{"identifier":"/us/usc/t7/s2003","title":7,"num":"\u00a7\u202f2003.","heading":"Target participation rates","text":"\u00a7\u202f2003.\nTarget participation rates\n(a)\nEstablishment\n(1)\nIn general\nThe Secretary shall establish annual target participation rates, on a county wide basis, that shall ensure that members of socially disadvantaged groups will receive loans made or insured under subchapter I and will have the opportunity to purchase or lease inventory farmland.\n(2)\nGroup population\nExcept as provided in paragraph (3), in establishing such target rates the Secretary shall take into consideration the portion of the population of the county made up of such groups, and the availability of inventory farmland in such county.\n(3)\nGender\nWith respect to gender, target participation rates shall take into consideration the number of current and potential socially disadvantaged farmers and ranchers in a State in proportion to the total number of farmers and ranchers in the State.\n(b)\nReservation and allocation\n(1)\nReservation\nThe Secretary shall, to the greatest extent practicable, reserve sufficient loan funds made available under subchapter I, for use by members of socially disadvantaged groups identified under target participation rates established under subsection (a).\n(2)\nAllocation\nThe Secretary shall allocate such loans on the basis of the proportion of members of socially disadvantaged groups in a county and the availability of inventory farmland, with the greatest amount of loan funds being distributed in the county with the greatest proportion of socially disadvantaged group members and the greatest amount of available inventory farmland.\n(3)\nIndian reservations\nIn distributing loan funds in counties within the boundaries of an Indian reservation, the Secretary shall allocate the funds on a reservation-wide basis.\n(c)\nOperating loans\n(1)\nEstablishment\nThe Secretary shall establish annual target participation rates, that shall ensure that socially disadvantaged farmers or ranchers will receive loans made or insured under subchapter II. In establishing such target rates, the Secretary shall consider the number of socially disadvantaged farmers and ranchers in a State in proportion to the total number of farmers and ranchers in that State.\n(2)\nReservation and allocation\nThe Secretary shall, to the greatest extent practicable, reserve and allocate the proportion of each State\u2019s loan funds made available under subchapter II that is equal to that State\u2019s target participation rate for use by the socially disadvantaged farmers or ranchers in that State. The Secretary shall, to the extent practicable, distribute the total so derived on a county by county basis according to the number of socially disadvantaged farmers or ranchers in the county. Any funds reserved and allocated under this paragraph but not used within a State shall, to the extent necessary to satisfy pending applications under this chapter, be available for use by socially disadvantaged farmers and ranchers in other States, as determined by the Secretary, and any remaining funds shall be reallocated within the State.\n(d)\nReport\nThe Secretary shall prepare and 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 the annual target participation rates and the success in meeting such rates.\n(e)\nDefinitions\n(1)\nSocially disadvantaged group\nAs used in this section, the term \u201csocially disadvantaged group\u201d means a group whose members have been subjected to racial, ethnic, or gender prejudice because of their identity as members of a group without regard to their individual qualities.\n(2)\nSocially disadvantaged farmer or rancher\nAs used in this section, the term \u201csocially disadvantaged farmer or rancher\u201d means a farmer or rancher who is a member of a socially disadvantaged group.\n(f)\nImplementation consistent with Supreme Court holding\nNot later than 180 days after\nApril 4, 1996","url":"https://projectusc.org/usc/t7/s2003.html","content":[{"t":"sec","id":"/us/usc/t7/s2003","children":[{"t":"num","text":"\u00a7\u202f2003."},{"t":"heading","text":"Target participation rates"},{"t":"subsec","id":"/us/usc/t7/s2003/a","children":[{"t":"num","text":"(a)"},{"t":"heading","text":"Establishment"},{"t":"para","id":"/us/usc/t7/s2003/a/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"In general"},{"t":"content","children":[{"t":"p","text":"The Secretary shall establish annual target participation rates, on a county wide basis, that shall ensure that members of socially disadvantaged groups will receive loans made or insured under subchapter I and will have the opportunity to purchase or lease inventory farmland.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s2003/a/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Group population"},{"t":"content","children":[{"t":"p","text":"Except as provided in paragraph (3), in establishing such target rates the Secretary shall take into consideration the portion of the population of the county made up of such groups, and the availability of inventory farmland in such county.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s2003/a/3","children":[{"t":"num","text":"(3)"},{"t":"heading","text":"Gender"},{"t":"content","children":[{"t":"p","text":"With respect to gender, target participation rates shall take into consideration the number of current and potential socially disadvantaged farmers and ranchers in a State in proportion to the total number of farmers and ranchers in the State.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t7/s2003/b","children":[{"t":"num","text":"(b)"},{"t":"heading","text":"Reservation and allocation"},{"t":"para","id":"/us/usc/t7/s2003/b/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"Reservation"},{"t":"content","children":[{"t":"p","text":"The Secretary shall, to the greatest extent practicable, reserve sufficient loan funds made available under subchapter I, for use by members of socially disadvantaged groups identified under target participation rates established under subsection (a).","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s2003/b/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Allocation"},{"t":"content","children":[{"t":"p","text":"The Secretary shall allocate such loans on the basis of the proportion of members of socially disadvantaged groups in a county and the availability of inventory farmland, with the greatest amount of loan funds being distributed in the county with the greatest proportion of socially disadvantaged group members and the greatest amount of available inventory farmland.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s2003/b/3","children":[{"t":"num","text":"(3)"},{"t":"heading","text":"Indian reservations"},{"t":"content","children":[{"t":"p","text":"In distributing loan funds in counties within the boundaries of an Indian reservation, the Secretary shall allocate the funds on a reservation-wide basis.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t7/s2003/c","children":[{"t":"num","text":"(c)"},{"t":"heading","text":"Operating loans"},{"t":"para","id":"/us/usc/t7/s2003/c/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"Establishment"},{"t":"content","children":[{"t":"p","text":"The Secretary shall establish annual target participation rates, that shall ensure that socially disadvantaged farmers or ranchers will receive loans made or insured under subchapter II. In establishing such target rates, the Secretary shall consider the number of socially disadvantaged farmers and ranchers in a State in proportion to the total number of farmers and ranchers in that State.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s2003/c/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Reservation and allocation"},{"t":"content","children":[{"t":"p","text":"The Secretary shall, to the greatest extent practicable, reserve and allocate the proportion of each State\u2019s loan funds made available under subchapter II that is equal to that State\u2019s target participation rate for use by the socially disadvantaged farmers or ranchers in that State. The Secretary shall, to the extent practicable, distribute the total so derived on a county by county basis according to the number of socially disadvantaged farmers or ranchers in the county. Any funds reserved and allocated under this paragraph but not used within a State shall, to the extent necessary to satisfy pending applications under this chapter, be available for use by socially disadvantaged farmers and ranchers in other States, as determined by the Secretary, and any remaining funds shall be reallocated within the State.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t7/s2003/d","children":[{"t":"num","text":"(d)"},{"t":"heading","text":"Report"},{"t":"content","children":[{"t":"p","text":"The Secretary shall prepare and 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 the annual target participation rates and the success in meeting such rates.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t7/s2003/e","children":[{"t":"num","text":"(e)"},{"t":"heading","text":"Definitions"},{"t":"para","id":"/us/usc/t7/s2003/e/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"Socially disadvantaged group"},{"t":"content","children":[{"t":"p","text":"As used in this section, the term \u201csocially disadvantaged group\u201d means a group whose members have been subjected to racial, ethnic, or gender prejudice because of their identity as members of a group without regard to their individual qualities.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s2003/e/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Socially disadvantaged farmer or rancher"},{"t":"content","children":[{"t":"p","text":"As used in this section, the term \u201csocially disadvantaged farmer or rancher\u201d means a farmer or rancher who is a member of a socially disadvantaged group.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t7/s2003/f","children":[{"t":"num","text":"(f)"},{"t":"heading","text":"Implementation consistent with Supreme Court holding"},{"t":"content","children":[{"t":"p","text":"Not later than 180 days after ","children":[{"t":"text","text":"April 4, 1996","tail":", the Secretary shall ensure that the implementation of this section is consistent with the holding of the Supreme Court in Adarand Constructors, Inc. v. Federico Pena, Secretary of Transportation, 115 S. Ct. 2097 (1995)."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"text","text":"\n"},{"t":"text","text":"\n"}]}]}