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7 U.S.C. § 9057 — Dairy margin coverage payments

Federal law — U.S. Code and appendices · legal_authorities

7 U.S.C. § 9057 — Dairy margin coverage payments

**(a) Coverage level threshold and coverage percentage** (1) **Coverage level threshold** (A) *In general* — For purposes of receiving dairy margin coverage payments for a month, a participating dairy operation shall annually elect a coverage level threshold that is equal to $4.00, $4.50, $5.00, $5.50, $6.00, $6.50, $7.00, $7.50, $8.00, $8.50, $9.00, or $9.50. (B) *Applicability* — Except as provided in subparagraph (C), the coverage level threshold elected under subparagraph (A) shall apply to the covered production elected by the participating dairy operation under paragraph (2). (C) *Second coverage election for tier II* — In the case of a participating dairy operation that elects a coverage level threshold of $8.50, $9.00, or $9.50 under subparagraph (A)— (i) that coverage level threshold shall apply to the first 6,000,000 pounds of milk marketings included in the covered production elected by the participating dairy operation; and (ii) the participating dairy operation shall elect a coverage level threshold that is equal to $4.00, $4.50, $5.00, $5.50, $6.00, $6.50, $7.00, $7.50, or $8.00 to apply to milk marketings in excess of 6,000,000 pounds included in the covered production elected by the participating dairy operation. (2) **Coverage percentage** — For purposes of receiving dairy margin coverage payments for a month, a participating dairy operation shall annually elect a percentage of coverage, in 5-percent increments, not exceeding 95 percent of the production history of the participating dairy operation. **(b) Payment threshold** A participating dairy operation shall receive a dairy margin coverage payment whenever the average actual dairy production margin for a month is less than the coverage level threshold selected by the participat

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Stable record: federal_law:legal_authorities:record_usc_e741484c40b3fd2dd1d11975
Source file: Laws/federal/codes/united-states-code/title-7/section-9057-dairy-margin-coverage-payments--aa24b5d4cb.md
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Source location: Title 7, Chapter 115, § 9057; chapter-115-agricultural-commodity-policy-and-programs.md

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**(a) Coverage level threshold and coverage percentage** (1) **Coverage level threshold** (A) *In general* — For purposes of receiving dairy margin coverage payments for a month, a participating dairy operation shall annually elect a coverage level threshold that is equal to $4.00, $4.50, $5.00, $5.50, $6.00, $6.50, $7.00, $7.50, $8.00, $8.50, $9.00, or $9.50. (B) *Applicability* — Except as provided in subparagraph (C), the coverage level threshold elected under subparagraph (A) shall apply to the covered production elected by the participating dairy operation under paragraph (2). (C) *Second coverage election for tier II* — In the case of a participating dairy operation that elects a coverage level threshold of $8.50, $9.00, or $9.50 under subparagraph (A)— (i) that coverage level threshold shall apply to the first 6,000,000 pounds of milk marketings included in the covered production elected by the participating dairy operation; and (ii) the participating dairy operation shall elect a coverage level threshold that is equal to $4.00, $4.50, $5.00, $5.50, $6.00, $6.50, $7.00, $7.50, or $8.00 to apply to milk marketings in excess of 6,000,000 pounds included in the covered production elected by the participating dairy operation. (2) **Coverage percentage** — For purposes of receiving dairy margin coverage payments for a month, a participating dairy operation shall annually elect a percentage of coverage, in 5-percent increments, not exceeding 95 percent of the production history of the participating dairy operation. **(b) Payment threshold** A participating dairy operation shall receive a dairy margin coverage payment whenever the average actual dairy production margin for a month is less than the coverage level threshold selected by the participating dairy operation. **(c) Amount of payment** The dairy margin coverage payment for the participating dairy operation shall be determined as follows: (1) The Secretary shall calculate the amount by which the coverage level threshold selected by the participating dairy operation exceeds the average actual dairy production margin for the month. (2) The amount determined under paragraph (1) shall be multiplied by— (A) the coverage percentage selected by the participating dairy operation; and (B) the production history of the participating dairy operation divided by 12.

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Federal law — U.S. Code and appendices · legal_authorities

7 U.S.C. § 9051 — Adjustments of loans

**(a) Adjustment authority** Subject to subsection (e), the Secretary may make appropriate adjustments in the loan rates for any loan commodity (other than cotton) for differences in grade, type, quality, location, and other factors. **(b) Manner of adjustment** The adjustments under subsection (a) shall, to the maximum extent practicable, be made in such a manner that the average loan level for the commodity will, on the basis of the anticipated incidence of the factors, be equal to the level of support determined in accordance with this subchapter and subtitle C. **(c) Adjustment on county basis** (1) **In general** — The Secretary may establish loan rates for a crop for producers in individual counties in a manner that results in the lowest loan rate being 95 percent of the national average loan rate, if those loan rates do not result in an increase in outlays. (2) **Prohibition** — Adjustments under this subsection shall not result in an increase in the national average loan rate for any year. **(d) Adjustment in loan rate for cotton** (1) **In general** — The Secretary may make appropriate adjustments in the loan rate for cotton for differences in quality factors. (2) **Types of adjustments** — Loan rate adjustments under paragraph (1) may include— (A) the use of non-spot market price data, in addition to spot market price data, that would enhance the accuracy of the price information used in determining quality adjustments under this subsection; (B) adjustments in the premiums or discounts associated with upland cotton with a staple length of 33 or above due to micronaire with the goal of eliminating any unnecessary artificial splits in the calculations of the premiums or discounts; and (C) such other adjustments as the Secretary determines appropr

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Federal law — U.S. Code and appendices · legal_authorities

7 U.S.C. § 9055 — Participation of dairy operations in dairy margin coverage

**(a) Eligibility** All dairy operations in the United States shall be eligible to participate in dairy margin coverage to receive dairy margin coverage payments. **(b) Registration process** (1) **In general** — The Secretary shall specify the manner and form by which a participating dairy operation may register to participate in dairy margin coverage, including the establishment of a date each calendar year by which a dairy operation shall register for the calendar year. (2) **Extension of election period for 2018 calendar year** (A) *In general* — The Secretary shall extend the election period for the 2018 calendar year by not less than 90 days after February 9, 2018, or such additional period as the Secretary determines is necessary for dairy operations to make new elections to participate for that calendar year, including dairy operations that elected to so participate before February 9, 2018. (B) *Retroactive program option* — In the case of a dairy operation that, by operation of subsection (d) (as in effect on the day before December 20, 2018), was ineligible to participate in the margin protection program for any part of calendar year 2018, the Secretary shall establish a new election period for that calendar year that ends on a date that is not less than 90 days after December 20, 2018, and the Secretary determines is necessary for dairy operations to make new elections to participate in the margin protection program (as in effect on the day before December 20, 2018) for that calendar year, including dairy operations that elected to participate in the livestock gross margin for dairy program under the Federal Crop Insurance Act ([7 U.S.C. 1501](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1501&num=0&edition=prelim) et seq

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Federal law — U.S. Code and appendices · legal_authorities

7 U.S.C. § 5936a — Support for farm stress programs

**(a) In general** The Secretary shall make grants to State departments of agriculture (or such equivalent department) to expand or sustain stress assistance programs for individuals who are engaged in farming, ranching, and other agriculture-related occupations, including— (1) programs that meet the criteria specified in [section 5936(b)(1) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section5936/b/1&num=0&edition=prelim); and (2) any State initiatives carried out as of December 27, 2020, that provide stress assistance for such individuals. **(b) Grant timing and amount** In making grants under subsection (a), not later than 60 days after December 27, 2020, and subject to subsection (c), the Secretary shall— (1) make awards to States submitting State plans that meet the criteria specified in paragraph (1) of such subsection within the time period specified by the Secretary; and (2) of the amounts made available under subsection (f), allocate among such States, an amount to be determined by the Secretary, which in no case may exceed $500,000 for each State. **(c) State plan** (1) **In general** — A State department of agriculture seeking a grant under subsection (a) shall submit to the Secretary a State plan to expand or sustain stress assistance programs described in that subsection that includes— (A) a description of each activity and the estimated amount of funding to support each program and activity carried out through such a program; (B) an estimated timeline for the operation of each such program and activity; (C) the total amount of funding sought; and (D) an assurance that the State department of agriculture will comply with the reporting requirement under subsection (e). (2) **Guidance** — Not later tha

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Federal law — U.S. Code and appendices · legal_authorities

7 U.S.C. § 9056 — Production history of participating dairy operations

**(a) Production history** Except as provided in subsection (b), the production history of a dairy operation for dairy margin coverage is equal to the highest annual milk marketings of the participating dairy operation during any 1 of the 2021, 2022, or 2023 calendar years. **(b) Election by new dairy operations** In the case of a participating dairy operation that has been in operation for less than a year, the participating dairy operation shall elect 1 of the following methods for the Secretary to determine the production history of the participating dairy operation: (1) The volume of the actual milk marketings for the months the participating dairy operation has been in operation extrapolated to a yearly amount. (2) An estimate of the actual milk marketings of the participating dairy operation based on the herd size of the participating dairy operation relative to the national rolling herd average data published by the Secretary. **(c) Required information** A participating dairy operation shall provide all information that the Secretary may require in order to establish the production history of the participating dairy operation for purposes of participating in dairy margin coverage. **(d) Limitation on changes to business structure** The Secretary may not make dairy margin coverage payments to a participating dairy operation if the Secretary determines that the participating dairy operation has reorganized the structure of such operation solely for the purpose of qualifying as a new operation under subsection (b).

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Federal law — U.S. Code and appendices · legal_authorities

7 U.S.C. § 9059 — Effect of failure to pay administrative fees or premiums

**(a) Loss of benefits** A participating dairy operation that fails to pay the required annual administrative fee under [section 9054 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section9054&num=0&edition=prelim) or is in arrears on premium payments under [section 9057 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section9057&num=0&edition=prelim)— (1) remains legally obligated to pay the administrative fee or premiums, as the case may be; and (2) may not receive dairy margin coverage payments until the fees or premiums are fully paid. **(b) Enforcement** The Secretary may take such action as necessary to collect administrative fees and premium payments for participation in dairy margin coverage.

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Federal law — U.S. Code and appendices · legal_authorities

7 U.S.C. § 9057 — Premiums for dairy margin coverage

Page 2288 TITLE 7—AGRICULTURE § 9057 § 9057. Premiums for dairy margin coverage (a) Calculation of premiums For purposes of participating in dairy margin coverage, a participating dairy operation shall pay an annual premium equal to the product ob- tained by multiplying— (1) the coverage percentage elected by the participating dairy operation under section 9056(a)(2) of this title; (2) the production history of the partici- pating dairy operation; and (3) the premium per hundredweight of milk imposed by this section for the coverage level selected. (b) Tier I: premium per hundredweight for first 5,000,000 pounds of production (1) In general For the first 5,000,000 pounds of milk mar- ketings included in the production history of a participating dairy operation, the premium per hundredweight for each coverage level is specified in the table contained in paragraph (2). (2) Producer premiums Except as provided in subsection (g), the fol- lowing annual premiums apply: Coverage Level Premium per Cwt. $4.00 None $4.50 $0.0025 $5.00 $0.005 $5.50 $0.030 $6.00 $0.050 $6.50 $0.070 $7.00 $0.080 $7.50 $0.090 $8.00 $0.100 $8.50 $0.105 $9.00 $0.110 $9.50 $0.150 (c) Tier II: premium per hundredweight for pro- duction in excess of 5,000,000 pounds (1) In general For milk marketings in excess of 5,000,000 pounds included in the production history of a participating dairy operation, the premium per hundredweight for each coverage level is specified in the table contained in paragraph (2). (2) Producer premiums Except as provided in subsection (g), the fol- lowing annual premiums apply: Coverage Level Premium per Cwt. $4.00 None $4.50 $0.0025 $5.00 $0.005 $5.50 $0.100 $6.00 $0.310 $6.50 $0.650 $7.00 $1.107 $7.50 $1.413 $8.00 $1.813 (d) Time for payment o

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