§1504. Capital stock of Corporation

(a) Subscription by United States

The Corporation shall have a capital stock of $500,000,000 subscribed by the United States of America, payment for which shall, with the approval of the Secretary, be subject to call in whole or in part by the Board.

(b) Appropriations

There is authorized to be appropriated such sums as are necessary for the purpose of subscribing to the capital stock of the Corporation.

(c) Issuance of stock to Secretary of the Treasury

Receipts for payments by the United States of America for or on account of such stock shall be issued by the Corporation to the Secretary of the Treasury and shall be evidence of the stock ownership by the United States of America.

(d) Cancellation of receipts; nonliability of Corporation

Within thirty days after September 26, 1980, the Secretary of the Treasury shall cancel, without consideration, receipts for payments for or on account of the stock of the Corporation outstanding on September 26, 1980, and such receipts shall cease to be liabilities of the Corporation.

(Feb. 16, 1938, ch. 30, title V, §504, 52 Stat. 72 ; Aug. 25, 1949, ch. 512, §§4, 6, 63 Stat. 665 ; Pub. L. 95–47, June 16, 1977, 91 Stat. 228 ; Pub. L. 95–181, §1, Nov. 15, 1977, 91 Stat. 1373 ; Pub. L. 96–365, title I, §101, Sept. 26, 1980, 94 Stat. 1312 ; Pub. L. 103–354, title I, §102(b)(2), (4)(C), Oct. 13, 1994, 108 Stat. 3180 , 3181.)

Editorial Notes

Amendments

1994-Subsec. (a). Pub. L. 103–354, §102(b)(2)(A), (4)(C), struck out "of Agriculture" after "Secretary" and "of Directors of the Corporation" after "Board".

Subsec. (d). Pub. L. 103–354, §102(b)(2)(B), struck out "Federal Crop Insurance" before "Corporation outstanding".

1980-Subsec. (a). Pub. L. 96–365, §101(a), substituted "$500,000,000" for "$200,000,000".

Subsec. (d). Pub. L. 96–365, §101(b), added subsec. (d).

1977-Subsec. (a). Pub. L. 95–181 substituted "$200,000,000" for "$150,000,000".

Pub. L. 95–47 substituted "$150,000,000" for "$100,000,000".

1949-Subsec. (a). Act Aug. 25, 1949, §4, struck out second sentence relating to restoration of impairment of capital stock.

Subsec. (b). Act Aug. 25, 1949, §6, authorized appropriations for subscribing to corporation's capital stock in order to offset losses suffered prior to time program was placed on an experimental basis in 1947.

Statutory Notes and Related Subsidiaries

Effective Date of 1994 Amendment

Amendment by Pub. L. 103–354 effective Oct. 13, 1994, and applicable to provision of crop insurance under Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) beginning with 1995 crop year, with such Act, as in effect on the day before Oct. 13, 1994, to continue to apply with respect to 1994 crop year, see section 120 of Pub. L. 103–354, set out as a note under section 1502 of this title.

Effective Date of 1980 Amendment

Pub. L. 96–365, title I, §112, Sept. 26, 1980, 94 Stat. 1319 , provided that: "Except as otherwise provided in this Act, the provisions of this Act amending the Federal Crop Insurance Act [amending sections 1504, 1505 to 1507, 1508, and 1518 of this title and repealing section 1515 of this title] shall become effective on the date of enactment of this Act [Sept. 26, 1980]."

Pub. L. 96–365, title I, §101(a), Sept. 26, 1980, 94 Stat. 1312 , provided that the amendment made by section 101(a) is effective Oct. 1, 1980.

Cancellation of Outstanding Receipts for Stock in Excess of $27,000,000

Act Aug. 25, 1949, ch. 512, §5, 63 Stat. 665 , provided that: "The Secretary of the Treasury is authorized and directed to cancel, without consideration, outstanding receipts for payments for or on account of the stock of the Corporation in excess of $27,000,000."

Institution of Expanded Program; Payment of Cost for Fiscal Year 1950

Act Aug. 25, 1949, ch. 512, §11, 63 Stat. 666 , provided that: "The expanded program authorized herein [sections 1504, 1505, 1506, 1507, and 1508 of this title] shall be instituted beginning with the 1950 crop year, the additional cost for fiscal year 1950 to be financed, pending the appropriation of supplemental funds, from any appropriation available for operating and administrative expenses of the Corporation for such fiscal year."

Executive Documents

Transfer of Functions

Administration of program of Federal Crop Insurance Corporation transferred to Secretary of Agriculture by 1946 Reorg. Plan No. 3, §501, eff. July 16, 1946, 11 F.R. 7877, 60 Stat. 1100. See note set out under section 1503 of this title.

Wartime consolidation of Federal Crop Insurance Corporation into Agricultural Conservation and Adjustment Administration, see note set out under section 1503 of this title.