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no net cost

A provision requiring that a price support program be operated at no cost to the federal government. The No-Net-Cost Tobacco Act of 1982 required the participants in the 1982 and subsequent year tobacco programs to pay an assessment to cover potential losses in operating the tobacco price support program. The Food Security Act of 1985 required that USDA operate the sugar program at no cost. This provision applied through the 1996 crop year for the sugar crops, and was repealed by the FAIR Act of 1996. The 1996 changes to the peanut program are designed to ensure that it also operates at no cost.

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