7 U.S.C. § 7913: Availability of direct payments

Summary

Pays direct payments to farmers for crop years 2002 through 2007 if the farm has established payment yields and base acres. The payments cover nine commodities with these rates: wheat $0.52 per bushel; corn $0.28 per bushel; grain sorghum $0.35 per bushel; barley $0.24 per bushel; oats $0.024 per bushel; upland cotton $0.0667 per pound; rice $2.35 per hundredweight; soybeans $0.44 per bushel; and other oilseeds $0.0080 per pound. Each farm’s payment equals the payment rate times the farm’s payment acres times the farm’s payment yield. For 2002 payments are made as soon as possible after May 13, 2002. For 2003–2007 payments cannot be made before October 1 of the year the crop is harvested. Farmers may take an advance of up to 50% for 2003–2005, up to 40% for 2006, and up to 22% for 2007, choosing a month from December 1 of the year before harvest through the normal payment month. If a farmer stops farming the unit or changes their share of crop risk before the rest of the payment is made, they must repay the appropriate advance amount to the Secretary.

Title 7, §7913

Agriculture, Source: USLM XML via OLRC

(a)Payment required

For each of the 2002 through 2007 crop years of each covered commodity, the Secretary shall make direct payments to producers on farms for which payment yields and base acres are established.

(b)Payment rate

The payment rates used to make direct payments with respect to covered commodities for a crop year are as follows:

(1)Wheat, $0.52 per bushel.

(2)Corn, $0.28 per bushel.

(3)Grain sorghum, $0.35 per bushel.

(4)Barley, $0.24 per bushel.

(5)Oats, $0.024 per bushel.

(6)Upland cotton, $0.0667 per pound.

(7)Rice, $2.35 per hundredweight.

(8)Soybeans, $0.44 per bushel.

(9)Other oilseeds, $0.0080 per pound.

(c)Payment amount

The amount of the direct payment to be paid to the producers on a farm for a covered commodity for a crop year shall be equal to the product of the following:

(1)The payment rate specified in subsection (b).

(2)The payment acres of the covered commodity on the farm.

(3)The payment yield for the covered commodity for the farm.

(d)Time for payment

(1)In general

The Secretary shall make direct payments—

(A)in the case of the 2002 crop year, as soon as practicable after May 13, 2002; and

(B)in the case of each of the 2003 through 2007 crop years, not before October 1 of the calendar year in which the crop of the covered commodity is harvested.

(2)Advance payments

At the option of the producers on a farm, up to 50 percent of the direct payment for a covered commodity for any of the 2003 through 2005 crop years, up to 40 percent of the direct payment for a covered commodity for the 2006 crop year, and up to 22 percent of the direct payment for a covered commodity for the 2007 crop year, shall be paid to the producers in advance. The producers shall select the month within which the advance payment for a crop year will be made. The month selected may be any month during the period beginning on December 1 of the calendar year before the calendar year in which the crop of the covered commodity is harvested through the month within which the direct payment would otherwise be made. The producers may change the selected month for a subsequent advance payment by providing advance notice to the Secretary.

(3)Repayment of advance payments

If a producer on a farm that receives an advance direct payment for a crop year ceases to be a producer on that farm, or the extent to which the producer shares in the risk of producing a crop changes, before the date the remainder of the direct payment is made, the producer shall be responsible for repaying the Secretary the applicable amount of the advance payment, as determined by the Secretary.

Notes & Related Subsidiaries

Editorial Notes

Amendments

2006—Subsec. (d)(2). Pub. L. 109–171 substituted “2005 crop years, up to 40 percent of the direct payment for a covered commodity for the 2006 crop year, and up to 22 percent of the direct payment for a covered commodity for the 2007 crop year,” for “2007 crop years”.

§7913 Availability of Direct Payments

Summary

Title 7, §7913

Notes & Related Subsidiaries

Editorial Notes

Amendments

Citations & Metadata