[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1808 Introduced in House (IH)]







104th CONGRESS
  1st Session
                                H. R. 1808

    To amend the Agricultural Adjustment Act to repeal the minimum 
adjustments to prices of fluid milk under Federal marketing orders and 
to establish basing points in various geographical areas of the United 
States for purposes of determining prices to be paid to milk producers 
                           under such orders.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              June 8, 1995

   Mr. Roth introduced the following bill; which was referred to the 
                        Committee on Agriculture

_______________________________________________________________________

                                 A BILL


 
    To amend the Agricultural Adjustment Act to repeal the minimum 
adjustments to prices of fluid milk under Federal marketing orders and 
to establish basing points in various geographical areas of the United 
States for purposes of determining prices to be paid to milk producers 
                           under such orders.
    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Milk Marketing Order Reform Act of 
1995''.

SEC. 2. REPEAL OF EXISTING MINIMUM ADJUSTMENTS TO PRICES OF FLUID MILK.

    (a) Repeal.--Paragraph (A) of section 8c(5) of the Agricultural 
Adjustment Act (7 U.S.C. 608c(5)), reenacted with amendments by the 
Agricultural Marketing Agreement Act of 1937, is amended by striking 
the third and fourth sentences, including the table.
    (b) Technical Amendments.--The first sentence of such paragraph is 
amended--
            (1) by striking ``Classifying'' and inserting ``The order 
        shall classify'';
            (2) by striking ``fixing'' the first place it appears and 
        inserting ``fix''; and
            (3) by striking ``providing'' and inserting ``provide''.

SEC. 3. ESTABLISHMENT OF REGIONAL MILK PRICING SYSTEM.

    (a) Establishment.--Subsection (5) of section 8c of the 
Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with amendments 
by the Agricultural Marketing Agreement Act of 1937, is amended by 
striking paragraph (H), which is no longer effective pursuant to 
section 103 of the Food and Agriculture Act of 1965 (Public Law 89-321; 
79 Stat. 1188), and inserting the following new paragraph:
    ``(H)(i) The Secretary shall designate by rule not less than 4, and 
not more than 8, regions in the United States which together include 
all geographical areas in the United States that are subject to milk 
marketing orders. The entire geographical area that is subject to a 
single milk marketing order shall be included in a single region 
designated under this paragraph.
    ``(ii) Each region designated under this paragraph shall consist of 
a geographical area in which less than 60 percent of the aggregate 
amount of milk of the highest use classification produced is consumed 
for fluid use.
    ``(iii) The Secretary shall designate a single site in a milk 
surplus area in each such region and shall use such site for purposes 
of determining the prices to be paid to producers for milk produced in 
such region, including price adjustments under paragraphs (A) and (B) 
for volume, market, and production differentials customarily applied by 
the handlers subject to the order involved and for the grade or quality 
of the milk purchased.
    ``(iv) The aggregate amount of the adjustments made in accordance 
with subparagraph (iii) under paragraphs (A) and (B) shall be not less 
than $1.12 per hundredweight of milk having 3.5 percent milkfat.''.
    (b) Conforming Amendments.--Such subsection is further amended--
            (1) in the second sentence of paragraph (A), by striking 
        ``for (1)'' and all that follows through ``(3)'' and inserting 
        ``made in accordance with paragraph (H)(iii) and adjustments 
        for''; and
            (2) in paragraph (B)--
                    (A) by striking ``Providing:'' and inserting ``The 
                order shall contain a provision providing--'';
                    (B) by striking ``for (a)'' and all that follows 
                through ``(c)'' and inserting ``made in accordance with 
                paragraph (H)(iii), adjustments for''; and
                    (C) by striking ``(d)'', ``(e)'', and ``(f)''.

SEC. 4. EFFECTIVE DATE.

    The amendments made by this Act shall take effect one year after 
the date of the enactment of this Act.
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