[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4360 Introduced in House (IH)]







105th CONGRESS
  2d Session
                                H. R. 4360

 To amend the Agricultural Adjustment Act to require the Secretary of 
Agriculture to establish a pilot program under which milk producers and 
 cooperatives will be permitted to enter into forward price contracts 
                          with milk handlers.


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                    IN THE HOUSE OF REPRESENTATIVES

                             July 30, 1998

 Mr. Pombo (for himself and Mr. Peterson of Minnesota) introduced the 
   following bill; which was referred to the Committee on Agriculture

_______________________________________________________________________

                                 A BILL


 
 To amend the Agricultural Adjustment Act to require the Secretary of 
Agriculture to establish a pilot program under which milk producers and 
 cooperatives will be permitted to enter into forward price contracts 
                          with milk handlers.

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

SECTION 1. DAIRY FORWARD PRICING PILOT PROGRAM.

    The Agricultural Adjustment Act (7 U.S.C. 601 et seq.), reenacted 
with amendments by the Agricultural Marketing Agreement Act of 1937, is 
amended by adding at the end the following:

``SEC. 23. DAIRY FORWARD PRICING PILOT PROGRAM.

    ``(a) In General.--Not later than 90 days after the date of 
enactment of this section, the Secretary of Agriculture shall establish 
a pilot program under which milk producers and cooperatives are 
authorized to voluntarily enter into forward price contracts with milk 
handlers.
    ``(b) Minimum Milk Price Requirements.--Payments made by milk 
handlers to milk producers and cooperatives, and prices received by 
milk producers and cooperatives, under the forward contracts shall be 
deemed to satisfy all regulated minimum milk price requirements of 
paragraphs (A), (B), (C), (D), (F), and (J) of subsection (5), and 
subsections (7)(B) and (18), of section 8c.
    ``(c) Application.--This section shall apply only with respect to 
the marketing of federally regulated milk (regardless of its use) that 
is in the current of interstate or foreign commerce or that directly 
burdens, obstructs, or affects interstate or foreign commerce in 
federally regulated milk.
    ``(d) Termination of Effectiveness.--The authority provided by this 
section terminates 3 years after the date of the establishment of the 
pilot program under subsection (a).''.
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