The Tobacco Transition Payment Program—also known as the “tobacco buyout”—was authorized as part of The Fair and Equitable Tobacco Reform Act of 2004 (signed by President Bush in October 2004), which repealed federal tobacco price supports.
The government is now paying eligible tobacco quota owners and eligible tobacco producers to “transition to the free market,” says the Farm Service Agency. In effect, however, the government is paying tobacco owners to get rid of their crops, and plans to do so until 2014
Basically, anybody that invested in tobacco—whether an owner, operator, landlord, tenant or sharecropper—in 2002, 2003 and 2004 is eligible to receive compensation through the TTPP.
The total estimated expenditure for this program is $10 billion for fiscal years 2007 through 2014.
The phone number listed on the CFDA Web site as belonging to the Tobacco Branch of the Farm Service Agency was actually a phone number for a rules and engineering office.
Somebody pass me a light.