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OCR Page 1 of 60http://thomas.loc.gov/c..r105:./temp/~r1053nuWry
http://thomas.loc.gov/cgi-bin/query/C?r105:./temp/~r1053nWry
SEC. 1022. INDUSTRY PAYMENTS FOR ALL DEPARTMENT COSTS ASSOCIATED WITH
TOBACCO PRODUCTION.
(a) In General: The Secretary shall use such amounts remaining unspent and obligated at the end of
each fiscal year to reimburse the Secretary for--
(1) costs associated with the administration of programs established under this title and amendments
made by this title;
(2) costs associated with the administration of the tobacco quota and price support programs
administered by the Secretary;
(3) costs to the Federal Government of carrying out crop insurance programs for tobacco;
(4) costs associated with all agricultural research, extension, or education activities associated with
tobacco;
(5) costs associated with the administration of loan association and cooperative programs for tobacco
producers, as approved by the Secretary; and
(6) any other costs incurred by the Department of Agriculture associated with the production of tobacco.
(b) Limitations: Amounts made available under subsection (a) may not be used--
(1) to provide direct benefits to quota holders, quota lessees, or quota tenants; or
(2) in a manner that results in a decrease, or an increase relative to other crops, in the amount of the crop
insurance premiums assessed to participating tobacco producers under the Federal Crop Insurance Act (7
U.S.C. 1501 et seq.).
(c) Determinations: Not later than September 30, 1998, and each fiscal year thereafter, the Secretary
shall determine--
(1) the amount of costs described in subsection (a); and
(2) the amount that will be provided under this section as reimbursement for the costs.
SEC. 1023. TOBACCO COMMUNITY ECONOMIC DEVELOPMENT GRANTS.
(a) Authority: The Secretary shall make grants to tobacco-growing States in accordance with this
section to enable the States to carry out economic development initiatives in tobacco-growing
communities.
(b) Application: To be eligible to receive payments under this section, a State shall prepare and submit
to the Secretary an application at such time, in such manner, and containing such information as the
Secretary may require, including--
(1) a description of the activities that the State will carry out using amounts received under the grant;
(2) a designation of an appropriate State agency to administer amounts received under the grant; and
(3) a description of the steps to be taken to ensure that the funds are distributed in accordance with
subsection (e).
(c) Amount of Grant:
(1) In general: From the amounts available to carry out this section for a fiscal year, the Secretary shall
allot to each State an amount that bears the same ratio to the amounts available as the total farm income
of the State derived from the production of tobacco during the 1995 through 1997 marketing years (as
determined under paragraph (2)) bears to the total farm income of all States derived from the production
of tobacco during the 1995 through 1997 marketing years.
(2) Tobacco income: For the 1995 through 1997 marketing years, the Secretary shall determine the
amount of farm income derived from the production of tobacco in each State and in all States.
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06/16/98 09:07:15
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