American Jobs Creation Act Contains Buyout for Kentucky Farmers That Governor Fletcher Strongly Pushed for While in Congress
Frankfort, KY: Today, Governor Ernie Fletcher stated his appreciation to his former colleagues in the U.S. House of Representatives for moving forward on the $9.6 billion Fair and Equitable Tobacco Reform Act of 2004. This will allow Kentucky’s tobacco farmers to transition from the antiquated federal tobacco program. During his time in Congress, Governor Fletcher vigorously pursued this tobacco buyout initiative that will help Kentucky’s family farms throughout the Commonwealth.
“I would like to congratulate and show my appreciation to my former colleagues in the House who have carried on with this legislative effort that Kentucky farmers need,” stated Governor Ernie Fletcher. “It is critical that we give our family farms the support they deserve so that they can make the decision to either move on from tobacco farming or choose to stay in.”
An estimated 400,000 tobacco quota holders would receive a share of the buyout, based on their "allotments," which dictate how much they can grow each year. Owners who farm using their own allotments would get $10 per pound of quota, or $7 per pound if they rent it to someone else to farm. In that case, the renting farmer would get $3 per pound.
The bill will now go to a conference committee to iron out differences with a similar Senate Bill. Governor Fletcher concluded, “I encourage House and Senate Leadership to appoint conferees that understand the significance of the tobacco buyout portion of the bill.”
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