[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1190 Introduced in House (IH)]







105th CONGRESS
  1st Session
                                H. R. 1190

To require the Secretary of Agriculture to consider the feasibility of 
 basing the basic formula price for milk under Federal milk marketing 
orders on the costs of production for dairy farmers and the benefits to 
           farmers and consumers of such a pricing approach.


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                    IN THE HOUSE OF REPRESENTATIVES

                             March 20, 1997

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

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                                 A BILL


 
To require the Secretary of Agriculture to consider the feasibility of 
 basing the basic formula price for milk under Federal milk marketing 
orders on the costs of production for dairy farmers and the benefits to 
           farmers and consumers of such a pricing approach.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. USE OF COSTS OF PRODUCTION IN CALCULATION OF BASIC FORMULA 
              PRICE FOR MILK.

    (a) Consideration.--As part of the review of methods used (or 
proposed to be used) to calculate the basic formula price for milk 
under Federal milk marketing orders, which is being undertaken as part 
of the consolidation and reform of such orders under section 143 of the 
Agricultural Market Transition Act (7 U.S.C. 7253), the Secretary of 
Agriculture shall consider--
            (1) the feasibility of basing the basic formula price on 
        the costs incurred by dairy farmers to produce milk; and
            (2) the benefits to farmers and consumers of such a pricing 
        approach.
    (b) Definition.--In this section, the term ``Federal milk marketing 
orders'' means the milk marketing orders issued under section 8c of the 
Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with amendments 
by the Agricultural Marketing Agreement Act of 1937.
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