Title 7AgricultureRelease 119-73

§518c Administration

Title 7 › Chapter CHAPTER 21C— - TOBACCO REFORM › Subchapter SUBCHAPTER I— - TRANSITIONAL PAYMENTS TO TOBACCO QUOTA HOLDERS AND PRODUCERS OF TOBACCO › § 518c

Last updated Apr 6, 2026|Official source

Summary

The Secretary must make contract payments for a fiscal year as soon as possible. If someone disagrees about being allowed to sign a contract, getting payments, or the payment amount, they can appeal to the county committee for the county or area where their farm is. If the county committee rules against them, they can appeal again to the National Appeals Division (subtitle H of the Department of Agriculture Reorganization Act of 1994, 7 U.S.C. 6991 et seq.). The Secretary can use a bank or other financial institution to manage assets and make payments. Tobacco quota holders or quota tobacco producers who are due payments can sign over the right to receive those payments to a financial institution. After the Secretary is notified, future payments go to that institution. The Secretary must give tobacco quota holders and producers information about this option so they can get a lump sum or other payment.

Full Legal Text

Title 7, §518c

Agriculture — Source: USLM XML via OLRC

(a)Contract payments required to be made for a fiscal year shall be made by the Secretary as soon as practicable.
(b)Any dispute regarding the eligibility of a person to enter into a contract or to receive contract payments, and any dispute regarding the amount of a contract payment, may be appealed to the county committee established under section 590h of title 16 for the county or other area in which the farming operation of the person is located.
(c)Any adverse determination of a county committee under subsection (b) may be appealed to the National Appeals Division established under subtitle H of the Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 6991 et seq.).
(d)The Secretary may use a financial institution to manage assets, make contract payments, and otherwise carry out this title.11 See References in Text note below.
(e)The Secretary shall permit a tobacco quota holder or producer of quota tobacco entitled to contract payments to assign to a financial institution the right to receive the contract payments. Upon receiving notification of the assignment, the Secretary shall make subsequent contract payments for the tobacco quota holder or producer of quota tobacco directly to the financial institution designated by the tobacco quota holder or producer of quota tobacco. The Secretary shall make information available to tobacco quota holders and producers of quota tobacco regarding their ability to elect to have the Secretary make payments directly to a financial institution under this subsection so that they may obtain a lump sum or other payment.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Department of Agriculture Reorganization Act of 1994, referred to in subsec. (c), is title II of Pub. L. 103–354, Oct. 13, 1994, 108 Stat. 3209. Subtitle H of the Act is classified principally to subchapter VIII (§ 6991 et seq.) of chapter 98 of this title. For complete classification of this Act to the Code, see Tables. This title, referred to in subsec. (d), means title VI of Pub. L. 108–357, which enacted this chapter, amended section 609, 1282, 1301, 1303, 1314h, 1361, 1371, 1373, 1375, 1378, 1379, 1428, 1433c–1, and 1441 of this title and section 714c of Title 15, Commerce and Trade, repealed section 511r, 515 to 515k, 625, 1311 to 1314, 1314–1, 1314b, 1314b–1, 1314b–2, 1314c to 1314j, 1315, 1316, 1445, 1445–1, and 1445–2 of this title, enacted provisions set out as notes under section 515 and 518 of this title, and repealed provisions set out as a note under section 1314c of this title. For complete classification of title VI to the Code, see

Short Title

note set out under section 518 of this title and Tables.

Statutory Notes and Related Subsidiaries

Effective Date

Section applicable to the 2005 and subsequent crops of tobacco, see section 643 of Pub. L. 108–357, set out as a note under section 518 of this title.

Reference

Citations & Metadata

Citation

7 U.S.C. § 518c

Title 7Agriculture

Last Updated

Apr 6, 2026

Release point: 119-73