19 U.S.C. § 2401E
Section 2401e · Qualifying requirements for agricultural commodity producers
Current version, with additions and removals from the October 21, 2011 version.
Benefits under this part shall be available to an agricultural commodity producer covered by a certification under this part who files an application for such benefits not later than 90 days after the date on which the Secretary makes a determination and issues a certification of eligibility under section 2401b of this title, if the producer submits to the Secretary sufficient information to establish that—
the producer produced the agricultural commodity covered by the application filed under this subsection in the marketing year with respect to which the petition is filed and in at least 1 of the 3 marketing years preceding that marketing year;
the quantity of the agricultural commodity that was produced by the producer in the marketing year with respect to which the petition is filed has decreased compared to the most recent marketing year preceding that marketing year for which data are available; or
the price received for the agricultural commodity by the producer during the marketing year with respect to which the petition is filed has decreased compared to the average price for the commodity received by the producer in the 3 marketing years preceding that marketing year; or
the county level price maintained by the Secretary for the agricultural commodity on the date on which the petition is filed has decreased compared to the average county level price for the commodity in the 3 marketing years preceding the date on which the petition is filed; and
the producer is not receiving—
cash benefits under part 2 or 3; or
benefits based on the production of an agricultural commodity covered by another petition filed under this part.
For purposes of subparagraph (A)(ii)(II)(aa), if a petition is filed with respect to an agricultural commodity that is not produced by the producer every year, an agricultural commodity producer producing that commodity may establish the average price received for the commodity by the producer in the 3 marketing years preceding the year with respect to which the petition is filed by using average price data for the 3 most recent marketing years in which the producer produced the commodity and for which data are available.
Notwithstanding any other provision of this part, an agricultural commodity producer shall not be eligible for assistance under this part in any year in which the average adjusted gross income (as defined in section 1308–3a(a) of title 7) of the producer exceeds the level set forth in subparagraph (A) or (B) of section 1308–3a(b)(1) 1 of title 7, whichever is applicable.
An agricultural commodity producer shall provide to the Secretary such information as the Secretary determines necessary to demonstrate that the producer is in compliance with the limitation under subparagraph (A).
The total amount of payments made to an agricultural commodity producer under this part during any crop year may not exceed the limitations on payments set forth in subsections (b)(2), (b)(3), (c)(2), and (c)(3) of section 1308 of title 7.
An agricultural commodity producer that files an application and meets the requirements under subsection (a)(1) shall be entitled to receive initial technical assistance designed to improve the competitiveness of the production and marketing of the agricultural commodity with respect to which the producer was certified under this part. Such assistance shall include information regarding—
improving the yield and marketing of that agricultural commodity; and
the feasibility and desirability of substituting one or more alternative agricultural commodities for that agricultural commodity.
The Secretary may authorize supplemental assistance necessary to defray reasonable transportation and subsistence expenses incurred by an agricultural commodity producer in connection with initial technical assistance under subparagraph (A) if such assistance is provided at facilities that are not within normal commuting distance of the regular place of residence of the producer.
The Secretary may not authorize payments to an agricultural commodity producer under clause (i)—
for subsistence expenses that exceed the lesser of—
the actual per diem expenses for subsistence incurred by the producer; or
the prevailing per diem allowance rate authorized under Federal travel regulations; or
for travel expenses that exceed the prevailing mileage rate authorized under the Federal travel regulations.
A producer that has completed initial technical assistance under paragraph (1) shall be eligible to participate in intensive technical assistance. Such assistance shall consist of—
a series of courses to further assist the producer in improving the competitiveness of the producer in producing—
the agricultural commodity with respect to which the producer was certified under this part; or
another agricultural commodity; and
assistance in developing an initial business plan based on the courses completed under subparagraph (A).
The Secretary shall approve an initial business plan developed under paragraph (2)(B) if the plan—
reflects the skills gained by the producer through the courses described in paragraph (2)(A); and
demonstrates how the producer will apply those skills to the circumstances of the producer.
Upon approval of the producer’s initial business plan by the Secretary under subparagraph (A), a producer shall be entitled to an amount not to exceed $4,000 to—
implement the initial business plan; or
develop a long-term business adjustment plan under paragraph (4).
A producer that has completed intensive technical assistance under paragraph (2) and whose initial business plan has been approved under paragraph (3)(A) shall be eligible for, in addition to the amount under subparagraph (C), assistance in developing a long-term business adjustment plan.
The Secretary shall approve a long-term business adjustment plan developed under subparagraph (A) if the Secretary determines that the plan—
includes steps reasonably calculated to materially contribute to the economic adjustment of the producer to changing market conditions;
takes into consideration the interests of the workers employed by the producer; and
demonstrates that the producer will have sufficient resources to implement the business plan.
Upon approval of the producer’s long-term business adjustment plan under subparagraph (B), a producer shall be entitled to an amount not to exceed $8,000 to implement the long-term business adjustment plan.
An agricultural commodity producer may receive not more than $12,000 under paragraphs (3) and (4) of subsection (b) in the 36-month period following certification under section 2401b of this title.
An agricultural commodity producer that receives benefits under this part (other than initial technical assistance under subsection (b)(1)) shall not be eligible for cash benefits under part 2 or 3.
1 See References in Text note below.
(1) Requirements
Payment of a 1 adjustment assistance under this part shall be made to an adversely affected agricultural commodity producer covered by a certification under this part who files an application for such assistance within 90 days after the date on which the Secretary makes a determination and issues a certification of eligibility under section 2401b of this title, if the following conditions are met:
(A) The producer submits to the Secretary sufficient information to establish the amount of agricultural commodity covered by the application filed under this subsection that was produced by the producer in the most recent year.
(B) The producer certifies that the producer has not received cash benefits under any provision of this subchapter other than this part.
(C) The producer's net farm income (as determined by the Secretary) for the most recent year is less than the producer's net farm income for the latest year in which no adjustment assistance was received by the producer under this part.
(D) The producer certifies that the producer has met with an Extension Service employee or agent to obtain, at no cost to the producer, information and technical assistance that will assist the producer in adjusting to import competition with respect to the adversely affected agricultural commodity, including—
(i) information regarding the feasibility and desirability of substituting 1 or more alternative commodities for the adversely affected agricultural commodity; and
(ii) technical assistance that will improve the competitiveness of the production and marketing of the adversely affected agricultural commodity by the producer, including yield and marketing improvements.
(2) Limitations
(A) Adjusted gross income
(i) In general
Notwithstanding any other provision of this part, an agricultural commodity producer shall not be eligible for assistance under this part in any year in which the average adjusted gross income of the producer exceeds the level set forth in section 1308–3a of title 7.
(ii) Certification
To comply with the limitation under subparagraph (A),2 an individual or entity shall provide to the Secretary—
(I) a certification by a certified public accountant or another third party that is acceptable to the Secretary that the average adjusted gross income of the producer does not exceed the level set forth in section 1308–3a of title 7; or
(II) information and documentation regarding the adjusted gross income of the producer through other procedures established by the Secretary.
(B) Counter-cyclical payments
The total amount of payments made to an agricultural producer under this part during any crop year may not exceed the limitation on counter-cyclical payments set forth in section 1308(c) 3 of title 7.
(C) Definitions
In this subsection:
(i) Adjusted gross income
The term "adjusted gross income" means adjusted gross income of an agricultural commodity producer—
(I) as defined in section 62 of title 26 and implemented in accordance with procedures established by the Secretary; and
(II) that is earned directly or indirectly from all agricultural and nonagricultural sources of an individual or entity for a fiscal or corresponding crop year.
(ii) Average adjusted gross income
(I) In general
The term "average adjusted gross income" means the average adjusted gross income of a producer for each of the 3 preceding taxable years.
(II) Effective adjusted gross income
In the case of a producer that does not have an adjusted gross income for each of the 3 preceding taxable years, the Secretary shall establish rules that provide the producer with an effective adjusted gross income for the applicable year.
(1) In general
Subject to the provisions of section 2401g of this title, an adversely affected agricultural commodity producer described in subsection (a) shall be entitled to adjustment assistance under this part in an amount equal to the product of—
(A) one-half of the difference between—
(i) an amount equal to 80 percent of the average of the national average price of the agricultural commodity covered by the application described in subsection (a) for the 5 marketing years preceding the most recent marketing year, and
(ii) the national average price of the agricultural commodity for the most recent marketing year, and
(B) the amount of the agricultural commodity produced by the agricultural commodity producer in the most recent marketing year.
(2) Special rule for subsequent qualified years
The amount of cash benefits for a qualified year shall be determined in the same manner as cash benefits are determined under paragraph (1), except that the average national price of the agricultural commodity shall be determined under paragraph (1)(A)(i) by using the 5-marketing-year period used to determine the amount of cash benefits for the first certification.
The maximum amount of cash benefits an agricultural commodity producer may receive in any 12-month period shall not exceed $10,000.
An agricultural commodity producer entitled to receive a cash benefit under this part—
(1) shall not be eligible for any other cash benefit under this subchapter, and
(2) shall be entitled to employment services and training benefits under division II of subpart B of part 2.