[House Report 117-129]
[From the U.S. Government Publishing Office]


117th Congress   }                                      {       Report
                        HOUSE OF REPRESENTATIVES
 1st Session     }                                      {      117-129

======================================================================



 
                     AGRICULTURAL FAIRS RESCUE ACT

                                _______
                                

 September 27, 2021.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

    Mr. David Scott of Georgia, from the Committee on Agriculture, 
                        submitted the following

                              R E P O R T

                        [To accompany H.R. 2424]

    The Committee on Agriculture, to whom was referred the bill 
(H.R. 2424) to direct the Secretary of Agriculture to establish 
a program under which the Secretary awards grants to States or 
State departments of agriculture for the purposes of providing 
support to agricultural fairs for losses sustained due to 
COVID-19, having considered the same, reports favorably thereon 
with an amendment and recommends that the bill as amended do 
pass.
    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This act may be cited as the ``Agricultural Fairs Rescue Act''.

SEC. 2. AGRICULTURAL FAIR RESCUE GRANTS.

  (a) In General.--Not later than 180 days after the date on which 
funds are made available to carry out this section, the Secretary of 
Agriculture, acting through the Administrator of the Agricultural 
Marketing Service, shall award a grant to each State department of 
agriculture (or other appropriate State agency assigned with the 
promotion of agricultural fairs) for the purposes of providing support 
to eligible agricultural fairs for losses sustained by such fairs due 
to COVID-19.
  (b) Amount of Grant.--The amount of a grant to a State or State 
department of agriculture under this section shall be based on the 
difference between the average attendance at agricultural fairs in the 
State for a calendar year occurring during the 3-calendar-year period 
beginning with calendar year 2017 (or over a shorter period, if 
attendance data is not available for the entire 3-calendar-year period) 
compared to calendar year 2020.
  (c) Conditions.--As a condition on the receipt of a grant under this 
section, a State or State department of agriculture shall agree--
          (1) to prioritize supporting eligible agricultural fairs in 
        the State facing the greatest financial hardship; and
          (2) to use not more than 5 percent of grant funds for 
        administrative costs incurred in providing support to eligible 
        agricultural fairs.
  (d) Use of Funds.--A State or State department of agriculture 
selected to receive a grant under this section may only use grant funds 
to assist eligible agricultural fairs that--
          (1) host annual events that are drivers and promoters of 
        agribusiness in the State (as determined by the State);
          (2) have experienced a closure, stoppage, or cancellation of 
        a local, county or State fair operations as a direct or 
        indirect result of--
                  (A) the COVID-19 national emergency; or
                  (B) any associated actions taken by any governmental 
                authority at the Federal, State, county, or municipal 
                level in response to that national emergency;
          (3) agree to, and demonstrate the intent to, re-establish a 
        fair within 18 months of the termination of the declaration 
        specified in subsection (f)(2);
          (4) agree to use all grant funds within the 18-month period 
        that begins on the date on which such funds are received; and
          (5) agree to use funds received pursuant to this section for 
        operating capital expenses, to reimburse operating expenses 
        paid from reserves not originally intended for operating 
        expenses, repay indebtedness incurred to pay operating 
        expenses, or repay other third parties that contributed to 
        funding operating expenses, but not for capital improvements.
  (e) Funding.--
          (1) In general.--There is authorized to be appropriated to 
        make grants under this section $500,000,000 for fiscal year 
        2022, each succeeding fiscal year occurring during the COVID-19 
        national emergency, and the first fiscal year immediately 
        following the termination of such national emergency.
          (2) Administrative expenses.--Of the funds made available 
        under paragraph (1) to carry out this section for a fiscal 
        year, not more than 8 percent may be used for expenses related 
        to administering the program under this section.
  (f) Definitions.--In this section:
          (1) Eligible agricultural fair.--The term ``eligible 
        agricultural fair'' means a local, county, or State fair that--
                  (A) is a subunit of a government entity, a public 
                corporation organized and existing pursuant to State 
                law, or is owned and operated as a not-for-profit 
                organization described in section 501(c) of the 
                Internal Revenue Code of 1986 and exempt from taxation 
                under section 501(a) of such Code; and
                  (B) helps farmers, ranchers, or foresters--
                          (i) promote their products; or
                          (ii) expand agricultural markets through 
                        conservation programs, agricultural research, 
                        educational programs, or other events that 
                        encourage agriculture, horticulture, and the 
                        domestic arts.
          (2) COVID-19 national emergency.--The term ``COVID-19 
        national emergency'' means the national emergency declared by 
        the President under the National Emergencies Act (50 U.S.C. 
        1601 et seq.) on March 13, 2020, with respect to COVID-19.
          (3) State.--The term ``State'' means the several States, the 
        District of Columbia, the Commonwealth of Puerto Rico, Guam, 
        American Samoa, the United States Virgin Islands, and the 
        Commonwealth of the Northern Mariana Islands.
          (4) State department of agriculture.--The term ``State 
        department of agriculture'' means the agency, commission, or 
        department of a State government responsible for agriculture in 
        the State.

                           BRIEF EXPLANATION

    This legislation, as reported out of Committee, authorizes 
the Agricultural Marketing Service of the Department of 
Agriculture to establish a program to award grants to State 
departments of agriculture to provide support to agricultural 
fairs for losses sustained by such fairs due to COVID-19.

                    PURPOSE AND NEED FOR LEGISLATION

    Agricultural fairs promote and market U.S. agribusiness 
products and services; develop and administer programs to 
assist agribusinesses in expanding; and contribute to the 
development of agribusiness by conducting educational programs, 
demonstrations, contests, and exhibits. They also encourage and 
develop the next generation of America's food producers by 
cultivating a passion for agriculture in students and 
supporting beginning farmers and ranchers.
    Like many other industries in the United States, fairs 
suffered tremendous losses as a result of the COVID-19 national 
emergency. Fair disruptions and cancellations impacted not only 
a primary source for the promotion of U.S. agribusiness, but 
also thousands of associated jobs and the economic impact fairs 
bring to their communities. Prior to the national emergency, 
around 2,000 fairs were held each year in North America, with 
U.S. fairs estimated to generate $4.67 billion each year. 
However, an overwhelming majority of fairs were not held in 
2020.
    H.R. 2424 helps preserve agricultural fairs across the 
country and offset the devastating financial losses they have 
experienced due to COVID-19.

              H.R. 2424, THE AGRICULTURAL FAIRS RESCUE ACT

                           SECTION-BY-SECTION

Section 1. Short title

    Section 1 provides the short title of the bill as the 
``Agricultural Fairs Rescue Act.''

Section 2. Agricultural fair rescue grants

    Subsection (a) requires that the Secretary of Agriculture, 
acting through the Agricultural Marketing Service, award grants 
to each State department of agriculture or other appropriate 
State agency assigned to promote agricultural fairs to support 
eligible agricultural fairs for their losses due to COVID-19. 
This is to occur not later than 180 days after funds are made 
available to carry out this section.
    Subsection (b) requires that the amount of the grant 
provided to the State department of agriculture or other 
appropriate State agency would be based on the difference 
between the average attendance at agricultural fairs in the 
State in calendar years 2017 through 2019, compared to 
attendance in calendar year 2020.
    Subsection (c) provides that a State department of 
agriculture or other appropriate State agency shall agree to 
prioritize supporting eligible agricultural fairs in the State 
facing the greatest financial hardship and use not more than 5 
percent of the grant funds for administrative costs incurred in 
providing support to eligible agricultural fairs.
    Subsection (d) allows the State department of agriculture 
or other appropriate State agency to use grant funds to assist 
eligible agricultural fairs that: (1) host annual events that 
promote agribusiness in the State; that have experienced a 
closure, stoppage, or cancellation of a local, county, or State 
fair operation as a result of the COVID-19 national emergency; 
(2) agree to re-establish a fair within 18 months of the 
termination of the COVID-19 national emergency; (3) agree to 
use all grant funds within 18 months after the receipt of the 
funds; and (4) agree to use grant funds on operating capital 
expenses, including reimbursing and repaying debt related to 
operating expenses.
    Subsection (e) authorizes $500 million for Fiscal Year 2022 
and in each succeeding year where there is a national emergency 
declared by the President with respect to COVID-19, through the 
first fiscal year immediately following the termination of the 
national emergency. The Secretary may use up to 8 percent of 
such funds for administrative expenses related to administering 
the grant program.
    Subsection (f) defines ``eligible agricultural fair'' to 
mean a local, county, or State fair that is a subunit of a 
government entity, a public corporation under State law, or a 
nonprofit that helps farmers, ranchers, or foresters promote 
their products or expand agricultural markets through 
conservation programs, agricultural research, educational 
programs, or other events that encourage agriculture, 
horticulture, and the domestic arts. The subsection also 
defines ``COVID-19 national emergency'' to mean the national 
emergency declared by the President under the National 
Emergencies Act on March 13, 2020, with respect to COVID-19. 
``State'' is defined to mean the several States, the District 
of Columbia, the Commonwealth of Puerto Rico, Guam, American 
Samoa, the United States Virgin Islands, and the Commonwealth 
of the Northern Mariana Islands. ``State department of 
agriculture'' is defined to mean the agency, commission, or 
department of a State government responsible for agriculture in 
the State.

                        COMMITTEE CONSIDERATION

    On September 21, 2021, the Committee on Agriculture met 
pursuant to notice, with a quorum present, to consider H.R. 
2424, the Agricultural Fairs Rescue Act. Chairman Scott made an 
opening statement as did Ranking Member Thompson. Chairman 
Scott requested other Members submit their opening statements 
for the record. Without objection, the Agricultural Fairs 
Rescue Act was placed before the Committee for consideration, a 
first reading of the bill was waived, and it was opened for 
amendment at any point.
    Chairman Scott recognized Mr. Panetta to offer an amendment 
to make technical timing changes that would push back the date 
for the Secretary to award grants and authorize funds beginning 
in Fiscal Year 2022. After discussion, the amendment passed by 
a voice vote. Chairman Scott recognized Mr. Lawson to offer an 
amendment to include 2021 as an option for comparison when 
determining the amount of grants. After discussion, the 
amendment was withdrawn. There being no further amendments, Mr. 
Panetta moved that H.R. 2424, as amended, be reported favorably 
to the House, with the recommendation that the bill be agreed 
to and the bill pass. The motion was subsequently approved by 
voice vote.
    At the conclusion of the meeting, Chairman Scott advised 
Members that pursuant to the Rules of the House of 
Representatives, Members had until September 24, 2021 to file 
any supplemental, additional, dissenting, or minority views 
with the Committee. Without objection, staff was given 
permission to make any necessary technical, clarifying, or 
conforming changes to reflect the intent of the Committee. 
Chairman Scott thanked all the Members and adjourned the 
meeting.

                            COMMITTEE VOTES

    In compliance with clause 3(b) of rule XIII of the House of 
Representatives, H.R. 2424 was reported by voice vote with a 
majority quorum present. There was no request for a recorded 
vote.

                      COMMITTEE OVERSIGHT FINDINGS

    Pursuant to clause 3(d)(2) of rule XIII of the Rules of the 
House of Representatives, the Committee report incorporates the 
cost estimates prepared by the Direction of the Congressional 
Office pursuant to sections 402 and 423 of the Congressional 
Budget Act of 1974.

          COST OF LEGISLATION AND THE CONGRESSIONAL BUDGET ACT

    With respect to the requirements of clause 3(c)(2) of rule 
XIII of the Rules of the House of Representatives and section 
308(a) of the Congressional Budget Act of 1974 and with respect 
to requirements of clause (3)(c)(3) of rule XIII of the Rules 
of the House of Representatives and section 402 of the 
Congressional Budget Act of 1974, the Committee has requested 
but not received a cost estimate for this bill from the 
Director of Congressional Budget Office. The Committee adopts 
as its own cost estimate the forthcoming cost estimate of the 
Director of the Congressional Budget Office, should such cost 
estimate be made available before House passage of the bill.
    The Committee has requested but not received from the 
Director of the Congressional Budget Office a statement as to 
whether this bill contains any new budget authority, spending 
authority, credit authority, or an increase or decrease in 
revenues or tax expenditures. Congressional Budget Office staff 
has informed the Committee on a preliminary, informal, 
nonbinding basis that there does not appear to be any revenue 
effects or direct spending associated with the bill.

                   CONSTITUTIONAL AUTHORITY STATEMENT

    The Committee finds the Constitutional authority for this 
legislation in Article I, section 8, clause 18, that grants 
Congress the power to make all laws necessary and proper for 
carrying out the powers vested by Congress in the consideration 
of the United States or in any department or officer thereof.

                    PERFORMANCE GOALS AND OBJECTIVES

    Pursuant to clause 3(c)(4) of rule XIII of the House of 
Representatives, the performance goals and objectives of this 
measure are to support agricultural fairs that have experienced 
a closure, stoppage, or cancellation of operations due to the 
COVID-19 national emergency.

                      ADVISORY COMMITTEE STATEMENT

    No advisory committee within the meaning of section 5(b) of 
the Federal Advisory Committee Act was created by this 
legislation.

                APPLICABILITY TO THE LEGISLATIVE BRANCH

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act (Public Law 
104-1).

                       FEDERAL MANDATES STATEMENT

    An estimate of Federal mandates prepared by the Director of 
the Congressional Budget Office pursuant to section 423 of the 
Unfunded Mandates Reform Act was not made available to the 
Committee in time for the filing of this report. The Chair of 
the Committee shall cause such estimate to be printed in the 
Congressional Record upon its receipt by the Committee.

                           EARMARK STATEMENT

    This measure does not contain any congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined in 
clause 9(e), 9(f), or 9(g) of rule XXI of the House of 
Representatives.

                    DUPLICATION OF FEDERAL PROGRAMS

    This measure does not establish or reauthorize a program of 
the Federal Government known to be duplicative of another 
Federal program, a program that was included in any report from 
Government Accountability Office to Congress pursuant to 
section 21 of Public Law 111-139, or a program related to a 
program in the most recent Catalog of Federal Domestic 
Assistance.

                  DISCLOSURE OF DIRECTED RULE MAKINGS

    The Committee does not believe that the legislation directs 
an Executive Branch official to conduct any specific rule 
making proceedings within the meaning of 5 U.S.C. 551.

                                  [all]