Page:United States Statutes at Large Volume 99 Part 1.djvu/1112

 99 STAT. 1090 Ante, p. 1072. Agriculture and agricultural

commodities.

PUBLIC LAW 99-177—DEC. 12, 1985

Spending increases under section 252(a)(l)(A), and no such increase may, pursuant to such section, be reduced below zero. (j) COMMODITY CREDIT CORPORATION.— (1) PoWERS AND AUTHORITIES OF THE COMMODITY CREDIT COR-

PORATION.—This title shall not restrict the Commodity Credit Corporation in the discharge of its authority and responsibility as a corporation to buy and sell commodities in world trade, to use the proceeds as a revolving fund to meet other obligations and otherwise operate as a corporation, the purpose for which it was created. (2) REDUCTION IN PAYMENTS MADE UNDER CONTRACTS.—(A)

Ante, p. 1072.

Payments and loan eligibility under any contract entered into with a person by the Commodity Credit Corporation prior to the time an order has been issued under section 252 shall not be reduced by an order subsequently issued. Subject to subparagraph (B), after an order is issued under such section for a fiscal year, any cash payments made by the Commodity Credit Corporation— (i) under the terms of any one-year contract entered into in such fiscal year and after the issuance of the order; and (ii) out of an entitlement account, to any person (including any producer, lender, or guarantee entity) shall be subject to reduction under the order. (B) Each contract entered into with producers or producer cooperatives with respect to a particular crop of a commodity and subject to reduction under subparagraph (A) shall be reduced in accordance with the same terms and conditions. If some, but not all, contracts applicable to a crop of a commodity have been entered into prior to the issuance of an order under section 252, the order shall provide that the necessary reduction in payments under contracts applicable to the commodity be uniformly applied to all contracts for the next succeeding crop of the commodity, under the authority provided in paragraph (3). (3) DELAYED REDUCTION IN OUTLAYS PERMISSIBLE.—Notwith-

standing any other provision of this joint resolution, if an order under section 252 is issued with respect to a fiscal year, any reduction under the order applicable to contracts described in paragraph (1) may provide for reductions in outlays for the account involved to occur in the fiscal year following the fiscal year to which the order applies. No other account, or other program, project, or activity, shall bear an increased reduction for the fiscal year to which the order applies as a result of the operation of the preceding sentence. (4) UNIFORM PERCENTAGE RATE OF REDUCTION AND OTHER

LIMITATIONS.—All reductions described in paragraph (2) which are required to be made in connection with an order issued under section 252 with respect to a fiscal year— (A) shall be made so as to ensure that outlays for each program, project, activity, or account involved are reduced by a percentage rate that is uniform for all such programs, projects, activities, and accounts, and may not be made so as to achieve a percentage rate of reduction in any such item exceeding the rate specified in the order; and (B) with respect to commodity price support and income protection programs, shall be made in such manner and under such procedures as will attempt to ensure that—

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