|
Offsets Long-Distance Transportation Costs for Farmers and Ranchers Outside the Contiguous U.S.
The U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) today announced nearly $3.9 million will be issued to 1,134 producers through the 2023 Reimbursement Transportation Cost Payment (RTCP) program beginning on March 14, 2024. The RTCP reimburses eligible farmers and ranchers outside the contiguous U.S., including those in Hawaii and the Pacific, for a portion of the cost of transporting agricultural products or inputs used to produce an agricultural commodity over long distances.
The Consolidated Appropriations Act of 2023 reauthorized RTCP and allows farmers and ranchers in Alaska, Hawaii and insular areas including the Commonwealth of Puerto Rico, Guam, American Samoa, Commonwealth of Northern Mariana Islands, Virgin Islands of the United States, Federated States of Micronesia, Republic of the Marshall Islands and Republic of Palau, to recover costs to transport agricultural commodities or inputs used to produce an agricultural commodity.
RTCP payments are calculated based on the costs incurred for transportation of the agricultural commodity or inputs during a fiscal year, subject to an $8,000 per producer cap per fiscal year. Claims for fiscal year 2023 exceeded available funding; However, since more funding was appropriated for 2023 RTCP, FSA has increased the per producer payment cap to $11,200 for fiscal year 2023 to maximize benefits to producers.
|
