§7285 Commodity Credit Corporation Sales Price Restrictions

Summary

The Commodity Credit Corporation can sell any grain or other commodity it owns at whatever price the Secretary thinks will get the most money back. That pricing rule does not apply in certain cases. It is not required for sales for a new or byproduct use; peanut or oilseed sales for oil extraction; seed or feed sales that won’t hurt loan programs; sales when the commodity has badly deteriorated or is likely to spoil; sales to support a legal claim or recover from fraud; sales for export if the Corporation approves; or sales for non‑primary uses. The Corporation may also provide commodities to help areas the President declares in acute distress (including the Virgin Islands) or in major disasters under the Stafford Act, on terms the Secretary finds in the public interest. Unless costs are reimbursed, the Corporation only pays for storage and for handling and transportation to one or more central delivery points in each State or area. Finally, the pricing rule also does not apply when selling small, old, poorly located, or potentially unstorable lots to run the Corporation efficiently.