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Provides a new, statutory right to compensation for owners of poultry growing or egg‑laying facilities located inside an official control area when a federal order prohibits them from growing or laying flocks. It defines key terms, requires the Department to calculate and limit payments, bars duplicate payments if owners already received compensation under existing rules, makes the Secretary’s payment decision final, and requires payment within 60 days after an owner requests it.
Amend Section 10407 of the Animal Health Protection Act by modifying subsection (d) heading (inserting text after a semicolon) and adding a new subsection (e) titled "Compensation for poultry growers and layers in control areas."
Defines "control area" as a Control Area determined by the Administrator of the Animal and Plant Health Inspection Service.
Defines "poultry" as domesticated fowl bred primarily for eggs or meat (including chickens, turkeys, ostriches, emus, rheas, cassowaries, waterfowl, and game birds) but explicitly excludes doves and pigeons.
Requires the Secretary to compensate the owner of a poultry growing or laying facility for flocks the owner was prohibited from growing or laying because the facility was located within a control area, except as provided in paragraph (3) of the subsection.
Specifies how compensation is calculated: multiply (I) the average income from the 5 most recent flocks the facility grew or laid by (II) the number of flocks the owner was prohibited from growing or laying while the control area was in effect.
Who is affected and how:
Poultry facility owners (growers and laying operations): Directly benefits these owners by providing a clear, statutory path to federal compensation when a control area order prevents them from growing or laying flocks. The 60‑day payment requirement reduces cash‑flow disruption compared with ad hoc arrangements.
Poultry industry and supply chain: Operators and contractors that provide feed, labor, and logistics to affected facilities may see temporary disruptions if flocks are prohibited; compensation to facility owners helps stabilize the upstream business relationships and limits broader supply impacts.
USDA/Department of Agriculture: The department must implement claims processing, calculate payments under the statutory formula/limits, and meet the 60‑day payment deadline. That creates administrative workload and potential fiscal exposure; the Secretary’s decision being final reduces litigation burden but concentrates administrative discretion.
Federal budget / taxpayers: Establishing an entitlement to compensation creates potential new federal outlays whenever control areas are declared and facilities are prohibited from operating. The law limits payments and bars duplicate compensation, which contains but does not eliminate fiscal exposure.
Communities and rural economies: Timely compensation lessens economic harm to local communities that rely on poultry facilities for jobs and local commerce.
Operational and legal effects:
Overall, the change is narrowly targeted: it creates a defined federal compensation mechanism for a specific animal‑health contingency, shifts processing burden to USDA, and potentially increases federal expenditures tied to disease control actions while providing financial relief to affected facility owners.
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Referred to the House Committee on Agriculture.
Introduced February 14, 2025 by Jim Costa · Last progress February 14, 2025
Referred to the Subcommittee on Livestock, Dairy, and Poultry.
Referred to the House Committee on Agriculture.
Introduced in House