Page:United States Statutes at Large Volume 104 Part 5.djvu/148

 104 STAT. 3470 PUBLIC LAW 101-624—NOV. 28, 1990 "(i) TYPES OF EXPORTED OR CRUSHED PEANUTS.—Handlers of shelled or milled peanuts may export or crush peanuts classified by type in all of the following quantities: "(I) SOUND SPUT KERNEL PEANUTS.—Sound split kernel peanuts purchased by the handler as additional peanuts to which, under price support loan schedules, a mandated deduction with respect to the price paid to the producer of the peanuts would be applied due to the percentage of the sound splits. "(11) SOUND MATURE KERNEL PEANUTS.— Sound mature kernel peanuts (which term includes sound split kernel peanuts and sound whole kernel peanuts) in an amount equal to the poundage of the peanuts purchased by the handler as additional peanuts, less the total poundage of sound split kernel peanuts described in subclause (I). "(Ill) REMAINDER. —The remaining quantity of total kernel content of peanuts purchased by the handler as additional peanuts, " (ii) DOCUMENTATION. —Handlers shall ensure that any additional peanuts exported or crushed are evidenced by onboard bills of lading or other appropriate documentation as may be required by the Secretary, or both. "(iii) Loss OF PEANUTS. —I f a handler suffers a loss of peanuts as a result of fire, flood, or any other condition beyond the control of the handler, the portion of the loss allocated to contracted additional peanuts shall not be greater than the portion of the handler's total peanut purchases for the year attributable to contracted additional peanuts purchased for export or crushing by the handler during the year. " (iv) SHRINKAGE ALLOWANCE. — "(I) IN GENERAL.— The obligation of a handler to export or crush peanuts in quantities described in this subparagraph shall be reduced by a shrinkage allowance, to be determined by the Secretary, to reflect actual dollar value shrinkage experienced by handlers in commercial operations, except that the allowance shall not be less than 4 percent, except as provided in subclause (II). "(II) COMMON INDUSTRY PRACTICES. — The Secretary may provide a lower shrinkage allowance for a handler who fails to comply with restrictions on the use of peanuts, as may be specified by the Commodity Credit Corporation, to take into account common industry practices. "(3) ADEQUATE FINANCES AND FACILITIES. —A handler shall submit to the Secretary adequate financial guarantees, as well as evidence of adequate facilities and assets, with the facilities under the control and operation of the handler, to ensure the handler's compliance with the obligation to export peanuts. Regulations. "(4) COMMINGLING OF UKE PEANUTS.— Quota and additional peanuts of like type and segregation or quality may, under regulations issued by the Secretary, be commingled and ex-

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