7 USC 8757 - Marketing assistance loans and loan deficiency payments for peanuts

U.S Code last checked for updates: May 18, 2024

§ 8757.

Marketing assistance loans and loan deficiency payments for peanuts

(a)

Nonrecourse loans available

(1)

Availability

(2)

Terms and conditions

(3)

Eligible production

(4)

Options for obtaining loan

A marketing assistance loan under this subsection, and loan deficiency payments under subsection (e), may be obtained at the option of the producers on a farm through—

(A)

a designated marketing association or marketing cooperative of producers that is approved by the Secretary; or

(B)

the Farm Service Agency.

(5)

Storage of loan peanuts

As a condition on the Secretary’s approval of an individual or entity to provide storage for peanuts for which a marketing assistance loan is made under this section, the individual or entity shall agree—

(A)

to provide such storage on a nondiscriminatory basis; and

(B)

to comply with such additional requirements as the Secretary considers appropriate to accomplish the purposes of this section and promote fairness in the administration of the benefits of this section.

(6)

Storage, handling, and associated costs

(A)

In general

(B)

Redemption and forfeiture

The Secretary shall—

(i)

require the repayment of handling and other associated costs paid under subparagraph (A) for all peanuts pledged as collateral for a loan that is redeemed under this section; and

(ii)

pay storage, handling, and other associated costs for all peanuts pledged as collateral that are forfeited under this section.

(7)

Marketing

(b)

Loan rate

(c)

Term of loan

(1)

In general

(2)

Extensions prohibited

(d)

Repayment rate

(1)

In general

The Secretary shall permit producers on a farm to repay a marketing assistance loan for peanuts under subsection (a) at a rate that is the lesser of—

(A)

the loan rate established for peanuts under subsection (b), plus interest (determined in accordance with section 7283 of this title); or

(B)

a rate that the Secretary determines will—

(i)

minimize potential loan forfeitures;

(ii)

minimize the accumulation of stocks of peanuts by the Federal Government;

(iii)

minimize the cost incurred by the Federal Government in storing peanuts; and

(iv)

allow peanuts produced in the United States to be marketed freely and competitively, both domestically and internationally.

(2)

Authority to temporarily adjust repayment rates

(A)

Adjustment authority

(B)

Duration

(e)

Loan deficiency payments

(1)

Availability

(2)

Computation

A loan deficiency payment under this subsection shall be computed by multiplying—

(A)

the payment rate determined under paragraph (3) for peanuts; by

(B)

the quantity of the peanuts produced by the producers, excluding any quantity for which the producers obtain a marketing assistance loan under subsection (a).

(3)

Payment rate

For purposes of this subsection, the payment rate shall be the amount by which—

(A)

the loan rate established under subsection (b); exceeds

(B)

the rate at which a loan may be repaid under subsection (d).

(4)

Effective date for payment rate determination

(f)

Compliance with conservation and wetlands requirements

(g)

Reimbursable agreements and payment of administrative expenses

(Pub. L. 110–234, title I, § 1307, May 22, 2008, 122 Stat. 974; Pub. L. 110–246, § 4(a), title I, § 1307, June 18, 2008, 122 Stat. 1664, 1703.)

cite as: 7 USC 8757