106 STAT. 4158 PUBLIC LAW 102-554-OCT. 28, 1992

retary shall state, in writing, the reasons the application
was rejected.".

SEC. 19. DEFINITION OF QUALIFIED BEGINNING FARMER OR
RANCHER.

Section 343(a)(7 U.S.C. 1991(a)) is amended—

(1) by striking "this title (1) the term" and all that follows
through fish farming," at the end of paragraph (1) and insert-
ing "this title:

"(1) The term Tanner' includes a person who is engaged
in, or who, with assistance afforded under this title, intends
to engage in, fish farming.";

(2) by indenting, and aligning the margins of, paragraphs
(2) through (10) so as to align with paragraph (1) (as amended
by paragraph (1));

(3) oy striking "the" the first place it appears in each
of such paragraphs and inserting "The";

(4) by striking the comma at the end of each of paragraphs
(2) through (8) and inserting a period;

(5) by striking ", and at the end of paragraph (9) and
inserting a period; and

(6) by adding at the end the following new paragraph:
"(11) The term 'qualified beginning farmer or rancher*

means an applicant—

"(A) who is eligible for assistance under this title;
"(B) who has not operated a farm or ranch, or who
has operated a farm or ranch for not more than 10 years;
"(C) in the case of a cooperative, corporation, partner-
ship, or joint operation, who has members, stockholders,
partners, or joint operators who are all related to one
another by blood or marriage;

"(DXi) in the case of an owner and operator of a farm
or ranch, who—

"(I) in the case of a loan made to an individual,
individually or with the immediate family of the
applicant—

"(aa) materially and substantially participates
in the operation of the farm or ranch; and

"(bb) provides substantial day-to-day labor and
management of the farm or ranch, consistent with
the practices in the State or county in which the
farm or ranch is located; or

"(IlXaa) in the case of a loan made to a cooperative,
corporation, partnership, or joint operation, has mem-
bers, stockholders, partners, or joint operators, materi-
ally and substantially participate in the operation of
the farm or ranch; and

"(bb) in the case of a loan made to a corporation,
has stockholders, all of whom are qualified beginning
farmers or ranchers; and

"(ii) in the case of an applicant seeking to own and
operate a farm or ranch, who—

"(I) in the case of a loan made to an individual,
individually or with the immediate family of the
applicant, will—

"(aa) materially and substantially participate
in the operation of the farm or ranch; and