12 2 STA T . 1 703PUBLIC LA W 110 – 2 46—J U NE 1 8, 2008 (B)directpaym e n t s and c ou nter - cyc l ical payments s h all b e reduced by an acre f or each acre planted to such a g ricultural commodity .SEC.1307 . MARK E TING ASSISTANCE LO ANS AN D LOAN DE F ICIENC YP AYMENTS FOR PEAN U TS. (a) NONREC O U R S E L O A NS AV A IL A B LE. — ( 1 ) AVAILABILI TY .— F or each of the 20 0 8 through 2012 crops of peanuts , the S ecretary shall ma k ea v ailable to producers on a farm nonrecourse marketing assistance loans for peanuts produced on the farm. (2) T ER M SAN D CONDITIONS.—The loans shall be made under terms and conditions that are prescribed by the Secretary and at the loan rate established under subsection (b). ( 3 ) E LI G IBLE P RODUCTION.—The producers on a farm shall be eligible for a marketing assistance loan under this subsection for any q uantity of peanuts produced on the farm. ( 4 ) O PTIONS F OR OBTAINING LOAN.—A marketing assistance loan under this subsection, and loan deficiency payments under subsection (e), may be obtained at the option of the producers on a farm through— (A) a designated marketing association or marketing cooperative of producers that is approved by the Secretary
or (B) the Farm Service Agency. ( 5 ) STORAGE OF LOAN PEANUTS.—As a condition on the Secretary ’ s approval of an individual or entity to provide storage for peanuts for w hich a marketing assistance loan is made under this section, the individual or entity shall agree— (A) to provide such storage on a nondiscriminatory basis; and (B) to comply with such additional requirements as the Secretary considers appropriate to accomplish the pur- poses of this section and promote fairness in the adminis- tration of the benefits of this section. ( 6 ) STORAGE, H ANDLING, AND ASSOCIATED COSTS.— (A) I N GENERAL.—Beginning with the 2008 crop of peanuts, to ensure proper storage of peanuts for which a loan is made under this section, the Secretary shall pay handling and other associated costs (other than storage costs) incurred at the time at which the peanuts are placed under loan, as determined by the Secretary. (B) R EDEMPTION AND FORFEITURE.—The Secretary shall— (i) require the repayment of handling and other associated costs paid under subparagraph (A) for all peanuts pledged as collateral for a loan that is redeemed under this section; and (ii) pay storage, handling, and other associated costs for all peanuts pledged as collateral that are forfeited under this section. ( 7 ) M AR K ETING.—A marketing association or cooperative may market peanuts for which a loan is made under this section in any manner that conforms to consumer needs, including the separation of peanuts by type and quality. 7USC8 7 5 7 .
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