{"data":{"id":"us/7-cfr-870.2","jurisdiction":"us","citation":"7 CFR 870.2","heading":"Definitions.","body":"For the purposes of the regulations in this part:\nAgreement effective date means the date on which the Upland Cotton Domestic User Agreement takes effect or becomes operative and enforceable.\nAgricultural Marketing Service (AMS) means the Agricultural Marketing Service of the United States Department of Agriculture, which administers the Economic Adjustment Assistance for Textile Mills Program.\nBale weight means the auditable weight of a bale of cotton as determined on a scale certified as accurate by an independent party.\nBaled lint means ginned or processed cotton lint, including but not limited to lint classified by the Agricultural Marketing Service as Below Grade, compressed into a standard-sized and weighed pack.\nCapital expenditures means funds expended by a business for modernization or acquisition of depreciable fixed assets such as property, fixtures, or machinery that are directly attributable to the improvement of productivity or efficiency of the domestic user in the manufacturing of final products containing upland cotton. Capital expenditures do not include debt service payments, even if such debt service payments are for debt used to finance capital expenditures.\nCommodity Credit Corporation (CCC) means the wholly owned government corporation within the U.S. Department of Agriculture, whose funds, facilities, and authorities are used to implement specific activities as authorized by Congress.\nDate of consumption means the date the bagging and ties are removed from the bale, as determined by AMS.\nDirector means the Director of the Warehouse and Commodity Management Division (WCMD) part of the Agricultural Marketing Service's Fair Trade Practices Program.\nDomestic user means a person who is regularly engaged in the business of opening bales of eligible upland cotton in the United States for the purpose of spinning such cotton into yarn, papermaking, or production of non-woven cotton products also in the United States.\nEAATM Program funds means funds provided by CCC as Economic Adjustment Assistance for Textile Mills under the terms of the Agreement.\nEconomic Adjustment Assistance for Textile Mills (EAATM) means the program authorized by Congress under which eligible domestic users of eligible upland cotton can apply for and receive financial assistance to offset capital expenditures related to investments in the United States for the manufacturing of products containing cotton, as provided in this part.\nEligible domestic user means a domestic user in the United States, who has entered into an agreement with CCC to participate in the Economic Adjustment Assistance for Textile Mills program.\nEligible upland cotton means baled upland cotton, regardless of origin, that is opened by an eligible domestic user and is baled lint, re-baled loose samples, suitable semi-processed motes, or re-ginned motes.\nEquipment means any machine used directly in the production of final cotton products in order to improve product quality, handling, and/or production efficiency.\nFacility or Plant means the structure(s) that houses the necessary equipment for consuming and manufacturing eligible upland cotton into the final cotton product.\nFinal cotton product means product manufactured domestically that contains upland cotton.\nLinters means lint produced from the cottonseed crushing process.\nMarketing year means the one-year period starting on August 1 and ending on the following July 31.\nMonthly Consumption Report means Form CCC-1045-UP-2, the Monthly Consumption/Application for Payment Report, or other form as prescribed by AMS, submitted by the eligible domestic user for program payment purposes that contains documentation of inventory consumed, payment amounts, and a signed certification.\nNet weight means the bale weight less the weight of the bagging and ties.\nOperating expenses means funds expended by a business in its normal activities, including but not limited to rent, salaries, supplies, utilities, insurance, taxes, and maintenance.\nOperational control means the domestic user has plenary control over the facility during the term of the Upland Cotton Domestic User Agreement.\nPerson means any individual, partnership, corporation, association, public or private organization or governmental entity, or combination thereof.\nPills means waste from the mote cleaning process.\nRaw motes means lint cleaner waste resulting from the ginning process.\nReadily put into service means facilities, equipment, and/or plants put into service within 24 months of delivery.\nRe-baled loose samples means loose samples of upland cotton that have been removed from cotton bales for classification purposes and subsequently re-baled.\nRe-ginned mote bales means baled cotton fiber that has been removed from small, broken, or immature cotton seeds by re-ginning.\nStatement of eligible claim certification means an official document identifying the entity eligible to claim EAATM financial assistance for their use of suitable semi-processed motes or re-ginned mote bales.\nSuitable semi-processed motes means small, broken, or immature cotton seeds with attached cotton fibers that are of a quality suitable, without further processing, for spinning, papermaking, or production of non-woven fabric.\nSupplemental ledger means a line-item record detailing qualifying capital expenditures that the eligible domestic user proposes to claim for program purposes.\nUpland cotton means a widely cultivated American cotton plant (Gossypium hirsutum) having short-to-medium staple fibers.\nUpland Cotton Domestic User Agreement (Form CCC-1045DOM or Agreement) means an agreement between CCC and an eligible domestic user regarding EAATM program participation.","path":["Title 7—Agriculture","Subtitle B—Regulations of the Department of Agriculture","CHAPTER VIII—AGRICULTURAL MARKETING SERVICE (FEDERAL GRAIN INSPECTION SERVICE, FAIR TRADE PRACTICES PROGRAM), DEPARTMENT OF AGRICULTURE","SUBCHAPTER B—FAIR TRADE PRACTICES","PART 870—ECONOMIC ADJUSTMENT ASSISTANCE FOR TEXTILE MILLS"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-7.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:24:01Z","sha256":"115a9eab6b08ae03bf57a75d8ea7ee886c7a6d73f291527c95b78d48ade68c95","source_id":"us-cfr","stale":true,"prev":"us/7-cfr-870.1","next":"us/7-cfr-870.3"},"notice":"GroundRules: Original legal text. Not legal advice."}