7 C.F.R. § 1463.106

Current through September 30, 2024
Section 1463.106 - Base quota levels for eligible tobacco producers
(a) BQL is determined separately, for each of the years 2002, 2003 and 2004, for each kind of tobacco and for each farm for which a 2002 farm marketing quota had been established under part 723 of this title.
(b) The BQL for producers of burley tobacco is established as follows:
(1) The 2002-crop year BQL for burley producers is the 2002 effective quota pounds actually marketed, adjusted for disaster lease and transfer, and considered-planted undermarketings and overmarketings. The BQL is then multiplied by the producer's share in the 2002 crop to determine the producer's 2002 BQL. The adjustments for disaster lease and transfer and considered-planted undermarketings and overmarketings are made as follows:
(i) Disaster-leased pounds are added to the marketings of the transferring farm and deducted from the marketings of the receiving farm;
(ii) Considered-planted pounds are added to the farm's actual marketings, and includes only undermarketings that were not part of the farm's 2003 effective quota.
(iii) Pounds actually marketed as overmarketings and sold penalty-free are added to the farm BQL after the BQL adjustment factor of 1.12486 has been applied to the overmarketed pounds.
(2) The 2003-crop year BQL for burley producers is the 2003 effective quota pounds actually marketed, adjusted for disaster lease and transfer and considered-planted undermarketings and overmarketings, as follows:
(i) Disaster leases are added to the marketings of the transferring farm and deducted from the marketings of receiving farm.
(ii) Considered-planted pounds are added to the farm's actual marketings, and includes only undermarketings that were not part of the farm's 2004 effective quota.
(iii) Pounds actually marketed as overmarketings and sold penalty-free are added to the farm BQL after the BQL adjustment factor of 1.071295 has been applied to the overmarketed pounds.
(iv) After these adjustments the BQL is calculated as follows:

StepCalculation
1Subtract all 2002 undermarketings from the 2003 marketings, including undermarketings from the parent farm in any special tobacco combinations. Leased pounds are apportioned undermarketing history by dividing the transferring farm's undermarketings by the transferring farm's effective quota, before any temporary transfers, resulting in the percentage of undermarketings that were leased.
2Multiply the 2003 marketings remaining after Step 1 times 1.12486 (the 2003-BQL adjustment factor).
3Add the undermarketings that were subtracted in Step 1 to the sum of Step 2 to determine the farm 2003 BQL.
4Multiply the sum from Step 3 times the producer's share in the 2003 crop to determine the producer's 2003 BQL.

(3) The 2004-crop year BQL for burley producers is the 2004 effective quota before disaster lease and transfer is calculated as follows:

StepCalculation
1Subtract all 2003 undermarketings from the 2004 effective quota, including undermarketings from the parent farm in any special tobacco combinations. Leased pounds are apportioned undermarketing history by dividing the transferring farm's undermarketings by the transferring farm's effective quota, before any temporary transfers, resulting in the percentage of undermarketings that were leased.
2Multiply the 2004 effective quota remaining after Step 1 times 1.071295 (the 2004 BQL adjustment factor).
3Multiply the undermarketings that were subtracted in Step 1 times 1.12486 (the 2003 BQL adjustment factor).
4Add the effective quota from Step 2 to the undermarketings in Step 3 to determine the farm 2004 BQL.
5Multiply the sum from Step 4 times the producer's share in the 2004 crop to determine the producer's 2004 BQL.

(c) The BQL for producers of flue-cured tobacco is established by year, as follows:
(1) The 2002-crop year BQL for flue-cured producers is the effective 2002 quota actually marketed, adjusted for disaster lease and transfer and considered-planted undermarketings and overmarketings. The BQL is then multiplied by the producer's share in the 2002 crop to determine the producer's 2002 BQL. Adjustments for disaster lease and transfer and considered-planted undermarketings and overmarketings are calculated as follows:
(i) Disaster-leased pounds are added to the marketings of the transferring farm and deducted from the marketings of the receiving farm;
(ii) Considered-planted pounds are added to the farm's actual marketings, and include only undermarketings that were not part of the farm's 2003 effective quota.
(iii) Pounds actually marketed as overmarketings and sold penalty-free are added to the farm BQL after the BQL adjustment factor of 1.10497 has been applied to the overmarketed pounds.
(2) The 2003-crop year BQL for flue-cured producers is the 2003 effective quota actually marketed, adjusted for disaster lease and transfer and considered-planted undermarketings and overmarketings, as follows:
(i) Disaster leases are added to the marketings of the transferring farm and deducted from the marketings of the receiving farm.
(ii) Considered-planted pounds are added to the farm's actual marketings, and includes only undermarketings that were in not part of the farm's 2004 effective quota.
(iii) Pounds actually marketed as overmarketings and sold penalty-free are added to the farm BQL after the BQL adjustment factor of 1.23457 has been applied to the overmarketed pounds.
(iv) After these adjustments the BQL is calculated as follows:

StepCalculation
1Subtract all 2002 undermarketings from the 2003 marketings, including undermarketings from the parent farm in any special tobacco combinations.
2Multiply the 2003 marketings remaining after Step 1 times 1.10497 (the 2003 BQL adjustment factor).
3Add the undermarketings that were subtracted in Step 1 to the sum of Step 2 to determine the farm 2003 BQL.
4Multiply the sum from step 3 times the producer's share in the 2003 crop to determine the producer's 2003 BQL.

(3) The 2004-crop year BQL for flue-cured producers is the 2004 effective quota before disaster lease and transfer. The 2004 BQL is calculated as follows:

StepCalculation
1Subtract all 2003 undermarketings from the 2004 effective quota, including undermarketings from the parent farm in any special tobacco combinations.
2Multiply the 2004 effective quota remaining after Step 1 times 1.23457 (the 2004 BQL adjustment factor).
3Multiply the undermarketings that were subtracted in Step 1 times 1.10497 (the 2003 BQL adjustment factor).
4Add the effective quota from Step 2 to the undermarketings in Step 3 to determine the farm 2004 BQL.
5Multiply the sum from Step 4 times the producer's share in the 2004 crop to determine the producer's 2004 BQL.

(d) The BQL for producers of cigar filler and binder tobacco is established by years, as follows:
(1) The 2002-crop year BQL for cigar filler and binder tobaccos is calculated as follows:

StepCalculation
1Multiply the 2002 farm's basic allotment times the farm's average yield for 2001, 2002, and 2003 to get the 2004 farm base pounds total.
2Multiply any 2002 special tobacco combination acres times the 2002-equivalence factor of 1.000.
3Multiply the sum from Step 2 times the farm's average yield for 2001, 2002, and 2003 to get the 2002 farm special tobacco combination pounds total.
4Add the sum from Step 1 to the sum from Step 3 to get the 2004 farm BQL total.
5Multiply the sum from Step 4 times the producer's share in the 2002 crop to get the producer 2002 BQL.

(2) The 2003-crop year BQL for cigar filler and binder tobaccos is calculated as follows:

StepCalculation
1Multiply the 2002 farm's basic allotment times the farm's average yield for 2001, 2002, and 2003 to get the 2003 farm base pounds total.
2Multiply any 2003 special tobacco combination acres times the 2003 BQL adjustment factor of 0.8929.
3Multiply the sum from Step 2 times the farm's average yield for 2001, 2002, and 2003 to get the 2003 farm special tobacco combination pounds total.
4Add the sum from Step 1 to the sum from Step 3 to get the 2003 farm BQL total.
5Multiply the sum from Step 4 times the producer's share in the 2003 crop to get the producer 2003 BQL.

(3) The 2004-crop year BQL for cigar-filler and binder tobaccos is calculated as follows:

StepCalculation
1Multiply the 2002 farm's basic allotment times the farm's average yield for 2001, 2002, and 2003 to get the 2004 farm base pounds total.
2Multiply any 2004 special tobacco combination acres times the 2004 BQL adjustment factor of 0.9398.
3Multiply the sum from Step 2 times the farm's average yield for 2001, 2002, and 2004 to get the 2003 farm special tobacco combination pounds total.
4Add the sum from Step 1 to the sum from Step 3 to get the 2004 farm BQL total.
5Multiply the sum from Step 4 times the producer's share in the 2004 crop to get the producer 2004 BQL.

(e) The BQL's for producers of all kinds of tobacco other than burley, flue-cured and cigar filler and binder, are established by year, as follows.
(1) The 2002-crop year BQL's for these kinds of tobaccos are calculated as follows:

StepCalculation
1Multiply the 2002 farm's basic allotment times the farm's average yield for 2001, 2002, and 2003 to get the 2002 farm base pounds total.
2Multiply any 2002 special tobacco combination acres times the farm's average yield for 2001, 2002, and 2003 to get the 2002 special tobacco combinations pounds total.
3Add the sum from Step 1 to the sum from Step 2.
4Multiply any 2002 acres leased to or from the farm times the farm's average yield for 2001, 2002, and 2003 to get the 2002 lease pounds total. Then, to the sum from either:
(i) Step 3, add pounds leased to the farm to get the farm 2002 BQL total
(ii)Step 3, subtract pounds leased from the farm to get the farm 2002 BQL total.
5Multiply the result from Step 4 times the producer's share in the 2002 crop to get the producer 2002 BQL.

(2) The 2003-crop year BQL's for these kinds of tobaccos are calculated as follows:

StepCalculation
1Multiply the 2002 farm's basic allotment times the farm's average yield for 2001, 2002, and 2003 to get the 2003 farm base pounds total.
2Multiply any 2003 special tobacco combinations acres times the applicable 2003 BQL adjustment factor:
(i) Fire-cured (type 21)-1.0000
(ii) Fire-cured (types 22-23)-.980392
(iii) Dark Air-cured (35-36)-.952381
(iv) Virginia Sun-cured (type 37) 1.0000
3Multiply the sum from Step 2 times the farm's average yield for 2001, 2002, and 2003 to get the 2003 farm special tobacco combination pounds total.
4Add the sum from Step 1 to the sum from Step 3.
5Multiply any 2003 acres leased times the applicable 2003 BQL adjustment factor:
(i) Fire-cured (type 21) 1.0000
(ii) Fire-cured (types 22-23)-.980392
(iii) Dark Air-cured (35-36)-.952381
(iv) Virginia Sun-cured (type 37) 1.0000
6Multiply the sum from Step 5 times the farm's average yield for 2001, 2002, and 2003 to get the 2003 lease pounds total.
7To the sum from Step 4 either:
(i) Add pounds from Step 6 leased to the farm to get the farm 2003 BQL total
(ii) Subtract pounds from Step 6 leased from the farm to get the farm 2003 BQL total.
8Multiply the sum from Step 7 times the producer's share in the 2003 crop to get the producer 2003 BQL total.

(3) The 2004-crop year BQL's for these kinds of tobaccos are calculated as follows:

StepCalculation
1Multiply the 2002 farm's basic allotment times the farm's average yield for 2001, 2002, and 2003 to get the 2004 farm base pounds total.
2Multiply any 2004 special tobacco combinations acres times the applicable 2004 BQL adjustment factor:
(i) Fire-cured (type 21) 1.0000
(ii) Fire-cured (types 22-23)-.951837
(iii) Dark Air-cured (35-36)-.94264
(iv) Virginia Sun-cured (type 37) 1.0000
3Multiply the sum from Step 2 times the farm's average yield for 2001, 2002, and 2003 to get the 2004 farm special tobacco combination pounds total.
4Add the sum from Step 1 to the sum from Step 3.
5Multiply any 2004 acres leased times the applicable 2004 BQL adjustment factor:
(i) Fire-cured (type 21) 1.0000
(ii) Fire-cured (types 22-23)-.951837
(iii) Dark Air-cured (35-36)-.92464
(iv) Virginia Sun-cured (type 37) 1.0000
6Multiply the sum from Step 5 times the farm's average yield for 2001, 2002, and 2003 to get the 2004 lease pounds total.
7To the sum from Step 4 either:
(i) Add pounds from Step 6 leased to the farm to get the farm 2004 BQL total
(ii) Subtract pounds from Step 6 leased from the farm to get the farm 2004 BQL total.
8Multiply the sum from Step 7 times the producer's share in the 2004 crop to get the producer 2004 BQL total.

7 C.F.R. §1463.106