Слике страница
PDF
ePub

for which they likely would be sold in the absence of such limitations. Such payments to shellers shall be made from the fund established pursuant to this section.

"(g) The Secretary or his designee is authorized to enter into agreements with, or to approve agreements entered into between, persons or agencies designated by the peanut advisory committee for the purpose of developing and conducting on a National, State, or regional basis publicity, promotion, and other programs designed to increase the consumption of peanuts and the products thereof.

"(h) The Secretary or his designee shall establish from payments into any fund in any year, after expenditures for the purposes for which such fund is established have been made or moneys for such purposes have been allocated during such year, a reserve to be used in any subsequent years(s) for the purposes of subsections (a) (2), (3), and (4) if the payments made into the fund during such subsequent year are insufficient to carry out such purposes.

"(i) The Secretary or his designee shall, for the purpose of defraying the net losses sustained by the Commodity Credit Corporation during the calendar year in disposing of peanuts acquired under its price support program, transfer to the Commodity Credit Corporation from the amount which remains at the end of such calendar year in any fund established pursuant to this section, after expenditures have been made or moneys allocated during such calendar year for the purposes of subsection (a) (2), (3), and (4) hereof, that amount which is necessary to defray such net losses: Provided, That if the amount transferred to the Commodity Credit Corporation is insufficient to defray such net losses in disposing of peanuts acquired under its price-support program during such calendar year, the amount by which net losses exceed the amount transferred shall be paid with moneys available in any reserve created from any payments made into the fund in prior calendar years or, to the extent the moneys available in such reserve are insufficient to defray the total excess of such net losses, shall constitute a charge against any payments made into the fund in any subsequent calendar year, which are not designated for the purposes of subsection (a) (2), (3), and (4) hereof, after expenditures have been made or moneys allocated during such subsequent calendar year for the purposes of subsection (a) (2), (3), and (4) hereof."

SEC. 4. Section 101 (d) of the Agricultural Act of 1949, as amended, is amended by adding at the end thereof a new subsection (8) as follows:

"(8) if producers have approved the establishment of a fund in the manner and for the purposes prescribed in title VI of the Agricultural Adjustment Act of 1938, as amended, for each calendar year in which producers make payments into such fund the level of price support to cooperators shall be calculated as provided in subsection 101 (b), but the percentages of parity shown therein shall be increased by 5 per centum."

[H. R. 12545, 85th Cong., 2d sess.]

A BILL To amend the peanut marketing quota and price support provision of the Agricultural Adjustment Act of 1938 and the Agricultural Act of 1949, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Agricultural Adjustment Act of 1938, as amended, is amended as follows:

(a) Section 301, subsection (b), paragraph (10), subparagraph (A), of the Agricultural Adjustment Act of 1938, as amended, is amended by striking out in the second sentence the language "15 per centum in the case of peanuts" and inserting in lieu thereof the language "27 per centum in the case of peanuts."

(b) Section 301, subsection (b), paragraph (16), subparagraph (A), of the Agricultural Adjustment Act of 1938, as amended, is amended by changing the period at the end thereof to a colon and adding the following proviso: "Provided, That in determining total supply of peanuts there shall be excluded from the carryover any quantity of peanuts which, as of the beginning of the marketing year for which total supply is being determined, (i) is owned by Commodity Credit Corporation, (ii) represents collateral pledged to secure a price support loan made available by Commodity Credit Corporation, or (iii) remains to be delivered to Commodity Credit Corporation under purchase agreements made available by Commodity Credit Corporation."

Section 358, subsection (a) of the Agricultural Adjustment Act of 1938, as amended, is amended (a) by inserting in the first sentence of subsection (a) immediately following the words "prospective demand conditions" the language "so as to provide, together with the carryover of peanuts, for a normal supply of peanuts"; (b) by inserting at the end of subsection (a) the following: "Provided further, That the acreage allotment in each State shall be increased by the estimated number of acres required under normal conditions to result in the harvesting of the number of allotted acres determined according to the first sentence of this subsection; such adjustment in acreage under this provision shall not be considered in establishing future State, county, and farm allotments by amending section 358, subsection (c), paragraph 2 of the Agricultural Adjustment Act of 1938, as amended, is amended to read as follows:" (2) Notwithstanding any other provision of law, the Secretary shall make an investigation not later than February 1 of each calendar year for each area to determine whether the estimated supply as of the first day of the marketing year which begins in such calendar year will be less than 90 per centum of the estimated consumption of peanuts from each area during such marketing year plus 90 per centum of the estimated consumption during the period from the beginning of the marketing year through the first full calendar month in which there normally is heavy movement of new crop peanuts (that is, October for the southeast and southwest areas and November for the Virginia-Carolina area).

"If the Secretary finds an estimated short supply in any area, acreage allotments shall be increased to the extent deemed necessary, on the basis of the average yield in such area in the preceding five years, adjusted for trends and abnormal conditions, to provide additional production equivalent to the difference. Such increases in allotments shall be made for farms in the area by a uniform percentage of the regular allotments for farms for that year. The additional acreage required for such increases shall be in addition to the national acreage allotment, the production from such acreage shall be in addition to the national marketing quota, and the increase in acreage allotted under this provision shall not be considered in establishing future State, county, or farm acreage allotments."

The Agricultural Adjustment Act of 1938, as amended, is amended by adding at the end thereof a new title V as follows:

"TITLE V-PEANUT FUND FOR PUBLICITY, PROMOTION, RESEARCH, AND OTHER PURPOSES

"SEC. 395. (a) The Secretary shall not later than December 15th of each calendar year, conduct a referendum of farmers engaged in the production of peanuts in the calendar year in which the referendum is held to determine whether such farmers are in favor of, or are opposed to, the establishment with respect to the crops of peanuts which are produced in the three calendar years immediately following the year in which the referendum is held, of funds for the purpose of (1) developing and conducting publicity, promotion, and other programs designed to increase the consumption of peanuts and the products thereof, (2) research on peanuts, (3) providing payments to peanut grower cooperative associations which contract directly with the Commodity Credit Corporation in making price support available to producers for any administrative expenses, incurred by such associations in connection with peanut price support activities, which are in excess of the net income derived by such associations through price support activities in that year, (4) providing payments to shellers for marketing or otherwise disposing of for crushing into oil and meal, for export or for feed, any shelled peanuts of lower grades specified by the Secretary with regard to which use limitations are established by the Secretary pursuant to subsection (f) hereof, and (5) defraying the net losses sustained by the Commodity Credit Corporation in disposing of peanuts acquired under its price support prograin: Provided, That is, beginning with the calendar year immediately following the year in which the referendum is held, fewer than three years remain of the period for which marketing quotas have been approved by farmers, any fund approved by farmers shall be established only with respect to the crops of peanuts produced in each of calendar years which remain of the period for which marketing quotas have been approved: Provided further, That if as many as two-thirds of the farmers voting in any referendum vote in favor of the establishment of such fund, no referendum shall be held with respect to such fund during the years which remain of the period for which the fund is

established. The Secretary shall proclaim the results of the referendum within thirty days after the day on which it is held.

"(b) Payments shall be made into funds established pursuant to this section by the person who buys or otherwise acquires the peanuts from the producer, or if the peanuts are marketed by the producer through an agent, the payment shall be made by such agent, and such person or agent may deduct an amount equivalent to the payment from the price paid to the producer: Provided, That no payment for purposes other than under subsection (a) (1) and (2) above shall be made into the fund with respect to the crop of peanuts produced in any calendar year during which marketing quotas are not in effect.

"The amount of any payment for the crop of peanuts produced during any calendar year of the period for which the fund is established shall not exceed the lower of (1) 10 per centum of such national average per ton level of price support, or (2) that per centum of such national average per ton level of price support which the Secretary determined necessary to provide a fund sufficient during such subsequent calendar year to accomplish the purposes for which such fund is established: Provided, That the amount of any payment made into the fund with respect to the crop of peanuts produced during such calendar year which shall be designated for the purposes of subsection (a) (1) and (2) hereof shall not exceed one per centum of such national average per ton level of price support: Provided further, That if the amount designated for the purposes of subsection (a) (1) and (2) hereof which remains unexpended or not allocated as of the end of any calendar year equals or exceeds $5,000,000, the amount of any payment into the fund for the crop of peanuts produced during the next succeeding calendar year and each succeeding calendar year thereafter, which is to be designated for such purposes, shall be that per centum of such national average per ton level of price support, but not in excess of one per centum, which the Secretary, upon recommendation of the Peanut Advisory Committee established pursuant to subsection (d) hereof, determines it necessary to maintain the amount designated for such purposes at a level not in excess of $5,000,000 and not less than $2,000,000 after expenditures for such purposes are made or allocated during the succeeding calendar year: Provided further, That each area shall separately bear the cost of the program in its area except for the purposes under subsection (a) (1) and (2) above.

"(c) The fund for each area, except for the purpose under subsection (a) (1) and (2) above, shall be maintained separately and the program, except for the purposes under subsection (a) (1) and (2) above, in each area financed out of the fund for that area. The deduction not to exceed 1 per centum shall be uniform and shall be maintained in a common fund for all areas. The remaining deduction may vary between areas depending on the estimated costs in each area and shall be maintained and administered in a separate fund for each area.

"(d) The Secretary is authorized to designate a person or agency to receive any payments made into the funds established pursuant to this section and the Secretary or his designee shall receive such payments and shall make expenditures from such funds for the purposes of this section.

"(e) The Secretary shall apoint from time to time a peanut advisory committee of 12 members consisting of two representatives of peanut growers from each of the major peanut producing areas (Virginia-Carolina, southeast, and southwest), one peanut sheller from each area, and three manufacturers of peanut products. The Secretary shall name the two grower representatives from each area from a list of five names submitted by the grower association in each area contracting directly with the Department to carry out the price support program in that area; namely, the Southwestern Peanut Growers Association in the Southwest area, the Georgia-Florida-Alabama Peanut Association in the Southeast area, and the Peanut Growers Cooperative Marketing Association in the Virginia-Carolina area; the Secretary shall name the sheller representative from each area from a list of three names submitted by the sheller organization in each area; namely, the Southwestern Peanut Sheller Association in the Southwest area, the Southeastern Peanut Association in the Southeast area, and the Virginia-Carolina Peanut Association in the Virginia-Carolina area; the Secretary shall name the three representatives from the manufacturers by naming one from each of lists of three names submitted by the National Confectioners Association, the Peanut Butter Manufacturers Association and the Nut Salters Association. This committee shall recommend to the Secretary or his designee with respect to (1) limitations upon the quantities of lower grade 23887-58-3

shelled peanuts, by types, and grades, which may be marketed or otherwise disposed of for uses other than for food, or for crushing into oil and meal, or for export, (2) the amount of expenditures to be made, and the manner in which such expenditures shall be made for the purposes of subsection (a) (1) and (2) hereof, during any calendar year, from that portion of the funds established pursuant to this section which is designated for such purposes, and (3) the amount which is necessary to maintain, during each calendar year which sueceeds the calendar year in which the unexpended and not allocated amount designated for the purposes of subsection (a) (1) and (2) hereof equals or exceeds $5,000,000, that portion of each fund designated for such purposes at a level not in excess of $5,000,000, and not less than $2,000,000 after expenditures for such purposes are made or allocated during such succeeding calendar year. The compensation of the members of such committee shall not exceed $10 per day while actually employed and actual necessary traveling and subsistence expenses, or a per diem allowance in lieu thereof.

"(f) The Secretary is authorized, upon recommendation of the Peanut Advisory Committee, to limit, pursuant to regulations issued by the Secretary, by types and grades, the quantity of shelled peanuts of specified lower grades which may be marketed, or otherwise disposed of, by shellers for primary uses other than for crushing into oil and meal, or for export, or for feed. If such limitations are placed in effect, the Secretary shall determine rates of payments to be made to shellers for shelled peanuts of the specified lower grades which are marketed or otherwise disposed of pursuant to such limitations or for crushing into oil and meal, for export, or for feed, which will compensate such shellers for such peanuts in a total amount not less than 100 per centum and not in excess of 110 per centum of the market value, as determined by the Secretary, of such peanuts for primary uses other than for crushing into oil and meal, for export, or for feed. Such payment to shellers shall be made from the area funds established pursuant to this section.

"(g) The Secretary or his designee is authorized to enter into agreements with, or to approve agreements entered into between, persons or agencies designated by the Peanut Advisory Committee for the purpose of developing and conducting on a national, State, or regional basis publicity, promotion, and other programs designed to increase the consumption of peanuts and the products thereof and for research.

"(h) The Secretary or his designee shall establish from payments made into any area fund, after expenditures for the purposes for which such fund is established have been made or moneys for such purposes have been allocated or designated during any calendar year, a reserve to be used in any subsequent year for the purposes of subsection (3), (4), and (5) if the payments made into the fund during such subsequent year are insufficient to carry out such purpose.

"(i) The Secretary or his designee shall, for the purpose of defraying the net losses sustained by the Commodity Credit Corporation during the calendar year in disposing of peanuts acquired under its price support program, transfer to the Commodity Credit Corporation from the amount which remains at the end of such calendar year in any fund established pursuant to this section and which is not designated for the purposes of subsection (a) (1) and (2) hereof, after expenditures have been made or moneys allocated during such calendar year for the purposes of subsection (a) (3) and (4) hereof, that amount which is necessary to defray such net losses: Provided, That, if the amount transferred to the Commodity Credit Corporation is insufficient to defray such net losses in disposing of peanuts acquired under its price support program in that area during such calendar year, the amount by which such net losses exceed the amount transferred shall be paid moneys available in any reserve created from any payment made into the fund in prior calendar years or, to the extent the moneys available in such reserve are insufficient to defray the total excess of such net losses, shall constitute a charge against any payments made into the fund for that area in any subsequent calendar year, which are not designated for the purposes of subsection (a) (1) and (2) hereof, after expenditures have been made or moneys allocated during such subsequent calendar year for the purposes of subsection (a) (3) and (4) thereof.”

Section 101, subsection (a), of the Agricultural Act of 1949, as amended, is amended by adding, in the first sentence thereof, after the word "wheat", the word "peanuts".

Section 101, subsection (b), of the Agricultural Act of 1949, as amended, is amended by deleting from the first sentence thereof, the words "and peanuts".

Section 101, subsection (d), of the Agricultural Act of 1949, as amended, is amended by adding at the end thereof a new paragraph (8) as follows:

"If producers have approved the establishment of funds, in the manner and for the purposes prescribed in title V of the Agricultural Adjustment Act of 1938, as amended, for each calendar year in which producers make payments into such fund, the amount of the deduction shall be deducted from the price received by the grower."

Section 403 of the Agricultural Act of 1949, as amended, is amended by adding the following sentence at the end: "In the case of peanuts, the same support price shall apply to each 1 per centum Sound Mature Kernels for all types with a premium to be determined by the Department for Extra Large Virginia-type peanuts and for Valencia-type peanuts that are suitable for cleaning and roasting."

Section 401, subsection (a) of the Agricultural Act of 1949, as amended, is amended by adding the following sentence at the end: "In carrying out the price support program on peanuts, the Secretary shall not enter into any contracts either directly or indirectly with associations or their subsidiaries or affiliates where such associations are also engaged in shelling peanuts and where such contracts are not available on the same basis to other shellers of peanuts,"

Mr. MCMILLAN. Would the authors of these bills care to make a statement?

Mr. ABBITT. I do not care to make a statement at this time.
Mr. MCMILLAN. Mr. Burleson?

Mr. BURLESON. I did not understand Mr. Abbitt. Is Mr. Abbitt going to make a statement?

Mr. ABBITT. I will not make a statement today.

Mr. BURLESON. Whatever is the pleasure of the committee is mine also. I shall be glad to comment upon H. R. 12545 and present to the committee a representative of the shellers of the Southwest and a representative of the growers of the Southwest. If that is the order the chairman would like, or he may first wish to hear representatives of the Department of Agriculture on the two pending measures.

Mr. MCMILLAN. We would like to hear from you and then you may introduce the people you are interested in. We will hear them later and hear the members first.

STATEMENT OF HON. OMAR BURLESON, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF TEXAS

Mr. BURLESON. Mr. Chairman and members of the subcommittee, I appear before you in support of H. R. 12545, a bill to amend the peanut marketing quota and price support provision of the Agricultural Adjustment Act of 1938 and the Agricultural Act of 1949, and for other purposes.

For many years the peanut growers and shellers of the Southwest area have lived with a situation of disparity of treatment in the allotment of acres for peanuts, the differentials in grades, price supports, and other inequities.

These inequities are both legislative and administrative. Most of the inequities could have been removed by administrative procedures, but we have not been able to get the action required. At one time there may have been some reason for the advantage now accruing to the Southeast peanut growers and shellers over those of the Southwest, but if that advantage ever had merit, the time has long passed when it is justified. In this measure we are simply asking that we have equal opportunity with the other areas, and I think that is all intended by H. R. 12545, which I have introduced.

« ПретходнаНастави »