Page:United States Statutes at Large Volume 110 Part 1.djvu/930

 110 STAT. 906 PUBLIC LAW 104-127—APR. 4, 1996 corresponding crop by an amount not to exceed 5 percent in any year; or (C) less than 15 percent, the Secretary may not reduce the loan rate for wheat for the corresponding crop. (b) FEED GRAINS.— (1) LOAN RATE FOR CORN.— Subject to paragraph (2), the loan rate for a marketing assistance loan under section 131 for corn shall be— (A) not less than 85 percent of the simple average price received by producers of com, as determined by the Secretary, during the marketing years for the immediately preceding 5 crops of com, excluding the year in which the average price was the highest and the year in which the average price was the lowest in the period; but (B) not more than $1.89 per bushel. (2) STOCKS TO USE RATIO ADJUSTMENT. —I f the Secretary estimates for any marketing year that the ratio of ending stocks of corn to total use for the marketing year will be— (A) equal to or greater than 25 percent, the Secretary may reduce the loan rate for corn for the corresponding crop by an amount not to exceed 10 percent in any year; (B) less than 25 percent but not less than 12.5 percent, the Secretary may reduce the loan rate for corn for the corresponding crop by an amount not to exceed 5 percent in any year; or (C) less than 12.5 percent, the Secretary may not reduce the loan rate for corn for the corresponding crop. (3) OTHER FEED GRAINS.— The loan rate for a marketing assistance loan under section 131 for grain sorghum, barley, and oats, respectively, shall be established at such level as the Secretary determines is fair and reasonable in relation to the rate that loans are made available for corn, taking into consideration the feeding value of the commodity in relation to corn. (c) UPLAND COTTON. — (1) LOAN RATE.— Subject to paragraph (2), the loan rate for a marketing assistance loan under section 131 for upland cotton shall be established by the Secretary at such loan rate, per pound, as will reflect for the base quality of upland cotton, as determined by the Secretary, at average locations in the United States a rate that is not less than the smaller of— (A) 85 percent of the average price (weighted by market and month) of the base quality of cotton as quoted in the designated United States spot markets during 3 years of the 5-year period ending July 31 of the year preceding the year in which the crop is planted, excluding the year in which the average price was the highest and the year in which the average price was the lowest in the period; or (B) 90 percent of the average, for the 15-week period beginning July 1 of the year preceding the year in which the crop is planted, of the 5 lowest-priced growths of the growths quoted for Middling 1%2-inch cotton C.I.F. Northern Europe (adjusted downward by the average difference during the period April 15 through October 15 of the year preceding the year in which the crop is planted between the average Northern European price quotation of such

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