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7 U.S.C. § 1445g — Production of commodities for conversion into industrial hydrocarbons; terms and conditions; incentive payments; regulations; appropriations; effective date
Federal law — U.S. Code and appendices · legal_authorities
Notwithstanding any other provision of this Act—
**(a)** The Secretary may permit, subject to such terms and conditions as the Secretary may prescribe, all or any part of the acreage set aside or diverted from the production of a commodity for any crop year under this subchapter to be devoted to the production of any commodity (other than the commodities for which acreage is being set aside or diverted) for conversion into industrial hydrocarbons and blending with gasoline or other fossil fuels for use as motor or industrial fuel, if the Secretary determines that such production is desirable in order to provide an adequate supply of commodities for such purpose, is not likely to increase the cost of the price support programs, and will not adversely affect farm income.
**(b)**
(1) During any year in which there is no set-aside or diversion of acreage under this subchapter, the Secretary may formulate and administer a program for the production, subject to such terms and conditions as the Secretary may prescribe, of commodities for conversion into industrial hydrocarbons and blending with gasoline or other fossil fuels for use as motor or industrial fuel, if the Secretary determines that such production is desirable in order to provide an adequate supply of commodities for such purpose, is not likely to increase the cost of the price support programs, and will not adversely affect farm income. Under the program, producers of wheat, feed grains, upland cotton, and rice shall be paid incentive payments to devote a portion of their acreage to the production of commodities for conversion into industrial hydrocarbons and blending with gasoline or other fossil fuels for use as motor or industrial fuel.
(2) The payments under this subsection shall be at such rate or rates a
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Source file: Laws/federal/codes/united-states-code/title-7/section-1445g-production-of-commodities-for-conversion-into-industrial-hydrocarbons-te--49eb3ff6eb.md
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Source location: Title 7, Chapter 35A, § 1445g; chapter-35a-price-support-of-agricultural-commodities.md
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Notwithstanding any other provision of this Act—
**(a)** The Secretary may permit, subject to such terms and conditions as the Secretary may prescribe, all or any part of the acreage set aside or diverted from the production of a commodity for any crop year under this subchapter to be devoted to the production of any commodity (other than the commodities for which acreage is being set aside or diverted) for conversion into industrial hydrocarbons and blending with gasoline or other fossil fuels for use as motor or industrial fuel, if the Secretary determines that such production is desirable in order to provide an adequate supply of commodities for such purpose, is not likely to increase the cost of the price support programs, and will not adversely affect farm income.
**(b)**
(1) During any year in which there is no set-aside or diversion of acreage under this subchapter, the Secretary may formulate and administer a program for the production, subject to such terms and conditions as the Secretary may prescribe, of commodities for conversion into industrial hydrocarbons and blending with gasoline or other fossil fuels for use as motor or industrial fuel, if the Secretary determines that such production is desirable in order to provide an adequate supply of commodities for such purpose, is not likely to increase the cost of the price support programs, and will not adversely affect farm income. Under the program, producers of wheat, feed grains, upland cotton, and rice shall be paid incentive payments to devote a portion of their acreage to the production of commodities for conversion into industrial hydrocarbons and blending with gasoline or other fossil fuels for use as motor or industrial fuel.
(2) The payments under this subsection shall be at such rate or rates as the Secretary determines to be fair and reasonable, taking into consideration the participation necessary to ensure an adequate supply of the agricultural commodities for conversion into industrial hydrocarbons and blending with gasoline or other fossil fuels for use as motor or industrial fuels.
(3) The Secretary may issue such regulations as the Secretary deems necessary to carry out the provisions of this subsection.
(4) There are authorized to be appropriated such sums as may be necessary to carry out the provisions of this subsection.
(5) The provisions of this subsection shall become effective October 1, 1978.
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Source** The Secretary shall provide the price support authorized or required herein through the Commodity Credit Corporation and other means available to him.
**(b) Authority of Secretary; factors considered** Except as otherwise provided in this Act, the amounts, terms, and conditions of price support operations and the extent to which such operations are carried out, shall be determined or approved by the Secretary. The following factors shall be taken into consideration in determining, in the case of any commodity for which price support is discretionary, whether a price-support operation shall be undertaken and the level of such support and, in the case of any commodity for which price support is mandatory, the level of support in excess of the minimum level prescribed for such commodity: (1) the supply of the commodity in relation to the demand therefor, (2) the price levels at which other commodities are being supported and, in the case of feed grains, the feed values of such grains in relation to corn, (3) the availability of funds, (4) the perishability of the commodity, (5) the importance of the commodity to agriculture and the national economy, (6) the ability to dispose of stocks acquired through a price-support operation, (7) the need for offsetting temporary losses of export markets, (8) the ability and willingness of producers to keep supplies in line with demand and (9), in the case of upland cotton, changes in the cost of producing such cotton.
**(c) Compliance by producer; program for diverted acres** Compliance by the producer with acreage allotments, production goals and marketing practices (including marketing quotas when authorized by law), prescribed by the Secretary, may be required as a condition of eligibility for price support. In admi
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Agricultural Adjustment Act of 1938**
(1) **Suspensions** — The following provisions of the Agricultural Adjustment Act of 1938 [[7 U.S.C. 1281](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1281&num=0&edition=prelim) et seq.] shall not be applicable to the 1996 through 2001 crops of loan commodities, peanuts, and sugar and shall not be applicable to milk during the period beginning on April 4, 1996, and ending on December 31, 2002:
(A) Parts II through V of subtitle B of title III ([7 U.S.C. 1326–135](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1326–135&num=0&edition=prelim)1) [[7 U.S.C. 1321](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1321&num=0&edition=prelim) et seq., 1331 et seq., 1341 et seq., 1351].
(B) Subsections (a) through (j) of section 358 ([7 U.S.C. 1358](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1358&num=0&edition=prelim)).11 See References in Text note below.
(C) Subsections (a) through (h) of section 358a ([7 U.S.C. 1358a](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1358a&num=0&edition=prelim)).1
(D) Subsections (a), (b), (d), and (e) of section 358d ([7 U.S.C. 1359](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1359&num=0&edition=prelim)).1
(E) Part VII of subtitle B of title III ([7 U.S.C. 1359aa–135](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1359aa–135&num=0&edition=prelim)9jj).
(F) In the case of peanuts, part I of subtitle C of title III ([7 U.S.C. 1361–136](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1361–136&num=0&edition=prelim)8).
(G) In the case of upland cotton, section
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Agricultural Adjustment Act of 1938** The following provisions of the Agricultural Adjustment Act of 1938 [[7 U.S.C. 1281](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1281&num=0&edition=prelim) et seq.] shall not be applicable to the 2002 through 2007 crops of covered commodities, peanuts, and sugar and shall not be applicable to milk during the period beginning on May 13, 2002, through December 31, 2007:
(1) Parts II through V of subtitle B of title III ([7 U.S.C. 1326–135](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1326–135&num=0&edition=prelim)1) [[7 U.S.C. 1321](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1321&num=0&edition=prelim) et seq., 1331 et seq., 1341 et seq., 1351].
(2) In the case of upland cotton, section 377 ([7 U.S.C. 1377](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1377&num=0&edition=prelim)).
(3) Subtitle D of title III ([7 U.S.C. 1379a–137](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1379a–137&num=0&edition=prelim)9j).
(4) Title IV ([7 U.S.C. 1401–140](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1401–140&num=0&edition=prelim)7).
**(b) Agricultural Act of 1949** The following provisions of the Agricultural Act of 1949 [[7 U.S.C. 1421](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1421&num=0&edition=prelim) et seq.] shall not be applicable to the 2002 through 2007 crops of covered commodities, peanuts, and sugar and shall not be applicable to milk during the period beginning on May 13, 2002, and through December 31, 2007:
(1) Section 101 ([7 U.S.C. 1441](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-sectio
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Agricultural Adjustment Act of 1938** The following provisions of the Agricultural Adjustment Act of 1938 [[7 U.S.C. 1281](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1281&num=0&edition=prelim) et seq.] shall not be applicable to the 2008 through 2012 crops of covered commodities, peanuts, and sugar and shall not be applicable to milk during the period beginning on the date of enactment of this Act through December 31, 2012:
(1) Parts II through V of subtitle B of title III ([7 U.S.C. 1326](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1326&num=0&edition=prelim) et seq.) [[7 U.S.C. 1321](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1321&num=0&edition=prelim) et seq., 1331 et seq., 1341 et seq., 1351].
(2) In the case of upland cotton, section 377 ([7 U.S.C. 1377](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1377&num=0&edition=prelim)).
(3) Subtitle D of title III ([7 U.S.C. 1379a](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1379a&num=0&edition=prelim) et seq.).
(4) Title IV ([7 U.S.C. 1401](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1401&num=0&edition=prelim) et seq.).
**(b) Agricultural Act of 1949** The following provisions of the Agricultural Act of 1949 [[7 U.S.C. 1421](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1421&num=0&edition=prelim) et seq.] shall not be applicable to the 2008 through 2012 crops of covered commodities, peanuts, and sugar and shall not be applicable to milk during the period beginning on the date of enactment of this Act and through December 31, 2012:
(1) Section 101 ([7 U.S.C. 1441](https://uscode.house.gov/view.xhtml?re
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Agricultural Adjustment Act of 1938** The following provisions of the Agricultural Adjustment Act of 1938 [[7 U.S.C. 1281](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1281&num=0&edition=prelim) et seq.] shall not be applicable to the 2014 through 2023 crops of covered commodities (as defined in [section 9011 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section9011&num=0&edition=prelim)), cotton, and sugar and shall not be applicable to milk during the period beginning on February 7, 2014, through December 31, 2023:
(1) Parts II through V of subtitle B of title III ([7 U.S.C. 1326](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1326&num=0&edition=prelim) et seq.) [[7 U.S.C. 1321](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1321&num=0&edition=prelim) et seq., 1331 et seq., 1341 et seq., 1351].
(2) In the case of upland cotton, section 377 ([7 U.S.C. 1377](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1377&num=0&edition=prelim)).
(3) Subtitle D of title III ([7 U.S.C. 1379a](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1379a&num=0&edition=prelim) et seq.).
(4) Title IV ([7 U.S.C. 1401](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1401&num=0&edition=prelim) et seq.).
**(b) Agricultural Act of 1949** The following provisions of the Agricultural Act of 1949 [[7 U.S.C. 1421](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1421&num=0&edition=prelim) et seq.] shall not be applicable to the 2014 through 2023 crops of covered commodities (as defined in [section 9011 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:
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Federal law — U.S. Code and appendices · legal_authorities
Page 769
TITLE 7—AGRICULTURE
§ 1445g
Dec. 13, 1991, 105 Stat. 1838, provided that: ‘‘In making
storage payments to producers under section 110 of the
Agricultural Act of 1949 (7 U.S.C. 1445e) and to commer-
cial warehousemen in accordance with the Commodity
Credit Corporation Charter Act (15 U.S.C. 714 et seq.),
the Commodity Credit Corporation and the Secretary
of Agriculture shall, to the extent practicable, ensure
that the rates of the storage payments made to pro-
ducers are equivalent to average rates paid for com-
mercial storage, taking into account the current de-
mand for storage for commodities, efficiency, location,
regulatory compliance costs, bonding requirements,
and impact of user fees as determined by the Secretary,
except that the rates paid to producers and commercial
warehousemen shall be established at rates that will
result in no increase in current or projected combined
outlays of the Commodity Credit Corporation for the
storage payments made to producers and commercial
warehousemen as a result of the adjustment of storage
rates under this section.’’
REPAYMENT OF LOANS WITHOUT PENALTY
Pub. L. 100–387, title III, § 303(a), Aug. 11, 1988, 102
Stat. 947, provided that effective for the 1988 marketing
year for wheat or feed grains, once the market price de-
scribed in former clause (5) of the third sentence of sub-
section (b) of this section had been reached at any time
during such marketing year with respect to such com-
modity, producers could repay loans made under this
section for such commodity during the remainder of
that marketing year without the payment of a penalty.
§ 1445f. International Emergency Food Reserve
The President is encouraged to enter into ne-
gotiations with other nations to develop an
international sys
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