Page:United States Statutes at Large Volume 110 Part 1.djvu/1127

 PUBLIC LAW 104-127 —APR. 4, 1996 110 STAT. 1103 (2) by striking subsection (h). (b) TECHNICAL AMENDMENT. —Section 1320 of the Food Security Act of 1985 (Public Law 99-198; 7 U.S.C. 1999 note) is amended by striking "Effective only" and all that follows through "1995, the" and inserting "The". SEC. 644. HOMESTEAD PROPERTY. Section 352(c) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2000(c)) is amended— (1) in paragraph (1)(A), by striking "90" each place it appears and inserting "30"; and (2) in paragraph (6)— (A) in the first sentence, by striking "Within 30" and all that follows through "title," and insert "Not later than the date of acquisition of the property securing a loan made under this title (or, in the case of real property in inventory on the date of enactment of the Federal Agriculture Improvement and Reform Act of 1996, not later than 5 days after the date of enactment of the Act),"; and (B) by striking the second sentence. SEC. 645. RESTRUCTURING. Section 353 of the Consolidated Farm and Rural Development Act (7 U.S.C. 2001) is amended— (1) in subsection (c)— (A) in paragraph (3), by striking subparagraph (C) and inserting the following: "(C) CASH FLOW MARGIN.— For the purpose of assessing under subparagraph (A) the ability of a borrower to meet debt obligations and continue farming operations, the Secretary shall assume that the borrower needs up to 110 percent of the amount indicated for payment of farm operating expenses, debt service obligations, and family living expenses."; and (B) by striking paragraph (6) and inserting the following: " (6) TERMINATION OF LOAN OBLIGATIONS. —The obligations of a borrower to the Secretary under a loan shall terminate if— "(A) the borrower satisfies the requirements of paragraphs (1) and (2) of subsection (b); "(B) the value of the restructured loan is less than the recovery value; and "(C) not later than 90 days after receipt of the notification described in paragraph (4)(B), the borrower pays (or obtains third-party financing to pay) the Secretary an amount equal to the current market value."; (2) by striking subsection (k); and (3) by redesignating subsections (1) through (p) as subsections (k) through (o), respectively. SEC. 646. TRANSFER OF INVENTORY LAND FOR CONSERVATION PUR- POSES. Section 354 of the Consolidated Farm and Rural Development Act (7 U.S.C. 2002) is amended— (1) in the matter preceding paragraph (1), by striking "The Secretary, without reimbursement," and inserting the following:

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