§ 1504. — Capital stock of Corporation.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 7USC1504]
TITLE 7--AGRICULTURE
CHAPTER 36--CROP INSURANCE
Sec. 1504. Capital stock of Corporation
(a) Subscription by United States
The Corporation shall have a capital stock of $500,000,000
subscribed by the United States of America, payment for which shall,
with the approval of the Secretary, be subject to call in whole or in
part by the Board.
(b) Appropriations
There is authorized to be appropriated such sums as are necessary
for the purpose of subscribing to the capital stock of the Corporation.
(c) Issuance of stock to Secretary of the Treasury
Receipts for payments by the United States of America for or on
account of such stock shall be issued by the Corporation to the
Secretary of the Treasury and shall be evidence of the stock ownership
by the United States of America.
(d) Cancellation of receipts; nonliability of Corporation
Within thirty days after September 26, 1980, the Secretary of the
Treasury shall cancel, without consideration, receipts for payments for
or on account of the stock of the Corporation outstanding on September
26, 1980, and such receipts shall cease to be liabilities of the
Corporation.
(Feb. 16, 1938, ch. 30, title V, Sec. 504, 52 Stat. 72; Aug. 25, 1949,
ch. 512, Secs. 4, 6, 63 Stat. 665; Pub. L. 95-47, June 16, 1977, 91
Stat. 228; Pub. L. 95-181, Sec. 1, Nov. 15, 1977, 91 Stat. 1373; Pub. L.
96-365, title I, Sec. 101, Sept. 26, 1980, 94 Stat. 1312; Pub. L. 103-
354, title I, Sec. 102(b)(2), (4)(C), Oct. 13, 1994, 108 Stat. 3180,
3181.)
Amendments
1994--Subsec. (a). Pub. L. 103-354, Sec. 102(b)(2)(A), (4)(C),
struck out ``of Agriculture'' after ``Secretary'' and ``of Directors of
the Corporation'' after ``Board''.
Subsec. (d). Pub. L. 103-354, Sec. 102(b)(2)(B), struck out
``Federal Crop Insurance'' before ``Corporation outstanding''.
1980--Subsec. (a). Pub. L. 96-365, Sec. 101(a), substituted
``$500,000,000'' for ``$200,000,000''.
Subsec. (d). Pub. L. 96-365, Sec. 101(b), added subsec. (d).
1977--Subsec. (a). Pub. L. 95-181 substituted ``$200,000,000'' for
``$150,000,000''.
Pub. L. 95-47 substituted ``$150,000,000'' for ``$100,000,000''.
1949--Subsec. (a). Act Aug. 25, 1949, Sec. 4, struck out second
sentence relating to restoration of impairment of capital stock.
Subsec. (b). Act Aug. 25, 1949, Sec. 6, authorized appropriations
for subscribing to corporation's capital stock in order to offset losses
suffered prior to time program was placed on an experimental basis in
1947.
Effective Date of 1994 Amendment
Amendment by Pub. L. 103-354 effective Oct. 13, 1994, and applicable
to provision of crop insurance under Federal Crop Insurance Act (7
U.S.C. 1501 et seq.) beginning with 1995 crop year, with such Act, as in
effect on the day before Oct. 13, 1994, to continue to apply with
respect to 1994 crop year, see section 120 of Pub. L. 103-354, set out
as a note under section 1502 of this title.
Effective Date of 1980 Amendment
Section 112 of Pub. L. 96-365 provided that: ``Except as otherwise
provided in this Act, the provisions of this Act amending the Federal
Crop Insurance Act [amending sections 1504, 1505 to 1507, 1508, and 1518
of this title and repealing section 1515 of this title] shall become
effective on the date of enactment of this Act [Sept. 26, 1980].''
Section 101(a) of Pub. L. 96-365 provided that the amendment made by
that section is effective Oct. 1, 1980.
Transfer of Functions
Administration of program of Federal Crop Insurance Corporation
transferred to Secretary of Agriculture by 1946 Reorg. Plan No. 3,
Sec. 501, eff. July 16, 1946, 11 F.R. 7877, 60 Stat. 1100. See note set
out under section 1503 of this title.
Wartime consolidation of Federal Crop Insurance Corporation into
Agricultural Conservation and Adjustment Administration, see note set
out under section 1503 of this title.
Cancellation of Outstanding Receipts for Stock in Excess of $27,000,000
Section 5 of act Aug. 25, 1949, provided that: ``The Secretary of
the Treasury is authorized and directed to cancel, without
consideration, outstanding receipts for payments for or on account of
the stock of the Corporation in excess of $27,000,000.''
Institution of Expanded Program; Payment of Cost for Fiscal Year 1950
Section 11 of act Aug. 25, 1949, provided that: ``The expanded
program authorized herein [sections 1504, 1505, 1506, 1507, and 1508 of
this title] shall be instituted beginning with the 1950 crop year, the
additional cost for fiscal year 1950 to be financed, pending the
appropriation of supplemental funds, from any appropriation available
for operating and administrative expenses of the Corporation for such
fiscal year.''
