Milk Market Administrator - Atlanta, GA
 

Transportation Credit Balancing Fund

(TCBF) Federal Order 7 Only

A Primer on Federal Order Transportation Credits

Click here for TCBF Activity Summaries

Summary:

The Transportation Credit Balancing Fund(TCBF) was established to supplement the cost of supplying milk from outside the marketing area during the deficit period. Beginning May 1, 2008, handlers pay a monthly assessment of 30 cents per hundredweight on Class I milk to the Market Administrator's Office to build the TCBF. Generally Federal Order No. 7 pays out of the TCBF during the months of July through February based on eligible requests received from handlers and cooperative associations. Order language for Transportation Credit payments can be found in 7 CFR §1007.82.Beginning December 1, 2006, the pay out rate will be computed on a monthly basis and announced on or before the 23rd day of the month for the following month.  Order language for computation of the mileage rate can be found in 7 CFR §1007.83.  Please note that effective December 1, 2006, the total pounds of milk for a load which receives transportation credit will be subtracted from allowable diversions.

Estimating Payments From the TCBF:

Below we have provided examples and worksheets to assist you in estimating payments from the TCBF pending eligibility of requests.  The farm milk worksheet is for eligible milk shipped directly from the farm. To determine eligibility for farm milk see  7  CFR §1007.82 (c) (2) (ii) and (iii). The plant milk worksheet is for milk which is shipped from a plant located outside the marketing area. To determine eligibility for plant milk see   7 CFR §1007.82 (c) (1).

The worksheets include the appropriate row formulas (column subtotals and totals are not included) for computing the value of the transportation credits. The worksheets may be used to estimate the value of the transportation credit request to the Market Administrator.  We have also included two completed worksheets as examples.  Please use the examples to assist you in completing the worksheets.  The examples include detailed explanations of what information should be entered in each column of the worksheet.

Remember, these worksheets will provide estimates only.   Actual payments may vary based upon fund availability, and verification of eligibility.

Farm Milk Worksheet -Example

Plant Milk Worksheet -Example

Example of Farm Milk Calculation

Example of Plant Milk Calculation

TCBF Forms (PDF) (Excel Format)

 

 
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