Farmers Home Administration Act of 1961 is amended by— (1) striking out “subtitle A” in the first sentence and in=erting in lieu thereof “the provisions of any law administered by the Farmers Home Administration”; (2) stinking out “the provisions of subtitle A” in the second sentence and inserting in lien thereof “such provisions”; (3) striking out in the fourth sentence “of at least 20 per centum” and “not more than five annual”; and (4) adding at the end of the fourth sentence before the period the following: “, but not in any event at rates and terms more favorable than those legally permissible for eligible borrowers”.

3. 1985

   Food Security Act of 1985

   Pub. L. 99–198 § 1314(a)(1) · 99 Stat. 1354

   Substituted · 7 U.S.C. § 1985(b)

   Pub. L. 99–198, § 1314(a)(1), substituted “Except as provided in subsection (e), real property” for “Real property”

   Source evidence

   Code amendment note
   Subsec. (b). Pub. L. 99–198, § 1314(a)(1), substituted “Except as provided in subsection (e), real property” for “Real property”.

   Enacted provision · exact public law section
   (1) striking out “Real” in subsection (b) and inserting in lieu thereof “Except as provided in subsection (e), real”;

4. 1985

   Food Security Act of 1985

   Pub. L. 99–198 § 1314(a)(2) · 99 Stat. 1354

   1. Substituted · 7 U.S.C. § 1985(c)

      Pub. L. 99–198, § 1314(a)(2), substituted “Except as provided in subsection (e) of this section, the Secretary” for “The Secretary”

   2. Inserted · 7 U.S.C. § 1985(c)

      Pub. L. 99–198, § 1314(a)(2), inserted sentence at end providing that notwithstanding the preceding sentence, the Secretary may for conservation purposes grant or sell an easement, restriction, development rights, or the equivalent thereof, to a unit of local or State government or a private nonprofit organization separately from the underlying fee or sum of all other rights possessed by the United States

   Source evidence

   Code amendment note
   Subsec. (c). Pub. L. 99–198, § 1314(a)(2), substituted “Except as provided in subsection (e) of this section, the Secretary” for “The Secretary” and inserted sentence at end providing that notwithstanding the preceding sentence, the Secretary may for conservation purposes grant or sell an easement, restriction, development rights, or the equivalent thereof, to a unit of local or State government or a private nonprofit organization separately from the underlying fee or sum of all other rights possessed by the United States.

   Enacted provision · exact public law section
   (2) in subsection (c)— (A) striking out “The” in the first sentence and inserting in lieu thereof “Except as provided in subsection (e), the”, and (B) adding at the end thereof the following new sentence: “Notwithstanding the preceding sentence, the Secretary may for conservation purposes grant or sell an easement, restriction, development rights, or the equivalent thereof, to a unit of local or State government or a private nonprofit organization separately from the underlying fee or sum of all other rights possessed by the United States.”; and

5. 1985

   Food Security Act of 1985

   Pub. L. 99–198 § 1318(b)(1) · 99 Stat. 1354

   Added · 7 U.S.C. § 1985(c)

   Pub. L. 99–198, § 1318(b)(1), which directed insertion of “, other than easements acquired under section 1997 of this title” at end of last sentence, was executed to fifth sentence of subsec. (c), and not to sixth and last sentence as added by section 1314(a)(2)(B) of Pub. L. 99–198, to reflect the probable intent of Congress

   Target inherited from the preceding amendment note.

   Source evidence

   Code amendment note
   Pub. L. 99–198, § 1318(b)(1), which directed insertion of “, other than easements acquired under section 1997 of this title” at end of last sentence, was executed to fifth sentence of subsec. (c), and not to sixth and last sentence as added by section 1314(a)(2)(B) of Pub. L. 99–198, to reflect the probable intent of Congress.

   Enacted provision · exact public law section
   (1) The last sentence of section 335(c) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1985(c)) is amended by inserting Ante. pp. 1526, 1528. Ante, p. 1530. “, other than easements acquired under section 349” before the period at the end thereof.

6. 1985

   Food Security Act of 1985

   Pub. L. 99–198 § 1314(a)(3) · 99 Stat. 1354

   Added · 7 U.S.C. § 1985(e)

   Pub. L. 99–198, § 1314(a)(3), added subsec. (e)

   Source evidence

   Code amendment note
   Subsec. (e). Pub. L. 99–198, § 1314(a)(3), added subsec. (e).

   Enacted provision · exact public law section
   (3) by adding at the end thereof the following new subsection: “(e) (1) The Secretary shall to the extent practicable sell or lease farmland administered under this title in the following order of priority: “(A) Sale of such farmland to operators (as of the time immediately before such sale) of not larger than family-size farms. “(B) Lease of such farmland to operators (as of the time immediately before such lease is entered into) of not larger than family-size farms. “(2) The Secretary shall not offer for sale or sell any such farmland Prohibition. if the placing of such farmland on the market will have a detrimental effect on the value of farmland in the area. “(3) (A) The Secretary shall consider granting, and may grant, to an operator of not larger than a family-size farm, in conjunction with paragraph (3), a Tease with an option to purchase farmland administered under this title. “(B) The Secretary shall issue regulations providing for leasing Regulations. such land, or leasing such land with an option to purchase, on a fair and equitable basis. “(C) In leasing such land, the Secretary shall give special consideration to a previous owner or operator of such land if such owner or operator has financial resources, and farm management skills and experience, that the Secretary determines are sufficient to assure a reasonable prospect of success in the proposed farming operation. “(D) To the extent the Secretary may lease or operate real property Real property. Contracts. Small business. under this subsection, the Secretary shall, if the Secretary determines to administer such property through management contracts, offer the contracts on a competitive bid basis, giving preference to persons who will live in, and own and operate qualified small businesses in, the area where the property is located. “(4) (A) (i) The Secretary may sell farmland administered under this title through an installment sale or similar device that contains such terms as the Secretary considers necessary to protect the investment of the Federal Government in such land. “(ii) The Secretary may subsequently sell any contract entered Contracts. into to carry out clause (i). “(B) The Secretary shall offer such land for sale to operators of not larger than family-size farms at a price that reflects the average annual income that may be reasonably anticipated to be generated from farming such land. “(C) If two or more qualified operators of not larger than family-size Regulations. farms desire to purchase, or lease with an option to purchase, such land, the appropriate county committee shall, by majority vote, select the operator who may purchase such land, on such basis as the Secretary may prescribe by regulation. “(5) (A) If the Secretary determines that farmland administered under this title is not suitable for sale or lease to an operator of not larger than a family-size farm because such farmland is in a tract or tracts that the Secretary determines to be larger than that necessary for family-size farms, the Secretary shall subdivide such land into tracts suitable for such operator. “(B) The Secretary shall dispose of such subdivided farmland in accordance with this subsection. “(6) If suitable farmland is available for disposition under this subsection, the Secretary shall— “(A) publish an announcement of the availability of such farmland in at least one newspaper that is widely circulated in the county in which the farmland is located; and “(B) post an announcement of the availability of such farmland in a prominent place in the local office of the Farmers Home Administration that serves the county in which the farmland is located. “(7) In the case of farmland administered under this title that is highly erodible land (as defined in section 1201 of the Food Security Ante. p. 1504. Act of 1985), the Secretary may require the use of specified conservation practices on such land as a condition of the sale or lease of such land. “(8) Notwithstanding any other provisions of law, compliance by the Secretary with this subsection shall not cause any acreage allotment, marketing quota, or acreage base assigned to such property to lapse, terminate, be reduced, or otherwise be adversely affected.”.

7. 1985

   Food Security Act of 1985

   Pub. L. 99–198 § 1315 · 99 Stat. 1354

   Added · 7 U.S.C. § 1985(f)

   Pub. L. 99–198, § 1315, added subsec. (f)

   Source evidence

   Code amendment note
   Subsec. (f). Pub. L. 99–198, § 1315, added subsec. (f).

   Enacted provision · exact public law section
   Sec. 1315. release of normal income security Section 335 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1985) (as amended by section 1314(3)) is further amended by adding at the end thereof the following new subsection: “(f) (1) As used in this subsection, the term ‘normal income security’ has the same meaning given such term in section 1962.17(b) of title 7, Code of Federal Regulations (as of January 1, 1985). “(2) Until such time as the Secretary accelerates a loan made or insured under this title, the Secretary shall release from the normal income security provided for such loan an amount sufficient to pay the essential household and farm operating expenses of the borrower, as determined by the Secretary.”.

8. 1988

   Agricultural Credit Act of 1987

   Pub. L. 100–233 § 610(a) · 101 Stat. 1568

   1. Amended · 7 U.S.C. § 1985(c)

      Pub. L. 100–233, § 610(a), designated existing provisions as par. (1)

   2. Inserted · 7 U.S.C. § 1985(c)

      Pub. L. 100–233, § 610(a), inserted provisions requiring the County Committee to classify or reclassify real property that is farmland, as being suitable for farming operation for such disposition unless property cannot be used to meet any of the purposes of section 1923 of this title

   3. Added · 7 U.S.C. § 1985(c)

      Pub. L. 100–233, § 610(a), added par. (2)

   Source evidence

   Code amendment note
   Subsec. (c). Pub. L. 100–233, § 610(a), designated existing provisions as par. (1), inserted provisions requiring the County Committee to classify or reclassify real property that is farmland, as being suitable for farming operation for such disposition unless property cannot be used to meet any of the purposes of section 1923 of this title, and added par. (2).

   Enacted provision · exact public law section
   (a) Classification of Property.— Section 335(c) (7 U.S.C. 1985(c)) is amended— (1) by inserting “(1)” after the subsection designation; (2) by inserting after the first sentence the following new sentence: “The County Committee shall classify or reclassify real property (including real property administered by the Secretary on the date of the enactment of this sentence) that is farmland, as being suitable for farming operation for such disposition unless the property, including property subdivided in accordance with subsection (e)(5), cannot be used to meet any of the purposes of section 303 (including being used as a start-up or add-on parcel of farmland).”; and (3) by adding at the end thereof the following new paragraph: “(2) Notwithstanding any other provision of law, the Secretary Contracts. shall sell suitable farmland administered under this subtitle to operators (as of the time immediately after such contract for sale or lease is entered into) of not larger than family sized farms, as determined by the county committee. In selling such land, the county committee shall— “(A) grant a priority to persons eligible for loans under subtitle A, including individuals approved for, but who, as of the date of the enactment of this paragraph, have not yet received, such loans; “(B) offer suitable land at a price not greater than that which reflects the appraised market value of such land; “(C) select from among qualified applicants the applicant who has the greatest need for farm income and best meets the criteria for eligibility to receive loans under subtitle A; and “(D) publish or caused to be published three consecutive Public information. weekly announcements at least twice annually of the availability of such farmland, in at least one newspaper that is widely circulated in the county in which the land is located until the property is sold.”.

9. 1988

   Agricultural Credit Act of 1987

   Pub. L. 100–233 § 610(b)(1) · 101 Stat. 1568

   1. Added · 7 U.S.C. § 1985(e)(1)

      Pub. L. 100–233, § 610(b)(1), added par. (1)

   2. Struck · 7 U.S.C. § 1985(e)(1)

      Pub. L. 100–233, § 610(b)(1), struck out former par. (1) which read as follows: “The Secretary shall to the extent practicable sell or lease farmland administered under this chapter in the following order of priority:

   Source evidence

   Code amendment note
   Subsec. (e)(1). Pub. L. 100–233, § 610(b)(1), added par. (1) and struck out former par. (1) which read as follows: “The Secretary shall to the extent practicable sell or lease farmland administered under this chapter in the following order of priority:

   “(A) Sale of such farmland to operators (as of the time immediately before such sale) of not larger than family-size farms. “(B) Lease of such farmland to operators (as of the time immediately before such lease is entered into) of not larger than family-size farms.”

   Enacted provision · exact public law section
   (1) by striking out paragraph (1) and inserting in lieu thereof the following new paragraph: “(1) (A) (i) During the 180-day period beginning on the date of acquisition, or during the applicable period under State law, the Secretary shall allow the borrower from whom the Secretary acquired real property used to secure any loan made to the borrower under this title (hereinafter referred to in this paragraph as the ‘borrower-owner’) to purchase or lease such property. “(ii) The period for the purchase or lease of real property described under clause (i), by a person described in clauses (i) or (ii) of subparagraph (C), shall expire 190 days after the date of acquisition, or sifter the applicable period under State law. “(iii) The rights regarding the purchase or lease of real property provided by this paragraph and accorded a person described in subparagraph (C) may be freely and knowingly waived by such person. “(B) Any purchase or lease under subparagraph (A) shall be on such terms and conditions as are established in regulations promulgated by the Secretary. “(C) The Secretary shall give preference in the sale or lease, with option to purchase, of property that has been foreclosed, purchased, redeemed, or otherwise acquired by the Secretary to persons in the following order: “(i) The immediate previous borrower-owner of the acquired property. “(ii) If actively engaged in farming— “(I) the spouse or child of the previous borrower-owner; or “(II) a stockholder in the corporation, if the borrower-owner is a corporation held exclusively by members of the same family. “(iii) The immediate previous family size farm operator of such acquired property. “(iv) Operators (as of the time immediately after such sale or lease is entered into) of not larger than family-size farms. “(D) Indians. (i) If— “(I) the real property described in subparagraph (A)(i) is located within an Indian reservation, “(II) the borrower-owner is the Indian tribe that has jurisdiction over the reservation in which the real property is located or the borrower-owner is a member of such Indian tribe, and “(III) the period in which the right to purchase or lease such real property provided in clauses (i) and (ii) of subparagraph (A) has expired, the Secretary shall dispose of or administer the property only as provided for in this subparagraph. “(ii) For purposes of this subparagraph, the term ‘Indian reservation’ means all land located within the limits of any Indian reservation under the jurisdiction of the United States, notwithstanding the issuance of any patent, and, including rights-of-way running through the reservation; trust or restricted land located within the boundaries of a former reservation of a federally recognized Indian tribe in the State of Oklahoma; or all Indian allotments the Indian titles to which have not been extinguished if such allotments are subject to the jurisdiction of a federally recognized Indian tribe. “(iii) The Secretary shall, within 90 days after the expiration of the period for which the right to purchase or lease real property described in clause (i) is provided in clauses (i) and (ii) of subparagraph (A), afford an opportunity to purchase or lease the real property in accordance with the order of priority established under clause (iv) by the Indian tribe having jurisdiction over the Indian reservation within which the real property is located or, if no order of priority is established by such Indian tribe under clause (iv), in the following order: “(I) to an Indian member of the Indian tribe that has jurisdiction over the reservation within which the real property is located; “(II) to an Indian corporate entity; “(III) to such Indian tribe. “(iv) The governing body of any Indian tribe having jurisdiction over an Indian reservation may revise the order of priority provided in clause (iii) under which lands located within such reservation shall be offered for purchase or lease by the Secretary under clause (iii) and may restrict the eligibility for such purchase or lease to— “(I) persons who are members of such Indian tribe, “(II) Indian corporate entities that are authorized by such Indian tribe to lease or purchase lands within the boundaries of such reservation, or “(III) such Indian tribe itself. “(v) If real property described in clause (i) is not purchased or leased under clause (iii) and the Indian tribe having jurisdiction over the reservation within which the real property is located is unable to purchase or lease the real property, the Secretary shall transfer the real property to the Secretary of the Interior who shall administer the real property as if the real property were held in trust by the United States for the benefit of such Indian tribe. From the Contracts. State and local governments. Taxes. rental income derived from the lease of the transferred real property, and all other income generated from the transferred real property, the Secretary of the Interior shall pay those State, county, municipal, or other local taxes to which the transferred real property was subject at the time of acquisition by the Secretary, until the earlier of— “(I) the expiration of the 4-year period beginning on the date on which the real property is so transferred, or “(II) such time as the lands are transferred into trust pursuant to clause (viii). “(vi) At any time any real property is transferred to the Secretary of the Interior under clause (v), the Secretary of Agriculture shall be deemed to have no further responsibility under this Act for collection of any amounts with regard to the farm program loan which had been secured by such real property, nor with regard to any lien arising out of such loan transaction, nor for repayments of any amount with regard to such loan transactions or liens to the Treasury of the United States, and the Secretary of the Interior shall be deemed to have succeeded to all right, title and interest of the Secretary of Agriculture in such real estate arising from the farm program loan transaction, including the obligation to remit to the Treasury of the United States, in repayment of the original loan, those amounts provided in clause (vii). “(vii) After the payment of any taxes which are required to be paid under clause (v), all remaining rental income derived from the lease of the real property transferred to the Secretary of the Interior under clause (v), and all other income generated from the real property transferred to the Secretary of the Interior under clause (v), shall be deposited as miscellaneous receipts in the Treasury of the United States until the amount deposited is equal to the lesser of— “(I) the amount of the outstanding lien of the United States against such real property, as of the date the real property was acquired by the Secretary; “(II) the fair market value of the real property, as of the date of the transfer to the Secretary of the Interior; or “(III) the capitalized value of the real property, as of the date of the transfer to the Secretary of the Interior. “(viii) When the total amount that is required to be deposited under clause (vii) with respect to any real property has been deposited into the Treasury of the United States, title to the real property shall be held in trust by the United States for the benefit of the Indian tribe having jurisdiction over the Indian reservation within which the real property is located. “(ix) Notwithstanding any other clause of this subparagraph, the Indian tribe having jurisdiction over the Indian reservation within which the real property described in clause (i) is located may, at any time after the real property has been transferred to the Secretary of the Interior under clause (v), offer to pay the remaining amount on the lien, or the fair market value of the real property, whichever is less. Upon payment of such amount, title to such real property shall be held by the United States in trust for the tribe and such trust or restricted lands that have been acquired by the Secretary under foreclosure or voluntary transfer under a loan made or insured under this title and transferred to an Indian person, entity, or tribe under the provisions of this subparagraph shall be deemed to have never lost trust or restricted status. “(E) The rights provided in this subsection shall be in addition to any such right of first refusal under the law of the State in which the property is located.”;

10. 1988

    Agricultural Credit Act of 1987

    Pub. L. 100–233 § 610(b)(2) · 101 Stat. 1568

    1. Redesignated · 7 U.S.C. § 1985(e)(3)

       Pub. L. 100–233, § 610(b)(2), redesignated subpars. (B) to (D) as (A) to (C), respectively, in subpar. (B) substituted “Secretary shall determine if the lessee” for “Secretary shall give special consideration to a previous owner or operator of such land if such owner or operator”

    2. Added · 7 U.S.C. § 1985(e)(3)

       Pub. L. 100–233, § 610(b)(2), added subpar. (D)

    3. Struck · 7 U.S.C. § 1985(e)(3)

       Pub. L. 100–233, § 610(b)(2), struck out former subpar. (A) which read as follows: “The Secretary shall consider granting, and may grant, to an operator of not larger than a family-size farm, in conjunction with paragraph (3), a lease with an option to purchase farmland administered under this chapter.”

    Source evidence

    Code amendment note
    Subsec. (e)(3). Pub. L. 100–233, § 610(b)(2), redesignated subpars. (B) to (D) as (A) to (C), respectively, in subpar. (B) substituted “Secretary shall determine if the lessee” for “Secretary shall give special consideration to a previous owner or operator of such land if such owner or operator”, added subpar. (D), and struck out former subpar. (A) which read as follows: “The Secretary shall consider granting, and may grant, to an operator of not larger than a family-size farm, in conjunction with paragraph (3), a lease with an option to purchase farmland administered under this chapter.”

    Enacted provision · exact public law section
    (2) in paragraph (3)— (A) by striking out subparagraph (A); (B) by redesignating subparagraphs (B), (C), and (D), as subparagraphs (A), (B), and (O, respectively; (C) in subparagraph (B) (as so redesignated), by striking out “give special consideration to a previous owner or operator of such land if such owner or operator” and inserting in lieu thereof “determine if the lessee”; and (D) by adding at the end thereof the following new subparagraph: “(D) Contracts. The Secretary may enter into a contract with a borrower of a farmer program loan made or insured under this title, to provide for the subsequent sale or lease of land that will be acquired from the borrower in the future, before the Secretary takes possession of such land.”;

11. 1988

    Agricultural Credit Act of 1987

    Pub. L. 100–233 § 610(b)(3) · 101 Stat. 1568

    Amended · 7 U.S.C. § 1985(e)(5)(A)

    Pub. L. 100–233, § 610(b)(3), amended subpar. (A) generally. Prior to amendment, subpar. (A) read as follows: “If the Secretary determines that farmland administered under this chapter is not suitable for sale or lease to an operator of not larger than a family-size farm because such farmland is in a tract or tracts that the Secretary determines to be larger than that necessary for family-size farms, the Secretary shall subdivide such land into tracts suitable for such operator.”

    Source evidence

    Code amendment note
    Subsec. (e)(5)(A). Pub. L. 100–233, § 610(b)(3), amended subpar. (A) generally. Prior to amendment, subpar. (A) read as follows: “If the Secretary determines that farmland administered under this chapter is not suitable for sale or lease to an operator of not larger than a family-size farm because such farmland is in a tract or tracts that the Secretary determines to be larger than that necessary for family-size farms, the Secretary shall subdivide such land into tracts suitable for such operator.”

    Enacted provision · exact public law section
    (3) by amending subparagraph (A) of paragraph (5) to read as follows: “(A) If the Secretary determines that farmland administered under this chapter is not suitable for sale or lease to persons eligible for a loan made or insured under subtitle A because such farmland is in a tract or tracts that the Secretary determines to be larger than that necessary for such eligible persons, the Secretary shall, to the greatest extent practicable, subdivide such land into tracts suitable for sale under subsection (c). Such land shall be subdivided into parcels of land the shape and size of which are suitable for farming, the value of which shall not exceed the individual loan limits as prescribed under section 305.”;

12. 1988

    Agricultural Credit Act of 1987

    Pub. L. 100–233 § 610(b)(4) · 101 Stat. 1568

    Added · 7 U.S.C. § 1985(e)(6)(C)

    Pub. L. 100–233, § 610(b)(4), added subpar. (C)

    Source evidence

    Code amendment note
    Subsec. (e)(6)(C). Pub. L. 100–233, § 610(b)(4), added subpar. (C).

    Enacted provision · exact public law section
    (4) in paragraph (6)— (A) by striking out “and” at the end of subparagraph (A); (B) by striking out the period at the end of subparagraph (B) and inserting in lieu thereof “; and”; and (C) by adding at the end thereof the following new subparagraph: “(C) provide written notice reasonably calculated to inform the immediate previous owner or immediate previous family-size farm operator of such farmland, of the availability of such farmland.”; and

13. 1988

    Agricultural Credit Act of 1987

    Pub. L. 100–233 § 610(b)(5) · 101 Stat. 1568

    Added · 7 U.S.C. § 1985(e)(9); 7 U.S.C. § 1985(e)(10)

    Pub. L. 100–233, § 610(b)(5), added pars. (9) and (10)

    Source evidence

    Code amendment note
    Subsec. (e)(9), (10). Pub. L. 100–233, § 610(b)(5), added pars. (9) and (10).

    Enacted provision · exact public law section
    (5) by adding at the end thereof the following new paragraphs: “(9) Denials of applications for or disputes over terms and conditions of a lease or purchase agreement under this section are appealable under section 333B. “(10) In the event of any conflict between any provision of this subsection and any provision of the law of any State providing a right of first refusal to the owner of farmland or the operator of a farm before the sale or lease of land to any other person, such provision of State law shall prevail.”.

14. 1988

    Agricultural Credit Act of 1987

    Pub. L. 100–233 § 611 · 101 Stat. 1568

    Amended · 7 U.S.C. § 1985(f)

    Pub. L. 100–233, § 611, amended subsec. (f) generally. Prior to amendment, subsec. (f) read as follows:

    Source evidence

    Code amendment note
    Subsec. (f). Pub. L. 100–233, § 611, amended subsec. (f) generally. Prior to amendment, subsec. (f) read as follows:

    “(1) As used in this subsection, the term ‘normal income security’ has the same meaning given such term in section 1962.17(b) of title 7, Code of Federal Regulations (as of January 1, 1985). “(2) Until such time as the Secretary accelerates a loan made or insured under this chapter, the Secretary shall release from the normal income security provided for such loan an amount sufficient to pay the essential household and farm operating expenses of the borrower, as determined by the Secretary.”

    Enacted provision · exact public law section
    SEC. 611. INCOME RELEASE. Subsection (f) of section 335 (7 U.S.C. 1985(D) is amended to read as follows: “(f) (1) As used in this subsection, the term ‘normal income security’ means all security not considered basic security, including crops, livestock, poultry products, Agricultural Stabilization and Conservation Service payments and Commodity Credit Corporation payments, and other property covered by Farmers Home Administration liens that is sold in conjunction with the operation of a farm or other business, but shall not include any equipment (including fixtures in States that have adopted the Uniform Commercial Code), or foundation herd or Dock, that is the basis of the farming or other operation, and is the basic security for a Farmers Home Administration farmer program loan. “(2) The Secretary shall release from the normal income security provided for such loan an amount sufficient to pay for the essential household and farm operating expenses of the borrower, until such time as the Secretary accelerates such loan. “(3) A borrower whose account was accelerated on or after November 1, 1985, and on or before May 7, 1987, but not thereafter foreclosed on or liquidated, shall be entitled to the release of security income for a period of 12 months, to pay the essential household and farm operating expenses of such borrower in an amount not to exceed $18,000 over 12 months, if such borrower— “(A) as of October 30, 1987, continued to be actively engaged in the farming operations for which the Secretary had made the farmer program loan; and “(B) as of the deadline for responding to the notice provided for under paragraph (5), requests restructuring of such loans pursuant to section 353. “(4) The county committee in the county in which borrower’s land is located shall determine whether the borrower has complied with the requirements of paragraph (3)(A). “(5) (A) Within 45 days after the date of the enactment of this subsection, the Secretary shall provide to the borrowers described in paragraph (3) notice by certified mail of the right of such borrowers to apply for the benefits under such paragraph. “(B) Releases under such paragraph shall be made to qualified borrowers who have responded to the notice within 30 days after receipt. “(C) Within 12 months after a borrower has requested restructuring under section 353, the Secretary shall make a final determination on the request. Notwithstanding the 12-month limitation provided for in paragraph (3), releases shall continue to be made to the borrower until a denial or dismissal of the application of the borrower for restructuring under section 353 is made. The amount of essential household and farm operating expenses which may be released to any borrower eligible for such releases after 12 months may exceed $18,000, by an amount proportionate to the period of time beyond 12 months before a final determination is made by the Secretary. “(6) If a borrower is required to plan for or to report on how proceeds from the sale of collateral property will be used, the Secretary shall— “(A) notify the borrower of such requirement; and “(B) notify the borrower of the right to the release of funds under this section and the means by which a request for the funds may be made. “(7) Regulations. The Secretary shall issue regulations consistent with this section that— “(A) ensure the release of funds to each borrower; and “(B) establish guidelines for releases under paragraph (3), including a list of expenditures for which funds will normally be released”.

15. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 title XVIII · 104 Stat. 3359

    1. Inserted · 7 U.S.C. § 1985(a)

       Pub. L. 101–624, §§ 1813(a), 2303(c)(1), inserted “or the Rural Development Administration” after “Farmers Home Administration”

    2. Substituted · 7 U.S.C. § 1985(a)

       Pub. L. 101–624, §§ 1813(a), 2303(c)(1), substituted “12 months from the date first published under paragraph (2)(D)” for “three years from the date of acquisition”

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 101–624, §§ 1813(a), 2303(c)(1), inserted “or the Rural Development Administration” after “Farmers Home Administration” and substituted “12 months from the date first published under paragraph (2)(D)” for “three years from the date of acquisition”.

    Enacted provision · exact public law
    TITLE XVIII— CREDIT Subtitle A— Farmers Home Administration Loans SEC. 1801. REFERENCES TO THE CONSOLIDATED FARM AND RURAL DEVELOPMENT ACT. Wherever in this subtitle an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et seq.), except to the extent otherwise specifically provided. SEC. 1802. SOIL AND WATER LOANS. (a) In General.— Section 304 (7 U.S.C. 1924) is amended by adding at the end the following new subsection: “(d) (1) Loans may also be made or insured under this subtitle for soil and water conservation and protection. Such loans may be made to farm owners or tenants who are eligible borrowers under this subtitle for— “(A) the installation of conservation structures, including terraces, sod waterways, permanently vegetated stream borders and filter strips, windbreaks (tree or grass), shelterbelts, and living snow fences; “(B) the establishment of forest cover for sustained yield timber management, erosion control, or shelterbelt purposes; “(C) the establishment or improvement of permanent pasture; “(D) the conversion to and maintenance of sustainable agricultural production systems, as described by Department technical guides and handbooks; “(E) the payment of costs of complying with section 1212 of the Food Security Act of 1985 (16 U.S.C. 3812); and “(F) other purposes consistent with plans for soil and water conservation, integrated farm management, water quality protection and enhancement, and wildlife habitat improvement. “(2) In making or insuring loans under this subsection, the Secretary shall give priority to producers who use such loans to build conservation structures or establish conservation practices to comply with section 1212 of the Food Security Act of 1985 (16 U.S.C. 3812). “(3) The Secretary shall not make or insure a loan under this section that exceeds the lesser of— “(A) the value of the farm or other security for such loan; or “(B) $50,000.”. (b) Limited Resource Authorization.— Section 310D(a) (7 U.S.C. 1934(a)) is amended— (1) by striking “clauses (1) through (5) of section 303(a) of this title” and inserting “paragraphs (1) through (5) of section 303(a), or subparagraphs (A) through (E) of section 304(d)(1),”; (2) in paragraph (2), by striking “clauses” and inserting “paragraphs”; (3) in paragraph (3), by striking “of this title”; and (4) in the second sentence, by striking “clauses” and inserting “paragraphs”. SEC. 1803. INTEREST RATE ON FARM OWNERSHIP LOANS AND OPERATING LOANS MADE TO LIMITED RESOURCE BORROWERS. (a) Farm Ownership Loans.— Subparagraph (B) of section 307(a)(3) (7 U.S.C. 1927(a)(3)(B)) is amended to read as follows: “(B) Except as provided in paragraph (6), the interest rate on loans (other than guaranteed loans) under section 310D shall not be— “(i) greater than the sum of— “(I) an amount that does not exceed one-half of the current average market yield on outstanding marketable obligations of the United States with maturities of 5 years; and “(II) an amount not exceeding 1 percent per year, as the Secretary determines is appropriate; or “(ii) less than 5 percent per year.”. (b) Operating Loans.— Paragraph (2) of section 316(a) (7 U.S.C. 1946(a)(2)) is amended to read as follows: “(2) The interest rate on any loan (other than a guaranteed loan) to a low income, limited resource borrower under this subtitle shall not be— “(A) greater than the sum of— “(i) an amount that does not exceed one-half of the current average market yield on outstanding marketable obligations of the United States with maturities of 5 years; and “(ii) an amount not exceeding 1 percent per year, as the Secretary determines is appropriate; or “(B) less than 5 percent per year.”. SEC. 1804. GUARANTEE OF PAYMENT BY DEPARTMENT OF HAWAIIAN HOME LANDS. Section 310C(b) (7 U.S.C. 1933(b)) is amended by striking “, as amended” and inserting “or this title”. SEC. 1805. DEBT SETTLEMENT. (a) In General.— Section 331 (7 U.S.C. 1981) is amended— (1) in subsection (d)— (A) by striking “under any of its programs, as circumstances may require, to carry out” and inserting “, except for activities under the Housing Act of 1949”; and (B) by striking “incurred under this title” and inserting “, except for debt incurred under the Housing Act of 1949”; and (C) in paragraph (1), by inserting “with respect to farmer program loans,” before “on terms”; and (2) in subsection (e)— (A) by inserting “except for activities conducted under the Housing Act of 1949,” after “(e)”; (B) by striking “arising or”; (C) by striking “under this title” and inserting “by the Farmers Home Administration”; and (D) by striking “pursuant to this title” and inserting “by the Farmers Home Administration”. (b) Payment of Accrued Interest.— Section 331 (7 U.S.C. 1981) is amended by striking subsection (h). (c) Technical and Conforming Amendments.— Section 331 (7 U.S.C. 1981) is amended— (1) by indenting the margin of subsections (f), (g), and (i) so as to align with the margin of subsection (e); (2) in subsection (f), by striking “Release” and inserting “release”; (3) in subsection (g), by striking “Obtain” and inserting “obtain”; (4) in subsection (i), by striking “Consent” and inserting “consent”; and (5) by redesignating subsections (i) and (j) as subsections (h) and (i), respectively. SEC. 1806. DOCUMENTATION FOR APPROVAL OF SECURITY TRANSFER Section 331(h)(2) (as amended and so redesignated by section 1805 of this Act) is amended by inserting before the semicolon at the end the following: “, and shall document the consent of the Secretary for the transfer of the property of a borrower in the file of the borrower”. SEC. 1807. NOTICE OF LOAN SERVICE PROGRAMS. Section 331D (7 U.S.C. 1981d) is amended— (1) in subsection (b)(1), by inserting “debt settlement programs,” after “preservation loan service programs,”; and (2) in subsection (e), by striking “45” and inserting “60”. SEC. 1808. UNDERWRITING FORMS AND STANDARDS. (a) In General.— The Act is amended by inserting after section 331E (7 U.S.C. 1981e) the following new section: “SEC. 331F. UNDERWRITING FORMS AND STANDARDS. “In the administration of this title, the Secretary shall, to the extent practicable, use underwriting forms, standards, practices, and terminology similar to the forms, standards, practices, and terminology used by lenders in the private sector.”. (b) Regulations.— The Secretary of Agriculture shall not issue final regulations providing for the use of ratios and standards for determining the degree of potential loan risk under section 33 IF of the Consolidated Farm and Rural Development Act (as added by subsection (a) of this section), prior to the submission of the study and report on the effects of the regulations required by section 621 of the Agricultural Credit Act of 1987 (7 U.S.C. 1989 note). SEC. 1809. COUNTY COMMITTEES. (a) FmHA-Eligible Borrowers.— Section 332(a)(4) (7 U.S.C. 1982(a)(4)) is amended by inserting “be elected to” before “serve”. (b) Mailing Ballots.— Section 332(a) is amended by adding at the end the following new paragraph: “(6) The Secretary shall provide for the mailing of ballots to persons eligible to vote for the election of county committee members only if the mailing of the ballots coincides with the mailing of ballots under other programs administered by the Secretary.”. (c) Training.— Section 332 is amended by adding at the end the following new subsection: “(d) (1) The Secretary shall provide annual training of county committee members on the job responsibilities of the members under this title. “(2) The Secretary shall develop and provide a county committee training manual to all county committee members and shall update the manual in a timely manner to reflect changes in law or regulations.”. SEC. 1810. CERTIFICATION OF LOAN ELIGIBILITY. Section 333(b) (7 U.S.C. 1983(b)) is amended to read as follows: “(b) (1) (A) for loans (other than under sections 306, 310B, 314, and 321(a)(2)), the county committee to certify in writing that the applicant meets the eligibility requirements for the loan, and has the character, industry, and ability to carry out the proposed operations, and will in the opinion of the county committee honestly endeavor to carry out the applicant’s undertakings and obligations; “(B) for loans under sections 306, 310B, 314, and 321(a)(2), the recommendation of the county committee as to the making or insuring of the loan; and “(C) for all loans, the certification of eligibility under this subsection shall continue in effect for a period of not to exceed 2 years as the committee may determine appropriate; and “(2) the Secretary may provide a procedure for appeal and review of any determination relating to a certification or rec-ommendation required to be made by the county committee, and for reversal or modification thereof should the facts warrant such action;”. SEC. 1811. BUSINESS AND INDUSTRY AND COMMUNITY FACILITY LOANS. Section 333A(a) (7 U.S.C. 1983a(a)) is amended by adding at the end the following new paragraph: “(4) (A) Notwithstanding paragraph (1), each application for a loan or loan guarantee under section 310B(a), or for a loan under section 306(a), that is to be disapproved by the Secretary solely because the Secretary lacks the necessary amount of funds to make the loan or guarantee shall not be disapproved but shall be placed in pending status. “(B) The Secretary shall retain the pending application and reconsider the application beginning on the date that sufficient funds become available. “(C) Not later than 60 days after funds become available regarding each pending application, the Secretary shall notify the applicant of the approval or disapproval of funding for the application.”. SEC. 1812. APPEALS. Section 333B(e) (7 U.S.C. 1983b(e)) is amended by adding at the end the following new paragraph: “(4) Except as provided in paragraph (3) and in the regulations of the Secretary governing the right of the Secretary to seek review of appeal decisions under this title, a county committee or employee of the Farmers Home Administration shall, on having a case returned pursuant to the decision of a hearing officer, State director, or the director of the national appeals division, implement the decision within a reasonable period of time.”. SEC. 1813. DISPOSITION OF SUITABLE PROPERTY. (a) Holding Period.— The fourth sentence of section 335(c)(1) (7 U.S.C. 1985(c)(1)) is amended by striking “three years from the date of acquisition” and inserting “12 months from the date first published under paragraph (2)(D)”. (b) Random Selection Among Equally Qualified Applicants.— Section 335 (7 U.S.C. 1985) is amended— (1) in subsection (c)(2)(C), by inserting before the semicolon the following: “, except that if the committee determines that two or more applicants meet the loan eligibility criteria, the committee shall select between the qualified applicants on a random basis”; and (2) in subsection (e)(4)(C)— (A) by striking “shall, by majority vote,” and inserting “shall randomly”; and (B) by inserting before the period at the end the following: “, in accordance with subsection (c)(2)(B)(iii)”. (c) Property Subject to Borrower Purchase or Lease Option.— Section 335(e)(1)(A)(i) (7 U.S.C. 1985(e)(1)(A)(i)) is amended by striking “real property” and inserting “real farm or ranch property (including the principal residence of the borrower)”. (d) Right of First Refusal.— Section 335(e)(1)(A) (7 U.S.C. 1985(e)(1)(A)) is amended by adding at the end the following new clause: “(iv) In the case of real property described in clause (i) that was acquired by the Secretary before January 6, 1988, that is (or has been at any time during the 12-month period preceding the date of enactment of this clause) under lease to a person described in subparagraph (C), and that has not been conveyed (or contracted to be conveyed) by the Secretary prior to the date of enactment of this clause, the Secretary shall, during the 30-day period following the date of enactment of this clause, make the person an offer, to be held open for a period of 90 days, to purchase the property on the same terms and conditions that such offers are made in the case of property coming into inventory on or after the date of enactment of this clause.”. (e) Qualified Beginning Farmers or Ranchers.— (1) Suitable farmland.— Section 335(c)(2) (7 U.S.C. 1985(c)(2)) is amended— (A) by redesignating subparagraphs (A), (B), (C), and (D) as clauses (i), (ii), (iii), and (iv), respectively; and (B) by striking all that precedes clause (i) (as so redesignated by subparagraph (A) of this paragraph) and inserting the following: “(2) (A) Notwithstanding any other provision of law, the Secretary shall sell suitable farmland administered under this title to persons in the following order: “(i) Qualified beginning farmers or ranchers (as defined pursuant to section 343(a)(8)), as of the time immediately after such contract for sale or lease is entered into, as determined by the county committee. “(ii) Operators, as of the time immediately after such contract for sale or lease is entered into, of not larger than family sized farms, as determined by the county committee. “(B) In selling such land, the county committee shall—”. (2) Other property.— Section 335(e)(1)(C) (7 U.S.C. 1985(e)(1)(C)) is amended— (A) by redesignating clause (iv) as clause (v); and (B) by inserting after clause (iii) the following new clause: “(iv) Qualified beginning farmers or ranchers (as defined pursuant to section 343(a)(8)) as of the time immediately after such contract for sale or lease is entered into, of not larger than family-sized farm or ranching operations.”. (f) Indian Land in Inventory.— Section 335(e)(1)(D) (7 U.S.C. 1985(e)(1)(D)) is amended by adding at the end the following new clause: “(x) This subparagraph shall apply to all lands in the land inventory established under this title (as of the date of enactment of this clause) that were (immediately prior to such date) owned by an Indian borrower-owner described in clause (i) and that are situated within an Indian reservation (as defined in clause (ii)), regardless of the date of foreclosure or acquisition by the Secretary. The Secretary shall afford an opportunity to a tribal member, an Indian corporate entity, or the tribe to purchase or lease the real property as provided in clause (iii). If the right is not exercised or no expression of intent to exercise such right is received within 180 days after the date of enactment of this clause, the Secretary shall transfer the real property to the Secretary of the Interior as provided in clause (v).”. (g) Offering Price.— (1) In general.— Section 335(c)(2)(B)(ii) (7 U.S.C. 1985(c)(2)(B)(ii)), as amended by subsection (e)(i) of this section, is amended to read as follows: “(ii) offer such land— “(I) for sales pursuant to subsection (e)(1)(C), at a price not greater than that which reflects the appraised market value of such farmland; and “(II) for all other sales, at a price not greater than that which reflects the fair market value of such land as determined by bids after advertising or by negotiated sale;”. (2) Conforming amendments.— Section 335(e)(4) (7 U.S.C. 1985(e)(4)) is amended— (A) by striking subparagraph (B); and (B) by redesignating subparagraph (C) as (B). (h) Conservation Easements on Wetlands on FmHA Inventory Property.— (1) In general.— Section 335 (7 U.S.C. 1985) is amended by adding at the end the following new subsection: “(g) (1) Subject to paragraphs (2) through (5), in the disposal of real property under this section, the Secretary shall establish perpetual wetland conservation easements to protect and restore wetlands or converted wetlands that exist on inventoried property, as determined by the Secretary in accordance with title XII of the Food Security Act of 1985 (16 U.S.C. 3801 et seq.). “(2) In establishing the wetland conservation easements on land that is considered to be cropland as of the date of enactment of this subsection, the Secretary shall avoid, to the extent practicable, an adverse impact on the productivity of the croplands, as provided in this subsection. “(3) In order to avoid the adverse impact, the Secretary shall— “(A) not establish the wetland conservation easements with respect to wetlands that were converted prior to December 23, 1985, and that have been in cropland use, as determined by the Secretary, in excess of 10 percent of the existing cropland available for production of agricultural commodities on the particular parcel of inventoried property; “(B) not establish the wetland conservation easements with respect to wetlands that have been frequently planted to agricultural commodities and wetlands described in subparagraph (A), in excess of 20 percent of the existing cropland available for production of agricultural commodities on the particular parcel of inventoried property; “(C) ensure that the buffer area adjacent to the wetland is generally not more than 100 feet in average width; and “(D) ensure that access to other portions of the property for farming and other uses is provided. “(4) The wetland conservation easements shall be placed on wetlands that have a history of haying and grazing, as determined by the Secretary, except that in no case shall the quantity of the wetland subject to the easements exceed 50 percent of the existing forage lands on the parcel of inventoried property. All haying and grazing practices on the wetlands (including the timing and intensity of haying and grazing) shall conform to forage management standards designed to protect wetlands. “(5) If, despite the limitations contained in paragraph (3), wetland conservation easements established under paragraph (1) would prevent a particular parcel of inventoried property that is to be sold or leased to a borrower described in clause (i), (ii), or (iii) of subsection (e)(1)(C), or to a borrower who is a beginning farmer or rancher, from being a marketable agricultural production unit that is comparable to the parcel as acquired, the Secretary may— “(A) establish wetland conservation easements on wetland that was converted prior to December 23, 1985, in a quantity that is less than 10 percent of the existing croplands available for production of agricultural commodities on the particular parcel; and “(B) if the reduction provided in subparagraph (A) is not applicable, or is not sufficient to ensure that the particular parcel would be a marketable agricultural production unit, amend the wetland conservation easements established on the wetlands that have been frequently planted to agricultural commodities to permit the production of agricultural commodities (consistent with title XII of the Food Security Act of 1985) on the wetlands, to the extent necessary to maintain the parcel as a marketable agricultural production unit. “(6) The Secretary shall provide prior written notification to a borrower considering preservation loan servicing that a wetlands conservation easement may be placed on land for which the borrower is negotiating a lease option. “(7) The appraised value of the farm shall reflect the value of the land due to the placement of wetland conservation easements. “(8) Notwithstanding the limitations described under paragraphs (3) and (4), the limitations may be voluntarily, knowingly waived by any person with respect to real property described in paragraph (3) or (4).”. (2) Study and report on appropriate ceilings on the establishment of wetland conservation easements on existing cropland.— (A) Study.— Not later than January 31, 1991, the Administrator of the Farmers Home Administration shall study the appropriateness of the maximum percentages, in subparagraphs (A) and (B) of section 335(g)(3) of the Consolidated Farm and Rural Development Act, of the existing cropland available for production of agricultural commodities with respect to which perpetual wetland conservation easements are to be established under such section, taking into account— (i) the amount of land in the inventory of the Farmers Home Administration that may become subject to such an easement; and (ii) the costs and benefits associated with the making of such inventory land subject to such an easement. (B) Report.— Not later than January 31, 1991, the Administrator of the Farmers Home Administration shall prepare and submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report containing the recommendations of the Administrator as to the appropriate maximum percentages referred to in subparagraph (A) of this paragraph. SEC. 1814. DEFINITIONS. Section 343(a) (7 U.S.C. 1991(a)) is amended— (1) by striking “and” at the end of paragraph (6); and (2) by inserting before the period at the end the following: “, (8) the term ‘beginning farmer or rancher’ means such term as defined by the Secretary, (9) the term ‘direct loan’ means a loan made or insured from funds in the account created by section 309, and (10) the term ‘farmer program loan’ means a farm ownership loan (FO) under section 303, operating loan (OL) under section 312, soil and water loan (SW) under section 304, recreation loan (RL) under section 304, emergency loan (EM) under section 321, economic emergency loan (EE) under section 202 of the Emergency Agricultural Credit Adjustment Act (title II of Public Law 95–334), economic opportunity loan (EO) under the Economic Opportunity Act of 1961 (42 U.S.C. 2942), softwood timber loan (ST) under section 1254 of the Food Security Act of 1985, or rural housing loan for farm service buildings (RHF) under section 502 of the Housing Act of 1949”. SEC. 1815. EXTENSION OF ELIGIBILITY FOR CONSERVATION EASEMENTS; ASSISTANCE TO BORROWERS. Section 349 (7 U.S.C. 1997) is amended— (1) in subsection (c)— (A) in the matter preceding paragraph (1), by striking “such property”; (B) in paragraph (1), by inserting “such property” before “is”; (C) in paragraph (2), by inserting “such property” before “is”; (D) in paragraph (3)(A)(i), by inserting “such property” before “secures”; (E) by amending clause (ii) of paragraph (3)(A) to read as follows: “(ii) such easement better enables a qualified borrower to repay the loan in a timely manner, as determined by the Secretary; or”; (F) in paragraph (3)(B), by inserting “such property” before “is”; and (G) in paragraph (4), by inserting “such property” before “was”; and (2) by amending subsection (e) to read as follows: “(e) (1) Subject to paragraph (2), the Secretary may purchase any such easement from the borrower— “(A) in the case of a borrower to whom the Secretary has made one or more outstanding loans under laws administered by the Farmers Home Administration, by canceling that part of the aggregate amount of such outstanding loans that bears the same ratio to such aggregate amount as the number of acres of the real property of the borrower that are subject to the easement bears to the aggregate number of acres securing such loans; or “(B) in any other case, by treating as prepaid that part of the principal amount of a new loan to the borrower issued and held by the Secretary under a law administered by the Farmers Home Administration that bears the same ratio to such principal amount as the number of acres of the real property of the borrower that are subject to the easement bears to the aggregate number of acres securing the new loan. “(2) The amount so canceled or treated as prepaid pursuant to paragraph (1) shall not exceed— “(A) in the case of a delinquent loan, the value of the land on which the easement is acquired or the difference between the amount of the outstanding loan secured by the land and the value of the land, whichever is greater; or “(B) in the case of a nondelinquent loan, 33 percent of the amount of the loan secured by the land.”; and (9) by striking subsection (h). SEC. 1816. DEBT RESTRUCTURING AND LOAN SERVICING. (a) Eligibility for Restructuring.— Section 353(b)(1) (7 U.S.C. 2001(b)(1)) is amended by inserting before the semicolon the following: “, except that the regulations shall require that, if the value of the assets calculated under subsection (c)(2)(A)(ii) that may be realized through liquidation or other methods would produce enough income to make the delinquent loan current, the borrower shall not be eligible for assistance under subsection (a)”. (b) Changes in Net Recovery Value Calculation.— (1) Inclusion of certain nonessential unsecured assets of the borrower in the recovery value.— Section 353(c)(2)(A) (7 U.S.C. 2001(c)(2)(A)) is amended to read as follows: “(A) (i) the amount of the current appraised value of the interests of the borrower in the property securing the loan; plus “(ii) the value of the interests of the borrower in all other assets that are— “(I) not essential for necessary family living expenses; “(II) not essential to the operation of the farm; and “(III) not exempt from judgment creditors or in a bankruptcy action under Federal or State law; less”. (2) Inclusion of security property not possessed by the borrower in the recovery value.— Section 353(c)(2) (7 U.S.C. 2001(c)(2)) is amended— (A) in subparagraph (B)(iv), by striking “costs.” and inserting “costs; plus”; and (B) by adding at the end the following new subparagraph: “(C) the value, as determined by the Secretary, of any property not included in subparagraph (A)(i) if the property is specified in any security agreement with respect to such loan and the Secretary determines that the value of such property should be included for purposes of this section.”. (c) Debt Service Margin.— Section 353(c)(3) (7 U.S.C. 2001(c)(3)) is amended by adding at the end the following new subparagraph: “(C) Debt service margin.— “(i) Assumption.— For the purpose of assessing under subparagraph (A) the ability of a borrower to meet debt obligations and continue farming operations, the Secretary shall assume that the borrower needs up to 105 percent of the amount indicated for payment of debt obligations. “(ii) Available income.— If an amount up to 105 percent of the debt payments of the borrower has been earmarked for such payments, the Secretary shall consider the income of the borrower to be adequate to meet the debt obligations of the borrower.”. (d) Deadline for Restructuring Calculations.— Section 353(c)(4) (7 U.S.C. 2001(c)(4)) is amended by striking “60” and inserting “90”. (e) Good Faith Requirement for Leaseback/Buyback Eligibility.— Section 335(e)(1) (7 U.S.C. 1985(e)(1)) is amended— (1) in subparagraph (A)(i), by inserting if such borrower-owner has acted in good faith with the Secretary, as defined in regulations issued by the Secretary, in connection with such loan” before the period at the end; and (2) in subparagraph (C)(i), by inserting “, if such borrower-owner has acted in good faith with the Secretary, as defined in regulations issued by the Secretary, in connection with the loan of such borrower-owner for which such property served as security” before the period at the end. (f) Termination of Loan Obligations.— Paragraph (6) of section 353(c) (7 U.S.C. 2001(c)(6)) is amended to read as follows: “(6) Termination of loan obligations.— “(A) Required conditions.— “(i) In general.— Except as provided in subparagraph (B), the obligations of a borrower to the Secretary under a restructured loan shall terminate if— “(I) the borrower satisfies the requirements of paragraphs (1) and (2) of subsection (b); “(II) the value of the restructured loan is less than the recovery value; and “(III) within 90 days after receipt of the notification described in paragraph (4)(B), the borrower pays (or obtains third-party financing to pay) the Secretary an amount equal to the recovery value, “(ii) Limited applicability of good faith requirement.— Clause (i)(I) shall not apply to any offer of net recovery buyout made by the Secretary under this section before the date of enactment of this paragraph, unless the Secretary, before such date, determined that the borrower involved did not act in good faith with respect to the loan. “(B) Recapture.— “(i) Authority to require borrower to enter into agreement before terminating loan obligations.— “(I) In general.— The Secretary may require, as a condition of the termination of loan obligations under this paragraph, that the borrower enter into an agreement with the Secretary providing that if the borrower sells or otherwise conveys the real property used to secure such loan within 10 years after the date of such agreement, and realizes a gain on such sale or conveyance over the amount of the recovery value of the loan, then the Secretary may recapture part or all of the difference between the recovery value of the loan and the fair market value (on the date of such sale or conveyance) of the property securing the loan. “(II) Limitation on recapture amount.— The agreement described in subclause (I) shall not provide for recapture of an amount that exceeds the difference between such recovery value and the outstanding balance of principal and interest owed on the loan immediately prior to the termination of any loan obligations under this paragraph. “(ii) Treatment of intrafamily transfers.— For purposes of clause (i)(I), transfer of title to a property, on the death or retirement of the borrower, to a spouse or child of the borrower who is actively engaged in farming on the property shall not be treated as a sale or conveyance.”. (g) Appraisals.— Section 353(c) (7 U.S.C. 2001(c)) is amended by adding at the end the following new paragraph: “(7) Negotiation of appraisal.— “(A) In general.— In making a determination concerning restructuring under this subsection, the Secretary, at the request of the borrower, shall enter into negotiations concerning appraisals required under this subsection with the borrower. “(B) Independent appraisal.— If the borrower, based on a separate current appraisal, objects to the decision of the Secretary regarding an appraisal, the borrower and the Secretary shall mutually agree, to the extent practicable, on an independent appraiser who shall conduct another appraisal of the borrower’s property. The average of the two appraisals that are closest in value shall become the final appraisal under this paragraph. The borrower and the Secretary shall each pay one-half of the cost of the independent appraisal.”. (h) Additional Provisions.— Section 353 is amended by adding at the end the following new subsections: “(l) Partial Liquidations.— If partial liquidations are performed (with the prior consent of the Secretary) as part of loan servicing by a guaranteed lender under this title, the Secretary shall not require full liquidation of a delinquent loan in order for the lender to be eligible to receive payment on losses. “(m) Disposition of Normal Income Security.— For purposes of subsection (b)(2) of this section, and subparagraphs (A)(i) and (C)(i) of section 335(e)(1)(A), if a borrower— “(1) disposed of normal income security prior to October 14, 1988, without the consent of the Secretary; and “(2) demonstrates that— “(A) the proceeds were utilized to pay essential household and farm operating expenses; and “(B) the borrower would have been entitled to a release of income proceeds by the Secretary if the regulations in effect on the date of enactment of this subsection had been in effect at the time of the disposition, the Secretary shall not consider the borrower to have acted without good faith to the extent of the disposition. “(n) Only 1 Write-Down or Net Recovery Buy-Out Per Borrower for a Loan Made After January 6, 1988.— “(1) In general.— The Secretary may provide for any one borrower not more than 1 write-down or net recovery buy-out under this section with respect to all loans made to the borrower after January 6, 1988. “(2) Special rule.— For purposes of paragraph (1), the Secretary shall treat any loan made on or before January 6, 1988, with respect to which a restructuring, write-down, or net recovery buy-out is provided under this section after such date, as a loan made after such date. “(o) Liquidation of Assets.— The Secretary may not use the authority provided by this section to reduce or terminate any portion of the debt of the borrower that the borrower could pay through the liquidation of assets (or through the payment of the loan value of the assets, if the loan value is greater than the liquidation value) described in subsection (c)(2)(A)(ii). “(p) Lifetime Limitation on Debt Forgiveness Per Borrower.— The Secretary may provide not more than $300,000 in principal and interest forgiveness under this section per borrower.”. SEC. 1817. DISTRIBUTION OF FUNDS ON INDIAN RESERVATIONS. Section 355(b) (7 U.S.C. 355(b)) is amended by adding at the end 7 USC 2003. the following new paragraph: “(3) Indian reservations.— In distributing loan funds in counties within the boundaries of an Indian reservation, the Secretary shall allocate the funds on a reservation-wide basis.”. SEC. 1818. BORROWER TRAINING. (a) In General.— Subtitle D (7 U.S.C. 1981 et seq.) is amended by adding at the end the following new section: “SEC. 359. BORROWER TRAINING. “(a) In General.— The Secretary shall enter into contracts to Government contracts. provide educational training to all borrowers of farmer program direct and guaranteed loans made under this title in financial and farm management concepts associated with commercial farming. “(b) Contract.— “(1) In general.— The Secretary may contract with State or private providers of farm management and credit counseling services (including a community college, the extension service of a State, a State department of agriculture, or a nonprofit organization) to carry out this section. “(2) Consultation.— The Secretary may consult with the chief executive officer of a State concerning the identity of the contracting organization and the process for contracting. “(c) Eligibility for Loans.— “(1) In general.— Subject to paragraph (2), to be eligible to obtain a direct or guaranteed loan under this title, a borrower must obtain management assistance under this section, appropriate to the management ability of the borrower (as determined by the appropriate county committee established pursuant to section 332, during the determination of eligibility for the loan). “(2) Loan conditions.— The need of a borrower who satisfies the criteria set out in section 302(a)(2) or 311(a)(2) for management assistance under this section shall not be cause for denial of eligibility of the borrower for a direct or guaranteed loan under this title. “(d) Guidelines and Curriculum.— The Secretary shall issue Regulations. regulations establishing guidelines and curriculum for the borrower training program established under this section. “(e) Payment.— A borrower shall pay for training received under this section, and may use funds from operating loans made under subtitle B to pay for the training. “(f) Waivers.— The Secretary may waive the requirements of this section for an individual borrower on a determination by the county committee that the borrower demonstrates adequate knowledge in areas described in this section.”. (b) Operating Loan Purposes.— Section 312(a) (7 U.S.C. 1942(a)) is amended— (1) by striking “and” at the end of paragraph (11); and (2) by inserting before the period at the end the following: “, and (13) borrower training under section 359”. SEC. 1819. LOAN ASSESSMENTS. Subtitle D (7 U.S.C. 1981 et seq.) is amended by adding after the section added by section 1818(a) of this Act the following new section: “SEC. 360. LOAN ASSESSMENTS. “(a) In General.— After an applicant is determined eligible for assistance under this title by the appropriate county committee established pursuant to section 332, the Secretary shall evaluate, in accordance with regulations issued by the Secretary, the farming plan and financial situation of each qualified farmer or rancher applicant. “(b) Determinations.— In evaluating the farming plan and financial situation of an applicant under this section, the Secretary shall determine— “(1) the amount that the applicant will need to borrow to carry out the proposed farming plan; “(2) the rate of interest that the applicant would need to be able to cover expenses and build an adequate equity base; “(3) the goals of the proposed farming plan of the applicant; “(4) the financial viability of the plan and any changes that are necessary to make the plan viable; and “(5) whether assistance is necessary under this title and, if so, the amount of the assistance. “(c) Contract.— The Secretary may contract with a third party (including those entities eligible to provide borrower training under section 359(b)) to conduct loan assessments under this section. “(d) Review of Loans.— “(1) In general.— Loan assessments conducted under this section shall include biannual review of direct loans, and periodic review (as determined necessary by the Secretary) of guaranteed loans, made under this title to assess the progress of a borrower in meeting the goals for the farm or ranch operation. “(2) Contracts.— The Secretary may contract with an entity that is eligible to provide borrower training under section 359(b) to conduct loan reviews under paragraph (1). “(3) Problem assessments.— If a borrower is delinquent in payments on a direct or guaranteed loan made under this title, the Secretary or the contracting entity shall determine the cause of, and action necessary to correct, the delinquency. “(e) Guidelines.— The Secretary shall issue regulations providing guidelines for loan assessments conducted under this section.”. SEC. 1820. SUPERVISED CREDIT. Subtitle D (7 U.S.C. 1981 et seq.) is amended by adding after the sections added by sections 1818(a) and 1819 of this Act the following new section: “SEC. 361. SUPERVISED CREDIT. “The Secretary shall provide adequate training to employees of the Farmers Home Administration on credit analysis and financial and farm management to— “(1) better acquaint the employees with what constitutes adequate financial data on which to base a direct or guaranteed loan approval decision; and “(2) ensure proper supervision of farmer program loans.”. SEC. 1821. MARKET PLACEMENT. Subtitle D (7 U.S.C. 1981 et seq.) is amended by adding after the sections added by sections 1818(a), 1819, and 1820 of this Act the following new section: “SEC. 362. MARKET PLACEMENT. “The Secretary shall establish a market placement program for qualified beginning farmers and ranchers and other borrowers of farmer program loans that the Secretary believes have a reasonable chance of qualifying for commercial credit with a guarantee provided under this title.”. SEC. 1822. SENSE OF CONGRESS REGARDING ASSISTANCE FOR QUALIFIED BEGINNING FARMERS OR RANCHERS. It is the sense of Congress that, in carrying out the Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et seq.), the Secretary of Agriculture should— (1) establish innovative programs of finance and assistance for land transfer between generations and for establishment of new farm and ranch units; (2) expand the use of the credit sale and land contract method for the sale of suitable property acquired under such Act; and (3) maintain statistics on the number of loans made, insured, or guaranteed, and inventory farmland sold or leased, to qualified beginning farmers or ranchers under such Act. SEC. 1823. SENSE OF CONGRESS REGARDING FmHA LOAN APPLICATION REVIEW AND LOAN SERVICING. (a) Findings.— Congress finds that reports issued by the Inspector General of the Department of Agriculture and the Comptroller General of the United States found problems with the system of loan application review, and monitoring of loan servicing of guaranteed loans, used under the Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et seq.). (b) Sense of Congress.— It is the sense of Congress that the Secretary of Agriculture should quickly take all actions necessary to correct the problems identified by the reports and report to Congress on the actions taken. SEC. 1824. PROHIBITION ON USE OF LOANS FOR CERTAIN PURPOSES. Subtitle D of the Consolidated Farm and Rural Development Act is amended by adding after the sections added by sections 1818(a), 1819,1820, and 1821 of this Act the following new section: “SEC. 363. PROHIBITION ON USE OF LOANS FOR CERTAIN PURPOSES. “The Secretary shall not approve any loan under this title to drain, dredge, fill, level, or otherwise manipulate a wetland (as defined in section 1201(a)(16) of the Food Security Act of 1985 (16 U.S.C. 3801(a)(16)), or to engage in any activity that results in impairing or reducing the flow, circulation, or reach of water, except in the case of activity related to the maintenance of previously converted wetlands, or in the case of such activity that is already commenced prior to the date of enactment of this section.”. Subtitle B— Farm Credit System SEC. 1831. REFERENCES TO THE FARM CREDIT ACT OF 1971. Wherever in this subtitle an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Farm Credit Act of 1971 (12 U.S.C. 2001 et seq.), except to the extent otherwise specifically provided. SEC. 1832. FINANCING FOR BASIC PROCESSING AND MARKETING OPERATIONS OWNED BY BONA FIDE PRODUCERS. (a) Farm Credit Banks.— Section 1.11(a) (12 U.S.C. 2019(a)) is amended— (1) by striking “(a) Agricultural or Aquatic Purposes.—Loans made by a Farm Credit Bank” and inserting the following: “(a) Agricultural or Aquatic Purposes.— “(1) In general.— Loans made by a Farm Credit Bank”; (2) by striking “at least 20 percent,” and all that follows through “Farm Credit Administration,” and inserting “some portion”; and (3) by adding after and below the end the following new paragraph: “(2) Limitation on loans for basic processing and marketing operations.— The aggregate of the financing provided by any Farm Credit Bank for basic processing and marketing directly related to the operations of farmers, ranchers, and producers or harvesters of aquatic products, if the operations of the applicant supply less than 20 percent of the total processing or marketing for which financing is extended, shall not exceed 15 percent of the total of all outstanding loans of such bank.”. (b) Production Credit Associations.— Section 2.4(a)(1) (12 U.S.C. 2075(a)(1)) is amended by striking “at least 20 percent,” and all that follows through the end of the paragraph and inserting “some portion of the total processing or marketing for which financing is extended, except that the aggregate of the financing provided by any association for basic processing and marketing directly related to the operations of farmers, ranchers, and producers or harvesters of aquatic products, if the operations of the applicant supply less than 20 percent of the total processing or marketing for which financing is extended, shall not exceed 15 percent of the total of all outstanding loans of all associations in the district at the end of its preceding fiscal year;”. SEC. 1833. RESTORATION OF FIRST LIEN ON STOCK. Subtitle A of title II is amended— (1) by redesignating section 2.6 (12 U.S.C. 2077) as section 2.7; and (2) by inserting after section 2.5 (12 U.S.C. 2076) the following new section: “SEC. 2.6. LIENS ON STOCK. “Except with regard to stock or participation certificates held by other Farm Credit System institutions, each production credit association shall have a first lien on stock and participation certificates the association issues, on allocated surplus, and on investments in equity reserve, for any indebtedness of the holder of the capital investments and, in the case of equity reserves, for charges for association losses in excess of reserves and surpluses.”. SEC. 1834. INSURANCE SERVICES. Section 4.29 (12 U.S.C. 2218) is amended— (1) in subsection (a)(2)— (A) in the first sentence, by inserting before the period at the end the following: “, if more than two insurers for each type of insurance have proposed programs to a bank that will, in all likelihood, have long-term viability and meet the requirements of subsection (b)(2)(D)”; and (B) in the third sentence, by inserting before the period at the end the following: “, if at least two insurers have been approved in accordance with this paragraph”; and (2) in subsection (b)(2)(E), by inserting before the semicolon at the end the following: “, if at least two insurers have been approved in accordance with subsection (a)(2)”. SEC. 1835. CLARIFICATION OF CONTENTS OF CERTIFIED STATEMENTS. Subsection (a) of section 5.56 (12 U.S.C. 2277a–5(a)) is amended to read as follows: “(a) Filing Certified Statement.— Annually, on a date to be determined in the sole discretion of the Board of Directors, each insured System bank that became insured before the beginning of the year shall file with the Corporation a certified statement showing— “(1) the annual average principal outstanding on loans made by the bank that are in accrual status, including the nonguaranteed portions of government-guaranteed loans; “(2) the annual average principal outstanding on the guaranteed portion of Federal Government-guaranteed loans (as defined in section 5.55(a)(2)) that are in accrual status; “(3) the annual average principal outstanding on State government-guaranteed loans (as defined in section 5.55(a)(2)) that are in accrual status; “(4) the annual average principal outstanding on loans that are in nonaccrual status; and “(5) the amount of the premium due the Corporation from the bank for the year.”. SEC. 1836. TERMINATION DATE FOR FARM CREDIT SYSTEM ASSISTANCE BOARD. (a) Use of Insurance Fund.— Section 5.60(c) (12 U.S.C. 2277a–9(c)) is amended— (1) in paragraph (1), by striking “5 years after the date of the enactment of this part” and inserting “January 1, 1993”; and (2) in paragraph (2), by striking “5 years after the date of enactment of this part” and inserting “January 1, 1993”. (b) Powers of Corporation with Respect to Troubled Insured System Banks.— Section 5.61(f) (12 U.S.C. 2277a–10(f)) is amended by striking “beginning on the date of the enactment of this part” and inserting “prior to January 1, 1993”. SEC. 1837. EMPLOYMENT OF CERTAIN PERSONS BY FARM CREDIT SYSTEM INSTITUTIONS. Section 5.65(d) (12 U.S.C. 2277a–14(d)) is amended— (1) in paragraph (1), by striking “insured System bank” and inserting “insured System institution”; and (2) in paragraph (2), by striking “bank” and inserting “institution”. SEC. 1838. TERMINATION OF SYSTEM INSTITUTION STATUS OF CALIFORNIA LIVESTOCK PRODUCTION CREDIT ASSOCIATION. (a) Authority to Terminate.— Notwithstanding any other provision of law, effective on the date of enactment of this Act, the California Livestock Production Credit Association may terminate the status of the Association as a Farm Credit System institution. (b) Requirements.— Notwithstanding section 7.10(a)(4) of the Farm Credit Act of 1971 (12 U.S.C. 2279(a)(4)), the California Livestock Production Credit Association shall not (on termination) be— (1) required to pay any part of the last $1,000,000 of its capital; or (2) restricted from transferring any part of the $1,000,000 to its successor institution. SEC. 1839. SECONDARY MARKET FOR GUARANTEED FARMER PROGRAM LOANS. (a) Definition of Certified Facility.— Paragraph (3) of section 8.0 (12 U.S.C. 2279aa(3)) is amended to read as follows: “(3) Certified facility.— The term ‘certified facility’ means— “(A) a secondary marketing agricultural loan facility that is certified under section 8.5; or “(B) the Corporation and any affiliate thereof, but only with respect to qualified loans described in paragraph (9)(B).”. (b) Definition of Qualified Loan.— Paragraph (9) of section 8.0 (12 U.S.C. 2279aa(9)) is amended to read as follows: “(9) Qualified loan.— The term ‘qualified loan’ means an obligation— “(A) (i) that is secured by a fee-simple or leasehold mortgage with status as a first lien, on agricultural real estate located in the United States that is not subject to any legal or equitable claims deriving from a preceding fee-simple or leasehold mortgage; “(ii) of— “(I) a citizen or national of the United States or an alien lawfully admitted for permanent residence in the United States; or “(II) a private corporation or partnership whose members, stockholders, or partners holding a majority interest in the corporation or partnership are individuals described in subclause (I); and “(iii) of a person, corporation, or partnership that has training or farming experience that, under criteria established by the Corporation, is sufficient to ensure a reasonable likelihood that the loan will be repaid according to its terms; or “(B) that is the portion of a loan guaranteed by the Secretary of Agriculture pursuant to the Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et seq.), except that— “(i) subsections (b) through (f) of section 8.6, and sections 8.7, 8.8, and 8.9, shall not apply to the portion of a loan guaranteed by the Secretary or to an obligation, pool, or security representing an interest in or obligation backed by a pool of obligations relating to the portion of a loan guaranteed by the Secretary; and “(ii) the portion of a loan guaranteed by the Secretary shall be considered to meet all standards for qualified loans for all purposes under this Act.”. SEC. 1840. AUTHORITY OF FARM CREDIT ADMINISTRATION TO REGULATE FEDERAL AGRICULTURAL MORTGAGE CORPORATION. Section 8.11 (12 U.S.C. 2279aa–11) is amended— (1) in subsection (a), by amending paragraph (1) to read as follows: “(1) Authority.— Notwithstanding any other provision of this Act, the Farm Credit Administration shall have the authority to— “(A) provide for the examination of the condition of the Corporation and its affiliates; and “(B) provide for the general supervision of the safe and sound performance of the powers, functions, and duties vested in the Corporation and its affiliates by this title, including through the use of the enforcement powers of the Farm Credit Administration under part C of title V.”; and (2) by adding at the end the following new subsection: “(e) Definition of Affiliate.— As used in this title, the term ‘affiliate’ shall mean an entity effectively controlled or owned by the Corporation, except that such term shall not include a certified facility or an originator (as defined in paragraphs (3) and (7), respectively, of section 8.0).”. SEC. 1841. EXCLUSION OF FARM CREDIT ADMINISTRATION FROM SENIOR EXECUTIVE SERVICE. Section 3132(a)(1)(D) of title 5, United States Code, is amended by inserting “the Farm Credit Administration,” after “Corporation,”. SEC. 1842. GAO STUDY OF RURAL CREDIT COST AND AVAILABILITY. (a) Study.— The Comptroller General of the United States shall conduct a study of certain matters related to the cost and availability of credit in rural America, including a study of— (1) the relationship of the role and lending volume of the Farm Credit System to the ability of the System to repay the assistance provided under the Agricultural Credit Act of 1987 (Public Law 100–233) and amendments made by such Act; (2) the ability of Farm Credit System institutions to be competitive taking into consideration the costs of rebuilding capital, repaying assistance, and capitalizing the Farm Credit Insurance Fund established under section 5.60 of the Farm Credit Act of 1971 (12 U.S.C. 2277a–9); (3) the rates Farm Credit Banks charge for credit and the rates prevailing in the market for credit of comparable risk and maturity; (4) the potential for credit pricing practices of rural lending institutions to adversely affect the financial soundness of other lending institutions that provide agricultural credit; (5) the pricing practices of commercial lending and insurance institutions and whether the practices adequately address the level of risk in agricultural lending; (6) whether the assistance authorized under the Agricultural Credit Act of 1987 and the amendments made by such Act, is being utilized in accordance with the purposes intended by Congress; (7) the availability and adequacy of credit in rural America for the purpose of financing agricultural production, infrastructure development (including development of roads, bridges, and water systems), and rural development; (8) the prudence and desirability for commercial lenders and Farm Credit System institutions who serve primarily agriculture to broaden lending activity to provide diversity in their portfolios; (9) the level of competitiveness among the major sector lenders in agriculture, whether competition among such lenders has increased or decreased in the last 5 years, and whether American producers have benefited from the competitive situation; and (10) the level of farm lending activity, in relation to the total asset level, of agricultural lending institutions in rural America and the level of investment by the institutions outside of the rural community or area in which the lending institutions are located. (b) Report.— Not later than 2 years after the date of enactment of this Act, the Comptroller General shall submit a report on the study conducted under subsection (a) (including any related recommendations) to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate. SEC. 1843. SALARIES AND COMPENSATION PAID BY SYSTEM INSTITUTIONS. (a) Repeal of Authority of Farm Credit Administration to Approve Salaries and Compensation Paid by System Institutions.— (1) In general.— Section 5.17(a) (12 U.S.C. 2252(a)) is amended by striking paragraph (13). (2) Conforming amendment.— Section 6.6(a)(8)(B) (12 U.S.C. 2278a–6(a)(8)(B)) is amended by striking “notwithstanding the authority of the Farm Credit Administration to approve such matters”. (b) Inclusion of Compensation Analysis in Bank Examination.— Section 5.19(a) (12 U.S.C. 2254(a)) is amended by inserting after the third sentence the following: “Examination of banks shall include an analysis of the compensation paid to the chief executive officer and the salary scales of the employees of the bank.”. Subtitle C— Miscellaneous SEC. 1851. ECONOMIC EMERGENCY LOAN PROGRAM. The Emergency Agricultural Credit Adjustment Act of 1978 (7 Repeal. U.S.C. prec. 1961 note) is hereby repealed. SEC. 1852. AUTHORIZATION OF APPROPRIATIONS FOR FARM OWNERSHIP OUTREACH PROGRAM TO SOCIALLY DISADVANTAGED INDIVIDUALS. Section 623 of the Agricultural Credit Act of 1987 (7 U.S.C. 1985 note) is amended— (1) by inserting “(a) In General.—” before “The Secretary”; and (2) by adding at the end the following new subsection: “(b) Authorization of Appropriations.— There are authorized to be appropriated to carry out this section $2,500,000 for each of the fiscal years 1991 through 1995.”. SEC. 1853. STATE MEDIATION PROGRAMS. Section 506 of the Agricultural Credit Act of 1987 (7 U.S.C. 5106) is amended by striking “1991” and inserting “1995”. SEC. 1854. INDIAN LAND ACQUISITION PROGRAM. (a) Limited Resource Interest Rate.— Section 5 of Public Law 91–229 (25 U.S.C. 492) is amended by striking “section 307(a)” and inserting “section 307(a)(3)(B)”. (b) Authorization of Appropriations.— Public Law 91–229 (25 U.S.C. 488 et seq.) is amended by adding at the end the following new section: “SEC. 6. AUTHORIZATION OF APPROPRIATIONS. “There are authorized to be appropriated to carry out this Act $8,000,000 for each of the fiscal years 1991 through 1995.”. Subtitle D— Effective Dates SEC. 1861. EFFECTIVE DATES. (a) In General.— Except as otherwise provided in this title, this title and the amendments made by this title shall become effective on the date of enactment of this Act. (b) Notice of Debt Settlement Programs.— The amendment made by section 1807(1) of this Act shall become effective 120 days after the date of enactment of this Act. (c) Debt Restructuring and Loan Servicing.— (1) In general.— Except as provided in section 353(c)(6)(A)(ii) of the Consolidated Farm and Rural Development Act (as added by section 1816(f) of this Act) and in paragraph (3) of this subsection, section 1816 of this Act and the amendments made by such section 1816 shall apply to new applications submitted under section 353 of the Consolidated Farm and Rural Development Act (7 U.S.C. 2001) on or after the date of enactment of this Act. (2) Definition of new application.— As used in paragraph (1), the term “new application” means an application submitted by a borrower to initiate a debt restructuring consideration and not an application reconsidered after an appeal or revision of the original application. (3) Liquidation of assets.— Section 353(o) of the Consolidated Farm and Rural Development Act (as added by section 1816(h) of this Act) shall not apply until the Secretary of Agriculture has issued final regulations to carry out such section 353(o). (d) Restoration of First Lien on Stock.— The amendment made by section 1833 of this Act shall be effective as of January 7, 1988. (e) Regulations.— As soon as practicable after the date of enactment of this Act— (1) the Secretary of Agriculture shall issue such regulations as are necessary to carry out subtitles A and C of this Act and the amendments made by such subtitles; and (2) the Farm Credit Administration shall issue such regulations as are necessary to carry out subtitle B of this Act and the amendments made by such subtitle.

16. 1990

    Rural Economic Development Act of 1990

    Pub. L. 101–624 § 2303(c)(2) · 104 Stat. 3359

    Inserted · 7 U.S.C. § 1985(c)(1)

    Pub. L. 101–624, § 2303(c)(2), inserted “or the Rural Development Administration” after “Farmers Home Administration”

    Source evidence

    Code amendment note
    Subsec. (c)(1). Pub. L. 101–624, § 2303(c)(2), inserted “or the Rural Development Administration” after “Farmers Home Administration”.

    Enacted provision · exact public law section
    (2) in subsection (c)(1), by inserting “or the Rural Development Administration” after “Farmers Home Administration”.

17. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(e)(1) · 104 Stat. 3359

    1. Added · 7 U.S.C. § 1985(c)(2)(A); 7 U.S.C. § 1985(c)(2)(B)

       Pub. L. 101–624, § 1813(e)(1), added subpar. (A) and subpar. (B) introductory provisions

    2. Redesignated · 7 U.S.C. § 1985(c)(2)(A); 7 U.S.C. § 1985(c)(2)(B)

       Pub. L. 101–624, § 1813(e)(1), redesignated former subpars. (A) through (D) as cls. (i) through (iv), respectively, of subpar. (B)

    3. Struck · 7 U.S.C. § 1985(c)(2)(A); 7 U.S.C. § 1985(c)(2)(B)

       Pub. L. 101–624, § 1813(e)(1), struck out former introductory provisions which read as follows: “Notwithstanding any other provision of law, the Secretary shall sell suitable farmland administered under this subchapter to operators (as of the time immediately after such contract for sale or lease is entered into) of not larger than family sized farms, as determined by the county committee. In selling such land, the county committee shall—”

    Source evidence

    Code amendment note
    Subsec. (c)(2)(A), (B). Pub. L. 101–624, § 1813(e)(1), added subpar. (A) and subpar. (B) introductory provisions, redesignated former subpars. (A) through (D) as cls. (i) through (iv), respectively, of subpar. (B), and struck out former introductory provisions which read as follows: “Notwithstanding any other provision of law, the Secretary shall sell suitable farmland administered under this subchapter to operators (as of the time immediately after such contract for sale or lease is entered into) of not larger than family sized farms, as determined by the county committee. In selling such land, the county committee shall—”.

    Enacted provision · exact public law section
    (1) Suitable farmland.— Section 335(c)(2) (7 U.S.C. 1985(c)(2)) is amended— (A) by redesignating subparagraphs (A), (B), (C), and (D) as clauses (i), (ii), (iii), and (iv), respectively; and (B) by striking all that precedes clause (i) (as so redesignated by subparagraph (A) of this paragraph) and inserting the following: “(2) (A) Notwithstanding any other provision of law, the Secretary shall sell suitable farmland administered under this title to persons in the following order: “(i) Qualified beginning farmers or ranchers (as defined pursuant to section 343(a)(8)), as of the time immediately after such contract for sale or lease is entered into, as determined by the county committee. “(ii) Operators, as of the time immediately after such contract for sale or lease is entered into, of not larger than family sized farms, as determined by the county committee. “(B) In selling such land, the county committee shall—”.

18. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(g)(1) · 104 Stat. 3359

    Amended · 7 U.S.C. § 1985(c)(2)(B)(ii)

    Pub. L. 101–624, § 1813(g)(1), amended cl. (ii) generally. Prior to amendment, cl. (ii) read as follows: “offer suitable land at a price not greater than that which reflects the appraised market value of such land;”

    Source evidence

    Code amendment note
    Subsec. (c)(2)(B)(ii). Pub. L. 101–624, § 1813(g)(1), amended cl. (ii) generally. Prior to amendment, cl. (ii) read as follows: “offer suitable land at a price not greater than that which reflects the appraised market value of such land;”.

    Enacted provision · exact public law section
    (1) In general.— Section 335(c)(2)(B)(ii) (7 U.S.C. 1985(c)(2)(B)(ii)), as amended by subsection (e)(i) of this section, is amended to read as follows: “(ii) offer such land— “(I) for sales pursuant to subsection (e)(1)(C), at a price not greater than that which reflects the appraised market value of such farmland; and “(II) for all other sales, at a price not greater than that which reflects the fair market value of such land as determined by bids after advertising or by negotiated sale;”.

19. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(b)(1) · 104 Stat. 3359

    Inserted · 7 U.S.C. § 1985(c)(2)(B)(iii)

    Pub. L. 101–624, § 1813(b)(1), inserted before semicolon “, except that if the committee determines that two or more applicants meet the loan eligibility criteria, the committee shall select between the qualified applicants on a random basis”

    Source evidence

    Code amendment note
    Subsec. (c)(2)(B)(iii). Pub. L. 101–624, § 1813(b)(1), inserted before semicolon “, except that if the committee determines that two or more applicants meet the loan eligibility criteria, the committee shall select between the qualified applicants on a random basis”.

    Enacted provision · exact public law section
    (1) in subsection (c)(2)(C), by inserting before the semicolon the following: “, except that if the committee determines that two or more applicants meet the loan eligibility criteria, the committee shall select between the qualified applicants on a random basis”; and

20. 1990

    Rural Economic Development Act of 1990

    Pub. L. 101–624 § 2388(g) · 104 Stat. 3359

    Substituted · 7 U.S.C. § 1985(c)(2)(B)(iv)

    Pub. L. 101–624, § 2388(g), substituted “cause” for “caused”

    Source evidence

    Code amendment note
    Subsec. (c)(2)(B)(iv). Pub. L. 101–624, § 2388(g), substituted “cause” for “caused”.

    Enacted provision · exact public law section
    (g) Section 335(c)(2)(D) Amendment.— Section 335(c)(2)(D) of such Act (7 U.S.C. 1985(c)(2)(D)) is amended by striking “caused” and inserting “cause”.

21. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(c) · 104 Stat. 3359

    Substituted · 7 U.S.C. § 1985(e)(1)(A)(i)

    Pub. L. 101–624, § 1813(c), substituted “real farm or ranch property (including the principal residence of the borrower)” for “real property”

    Source evidence

    Code amendment note
    Subsec. (e)(1)(A)(i). Pub. L. 101–624, § 1813(c), substituted “real farm or ranch property (including the principal residence of the borrower)” for “real property”.

    Enacted provision · exact public law section
    (c) Property Subject to Borrower Purchase or Lease Option.— Section 335(e)(1)(A)(i) (7 U.S.C. 1985(e)(1)(A)(i)) is amended by striking “real property” and inserting “real farm or ranch property (including the principal residence of the borrower)”.

22. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1816(e)(1) · 104 Stat. 3359

    Inserted · 7 U.S.C. § 1985(e)(1)(A)(i)

    Pub. L. 101–624, § 1816(e)(1), inserted before period at end “, if such borrower-owner has acted in good faith with the Secretary, as defined in regulations issued by the Secretary, in connection with such loan”

    Target inherited from the preceding amendment note.

    Source evidence

    Code amendment note
    Pub. L. 101–624, § 1816(e)(1), inserted before period at end “, if such borrower-owner has acted in good faith with the Secretary, as defined in regulations issued by the Secretary, in connection with such loan”.

    Enacted provision · exact public law section
    (1) in subparagraph (A)(i), by inserting if such borrower-owner has acted in good faith with the Secretary, as defined in regulations issued by the Secretary, in connection with such loan” before the period at the end; and

23. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(d) · 104 Stat. 3359

    Added · 7 U.S.C. § 1985(e)(1)(A)(iv)

    Pub. L. 101–624, § 1813(d), added cl. (iv)

    Source evidence

    Code amendment note
    Subsec. (e)(1)(A)(iv). Pub. L. 101–624, § 1813(d), added cl. (iv).

    Enacted provision · exact public law section
    (d) Right of First Refusal.— Section 335(e)(1)(A) (7 U.S.C. 1985(e)(1)(A)) is amended by adding at the end the following new clause: “(iv) In the case of real property described in clause (i) that was acquired by the Secretary before January 6, 1988, that is (or has been at any time during the 12-month period preceding the date of enactment of this clause) under lease to a person described in subparagraph (C), and that has not been conveyed (or contracted to be conveyed) by the Secretary prior to the date of enactment of this clause, the Secretary shall, during the 30-day period following the date of enactment of this clause, make the person an offer, to be held open for a period of 90 days, to purchase the property on the same terms and conditions that such offers are made in the case of property coming into inventory on or after the date of enactment of this clause.”.

24. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1816(e)(2) · 104 Stat. 3359

    Inserted · 7 U.S.C. § 1985(e)(1)(C)(i)

    Pub. L. 101–624, § 1816(e)(2), inserted before period at end “, if such borrower-owner has acted in good faith with the Secretary, as defined in regulations issued by the Secretary, in connection with the loan of such borrower-owner for which such property served as security”

    Source evidence

    Code amendment note
    Subsec. (e)(1)(C)(i). Pub. L. 101–624, § 1816(e)(2), inserted before period at end “, if such borrower-owner has acted in good faith with the Secretary, as defined in regulations issued by the Secretary, in connection with the loan of such borrower-owner for which such property served as security”.

    Enacted provision · exact public law section
    (2) in subparagraph (C)(i), by inserting “, if such borrower-owner has acted in good faith with the Secretary, as defined in regulations issued by the Secretary, in connection with the loan of such borrower-owner for which such property served as security” before the period at the end.

25. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(e)(2) · 104 Stat. 3359

    1. Added · 7 U.S.C. § 1985(e)(1)(C)(iv); 7 U.S.C. § 1985(e)(1)(C)(v)

       Pub. L. 101–624, § 1813(e)(2), added cl. (iv)

    2. Redesignated · 7 U.S.C. § 1985(e)(1)(C)(iv); 7 U.S.C. § 1985(e)(1)(C)(v)

       Pub. L. 101–624, § 1813(e)(2), redesignated former cl. (iv) as (v)

    Source evidence

    Code amendment note
    Subsec. (e)(1)(C)(iv), (v). Pub. L. 101–624, § 1813(e)(2), added cl. (iv) and redesignated former cl. (iv) as (v).

    Enacted provision · exact public law section
    (2) Other property.— Section 335(e)(1)(C) (7 U.S.C. 1985(e)(1)(C)) is amended— (A) by redesignating clause (iv) as clause (v); and (B) by inserting after clause (iii) the following new clause: “(iv) Qualified beginning farmers or ranchers (as defined pursuant to section 343(a)(8)) as of the time immediately after such contract for sale or lease is entered into, of not larger than family-sized farm or ranching operations.”.

26. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(f) · 104 Stat. 3359

    Added · 7 U.S.C. § 1985(e)(1)(D)(x)

    Pub. L. 101–624, § 1813(f), added cl. (x)

    Source evidence

    Code amendment note
    Subsec. (e)(1)(D)(x). Pub. L. 101–624, § 1813(f), added cl. (x).

    Enacted provision · exact public law section
    (f) Indian Land in Inventory.— Section 335(e)(1)(D) (7 U.S.C. 1985(e)(1)(D)) is amended by adding at the end the following new clause: “(x) This subparagraph shall apply to all lands in the land inventory established under this title (as of the date of enactment of this clause) that were (immediately prior to such date) owned by an Indian borrower-owner described in clause (i) and that are situated within an Indian reservation (as defined in clause (ii)), regardless of the date of foreclosure or acquisition by the Secretary. The Secretary shall afford an opportunity to a tribal member, an Indian corporate entity, or the tribe to purchase or lease the real property as provided in clause (iii). If the right is not exercised or no expression of intent to exercise such right is received within 180 days after the date of enactment of this clause, the Secretary shall transfer the real property to the Secretary of the Interior as provided in clause (v).”.

27. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(g)(2) · 104 Stat. 3359

    1. Redesignated · 7 U.S.C. § 1985(e)(4)(B)

       Pub. L. 101–624, § 1813(g)(2), redesignated subpar. (C) as (B)

    2. Struck · 7 U.S.C. § 1985(e)(4)(B)

       Pub. L. 101–624, § 1813(g)(2), struck out former subpar. (B) which read as follows: “The Secretary shall offer such land for sale to operators of not larger than family-size farms at a price that reflects the average annual income that may be reasonably anticipated to be generated from farming such land.”

    Source evidence

    Code amendment note
    Subsec. (e)(4)(B). Pub. L. 101–624, § 1813(g)(2), redesignated subpar. (C) as (B) and struck out former subpar. (B) which read as follows: “The Secretary shall offer such land for sale to operators of not larger than family-size farms at a price that reflects the average annual income that may be reasonably anticipated to be generated from farming such land.”

    Enacted provision · exact public law section
    (2) Conforming amendments.— Section 335(e)(4) (7 U.S.C. 1985(e)(4)) is amended— (A) by striking subparagraph (B); and (B) by redesignating subparagraph (C) as (B).

28. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(g)(2) · 104 Stat. 3359

    Redesignated · 7 U.S.C. § 1985(e)(4)(C)

    Pub. L. 101–624, § 1813(g)(2), redesignated former subpar. (C) as (B)

    Source evidence

    Code amendment note
    Subsec. (e)(4)(C). Pub. L. 101–624, § 1813(g)(2), redesignated former subpar. (C) as (B).

    Enacted provision · exact public law section
    (2) Conforming amendments.— Section 335(e)(4) (7 U.S.C. 1985(e)(4)) is amended— (A) by striking subparagraph (B); and (B) by redesignating subparagraph (C) as (B).

29. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(b)(2) · 104 Stat. 3359

    1. Substituted · 7 U.S.C. § 1985(e)(4)(C)

       Pub. L. 101–624, § 1813(b)(2), substituted “shall randomly” for “shall, by majority vote,”

    2. Inserted · 7 U.S.C. § 1985(e)(4)(C)

       Pub. L. 101–624, § 1813(b)(2), inserted “, in accordance with subsection (c)(2)(B)(iii) of this section”

    Target inherited from the preceding amendment note.

    Source evidence

    Code amendment note
    Pub. L. 101–624, § 1813(b)(2), substituted “shall randomly” for “shall, by majority vote,” and inserted “, in accordance with subsection (c)(2)(B)(iii) of this section”.

    Enacted provision · exact public law section
    (2) in subsection (e)(4)(C)— (A) by striking “shall, by majority vote,” and inserting “shall randomly”; and (B) by inserting before the period at the end the following: “, in accordance with subsection (c)(2)(B)(iii)”.

30. 1990

    Food, Agriculture, Conservation, and Trade Act of 1990

    Pub. L. 101–624 § 1813(h)(1) · 104 Stat. 3359

    Added · 7 U.S.C. § 1985(g)

    Pub. L. 101–624, § 1813(h)(1), added subsec. (g)

    Source evidence

    Code amendment note
    Subsec. (g). Pub. L. 101–624, § 1813(h)(1), added subsec. (g).

    Enacted provision · exact public law section
    (1) In general.— Section 335 (7 U.S.C. 1985) is amended by adding at the end the following new subsection: “(g) (1) Subject to paragraphs (2) through (5), in the disposal of real property under this section, the Secretary shall establish perpetual wetland conservation easements to protect and restore wetlands or converted wetlands that exist on inventoried property, as determined by the Secretary in accordance with title XII of the Food Security Act of 1985 (16 U.S.C. 3801 et seq.). “(2) In establishing the wetland conservation easements on land that is considered to be cropland as of the date of enactment of this subsection, the Secretary shall avoid, to the extent practicable, an adverse impact on the productivity of the croplands, as provided in this subsection. “(3) In order to avoid the adverse impact, the Secretary shall— “(A) not establish the wetland conservation easements with respect to wetlands that were converted prior to December 23, 1985, and that have been in cropland use, as determined by the Secretary, in excess of 10 percent of the existing cropland available for production of agricultural commodities on the particular parcel of inventoried property; “(B) not establish the wetland conservation easements with respect to wetlands that have been frequently planted to agricultural commodities and wetlands described in subparagraph (A), in excess of 20 percent of the existing cropland available for production of agricultural commodities on the particular parcel of inventoried property; “(C) ensure that the buffer area adjacent to the wetland is generally not more than 100 feet in average width; and “(D) ensure that access to other portions of the property for farming and other uses is provided. “(4) The wetland conservation easements shall be placed on wetlands that have a history of haying and grazing, as determined by the Secretary, except that in no case shall the quantity of the wetland subject to the easements exceed 50 percent of the existing forage lands on the parcel of inventoried property. All haying and grazing practices on the wetlands (including the timing and intensity of haying and grazing) shall conform to forage management standards designed to protect wetlands. “(5) If, despite the limitations contained in paragraph (3), wetland conservation easements established under paragraph (1) would prevent a particular parcel of inventoried property that is to be sold or leased to a borrower described in clause (i), (ii), or (iii) of subsection (e)(1)(C), or to a borrower who is a beginning farmer or rancher, from being a marketable agricultural production unit that is comparable to the parcel as acquired, the Secretary may— “(A) establish wetland conservation easements on wetland that was converted prior to December 23, 1985, in a quantity that is less than 10 percent of the existing croplands available for production of agricultural commodities on the particular parcel; and “(B) if the reduction provided in subparagraph (A) is not applicable, or is not sufficient to ensure that the particular parcel would be a marketable agricultural production unit, amend the wetland conservation easements established on the wetlands that have been frequently planted to agricultural commodities to permit the production of agricultural commodities (consistent with title XII of the Food Security Act of 1985) on the wetlands, to the extent necessary to maintain the parcel as a marketable agricultural production unit. “(6) The Secretary shall provide prior written notification to a borrower considering preservation loan servicing that a wetlands conservation easement may be placed on land for which the borrower is negotiating a lease option. “(7) The appraised value of the farm shall reflect the value of the land due to the placement of wetland conservation easements. “(8) Notwithstanding the limitations described under paragraphs (3) and (4), the limitations may be voluntarily, knowingly waived by any person with respect to real property described in paragraph (3) or (4).”.

31. 1991

    Pub. L. 102–237 § 501(f)(1) · 105 Stat. 1818

    1. Amended · 7 U.S.C. § 1985(e)(1)(A)(i)

       Pub. L. 102–237, § 501(f)(1), as amended by Pub. L. 102–552

    2. Substituted · 7 U.S.C. § 1985(e)(1)(A)(i)

       Pub. L. 102–237, § 501(f)(1), as substituted “the borrower-owner (as defined in subparagraph (F))” for “the borrower from whom the Secretary acquired real farm or ranch property (including the principal residence of the borrower) used to secure any loan made to the borrower under this chapter (hereinafter referred to in this paragraph as the ‘borrower-owner’)”. See 1992 Amendment note above

    Source evidence

    Code amendment note
    Subsec. (e)(1)(A)(i). Pub. L. 102–237, § 501(f)(1), as amended by Pub. L. 102–552, substituted “the borrower-owner (as defined in subparagraph (F))” for “the borrower from whom the Secretary acquired real farm or ranch property (including the principal residence of the borrower) used to secure any loan made to the borrower under this chapter (hereinafter referred to in this paragraph as the ‘borrower-owner’)”. See 1992 Amendment note above.

    Enacted provision · exact public law section
    (1) in subparagraph (A)(i), by striking “the borrower” and all that follows through “the ‘borrower-owner’)” and inserting “borrower-owner (as defined in subparagraph (F)”; and

32. 1991

    Pub. L. 102–237 § 501(f)(2) · 105 Stat. 1818

    Added · 7 U.S.C. § 1985(e)(1)(F)

    Pub. L. 102–237, § 501(f)(2), added subpar. (F)

    Source evidence

    Code amendment note
    Subsec. (e)(1)(F). Pub. L. 102–237, § 501(f)(2), added subpar. (F).

    Enacted provision · exact public law section
    (f) Amendments to Section 335(e)(1).— Section 335(e)(1) of such Act (7 U.S.C. 1985(e)(1)) is amended— (1) in subparagraph (A)(i), by striking “the borrower” and all that follows through “the ‘borrower-owner’)” and inserting “borrower-owner (as defined in subparagraph (F)”; and (2) by adding at the end the following new subparagraph:

33. 1992

    Agricultural Credit Improvement Act of 1992

    Pub. L. 102–554 § 16 · 106 Stat. 4142

    Inserted · 7 U.S.C. § 1985(c)(1)

    Pub. L. 102–554, § 16, in fourth sentence, inserted “(A)” after “shall be” and “or (B) leased to persons eligible for assistance under the provisions of any law administered by the Farmers Home Administration or the Rural Development Administration under an annual lease or a lease with an option to purchase, with a preference for sale” before period at end

    Source evidence

    Code amendment note
    Subsec. (c)(1). Pub. L. 102–554, § 16, in fourth sentence, inserted “(A)” after “shall be” and “or (B) leased to persons eligible for assistance under the provisions of any law administered by the Farmers Home Administration or the Rural Development Administration under an annual lease or a lease with an option to purchase, with a preference for sale” before period at end.

    Enacted provision · exact public law section
    SEC. 16. INVENTORY LEASE OR LEASE WITH OPTION TO PURCHASE. The fourth sentence of section 335(c)(1) (7 U.S.C. 1985(c)(1)) is amended— (1) by inserting “(A)” after “shall be”; and (2) by inserting before the period at the end the following: “or (B) leased to persons eligible for assistance under the provisions of any law administered by the Farmers Home Administration or the Rural Development Administration under an annual lease or a lease with an option to purchase, with a preference for sale”.

34. 1992

    Farm Credit Banks and Associations Safety and Soundness Act of 1992

    Pub. L. 102–552 title V § 516(h)(1) · 106 Stat. 4102

    Substituted · 7 U.S.C. § 1985(e)(1)(A)(i)

    Pub. L. 102–552, which, in amending directory language of Pub. L. 102–237, § 501(f)(1), directed the substitution of “the borrower-owner (as defined in subparagraph (F))” for “borrower-owner (as defined in subparagraph (F))”, was executed by making the substitution in text which did not contain a closing parenthesis after “(F)”, to reflect the probable intent of Congress. See 1991 Amendment note below

    Source evidence

    Code amendment note
    Subsec. (e)(1)(A)(i). Pub. L. 102–552, which, in amending directory language of Pub. L. 102–237, § 501(f)(1), directed the substitution of “the borrower-owner (as defined in subparagraph (F))” for “borrower-owner (as defined in subparagraph (F))”, was executed by making the substitution in text which did not contain a closing parenthesis after “(F)”, to reflect the probable intent of Congress. See 1991 Amendment note below.

    Enacted provision · exact public law section
    (1) Corrections to amendment made by the food, agriculture, conservation, and trade act amendments of 1991.— Section 501(f)(1) of the Food, Agriculture, Conservation, and Trade Act Amendments of 1991 (Public Law 102–237; 7 USC 1985. 105 Stat. 1867) is amended— (A) by inserting “the first place such term appears” before “and all that follows”; and (B) by striking “borrower-owner (as defined in subparagraph (F))” and inserting “the borrower-owner (as defined in subparagraph (F))”.

35. 1992

    Agricultural Credit Improvement Act of 1992

    Pub. L. 102–554 § 17(1) · 106 Stat. 4142

    Substituted · 7 U.S.C. § 1985(e)(1)(D)(i)

    Pub. L. 102–554, § 17(1), substituted “Except as provided in subparagraph (G), if” for “If”

    Source evidence

    Code amendment note
    Subsec. (e)(1)(D)(i). Pub. L. 102–554, § 17(1), substituted “Except as provided in subparagraph (G), if” for “If”.

    Enacted provision · exact public law section
    (1) in subparagraph (D)(i), by striking “If” and inserting “Except as provided in subparagraph (G), if”; and

36. 1992

    Agricultural Credit Improvement Act of 1992

    Pub. L. 102–554 § 17(2) · 106 Stat. 4142

    Added · 7 U.S.C. § 1985(e)(1)(G)

    Pub. L. 102–554, § 17(2), added subpar. (G)

    Source evidence

    Code amendment note
    Subsec. (e)(1)(G). Pub. L. 102–554, § 17(2), added subpar. (G).

    Enacted provision · exact public law section
    (2) by adding at the end the following new subparagraph: “(G) (i) If— “(I) the real property described in subparagraph (A)(i) is located within an Indian reservation; “(II) the borrower-owner is an Indian tribe that has jurisdiction over the reservation in which the real property is located or the borrower-owner is a member of an Indian tribe; “(III) the borrower-owner has obtained a loan made, insured, or guaranteed under this title; and “(IV) the borrower-owner and the Secretary have exhausted all of the procedures provided for in this title to permit a borrower-owner to retain title to the real property, such that it is necessary for the borrower-owner to relinquish title, the Secretary shall dispose of or administer the property only as provided in subparagraph (D), as modified by this subparagraph. “(ii) The Secretary shall provide the borrower-owner of real property that is described in clause (i) with written notice of— “(I) the right of the borrower-owner to voluntarily convey the real property to the Secretary; and “(II) the fact that real property so conveyed will be placed in the inventory of the Secretary. “(iii) The Secretary shall provide the borrower-owner of the real property with written notice of the rights and protections provided under this title to the borrower-owner, and the Indian tribe that has jurisdiction over the reservation in which the real property is located, from foreclosure or liquidation of the real property, including written notice of— “(I) the provisions of subparagraphs (C)(i), (C)(ii), and (D), this subparagraph, and subsection (g)(6); “(II) if the borrower-owner does not voluntarily convey the real property to the Secretary, that— “(aa) the Secretary may foreclose on the property; “(bb) in the event of foreclosure, the property will be offered for sale; “(cc) the Secretary must offer a bid for the property that is equal to the fair market value of the property or the outstanding principal and interest of the loan, whichever is higher; “(dd) the property may be purchased by another party; and “(ee) if the property is purchased by another party, the property will not be placed in the inventory of the Secretary and the borrower-owner will forfeit the rights and protections provided under this title; and “(III) the opportunity of the borrower-owner to consult with the Indian tribe that has jurisdiction over the reservation in which the real property is located or counsel to determine if State or tribal law provides rights and protections that are more beneficial than those provided the borrower-owner under this title. “(iv) (I) Except as provided in subclause (II), the Secretary shall accept the voluntary conveyance of real property described in clause (i). “(II) If a hazardous substance (as defined in section 101(14) of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9601(14))) is located on the property and the Secretary takes remedial action to protect human health or the environment if the property is taken into inventory, the Secretary shall accept the voluntary conveyance of the property only if the Secretary determines that it is in the best interests of the Federal Government. “(v) If a borrower-owner does not voluntarily convey to the Secretary real property described in clause (i), at least 30 days before a foreclosure sale of the property, the Secretary shall provide written notice to the Indian tribe that has jurisdiction over the reservation in which the real property is located of— “(I) the sale; “(II) the fair market value of the property; and “(III) the requirements of this subparagraph. “(vi) (I) Except as provided in subclause (II), at a foreclosure sale of real property described in clause (i), the Secretary shall offer a bid for the property that is equal to the higher of— “(aa) the fair market value of the property; or “(bb) the outstanding principal and interest of the loan. “(II) If a hazardous substance (as defined in section 101(14) of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9601(14))) is located on the property and the Secretary takes remedial action to protect human health or the environment if the property is taken into inventory, subclause (I) shall apply only if the Secretary determines that it is in the best interests of the Federal Government.”.

37. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(1) · 110 Stat. 888

    Substituted · 7 U.S.C. § 1985(b)

    Pub. L. 104–127, § 638(1), substituted “subsections (c) and (e)” for “subsection (e)”

    Source evidence

    Code amendment note
    Subsec. (b). Pub. L. 104–127, § 638(1), substituted “subsections (c) and (e)” for “subsection (e)”.

    Enacted provision · exact public law section
    (1) in subsection (b), by striking “subsection (e)” and inserting “subsections (c) and (e)”;

38. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(2) · 110 Stat. 888

    1. Added · 7 U.S.C. § 1985(c)

       Pub. L. 104–127, § 638(2), added subsec. (c)

    2. Struck · 7 U.S.C. § 1985(c)

       Pub. L. 104–127, § 638(2), struck out former subsec. (c) which authorized Secretary to determine whether real property administered under this chapter was suitable for disposition to persons eligible for assistance under provisions of any law administered by Farmers Home Administration or Rural Development Administration

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 104–127, § 638(2), added subsec. (c) and struck out former subsec. (c) which authorized Secretary to determine whether real property administered under this chapter was suitable for disposition to persons eligible for assistance under provisions of any law administered by Farmers Home Administration or Rural Development Administration.

    Enacted provision · exact public law section
    (2) by striking subsection (c) and inserting the following: “(c) Sale of Property.— “(1) In general.— Subject to this subsection and subsection (e)(1)(A), the Secretary shall offer to sell real property that is acquired by the Secretary under this title using the following order and method of sale: “(A) Advertisement.— Not later than 15 days after acquiring real property, the Secretary shall publicly advertise the property for sale. “(B) Beginning farmer or rancher.— “(i) In general.— Not later than 75 days after acquiring real property, the Secretary shall offer to sell the property to a qualified beginning farmer or rancher at current market value based on a current appraisal. “(ii) Random selection.— If more than 1 qualified beginning farmer or rancher offers to purchase the property, the Secretary shall select between the qualified applicants on a random basis. “(iii) Appeal of random selection.— A random selection or denial by the Secretary of a beginning farmer or rancher for farm inventory property under this subparagraph shall be final and not administratively appealable. “(C) Public sale.— If no acceptable offer is received from a qualified beginning farmer or rancher under subparagraph (B) not later than 75 days after acquiring the real property, the Secretary shall, not later than 30 days after the 75-day period, sell the property after public notice at a public sale, and, if no acceptable bid is received, by negotiated sale, at the best price obtainable. “(2) Transitional rules.— “(A) Previous lease.— In the case of real property acquired prior to the date of enactment of this subparagraph that the Secretary leased prior to the date of enactment of this subparagraph, not later than 60 days after the lease expires, the Secretary shall offer to sell the property in accordance with paragraph (1). “(B) Previously in inventory.— In the case of real property acquired prior to the date of enactment of this subparagraph that the Secretary has not leased, not later than 60 days after the date of enactment of this subparagraph, the Secretary shall offer to sell the property in accordance with paragraph (1). “(3) Interest.— “(A) In general.— Subject to subparagraph (B), any conveyance of real property under this subsection shall include all of the interest of the United States in the property, including mineral rights. “(B) Conservation.— The Secretary may for conservation purposes grant or sell an easement, restriction, development right, or similar legal right to real property to a State, a political subdivision of a State, or a private nonprofit organization separately from the underlying fee or other rights to the property owned by the United States. “(4) Other law.— The Federal Property and Administrative Services Act of 1949 (40 U.S.C. 471 et seq.) shall not apply to any exercise of authority under this title. “(5) Lease of property.— “(A) In general.— Subject to subparagraph (B), the Secretary may not lease any real property acquired under this title. “(B) Exception.— “(i) Beginning farmer or rancher.— The Secretary may lease or contract to sell to a beginning farmer or rancher a farm or ranch acquired by the Secretary under this title if the beginning farmer or rancher qualifies for a credit sale or direct farm ownership loan under subtitle A but credit sale authority for loans or direct farm ownership loan funds, respectively, are not available. “(ii) Term.— The term of a lease or contract to sell to a beginning farmer or rancher under clause (i) shall be until the earlier of— “(I) the date that is 18 months after the date of the lease or sale; or “(II) the date that direct farm ownership loan funds or credit sale authority for loans becomes available to the beginning farmer or rancher. “(iii) Income-producing capability.— In determining the rental rate on real property leased under this subparagraph, the Secretary shall consider the income-producing capability of the property during the term that the property is leased. “(6) Expedited determination.— “(A) In general.— On the request of an applicant, not later than 30 days after denial of the applicant’s application, the appropriate State director shall provide an expedited review and determination of whether the applicant is a beginning farmer or rancher for the purpose of acquiring farm inventory property. “(B) Appeal.— The determination of a State Director under subparagraph (A) shall be final and not administratively appealable. “(C) Effects of determinations.— “(i) In general.— The Secretary shall maintain Records, statistical data on the number and results of determinations made under subparagraph (A) and the effect of the determinations on— “(I) selling farm inventory property to beginning farmers and ranchers; and “(II) disposing of real property in inventory. “(ii) Notification.— The Secretary shall notify the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate if the Secretary determines that the review process under subparagraph (A) is adversely affecting the selling of farm inventory property to beginning farmers or ranchers or the disposing of real property in inventory”; and

39. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(A)(i) · 110 Stat. 888

    1. Redesignated · 7 U.S.C. § 1985(e)(1)(A)

       Pub. L. 104–127, § 638(3)(A)(i)–(iii), redesignated subpar. (D) as (A), in cl. (i)

    2. Substituted · 7 U.S.C. § 1985(e)(1)(A)

       Pub. L. 104–127, § 638(3)(A)(i)–(iii), substituted “(D)” for “(G)” in introductory provisions

    3. Added · 7 U.S.C. § 1985(e)(1)(A)

       Pub. L. 104–127, § 638(3)(A)(i)–(iii), added subcl. (I)

    4. Struck · 7 U.S.C. § 1985(e)(1)(A)

       Pub. L. 104–127, § 638(3)(A)(i)–(iii), struck out former subcl. (I) which read as follows: “the real property described in subparagraph (A)(i) is located within an Indian reservation,”, in subcl. (II)

    5. Substituted · 7 U.S.C. § 1985(e)(1)(A)

       Pub. L. 104–127, § 638(3)(A)(i)–(iii), substituted a semicolon for “, and” at end

    6. Struck · 7 U.S.C. § 1985(e)(1)(A)

       Pub. L. 104–127, § 638(3)(A)(i)–(iii), struck out subcl. (III) which read as follows: “the period in which the right to purchase or lease such real property provided in clauses (i) and (ii) of subparagraph (A) has expired,”, in cl. (iii)

    7. Substituted · 7 U.S.C. § 1985(e)(1)(A)

       Pub. L. 104–127, § 638(3)(A)(i)–(iii), substituted “Not later than 90 days after acquiring the property, the Secretary shall” for “The Secretary shall, within 90 days after the expiration of the period for which the right to purchase or lease real property described in clause (i) is provided in clauses (i) and (ii) of subparagraph (A),”

    8. Struck · 7 U.S.C. § 1985(e)(1)(A)

       Pub. L. 104–127, § 638(3)(A)(i)–(iii), struck out former subpar. (A) which authorized the Secretary, during 180-day period beginning on date of acquisition, or during applicable period under State law, to allow borrower-owner to purchase or lease property, if such borrower-owner had acted in good faith with the Secretary

    Source evidence

    Code amendment note
    Subsec. (e)(1)(A). Pub. L. 104–127, § 638(3)(A)(i)–(iii), redesignated subpar. (D) as (A), in cl. (i), substituted “(D)” for “(G)” in introductory provisions, added subcl. (I) and struck out former subcl. (I) which read as follows: “the real property described in subparagraph (A)(i) is located within an Indian reservation,”, in subcl. (II), substituted a semicolon for “, and” at end, and struck out subcl. (III) which read as follows: “the period in which the right to purchase or lease such real property provided in clauses (i) and (ii) of subparagraph (A) has expired,”, in cl. (iii), substituted “Not later than 90 days after acquiring the property, the Secretary shall” for “The Secretary shall, within 90 days after the expiration of the period for which the right to purchase or lease real property described in clause (i) is provided in clauses (i) and (ii) of subparagraph (A),”, and struck out former subpar. (A) which authorized the Secretary, during 180-day period beginning on date of acquisition, or during applicable period under State law, to allow borrower-owner to purchase or lease property, if such borrower-owner had acted in good faith with the Secretary.

    Enacted provision · exact public law section
    (i) by striking subparagraphs (A) through (C);

40. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(A)(i) · 110 Stat. 888

    1. Redesignated · 7 U.S.C. § 1985(e)(1)(B)

       Pub. L. 104–127, § 638(3)(A)(i), (ii), redesignated subpar. (E) as (B)

    2. Struck · 7 U.S.C. § 1985(e)(1)(B)

       Pub. L. 104–127, § 638(3)(A)(i), (ii), struck out former subpar. (B) which read as follows: “Any purchase or lease under subparagraph (A) shall be on such terms and conditions as are established in regulations promulgated by the Secretary.”

    Source evidence

    Code amendment note
    Subsec. (e)(1)(B). Pub. L. 104–127, § 638(3)(A)(i), (ii), redesignated subpar. (E) as (B) and struck out former subpar. (B) which read as follows: “Any purchase or lease under subparagraph (A) shall be on such terms and conditions as are established in regulations promulgated by the Secretary.”

    Enacted provision · exact public law section
    (i) by striking subparagraphs (A) through (C);

41. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(A)(i) · 110 Stat. 888

    1. Redesignated · 7 U.S.C. § 1985(e)(1)(C)

       Pub. L. 104–127, § 638(3)(A)(i), (ii), redesignated subpar. (F) as (C)

    2. Struck · 7 U.S.C. § 1985(e)(1)(C)

       Pub. L. 104–127, § 638(3)(A)(i), (ii), struck out former subpar. (C) which authorized Secretary to give preference in sale or lease, with option to purchase, of property that had been foreclosed, purchased, redeemed, or otherwise acquired by the Secretary to persons in specified order

    Source evidence

    Code amendment note
    Subsec. (e)(1)(C). Pub. L. 104–127, § 638(3)(A)(i), (ii), redesignated subpar. (F) as (C) and struck out former subpar. (C) which authorized Secretary to give preference in sale or lease, with option to purchase, of property that had been foreclosed, purchased, redeemed, or otherwise acquired by the Secretary to persons in specified order.

    Enacted provision · exact public law section
    (i) by striking subparagraphs (A) through (C);

42. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(A)(ii) · 110 Stat. 888

    1. Redesignated · 7 U.S.C. § 1985(e)(1)(D)

       Pub. L. 104–127, § 638(3)(A)(ii), (iv), redesignated subpar. (G) as (D), in cl. (i)

    2. Substituted · 7 U.S.C. § 1985(e)(1)(D)

       Pub. L. 104–127, § 638(3)(A)(ii), (iv), substituted “(A)” for “(D)” in concluding provisions, in cl. (iii)(I)

    3. Substituted · 7 U.S.C. § 1985(e)(1)(D)

       Pub. L. 104–127, § 638(3)(A)(ii), (iv), substituted “subparagraph (A)” for “subparagraphs (C)(i), (C)(ii), and (D)”

    4. Added · 7 U.S.C. § 1985(e)(1)(D)

       Pub. L. 104–127, § 638(3)(A)(ii), (iv), added cl. (v)

    5. Struck · 7 U.S.C. § 1985(e)(1)(D)

       Pub. L. 104–127, § 638(3)(A)(ii), (iv), struck out former cl. (v) which read as follows: “If a borrower-owner does not voluntarily convey to the Secretary real property described in clause (i), at least 30 days before a foreclosure sale of the property, the Secretary shall provide written notice to the Indian tribe that has jurisdiction over the reservation in which the real property is located of—

    Source evidence

    Code amendment note
    Subsec. (e)(1)(D). Pub. L. 104–127, § 638(3)(A)(ii), (iv), redesignated subpar. (G) as (D), in cl. (i), substituted “(A)” for “(D)” in concluding provisions, in cl. (iii)(I), substituted “subparagraph (A)” for “subparagraphs (C)(i), (C)(ii), and (D)”, and added cl. (v) and struck out former cl. (v) which read as follows: “If a borrower-owner does not voluntarily convey to the Secretary real property described in clause (i), at least 30 days before a foreclosure sale of the property, the Secretary shall provide written notice to the Indian tribe that has jurisdiction over the reservation in which the real property is located of—

    “(I) the sale; “(II) the fair market value of the property; and “(III) the requirements of this subparagraph.” Former subpar. (D) redesignated (A).

    Enacted provision · exact public law section
    (ii) by redesignating subparagraphs (D) through (G) as subparagraphs (A) through CD), respectively;

43. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(A)(ii) · 110 Stat. 888

    Redesignated · 7 U.S.C. § 1985(e)(1)(E)(G)

    Pub. L. 104–127, § 638(3)(A)(ii), redesignated subpars. (E) to (G) as (B) to (D), respectively

    Source evidence

    Code amendment note
    Subsec. (e)(1)(E) to (G). Pub. L. 104–127, § 638(3)(A)(ii), redesignated subpars. (E) to (G) as (B) to (D), respectively.

    Enacted provision · exact public law section
    (ii) by redesignating subparagraphs (D) through (G) as subparagraphs (A) through CD), respectively;

44. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(B) · 110 Stat. 888

    1. Redesignated · 7 U.S.C. § 1985(e)(3)

       Pub. L. 104–127, § 638(3)(B), (C), (E), redesignated par. (4) as (3)

    2. Struck · 7 U.S.C. § 1985(e)(3)

       Pub. L. 104–127, § 638(3)(B), (C), (E), struck out “(i)” before “The Secretary may sell”

    3. Redesignated · 7 U.S.C. § 1985(e)(3)

       Pub. L. 104–127, § 638(3)(B), (C), (E), redesignated cl. (ii) of subpar. (A) as subpar. (B)

    4. Substituted · 7 U.S.C. § 1985(e)(3)

       Pub. L. 104–127, § 638(3)(B), (C), (E), substituted “subparagraph (A)” for “clause (i)”

    5. Struck · 7 U.S.C. § 1985(e)(3)

       Pub. L. 104–127, § 638(3)(B), (C), (E), struck out former subpar. (B) which read as follows: “If two or more qualified operators of not larger than family-size farms desire to purchase, or lease with an option to purchase, such land, the appropriate county committee shall randomly select the operator who may purchase such land, on such basis as the Secretary may prescribe by regulation, in accordance with subsection (c)(2)(B)(iii) of this section.”

    6. Struck · 7 U.S.C. § 1985(e)(3)

       Pub. L. 104–127, § 638(3)(B), (C), (E), struck out former par. (3) which directed the Secretary to issue regulations providing for leasing of real property, or leasing such property with option to purchase, on fair and equitable basis

    Source evidence

    Code amendment note
    Subsec. (e)(3). Pub. L. 104–127, § 638(3)(B), (C), (E), redesignated par. (4) as (3), struck out “(i)” before “The Secretary may sell”, redesignated cl. (ii) of subpar. (A) as subpar. (B) and substituted “subparagraph (A)” for “clause (i)”, struck out former subpar. (B) which read as follows: “If two or more qualified operators of not larger than family-size farms desire to purchase, or lease with an option to purchase, such land, the appropriate county committee shall randomly select the operator who may purchase such land, on such basis as the Secretary may prescribe by regulation, in accordance with subsection (c)(2)(B)(iii) of this section.”, and struck out former par. (3) which directed the Secretary to issue regulations providing for leasing of real property, or leasing such property with option to purchase, on fair and equitable basis.

    Enacted provision · exact public law section
    (B) by striking paragraph (3);

45. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(E) · 110 Stat. 888

    Redesignated · 7 U.S.C. § 1985(e)(4)

    Pub. L. 104–127, § 638(3)(E), redesignated par. (7) as (4). Former par. (4) redesignated (3)

    Source evidence

    Code amendment note
    Subsec. (e)(4). Pub. L. 104–127, § 638(3)(E), redesignated par. (7) as (4). Former par. (4) redesignated (3).

    Enacted provision · exact public law section
    (E) by redesignating paragraphs (4), (7), (8), and (10) as paragraphs (3), (4), (5), and (6), respectively.

46. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(D) · 110 Stat. 888

    1. Redesignated · 7 U.S.C. § 1985(e)(5)

       Pub. L. 104–127, § 638(3)(D), (E), redesignated par. (8) as (5)

    2. Struck · 7 U.S.C. § 1985(e)(5)

       Pub. L. 104–127, § 638(3)(D), (E), struck out former par. (5) which read as follows:

    Source evidence

    Code amendment note
    Subsec. (e)(5). Pub. L. 104–127, § 638(3)(D), (E), redesignated par. (8) as (5) and struck out former par. (5) which read as follows:

    “(5)(A) If the Secretary determines that farmland administered under this chapter is not suitable for sale or lease to persons eligible for a loan made or insured under subchapter I of this chapter because such farmland is in a tract or tracts that the Secretary determines to be larger than that necessary for such eligible persons, the Secretary shall, to the greatest extent practicable, subdivide such land into tracts suitable for sale under subsection (c) of this section. Such land shall be subdivided into parcels of land the shape and size of which are suitable for farming, the value of which shall not exceed the individual loan limits as prescribed under section 1925 of this title. “(B) The Secretary shall dispose of such subdivided farmland in accordance with this subsection.”

    Enacted provision · exact public law section
    (D) by striking paragraphs (5), (6), and (9); and

47. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(D) · 110 Stat. 888

    1. Redesignated · 7 U.S.C. § 1985(e)(6)

       Pub. L. 104–127, § 638(3)(D), (E), redesignated par. (10) as (6)

    2. Struck · 7 U.S.C. § 1985(e)(6)

       Pub. L. 104–127, § 638(3)(D), (E), struck out former par. (6) which read as follows: “If suitable farmland is available for disposition under this subsection, the Secretary shall—

    Source evidence

    Code amendment note
    Subsec. (e)(6). Pub. L. 104–127, § 638(3)(D), (E), redesignated par. (10) as (6) and struck out former par. (6) which read as follows: “If suitable farmland is available for disposition under this subsection, the Secretary shall—

    “(A) publish an announcement of the availability of such farmland in at least one newspaper that is widely circulated in the county in which the farmland is located; “(B) post an announcement of the availability of such farmland in a prominent place in the local office of the Farmers Home Administration that serves the county in which the farmland is located; and “(C) provide written notice reasonably calculated to inform the immediate previous owner or immediate previous family-size farm operator of such farmland, of the availability of such farmland.”

    Enacted provision · exact public law section
    (D) by striking paragraphs (5), (6), and (9); and

48. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(E) · 110 Stat. 888

    Redesignated · 7 U.S.C. § 1985(e)(7); 7 U.S.C. § 1985(e)(8)

    Pub. L. 104–127, § 638(3)(E), redesignated pars. (7) and (8) as (4) and (5), respectively

    Source evidence

    Code amendment note
    Subsec. (e)(7), (8). Pub. L. 104–127, § 638(3)(E), redesignated pars. (7) and (8) as (4) and (5), respectively.

    Enacted provision · exact public law section
    (E) by redesignating paragraphs (4), (7), (8), and (10) as paragraphs (3), (4), (5), and (6), respectively.

49. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(D) · 110 Stat. 888

    Struck · 7 U.S.C. § 1985(e)(9)

    Pub. L. 104–127, § 638(3)(D), struck out par. (9) which read as follows: “Denials of applications for or disputes over terms and conditions of a lease or purchase agreement under this section are appealable under section 1983b of this title.”

    Source evidence

    Code amendment note
    Subsec. (e)(9). Pub. L. 104–127, § 638(3)(D), struck out par. (9) which read as follows: “Denials of applications for or disputes over terms and conditions of a lease or purchase agreement under this section are appealable under section 1983b of this title.”

    Enacted provision · exact public law section
    (D) by striking paragraphs (5), (6), and (9); and

50. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 638(3)(E) · 110 Stat. 888

    Redesignated · 7 U.S.C. § 1985(e)(10)

    Pub. L. 104–127, § 638(3)(E), redesignated par. (10) as (6)

    Source evidence

    Code amendment note
    Subsec. (e)(10). Pub. L. 104–127, § 638(3)(E), redesignated par. (10) as (6).

    Enacted provision · exact public law section
    (E) by redesignating paragraphs (4), (7), (8), and (10) as paragraphs (3), (4), (5), and (6), respectively.

51. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 639(1)(A) · 110 Stat. 888

    Inserted · 7 U.S.C. § 1985(g)

    Pub. L. 104–127, § 639(1)(A), inserted heading

    Source evidence

    Code amendment note
    Subsec. (g). Pub. L. 104–127, § 639(1)(A), inserted heading.

    Enacted provision · exact public law section
    (A) by striking “(g)(1) Subject to paragraphs (2) through (5)” and inserting the following: “(g) Easements on Inventoried Property.— “(1) In general.— Subject to paragraph (2)”; and

52. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 639(1) · 110 Stat. 888

    1. Inserted · 7 U.S.C. § 1985(g)(1)

       Pub. L. 104–127, § 639(1), inserted heading

    2. Substituted · 7 U.S.C. § 1985(g)(1)

       Pub. L. 104–127, § 639(1), substituted “Subject to paragraph (2)” for “Subject to paragraphs (2) through (5)”

    3. Struck · 7 U.S.C. § 1985(g)(1)

       Pub. L. 104–127, § 639(1), struck out “, as determined by the Secretary in accordance with title XII of the Food Security Act of 1985 (16 U.S.C. 3801 et seq.)” after “inventoried property”

    Source evidence

    Code amendment note
    Subsec. (g)(1). Pub. L. 104–127, § 639(1), inserted heading, substituted “Subject to paragraph (2)” for “Subject to paragraphs (2) through (5)”, and struck out “, as determined by the Secretary in accordance with title XII of the Food Security Act of 1985 (16 U.S.C. 3801 et seq.)” after “inventoried property”.

    Enacted provision · exact public law section
    (1) in paragraph (1)— (A) by striking “(g)(1) Subject to paragraphs (2) through (5)” and inserting the following: “(g) Easements on Inventoried Property.— “(1) In general.— Subject to paragraph (2)”; and (B) by striking “, as determined” and all that follows through “3801 et seq.)”;

53. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 639(2) · 110 Stat. 888

    1. Added · 7 U.S.C. § 1985(g)(2)

       Pub. L. 104–127, § 639(2), added par. (2)

    2. Struck · 7 U.S.C. § 1985(g)(2)

       Pub. L. 104–127, § 639(2), struck out former par. (2) which read as follows: “In establishing the wetland conservation easements on land that is considered to be cropland as of November 28, 1990, the Secretary shall avoid, to the extent practicable, an adverse impact on the productivity of the croplands, as provided in this subsection.”

    Source evidence

    Code amendment note
    Subsec. (g)(2). Pub. L. 104–127, § 639(2), added par. (2) and struck out former par. (2) which read as follows: “In establishing the wetland conservation easements on land that is considered to be cropland as of November 28, 1990, the Secretary shall avoid, to the extent practicable, an adverse impact on the productivity of the croplands, as provided in this subsection.”

    Enacted provision · exact public law section
    (2) by striking paragraph (2) and inserting the following: “(2) Limitation.— The Secretary shall not establish a wetland conservation easement on an inventoried property that— “(A) was cropland on the date the property entered the inventory of the Secretary; or “(B) was used for farming at any time during the period beginning on the date 5 years before the property entered the inventory of the Secretary and ending on the date the property entered the inventory of the Secretary.”;

54. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 639(3) · 110 Stat. 888

    1. Redesignated · 7 U.S.C. § 1985(g)(3)

       Pub. L. 104–127, § 639(3), (4), redesignated par. (6) as (3)

    2. Inserted · 7 U.S.C. § 1985(g)(3)

       Pub. L. 104–127, § 639(3), (4), inserted heading

    3. Struck · 7 U.S.C. § 1985(g)(3)

       Pub. L. 104–127, § 639(3), (4), struck out former par. (3) which read as follows: “In order to avoid the adverse impact, the Secretary shall—

    Source evidence

    Code amendment note
    Subsec. (g)(3). Pub. L. 104–127, § 639(3), (4), redesignated par. (6) as (3), inserted heading, and struck out former par. (3) which read as follows: “In order to avoid the adverse impact, the Secretary shall—

    “(A) not establish the wetland conservation easements with respect to wetlands that were converted prior to December 23, 1985, and that have been in cropland use, as determined by the Secretary, in excess of 10 percent of the existing cropland available for production of agricultural commodities on the particular parcel of inventoried property; “(B) not establish the wetland conservation easements with respect to wetlands that have been frequently planted to agricultural commodities and wetlands described in subparagraph (A), in excess of 20 percent of the existing cropland available for production of agricultural commodities on the particular parcel of inventoried property; “(C) ensure that the buffer area adjacent to the wetland is generally not more than 100 feet in average width; and “(D) ensure that access to other portions of the property for farming and other uses is provided.”

    Enacted provision · exact public law section
    (3) by striking paragraphs (3), (4), (5), and (8);

55. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 639(3) · 110 Stat. 888

    1. Redesignated · 7 U.S.C. § 1985(g)(4)

       Pub. L. 104–127, § 639(3), (5), redesignated par. (7) as (4)

    2. Inserted · 7 U.S.C. § 1985(g)(4)

       Pub. L. 104–127, § 639(3), (5), inserted heading

    3. Struck · 7 U.S.C. § 1985(g)(4)

       Pub. L. 104–127, § 639(3), (5), struck out former par. (4) which read as follows: “The wetland conservation easements shall be placed on wetlands that have a history of haying and grazing, as determined by the Secretary, except that in no case shall the quantity of the wetland subject to the easements exceed 50 percent of the existing forage lands on the parcel of inventoried property. All haying and grazing practices on the wetlands (including the timing and intensity of haying and grazing) shall conform to forage management standards designed to protect wetlands.”

    Source evidence

    Code amendment note
    Subsec. (g)(4). Pub. L. 104–127, § 639(3), (5), redesignated par. (7) as (4), inserted heading, and struck out former par. (4) which read as follows: “The wetland conservation easements shall be placed on wetlands that have a history of haying and grazing, as determined by the Secretary, except that in no case shall the quantity of the wetland subject to the easements exceed 50 percent of the existing forage lands on the parcel of inventoried property. All haying and grazing practices on the wetlands (including the timing and intensity of haying and grazing) shall conform to forage management standards designed to protect wetlands.”

    Enacted provision · exact public law section
    (3) by striking paragraphs (3), (4), (5), and (8);

56. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 639(3) · 110 Stat. 888

    Struck · 7 U.S.C. § 1985(g)(5)

    Pub. L. 104–127, § 639(3), struck out par. (5) which read as follows: “If, despite the limitations contained in paragraph (3), wetland conservation easements established under paragraph (1) would prevent a particular parcel of inventoried property that is to be sold or leased to a borrower described in clause (i), (ii), or (iii) of subsection (e)(1)(C) of this section, or to a borrower who is a beginning farmer or rancher, from being a marketable agricultural production unit that is comparable to the parcel as acquired, the Secretary may—

    Source evidence

    Code amendment note
    Subsec. (g)(5). Pub. L. 104–127, § 639(3), struck out par. (5) which read as follows: “If, despite the limitations contained in paragraph (3), wetland conservation easements established under paragraph (1) would prevent a particular parcel of inventoried property that is to be sold or leased to a borrower described in clause (i), (ii), or (iii) of subsection (e)(1)(C) of this section, or to a borrower who is a beginning farmer or rancher, from being a marketable agricultural production unit that is comparable to the parcel as acquired, the Secretary may—

    “(A) establish wetland conservation easements on wetland that was converted prior to December 23, 1985, in a quantity that is less than 10 percent of the existing croplands available for production of agricultural commodities on the particular parcel; and “(B) if the reduction provided in subparagraph (A) is not applicable, or is not sufficient to ensure that the particular parcel would be a marketable agricultural production unit, amend the wetland conservation easements established on the wetlands that have been frequently planted to agricultural commodities to permit the production of agricultural commodities (consistent with title XII of the Food Security Act of 1985) on the wetlands, to the extent necessary to maintain the parcel as a marketable agricultural production unit.”

    Enacted provision · exact public law section
    (3) by striking paragraphs (3), (4), (5), and (8);

57. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 639(4) · 110 Stat. 888

    Redesignated · 7 U.S.C. § 1985(g)(6); 7 U.S.C. § 1985(g)(7)

    Pub. L. 104–127, § 639(4), (5), redesignated pars. (6) and (7) as (3) and (4), respectively

    Source evidence

    Code amendment note
    Subsec. (g)(6), (7). Pub. L. 104–127, § 639(4), (5), redesignated pars. (6) and (7) as (3) and (4), respectively.

    Enacted provision · exact public law section
    (4) by striking “(6) The Secretary” and inserting the following: “(3) Notification.— The Secretary”; and

58. 1996

    Federal Agriculture Improvement and Reform Act of 1996

    Pub. L. 104–127 § 639(3) · 110 Stat. 888

    Struck · 7 U.S.C. § 1985(g)(8)

    Pub. L. 104–127, § 639(3), struck out par. (8) which read as follows: “Notwithstanding the limitations described under paragraphs (3) and (4), the limitations may be voluntarily, knowingly waived by any person with respect to real property described in paragraph (3) or (4).”

    Source evidence

    Code amendment note
    Subsec. (g)(8). Pub. L. 104–127, § 639(3), struck out par. (8) which read as follows: “Notwithstanding the limitations described under paragraphs (3) and (4), the limitations may be voluntarily, knowingly waived by any person with respect to real property described in paragraph (3) or (4).”

    Enacted provision · exact public law section
    (3) by striking paragraphs (3), (4), (5), and (8);

59. 2002

    Pub. L. 107–171 § 5308(1)(A)(i) · 116 Stat. 134

    Substituted · 7 U.S.C. § 1985(c)(1)(B)(i)

    Pub. L. 107–171, § 5308(1)(A)(i), substituted “135 days” for “75 days”

    Source evidence

    Code amendment note
    Subsec. (c)(1)(B)(i). Pub. L. 107–171, § 5308(1)(A)(i), substituted “135 days” for “75 days”.

    Enacted provision · exact public law section
    (i) in clause (i), by striking “75 days” and inserting “135 days”; and

60. 2002

    Pub. L. 107–171 § 5308(1)(A)(ii) · 116 Stat. 134

    Added · 7 U.S.C. § 1985(c)(1)(B)(iv)

    Pub. L. 107–171, § 5308(1)(A)(ii), added cl. (iv)

    Source evidence

    Code amendment note
    Subsec. (c)(1)(B)(iv). Pub. L. 107–171, § 5308(1)(A)(ii), added cl. (iv).

    Enacted provision · exact public law section
    (ii) by adding at the end the following: “(iv) Combining and dividing of property.— To the maximum extent practicable, the Secretary shall maximize the opportunity for beginning farmers and ranchers to purchase real property acquired by the Secretary under this title by combining or dividing inventory parcels of the property in such manner as the Secretary determines to be appropriate.”; and

61. 2002

    Pub. L. 107–171 § 5308(1)(B) · 116 Stat. 134

    1. Substituted · 7 U.S.C. § 1985(c)(1)(C)

       Pub. L. 107–171, § 5308(1)(B), substituted “135 days” for “75 days”

    2. Substituted · 7 U.S.C. § 1985(c)(1)(C)

       Pub. L. 107–171, § 5308(1)(B), substituted “135-day period” for “75-day period”

    Source evidence

    Code amendment note
    Subsec. (c)(1)(C). Pub. L. 107–171, § 5308(1)(B), substituted “135 days” for “75 days” and “135-day period” for “75-day period”.

    Enacted provision · exact public law section
    (B) in subparagraph (C)— (i) by striking “75 days” and inserting “135 days”; and (ii) by striking “75-day period” and inserting “135-day period”; and

62. 2002

    Pub. L. 107–171 § 5308(2) · 116 Stat. 134

    1. Added · 7 U.S.C. § 1985(c)(2)

       Pub. L. 107–171, § 5308(2), added par. (2)

    2. Struck · 7 U.S.C. § 1985(c)(2)

       Pub. L. 107–171, § 5308(2), struck out heading and text of former par. (2). Text read as follows:

    Source evidence

    Code amendment note
    Subsec. (c)(2). Pub. L. 107–171, § 5308(2), added par. (2) and struck out heading and text of former par. (2). Text read as follows:

    “(A) Previous lease.—In the case of real property acquired prior to April 4, 1996, that the Secretary leased prior to April 4, 1996, not later than 60 days after the lease expires, the Secretary shall offer to sell the property in accordance with paragraph (1). “(B) Previously in inventory.—In the case of real property acquired prior to April 4, 1996, that the Secretary has not leased, not later than 60 days after April 4, 1996, the Secretary shall offer to sell the property in accordance with paragraph (1).”

    Enacted provision · exact public law section
    (2) by striking paragraph (2) and inserting the following: “(2) Previous lease.— In the case of real property acquired before April 4, 1996, that the Secretary leased before April 4, 1996, not later than 60 days after the lease expires, the Secretary shall offer to sell the property in accordance with paragraph (1).”.

63. 2008

    Food, Conservation, and Energy Act of 2008

    Pub. L. 110–246 § 5302(a)(1)(A) · 122 Stat. 1651

    1. Inserted · 7 U.S.C. § 1985(c)(1)(B)

       Pub. L. 110–246, § 5302(a)(1)(A), in heading, inserted “; socially disadvantaged farmer or rancher” at end, in cls. (i) and (iii)

    2. Inserted · 7 U.S.C. § 1985(c)(1)(B)

       Pub. L. 110–246, § 5302(a)(1)(A), in heading, inserted “or a socially disadvantaged farmer or rancher” after “beginning farmer or rancher”, in cl. (ii)

    3. Inserted · 7 U.S.C. § 1985(c)(1)(B)

       Pub. L. 110–246, § 5302(a)(1)(A), in heading, inserted “or socially disadvantaged farmer or rancher” after “beginning farmer or rancher”, and, in cl. (iv)

    4. Substituted · 7 U.S.C. § 1985(c)(1)(B)

       Pub. L. 110–246, § 5302(a)(1)(A), in heading, substituted “beginning farmers or ranchers and socially disadvantaged farmers or ranchers” for “beginning farmers and ranchers”

    Source evidence

    Code amendment note
    Subsec. (c)(1)(B). Pub. L. 110–246, § 5302(a)(1)(A), in heading, inserted “; socially disadvantaged farmer or rancher” at end, in cls. (i) and (iii), inserted “or a socially disadvantaged farmer or rancher” after “beginning farmer or rancher”, in cl. (ii), inserted “or socially disadvantaged farmer or rancher” after “beginning farmer or rancher”, and, in cl. (iv), substituted “beginning farmers or ranchers and socially disadvantaged farmers or ranchers” for “beginning farmers and ranchers”.

    Enacted provision · exact public law section
    (A) in subparagraph (B)— (i) in the subparagraph heading, by inserting “; socially disadvantaged farmer or rancher” after “or rancher”; (ii) in clause (i), by inserting “ or a socially disadvantaged farmer or rancher” after “or rancher”; (iii) in clause (ii), by inserting “or socially disadvantaged farmer or rancher” after “or rancher”; (iv) in clause (iii), by inserting “or a socially disadvantaged farmer or rancher” after “or rancher”; and (v) in clause (iv), by striking “and ranchers” and inserting “or ranchers and socially disadvantaged farmers or ranchers”; and

    Effective date note
    Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title.

64. 2008

    Food, Conservation, and Energy Act of 2008

    Pub. L. 110–246 § 5302(a)(1)(B) · 122 Stat. 1651

    Inserted · 7 U.S.C. § 1985(c)(1)(C)

    Pub. L. 110–246, § 5302(a)(1)(B), inserted “or a socially disadvantaged farmer or rancher” after “beginning farmer or rancher”

    Source evidence

    Code amendment note
    Subsec. (c)(1)(C). Pub. L. 110–246, § 5302(a)(1)(B), inserted “or a socially disadvantaged farmer or rancher” after “beginning farmer or rancher”.

    Enacted provision · exact public law section
    (B) in subparagraph (C), by inserting “or a socially disadvantaged farmer or rancher” after “or rancher”;

    Effective date note
    Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title.

65. 2008

    Food, Conservation, and Energy Act of 2008

    Pub. L. 110–246 § 5302(a)(2)(A) · 122 Stat. 1651

    1. Inserted · 7 U.S.C. § 1985(c)(5)(B)(i)

       Pub. L. 110–246, § 5302(a)(2)(A), in heading, inserted “; socially disadvantaged farmer or rancher” at end and, in text

    2. Inserted · 7 U.S.C. § 1985(c)(5)(B)(i)

       Pub. L. 110–246, § 5302(a)(2)(A), in heading, inserted “or a socially disadvantaged farmer or rancher” after “a beginning farmer or rancher” and “or the socially disadvantaged farmer or rancher” after “the beginning farmer or rancher”

    Source evidence

    Code amendment note
    Subsec. (c)(5)(B)(i). Pub. L. 110–246, § 5302(a)(2)(A), in heading, inserted “; socially disadvantaged farmer or rancher” at end and, in text, inserted “or a socially disadvantaged farmer or rancher” after “a beginning farmer or rancher” and “or the socially disadvantaged farmer or rancher” after “the beginning farmer or rancher”.

    Enacted provision · exact public law section
    (A) in clause (i)— (i) in the clause heading, by inserting “; socially disadvantaged farmer or rancher” after “or rancher”; (ii) by inserting “or a socially disadvantaged farmer or rancher” after “a beginning farmer or rancher”; and (iii) by inserting “or the socially disadvantaged farmer or rancher” after “the beginning farmer or rancher”; and

    Effective date note
    Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title.

66. 2008

    Food, Conservation, and Energy Act of 2008

    Pub. L. 110–246 § 5302(a)(2)(B) · 122 Stat. 1651

    1. Inserted · 7 U.S.C. § 1985(c)(5)(B)(ii)

       Pub. L. 110–246, § 5302(a)(2)(B), in introductory provisions, inserted “or a socially disadvantaged farmer or rancher” after “a beginning farmer or rancher” and, in subcl. (II)

    2. Inserted · 7 U.S.C. § 1985(c)(5)(B)(ii)

       Pub. L. 110–246, § 5302(a)(2)(B), in introductory provisions, inserted “or the socially disadvantaged farmer or rancher” after “the beginning farmer or rancher”

    Source evidence

    Code amendment note
    Subsec. (c)(5)(B)(ii). Pub. L. 110–246, § 5302(a)(2)(B), in introductory provisions, inserted “or a socially disadvantaged farmer or rancher” after “a beginning farmer or rancher” and, in subcl. (II), inserted “or the socially disadvantaged farmer or rancher” after “the beginning farmer or rancher”.

    Enacted provision · exact public law section
    (B) in clause (ii)— (i) in the matter preceding subclause (I), by inserting “or a socially disadvantaged farmer or rancher” after “or rancher”; and (ii) in subclause (II), by inserting “or the socially disadvantaged farmer or rancher” after “or rancher”; and

    Effective date note
    Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title.

67. 2008

    Food, Conservation, and Energy Act of 2008

    Pub. L. 110–246 § 5302(a)(3)(A) · 122 Stat. 1651

    Inserted · 7 U.S.C. § 1985(c)(6)(A)

    Pub. L. 110–246, § 5302(a)(3)(A), inserted “or a socially disadvantaged farmer or rancher” after “beginning farmer or rancher”

    Source evidence

    Code amendment note
    Subsec. (c)(6)(A). Pub. L. 110–246, § 5302(a)(3)(A), inserted “or a socially disadvantaged farmer or rancher” after “beginning farmer or rancher”.

    Enacted provision · exact public law section
    (A) in subparagraph (A), by inserting “or a socially disadvantaged farmer or rancher” after “or rancher”; and

    Effective date note
    Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title.

68. 2008

    Food, Conservation, and Energy Act of 2008

    Pub. L. 110–246 § 5302(a)(3)(B) · 122 Stat. 1651

    1. Substituted · 7 U.S.C. § 1985(c)(6)(C)

       Pub. L. 110–246, § 5302(a)(3)(B), in cl. (i)(I), substituted “beginning farmers or ranchers and socially disadvantaged farmers or ranchers” for “beginning farmers and ranchers” and, in cl. (ii)

    2. Inserted · 7 U.S.C. § 1985(c)(6)(C)

       Pub. L. 110–246, § 5302(a)(3)(B), in cl. (i)(I), inserted “or socially disadvantaged farmers or ranchers” after “beginning farmers or ranchers”

    Source evidence

    Code amendment note
    Subsec. (c)(6)(C). Pub. L. 110–246, § 5302(a)(3)(B), in cl. (i)(I), substituted “beginning farmers or ranchers and socially disadvantaged farmers or ranchers” for “beginning farmers and ranchers” and, in cl. (ii), inserted “or socially disadvantaged farmers or ranchers” after “beginning farmers or ranchers”.

    Enacted provision · exact public law section
    (B) in subparagraph (C)— (i) in clause (i)(I), by striking “and ranchers” and inserting “or ranchers and socially disadvantaged farmers or ranchers”; and (ii) in clause (ii), by inserting “or socially disadvantaged farmers or ranchers” after “or ranchers”.

    Effective date note
    Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title.

117 of 119 references resolved to an enrolled provision · 2 partial