Tobacco Community Economic Stabilization and Support Act

TABLE OF CONTENTS:

Title I: Federal Tobacco Price Support Program

Title II: Tobacco Community Revitalization Trust Fund

Title III: Industry Payments for Department Tobacco Costs

Title IV: Permanent Sale, Retirement, and Distribution of

Tobacco Quota

Title V: Agricultural Market Transition Assistance

Title VI: Community, Farmer, and Worker Transition

Assistance

Title VII: Tax Treatment for Payments for Lost Tobacco Quota

Title VIII: Immunity

Tobacco Community Economic Stabilization and Support Act - Title I: Federal Tobacco Price Support Program - Amends the Agricultural Adjustment Act of 1938 with respect to cigarette manufacturer tobacco purchase submissions to require minimum purchase intentions for Flue-cured and Burley tobacco to be at 1997 levels (including levels fixed by the Secretary of Agriculture in cases of manufacturer nonsubmission).

(Sec. 102) Revises related penalty provisions. Provides for deposit of penalty payments in the Tobacco Community Revitalization Trust Fund (established by this Act).

(Sec. 103) Prohibits the United States Trade Representative, and the Secretaries of Commerce and Agriculture from advocating lower foreign trade barriers or increased market access for tobacco products containing less than 75 percent U.S. domestic content.

(Sec. 104) Requires the Secretary of Agriculture to conduct a State referendum on the lease and transfer of tobacco quota if more than five percent of such State's producers so petition.

(Sec. 105) Amends the Agricultural Act of 1949 to eliminate the tobacco marketing assessment. Makes a conforming amendment to the Uruguay Round Agreements Act.

Title II: Tobacco Community Revitalization Trust Fund - Establishes in the Treasury the Tobacco Community Revitalization Trust Fund (Fund), to be administered by the Secretary. Provides for manufacturer and importer assessments.

Title III: Industry Payments for Department Tobacco Costs - Directs the Secretary to use Fund amounts to reimburse the Department for tobacco production and regulation costs.

(Sec. 302) Amends the Agricultural Act of 1949 to revise No Net Cost Tobacco Fund and Account provisions.

Title IV: Permanent Sale, Retirement, and Distribution of Tobacco Quota - Makes specified amounts from the Fund available each fiscal year for voluntary tobacco quota retirement contracts. Directs the Secretary to enter into such contracts. Sets forth contract and within-county redistribution provisions.

Title V: Agricultural Market Transition Assistance - Directs the Secretary to make payments for lost tobacco quota (based on 1995 through 1997 marketing years) to eligible quota holders, lessees, tenants, and tobacco warehousemen. Sets forth provisions regarding: (1) quota determination and payment; (2) effect of quota or ownership changes; (3) payment acceleration and source; and (4) cost-of-living adjustment.

Title VI: Community, Farmer, and Worker Transition Assistance - Directs the Secretary to make grants to States for economic development assistance to tobacco-growing communities, including: (1) rural business development; (2) down payment loan assistance; (3) farm and off-farm employment; (4) infrastructure, facilities, and services expansion; (5) alternative crop development; and (6) technical assistance.

(Sec. 602) Provides for: (1) a tobacco worker transition program; (2) farmer education opportunity grants; and (3) research grants for alternative uses of tobacco production and processing equipment.

Title VII: Tax Treatment for Payments for Lost Tobacco Quota - Amends the Internal Revenue Code to exclude lost tobacco quota payments from gross income. Reduces farm property basis by amounts so excluded.

Title VIII: Immunity - Grants tobacco producers, growers associations, or warehouse owners and employees immunity from any action resulting from a tobacco product manufacturer's, distributor's, or retailer's noncompliance with national tobacco settlement legislation.