Sec. 1102. CROP LOSS ASSISTANCE
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## SEC. 1102 CROP LOSS ASSISTANCE **[**[7 U.S.C. 1421 note](/us/usc/t7/s1421)**]** ###
(a)In General The Secretary shall administer a program under which emergency financial assistance is made available to producers on a farm who have incurred losses associated with crops due to disasters (as determined by the Secretary). ###
(b)Losses Incurred for 1998 Crop Subject to section 1132, the Secretary shall use not more than $1,500,000,000 to make available assistance to producers on a farm who have incurred losses in the 1998 crop due to disasters. ###
(c)Multiyear Losses Subject to section 1132, the Secretary shall use not more than $875,000,000 to make available assistance to producers on a farm who have incurred multiyear losses (as defined by the Secretary) in the 1998 and preceding crops of a commodity due to disasters (including, but not limited to, diseases such as scab). ###
(d)Relationship Between Assistance The Secretary shall make assistance available to producers on a farm under either subsection
(b)or (c). ###
(e)Qualifying Losses Assistance under this section may be made for losses associated with crops that are due to, as determined by the Secretary— ####
(1)quantity losses; ####
(2)quality (including, but not limited to, aflatoxin) losses; or ####
(3)severe economic losses due to damaging weather or related condition. ###
(f)Crops Covered Assistance under this section shall be applicable to losses for all crops (including losses of trees from which a crop is harvested), as determined by the Secretary, due to disasters. ###
(g)Crop Insurance ####
(1)Administration In carrying out this section, the Secretary shall not discriminate against or penalize producers on a farm who have purchased crop insurance under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.). ####
(2)Encouraging future crop insurance participation Subject to section 1132, the Secretary, acting through the Federal Crop Insurance Corporation, may use the funds made available under subsections
(b)and (c), and only those funds, to provide premium refunds or other assistance to purchasers of crop insurance for their 1998 insured crops, or their preceding (including 1998) insured crops. ####
(3)Producers who have not purchased crop insurance for 1998 crop As a condition of receiving assistance under this section, producers on a farm who have not purchased crop insurance for the 1998 crop under that Act shall agree by contract to purchase crop insurance for the 1999 and 2000 crops produced by the producers. ####
(4)Liquidated damages #####
(A)In general The contract under paragraph
(3)shall provide for liquidated damages to be paid by the producers due to the failure of the producers to purchase crop insurance as provided in paragraph (3). #####
(B)Notice of damages The amount of the liquidated damages shall be established by the Secretary and specified in the contract agreed to by the producers. ####
(5)Funding for crop insurance purchase requirement Subject to section 1132, such sums as may be necessary, to remain available until expended, shall be available to the Federal Crop Insurance Corporation to cover costs incurred by the Corporation as a result of the crop insurance purchase requirement of paragraph (3). Funds made available under subsections
(b)and
(c)may not be used to cover such costs.
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