§ 1441. — Price support levels.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 7USC1441]
TITLE 7--AGRICULTURE
CHAPTER 35A--PRICE SUPPORT OF AGRICULTURAL COMMODITIES
SUBCHAPTER II--BASIC AGRICULTURAL COMMODITIES
Sec. 1441. Price support levels
The Secretary of Agriculture (hereinafter called the ``Secretary'')
is authorized and directed to make available through loans, purchases,
or other operations, price support to cooperators for any crop of any
basic agricultural commodity, if producers have not disapproved
marketing quotas for such crop, at a level not in excess of 90 per
centum of the parity price of the commodity nor less than the level
provided in subsections (a) to (c) of this section as follows:
(a) For tobacco (except as The level of support shall be not less
otherwise provided herein), than the following percentage of the
corn, and wheat, if the supply parity price:
percentage as of the beginning
of the marketing year is:
Not more than 102.............................................. 90
More than 102 but not more than 104............................ 89
More than 104 but not more than 106............................ 88
More than 106 but not more than 108............................ 87
More than 108 but not more than 110............................ 86
More than 110 but not more than 112............................ 85
More than 112 but not more than 114............................ 84
More than 114 but not more than 116............................ 83
More than 116 but not more than 118............................ 82
More than 118 but not more than 120............................ 81
More than 120 but not more than 122............................ 80
More than 122 but not more than 124............................ 79
More than 124 but not more than 126............................ 78
More than 126 but not more than 128............................ 77
More than 128 but not more than 130............................ 76
More than 130.................................................. 75
For rice of the 1959 and 1960 crops, the level of support shall be
not less than 75 per centum of the parity price. For rice of the 1961
crop the level of support shall be not less than 70 per centum of the
parity price. For the 1962 and subsequent crops of rice the level of
support shall be not less than 65 per centum of the parity price.
(b) For cotton, if the supply The level of support shall be not less
percentage as of the beginning than the following percentage of the
of the marketing year is: parity price:
Not more than 108.............................................. 90
More than 108 but not more than 110............................ 89
More than 110 but not more than 112............................ 88
More than 112 but not more than 114............................ 87
More than 114 but not more than 116............................ 86
More than 116 but not more than 118............................ 85
More than 118 but not more than 120............................ 84
More than 120 but not more than 122............................ 83
More than 122 but not more than 124............................ 82
More than 124 but not more than 125............................ 81
More than 125 but not more than 126............................ 80
More than 126 but not more than 127............................ 79
More than 127 but not more than 128............................ 78
More than 128 but not more than 129............................ 77
More than 129 but not more than 130............................ 76
More than 130.................................................. 75
(c) For tobacco, if marketing quotas are in effect, the level of
support shall be 90 per centum of the parity price.
(d) Notwithstanding the foregoing provisions of this section--
(1) if producers have not disapproved marketing quotas for such
crop, the level of support to cooperators shall be 90 per centum of
the parity price for the 1950 crop of any basic agricultural
commodity for which marketing quotas or acreage allotments are in
effect;
(2) if producers have not disapproved marketing quotas for such
crop, the level of support to cooperators shall be not less than 80
per centum of the parity price for the 1951 crop of any basic
agricultural commodity for which marketing quotas or acreage
allotments are in effect;
(3) the level of price support to cooperators for any crop of a
basic agricultural commodity, except tobacco, for which marketing
quotas have been disapproved by producers shall be 50 per centum of
the parity price of such commodity; and no price support shall be
made available for any crop of tobacco for which marketing quotas
have been disapproved by producers;
(4) Repealed. Oct. 31, 1949, ch. 792, title I, Sec. 104(b)(3),
as added Aug. 28, 1958, Pub. L. 85-835, title II, Sec. 201, 72 Stat.
994.
(5) the price support may be made available to noncooperators at
such levels, not in excess of the level of price support to
cooperators, as the Secretary determines will facilitate the
effective operation of the program;
(6) except as provided in subsection (c) of this section and
section 1422 of this title, the level of support to cooperators
shall be not more than 90 per centum and not less than 82\1/2\ per
centum of the parity price for the 1955 crop of any basic
agricultural commodity with respect to which producers have not
disapproved marketing quotas; within such limits, the minimum level
of support shall be fixed as provided in subsections (a) and (b) of
this section;
(7) Where a State is designated under section 1335(e) of this
title, as outside the commercial wheat-producing area for any crop
of wheat, the level of price support for wheat to cooperators in
such State for such crop of wheat shall be 75 per centum of the
level of price support to cooperators in the commercial wheat-
producing area.
(e) Rice.--The Secretary shall make available to producers of each
crop of rice on a farm price support at a level that is not less than 50
percent, or more than 90 percent of the parity price for rice as the
Secretary determines will not result in increasing stocks of rice to the
Commodity Credit Corporation.
(Oct. 31, 1949, ch. 792, title I, Secs. 101, 104(b)(3), 63 Stat. 1051;
July 17, 1952, ch. 933, Secs. 2, 3(1), 66 Stat. 759; Aug. 28, 1954, ch.
1041, title II, Secs. 201, 202, 68 Stat. 899; Pub. L. 85-28, Apr. 25,
1957, 71 Stat. 27; Pub. L. 85-497, July 2, 1958, 72 Stat. 296; Pub. L.
85-835, title II, Sec. 201, title III, Sec. 302(a), Aug. 28, 1958, 72
Stat. 993, 994; Pub. L. 86-389, Sec. 2, Feb. 20, 1960, 74 Stat. 7; Pub.
L. 90-475, Sec. 5, Aug. 11, 1968, 82 Stat. 702; Pub. L. 94-214, title I,
Sec. 102, Feb. 16, 1976, 90 Stat. 183; Pub. L. 95-113, title VI,
Sec. 607, title VII, Sec. 702, Sept. 29, 1977, 91 Stat. 940; Pub. L. 96-
176, Dec. 31, 1979, 93 Stat. 1290; Pub. L. 96-213, Sec. 4(a), Mar. 18,
1980, 94 Stat. 119; Pub. L. 96-365, title II, Sec. 201(a), Sept. 26,
1980, 94 Stat. 1319; Pub. L. 97-98, title V, Sec. 508, title VI,
Sec. 602, Dec. 22, 1981, 95 Stat. 1242; Pub. L. 97-253, title I,
Sec. 125, Sept. 8, 1982, 96 Stat. 771; Pub. L. 98-88, Sec. 2, Aug. 26,
1983, 97 Stat. 494; Pub. L. 98-258, title IV, Secs. 401, 402, Apr. 10,
1984, 98 Stat. 135; Pub. L. 99-198, title VI, Sec. 602, Dec. 23, 1985,
99 Stat. 1427; Pub. L. 104-127, title I, Sec. 171(b)(3), Apr. 4, 1996,
110 Stat. 938; Pub. L. 107-171, title I, Sec. 1310(a)(2)(A), May 13,
2002, 116 Stat. 182.)
References in Text
Subsec. (e) of section 1335 of this title, referred to in subsec.
(d)(7), was eliminated and other provisions substituted by Pub. L. 87-
703, title III, Sec. 315, Sept. 27, 1962, 76 Stat. 621.
Amendments
2002--Subsec. (b). Pub. L. 107-171 struck out ``and peanuts'' after
``cotton''.
1996--Subsec. (e). Pub. L. 104-127 added subsec. (e).
1985--Subsec. (i)(1). Pub. L. 99-198 temporarily redesignated
existing provisions as subpar. (A) and added subpars. (B) to (D). See
Effective and Termination Dates of 1985 Amendment note below.
1984--Subsec. (i)(2)(C). Pub. L. 98-258, Sec. 401, substituted ``and
$11.90 per hundredweight for the 1984 and 1985 crops'' for ``$11.90 per
hundredweight for the 1984 crop, and $12.40 per hundredweight for the
1985 crop''.
Subsec. (i)(5)(A). Pub. L. 98-258, Sec. 402(1), substituted ``third,
fourth, and fifth'' for ``third and fourth'' after ``Notwithstanding any
other provision of law, except as provided in the''.
Pub. L. 98-258, Sec. 402(2), inserted sentence providing: ``For the
1985 crop of rice, if the Secretary estimates that the quantity of rice
on hand in the United States on July 31, 1985 (not including any
quantity of rice produced in the United States during calendar year
1985), will exceed twenty-five million hundredweight, the Secretary
shall provide for a combination of an acreage limitation program as
described under this subparagraph and a land diversion program as
described under subparagraph (B) under which the acreage planted to rice
for harvest on the farm would be limited to the acreage base for the
farm reduced by a total of not less than 25 per centum, consisting of a
reduction of 20 per centum under the acreage limitation program and a
reduction under the land diversion program equal to the difference
between the total reduction for the farm and the 20 per centum reduction
under the acreage limitation program.''
Pub. L. 98-258, Sec. 402(3), substituted ``1983 and 1985 crops of
rice'' for ``1983 crop of rice'' after ``As a condition of eligibility
for loans, purchases, and payments on the''.
Subsec. (i)(5)(B). Pub. L. 98-258, Sec. 402(4), inserted sentence
providing that if the Secretary implements a land diversion program for
the 1985 crop of rice under the provisions of subparagraph (A), the
Secretary shall make crop retirement and conservation payments to any
producer of the 1985 crop of rice whose acreage planted to rice for
harvest on the farm is reduced so that it does not exceed the rice
acreage base for the farm less an amount equivalent to the percentage of
the acreage base specified by the Secretary, but not less than 5 per
centum, in addition to the reduction required under the acreage
limitation program under subparagraph (A), and who devotes to approved
conservation uses an acreage of cropland equivalent to the reduction
required from the rice acreage base under this subparagraph.
Pub. L. 98-258, Sec. 402(5), substituted ``Diversion payments made
to producers under this subparagraph shall be made in an amount computed
by multiplying'' for ``Such payments shall be made in an amount computed
by multiplying''.
Pub. L. 98-258, Sec. 402(6), substituted ``$3.00 per hundredweight
for the 1983 crop of rice, except that the rate may be reduced up to 10
per centum if the Secretary determines that the same program objective
could be achieved with the lower rate, and at not less than $2.70 per
hundredweight for the 1985 crop of rice'' for ``$3.00 per hundredweight,
except that the rate may be reduced up to 10 per centum if the Secretary
determines that the same program objective could be achieved with the
lower rate'' after ``The diversion payment rate shall be established by
the Secretary at not less than'' and inserted a proviso that if the
Secretary estimates that the quantity of rice on hand in the United
States on July 31, 1985 (not including any quantity of rice produced in
the United States during calendar year 1985), will exceed (I) thirty-
five million hundredweight, such rate shall be established by the
Secretary at not less than $3.25 per hundredweight, and (II) forty-two
million five hundred thousand hundredweight, such rate shall be
established by the Secretary at not less than $3.50 per hundredweight.
Pub. L. 98-258, Sec. 402(7), substituted ``1983 and 1985 crops'' for
``1983 crop'' after ``The Secretary shall make not less than 50 per
centum of any payments under this subparagraph to producers of the''.
1983--Subsec. (f). Pub. L. 98-88 struck out subsec. (f) which read
as follows: ``The provisions of this Act relating to price support for
cotton shall apply severally to (1) American upland cotton and (2) extra
long staple cotton described in subsection (a) of this section and
ginned as required by subsection (e) of section 1347 of this title,
except that, notwithstanding any other provision of this Act, price
support shall be made available for the 1982 and each subsequent crop of
extra long staple cotton through nonrecourse loans as provided in this
subsection. If producers have not disapproved marketing quotas for any
crop of extra long staple cotton, price support loans shall be made
available to cooperators for such crop at a level which is not less than
75 per centum or more than 125 per centum in excess of the loan level
established for Strict Low Middling one and one-sixteenth inch upland
cotton (micronaire 3.5 through 4.9) of such crop at average location in
the United States. If producers have disapproved marketing quotas for
any crop of extra long staple cotton, price support loans shall be made
available to cooperators for such crop at a level which shall be 50 per
centum in excess of the loan level established for Strict Low Middling
one and one-sixteenth inch upland cotton (micronaire 3.5 through 4.9) of
such crop at average location in the United States. Nothing contained
herein shall affect the authority of the Secretary to make price support
available for extra long staple cotton in accordance with section 1422
of this title.'' See section 1444(h) of this title.
1982--Subsec. (i)(5)(A). Pub. L. 97-253, Sec. 125(1)-(3),
substituted ``Notwithstanding any other provision of law, except as
provided in the third and fourth sentences of this paragraph, the'' for
``Notwithstanding any other provision of this subsection, the'',
following second sentence, inserted provision that for the 1983 crop of
rice, the Secretary shall provide for a combination of (i) an acreage
limitation program as described under this subparagraph and (ii) a
diversion program as described under subpar. (B) under which the acreage
planted to rice for harvest on the farm would be limited to the acreage
base for the farm reduced by a total of 20 per centum, consisting of a
reduction of 15 per centum under the acreage limitation program and a
reduction of 5 per centum under the diversion program, and that as a
condition of eligibility for loans, purchases, and payments on the 1983
crop of rice, the producers on a farm must comply with the terms and
conditions of the combined acreage limitation and diversion program,
and, following ninth sentence, inserted provision that notwithstanding
the other provisions of this subparagraph, the acreage base to be used
for the farm under the program for the 1983 crop of rice shall be the
same as the acreage base applicable to the farm under the acreage
limitation program for the 1982 crop, adjusted to reflect established
crop-rotation practices and to reflect such other factors as the
Secretary determines should be considered in determining a fair and
equitable base.
Subsec. (i)(5)(B). Pub. L. 97-253, Sec. 125(4), inserted provision
requiring the Secretary to implement a land diversion program for the
1983 crop of rice under which the Secretary shall make crop retirement
and conservation payments to producers making a reduction additional to
that required under subpar. (A) and devoting an equivalent acreage of
cropland to conservation purposes, and provisions for the computation of
payments, and establishment of payment rates by the Secretary, as well
as payment by the Secretary of not less than 50 per centum of any
payments under this subparagraph to 1983 crop producers as soon as
practicable after any such producer enters into a land diversion
contract with the Secretary and in advance of any determination of
performance, but in no case prior to Oct. 1, 1982, and repayment of
advances, with interest, in the event of noncompliance by such producer
with such contract.
1981--Subsec. (f). Pub. L. 97-98, Sec. 508, substituted provisions
authorizing price support for extra long staple cotton for the 1982 crop
and each subsequent crop through nonrecourse loans as provided in this
subsection and prescribing the level of price support loans available to
cooperators if producers have not, or have, disapproved marketing quotas
for any crop of extra long staple cotton as specified percentages of the
loan level established for Strict Low Middling one and one-sixteenth
inch upland cotton, micronaire 3.5 through 4.9, of such crop at average
location in the United States for provisions authorizing price support
for extra long staple cotton to cooperators for the 1980 crop and each
subsequent crop based on the loan level established for Strict Low
Middling one and one-sixteenth inch upland cotton and adjusted by the
specified factors, provisions determining the computation of acreage
allotments of extra long staple cotton, provisions authorizing the
Secretary to establish the price-support payment factor, provisions
authorizing the manner and mode of payments authorized under this
section, and provisions making operative subsec. (d)(3) of this section
upon the disapproval by producers of the national marketing quota
established pursuant to section 1347 of this title.
Subsec. (i). Pub. L. 97-98, Sec. 602, temporarily added subsec. (i).
See Effective and Termination Dates of 1981 Amendment note below.
1980--Subsec. (h)(4)(B). Pub. L. 96-365, Sec. 201(a)(1), substituted
``Except as otherwise provided in subparagraph (D) of this paragraph,
effective with respect to the 1978 through 1981 crops of rice'' for
``Effective only with respect to the 1978, 1979, and 1980 crops of
rice''.
Pub. L. 96-213, Sec. 4(a)(1), substituted ``1978, 1979, and 1980
crops of rice'' for ``1978 and 1979 crops of rice''.
Subsec. (h)(4)(C). Pub. L. 96-365, Sec. 201(a)(2), substituted
``Except as otherwise provided in subparagraph (D) of this paragraph,
effective with respect to the 1978 through 1981 crops of rice'' for
``Effective only with respect to the 1978, 1979, and 1980 crops of
rice''.
Pub. L. 96-213, Sec. 4(a)(2), substituted ``1978, 1979, and 1980
crops of rice'' for ``1978 and 1979 crops of rice''.
Subsec. (h)(4)(D), (E). Pub. L. 96-365, Sec. 201(a)(3), added
subpar. (D) and redesignated former subpar. (D) as (E).
1979--Subsec. (f). Pub. L. 96-176 substituted ``1980'' for ``1968'',
``85'' for ``50'', ``135'' for ``100'', and ``55'' for ``65''.
1977--Subsec. (f). Pub. L. 95-113, Sec. 607, substituted ``Strict
Low Middling one and one-sixteenth inch'' for ``Middling one-inch''.
Subsec. (h). Pub. L. 95-113, Sec. 702, temporarily added subsec.
(h). See Effective and Termination Dates of 1977 Amendment note below.
1976--Subsec. (g). Pub. L. 94-214 temporarily added subsec. (g). See
Effective and Termination Dates of 1976 Amendment note below.
1968--Subsec. (f). Pub. L. 90-475 substituted provisions authorizing
price support for extra long staple cotton for the 1968 crop and each
subsequent crop based on the loan level established for Middling one-
inch upland cotton and adjusted by the specified factors, provisions
determining the computation of acreage allotments of extra long staple
cotton, provisions authorizing the Secretary to establish the price-
support payment factor, and provisions authorizing the manner and mode
of payments authorized under this section, for provisions authorizing
price support for extra long staple cotton for the 1957 crop and each
subsequent crop based on the parity price for the 1956 crop and adjusted
by certain specified factors, with a minimum price support level of not
less than 60 percent of the parity price, and provisions making
operative subsec. (d)(3) of this section upon the disapproval by
producers of the national marketing quota established pursuant to
section 1347 of this title.
1960--Subsec. (e). Pub. L. 86-389 repealed subsec. (e) which
provided that: ``Notwithstanding any of the provisions of this Act,
section 2 of the Act of July 28, 1945 (59 Stat. 506) shall continue in
effect.'' See section 1445 of this title.
1958--Subsec. (a). Pub. L. 85-835, Sec. 302(a), substituted ``and
wheat'' for ``wheat, and rice'' and added par. requiring rice price
support levels to be not less than 75, 70, and 65 per centum of parity
for 1959 and 1960, 1961, and 1962 and subsequent crop years,
respectively.
Subsec. (d)(4). Act Oct. 31, 1949, Sec. 104(b)(3), as added Pub. L.
85-835, Sec. 201, repealed par. (4) which provided for price support
level for corn to cooperators outside the commercial corn-producing area
at 75 per centum of the level of price support to cooperators in the
commercial corn-producing area.
Subsec. (f). Pub. L. 85-497 provided that the level of support for
crops of extra long staple cotton shall not exceed the same per centum
of the parity price as for the 1956 crop, required such level to be
determined after consideration of the factors specified in section
1421(b) of this title and the price levels for similar qualities of
cotton produced outside the United States, and established a minimum of
not less than 60 per centum of the parity price as the level for extra
long staple cotton.
1957--Subsec. (f). Pub. L. 85-28 set the price support for extra
long staple cotton for 1957 and each subsequent crop at same per centum
of parity price as for 1956 crop.
1954--Subsec. (d)(6). Act Aug. 28, 1954, Sec. 201(a), provided for
flexible price supports.
Subsec. (d)(7). Act Aug. 28, 1954, Sec. 201(b), added par. (7).
Subsec. (f). Act Aug. 28, 1954, Sec. 202, set the price support for
long staple cotton at the minimum determined in accordance with the
schedule in subsec. (b) of this section.
1952--Subsec. (d)(6). Act July 17, 1952, Sec. 2, added par. (6).
Subsec. (f). Act July 17, 1952, Sec. 3(1), added subsec. (f).
Effective and Termination Dates of 1985 Amendment
Section 602 of Pub. L. 99-198 provided that the amendment made by
that section is effective for 1985 crop of rice.
Effective Date of 1983 Amendment
Section 2 of Pub. L. 98-88 provided that the amendment made by that
section is effective beginning with 1984 crop of extra long staple
cotton.
Effective and Termination Dates of 1981 Amendment
Section 508 of Pub. L. 97-98 provided that the amendment made by
that section is effective beginning with 1982 crop of extra long staple
cotton.
Section 602 of Pub. L. 97-98 provided that the amendment made by
that section is effective only for 1982 through 1985 crops of rice.
Effective Date of 1979 Amendment
Pub. L. 96-176 provided that the amendment made by that section is
effective with respect to 1980 and subsequent crops of extra long staple
cotton.
Effective and Termination Dates of 1977 Amendment
Section 702 of Pub. L. 95-113 provided that the amendment made by
that section is effective only for 1978 through 1981 crops of rice.
Amendment by Pub. L. 95-113 effective Oct. 1, 1977, except as
otherwise provided, see section 1901 of Pub. L. 95-113, set out as a
note under section 1307 of this title.
Effective and Termination Dates of 1976 Amendment
Section 102 of Pub. L. 94-214 provided that the amendment made by
that section is effective for 1976 and 1977 crops of rice.
Effective Date of 1958 Amendment
Section 104(b)(3) of act Oct. 31, 1949, as added by section 201 of
Pub. L. 85-835, provided for repeal of subsec. (d)(4) of this section
effective with 1959 crop, to be operative as provided in section
1444a(b) of this title. See 1958 Referendum for Selection of Alternative
Corn Program and Operative Status of Certain Provisions note set out
under section 1444a of this title.
Section 302(a) of Pub. L. 85-835 provided in part that the amendment
by Pub. L. 85-835 [amending this section] is effective beginning with
the 1959 crop.
Inapplicability of Section
Section inapplicable to 2002 through 2007 crops of covered
commodities, peanuts, and sugar and inapplicable to milk during period
beginning May 13, 2002, through Dec. 31, 2007, see section 7992(b)(1) of
this title.
Section inapplicable to 1996 through 2002 crops of loan commodities,
peanuts, and sugar and inapplicable to milk during period beginning Apr.
4, 1996, and ending Dec. 31, 2002, see section 7301(b)(1)(A) of this
title.
Pub. L. 101-624, title VIII, Sec. 808, Nov. 28, 1990, 104 Stat.
3478, provided that: ``Section 101 of the Agricultural Act of 1949 (7
U.S.C. 1441) shall not be applicable to the 1991 through 1995 crops of
peanuts.''
Section 707 of Pub. L. 99-198 provided that: ``Section 101 of the
Agricultural Act of 1949 (7 U.S.C. 1441) shall not be applicable to the
1986 through 1990 crops of peanuts.''
Section 707 of Pub. L. 97-98 provided that: ``Section 101 of the
Agricultural Act of 1949 [this section] shall not be applicable to the
1982 through 1985 crops of peanuts.''
Report on Trading of Rice Futures
Section 603 of Pub. L. 97-98 required Secretary of Agriculture to
submit a report to Congress evaluating the trading of rice futures on
commodity exchanges by July 31, 1983.
Exemption of Disaster Payment Limitations Respecting 1977 Crops of
Wheat, Feed Grains, Upland Cotton, and Rice
Term ``payments'' as used in subsec. (g)(13) of this section shall
not include any part of any payment which is determined by the Secretary
of Agriculture to represent compensation for disaster loss with respect
to 1977 crops of wheat, feed grains, upland cotton, and rice, see Pub.
L. 95-156, set out as a note under section 1307 of this title.
1963 Wheat Crop
Pub. L. 87-703, title III, Sec. 306, Sept. 27, 1962, 76 Stat. 615,
required that price support for 1963 crop of wheat be made available as
provided in section 1441 of this title with certain exceptions.
1962 Wheat Crop
Pub. L. 87-128, title I, Sec. 123, Aug. 8, 1961, 75 Stat. 297,
required that price support for 1962 crop of wheat be made available as
provided in section 1441 of this title with certain exceptions.
Section Referred to in Other Sections
This section is referred to in sections 1427, 1428, 1442, 1444,
1444a, 1444b, 1445, 1445a, 7301, 7992 of this title.
