7 U.S.C. § 1506 : US Code - Section 1506: General powers

Search 7 U.S.C. § 1506 : US Code - Section 1506: General powers

(a) Succession
The Corporation shall have succession in its corporate name.
(b) Corporate seal
The Corporation may adopt, alter, and use a corporate seal, which
shall be judicially noticed.
(c) Property
The Corporation may purchase or lease and hold such real and
personal property as it deems necessary or convenient in the
transaction of its business, and may dispose of such property held
by it upon such terms as it deems appropriate.
(d) Suit
The Corporation, subject to the provisions of section 1508(j) of
this title, may sue and be sued in its corporate name, but no
attachment, injunction, garnishment, or other similar process,
mesne or final, shall be issued against the Corporation or its
property. The district courts of the United States, including the
district courts of the District of Columbia and of any territory or
possession, shall have exclusive original jurisdiction, without
regard to the amount in controversy, of all suits brought by or
against the Corporation. The Corporation may intervene in any court
in any suit, action, or proceeding in which it has an interest. Any
suit against the Corporation shall be brought in the District of
Columbia, or in the district wherein the plaintiff resides or is
engaged in business.
(e) Bylaws and regulations
The Corporation may adopt, amend, and repeal bylaws, rules, and
regulations governing the manner in which its business may be
conducted and the powers granted to it by law may be exercised and
enjoyed.
(f) Mails
The Corporation shall be entitled to the use of the United States
mails in the same manner as the other executive agencies of the
Government.
(g) Assistance
The Corporation, with the consent of any board, commission,
independent establishment, or executive department of the
Government, including any field service thereof, may avail itself
of the use of information, services, facilities, officials, and
employees thereof in carrying out the provisions of this chapter.
(h) Collection and sharing of information
(1) Surveys and investigations
The Corporation may conduct surveys and investigations relating
to crop insurance, agriculture-related risks and losses, and
other issues related to carrying out this chapter.
(2) Data collection
The Corporation shall assemble data for the purpose of
establishing sound actuarial bases for insurance on agricultural
commodities.
(3) Sharing of records
Notwithstanding section 1502(c) of this title, records
submitted in accordance with this chapter and section 7333 of
this title shall be available to agencies and local offices of
the Department, appropriate State and Federal agencies and
divisions, and approved insurance providers for use in carrying
out this chapter, such section 7333 of this title, and other
agricultural programs.
(i) Expenditures
The Corporation shall determine the character and necessity for
its expenditures under this chapter and the manner in which they
shall be incurred, allowed, and paid, without regard to the
provisions of any other laws governing the expenditure of public
funds and such determinations shall be final and conclusive upon
all other officers of the Government.
(j) Settling claims
The Corporation shall have the authority to make final and
conclusive settlement and adjustment of any claim by or against the
Corporation or a fiscal officer of the Corporation.
(k) Other powers
The Corporation shall have such powers as may be necessary or
appropriate for the exercise of the powers herein specifically
conferred upon the Corporation and all such incidental powers as
are customary in corporations generally.
(l) Contracts
The Corporation may enter into and carry out contracts or
agreements, and issue regulations, necessary in the conduct of its
business, as determined by the Board. State and local laws or rules
shall not apply to contracts, agreements, or regulations of the
Corporation or the parties thereto to the extent that such
contracts, agreements, or regulations provide that such laws or
rules shall not apply, or to the extent that such laws or rules are
inconsistent with such contracts, agreements, or regulations.
(m) Submission of certain information
(1) Social security account and employer identification numbers
The Corporation shall require, as a condition of eligibility
for participation in the multiple peril crop insurance program,
submission of social security account numbers, subject to the
requirements of section 405(c)(2)(C)(iii) (!1) of title 42, and
employer identification numbers, subject to the requirements of
section 6109(f) of title 26.
(2) Notification by policyholders
Each policyholder shall notify each individual or other entity
that acquires or holds a substantial beneficial interest in such
policyholder of the requirements and limitations under this
chapter.
(3) Identification of holders of substantial interests
The Manager of the Corporation may require each policyholder to
provide to the Manager, at such times and in such manner as
prescribed by the Manager, the name of each individual that holds
or acquires a substantial beneficial interest in the
policyholder.
(4) "Substantial beneficial interest" defined
For purposes of this subsection, the term "substantial
beneficial interest" means not less than 5 percent of all
beneficial interests in the policyholder.
(n) Penalties
(1) False information
If a person willfully and intentionally provides any false or
inaccurate information to the Corporation or to any insurer with
respect to an insurance plan or policy under this chapter, the
Corporation may, after notice and an opportunity for a hearing on
the record - 
(A) impose a civil fine of not to exceed $10,000 on the
person; and
(B) disqualify the person from purchasing catastrophic risk
protection or receiving noninsured assistance for a period of
not to exceed 2 years, or from receiving any other benefit
under this chapter for a period of not to exceed 10 years.
(2) Assessment of penalty
In assessing penalties under this subsection, the Corporation
shall consider the gravity of the violation.
(o) Actuarial soundness
(1) Projected loss ratio as of October 1, 1995
The Corporation shall take such actions as are necessary to
improve the actuarial soundness of Federal multiperil crop
insurance coverage made available under this chapter to achieve,
on and after October 1, 1995, an overall projected loss ratio of
not greater than 1.1, including - 
(A) instituting appropriate requirements for documentation of
the actual production history of insured producers to establish
recorded or appraised yields for Federal crop insurance
coverage that more accurately reflect the associated actuarial
risk, except that the Corporation may not carry out this
paragraph in a manner that would prevent beginning farmers (as
defined by the Secretary) from obtaining Federal crop
insurance;
(B) establishing in counties, to the extent practicable, a
crop insurance option based on area yields in a manner that
allows an insured producer to qualify for an indemnity if a
loss has occurred in a specified area in which the farm of the
insured producer is located;
(C) establishing a database that contains the social security
account and employee identification numbers of participating
producers, agents, and loss adjusters and using the numbers to
identify insured producers, agents, and loss adjusters who are
high risk for actuarial purposes and insured producers who have
not documented at least 4 years of production history, to
assess the performance of insurance providers, and for other
purposes permitted by law; and
(D) taking any other measures authorized by law to improve
the actuarial soundness of the Federal crop insurance program
while maintaining fairness and effective coverage for
agricultural producers.
(2) Projected loss ratio as of October 1, 1998
The Corporation shall take such actions, including the
establishment of adequate premiums, as are necessary to improve
the actuarial soundness of Federal multiperil crop insurance made
available under this chapter to achieve, on and after October 1,
1998, an overall projected loss ratio of not greater than 1.075.
(3) Nonstandard classification system
To the extent that the Corporation uses the nonstandard
classification system, the Corporation shall apply the system to
all insured producers in a fair and consistent manner.
(p) Regulations
The Secretary and the Corporation are each authorized to issue
such regulations as are necessary to carry out this chapter.
(q) Purchase of American-made equipment and products
(1) Sense of Congress
It is the sense of Congress that, to the greatest extent
practicable, all equipment and products purchased by the
Corporation using funds made available to the Corporation should
be American-made.
(2) Notice requirement
In providing financial assistance to, or entering into any
contract with, any entity for the purchase of equipment and
products to carry out this chapter, the Corporation, to the
greatest extent practicable, shall provide to the entity a notice
describing the statement made in paragraph (1).
(r) Procedures for responding to certain inquiries
(1) Procedures required
The Corporation shall establish procedures under which the
Corporation will provide a final agency determination in response
to an inquiry regarding the interpretation by the Corporation of
this chapter or any regulation issued under this chapter.
(2) Implementation
Not later than 180 days after June 23, 1998, the Corporation
shall issue regulations to implement this subsection. At a
minimum, the regulations shall establish - 
(A) the manner in which inquiries described in paragraph (1)
are required to be submitted to the Corporation; and
(B) a reasonable maximum number of days within which the
Corporation will respond to all inquiries.
(3) Effect of failure to timely respond
If the Corporation fails to respond to an inquiry in accordance
with the procedures established pursuant to this subsection, the
person requesting the interpretation of this chapter or
regulation may assume the interpretation is correct for the
applicable reinsurance year.