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2026-07-06 09:52:37 -04:00

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LegalText 7 U.S.C. § 9035 Loan deficiency payments us united_states_code code_section 7 AGRICULTURE 115 AGRICULTURAL COMMODITY POLICY AND PROGRAMS 9035 7 U.S.C. § 9035 current 119-100 2026-06-26 official https://uscode.house.gov/download/releasepoints/us/pl/119/100/xml_usc07@119-100.zip /us/usc/t7/s9035 data/legal/raw/us/code/title-07/usc07.xml d79b0f9bc9bd20191db15dc0661ea2f13df3c9d4be7adadb3d98c0646470c3b9 50edab1679a711653797362c0aeb8f2273303fe473fb7fa16df1ee76bdd6e984 d0e9cb82e97fd64c736c2c21367df8fff4889cdb5ba01295ccfdcdb4a6f47179 2026-07-04 official
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7 U.S.C. § 9035 - Loan deficiency payments

Text

(a) Availability of loan deficiency payments (1) In general Except as provided in subsection (d), the Secretary may make loan deficiency payments available to producers on a farm that, although eligible to obtain a marketing assistance loan under section 9031 of this title with respect to a loan commodity, agree to forgo obtaining the loan for the commodity in return for loan deficiency payments under this section.

(2) Unshorn pelts, hay, and silage (A) Marketing assistance loans Subject to subparagraph (B), nongraded wool in the form of unshorn pelts and hay and silage derived from a loan commodity are not eligible for a marketing assistance loan under section 9031 of this title.

(B) Loan deficiency payment Effective for each of the 2014 through 2031 crop years, the Secretary may make loan deficiency payments available under this section to producers on a farm that produce unshorn pelts or hay and silage derived from a loan commodity.

(b) Computation A loan deficiency payment for a loan commodity or commodity referred to in subsection (a)(2) shall be equal to the product obtained by multiplying—

(1) the payment rate determined under subsection (c) for the commodity; by

(2) the quantity of the commodity produced by the eligible producers, excluding any quantity for which the producers obtain a marketing assistance loan under section 9031 of this title.

(c) Payment rate (1) In general In the case of a loan commodity, the payment rate shall be the amount by which—

(A) the loan rate established under section 9032 of this title for the loan commodity; exceeds

(B) the rate at which a marketing assistance loan for the loan commodity may be repaid under section 9034 of this title.

(2) Unshorn pelts In the case of unshorn pelts, the payment rate shall be the amount by which—

(A) the loan rate established under section 9032 of this title for ungraded wool; exceeds

(B) the rate at which a marketing assistance loan for ungraded wool may be repaid under section 9034 of this title.

(3) Hay and silage In the case of hay or silage derived from a loan commodity, the payment rate shall be the amount by which—

(A) the loan rate established under section 9032 of this title for the loan commodity from which the hay or silage is derived; exceeds

(B) the rate at which a marketing assistance loan for the loan commodity may be repaid under section 9034 of this title.

(d) Exception for extra long staple cotton This section shall not apply with respect to extra long staple cotton.

(e) Effective date for payment rate determination The Secretary shall determine the amount of the loan deficiency payment to be made under this section to the producers on a farm with respect to a quantity of a loan commodity or commodity referred to in subsection (a)(2) using the payment rate in effect under subsection (c) as of the date the producers request the payment.

(Pub. L. 11379, title I, § 1205, Feb. 7, 2014, 128 Stat. 679; Pub. L. 115334, title I, § 1201(c)(1), Dec. 20, 2018, 132 Stat. 4509; Pub. L. 11921, title I, § 10309(d)(1), July 4, 2025, 139 Stat. 94.)

Notes

Editorial Notes

Codification Provisions of law applicable to a loan commodity for the 2023 crop year pursuant to title I of Pub. L. 11379 applicable to the 2024 crop year for that loan commodity, see section 102(c)(1) of Pub. L. 11822, set out in an Extension of Agricultural Programs note under section 9001 of this title.

Amendments2025—Subsec. (a)(2)(B). Pub. L. 11921 substituted “2031” for “2023”. 2018—Subsec. (a)(2)(B). Pub. L. 115334 substituted “2023” for “2018”.