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shall be affiliated with the same political party, to be appointed by the President (after receiving the recommendations of the Secretary), with the advice and consent of the Senate; (2) four members representing the northeastern, southern, midwestern, and western regions of the United States, to be elected by the chairmen of the State agricultural councils from among the elected members of the State agricultural counciles; and (3) one member appointed by the Association of Land-Grant Colleges and Universities. Appointed members shall be subject to removal by the appointing power. No appointed member shall serve for more than four consecutive years. The elected members first elected after the enactment of this Act shall be elected, respectively, as designated by the chairmen of the State agricultural councils, to serve for four, three, two, and one year terms. Their successors shall serve for four year terms. No member shall be elected for a term which, with any previous periods of service by him as a member, would exceed six years during any seven-year period. Any vacancy in such Council shall not affect its powers, but shall be filled in the same manner in which the original appointment or election was made, but, in the case of election, only for the unexpired term. Such Council shall elect a chairman and a vice chairman from among its members. Members shall receive compensation for their services as members at the rate of $ per diem when engaged in the performance of duties vested in the National Agricultural Council, but not less than $- nor more than $

per annum, plus reimbursement for transportation expenses incurred by them in the performance of such duties. They shall not be reimbursed for personal expenses other than transportation expenses.

(b) The National Agricultural Council shall have power to appoint and fix the compensation of such personnel as it deems advisable, in accordance with the provisions of the civil-service laws and the Classification Act of 1923, as amended : Provided, That it may also procure, without regard to the civil-service laws and classification laws, temporary and intermittent services to the same extent as is authorized for the departments by section 15 of the Act of August 2, 1946 (Public Law 600, Seventy-ninth Congress; 60 Stat. 810), but at rates not to exceed $ per diem for individuals. It may also establish temporary committees, including representatives of producers, industry, government, and science, to assist and advise it; and may pay the expenses of such committees and the members thereof incurred in carrying out their duties. (c) The National Agricultural Council shall

(1) make such studies and investigations of agricultural matters and phases of the work of the Department of Agriculture as it deems appropriate;

(2) advise the Secretary and the Congress with respect to such agricultural matters as it may deem appropriate, or the Secretary or any committee of the Congress may request;

(3) determine from time to time, in the light of changing conditions of supply and demand, the adequacy, or necessity for adjustment, of the levels of price support provided for by section 302 of the Agricultural Adjustment Act of 1938; and

(4) annually, and at such other times as it may deem appropriate, report to the Secretary, the Committee on Agriculture and Forestry of the Senate, and the Committee on Agriculture of the House of Representatives its findings and recommendations concerning such agricultural matters as it deems appro

priate to bring to the attention of the Secretary and the Congress. (d) The National Agricultural Council, or any member thereof, may, for the purpose of carrying out the provisions of this section, hold such hearings and sit and act at such times and places, and take such testimony, as such Council or such member may deem advisable. Any member of such Council may administer oaths or affirmations to witnesses appearing before such Council or before such member. Such Council is authorized to secure directly from any executive department, bureau, agency, board, commission, office, independent establishment, or instrumentality, information, suggestions, estimates, and statistics for the purpose of this section; and each such department, bureau, agency, board, commission, office, establishment, or instrumentality is authorized and directed to furnish such information, suggestions, estimates, and statistics directly to such Council, upon request made by the chairman or vice chairman.

(e) There are hereby authorized to be appropriated to carry out the provisions of this section such sums as Congress may from time to time determine to be necessary.

MEMBERSHIP LIMITED TO ONE COUNCIL OR ASSOCIATION

SEC. 111. No person shall be a member of more than one council or association established pursuant to this Act. Election of any chairman of a county agricultural executive committee to be a member of a State agricultural council shall cause the offices he holds as a member of a county agricultural association and a member of a county agricultural executive committee to become vacant. Election of any member of a State agricultural council to be a member of the National Agricultural Council shall cause the office he holds as member of a State agricultural council to become vacant.

FARMERS' HOME ADMINISTRATION

SEC. 112. The Secretary shall, as rapidly as he deems expedient, (1) transfer the functions of the Farmers' Home Administration to be performed within each State to the State agricultural council for such State; (2) make available to such council to assist it in the performance of the functions so transferred such employees of the Department of Agriculture as the Secretary and such council may deem necessary; and (3) allocate to such State such portion of the appropriated funds available for administering the functions of the Farmers' Home Administration as he deems necessary for performance of the functions so transferred. In performing such transferred functions such council shall utilize the county committees, if any, appointed by the Secretary pursuant to section 42 of the Bankhead-Jones Farm Tenant Act and the county agricultural associations. The Secretary shall consider nominations by such council in appointing members of committees pursuant to such section 42, and upon its recommendation may (A) abolish such committee in any county, or (B) treating a group of two or more counties as a single county for the purposes of such section, appoint one such committee for the group in lieu of appointing a committee for each of such counties. Any funds allocated to any State as provided in this section and not required for the administration of the transferred functions shall, at the end of the fiscal year for which appropriated, be paid to the State agricultural council of such State to be disbursed by it for soil conservation and improvement purposes.

EXPERIMENTAL PROGRAMS Sec. 113. For the purpose of testing any program, or phase thereof, which the Secretary is authorized but not required to carry out, relating to the production, distribution, or utilization of agricultural commodities or to any other agricultural matter, the Secretary is authorized to select not more than ten counties distributed throughout the area to whihch such program or phase might be made applicable and make such program or phase applicable to such counties on an experimental basis.

TITLE II-AMENDMENTS TO SOIL CONSERVATION AND DOMESTIC

ALLOTMENT ACT

UTILIZATION OF LOCAL ORGANIZATIONS IN STATE PLANS

SEC. 201. Section 7 (d) of the Soil Conservation and Domestic Allotment Act is amended by inserting at the end thereof the following:

"No such plan submitted by a State of the United States shall be approved by the Secretary unless it has been approved by the State agricultural council created pursuant to section 108 of the Agricultural Act of 1948 and by its terms provides

“(A) that any sum to be allocated by the Secretary to carry out the plan shall be disbursed by the appropriate agency of the State only pursuant to direction by the State agricultural council, and

"(B) that (i) the State agricultural council, and (ii) the county agricultural associations and county agricultural executive committees created pursuant to sections 106 and 107 ofthe Agricultural Act of 1948, shall respectively, if authorized by the State, be administering and participating agencies as provided in clauses (1) and (2) of this subsection".

EXTENSION OF NATIONAL PAYMENT PROGRAMS

SEC. 202. Section 8 (a), as amended, of the Soil Conservation and Domestic Allotment Act is amended (a) by striking out “January 1, 1949” wherever appearing therein and inserting in lieu thereof “January 1, 1953", and (b) by striking out “December 31, 1948" and inserting in lieu thereof “December 31, 1952”.

UTILIZATION OF LOCAL ORGANIZATIONS IN NATIONAL PROGRAMS

SEC. 203. Section 8 (b) of the Soil Conservation and Domestic Allotment Act is amended to read as follows:

“(b) Subject to the limitations provided in subsection (a) of this section, the Secretary shall have power to carry out the purposes specified in clauses (1), (2), (3), (4), and (5) of section 7 (a) by making payments or grants of other aid to agricultural producers, including tenants and sharecroppers, in amounts determined by the Secretary to be fair and reasonable in connection with the effectuation of such purposes during the year with respect to which such payments or grants are made, and measured by (1) their treatment or use of their land, or a part thereof, for soil restoration, soil conservation, or the prevention of erosion; (2) changes in the use of their land; (3) their equitable share as determined by the Secretary, of the normal national production of any commodity or commodities required for domestic consumption; or (4) their equitable share, as determined by the Secretary, of the national production of any commodity or commodities required for domestic consumption and exports adjusted to reflect the extent to which their utilization of cropland on the farm conforms to farming practices which the Secretary determines will best effectuate the purposes specified in section 7 (a); or (5) any combination of the above. In arid or semiarid sections, (1) and (2) above shall be construed to cover water conservation and the beneficial use of water on individual farms, including measures to prevent run-off, the building of check dams and ponds, and providing facilities for applying water to the land. In determining the amount of any payment or grant measured iy (1) or (2) the Secretary shall take into consideration the productivity of the land affected by the farming practices adopted during the year with respect to which such payment is made. In carrying out the provisions of this section in the continental United States, the Secretary is directed to utilize the State agricultural councils and county agricultural associations and executive committees created pursuant to the Agricultural Act of 1948. In carrying out the provisions of this section, the Secretary shall, as far as practicable, protect the interests of tenants and sharecroppers; is authorized to utilize the agricultural extension service and other approved agencies; shall accord such recognition and encouragement to producer-owned and producer-controlled cooperative associations as will be in harmony with the policy toward cooperative associations set forth in existing Acts of Congress and as will tend to promote efficient methods of marketing and distribution; shall not have power to acquire any land or any right or interest therein; shall, in every practicable manner, protect the interests of small producers; and shall in every practical way encourage and provide for soilconserving and soil-rebuilding practices rather than the growing and soil- depleting crops. Rules and regulations governing payments or grants under this subsection shall be as simple and direct as possible, and, whereever practicable, they shall be classified on two bases: (a) Soil-depleting crops and practices, (b) soil-building crops and practices. Nothwithstanding any other provision of law in making available conservation materials consisting of seeds, seed inoculants, fertilizers, liming and other soil-conditioning materials, trees, or plants, or in making available soil-conserving or soil-building services, to agricultural producers under this subsection, the Secretary may make payments, in advance of determination of performance by the producers, to persons who fill purchase orders covering approved conservation materials or covering soilconserving or soil-building services, furnished to producers at not to exceed a fair price fixed in accordance with regulations to be prescribed by the Secretary, or who render services to the Secretary in delivering to producers approved conservation materials, for the carrying out, by the producers, of soil-building or soil-conserving practices approved by the Secretary.

“Appropriations are hereby authorized for the purchase in advance of the program year for which the appropriation is made of seeds, fertilizers, lime, trees, or any other farming materials or any soil-terracing services, and making grants thereof to agricultural producers to aid them in carrying out farming practices approved by the Secretary in programs under this Act, as amended; for the reimbursement of any Federal, State, or local government agency for fertilizers, seeds, lime, trees, or other farming materials, or any soil-terracing services, furnished by such agency; and for the payment of all expenses necessary in making such grants, including all or part of the costs incident to the delivery thereof."

Sec. 204. The Soil Conservation and Domestic Allotment Act is amended(a) By striking out the first word of section 8 (e) and inserting in lieu thereof “Subject to the provisions of section 18 of this Act, payments”;

(b) By striking out the proviso contained in section 8 (e); and (c) By adding at the end thereof the following new section :

"SEC. 18. Payments or grants of aid to farmers in any State, under a State plan or by the Secretary, for soil-building or soil-conserving practices shall be

“(a) made only for such practices as may be approved by the State agricultural council and the Secretary;

“(b) made, except with respect to farms designated as demonstration or experimental farms, only for practices which the State agricultural council and the Secretary determine have long-term conservation and improvement value; and

"(c) divided among the landlords, tenants, and sharecroppers of any farm, with respect to which such payments are made, on the basis of relative value of their contributions to, and benefits received from, such practices in such manner as may be provided by the State agricultural council with the ap

proval of the Secretary. "Beginning with the calendar year 1949, the total payments for any year to any person, under all State plans and otherwise under this Act, not including payments made with respect to demonstration or experimental farms, shall not exceed $- ; but programs under this Act may provide that, at the election of the owner of any farm, soil conservation or improvement practices taken with respect to such farm in any year which have long-term effect may form the basis for payments in such year and not to exceed the succeeding four years with respect to such farm."

SEC. 205. Section 11 of the Soil Conservation and Domestic Allotment Act is amended to read as follows:

"SEC. 11. All funds available for carrying out this Act shall be available for allotment to the bureaus and offices of the Department of Agriculture and for transfer to such other agencies of the Federal or State Governments as the Secretary may request to cooperate or assist in carrying out this Act, and for payments to State agricultural councils or county agricultural associations or executive committees to cover the estimated administrative expenses to be incurred by any such council, association, or committee in cooperating in carrying out this Act: Provided, That the Secretary may prescribe that all or part of such estimated expenses of any such council, association, or committee may be deducted pro rata from the payments or grants made to the members thereof: And provided further, That the Secretary may make such payments in advance of determination of performance.”

TITLE III_AMENDMENTS TO THE AGRICULTURAL ADJUSTMENT

ACT OF 1938

DEFINITIONS OF "PARITY PRICE", "CARRY OVER", "NORMAL SUPPLY”, AND

"TOTAL SUPPLY"

SEC. 301. Section 301 of the Agricultural Adjustment Act of 1938 is amended

(a) By striking out paragraphs (1) and (2) of subsection (a) and inserting in lieu thereof the following:

(1) (A) The ‘parity price for any agricultural commodity, as of any date, shall be

(i) that price for the commodity which will give to the commodity a purchasing power with respect to articles that farmers buy equivalent to the purchasing power of such commodity in the base period; and in the case of all commodities for which the base period is the period August 1909 to July 1914, which will also reflect current interest payments per acre on farm indebtedness secured by real estate, tax payments per acre on farm real estate, and freight rates, as contrasted with such interest payments, tax payments, and freight rates during the base period; or

(ii) the alternative parity price for the commodity determined as provided

in subparagraph (B) of this paragraph, whichever is higher. For the purpose of clause (i) of the preceding sentence the base period shall be the period August 1909 to July 1914 in the case of all agricultural commodities except tobacco, the period August 1919 to July 1929 in the case of all kinds of tobacco except Burley and flue-cured, and the period August 1934 to July 1939 in the case of Burley and flue-cured tobacco.

“(B) The 'alternative parity price for any agricultural commodity, as of any date, shall be determined by multiplying the adjusted base price of such commodity as of such date by the parity index as of such date.

"(C) The 'adjusted base price of any agricultural commodity, as of any date, shall be (i) the average of the prevailing prices received by farmers for such commodity, at such times as the Secretary may select, during the ten-year period ending on the 31st of December last before such date, or during the marketing seasons ending in such period if the Secretary determines use of a calendar year basis to be impracticable, divided by (ii) the ratio of the general level of prices received by farmers for agricultural commodities during such perod to the general level of prices received by farmers for agricultural commodities during the period January 1910 to December 1914, inclusive.

“(D) The ‘parity index', as of any date, shall be the ratio of (i) the general level of prices for articles and services that farmers buy, interest on farm indebtedness secured by farm real estate, and taxes on farm real estate, for the calendar month ending last before such date to (ii) the general level of such prices, rates, and taxes during the period January 1910 to December 1914, inclusive.

(E) The prices and indices provided for herein, and the data used in computing them, shall be determined by the Secretary, whose determination shall be final.

“(2) 'Parity', as applied to income, shall be that gross income from agriculture which will cover the necessary costs of production including the cost of maintaining the farm plant and equipment, and will provide the farm operator and his family with opportunities for living equivalent to those afforded persons dependent upon other gainful occupation. 'Parity' as applied to income from any agricultural commodity for any year, shall be that gross income which bears the same relationship to parity income from agriculture for such year as the average gross income from such commodity for the preceding ten calendar years bears to the average gross income from agriculture for such ten calendar years.”

(b) By amending paragraph (3) (A) of subsection (b) to read as follows: “(A) Carry-over', in the case of corn, rice, peanuts, oats, barley, and rye, for any marketing year shall be the quantity of the commodity on hand in the United States at the beginning of such marketing year, not including any quantity which was produced in the United States during the calendar year then current."

(c) By amending paragraph (3) (B) of subsection (b) to read as follows:

“(B ‘Carry-over' of cotton for any marketing year shall be the quantity of cotton on hand either within or without the United States at the beginning of such marketing year, which was produced in the United States prior to the beginning of the calendar year then current, plus the quantity on hand within the United States at the beginning of such marketing year which was produced outside the United States."

(d) By striking out of paragraph (3) (C) of subsection (b) "which was produced in the United States prior to the beginning of” and inserting in lieu thereof “not including any tobacco which was produced in the United States during”.

(e) By inserting after paragraph 3 (D) the following new paragraph :

“(E) 'Carry-over', in the case of wool for any marketing year shall be the quantity of wool on hand in the United States at the beginning of such marketing year, which was produced in the United States prior to the beginning of such marketing year.”

(f) By striking out the period at end of paragraph (7) and inserting in lieu thereof a semicolon and the following additional line: "wool, January 1, December 31."

(g) By striking out' paragraph (10) of subsection (b) and inserting in lieu thereof the following:

(10 ‘Normal supply' in the case of any commodity for any marketing year shall be the adjusted average total supply of such commodity for the ten market

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