Subtitle A—Crop Insurance

SEC. 10001. EQUAL CROP INSURANCE TREATMENT OF POTATOES AND SWEET POTATOES.

Section 508(a)(2) of the Federal Crop Insurance Act (7 U.S.C. 1508(a)(2)) is amended in the first sentence by striking ‘‘and potatoes’’ and inserting ‘‘, potatoes, and sweet potatoes’’.

SEC. 10002. CONTINUOUS COVERAGE.

Section 508(e)(4) of the Federal Crop Insurance Act (7 U.S.C. 1508(e)(4)) is amended—

(1) in the paragraph heading, by striking ‘‘TEMPORARY PROHIBITION’’ and inserting ‘‘PROHIBITION’’; and

(2) by striking ‘‘through 2005’’ and inserting ‘‘and subsequent’’.

SEC. 10003. QUALITY LOSS ADJUSTMENT PROCEDURES.

Section 508(m) of the Federal Crop Insurance Act (7 U.S.C. 1508(m)) is amended—

(1) in paragraph (3)—

(A) by striking ‘‘The Corporation’’ and inserting the following:

‘‘(A) REVIEW.—The Corporation’’; and

(B) by striking ‘‘Based on’’ and inserting the following:

‘‘(B) PROCEDURES.—Effective beginning not later than the 2004 reinsurance year, based on’’; and

(2) by adding at the end the following:

‘‘(4) QUALITY OF AGRICULTURAL COMMODITIES DELIVERED TO WAREHOUSE OPERATORS.—In administering this title, the Secretary shall accept, in the same manner and under the same terms and conditions, evidence of the quality of agricultural commodities delivered to—

‘‘(A) warehouse operators that are licensed under the United States Warehouse Act (7 U.S.C. 241 et seq.);

‘‘(B) warehouse operators that—

‘‘(i) are licensed under State law; and

‘‘(ii) have entered into a storage agreement with the Commodity Credit Corporation; and

‘‘(C) warehouse operators that—

‘‘(i) are not licensed under State law but are in compliance with State law regarding warehouses; and

‘‘(ii) have entered into a commodity storage agreement with the Commodity Credit Corporation.’’.

SEC. 10004. ADJUSTED GROSS REVENUE INSURANCE PILOT PROGRAM.

Section 523 of the Federal Crop Insurance Act (7 U.S.C. 1523) is amended by adding at the end the following:

‘‘(e) ADJUSTED GROSS REVENUE INSURANCE PILOT PROGRAM.—

‘‘(1) IN GENERAL.—The Corporation shall carry out, through at least the 2004 reinsurance year, the adjusted gross revenue insurance pilot program in effect for the 2002 reinsurance year.

‘‘(2) ADDITIONAL COUNTIES.—

‘‘(A) IN GENERAL.—In addition to counties otherwise included in the pilot program, the Corporation shall include in the pilot program for the 2003 reinsurance year at least 8 counties in the State of California and at least 8 counties in the State of Pennsylvania.

‘‘(B) SELECTION CRITERIA.—In carrying out subparagraph

 (A), the Corporation shall work with the respective State Departments of Agriculture to establish criteria to determine which counties to include in the pilot program.’’.

SEC. 10005. SENSE OF CONGRESS ON EXPANSION OF CROP INSURANCE

COVERAGE.

It is the sense of Congress that the Federal Crop Insurance Corporation should address needs of producers through the expansion of pilot programs and coverage under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.), including—

(1) crop revenue insurance for the producers of pecans in the State of Georgia; and

(2) coverage for continuous crops of wheat produced in the State of Kansas.

SEC. 10006. REPORT ON SPECIALTY CROP INSURANCE.

Not later than 180 days after the date of enactment of this Act, the Secretary of Agriculture 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 that

describes—

(1) the progress made by the Federal Crop Insurance Corporation in research and development of innovative risk management products to include cost of production insurance that provides coverage for specialty crops, paying special attention to apples, asparagus, blueberries (wild and domestic), cabbage, canola, carrots, cherries, Christmas trees, citrus fruits, cucumbers, dry beans, eggplants, floriculture, grapes, greenhouse and nursery agricultural commodities, green peas, green peppers, hay, lettuce, maple, mushrooms, pears, potatoes, pumpkins, snap beans, spinach, squash, strawberries, sugar beets, and tomatoes; and

(2) the progress made by the Corporation in increasing the use of risk management products offered through the Corporation by producers of specialty crops, by small- and moderate-sized farms, and in areas that are underserved, as determined by the Secretary.