Agriculture Marketing Act of 1946

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Regulations Governing the Voluntary Grading of Shell Eggs

Agriculture Marketing Act of 1946

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7. AGRICULTURAL MARKETING ACT OF 1946

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7. AGRICULTURAL MARKETING ACT OF 1946
[As Amended Through P.L. 111–239, Effective Sept. 27, 2010]
Title II of the Act of August 14, 1946

TITLE II
This title may be cited as the ‘‘Agricultural Marketing Act of
1946’’. ø7 U.S.C. 1621 note¿

Subtitle A—General Provisions
SEC. 202. ø7 U.S.C. 1621¿ The Congress hereby declares that
a sound, efficient, and privately operated system for distributing
and marketing agricultural products is essential to a prosperous agriculture and is indispensable to the maintenance of full employment and to the welfare, prosperity, and health of the Nation. It is
further declared to be the policy of Congress to promote through research, study, experimentation, and through cooperation among
Federal and State agencies, farm organizations, and private industry a scientific approach to the problems of marketing, transportation, and distribution of agricultural products similar to the scientific methods which have been utilized so successfully during the
past eighty-four years in connection with the production of agricultural products so that such products capable of being produced in
abundance may be marketed in an orderly manner and efficiently
distributed. In order to attain these objectives, it is the intent of
Congress to provide for (1) continuous research to improve the marketing, handling, storage, processing, transportation, and distribution of agricultural products; (2) cooperation among Federal and
State agencies, producers, industry organizations, and others in the
development and effectuation of research and marketing programs
to improve the distribution processes; (3) an integrated administration of all laws enacted by Congress to aid the distribution of agricultural products through research, market aids and services, and
regulatory activities, to the end that marketing methods and facilities may be improved, that distribution costs may be reduced and
the price spread between the producer and consumer may be narrowed, that dietary and nutritional standards may be improved,
that new and wider markets for American agricultural products
may be developed, both in the United States and in other countries,
with a view to making it possible for the full production of American farms to be disposed of usefully, economically, profitably, and
in an orderly manner. In effectuating the purposes of this title,
maximum use shall by made of existing research facilities owned or
controlled by the Federal Government or by State agricultural experiment stations and of the facilities of the Federal and State extension services. To the maximum extent practicable marketing research work done hereunder in cooperation with the States shall be
done in cooperation with the State agricultural experiment stations;
marketing educational and demonstrational work done hereunder
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in cooperation with the States shall be done in cooperation with the
State agricultural extension service; market information, inspection,
regulatory work and other marketing service done hereunder in cooperation with the State agencies shall be done in cooperation with
the State departments of agriculture, and State bureaus and departments of markets.
SEC. 203. ø7 U.S.C. 1622¿ The Secretary of Agriculture is directed and authorized:
(a) To conduct, assist, and foster research, investigation, and
experimentation to determine the best methods of processing, preparation for market, packaging, handling, transporting, storing, distributing, and marketing agricultural products: Provided, That the
results of such research shall be made available to the public for
the purpose of expanding the use of American agricultural products
in such manner as the Secretary of Agriculture may determine.
(b) To determine costs of marketing agricultural products in
their various forms and through the various channels and to foster
and assist in the development and establishment of more efficient
marketing methods (including analyses of methods and proposed
methods), practices, and facilities, for the purpose of bringing about
more efficient and orderly marketing, and reducing the price spread
between the producer and the consumer.
(c) To develop and improve standards of quality, condition,
quantity, grade, and packaging, and recommend and demonstrate
such standards in order to encourage uniformity and consistency in
commercial practices. Within thirty days after the enactment of the
Food and Agriculture Act of 1977, the Secretary shall be regulation
adopt a standard of quality for ice cream which shall provide that
ice cream shall contain at least 1.6 pounds of total solids to the gallon, weigh not less than 4.5 pounds to the gallon and contain not
less than 20 percent total milk solids, constituted of not less than
10 percent milkfat. In no case shall the content of milk solids not
fat be less than 6 percent. Whey shall not, by weight, be more than
25 percent of the milk solids not fat. Only those products which
meet the standard issued by the Secretary may bear a symbol
thereon indicating that they meet the Department of Agriculture
standard for ‘‘ice cream’’.
(d) To conduct, assist, foster, and direct studies and informational programs designed to eliminate artificial barriers to the free
movement of agricultural products.
(e) DEVELOPMENT OF NEW MARKETS.—
(1) IN GENERAL.—To foster and assist in the development
of new or expanded markets (domestic and foreign) and new
and expanded uses and in the moving of larger quantities of agricultural products through the private marketing system to
consumers in the United States and abroad.
(2) FEES AND PENALTIES.—
(A) IN GENERAL.—In carrying out paragraph (1), the
Secretary may assess and collect reasonable fees and late
payment penalties to mediate and arbitrate disputes arising between parties in connection with transactions involving agricultural products moving in foreign commerce
under the jurisdiction of a multinational entity.
(B) DEPOSIT.—Fees and penalties collected under subparagraph (A) shall be deposited into the account that inSeptember 27, 2010

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curred the cost of providing the mediation or arbitration
service.
(C) AVAILABILITY.—Fees and penalties collected under
subparagraph (A) shall be available to the Secretary without further Act of appropriation and shall remain available
until expended to pay the expenses of the Secretary for
providing mediation and arbitration services under this
paragraph.
(D) NO REQUIREMENT FOR USE OF SERVICES.—No person shall be required by the Secretary to use the mediation
and arbitration services provided under this paragraph.
(f) 1 To conduct and cooperate in consumer education for the
more effective utilization and greater consumption of agricultural
products: Provided, That no money appropriated under the authority of this Act shall be used to pay for newspaper or periodical advertising space or radio time in carrying out the purposes of this
section and section 203(e).
(g) To collect and disseminate marketing information, including
adequate outlook information on a market-area basis, for the purpose of anticipating and meeting consumer requirements, aiding in
the maintenance of farm income, and bringing about a balance between production and utilization of agricultural products.
(h) 1
(1) To inspect, certify, and identify the class, quality, quantity, and condition of agricultural products when shipped or received in interstate commerce, under such rules and regulations as the Secretary of Agriculture may prescribe, including
assessment and collection of such fees as will be reasonable and
as nearly as may be to cover the cost of the service rendered,
to the end that agricultural products may be marketed to the
best advantage, that trading may be facilitated, and that consumers may be able to obtain the quality product which they
desire, except that no person shall be required to use the service authorized by this subsection.
(2)(A) Any fees collected under this subsection, late payment
penalties, the proceeds from the sales of samples, and interest
earned from the investment of such funds shall be credited to
the trust fund account that incurs the cost of the services provided under this subsection and shall remain available without
fiscal year limitation to pay the expenses of the Secretary incident to providing such services.
1 Section 729 of the Agriculture, Rural Development, Food and Drug Administration,
and Related Agencies Appropriations Act, 2001 (as enacted by section 1(a) of Public Law
106–387; 114 Stat. 1549A–33; 7 U.S.C. 1622 note), provides as follows:
SEC. 729. Hereafter, none of the funds appropriated by this Act or any other Act may
be used to:
1 Section 734 of the Agriculture, Rural Development, Food and Drug Administration,
and Related Agencies Appropriations Act, 2000 (Public Law 106–78; 113 Stat. 1165; 7
U.S.C. 1622 note), provides as follows: ‘‘None of the funds made available by this Act or
any other Act for any fiscal year may be used to carry out section 302(h) of the Agricultural Marketing Act of 1946 (7 U.S.C. 1622(h)) unless the Secretary of Agriculture inspects
and certifies agricultural processing equipment, and imposes a fee for the inspection and
certification, in a manner that is similar to the inspection and certification of agricultural
products under that section, as determined by the Secretary: Provided, That this provision
shall not affect the authority of the Secretary to carry out the Federal Meat Inspection
Act (21 U.S.C. 601 et seq.), the Poultry Products Inspection Act (21 U.S.C. 451 et seq.),
or the Egg Products Inspection Act (21 U.S.C. 1031 et seq.).’’. The reference in the quoted
matter to ‘‘section 302(h)’’ of the Agricultural Marketing Act of 1946 (7 U.S.C. 1622(h))
probably should be ‘‘section 203(h)’’.

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(2)(B) Such funds may be invested by the Secretary in insured or fully collateralized, interest-bearing accounts or, at the
discretion of the Secretary, by the Secretary of the Treasury in
United States Government debt instruments.
(3) Any official certificate issued under the authority of this
subsection shall be received by all officers and all courts of the
United States as prima facie evidence of the truth of the statements therein contained.
(4) Whoever knowingly shall falsely make, issue, alter, forge,
or counterfeit any official certificate, memorandum, mark, or
other identification, or device for making such mark or identification, with respect to inspection, class, grade, quality, size,
quantity, or condition, issued or authorized under this section
or knowingly cause or procure, or aid, assist in, or be a party
to, such false making, issuing, altering, forging, or counterfeiting, or whoever knowingly shall possess, without promptly
notifying the Secretary of Agriculture or his representative,
utter, publish, or use as true, or cause to be uttered, published,
or used as true, any such falsely made, altered, forged, or counterfeited official certificate, memorandum, mark, identification,
or device, or whoever knowingly represents that an agricultural
product has been officially inspected or graded (by an authorized inspector or grader) under the authority of this section
when such commodity has in fact not been so graded or inspected shall be fined not more than $1,000 or imprisoned not
more than one year, or both.
(5) Shell eggs packed under the voluntary grading program
of the Department of Agriculture shall not have been shipped
for sale previous to being packed under the program, as determined under a regulation promulgated by the Secretary.
(6) IDENTIFICATION OF HONEY 2.—
(A) IN GENERAL.—The use of a label or advertising material on, or in conjunction with, packaged honey that
bears any official certificate of quality, grade mark or statement, continuous inspection mark or statement, sampling
mark or statement, or any combination of the certificates,
marks, or statements of the Department of Agriculture is
hereby prohibited under this Act unless there appears legibly and permanently in close proximity (such as on the
same side(s) or surface(s)) to the certificate, mark, or statement, and in at least a comparable size, the 1 or more
names of the 1 or more countries of origin of the lot or container of honey, preceded by the words ‘‘Product of’’ or
other words of similar meaning.
(B) VIOLATION.—A violation of the requirements of subparagraph (A) may be deemed by the Secretary to be sufficient cause for debarment from the benefits of this Act only
with respect to honey.
(i) To determine the needs and develop or assist in the development of plans for efficient facilities and methods of operating such
facilities for the proper assembly, processing, transportation, storage, distribution, and handling of agricultural products.
2 Section 10402(b) of the Food, Conservation, and Energy Act of 2008 (122 Stat. 2111;
Public Law 110-246) provides ‘‘The amendments made by subsection (a) take effect on the
date that is 1 year after the date of enactment of this Act.’’.

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(j) To assist in improving transportation services and facilities
and in obtaining equitable and reasonable transportation rates and
services and adequate transportation facilities for agricultural products and farm supplies by making complaint or petition to the
Interstate Commerce Commission, the Maritime Commission,,1 or
other Federal or State transportation regulatory body, or the Secretary of Transportation, with respect to rates, charges, tariffs,
practices, and services, or by working directly with individual carriers or groups of carriers.
(k) To collect, tabulate, and disseminate statistics on marketing
agricultural products, including, but not restricted to statistics on
market supplies, storage stocks, quantity, quality, and condition of
such products in various positions in the marketing channel, utilization of such products, and shipments and unloads thereof.
(l) To develop and promulgate, for the use and at the request
of any Federal agency or State, procurement standards and specifications for agricultural products, and submit such standards and
specifications to such agency or State for use or adoption for procurement purposes.
(m) To conduct, assist, encourage, and promote research, investigation, and experimentation to determine the most efficient and
practical means, methods, and processes for the handling, storing,
preserving, protecting, processing, and distributing of agricultural
commodities to the end that such commodities may be marketed in
an orderly manner and to the best interest of the producers thereof.
(n) GRADING PROGRAM.—To establish within the Department of
Agriculture a voluntary fee based grading program for—
(1) catfish (as defined by the Secretary under paragraph (2)
of section 1(w) of the Federal Meat Inspection Act (21 U.S.C.
601(w))); and
(2) any additional species of farm-raised fish or farm-raised
shellfish—
(A) for which the Secretary receives a petition requesting such voluntary fee based grading; and
(B) that the Secretary considers appropriate.
(o) To conduct such other research and services and to perform
such other activities as will facilitate the marketing, distribution,
processing, and utilization of agricultural products through commercial channels.
SEC. 204. ø7 U.S.C. 1623¿ (a) In order to conduct research and
service work in connection with the preparation for market, processing, packaging, handling, storing, transporting, distributing, and
marketing of agricultural products as authorized by this title, there
is hereby authorized to be appropriated the following sums:
(1) $2,500,000 for the fiscal year ending June 30, 1947, and
each subsequent fiscal year.
(2) An additional $2,500,000 for the fiscal year ending June
30, 1948, and each subsequent fiscal year.
(3) An additional $5,000,000 for the fiscal year ending June
30, 1949, and each subsequent fiscal year.
(4) An additional $5,000,000 for the fiscal year ending June
30, 1950, and each subsequent fiscal year.
(5) An additional $5,000,000 for the fiscal year ending June
30, 1951, and each subsequent fiscal year.
1 So

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(6) In addition to the foregoing, such additional funds beginning with the fiscal year ending June 30, 1952, and thereafter, as the Congress may deem necessary.
Such sums appropriated in pursuance of this title shall be in addition to, and not in substitution for, sums appropriated or otherwise
made available to the Department of Agriculture.
(b) The Secretary of Agriculture is authorized to make available
from such funds such sums as he may deem appropriate for allotment to State departments of agriculture, State bureaus and departments of markets, State agricultural experiment stations, and
other appropriate State agencies for cooperative projects in marketing service and in marketing research to effectuate the purposes
of title II of this Act: Provided, That no such allotment and no payment under any such allotment shall be made for any fiscal year
to any State agency in excess of the amount which such State agency makes available out of its own funds for such research. The
funds which State agencies are required to make available in order
to qualify for such an allotment shall be in addition to any funds
now available to such agencies for marketing services and for marketing research. The allotments authorized under this section shall
be made to the agency or agencies best equipped and qualified to
conduct the specific project to be undertaken. Such allotments shall
be covered by cooperative agreements between the Secretary of Agriculture and the cooperating agency and shall include appropriate
provisions for preventing duplication or overlapping of work within
the State or States cooperating. Should duplication or overlapping
occur subsequent to approval of a cooperative project or allotment
of funds, the Secretary of Agriculture is authorized and directed to
withhold unexpended balances on such projects notwithstanding the
prior approval thereof.
SEC. 205. ø7 U.S.C. 1624¿ (a) In carrying out the provisions of
title II of this Act, the Secretary of Agriculture may cooperate with
other branches of the Government, State agencies, private research
organizations, purchasing and consuming organizations, boards of
trade, chambers of commerce, other associations of business or
trade organizations, transportation and storage agencies and organizations, or other persons or corporations engaged in the production, transportation, storing, processing, marketing, and distribution of agricultural products whether operating in one or more jurisdictions. The Secretary of Agriculture shall have authority to
enter into contracts and agreements under the terms of regulations
promulgated by him with States and agencies of States, private
firms, institutions, and individuals for the purpose of conducting research and service work, making and compiling reports and surveys, and carrying out other functions relating thereto when in his
judgment the services or functions to be performed will be carried
out more effectively, more rapidly, or at less cost than if performed
by the Department of Agriculture. Contracts hereunder may be
made for work to be performed within a period not more than four
years from the date of any such contract, and advance, progress, or
other payments may be made. The provisions of section 3648 (31
U.S.C., sec. 529) and section 3709 (41 U.S.C., sec. 5) of the Revised
Statutes shall not be applicable to contracts or agreements made
under the authority of this section. Any unexpended balances of appropriations obligated by contracts as authorized by this section
may, notwithstanding the provisions of section 5 of the Act of June
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20, 1874, as amended (31 U.S.C., sec. 713), remain upon the books
of the Treasury for not more than five fiscal years before being carried to the surplus fund and covered into the Treasury. Any contract made pursuant to this section shall contain requirements
making the result of such research and investigations available to
the public by such means as the Secretary of Agriculture shall determine.
(b) The Secretary of Agriculture shall promulgate such orders,
rules, and regulations as he deems necessary to carry out the provisions of this title.
SEC. 206. ø7 U.S.C. 1625¿ In order to facilitate administration
and to increase the effectiveness of the marketing research, service,
and regulatory work of the Department of Agriculture to the fullest
extent practicable, the Secretary of Agriculture is authorized, notwithstanding any other provisions of law, to transfer, group, coordinate, and consolidate the functions, powers, duties, and authorities
of each and every agency, division, bureau, service, section, or other
administrative unit in the Department of Agriculture primarily concerned with research, service, or regulatory activities in connection
with the marketing, transportation, storage, processing, distribution
of, or service or regulatory activities in connection with, the utilization of, agricultural products, into a single administrative agency.
In making such changes as may be necessary to carry out effectively the purposes of this title, the records, property, personnel,
and funds of such agencies, divisions, bureaus, services, sections, or
other administrative units in the Department of Agriculture affected thereby are authorized to be transferred to and used by such
administrative agency to which the transfer may be made, but such
unexpended balances of appropriations so transferred shall be used
only for the purposes for which such appropriations were made.
SEC. 207. ø7 U.S.C. 1626¿ When used in this title, the term
‘‘agricultural products’’ includes agricultural, horticultural,
viticultural, and dairy products, livestock and poultry, bees, forest
products, fish and shellfish, and any products thereof, including
processed and manufactured products, and any and all products
raised or produced on farms and any processed or manufactured
product thereof.
SEC. 208. ø7 U.S.C. 1627¿ The Secretary of Agriculture shall
have the power to appoint, remove, and fix, in accordance with existing law, the compensation of such officers and employees, and to
make such expenditures as he deems necessary, including expenditures for rent outside the District of Columbia, travel, supplies,
books, equipment, and such other expenditures as may be necessary
to the administration of this title: Provided, That the Secretary of
Agriculture may appoint and fix the compensation of any technically qualified person, firm, or organization by contract or otherwise on a temporary basis and for a term not to exceed six months
in any fiscal year to perform research, inspection, classification,
technical, or other special services, without regard to the civil-service laws or the Classification Act of 1923, as amended.

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Subtitle B—Livestock Mandatory
Reporting 1
CHAPTER 1—PURPOSE; DEFINITIONS
SEC. 211. ø7 U.S.C. 1635¿ PURPOSE.

The purpose of this subtitle is to establish a program of information regarding the marketing of cattle, swine, lambs, and products of such livestock that—
(1) provides information that can be readily understood by
producers, packers, and other market participants, including
information with respect to the pricing, contracting for purchase, and supply and demand conditions for livestock, livestock production, and livestock products;
(2) improves the price and supply reporting services of the
Department of Agriculture; and
(3) encourages competition in the marketplace for livestock
and livestock products.
SEC. 212. ø7 U.S.C. 1635a¿ DEFINITIONS.

In this subtitle:
(1) BASE PRICE.—The term ‘‘base price’’ means the price
paid for livestock, delivered at the packing plant, before application of any premiums or discounts, expressed in dollars per
hundred pounds of carcass weight.
(2) BASIS LEVEL.—The term ‘‘basis level’’ means the agreedon adjustment to a future price to establish the final price paid
for livestock.
(3) CURRENT SLAUGHTER WEEK.—The term ‘‘current slaughter week’’ means the period beginning Monday, and ending
Sunday, of the week in which a reporting day occurs.
(4) F.O.B.—The term ‘‘F.O.B.’’ means free on board, regardless of the mode of transportation, at the point of direct shipment by the seller to the buyer.
(5) LIVESTOCK.—The term ‘‘livestock’’ means cattle, swine,
and lambs.
(6) LOT.—The term ‘‘lot’’ means a group of one or more livestock that is identified for the purpose of a single transaction
between a buyer and a seller.
(7) MARKETING.—The term ‘‘marketing’’ means the sale or
other disposition of livestock, livestock products, or meat or
meat food products in commerce.
(8) NEGOTIATED PURCHASE.—The term ‘‘negotiated purchase’’ means a cash or spot market purchase by a packer of
livestock from a producer under which—
(A) the base price for the livestock is determined by
seller-buyer interaction and agreement on a day; and
(B) the livestock are scheduled for delivery to the packer not later than 14 days after the date on which the livestock are committed to the packer.
1 This subtitle was added by section 911(2) of title IX of the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2000
(Public Law 106–78). Section 942 of that title (113 Stat. 1211; 7 U.S.C. 1635 note), as
amended by section 1 of Public Law 108–444 (118 Stat. 2635), section 1(b) of Public Law
109–296 (120 Stat. 1464), and section 2(a)(2) of Pubic Law 111–239 (124 Stat. 2501), provides that: ‘‘The authority provided by this title and the amendments made by this title
(other than section 911 of subtitle A and the amendments made by that section) terminate
on September 30, 2015.’’.

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(9) NEGOTIATED SALE.—The term ‘‘negotiated sale’’ means
a cash or spot market sale by a producer of livestock to a packer under which—
(A) the base price for the livestock is determined by
seller-buyer interaction and agreement on a day; and
(B) the livestock are scheduled for delivery to the packer not later than 14 days after the date on which the livestock are committed to the packer.
(10) PRIOR SLAUGHTER WEEK.—The term ‘‘prior slaughter
week’’ means the Monday through Sunday prior to a reporting
day.
(11) PRODUCER.—The term ‘‘producer’’ means any person
engaged in the business of selling livestock to a packer for
slaughter (including the sale of livestock from a packer to another packer).
(12) REPORTING DAY.—The term ‘‘reporting day’’ means a
day on which—
(A) a packer conducts business regarding livestock
committed to the packer, or livestock purchased, sold, or
slaughtered by the packer;
(B) the Secretary is required to make information concerning the business described in subparagraph (A) available to the public; and
(C) the Department of Agriculture is open to conduct
business.
(13) SECRETARY.—The term ‘‘Secretary’’ means the Secretary of Agriculture.
(14) STATE.—The term ‘‘State’’ means each of the 50 States.
CHAPTER 2—CATTLE REPORTING
SEC. 221. ø7 U.S.C. 1635d¿ DEFINITIONS.

In this chapter:
(1) CATTLE COMMITTED.—The term ‘‘cattle committed’’
means cattle that are scheduled to be delivered to a packer
within the 7-day period beginning on the date of an agreement
to sell the cattle.
(2) CATTLE TYPE.—The term ‘‘cattle type’’ means the
following types of cattle purchased for slaughter:
(A) Fed steers.
(B) Fed heifers.
(C) Fed Holsteins and other fed dairy steers and heifers.
(D) Cows.
(E) Bulls.
(3) FORMULA MARKETING ARRANGEMENT.—The term ‘‘formula marketing arrangement’’ means the advance commitment
of cattle for slaughter by any means other than through a negotiated purchase or a forward contract, using a method for calculating price in which the price is determined at a future date.
(4) FORWARD CONTRACT.—The term ‘‘forward contract’’
means—
(A) an agreement for the purchase of cattle, executed
in advance of slaughter, under which the base price is established by reference to—
(i) prices quoted on the Chicago Mercantile Exchange; or
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(ii) other comparable publicly available prices; or
(B) such other forward contract as the Secretary determines to be applicable.
(5) PACKER.—The term ‘‘packer’’ means any person engaged
in the business of buying cattle in commerce for purposes of
slaughter, of manufacturing or preparing meats or meat food
products from cattle for sale or shipment in commerce, or of
marketing meats or meat food products from cattle in an unmanufactured form acting as a wholesale broker, dealer, or distributor in commerce, except that—
(A) the term includes only a cattle processing plant
that is federally inspected;
(B) for any calendar year, the term includes only a cattle processing plant that slaughtered an average of at least
125,000 head of cattle per year during the immediately
preceding 5 calendar years; and
(C) in the case of a cattle processing plant that did not
slaughter cattle during the immediately preceding 5 calendar years, the Secretary shall consider the plant capacity
of the processing plant in determining whether the processing plant should be considered a packer under this
chapter.
(6) PACKER-OWNED CATTLE.—The term ‘‘packer-owned cattle’’ means cattle that a packer owns for at least 14 days immediately before slaughter.
(7) TERMS OF TRADE.—The term ‘‘terms of trade’’ includes,
with respect to the purchase of cattle for slaughter—
(A) whether a packer provided any financing agreement or arrangement with regard to the cattle;
(B) whether the delivery terms specified the location of
the producer or the location of the packer’s plant;
(C) whether the producer is able to unilaterally specify
the date and time during the business day of the packer
that the cattle are to be delivered for slaughter; and
(D) the percentage of cattle purchased by a packer as
a negotiated purchase that are delivered to the plant for
slaughter more than 7 days, but fewer than 14 days, after
the earlier of—
(i) the date on which the cattle were committed to
the packer; or
(ii) the date on which the cattle were purchased by
the packer.
(8) TYPE OF PURCHASE.—The term ‘‘type of purchase’’, with
respect to cattle, means—
(A) a negotiated purchase;
(B) a formula market arrangement; and
(C) a forward contract.
SEC. 222. ø7 U.S.C. 1635e¿ MANDATORY REPORTING FOR LIVE CATTLE.

(a) ESTABLISHMENT.—The Secretary shall establish a program
of live cattle price information reporting that will—
(1) provide timely, accurate, and reliable market information;
(2) facilitate more informed marketing decisions; and
(3) promote competition in the cattle slaughtering industry.
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Sec. 222

(b) GENERAL REPORTING PROVISIONS APPLICABLE TO PACKERS
SECRETARY.—
(1) IN GENERAL.—Whenever the prices or quantities of cattle are required to be reported or published under this section,
the prices or quantities shall be categorized so as to clearly
delineate—
(A) the prices or quantities, as applicable, of the cattle
purchased in the domestic market; and
(B) the prices or quantities, as applicable, of imported
cattle.
(2) PACKER-OWNED CATTLE.—Information required under
this section for packer-owned cattle shall include quantity and
carcass characteristics, but not price.
(c) DAILY REPORTING.—
(1) IN GENERAL.—The corporate officers or officially designated representatives of each packer processing plant shall
report to the Secretary at least twice each reporting day (including once not later than 10:00 a.m. Central Time and once
not later than 2:00 p.m. Central Time) the following information for each cattle type:
(A) The prices for cattle (per hundredweight) established on that day, categorized by—
(i) type of purchase;
(ii) the quantity of cattle purchased on a live
weight basis;
(iii) the quantity of cattle purchased on a dressed
weight basis;
(iv) a range of the estimated live weights of the
cattle purchased;
(v) an estimate of the percentage of the cattle purchased that were of a quality grade of choice or better;
and
(vi) any premiums or discounts associated with—
(I) weight, grade, or yield; or
(II) any type of purchase.
(B) The quantity of cattle delivered to the packer
(quoted in numbers of head) on that day, categorized by—
(i) type of purchase;
(ii) the quantity of cattle delivered on a live weight
basis; and
(iii) the quantity of cattle delivered on a dressed
weight basis.
(C) The quantity of cattle committed to the packer
(quoted in numbers of head) as of that day, categorized
by—
(i) type of purchase;
(ii) the quantity of cattle committed on a live
weight basis; and
(iii) the quantity of cattle committed on a dressed
weight basis.
(D) The terms of trade regarding the cattle, as applicable.
(2) PUBLICATION.—The Secretary shall make the information available to the public not less frequently than three times
each reporting day.
(d) WEEKLY REPORTING.—

AND THE

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(1) IN GENERAL.—The corporate officers or officially designated representatives of each packer processing plant shall
report to the Secretary, on the first reporting day of each week,
not later than 9:00 a.m. Central Time, the following information applicable to the prior slaughter week:
(A) The quantity of cattle purchased through a forward
contract that were slaughtered.
(B) The quantity of cattle delivered under a formula
marketing arrangement that were slaughtered.
(C) The quantity and carcass characteristics of packerowned cattle that were slaughtered.
(D) The quantity, basis level, and delivery month for
all cattle purchased through forward contracts that were
agreed to by the parties.
(E) The range and average of intended premiums and
discounts that are expected to be in effect for the current
slaughter week.
(2) FORMULA PURCHASES.—The corporate officers or officially designated representatives of each packer processing
plant shall report to the Secretary, on the first reporting day
of each week, not later than 9:00 a.m. Central Time, the following information for cattle purchased through a formula marketing arrangement and slaughtered during the prior slaughter
week:
(A) The quantity (quoted in both numbers of head and
hundredweights) of cattle.
(B) The weighted average price paid for a carcass, including applicable premiums and discounts.
(C) The range of premiums and discounts paid.
(D) The weighted average of premiums and discounts
paid.
(E) The range of prices paid.
(F) The aggregate weighted average price paid for a
carcass.
(G) The terms of trade regarding the cattle, as applicable.
(3) PUBLICATION.—The Secretary shall make available to
the public the information obtained under paragraphs (1) and
(2) on the first reporting day of the current slaughter week, not
later than 10:00 a.m. Central Time.
(e) REGIONAL REPORTING OF CATTLE TYPES.—
(1) IN GENERAL.—The Secretary shall determine whether
adequate data can be obtained on a regional basis for fed Holsteins and other fed dairy steers and heifers, cows, and bulls
based on the number of packers required to report under this
section.
(2) REPORT.—Not later than 2 years after the date of the
enactment of this subtitle, the Secretary shall submit to the
Committee on Agriculture of the House of Representatives and
the Committee on Agriculture, Nutrition, and Forestry of the
Senate a report on the determination of the Secretary under
paragraph (1).
SEC. 223. ø7 U.S.C. 1635f¿ MANDATORY PACKER REPORTING OF
BOXED BEEF SALES.

(a) DAILY REPORTING.—The corporate officers or officially designated representatives of each packer processing plant shall report
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to the Secretary at least twice each reporting day (not less than
once before, and once after, 12:00 noon Central Time) information
on total boxed beef sales, including—
(1) the price for each lot of each negotiated boxed beef sale
(determined by seller-buyer interaction and agreement), quoted
in dollars per hundredweight (on a F.O.B. plant basis);
(2) the quantity for each lot of each sale, quoted by number
of boxes sold; and
(3) information regarding the characteristics of each lot of
each sale, including—
(A) the grade of beef (USDA Choice or better, USDA
Select, or ungraded no-roll product);
(B) the cut of beef; and
(C) the trim specification.
(b) PUBLICATION.—The Secretary shall make available to the
public the information required to be reported under subsection (a)
not less frequently than twice each reporting day.
CHAPTER 3—SWINE REPORTING
SEC. 231. ø7 U.S.C. 1635i¿ DEFINITIONS.

In this chapter:
(1) AFFILIATE.—The term ‘‘affiliate’’, with respect to a packer, means—
(A) a person that directly or indirectly owns, controls,
or holds with power to vote, 5 percent or more of the outstanding voting securities of the packer;
(B) a person 5 percent or more of whose outstanding
voting securities are directly or indirectly owned, controlled, or held with power to vote, by the packer; and
(C) a person that directly or indirectly controls, or is
controlled by or under common control with, the packer.
(2) APPLICABLE REPORTING PERIOD.—The term ‘‘applicable
reporting period’’ means the period of time prescribed by the
prior day report, the morning report, and the afternoon report,
as required under section 232(c).
(3) BARROW.—The term ‘‘barrow’’ means a neutered male
swine.
(4) BASE MARKET HOG.—The term ‘‘base market hog’’ means
a barrow or gilt for which no discounts are subtracted from and
no premiums are added to the base price.
(5) BOAR.—The term ‘‘boar’’ means a sexually-intact male
swine.
(6) FORMULA PRICE.—The term ‘‘formula price’’ means a
price determined by a mathematical formula under which the
price established for a specified market serves as the basis for
the formula.
(7) GILT.—The term ‘‘gilt’’ means a young female swine
that has not produced a litter.
(8) HOG CLASS.—The term ‘‘hog class’’ means, as
applicable—
(A) barrows or gilts;
(B) sows; or
(C) boars or stags.
(9) NONCARCASS MERIT PREMIUM.—The term ‘‘noncarcass
merit premium’’ means an increase in the base price of the
swine offered by an individual packer or packing plant, based
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on any factor other than the characteristics of the carcass, if
the actual amount of the premium is known before the sale and
delivery of the swine.
(10) OTHER MARKET FORMULA PURCHASE.—
(A) IN GENERAL.—The term ‘‘other market formula purchase’’ means a purchase of swine by a packer in which the
pricing mechanism is a formula price based on any market
other than the market for swine, pork, or a pork product.
(B) INCLUSION.—The term ‘‘other market formula purchase’’ includes a formula purchase in a case in which the
price formula is based on one or more futures or options
contracts.
(11) OTHER PURCHASE ARRANGEMENT.—The term ‘‘other
purchase arrangement’’ means a purchase of swine by a packer
that—
(A) is not a negotiated purchase, swine or pork market
formula purchase, or other market formula purchase; and
(B) does not involve packer-owned swine.
(12) PACKER.—The term ‘‘packer’’ means any person engaged in the business of buying swine in commerce for purposes of slaughter, of manufacturing or preparing meats or
meat food products from swine for sale or shipment in commerce, or of marketing meats or meat food products from swine
in an unmanufactured form acting as a wholesale broker, dealer, or distributor in commerce, except that—
(A) the term includes only a swine processing plant
that is federally inspected;
(B) for any calendar year, the term includes only—
(i) a swine processing plant that slaughtered an
average of at least 100,000 swine per year during the
immediately preceding five calendar years; and
(ii) a person that slaughtered an average of at
least 200,000 sows, boars, or any combination thereof,
per year during the immediately preceding five calendar years; and
(C) in the case of a swine processing plant or person
that did not slaughter swine during the immediately preceding 5 calendar years, the Secretary shall consider the
plant capacity of the processing plant or person in determining whether the processing plant or person should be
considered a packer under this chapter.
(13) PACKER-OWNED SWINE.—The term ‘‘packer-owned
swine’’ means swine that a packer (including a subsidiary or affiliate of the packer) owns for at least 14 days immediately before slaughter.
(14) PACKER-SOLD SWINE.—The term ‘‘packer-sold swine’’
means the swine that are—
(A) owned by a packer (including a subsidiary or affiliate of the packer) for more than 14 days immediately before sale for slaughter; and
(B) sold for slaughter to another packer.
(15) PORK.—The term ‘‘pork’’ means the meat of a porcine
animal.
(16) PORK PRODUCT.—The term ‘‘pork product’’ means a
product or byproduct produced or processed in whole or in part
from pork.
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(17) PURCHASE DATA.—The term ‘‘purchase data’’ means all
of the applicable data, including weight (if purchased live), for
all swine purchased during the applicable reporting period, regardless of the expected delivery date of the swine, reported
by—
(A) hog class;
(B) type of purchase; and
(C) packer-owned swine.
(18) SLAUGHTER DATA.—The term ‘‘slaughter data’’ means
all of the applicable data for all swine slaughtered by a packer
during the applicable reporting period, regardless of when the
price of the swine was negotiated or otherwise determined, reported by—
(A) hog class;
(B) type of purchase; and
(C) packer-owned swine.
(19) SOW.—The term ‘‘sow’’ means an adult female swine
that has produced one or more litters.
(20) SWINE.—The term ‘‘swine’’ means a porcine animal
raised to be a feeder pig, raised for seedstock, or raised for
slaughter.
(21) SWINE OR PORK MARKET FORMULA PURCHASE.—The
term ‘‘swine or pork market formula purchase’’ means a purchase of swine by a packer in which the pricing mechanism is
a formula price based on a market for swine, pork, or a pork
product, other than a future or option for swine, pork, or a pork
product.
(22) TYPE OF PURCHASE.—The term ‘‘type of purchase’’,
with respect to swine, means—
(A) a negotiated purchase;
(B) other market formula purchase;
(C) a swine or pork market formula purchase; and
(D) other purchase arrangement.
SEC. 232. ø7 U.S.C. 1635j¿ MANDATORY REPORTING FOR SWINE.

(a) ESTABLISHMENT.—The Secretary shall establish a program
of swine price information reporting that will—
(1) provide timely, accurate, and reliable market information;
(2) facilitate more informed marketing decisions; and
(3) promote competition in the swine slaughtering industry.
(b) GENERAL REPORTING PROVISIONS APPLICABLE TO PACKERS
AND THE SECRETARY.—
(1) IN GENERAL.—The Secretary shall establish and implement a price reporting program in accordance with this section
that includes the reporting and publication of information required under this section.
(2) PACKER-OWNED SWINE.—Information required under
this section for packer-owned swine shall include quantity and
carcass characteristics, but not price.
(3) PACKER-SOLD SWINE.—If information regarding the type
of purchase is required under this section, the information shall
be reported according to the numbers and percentages of each
type of purchase comprising—
(A) packer-sold swine; and
(B) all other swine.
(4) ADDITIONAL INFORMATION.—
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(A) REVIEW.—The Secretary shall review the information required to be reported by packers under this section
at least once every 2 years.
(B) OUTDATED INFORMATION.—After public notice and
an opportunity for comment, subject to subparagraph (C),
the Secretary shall promulgate regulations that specify additional information that shall be reported under this section if the Secretary determines under the review under
subparagraph (A) that—
(i) information that is currently required no longer
accurately reflects the methods by which swine are
valued and priced by packers; or
(ii) packers that slaughter a significant majority of
the swine produced in the United States no longer use
backfat or lean percentage factors as indicators of
price.
(C) LIMITATION.—Under subparagraph (B), the
Secretary may not require packers to provide any new or
additional information that—
(i) is not generally available or maintained by
packers; or
(ii) would be otherwise unduly burdensome to
provide.
(c) DAILY REPORTING; BARROWS AND GILTS.—
(1) PRIOR DAY REPORT.—
(A) IN GENERAL.—The corporate officers or officially
designated representatives of each packer processing plant
that processes barrows or gilts shall report to the Secretary, for each business day of the packer, such information as the Secretary determines necessary and appropriate
to—
(i) comply with the publication requirements of
this section; and
(ii) provide for the timely access to the information
by producers, packers, and other market participants.
(B) REPORTING DEADLINE AND PLANTS REQUIRED TO REPORT.—A packer required to report under subparagraph (A)
shall—
(i) not later than 7:00 a.m. Central Time on each
reporting day, report information regarding all barrows
and gilts purchased or priced, and
(ii) not later than 9:00 a.m. Central Time on each
reporting day, report information regarding all barrows
and gilts slaughtered,
during the prior business day of the packer.
(C) INFORMATION REQUIRED.—The information from
the prior business day of a packer required under this
paragraph shall include—
(i) all purchase data, including—
(I) the total number of—
(aa) barrows and gilts purchased; and
(bb) barrows and gilts scheduled for delivery; and
(II) the base price and purchase data for
slaughtered barrows and gilts for which a price
has been established;
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(ii) all slaughter data for the total number of barrows and gilts slaughtered, including—
(I) information concerning the net price, which
shall be equal to the total amount paid by a packer to a producer (including all premiums, less all
discounts) per hundred pounds of carcass weight of
barrows and gilts delivered at the plant—
(aa) including any sum deducted from the
price per hundredweight paid to a producer
that reflects the repayment of a balance owed
by the producer to the packer or the accumulation of a balance to later be repaid by the
packer to the producer; and
(bb) excluding any sum earlier paid to a
producer that must later be repaid to the
packer;
(II) information concerning the average net
price, which shall be equal to the quotient (stated
per hundred pounds of carcass weight of barrows
and gilts) obtained by dividing—
(aa) the total amount paid for the barrows
and gilts slaughtered at a packing plant during the applicable reporting period, including
all premiums and discounts, and including
any sum deducted from the price per hundredweight paid to a producer that reflects the repayment of a balance owed by the producer to
the packer, or the accumulation of a balance
to later be repaid by the packer to the producer, less all discounts; by
(bb) the total carcass weight (in hundred
pound increments) of the barrows and gilts;
(III) information concerning the lowest net
price, which shall be equal to the lowest net price
paid for a single lot or a group of barrows or gilts
slaughtered at a packing plant during the applicable reporting period per hundred pounds of carcass
weight of barrows and gilts;
(IV) information concerning the highest net
price, which shall be equal to the highest net price
paid for a single lot or group of barrows or gilts
slaughtered at a packing plant during the applicable reporting period per hundred pounds of carcass
weight of barrows and gilts;
(V) the average carcass weight, which shall be
equal to the quotient obtained by dividing—
(aa) the total carcass weight of the barrows and gilts slaughtered at the packing
plant during the applicable reporting period,
by
(bb) the number of the barrows and gilts
described in item (aa),
adjusted for special slaughter situations (such as
skinning or foot removal), as the Secretary determines necessary to render comparable carcass
weights;
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(VI) the average sort loss, which shall be equal
to the average discount (in dollars per hundred
pounds carcass weight) for barrows and gilts
slaughtered during the applicable reporting period,
resulting from the fact that the barrows and gilts
did not fall within the individual packer’s established carcass weight or lot variation range;
(VII) the average backfat, which shall be equal
to the average of the backfat thickness (in inches)
measured between the third and fourth from the
last ribs, 7 centimeters from the carcass split (or
adjusted from the individual packer’s measurement to that reference point using an adjustment
made by the Secretary) of the barrows and gilts
slaughtered during the applicable reporting period;
(VIII) the average lean percentage, which
shall be equal to the average percentage of the
carcass weight comprised of lean meat for the barrows and gilts slaughtered during the applicable
reporting period, except that when a packer is required to report the average lean percentage under
this subclause, the packer shall make available to
the Secretary the underlying data, applicable
methodology and formulae, and supporting materials used to determine the average lean percentage, which the Secretary may convert to the carcass measurements or lean percentage of the barrows and gilts of the individual packer to correlate
to a common percent lean measurement; and
(IX) the total slaughter quantity, which shall
be equal to the total number of barrows and gilts
slaughtered during the applicable reporting period,
including all types of purchases and barrows and
gilts that qualify as packer-owned swine; and
(iii) packer purchase commitments, which shall be
equal to the number of barrows and gilts scheduled for
delivery to a packer for slaughter for each of the next
14 calendar days.
(D) PUBLICATION.—
(i) IN GENERAL.—The Secretary shall publish the
information obtained under this paragraph in a prior
day report—
(I) in the case of information regarding barrows and gilts purchased or priced, not later than
8:00 a.m. Central Time, and
(II) in the case of information regarding barrows and gilts slaughtered, not later than 10:00
a.m. Central Time,
on the reporting day on which the information is received from the packer.
(ii) PRICE DISTRIBUTIONS.—The information published by the Secretary under clause (i) shall include
a distribution of net prices in the range between and
including the lowest net price and the highest net price
reported. The publication shall include a delineation of
the number of barrows and gilts at each reported price
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level or, at the option of the Secretary, the number of
barrows and gilts within each of a series of reasonable
price bands within the range of prices.
(2) MORNING REPORT.—
(A) IN GENERAL.—The corporate officers or officially
designated representatives of each packer processing plant
that processes barrows or gilts shall report to the Secretary
not later than 10:00 a.m. Central Time each reporting
day—
(i) the packer’s best estimate of the total number
of barrows and gilts, and barrows and gilts that qualify
as packer-owned swine, expected to be purchased
throughout the reporting day through each type of purchase;
(ii) the total number of barrows and gilts, and barrows and gilts that qualify as packer-owned swine,
purchased up to that time of the reporting day through
each type of purchase;
(iii) the base price paid for all base market hogs
purchased up to that time of the reporting day through
negotiated purchases; and
(iv) the base price paid for all base market hogs
purchased through each type of purchase other than
negotiated purchase up to that time of the reporting
day, unless such information is unavailable due to
pricing that is determined on a delayed basis.
(B) PUBLICATION.—The Secretary shall publish the information obtained under this paragraph in the morning
report as soon as practicable, but not later than 11:00 a.m.
Central Time, on each reporting day.
(3) AFTERNOON REPORT.—
(A) IN GENERAL.—The corporate officers or officially
designated representatives of each packer processing plant
that processes barrows or gilts shall report to the Secretary
not later than 2:00 p.m. Central Time each reporting day—
(i) the packer’s best estimate of the total number
of barrows and gilts, and barrows and gilts that qualify
as packer-owned swine, expected to be purchased
throughout the reporting day through each type of purchase;
(ii) the total number of barrows and gilts, and barrows and gilts that qualify as packer-owned swine,
purchased up to that time of the reporting day through
each type of purchase;
(iii) the base price paid for all base market hogs
purchased up to that time of the reporting day through
negotiated purchases; and
(iv) the base price paid for all base market hogs
purchased up to that time of the reporting day through
each type of purchase other than negotiated purchase,
unless such information is unavailable due to pricing
that is determined on a delayed basis.
(B) PUBLICATION.—The Secretary shall publish the information obtained under this paragraph in the afternoon
report as soon as practicable, but not later than 3:00 p.m.
Central Time, on each reporting day.
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(d) DAILY REPORTING; SOWS AND BOARS.—
(1) PRIOR DAY REPORT.—The corporate officers or officially
designated representatives of each packer of sows and boars
shall report to the Secretary, for each business day of the packer, such information reported by hog class as the Secretary determines necessary and appropriate to—
(A) comply with the publication requirements of this
section; and
(B) provide for the timely access to the information by
producers, packers, and other market participants.
(2) REPORTING.—Not later than 9:30 a.m. Central Time, or
such other time as the Secretary considers appropriate, on each
reporting day, a packer required to report under paragraph (1)
shall report information regarding all sows and boars purchased or priced during the prior business day of the packer.
(3) INFORMATION REQUIRED.—The information from the
prior business day of a packer required under this subsection
shall include all purchase data, including—
(A) the total number of sows purchased and the total
number of boars purchased, each divided into at least three
reasonable and meaningful weight classes specified by the
Secretary;
(B) the number of sows that qualify as packer-owned
swine;
(C) the number of boars that qualify as packer-owned
swine;
(D) the average price paid for all sows;
(E) the average price paid for all boars;
(F) the average price paid for sows in each weight class
specified by the Secretary under subparagraph (A);
(G) the average price paid for boars in each weight
class specified by the Secretary under subparagraph (A);
(H) the number of sows and the number of boars for
which prices are determined, by each type of purchase;
(I) the average prices for sows and the average prices
for boars for which prices are determined, by each type of
purchase; and
(J) such other information as the Secretary considers
appropriate to carry out this subsection.
(4) PRICE CALCULATIONS WITHOUT PACKER-OWNED SWINE.—
A packer shall omit the prices of sows and boars that qualify
as packer-owned swine from all average price calculations,
price range calculations, and reports required by this subsection.
(5) REPORTING EXCEPTION: PUBLIC AUCTION PURCHASES.—
The information required to be reported under this subsection
shall not include purchases of sows or boars made by agents of
the reporting packer at a public auction at which the title of
the sows and boars is transferred directly from the producer to
such packer.
(6) PUBLICATION.—The Secretary shall publish the information obtained under this paragraph in a prior day report not
later than 11:00 a.m. Central Time on the reporting day on
which the information is received from the packer.
(7) ELECTRONIC SUBMISSION OF INFORMATION.—The Secretary of Agriculture shall provide for the electronic submission
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of any information required to be reported under this subsection through an Internet website or equivalent electronic
means maintained by the Department of Agriculture.
(e) WEEKLY NONCARCASS MERIT PREMIUM REPORT.—
(1) IN GENERAL.—Not later than 4:00 p.m. Central Time on
the first reporting day of each week, the corporate officers or
officially designated representatives of each packer processing
plant shall report to the Secretary a noncarcass merit premium
report that lists—
(A) each category of standard noncarcass merit premiums used by the packer in the prior slaughter week; and
(B) the amount (in dollars per hundred pounds of carcass weight) paid to producers by the packer, by category.
(2) PREMIUM LIST.—A packer shall maintain and make
available to a producer, on request, a current listing of the dollar values (per hundred pounds of carcass weight) of each noncarcass merit premium used by the packer during the current
or the prior slaughter week.
(3) AVAILABILITY.—A packer shall not be required to pay a
listed noncarcass merit premium to a producer that meets the
requirements for the premium if the need for swine in a given
category is filled at a particular point in time.
(4) PUBLICATION.—The Secretary shall publish the information obtained under this subsection as soon as practicable, but
not later than 5:00 p.m. Central Time, on the first reporting
day of each week.
SEC. 233. ø7 U.S.C. 1635k¿ MANDATORY REPORTING OF WHOLESALE
PORK CUTS.

(a) REPORTING.—The corporate officers or officially designated
representatives of each packer shall report to the Secretary information concerning the price and volume of wholesale pork cuts, as
the Secretary determines is necessary and appropriate.
(b) PUBLICATION.—The Secretary shall publish information reported under subsection (a) as the Secretary determines necessary
and appropriate.
CHAPTER 4—LAMB REPORTING
SEC. 241. ø7 U.S.C. 1635m¿ MANDATORY REPORTING FOR LAMBS.

(a) ESTABLISHMENT.—The Secretary may establish a program of
mandatory lamb price information reporting that will—
(1) provide timely, accurate, and reliable market information;
(2) facilitate more informed marketing decisions; and
(3) promote competition in the lamb slaughtering industry.
(b) NOTICE AND COMMENT.—If the Secretary establishes a mandatory price reporting program under subsection (a), the Secretary
shall provide an opportunity for comment on proposed regulations
to establish the program during the 30-day period beginning on the
date of the publication of the proposed regulations.
CHAPTER 5—ADMINISTRATION
SEC. 251. ø7 U.S.C. 1636¿ GENERAL PROVISIONS.

(a) CONFIDENTIALITY.—The Secretary shall make available to
the public information, statistics, and documents obtained from, or
submitted by, packers, retail entities, and other persons under this
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subtitle in a manner that ensures that confidentiality is preserved
regarding—
(1) the identity of persons, including parties to a contract;
and
(2) proprietary business information.
(b) DISCLOSURE BY FEDERAL GOVERNMENT EMPLOYEES.—
(1) IN GENERAL.—Subject to paragraph (2), no officer, employee, or agent of the United States shall, without the consent
of the packer or other person concerned, divulge or make
known in any manner, any facts or information regarding the
business of the packer or other person that was acquired
through reporting required under this subtitle.
(2) EXCEPTIONS.—Information obtained by the Secretary
under this subtitle may be disclosed—
(A) to agents or employees of the Department of Agriculture in the course of their official duties under this subtitle;
(B) as directed by the Secretary or the Attorney
General, for enforcement purposes; or
(C) by a court of competent jurisdiction.
(3) DISCLOSURE UNDER FREEDOM OF INFORMATION ACT.—
Notwithstanding any other provision of law, no facts or information obtained under this subtitle shall be disclosed in accordance with section 552 of title 5, United States Code.
(c) REPORTING BY PACKERS.—A packer shall report all information required under this subtitle on an individual lot basis.
(d) REGIONAL REPORTING AND AGGREGATION.—The Secretary
shall make information obtained under this subtitle available to the
public only in a manner that—
(1) ensures that the information is published on a national
and a regional or statewide basis as the Secretary determines
to be appropriate;
(2) ensures that the identity of a reporting person is not
disclosed; and
(3) conforms to aggregation guidelines established by the
Secretary.
(e) ADJUSTMENTS.—Prior to the publication of any information
required under this subtitle, the Secretary may make reasonable
adjustments in information reported by packers to reflect price aberrations or other unusual or unique occurrences that the Secretary
determines would distort the published information to the detriment of producers, packers, or other market participants.
(f ) VERIFICATION.—The Secretary shall take such actions as the
Secretary considers necessary to verify the accuracy of the information submitted or reported under chapter 2, 3, or 4.
(g) ELECTRONIC REPORTING AND PUBLISHING.—
(1) IN GENERAL.—The Secretary shall, to the maximum extent practicable, provide for the reporting and publishing of the
information required under this subtitle by electronic means.
(2) IMPROVEMENTS AND EDUCATION.—
(A) ENHANCED ELECTRONIC PUBLISHING.—The Secretary shall develop and implement an enhanced system of
electronic publishing to disseminate information collected
pursuant to this subtitle. Such system shall—
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(i) present information in a format that can be
readily understood by producers, packers, and other
market participants;
(ii) adhere to the publication deadlines in this subtitle;
(iii) present information in charts and graphs, as
appropriate;
(iv) present comparative information for prior reporting periods, as the Secretary considers appropriate;
and
(v) be updated as soon as practicable after information is reported to the Secretary.
(B) EDUCATION.—The Secretary shall carry out a market news education program to educate the public and persons in the livestock and meat industries about—
(i) usage of the system developed under subparagraph (A); and
(ii) interpreting and understanding information
collected and disseminated through such system.
(h) REPORTING OF ACTIVITIES ON WEEKENDS AND HOLIDAYS.—
(1) IN GENERAL.—Livestock committed to a packer, or purchased, sold, or slaughtered by a packer, on a weekend day or
holiday shall be reported by the packer to the Secretary (to the
extent required under this subtitle), and reported by the Secretary, on the immediately following reporting day.
(2) LIMITATION ON REPORTING BY PACKERS.—A packer shall
not be required to report actions under paragraph (1) more
than once on the immediately following reporting day.
(i) EFFECT ON OTHER LAWS.—Nothing in this subtitle, the Livestock Mandatory Reporting Act of 1999, or amendments made by
that Act restricts or modifies the authority of the Secretary to—
(1) administer or enforce the Packers and Stockyards Act,
1921 (7 U.S.C. 181 et seq.);
(2) administer, enforce, or collect voluntary reports under
this title or any other law; or
(3) access documentary evidence as provided under sections
9 and 10 of the Federal Trade Commission Act (15 U.S.C. 49,
50).
SEC. 252. ø7 U.S.C. 1636a¿ UNLAWFUL ACTS.

It shall be unlawful and a violation of this subtitle for any
packer or other person subject to this subtitle (in the submission of
information required under chapter 2, 3, or 4, as determined by the
Secretary) to willfully—
(1) fail or refuse to provide, or delay the timely reporting
of, accurate information to the Secretary (including estimated
information);
(2) solicit or request that a packer, the buyer or seller of
livestock or livestock products, or any other person fail to provide, as a condition of any transaction, accurate or timely information required under this subtitle;
(3) fail or refuse to comply with this subtitle; or
(4) report estimated information in any report required
under this subtitle in a manner that demonstrates a pattern of
significant variance in accuracy when compared to the actual
information that is reported for the same reporting period, or
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as determined by any audit, oversight, or other verification procedures of the Secretary.
SEC. 253. ø7 U.S.C. 1636b¿ ENFORCEMENT.

(a) CIVIL PENALTY.—
(1) IN GENERAL.—Any packer or other person that violates
this subtitle may be assessed a civil penalty by the Secretary
of not more than $10,000 for each violation.
(2) CONTINUING VIOLATION.—Each day during which a violation continues shall be considered to be a separate violation.
(3) FACTORS.—In determining the amount of a civil penalty
to be assessed under paragraph (1), the Secretary shall consider the gravity of the offense, the size of the business involved, and the effect of the penalty on the ability of the person
that has committed the violation to continue in business.
(4) MULTIPLE VIOLATIONS.—In determining whether to assess a civil penalty under paragraph (1), the Secretary shall
consider whether a packer or other person subject to this subtitle has engaged in a pattern of errors, delays, or omissions in
violation of this subtitle.
(b) CEASE AND DESIST.—In addition to, or in lieu of, a civil penalty under subsection (a), the Secretary may issue an order to cease
and desist from continuing any violation.
(c) NOTICE AND HEARING.—No penalty shall be assessed, or
cease and desist order issued, by the Secretary under this section
unless the person against which the penalty is assessed or to which
the order is issued is given notice and opportunity for a hearing before the Secretary with respect to the violation.
(d) FINALITY AND JUDICIAL REVIEW.—
(1) IN GENERAL.—The order of the Secretary assessing a
civil penalty or issuing a cease and desist order under this section shall be final and conclusive unless the affected person
files an appeal of the order of the Secretary in United States
district court not later than 30 days after the date of the
issuance of the order.
(2) STANDARD OF REVIEW.—A finding of the Secretary
under this section shall be set aside only if the finding is found
to be unsupported by substantial evidence.
(e) ENFORCEMENT.—
(1) IN GENERAL.—If, after the lapse of the period allowed
for appeal or after the affirmance of a penalty assessed under
this section, the person against which the civil penalty is assessed fails to pay the penalty, the Secretary may refer the
matter to the Attorney General who may recover the penalty
by an action in United States district court.
(2) FINALITY.—In the action, the final order of the Secretary shall not be subject to review.
(f ) INJUNCTION OR RESTRAINING ORDER.—
(1) IN GENERAL.—If the Secretary has reason to believe
that any person subject to this subtitle has failed or refused to
provide the Secretary information required to be reported pursuant to this subtitle, and that it would be in the public interest to enjoin the person from further failure to comply with the
reporting requirements, the Secretary may notify the Attorney
General of the failure.
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(2) ATTORNEY GENERAL.—The Attorney General may apply
to the appropriate district court of the United States for a temporary or permanent injunction or restraining order.
(3) COURT.—When needed to carry out this subtitle, the
court shall, on a proper showing, issue a temporary injunction
or restraining order without bond.
(g) FAILURE TO OBEY ORDERS.—
(1) IN GENERAL.—If a person subject to this subtitle fails to
obey a cease and desist or civil penalty order issued under this
subsection after the order has become final and unappealable,
or after the appropriate United States district court has entered a final judgment in favor of the Secretary, the United
States may apply to the appropriate district court for enforcement of the order.
(2) ENFORCEMENT.—If the court determines that the order
was lawfully made and duly served and that the person violated the order, the court shall enforce the order.
(3) CIVIL PENALTY.—If the court finds that the person violated the cease and desist provisions of the order, the person
shall be subject to a civil penalty of not more than $10,000 for
each offense.
SEC. 254. ø7 U.S.C. 1636c¿ FEES.

The Secretary shall not charge or assess a user fee, transaction
fee, service charge, assessment, reimbursement, or any other fee for
the submission or reporting of information, for the receipt or availability of, or access to, published reports or information, or for any
other activity required under this subtitle.
SEC. 255. ø7 U.S.C. 1636d¿ RECORDKEEPING.

(a) IN GENERAL.—Subject to subsection (b), each packer required to report information to the Secretary under this subtitle
shall maintain, and make available to the Secretary on request, for
2 years—
(1) the original contracts, agreements, receipts and other
records associated with any transaction relating to the purchase, sale, pricing, transportation, delivery, weighing, slaughter, or carcass characteristics of all livestock; and
(2) such records or other information as is necessary or appropriate to verify the accuracy of the information required to
be reported under this subtitle.
(b) LIMITATIONS.—Under subsection (a)(2), the Secretary may
not require a packer to provide new or additional information if—
(1) the information is not generally available or maintained
by packers; or
(2) the provision of the information would be unduly burdensome.
(c) PURCHASES OF CATTLE OR SWINE.—A record of a purchase
of a lot of cattle or a lot of swine by a packer shall evidence whether
the purchase occurred—
(1) before 10:00 a.m. Central Time;
(2) between 10:00 a.m. and 2:00 p.m. Central Time; or
(3) after 2:00 p.m. Central Time.
SEC. 256. ø7 U.S.C. 1636e¿ VOLUNTARY REPORTING.

The Secretary shall encourage voluntary reporting by packers
(as defined in section 201 of the Packers and Stockyards Act, 1921
(7 U.S.C. 191)) to which the mandatory reporting requirements of
this subtitle do not apply.
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SEC. 257. ø7 U.S.C. 1636f¿ PUBLICATION OF INFORMATION ON RETAIL PURCHASE PRICES FOR REPRESENTATIVE MEAT
PRODUCTS.

(a) IN GENERAL.—Beginning not later than 90 days after the
date of the enactment of this subtitle, the Secretary shall compile
and publish at least monthly (weekly, if practicable) information on
retail prices for representative food products made from beef, pork,
chicken, turkey, veal, or lamb.
(b) INFORMATION.—The report published by the Secretary under
subsection (a) shall include—
(1) information on retail prices for each representative food
product described in subsection (a); and
(2) information on total sales quantity (in pounds and dollars) for each representative food product.
(c) MEAT PRICE SPREADS REPORT.—During the period ending 2
years after the initial publication of the report required under subsection (a), the Secretary shall continue to publish the Meat Price
Spreads Report in the same manner as the Report was published
before the date of the enactment of this subtitle.
(d) INFORMATION COLLECTION.—
(1) IN GENERAL.—To ensure the accuracy of the reports required under subsection (a), the Secretary shall obtain the information for the reports from one or more sources including—
(A) a consistently representative set of retail transactions; and
(B) both prices and sales quantities for the transactions.
(2) SOURCE OF INFORMATION.—The Secretary may—
(A) obtain the information from retailers or commercial
information sources; and
(B) use valid statistical sampling procedures, if
necessary.
(3) ADJUSTMENTS.—In providing information on retail
prices under this section, the Secretary may make adjustments
to take into account differences in—
(A) the geographic location of consumption;
(B) the location of the principal source of supply;
(C) distribution costs; and
(D) such other factors as the Secretary determines reflect a verifiable comparative retail price for a representative food product.
(e) ADMINISTRATION.—The Secretary—
(1) shall collect information under this section only on a
voluntary basis; and
(2) shall not impose a penalty on a person for failure to
provide the information or otherwise compel a person to provide the information.
SEC. 258. ø7 U.S.C. 1636g¿ SUSPENSION AUTHORITY REGARDING SPECIFIC TERMS OF PRICE REPORTING REQUIREMENTS.

(a) IN GENERAL.—The Secretary may suspend any requirement
of this subtitle if the Secretary determines that application of the
requirement is inconsistent with the purposes of this subtitle.
(b) SUSPENSION PROCEDURE.—
(1) PERIOD.—A suspension under subsection (a) shall be for
a period of not more than 240 days.
(2) ACTION BY CONGRESS.—If an Act of Congress concerning
the requirement that is the subject of the suspension under
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subsection (a) is not enacted by the end of the period of the suspension established under paragraph (1), the Secretary shall
implement the requirement.
SEC. 259. ø7 U.S.C. 1636h¿ FEDERAL PREEMPTION.

In order to achieve the goals, purposes, and objectives of this
title on a nationwide basis and to avoid potentially conflicting State
laws that could impede the goals, purposes, or objectives of this
title, no State or political subdivision of a State may impose a requirement that is in addition to, or inconsistent with, any requirement of this subtitle with respect to the submission or reporting of
information, or the publication of such information, on the prices
and quantities of livestock or livestock products.
SEC. 260. ø7 U.S.C. 1636i¿ TERMINATION OF AUTHORITY.

The authority provided by this subtitle terminates on September 30, 2015.

Subtitle C—Dairy Product Mandatory
Reporting
SEC. 271. ø7 U.S.C. 1637¿ PURPOSE.

The purpose of this subtitle is to establish a program of information regarding the marketing of dairy products that—
(1) provides information that can be readily understood by
producers and other market participants, including information
with respect to prices, quantities sold, and inventories of dairy
products;
(2) improves the price and supply reporting services of the
Department of Agriculture; and
(3) encourages competition in the marketplace for dairy
products.
SEC. 272. ø7 U.S.C. 1637a¿ DEFINITIONS.

In this subtitle:
(1) DAIRY PRODUCTS.—The term ‘‘dairy products’’ means—
(A) manufactured dairy products that are used by the
Secretary to establish minimum prices for Class III and
Class IV milk under a Federal milk marketing order issued
under section 8c of the Agricultural Adjustment Act (7
U.S.C. 608c), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937; and
(B) substantially identical products designated by the
Secretary.
(2) MANUFACTURER.—The term ‘‘manufacturer’’ means any
person engaged in the business of buying milk in commerce for
the purpose of manufacturing dairy products.
(3) SECRETARY.—The term ‘‘Secretary’’ means the Secretary
of Agriculture.
SEC. 273. ø7 U.S.C. 1637b¿ MANDATORY REPORTING FOR DAIRY
PRODUCTS.

(a) ESTABLISHMENT.—The Secretary shall establish a program
of mandatory dairy product information reporting that will—
(1) provide timely, accurate, and reliable market information;
(2) facilitate more informed marketing decisions; and
(3) promote competition in the dairy product manufacturing industry.
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(b) REQUIREMENTS.—
(1) IN GENERAL.—In establishing the program, the Secretary shall only—
(A)(i) subject to the conditions described in paragraph
(2), require each manufacturer to report to the Secretary
information concerning the price, quantity, and moisture
content of dairy products sold by the manufacturer; and
(ii) modify the format used to provide the information
on the day before the date of enactment of this subtitle to
ensure that the information can be readily understood by
market participants; and
(B) require each manufacturer and other person storing dairy products to report to the Secretary, at a periodic
interval determined by the Secretary, information on the
quantity of dairy products stored.
(2) CONDITIONS.—The conditions referred to in paragraph
(1)(A)(i) are that—
(A) the information referred to in paragraph (1)(A)(i) is
required only with respect to those package sizes actually
used to establish minimum prices for Class III or Class IV
milk under a Federal milk marketing order;
(B) the information referred to in paragraph (1)(A)(i) is
required only to the extent that the information is actually
used to establish minimum prices for Class III or Class IV
milk under a Federal milk marketing order;
(C) the frequency of the required reporting under paragraph (1)(A)(i) does not exceed the frequency used to establish minimum prices for Class III or Class IV milk under
a Federal milk marketing order; and
(D) the Secretary may exempt from all reporting requirements any manufacturer that processes and markets
less than 1,000,000 pounds of dairy products per year.
(c) ADMINISTRATION.—
(1) IN GENERAL.—The Secretary shall promulgate such regulations as are necessary to ensure compliance with, and otherwise carry out, this subtitle.
(2) CONFIDENTIALITY.—
(A) IN GENERAL.—Except as otherwise directed by the
Secretary or the Attorney General for enforcement purposes, no officer, employee, or agent of the United States
shall make available to the public information, statistics, or
documents obtained from or submitted by any person
under this subtitle other than in a manner that ensures
that confidentiality is preserved regarding the identity of
persons, including parties to a contract, and proprietary
business information.
(B) RELATION TO OTHER REQUIREMENTS.—Notwithstanding any other provision of law, no facts or information
obtained under this subtitle shall be disclosed in accordance with section 552 of title 5, United States Code.
(3) VERIFICATION.—
(A) IN GENERAL.—The Secretary shall take such actions as the Secretary considers necessary to verify the accuracy of the information submitted or reported under this
subtitle.
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(B) QUARTERLY AUDITS.—The Secretary shall quarterly
conduct an audit of information submitted or reported
under this subtitle and compare such information with
other related dairy market statistics.
(4) ENFORCEMENT.—
(A) UNLAWFUL ACT.—It shall be unlawful and a violation of this subtitle for any person subject to this subtitle
to willfully fail or refuse to provide, or delay the timely reporting of, accurate information to the Secretary in accordance with this subtitle.
(B) ORDER.—After providing notice and an opportunity
for a hearing to affected persons, the Secretary may issue
an order against any person to cease and desist from continuing any violation of this subtitle.
(C) APPEAL.—
(i) IN GENERAL.—The order of the Secretary under
subparagraph (B) shall be final and conclusive unless
an affected person files an appeal of the order of the
Secretary in United States district court not later than
30 days after the date of the issuance of the order.
(ii) FINDINGS.—A finding of the Secretary under
this paragraph shall be set aside only if the finding is
found to be unsupported by substantial evidence.
(D) NONCOMPLIANCE WITH ORDER.—
(i) IN GENERAL.—If a person subject to this subtitle
fails to obey an order issued under this paragraph
after the order has become final and unappealable, or
after the appropriate United States district court has
entered a final judgment in favor of the Secretary, the
United States may apply to the appropriate United
States district court for enforcement of the order.
(ii) ENFORCEMENT.—If the court determines that
the order was lawfully made and duly served and that
the person violated the order, the court shall enforce
the order.
(iii) CIVIL PENALTY.—If the court finds that the
person violated the order, the person shall be subject
to a civil penalty of not more than $10,000 for each offense.
(5) FEES.—The Secretary shall not charge or assess a user
fee, transaction fee, service charge, assessment, reimbursement
fee, or any other fee under this subtitle for—
(A) the submission or reporting of information;
(B) the receipt or availability of, or access to, published
reports or information; or
(C) any other activity required under this subtitle.
(6) RECORDKEEPING.—Each person required to report information to the Secretary under this subtitle shall maintain, and
make available to the Secretary, on request, original contracts,
agreements, receipts, and other records associated with the sale
or storage of any dairy products during the 2-year period beginning on the date of the creation of the records.
(d) ELECTRONIC REPORTING.—
(1) ELECTRONIC REPORTING SYSTEM REQUIRED.—The Secretary shall establish an electronic reporting system to carry
out this section.
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(2) PUBLICATION.—Not later than 3:00 p.m. Eastern Time
on the Wednesday of each week, the Secretary shall publish a
report containing the information obtained under this section
for the preceding week.
(e) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated such sums as are necessary to carry out this section.

Subtitle D—Country of Origin Labeling
SEC. 281. ø7 U.S.C. 1638¿ DEFINITIONS.

In this subtitle:
(1) BEEF.—The term ‘‘beef’’ means meat produced from cattle (including veal).
(2) COVERED COMMODITY.—
(A) IN GENERAL.—The term ‘‘covered commodity’’
means—
(i) muscle cuts of beef, lamb, and pork;
(ii) ground beef, ground lamb, and ground pork;
(iii) farm-raised fish;
(iv) wild fish;
(v) a perishable agricultural commodity;
(vi) peanuts; and
(vii) meat produced from goats;
(viii) chicken, in whole and in part;
(ix) ginseng;
(x) pecans; and
(xi) macadamia nuts.
(B) EXCLUSIONS.—The term ‘‘covered commodity’’ does
not include an item described in subparagraph (A) if the
item is an ingredient in a processed food item.
(3) FARM-RAISED FISH.—The term ‘‘farm-raised fish’’
includes—
(A) farm-raised shellfish; and
(B) fillets, steaks, nuggets, and any other flesh from a
farm-raised fish or shellfish.
(4) FOOD SERVICE ESTABLISHMENT.—The term ‘‘food service
establishment’’ means a restaurant, cafeteria, lunch room, food
stand, saloon, tavern, bar, lounge, or other similar facility operated as an enterprise engaged in the business of selling food to
the public.
(5) LAMB.—The term ‘‘lamb’’ means meat, other than mutton, produced from sheep.
(6) PERISHABLE AGRICULTURAL COMMODITY; RETAILER.—The
terms ‘‘perishable agricultural commodity’’ and ‘‘retailer’’ have
the meanings given the terms in section 1(b) of the Perishable
Agricultural Commodities Act of 1930 (7 U.S.C. 499a(b)).
(7) PORK.—The term ‘‘pork’’ means meat produced from
hogs.
(8) SECRETARY.—The term ‘‘Secretary’’ means the Secretary
of Agriculture, acting through the Agricultural Marketing Service.
(9) WILD FISH.—
(A) IN GENERAL.—The term ‘‘wild fish’’ means naturally-born or hatchery-raised fish and shellfish harvested
in the wild.
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(B) INCLUSIONS.—The term ‘‘wild fish’’ includes a fillet,
steak, nugget, and any other flesh from wild fish or shellfish.
(C) EXCLUSIONS.—The term ‘‘wild fish’’ excludes netpen aquacultural or other farm-raised fish.
SEC. 282. ø7 U.S.C. 1638a¿ NOTICE OF COUNTRY OF ORIGIN.

(a) IN GENERAL.—
(1) REQUIREMENT.—Except as provided in subsection (b), a
retailer of a covered commodity shall inform consumers, at the
final point of sale of the covered commodity to consumers, of
the country of origin of the covered commodity.
(2) DESIGNATION OF COUNTRY OF ORIGIN FOR BEEF, LAMB,
PORK, CHICKEN, AND GOAT MEAT.—
(A) UNITED STATES COUNTRY OF ORIGIN.—A retailer of
a covered commodity that is beef, lamb, pork, chicken, or
goat meat may designate the covered commodity as exclusively having a United States country of origin only if the
covered commodity is derived from an animal that was—
(i) exclusively born, raised, and slaughtered in the
United States;
(ii) born and raised in Alaska or Hawaii and transported for a period of not more than 60 days through
Canada to the United States and slaughtered in the
United States; or
(iii) present in the United States on or before July
15, 2008, and once present in the United States, remained continuously in the United States.
(B) MULTIPLE COUNTRIES OF ORIGIN.—
(i) IN GENERAL.—A retailer of a covered commodity
that is beef, lamb, pork, chicken, or goat meat that is
derived from an animal that is—
(I) not exclusively born, raised, and slaughtered in the United States,
(II) born, raised, or slaughtered in the United
States, and
(III) not imported into the United States for
immediate slaughter,
may designate the country of origin of such covered
commodity as all of the countries in which the animal
may have been born, raised, or slaughtered.
(ii) RELATION TO GENERAL REQUIREMENT.—Nothing
in this subparagraph alters the mandatory requirement to inform consumers of the country of origin of
covered commodities under paragraph (1).
(C) IMPORTED FOR IMMEDIATE SLAUGHTER.—A retailer
of a covered commodity that is beef, lamb, pork, chicken,
or goat meat that is derived from an animal that is imported into the United States for immediate slaughter shall
designate the origin of such covered commodity as—
(i) the country from which the animal was imported; and
(ii) the United States.
(D) FOREIGN COUNTRY OF ORIGIN.—A retailer of a covered commodity that is beef, lamb, pork, chicken, or goat
meat that is derived from an animal that is not born,
raised, or slaughtered in the United States shall designate
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a country other than the United States as the country of
origin of such commodity.
(E) GROUND BEEF, PORK, LAMB, CHICKEN, AND GOAT.—
The notice of country of origin for ground beef, ground
pork, ground lamb, ground chicken, or ground goat shall
include—
(i) a list of all countries of origin of such ground
beef, ground pork, ground lamb, ground chicken, or
ground goat; or
(ii) a list of all reasonably possible countries of origin of such ground beef, ground pork, ground lamb,
ground chicken, or ground goat.
(3) DESIGNATION OF COUNTRY OF ORIGIN FOR FISH.—
(A) IN GENERAL.—A retailer of a covered commodity
that is farm-raised fish or wild fish may designate the covered commodity as having a United States country of origin
only if the covered commodity—
(i) in the case of farm-raised fish, is hatched,
raised, harvested, and processed in the United States;
and
(ii) in the case of wild fish, is—
(I) harvested in the United States, a territory
of the United States, or a State, or by a vessel that
is documented under chapter 121 of title 46,
United States Code, or registered in the United
States; and
(II) processed in the United States, a territory
of the United States, or a State, including the waters thereof, or aboard a vessel that is documented
under chapter 121 of title 46, United States Code,
or registered in the United States.
(B) DESIGNATION OF WILD FISH AND FARM-RAISED
FISH.—The notice of country of origin for wild fish and
farm-raised fish shall distinguish between wild fish and
farm-raised fish.
(4) DESIGNATION OF COUNTRY OF ORIGIN FOR PERISHABLE
AGRICULTURAL COMMODITIES, GINSENG, PEANUTS, PECANS, AND
MACADAMIA NUTS.—
(A) IN GENERAL.—A retailer of a covered commodity
that is a perishable agricultural commodity, ginseng, peanut, pecan, or macadamia nut may designate the covered
commodity as having a United States country of origin only
if the covered commodity is exclusively produced in the
United States.
(B) STATE, REGION, LOCALITY OF THE UNITED STATES.—
With respect to a covered commodity that is a perishable
agricultural commodity, ginseng, peanut, pecan, or macadamia nut produced exclusively in the United States, designation by a retailer of the State, region, or locality of the
United States where such commodity was produced shall
be sufficient to identify the United States as the country of
origin.
(b) EXEMPTION FOR FOOD SERVICE ESTABLISHMENTS.—Subsection (a) shall not apply to a covered commodity if the covered
commodity is—
(1) prepared or served in a food service establishment; and
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(2)(A) offered for sale or sold at the food service establishment in normal retail quantities; or
(B) served to consumers at the food service establishment.
(c) METHOD OF NOTIFICATION.—
(1) IN GENERAL.—The information required by subsection
(a) may be provided to consumers by means of a label, stamp,
mark, placard, or other clear and visible sign on the covered
commodity or on the package, display, holding unit, or bin containing the commodity at the final point of sale to consumers.
(2) LABELED COMMODITIES.—If the covered commodity is already individually labeled for retail sale regarding country of
origin, the retailer shall not be required to provide any additional information to comply with this section.
(d) AUDIT VERIFICATION SYSTEM.—
(1) IN GENERAL.—The Secretary may conduct an audit of
any person that prepares, stores, handles, or distributes a covered commodity for retail sale to verify compliance with this
subtitle (including the regulations promulgated under section
284(b)).
(2) RECORD REQUIREMENTS.—
(A) IN GENERAL.—A person subject to an audit under
paragraph (1) shall provide the Secretary with verification
of the country of origin of covered commodities. Records
maintained in the course of the normal conduct of the business of such person, including animal health papers, import or customs documents, or producer affidavits, may
serve as such verification.
(B) PROHIBITION ON REQUIREMENT OF ADDITIONAL
RECORDS.—The Secretary may not require a person that
prepares, stores, handles, or distributes a covered commodity to maintain a record of the country of origin of a
covered commodity other than those maintained in the
course of the normal conduct of the business of such person.
(e) INFORMATION.—Any person engaged in the business of supplying a covered commodity to a retailer shall provide information
to the retailer indicating the country of origin of the covered commodity.
(f) CERTIFICATION OF ORIGIN.—
(1) MANDATORY IDENTIFICATION.—The Secretary shall not
use a mandatory identification system to verify the country of
origin of a covered commodity.
(2) EXISTING CERTIFICATION PROGRAMS.—To certify the
country of origin of a covered commodity, the Secretary may
use as a model certification programs in existence on the date
of enactment of this Act, including—
(A) the carcass grading and certification system carried
out under this Act;
(B) the voluntary country of origin beef labeling system
carried out under this Act;
(C) voluntary programs established to certify certain
premium beef cuts;
(D) the origin verification system established to carry
out the child and adult care food program established
under section 17 of the Richard B. Russell National School
Lunch Act (42 U.S.C. 1766); or
September 27, 2010

Q:\COMP\AGMISC\AGMAR46

Sec. 283

AGRICULTURAL MARKETING ACT OF 1946

7–36

(E) the origin verification system established to carry
out the market access program under section 203 of the
Agricultural Trade Act of 1978 (7 U.S.C. 5623).
SEC. 283. ø7 U.S.C. 1638b¿ ENFORCEMENT.

(a) WARNINGS.—If the Secretary determines that a retailer or
person engaged in the business of supplying a covered commodity
to a retailer is in violation of section 282, the Secretary shall—
(1) notify the retailer of the determination of the Secretary;
and
(2) provide the retailer a 30-day period, beginning on the
date on which the retailer receives the notice under paragraph
(1) from the Secretary, during which the retailer may take necessary steps to comply with section 282.
(b) FINES.—If, on completion of the 30-day period described in
subsection (a)(2), the Secretary determines that the retailer or person engaged in the business of supplying a covered commodity to
a retailer has—
(1) not made a good faith effort to comply with section 282,
and
(2) continues to willfully violate section 282 with respect to
the violation about which the retailer or person received notification under subsection (a)(1),
after providing notice and an opportunity for a hearing before the
Secretary with respect to the violation, the Secretary may fine the
retailer or person in an amount of not more than $1,000 for each
violation.
SEC. 284. ø7 U.S.C. 1638c¿ REGULATIONS.

(a) GUIDELINES.—Not later than September 30, 2002, the Secretary shall issue guidelines for the voluntary country of origin labeling of covered commodities based on the requirements of section
282.
(b) REGULATIONS.—Not later than September 30, 2004, the Secretary shall promulgate such regulations as are necessary to implement this subtitle.
(c) PARTNERSHIPS WITH STATES.—In promulgating the regulations, the Secretary shall, to the maximum extent practicable, enter
into partnerships with States with enforcement infrastructure to
assist in the administration of this subtitle.
SEC. 285. ø7 U.S.C. 1638d¿ APPLICABILITY.

This subtitle shall apply to the retail sale of a covered commodity beginning September 30, 2008, except for ‘‘farm-raised fish’’
and ‘‘wild fish’’ which shall be September 30, 2004.

September 27, 2010


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