Tobacco Market Transition Act

Bill: 108-hr-986
Sponsor: Rep. Goode, Virgil H., Jr. [R-VA-5]
Introduced: 2003-02-27 in the House
Policy area: Agriculture and Food
Subjects: Acreage allotments
Agricultural cooperatives
Agricultural credit
Agricultural prices
Agricultural subsidies
Agriculture in foreign trade
Capital gains tax
Commerce
Compensation (Law)
Crop insurance
Economics and Public Finance
Executive reorganization
Farm income
Farm production quotas
Federal incorporation
Finance and Financial Sector
Fines (Penalties)
Foreign Trade and International Finance
Government Operations and Politics
Government corporations
Government trust funds
Imports
Income tax
Law
Licenses
Liens
Marketing of farm produce
Marketing orders
Quality of products
Referendum
Tax rates
Taxation
Tobacco
Tobacco industry

Summary:
action_date: 2003-02-27
text: Tobacco Market Transition Act - Establishes in the Treasury the Tobacco Community Revitalization Trust Fund, which shall be administered by the Tobacco Production Control Corporation (Corporation). States that amounts shall be used for program expenses and to compensate tobacco producers and quota holders for costs related to the changeover from the current tobacco program to the program provided for by this Act.
Directs the Corporation to provide: (1) compensation (based upon pounds and base quota level) to eligible tobacco quota holders for loss of tobacco quota asset value; and (2) transition payments (based upon pounds and production base) to eligible active tobacco producers.
Directs the Secretary of Agriculture to forgive specified loans made to tobacco producer-owned cooperative marketing associations, and transfer related inventories to the Commodity Credit Corporation. Transfers related funds held in a No Net Cost Tobacco Fund or No Net Cost Tobacco Account to the Fund.
Directs the Corporation to consider transition payments for other persons involved in tobacco production and marketing.
Amends the Internal Revenue Code to treat: (1) tobacco quota holder compensation as long-term capital gain; and (2) transition payments as ordinary income.
Establishes the Tobacco Production Control Corporation which shall: (1) be responsible for promulgating rules governing the production, marketing, importation, exportation, and consumer quality assurances for each kind of tobacco; (2) establish a system of tobacco production and marketing licensing (sets forth license provisions); (3) determine tobacco base price levels; and (4) conduct a program referendum if requested by a certain number of licensees.
Repeals the Tobacco Control Act and specified other agricultural provisions to terminate tobacco marketing quota and related programs.

Legislative actions:
action_date: 2003-03-11
text: Referred to the Subcommittee on Specialty Crops and Foreign Agriculture Programs.
action_date: 2003-02-27
text: Referred to the Committee on Agriculture, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
action_date: 2003-02-27
text: Referred to the Committee on Agriculture, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
action_date: 2003-02-27
text: Referred to the Committee on Agriculture, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
action_date: 2003-02-27
text: Introduced in House
action_date: 2003-02-27
text: Introduced in House