§1358b. Sale, lease, or transfer of farm poundage quota for peanuts

(a) In general

(1) Sale and lease authority

(A) Sale or lease within same State

Subject to subparagraph (B) and such terms and conditions as the Secretary may prescribe, the owner, or operator with the permission of the owner, of a farm in a State for which a farm poundage quota has been established may sell or lease all or any part of the poundage quota to any other owner or operator of a farm within the same State for transfer to the farm. However, any such lease of poundage quota may be entered into in the fall or after the normal planting season-

(i) if not less than 90 percent of the basic quota (the farm quota and temporary quota transfers), plus any poundage quota transferred to the farm under this subsection, has been planted or considered planted on the farm from which the quota is to be leased; and

(ii) under such terms and conditions as the Secretary may by regulation prescribe.

In the case of a fall transfer or a transfer after the normal planting season by a cash lessee, the landowner shall not be required to sign the transfer authorization. A fall transfer or a transfer after the normal planting season may be made not later than 72 hours after the peanuts that are the subject of the transfer are inspected and graded.

(B) Percentage limitations on spring transfers

Spring transfers under subparagraph (A) by sale or lease of a quota for farms in a county to any owner or operator of a farm outside the county within the same State shall not exceed the applicable percentage specified in this subparagraph of the quotas of all farms in the originating county (as of January 1, 1996) for the crop year in which the transfer is made, plus the total amount of quotas eligible for transfer from the originating county in the preceding crop year that were not transferred in that year or that were transferred through an expired lease. However, not more than an aggregate of 40 percent of the total poundage quota within a county (as of January 1, 1996) may be transferred outside of the county. Cumulative unexpired transfers outside of a county may not exceed for a crop year the following:

(i) For the 1996 crop, 15 percent.

(ii) For the 1997 crop, 25 percent.

(iii) For the 1998 crop, 30 percent.

(iv) For the 1999 crop, 35 percent.

(v) For the 2000 and subsequent crops, not more than an aggregate of 40 percent of the total poundage quota within the county as of January 1, 1996.

(C) Clarification regarding fall transfers

The limitation in subparagraph (B) does not apply to 1-year fall transfers, which in all cases may be made to any farm in the same State.

(D) Effect of transfer

Any farm poundage quota transferred under this paragraph shall not result in any reduction in the farm poundage quota for the transferring farm if the transferred quota is produced or considered produced on the receiving farm.

(2) Transfers to other self-owned farms

The owner or operator of a farm may transfer all or any part of the farm poundage quota to any other farm owned or controlled by the owner or operator that is in the same county or in a county contiguous to the county in the same State and that had a farm poundage quota for the preceding year's crop. Any farm poundage quota transferred under this paragraph shall not result in any reduction in the farm poundage quota for the transferring farm if the transferred quota is produced or considered produced on the receiving farm.

(3) Transfers in States with small quotas

Notwithstanding paragraphs (1) and (2), in the case of any State for which the poundage quota allocated to the State was less than 10,000 tons for the preceding year's crop, all or any part of a farm poundage quota may be transferred by sale or lease or otherwise from a farm in one county to a farm in another county in the same State.

(4) Transfers in counties with small quotas

Notwithstanding paragraphs (1) and (2), in the case of any county in a State for which the poundage quota allocated to the county was less than 100,000 pounds for the preceding year's crop, all or any part of a farm poundage quota may be transferred by sale or lease or otherwise from a farm in the county to a farm in another county in the same State.

(b) Conditions

Transfers (including transfer by sale or lease) of farm poundage quotas under this section shall be subject to all of the following conditions:

(1) Lienholders

No transfer of the farm poundage quota from a farm subject to a mortgage or other lien shall be permitted unless the transfer is agreed to by the lienholders.

(2) Tillable cropland

No transfer of the farm poundage quota shall be permitted if the county committee established under section 590h(b) of title 16 determines that the receiving farm does not have adequate tillable cropland to produce the farm poundage quota.

(3) Record

No transfer of the farm poundage quota shall be effective until a record thereof is filed with the county committee of the county to which the transfer is made and the committee determines that the transfer complies with this section.

(4) Other terms

Such other terms and conditions that the Secretary may by regulation prescribe.

(c) Crops

Notwithstanding any other provision of law, this section shall be effective only for the 1991 through 2002 crops of peanuts.

(Feb. 16, 1938, ch. 30, title III, §358b, as added Pub. L. 101–624, title VIII, §803, Nov. 28, 1990, 104 Stat. 3466 ; amended Pub. L. 102–237, title I, §122, Dec. 13, 1991, 105 Stat. 1844 ; Pub. L. 104–127, title I, §155(i)(1)(B), (4)(B), (6), Apr. 4, 1996, 110 Stat. 928 , 929.)

Amendments

1996-Pub. L. 104–127, §155(i)(1)(B)(i), struck out "1991 through 1995 crops of" before "peanuts" in section catchline.

Subsec. (a)(1). Pub. L. 104–127, §155(i)(6)(A), added par. (1) and struck out heading and text of former par. (1). Prior to amendment, text read as follows: "Subject to such terms, conditions, or limitations as the Secretary may prescribe, the owner, or operator with the permission of the owner, of any farm for which a farm poundage quota has been established under this chapter may sell or lease all or any part of the poundage quota (including any applicable under marketings) to any other owner or operator of a farm within the same county for transfer to the farm, except that any such lease of poundage quota (including any applicable under marketings) may be entered into in the fall or after the normal planting season-

"(A) if not less than 90 percent of the basic quota (the farm quota exclusive of undermarketings and temporary quota transfers), plus any poundage quota transferred to the farm under this subsection, has been planted or considered planted on the farm from which the quota is to be leased; and

"(B) under such terms and conditions as the Secretary may by regulation prescribe.

In the case of a fall transfer or a transfer after the normal planting season by a cash lessee, the landowner shall not be required to sign the transfer authorization. A fall transfer or a transfer after the normal planting season may be made not later than 72 hours after the peanuts that are the subject of the transfer are inspected and graded."

Subsec. (a)(2). Pub. L. 104–127, §155(i)(4)(B)(i), struck out "(including any applicable under marketings)" before "to any other farm owned".

Subsec. (a)(3). Pub. L. 104–127, §155(i)(4)(B)(ii), struck out "(including any applicable undermarketings)" after "farm poundage quota".

Subsec. (a)(4). Pub. L. 104–127, §155(i)(6)(B), added par. (4).

Subsec. (c). Pub. L. 104–127, §155(i)(1)(B)(ii), substituted "2002" for "1995".

1991-Subsec. (a)(1). Pub. L. 102–237, §122(1), inserted "(including any applicable under marketings)" after "poundage quota" in two places in introductory provisions.

Subsec. (a)(2). Pub. L. 102–237, §122(2), substituted "(including any applicable under marketings)" for "for the farm".

Subsec. (a)(3). Pub. L. 102–237, §122(3), inserted "(including any applicable undermarketings)" after "farm poundage quota".

Effective Date

Section effective beginning with 1991 crop of an agricultural commodity, with provision for prior crops, see section 1171 of Pub. L. 101–624, set out as an Effective Date of 1990 Amendment note under section 1421 of this title.

Section Referred to in Other Sections

This section is referred to in section 1358–1 of this title.