USDA Announces Payments Set to Begin for 2019 Reimbursement Transportation Cost Payment Program

Program Helps Offset Cost for Farmers and Ranchers Outside the Contiguous U.S.

Honolulu, Hawaii, April 3, 2020 – The U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) in Hawaii today announced that fiscal year 2019 payments for the Reimbursement Transportation Cost Payment Program (RTCP) will begin on April 6, 2020. State Executive Director AL Frenzel said RTCP will help eligible farmers and ranchers offset a portion of the cost of transporting agricultural products over long distances.

The Consolidated Appropriations Act of 2019 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 any costs to transport agricultural commodities or inputs used to produce an agricultural commodity.

“This program helps U.S. farmers and ranchers outside the 48 contiguous states who are at a competitive disadvantage when transporting agriculture products to market,” said Frenzel.

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. If claims for payments exceed the funds available from the program for a fiscal year, payments will be reduced on a pro-rata basis.

To find your local FSA county office, visit farmers.gov/service-center-locator.