e. Agricultural Act of 1949

Partial text of Public Law 81–439 [H.R. 5345], 63 Stat. 1051, approved October 31, 1949; as amended by Public Law 83-480 [S. 2475], 68 Stat. 458, approved July 10, 1954; Public Law 84-540 [H.R. 10875], 70 Stat. 203, approved May 28, 1956; Public Law 85-483 [H.R. 12164], 72 Stat. 286, approved July 2, 1958; Public Law 86-108 [H.R. 7500], 73 Stat. 250, approved July 24, 1959; Public Law 87-703 [H.R. 12391], 76 Stat. 611, approved September 27, 1962; Public Law 88-638 [S. 2687], 78 Stat. 1038, approved October 8, 1964; Public Law 89-808 [H.R. 14929], 80 Stat. 1538, approved November 11, 1966; Public Law 91-233 [S. 2595], 84 Stat. 199, approved April 17, 1970; Public Law 92-603 [H.R. 1], 86 Stat. 1492, approved October 30, 1972; Public Law 95-113 [S. 275], 91 Stat. 913, approved September 29, 1977; Public Law 96–494 [Agricultural Trade Suspension Adjustment Act of 1980, H.R. 3765], 94 Stat. 2570, approved December 3, 1980; Public Law 97-98 [Agriculture and Food Act of 1981, S. 884], 95 Stat. 1213, approved December 22, 1981; Public Law 97-253 [Omnibus Budget Reconciliation Act of 1982, H.R. 6955], 96 Stat. 766, approved September 8, 1982; Public Law 98-258 [Agricultural Programs Adjustment Act of 1984, H.R. 4072], 98 Stat. 137, approved April 10, 1984; Public Law 99-83 [S. 960], 99 Stat. 271, approved August 8, 1985; Public Law 99198 [Food Security Act of 1985, H.R. 2100], 99 Stat. 1354, approved December 23, 1985; Public Law 99-260 [Food Security Improvements Act of 1986, H.R._1614], 100 Stat. 45, approved March 20, 1986; Public Law 100-203 [Omnibus Budget Reconciliation Act of 1987, H.R. 3545], 101 Stat. 1330, approved December 22, 1987; Public Law 100-277 [Agricultural_Act of 1949, Amendment; S. 2151], 102 Stat. 67, approved April 4, 1988; Public Law 100-418 [Omnibus Trade and Competitiveness Act of 1988, H.R. 4848], 102 Stat. 1107, approved August 23, 1988; Public Law 101-513 [Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1991; H.R. 5114] 104 Stat. 2032, approved November 5, 1990; and by Public Law 101-624 [Food, Agriculture, Conservation, and Trade Act of 1990; S. 2830], 104 Stat. 3359, approved November 28, 1990

AN ACT To stabilize prices of agricultural commodities

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Agricultural Act of 1949".

Sec. 107F.1*** [Repealed-1990] 107F

INTERNATIONAL EMERGENCY FOOD RESERVE

Sec. 111.2 The President is encouraged to enter into negotiations with other nations to develop an international system of food reserves to provide for humanitarian food relief needs and to establish and maintain a food reserve, as a contribution of the United States toward the development of such a system, to be made available in the event of food emergencies in foreign countries. The re

1 Sec. 1161(a)(2) of Public Law 101-624 (Food, Agriculture, Conservation, and Trade Act of 1990; 104 Stat. 3520) repealed sec. 107F. Sec. 107F had provided for a program, applicable to any of the 1986 through 1990 crops of wheat or feed grains, to provide incentives for the export of wheat and feed grains from private stocks.

2 Sec. 111 was added by sec. 1102 of the Food and Agriculture Act of 1977 (Public Law 95-113; 91 Stat. 953).

serves shall be known as the International Emergency Food Reserve.".

SUPPLEMENTAL SET-ASIDE AND ACREAGE LIMITATION AUTHORITY

Sec. 113. Notwithstanding any other provision of law or prior announcement made by the Secretary to the contrary, the Secretary may announce and provide for an acreage limitation program under section 105B or 107B for one or more of the 1991 through 1995 crops of wheat and feed grains if the Secretary determines that such action is in the public interest as a result of the imposition of restrictions on the export of any such commodity by the President or other member of the executive branch of the Federal Government. To carry out effectively an acreage limitation program authorized under this section, the Secretary may make such modifications and adjustments in such program as the Secretary determines necessary because of any delay in instituting such program.

Sec. 416.4 (a) 5 In order to prevent the waste of commodities whether private stocks or acquired through price-support operations by Commodity Credit Corporation before they can be disposed of in normal domestic channels without impairment of the price-support program or sold abroad at competitive world prices, the Commodity Credit Corporation is authorized, on such terms and under such regulations as the Secretary of Agriculture may deem in the public interest: (1) upon application, to make such commodities available to any Federal agency for use in making payment for commodities not produced in the United States; (2) to barter or exchange such commodities for strategic or other materials as authorized by law; (3) in the case of food commodities to donate such commodities to the Bureau of Indian Affairs and to such State, Federal, or private agency or agencies as may be designated by the proper State or Federal authority and approved by the Secretary, for use in the United States in nonprofit schoollunch programs, in nonprofit summer camps for children," in the

37 U.S.C. 1445h. Sec. 113 was amended and restated by sec. 1125(a) of the Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101-624; 104 Stat. 3506). Previously, sec. 207 of the Agricultural Trade Suspension Adjustment Act of 1980 (Public Law 96-494; 94 Stat. 2570) added sec. 113; sec. 1105 of the Agriculture and Food Act of 1981 (Public Law 97-98; 95 Stat. 1264) restated sec. 113, effective for the 1982 through 1985 crops of wheat and feed grains; sec. 1011 of the Food Security Act of 1985 (Public Law 99-198; 99 Stat. 1454) restated sec. 113 effective for the 1986 through 1990 crops of wheat and feed grains.

47 U.S.C. 1431. Sec. 302 of Public Law 83-480 (68 Stat. 458) comprehensively amended and

restated sec. 416.

5 Sec. 502 of Public Law 98-258 (98 Stat. 137) inserted the subsec. designation "(a)" and added new subsecs. (b) and (c).

See also sec. 513 of Public Law 98-411 (Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriation Act, 1985) that stated the sense of the Congress that the newly enacted authority under sec. 416 of this Act should be used to help feed Guatemalan refugees in Mexico.

• Sec. 205(c) of Public Law 86-108 (73 Stat. 250) added the reference to private stocks.

7 Sec. 1 of Public Law 85-483 (72 Stat. 286) added the reference to nonprofit summer camps for children.

8

assistance of needy persons, and in charitable institutions, including hospitals, to the extent that needy persons are served. In the case of clause (3) the Secretary shall obtain such assurance as he deems necessary that the recipients thereof will not diminish their normal expenditures for food by reason of such donation. In order to facilitate the appropriate disposal of such commodities, the Secretary may from time to time estimate and announce the quantity of such commodities which he anticipates will become available for distribution under clause (3). The Commodity Credit Corporation may pay, with respect to commodities disposed of under this section, reprocessing, packaging, transporting, handling, and other charges accruing up to the time of their delivery to a Federal agency, or to the designated State or private agency. In addition, in the case of food commodities disposed of under this section, the Commodity Credit Corporation may pay the cost of processing such commodities into a form suitable for home or institutional use, such processing to be accomplished through private trade facilities to the greatest extent possible. For the purpose of this section the terms "State" and "United States" include the District of Columbia and any Territory or possession of the United States. Dairy products acquired by the Commodity Credit Corporation through price support operations may, insofar as they can be used in the United States in nonprofit school lunch and other nonprofit child feeding programs, in the assistance of needy persons, and in charitable institutions, including hospitals and facilities, to the extent that they serve needy persons (including infants and children), 10 be donated for any such use prior to any other use or disposition.11 Notwithstanding any other provision of law, such dairy products may be donated for distribution to needy households in the United States and to meet the needs of persons receiving nutrition assistance under the Older Americans Act of 1965.12

(b) 5. 13 (1) The Secretary, subject to the requirements of paragraph (10), may furnish eligible commodities for carrying out programs of assistance in developing countries and friendly countries under titles II and III 14 of the Agricultural Trade Development

8 Sec. 3(c) of Public Law 89-808 (80 Stat. 1538) struck out clause (4) which previously appeared at this point. Clause (4) provided for the donation of excess food commodities to nonprofit voluntary agencies registered with the Committee on Voluntary Foreign Aid or other appropriate Federal agencies and intergovernmental organizations for use in assistance of needy persons and in nonprofit lunch programs outside the United States. The authority for such assistance was shifted to title II of Public Law 480.

• Sec. 212 of Public Law 84-540 (70 Stat. 203) added this sentence.

10 Sec. 1771(b)(2) of the Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101-624; 104 Stat. 3807) struck out "hospitals, to the extent that needy persons are served" and inserted in lieu thereof "hospitals and facilities, to the extent that they serve needy persons (including infants and children)".

11 Public Law 91-233 (84 Stat. 199) added this sentence.

Another sentence, that previously appeared at this point, was repealed by sec. 1302(a)(2) of Public Law 95-113 (91 Stat. 979). This sentence, added by sec. 411(g) of Public Law 92-603 (86 Stat. 1492), prohibited persons eligible to receive supplementary income under title XVI of the Food Stamp Act of 1964 from participating in any program conducted under sec. 416.

12 Sec. 1109(1) of the Food Security Act of 1985 (Public Law 99-198; 99 Stat. 1467), deleted at this point language authorizing donation of such dairy products for the assistance of needy persons outside the United States. This text was originally added by sec. 110 of the Omnibus Budget Reconciliation Act of 1982 (Public Law 97-253; 96 Štat. 766).

13 Sec. 1109(2) of the Food Security Act of 1985 (Public Law 99-198; 99 Stat. 1467), comprehensively amended and restated subsec. b.

14 Sec. 1514(1) of the Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101624; 104 Stat. 3662) struck out "title II" and inserted in lieu thereof "titles II and III".

and Assistance Act of 1954 and under the Food for Progress Act of 1985, as approved by the Secretary, and for such purposes as are approved by the Secretary. To ensure that the furnishing of commodities under this subsection is coordinated with and complements other United States foreign assistance, assistance under this subsection shall be coordinated through the mechanism designated by the President to coordinate assistance under the Agricultural Trade Development and Assistance Act of 1954.

(2) As used in this subsection, the term ‘eligible commodities'

means

(A) dairy products, wheat, rice, feed grains, 15 and oilseeds acquired by the Commodity Credit Corporation through price support operations, and the products thereof, 15 that the Secre tary determines meet the criteria specified in subsection (a); and

(B) such other edible agricultural commodities as may be acquired by the Secretary or the Commodity Credit Corporation in the normal course of operations and that are available for disposition under this subsection, except that no such commodities may be acquired for the purpose of their use under this subsection.

(3)(A) Commodities may not be made available for disposition under this subsection in amounts that (i) will in any way reduce the amounts of commodities that traditionally are made available through donations to domestic feeding programs or agencies, or (ii) will prevent the Secretary from fulfilling any agreement entered into by the Secretary under a payment-in-kind program under this Act or other Acts administered by the Secretary.

(B)(i) The requirements of section 403(a) 16 of the Agricultural Trade Development and Assistance Act of 1954 shall apply with respect to commodities furnished under this subsection. Commodities may not be furnished for disposition to any country under this subsection except on determinations by the Secretary that—

(I) the receiving country has the absorptive capacity to use the commodities efficiently and effectively; and

(II) such disposition of the commodities will not interfere with usual marketings of the United States, nor disrupt world prices of agricultural commodities and normal patterns of commercial trade with developing countries.

(ii) The requirement for safeguarding usual marketings of the United States shall not be used to prevent the furnishing under this subsection of any eligible commodity for use in countries that

(I) have not traditionally purchased the commodity from the United States; or

(II) do not have adequate financial resources to acquire the commodity from the United States through commercial sources or through concessional sales arrangements.

15 Subsec. (b)(2)(A) was amended by sec. 1 of Public Law 100-277 (102 Stat. 67) which inserted "wheat, rice, and feed grains" in lieu of "grains", and inserted ", and the products thereof," after "price support operations".

16 Sec. 1514(2) of the Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101624; 104 Stat. 3662) struck out "402(b)" and inserted in lieu thereof “403(a)".

(C) The Secretary shall take reasonable precautions to ensure that

(i) commodities furnished under this subsection will not displace or interfere with sales that otherwise might be made; and

(ii) sales or barter under paragraph (7) will not unduly disrupt world prices of agricultural commodities nor normal patterns of commercial trade with friendly countries.

(D) 17 If eligible commodities are made available under this subsection to a friendly country, nonprofit and voluntary agencies and cooperatives shall also be eligible to receive commodities for food aid programs in the country.

(4) Agreements may be entered into under this subsection to provide eligible commodities in installments over an extended period of time. In agreements with recipients of eligible commodities under this subsection (including nonprofit and voluntary agencies or cooperatives), subject to the availability of commodities each fiscal year, the Secretary, on request, shall approve multiyear agreements to make agricultural commodities available for distribution or sale by the recipients if the agreements otherwise meet the requirements of this subsection. 18

(5)(A) Section 406 19 of the Agricultural Trade Development and Assistance Act of 1954 shall apply to the commodities furnished under this subsection.

(B) The Commodity Credit Corporation may pay the processing and domestic handling costs incurred, as authorized under this subsection, in the form of eligible commodities, as defined in paragraph (2)(A), if the Secretary determines that such in-kind payment will not disrupt domestic markets.

(6) The cost of commodities furnished under this subsection, and expenses incurred under section 406 19 of the Agricultural Trade Development and Assistance Act of 1954 in connection with those commodities, shall be in addition to the level of assistance programmed under that Act and shall not be considered expenditures for international affairs and finance.

(7) Eligible commodities 20 furnished under this subsection may be sold or bartered only with the approval of the Secretary and solely as follows:

(A) Sales and barter that are incidental to the donation of the commodities or products.

(B) Sales and barter to finance the distribution, handling, and processing costs of the donated commodities or products in the importing country or in a country through which such commodities or products must be transshipped, or other activities in the importing country that are consistent with providing food assistance to needy people.

17 Subsec. (D) was added by sec. 2 of Public Law 100-277 (102 Stat. 67).

18 The text to this point beginning with "In agreements with" was added by sec. 2 of Public Law 100-277 (102 Stat. 67).

19 Sec. 1514(3) and (4) of the Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101-624; 104 Stat. 3662) struck out "203" and inserted "406".

20 The text ", and products thereof," which previously appeared at this point was deleted by sec. 1(a)(b)(2) of Public Law 100-277 (102 Stat. 67).