19 USC 2401e - Qualifying requirements for agricultural commodity producers

United States Code

USC most recently checked for updates: Jun 09, 2025

§ 2401d. Benefit information to agricultural commodity producers

§ 2401f. Fraud and recovery of overpayments

U.S. Code
Notes

§ 2401e.

Qualifying requirements for agricultural commodity producers

(a)

In general

(1)

Requirements

Payment of a 1

 So in original. Probably should be “an”.

adjustment assistance under this part shall be made to an adversely affected agricultural commodity producer covered by a certification under this part who files an application for such assistance within 90 days after the date on which the Secretary makes a determination and issues a certification of eligibility under section 2401b of this title, if the following conditions are met:

(A)

The producer submits to the Secretary sufficient information to establish the amount of agricultural commodity covered by the application filed under this subsection that was produced by the producer in the most recent year.

(B)

The producer certifies that the producer has not received cash benefits under any provision of this subchapter other than this part.

(C)

The producer’s net farm income (as determined by the Secretary) for the most recent year is less than the producer’s net farm income for the latest year in which no adjustment assistance was received by the producer under this part.

(D)

The producer certifies that the producer has met with an Extension Service employee or agent to obtain, at no cost to the producer, information and technical assistance that will assist the producer in adjusting to import competition with respect to the adversely affected agricultural commodity, including—

(i)

information regarding the feasibility and desirability of substituting 1 or more alternative commodities for the adversely affected agricultural commodity; and

(ii)

technical assistance that will improve the competitiveness of the production and marketing of the adversely affected agricultural commodity by the producer, including yield and marketing improvements.

(2)

Limitations

(A)

Adjusted gross income

(i)

In general

Notwithstanding any other provision of this part, an agricultural commodity producer shall not be eligible for assistance under this part in any year in which the average adjusted gross income of the producer exceeds the level set forth in section 1308–3a of title 7.

(ii)

Certification

To comply with the limitation under subparagraph (A),2

 So in original. Probably should be a reference to clause (i).

an individual or entity shall provide to the Secretary—

(I)

a certification by a certified public accountant or another third party that is acceptable to the Secretary that the average adjusted gross income of the producer does not exceed the level set forth in section 1308–3a of title 7; or

(II)

information and documentation regarding the adjusted gross income of the producer through other procedures established by the Secretary.

(B)

Counter-cyclical payments

The total amount of payments made to an agricultural producer under this part during any crop year may not exceed the limitation on counter-cyclical payments set forth in section 1308(c) 3

 See References in Text note below.

of title 7.

(C)

Definitions

In this subsection:

(i)

Adjusted gross income

The term “adjusted gross income” means adjusted gross income of an agricultural commodity producer—

(I)

as defined in section 62 of title 26 and implemented in accordance with procedures established by the Secretary; and

(II)

that is earned directly or indirectly from all agricultural and nonagricultural sources of an individual or entity for a fiscal or corresponding crop year.

(ii)

Average adjusted gross income

(I)

In general

The term “average adjusted gross income” means the average adjusted gross income of a producer for each of the 3 preceding taxable years.

(II)

Effective adjusted gross income

In the case of a producer that does not have an adjusted gross income for each of the 3 preceding taxable years, the Secretary shall establish rules that provide the producer with an effective adjusted gross income for the applicable year.

(b)

Amount of cash benefits

(1)

In general

Subject to the provisions of section 2401g of this title, an adversely affected agricultural commodity producer described in subsection (a) shall be entitled to adjustment assistance under this part in an amount equal to the product of—

(A)

one-half of the difference between—

(i)

an amount equal to 80 percent of the average of the national average price of the agricultural commodity covered by the application described in subsection (a) for the 5 marketing years preceding the most recent marketing year, and

(ii)

the national average price of the agricultural commodity for the most recent marketing year, and

(B)

the amount of the agricultural commodity produced by the agricultural commodity producer in the most recent marketing year.

(2)

Special rule for subsequent qualified years

The amount of cash benefits for a qualified year shall be determined in the same manner as cash benefits are determined under paragraph (1), except that the average national price of the agricultural commodity shall be determined under paragraph (1)(A)(i) by using the 5-marketing-year period used to determine the amount of cash benefits for the first certification.

(c)

Maximum amount of cash assistance

The maximum amount of cash benefits an agricultural commodity producer may receive in any 12-month period shall not exceed $10,000.

(d)

Limitations on other assistance

An agricultural commodity producer entitled to receive a cash benefit under this part—

(1)

shall not be eligible for any other cash benefit under this subchapter, and

(2)

shall be entitled to employment services and training benefits under division II of subpart B of part 2.

(Pub. L. 93–618, title II, § 296, as added Pub. L. 107–210, div. A, title I, § 141(a), Aug. 6, 2002, 116 Stat. 949; amended Pub. L. 108–429, title II, § 2004(a)(9), Dec. 3, 2004, 118 Stat. 2590; Pub. L. 111–5, div. B, title I, § 1883(a), Feb. 17, 2009, 123 Stat. 416; Pub. L. 112–40, title II, § 201(b), (c), Oct. 21, 2011, 125 Stat. 403; Pub. L. 114–27, title IV, § 402(b), (c), June 29, 2015, 129 Stat. 374.)

cite as: 19 USC 2401e