Quality Loss Adjustment Improvement for Farmers Act

(1) in paragraph (3)—

(A) by striking subparagraph (A) and inserting the following:

Beginning in calendar year 2024, and once every 5 years thereafter, the Corporation shall contract with a qualified person to conduct a review of the quality loss adjustment procedures of the Corporation, each of which shall be completed not later than 1 year after the date of commencement of the review.

(B) in subparagraph (B), by striking Effective beginning not later than the 2004 reinsurance year, based on the review, the Corporation and inserting Based on each review conducted under subparagraph (A), the Corporation;

(C) by redesignating subparagraph (B) as subparagraph (C);

(D) by inserting after subparagraph (A) the following:

Each review under subparagraph (A) shall include engagement from regionally diverse industry stakeholders for each agricultural commodity for which a quality loss adjustment is offered.

(D) ; and

(E) by adding at the end the following:

On the completion of each review under subparagraph (A), the Corporation shall submit to the Committee on Agriculture, Nutrition, and Forestry of the Senate and the Committee on Agriculture of the House of Representatives a report that describes—

(i) findings from that review;

(ii) changes to the quality loss adjustment procedures; and

(iii) the stakeholder engagement for that review under subparagraph (B).

(E) ; and

(2) by adding at the end the following:

In this paragraph, the term covered declaration means—

(i) a disaster declaration by the Secretary;

(ii) a major disaster declared by the President under section 401 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170); and

(iii) an emergency declared by the President under section 501 of that Act (42 U.S.C. 5191).

In the event of a covered declaration for a State or region, or the occurrence of a salvage market for soybeans in a State or region, the Corporation shall establish a State or regional discount factor, as applicable, to reflect the average quality discounts applied to the local or regional market prices of the soybean crop.

Any State or regional discount factor established under subparagraph (B) shall be included in—

(i) the applicable periodic review conducted under paragraph (3)(A); and

(ii) the report described in paragraph (3)(D).