Adjustments of loans

Source Credit

(a) Adjustment authority
The Secretary may make appropriate adjustments in the loan rates for any commodity for differences in grade, type, quality, location, and other factors.
(b) Manner of adjustment
The adjustments under the authority of this section shall, to the maximum extent practicable, be made in such manner that the average loan level for the commodity will, on the basis of the anticipated incidence of the factors, be equal to the level of support determined as provided in this chapter and title I of the Farm Security and Rural Investment Act of 2002 [7 U.S.C. 7901 et seq.].
(c) Adjustment on county basis
The Secretary may establish loan rates for a crop for producers in individual counties in a manner that results in the lowest such rate being 95 percent of the national average loan rate, except that such action shall not result in an increase in outlays. Adjustments under this subsection shall not result in an increase in the national average loan rate for any year.

History

(Pub. L. 104–127, title I, §162, Apr. 4, 1996, 110 Stat. 935; Pub. L. 107–171, title I, §1606, May 13, 2002, 116 Stat. 218.)

Editorial Notes

Editorial Notes

References in Text
For definition of "this chapter", referred to in subsec. (b), see note set out under section 7201 of this title.
The Farm Security and Rural Investment Act of 2002, referred to in subsec. (b), is Pub. L. 107–171, May 13, 2002, 116 Stat. 134. Title I of the Act is classified principally to chapter 106 (§7901 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note under section 7901 of this title and Tables.

Amendments
2002—Subsec. (b). Pub. L. 107–171 substituted "this chapter and title I of the Farm Security and Rural Investment Act of 2002" for "this chapter".