Page:United States Statutes at Large Volume 116 Part 1.djvu/202

 116 STAT. 176 PUBLIC LAW 107-171—MAY 13, 2002 Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7286). (4) OPTIONS FOR 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 which 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 purposes of this section and promote fairness in the administration of the benefits of this section. (6) PAYMENT OF PEANUT STORAGE COSTS.— Effective for the 2002 through 2006 crops of peanuts, to ensure proper storage of peanuts for which a loan is made under this section, the Secretary shall use the funds of the Commodity Credit Corporation to pay storage, handling, and other associated costs. This authority terminates beginning with the 2007 crop of peanuts. (7) MARKETING. —^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. (b) LOAN RATE. —The loan rate for a marketing assistance loan under for peanuts subsection (a) shall be equal to $355 per ton. (c) TERM OF LOAN. — (1) IN GENERAL.—^A marketing assistance loan for peanuts under subsection (a) shall have a term of 9 months beginning on the first day of the first month after the month in which the loan is made. (2) EXTENSIONS PROHIBITED.—The Secretary may not extend the term of a marketing assistance loan for peanuts under subsection (a). (d) REPAYMENT RATE. — (1) IN GENERAL.— The Secretary shall permit producers on a farm to repay a marketing assistance loan for peanuts under subsection (a) at a rate that is the lesser of— (A) the loan rate established for peanuts under subsection (b), plus interest (determined in accordance with section 163 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7283)); or (B) a rate that the Secretary determines will— (i) minimize potential loan forfeitures; (ii) minimize the accumulation of stocks of peanuts by the Federal Government; (iii) minimize the cost incurred by the Federal • Government in storing peanuts; and (iv) allow peanuts produced in the United States to be^ marketed freely and competitively, both domestically and internationaly.

�