S.Amdt. 2609

SA 2609. Mrs. GILLIBRAND submitted an amendment intended to be
proposed to amendment SA 2499 proposed by Mr. McConnell to the bill S.
178, to condemn gross human rights violations of ethnic Turkic Muslims
in Xinjiang, and calling for an end to arbitrary detention, torture,
and harassment of these communities inside and outside China; which was
ordered to lie on the table; as follows:

At the appropriate place, insert the following:

SEC. __. DIRECT FARM LOAN FORGIVENESS.

(a) Definitions.--In this section:

[[Page S5305]]

(1) Eligible borrower.--The term ``eligible borrower''
means a borrower of an eligible loan that is actively engaged
in farming (within the meaning of section 1001A of the Food
Security Act of 1985 (7 U.S.C. 1308-1)) with respect to a
farming operation--
(A) for which the eligible loan was made; and
(B) the average annual adjusted gross income for the
previous 5-year period of which is not more than $300,000.
(2) Eligible loan.--The term ``eligible loan'' means a loan
made before March 19, 2020, that is--
(A) a direct farm ownership loan under subtitle A of the
Consolidated Farm and Rural Development Act (7 U.S.C. 1922 et
seq.);
(B) a direct operating loan under subtitle B of the
Consolidated Farm and Rural Development Act (7 U.S.C. 1941 et
seq.); or
(C) an emergency loan under subtitle C of the Consolidated
Farm and Rural Development Act (7 U.S.C. 1961 et seq.).
(3) Secretary.--The term ``Secretary'' means the Secretary
of Agriculture.
(b) Loan Forgiveness.--
(1) In general.--Not later than 1 year after the date on
which the Secretary receives an application under paragraph
(2), subject to paragraphs (3) and (4), the Secretary shall
cancel the obligation to repay the balance of principal and
interest due as of the date of enactment of this Act on an
eligible loan for the eligible borrower.
(2) Applications.--To be eligible for cancellation under
paragraph (1), not later than 1 year after the date of
enactment of this Act, an eligible borrower shall submit to
the Secretary an application, which shall cover all eligible
loans for which the eligible borrower is seeking
cancellation.
(3) Limitations.--The total amount cancelled under
paragraph (1) with respect to a farming operation shall be
not more than $250,000.
(4) Condition.--The cancellation of an obligation under
paragraph (1) shall be subject to the condition that the
applicable eligible borrower shall continue to be actively
engaged in farming (within the meaning of section 1001A of
the Food Security Act of 1985 (7 U.S.C. 1308-1)) for the 2-
year period beginning on the date on which the Secretary
cancels the obligation under that paragraph.
(c) Effect.--An eligible borrower that receives
cancellation of an obligation with respect to an eligible
loan under subsection (b)(1) shall not be determined to be
ineligible for any loan under subtitle A, B, or C of the
Consolidated Farm and Rural Development Act (7 U.S.C. 1922 et
seq.) because of that cancellation.
(d) Taxability.--For purposes of the Internal Revenue Code
of 1986, any amount which (but for this subsection) would be
includible in gross income of the eligible borrower by reason
of forgiveness described in subsection (b) shall be excluded
from gross income.
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