H.R. 2369: Mr. BONILLA, Mr. LANTOS, Mr. GONZALEZ, Mr. MENENDEZ, Mr. Wu, Mrs. CHRISTENSEN, Mr. SMITH of Texas, and Mr. RANGEL.

H.R. 2418: Mr. PICKETT, Mr. WAMP, Mr. BLUNT, Mr. CHAMBLISS, Mr. LEWIS of Georiga, Mr. DICKS, and Mr. ROTHMAN.

H.R. 2436: Mr. BRYANT, Mr. CRANE, Mr. OXLEY, Mr. DOOLITTLE, Mr. JONES of North Carolina, Mr. PACKARD, Mr. NEY, Mr. MURTHA, Mr. SAM JOHNSON of Texas, Mr. HAYWORTH, Mr. WICKER, Mr. CAMP, and Mr. STUPAK.

H.R. 2451: Mr. CLEMENT.

H.R. 2492: Mr. WALSH and Mr. MCHUGH.

H.R. 2498: Mr. BRADY of Pennsylvania, Mr. SMITH of New Jersey, Mr. KILDEE, and Mr. HOEFFEL.

H.R. 2634: Mr. DEAL of Georgia.
H.R. 2711: Mr. REYNOLDS.

Mr. Mr.

H.R. 2723: Mr. GREEN of Texas, Mr. BISHOP, Mr. KLECZKA, Mr. MATSUI, Mr. McGOVERN, Mr. KENNEDY of Rhode Island, Mr. SHERMAN, Mr. OWENS, Mr. CLEMENT, Mr. MALONEY of Connecticut, Mr. BENTSEN, MS. RIVERS, Mrs. LOWEY, Mr. FARR of California, Mr. HOEFFEL, Mr. DIXON, MS. WOOLSEY, Mr. STUPAK, Mrs. JONES of Ohio, Mr. ABERCROMBIE, Mr. KUCINICH, Mr. MASCARA, Mr. MEEKS of New York, Mr. EVANS, Mr. SPRATT, Mr. VISCLOSKY, Mr. WEXLER, Mr. ROTHMAN, CAPUANO, Mr. WEINER, Mr. GORDON, COYNE, Mr. LAFALCE, MS. EDDIE BERNICE JOHNSON of Texas, Ms. PELOSI, Mr. INSLEE, Mrs. MALONEY of New York, Mr. CLYBURN, Mr. COSTELLO, Mr. ALLEN, Mr. KILDEE, Mr. MOORE, Mr. HINCHEY, Mr. MENENDEZ, Ms. DEGETTE, Mrs. CHRISTENSEN, Mr. HOYER, MS. DELAURO, Mr. BLUMENAUER, Mr. ROMEROBARCELO, MS. BALDWIN, MS. KAPTUR, Mr. WISE, Mr. KANJORSKI, Mr. LEVIN, MS. LEE, Mr. PASTOR, MS. JACKSON-LEE of Texas, Mr. BOSWELL, Mr. STRICKLAND, Mr. CROWLEY, Mr. TIERNEY, Mr. DAVIS of Florida, Mr. BAIRD, Mr. SABO, Ms. MCCARTHY of Missouri, Mr. FILNER, and Mr. RAHALL.

H.R. 2726: Mr. YOUNG of Alaska.
H.R. 2735: Mr. THOMPSON of California.
H.R. 2738: Ms. RIVERS.

H.R. 2749: Ms. ROS-LEHTINEN.

H.R. 2807: Mr. FILNER.

H.R. 2809: Ms. HOOLEY of Oregon, Mr. POMBO, MS. LOFGREN, Mr. UDALL of Colordao, Mr. LEWIS of Georgia, Mr. WAXMAN, Mr. UPTON, Mr. PETERSON of Minnesota, and Mr. MCNULTY.

H.R. 2816: Mr. FROST.

H.R. 2867: Mr. SAM JOHNSON of Texas.
H.R. 2885: Mrs. MALONEY of New York.
H.R. 2894: Mr. CARSON.

H.R. 2895: Mr. POMBO, Mr. EVANS, Mr. BRADY of Pennsylvania, and Ms. MCKINNEY.

H.R. 2902: Mr. CLAY, Mr. MINGE, Mr. BRADY of Pennsylvania, Mr. BROWN of Ohio, Mr. FILNER, Mr. LANTOS, Mr. BARRETT of Wisconsin, Mr. OWENS, Ms. WOOLSEY, MS. NORTON, Mr. DOYLE, Mr. THOMPSON of Mississippi, Mr. ANDREWS, Ms. LEE, Mr. HILLIARD, Ms. SCHAKOWSKY, and Mr. MCHUGH.

H.R. 2919: Mr. BROWN of Ohio.
H.R. 2926: Mr. CUNNINGHAM and Mrs. CUBIN.
H.R. 2936: Mr. STARK.
H.R. 2941: Mr. PASTOR.

Mr.

SIONS, Mr. TIAHRT, Mr. VITTER, Mr. WELDON of Pennsylvania, and Mr. WELLER. H.J. Res. 55: Mrs. KELLY.

H. Con. Res. 58: Mr. DAVIS of Florida. H. Con. Res. 74: Mr. UNDERWOOD and Mr. OLVER.

H. Con. Res. 89: Ms. MCKINNEY, MS. RIVERS, Ms. MCCARTHY of Missouri, Mr. KENNEDY of Rhode Island, and Mr. LARSON.

H. Con. Res. 147: Mr. LUTHER.

H. Con. Res. 177: Mr. ALLEN, MS. BALDWIN, Mrs. CAPPS, Mr. FRANK of Massachusetts, Ms. LEE, Ms. LOFGREN, Mr. LUTHER, Mrs. MALONEY of New York, Mr. McGOVERN, MS. MCKINNEY, MS. NORTON, Mr. OLVER, Mr. STARK, and Ms. WOOLSEY.

H. Con. Res. 186: Mr. WOLF, Mr. BARTLETT of Maryland, Mr. BACHUS, and Mr. CANNON. H. Res. 15: Mrs. MORELLA.

H. Res. 279: Mr. KINGSTON and Mr. ISAKSON. H. Res. 298: Mr. LOBIONDO and Mr. KENNEDY of Rhode Island.

H. Res. 303: Mr. PETERSON of Pennsylvania, Mr. SALMON, Mr. GRAHAM, Mrs. ROUKEMA, Mr. DEAL of Georgia, Mr. DEMINT, Mr. MCINTOSH, Mr. GIBBONS, and Mr. DUNCAN. 1103.36 PETITIONS, ETC.

Under clause 3 of rule XII, petitions and papers were laid on the clerk's desk and referred as follows:

52. The SPEAKER presented a petition of the City of Milwaukee, relative to Resolution File No. 990438 petitioning Congress to endorse the initiation and implementation of a Complete Count Census Program for the 2000 Census; to the Committee on Government Reform.

53. Also, a petition of the City of Santa Monica, relative to Resolution No. 99-01 petitioning Congress to pass legislation to fully fund the Land and Water Conservation Fund and to renew and strengthen our Nation's investment in urban areas by revitalizing the Urban Park and Recreation Recovery (UPARR) Program; to the Committee on Re

H.J. Res. 53: Mr. GUTKNECHT, HAYWORTH, Mr. WATTS of Oklahoma, Mr. BACHUS, Mr. DAVIS of Virginia, Mr. DICKEY, Mr. FOLEY, Mr. HAYES, Mr. JENKINS, Mr. SES

it.

Mr. KLINK objected to the vote on the ground that a quorum was not present and not voting.

The SPEAKER pro tempore, Mr. NUSSLE, pursuant to clause 8, rule XX, announced that the vote would be postponed until later today.

The point of no quorum was considered as withdrawn.

1104.3 COMMUNICATIONS

Executive and other communications, pursuant to clause 2, rule XIV, were referred as follows:

4557. A letter from the Administrator, Agricultural Marketing Service, Department of Agriculture, transmitting the Department's final rule-Oranges, Grapefruit, Tangerines, and Tangelos Grown in Florida; Limiting the Volume of Small Red Seedless Grapefruit [Docket No. FV99-905-3 IFR] received September 24, 1999, 1999, pursuant to 5 U.S.C. 801(a)(1)(A); to the Committee on Agriculture.

4558. A letter from the Chief, Programs and Legislation Division, Department of the Air Force, transmitting notification that the Commander of Air Education and Training Command is initiating a Multiple Support Function comparison of the base operating support functions at Kessler Air Force Base (AFB), Mississippi, pursuant to 10 U.S.C. 2304 nt.; to the Committee on Armed Services.

4559. A letter from the Acting Assistant Secretary, Department of Defense, transmitting a report on the Effectiveness and Cost of the Civilian Separation Incentive Program for Fiscal Year 1998; to the Committee on Armed Services.

4560. A letter from the Departments of the Army and the Air Force, transmitting a report on Enhancing the National Guard's Readiness to Support Emergency Responders in Domestic Chemical and Biological Terrorism Defense; to the Committee on Armed Services.

4561. A letter from the Secretary of Defense, transmitting a determination that it is necessary to order the transportation of 16 Chemical Agent Identification Sets (CAIS) recently recovered in Guam and currently stored on Anderson Air Force Base, Gaum, to Johnston Atoll; to the Committee on Armed Services.

4562. A letter from the Secretary of Defense, transmitting a report specifing for each military treatment facility the amount collected from third-party payers during the preceeding fiscal year; to the Committee on Armed Services.

4563. A letter from the Board of Governors of the Federal Reserve System, transmitting the report on State member bank compliance with the national flood insurance program, pursuant to Public Law 103-325, section 529(a) (108 Stat. 2266); to the Committee on Banking and Financial Services.

4564. A letter from the Federal Deposit Insurance Corporation, Office of Thrift Supervision, Board of Governors of the Federal Reserve System, Comptroller of the Currency, transmitting a joint report, required by section 402 of the Credit Union Membership Access Act of 1998, detailing the progress of the Riegle Community Development and Regulatory Improvement Act of 1994 since the report of September 1996; to the Committee on Banking and Financial Services.

4565. A letter from the Federal Housing Finance Board, transmitting the Board's Annual Report on the Low-Income Housing and Community Development Activities of the Federal Home Loan Bank System for 1998, pursuant to 12 U.S.C. 1422b; to the Committee on Banking and Financial Services.

4566. A letter from the Office of Special Education and Rehabilitative Services, De

partment of Education, transmitting Final Funding Priorities for Fiscal Year (FY) 2000 and Subsequent Fiscal Years Training of Interpreters for Individuals Who Are Deaf or Hard of Hearing and Individuals Who Are Deaf-Blind, pursuant to 20 U.S.C. 1232(f); to the Committee on Education and the Workforce.

4567. A letter from the Chairman, Council of the District of Columbia, transmitting a copy of D.C. Act 13-123, "Condominium Amendment Act of 1999," pursuant to D.C. Code section 1—233(c)(1); to the Committee on Government Reform.

4568. A letter from the Director, Administration and Management, Department of Defense, transmitting a report of the Department of Air Force vacancy; to the Committee on Government Reform.

4569. A letter from the Secretary of the Interior, transmitting a report on the Government's helium program providing operating, statistical, and financial information for the fiscal year 1998, pursuant to 50 U.S.C. 167n; to the Committee on Resources.

4570. A letter from the Assistant Secretary for Fish and Wildlife and Parks, Department of the Interior, transmitting the Department's final rule- Migratory Bird Hunting; Late Seasons and Bag Possession Limits for Certain Migratory Game Birds (RIN: 1018AF24) received September 24, 1999, pursuant to 5 U.S.C. 801(a)(1)(A); to the Committee on Resources.

4571. A letter from the Secretary of Labor, transmitting the Secretary's annual report on employment and training programs, pursuant to 29 U.S.C. 1579(d); to the Committee on Veterans' Affairs.

4572. A letter from the Director, Office of Regulations Management, Department of Veterans Affairs, transmitting the Department's final rule- Veterans Education: Montgomery GI Bill-Active Duty; Administrative Error (RIN: 2900-AJ70) received September 24, 1999, pursuant to 5 U.S.C. 801(a)(1)(A); to the Committee on Veterans' Affairs.

4573. A letter from the Executive Office of the President, transmitting a report on the Accession of the Republic of Georgia to the World Trade Organization; to the Committee on Ways and Means.

4574. A letter from the Executive Director, Office of Compliance, transmitting the Three Year Report of the Office of Compliance; jointly to the Committees on House Administration and Education and the Workforce. 1104.4

MESSAGE FROM THE SENATE

A message from the Senate by Ms. McDevitt, one of its clerks, announced that the Senate had passed without amendment a Joint Resolution of the House of the following title:

H.J. Res. 34. Joint resolution congratulating and commending the Veterans of Foreign Wars.

The message also announced that the Senate has passed a bill of the following title in which concurrence of the House is requested:

S. 1156. An Act to amend provisions of law enacted by the Small Business Regulatory Enforcement Fairness Act of 1996 to ensure full analysis of potential impacts on small entities of rules proposed by certain agencies, and for other purposes.

The message also announced that the Senate agrees to the amendment of the House to the bill (S. 249) "An Act to provide funding for the National Center for Missing and Exploited Children, to reauthorize the Runaway and Homeless Youth Act, and for other purposes.".

104.5 PROVIDING FOR THE

CONSIDERATION OF H.R. 2559

Mr. SESSIONS, by direction of the Committee on Rules, called up the following resolution (H. Res. 308):

Resolved, That at any time after the adoption of this resolution the Speaker may, pursuant to clause 2(b) of rule XVIII, declare the House resolved into the Committee of the Whole House on the state of the Union for consideration of the bill (H.R. 2559) to amend the Federal Crop Insurance Act to strengthen the safety net for agricultural producers by providing greater access to more affordable risk management tools and improved protection from production and income loss, to improve the efficiency and integrity of the Federal crop insurance program, and for other purposes. The first reading of the bill shall be dispensed with. All points of order against consideration of the bill are waived. General debate shall be confined to the bill and shall not exceed one hour equally divided and controlled by the chairman and ranking minority member of the Committee on Agriculture. After general debate the bill shall be considered for amendment under the five-minute rule. It shall be in order to consider as an original bill for the purpose of amendment under the five-minute rule the amendment in the nature of a substitute recommended by the Committee on Agriculture now printed in the bill, modified by the amendments printed in the report of the Committee on Rules accompanying this resolution. That amendment in the nature of a substitute shall be considered by title rather than by section. Each title shall be considered as read. All points of order against that amendment in the nature of a substitute are waived. No amendment to that amendment in the nature of a substitute shall be in order except those printed in the portion of the Congressional Record designated for that purpose in clause 8 of rule XVIII and except pro forma amendments for the purpose of debate. Each amendment so printed may be offered only by the Member who caused it to be printed or his designee, shall be considered as read, and shall not be subject to a demand for division of the question in the House or in the Committee of the Whole. The Chairman of the Committee of the Whole may: (1) postpone until a time during further consideration in the Committee of the Whole a request for a recorded vote on any amendment; and (2) reduce to five minutes the minimum time for electronic voting on any postponed question that follows another electronic vote without intervening business, provided that the minimum time for electronic voting on the first in any series of questions shall be 15 minutes. At the conclusion of consideration of the bill for amendment the Committee shall rise and report the bill to the House with such amendments as may have been adopted. Any Member may demand a separate vote in the House on any amendment adopted in the Committee of the Whole to the bill or to the amendment in the nature of a substitute made in order as original text. The previous question shall be considered as ordered on the bill and amendments thereto to final passage without intervening motion except one motion to recommit with or without instructions.

When said resolution was considered.
After debate,

On motion of Mr. SESSIONS, the previous question was ordered on the resolution to its adoption or rejection.

The question being put, viva voce, Will the House agree to said resolution?

The SPEAKER pro tempore, Mr. NUSSLE, announced that the yeas had

it.

Mr. FROST objected to the vote on the ground that a quorum was not present and not voting.

A quorum not being present,

The roll was called under clause 6, rule XX, and the call was taken by electronic device.

Boswell Cubin

DeLay

Dixon

Gordon

Capps

Hill (IN) Hill (MT)

Dixon

Hill (IN)

Istook

Jefferson

NAYS-1

Vento

NOT VOTING-10

Nadler

Scarborough

Spratt

Thomas

So the resolution was agreed to.

A motion to reconsider the vote whereby said resolution was agreed to was, by unanimous consent, laid on the table.

1104.7 UNFINISHED BUSINESS-APPROVAL OF THE JOURNAL

The SPEAKER pro tempore, Mr. NUSSLE, pursuant to clause 8, rule XX, announced the unfinished business to be the question on agreeing to the Chair's approval of the Journal Tuesday, September 28, 1999.

The question being put, viva voce, Will the House agree to the Chair's approval of said Journal?

The SPEAKER pro tempore, Mr. NUSSLE, announced that the yeas had it.

Ms. SLAUGHTER demanded that the vote be taken by the yeas and nays, which demand was supported by onefifth of the Members present, so the yeas and nays were ordered.

Cox

Coyne

Cramer

Deal

DeGette

Delahunt

DeLauro

DeMint

Deutsch Diaz-Balart

Dickey Dicks Dingell

Doggett Dooley

Doolittle Doyle

So the Journal was approved.

1104.9 AGRICULTURAL RISK PROTECTION The SPEAKER pro tempore, Mr. NUSSLE, pursuant to House Resolution 308 and rule XVIII, declared the House resolved into the Committee of the Whole House on the state of the Union for the consideration of the bill (H.R. 2559) to amend the Federal Crop Insurance Act to strengthen the safety net for agricultural producers by providing greater access to more affordable risk management tools and improved protection from production and income loss, to improve the efficiency and integrity of the Federal crop insurance program, and for other purposes.

The SPEAKER pro tempore, Mr. NUSSLE, by unanimous consent, designated Mr. LATOURETTE as Chairman of the Committee of the Whole; and after some time spent therein,

The SPEAKER pro tempore, Mr. MCHUGH, assumed the Chair.

When Mr. LATOURETTE, Chairman, pursuant to House Resolution 308, reported the bill back to the House with an amendment adopted by the Committee.

The previous question having been ordered by said resolution.

The following amendment, reported from the Committee of the Whole

Kucinich

LoBiondo

Young (FL)

Markey

McDermott

DeFazio

McNulty

English

Gibbons

Gutierrez

Pastor

Gutknecht

Pickett

Ramstad
Riley
Sabo

Schaffer
Slaughter
Stenholm
Strickland

Taylor (MS)

Thompson (CA) Thompson (MS)

Visclosky

Peterson (MN) Phelps Scarborough

TITLE III-ADMINISTRATION Sec. 301. Board of Directors of Corporation. Sec. 302. Promotion of submission of policies and related materials.

Sec. 303. Research and development, including contracts regarding underserved commodities.

Sec. 304. Funding for reimbursement and research and development. Sec. 305. Board consideration of submitted policies and materials.

Sec. 306. Contracting for rating of plans of insurance.

Sec. 307. Electronic availability of crop insurance information.

Sec. 308. Fees for use of new policies and plans of insurance.

Sec. 309. Clarification of producer requirement to follow good farming practices.

Sec. 310. Reimbursements and negotiation of standard reinsurance agreement.

TITLE IV-EFFECTIVE DATE AND
IMPLEMENTATION

Sec. 401. Effective date.

Sec. 402. Special rules regarding implementation of certain amendments.

Sec. 403. Savings clause.

Sec. 404. Sense of the Congress.
TITLE I-STRENGTHENING THE FARM
SAFETY NET

SEC. 101. PREMIUM SCHEDULE FOR ADDITIONAL

COVERAGE.

(a) PREMIUM AMOUNTS.-Section 508(d)(2) of the Federal Crop Insurance Act (7 U.S.C.

1508(d)(2)) is amended by striking subparagraphs (B) and (C) and inserting the following new subparagraph:

"(B) In the case of additional coverage equal to or greater than 50 percent of the recorded or appraised average yield indemnified at not greater than 100 percent of the expected market price, or an equivalent coverage, the amount of the premium shall—

"(i) be sufficient to cover anticipated losses and a reasonable reserve; and

“(ii) include an amount for operating and administrative expenses, as determined by the Corporation, on an industry-wide basis as a percentage of the amount of the premium used to define loss ratio.".

(b) PAYMENT SCHEDULE.-Section 508(e)(2) of the Federal Crop Insurance Act (7 U.S.C. 1508(e)(2)) is amended by striking subparagraphs (B) and (C) and inserting the following new subparagraphs:

"(B) In the case of additional coverage equal to or greater than 50 percent, but less than 55 percent, of the recorded or appraised average yield indemnified at not greater than 100 percent of the expected market. price, or an equivalent coverage, the amount shall be equal to the sum of—

"(i) 67 percent of the amount of the premium established under subsection (d)(2)(B)(i) for the coverage level selected; and

"(ii) the amount determined under subsection (d)(2)(B)(ii) for the coverage level selected to cover operating and administrative expenses.

"(C) In the case of additional coverage equal to or greater than 55 percent, but less than 65 percent, of the recorded or appraised average yield indemnified at not greater than 100 percent of the expected market price, or an equivalent coverage, the amount shall be equal to the sum of

"(i) 64 percent of the amount of the premium established under subsection (d)(2)(B)(i) for the coverage level selected; and

"(ii) the amount determined under subsection (d)(2)(B)(ii) for the coverage level selected to cover operating and administrative expenses.

"(D) In the case of additional coverage equal to or greater than 65 percent, but less than 75 percent, of the recorded or appraised average yield indemnified at not greater than 100 percent of the expected market price, or an equivalent coverage, the amount shall be equal to the sum of

"(i) 59 percent of the amount of the premium established under subsection (d)(2)(B)(i) for the coverage level selected; and

"(ii) the amount determined under subsection (d)(2)(B)(ii) for the coverage level selected to cover operating and administrative expenses.

"(E) In the case of additional coverage equal to or greater than 75 percent, but less than 80 percent, of the recorded or appraised average yield indemnified at not greater than 100 percent of the expected market price, or an equivalent coverage, the amount shall be equal to the sum of

"(i) 54 percent of the amount of the premium established under subsection (d)(2)(B)(i) for the coverage level selected; and

"(ii) the amount determined under subsection (d)(2)(B)(ii) for the coverage level selected to cover operating and administrative expenses.

"(F) In the case of additional coverage equal to or greater than 80 percent, but less than 85 percent, of the recorded or appraised average yield indemnified at not greater than 100 percent of the expected market price, or an equivalent coverage, the amount shall be equal to the sum of—

"(i) 40.6 percent of the amount of the premium established under subsection (d)(2)(B)(i) for the coverage level selected; and

"(ii) the amount determined under subsection (d)(2)(B)(ii) for the coverage level selected to cover operating and administrative expenses.

"(G) Subject to subsection (c)(4), in the case of additional coverage equal to or greater than 85 percent of the recorded or appraised average yield indemnified at not greater than 100 percent of the expected market price, or an equivalent coverage, the amount shall be equal to the sum of

"(i) 30.6 percent of the amount of the premium established under subsection (d)(2)(B)(i) for the coverage level selected; and

"(ii) the amount determined under subsection (d)(2)(B)(ii) for the coverage level selected to cover operating and administrative expenses.".

(c) PREMIUM PAYMENT DISCLOSURE.-Section 508(e) of the Federal Crop Insurance Act (7 U.S.C. 1508(e)) is amended by adding at the end the following new paragraph:

"(5) PREMIUM PAYMENT DISCLOSURE.-Each policy or plan of insurance under this title shall the prominently indicate dollar amount of the portion of the premium paid by the Corporation under this subsection or subsection (h)(2).”.

SEC. 102. PREMIUM SCHEDULE FOR OTHER PLANS OF INSURANCE.

Section 508(h)(2) of the Federal Crop Insurance Act (7 U.S.C. 1508(h)(2)) is amended(1) by striking "A policy" and inserting the following:

"(A) PREPARATION.-A policy";

(2) by striking the second sentence; and (3) by adding at the end the following new subparagraph:

"(B) PREMIUM SCHEDULE.-In the case of a policy offered under this subsection (except paragraph (10)) or subsection (m)(4), the Corporation shall pay a portion of the premium of the policy that shall be equal to

"(i) the percentage, specified in subsection (e) for a similar level of coverage, of the total amount of the premium used to define loss ratio; and

"(ii) the dollar amount of the administrative and operating expenses that would be paid by the Corporation under subsection (e) for a similar level of coverage.".

SEC. 103. ADJUSTMENT IN ACTUAL PRODUCTION HISTORY TO ESTABLISH INSURABLE YIELDS.

(a) USE OF PERCENTAGE OF TRANSITIONAL YIELD.-Section 508(g) of the Federal Crop Insurance Act (7 U.S.C. 1508(g)) is amended by adding at the end the following new paragraph:

"(4) ADJUSTMENT IN ACTUAL PRODUCTION HISTORY TO ESTABLISH INSURABLE YIELDS.—

"(A) APPLICATION.-This paragraph shall apply whenever the Corporation uses the actual production history of the producer to establish insurable yields for an agricultural commodity for the 2001 and subsequent crop years.

"(B) ELECTION TO USE PERCENTAGE OF TRANSITIONAL YIELD.-If, for one or more of the crop years used to establish the producer's actual production history of an agricultural commodity, the producer's recorded or appraised yield of the commodity was less than 60 percent of the applicable transitional yield, as determined by the Corporation, the Corporation shall, at the election of the producer

"(i) exclude any of such recorded or appraised yield; and

"(ii) replace each excluded yield with a yield equal to 60 percent of the applicable transitional yield.".

(b) APH ADJUSTMENT TO REFLECT PARTICIPATION IN MAJOR PEST CONTROL EFFORTS.

Section 508(g) of the Federal Crop Insurance Act (7 U.S.C. 1508(g)) is amended by inserting after paragraph (4), as added by subsection (a), the following new paragraph:

"(5) ADJUSTMENT TO REFLECT INCREASED YIELDS FROM SUCCESSFUL PEST CONTROL EFFORTS.

"(A) SITUATIONS JUSTIFYING ADJUSTMENT.– The Corporation shall develop a methodology for adjusting the actual production history of a producer when each of the following apply:

"(i) The producer's farm is located in an area where systematic, area-wide efforts have been undertaken using certain operations or measures, or the producer's farm is a location at which certain operations or measures have been undertaken, to detect, eradicate, suppress, or control, or at least to prevent or retard the spread of, a plant disease or plant pest, including a plant pest covered by the definition in section 102 of the Department of Agriculture Organic Act of 1944 (7 U.S.C. 147a).

"(ii) The presence of the plant disease or plant pest has been found to adversely affect the yield of the agricultural commodity for which the producer is applying for insurance.

"(iii) The efforts described in clause (i) have been effective.

“(B) ADJUSTMENT AMOUNT.—The amount by which the Corporation adjusts the actual production history of a producer of an agricultural commodity shall reflect the degree to which the success of the systematic, areawide efforts described in paragraph (1)(A), on average, increases the yield of the commodity on the producer's farm, as determined by the Corporation.".

SEC. 104. REVIEW AND ADJUSTMENT IN RATING METHODOLOGIES.

Section 508(a) of the Federal Crop Insurance Act (7 U.S.C. 1508(a)) is amended by adding at the end the following:

“(7) REVIEW AND ADJUSTMENT OF RATES.— "(A) REVIEW REQUIRED. To maximize participation in the Federal crop insurance program and to ensure equity for producers, the Corporation shall periodically review the methodologies employed for rating plans of insurance under this title consistent with section 507(c)(2).

“(B) PREMIUM ADJUSTMENT.-The Corporation shall analyze the rating and loss history of approved policies and plans of insurance for agricultural commodities by area. If the Corporation makes a determination that premium rates are excessive for an agricultural commodity in an area relative to the requirements of subsection (d)(2)(B) for that area, then, in the 2000 crop year or as soon as practicable after the determination is made, the Corporation shall make appropriate adjustments in the premium rates for that area for that agricultural commodity.".

SEC. 105. CONDUCT OF PILOT PROGRAMS, INCLUDING LIVESTOCK.

(a) REPEAL OF OBSOLETE PILOT PROGRAMS.-Section 508(h) of the Federal Crop Insurance Act (7 U.S.C. 1508(h)) is amended by striking paragraphs (6) and (8).

(b) GENERAL REQUIREMENTS.-Section 508(h) of the Federal Crop Insurance Act (7 U.S.C. 1508(h)) is amended by inserting after paragraph (7) the following new paragraph:

"(8) GENERAL REQUIREMENTS APPLICABLE TO PILOT PROGRAMS.-In conducting any pilot program of insurance or reinsurance authorized or required by this title, the Corporation

"(A) may offer the pilot program on a regional, whole State, or national basis after considering the interests of affected producers and the interests of and risks to the Corporation;

"(B) may operate the pilot program, including any modifications thereof, for a period of up to 3 years; and

"(C) may extend the time period for the pilot program for additional periods, as determined appropriate by the Corporation.".

(c) EXPEDITED CONSIDERATION.-Section 508(h)(4) of the Federal Crop Insurance Act (7) U.S.C. 1508(h)(4)) is amended—

(1) by redesignating subparagraphs (A), (B), (C), and (D) as clauses (i), (ii), (iii), and (iv), respectively;

(2) by moving the text of the clauses (as so designated) 2 ems to the right;

(3) by striking "The Corporation" in the first sentence and inserting the following:

“(A) GUIDELINES REQUIRED.-Not later than 180 days after the date of the enactment of the Agricultural Risk Protection Act of 1999, the Corporation”; and

(4) by adding at the end the following new subparagraph:

"(B) EXPEDITED CONSIDERATION OF PROPOSED PILOT PROGRAMS.-The regulations required by subparagraph (A) shall include streamlined guidelines for the submission, and Board review, of pilot programs that the Board determines are limited in scope and duration and involve a reduced level of liability to the Federal Government, and an increased level of risk to approved insurance providers participating in the pilot program, relative to other policies or materials submitted under this subsection. The streamlined guidelines shall be consistent with the guidelines established under subparagraph (A), except as follows:

"(i) Not later than 60 days after submission of the proposed pilot program, the Corporation shall provide an applicant with notification of its intent to recommend disapproval of the proposal to the Board.

"(ii) Not later than 90 days after the proposed pilot program is submitted to the Board, the Board shall make a determination to approve or disapprove the pilot program. Any determination by the Board to disapprove the pilot program shall be accompanied by a complete explanation of the reasons for the Board's decision to deny approval. In the event the Board fails to make a determination within the prescribed time period, the pilot program submitted shall be deemed approved by the Board for the initial reinsurance year designated for the pilot program, except in the case where the Board and the applicant agree to an extension.". (d) LIVESTOCK PILOT PROGRAMS.

(1) PROGRAMS REQUIRED.-Section 508(h) of the Federal Crop Insurance Act (7 U.S.C. 1508(h)) is amended by striking paragraph (10) and inserting the following new paragraph:

"(10) LIVESTOCK PILOT PROGRAMS.— "(A) PROGRAMS REQUIRED.—

“(i) NUMBER AND TYPES OF PROGRAMS.—The Corporation shall conduct two or more pilot programs to evaluate the effectiveness of risk management tools for livestock producers, including the use of

"(I) futures and options contracts and policies and plans of insurance that provide livestock producers with reasonable protection from the financial risks of price or income fluctuations inherent in the production and marketing of livestock, provide protection for production losses, and otherwise protect the interests of livestock producers; and

"(II) policies and plans of insurance that, notwithstanding the second sentence of subsection (a)(1), and subject to the exclusions in subsection (a)(3), provide livestock producers with reasonable protection from liability to mitigate or compensate for adverse environmental impacts from producers' operations caused by natural disasters, unusual weather or climatic conditions, third-party acts, or other forces or occurrences beyond the producers' control, and with coverage to satisfy obligations established by law for closure of producers' operations.

"(ii) PURPOSE OF PROGRAMS.-To the maximum extent practicable, the Corporation shall evaluate the greatest number and variety of pilot programs described in clause (i) to determine which of the offered risk management tools are best suited to protect livestock producers from the financial risks associated with the production and marketing of livestock.

ASSISTANCE.-The

"(B) IMPLEMENTATION; Corporation shall begin conducting livestock pilot programs under this paragraph during fiscal year 2001, and any policy or plan of insurance offered under this paragraph may be prepared without regard to the limitations contained in this title. As part of such a pilot program, the Corporation may provide assistance to producers to purchase futures and options contracts or policies and plans of insurance offered under that pilot program. However, no action may be undertaken with respect to a risk under this paragraph if the Corporation determines that insurance protection for livestock producers against the risk is generally available from private companies.

"(C) LOCATION.-The Corporation shall conduct the livestock pilot programs under this paragraph in a number of counties that is determined by the Corporation to be adequate to provide a comprehensive evaluation of the feasibility, effectiveness, and demand among producers for the risk management tools evaluated in the pilot programs.

"(D) ELIGIBLE PRODUCERS; LIVESTOCK.-Any producer of a type of livestock covered by a pilot program under this paragraph who owns or operates a farm or ranch in a county selected as a location for that pilot program shall be eligible to participate in that pilot program. In this paragraph, the term 'livestock' means cattle, sheep, swine, goats, and poultry.

"(E) RELATION TO OTHER LAWS.-The terms and conditions of any policy or plan of insurance offered under this paragraph that is reinsured by the Corporation is not subject to the jurisdiction of the Commodity Futures Trading Commission or the Securities and Exchange Commission or considered as accounts, agreements (including any transaction which is of the character of, or is commonly known to the trade as, an ‘option', 'privilege', 'indemnity', 'bid', 'offer', 'put', 'call', 'advance guaranty', or 'decline guaranty'), or transactions involving contracts of sale of a commodity for future delivery, traded or executed on a contract market for the purposes of the Commodity Exchange Act (7 U.S.C. 1 et seq.). Nothing in this subparagraph is intended to affect the jurisdiction of the Commodity Futures Trading Commission or the applicability of the Commodity Exchange Act to any transaction conducted on a designated contract market (as that term is used in such Act) by an approved insurance provider to offset the provider's risk under a plan or policy of insurance under this paragraph.

"(F) LIMITATION ON EXPENDITURES.-The Corporation shall conduct all livestock programs under this title so that, to the maximum extent practicable, all costs associated with conducting the livestock programs (other than research and development costs covered by paragraph (6) or subsection (m)(4)) are not expected to exceed the following:

"(i) $20,000,000 for fiscal year 2001. "(ii) $30,000,000 for fiscal year 2002. "(iii) $40,000,000 for fiscal year 2003. "(iv) $55,000,000 for fiscal year 2004 and each subsequent fiscal year.".

(2) CONFORMING AMENDMENT TO DEFINITION OF AGRICULTURAL COMMODITY.-Section 518 of the Federal Crop Insurance Act (7 U.S.C. 1518) is amended by striking "livestock and" after "commodity, excluding”.