[Title 7 CFR ]
[Code of Federal Regulations (annual edition) - January 1, 2004 Edition]
[From the U.S. Government Printing Office]



[[Page i]]

   

                    7


          Parts 1000 to 1199

          Milk Orders
                         Revised as of January 1, 2004

Agriculture





          Containing a codification of documents of general 
          applicability and future effect
          As of January 1, 2004
          With Ancillaries
          Published by:
          Office of the Federal Register
          National Archives and Records
          Administration

A Special Edition of the Federal Register

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                     U.S. GOVERNMENT PRINTING OFFICE
                            WASHINGTON : 2004



  For sale by the Superintendent of Documents, U.S. Government Printing 
                                  Office
  Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800; DC area 
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      Fax: (202) 512-2250 Mail: Stop SSOP, Washington, DC 20402-0001

[[Page iii]]




                            Table of Contents



                                                                    Page
  Explanation.................................................       v

  Title 7:
    Subtitle B--Regulations of the Department of Agriculture 
      (Continued)
          Chapter X--Agricultural Marketing Service (Marketing 
          Agreements and Orders; Milk), Department of 
          Agriculture                                                5
  Finding Aids:
      Table of CFR Titles and Chapters........................     231
      Alphabetical List of Agencies Appearing in the CFR......     249
      List of CFR Sections Affected...........................     259

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                     ----------------------------

                     Cite this Code: CFR
                     To cite the regulations in 
                       this volume use title, 
                       part and section number. 
                       Thus,  7 CFR 1000.1 refers 
                       to title 7, part 1000, 
                       section 1.

                     ----------------------------

[[Page v]]



                               EXPLANATION

    The Code of Federal Regulations is a codification of the general and 
permanent rules published in the Federal Register by the Executive 
departments and agencies of the Federal Government. The Code is divided 
into 50 titles which represent broad areas subject to Federal 
regulation. Each title is divided into chapters which usually bear the 
name of the issuing agency. Each chapter is further subdivided into 
parts covering specific regulatory areas.
    Each volume of the Code is revised at least once each calendar year 
and issued on a quarterly basis approximately as follows:

Title 1 through Title 16.................................as of January 1
Title 17 through Title 27..................................as of April 1
Title 28 through Title 41...................................as of July 1
Title 42 through Title 50................................as of October 1

    The appropriate revision date is printed on the cover of each 
volume.

LEGAL STATUS

    The contents of the Federal Register are required to be judicially 
noticed (44 U.S.C. 1507). The Code of Federal Regulations is prima facie 
evidence of the text of the original documents (44 U.S.C. 1510).

HOW TO USE THE CODE OF FEDERAL REGULATIONS

    The Code of Federal Regulations is kept up to date by the individual 
issues of the Federal Register. These two publications must be used 
together to determine the latest version of any given rule.
    To determine whether a Code volume has been amended since its 
revision date (in this case, January 1, 2004), consult the ``List of CFR 
Sections Affected (LSA),'' which is issued monthly, and the ``Cumulative 
List of Parts Affected,'' which appears in the Reader Aids section of 
the daily Federal Register. These two lists will identify the Federal 
Register page number of the latest amendment of any given rule.

EFFECTIVE AND EXPIRATION DATES

    Each volume of the Code contains amendments published in the Federal 
Register since the last revision of that volume of the Code. Source 
citations for the regulations are referred to by volume number and page 
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Code a note has been inserted to reflect the future effective date. In 
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states a date certain for expiration, an appropriate note will be 
inserted following the text.

OMB CONTROL NUMBERS

    The Paperwork Reduction Act of 1980 (Pub. L. 96-511) requires 
Federal agencies to display an OMB control number with their information 
collection request.

[[Page vi]]

Many agencies have begun publishing numerous OMB control numbers as 
amendments to existing regulations in the CFR. These OMB numbers are 
placed as close as possible to the applicable recordkeeping or reporting 
requirements.

OBSOLETE PROVISIONS

    Provisions that become obsolete before the revision date stated on 
the cover of each volume are not carried. Code users may find the text 
of provisions in effect on a given date in the past by using the 
appropriate numerical list of sections affected. For the period before 
January 1, 2001, consult either the List of CFR Sections Affected, 1949-
1963, 1964-1972, 1973-1985, or 1986-2000, published in 11 separate 
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Sections Affected'' is published at the end of each CFR volume.

CFR INDEXES AND TABULAR GUIDES

    A subject index to the Code of Federal Regulations is contained in a 
separate volume, revised annually as of January 1, entitled CFR Index 
and Finding Aids. This volume contains the Parallel Table of Statutory 
Authorities and Agency Rules (Table I). A list of CFR titles, chapters, 
and parts and an alphabetical list of agencies publishing in the CFR are 
also included in this volume.
    An index to the text of ``Title 3--The President'' is carried within 
that volume.
    The Federal Register Index is issued monthly in cumulative form. 
This index is based on a consolidation of the ``Contents'' entries in 
the daily Federal Register.
    A List of CFR Sections Affected (LSA) is published monthly, keyed to 
the revision dates of the 50 CFR titles.

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    There are no restrictions on the republication of material appearing 
in the Code of Federal Regulations.

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volume, contact the issuing agency. The issuing agency's name appears at 
the top of odd-numbered pages.
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or write to the Director, Office of the Federal Register, National 
Archives and Records Administration, Washington, DC 20408 or e-mail 
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[email protected].

[[Page vii]]

    The Office of the Federal Register also offers a free service on the 
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site for public law numbers, Federal Register finding aids, and related 
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register. The NARA site also contains links to GPO Access.

                              Raymond A. Mosley,
                                    Director,
                          Office of the Federal Register.

January 1, 2004.

[[Page ix]]



                               THIS TITLE

    Title 7--Agriculture is composed of fifteen volumes. The parts in 
these volumes are arranged in the following order: parts 1-26, 27-52, 
53-209, 210-299, 300-399, 400-699, 700-899, 900-999, 1000-1199, 1200-
1599, 1600-1899, 1900-1939, 1940-1949, 1950-1999, and part 2000 to end. 
The contents of these volumes represent all current regulations codified 
under this title of the CFR as of January 1, 2004.

    The Food and Nutrition Service current regulations in the volume 
containing parts 210-299, include the Child Nutrition Programs and the 
Food Stamp Program. The regulations of the Federal Crop Insurance 
Corporation are found in the volume containing parts 400-699.

    All marketing agreements and orders for fruits, vegetables and nuts 
appear in the one volume containing parts 900-999. All marketing 
agreements and orders for milk appear in the volume containing parts 
1000-1199. Part 900--General Regulations is carried as a note in the 
volume containing parts 1000-1199, as a convenience to the user.

[[Page x]]




[[Page 1]]



                          TITLE 7--AGRICULTURE




                 (This book contains parts 1000 to 1199)

  --------------------------------------------------------------------
                                                                    Part

  SUBTITLE B--Regulations of the Department of Agriculture (Continued)

chapter x--Agricultural Marketing Service (Marketing 
  Agreements and Orders; Milk), Department of Agriculture...        1000

[[Page 3]]

  Subtitle B--Regulations of the Department of Agriculture (Continued)

[[Page 4]]

[GRAPHIC] [TIFF OMITTED] TC18SE91.000


[[Page 5]]



  CHAPTER X--AGRICULTURAL MARKETING SERVICE (Marketing Agreements and 
                 Orders; Milk) DEPARTMENT OF AGRICULTURE




  --------------------------------------------------------------------
Part                                                                Page
900             General regulations [Note]..................           7
1000            General provisions of Federal milk marketing 
                    orders..................................          37
1001            Milk in the Northeast marketing area........          77
1002-1004       [Reserved]
1005            Milk in the Appalachian marketing area......          88
1006            Milk in Florida marketing area..............         100
1007            Milk in the Southeast marketing area........         109
1011-1013       [Reserved]
1030            Milk in the Upper Midwest marketing area....         121
1032            Milk in the Central marketing area..........         133
1033            Milk in the Mideast marketing area..........         146
1036-1120       [Reserved]
1124            Milk in the Pacific Northwest marketing area         157
1125           [Reserved]
1126            Milk in the Southwest marketing area........         170
1131            Milk in Arizona-Las Vegas marketing area....         181
1132-1134       [Reserved]
1135            Milk in the Western marketing area..........         190
1136-1139       [Reserved]
1140            Dairy forward pricing pilot program.........         201
1150            Dairy promotion program.....................         203
1151-1159       [Reserved]
1160            Fluid milk promotion program................         215
1161-1199       [Reserved]

[[Page 7]]

                                  NOTE

   7 CFR part 900, the general regulations with respect to marketing 
 agreements and orders, is herein set forth for convenience of users of 
                              this volume.



PART 900_GENERAL REGULATIONS

    Subpart_Rules of Practice and Procedure Governing Proceedings to 
           Formulate Marketing Agreements and Marketing Orders

Sec.
900.1 Words in the singular form.
900.2 Definitions.
900.3 Proposals.
900.4 Institution of proceeding.
900.5 Docket number.
900.6 Judges.
900.7 Motions and requests.
900.8 Conduct of the hearing.
900.9 Oral and written arguments.
900.10 Certification of the transcript.
900.11 Copies of the transcript.
900.12 Administrator's recommended decision.
900.13 Submission to Secretary.
900.13a Decision by Secretary.
900.14 Execution of and issuance of marketing agreements and marketing 
          orders.
900.15 Filing; extensions of time; effective date of filing; and 
          computation of time.
900.16 Ex Parte communications.
900.17 Additional documents to be filed with hearing clerk.
900.18 Hearing before Secretary.

 Subpart_Rules of Practice Governing Proceedings on Petitions To Modify 
                 or To Be Exempted From Marketing Orders

900.50 Words in the singular form.
900.51 Definitions.
900.52 Institution of proceeding.
900.52a Answer to petition.
900.52b Amended pleadings.
900.53 Withdrawal of petition.
900.54 Docket number.
900.55 Judges.
900.56 Consolidated hearings.
900.57 Intervention.
900.58 Prehearing conferences.
900.59 Motions and requests.
900.60 Oral hearings before judge.
900.61 Depositions.
900.62 Subpenas.
900.63 Fees and mileage.
900.64 The Administrative Law Judge's decision.
900.65 Appeals to Secretary: Transmittal of record.
900.66 Consideration of appeal by the Secretary and issuance of final 
          order.
900.67 [Reserved]
900.68 Applications for reopening hearings; for rehearings or 
          rearguments of proceedings; or for reconsideration of orders.
900.69 Filing; service; extensions of time; effective date of filing; 
          and computation of time.
900.70 Applications for interim relief.
900.71 Hearing before Secretary.

 Subpart_Supplemental Rules of Practice for Marketing Orders, Marketing 
 Agreements, and Requirements Issued Pursuant to 7 U.S.C. 608b(b) and 7 
            U.S.C. 608e Covering Fruits, Vegetables, and Nuts

900.80 Words in the singular form.
900.81 Definitions.
900.82 Stipulation procedures.

 Subpart_Procedure Governing Meetings To Arbitrate and Mediate Disputes 
                Relating to Sales of Milk or Its Products

900.100 Words in the singular form.
900.101 Definitions.
900.102 Filing of applications for mediation or arbitration.
900.103 Application for mediation.
900.104 Inquiry by the Administrator.
900.105 Notification.
900.106 Assignment of mediator.
900.107 Meetings.
900.108 Mediator's report.
900.109 Mediation agreement.
900.110 Application for arbitration.
900.111 Inquiry by the Administrator.
900.112 Notification.
900.113 Submission.
900.114 Designation of arbitrator.
900.115 Hearing.
900.116 Award.
900.117 Approval of award.
900.118 Costs.

                    Subpart_Miscellaneous Regulations

900.200 Definitions.
900.201 Investigation and disposition of alleged violations.
900.210 Disclosures of information.
900.211 Penalties.

    Subpart_Procedure for Conduct of Referenda to Determine Producer 
   Approval of Milk Marketing Orders To Be Made Effective Pursuant to 
        Agricultural Marketing Agreement Act of 1937, as Amended

900.300 General.
900.301 Definitions.
900.302 Associations eligible to vote.
900.303 Conduct of referendum.
900.304 Who may vote.
900.305 Duties of referendum agent.
900.306 Notice of the referendum.

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900.307 Time for voting.
900.308 Tabulation of ballots.
900.309 Confidential information.
900.310 Supplementary instructions.
900.311 Submittals or requests.

Subpart_Procedure for Determining the Qualification of Cooperative Milk 
                         Marketing Associations

900.350 General statement.
900.351 Applications for qualification.
900.352 Confidential information.
900.353 Qualification standards.
900.354 Inspection and investigation.
900.355 Annual reporting.
900.356 Listing of qualified associations.
900.357 Denial of application; suspension or revocation of determination 
          of qualification.

   Subpart_Procedure for the Conduct of Referenda in Connection With 
   Marketing Orders for Fruits, Vegetables, and Nuts Pursuant to the 
        Agricultural Marketing Agreement Act of 1937, as Amended

900.400 General.
900.401 Definitions.
900.402 Voting.
900.403 Instructions.
900.404 Subagents.
900.405 Ballots.
900.406 Referendum report.
900.407 Confidential information.

                       Subpart_Public Information

Availability of Program Information, Staff Manuals and Instructions, and 
                            Related Material

900.500 General.
900.501 Public inspection and copying.
900.502 Indexes.
900.503 Requests for records.
900.504 Appeals.

                     Subpart_Information Collection

900.600 General.
900.601 OMB control numbers assigned pursuant to the Paperwork Reduction 
          Act.

    Source: 25 FR 5907, June 28, 1960, unless otherwise noted.

    Subpart_Rules of Practice and Procedure Governing Proceedings to 
           Formulate Marketing Agreements and Marketing Orders

    Authority: Sec. 10, 48 Stat. 37, as amended; 7 U.S.C. 610.

Sec.  900.1  Words in the singular form.

    Words in this subpart in the singular form shall be deemed to import 
the plural, and vice versa, as the case may demand.

Sec.  900.2  Definitions.

    As used in this subpart, the terms as defined in the Act shall apply 
with equal force and effect. In addition, unless the context otherwise 
requires:
    (a) The term Act means Public Act No. 10, 73d Congress (48 Stat. 
31), as amended and as reenacted and amended by the Agricultural 
Marketing Agreement Act of 1937 (50 Stat. 246), as amended.
    (b) The term Department means the United States Department of 
Agriculture.
    (c) The term Secretary means the Secretary of Agriculture of the 
United States, or any officer or employee of the Department to whom 
authority has heretofore been delegated, or to whom authority may 
hereafter be delegated, to act in his stead.
    (d) The terms Administrative Law Judge or Judge means any 
administrative law judge appointed pursuant to 5 U.S.C. 3105, and 
assigned to conduct the proceeding.
    (e) The term Administrator means the Administrator of the 
Agricultural Marketing Service, with power to redelegate, or any officer 
or employee of the Department to whom authority has been delegated or 
may hereafter be delegated to act in his stead.
    (f) [Reserved]
    (g) The term ``Federal Register'' means the publication provided for 
by the Act of July 26, 1935 (49 Stat. 500), and acts supplementary 
thereto and amendatory thereof.
    (h) The term hearing means that part of the proceeding which 
involves the submission of evidence.
    (i) The term marketing agreement means any marketing agreement or 
any amendment thereto which may be entered into pursuant to section 8b 
of the Act.
    (j) The term marketing order means any order or any amendment 
thereto which may be issued pursuant to section 8c of the Act, and after 
notice and hearing as required by said section.
    (k) The term proceeding means a proceeding upon the basis of which a 
marketing agreement may be entered into or a marketing order may be 
issued.
    (l) The term hearing clerk means the hearing clerk, United States 
Department of Agriculture, Washington, DC.

[25 FR 5907, June 28, 1960, as amended at 26 FR 7796, Aug. 22, 1961; 28 
FR 579, Jan. 23, 1963; 37 FR 8059, Apr. 25, 1972; 38 FR 29798, Oct. 29, 
1973]

Sec.  900.3  Proposals.

    (a) A marketing agreement or a marketing order may be proposed by 
the Secretary or by any other person. If any person other than the 
Secretary proposes a marketing agreement or marketing order, he shall 
file with the Administrator a written application, together with at 
least four copies of the proposal, requesting the Secretary to hold a

[[Page 9]]

hearing upon the proposal. Upon receipt of such proposal, the 
Administrator shall cause such investigation to be made and such 
consideration thereof to be given as, in his opinion, are warranted. If 
the investigation and consideration lead the Administrator to conclude 
that the proposed marketing agreement or marketing order will not tend 
to effectuate the declared policy of the Act, or that for other proper 
reasons a hearing should not be held on the proposal, he shall deny the 
application, and promptly notify the applicant of such denial, which 
notice shall be accompanied by a brief statement of the grounds for the 
denial.
    (b) If the investigation and consideration lead the Administrator to 
conclude that the proposed marketing agreement or marketing order will 
tend to effectuate the declared policy of the Act, or if the Secretary 
desires to propose a marketing agreement or marketing order, he shall 
sign and cause to be served a notice of hearing, as provided in this 
subpart.

Sec.  900.4  Institution of proceeding.

    (a) Filing and contents of the notice of hearing. The proceeding 
shall be instituted by filing the notice of hearing with the hearing 
clerk. The notice of hearing shall contain a reference to the authority 
under which the marketing agreement or marketing order is proposed; 
shall define the scope of the hearing as specifically as may be 
practicable; shall contain either the terms or substance of the proposed 
marketing agreement or marketing order or a description of the subjects 
and issues involved and shall state the industry, area, and class of 
persons to be regulated, the time and place of such hearing, and the 
place where copies of such proposed marketing agreement or marketing 
order may be obtained or examined. The time of the hearing shall not be 
less than 15 days after the date of publication of the notice in the 
Federal Register, as provided in this subpart, unless the Administrator 
shall determine that an emergency exists which requires a shorter period 
of notice, in which case the period of notice shall be that which the 
Administrator may determine to be reasonable in the circumstances: 
Provided, That, in the case of hearings on amendments to marketing 
agreements or marketing orders, the time of the hearing may be less than 
15 days but shall not be less than 3 days after the date of publication 
of the notice in the Federal Register.
    (b) Giving notice of hearing and supplemental publicity. (1) The 
Administrator shall give or cause to be given notice of hearing in the 
following manner:
    (i) By publication of the notice of hearing in the Federal Register;
    (ii) By mailing a true copy of the notice of hearing to each of the 
persons known to the Administrator, to be interested therein;
    (iii) By issuing a press release containing the complete text or a 
summary of the contents of the notice of hearing and making the same 
available to such newspapers in the area proposed to be subjected to 
regulation as reasonably will tend to bring the notice to the attention 
of the persons interested therein;
    (iv) By forwarding copies of the notice of hearing addressed to the 
governors of such of the several States of the United States and to 
executive heads of such of the Territories and possessions of the United 
States as the Administrator, having due regard for the subject matter of 
the proposal and the public interest, shall determine, should be 
notified.
    (2) Legal notice of the hearing shall be deemed to be given if 
notice is given in the manner provided by paragraph (b)(1)(i) of this 
section; and failure to give notice in the manner provided in paragraph 
(b)(1)(ii), (iii), and (iv) of this section shall not affect the 
legality of the notice.
    (c) Record of notice and supplemental publicity. There shall be 
filed with the hearing clerk or submitted to the judge at the hearing an 
affidavit or certificate of the person giving the notice provided in 
(b)(1)(iii) and (iv) of this section. In regard to the provisions 
relating to mailing in (b)(1)(ii) of this section, a determination by 
the Administrator that such provisions have been complied with shall be 
filed with the hearing clerk or submitted to the judge at the hearing. 
In the alternative, if notice is not given in the manner provided in 
(b)(1)(ii), (iii), and (iv) of this section there shall be filed with 
the hearing clerk or submitted to the judge at the hearing a 
determination by the Administrator that such notice is impracticable, 
unnecessary, or contrary to the public interest with a brief statement 
of the reasons for such determination. Determinations by the 
Administrator as herein provided shall be final.

Sec.  900.5  Docket number.

    Each proceeding, immediately following its institution, shall be 
assigned a docket number by the hearing clerk and thereafter the 
proceeding may be referred to by such number.

Sec.  900.6  Judges.

    (a) Assignment. No judge who has any pecuniary interest in the 
outcome of a proceeding shall serve as judge in such proceeding.
    (b) Powers of judges. Subject to review by the Secretary, as 
provided elsewhere in this subpart, the judge, in any proceeding, shall 
have power to:
    (1) Rule upon motions and requests;
    (2) Change the time and place of hearing, and adjourn the hearing 
from time to time or from place to place;
    (3) Administer oaths and affirmations and take affidavits;

[[Page 10]]

    (4) Examine and cross-examine witnesses and receive evidence;
    (5) Admit or exclude evidence;
    (6) Hear oral argument on facts or law;
    (7) Do all acts and take all measures necessary for the maintenance 
of order at the hearing and the efficient conduct of the proceeding.
    (c) Who may act in absence of judge. In case of the absence of the 
judge or his inability to act, the powers and duties to be performed by 
him under this part in connection with a proceeding may, without 
abatement of the proceeding unless otherwise ordered by the Secretary, 
be assigned to any other judge.
    (d) Disqualification of judge. The judge may at any time withdraw as 
judge in a proceeding if he deems himself to be disqualified. Upon the 
filing by an interested person in good faith of a timely and sufficient 
affidavit of personal bias or disqualification of a judge, the Secretary 
shall determine the matter as a part of the record and decision in the 
proceeding, after making such investigation or holding such hearings, or 
both, as he may deem appropriate in the circumstances.

Sec.  900.7  Motions and requests.

    (a) General. All motions and requests shall be filed with the 
hearing clerk, except that those made during the course of the hearing 
may be filed with the judge or may be stated orally and made a part of 
the transcript.
    Except as provided in Sec.  900.15(b) such motions and requests 
shall be addressed to, and ruled on by, the judge if made prior to his 
certification of the transcript pursuant to Sec.  900.10 or by the 
Secretary if made thereafter.
    (b) Certification to Secretary. The judge may in his discretion 
submit or certify to the Secretary for decision any motion, request, 
objection, or other question addressed to the judge.

Sec.  900.8  Conduct of the hearing.

    (a) Time and place. The hearing shall be held at the time and place 
fixed in the notice of hearing, unless the judge shall have changed the 
time or place, in which event the judge shall file with the hearing 
clerk a notice of such change, which notice shall be given in the same 
manner as provided in Sec.  900.4 (relating to the giving of notice of 
the hearing): Provided, That, if the change in time or place of hearing 
is made less than 5 days prior to the date previously fixed for the 
hearing, the judge, either in addition to or in lieu of causing the 
notice of the change to be given, shall announce, or cause to be 
announced, the change at the time and place previously fixed for the 
hearing.
    (b) Appearances--(1) Right to appear. At the hearing, any interested 
person shall be given an opportunity to appear, either in person or 
through his authorized counsel or representative, and to be heard with 
respect to matters relevant and material to the proceeding. Any 
interested person who desires to be heard in person at any hearing under 
these rules shall, before proceeding to testify, state his name, 
address, and occupation. If any such person is appearing through a 
counsel or representative, such person or such counsel or representative 
shall, before proceeding to testify or otherwise to participate in the 
hearing, state for the record the authority to act as such counsel or 
representative, and the names and addresses and occupations of such 
person and such counsel or representative. Any such person or such 
counsel or representative shall give such other information respecting 
his appearance as the judge may request.
    (2) Debarment of counsel or representative. Wherever, while a 
proceeding is pending before him, the judge finds that a person, acting 
as counsel or representative for any person participating in the 
proceeding, is guilty of unethical or unprofessional conduct, the judge 
may order that such person be precluded from further acting as counsel 
or representative in such proceeding. An appeal to the Secretary may be 
taken from any such order, but the proceeding shall not be delayed or 
suspended pending disposition of the appeal: Provided, That the judge 
may suspend the proceeding for a reasonable time for the purpose of 
enabling the client to obtain other counsel or other representative.
    In case the judge has ordered that a person be precluded from 
further acting as counsel or representative in the proceeding, the 
judge, within a reasonable time thereafter shall submit to the Secretary 
a report of the facts and circumstances surrounding such order and shall 
recommend what action the Secretary should take respecting the 
appearance of such person as counsel or representative in other 
proceedings before the Secretary. Thereafter the Secretary may, after 
notice and an opportunity for hearing, issue such order, respecting the 
appearance of such person as counsel or representative in proceedings 
before the Secretary, as the Secretary finds to be appropriate.
    (3) Failure to appear. If any interested person fails to appear at 
the hearing, he shall be deemed to have waived the right to be heard in 
the proceeding.
    (c) Order of procedure. (1) The judge shall, at the opening of the 
hearing prior to the taking of testimony, have noted as part of the 
record the notice of hearing as filed with the Office of the Federal 
Register and the affidavit or certificate of the giving of notice or the 
determination provided for in Sec.  900.4(c).
    (2) Evidence shall then be received with respect to the matters 
specified in the notice of the hearing in such order as the judge shall 
announce.

[[Page 11]]

    (d) Evidence--(1) In general. The hearing shall be publicly 
conducted, and the testimony given at the hearing shall be reported 
verbatim.
    Every witness shall, before proceeding to testify, be sworn or make 
affirmation. Cross-examination shall be permitted to the extent required 
for a full and true disclosure of the facts.
    When necessary, in order to prevent undue prolongation of the 
hearing, the judge may limit the number of times any witness may testify 
to the same matter or the amount of corroborative or cumulative 
evidence.
    The judge shall, insofar as practicable, exclude evidence which is 
immaterial, irrelevant, or unduly repetitious, or which is not of the 
sort upon which responsible persons are accustomed to rely.
    (2) Objections. If a party objects to the admission or rejection of 
any evidence or to any other ruling of the judge during the hearing, he 
shall state briefly the grounds of such objection, whereupon an 
automatic exception will follow if the objection is overruled by the 
judge. The transcript shall not include argument or debate thereon 
except as ordered by the judge. The ruling of the judge on any objection 
shall be a part of the transcript.
    Only objections made before the judge may subsequently be relied 
upon in the proceeding.
    (3) Proof and authentication of official records or documents. An 
official record or document, when admissible for any purpose, shall be 
admissible as evidence without the production of the person who made or 
prepared the same. Such record or document shall, in the discretion of 
the judge, be evidenced by an official publication thereof or by a copy 
attested by the person having legal custody thereof and accompanied by a 
certificate that such person has the custody.
    (4) Exhibits. All written statements, charts, tabulations, or 
similar data offered in evidence at the hearing shall, after 
identification by the proponent and upon satisfactory showing of the 
authenticity, relevancy, and materiality of the contents thereof, be 
numbered as exhibits and received in evidence and made a part of the 
record. Such exhibits shall be submitted in quadruplicate and in 
documentary form. In case the required number of copies is not made 
available, the judge shall exercise his discretion as to whether said 
exhibits shall, when practicable, be read in evidence or whether 
additional copies shall be required to be submitted within a time to be 
specified by the judge. If the testimony of a witness refers to a 
statute, or to a report or document (including the record of any 
previous hearing) the judge, after inquiry relating to the 
identification of such statute, report, or document, shall determine 
whether the same shall be produced at the hearing and physically be made 
a part of the evidence as an exhibit, or whether it shall be 
incorporated into the evidence by reference. If relevant and material 
matter offered in evidence is embraced in a report or document 
(including the record of any previous hearing) containing immaterial or 
irrelevant matter, such immaterial or irrelevant matter shall be 
excluded and shall be segregated insofar as practicable, subject to the 
direction of the judge.
    (5) Official notice. Official notice may be taken of such matters as 
are judicially noticed by the courts of the United States and of any 
other matter of technical, scientific or commercial fact of established 
character: Provided, That interested persons shall be given adequate 
notice, at the hearing or subsequent thereto, of matters so noticed and 
shall be given adequate opportunity to show that such facts are 
inaccurate or are erroneously noticed.
    (6) Offer of proof. Whenever evidence is excluded from the record, 
the party offering such evidence may make an offer of proof, which shall 
be included in the transcript. The offer of proof shall consist of a 
brief statement describing the evidence to be offered. If the evidence 
consists of a brief oral statement or of an exhibit, it shall be 
inserted into the transcript in toto. In such event, it shall be 
considered a part of the transcript if the Secretary decides that the 
judge's ruling in excluding the evidence was erroneous. The judge shall 
not allow the insertion of such evidence in toto if the taking of such 
evidence will consume a considerable length of time at the hearing. In 
the latter event, if the Secretary decides that the judge erred in 
excluding the evidence, and that such error was substantial, the hearing 
shall be reopened to permit the taking of such evidence.

[25 FR 5907, June 28, 1960, as amended at 37 FR 1103, Jan. 25, 1972]

Sec.  900.9  Oral and written arguments.

    (a) Oral argument before judge. Oral argument before the judge shall 
be in the discretion of the judge. Such argument, when permitted, may be 
limited by the judge to any extent that he finds necessary for the 
expeditious disposition of the proceeding and shall be reduced to 
writing and made part of the transcript.
    (b) Briefs, proposed findings and conclusions. The judge shall 
announce at the hearing a reasonable period of time within which 
interested persons may file with the hearing clerk proposed findings and 
conclusions, and written arguments or briefs, based upon the evidence 
received at the hearing, citing, where practicable, the page or pages of 
the transcript of the testimony where such evidence appears. Factual 
material other than that adduced at the hearing or subject to official 
notice shall not be alluded to therein,

[[Page 12]]

and, in any case, shall not be considered in the formulation of the 
marketing agreement or marketing order. If the person filing a brief 
desires the Secretary to consider any objection made by such person to a 
ruling of the judge, as provided in Sec.  900.8(d), he shall include in 
the brief a concise statement concerning each such objection, referring 
where practicable, to the pertinent pages of the transcript.

Sec.  900.10  Certification of the transcript.

    The judge shall notify the hearing clerk of the close of a hearing 
as soon as possible thereafter and of the time for filing written 
arguments, briefs, proposed findings and proposed conclusions, and shall 
furnish the hearing clerk with such other information as may be 
necessary. As soon as possible after the hearing, the judge shall 
transmit to the hearing clerk an original and three copies of the 
transcript of the testimony and the original and all copies of the 
exhibits not already on file in the office of the hearing clerk. He 
shall attach to the original transcript of testimony his certificate 
stating that to the best of his knowledge and belief, the transcript is 
a true transcript of the testimony given at the hearing except in such 
particulars as he shall specify; and that the exhibits transmitted are 
all the exhibits as introduced at the hearing with such exceptions as he 
shall specify. A copy of such certificate shall be attached to each of 
the copies of the transcript of testimony. In accordance with such 
certificate the hearing clerk shall note upon the official record copy, 
and cause to be noted on other copies, of the transcript each correction 
detailed therein by adding or crossing out (but without obscuring the 
text as originally transcribed) at the appropriate place any words 
necessary to make the same conform to the correct meaning, as certified 
by the judge. The hearing clerk shall obtain and file certifications to 
the effect that such corrections have been effected in copies other than 
the official record copy.

Sec.  900.11  Copies of the transcript.

    (a) During the period in which the proceeding has an active status 
in the Department, a copy of the transcript and exhibits shall be kept 
on file in the office of the hearing clerk, where it shall be available 
for examination during official hours of business. Thereafter said 
transcript and exhibits shall be made available by the hearing clerk for 
examination during official hours of business after prior request and 
reasonable notice to the hearing clerk.
    (b) If a personal copy of the transcript is desired, such copy may 
be obtained upon written application filed with the reporter and upon 
payment of fees at the rate (if any) provided in the contract between 
the reporter and the Secretary.

Sec.  900.12  Administrator's recommended decision.

    (a) Preparation. As soon as practicable following the termination of 
the period allowed for the filing of written arguments or briefs and 
proposed findings and conclusions the Administrator shall file with the 
hearing clerk a recommended decision.
    (b) Contents. The Administrator's recommended decision shall 
include: (1) A preliminary statement containing a description of the 
history of the proceedings, a brief explanation of the material issues 
of fact, law, or discretion presented on the record, and proposed 
findings and conclusions with respect to such issues as well as the 
reasons or basis therefor; (2) A ruling upon each proposed finding or 
conclusion submitted by interested persons; and (3) An appropriate 
proposed marketing agreement or marketing order effectuating his 
recommendations.
    (c) Exceptions to recommended decision. Immediately following the 
filing of his recommended decision, the Administrator shall give notice 
thereof, and opportunity to file exceptions thereto by publication in 
the Federal Register. Within a period of time specified in such notice 
any interested person may file with the hearing clerk exceptions to the 
Administrator's proposed marketing agreement or marketing order, or 
both, as the case may be, and a brief in support of such exceptions. 
Such exceptions shall be in writing, shall refer, where practicable, to 
the related pages of the transcript and may suggest appropriate changes 
in the proposed marketing agreement or marketing order.
    (d) Omission of recommended decision. The procedure provided in this 
section may be omitted only if the Secretary finds on the basis of the 
record that due and timely execution of his functions imperatively and 
unavoidably requires such omission.

Sec.  900.13  Submission to Secretary.

    Upon the expiration of the period allowed for filing exceptions or 
upon request of the Secretary, the hearing clerk shall transmit to the 
Secretary the record of the proceeding. Such record shall include: all 
motions and requests filed with the hearing clerk and rulings thereon; 
the certified transcripts; any proposed findings or conclusions or 
written arguments or briefs that may have been filed; the 
Administrator's recommended decision, if any, and such exceptions as may 
have been filed.

Sec.  900.13a  Decision by Secretary.

    After due consideration of the record, the Secretary shall render a 
decision. Such decision shall become a part of the record and shall 
include (a) a statement of his findings and conclusions, as well as the 
reasons or basis therefor, upon all the material issues of fact, law or 
discretion presented on the

[[Page 13]]

record, (b) a ruling upon each proposed finding and proposed conclusion 
not previously ruled upon in the record, (c) a ruling upon each 
exception filed by interested persons and (d) either (1) a denial of the 
proposal to issue a marketing agreement or marketing order or (2) a 
marketing agreement and, if the findings upon the record so warrant, a 
marketing order, the provisions of which shall be set forth directly or 
by reference, regulating the handling of the commodity or product in the 
same manner and to the same extent as such marketing agreement, which 
order shall be complete except for its effective date and any 
determinations to be made under Sec.  900.14(b) or Sec.  900.14(c): 
Provided, That such marketing order shall not be executed, issued, or 
made effective until and unless the Secretary determines that the 
requirements of Sec.  900.14(b) or Sec.  900.14(c) have been met.

Sec.  900.14  Execution and issuance of marketing agreements and 
          marketing orders.

    (a) Execution and issuance of marketing agreement. If the Secretary 
has approved a marketing agreement, as provided in Sec.  900.13a, the 
Administrator shall cause copies thereof to be distributed for execution 
by the handlers eligible to become parties thereto. If and when such 
number of the handlers as the Secretary shall deem sufficient shall have 
executed the agreement, the Secretary shall execute the agreement. After 
execution of a marketing agreement, such agreement shall be filed with 
the hearing clerk, and notice thereof, together with notice of the 
effective date, shall be given by publication in the Federal Register. 
The marketing agreement shall not become effective less than 30 days 
after its publication in the Federal Register, unless the Secretary, 
upon good cause found and published with the agreement, fixes an earlier 
effective date therefor: Provided, That no marketing agreement shall 
become effective as to any person signatory thereto before either (1) it 
has been filed with the Office of the Federal Register, or (2) such 
person has received actual notice that the Secretary has executed the 
agreement and the effective date of the marketing agreement.
    (b) Issuance of marketing order with marketing agreement. Whenever, 
as provided in paragraph (a) of this section, the Secretary executes a 
marketing agreement, and handlers also have executed the same as 
provided in section 8c(8) of the Act, he shall, if he finds that it will 
tend to effectuate the purposes of the Act, issue and make effective the 
marketing order, if any, which was filed as a part of his decision 
pursuant to Sec.  900.13a: Provided, That the issuance of such order 
shall have been approved or favored by producers as required by section 
8c(8) of the act.
    (c) Issuance of marketing order without marketing agreement. If, 
despite the failure or refusal of handlers to sign the marketing 
agreement, as provided in section 8c(8) of the Act, the Secretary makes 
the determinations required under section 8c(9) of the Act, the 
Secretary shall issue and make effective the marketing order, if any, 
which was filed as a part of his decision pursuant to Sec.  900.13a.
    (d) Effective date of marketing order. No marketing order shall 
become effective less than 30 days after its publication in the Federal 
Register, unless the Secretary, upon good cause found and published with 
the order, fixes an earlier effective date therefor: Provided, That no 
marketing order shall become effective as to any person sought to be 
charged thereunder before either (1) it has been filed with the Office 
of the Federal Register, or (2) such person has received actual notice 
of the issuance and terms of the marketing order.
    (e) Notice of issuance. After issuance of a marketing order, such 
order shall be filed with the hearing clerk, and notice thereof, 
together with notice of the effective date, shall be given by 
publication in the Federal Register. (7 U.S.C. 610(c).)

[25 FR 5907, June 28, 1960, as amended at 53 FR 15659, May 3, 1988]

Sec.  900.15  Filing; extensions of time; effective date of filing; and 
          computation of time.

    (a) Filing, number of copies. Except as is provided otherwise in 
this subpart, all documents or papers required or authorized by the 
foregoing provisions of this subpart to be filed with the hearing clerk 
shall be filed in quadruplicate. Any document or paper, so required or 
authorized to be filed with the hearing clerk, shall, during the course 
of an oral hearing, be filed with the judge. The provisions of this 
subpart concerning filing with the hearing clerk of hearing notices, 
recommended and final decisions, marketing agreements and orders, and 
all documents described in Sec.  900.17 shall be met by filing a true 
copy thereof with the hearing clerk.
    (b) Extensions of time. The time for the filing of any document or 
paper required or authorized by the foregoing provisions of this subpart 
to be filed may be extended by the judge (before the record is certified 
by the judge) or by the Administrator (after the record is so certified 
by the judge but before it is transmitted to the Secretary), or by the 
Secretary (after the record is transmitted to the Secretary) upon 
request filed, and if, in the judgment of the judge, Administrator, or 
the Secretary, as the case may be, there is good reason for the 
extension. All rulings made pursuant to this paragraph shall be filed 
with the hearing clerk.
    (c) Effective date of filing. Any document or paper required or 
authorized by the foregoing provisions of this subpart to be filed shall 
be deemed to be filed when it is postmarked or when it is received by 
the hearing clerk.

[[Page 14]]

    (d) Computation of time. Sundays and Federal holidays shall be 
included in computing the time allowed for the filing of any document or 
paper: Provided, That, when such time expires on a Sunday or legal 
holiday, such period shall be extended to include the next following 
business day.

[25 FR 5907, June 28, 1960, as amended at 30 FR 254, Jan. 9, 1965]

Sec.  900.16  Ex parte communications.

    (a) At no stage of the proceeding following the issuance of a notice 
of hearing and prior to the issuance of the Secretary's decision therein 
shall an employee of the Department who is or may reasonably be expected 
to be involved in the decisional process of the proceeding discuss ex 
parte the merits of the proceeding with any person having an interest in 
the proceeding or with any representative of such person: Provided, That 
procedural matters and status reports shall not be included within this 
limitation; and Provided further, That an employee of the Department who 
is or may reasonably be expected to be involved in the decisional 
process of the proceeding may discuss the merits of the proceeding with 
such a person if all parties known to be interested in the proceeding 
have been given notice and an opportunity to participate. A memorandum 
of any such discussion shall be included in the record of the 
proceeding.
    (b) No person interested in the proceeding shall make or knowingly 
cause to be made to an employee of the Department who is or may 
reasonably be expected to be involved in the decisional process of the 
proceeding an ex parte communication relevant to the merits of the 
proceeding except as provided in paragraph (a) of this section.
    (c) If an employee of the Department who is or may reasonably be 
expected to be involved in the decisional process of the proceeding 
receives or makes a communication prohibited by this section, the 
Department shall place on the public record of the proceeding:
    (1) All such written communications;
    (2) Memoranda stating the substance of all such oral communications; 
and
    (3) All written responses, and memoranda stating the substance of 
all oral responses thereto.
    (d) Upon receipt of a communication knowingly made or knowingly 
caused to be made by a party in violation of this section, the 
Department may, to the extent consistent with the interest of justice 
and the policy of the underlying statute, take whatever steps are deemed 
necessary to nullify the effect of such communication.
    (e) For the purposes of this section, ex parte communication means 
an oral or written communication not on the public record with respect 
to which reasonable prior notice to all interested parties is not given, 
but which shall not include requests for status reports (including 
requests on procedural matters) on any proceeding.

[42 FR 10833, Feb. 24, 1977]

Sec.  900.17  Additional documents to be filed with hearing clerk.

    In addition to the documents or papers required or authorized by the 
foregoing provisions of this subpart to be filed with the hearing clerk, 
the hearing clerk shall receive for filing and shall have custody of all 
papers, reports, records, orders, and other documents which relate to 
the administration of any marketing agreement or marketing order and 
which the Secretary is required to issue or to approve.

Sec.  900.18  Hearing before Secretary.

    The Secretary may act in the place and stead of a judge in any 
proceeding under this subpart. When he so acts the hearing clerk shall 
transmit the record to the Secretary at the expiration of the period 
provided for the filing of proposed findings of fact, conclusions and 
orders, and the Secretary shall thereupon, after due consideration of 
the record, issue his final decision in the proceeding: Provided, That 
he may issue a tentative decision in which event the parties shall be 
afforded an opportunity to file exceptions before the issuance of the 
final decision.

 Subpart_Rules of Practice Governing Proceedings on Petitions To Modify 
                 or To Be Exempted From Marketing Orders

    Authority: Sec. 5, 49 Stat. 753, as amended; 7 U.S.C. 608c.

Sec.  900.50  Words in the singular form.

    Words in this subpart in the singular form shall be deemed to import 
the plural, and vice versa, as the case may demand.

Sec.  900.51  Definitions.

    As used in this subpart, the terms as defined in the Act shall apply 
with equal force and effect. In addition, unless the context otherwise 
requires:
    (a) The term Act means Public Act No. 10, 73d Congress, as amended 
and as reenacted and amended by the Agricultural Marketing Agreement Act 
of 1937, as amended (7 U.S.C. and Sup. 601);
    (b) The term Department means the United States Department of 
Agriculture;
    (c) The term Secretary means the Secretary of Agriculture of the 
United States, or any officer or employee of the Department to whom 
authority has heretofore been delegated, or to whom authority may 
hereafter be delegated, to act in his stead;

[[Page 15]]

    (d) The terms administrative law judge or judge means any 
Administrative Law Judge, appointed pursuant to 5 U.S.C. 3105, and 
assigned to the proceeding involved;
    (e) The term administrator means the Administrator of the 
Agricultural Marketing Service, with power to redelegate, or any officer 
or employee of the Department to whom authority has been delegated or 
may hereafter be delegated to act in his stead.
    (f) [Reserved]
    (g) The term ``Federal Register'' means the publication provided for 
by the Act of July 26, 1935 (49 Stat. 500), and acts supplementary 
thereto and amendatory thereof;
    (h) The term marketing order means any order or any amendment 
thereto which may be issued pursuant to section 8c of the Act;
    (i) The term handler means any person who, by the terms of a 
marketing order, is subject thereto, or to whom a marketing order is 
sought to be made applicable;
    (j) The term proceeding means a proceeding before the Secretary 
arising under subsection (15)(A) of section 8c of the Act;
    (k) The term hearing means that part of the proceeding which 
involves the submission of evidence;
    (l) The term party includes the Department;
    (m) The term hearing clerk means the hearing clerk, United States 
Department of Agriculture, Washington, DC;
    (n) [Reserved]
    (o) The term decision means the judge's initial decision in 
proceedings subject to 5 U.S.C. 556 and 557, and includes the judge's 
(1) findings of fact and conclusions with respect to all material issues 
of fact, law or discretion as well as the reasons or basis thereof, (2) 
order, and (3) rules on findings, conclusions and orders submitted by 
the parties;
    (p) The term petition includes an amended petition.

[25 FR 5907, June 28, 1960, as amended at 26 FR 7796, Aug. 22, 1961, 28 
FR 579, Jan. 23, 1963; 37 FR 8059, Apr. 25, 1972; 38 FR 29798, Oct. 29, 
1973]

Sec.  900.52  Institution of proceeding.

    (a) Filing and service of petition. Any handler desiring to complain 
that any marketing order or any provision of any such order or any 
obligation imposed in connection therewith is not in accordance with 
law, shall file with the hearing clerk, in quadruplicate, a petition in 
writing addressed to the Secretary. Promptly upon receipt of the 
petition, the hearing clerk shall transmit a true copy thereof to the 
Administrator and the General Counsel, respectively.
    (b) Contents of petition. A petition shall contain:
    (1) The correct name, address, and principal place of business of 
the petitioner. If petitioner is a corporation, such fact shall be 
stated, together with the name of the State of incorporation, the date 
of incorporation, and the names, addresses, and respective positions 
held by its officers; if an unincorporated association, the names and 
addresses of its officers, and the respective positions held by them; if 
a partnership, the name and address of each partner;
    (2) Reference to the specific terms or provisions of the order, or 
the interpretation or application thereof, which are complained of;
    (3) A full statement of the facts (avoiding a mere repetition of 
detailed evidence) upon which the petition is based, and which it is 
desired that the Secretary consider, setting forth clearly and concisely 
the nature of the petitioner's business and the manner in which 
petitioner claims to be affected by the terms or provisions of the order 
or the interpretation or application thereof, which are complained of;
    (4) A statement of the grounds on which the terms or provisions of 
the order, or the interpretation or application thereof, which are 
complained of, are challenged as not in accordance with law;
    (5) Prayers for the specific relief which the petitioner desires the 
Secretary to grant;
    (6) An affidavit by the petitioner, or if the petitioner is not an 
individual, by an officer of the petitioner having knowledge of the 
facts stated in the petition, verifying the petition and stating that it 
is filed in good faith and not for purposes of delay.
    (c) Motion to dismiss petition--(1) Filing, contents, and responses 
thereto. If the Administrator is of the opinion that the petition, or 
any portion thereof, does not substantially comply, in form or content, 
with the act or with the requirements of paragraph (b) of this section, 
or is not filed in good faith, or is filed for purposes of delay, he 
may, within thirty days after the filing of the petition, file with the 
Hearing Clerk a motion to dismiss the petition, or any portion thereof, 
on one or more of the grounds stated in this paragraph. Such motion 
shall specify the grounds of objection to the petition and if based, in 
whole or in part, on an allegations of fact not appearing on the face of 
the petition, shall be accompanied by appropriate affidavits or 
documentary evidence substantiating such allegations of fact. The motion 
may be accompanied by a memorandum of law. Upon receipt of such motion, 
the Hearing Clerk shall cause a copy thereof to be served upon the 
petitioner, together with a notice stating that all papers to be 
submitted in opposition to such motion including any memorandum of law, 
must be filed by the petitioner with the Hearing Clerk not later than 20 
days after the service of such notice upon the petitioner. Upon the 
expiration of the time specified in such notice, or upon receipt of such 
papers from the petitioner, the Hearing Clerk shall transmit all

[[Page 16]]

papers which have been filed in connection with the motion to the Judge 
for his consideration.
    (2) Decision by Administrative Law Judge. The Judge, after due 
consideration, shall render a decision upon the motion stating the 
reasons for his action. Such decision shall be in the form of an order 
and shall be filed with the Hearing Clerk who shall cause a copy thereof 
to be served upon the petitioner and a copy thereof to be transmitted to 
the Administrator. Any such order shall be final unless appealed 
pursuant to Sec.  900.65: Provided, That within 20 days following the 
service upon the petitioner of a copy of the order of the Judge 
dismissing the petition, or any portion thereof, on the ground that it 
does not substantially comply in form and content with the act or with 
paragraph (b) of this section, the petitioner shall be permitted to file 
an amended petition.
    (3) Oral argument. Unless a written application for oral argument is 
filed by a party with the hearing clerk not later than the time fixed 
for filing papers in opposition to the motion, it shall be considered 
that the party does not desire oral argument. The granting of a request 
to make oral argument shall rest in the discretion of the Judge.

[25 FR 5907, June 28, 1960, as amended at 38 FR 29798, Oct. 29, 1973]

Sec.  900.52a  Answer to petition.

    (a) Time of filing. Within 30 days after the filing of the petition, 
the Administrator shall file an answer thereto: Provided, That if a 
motion to dismiss the petition, in whole or in part, is made pursuant to 
Sec.  900.52(c), the answer shall be filed within 15 days after the 
filing of an order of the administrative law judge denying the motion or 
granting the motion with respect to only a portion of the petition. The 
answer shall be filed with the hearing clerk who shall cause a copy 
thereof to be served promptly upon the petitioner.
    (b) Contents. The answer shall specify which of the material 
allegations of fact or of law in the petition are controverted and which 
are not controverted. The answer also may contain affirmative 
allegations of fact constituting separate defenses and statements of 
objections to the sufficiency of the whole or any part of the petition.

[25 FR 5907, June 28, 1960]

Sec.  900.52b  Amended pleadings.

    At any time before the close of the hearing the petition or answer 
may be amended, but the hearing shall, at the request of the adverse 
party, be adjourned or recessed for such reasonable time as the judge 
may determine to be necessary to protect the interests of the parties. 
Amendments subsequent to the first amendment or subsequent to the filing 
of an answer may be made only with leave of the judge or with the 
written consent of the adverse party.

Sec.  900.53  Withdrawal of petition.

    If, at any time after the petition is filed, the petitioner desires 
to withdraw the same, he shall file with the hearing clerk (or, if filed 
during the course of a hearing, with the judge) a written request for 
permission to withdraw. The judge may, in his discretion, thereupon 
dismiss the petition without further procedure: Provided, That, if the 
request to withdraw is filed after a hearing has been opened, permission 
to withdraw shall be granted only in exceptional circumstances.

Sec.  900.54  Docket number.

    Each proceeding, immediately following its institution, shall be 
assigned a docket number by the hearing clerk and thereafter the 
proceeding may be referred to by such number.

Sec.  900.55  Judges.

    (a) Assignment. No judge who has any pecuniary interest in the 
outcome of the proceeding, or who has participated in any investigation 
preceding the institution of the proceeding, shall serve as judge in 
such proceeding.
    (b) Conduct. The judge shall conduct the proceeding in a fair and 
impartial manner and shall not discuss ex parte the merits of the 
proceeding with any person who is or who has been connected in any 
manner with the proceeding in an advocative or investigative capacity.
    (c) Powers of judges. Subject to review by the Secretary, as 
provided elsewhere in this subpart, the judge shall have power to:
    (1) Rule upon motions and requests;
    (2) Adjourn the hearing from time to time, and change the time and 
place of hearing;
    (3) Administer oaths and affirmations and take affidavits;
    (4) Issue subpenas, under the facsimile signature of the Secretary, 
requiring the attendance and testimony of witnesses and the production 
of books, records, contracts, papers, and other documentary evidence;
    (5) Examine witnesses and receive evidence;
    (6) Take or order, under the facsimile signature of the Secretary, 
the taking of depositions;
    (7) Admit or exclude evidence;
    (8) Hear oral argument on facts or law;
    (9) Consolidate hearings upon two or more petitions pertaining to 
the same order;
    (10) Do all acts and take all measures necessary for the maintenance 
of order at the hearing and the efficient conduct of the proceeding.
    (d) Who may act in absence of judge. In case of the absence of the 
judge or his inability to act, the powers and duties to be performed

[[Page 17]]

by him under these rules of practice in connection with a proceeding 
may, without abatement of the proceeding unless otherwise ordered by the 
Secretary, be assigned to any other judge.
    (e) Disqualification of judge. The judge may at any time withdraw as 
judge in a proceeding if he deems himself to be disqualified. Upon the 
filing by an interested person in good faith of a timely and sufficient 
affidavit of personal bias or disqualification of a judge, the Secretary 
shall determine the matter as a part of the record and decision in the 
proceeding, after making such investigation or holding such hearings, or 
both, as he may deem appropriate in the circumstances.

Sec.  900.56  Consolidated hearings.

    At the discretion of the judge, hearings upon two or more petitions 
pertaining to the same order may be consolidated, and the evidence taken 
at such consolidated hearing may be embodied in a single record.

Sec.  900.57  Intervention.

    Intervention in proceedings subject to this subpart shall not be 
allowed, except that, in the discretion of the Secretary or the judge, 
any person (other than the petitioner) showing a substantial interest in 
the outcome of a proceeding shall be permitted to participate in the 
oral argument and to file a brief.

Sec.  900.58  Prehearing conferences.

    In any proceeding in which it appears that such procedure will 
expedite the proceeding, the judge, at any time prior to the 
commencement of or during the course of the hearing, may request the 
parties or their counsel to appear at a conference before him to 
consider (a) the simplification of issues; (b) the possibility of 
obtaining stipulations of fact and of documents which will avoid 
unnecessary proof; (c) the limitation of the number of expert or other 
witnesses; and (d) such other matters as may expedite and aid in the 
disposition of the proceeding. No transcript of such conference shall be 
made, but the judge shall prepare and file for the record a written 
summary of the action taken at the conference, which shall incorporate 
any written stipulations or agreements made by the parties at the 
conference or as a result of the conference. If the circumstances are 
such that a conference is impracticable, the judge may request the 
parties to correspond with him for the purpose of accomplishing any of 
the objects set forth in this section. The judge shall forward copies of 
letters and documents to the parties as the circumstances require. 
Correspondence in such negotiations shall not be a part of the record, 
but the judge shall submit a written summary for the record if any 
action is taken.

Sec.  900.59  Motions and requests.

    (a) General. All motions and requests shall be filed with the 
hearing clerk, except that those made during the course of an oral 
hearing may be filed with the judge or may be stated orally and made a 
part of the transcript.
    The judge is authorized to rule upon all motions and requests filed 
or made prior to the transmittal by the hearing clerk to the Secretary 
of the record as provided in this subpart. The Secretary shall rule upon 
all motions and requests filed after that time.
    (b) Certification of motions. The submission or certification of any 
motion, request, objection, or other question to the Secretary shall be 
in the discretion of the judge.

[25 FR 5907, June 28, 1960, as amended at 38 FR 29798, Oct. 29, 1973]

Sec.  900.60  Oral hearings before judge.

    (a) Time and place. The judge shall set a time and place for hearing 
and shall file with the hearing clerk a notice stating the time and 
place of hearing. If any change in the time or place of hearing becomes 
necessary, it shall be made by the judge, who, in such event, shall file 
with the hearing clerk a notice of the change. Such notice shall be 
served upon the parties, unless it is made during the course of an oral 
hearing and made a part of the transcript.
    (b) Appearances--(1) Representation. In any proceeding under the 
act, the parties may appear in person or by counsel or other 
representative. The Department, if represented by counsel, shall be 
represented by an attorney assigned by the General Counsel of the 
Department, and such attorney shall present or supervise the 
presentation of the position of the Department.
    (2) Debarment of counsel or representative. Whenever, while a 
proceeding is pending before him, the judge finds that a person acting 
as counsel or representative for any party to the proceeding is guilty 
of unethical or unprofessional conduct, the judge may order that such 
person be precluded from further acting as counsel or representative in 
such proceeding. An appeal to the Secretary may be taken from any such 
order, but the proceeding shall not be delayed or suspended pending 
disposition of the appeal: Provided, That the judge may suspend the 
proceeding for a reasonable time for the purpose of enabling the client 
to obtain other counsel or representative.
    In case the judge has issued an order precluding a person from 
further acting as counsel or representative in the proceeding, the 
judge, within a reasonable time thereafter, shall submit to the 
Secretary a report of the facts and circumstances surrounding the 
issuance of the order and shall recommend what action the Secretary 
should take respecting the appearance of such person as

[[Page 18]]

counsel or representative in other proceedings before the Secretary. 
Thereafter, the Secretary may, after notice and an opportunity for 
hearing, issue such order respecting the appearance of such person as 
counsel or representative in proceedings before the Secretary as the 
Secretary finds to be appropriate.
    (3) Failure to appear. If the petitioner, after being duly notified, 
fails to appear at the hearing, he shall be deemed to have authorized 
the dismissal of the proceeding, without further procedure, and with or 
without prejudice as the judge may determine. In the event that the 
petitioner appears at the hearing and no representative of the 
Department appears, the judge shall proceed ex parte to hear the 
evidence of the petitioner. Provided, That failure on the part of such 
representative of the Department to appear at a hearing shall not be 
deemed to be waiver of the Department's right to file suggested findings 
of fact, conclusions and order; to be served with a copy of the judge's 
initial decision and to appeal to the Secretary with respect thereto.
    (c) Order of proceeding. Except as may be determined otherwise by 
the judge, the petitioner shall proceed first at the hearing.
    (d) Evidence--(1) In general. The hearing shall be publicly 
conducted, and the testimony given at the hearing shall be reported 
verbatim.
    The testimony of witnesses at a hearing shall be upon oath or 
affirmation and subject to cross-examination.
    Any witness may, in the discretion of the judge, be examined 
separately and apart from all other witnesses except those who may be 
parties to the proceeding.
    The judge shall exclude, insofar as practicable, evidence which is 
immaterial, irrelevant, or unduly repetitious, or which is not of the 
sort upon which responsible persons are accustomed to rely.
    (2) Objections. If a party objects to the admission or rejection of 
any evidence or to the limitation of the scope of any examination or 
cross-examination, or any other ruling of the judge, he shall state 
briefly the grounds of such objection, whereupon an automatic exception 
will follow which may be pursued in an appeal pursuant to Sec.  900.65 
by the party adversely affected by the judge's ruling.
    (3) Depositions. The deposition of any witness shall be admitted, in 
the manner hereinafter provided in and subject to the provisions of 
Sec.  900.61.
    (4) Affidavits. Except as is otherwise provided in this subpart, 
affidavits may be admitted only if the evidence is otherwise admissible 
and the parties agree (which may be determined by their failure to make 
timely objections) that affidavits may be used.
    (5) Proof and authentication of official records or documents. An 
official record or document, when admissible for any purpose, shall be 
admissible in evidence without the production of the person who made or 
prepared the same. Such record or document shall, in the discretion of 
the judge, be evidenced by an official publication thereof or by a copy 
attested by the person having legal custody thereof and accompanied by a 
certificate that such person has the custody.
    (6) Exhibits. All written statements, charts, tabulations, or 
similar data offered in evidence at the hearing shall, after 
identification by the proponent and upon a satisfactory showing of the 
admissibility of the contents thereof, be numbered as exhibits and 
received in evidence and made a part of the record. Except where the 
judge finds that the furnishing of copies is impracticable, a copy of 
each exhibit, in addition to the original, shall be filed with the judge 
for the use of each other party to the proceeding. The judge shall 
advise the parties as to the exact number of copies which will be 
required to be filed and shall make and have noted on the record the 
proper distribution of the copies.
    If the testimony of a witness refers to a statute, or to a report, 
document, or transcript, the judge, after inquiry relating to the 
identification of such statute, report, document, or transcript, shall 
determine whether the same shall be produced at the hearing and 
physically be made a part of the evidence as an exhibit, or whether it 
shall be incorporated into the evidence by reference. If relevant and 
material matter offered in evidence is embraced in a report, document, 
or transcript containing immaterial or irrelevant matter, such 
immaterial or irrelevant matter shall be excluded and shall be 
segregated insofar as practicable, subject to the direction of the 
judge.
    (7) Official notice. Official notice will be taken of such matters 
as are judicially noticed by the courts of the United States and of any 
other matter of technical, scientific, or commercial fact of established 
character: Provided, That the parties shall be given adequate notice, at 
the hearing or by reference in the judge's report or the tentative order 
or otherwise, of matters so noticed, and (except where official notice 
is taken, for the first time in the proceeding, in the final order) 
shall be given adequate opportunity to show that such facts are 
erroneously noticed.
    (8) Offer of proof. Whenever evidence is excluded from the record, 
the party offering such evidence may make an offer of proof, which shall 
be included in the transcript. The offer of proof shall consist of a 
brief statement describing the evidence to be offered. If the evidence 
consists of a brief oral statement or of an exhibit, it shall be 
inserted into the transcript in toto. In such event, it shall be 
considered a part of the transcript if the Secretary decides that the 
judge's ruling in excluding the evidence was

[[Page 19]]

erroneous. The judge shall not allow the insertion of such evidence in 
toto if the taking of such evidence will consume a considerable length 
of time at the hearing. In the latter event, if on appeal the Secretary 
decides that the judge erred in excluding the evidence, and that such 
error was substantial, the hearing shall be reopened to permit the 
taking of such evidence.
    (e) [Reserved]
    (f) Transcript. (1) During the period in which the proceeding has an 
active status the transcript and exhibits shall be kept on file in the 
office of the hearing clerk, where it shall be available for examination 
during official hours of business. Thereafter said transcript and 
exhibits shall be made available by the hearing clerk for examination 
during official hours of business after prior request and reasonable 
notice to the hearing clerk.
    (2) If a personal copy of the transcript is desired, such copy may 
be obtained upon written application filed with the reporter, and upon 
payment of fees at the rate (if any) provided in the contract between 
the reporter and the Secretary.

[25 FR 5907, June 28, 1960, as amended at 38 FR 29798, Oct. 29, 1973]

Sec.  900.61  Depositions.

    (a) Procedure in lieu of deposition. Before any party may have 
testimony taken by deposition, said party shall, if practicable, submit 
to the other party an affidavit which shall set forth the facts to which 
the witness would testify, if the deposition should be taken. If, after 
examination of such affidavit, the other party agrees, or (within 10 
days after submission of the affidavit) fails to object, that the 
affidavit may be used in lieu of the deposition, the judge shall admit 
the affidavit in evidence and shall not order the deposition to be 
taken.
    (b) Application for taking deposition. Upon the application of a 
party to the proceeding, the judge may, at any time after the filing of 
the moving paper, order, under the facsimile signature of the Secretary, 
the taking of testimony by deposition. The application shall be in 
writing and shall be filed with the hearing clerk and shall set forth: 
(1) The name and address of the proposed deponent; (2) the name and 
address of the person (referred to hereinafter in this section as the 
``officer''), qualified under the rules in this part to take 
depositions, before whom the proposed examination is to be made; (3) the 
proposed time and place of the examination, which shall be at least 15 
days after the date of the mailing of the application; and (4) the 
reasons why such deposition should be taken.
    (c) Judge's order for taking deposition. If, after the examination 
of the application, the judge is of the opinion that the deposition 
should be taken, he shall order its taking. The order shall be filed 
with the hearing clerk and shall be served upon the parties and shall 
state: (1) The time and place of the examination (which shall not be 
less than 10 days after the filing of the order); (2) the name of the 
officer before whom the examination is to be made; (3) the name of the 
deponent. The officer and the time and place need not be the same as 
those suggested in the application.
    (d) Qualifications of officer. The deposition shall be taken before 
the judge or before an officer authorized by the law of the United 
States or by the law of the place of the examination to administer 
oaths, or before an officer authorized by the Secretary to administer 
oaths.
    (e) Procedure on examination. The deponent shall be examined under 
oath or affirmation and shall be subject to cross-examination. The 
testimony of the deponent shall be recorded by the officer or by some 
person under his direction and in his presence. In lieu of oral 
examination, parties may transmit written interrogatories to the officer 
prior to the examination and the officer shall propound such 
interrogatories to the deponent.
    The applicant must arrange for the examination of the witness either 
by oral examination or by written interrogatories. If it is found by the 
judge, upon the protest of a party to the proceeding, that such party 
has his residence and his place of business more than 100 miles from the 
place of the examination and that it would constitute an undue hardship 
upon such party to be represented at the examination, the applicant will 
be required to conduct the examination by means of interrogatories. When 
the examination is conducted by means of interrogatories, copies of the 
interrogatories shall be served upon the other parties to the proceeding 
at least five days prior to the date set for the examination, and the 
other parties shall be afforded an opportunity to file with the officer 
cross-interrogatories at any time prior to the time of the examination.
    (f) Certification by officer. The officer shall certify on the 
deposition that the deponent was duly sworn by him and that the 
deposition is a true record of the deponent's testimony. He shall then 
securely seal the deposition, together with two copies thereof, in an 
envelope and mail the same by registered mail to the hearing clerk.
    (g) Use of depositions. A deposition ordered and taken in accord 
with the provisions of this section may be used in a proceeding under 
the act if the judge finds that the evidence is otherwise admissible and 
(1) that the witness is dead; or (2) that the witness is at a distance 
greater than 100 miles from the place of hearing, unless it appears that 
the absence of the witness was procured by the party offering the 
deposition; or (3) that the witness is unable to attend or testify 
because

[[Page 20]]

of age, sickness, infirmity or imprisonment; or (4) that the party 
offering the deposition has endeavored to procure the attendance of the 
witness by subpena but has been unable to do so; or (5) that such 
exceptional circumstances exist as to make it desirable, in the 
interests of justice, to allow the deposition to be used. If a 
deposition has been taken, and the party upon whose application it was 
taken refuses to offer it in evidence, the other party may offer the 
deposition, or any part thereof, in evidence.

Sec.  900.62  Subpenas.

    (a) Issuance of subpenas. The attendance of witnesses and the 
production of documentary evidence from any place in the United States 
on behalf of any party to the proceeding may, by subpena, be required at 
any designated place of hearing. Subpenas may be issued by the Secretary 
or by the judge, under the facsimile signature of the Secretary, upon a 
reasonable showing by the applicant of the grounds, necessity, and 
reasonable scope thereof.
    (b) Application for subpena duces tecum. Subpenas for the production 
of documentary evidence, unless issued by the judge upon his own motion, 
shall be issued only upon a verified written application. Such 
application shall specify, as exactly as possible, the documents desired 
and shall show their competency, relevancy, and materiality and the 
necessity for their production.
    (c) Service of subpenas. Subpenas may be served (1) by a United 
States Marshal or his deputy, or (2) by any other person who is not less 
than 18 years of age, or (3) by registering and mailing a copy of the 
subpena addressed to the person to be served at his or its last known 
residence or principal place of business or residence. Proof of service 
may be made by the return of service on the subpena by the United States 
Marshal or his deputy; or, if served by an individual other than a 
United States Marshal or his deputy, by an affidavit of such person 
stating that he personally served a copy of the subpena upon the person 
named therein; or, if service was by registered mail, by an affidavit 
made by the person mailing the subpena that it was mailed as provided in 
this paragraph and by the signed return post-office receipt: Provided, 
That, if the subpena is issued on behalf of the Department, the return 
receipt without an affidavit of mailing shall be sufficient proof of 
service. In making personal service, the person making service shall 
leave a copy of the subpena with the person subpenaed; the original, 
bearing or accompanied by the required proof of service shall be 
returned to the official who issued the same.

Sec.  900.63  Fees and mileage.

    Witnesses who are subpenaed and who appear in such proceeding, 
including witnesses whose depositions are taken, shall be paid the same 
fees and mileage that are paid witnesses in the courts of the United 
States, and persons taking depositions shall be entitled to the same 
fees as are paid for like services in the courts of the United States, 
to be paid by the party at whose request the deposition is taken. 
Witness fees and mileage shall be paid by the party at whose instance 
the witnesses appear, and claims therefor, as to witnesses subpenaed on 
behalf of the Department, shall be proved before the person issuing the 
subpena, and, as to witnesses subpenaed on behalf of any other party, 
shall be presented to such party.

Sec.  900.64  The Administrative Law Judge's decision.

    (a) Corrections to and certification of transcript. (1) At such time 
as the judge may specify, but not later than the time fixed for filing 
proposed findings of fact, conclusions and order, or briefs, as the case 
may be, the parties may file with the judge proposed corrections to the 
transcript. (2) As soon as practicable after the filing of proposed 
findings of fact, conclusions and order, or briefs, as the case may be, 
the judge shall file with the hearing clerk his certificate indicating 
any corrections to be made in the transcript, and stating that, to the 
best of his knowledge and belief, the transcript, as corrected, is a 
true, correct, and complete transcript of the testimony given at the 
hearing, and that the exhibits are all the exhibits properly a part of 
the hearing record. The original of such certificate shall be attached 
to the original transcript and a copy of such certificate shall be 
served upon each of the parties by the hearing clerk who shall also 
enter onto the transcript (without obscuring the text) any correction 
noted in the certification.
    (b) Proposed findings of fact, conclusions, and orders. Within 10 
days (unless the judge shall have announced at the hearing a shorter or 
longer period of time) after the transcript has been filed with the 
hearing clerk, as provided in paragraph (a) of this section, each party 
may file with the hearing clerk proposed findings of fact, conclusions, 
and order, based solely upon the evidence of record, and briefs in 
support thereof.
    (c) Administrative Law Judge's decision. The judge, within a 
reasonable time after the termination of the period allowed for the 
filing of proposed findings of fact, conclusions, and orders, and briefs 
in support thereof, shall prepare upon the basis of the record, and 
shall file with the hearing clerk, his initial decision, a copy of which 
shall be served by the hearing clerk, upon each of the parties. Such 
decision shall become final without further proceedings 35 days after 
the date of service thereof, unless there is an appeal to the Secretary 
by a party to the proceeding: Provided, however, That no decision shall 
be

[[Page 21]]

final for the purpose of judicial review except a final decision issued 
by the Secretary pursuant to an appeal by a party to the proceeding.

[25 FR 5907, June 28, 1960, as amended at 38 FR 29799, Oct. 29, 1973]

Sec.  900.65  Appeals to Secretary: Transmittal of record.

    (a) Filing of appeal. Any party who disagrees with a judge's 
decision or any part thereof, may appeal the decision to the Secretary 
by transmitting an appeal petition to the hearing clerk within 30 days 
after service of said decision upon said party. Each issue set forth in 
the appeal, and the arguments thereon, shall be separately numbered; 
shall be plainly and concisely stated; and shall contain detailed 
citations of the record, statutes, regulations and authorities being 
relied upon in support thereof. The appeal petition shall be served upon 
the other party to the proceeding by the hearing clerk.
    (b) Argument before Secretary--(1) Oral argument. A party bringing 
an appeal may request within the prescribed time period for filing such 
appeal, an opportunity for oral argument before the Secretary. Failure 
to make such request in writing, within the prescribed time period, 
shall be deemed a waiver of oral argument. The Secretary, in his 
discretion, may grant, refuse or limit any request for oral argument on 
appeal.
    (2) Scope of argument. Argument to be heard on appeal, whether oral 
or in a written brief, shall be limited to the issues raised by the 
appeal, except that if the Secretary determines that additional issues 
should be argued, the parties shall be given reasonable notice of such 
determination, so as to permit preparation of adequate arguments on all 
the issues to be argued.
    (c) Response. Within 20 days after service of an appeal brought by a 
party to the proceeding, any other party may file a response in support 
of or in opposition to such appeal.
    (d) Transmittal of record. Whenever an appeal is filed by a party to 
the proceeding, the hearing clerk shall transmit to the Secretary the 
record of the proceeding. Such record shall include: The pleadings; any 
motions and requests filed, and the rulings thereon; the transcript of 
the testimony taken at the hearing, as well as the exhibits filed in 
connection therewith; any statements filed under the shortened 
procedure; any documents or papers filed in connection with prehearing 
conferences; such proposed findings of fact, conclusions, and orders, 
and briefs in support thereof, as may have been filed in connection with 
the hearing; the judge's initial decision; and the appeal petition; 
briefs in support thereof, and responses thereto as may have been filed 
in the proceeding.

[38 FR 29799, Oct. 29, 1973]

Sec.  900.66  Consideration of appeal by the Secretary and issuance of 
          final order.

    (a) Consideration of appeal. As soon as practicable after the 
receipt of the record from the hearing clerk, or, in case oral argument 
was had, as soon as practicable thereafter, the Secretary, upon the 
basis of and after due consideration of the record, shall rule on the 
appeal. If the Secretary decides that no change or modification of the 
judge's decision is warranted, he may adopt the Judge's decision as the 
final order of the Secretary, preserving any right of the party bringing 
the appeal to seek judicial review of such decision in the proper forum. 
At no stage of the proceeding between its institution and the issuance 
of the order shall the Secretary discuss ex parte the merits of the 
proceeding with any person who is connected with the proceeding in an 
advocative or an investigative capacity, or with any representative of 
such person: Provided, however, That the Secretary may discuss the 
merits of the proceeding with such a person if all parties to the 
proceeding, or their representatives, have been given an opportunity to 
be present. If, notwithstanding the foregoing provisions of this 
section, a memorandum or other communication from any party, or from any 
person acting on behalf of any party, which relates to the merits of the 
proceeding, receives the personal attention of the Secretary (or, if an 
official other than the Secretary is to issue the order, then of such 
other official) during the pendency of the proceeding, such memorandum 
or communication shall be regarded as argument made in the proceeding 
and shall be filed with the hearing clerk, who shall serve a copy 
thereof upon the opposite party to file a reply thereto.
    (b) Issuance of final order. A final order issued by the Secretary 
shall be filed with the hearing clerk, who shall serve it upon the 
parties: Provided, That, if the terms of the order differ substantially 
from those proposed in the decision of the judge, the Secretary shall, 
if he deems it advisable to do so, direct that a copy of the order be 
served upon the parties as a tentative order; and, in such event, 
opportunity shall be given the parties to file exceptions thereto and 
written arguments or briefs in support of such exceptions. In such case, 
if exceptions are filed within a period of time (to be fixed by the 
Secretary but not to exceed 20 days) following the service of the 
tentative order, the Secretary shall give consideration, to and shall 
make such changes in the tentative order as he deems to be appropriate; 
otherwise, the tentative order shall become final, as of the day 
following the date of expiration of the period fixed for the filing of 
exceptions.

[38 FR 29799, Oct. 29, 1973]

[[Page 22]]

Sec.  900.67  [Reserved]

Sec.  900.68  Applications for reopening hearings; for rehearings or 
          rearguments of proceedings; or for reconsideration of orders.

    (a) Petition requisite--(1) Filing; service. An application for 
reopening the hearing to take further evidence, or for rehearing or 
reargument of the proceeding, or for reconsideration of the order shall 
be made by petition addressed to the Secretary and filed with the 
hearing clerk, who immediately shall notify and serve a copy thereof 
upon the other party to the proceeding. Every such petition shall state 
specifically the grounds relied upon.
    (2) Petitions to reopen hearings. A petition to reopen the hearing 
for the purpose of taking additional evidence may be filed at any time 
prior to the issuance of the final order. Every such petition shall 
state briefly the nature and purpose of the evidence to be adduced, 
shall show that such evidence is not merely cumulative, and shall set 
forth a good reason why such evidence was not adduced at the hearing.
    (3) Petitions to rehear or reargue proceedings, or to reconsider 
orders. A petition to rehear or reargue the proceeding or to reconsider 
the final order shall be filed within 15 days after the date of the 
service of such order. Every such petition shall state specifically the 
matters claimed to have been erroneously decided, and alleged errors 
must be briefly stated.
    (b) Procedure for disposition of petitions. Within 10 days following 
the service of any petition provided for in this section, the other 
party to the proceeding shall file with the hearing clerk an answer 
thereto. As soon as practicable thereafter, the Secretary shall announce 
the decision granting or denying the petition. Unless the Secretary 
shall determine otherwise, the issuance or operation of the order shall 
not be stayed pending the decision of the Secretary upon the petition. 
In the event that any such petition is granted by the Secretary, the 
applicable rules of practice, as set out elsewhere in this subpart, 
shall be followed.

Sec.  900.69  Filing; service; extensions of time; effective date of 
          filing; and computation of time.

    (a) Filing; number of copies. Except as provided otherwise herein, 
all documents or papers required or authorized in this subpart to be 
filed with the hearing clerk shall be filed in quadruplicate: Provided, 
That, if there are more than two parties to the proceeding, a sufficient 
number of additional copies shall be filed so as to provide for service 
upon all the parties to the proceeding. Any document or paper, required 
or authorized in this subpart to be filed with the hearing clerk, shall, 
during the course of an oral hearing, be filed with the judge.
    (b) Service; proof of service. Copies of all such papers shall be 
served upon the parties by the hearing clerk, by the judge, or by some 
other employee of the Department or by a United States Marshal or his 
deputy. Service shall be made either (1) by delivering a copy of the 
document or paper to the individual to be served or to a member of the 
partnership to be served or to the president, secretary, or other 
executive officer or any director of the corporation, organization, or 
association to be served, or to the attorney or agent of record of such 
individual, partnership, corporation, organization, or association; or 
(2) by leaving a copy of the document or paper at the principal office 
or place of business of such individual, partnership, corporation, 
organization, or association, or of his or its attorney or agent of 
record; or (3) by registering and mailing a copy of the document or 
paper, addressed to such individual, partnership, corporation, 
organization, or association, or to his or its attorney or agent of 
record, at his or its last known principal office, place of business, or 
residence. Proof of service hereunder shall be made by the affidavit of 
the person who actually made the service. The affidavit contemplated 
herein shall be filed with the hearing clerk, and the fact of filing 
thereof shall be noted on the docket of the proceeding.
    (c) Extensions of time. The time for the filing of any documents or 
papers required or authorized in this subpart to be filed may be 
extended upon (1) a written stipulation between the parties, or (2) upon 
the request of a party, by the judge before the transmittal of the 
record to the Secretary, or by the Secretary at any other time if, in 
the judgment of the Secretary or the judge, as the case may be, there is 
good reason for the extension.
    (d) Effective date of filing. Any document or paper, except a 
petition filed pursuant to Sec.  900.52, required or authorized under 
these rules to be filed shall be deemed to have been filed when it is 
postmarked, or when it is received by the hearing clerk. Any petition 
filed under Sec.  900.52 shall be deemed to be filed when it is received 
by the hearing clerk.
    (e) Computation of time. Sundays and Federal holidays shall be 
included in computing the time allowed for the filing of any document or 
paper: Provided, That, when such time expires on a Sunday or legal 
holiday, such time shall be extended to include the next following 
business day.

Sec.  900.70  Applications for interim relief.

    (a) Filing the application. A person who has filed a petition 
pursuant to Sec.  900.52 may by separate application filed with the 
hearing clerk apply to the Secretary for an order

[[Page 23]]

postponing the effective date of, or suspending the application of, the 
marketing order or any provision thereof, or any obligation imposed in 
connection therewith, pending final determination of the proceeding.
    (b) Contents of the application. The application shall contain a 
statement of the facts upon which the relief is requested, including any 
facts showing irreparable injury. The application must be signed and 
sworn to by the petitioner and any facts alleged therein which are not 
within his personal knowledge shall be supported by affidavits of a 
person or persons having personal knowledge of such facts or by proper 
documentary evidence thereof.
    (c) Answer to application. Immediately upon receipt of the 
application, the hearing clerk shall transmit a copy thereof, together 
with all supporting papers, to the Administrator, who shall, within 20 
days, or such other time fixed by the Secretary, after the filing of the 
application file an answer thereto with the hearing clerk.
    (d) Contents of answer. The answer shall contain a statement of the 
objections, if any, of the Administrator to the application for interim 
relief, and may be supported by affidavits and documentary evidence.
    (e) Transmittal to Secretary. Upon receiving the answer of the 
Administrator or upon the expiration of the time for filing the answer, 
the hearing clerk shall transmit to the Secretary for his decision all 
papers filed in connection with the application.
    (f) Hearing and oral argument. The Secretary may, in his discretion, 
permit oral argument or the taking of testimony in connection with such 
application. However, unless written request therefor is filed with the 
hearing clerk prior to the transmittal of the papers to the Secretary, 
the parties shall be deemed to have waived oral argument and the taking 
of testimony.
    (g) Decision by Secretary. The Secretary may grant or deny the 
application. Any action taken by the Secretary shall be in the form of 
an order filed with the hearing clerk and shall contain a brief 
statement of the reasons for the action taken. The hearing clerk shall 
cause copies of the order to be served upon the parties.

Sec.  900.71  Hearing before Secretary.

    The Secretary may act in the place and stead of a judge in any 
proceeding hereunder. When he so acts the hearing clerk shall transmit 
the record to the Secretary at the expiration of the period provided for 
the filing of proposed findings of fact, conclusions and orders, and the 
Secretary shall thereupon, after due consideration of the record, issue 
his final order in the proceeding; Provided, That he may issue a 
tentative order in which event the parties shall be afforded an 
opportunity to file appeals before the issuance of the final order.

 Subpart_Supplemental Rules of Practice for Marketing Orders, Marketing 
 Agreements, and Requirements Issued Pursuant to 7 U.S.C. 608b(b) and 7 
            U.S.C. 608e Covering Fruits, Vegetables, and Nuts

    Authority: 7 U.S.C. 601-74.

    Source: 61 FR 20717, May 8, 1996, unless otherwise noted.

 Sec. 900.80  Words in the singular form.

    Words in this subpart in the singular form shall be deemed to import 
the plural, and vice versa, as the case may demand.

Sec.  900.81  Definitions.

    As used in this subpart, the terms as defined in the act shall apply 
with equal force and effect. In addition, unless the context otherwise 
requires:
    (a) The term Act means Public Act No. 10, 73 Congress (48 Stat. 31) 
as amended and as reenacted and amended by the Agricultural Marketing 
Agreement Act of 1937 (50 Stat. 246), as amended.
    (b) The term Department means the United States Department of 
Agriculture.
    (c) The term Secretary means the Secretary of Agriculture of the 
United States, or any officer or employee of the Department to whom 
authority has heretofore been delegated, or to whom authority may 
hereafter be delegated, to act in his stead.
    (d) The term Administrator means the Administrator of the 
Agricultural Marketing Service, with power to redelegate, or any officer 
or employee of the Department to whom authority has been delegated or 
may hereafter be delegated to act in his stead.
    (e) The term proceeding means a proceeding before the Secretary 
arising under sections 8a, 8b(b), 8c(14), 8e, 10(c) and 10(h).
    (f) The term hearing means that part of the proceeding which 
involves the submission of evidence.
    (g) The term marketing agreement means any marketing agreement or 
any amendment thereto which may be entered into pursuant to section 8b 
of the act.
    (h) The term marketing order means any order or any amendment 
thereto which may be issued pursuant to section 8c of the act, and after 
notice and hearing as required by said section.
    (i) The term handler means any person who, by the terms of a 
marketing order or marketing agreement, is subject thereto, or to whom a 
marketing order or marketing agreement is sought to be made applicable.
    (j) The term importer means any person who, by the terms of section 
8e of the act, is subject thereto.

[[Page 24]]

    (k) The term person means any individual, corporation, partnership, 
association, or any other business unit.

Sec.  900.82  Stipulation procedures.

    The Administrator, or the Administrator's representative, may, at 
any time before the issuance of a complaint seeking a civil penalty 
under the Act, enter into a stipulation with any handler or importer in 
accordance with the following procedures:
    (a) The Administrator, or the Administrator's representative, shall 
give the handler or importer notice of the alleged violation of the 
applicable marketing order or marketing agreement, or the requirements 
issued pursuant to 7 U.S.C. 608b(b) and 7 U.S.C. 608e, and an 
opportunity for a hearing thereon as provided by the Act;
    (b) In agreeing to the proposed stipulation, the handler or importer 
expressly waives the opportunity for a hearing and agrees to pay a 
specified civil penalty within a designated time;
    (c) The Administrator, or the Administrator's representative, agrees 
to accept the specified civil penalty in settlement of the particular 
matter involved if it is paid within the designated time;
    (d) In cases where the handler or importer does not pay the 
specified civil penalty within the designated time, or the handler or 
importer does not agree to the stipulation, the Administrator may issue 
an administrative complaint; and
    (e) The civil penalty that the Administrator may have proposed in a 
stipulation agreement shall have no bearing on the civil penalty amount 
that the Department may seek in a formal administrative proceeding 
against the same handler or importer for the same alleged violation.

 Subpart_Procedure Governing Meetings To Arbitrate and Mediate Disputes 
                Relating to Sales of Milk or Its Products

    Authority: Sec. 3, 50 Stat. 248; 7 U.S.C. 671.

Sec.  900.100  Words in the singular form.

    Words in this subpart in the singular form shall be deemed to import 
the plural, and vice versa, as the case may demand.

Sec.  900.101  Definitions.

    As used in this subpart, the terms as defined in the Act shall apply 
with equal force and effect. In addition, unless the context otherwise 
requires:
    (a) The term Act means section 3 of the Agricultural Marketing 
Agreement Act of 1937, as amended (50 Stat. 248, as amended; 7 U.S.C. 
671);
    (b) The term Department means the United States Department of 
Agriculture;
    (c) The term Secretary means the Secretary of Agriculture of the 
United States, or any officer or employee of the Department to whom 
authority has heretofore been delegated, or to whom authority may 
hereafter be delegated, to act in his stead;
    (d) The term General Counsel means the General Counsel of the 
Department;
    (e) The term Administrator means the Administrator of the 
Agricultural Marketing Service, with power to redelegate, or any officer 
or employee of the Department to whom authority has been delegated or 
may hereafter be delegated to act in his stead.
    (f) The term Service means the Agricultural Marketing Service.
    (g) The term Division means the Dairy Division of the Service.
    (h) The term cooperative means any association, incorporated or 
otherwise, which is in good faith owned or controlled by producers, or 
organizations thereof, of milk or its products, and which is bona fide 
engaged in the collective processing or preparing for market or handling 
or marketing, in the current of interstate or foreign commerce, of milk 
or its products;
    (i) The term arbitrator means any officer or employee of the Service 
designated by the Administrator, pursuant to the Act, to arbitrate a 
bona fide dispute with reference to the terms and conditions of the sale 
of milk or its products between a producer cooperative and purchasers, 
handlers, processors, or distributors of milk or its products;
    (j) The term mediator means any officer or employee of the Service 
designated by the Administrator, pursuant to the act, to mediate a bona 
fide dispute with reference to terms and conditions of the sale of milk 
or its products between a producer cooperative and purchasers, handlers, 
processors, or distributors of milk or its products;
    (k) The term hearing clerk means the hearing clerk, United States 
Department of Agriculture, Washington, DC.

[25 FR 5907, June 28, 1960, as amended at 26 FR 7797, Aug. 22, 1961, 28 
FR 579, Jan. 23, 1963; 37 FR 8059, Apr. 25, 1972]

Sec.  900.102  Filing of applications for mediation or arbitration.

    All applications for mediation or arbitration, all submissions, and 
all correspondence regarding mediation or arbitration shall be addressed 
to the Secretary, attention of the Division.

Sec.  900.103  Application for mediation.

    An application for mediation by cooperative shall be in writing and 
shall include the following information:
    (a) Names in full of the parties to the dispute and their addresses;
    (b) Description of the cooperative organization and business, 
including copies of the

[[Page 25]]

articles of incorporation or association, bylaws, and membership 
contract; information regarding the number of shares of outstanding 
stock and the approximate portion owned by active producers; a statement 
of the function performed in connection with the collective processing, 
preparing, handling, or marketing of milk or its products; and data 
relative to the distribution of membership by States, the distribution 
by States of plant facilities for collecting, processing, or disposing 
of milk or its products, and the business operations for the year last 
past, including the total quantity of milk and its products handled by 
the applicant and the proportion of that quantity that was sold in 
States other than the States of production;
    (c) Suggested time and place for meeting between parties and 
mediator.

Sec.  900.104  Inquiry by the Administrator.

    Upon receipt of an application for mediation, the Administrator, 
through such officers or employees of the Service as he may designate, 
may make any inquiry which is deemed to be necessary or proper in order 
to determine whether a bona fide dispute exists.

Sec.  900.105  Notification.

    The Administrator, acting on behalf of the Secretary will notify the 
applicant as to whether he considers that mediation will effectuate the 
purpose of the act and as to whether he will mediate.

Sec.  900.106  Assignment of mediator.

    The Director of the Division shall assign a mediator, from the group 
designated by the Administrator, to act in such capacity.

Sec.  900.107  Meetings.

    All meetings held pursuant to Sec. Sec.  900.103 to 900.109 shall be 
held with and under the direction of the mediator.

Sec.  900.108  Mediator's report.

    The mediator, upon the completion of mediation proceedings, shall 
submit to the Administrator a complete report on such proceedings.

Sec.  900.109  Mediation agreement.

    An agreement arrived at by mediation shall not become effective 
until approved by the Secretary, and the Secretary will not approve an 
agreement if there is evidence of fraud, if there is a lack of evidence 
to support the agreement, or if the agreement provides for any unfair 
trade practice.

Sec.  900.110  Application for arbitration.

    An application for arbitration by a cooperative shall be in writing 
and shall contain the following information:
    (a) Names in full of the parties to the dispute and their addresses;
    (b) The same information required under Sec.  900.103(b);
    (c) Concise statement of dispute to be submitted;
    (d) Originals or certified copies of all contracts, if any, involved 
in the dispute, and of correspondence which has passed between the 
parties and of any other documents or information relied upon;
    (e) Dates before which it is desired that the hearing shall be had 
and the award shall become effective;
    (f) Suggested time and place for arbitration hearing.
    The applicant shall send a copy of the application to each other 
party to the dispute.

Sec.  900.111  Inquiry by the Administrator.

    Upon receipt of an application for arbitration, the Administrator, 
through such officers or employees of the Service as he may designate, 
may make any inquiry deemed to be necessary or proper in order to 
determine whether a bona fide dispute exists, to assist the parties in 
reducing the dispute to well-defined issues, and to select an arbitrator 
who would be satisfactory to all parties.

Sec.  900.112  Notification.

    The Administrator, acting on behalf of the Secretary, within a 
reasonable time after the receipt of an application, will notify the 
applicant as to whether he will grant the application.

Sec.  900.113  Submission.

    Within a reasonable time after the receipt of the Administrator's 
consent to arbitrate, the parties to the dispute shall file with the 
Administrator a formal submission, which shall contain the following 
information:
    (a) Names in full of the parties;
    (b) Addresses of the parties to whom all notifications and 
communications concerning the arbitration shall be sent;
    (c) Description of the organization and businesses of all parties to 
the dispute, including sufficient information to show that the 
cooperative is a bona fide one, and that the parties are engaged in 
activities in the current of interstate or foreign commerce;
    (d) Concise statement of the specific questions submitted and a 
brief outline of the contentions of each party to the dispute, and a 
statement as to the period of time during which the award shall be in 
effect, said period to be not less than thirty days from the effective 
date of the award;
    (e) Name of arbitrator;
    (f) Time and place of arbitration, including street address;
    (g) Stipulation by the parties that they will produce any books, 
records, and correspondence required by the arbitrator as being 
necessary to a fair determination of the dispute;

[[Page 26]]

    (h) Agreement by the parties that they will consider the award as 
final and will comply therewith;
    (i) Stipulation by the parties that arbitration is to take place 
under rules and regulations issued by the Secretary, and that any such 
rules and regulations pertaining to mediation and arbitration shall be 
considered a part of the submission;
    (j) Stipulation that a stenographic report of the proceedings must 
be made.
    The submission shall be signed by each party before a notary public, 
and when the signature is that of an agent of a corporation or 
cooperative association, the same shall be accompanied by evidence of 
the authority to sign.
    A submission may be withdrawn at any time before the award, and any 
question held by the arbitrator to be a separable question may be 
withdrawn before award by agreement of all parties. When any question is 
so withdrawn, the parties shall file with the arbitrator the agreement 
on that question reached by the parties, showing all the details 
thereof, and the arbitrator shall include it in the record of the 
arbitration.

Sec.  900.114  Designation of arbitrator.

    The Administrator, after receiving the submission, will designate 
one or more persons to act as arbitrator.

Sec.  900.115  Hearing.

    The arbitrator shall have full discretion to conduct the hearing in 
such manner as will, in his opinion, enable him to ascertain all the 
facts in the case.
    Parties to the dispute may appear in person or by duly accredited 
agents and may be represented by counsel.
    All relevant and material evidence may be presented. The arbitrator 
shall not be bound by the legal rules of evidence.
    The arbitrator, in the presence of the parties, may require the 
production of books and records for examination by himself, but not for 
examination of confidential information by other parties to the dispute 
unless the party producing the same consents to its examination by the 
other parties to the dispute.
    No evidence offered by one party shall be received except in the 
presence of all parties unless the parties so agree in a submission 
specifying the nature of the evidence to be received.
    Final determination as to what will be considered confidential 
information shall be made by the arbitrator.
    The arbitrator may request the opinions of economists, marketing 
specialists, statisticians, lawyers, accountants, and other experts.
    When more than two arbitrators are designated to hear a dispute, and 
they disagree, the award of the majority shall be the final award. If 
the arbitrators are evenly divided, there shall be no award.
    A stenographic record of all the proceedings during an arbitration 
must be made.

Sec.  900.116  Award.

    An award shall be made within ten days after the close of the 
hearing.
    The award shall be in writing and shall cover only points of dispute 
raised in the submission.
    The arbitrator, in making the award, may use his own technical 
knowledge in addition to the evidence submitted by the parties.
    The award shall state the period during which it shall be in effect, 
said period to be not less than thirty days from the effective date 
thereof; and said period may be extended by agreement among the parties 
upon notification thereof to the Administrator, unless or until the 
Administrator withdraws his approval.
    The arbitrator shall sign the award in the presence of a notary 
public, or, when more than one arbitrator is designated the arbitrator 
shall sign in the presence of each other.
    Copies of the award shall be delivered to the parties by the 
Division.

Sec.  900.117  Approval of award.

    The award shall not become effective until approved by the 
Secretary, and the Secretary will not approve an award if there is 
evidence of fraud, or evidence of misconduct upon the part of the 
arbitrator, or lack of evidence to support the award, or if the award 
provides for any unfair trade practice.

Sec.  900.118  Costs.

    The parties jointly shall pay for the stenographic record. A copy of 
the record shall be furnished by the parties to the arbitrator and shall 
be forwarded by him to the Administrator, ultimately to be filed in the 
office of the hearing clerk.
    The arbitrator shall not receive compensation for parties to the 
dispute.

                    Subpart_Miscellaneous Regulations

    Authority: Sec. 10, 48 Stat. 37, as amended; 7 U.S.C. 610.

Sec.  900.200  Definitions.

    As used in this subpart, the terms as defined in the Act shall apply 
with equal force and effect. In addition, unless the context otherwise 
requires:
    (a) The term Act means Public Act No. 10, 73d Congress (48 Stat. 
31), as amended and as reenacted and amended by the Agricultural 
Marketing Agreement Act of 1937 (50 Stat. 246, 7 U.S.C. 601), as 
amended;
    (b) The term Department means the United States Department of 
Agriculture;

[[Page 27]]

    (c) The term Secretary means the Secretary of Agriculture of the 
United States, or any officer or employee of the Department to whom 
authority has heretofore been delegated, or to whom authority may 
hereafter be delegated, to act in his stead;
    (d) The term General Counsel means the General Counsel of the 
Department;
    (e) The term Administrator means the Administrator of the 
Agricultural Marketing Service, with power to redelegate, or any officer 
or employee of the Department to whom authority has been delegated or 
may hereafter be delegated to act in his stead.
    (f) [Reserved]
    (g) The term Federal Register means the publication provided for by 
the Act of July 26, 1935 (49 Stat. 500), and acts supplementary thereto 
and amendatory thereof;
    (h) The term marketing agreement means any marketing agreement or 
any amendment thereto which may be entered into pursuant to section 8b 
of the Act;
    (i) The term marketing order means any order or any amendment 
thereto which may be issued pursuant to section 8c of the Act;
    (j) The term person means any individual, corporation, partnership, 
association, or any other business unit;
    (k) The term official means the Secretary, any officer, employee, or 
other person employed or appointed by the Department, and any agency or 
agent appointed by the Secretary to administer a marketing agreement or 
a marketing order, and any agent or employee of any such agency or 
agent;
    (l) The term information means and includes reports, books, 
accounts, records, and the facts and information contained therein and 
required to be furnished to or acquired by any official pursuant to the 
provisions of any marketing agreement or marketing order.

[25 FR 5907, June 28, 1960, as amended at 26 FR 7796, Aug. 22, 1961; 28 
FR 579, Jan. 23, 1963]

Sec.  900.201  Investigation and disposition of alleged violations.

    Whenever the Administrator has reason to believe that any handler 
has violated, or is violating, the provisions of any marketing order, he 
may institute such investigation and, after due notice to such handler, 
conduct such hearing in order to determine the facts as, in his opinion, 
are warranted. If, in the opinion of the Administrator and the General 
Counsel, the facts developed as a result of such investigation or 
hearing warrant such action, the General Counsel shall refer the matter 
to the Attorney General for appropriate action.

Sec.  900.210  Disclosures of information.

    All information in the possession of any official which relates to 
the business or property of any person, and which was furnished by, or 
obtained from, such person pursuant to the provisions of any marketing 
agreement or marketing order, shall be kept confidential and shall not 
be disclosed, divulged, or made public, unless otherwise expressly 
provided in said marketing agreement or marketing order, or unless said 
person authorizes said official, in writing, to disclose such 
information, except that:
    (a) Such information may be disclosed, divulged, or made public if 
it has been obtained from or furnished by a person who is not the person 
to whose business or property such information relates or an employee of 
such latter person, or if such information is otherwise required by law 
to be furnished to an official;
    (b) Such information may be furnished to other officials for use in 
the regular course of their official duties;
    (c) Such information may be combined and published in the form of 
general statistical studies or data in which the identity of the person 
furnishing such information or from whom it was obtained shall not be 
disclosed;
    (d) Such information may be disclosed upon lawful demand made by the 
President or by either House of Congress or any committee thereof, or, 
if the Secretary determines that such disclosure is not contrary to the 
public interest, such information may be disclosed in response to a 
subpena by any court of competent jurisdiction.
    (e) Such information may be offered in evidence (whether or not it 
has been obtained from or furnished by the person against whom it is 
offered) by or on behalf of the Secretary, the United States, or the 
official who obtained it or to whom it was furnished, in any 
administrative hearing held pursuant to section 8c (15)(A) of the Act or 
in any action, suit, or proceeding, civil or criminal, in which the 
Secretary or the United States or any such official is a party, and (1) 
which is instituted (i) for the purpose of enforcing or restraining the 
violation of any marketing agreement or marketing order, or (ii) for the 
purpose of collecting any penalty or forfeiture provided for in the act, 
or (iii) for the purpose of collecting any monies due under a marketing 
agreement or marketing order, or (2) in which the validity of any 
marketing agreement or marketing order, or any provision of either, is 
challenged or involved.
    (f) Such information may be furnished to the duly constituted 
authorities of any State, pursuant to a written agreement made under 
authority of section 10(i) of the Act, to the extent that such 
information is relevant to transactions within the regulatory 
jurisdiction of such authorities.

Sec.  900.211  Penalties.

    Any official who shall have violated the provisions of Sec.  900.210 
by wilfully divulging, disclosing, or making public any information

[[Page 28]]

acquired by or furnished to or in the possession or custody of such 
official pursuant to the provisions of a marketing agreement or 
marketing order shall be subject to a penalty of $100 for each offense. 
(The civil penalty provided in this section is prescribed under the 
authority contained in sec. 10(c) of the Act (7 U.S.C. 610(c)); this 
provision is not intended to supersede the provision in sec. 8d(2) of 
the Act (7 U.S.C. 608d(2)) for criminal liability and removal from 
office.

    Subpart_Procedure for Conduct of Referenda To Determine Producer 
   Approval of Milk Marketing Orders To Be Made Effective Pursuant to 
        Agricultural Marketing Agreement Act of 1937, as Amended

    Authority: Secs. 1-19, 48 Stat. 31, as amended; 7 U.S.C. 601-674.

    Source: 30 FR 15412, Dec. 15, 1965, unless otherwise noted.

Sec.  900.300  General.

    Unless otherwise prescribed, the procedure contained in this subpart 
shall be applicable to each producer referendum conducted for the 
purpose of ascertaining whether the issuance by the Secretary of a milk 
marketing order is approved or favored, as required under the applicable 
provisions of the Agricultural Marketing Agreement Act of 1937, as 
amended (48 Stat. 31, as amended, 7 U.S.C. 601-674). The procedure in 
this subpart replaces the procedure for conducting similar referenda (15 
FR 5177) issued August 7, 1950.

Sec.  900.301  Definitions.

    As used in this subpart and in all supplementary instructions, 
forms, and documents, unless the context or subject matter otherwise 
requires, the following terms shall have the following meanings:
    (a) Act. ``Act'' means Public Act. No. 10, 73d Congress (48 Stat. 
31), as amended and as re-enacted and amended by the Agricultural 
Marketing Agreement Act of 1937 (50 Stat. 246), as amended.
    (b) Department. ``Department'' means the United States Department of 
Agriculture.
    (c) Secretary. ``Secretary'' means the Secretary of Agriculture of 
the United States, or any officer or employee of the Department to whom 
authority has heretofore been delegated, or to whom authority may 
hereafter be delegated, to act in his stead.
    (d) Administrator. ``Administrator'' means the Administrator of the 
Agricultural Marketing Service, with power to redelegate, or any officer 
or employee of the Department to whom authority has been delegated or 
may hereafter be delegated to act in his stead.
    (e) Person. ``Person'' includes any individual, partnership, 
corporation, association, and any other business unit.
    (f) Order. ``Order'' means the marketing order (including an 
amendatory order) with respect to which the Secretary has directed that 
a referendum be conducted.
    (g) Producer. ``Producer'' means any person who is a dairy farmer 
and who, during the representative period, met the requirements of the 
term ``producer'' as defined in the order had such order been in effect 
during the representative period.
    (h) Handler. ``Handler'' means any person who, during the 
representative period, met the requirements of the term ``handler'' as 
defined in the order had such order been in effect during the 
representative period.
    (i) Referendum agent. ``Referendum agent'' means the person 
designated by the Secretary to conduct the referendum.
    (j) Representative period. ``Representative period'' means the 
period designated by the Secretary pursuant to section 8c of the act (7 
U.S.C. 608c).
    (k) Cooperative association. ``Cooperative association'' means any 
association of producers that the administrator has found to be 
qualified pursuant to section 608c(12) of the Act.

[30 FR 15412, Dec. 5, 1965, as amended at 37 FR 8059, Apr. 25, 1972]

Sec.  900.302  Associations eligible to vote.

    (a) Any association of producers, not previously determined to be a 
cooperative association may file an application for a determination as 
to whether it is a cooperative association and thus eligible to vote in 
a referendum. Such application shall be filed with the Administrator at 
least 60 days prior to the holding of the referendum: Provided, however, 
That the Administrator may permit the filing of an application in less 
than 60 days when, in the opinion of the Administrator, such filing 
would not delay the conduct of the referendum.
    (b) Within a time fixed by the referendum agent, but not later than 
5 days prior to the final date for balloting, each cooperative 
association electing to vote shall, upon the request of the referendum 
agent, furnish to him a certified list showing the name and address of 
each producer for whom it claims the right to vote and the plant at 
which such person's milk was received during the representative period.

Sec.  900.303  Conduct of referendum.

    The referendum shall be conducted by mail in the manner prescribed 
in this subpart. The referendum agent may utilize such personnel or 
agencies of the Department as are deemed necessary by the Administrator.

[[Page 29]]

Sec.  900.304  Who may vote.

    (a) Each producer shall be entitled to only one vote and to cast one 
ballot in each referendum; and no person who may claim to be a producer 
shall be refused a ballot. Each producer casting more than one ballot 
with conflicting votes shall thereby invalidate all ballots cast by such 
producer in such referendum. Each ballot cast shall contain a 
certification by the person casting the ballot that he is a producer.
    (b) Except as provided in section 8c(5)(B) of the Act, as amended, 
any cooperative association eligible under Sec.  900.302 may, if it 
elects to do so, vote and cast one ballot for producers who are members 
of, stockholders in, or under contract with, such cooperative 
association. A cooperative association shall submit with its ballot, a 
certified copy of the resolution authorizing the casting of the ballot. 
Each such cooperative association entitled to vote in a referendum 
casting more than one ballot with conflicting votes shall thereby 
invalidate all ballots cast by such voter in such referendum.
    (c) Voting by proxy or agent, or in any manner, except by the 
producer or cooperative association will not be permitted; however, a 
producer which is other than an individual may cast its ballot by a 
person who is duly authorized and such ballot shall contain a 
certification by such person that the person on whose behalf the ballot 
is cast is a producer.

Sec.  900.305  Duties of referendum agent.

    The referendum agent shall also:
    (a) For purposes of mailing, prepare a record of producers which 
will disclose the name of each such person, his address, the name of the 
handler who received the producer's milk during the representative 
period, and the name of the cooperative association, if any, which 
claims the right to vote for the producer. Such record may be compiled 
from readily available sources, including the following:
    (1) Records of the Department;
    (2) Producer records supplied by handlers;
    (3) Health authority records;
    (4) Certifications signed by dairy farmers who claim to be 
producers;
    (5) Any other reliable sources of information which may be available 
to the referendum agent.
    (b) Apply, as a guide, the following criteria in preparing a record 
of producers:
    (1) When the order requires approval by an appropriate health 
authority before a person meets the definition of producer, only those 
persons having such approval and who otherwise meet the definition may 
be regarded as producers. When the definition of producer requires the 
shipment of milk to a handler or a plant as well as health authority 
approval, only those persons having such approval and whose milk was 
received by a handler or at a plant may be regarded as producers.
    (2) When the order requires shipment to a handler or to a plant, 
without regard to health authority approval, a person may not be 
regarded as a producer, except as provided in paragraph (b)(6) of this 
section, unless his name appears on the handler's producer records.
    (3) In the case of a producer that is other than an individual, the 
business unit shall be regarded as the producer.
    (4) No person may be included in the record more than once although 
he may operate more than one farm, hold more than one health authority 
approval, or appear on more than one handler's producer records.
    (5) In the event the health authority records are not available, are 
inaccurate, or are incomplete, the appearance of the producer's name on 
a handler's records as an approved producer shall be prima facie 
evidence of health authority approval.
    (6) In the event any handler refuses or fails to make his records 
available to the referendum agent, a certification signed by the 
producer shall be regarded by the referendum agent as prima facie 
evidence that such person is eligible to vote.
    (c) Verify the information supplied by each cooperative association 
which wishes to vote on behalf of producers, as follows:
    (1) Examine the records of the cooperative association for the 
prupose of ascertaining whether each producer claimed by the cooperative 
association is a member of, stockholder in, or under contract with the 
cooperative association.
    (2) Identify the persons ascertained to be members of, stockholders 
in, or under contract with a cooperative association which wishes to 
vote on behalf of its producers with the names of producers which appear 
on the record compiled pursuant to paragraph (a) of this section.
    (3) In determining whether a cooperative association may vote on 
behalf of a producer the following criteria shall be used:
    (i) The cooperative association may vote for each producer who is a 
member of, stockholder in, or under contract with such cooperative 
association on the date of the order directing that the referendum be 
conducted.
    (ii) The cooperative association may cast only one ballot for all 
such producers.
    (iii) Whenever more than one cooperative association claims the 
right to vote for a producer only the cooperative association which 
furnished evidence satisfactory to the referendum agent that such 
association was in fact marketing the milk of the producer on the date 
of the referendum order may vote for such producer.

Sec.  900.306  Notice of the referendum.

    (a) The referendum agent shall at least 5 days prior to the final 
date for balloting:

[[Page 30]]

    (1) Mail to each cooperative association which has elected to cast a 
ballot on behalf of its producers and to each of all other known 
producers, a notice of the referendum which will include instructions 
for completing the ballot, a statement as to the time within which the 
ballot must be mailed to, and received by, the referendum agent, a copy 
of the final decision, and a ballot containing a description of the 
terms and conditions of the order.
    (2) Give public notice of the referendum:
    (i) By furnishing press releases and other information to available 
media of public information (including but not limited to press, radio, 
and television facilities) serving the area, announcing the time within 
which ballots must be completed and mailed to and received by the 
referendum agent, eligibility requirements, where additional information 
may be procured, and other pertinent information; and
    (ii) By such other means as said agent may deem advisable.

Sec.  900.307  Time for voting.

    There shall be no voting except within the time specified by the 
referendum agent as stated in the notice of the referendum.

Sec.  900.308  Tabulation of ballots.

    (a) General. The referendum agent shall verify the information 
supplied with each ballot. If he ascertains that the person who cast the 
ballot was eligible to do so, that the ballot is complete and was mailed 
and received within the prescribed time, the ballot shall be eligible to 
be counted. If the referendum agent ascertains that the person who cast 
the ballot was not eligible to do so, or if the producer who cast the 
ballot was a member of, stockholder in, or under contract with a 
cooperative association which cast a valid ballot, or if the ballot is 
not completed or cast in accordance with instructions, or if the ballot 
was not mailed to or received by the referendum agent within the 
prescribed time, the ballot shall be marked ``disqualified'' with a 
notation on the ballot as to the reason for the disqualification. The 
total number of ballots cast, including the disqualified ballots, shall 
be ascertained. The number of eligible ballots cast approving and the 
number of eligible ballots cast disapproving the issuance of the order 
shall also be ascertained. The ballots marked ``disqualified'' shall not 
be considered as approving or disapproving the issuance of the order, 
and the persons who cast such ballots shall not be regarded as 
participating in the referendum.
    (b) Individual-handler pool provisions. Whenever separate approval 
of the pooling provisions of the order is required by section 
608c(5)(B)(i) of the Act, any ballot which approves the issuance of the 
order and disapproves the pooling provisions, or approves the pooling 
provisions and disapproves the issuance of the order, shall be 
disqualified; and the referendum agent shall mark the ballot 
accordingly.
    (c) Record of results of the referendum. The referendum agent shall 
notify the Administrator of the number of eligible ballots cast, the 
count of the votes, the number of disqualified ballots and the number of 
producers who were eligible to cast ballots. The referendum agent shall 
seal the ballots, including those marked ``disqualified'', the list of 
eligible voters and tabulation of ballots, and shall transmit to the 
Administrator a complete detailed report of all action taken in 
connection with the referendum together with all the ballots cast and 
all other information furnished to or compiled by the referendum agent.
    (d) Announcement of the results of the referendum. Announcement of 
the results of the referendum will be made only at the direction of the 
Secretary. The referendum agent, or others who assist in the referendum, 
shall not disclose the results of the referendum or the total number of 
ballots cast.

Sec.  900.309  Confidential information.

    The ballots cast, the identity of any person who voted, or the 
manner in which any person voted and all information furnished to, 
compiled by, or in the possession of the referendum agent, shall be 
regarded as confidential.

Sec.  900.310  Supplementary instructions.

    The Administrator is authorized to issue instructions and to 
prescribe forms and ballots, not inconsistent with the provisions of 
this subpart, to govern the conduct of referenda by referendum agents.

Sec.  900.311  Submittals or requests.

    Interested persons may secure information or make submittals or 
requests to the Administrator with respect to the provisions contained 
in this subpart.

Subpart_Procedure for Determining the Qualification of Cooperative Milk 
                         Marketing Associations

    Authority: Secs. 1-19, 48 Stat. 31, as amended; 7 U.S.C. 601-674.

    Source: 32 FR 9821, July 6, 1967, unless otherwise noted.

Sec.  900.350  General statement.

    Cooperative marketing associations apply for qualification by the 
Secretary under the Federal milk order program for certain privileges 
and exemptions. These privileges and exemptions are expressed in the 
Agricultural Marketing Agreement Act of 1937 (50

[[Page 31]]

Stat. 246) as amended, and the milk marketing orders issued pursuant to 
its provisions.

Sec.  900.351  Applications for qualification.

    Any association of producers may apply for determinations as to 
whether it is a qualified cooperative association with authority to 
represent producers in order referendums; has authorization to collect 
payment from handlers for members' milk; and is rendering specified 
marketing services to producers. Applicant associations should supply 
information for these determinations, using as a guide Application Form 
DA-25. The application form may be obtained from the Dairy Division, 
Agricultural Marketing Service, United States Department of Agriculture, 
Washington, DC 20250. Determinations required of the Secretary of 
Agriculture, or the Administrator of the Agricultural Marketing Service, 
by delegation are made by the Director of the Dairy Division. Once 
issued they are valid until amended, suspended or terminated.

Sec.  900.352  Confidential information.

    The documents and other information submitted by an applicant 
association and otherwise obtained by investigation, examination of 
books, documents, papers, records, files and facilities, and in reports 
filed subsequent to initial determinations of qualification, shall be 
regarded as confidential and shall be governed by Sec.  900.210.

Sec.  900.353  Qualification standards.

    Statutory requirements for qualification of cooperative associations 
are provided in subsections (5) and (12) of section 608c of the 
Agricultural Marketing Agreement Act of 1937, as amended (7 U.S.C. 601 
et seq.). The association must: (a) Be a cooperative marketing 
association of producers, qualified under the provisions of the Act of 
Congress of February 18, 1922, as amended, known as the ``Capper-
Volstead Act,'' (7 U.S.C. 291, 292); (b) have its entire organization 
and all of its activities under the control of its members; (c) have 
full authority in the sale of its members' milk; and (d) be engaged in 
making collective sales or marketing of milk or milk products for the 
producers thereof. Qualification for exemption from deductions for 
marketing service payments under specific marketing orders and payment 
for milk of members under specific orders shall be determined in 
accordance with the terms of the respective marketing orders.

Sec.  900.354  Inspection and investigation.

    The Secretary of Agriculture, or his duly authorized representative, 
shall have the right, at any time after an application is received, to 
examine all books, documents, papers, records, files and facilities of 
the association, to verify any of the information submitted and to 
procure such other information as may be required to determine whether 
the association is qualified in accordance with its application.

Sec.  900.355  Annual reporting.

    Determinations of qualification for privileges and exemptions are 
subject to amendment, termination or suspension if the association does 
not currently meet the qualification standards. An association found to 
be qualified pursuant to the Act is required to file an annual report 
after its annual meeting has been held following the close of its fiscal 
year. Form DA-24 is used for this purpose. The report form is available 
at the Dairy Division, Agricultural Marketing Service, U.S. Department 
of Agriculture, Washington, DC 20250. The association is required to 
file a copy of its report with the Dairy Division at Washington and with 
the market administrator of each order under which it operates.

Sec.  900.356  Listing of qualified associations.

    A copy of each determination of qualification is furnished to the 
respective association. Copies are also filed in the Dairy Division, 
Agricultural Marketing Service, and with the Hearing Clerk, Office of 
the Secretary, U.S. Department of Agriculture, Washington, DC 20250, 
where they are available for public inspection. A list of qualified 
associations engaged in marketing milk under a particular milk marketing 
order is maintained at the office of the market administrator of the 
order.

Sec.  900.357  Denial of application; suspension or revocation of 
          determination of qualification.

    Any cooperative association whose application has been wholly or 
partially denied, or whose determination of qualification has been 
wholly or partly revoked or suspended, may petition the Secretary for a 
review of such action. Such petition shall state facts relevant to the 
matter for which review is sought. After due notice to such cooperative 
association, the Director of the Dairy Division, or in his absence the 
Acting Director, shall hold, in the manner hereinafter specified, an 
informal hearing.
    (a) Notice. Notice shall be given in writing and shall be mailed to 
the last known address of the association, or of an officer thereof, at 
least 3 days before the date set for a hearing. Such notice shall 
contain: A statement of the time and place of the hearing, said place to 
be as convenient to the association as can reasonably be arranged, and 
may contain a statement of the reason for calling the hearing and the 
nature of the questions upon which evidence is desired or upon which 
argument may be presented.

[[Page 32]]

    (b) Parties. Hearings are not to be public and are to be attended 
only by representatives of the association and of the Government, and 
such other persons as either the association or the Government desires 
to have appear for purposes of submitting information or as counsel.
    (c) Conduct of hearing. The Director or Acting Director of the Dairy 
Division, or a person designated by him, shall preside at the hearing. 
The hearing shall be conducted in such manner as will be most conducive 
to the proper disposition of the matter. Written statements or briefs 
may be filed by the association within the time specified by the 
presiding officer.
    (d) Preliminary report. The presiding officer shall prepare a 
preliminary report setting forth a recommendation as to what action 
shall be taken and the basis for such action. A copy of said report 
shall be served upon the association by mail or in person. The 
association may file exceptions to said report within 10 days after 
service thereof.
    (e) Final report. After due consideration of all the facts and the 
exceptions, if any, the Director of the Dairy Division shall issue a 
final report setting forth the action to be taken and the basis for such 
action.

   Subpart_Procedure for the Conduct of Referenda in Connection With 
   Marketing Orders for Fruits, Vegetables, and Nuts Pursuant to the 
        Agricultural Marketing Agreement Act of 1937, as Amended

    Authority: Secs. 1-19, 48 Stat. 31, as amended; 7 U.S.C. 601-674.

    Source: 30 FR 15414, Dec. 15, 1965, unless otherwise noted.

Sec.  900.400  General.

    Referenda for the purpose of ascertaining whether the issuance by 
the Secretary of Agriculture of a marketing order to regulate the 
handling of any fruit, vegetable, or nut, or product thereof, or the 
continuance or termination of such an order, is approved or favored by 
producers or processors shall, unless supplemented or modified by the 
Secretary, be conducted in accordance with this subpart.

Sec.  900.401  Definitions.

    (a) Act means Public Act No. 10, 73d Congress (48 Stat. 31), as 
amended, and as reenacted and amended by the Agricultural Marketing 
Agreement Act of 1937 (50 Stat. 246), as amended (7 U.S.C. 601-674).
    (b) Secretary means the Secretary of Agriculture of the United 
States, or any officer or employee of the Department to whom authority 
has heretofore been delegated, or to whom authority may hereafter be 
delegated, to act in his stead; and Department means the United States 
Department of Agriculture.
    (c) Administrator means the Administrator of the Agricultural 
Marketing Service, with power to redelegate, or any officer or employee 
of the Department to whom authority has been delegated or may hereafter 
be delegated to act in his stead.
    (d) Order means the marketing order (including an amendatory order) 
with respect to which the Secretary has directed that a referendum be 
conducted.
    (e) Referendum agent means the individual or individuals designated 
by the Secretary to conduct the referendum.
    (f) Representative period means the period designated by the 
Secretary pursuant to section 8c of the Act (7 U.S.C. 608c).
    (g) Person means any individual, partnership, corporation, 
association, or other business unit. For the purpose of this definition, 
the term ``partnership'' includes (1) a husband and wife who have title 
to, or leasehold interest in, land as tenants in common, joint tenants, 
tenants by the entirety, or, under community property laws, as community 
property, and (2) so-called ``joint ventures,'' wherein one or more 
parties to the agreement, informal or otherwise, contributed capital and 
others contribute labor, management, equipment, or other services, or 
any variation of such contributions by two or more parties, so that it 
results in the growing of the commodity for market and the authority to 
transfer title to the commodity so produced.
    (h) Producer means any person defined as a producer in the order 
who: (1) Owns and farms land, resulting in his ownership of the 
commodity produced thereon; (2) rents and farms land, resulting in his 
ownership of all or a portion of the commodity produced thereon; or (3) 
owns land which he does not farm and, as rental for such land, obtains 
the ownership of a portion of the commodity produced thereon. Ownership 
of, or leasehold interest in, land and the acquisition, in any manner 
other than as hereinbefore set forth, of legal title to the commodity 
grown thereon shall not be deemed to result in such owners or lessees 
becoming producers.

[30 FR 15414, Dec. 15, 1965, as amended at 37 FR 8059, Apr. 25, 1972]

Sec.  900.402  Voting.

    (a) Each person who is a producer, as defined in this subpart, at 
the time of the referendum and who also was a producer during the 
representative period, shall be entitled to only one vote in the 
referendum, except that: (1) In a landlord-tenant relationship, wherein 
each of the parties is a producer, each such producer shall be entitled 
to one vote in the referendum; and (2) a cooperative association of 
producers, bona fide engaged in marketing the commodity or product

[[Page 33]]

thereof proposed to be regulated, or in rendering services for or 
advancing the interest of the producers of such commodity or product, 
may, if it elects to do so, vote, both by number and total volume, for 
the producers who are members of, stockholders in, or under contract 
with such association.
    (b) Whenever, as required by the act, processors vote on the 
issuance of an order, each processor who is engaged in canning or 
freezing within the production area of the commodity covered by the 
order shall be entitled to vote in the referendum the quantity of such 
commodity canned or frozen within the production area for market by him 
during the representative period determined by the Secretary.
    (c) Proxy voting is not authorized but an officer or employee of a 
corporate producer, processor or cooperative association, or an 
administrator, executor or trustee of a producing estate may cast a 
ballot on behalf of such producer, processor, estate, or cooperative 
association. Any individual so voting in a referendum shall certify that 
he is an officer or employee of the producer, processor, or cooperative 
association, or an administrator, executor, or trustee of a producing 
estate, and that he has the authority to take such action. Upon request 
of the referendum agent, the individual shall submit adequate evidence 
of such authority.
    (d) Each producer, cooperative association of producers, and 
processor entitled to vote in a referendum shall be entitled to cast one 
ballot in the referendum. Each producer, cooperative association of 
producers, and processor casting more than one ballot with conflicting 
votes shall thereby invalidate all ballots cast by such producer, 
cooperative association of producers, or processor in such referendum.

Sec.  900.403  Instructions.

    The referendum agent shall conduct the referendum, in the manner 
herein provided, under supervision of the Administrator. The 
Administrator may prescribe additional instructions, not inconsistent 
with the provisions hereof, to govern the procedure to be followed by 
the referendum agent. Such agent shall:
    (a) Determine the time of commencement and termination of the period 
of the referendum, and the time prior to which all ballots must be cast.
    (b) Determine whether ballots may be cast by mail, at polling 
places, at meetings of producers or processors, or by any combination of 
the foregoing.
    (c) Provide ballots and related material to be used in the 
referendum. Ballot material shall provide for recording essential 
information for ascertaining (1) whether the person voting, or on whose 
behalf the vote is cast, is an eligible voter, and (2) the total volume 
(i) produced for market during the representative period, or (ii) canned 
or frozen for market during the representative period.
    (d) Give reasonable advance notice of the referendum (1) by 
utilizing without advertising expense available media of public 
information (including, but not being limited to, press and radio 
facilities) serving the production area, announcing the dates, places, 
or methods of voting, eligibility requirements, and other pertinent 
information, and (2) by such other means as said agent may deem 
advisable.
    (e) Make available to producers and the aforesaid cooperative 
associations which indicate to the agent their intentions to vote, and 
to processors when required, instructions on voting, appropriate ballot 
and certification forms, and, except in the case of a referendum on the 
termination or continuance of an order, the text of the proposed order 
and a summary of its terms and conditions: Provided, That no person who 
claims to be qualified to vote shall be refused a ballot.
    (f) If ballots are to be cast by mail, cause all the material 
specified in paragraph (e) of this section to be mailed to each producer 
(and processor when required) whose name and address is known to the 
referendum agent.
    (g) If ballots are to be cast at polling places or meetings, 
determine the necessary number of polling or meeting places, designate 
them, announce the time of each meeting or the hours during which each 
polling place will be open, provide the material specified in paragraph 
(e) of this section, and provide for appropriate custody of ballot forms 
and delivery to the referendum agent of ballots cast.
    (h) At the conclusion of the referendum, canvass the ballots, 
tabulate the results, and, except as otherwise directed, report the 
outcome to the Administrator and promptly thereafter submit the 
following:
    (1) All ballots received by the agent and appointees, together with 
a certificate to the effect that the ballots forwarded are all of the 
ballots cast and received by such persons during the referendum period;
    (2) A list of all challenged ballots deemed to be invalid; and
    (3) A tabulation of the results of the referendum and a report 
thereon, including a detailed statement explaining the method used in 
giving publicity to the referendum and showing other information 
pertinent to the manner in which the referendum was conducted.

Sec.  900.404  Subagents.

    The referendum agent may appoint any person or persons deemed 
necessary or desirable to assist said agent in performing his functions 
hereunder. Each person so appointed may be authorized by said agent to

[[Page 34]]

perform, in accordance with the requirements herein set forth, any or 
all of the following functions (which, in the absence of such 
appointment, shall be performed by said agent):
    (a) Give public notice of the referendum in the manner specified 
herein;
    (b) Preside at a meeting where ballots are to be cast or as poll 
officer at a polling place;
    (c) Distribute ballots and the aforesaid texts to producers (and to 
processors when required) and receive any ballots which are cast; and
    (d) Record the name and address of each person receiving a ballot 
from, or casting a ballot with, said subagent and inquire into the 
eligibility of such person to vote in the referendum.

Sec.  900.405  Ballots.

    The referendum agent and his appointees shall accept all ballots 
cast; but, should they, or any of them, deem that a ballot should be 
challenged for any reason, said agent or appointee shall endorse above 
his signature, on said ballot, a statement to the effect that such 
ballot was challenged, by whom challenged, the reasons therefor, the 
results of any investigations made with respect thereto, and the 
disposition thereof. Invalid ballots shall not be counted.

Sec.  900.406  Referendum report.

    Except as otherwise directed, the Administrator shall prepare and 
submit to the Secretary a report on results of the referendum, the 
manner in which it was conducted, the extent and kind of public notice 
given, and other information pertinent to analysis of the referendum and 
its results.

Sec.  900.407  Confidential information.

    All ballots cast and the contents thereof (whether or not relating 
to the identity of any person who voted or the manner in which any 
person voted) and all information furnished to, compiled by, or in 
possession of, the referendum agent shall be treated as confidential.

                       Subpart_Public Information

    Authority: 5 U.S.C. 301, 552.

    Source: 40 FR 20267, May 9, 1975, unless otherwise noted.

Availability of Program Information, Staff Manuals and Instructions, and 
                            Related Material

Sec.  900.500  General.

    This subpart is issued in accordance with the regulations of the 
Secretary of Agriculture in part 1, subpart A, of subtitle A of this 
title (7 CFR 1.1-1.16), and appendix A thereto, implementing the Freedom 
of Information Act (5 U.S.C. 552). The Secretary's regulations, as 
implemented by the regulations of this subpart, govern the availability 
of records of AMS to the public.

Sec.  900.501  Public inspection and copying.

    (a) Facilities for public inspection and copying of the indexes and 
materials required to be made available under Sec.  1.2(a) of this title 
will be provided by AMS during normal hours of operation. Request for 
this information should be made to the Freedom of Information Act 
Officer at the following address:

Freedom of Information Act Officer, Agricultural Marketing Service, 
United States Department of Agriculture, Washington, DC 20250.

    (b) Copies of such material may be obtained in person or by mail. 
Applicable fees for copies will be charged in accordance with the 
regulations prescribed by the Director, Office of Operations and 
Finance, USDA.

[44 FR 39151, July 5, 1979]

Sec.  900.502  Indexes.

    Pursuant to the regulations in Sec.  1.4(b) of this title, AMS will 
maintain and make available for public inspection and copying current 
indexes of all material required to be made available in Sec.  1.2(a) of 
this title. Notice is hereby given that publication of these indexes is 
unnecessary and impractical, since the material is voluminous and does 
not change often enough to justify the expense of publication.

[44 FR 39151, July 5, 1979]

Sec.  900.503  Request for records.

    (a) Requests for records under 5 U.S.C. 552(a)(3) shall be made in 
accordance with Sec.  1.3(a) of this title. Authority to make 
determinations regarding initial requests in accordance with Sec.  
1.4(c) of this title is delegated to the Freedom of Information Act 
Officer of AMS. Requests should be submitted to the FOIA Officer at the 
following address:

Freedom of Information Act Officer (FOIA Request), Agricultural 
Marketing Service, United States Department of Agriculture, Washington, 
DC 20250.

    (b) The request shall identify each record with reasonable 
specificity as prescribed in Sec.  1.3 of this title.
    (c) The FOIA Officer is authorized to receive requests and to 
exercise the authority to (1) make determinations to grant requests or 
deny initial requests, (2) extend the administrative deadline, (3) make 
discretionary release of exempt records, and (4) make determinations 
regarding charges pursuant to the fee schedule.

[44 FR 39151, July 5, 1979]

[[Page 35]]

Sec.  900.504  Appeals.

    Any person whose request under Sec.  900.503 above is denied shall 
have the right to appeal such denial in accordance with Sec.  1.3(e) of 
this title. Appeals shall be addressed to the Administrator, 
Agricultural Marketing Service, U.S. Department of Agriculture, 
Washington, DC 20250.

                     Subpart_Information Collection

    Authority: 44 U.S.C. Ch. 35.

Sec.  900.600  General.

    This subpart shall contain such requirements as pertain to the 
information collection provisions under the Paperwork Reduction Act of 
1995.

[63 FR 10492, Mar. 4, 1998]

Sec.  900.601  OMB control numbers assigned pursuant to the Paperwork 
          Reduction Act.

    (a) Purpose. This section collects and displays the control numbers 
assigned to information collection requirements by the Office of 
Management and Budget contained in 7 CFR parts 905 through 998 under the 
Paperwork Reduction Act of 1995.
    (b) Display.

------------------------------------------------------------------------
                                                                Current
                                                                  OMB
          7 CFR part where identified and described             control
                                                                  No.
------------------------------------------------------------------------
905, Florida Oranges, Grapefruit Tangerines, Tangelos.......   0581-0094
906, Texas Oranges & Grapefruit.............................   0581-0068
911, Florida Limes..........................................   0581-0091
915, Florida Avocados.......................................   0581-0078
916, California Nectarines..................................   0581-0072
917, California Pears and Peaches...........................   0581-0080
920, California Kiwifruit...................................   0581-0149
922, Washington Apricots....................................   0581-0095
923, Washington Sweet Cherries..............................   0581-0133
924, Washington-Oregon Fresh Prunes.........................   0581-0134
925, S.E. California Desert Grapes..........................   0581-0109
927, Oregon-Washington-California Winter Pears..............   0581-0089
928, Hawaiian Papayas.......................................   0581-0102
929, Cranberries Grown in Designated States.................   0581-0103
930, Red Tart Cherries......................................   0581-0177
931, Oregon-Washington Bartlett Pears.......................   0581-0092
932, California Olives......................................   0581-0142
945, Idaho-Eastern Oregon Potatoes..........................   0581-0178
946, Washington Potatoes....................................   0581-0178
947, Oregon-California Potatoes.............................   0581-0178
948, Colorado Potatoes......................................   0581-0178
953, Southeastern Potatoes..................................   0581-0178
955, Vidalia Onions.........................................   0581-0178
956, Walla Walla Onions.....................................   0581-0178
958, Idaho-Oregon Onions....................................   0581-0178
959, South Texas Onions.....................................   0581-0178
966, Florida Tomatoes.......................................   0581-0178
979, South Texas Melons.....................................   0581-0178
981, California Almonds.....................................   0581-0071
982, Oregon-Washington Hazelnuts............................   0581-0178
984, California Walnuts.....................................   0581-0178
985, Spearmint Oil..........................................   0581-0065
987, California Dates.......................................   0581-0178
989, California Raisins.....................................   0581-0178
993, California Dried Prunes................................   0581-0178
997, Domestic Peanuts Not Covered Under the Peanut Marketing   0581-0163
 Agreement..................................................
998, Domestic Peanuts Covered Under the Peanut Marketing       0581-0067
 Agreement..................................................
------------------------------------------------------------------------


[63 FR 10492, Mar. 4, 1998]

[[Page 37]]



PART 1000_GENERAL PROVISIONS OF FEDERAL MILK MARKETING ORDERS--Table of Contents




                       Subpart A_Scope and Purpose

Sec.
1000.1 Scope and purpose of this part 1000.

                          Subpart B_Definitions

1000.2 General definitions.
1000.3 Route disposition.
1000.4 Plant.
1000.5 Distributing plant.
1000.6 Supply plant.
1000.8 Nonpool plant.
1000.9 Handler.
1000.14 Other source milk.
1000.15 Fluid milk product.
1000.16 Fluid cream product.
1000.17 [Reserved]
1000.18 Cooperative association.
1000.19 Commercial food processing establishment.

       Subpart C_Rules of Practice and Procedure Governing Market 
                             Administrators

1000.25 Market administrator.

               Subpart D_Rules Governing Order Provisions

1000.26 Continuity and separability of provisions.

      Subpart E_Rules of Practice and Procedure Governing Handlers

1000.27 Handler responsibility for records and facilities.
1000.28 Termination of obligations.

                    Subpart F_Classification of Milk

1000.40 Classes of utilization.
1000.41 [Reserved]
1000.42 Classification of transfers and diversions.
1000.43 General classification rules.
1000.44 Classification of producer milk.
1000.45 Market administrator's reports and announcements concerning 
          classification.

                         Subpart G_Class Prices

1000.50 Class prices, component prices, and advanced pricing factors.
1000.51 [Reserved]
1000.52 Adjusted Class I differentials.
1000.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1000.54 Equivalent price.

                       Subpart H_Payments for Milk

1000.70 Producer-settlement fund.
1000.76 Payments by a handler operating a partially regulated 
          distributing plant.
1000.77 Adjustment of accounts.
1000.78 Charges on overdue accounts.

   Subpart I_Administrative Assessment and Marketing Service Deduction

1000.85 Assessment for order administration.
1000.86 Deduction for marketing services.

                   Subpart J_Miscellaneous Provisions

1000.90 Dates.
1000.91-1000.92 [Reserved]
1000.93 OMB control number assigned pursuant to the Paperwork Reduction 
          Act.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 47899, Sept. 1, 1999, unless otherwise noted.



                       Subpart A_Scope and Purpose



Sec.  1000.1  Scope and purpose of this part 1000.

    This part sets forth certain terms, definitions, and provisions 
which shall be common to and apply to Federal milk marketing order in 7 
CFR, chapter X, except as specifically defined otherwise, or modified, 
or otherwise provided, in an individual order in 7 CFR, chapter X.



                          Subpart B_Definitions



Sec.  1000.2  General definitions.

    (a) Act means Public Act No. 10, 73d Congress, as amended and as 
reenacted and amended by the Agricultural Marketing Agreement Act of 
1937, as amended (7 U.S.C. 601 et seq.).
    (b) Order or Federal milk order means the applicable part of 7 CFR, 
chapter X, issued pursuant to Section 8c of the Act as a Federal milk 
marketing order (as amended).
    (c) Department means the U.S. Department of Agriculture.
    (d) Secretary means the Secretary of Agriculture of the United 
States or any officer or employee of the Department to whom authority 
has heretofore been delegated, or to whom authority may hereafter be 
delegated, to act in his stead.

[[Page 38]]

    (e) Person means any individual, partnership, corporation, 
association, or other business unit.



Sec.  1000.3  Route disposition.

    Route disposition means a delivery to a retail or wholesale outlet 
(except a plant), either directly or through any distribution facility 
(including disposition from a plant store, vendor, or vending machine) 
of a fluid milk product in consumer-type packages or dispenser units 
classified as Class I milk.



Sec.  1000.4  Plant.

    (a) Except as provided in paragraph (b) of this section, plant means 
the land, buildings, facilities, and equipment constituting a single 
operating unit or establishment at which milk or milk products are 
received, processed, or packaged, including a facility described in 
paragraph (b)(2) of this section if the facility receives the milk of 
more than one dairy farmer.
    (b) Plant shall not include:
    (1) A separate building without stationary storage tanks that is 
used only as a reload point for transferring bulk milk from one tank 
truck to another or a separate building used only as a distribution 
point for storing packaged fluid milk products in transit for route 
disposition; or
    (2) An on-farm facility operated as part of a single dairy farm 
entity for the separation of cream and skim or the removal of water from 
milk.



Sec.  1000.5  Distributing plant.

    Distributing plant means a plant that is approved by a duly 
constituted regulatory agency for the handling of Grade A milk at which 
fluid milk products are processed or packaged and from which there is 
route disposition or transfers of packaged fluid milk products to other 
plants.



Sec.  1000.6  Supply plant.

    Supply plant means a plant approved by a duly constituted regulatory 
agency for the handling of Grade A milk that receives milk directly from 
dairy farmers and transfers or diverts fluid milk products to other 
plants or manufactures dairy products on its premises.



Sec.  1000.8  Nonpool plant.

    Nonpool plant means any milk receiving, manufacturing, or processing 
plant other than a pool plant. The following categories of nonpool 
plants are further defined as follows:
    (a) A plant fully regulated under another Federal order means a 
plant that is fully subject to the pricing and pooling provisions of 
another Federal order.
    (b) Producer-handler plant means a plant operated by a producer-
handler as defined under any Federal order.
    (c) Partially regulated distributing plant means a nonpool plant 
that is not a plant fully regulated under another Federal order, a 
producer-handler plant, or an exempt plant, from which there is route 
disposition in the marketing area during the month.
    (d) Unregulated supply plant means a supply plant that does not 
qualify as a pool supply plant and is not a plant fully regulated under 
another Federal order, a producer-handler plant, or an exempt plant.
    (e) An exempt plant means a plant described in this paragraph that 
is exempt from the pricing and pooling provisions of any order provided 
that the operator of the plant files reports as prescribed by the market 
administrator of any marketing area in which the plant distributes 
packaged fluid milk products to enable determination of the handler's 
exempt status:
    (1) A plant that is operated by a governmental agency that has no 
route disposition in commercial channels;
    (2) A plant that is operated by a duly accredited college or 
university disposing of fluid milk products only through the operation 
of its own facilities with no route disposition in commercial channels;
    (3) A plant from which the total route disposition is for 
individuals or institutions for charitable purposes without 
remuneration; or
    (4) A plant that has route disposition and packaged sales of fluid 
milk products to other plants of 150,000 pounds or less during the 
month.



Sec.  1000.9  Handler.

    Handler means:
    (a) Any person who operates a pool plant or a nonpool plant.

[[Page 39]]

    (b) Any person who receives packaged fluid milk products from a 
plant for resale and distribution to retail or wholesale outlets, any 
person who as a broker negotiates a purchase or sale of fluid milk 
products or fluid cream products from or to any pool or nonpool plant, 
and any person who by purchase or direction causes milk of producers to 
be picked up at the farm and/or moved to a plant. Persons who qualify as 
handlers only under this paragraph under any Federal milk order are not 
subject to the payment provisions of Sec. Sec.  --------.70, ------
--.71, --------.72, --------.73, --------.76, and --------.85 of that 
order.
    (c) Any cooperative association with respect to milk that it 
receives for its account from the farm of a producer and delivers to 
pool plants or diverts to nonpool plants pursuant to Sec.  --------.13 
of the order. The operator of a pool plant receiving milk from a 
cooperative association may be the handler for such milk if both parties 
notify the market administrator of this agreement prior to the time that 
the milk is delivered to the pool plant and the plant operator purchases 
the milk on the basis of farm bulk tank weights and samples.



Sec.  1000.14  Other source milk.

    Other source milk means all skim milk and butterfat contained in or 
represented by:
    (a) Receipts of fluid milk products and bulk fluid cream products 
from any source other than producers, handlers described in Sec.  
1000.9(c) and Sec.  1135.11, or pool plants;
    (b) Products (other than fluid milk products, fluid cream products, 
and products produced at the plant during the same month) from any 
source which are reprocessed, converted into, or combined with another 
product in the plant during the month; and
    (c) Receipts of any milk product (other than a fluid milk product or 
a fluid cream product) for which the handler fails to establish a 
disposition.



Sec.  1000.15  Fluid milk product.

    (a) Except as provided in paragraph (b) of this section, fluid milk 
product means any milk products in fluid or frozen form containing less 
than 9 percent butterfat that are intended to be used as beverages. Such 
products include, but are not limited to: Milk, fat-free milk, lowfat 
milk, light milk, reduced fat milk, milk drinks, eggnog and cultured 
buttermilk, including any such beverage products that are flavored, 
cultured, modified with added nonfat milk solids, sterilized, 
concentrated, or reconstituted. As used in this part, the term 
concentrated milk means milk that contains not less than 25.5 percent, 
and not more than 50 percent, total milk solids.
    (b) The term fluid milk product shall not include:
    (1) Plain or sweetened evaporated milk/skim milk, sweetened 
condensed milk/skim milk, formulas especially prepared for infant 
feeding or dietary use (meal replacement) that are packaged in 
hermetically-sealed containers, any product that contains by weight less 
than 6.5 percent nonfat milk solids, and whey; and
    (2) The quantity of skim milk equivalent in any modified product 
specified in paragraph (a) of this section that is greater than an equal 
volume of an unmodified product of the same nature and butterfat 
content.



Sec.  1000.16  Fluid cream product.

    Fluid cream product means cream (other than plastic cream or frozen 
cream), including sterilized cream, or a mixture of cream and milk or 
skim milk containing 9 percent or more butterfat, with or without the 
addition of other ingredients.



Sec.  1000.17  [Reserved]



Sec.  1000.18  Cooperative association.

    Cooperative association means any cooperative marketing association 
of producers which the Secretary determines is qualified under the 
provisions of the Capper-Volstead Act, has full authority in the sale of 
milk of its members, and is engaged in marketing milk or milk products 
for its members. A federation of 2 or more cooperatives incorporated 
under the laws of any state will be considered a cooperative association 
under any Federal milk order if all member cooperatives meet the 
requirements of this section.

[[Page 40]]



Sec.  1000.19  Commercial food processing establishment.

    Commercial food processing establishment means any facility, other 
than a milk plant, to which fluid milk products and fluid cream products 
are disposed of, or producer milk is diverted, that uses such receipts 
as ingredients in food products and has no other disposition of fluid 
milk products other than those received in consumer-type packages (1 
gallon or less). Producer milk diverted to commercial food processing 
establishments shall be subject to the same provisions relating to 
diversions to plants, including, but not limited to, Sec. Sec.  ------
--.13 and --------.52 of each Federal milk order.



       Subpart C_Rules of Practice and Procedure Governing Market 
                             Administrators



Sec.  1000.25  Market administrator.

    (a) Designation. The agency for the administration of the order 
shall be a market administrator selected by the Secretary and subject to 
removal at the Secretary's discretion. The market administrator shall be 
entitled to compensation determined by the Secretary.
    (b) Powers. The market administrator shall have the following powers 
with respect to each order under his/her administration:
    (1) Administer the order in accordance with its terms and 
provisions;
    (2) Maintain and invest funds outside of the United States 
Department of the Treasury for the purpose of administering the order;
    (3) Make rules and regulations to effectuate the terms and 
provisions of the order;
    (4) Receive, investigate, and report complaints of violations to the 
Secretary; and
    (5) Recommend amendments to the Secretary.
    (c) Duties. The market administrator shall perform all the duties 
necessary to administer the terms and provisions of each order under 
his/her administration, including, but not limited to, the following:
    (1) Employ and fix the compensation of persons necessary to enable 
him/her to exercise the powers and perform the duties of the office;
    (2) Pay out of funds provided by the administrative assessment, 
except expenses associated with functions for which the order provides a 
separate charge, all expenses necessarily incurred in the maintenance 
and functioning of the office and in the performance of the duties of 
the office, including the market administrator's compensation;
    (3) Keep records which will clearly reflect the transactions 
provided for in the order and upon request by the Secretary, surrender 
the records to a successor or such other person as the Secretary may 
designate;
    (4) Furnish information and reports requested by the Secretary and 
submit office records for examination by the Secretary;
    (5) Announce publicly at his/her discretion, unless otherwise 
directed by the Secretary, by such means as he/she deems appropriate, 
the name of any handler who, after the date upon which the handler is 
required to perform such act, has not:
    (i) Made reports required by the order;
    (ii) Made payments required by the order; or
    (iii) Made available records and facilities as required pursuant to 
Sec.  1000.27;
    (6) Prescribe reports required of each handler under the order. 
Verify such reports and the payments required by the order by examining 
records (including such papers as copies of income tax reports, fiscal 
and product accounts, correspondence, contracts, documents or memoranda 
of the handler, and the records of any other persons that are relevant 
to the handler's obligation under the order), by examining such 
handler's milk handling facilities, and by such other investigation as 
the market administrator deems necessary for the purpose of ascertaining 
the correctness of any report or any obligation under the order. 
Reclassify skim milk and butterfat received by any handler if such 
examination and investigation discloses that the original classification 
was incorrect;

[[Page 41]]

    (7) Furnish each regulated handler a written statement of such 
handler's accounts with the market administrator promptly each month. 
Furnish a corrected statement to such handler if verification discloses 
that the original statement was incorrect; and
    (8) Prepare and disseminate publicly for the benefit of producers, 
handlers, and consumers such statistics and other information concerning 
operation of the order and facts relevant to the provisions thereof (or 
proposed provisions) as do not reveal confidential information.



               Subpart D_Rules Governing Order Provisions



Sec.  1000.26  Continuity and separability of provisions.

    (a) Effective time. The provisions of the order or any amendment to 
the order shall become effective at such time as the Secretary may 
declare and shall continue in force until suspended or terminated.
    (b) Suspension or termination. The Secretary shall suspend or 
terminate any or all of the provisions of the order whenever he/she 
finds that such provision(s) obstructs or does not tend to effectuate 
the declared policy of the Act. The order shall terminate whenever the 
provisions of the Act authorizing it cease to be in effect.
    (c) Continuing obligations. If upon the suspension or termination of 
any or all of the provisions of the order there are any obligations 
arising under the order, the final accrual or ascertainment of which 
requires acts by any handler, by the market administrator or by any 
other person, the power and duty to perform such further acts shall 
continue notwithstanding such suspension or termination.
    (d) Liquidation. (1) Upon the suspension or termination of any or 
all provisions of the order the market administrator, or such other 
liquidating agent designated by the Secretary, shall, if so directed by 
the Secretary, liquidate the business of the market administrator's 
office, dispose of all property in his/her possession or control, 
including accounts receivable, and execute and deliver all assignments 
or other instruments necessary or appropriate to effectuate any such 
disposition; and
    (2) If a liquidating agent is so designated, all assets and records 
of the market administrator shall be transferred promptly to such 
liquidating agent. If, upon such liquidation, the funds on hand exceed 
the amounts required to pay outstanding obligations of the office of the 
market administrator and to pay necessary expenses of liquidation and 
distribution, such excess shall be distributed to contributing handlers 
and producers in an equitable manner.
    (e) Separability of provisions. If any provision of the order or its 
application to any person or circumstances is held invalid, the 
application of such provision and of the remaining provisions of the 
order to other persons or circumstances shall not be affected thereby.



      Subpart E_Rules of Practice and Procedure Governing Handlers



Sec.  1000.27  Handler responsibility for records and facilities.

    Each handler shall maintain and retain records of its operations and 
make such records and its facilities available to the market 
administrator. If adequate records of a handler, or of any other 
persons, that are relevant to the obligation of such handler are not 
maintained and made available, any skim milk and butterfat required to 
be reported by such handler for which adequate records are not available 
shall be considered as used in the highest-priced class.
    (a) Records to be maintained. (1) Each handler shall maintain 
records of its operations (including, but not limited to, records of 
purchases, sales, processing, packaging, and disposition) as are 
necessary to verify whether such handler has any obligation under the 
order and if so, the amount of such obligation. Such records shall be 
such as to establish for each plant or other receiving point for each 
month:
    (i) The quantities of skim milk and butterfat contained in, or 
represented by, products received in any form, including inventories on 
hand at the beginning of the month, according to form, time, and source 
of each receipt;

[[Page 42]]

    (ii) The utilization of all skim milk and butterfat showing the 
respective quantities of such skim milk and butterfat in each form 
disposed of or on hand at the end of the month; and
    (iii) Payments to producers, dairy farmers, and cooperative 
associations, including the amount and nature of any deductions and the 
disbursement of money so deducted.
    (2) Each handler shall keep such other specific records as the 
market administrator deems necessary to verify or establish such 
handler's obligation under the order.
    (b) Availability of records and facilities. Each handler shall make 
available all records pertaining to such handler's operations and all 
facilities the market administrator finds are necessary to verify the 
information required to be reported by the order and/or to ascertain 
such handler's reporting, monetary, or other obligation under the order. 
Each handler shall permit the market administrator to weigh, sample, and 
test milk and milk products and observe plant operations and equipment 
and make available to the market administrator such facilities as are 
necessary to carry out his/her duties.
    (c) Retention of records. All records required under the order to be 
made available to the market administrator shall be retained by the 
handler for a period of 3 years to begin at the end of the month to 
which such records pertain. If, within such 3-year period, the market 
administrator notifies the handler in writing that the retention of such 
records, or of specified records, is necessary in connection with a 
proceeding under section 8c(15)(A) of the Act or a court action 
specified in such notice, the handler shall retain such records, or 
specified records, until further written notification from the market 
administrator. The market administrator shall give further written 
notification to the handler promptly upon the termination of the 
litigation or when the records are no longer necessary in connection 
therewith.



Sec.  1000.28  Termination of obligations.

    (a) Except as provided in paragraphs (b) and (c) of this section, 
the obligation of any handler to pay money required to be paid under the 
terms of the order shall terminate 2 years after the last day of the 
month during which the market administrator receives the handler's 
report of receipts and utilization on which such obligation is based, 
unless within such 2-year period, the market administrator notifies the 
handler in writing that such money is due and payable. Service of such 
written notice shall be complete upon mailing to the handler's last 
known address and it shall contain, but need not be limited to, the 
following information:
    (1) The amount of the obligation;
    (2) The month(s) on which such obligation is based; and
    (3) If the obligation is payable to one or more producers or to a 
cooperative association, the name of such producer(s) or such 
cooperative association, or if the obligation is payable to the market 
administrator, the account for which it is to be paid.
    (b) If a handler fails or refuses, with respect to any obligation 
under the order, to make available to the market administrator all 
records required by the order to be made available, the market 
administrator may notify the handler in writing, within the 2-year 
period provided for in paragraph (a) of this section, of such failure or 
refusal. If the market administrator so notifies a handler, the said 2-
year period with respect to such obligation shall not begin to run until 
the first day of the month following the month during which all such 
records pertaining to such obligation are made available to the market 
administrator.
    (c) Notwithstanding the provisions of paragraphs (a) and (b) of this 
section, a handler's obligation under the order to pay money shall not 
be terminated with respect to any transaction involving fraud or willful 
concealment of a fact, material to the obligation, on the part of the 
handler against whom the obligation is sought to be imposed.
    (d) Unless the handler files a petition pursuant to section 
8c(15)(A) of the Act and the applicable rules and regulations (7 CFR 
900.50 through 900.71) within the applicable 2-year period indicated 
below, the obligation of the market administrator:
    (1) To pay a handler any money which such handler claims is due 
under

[[Page 43]]

the terms of the order shall terminate 2 years after the end of the 
month during which the skim milk and butterfat involved in the claim 
were received; or
    (2) To refund any payment made by a handler (including a deduction 
or offset by the market administrator) shall terminate 2 years after the 
end of the month during which payment was made by the handler.



                    Subpart F_Classification of Milk



Sec.  1000.40  Classes of utilization.

    Except as provided in Sec.  1000.42, all skim milk and butterfat 
required to be reported pursuant to Sec.  ----.30 of each Federal milk 
order shall be classified as follows:
    (a) Class I milk shall be all skim milk and butterfat:
    (1) Disposed of in the form of fluid milk products, except as 
otherwise provided in this section;
    (2) In packaged fluid milk products in inventory at the end of the 
month; and
    (3) In shrinkage assigned pursuant to Sec.  1000.43(b).
    (b) Class II milk shall be all skim milk and butterfat:
    (1) In fluid milk products in containers larger than 1 gallon and 
fluid cream products disposed of or diverted to a commercial food 
processing establishment if the market administrator is permitted to 
audit the records of the commercial food processing establishment for 
the purpose of verification. Otherwise, such uses shall be Class I;
    (2) Used to produce:
    (i) Cottage cheese, lowfat cottage cheese, dry curd cottage cheese, 
ricotta cheese, pot cheese, Creole cheese, and any similar soft, high-
moisture cheese resembling cottage cheese in form or use;
    (ii) Milkshake and ice milk mixes (or bases), frozen desserts, and 
frozen dessert mixes distributed in half-gallon containers or larger and 
intended to be used in soft or semi-solid form;
    (iii) Aerated cream, frozen cream, sour cream, sour half-and-half, 
sour cream mixtures containing nonmilk items, yogurt, and any other 
semi-solid product resembling a Class II product;
    (iv) Custards, puddings, pancake mixes, coatings, batter, and 
similar products;
    (v) Buttermilk biscuit mixes and other buttermilk for baking that 
contain food starch in excess of 2% of the total solids, provided that 
the product is labeled to indicate the food starch content;
    (vi) Formulas especially prepared for infant feeding or dietary use 
(meal replacement) that are packaged in hermetically-sealed containers;
    (vii) Candy, soup, bakery products and other prepared foods which 
are processed for general distribution to the public, and intermediate 
products, including sweetened condensed milk, to be used in processing 
such prepared food products;
    (viii) A fluid cream product or any product containing artificial 
fat or fat substitutes that resembles a fluid cream product, except as 
otherwise provided in paragraph (c) of this section; and
    (ix) Any product not otherwise specified in this section; and
    (3) In shrinkage assigned pursuant to Sec.  1000.43(b).
    (c) Class III milk shall be all skim milk and butterfat:
    (1) Used to produce:
    (i) Cream cheese and other spreadable cheeses, and hard cheese of 
types that may be shredded, grated, or crumbled;
    (ii) Plastic cream, anhydrous milkfat, and butteroil; and
    (iii) Evaporated or sweetened condensed milk in a consumer-type 
package; and
    (2) In shrinkage assigned pursuant to Sec.  1000.43(b).
    (d) Class IV milk shall be all skim milk and butterfat:
    (1) Used to produce:
    (i) Butter; and
    (ii) Any milk product in dried form;
    (2) In inventory at the end of the month of fluid milk products and 
fluid cream products in bulk form;
    (3) In the skim milk equivalent of nonfat milk solids used to modify 
a fluid milk product that has not been accounted for in Class I; and
    (4) In shrinkage assigned pursuant to Sec.  1000.43(b).
    (e) Other uses. Other uses include skim milk and butterfat used in 
any product described in this section that

[[Page 44]]

is dumped, used for animal feed, destroyed, or lost by a handler in a 
vehicular accident, flood, fire, or similar occurrence beyond the 
handler's control. Such uses of skim milk and butterfat shall be 
assigned to the lowest priced class for the month to the extent that the 
quantities destroyed or lost can be verified from records satisfactory 
to the market administrator.

[64 FR 47899, Sept. 1, 1999, as amended at 65 FR 82833, Dec. 28, 2000; 
68 FR 7064, Feb. 12, 2003]



Sec.  1000.41  [Reserved]



Sec.  1000.42  Classification of transfers and diversions.

    (a) Transfers and diversions to pool plants. Skim milk or butterfat 
transferred or diverted in the form of a fluid milk product or 
transferred in the form of a bulk fluid cream product from a pool plant 
or a handler described in Sec.  1135.11 of this chapter to another pool 
plant shall be classified as Class I milk unless the handlers both 
request the same classification in another class. In either case, the 
classification shall be subject to the following conditions:
    (1) The skim milk and butterfat classified in each class shall be 
limited to the amount of skim milk and butterfat, respectively, 
remaining in such class at the receiving plant after the computations 
pursuant to Sec.  1000.44(a)(9) and the corresponding step of Sec.  
1000.44(b);
    (2) If the transferring plant received during the month other source 
milk to be allocated pursuant to Sec.  1000.44(a)(3) or the 
corresponding step of Sec.  1000.44(b), the skim milk or butterfat so 
transferred shall be classified so as to allocate the least possible 
Class I utilization to such other source milk; and
    (3) If the transferring handler received during the month other 
source milk to be allocated pursuant to Sec.  1000.44(a)(8) or (9) or 
the corresponding steps of Sec.  1000.44(b), the skim milk or butterfat 
so transferred, up to the total of the skim milk and butterfat, 
respectively, in such receipts of other source milk, shall not be 
classified as Class I milk to a greater extent than would be the case if 
the other source milk had been received at the receiving plant.
    (b) Transfers and diversions to a plant regulated under another 
Federal order. Skim milk or butterfat transferred or diverted in the 
form of a fluid milk product or transferred in the form of a bulk fluid 
cream product from a pool plant to a plant regulated under another 
Federal order shall be classified in the following manner. Such 
classification shall apply only to the skim milk or butterfat that is in 
excess of any receipts at the pool plant from a plant regulated under 
another Federal order of skim milk and butterfat, respectively, in fluid 
milk products and bulk fluid cream products, respectively, that are in 
the same category as described in paragraph (b)(1) or (2) of this 
section:
    (1) As Class I milk, if transferred as packaged fluid milk products;
    (2) If transferred or diverted in bulk form, classification shall be 
in the classes to which allocated under the other order:
    (i) If the operators of both plants so request in their reports of 
receipts and utilization filed with their respective market 
administrators, transfers in bulk form shall be classified as other than 
Class I to the extent that such utilization is available for such 
classification pursuant to the allocation provisions of the other order;
    (ii) If diverted, the diverting handler must request a 
classification other than Class I. If the plant receiving the diverted 
milk does not have sufficient utilization available for the requested 
classification and some of the diverted milk is consequently assigned to 
Class I use, the diverting handler shall be given the option of 
designating the entire load of diverted milk as producer milk at the 
plant physically receiving the milk. Alternatively, if the diverting 
handler so chooses, it may designate which dairy farmers whose milk was 
diverted during the month will be designated as producers under the 
order physically receiving the milk. If the diverting handler declines 
to accept either of these options, the market administrator will prorate 
the portion of diverted milk in excess of Class II, III, and IV use 
among all the dairy farmers whose milk was received from the diverting 
handler on the last day of the month, then the second-to-last day,

[[Page 45]]

and continuing in that fashion until the excess diverted milk has been 
assigned as producer milk under the receiving order; and
    (iii) If information concerning the classes to which such transfers 
or diversions were allocated under the other order is not available to 
the market administrator for the purpose of establishing classification 
under this paragraph, classification shall be Class I, subject to 
adjustment when such information is available.
    (c) Transfers and diversions to producer-handlers and to exempt 
plants. Skim milk or butterfat that is transferred or diverted from a 
pool plant to a producer-handler under any Federal order or to an exempt 
plant shall be classified:
    (1) As Class I milk if transferred or diverted to a producer-
handler;
    (2) As Class I milk if transferred to an exempt plant in the form of 
a packaged fluid milk product; and
    (3) In accordance with the utilization assigned to it by the market 
administrator if transferred or diverted in the form of a bulk fluid 
milk product or transferred in the form of a bulk fluid cream product to 
an exempt plant. For this purpose, the receiving handler's utilization 
of skim milk and butterfat in each class, in series beginning with Class 
IV, shall be assigned to the extent possible to its receipts of skim 
milk and butterfat, in bulk fluid cream products, and bulk fluid milk 
products, respectively, pro rata to each source.
    (d) Transfers and diversions to other nonpool plants. Skim milk or 
butterfat transferred or diverted in the following forms from a pool 
plant to a nonpool plant that is not a plant regulated under another 
order, an exempt plant, or a producer-handler plant shall be classified:
    (1) As Class I milk, if transferred in the form of a packaged fluid 
milk product; and
    (2) As Class I milk, if transferred or diverted in the form of a 
bulk fluid milk product or transferred in the form of a bulk fluid cream 
product, unless the following conditions apply:
    (i) If the conditions described in paragraphs (d)(2)(i)(A) and (B) 
of this section are met, transfers or diversions in bulk form shall be 
classified on the basis of the assignment of the nonpool plant's 
utilization, excluding the milk equivalent of both nonfat milk solids 
and concentrated milk used in the plant during the month, to its 
receipts as set forth in paragraphs (d)(2)(ii) through (viii) of this 
section:
    (A) The transferring handler or diverting handler claims such 
classification in such handler's report of receipts and utilization 
filed pursuant to Sec.  ----.30 of each Federal milk order for the month 
within which such transaction occurred; and
    (B) The nonpool plant operator maintains books and records showing 
the utilization of all skim milk and butterfat received at such plant 
which are made available for verification purposes if requested by the 
market administrator;
    (ii) Route disposition in the marketing area of each Federal milk 
order from the nonpool plant and transfers of packaged fluid milk 
products from such nonpool plant to plants fully regulated thereunder 
shall be assigned to the extent possible in the following sequence:
    (A) Pro rata to receipts of packaged fluid milk products at such 
nonpool plant from pool plants;
    (B) Pro rata to any remaining unassigned receipts of packaged fluid 
milk products at such nonpool plant from plants regulated under other 
Federal orders;
    (C) Pro rata to receipts of bulk fluid milk products at such nonpool 
plant from pool plants; and
    (D) Pro rata to any remaining unassigned receipts of bulk fluid milk 
products at such nonpool plant from plants regulated under other Federal 
orders;
    (iii) Any remaining Class I disposition of packaged fluid milk 
products from the nonpool plant shall be assigned to the extent possible 
pro rata to any remaining unassigned receipts of packaged fluid milk 
products at such nonpool plant from pool plants and plants regulated 
under other Federal orders;
    (iv) Transfers of bulk fluid milk products from the nonpool plant to 
a plant regulated under any Federal order, to the extent that such 
transfers to the regulated plant exceed receipts of fluid milk products 
from such plant and are

[[Page 46]]

allocated to Class I at the receiving plant, shall be assigned to the 
extent possible in the following sequence:
    (A) Pro rata to receipts of fluid milk products at such nonpool 
plant from pool plants; and
    (B) Pro rata to any remaining unassigned receipts of fluid milk 
products at such nonpool plant from plants regulated under other Federal 
orders;
    (v) Any remaining unassigned Class I disposition from the nonpool 
plant shall be assigned to the extent possible in the following 
sequence:
    (A) To such nonpool plant's receipts from dairy farmers who the 
market administrator determines constitute regular sources of Grade A 
milk for such nonpool plant; and
    (B) To such nonpool plant's receipts of Grade A milk from plants not 
fully regulated under any Federal order which the market administrator 
determines constitute regular sources of Grade A milk for such nonpool 
plant;
    (vi) Any remaining unassigned receipts of bulk fluid milk products 
at the nonpool plant from pool plants and plants regulated under other 
Federal orders shall be assigned, pro rata among such plants, to the 
extent possible first to any remaining Class I utilization and then to 
all other utilization, in sequence beginning with Class IV at such 
nonpool plant;
    (vii) Receipts of bulk fluid cream products at the nonpool plant 
from pool plants and plants regulated under other Federal orders shall 
be assigned, pro rata among such plants, to the extent possible to any 
remaining utilization, in sequence beginning with Class IV at such 
nonpool plant; and
    (viii) In determining the nonpool plant's utilization for purposes 
of this paragraph, any fluid milk products and bulk fluid cream products 
transferred from such nonpool plant to a plant not fully regulated under 
any Federal order shall be classified on the basis of the second plant's 
utilization using the same assignment priorities at the second plant 
that are set forth in this paragraph.



Sec.  1000.43  General classification rules.

    In determining the classification of producer milk pursuant to Sec.  
1000.44, the following rules shall apply:
    (a) Each month the market administrator shall correct for 
mathematical and other obvious errors all reports filed pursuant to 
Sec.  ----.30 of each Federal milk order and shall compute separately 
for each pool plant, for each handler described in Sec.  1000.9(c) and 
Sec.  1135.11 of this chapter, the pounds of skim milk and butterfat, 
respectively, in each class in accordance with Sec. Sec.  1000.40 and 
1000.42, and paragraph (b) of this section.
    (b) Shrinkage and Overage. For purposes of classifying all milk 
reported by a handler pursuant to Sec.  ----.30 of each Federal milk 
order the market administrator shall determine the shrinkage or overage 
of skim milk and butterfat for each pool plant and each handler 
described in Sec.  1000.9(c) and Sec.  1135.11 of this chapter by 
subtracting total utilization from total receipts. Any positive 
difference shall be shrinkage, and any negative difference shall be 
overage.
    (1) Shrinkage incurred by pool plants qualified pursuant to Sec.  --
--.7 of any Federal milk order shall be assigned to the lowest-priced 
class to the extent that such shrinkage does not exceed:
    (i) Two percent of the total quantity of milk physically received at 
the plant directly from producers' farms on the basis of farm weights 
and tests;
    (ii) Plus 1.5 percent of the quantity of bulk milk physically 
received on a basis other than farm weights and tests, excluding 
concentrated milk received by agreement for other than Class I use;
    (iii) Plus .5 percent of the quantity of milk diverted by the plant 
operator to another plant on a basis other than farm weights and tests; 
and
    (iv) Minus 1.5 percent of the quantity of bulk milk transferred to 
other plants, excluding concentrated milk transferred by agreement for 
other than Class I use.
    (2) A handler described in Sec.  1000.9(c) or Sec.  1135.11 of this 
chapter that delivers milk to plants on a basis other than farm weights 
and tests shall receive a lowest-priced-class shrinkage allowance of .5 
percent of the total quantity of such milk picked up at producers' 
farms.
    (3) Shrinkage in excess of the amounts provided in paragraphs (b)(1)

[[Page 47]]

and (2) of this section shall be assigned to existing utilization in 
series starting with Class I. The shrinkage assigned pursuant to this 
paragraph shall be added to the handler's reported utilization and the 
result shall be known as the gross utilization in each class.
    (c) If any of the water contained in the milk from which a product 
is made is removed before the product is utilized or disposed of by the 
handler, the pounds of skim milk in such product that are to be 
considered under this part as used or disposed of by the handler shall 
be an amount equivalent to the nonfat milk solids contained in such 
product plus all of the water originally associated with such solids.
    (d) Skim milk and butterfat contained in receipts of bulk 
concentrated fluid milk and nonfluid milk products that are 
reconstituted for fluid use shall be assigned to Class I use, up to the 
reconstituted portion of labeled reconstituted fluid milk products, on a 
pro rata basis (except for any Class I use of specific concentrated 
receipts that is established by the handler) prior to any assignments 
under Sec.  1000.44. Any remaining skim milk and butterfat in 
concentrated receipts shall be assigned to uses under Sec.  1000.44 on a 
pro rata basis, unless a specific use of such receipts is established by 
the handler.



Sec.  1000.44  Classification of producer milk.

    For each month the market administrator shall determine for each 
handler described in Sec.  1000.9(a) for each pool plant of the handler 
separately and for each handler described in Sec.  1000.9(c) and Sec.  
1135.11 of this chapter the classification of producer milk by 
allocating the handler's receipts of skim milk and butterfat to the 
handler's gross utilization of such receipts pursuant to Sec.  
1000.43(b)(3) as follows:
    (a) Skim milk shall be allocated in the following manner:
    (1) Subtract from the pounds of skim milk in Class I the pounds of 
skim milk in:
    (i) Receipts of packaged fluid milk products from an unregulated 
supply plant to the extent that an equivalent amount of skim milk 
disposed of to such plant by handlers fully regulated under any Federal 
order is classified and priced as Class I milk and is not used as an 
offset for any other payment obligation under any order;
    (ii) Packaged fluid milk products in inventory at the beginning of 
the month. This paragraph shall apply only if the pool plant was subject 
to the provisions of this paragraph or comparable provisions of another 
Federal order in the immediately preceding month;
    (iii) Fluid milk products received in packaged form from plants 
regulated under other Federal orders; and
    (iv) To the extent that the receipts described in paragraphs 
(a)(1)(i) through (iii) of this section exceed the gross Class I 
utilization of skim milk, the excess receipts shall be subtracted 
pursuant to paragraph (a)(3)(vi) of this section.
    (2) Subtract from the pounds of skim milk in Class II the pounds of 
skim milk in the receipts of skim milk in bulk concentrated fluid milk 
products and in other source milk (except other source milk received in 
the form of an unconcentrated fluid milk product or a fluid cream 
product) that is used to produce, or added to, any product in Class II 
(excluding the quantity of such skim milk that was classified as Class 
IV milk pursuant to Sec.  1000.40(d)(3)). To the extent that the 
receipts described in this paragraph exceed the gross Class II 
utilization of skim milk, the excess receipts shall be subtracted 
pursuant to paragraph (a)(3)(vi) of this section.
    (3) Subtract from the pounds of skim milk remaining in each class, 
in series beginning with Class IV, the pounds of skim milk in:
    (i) Receipts of bulk concentrated fluid milk products and other 
source milk (except other source milk received in the form of an 
unconcentrated fluid milk product);
    (ii) Receipts of fluid milk products and bulk fluid cream products 
for which appropriate health approval is not established and from 
unidentified sources;
    (iii) Receipts of fluid milk products and bulk fluid cream products 
from an exempt plant;
    (iv) Fluid milk products and bulk fluid cream products received from 
a producer-handler as defined under the

[[Page 48]]

order in this part, or any other Federal order;
    (v) Receipts of fluid milk products from dairy farmers for other 
markets; and
    (vi) The excess receipts specified in paragraphs (a)(1)(iv) and 
(a)(2) of this section.
    (4) Subtract from the pounds of skim milk remaining in all classes 
other than Class I, in sequence beginning with Class IV, the receipts of 
fluid milk products from an unregulated supply plant that were not 
previously subtracted in this section for which the handler requests 
classification other than Class I, but not in excess of the pounds of 
skim milk remaining in these other classes combined.
    (5) Subtract from the pounds of skim milk remaining in all classes 
other than Class I, in sequence beginning with Class IV, receipts of 
fluid milk products from an unregulated supply plant that were not 
previously subtracted in this section, and which are in excess of the 
pounds of skim milk determined pursuant to paragraphs (a)(5)(i) and (ii) 
of this section;
    (i) Multiply by 1.25 the pounds of skim milk remaining in Class I at 
this allocation step; and
    (ii) Subtract from the result in paragraph (a)(5)(i) the pounds of 
skim milk in receipts of producer milk and fluid milk products from 
other pool plants.
    (6) Subtract from the pounds of skim milk remaining in all classes 
other than Class I, in sequence beginning with Class IV, the pounds of 
skim milk in receipts of bulk fluid milk products from a handler 
regulated under another Federal order that are in excess of bulk fluid 
milk products transferred or diverted to such handler, if other than 
Class I classification is requested, but not in excess of the pounds of 
skim milk remaining in these classes combined.
    (7) Subtract from the pounds of skim milk remaining in each class, 
in series beginning with Class IV, the pounds of skim milk in fluid milk 
products and bulk fluid cream products in inventory at the beginning of 
the month that were not previously subtracted in this section.
    (8) Subtract from the pounds of skim milk remaining in each class at 
the plant receipts of skim milk in fluid milk products from an 
unregulated supply plant that were not previously subtracted in this 
section and that were not offset by transfers or diversions of fluid 
milk products to the unregulated supply plant from which fluid milk 
products to be allocated at this step were received. Such subtraction 
shall be pro rata to the pounds of skim milk in Class I and in Classes 
II, III, and IV combined, with the quantity prorated to Classes II, III, 
and IV combined being subtracted in sequence beginning with Class IV.
    (9) Subtract from the pounds of skim milk remaining in each class 
the pounds of skim milk in receipts of bulk fluid milk products from a 
handler regulated under another Federal order that are in excess of bulk 
fluid milk products transferred or diverted to such handler that were 
not subtracted in paragraph (a)(6) of this section. Such subtraction 
shall be pro rata to the pounds of skim milk in Class I and in Classes 
II, III, and IV combined, with the quantity prorated to Classes II, III, 
and IV combined being subtracted in sequence beginning with Class IV, 
with respect to whichever of the following quantities represents the 
lower proportion of Class I milk:
    (i) The estimated utilization of skim milk of all handlers in each 
class as announced for the month pursuant to Sec.  1000.45(a); or
    (ii) The total pounds of skim milk remaining in each class at this 
allocation step.
    (10) Subtract from the pounds of skim milk remaining in each class 
the pounds of skim milk in receipts of fluid milk products and bulk 
fluid cream products from another pool plant and from a handler 
described in Sec.  1135.11 of this chapter according to the 
classification of such products pursuant to Sec.  1000.42(a).
    (11) If the total pounds of skim milk remaining in all classes 
exceed the pounds of skim milk in producer milk, subtract such excess 
from the pounds of skim milk remaining in each class in series beginning 
with Class IV.
    (b) Butterfat shall be allocated in accordance with the procedure 
outlined for skim milk in paragraph (a) of this section.

[[Page 49]]

    (c) The quantity of producer milk in each class shall be the 
combined pounds of skim milk and butterfat remaining in each class after 
the computations pursuant to paragraphs (a) and (b) of this section.



Sec.  1000.45  Market administrator's reports and announcements concerning 
classification.

    (a) Whenever required for the purpose of allocating receipts from 
plants regulated under other Federal orders pursuant to Sec.  
1000.44(a)(9) and the corresponding step of Sec.  1000.44(b), the market 
administrator shall estimate and publicly announce the utilization (to 
the nearest whole percentage) in Class I during the month of skim milk 
and butterfat, respectively, in producer milk of all handlers. The 
estimate shall be based upon the most current available data and shall 
be final for such purpose.
    (b) The market administrator shall report to the market 
administrators of other Federal orders as soon as possible after the 
handlers' reports of receipts and utilization are received, the class to 
which receipts from plants regulated under other Federal orders are 
allocated pursuant to Sec. Sec.  1000.43(d) and 1000.44 (including any 
reclassification of inventories of bulk concentrated fluid milk 
products), and thereafter any change in allocation required to correct 
errors disclosed on the verification of such report.
    (c) The market administrator shall furnish each handler operating a 
pool plant and each handler described in Sec.  1135.11 of this chapter 
who has shipped fluid milk products or bulk fluid cream products to a 
plant fully regulated under another Federal order the class to which the 
shipments were allocated by the market administrator of the other 
Federal order on the basis of the report by the receiving handler and, 
as necessary, any changes in the allocation arising from the 
verification of such report.
    (d) The market administrator shall report to each cooperative 
association which so requests, the percentage of producer milk delivered 
by members of the association that was used in each class by each 
handler receiving the milk. For the purpose of this report, the milk so 
received shall be prorated to each class in accordance with the total 
utilization of producer milk by the handler.



                         Subpart G_Class Prices



Sec.  1000.50  Class prices, component prices, and advanced pricing factors.

    Class prices per hundredweight of milk containing 3.5 percent 
butterfat, component prices, and advanced pricing factors shall be as 
follows. The prices and pricing factors described in paragraphs (a), 
(b), (c), (e), (f), and (q) of this section shall be based on a weighted 
average of the most recent 2 weekly prices announced by the National 
Agricultural Statistical Service (NASS) before the 24th day of the 
month. These prices shall be announced on or before the 23rd day of the 
month and shall apply to milk received during the following month. The 
prices described in paragraphs (g) through (p) of this section shall be 
based on a weighted average for the preceding month of weekly prices 
announced by NASS on or before the 5th day of the month and shall apply 
to milk received during the preceding month. The price described in 
paragraph (d) of this section shall be derived from the Class II skim 
milk price announced on or before the 23rd day of the month preceding 
the month to which it applies and the butterfat price announced on or 
before the 5th day of the month following the month to which it applies.
    (a) Class I price. The Class I price per hundredweight, rounded to 
the nearest cent, shall be 0.965 times the Class I skim milk price plus 
3.5 times the Class I butterfat price.
    (b) Class I skim milk price. The Class I skim milk price per 
hundredweight shall be the adjusted Class I differential specified in 
Sec.  1000.52 plus the higher of the advanced pricing factors computed 
in paragraph (q)(1) or (2) of this section.
    (c) Class I butterfat price. The Class I butterfat price per pound 
shall be the adjusted Class I differential specified in Sec.  1000.52 
divided by 100, plus the advanced butterfat price computed in paragraph 
(q)(3) of this section.

[[Page 50]]

    (d) The Class II price per hundredweight, rounded to the nearest 
cent, shall be .965 times the Class II skim milk price plus 3.5 times 
the Class II butterfat price.
    (e) Class II skim milk price. The Class II skim milk price per 
hundredweight shall be the advanced Class IV skim milk price computed in 
paragraph (q)(2) of this section plus 70 cents.
    (f) Class II nonfat solids price. The Class II nonfat solids price 
per pound, rounded to the nearest one-hundredth cent, shall be the Class 
II skim milk price divided by 9.
    (g) Class II butterfat price. The Class II butterfat price per pound 
shall be the butterfat price plus $0.007.
    (h) Class III price. The Class III price per hundredweight, rounded 
to the nearest cent, shall be 0.965 times the Class III skim milk price 
plus 3.5 times the butterfat price.
    (i) Class III skim milk price. The Class III skim milk price per 
hundredweight, rounded to the nearest cent, shall be the protein price 
per pound times 3.1 plus the other solids price per pound times 5.9.
    (j) Class IV price. The Class IV price per hundredweight, rounded to 
the nearest cent, shall be 0.965 times the Class IV skim milk price plus 
3.5 times the butterfat price.
    (k) Class IV skim milk price. The Class IV skim milk price per 
hundredweight, rounded to the nearest cent, shall be the nonfat solids 
price per pound times 9.
    (l) Butterfat price. The butterfat price per pound, rounded to the 
nearest one-hundredth cent, shall be the U.S. average NASS AA Butter 
survey price reported by the Department for the month less 11.5 cents, 
with the result multiplied by 1.20.
    (m) Nonfat solids price. The nonfat solids price per pound, rounded 
to the nearest one-hundredth cent, shall be the U.S. average NASS nonfat 
dry milk survey price reported by the Department for the month less 14 
cents and multiplying the result by 0.99.
    (n) Protein price. The protein price per pound, rounded to the 
nearest one-hundredth cent, shall be computed as follows:
    (1) Compute a weighted average of the amounts described in 
paragraphs (n)(1)(i) and (ii) of this section:
    (i) The U.S. average NASS survey price for 40-lb. block cheese 
reported by the Department for the month; and
    (ii) The U.S. average NASS survey price for 500-pound barrel cheddar 
cheese (38 percent moisture) reported by the Department for the month 
plus 3 cents;
    (2) Subtract 16.5 cents from the price computed pursuant to 
paragraph (n)(1) of this section and multiply the result by 1.383;
    (3) Add to the amount computed pursuant to paragraph (n)(2) of this 
section an amount computed as follows:
    (i) Subtract 16.5 cents from the price computed pursuant to 
paragraph (n)(1) of this section and multiply the result by 1.572; and
    (ii) Subtract 0.9 times the butterfat price computed pursuant to 
paragraph (l) of this section from the amount computed pursuant to 
paragraph (n)(3)(i) of this section; and
    (iii) Multiply the amount computed pursuant to paragraph (n)(3)(ii) 
of this section by 1.17.
    (o) Other solids price. The other solids price per pound, rounded to 
the nearest one-hundredth cent, shall be the U.S. average NASS dry whey 
survey price reported by the Department for the month minus 15.9 cents, 
with the result multiplied by 1.03.
    (p) Somatic cell adjustment. The somatic cell adjustment per 
hundredweight of milk shall be determined as follows:
    (1) Multiply 0.0005 by the weighted average price computed pursuant 
to paragraph (n)(1) of this section and round to the 5th decimal place;
    (2) Subtract the somatic cell count of the milk (reported in 
thousands) from 350; and
    (3) Multiply the amount computed in paragraph (p)(1) of this section 
by the amount computed in paragraph (p)(2) of this section and round to 
the nearest full cent.
    (q) Advanced pricing factors. For the purpose of computing the Class 
I skim milk price, the Class II skim milk price, the Class II nonfat 
solids price, and the Class I butterfat price for the following month, 
the following pricing

[[Page 51]]

factors shall be computed using the weighted average of the 2 most 
recent NASS U.S. average weekly survey prices announced before the 24th 
day of the month:
    (1) An advanced Class III skim milk price per hundredweight, rounded 
to the nearest cent, shall be computed as follows:
    (i) Following the procedure set forth in paragraphs (n) and (o) of 
this section, but using the weighted average of the 2 most recent NASS 
U.S. average weekly survey prices announced before the 24th day of the 
month, compute a protein price and an other solids price;
    (ii) Multiply the protein price computed in paragraph (q)(1)(i) of 
this section by 3.1;
    (iii) Multiply the other solids price per pound computed in 
paragraph (q)(1)(i) of this section by 5.9; and
    (iv) Add the amounts computed in paragraphs (q)(1)(ii) and (iii) of 
this section.
    (2) An advanced Class IV skim milk price per hundredweight, rounded 
to the nearest cent, shall be computed as follows:
    (i) Following the procedure set forth in paragraph (m) of this 
section, but using the weighted average of the 2 most recent NASS U.S. 
average weekly survey prices announced before the 24th day of the month, 
compute a nonfat solids price; and
    (ii) Multiply the nonfat solids price computed in paragraph 
(q)(2)(i) of this section by 9.
    (3) An advanced butterfat price per pound, rounded to the nearest 
one-hundredth cent, shall be calculated by computing a weighted average 
of the 2 most recent U.S. average NASS AA Butter survey prices announced 
before the 24th day of the month, subtracting 11.5 cents from this 
average, and multiplying the result by 1.20.

[64 FR 47899, Sept. 1, 1999, as amended at 65 FR 82833, Dec. 28, 2000; 
68 FR 7064, Feb. 12, 2003]



Sec.  1000.51  [Reserved]



Sec.  1000.52  Adjusted Class I differentials.

    The Class I differential adjusted for location to be used in Sec.  
1000.50(b) and (c) shall be as follows:

------------------------------------------------------------------------
                                                               Class I
                                                     FIPS   differential
       County/parish/city              State         code   adjusted for
                                                              location
------------------------------------------------------------------------
AUTAUGA                          AL...............   01001          3.30
BALDWIN                          AL...............   01003          3.50
BARBOUR                          AL...............   01005          3.45
BIBB                             AL...............   01007          3.10
BLOUNT                           AL...............   01009          3.10
BULLOCK                          AL...............   01011          3.30
BUTLER                           AL...............   01013          3.45
CALHOUN                          AL...............   01015          3.10
CHAMBERS                         AL...............   01017          3.10
CHEROKEE                         AL...............   01019          3.10
CHILTON                          AL...............   01021          3.10
CHOCTAW                          AL...............   01023          3.30
CLARKE                           AL...............   01025          3.45
CLAY                             AL...............   01027          3.10
CLEBURNE                         AL...............   01029          3.10
COFFEE                           AL...............   01031          3.45
COLBERT                          AL...............   01033          2.90
CONECUH                          AL...............   01035          3.45
COOSA                            AL...............   01037          3.10
COVINGTON                        AL...............   01039          3.45
CRENSHAW                         AL...............   01041          3.45
CULLMAN                          AL...............   01043          3.10
DALE                             AL...............   01045          3.45
DALLAS                           AL...............   01047          3.30
DE KALB                          AL...............   01049          2.90
ELMORE                           AL...............   01051          3.30
ESCAMBIA                         AL...............   01053          3.45
ETOWAH                           AL...............   01055          3.10
FAYETTE                          AL...............   01057          3.10
FRANKLIN                         AL...............   01059          2.90
GENEVA                           AL...............   01061          3.45
GREENE                           AL...............   01063          3.10
HALE                             AL...............   01065          3.10
HENRY                            AL...............   01067          3.45
HOUSTON                          AL...............   01069          3.45
JACKSON                          AL...............   01071          2.90
JEFFERSON                        AL...............   01073          3.10
LAMAR                            AL...............   01075          3.10
LAUDERDALE                       AL...............   01077          2.90
LAWRENCE                         AL...............   01079          2.90
LEE                              AL...............   01081          3.30
LIMESTONE                        AL...............   01083          2.90
LOWNDES                          AL...............   01085          3.30
MACON                            AL...............   01087          3.30
MADISON                          AL...............   01089          2.90
MARENGO                          AL...............   01091          3.30
MARION                           AL...............   01093          3.10
MARSHALL                         AL...............   01095          2.90
MOBILE                           AL...............   01097          3.50
MONROE                           AL...............   01099          3.45
MONTGOMERY                       AL...............   01101          3.30
MORGAN                           AL...............   01103          2.90
PERRY                            AL...............   01105          3.10
PICKENS                          AL...............   01107          3.10
PIKE                             AL...............   01109          3.45
RANDOLPH                         AL...............   01111          3.10
RUSSELL                          AL...............   01113          3.30
SHELBY                           AL...............   01117          3.10
ST. CLAIR                        AL...............   01115          3.10
SUMTER                           AL...............   01119          3.10
TALLADEGA                        AL...............   01121          3.10
TALLAPOOSA                       AL...............   01123          3.10
TUSCALOOSA                       AL...............   01125          3.10
WALKER                           AL...............   01127          3.10
WASHINGTON                       AL...............   01129          3.45
WILCOX                           AL...............   01131          3.30
WINSTON                          AL...............   01133          3.10
ARKANSAS                         AR...............   05001          2.90
ASHLEY                           AR...............   05003          3.10
BAXTER                           AR...............   05005          2.60
BENTON                           AR...............   05007          2.60
BOONE                            AR...............   05009          2.60

[[Page 52]]

 
BRADLEY                          AR...............   05011          2.90
CALHOUN                          AR...............   05013          2.90
CARROLL                          AR...............   05015          2.60
CHICOT                           AR...............   05017          3.10
CLARK                            AR...............   05019          2.90
CLAY                             AR...............   05021          2.60
CLEBURNE                         AR...............   05023          2.80
CLEVELAND                        AR...............   05025          2.90
COLUMBIA                         AR...............   05027          3.10
CONWAY                           AR...............   05029          2.80
CRAIGHEAD                        AR...............   05031          2.60
CRAWFORD                         AR...............   05033          2.80
CRITTENDEN                       AR...............   05035          2.80
CROSS                            AR...............   05037          2.80
DALLAS                           AR...............   05039          2.90
DESHA                            AR...............   05041          2.90
DREW                             AR...............   05043          2.90
FAULKNER                         AR...............   05045          2.80
FRANKLIN                         AR...............   05047          2.80
FULTON                           AR...............   05049          2.60
GARLAND                          AR...............   05051          2.80
GRANT                            AR...............   05053          2.90
GREENE                           AR...............   05055          2.60
HEMPSTEAD                        AR...............   05057          2.90
HOT SPRING                       AR...............   05059          2.90
HOWARD                           AR...............   05061          2.90
INDEPENDENCE                     AR...............   05063          2.60
IZARD                            AR...............   05065          2.60
JACKSON                          AR...............   05067          2.60
JEFFERSON                        AR...............   05069          2.90
JOHNSON                          AR...............   05071          2.80
LAFAYETTE                        AR...............   05073          3.10
LAWRENCE                         AR...............   05075          2.60
LEE                              AR...............   05077          2.80
LINCOLN                          AR...............   05079          2.90
LITTLE RIVER                     AR...............   05081          2.90
LOGAN                            AR...............   05083          2.80
LONOKE                           AR...............   05085          2.80
MADISON                          AR...............   05087          2.60
MARION                           AR...............   05089          2.60
MILLER                           AR...............   05091          3.10
MISSISSIPPI                      AR...............   05093          2.60
MONROE                           AR...............   05095          2.80
MONTGOMERY                       AR...............   05097          2.80
NEVADA                           AR...............   05099          2.90
NEWTON                           AR...............   05101          2.60
OUACHITA                         AR...............   05103          2.90
PERRY                            AR...............   05105          2.80
PHILLIPS                         AR...............   05107          2.90
PIKE                             AR...............   05109          2.90
POINSETT                         AR...............   05111          2.60
POLK                             AR...............   05113          2.80
POPE                             AR...............   05115          2.80
PRAIRIE                          AR...............   05117          2.80
PULASKI                          AR...............   05119          2.80
RANDOLPH                         AR...............   05121          2.60
SALINE                           AR...............   05125          2.80
SCOTT                            AR...............   05127          2.80
SEARCY                           AR...............   05129          2.60
SEBASTIAN                        AR...............   05131          2.80
SEVIER                           AR...............   05133          2.90
SHARP                            AR...............   05135          2.60
ST. FRANCIS                      AR...............   05123          2.80
STONE                            AR...............   05137          2.60
UNION                            AR...............   05139          3.10
VAN BUREN                        AR...............   05141          2.80
WASHINGTON                       AR...............   05143          2.60
WHITE                            AR...............   05145          2.80
WOODRUFF                         AR...............   05147          2.80
YELL                             AR...............   05149          2.80
APACHE                           AZ...............   04001          1.90
COCHISE                          AZ...............   04003          2.10
COCONINO                         AZ...............   04005          1.90
GILA                             AZ...............   04007          2.10
GRAHAM                           AZ...............   04009          2.10
GREENLEE                         AZ...............   04011          2.10
LA PAZ                           AZ...............   04012          2.10
MARICOPA                         AZ...............   04013          2.35
MOHAVE                           AZ...............   04015          1.90
NAVAJO                           AZ...............   04017          1.90
PIMA                             AZ...............   04019          2.35
PINAL                            AZ...............   04021          2.35
SANTA CRUZ                       AZ...............   04023          2.10
YAVAPAI                          AZ...............   04025          1.90
YUMA                             AZ...............   04027          2.10
ALAMEDA                          CA...............   06001          1.80
ALPINE                           CA...............   06003          1.70
AMADOR                           CA...............   06005          1.70
BUTTE                            CA...............   06007          1.70
CALAVERAS                        CA...............   06009          1.70
COLUSA                           CA...............   06011          1.70
CONTRA COSTA                     CA...............   06013          1.80
DEL NORTE                        CA...............   06015          1.80
EL DORADO                        CA...............   06017          1.70
FRESNO                           CA...............   06019          1.60
GLENN                            CA...............   06021          1.70
HUMBOLDT                         CA...............   06023          1.80
IMPERIAL                         CA...............   06025          2.00
INYO                             CA...............   06027          1.60
KERN                             CA...............   06029          1.80
KINGS                            CA...............   06031          1.60
LAKE                             CA...............   06033          1.80
LASSEN                           CA...............   06035          1.70
LOS ANGELES                      CA...............   06037          2.10
MADERA                           CA...............   06039          1.60
MARIN                            CA...............   06041          1.80
MARIPOSA                         CA...............   06043          1.70
MENDOCINO                        CA...............   06045          1.80
MERCED                           CA...............   06047          1.70
MODOC                            CA...............   06049          1.70
MONO                             CA...............   06051          1.60
MONTEREY                         CA...............   06053          1.80
NAPA                             CA...............   06055          1.80
NEVADA                           CA...............   06057          1.70
ORANGE                           CA...............   06059          2.10
PLACER                           CA...............   06061          1.70
PLUMAS                           CA...............   06063          1.70
RIVERSIDE                        CA...............   06065          2.00
SACRAMENTO                       CA...............   06067          1.70
SAN BENITO                       CA...............   06069          1.80
SAN BERNARDINO                   CA...............   06071          1.80
SAN DIEGO                        CA...............   06073          2.10
SAN FRANCISCO                    CA...............   06075          1.80
SAN JOAQUIN                      CA...............   06077          1.70
SAN LUIS OBISPO                  CA...............   06079          1.80
SAN MATEO                        CA...............   06081          1.80
SANTA BARBARA                    CA...............   06083          1.80
SANTA CLARA                      CA...............   06085          1.80
SANTA CRUZ                       CA...............   06087          1.80
SHASTA                           CA...............   06089          1.70
SIERRA                           CA...............   06091          1.70
SISKIYOU                         CA...............   06093          1.80
SOLANO                           CA...............   06095          1.80
SONOMA                           CA...............   06097          1.80
STANISLAUS                       CA...............   06099          1.70
SUTTER                           CA...............   06101          1.70
TEHAMA                           CA...............   06103          1.70
TRINITY                          CA...............   06105          1.80
TULARE                           CA...............   06107          1.60
TUOLUMNE                         CA...............   06109          1.70
VENTURA                          CA...............   06111          1.80
YOLO                             CA...............   06113          1.70
YUBA                             CA...............   06115          1.70
ADAMS                            CO...............   08001          2.55

[[Page 53]]

 
ALAMOSA                          CO...............   08003          1.90
ARAPAHOE                         CO...............   08005          2.55
ARCHULETA                        CO...............   08007          1.90
BACA                             CO...............   08009          2.35
BENT                             CO...............   08011          2.35
BOULDER                          CO...............   08013          2.45
BROOMFIELD                       CO...............   08014          2.45
CHAFFEE                          CO...............   08015          1.90
CHEYENNE                         CO...............   08017          2.35
CLEAR CREEK                      CO...............   08019          2.45
CONEJOS                          CO...............   08021          1.90
COSTILLA                         CO...............   08023          1.90
CROWLEY                          CO...............   08025          2.45
CUSTER                           CO...............   08027          2.45
DELTA                            CO...............   08029          2.00
DENVER                           CO...............   08031          2.55
DOLORES                          CO...............   08033          1.90
DOUGLAS                          CO...............   08035          2.55
EAGLE                            CO...............   08037          1.90
EL PASO                          CO...............   08041          2.55
ELBERT                           CO...............   08039          2.45
FREMONT                          CO...............   08043          2.45
GARFIELD                         CO...............   08045          2.00
GILPIN                           CO...............   08047          2.45
GRAND                            CO...............   08049          1.90
GUNNISON                         CO...............   08051          1.90
HINSDALE                         CO...............   08053          1.90
HUERFANO                         CO...............   08055          2.45
JACKSON                          CO...............   08057          1.90
JEFFERSON                        CO...............   08059          2.55
KIOWA                            CO...............   08061          2.35
KIT CARSON                       CO...............   08063          2.35
LA PLATA                         CO...............   08067          1.90
LAKE                             CO...............   08065          1.90
LARIMER                          CO...............   08069          2.45
LAS ANIMAS                       CO...............   08071          2.35
LINCOLN                          CO...............   08073          2.45
LOGAN                            CO...............   08075          2.35
MESA                             CO...............   08077          2.00
MINERAL                          CO...............   08079          1.90
MOFFAT                           CO...............   08081          1.90
MONTEZUMA                        CO...............   08083          1.90
MONTROSE                         CO...............   08085          2.00
MORGAN                           CO...............   08087          2.35
OTERO                            CO...............   08089          2.45
OURAY                            CO...............   08091          1.90
PARK                             CO...............   08093          2.45
PHILLIPS                         CO...............   08095          2.35
PITKIN                           CO...............   08097          1.90
PROWERS                          CO...............   08099          2.35
PUEBLO                           CO...............   08101          2.45
RIO BLANCO                       CO...............   08103          1.90
RIO GRANDE                       CO...............   08105          1.90
ROUTT                            CO...............   08107          1.90
SAGUACHE                         CO...............   08109          1.90
SAN JUAN                         CO...............   08111          1.90
SAN MIGUEL                       CO...............   08113          1.90
SEDGWICK                         CO...............   08115          2.35
SUMMIT                           CO...............   08117          1.90
TELLER                           CO...............   08119          2.45
WASHINGTON                       CO...............   08121          2.35
WELD                             CO...............   08123          2.45
YUMA                             CO...............   08125          2.35
FAIRFIELD                        CT...............   09001          3.15
HARTFORD                         CT...............   09003          3.15
LITCHFIELD                       CT...............   09005          3.00
MIDDLESEX                        CT...............   09007          3.15
NEW HAVEN                        CT...............   09009          3.15
NEW LONDON                       CT...............   09011          3.15
TOLLAND                          CT...............   09013          3.15
WINDHAM                          CT...............   09015          3.15
DISTRICT OF COLUMBIA             DC...............   11001          3.00
KENT                             DE...............   10001          3.05
NEW CASTLE                       DE...............   10003          3.05
SUSSEX                           DE...............   10005          3.05
ALACHUA                          FL...............   12001          3.70
BAKER                            FL...............   12003          3.70
BAY                              FL...............   12005          3.70
BRADFORD                         FL...............   12007          3.70
BREVARD                          FL...............   12009          4.00
BROWARD                          FL...............   12011          4.30
CALHOUN                          FL...............   12013          3.70
CHARLOTTE                        FL...............   12015          4.30
CITRUS                           FL...............   12017          4.00
CLAY                             FL...............   12019          3.70
COLLIER                          FL...............   12021          4.30
COLUMBIA                         FL...............   12023          3.70
DADE                             FL...............   12025          4.30
DE SOTO                          FL...............   12027          4.00
DIXIE                            FL...............   12029          3.70
DUVAL                            FL...............   12031          3.70
ESCAMBIA                         FL...............   12033          3.45
FLAGLER                          FL...............   12035          4.00
FRANKLIN                         FL...............   12037          3.70
GADSDEN                          FL...............   12039          3.70
GILCHRIST                        FL...............   12041          3.70
GLADES                           FL...............   12043          4.30
GULF                             FL...............   12045          3.70
HAMILTON                         FL...............   12047          3.70
HARDEE                           FL...............   12049          4.00
HENDRY                           FL...............   12051          4.30
HERNANDO                         FL...............   12053          4.00
HIGHLANDS                        FL...............   12055          4.00
HILLSBOROUGH                     FL...............   12057          4.00
HOLMES                           FL...............   12059          3.70
INDIAN RIVER                     FL...............   12061          4.00
JACKSON                          FL...............   12063          3.70
JEFFERSON                        FL...............   12065          3.70
LAFAYETTE                        FL...............   12067          3.70
LAKE                             FL...............   12069          4.00
LEE                              FL...............   12071          4.30
LEON                             FL...............   12073          3.70
LEVY                             FL...............   12075          4.00
LIBERTY                          FL...............   12077          3.70
MADISON                          FL...............   12079          3.70
MANATEE                          FL...............   12081          4.00
MARION                           FL...............   12083          4.00
MARTIN                           FL...............   12085          4.30
MONROE                           FL...............   12087          4.30
NASSAU                           FL...............   12089          3.70
OKALOOSA                         FL...............   12091          3.45
OKEECHOBEE                       FL...............   12093          4.00
ORANGE                           FL...............   12095          4.00
OSCEOLA                          FL...............   12097          4.00
PALM BEACH                       FL...............   12099          4.30
PASCO                            FL...............   12101          4.00
PINELLAS                         FL...............   12103          4.00
POLK                             FL...............   12105          4.00
PUTNAM                           FL...............   12107          3.70
SANTA ROSA                       FL...............   12113          3.45
SARASOTA                         FL...............   12115          4.00
SEMINOLE                         FL...............   12117          4.00
ST. JOHNS                        FL...............   12109          3.70
ST. LUCIE                        FL...............   12111          4.00
SUMTER                           FL...............   12119          4.00
SUWANNEE                         FL...............   12121          3.70
TAYLOR                           FL...............   12123          3.70
UNION                            FL...............   12125          3.70
VOLUSIA                          FL...............   12127          4.00
WAKULLA                          FL...............   12129          3.70
WALTON                           FL...............   12131          3.45
WASHINGTON                       FL...............   12133          3.70
APPLING                          GA...............   13001          3.45
ATKINSON                         GA...............   13003          3.45

[[Page 54]]

 
BACON                            GA...............   13005          3.45
BAKER                            GA...............   13007          3.45
BALDWIN                          GA...............   13009          3.10
BANKS                            GA...............   13011          3.10
BARROW                           GA...............   13013          3.10
BARTOW                           GA...............   13015          3.10
BEN HILL                         GA...............   13017          3.45
BERRIEN                          GA...............   13019          3.45
BIBB                             GA...............   13021          3.30
BLECKLEY                         GA...............   13023          3.30
BRANTLEY                         GA...............   13025          3.45
BROOKS                           GA...............   13027          3.45
BRYAN                            GA...............   13029          3.45
BULLOCH                          GA...............   13031          3.30
BURKE                            GA...............   13033          3.30
BUTTS                            GA...............   13035          3.10
CALHOUN                          GA...............   13037          3.45
CAMDEN                           GA...............   13039          3.45
CANDLER                          GA...............   13043          3.30
CARROLL                          GA...............   13045          3.10
CATOOSA                          GA...............   13047          2.80
CHARLTON                         GA...............   13049          3.45
CHATHAM                          GA...............   13051          3.45
CHATTAHOOCHEE                    GA...............   13053          3.30
CHATTOOGA                        GA...............   13055          2.80
CHEROKEE                         GA...............   13057          3.10
CLARKE                           GA...............   13059          3.10
CLAY                             GA...............   13061          3.45
CLAYTON                          GA...............   13063          3.10
CLINCH                           GA...............   13065          3.45
COBB                             GA...............   13067          3.10
COFFEE                           GA...............   13069          3.45
COLQUITT                         GA...............   13071          3.45
COLUMBIA                         GA...............   13073          3.10
COOK                             GA...............   13075          3.45
COWETA                           GA...............   13077          3.10
CRAWFORD                         GA...............   13079          3.30
CRISP                            GA...............   13081          3.45
DADE                             GA...............   13083          2.80
DAWSON                           GA...............   13085          3.10
DE KALB                          GA...............   13089          3.10
DECATUR                          GA...............   13087          3.45
DODGE                            GA...............   13091          3.45
DOOLY                            GA...............   13093          3.45
DOUGHERTY                        GA...............   13095          3.45
DOUGLAS                          GA...............   13097          3.10
EARLY                            GA...............   13099          3.45
ECHOLS                           GA...............   13101          3.45
EFFINGHAM                        GA...............   13103          3.30
ELBERT                           GA...............   13105          3.10
EMANUEL                          GA...............   13107          3.30
EVANS                            GA...............   13109          3.45
FANNIN                           GA...............   13111          2.80
FAYETTE                          GA...............   13113          3.10
FLOYD                            GA...............   13115          3.10
FORSYTH                          GA...............   13117          3.10
FRANKLIN                         GA...............   13119          3.10
FULTON                           GA...............   13121          3.10
GILMER                           GA...............   13123          3.10
GLASCOCK                         GA...............   13125          3.10
GLYNN                            GA...............   13127          3.45
GORDON                           GA...............   13129          3.10
GRADY                            GA...............   13131          3.45
GREENE                           GA...............   13133          3.10
GWINNETT                         GA...............   13135          3.10
HABERSHAM                        GA...............   13137          3.10
HALL                             GA...............   13139          3.10
HANCOCK                          GA...............   13141          3.10
HARALSON                         GA...............   13143          3.10
HARRIS                           GA...............   13145          3.30
HART                             GA...............   13147          3.10
HEARD                            GA...............   13149          3.10
HENRY                            GA...............   13151          3.10
HOUSTON                          GA...............   13153          3.30
IRWIN                            GA...............   13155          3.45
JACKSON                          GA...............   13157          3.10
JASPER                           GA...............   13159          3.10
JEFF DAVIS                       GA...............   13161          3.45
JEFFERSON                        GA...............   13163          3.30
JENKINS                          GA...............   13165          3.30
JOHNSON                          GA...............   13167          3.30
JONES                            GA...............   13169          3.10
LAMAR                            GA...............   13171          3.10
LANIER                           GA...............   13173          3.45
LAURENS                          GA...............   13175          3.30
LEE                              GA...............   13177          3.45
LIBERTY                          GA...............   13179          3.45
LINCOLN                          GA...............   13181          3.10
LONG                             GA...............   13183          3.45
LOWNDES                          GA...............   13185          3.45
LUMPKIN                          GA...............   13187          3.10
MACON                            GA...............   13193          3.30
MADISON                          GA...............   13195          3.10
MARION                           GA...............   13197          3.30
MCDUFFIE                         GA...............   13189          3.10
MCINTOSH                         GA...............   13191          3.45
MERIWETHER                       GA...............   13199          3.10
MILLER                           GA...............   13201          3.45
MITCHELL                         GA...............   13205          3.45
MONROE                           GA...............   13207          3.10
MONTGOMERY                       GA...............   13209          3.45
MORGAN                           GA...............   13211          3.10
MURRAY                           GA...............   13213          2.80
MUSCOGEE                         GA...............   13215          3.30
NEWTON                           GA...............   13217          3.10
OCONEE                           GA...............   13219          3.10
OGLETHORPE                       GA...............   13221          3.10
PAULDING                         GA...............   13223          3.10
PEACH                            GA...............   13225          3.30
PICKENS                          GA...............   13227          3.10
PIERCE                           GA...............   13229          3.45
PIKE                             GA...............   13231          3.10
POLK                             GA...............   13233          3.10
PULASKI                          GA...............   13235          3.45
PUTNAM                           GA...............   13237          3.10
QUITMAN                          GA...............   13239          3.45
RABUN                            GA...............   13241          3.10
RANDOLPH                         GA...............   13243          3.45
RICHMOND                         GA...............   13245          3.30
ROCKDALE                         GA...............   13247          3.10
SCHLEY                           GA...............   13249          3.30
SCREVEN                          GA...............   13251          3.30
SEMINOLE                         GA...............   13253          3.45
SPALDING                         GA...............   13255          3.10
STEPHENS                         GA...............   13257          3.10
STEWART                          GA...............   13259          3.45
SUMTER                           GA...............   13261          3.45
TALBOT                           GA...............   13263          3.30
TALIAFERRO                       GA...............   13265          3.10
TATTNALL                         GA...............   13267          3.45
TAYLOR                           GA...............   13269          3.30
TELFAIR                          GA...............   13271          3.45
TERRELL                          GA...............   13273          3.45
THOMAS                           GA...............   13275          3.45
TIFT                             GA...............   13277          3.45
TOOMBS                           GA...............   13279          3.45
TOWNS                            GA...............   13281          3.10
TREUTLEN                         GA...............   13283          3.30
TROUP                            GA...............   13285          3.10
TURNER                           GA...............   13287          3.45
TWIGGS                           GA...............   13289          3.30
UNION                            GA...............   13291          3.10
UPSON                            GA...............   13293          3.10
WALKER                           GA...............   13295          2.80

[[Page 55]]

 
WALTON                           GA...............   13297          3.10
WARE                             GA...............   13299          3.45
WARREN                           GA...............   13301          3.10
WASHINGTON                       GA...............   13303          3.30
WAYNE                            GA...............   13305          3.45
WEBSTER                          GA...............   13307          3.45
WHEELER                          GA...............   13309          3.45
WHITE                            GA...............   13311          3.10
WHITFIELD                        GA...............   13313          2.80
WILCOX                           GA...............   13315          3.45
WILKES                           GA...............   13317          3.10
WILKINSON                        GA...............   13319          3.30
WORTH                            GA...............   13321          3.45
ADAIR                            IA...............   19001          1.80
ADAMS                            IA...............   19003          1.80
ALLAMAKEE                        IA...............   19005          1.75
APPANOOSE                        IA...............   19007          1.80
AUDUBON                          IA...............   19009          1.80
BENTON                           IA...............   19011          1.80
BLACK HAWK                       IA...............   19013          1.75
BOONE                            IA...............   19015          1.80
BREMER                           IA...............   19017          1.75
BUCHANAN                         IA...............   19019          1.75
BUENA VISTA                      IA...............   19021          1.75
BUTLER                           IA...............   19023          1.75
CALHOUN                          IA...............   19025          1.75
CARROLL                          IA...............   19027          1.80
CASS                             IA...............   19029          1.80
CEDAR                            IA...............   19031          1.80
CERRO GORDO                      IA...............   19033          1.75
CHEROKEE                         IA...............   19035          1.75
CHICKASAW                        IA...............   19037          1.75
CLARKE                           IA...............   19039          1.80
CLAY                             IA...............   19041          1.75
CLAYTON                          IA...............   19043          1.75
CLINTON                          IA...............   19045          1.80
CRAWFORD                         IA...............   19047          1.80
DALLAS                           IA...............   19049          1.80
DAVIS                            IA...............   19051          1.80
DECATUR                          IA...............   19053          1.80
DELAWARE                         IA...............   19055          1.75
DES MOINES                       IA...............   19057          1.80
DICKINSON                        IA...............   19059          1.75
DUBUQUE                          IA...............   19061          1.75
EMMET                            IA...............   19063          1.75
FAYETTE                          IA...............   19065          1.75
FLOYD                            IA...............   19067          1.75
FRANKLIN                         IA...............   19069          1.75
FREMONT                          IA...............   19071          1.85
GREENE                           IA...............   19073          1.80
GRUNDY                           IA...............   19075          1.75
GUTHRIE                          IA...............   19077          1.80
HAMILTON                         IA...............   19079          1.75
HANCOCK                          IA...............   19081          1.75
HARDIN                           IA...............   19083          1.75
HARRISON                         IA...............   19085          1.80
HENRY                            IA...............   19087          1.80
HOWARD                           IA...............   19089          1.75
HUMBOLDT                         IA...............   19091          1.75
IDA                              IA...............   19093          1.75
IOWA                             IA...............   19095          1.80
JACKSON                          IA...............   19097          1.80
JASPER                           IA...............   19099          1.80
JEFFERSON                        IA...............   19101          1.80
JOHNSON                          IA...............   19103          1.80
JONES                            IA...............   19105          1.80
KEOKUK                           IA...............   19107          1.80
KOSSUTH                          IA...............   19109          1.75
LEE                              IA...............   19111          1.80
LINN                             IA...............   19113          1.80
LOUISA                           IA...............   19115          1.80
LUCAS                            IA...............   19117          1.80
LYON                             IA...............   19119          1.75
MADISON                          IA...............   19121          1.80
MAHASKA                          IA...............   19123          1.80
MARION                           IA...............   19125          1.80
MARSHALL                         IA...............   19127          1.80
MILLS                            IA...............   19129          1.85
MITCHELL                         IA...............   19131          1.75
MONONA                           IA...............   19133          1.80
MONROE                           IA...............   19135          1.80
MONTGOMERY                       IA...............   19137          1.80
MUSCATINE                        IA...............   19139          1.80
O'BRIEN                          IA...............   19141          1.75
OSCEOLA                          IA...............   19143          1.75
PAGE                             IA...............   19145          1.80
PALO ALTO                        IA...............   19147          1.75
PLYMOUTH                         IA...............   19149          1.75
POCAHONTAS                       IA...............   19151          1.75
POLK                             IA...............   19153          1.80
POTTAWATTAMIE                    IA...............   19155          1.85
POWESHIEK                        IA...............   19157          1.80
RINGGOLD                         IA...............   19159          1.80
SAC                              IA...............   19161          1.75
SCOTT                            IA...............   19163          1.80
SHELBY                           IA...............   19165          1.80
SIOUX                            IA...............   19167          1.75
STORY                            IA...............   19169          1.80
TAMA                             IA...............   19171          1.80
TAYLOR                           IA...............   19173          1.80
UNION                            IA...............   19175          1.80
VAN BUREN                        IA...............   19177          1.80
WAPELLO                          IA...............   19179          1.80
WARREN                           IA...............   19181          1.80
WASHINGTON                       IA...............   19183          1.80
WAYNE                            IA...............   19185          1.80
WEBSTER                          IA...............   19187          1.75
WINNEBAGO                        IA...............   19189          1.75
WINNESHIEK                       IA...............   19191          1.75
WOODBURY                         IA...............   19193          1.75
WORTH                            IA...............   19195          1.75
WRIGHT                           IA...............   19197          1.75
ADA                              ID...............   16001          1.60
ADAMS                            ID...............   16003          1.60
BANNOCK                          ID...............   16005          1.60
BEAR LAKE                        ID...............   16007          1.60
BENEWAH                          ID...............   16009          1.90
BINGHAM                          ID...............   16011          1.60
BLAINE                           ID...............   16013          1.60
BOISE                            ID...............   16015          1.60
BONNER                           ID...............   16017          1.90
BONNEVILLE                       ID...............   16019          1.60
BOUNDARY                         ID...............   16021          1.90
BUTTE                            ID...............   16023          1.60
CAMAS                            ID...............   16025          1.60
CANYON                           ID...............   16027          1.60
CARIBOU                          ID...............   16029          1.60
CASSIA                           ID...............   16031          1.60
CLARK                            ID...............   16033          1.60
CLEARWATER                       ID...............   16035          1.60
CUSTER                           ID...............   16037          1.60
ELMORE                           ID...............   16039          1.60
FRANKLIN                         ID...............   16041          1.60
FREMONT                          ID...............   16043          1.60
GEM                              ID...............   16045          1.60
GOODING                          ID...............   16047          1.60
IDAHO                            ID...............   16049          1.60
JEFFERSON                        ID...............   16051          1.60
JEROME                           ID...............   16053          1.60
KOOTENAI                         ID...............   16055          1.90
LATAH                            ID...............   16057          1.90
LEMHI                            ID...............   16059          1.60
LEWIS                            ID...............   16061          1.60
LINCOLN                          ID...............   16063          1.60

[[Page 56]]

 
MADISON                          ID...............   16065          1.60
MINIDOKA                         ID...............   16067          1.60
NEZ PERCE                        ID...............   16069          1.60
ONEIDA                           ID...............   16071          1.60
OWYHEE                           ID...............   16073          1.60
PAYETTE                          ID...............   16075          1.60
POWER                            ID...............   16077          1.60
SHOSHONE                         ID...............   16079          1.90
TETON                            ID...............   16081          1.60
TWIN FALLS                       ID...............   16083          1.60
VALLEY                           ID...............   16085          1.60
WASHINGTON                       ID...............   16087          1.60
ADAMS                            IL...............   17001          1.80
ALEXANDER                        IL...............   17003          2.20
BOND                             IL...............   17005          2.00
BOONE                            IL...............   17007          1.75
BROWN                            IL...............   17009          1.80
BUREAU                           IL...............   17011          1.80
CALHOUN                          IL...............   17013          2.00
CARROLL                          IL...............   17015          1.80
CASS                             IL...............   17017          1.80
CHAMPAIGN                        IL...............   17019          1.80
CHRISTIAN                        IL...............   17021          2.00
CLARK                            IL...............   17023          2.00
CLAY                             IL...............   17025          2.00
CLINTON                          IL...............   17027          2.00
COLES                            IL...............   17029          2.00
COOK                             IL...............   17031          1.80
CRAWFORD                         IL...............   17033          2.00
CUMBERLAND                       IL...............   17035          2.00
DE KALB                          IL...............   17037          1.80
DE WITT                          IL...............   17039          1.80
DOUGLAS                          IL...............   17041          2.00
DU PAGE                          IL...............   17043          1.80
EDGAR                            IL...............   17045          2.00
EDWARDS                          IL...............   17047          2.20
EFFINGHAM                        IL...............   17049          2.00
FAYETTE                          IL...............   17051          2.00
FORD                             IL...............   17053          1.80
FRANKLIN                         IL...............   17055          2.20
FULTON                           IL...............   17057          1.80
GALLATIN                         IL...............   17059          2.20
GREENE                           IL...............   17061          2.00
GRUNDY                           IL...............   17063          1.80
HAMILTON                         IL...............   17065          2.20
HANCOCK                          IL...............   17067          1.80
HARDIN                           IL...............   17069          2.20
HENDERSON                        IL...............   17071          1.80
HENRY                            IL...............   17073          1.80
IROQUOIS                         IL...............   17075          1.80
JACKSON                          IL...............   17077          2.20
JASPER                           IL...............   17079          2.00
JEFFERSON                        IL...............   17081          2.00
JERSEY                           IL...............   17083          2.00
JO DAVIESS                       IL...............   17085          1.75
JOHNSON                          IL...............   17087          2.20
KANE                             IL...............   17089          1.80
KANKAKEE                         IL...............   17091          1.80
KENDALL                          IL...............   17093          1.80
KNOX                             IL...............   17095          1.80
LA SALLE                         IL...............   17099          1.80
LAKE                             IL...............   17097          1.80
LAWRENCE                         IL...............   17101          2.00
LEE                              IL...............   17103          1.80
LIVINGSTON                       IL...............   17105          1.80
LOGAN                            IL...............   17107          1.80
MACON                            IL...............   17115          1.80
MACOUPIN                         IL...............   17117          2.00
MADISON                          IL...............   17119          2.00
MARION                           IL...............   17121          2.00
MARSHALL                         IL...............   17123          1.80
MASON                            IL...............   17125          1.80
MASSAC                           IL...............   17127          2.20
MCDONOUGH                        IL...............   17109          1.80
MCHENRY                          IL...............   17111          1.80
MCLEAN                           IL...............   17113          1.80
MENARD                           IL...............   17129          1.80
MERCER                           IL...............   17131          1.80
MONROE                           IL...............   17133          2.00
MONTGOMERY                       IL...............   17135          2.00
MORGAN                           IL...............   17137          1.80
MOULTRIE                         IL...............   17139          2.00
OGLE                             IL...............   17141          1.80
PEORIA                           IL...............   17143          1.80
PERRY                            IL...............   17145          2.00
PIATT                            IL...............   17147          1.80
PIKE                             IL...............   17149          1.80
POPE                             IL...............   17151          2.20
PULASKI                          IL...............   17153          2.20
PUTNAM                           IL...............   17155          1.80
RANDOLPH                         IL...............   17157          2.00
RICHLAND                         IL...............   17159          2.00
ROCK ISLAND                      IL...............   17161          1.80
SALINE                           IL...............   17165          2.20
SANGAMON                         IL...............   17167          1.80
SCHUYLER                         IL...............   17169          1.80
SCOTT                            IL...............   17171          1.80
SHELBY                           IL...............   17173          2.00
ST. CLAIR                        IL...............   17163          2.00
STARK                            IL...............   17175          1.80
STEPHENSON                       IL...............   17177          1.75
TAZEWELL                         IL...............   17179          1.80
UNION                            IL...............   17181          2.20
VERMILION                        IL...............   17183          1.80
WABASH                           IL...............   17185          2.20
WARREN                           IL...............   17187          1.80
WASHINGTON                       IL...............   17189          2.00
WAYNE                            IL...............   17191          2.20
WHITE                            IL...............   17193          2.20
WHITESIDE                        IL...............   17195          1.80
WILL                             IL...............   17197          1.80
WILLIAMSON                       IL...............   17199          2.20
WINNEBAGO                        IL...............   17201          1.75
WOODFORD                         IL...............   17203          1.80
ADAMS                            IN...............   18001          1.80
ALLEN                            IN...............   18003          1.80
BARTHOLOMEW                      IN...............   18005          2.20
BENTON                           IN...............   18007          1.80
BLACKFORD                        IN...............   18009          1.80
BOONE                            IN...............   18011          2.00
BROWN                            IN...............   18013          2.20
CARROLL                          IN...............   18015          1.80
CASS                             IN...............   18017          1.80
CLARK                            IN...............   18019          2.20
CLAY                             IN...............   18021          2.00
CLINTON                          IN...............   18023          1.80
CRAWFORD                         IN...............   18025          2.20
DAVIESS                          IN...............   18027          2.20
DEKALB                           IN...............   18033          1.80
DEARBORN                         IN...............   18029          2.20
DECATUR                          IN...............   18031          2.20
DELAWARE                         IN...............   18035          2.00
DUBOIS                           IN...............   18037          2.20
ELKHART                          IN...............   18039          1.80
FAYETTE                          IN...............   18041          2.00
FLOYD                            IN...............   18043          2.20
FOUNTAIN                         IN...............   18045          1.80
FRANKLIN                         IN...............   18047          2.00
FULTON                           IN...............   18049          1.80
GIBSON                           IN...............   18051          2.20
GRANT                            IN...............   18053          1.80
GREENE                           IN...............   18055          2.20
HAMILTON                         IN...............   18057          2.00
HANCOCK                          IN...............   18059          2.00

[[Page 57]]

 
HARRISON                         IN...............   18061          2.20
HENDRICKS                        IN...............   18063          2.00
HENRY                            IN...............   18065          2.00
HOWARD                           IN...............   18067          1.80
HUNTINGTON                       IN...............   18069          1.80
JACKSON                          IN...............   18071          2.20
JASPER                           IN...............   18073          1.80
JAY                              IN...............   18075          1.80
JEFFERSON                        IN...............   18077          2.20
JENNINGS                         IN...............   18079          2.20
JOHNSON                          IN...............   18081          2.00
KNOX                             IN...............   18083          2.20
KOSCIUSKO                        IN...............   18085          1.80
LA PORTE                         IN...............   18091          1.80
LAGRANGE                         IN...............   18087          1.80
LAKE                             IN...............   18089          1.80
LAWRENCE                         IN...............   18093          2.20
MADISON                          IN...............   18095          2.00
MARION                           IN...............   18097          2.00
MARSHALL                         IN...............   18099          1.80
MARTIN                           IN...............   18101          2.20
MIAMI                            IN...............   18103          1.80
MONROE                           IN...............   18105          2.20
MONTGOMERY                       IN...............   18107          2.00
MORGAN                           IN...............   18109          2.00
NEWTON                           IN...............   18111          1.80
NOBLE                            IN...............   18113          1.80
OHIO                             IN...............   18115          2.20
ORANGE                           IN...............   18117          2.20
OWEN                             IN...............   18119          2.00
PARKE                            IN...............   18121          2.00
PERRY                            IN...............   18123          2.20
PIKE                             IN...............   18125          2.20
PORTER                           IN...............   18127          1.80
POSEY                            IN...............   18129          2.20
PULASKI                          IN...............   18131          1.80
PUTNAM                           IN...............   18133          2.00
RANDOLPH                         IN...............   18135          2.00
RIPLEY                           IN...............   18137          2.20
RUSH                             IN...............   18139          2.00
SCOTT                            IN...............   18143          2.20
SHELBY                           IN...............   18145          2.00
SPENCER                          IN...............   18147          2.20
ST. JOSEPH                       IN...............   18141          1.80
STARKE                           IN...............   18149          1.80
STEUBEN                          IN...............   18151          1.80
SULLIVAN                         IN...............   18153          2.20
SWITZERLAND                      IN...............   18155          2.20
TIPPECANOE                       IN...............   18157          1.80
TIPTON                           IN...............   18159          1.80
UNION                            IN...............   18161          2.00
VANDERBURGH                      IN...............   18163          2.20
VERMILLION                       IN...............   18165          2.00
VIGO                             IN...............   18167          2.00
WABASH                           IN...............   18169          1.80
WARREN                           IN...............   18171          1.80
WARRICK                          IN...............   18173          2.20
WASHINGTON                       IN...............   18175          2.20
WAYNE                            IN...............   18177          2.00
WELLS                            IN...............   18179          1.80
WHITE                            IN...............   18181          1.80
WHITLEY                          IN...............   18183          1.80
ALLEN                            KS...............   20001          2.20
ANDERSON                         KS...............   20003          2.00
ATCHISON                         KS...............   20005          2.00
BARBER                           KS...............   20007          2.20
BARTON                           KS...............   20009          2.20
BOURBON                          KS...............   20011          2.20
BROWN                            KS...............   20013          2.00
BUTLER                           KS...............   20015          2.20
CHASE                            KS...............   20017          2.20
CHAUTAUQUA                       KS...............   20019          2.20
CHEROKEE                         KS...............   20021          2.20
CHEYENNE                         KS...............   20023          2.20
CLARK                            KS...............   20025          2.20
CLAY                             KS...............   20027          2.00
CLOUD                            KS...............   20029          2.00
COFFEY                           KS...............   20031          2.00
COMANCHE                         KS...............   20033          2.20
COWLEY                           KS...............   20035          2.20
CRAWFORD                         KS...............   20037          2.20
DECATUR                          KS...............   20039          2.00
DICKINSON                        KS...............   20041          2.00
DONIPHAN                         KS...............   20043          2.00
DOUGLAS                          KS...............   20045          2.00
EDWARDS                          KS...............   20047          2.20
ELK                              KS...............   20049          2.20
ELLIS                            KS...............   20051          2.00
ELLSWORTH                        KS...............   20053          2.00
FINNEY                           KS...............   20055          2.20
FORD                             KS...............   20057          2.20
FRANKLIN                         KS...............   20059          2.00
GEARY                            KS...............   20061          2.00
GOVE                             KS...............   20063          2.20
GRAHAM                           KS...............   20065          2.00
GRANT                            KS...............   20067          2.20
GRAY                             KS...............   20069          2.20
GREELEY                          KS...............   20071          2.20
GREENWOOD                        KS...............   20073          2.20
HAMILTON                         KS...............   20075          2.20
HARPER                           KS...............   20077          2.20
HARVEY                           KS...............   20079          2.20
HASKELL                          KS...............   20081          2.20
HODGEMAN                         KS...............   20083          2.20
JACKSON                          KS...............   20085          2.00
JEFFERSON                        KS...............   20087          2.00
JEWELL                           KS...............   20089          2.00
JOHNSON                          KS...............   20091          2.00
KEARNY                           KS...............   20093          2.20
KINGMAN                          KS...............   20095          2.20
KIOWA                            KS...............   20097          2.20
LABETTE                          KS...............   20099          2.20
LANE                             KS...............   20101          2.20
LEAVENWORTH                      KS...............   20103          2.00
LINCOLN                          KS...............   20105          2.00
LINN                             KS...............   20107          2.00
LOGAN                            KS...............   20109          2.20
LYON                             KS...............   20111          2.00
MARION                           KS...............   20115          2.20
MARSHALL                         KS...............   20117          2.00
MCPHERSON                        KS...............   20113          2.20
MEADE                            KS...............   20119          2.20
MIAMI                            KS...............   20121          2.00
MITCHELL                         KS...............   20123          2.00
MONTGOMERY                       KS...............   20125          2.20
MORRIS                           KS...............   20127          2.00
MORTON                           KS...............   20129          2.20
NEMAHA                           KS...............   20131          2.00
NEOSHO                           KS...............   20133          2.20
NESS                             KS...............   20135          2.20
NORTON                           KS...............   20137          2.00
OSAGE                            KS...............   20139          2.00
OSBORNE                          KS...............   20141          2.00
OTTAWA                           KS...............   20143          2.00
PAWNEE                           KS...............   20145          2.20
PHILLIPS                         KS...............   20147          2.00
POTTAWATOMIE                     KS...............   20149          2.00
PRATT                            KS...............   20151          2.20
RAWLINS                          KS...............   20153          2.00
RENO                             KS...............   20155          2.20
REPUBLIC                         KS...............   20157          2.00
RICE                             KS...............   20159          2.20
RILEY                            KS...............   20161          2.00
ROOKS                            KS...............   20163          2.00

[[Page 58]]

 
RUSH                             KS...............   20165          2.20
RUSSELL                          KS...............   20167          2.00
SALINE                           KS...............   20169          2.00
SCOTT                            KS...............   20171          2.20
SEDGWICK                         KS...............   20173          2.20
SEWARD                           KS...............   20175          2.20
SHAWNEE                          KS...............   20177          2.00
SHERIDAN                         KS...............   20179          2.00
SHERMAN                          KS...............   20181          2.20
SMITH                            KS...............   20183          2.00
STAFFORD                         KS...............   20185          2.20
STANTON                          KS...............   20187          2.20
STEVENS                          KS...............   20189          2.20
SUMNER                           KS...............   20191          2.20
THOMAS                           KS...............   20193          2.00
TREGO                            KS...............   20195          2.20
WABAUNSEE                        KS...............   20197          2.00
WALLACE                          KS...............   20199          2.20
WASHINGTON                       KS...............   20201          2.00
WICHITA                          KS...............   20203          2.20
WILSON                           KS...............   20205          2.20
WOODSON                          KS...............   20207          2.20
WYANDOTTE                        KS...............   20209          2.00
ADAIR                            KY...............   21001          2.40
ALLEN                            KY...............   21003          2.40
ANDERSON                         KY...............   21005          2.20
BALLARD                          KY...............   21007          2.40
BARREN                           KY...............   21009          2.40
BATH                             KY...............   21011          2.20
BELL                             KY...............   21013          2.40
BOONE                            KY...............   21015          2.20
BOURBON                          KY...............   21017          2.20
BOYD                             KY...............   21019          2.20
BOYLE                            KY...............   21021          2.20
BRACKEN                          KY...............   21023          2.20
BREATHITT                        KY...............   21025          2.20
BRECKINRIDGE                     KY...............   21027          2.20
BULLITT                          KY...............   21029          2.20
BUTLER                           KY...............   21031          2.40
CALDWELL                         KY...............   21033          2.40
CALLOWAY                         KY...............   21035          2.40
CAMPBELL                         KY...............   21037          2.20
CARLISLE                         KY...............   21039          2.40
CARROLL                          KY...............   21041          2.20
CARTER                           KY...............   21043          2.20
CASEY                            KY...............   21045          2.40
CHRISTIAN                        KY...............   21047          2.40
CLARK                            KY...............   21049          2.20
CLAY                             KY...............   21051          2.40
CLINTON                          KY...............   21053          2.40
CRITTENDEN                       KY...............   21055          2.40
CUMBERLAND                       KY...............   21057          2.40
DAVIESS                          KY...............   21059          2.20
EDMONSON                         KY...............   21061          2.40
ELLIOTT                          KY...............   21063          2.20
ESTILL                           KY...............   21065          2.20
FAYETTE                          KY...............   21067          2.20
FLEMING                          KY...............   21069          2.20
FLOYD                            KY...............   21071          2.20
FRANKLIN                         KY...............   21073          2.20
FULTON                           KY...............   21075          2.40
GALLATIN                         KY...............   21077          2.20
GARRARD                          KY...............   21079          2.20
GRANT                            KY...............   21081          2.20
GRAVES                           KY...............   21083          2.40
GRAYSON                          KY...............   21085          2.40
GREEN                            KY...............   21087          2.40
GREENUP                          KY...............   21089          2.20
HANCOCK                          KY...............   21091          2.20
HARDIN                           KY...............   21093          2.20
HARLAN                           KY...............   21095          2.40
HARRISON                         KY...............   21097          2.20
HART                             KY...............   21099          2.40
HENDERSON                        KY...............   21101          2.20
HENRY                            KY...............   21103          2.20
HICKMAN                          KY...............   21105          2.40
HOPKINS                          KY...............   21107          2.40
JACKSON                          KY...............   21109          2.20
JEFFERSON                        KY...............   21111          2.20
JESSAMINE                        KY...............   21113          2.20
JOHNSON                          KY...............   21115          2.20
KENTON                           KY...............   21117          2.20
KNOTT                            KY...............   21119          2.40
KNOX                             KY...............   21121          2.40
LARUE                            KY...............   21123          2.20
LAUREL                           KY...............   21125          2.40
LAWRENCE                         KY...............   21127          2.20
LEE                              KY...............   21129          2.20
LESLIE                           KY...............   21131          2.40
LETCHER                          KY...............   21133          2.40
LEWIS                            KY...............   21135          2.20
LINCOLN                          KY...............   21137          2.20
LIVINGSTON                       KY...............   21139          2.40
LOGAN                            KY...............   21141          2.40
LYON                             KY...............   21143          2.40
MADISON                          KY...............   21151          2.20
MAGOFFIN                         KY...............   21153          2.20
MARION                           KY...............   21155          2.20
MARSHALL                         KY...............   21157          2.40
MARTIN                           KY...............   21159          2.20
MASON                            KY...............   21161          2.20
MCCRACKEN                        KY...............   21145          2.40
MCCREARY                         KY...............   21147          2.40
MCLEAN                           KY...............   21149          2.20
MEADE                            KY...............   21163          2.20
MENIFEE                          KY...............   21165          2.20
MERCER                           KY...............   21167          2.20
METCALFE                         KY...............   21169          2.40
MONROE                           KY...............   21171          2.40
MONTGOMERY                       KY...............   21173          2.20
MORGAN                           KY...............   21175          2.20
MUHLENBERG                       KY...............   21177          2.40
NELSON                           KY...............   21179          2.20
NICHOLAS                         KY...............   21181          2.20
OHIO                             KY...............   21183          2.40
OLDHAM                           KY...............   21185          2.20
OWEN                             KY...............   21187          2.20
OWSLEY                           KY...............   21189          2.20
PENDLETON                        KY...............   21191          2.20
PERRY                            KY...............   21193          2.40
PIKE                             KY...............   21195          2.40
POWELL                           KY...............   21197          2.20
PULASKI                          KY...............   21199          2.40
ROBERTSON                        KY...............   21201          2.20
ROCKCASTLE                       KY...............   21203          2.20
ROWAN                            KY...............   21205          2.20
RUSSELL                          KY...............   21207          2.40
SCOTT                            KY...............   21209          2.20
SHELBY                           KY...............   21211          2.20
SIMPSON                          KY...............   21213          2.40
SPENCER                          KY...............   21215          2.20
TAYLOR                           KY...............   21217          2.40
TODD                             KY...............   21219          2.40
TRIGG                            KY...............   21221          2.40
TRIMBLE                          KY...............   21223          2.20
UNION                            KY...............   21225          2.20
WARREN                           KY...............   21227          2.40
WASHINGTON                       KY...............   21229          2.20
WAYNE                            KY...............   21231          2.40
WEBSTER                          KY...............   21233          2.40
WHITLEY                          KY...............   21235          2.40
WOLFE                            KY...............   21237          2.20
WOODFORD                         KY...............   21239          2.20
ACADIA                           LA...............   22001          3.50

[[Page 59]]

 
ALLEN                            LA...............   22003          3.50
ASCENSION                        LA...............   22005          3.60
ASSUMPTION                       LA...............   22007          3.60
AVOYELLES                        LA...............   22009          3.40
BEAUREGARD                       LA...............   22011          3.50
BIENVILLE                        LA...............   22013          3.30
BOSSIER                          LA...............   22015          3.10
CADDO                            LA...............   22017          3.10
CALCASIEU                        LA...............   22019          3.50
CALDWELL                         LA...............   22021          3.30
CAMERON                          LA...............   22023          3.60
CATAHOULA                        LA...............   22025          3.40
CLAIBORNE                        LA...............   22027          3.10
CONCORDIA                        LA...............   22029          3.40
DE SOTO                          LA...............   22031          3.30
EAST BATON ROUGE                 LA...............   22033          3.60
EAST CARROLL                     LA...............   22035          3.10
EAST FELICIANA                   LA...............   22037          3.50
EVANGELINE                       LA...............   22039          3.50
FRANKLIN                         LA...............   22041          3.30
GRANT                            LA...............   22043          3.40
IBERIA                           LA...............   22045          3.60
IBERVILLE                        LA...............   22047          3.60
JACKSON                          LA...............   22049          3.30
JEFFERSON                        LA...............   22051          3.60
JEFFERSON DAVIS                  LA...............   22053          3.50
LA SALLE                         LA...............   22059          3.40
LAFAYETTE                        LA...............   22055          3.60
LAFOURCHE                        LA...............   22057          3.60
LINCOLN                          LA...............   22061          3.10
LIVINGSTON                       LA...............   22063          3.60
MADISON                          LA...............   22065          3.30
MOREHOUSE                        LA...............   22067          3.10
NATCHITOCHES                     LA...............   22069          3.30
ORLEANS                          LA...............   22071          3.60
OUACHITA                         LA...............   22073          3.10
PLAQUEMINES                      LA...............   22075          3.60
POINTE COUPEE                    LA...............   22077          3.50
RAPIDES                          LA...............   22079          3.40
RED RIVER                        LA...............   22081          3.30
RICHLAND                         LA...............   22083          3.10
SABINE                           LA...............   22085          3.30
ST. BERNARD                      LA...............   22087          3.60
ST. CHARLES                      LA...............   22089          3.60
ST. HELENA                       LA...............   22091          3.50
ST. JAMES                        LA...............   22093          3.60
ST. JOHN THE BAPTIST             LA...............   22095          3.60
ST. LANDRY                       LA...............   22097          3.50
ST. MARTIN                       LA...............   22099          3.60
ST. MARY                         LA...............   22101          3.60
ST. TAMMANY                      LA...............   22103          3.50
TANGIPAHOA                       LA...............   22105          3.60
TENSAS                           LA...............   22107          3.30
TERREBONNE                       LA...............   22109          3.60
UNION                            LA...............   22111          3.10
VERMILION                        LA...............   22113          3.60
VERNON                           LA...............   22115          3.40
WASHINGTON                       LA...............   22117          3.50
WEBSTER                          LA...............   22119          3.10
WEST BATON ROUGE                 LA...............   22121          3.60
WEST CARROLL                     LA...............   22123          3.10
WEST FELICIANA                   LA...............   22125          3.50
WINN                             LA...............   22127          3.30
BARNSTABLE                       MA...............   25001          3.25
BERKSHIRE                        MA...............   25003          2.80
BRISTOL                          MA...............   25005          3.25
DUKES                            MA...............   25007          3.25
ESSEX                            MA...............   25009          3.25
FRANKLIN                         MA...............   25011          3.00
HAMPDEN                          MA...............   25013          3.00
HAMPSHIRE                        MA...............   25015          3.00
MIDDLESEX                        MA...............   25017          3.25
NANTUCKET                        MA...............   25019          3.25
NORFOLK                          MA...............   25021          3.25
PLYMOUTH                         MA...............   25023          3.25
SUFFOLK                          MA...............   25025          3.25
WORCESTER                        MA...............   25027          3.10
ALLEGANY                         MD...............   24001          2.60
ANNE ARUNDEL                     MD...............   24003          3.00
BALTIMORE                        MD...............   24005          3.00
BALTIMORE CITY                   MD...............   24510          3.00
CALVERT                          MD...............   24009          3.00
CAROLINE                         MD...............   24011          3.00
CARROLL                          MD...............   24013          2.90
CECIL                            MD...............   24015          3.05
CHARLES                          MD...............   24017          3.00
DORCHESTER                       MD...............   24019          3.00
FREDERICK                        MD...............   24021          2.90
GARRETT                          MD...............   24023          2.60
HARFORD                          MD...............   24025          3.00
HOWARD                           MD...............   24027          3.00
KENT                             MD...............   24029          3.00
MONTGOMERY                       MD...............   24031          3.00
PRINCE GEORGE'S                  MD...............   24033          3.00
QUEEN ANNE'S                     MD...............   24035          3.00
SOMERSET                         MD...............   24039          3.00
ST. MARY'S                       MD...............   24037          3.00
TALBOT                           MD...............   24041          3.00
WASHINGTON                       MD...............   24043          2.80
WICOMICO                         MD...............   24045          3.00
WORCESTER                        MD...............   24047          3.00
ANDROSCOGGIN                     ME...............   23001          2.80
AROOSTOOK                        ME...............   23003          2.60
CUMBERLAND                       ME...............   23005          3.00
FRANKLIN                         ME...............   23007          2.60
HANCOCK                          ME...............   23009          2.80
KENNEBEC                         ME...............   23011          2.80
KNOX                             ME...............   23013          2.80
LINCOLN                          ME...............   23015          2.80
OXFORD                           ME...............   23017          2.80
PENOBSCOT                        ME...............   23019          2.80
PISCATAQUIS                      ME...............   23021          2.60
SAGADAHOC                        ME...............   23023          2.80
SOMERSET                         ME...............   23025          2.60
WALDO                            ME...............   23027          2.80
WASHINGTON                       ME...............   23029          2.80
YORK                             ME...............   23031          3.00
ALCONA                           MI...............   26001          1.80
ALGER                            MI...............   26003          1.80
ALLEGAN                          MI...............   26005          1.80
ALPENA                           MI...............   26007          1.80
ANTRIM                           MI...............   26009          1.80
ARENAC                           MI...............   26011          1.80
BARAGA                           MI...............   26013          1.70
BARRY                            MI...............   26015          1.80
BAY                              MI...............   26017          1.80
BENZIE                           MI...............   26019          1.80
BERRIEN                          MI...............   26021          1.80
BRANCH                           MI...............   26023          1.80
CALHOUN                          MI...............   26025          1.80
CASS                             MI...............   26027          1.80
CHARLEVOIX                       MI...............   26029          1.80
CHEBOYGAN                        MI...............   26031          1.80
CHIPPEWA                         MI...............   26033          1.80
CLARE                            MI...............   26035          1.80
CLINTON                          MI...............   26037          1.80
CRAWFORD                         MI...............   26039          1.80
DELTA                            MI...............   26041          1.70
DICKINSON                        MI...............   26043          1.70
EATON                            MI...............   26045          1.80
EMMET                            MI...............   26047          1.80
GENESEE                          MI...............   26049          1.80
GLADWIN                          MI...............   26051          1.80
GOGEBIC                          MI...............   26053          1.70

[[Page 60]]

 
GRAND TRAVERSE                   MI...............   26055          1.80
GRATIOT                          MI...............   26057          1.80
HILLSDALE                        MI...............   26059          1.80
HOUGHTON                         MI...............   26061          1.70
HURON                            MI...............   26063          1.80
INGHAM                           MI...............   26065          1.80
IONIA                            MI...............   26067          1.80
IOSCO                            MI...............   26069          1.80
IRON                             MI...............   26071          1.70
ISABELLA                         MI...............   26073          1.80
JACKSON                          MI...............   26075          1.80
KALAMAZOO                        MI...............   26077          1.80
KALKASKA                         MI...............   26079          1.80
KENT                             MI...............   26081          1.80
KEWEENAW                         MI...............   26083          1.70
LAKE                             MI...............   26085          1.80
LAPEER                           MI...............   26087          1.80
LEELANAU                         MI...............   26089          1.80
LENAWEE                          MI...............   26091          1.80
LIVINGSTON                       MI...............   26093          1.80
LUCE                             MI...............   26095          1.80
MACKINAC                         MI...............   26097          1.80
MACOMB                           MI...............   26099          1.80
MANISTEE                         MI...............   26101          1.80
MARQUETTE                        MI...............   26103          1.80
MASON                            MI...............   26105          1.80
MECOSTA                          MI...............   26107          1.80
MENOMINEE                        MI...............   26109          1.70
MIDLAND                          MI...............   26111          1.80
MISSAUKEE                        MI...............   26113          1.80
MONROE                           MI...............   26115          1.80
MONTCALM                         MI...............   26117          1.80
MONTMORENCY                      MI...............   26119          1.80
MUSKEGON                         MI...............   26121          1.80
NEWAYGO                          MI...............   26123          1.80
OAKLAND                          MI...............   26125          1.80
OCEANA                           MI...............   26127          1.80
OGEMAW                           MI...............   26129          1.80
ONTONAGON                        MI...............   26131          1.70
OSCEOLA                          MI...............   26133          1.80
OSCODA                           MI...............   26135          1.80
OTSEGO                           MI...............   26137          1.80
OTTAWA                           MI...............   26139          1.80
PRESQUE ISLE                     MI...............   26141          1.80
ROSCOMMON                        MI...............   26143          1.80
SAGINAW                          MI...............   26145          1.80
SANILAC                          MI...............   26151          1.80
SCHOOLCRAFT                      MI...............   26153          1.80
SHIAWASSEE                       MI...............   26155          1.80
ST. CLAIR                        MI...............   26147          1.80
ST. JOSEPH                       MI...............   26149          1.80
TUSCOLA                          MI...............   26157          1.80
VAN BUREN                        MI...............   26159          1.80
WASHTENAW                        MI...............   26161          1.80
WAYNE                            MI...............   26163          1.80
WEXFORD                          MI...............   26165          1.80
AITKIN                           MN...............   27001          1.65
ANOKA                            MN...............   27003          1.70
BECKER                           MN...............   27005          1.65
BELTRAMI                         MN...............   27007          1.65
BENTON                           MN...............   27009          1.70
BIG STONE                        MN...............   27011          1.70
BLUE EARTH                       MN...............   27013          1.70
BROWN                            MN...............   27015          1.70
CARLTON                          MN...............   27017          1.65
CARVER                           MN...............   27019          1.70
CASS                             MN...............   27021          1.65
CHIPPEWA                         MN...............   27023          1.70
CHISAGO                          MN...............   27025          1.70
CLAY                             MN...............   27027          1.65
CLEARWATER                       MN...............   27029          1.65
COOK                             MN...............   27031          1.65
COTTONWOOD                       MN...............   27033          1.70
CROW WING                        MN...............   27035          1.65
DAKOTA                           MN...............   27037          1.70
DODGE                            MN...............   27039          1.70
DOUGLAS                          MN...............   27041          1.70
FARIBAULT                        MN...............   27043          1.70
FILLMORE                         MN...............   27045          1.70
FREEBORN                         MN...............   27047          1.70
GOODHUE                          MN...............   27049          1.70
GRANT                            MN...............   27051          1.70
HENNEPIN                         MN...............   27053          1.70
HOUSTON                          MN...............   27055          1.70
HUBBARD                          MN...............   27057          1.65
ISANTI                           MN...............   27059          1.70
ITASCA                           MN...............   27061          1.65
JACKSON                          MN...............   27063          1.70
KANABEC                          MN...............   27065          1.70
KANDIYOHI                        MN...............   27067          1.70
KITTSON                          MN...............   27069          1.60
KOOCHICHING                      MN...............   27071          1.65
LAC QUI PARLE                    MN...............   27073          1.70
LAKE                             MN...............   27075          1.65
LAKE OF THE WOODS                MN...............   27077          1.60
LE SUEUR                         MN...............   27079          1.70
LINCOLN                          MN...............   27081          1.70
LYON                             MN...............   27083          1.70
MAHNOMEN                         MN...............   27087          1.65
MARSHALL                         MN...............   27089          1.65
MARTIN                           MN...............   27091          1.70
MCLEOD                           MN...............   27085          1.70
MEEKER                           MN...............   27093          1.70
MILLE LACS                       MN...............   27095          1.70
MORRISON                         MN...............   27097          1.70
MOWER                            MN...............   27099          1.70
MURRAY                           MN...............   27101          1.70
NICOLLET                         MN...............   27103          1.70
NOBLES                           MN...............   27105          1.70
NORMAN                           MN...............   27107          1.65
OLMSTED                          MN...............   27109          1.70
OTTER TAIL                       MN...............   27111          1.65
PENNINGTON                       MN...............   27113          1.65
PINE                             MN...............   27115          1.70
PIPESTONE                        MN...............   27117          1.70
POLK                             MN...............   27119          1.65
POPE                             MN...............   27121          1.70
RAMSEY                           MN...............   27123          1.70
RED LAKE                         MN...............   27125          1.65
REDWOOD                          MN...............   27127          1.70
RENVILLE                         MN...............   27129          1.70
RICE                             MN...............   27131          1.70
ROCK                             MN...............   27133          1.70
ROSEAU                           MN...............   27135          1.60
SCOTT                            MN...............   27139          1.70
SHERBURNE                        MN...............   27141          1.70
SIBLEY                           MN...............   27143          1.70
ST. LOUIS                        MN...............   27137          1.65
STEARNS                          MN...............   27145          1.70
STEELE                           MN...............   27147          1.70
STEVENS                          MN...............   27149          1.70
SWIFT                            MN...............   27151          1.70
TODD                             MN...............   27153          1.70
TRAVERSE                         MN...............   27155          1.70
WABASHA                          MN...............   27157          1.70
WADENA                           MN...............   27159          1.65
WASECA                           MN...............   27161          1.70
WASHINGTON                       MN...............   27163          1.70
WATONWAN                         MN...............   27165          1.70
WILKIN                           MN...............   27167          1.65
WINONA                           MN...............   27169          1.70
WRIGHT                           MN...............   27171          1.70
YELLOW MEDICINE                  MN...............   27173          1.70
ADAIR                            MO...............   29001          1.80

[[Page 61]]

 
ANDREW                           MO...............   29003          1.80
ATCHISON                         MO...............   29005          1.80
AUDRAIN                          MO...............   29007          2.00
BARRY                            MO...............   29009          2.20
BARTON                           MO...............   29011          2.20
BATES                            MO...............   29013          2.00
BENTON                           MO...............   29015          2.00
BOLLINGER                        MO...............   29017          2.20
BOONE                            MO...............   29019          2.00
BUCHANAN                         MO...............   29021          1.80
BUTLER                           MO...............   29023          2.20
CALDWELL                         MO...............   29025          1.80
CALLAWAY                         MO...............   29027          2.00
CAMDEN                           MO...............   29029          2.00
CAPE GIRARDEAU                   MO...............   29031          2.20
CARROLL                          MO...............   29033          1.80
CARTER                           MO...............   29035          2.20
CASS                             MO...............   29037          2.00
CEDAR                            MO...............   29039          2.20
CHARITON                         MO...............   29041          1.80
CHRISTIAN                        MO...............   29043          2.20
CLARK                            MO...............   29045          1.80
CLAY                             MO...............   29047          1.80
CLINTON                          MO...............   29049          1.80
COLE                             MO...............   29051          2.00
COOPER                           MO...............   29053          2.00
CRAWFORD                         MO...............   29055          2.00
DADE                             MO...............   29057          2.20
DALLAS                           MO...............   29059          2.20
DAVIESS                          MO...............   29061          1.80
DE KALB                          MO...............   29063          1.80
DENT                             MO...............   29065          2.00
DOUGLAS                          MO...............   29067          2.20
DUNKLIN                          MO...............   29069          2.20
FRANKLIN                         MO...............   29071          2.00
GASCONADE                        MO...............   29073          2.00
GENTRY                           MO...............   29075          1.80
GREENE                           MO...............   29077          2.20
GRUNDY                           MO...............   29079          1.80
HARRISON                         MO...............   29081          1.80
HENRY                            MO...............   29083          2.00
HICKORY                          MO...............   29085          2.00
HOLT                             MO...............   29087          1.80
HOWARD                           MO...............   29089          2.00
HOWELL                           MO...............   29091          2.20
IRON                             MO...............   29093          2.00
JACKSON                          MO...............   29095          2.00
JASPER                           MO...............   29097          2.20
JEFFERSON                        MO...............   29099          2.00
JOHNSON                          MO...............   29101          2.00
KNOX                             MO...............   29103          1.80
LACLEDE                          MO...............   29105          2.20
LAFAYETTE                        MO...............   29107          2.00
LAWRENCE                         MO...............   29109          2.20
LEWIS                            MO...............   29111          1.80
LINCOLN                          MO...............   29113          2.00
LINN                             MO...............   29115          1.80
LIVINGSTON                       MO...............   29117          1.80
MACON                            MO...............   29121          1.80
MADISON                          MO...............   29123          2.20
MARIES                           MO...............   29125          2.00
MARION                           MO...............   29127          1.80
MCDONALD                         MO...............   29119          2.20
MERCER                           MO...............   29129          1.80
MILLER                           MO...............   29131          2.00
MISSISSIPPI                      MO...............   29133          2.20
MONITEAU                         MO...............   29135          2.00
MONROE                           MO...............   29137          1.80
MONTGOMERY                       MO...............   29139          2.00
MORGAN                           MO...............   29141          2.00
NEW MADRID                       MO...............   29143          2.20
NEWTON                           MO...............   29145          2.20
NODAWAY                          MO...............   29147          1.80
OREGON                           MO...............   29149          2.20
OSAGE                            MO...............   29151          2.00
OZARK                            MO...............   29153          2.20
PEMISCOT                         MO...............   29155          2.20
PERRY                            MO...............   29157          2.20
PETTIS                           MO...............   29159          2.00
PHELPS                           MO...............   29161          2.00
PIKE                             MO...............   29163          2.00
PLATTE                           MO...............   29165          1.80
POLK                             MO...............   29167          2.20
PULASKI                          MO...............   29169          2.20
PUTNAM                           MO...............   29171          1.80
RALLS                            MO...............   29173          2.00
RANDOLPH                         MO...............   29175          1.80
RAY                              MO...............   29177          1.80
REYNOLDS                         MO...............   29179          2.20
RIPLEY                           MO...............   29181          2.20
SALINE                           MO...............   29195          2.00
SCHUYLER                         MO...............   29197          1.80
SCOTLAND                         MO...............   29199          1.80
SCOTT                            MO...............   29201          2.20
SHANNON                          MO...............   29203          2.20
SHELBY                           MO...............   29205          1.80
ST. CHARLES                      MO...............   29183          2.00
ST. CLAIR                        MO...............   29185          2.00
ST. FRANCOIS                     MO...............   29187          2.00
ST. LOUIS                        MO...............   29189          2.00
ST. LOUIS CITY                   MO...............   29510          2.00
STE. GENEVIEVE                   MO...............   29186          2.00
STODDARD                         MO...............   29207          2.20
STONE                            MO...............   29209          2.20
SULLIVAN                         MO...............   29211          1.80
TANEY                            MO...............   29213          2.20
TEXAS                            MO...............   29215          2.20
VERNON                           MO...............   29217          2.20
WARREN                           MO...............   29219          2.00
WASHINGTON                       MO...............   29221          2.00
WAYNE                            MO...............   29223          2.20
WEBSTER                          MO...............   29225          2.20
WORTH                            MO...............   29227          1.80
WRIGHT                           MO...............   29229          2.20
ADAMS                            MS...............   28001          3.40
ALCORN                           MS...............   28003          2.90
AMITE                            MS...............   28005          3.40
ATTALA                           MS...............   28007          3.10
BENTON                           MS...............   28009          2.90
BOLIVAR                          MS...............   28011          3.10
CALHOUN                          MS...............   28013          3.10
CARROLL                          MS...............   28015          3.10
CHICKASAW                        MS...............   28017          3.10
CHOCTAW                          MS...............   28019          3.10
CLAIBORNE                        MS...............   28021          3.30
CLARKE                           MS...............   28023          3.30
CLAY                             MS...............   28025          3.10
COAHOMA                          MS...............   28027          2.90
COPIAH                           MS...............   28029          3.30
COVINGTON                        MS...............   28031          3.40
DE SOTO                          MS...............   28033          2.90
FORREST                          MS...............   28035          3.40
FRANKLIN                         MS...............   28037          3.40
GEORGE                           MS...............   28039          3.40
GREENE                           MS...............   28041          3.40
GRENADA                          MS...............   28043          3.10
HANCOCK                          MS...............   28045          3.50
HARRISON                         MS...............   28047          3.50
HINDS                            MS...............   28049          3.30
HOLMES                           MS...............   28051          3.10
HUMPHREYS                        MS...............   28053          3.10
ISSAQUENA                        MS...............   28055          3.10
ITAWAMBA                         MS...............   28057          2.90
JACKSON                          MS...............   28059          3.50

[[Page 62]]

 
JASPER                           MS...............   28061          3.30
JEFFERSON                        MS...............   28063          3.40
JEFFERSON DAVIS                  MS...............   28065          3.40
JONES                            MS...............   28067          3.40
KEMPER                           MS...............   28069          3.10
LAFAYETTE                        MS...............   28071          2.90
LAMAR                            MS...............   28073          3.40
LAUDERDALE                       MS...............   28075          3.30
LAWRENCE                         MS...............   28077          3.40
LEAKE                            MS...............   28079          3.10
LEE                              MS...............   28081          2.90
LEFLORE                          MS...............   28083          3.10
LINCOLN                          MS...............   28085          3.40
LOWNDES                          MS...............   28087          3.10
MADISON                          MS...............   28089          3.10
MARION                           MS...............   28091          3.40
MARSHALL                         MS...............   28093          2.90
MONROE                           MS...............   28095          3.10
MONTGOMERY                       MS...............   28097          3.10
NESHOBA                          MS...............   28099          3.10
NEWTON                           MS...............   28101          3.30
NOXUBEE                          MS...............   28103          3.10
OKTIBBEHA                        MS...............   28105          3.10
PANOLA                           MS...............   28107          2.90
PEARL RIVER                      MS...............   28109          3.40
PERRY                            MS...............   28111          3.40
PIKE                             MS...............   28113          3.40
PONTOTOC                         MS...............   28115          2.90
PRENTISS                         MS...............   28117          2.90
QUITMAN                          MS...............   28119          2.90
RANKIN                           MS...............   28121          3.30
SCOTT                            MS...............   28123          3.30
SHARKEY                          MS...............   28125          3.10
SIMPSON                          MS...............   28127          3.30
SMITH                            MS...............   28129          3.30
STONE                            MS...............   28131          3.40
SUNFLOWER                        MS...............   28133          3.10
TALLAHATCHIE                     MS...............   28135          3.10
TATE                             MS...............   28137          2.90
TIPPAH                           MS...............   28139          2.90
TISHOMINGO                       MS...............   28141          2.90
TUNICA                           MS...............   28143          2.90
UNION                            MS...............   28145          2.90
WALTHALL                         MS...............   28147          3.40
WARREN                           MS...............   28149          3.30
WASHINGTON                       MS...............   28151          3.10
WAYNE                            MS...............   28153          3.40
WEBSTER                          MS...............   28155          3.10
WILKINSON                        MS...............   28157          3.40
WINSTON                          MS...............   28159          3.10
YALOBUSHA                        MS...............   28161          3.10
YAZOO                            MS...............   28163          3.10
BEAVERHEAD                       MT...............   30001          1.60
BIG HORN                         MT...............   30003          1.60
BLAINE                           MT...............   30005          1.60
BROADWATER                       MT...............   30007          1.60
CARBON                           MT...............   30009          1.60
CARTER                           MT...............   30011          1.65
CASCADE                          MT...............   30013          1.60
CHOUTEAU                         MT...............   30015          1.60
CUSTER                           MT...............   30017          1.60
DANIELS                          MT...............   30019          1.60
DAWSON                           MT...............   30021          1.60
DEER LODGE                       MT...............   30023          1.60
FALLON                           MT...............   30025          1.65
FERGUS                           MT...............   30027          1.60
FLATHEAD                         MT...............   30029          1.60
GALLATIN                         MT...............   30031          1.60
GARFIELD                         MT...............   30033          1.60
GLACIER                          MT...............   30035          1.60
GOLDEN VALLEY                    MT...............   30037          1.60
GRANITE                          MT...............   30039          1.60
HILL                             MT...............   30041          1.60
JEFFERSON                        MT...............   30043          1.60
JUDITH BASIN                     MT...............   30045          1.60
LAKE                             MT...............   30047          1.60
LEWIS AND CLARK                  MT...............   30049          1.60
LIBERTY                          MT...............   30051          1.60
LINCOLN                          MT...............   30053          1.80
MADISON                          MT...............   30057          1.60
MCCONE                           MT...............   30055          1.60
MEAGHER                          MT...............   30059          1.60
MINERAL                          MT...............   30061          1.80
MISSOULA                         MT...............   30063          1.60
MUSSELSHELL                      MT...............   30065          1.60
PARK                             MT...............   30067          1.60
PETROLEUM                        MT...............   30069          1.60
PHILLIPS                         MT...............   30071          1.60
PONDERA                          MT...............   30073          1.60
POWDER RIVER                     MT...............   30075          1.60
POWELL                           MT...............   30077          1.60
PRAIRIE                          MT...............   30079          1.60
RAVALLI                          MT...............   30081          1.60
RICHLAND                         MT...............   30083          1.60
ROOSEVELT                        MT...............   30085          1.60
ROSEBUD                          MT...............   30087          1.60
SANDERS                          MT...............   30089          1.80
SHERIDAN                         MT...............   30091          1.60
SILVER BOW                       MT...............   30093          1.60
STILLWATER                       MT...............   30095          1.60
SWEET GRASS                      MT...............   30097          1.60
TETON                            MT...............   30099          1.60
TOOLE                            MT...............   30101          1.60
TREASURE                         MT...............   30103          1.60
VALLEY                           MT...............   30105          1.60
WHEATLAND                        MT...............   30107          1.60
WIBAUX                           MT...............   30109          1.60
YELLOWSTONE                      MT...............   30111          1.60
YELLOWSTONE NAT. PARK            MT...............   30113          1.60
ALAMANCE                         NC...............   37001          3.10
ALEXANDER                        NC...............   37003          2.95
ALLEGHANY                        NC...............   37005          2.95
ANSON                            NC...............   37007          3.10
ASHE                             NC...............   37009          2.95
AVERY                            NC...............   37011          2.95
BEAUFORT                         NC...............   37013          3.20
BERTIE                           NC...............   37015          3.20
BLADEN                           NC...............   37017          3.30
BRUNSWICK                        NC...............   37019          3.30
BUNCOMBE                         NC...............   37021          2.95
BURKE                            NC...............   37023          2.95
CABARRUS                         NC...............   37025          3.10
CALDWELL                         NC...............   37027          2.95
CAMDEN                           NC...............   37029          3.20
CARTERET                         NC...............   37031          3.20
CASWELL                          NC...............   37033          3.10
CATAWBA                          NC...............   37035          3.10
CHATHAM                          NC...............   37037          3.10
CHEROKEE                         NC...............   37039          2.95
CHOWAN                           NC...............   37041          3.20
CLAY                             NC...............   37043          2.95
CLEVELAND                        NC...............   37045          3.10
COLUMBUS                         NC...............   37047          3.30
CRAVEN                           NC...............   37049          3.20
CUMBERLAND                       NC...............   37051          3.30
CURRITUCK                        NC...............   37053          3.20
DARE                             NC...............   37055          3.20
DAVIDSON                         NC...............   37057          3.10
DAVIE                            NC...............   37059          3.10
DUPLIN                           NC...............   37061          3.30
DURHAM                           NC...............   37063          3.10
EDGECOMBE                        NC...............   37065          3.20
FORSYTH                          NC...............   37067          3.10
FRANKLIN                         NC...............   37069          3.10

[[Page 63]]

 
GASTON                           NC...............   37071          3.10
GATES                            NC...............   37073          3.20
GRAHAM                           NC...............   37075          2.95
GRANVILLE                        NC...............   37077          3.10
GREENE                           NC...............   37079          3.20
GUILFORD                         NC...............   37081          3.10
HALIFAX                          NC...............   37083          3.10
HARNETT                          NC...............   37085          3.30
HAYWOOD                          NC...............   37087          2.95
HENDERSON                        NC...............   37089          2.95
HERTFORD                         NC...............   37091          3.20
HOKE                             NC...............   37093          3.30
HYDE                             NC...............   37095          3.20
IREDELL                          NC...............   37097          3.10
JACKSON                          NC...............   37099          2.95
JOHNSTON                         NC...............   37101          3.20
JONES                            NC...............   37103          3.20
LEE                              NC...............   37105          3.10
LENOIR                           NC...............   37107          3.20
LINCOLN                          NC...............   37109          3.10
MACON                            NC...............   37113          2.95
MADISON                          NC...............   37115          2.95
MARTIN                           NC...............   37117          3.20
MCDOWELL                         NC...............   37111          2.95
MECKLENBURG                      NC...............   37119          3.10
MITCHELL                         NC...............   37121          2.95
MONTGOMERY                       NC...............   37123          3.10
MOORE                            NC...............   37125          3.10
NASH                             NC...............   37127          3.10
NEW HANOVER                      NC...............   37129          3.30
NORTHAMPTON                      NC...............   37131          3.10
ONSLOW                           NC...............   37133          3.30
ORANGE                           NC...............   37135          3.10
PAMLICO                          NC...............   37137          3.20
PASQUOTANK                       NC...............   37139          3.20
PENDER                           NC...............   37141          3.30
PERQUIMANS                       NC...............   37143          3.20
PERSON                           NC...............   37145          3.10
PITT                             NC...............   37147          3.20
POLK                             NC...............   37149          3.10
RANDOLPH                         NC...............   37151          3.10
RICHMOND                         NC...............   37153          3.10
ROBESON                          NC...............   37155          3.30
ROCKINGHAM                       NC...............   37157          2.95
ROWAN                            NC...............   37159          3.10
RUTHERFORD                       NC...............   37161          3.10
SAMPSON                          NC...............   37163          3.30
SCOTLAND                         NC...............   37165          3.30
STANLY                           NC...............   37167          3.10
STOKES                           NC...............   37169          2.95
SURRY                            NC...............   37171          2.95
SWAIN                            NC...............   37173          2.95
TRANSYLVANIA                     NC...............   37175          2.95
TYRRELL                          NC...............   37177          3.20
UNION                            NC...............   37179          3.10
VANCE                            NC...............   37181          3.10
WAKE                             NC...............   37183          3.10
WARREN                           NC...............   37185          3.10
WASHINGTON                       NC...............   37187          3.20
WATAUGA                          NC...............   37189          2.95
WAYNE                            NC...............   37191          3.20
WILKES                           NC...............   37193          2.95
WILSON                           NC...............   37195          3.20
YADKIN                           NC...............   37197          3.10
YANCEY                           NC...............   37199          2.95
ADAMS                            ND...............   38001          1.65
BARNES                           ND...............   38003          1.65
BENSON                           ND...............   38005          1.60
BILLINGS                         ND...............   38007          1.60
BOTTINEAU                        ND...............   38009          1.60
BOWMAN                           ND...............   38011          1.65
BURKE                            ND...............   38013          1.60
BURLEIGH                         ND...............   38015          1.65
CASS                             ND...............   38017          1.65
CAVALIER                         ND...............   38019          1.60
DICKEY                           ND...............   38021          1.65
DIVIDE                           ND...............   38023          1.60
DUNN                             ND...............   38025          1.60
EDDY                             ND...............   38027          1.65
EMMONS                           ND...............   38029          1.65
FOSTER                           ND...............   38031          1.65
GOLDEN VALLEY                    ND...............   38033          1.60
GRAND FORKS                      ND...............   38035          1.65
GRANT                            ND...............   38037          1.65
GRIGGS                           ND...............   38039          1.65
HETTINGER                        ND...............   38041          1.65
KIDDER                           ND...............   38043          1.65
LA MOURE                         ND...............   38045          1.65
LOGAN                            ND...............   38047          1.65
MCHENRY                          ND...............   38049          1.60
MCINTOSH                         ND...............   38051          1.65
MCKENZIE                         ND...............   38053          1.60
MCLEAN                           ND...............   38055          1.60
MERCER                           ND...............   38057          1.60
MORTON                           ND...............   38059          1.65
MOUNTRAIL                        ND...............   38061          1.60
NELSON                           ND...............   38063          1.65
OLIVER                           ND...............   38065          1.60
PEMBINA                          ND...............   38067          1.60
PIERCE                           ND...............   38069          1.60
RAMSEY                           ND...............   38071          1.60
RANSOM                           ND...............   38073          1.65
RENVILLE                         ND...............   38075          1.60
RICHLAND                         ND...............   38077          1.65
ROLETTE                          ND...............   38079          1.60
SARGENT                          ND...............   38081          1.65
SHERIDAN                         ND...............   38083          1.60
SIOUX                            ND...............   38085          1.65
SLOPE                            ND...............   38087          1.65
STARK                            ND...............   38089          1.60
STEELE                           ND...............   38091          1.65
STUTSMAN                         ND...............   38093          1.65
TOWNER                           ND...............   38095          1.60
TRAILL                           ND...............   38097          1.65
WALSH                            ND...............   38099          1.60
WARD                             ND...............   38101          1.60
WELLS                            ND...............   38103          1.65
WILLIAMS                         ND...............   38105          1.60
ADAMS                            NE...............   31001          1.80
ANTELOPE                         NE...............   31003          1.75
ARTHUR                           NE...............   31005          1.80
BANNER                           NE...............   31007          1.80
BLAINE                           NE...............   31009          1.75
BOONE                            NE...............   31011          1.80
BOX BUTTE                        NE...............   31013          1.80
BOYD                             NE...............   31015          1.75
BROWN                            NE...............   31017          1.75
BUFFALO                          NE...............   31019          1.80
BURT                             NE...............   31021          1.80
BUTLER                           NE...............   31023          1.80
CASS                             NE...............   31025          1.85
CEDAR                            NE...............   31027          1.75
CHASE                            NE...............   31029          1.80
CHERRY                           NE...............   31031          1.75
CHEYENNE                         NE...............   31033          1.80
CLAY                             NE...............   31035          1.80
COLFAX                           NE...............   31037          1.80
CUMING                           NE...............   31039          1.80
CUSTER                           NE...............   31041          1.80
DAKOTA                           NE...............   31043          1.75
DAWES                            NE...............   31045          1.80
DAWSON                           NE...............   31047          1.80
DEUEL                            NE...............   31049          1.80
DIXON                            NE...............   31051          1.75

[[Page 64]]

 
DODGE                            NE...............   31053          1.80
DOUGLAS                          NE...............   31055          1.85
DUNDY                            NE...............   31057          1.80
FILLMORE                         NE...............   31059          1.80
FRANKLIN                         NE...............   31061          1.80
FRONTIER                         NE...............   31063          1.80
FURNAS                           NE...............   31065          1.80
GAGE                             NE...............   31067          1.85
GARDEN                           NE...............   31069          1.80
GARFIELD                         NE...............   31071          1.75
GOSPER                           NE...............   31073          1.80
GRANT                            NE...............   31075          1.75
GREELEY                          NE...............   31077          1.80
HALL                             NE...............   31079          1.80
HAMILTON                         NE...............   31081          1.80
HARLAN                           NE...............   31083          1.80
HAYES                            NE...............   31085          1.80
HITCHCOCK                        NE...............   31087          1.80
HOLT                             NE...............   31089          1.75
HOOKER                           NE...............   31091          1.75
HOWARD                           NE...............   31093          1.80
JEFFERSON                        NE...............   31095          1.80
JOHNSON                          NE...............   31097          1.85
KEARNEY                          NE...............   31099          1.80
KEITH                            NE...............   31101          1.80
KEYA PAHA                        NE...............   31103          1.75
KIMBALL                          NE...............   31105          1.80
KNOX                             NE...............   31107          1.75
LANCASTER                        NE...............   31109          1.85
LINCOLN                          NE...............   31111          1.80
LOGAN                            NE...............   31113          1.80
LOUP                             NE...............   31115          1.75
MADISON                          NE...............   31119          1.80
MCPHERSON                        NE...............   31117          1.80
MERRICK                          NE...............   31121          1.80
MORRILL                          NE...............   31123          1.80
NANCE                            NE...............   31125          1.80
NEMAHA                           NE...............   31127          1.85
NUCKOLLS                         NE...............   31129          1.80
OTOE                             NE...............   31131          1.85
PAWNEE                           NE...............   31133          1.85
PERKINS                          NE...............   31135          1.80
PHELPS                           NE...............   31137          1.80
PIERCE                           NE...............   31139          1.75
PLATTE                           NE...............   31141          1.80
POLK                             NE...............   31143          1.80
RED WILLOW                       NE...............   31145          1.80
RICHARDSON                       NE...............   31147          1.85
ROCK                             NE...............   31149          1.75
SALINE                           NE...............   31151          1.80
SARPY                            NE...............   31153          1.85
SAUNDERS                         NE...............   31155          1.85
SCOTTS BLUFF                     NE...............   31157          1.80
SEWARD                           NE...............   31159          1.80
SHERIDAN                         NE...............   31161          1.80
SHERMAN                          NE...............   31163          1.80
SIOUX                            NE...............   31165          1.80
STANTON                          NE...............   31167          1.80
THAYER                           NE...............   31169          1.80
THOMAS                           NE...............   31171          1.75
THURSTON                         NE...............   31173          1.75
VALLEY                           NE...............   31175          1.80
WASHINGTON                       NE...............   31177          1.85
WAYNE                            NE...............   31179          1.75
WEBSTER                          NE...............   31181          1.80
WHEELER                          NE...............   31183          1.75
YORK                             NE...............   31185          1.80
BELKNAP                          NH...............   33001          2.80
CARROLL                          NH...............   33003          2.80
CHESHIRE                         NH...............   33005          2.80
COOS                             NH...............   33007          2.60
GRAFTON                          NH...............   33009          2.60
HILLSBOROUGH                     NH...............   33011          3.00
MERRIMACK                        NH...............   33013          3.00
ROCKINGHAM                       NH...............   33015          3.00
STRAFFORD                        NH...............   33017          3.00
SULLIVAN                         NH...............   33019          2.80
ATLANTIC                         NJ...............   34001          3.05
BERGEN                           NJ...............   34003          3.15
BURLINGTON                       NJ...............   34005          3.05
CAMDEN                           NJ...............   34007          3.05
CAPE MAY                         NJ...............   34009          3.05
CUMBERLAND                       NJ...............   34011          3.05
ESSEX                            NJ...............   34013          3.15
GLOUCESTER                       NJ...............   34015          3.05
HUDSON                           NJ...............   34017          3.15
HUNTERDON                        NJ...............   34019          3.10
MERCER                           NJ...............   34021          3.10
MIDDLESEX                        NJ...............   34023          3.10
MONMOUTH                         NJ...............   34025          3.10
MORRIS                           NJ...............   34027          3.10
OCEAN                            NJ...............   34029          3.10
PASSAIC                          NJ...............   34031          3.15
SALEM                            NJ...............   34033          3.05
SOMERSET                         NJ...............   34035          3.10
SUSSEX                           NJ...............   34037          3.10
UNION                            NJ...............   34039          3.15
WARREN                           NJ...............   34041          3.10
BERNALILLO                       NM...............   35001          2.35
CATRON                           NM...............   35003          2.10
CHAVES                           NM...............   35005          2.10
CIBOLA                           NM...............   35006          1.90
COLFAX                           NM...............   35007          2.35
CURRY                            NM...............   35009          2.10
DE BACA                          NM...............   35011          2.10
DONA ANA                         NM...............   35013          2.10
EDDY                             NM...............   35015          2.10
GRANT                            NM...............   35017          2.10
GUADALUPE                        NM...............   35019          2.35
HARDING                          NM...............   35021          2.35
HIDALGO                          NM...............   35023          2.10
LEA                              NM...............   35025          2.10
LINCOLN                          NM...............   35027          2.10
LOS ALAMOS                       NM...............   35028          2.35
LUNA                             NM...............   35029          2.10
MCKINLEY                         NM...............   35031          1.90
MORA                             NM...............   35033          2.35
OTERO                            NM...............   35035          2.10
QUAY                             NM...............   35037          2.35
RIO ARRIBA                       NM...............   35039          1.90
ROOSEVELT                        NM...............   35041          2.10
SAN JUAN                         NM...............   35045          1.90
SAN MIGUEL                       NM...............   35047          2.35
SANDOVAL                         NM...............   35043          2.35
SANTA FE                         NM...............   35049          2.35
SIERRA                           NM...............   35051          2.10
SOCORRO                          NM...............   35053          2.10
TAOS                             NM...............   35055          1.90
TORRANCE                         NM...............   35057          2.35
UNION                            NM...............   35059          2.35
VALENCIA                         NM...............   35061          2.35
CARSON CITY                      NV...............   32510          1.70
CHURCHILL                        NV...............   32001          1.70
CLARK                            NV...............   32003          2.00
DOUGLAS                          NV...............   32005          1.70
ELKO                             NV...............   32007          1.90
ESMERALDA                        NV...............   32009          1.60
EUREKA                           NV...............   32011          1.70
HUMBOLDT                         NV...............   32013          1.70
LANDER                           NV...............   32015          1.70
LINCOLN                          NV...............   32017          1.60
LYON                             NV...............   32019          1.70
MINERAL                          NV...............   32021          1.60
NYE                              NV...............   32023          1.60

[[Page 65]]

 
PERSHING                         NV...............   32027          1.70
STOREY                           NV...............   32029          1.70
WASHOE                           NV...............   32031          1.70
WHITE PINE                       NV...............   32033          1.90
ALBANY                           NY...............   36001          2.70
ALLEGANY                         NY...............   36003          2.30
BRONX                            NY...............   36005          3.15
BROOME                           NY...............   36007          2.70
CATTARAUGUS                      NY...............   36009          2.10
CAYUGA                           NY...............   36011          2.30
CHAUTAUQUA                       NY...............   36013          2.10
CHEMUNG                          NY...............   36015          2.50
CHENANGO                         NY...............   36017          2.50
CLINTON                          NY...............   36019          2.30
COLUMBIA                         NY...............   36021          2.70
CORTLAND                         NY...............   36023          2.50
DELAWARE                         NY...............   36025          2.70
DUTCHESS                         NY...............   36027          2.80
ERIE                             NY...............   36029          2.20
ESSEX                            NY...............   36031          2.30
FRANKLIN                         NY...............   36033          2.30
FULTON                           NY...............   36035          2.50
GENESEE                          NY...............   36037          2.20
GREENE                           NY...............   36039          2.70
HAMILTON                         NY...............   36041          2.50
HERKIMER                         NY...............   36043          2.50
JEFFERSON                        NY...............   36045          2.30
KINGS                            NY...............   36047          3.15
LEWIS                            NY...............   36049          2.30
LIVINGSTON                       NY...............   36051          2.30
MADISON                          NY...............   36053          2.50
MONROE                           NY...............   36055          2.30
MONTGOMERY                       NY...............   36057          2.70
NASSAU                           NY...............   36059          3.15
NEW YORK                         NY...............   36061          3.15
NIAGARA                          NY...............   36063          2.20
ONEIDA                           NY...............   36065          2.50
ONONDAGA                         NY...............   36067          2.50
ONTARIO                          NY...............   36069          2.30
ORANGE                           NY...............   36071          3.00
ORLEANS                          NY...............   36073          2.20
OSWEGO                           NY...............   36075          2.30
OTSEGO                           NY...............   36077          2.50
PUTNAM                           NY...............   36079          3.00
QUEENS                           NY...............   36081          3.15
RENSSELAER                       NY...............   36083          2.70
RICHMOND                         NY...............   36085          3.15
ROCKLAND                         NY...............   36087          3.15
SARATOGA                         NY...............   36091          2.70
SCHENECTADY                      NY...............   36093          2.70
SCHOHARIE                        NY...............   36095          2.70
SCHUYLER                         NY...............   36097          2.30
SENECA                           NY...............   36099          2.30
ST. LAWRENCE                     NY...............   36089          2.30
STEUBEN                          NY...............   36101          2.30
SUFFOLK                          NY...............   36103          3.15
SULLIVAN                         NY...............   36105          2.80
TIOGA                            NY...............   36107          2.50
TOMPKINS                         NY...............   36109          2.50
ULSTER                           NY...............   36111          2.80
WARREN                           NY...............   36113          2.50
WASHINGTON                       NY...............   36115          2.60
WAYNE                            NY...............   36117          2.30
WESTCHESTER                      NY...............   36119          3.15
WYOMING                          NY...............   36121          2.20
YATES                            NY...............   36123          2.30
ADAMS                            OH...............   39001          2.20
ALLEN                            OH...............   39003          2.00
ASHLAND                          OH...............   39005          2.00
ASHTABULA                        OH...............   39007          2.00
ATHENS                           OH...............   39009          2.00
AUGLAIZE                         OH...............   39011          2.00
BELMONT                          OH...............   39013          2.00
BROWN                            OH...............   39015          2.20
BUTLER                           OH...............   39017          2.00
CARROLL                          OH...............   39019          2.00
CHAMPAIGN                        OH...............   39021          2.00
CLARK                            OH...............   39023          2.00
CLERMONT                         OH...............   39025          2.20
CLINTON                          OH...............   39027          2.00
COLUMBIANA                       OH...............   39029          2.00
COSHOCTON                        OH...............   39031          2.00
CRAWFORD                         OH...............   39033          2.00
CUYAHOGA                         OH...............   39035          2.00
DARKE                            OH...............   39037          2.00
DEFIANCE                         OH...............   39039          1.80
DELAWARE                         OH...............   39041          2.00
ERIE                             OH...............   39043          2.00
FAIRFIELD                        OH...............   39045          2.00
FAYETTE                          OH...............   39047          2.00
FRANKLIN                         OH...............   39049          2.00
FULTON                           OH...............   39051          1.80
GALLIA                           OH...............   39053          2.20
GEAUGA                           OH...............   39055          2.00
GREENE                           OH...............   39057          2.00
GUERNSEY                         OH...............   39059          2.00
HAMILTON                         OH...............   39061          2.20
HANCOCK                          OH...............   39063          2.00
HARDIN                           OH...............   39065          2.00
HARRISON                         OH...............   39067          2.00
HENRY                            OH...............   39069          1.80
HIGHLAND                         OH...............   39071          2.20
HOCKING                          OH...............   39073          2.00
HOLMES                           OH...............   39075          2.00
HURON                            OH...............   39077          2.00
JACKSON                          OH...............   39079          2.20
JEFFERSON                        OH...............   39081          2.00
KNOX                             OH...............   39083          2.00
LAKE                             OH...............   39085          2.00
LAWRENCE                         OH...............   39087          2.20
LICKING                          OH...............   39089          2.00
LOGAN                            OH...............   39091          2.00
LORAIN                           OH...............   39093          2.00
LUCAS                            OH...............   39095          1.80
MADISON                          OH...............   39097          2.00
MAHONING                         OH...............   39099          2.00
MARION                           OH...............   39101          2.00
MEDINA                           OH...............   39103          2.00
MEIGS                            OH...............   39105          2.00
MERCER                           OH...............   39107          2.00
MIAMI                            OH...............   39109          2.00
MONROE                           OH...............   39111          2.00
MONTGOMERY                       OH...............   39113          2.00
MORGAN                           OH...............   39115          2.00
MORROW                           OH...............   39117          2.00
MUSKINGUM                        OH...............   39119          2.00
NOBLE                            OH...............   39121          2.00
OTTAWA                           OH...............   39123          2.00
PAULDING                         OH...............   39125          1.80
PERRY                            OH...............   39127          2.00
PICKAWAY                         OH...............   39129          2.00
PIKE                             OH...............   39131          2.20
PORTAGE                          OH...............   39133          2.00
PREBLE                           OH...............   39135          2.00
PUTNAM                           OH...............   39137          1.80
RICHLAND                         OH...............   39139          2.00
ROSS                             OH...............   39141          2.00
SANDUSKY                         OH...............   39143          2.00
SCIOTO                           OH...............   39145          2.20
SENECA                           OH...............   39147          2.00
SHELBY                           OH...............   39149          2.00
STARK                            OH...............   39151          2.00
SUMMIT                           OH...............   39153          2.00
TRUMBULL                         OH...............   39155          2.00

[[Page 66]]

 
TUSCARAWAS                       OH...............   39157          2.00
UNION                            OH...............   39159          2.00
VAN WERT                         OH...............   39161          1.80
VINTON                           OH...............   39163          2.00
WARREN                           OH...............   39165          2.00
WASHINGTON                       OH...............   39167          2.00
WAYNE                            OH...............   39169          2.00
WILLIAMS                         OH...............   39171          1.80
WOOD                             OH...............   39173          2.00
WYANDOT                          OH...............   39175          2.00
ADAIR                            OK...............   40001          2.60
ALFALFA                          OK...............   40003          2.40
ATOKA                            OK...............   40005          2.80
BEAVER                           OK...............   40007          2.40
BECKHAM                          OK...............   40009          2.40
BLAINE                           OK...............   40011          2.40
BRYAN                            OK...............   40013          2.80
CADDO                            OK...............   40015          2.60
CANADIAN                         OK...............   40017          2.60
CARTER                           OK...............   40019          2.80
CHEROKEE                         OK...............   40021          2.60
CHOCTAW                          OK...............   40023          2.80
CIMARRON                         OK...............   40025          2.40
CLEVELAND                        OK...............   40027          2.60
COAL                             OK...............   40029          2.80
COMANCHE                         OK...............   40031          2.60
COTTON                           OK...............   40033          2.80
CRAIG                            OK...............   40035          2.40
CREEK                            OK...............   40037          2.60
CUSTER                           OK...............   40039          2.40
DELAWARE                         OK...............   40041          2.40
DEWEY                            OK...............   40043          2.40
ELLIS                            OK...............   40045          2.40
GARFIELD                         OK...............   40047          2.40
GARVIN                           OK...............   40049          2.60
GRADY                            OK...............   40051          2.60
GRANT                            OK...............   40053          2.40
GREER                            OK...............   40055          2.60
HARMON                           OK...............   40057          2.60
HARPER                           OK...............   40059          2.40
HASKELL                          OK...............   40061          2.80
HUGHES                           OK...............   40063          2.60
JACKSON                          OK...............   40065          2.60
JEFFERSON                        OK...............   40067          2.80
JOHNSTON                         OK...............   40069          2.80
KAY                              OK...............   40071          2.40
KINGFISHER                       OK...............   40073          2.40
KIOWA                            OK...............   40075          2.60
LATIMER                          OK...............   40077          2.80
LE FLORE                         OK...............   40079          2.80
LINCOLN                          OK...............   40081          2.60
LOGAN                            OK...............   40083          2.40
LOVE                             OK...............   40085          2.80
MAJOR                            OK...............   40093          2.40
MARSHALL                         OK...............   40095          2.80
MAYES                            OK...............   40097          2.40
MCCLAIN                          OK...............   40087          2.60
MCCURTAIN                        OK...............   40089          2.80
MCINTOSH                         OK...............   40091          2.60
MURRAY                           OK...............   40099          2.80
MUSKOGEE                         OK...............   40101          2.60
NOBLE                            OK...............   40103          2.40
NOWATA                           OK...............   40105          2.40
OKFUSKEE                         OK...............   40107          2.60
OKLAHOMA                         OK...............   40109          2.60
OKMULGEE                         OK...............   40111          2.60
OSAGE                            OK...............   40113          2.40
OTTAWA                           OK...............   40115          2.40
PAWNEE                           OK...............   40117          2.40
PAYNE                            OK...............   40119          2.40
PITTSBURG                        OK...............   40121          2.80
PONTOTOC                         OK...............   40123          2.80
POTTAWATOMIE                     OK...............   40125          2.60
PUSHMATAHA                       OK...............   40127          2.80
ROGER MILLS                      OK...............   40129          2.40
ROGERS                           OK...............   40131          2.40
SEMINOLE                         OK...............   40133          2.60
SEQUOYAH                         OK...............   40135          2.80
STEPHENS                         OK...............   40137          2.80
TEXAS                            OK...............   40139          2.40
TILLMAN                          OK...............   40141          2.60
TULSA                            OK...............   40143          2.60
WAGONER                          OK...............   40145          2.60
WASHINGTON                       OK...............   40147          2.40
WASHITA                          OK...............   40149          2.40
WOODS                            OK...............   40151          2.40
WOODWARD                         OK...............   40153          2.40
BAKER                            OR...............   41001          1.60
BENTON                           OR...............   41003          1.90
CLACKAMAS                        OR...............   41005          1.90
CLATSOP                          OR...............   41007          1.90
COLUMBIA                         OR...............   41009          1.90
COOS                             OR...............   41011          1.90
CROOK                            OR...............   41013          1.75
CURRY                            OR...............   41015          1.90
DESCHUTES                        OR...............   41017          1.75
DOUGLAS                          OR...............   41019          1.90
GILLIAM                          OR...............   41021          1.75
GRANT                            OR...............   41023          1.60
HARNEY                           OR...............   41025          1.60
HOOD RIVER                       OR...............   41027          1.90
JACKSON                          OR...............   41029          1.90
JEFFERSON                        OR...............   41031          1.75
JOSEPHINE                        OR...............   41033          1.90
KLAMATH                          OR...............   41035          1.75
LAKE                             OR...............   41037          1.75
LANE                             OR...............   41039          1.90
LINCOLN                          OR...............   41041          1.90
LINN                             OR...............   41043          1.90
MALHEUR                          OR...............   41045          1.60
MARION                           OR...............   41047          1.90
MORROW                           OR...............   41049          1.75
MULTNOMAH                        OR...............   41051          1.90
POLK                             OR...............   41053          1.90
SHERMAN                          OR...............   41055          1.75
TILLAMOOK                        OR...............   41057          1.90
UMATILLA                         OR...............   41059          1.75
UNION                            OR...............   41061          1.60
WALLOWA                          OR...............   41063          1.60
WASCO                            OR...............   41065          1.75
WASHINGTON                       OR...............   41067          1.90
WHEELER                          OR...............   41069          1.75
YAMHILL                          OR...............   41071          1.90
ADAMS                            PA...............   42001          2.80
ALLEGHENY                        PA...............   42003          2.10
ARMSTRONG                        PA...............   42005          2.30
BEAVER                           PA...............   42007          2.10
BEDFORD                          PA...............   42009          2.30
BERKS                            PA...............   42011          2.80
BLAIR                            PA...............   42013          2.30
BRADFORD                         PA...............   42015          2.50
BUCKS                            PA...............   42017          3.05
BUTLER                           PA...............   42019          2.10
CAMBRIA                          PA...............   42021          2.30
CAMERON                          PA...............   42023          2.30
CARBON                           PA...............   42025          2.80
CENTRE                           PA...............   42027          2.50
CHESTER                          PA...............   42029          3.05
CLARION                          PA...............   42031          2.30
CLEARFIELD                       PA...............   42033          2.30
CLINTON                          PA...............   42035          2.50
COLUMBIA                         PA...............   42037          2.70
CRAWFORD                         PA...............   42039          2.10
CUMBERLAND                       PA...............   42041          2.80

[[Page 67]]

 
DAUPHIN                          PA...............   42043          2.80
DELAWARE                         PA...............   42045          3.05
ELK                              PA...............   42047          2.30
ERIE                             PA...............   42049          2.10
FAYETTE                          PA...............   42051          2.30
FOREST                           PA...............   42053          2.30
FRANKLIN                         PA...............   42055          2.80
FULTON                           PA...............   42057          2.70
GREENE                           PA...............   42059          2.10
HUNTINGDON                       PA...............   42061          2.30
INDIANA                          PA...............   42063          2.30
JEFFERSON                        PA...............   42065          2.30
JUNIATA                          PA...............   42067          2.70
LACKAWANNA                       PA...............   42069          2.70
LANCASTER                        PA...............   42071          2.90
LAWRENCE                         PA...............   42073          2.10
LEBANON                          PA...............   42075          2.80
LEHIGH                           PA...............   42077          2.80
LUZERNE                          PA...............   42079          2.70
LYCOMING                         PA...............   42081          2.50
MCKEAN                           PA...............   42083          2.30
MERCER                           PA...............   42085          2.10
MIFFLIN                          PA...............   42087          2.70
MONROE                           PA...............   42089          2.80
MONTGOMERY                       PA...............   42091          3.05
MONTOUR                          PA...............   42093          2.70
NORTHAMPTON                      PA...............   42095          2.80
NORTHUMBERLAND                   PA...............   42097          2.70
PERRY                            PA...............   42099          2.70
PHILADELPHIA                     PA...............   42101          3.05
PIKE                             PA...............   42103          2.80
POTTER                           PA...............   42105          2.50
SCHUYLKILL                       PA...............   42107          2.80
SNYDER                           PA...............   42109          2.70
SOMERSET                         PA...............   42111          2.30
SULLIVAN                         PA...............   42113          2.50
SUSQUEHANNA                      PA...............   42115          2.50
TIOGA                            PA...............   42117          2.50
UNION                            PA...............   42119          2.70
VENANGO                          PA...............   42121          2.10
WARREN                           PA...............   42123          2.10
WASHINGTON                       PA...............   42125          2.10
WAYNE                            PA...............   42127          2.70
WESTMORELAND                     PA...............   42129          2.30
WYOMING                          PA...............   42131          2.50
YORK                             PA...............   42133          2.90
BRISTOL                          RI...............   44001          3.25
KENT                             RI...............   44003          3.25
NEWPORT                          RI...............   44005          3.25
PROVIDENCE                       RI...............   44007          3.25
WASHINGTON                       RI...............   44009          3.25
ABBEVILLE                        SC...............   45001          3.10
AIKEN                            SC...............   45003          3.30
ALLENDALE                        SC...............   45005          3.30
ANDERSON                         SC...............   45007          3.10
BAMBERG                          SC...............   45009          3.30
BARNWELL                         SC...............   45011          3.30
BEAUFORT                         SC...............   45013          3.30
BERKELEY                         SC...............   45015          3.30
CALHOUN                          SC...............   45017          3.30
CHARLESTON                       SC...............   45019          3.30
CHEROKEE                         SC...............   45021          3.10
CHESTER                          SC...............   45023          3.10
CHESTERFIELD                     SC...............   45025          3.30
CLARENDON                        SC...............   45027          3.30
COLLETON                         SC...............   45029          3.30
DARLINGTON                       SC...............   45031          3.30
DILLON                           SC...............   45033          3.30
DORCHESTER                       SC...............   45035          3.30
EDGEFIELD                        SC...............   45037          3.30
FAIRFIELD                        SC...............   45039          3.30
FLORENCE                         SC...............   45041          3.30
GEORGETOWN                       SC...............   45043          3.30
GREENVILLE                       SC...............   45045          3.10
GREENWOOD                        SC...............   45047          3.10
HAMPTON                          SC...............   45049          3.30
HORRY                            SC...............   45051          3.30
JASPER                           SC...............   45053          3.30
KERSHAW                          SC...............   45055          3.30
LANCASTER                        SC...............   45057          3.10
LAURENS                          SC...............   45059          3.10
LEE                              SC...............   45061          3.30
LEXINGTON                        SC...............   45063          3.30
MARION                           SC...............   45067          3.30
MARLBORO                         SC...............   45069          3.30
MCCORMICK                        SC...............   45065          3.10
NEWBERRY                         SC...............   45071          3.30
OCONEE                           SC...............   45073          3.10
ORANGEBURG                       SC...............   45075          3.30
PICKENS                          SC...............   45077          3.10
RICHLAND                         SC...............   45079          3.30
SALUDA                           SC...............   45081          3.30
SPARTANBURG                      SC...............   45083          3.10
SUMTER                           SC...............   45085          3.30
UNION                            SC...............   45087          3.10
WILLIAMSBURG                     SC...............   45089          3.30
YORK                             SC...............   45091          3.10
AURORA                           SD...............   46003          1.70
BEADLE                           SD...............   46005          1.70
BENNETT                          SD...............   46007          1.70
BON HOMME                        SD...............   46009          1.75
BROOKINGS                        SD...............   46011          1.70
BROWN                            SD...............   46013          1.70
BRULE                            SD...............   46015          1.70
BUFFALO                          SD...............   46017          1.70
BUTTE                            SD...............   46019          1.65
CAMPBELL                         SD...............   46021          1.65
CHARLES MIX                      SD...............   46023          1.75
CLARK                            SD...............   46025          1.70
CLAY                             SD...............   46027          1.75
CODINGTON                        SD...............   46029          1.70
CORSON                           SD...............   46031          1.65
CUSTER                           SD...............   46033          1.80
DAVISON                          SD...............   46035          1.70
DAY                              SD...............   46037          1.70
DEUEL                            SD...............   46039          1.70
DEWEY                            SD...............   46041          1.65
DOUGLAS                          SD...............   46043          1.75
EDMUNDS                          SD...............   46045          1.70
FALL RIVER                       SD...............   46047          1.80
FAULK                            SD...............   46049          1.70
GRANT                            SD...............   46051          1.70
GREGORY                          SD...............   46053          1.75
HAAKON                           SD...............   46055          1.70
HAMLIN                           SD...............   46057          1.70
HAND                             SD...............   46059          1.70
HANSON                           SD...............   46061          1.70
HARDING                          SD...............   46063          1.65
HUGHES                           SD...............   46065          1.70
HUTCHINSON                       SD...............   46067          1.75
HYDE                             SD...............   46069          1.70
JACKSON                          SD...............   46071          1.70
JERAULD                          SD...............   46073          1.70
JONES                            SD...............   46075          1.70
KINGSBURY                        SD...............   46077          1.70
LAKE                             SD...............   46079          1.70
LAWRENCE                         SD...............   46081          1.80
LINCOLN                          SD...............   46083          1.75
LYMAN                            SD...............   46085          1.70
MARSHALL                         SD...............   46091          1.70
MCCOOK                           SD...............   46087          1.70
MCPHERSON                        SD...............   46089          1.70
MEADE                            SD...............   46093          1.65
MELLETTE                         SD...............   46095          1.70

[[Page 68]]

 
MINER                            SD...............   46097          1.70
MINNEHAHA                        SD...............   46099          1.70
MOODY                            SD...............   46101          1.70
PENNINGTON                       SD...............   46103          1.80
PERKINS                          SD...............   46105          1.65
POTTER                           SD...............   46107          1.70
ROBERTS                          SD...............   46109          1.70
SANBORN                          SD...............   46111          1.70
SHANNON                          SD...............   46113          1.80
SPINK                            SD...............   46115          1.70
STANLEY                          SD...............   46117          1.70
SULLY                            SD...............   46119          1.70
TODD                             SD...............   46121          1.70
TRIPP                            SD...............   46123          1.70
TURNER                           SD...............   46125          1.75
UNION                            SD...............   46127          1.75
WALWORTH                         SD...............   46129          1.70
YANKTON                          SD...............   46135          1.75
ZIEBACH                          SD...............   46137          1.65
ANDERSON                         TN...............   47001          2.80
BEDFORD                          TN...............   47003          2.60
BENTON                           TN...............   47005          2.60
BLEDSOE                          TN...............   47007          2.60
BLOUNT                           TN...............   47009          2.80
BRADLEY                          TN...............   47011          2.80
CAMPBELL                         TN...............   47013          2.80
CANNON                           TN...............   47015          2.60
CARROLL                          TN...............   47017          2.60
CARTER                           TN...............   47019          2.80
CHEATHAM                         TN...............   47021          2.60
CHESTER                          TN...............   47023          2.80
CLAIBORNE                        TN...............   47025          2.80
CLAY                             TN...............   47027          2.60
COCKE                            TN...............   47029          2.80
COFFEE                           TN...............   47031          2.60
CROCKETT                         TN...............   47033          2.60
CUMBERLAND                       TN...............   47035          2.80
DAVIDSON                         TN...............   47037          2.60
DE KALB                          TN...............   47041          2.60
DECATUR                          TN...............   47039          2.60
DICKSON                          TN...............   47043          2.60
DYER                             TN...............   47045          2.60
FAYETTE                          TN...............   47047          2.80
FENTRESS                         TN...............   47049          2.60
FRANKLIN                         TN...............   47051          2.80
GIBSON                           TN...............   47053          2.60
GILES                            TN...............   47055          2.80
GRAINGER                         TN...............   47057          2.80
GREENE                           TN...............   47059          2.80
GRUNDY                           TN...............   47061          2.60
HAMBLEN                          TN...............   47063          2.80
HAMILTON                         TN...............   47065          2.80
HANCOCK                          TN...............   47067          2.80
HARDEMAN                         TN...............   47069          2.80
HARDIN                           TN...............   47071          2.80
HAWKINS                          TN...............   47073          2.80
HAYWOOD                          TN...............   47075          2.60
HENDERSON                        TN...............   47077          2.60
HENRY                            TN...............   47079          2.60
HICKMAN                          TN...............   47081          2.60
HOUSTON                          TN...............   47083          2.60
HUMPHREYS                        TN...............   47085          2.60
JACKSON                          TN...............   47087          2.60
JEFFERSON                        TN...............   47089          2.80
JOHNSON                          TN...............   47091          2.80
KNOX                             TN...............   47093          2.80
LAKE                             TN...............   47095          2.60
LAUDERDALE                       TN...............   47097          2.60
LAWRENCE                         TN...............   47099          2.80
LEWIS                            TN...............   47101          2.60
LINCOLN                          TN...............   47103          2.80
LOUDON                           TN...............   47105          2.80
MACON                            TN...............   47111          2.60
MADISON                          TN...............   47113          2.60
MARION                           TN...............   47115          2.80
MARSHALL                         TN...............   47117          2.60
MAURY                            TN...............   47119          2.60
MCMINN                           TN...............   47107          2.80
MCNAIRY                          TN...............   47109          2.80
MEIGS                            TN...............   47121          2.80
MONROE                           TN...............   47123          2.80
MONTGOMERY                       TN...............   47125          2.60
MOORE                            TN...............   47127          2.80
MORGAN                           TN...............   47129          2.80
OBION                            TN...............   47131          2.60
OVERTON                          TN...............   47133          2.60
PERRY                            TN...............   47135          2.60
PICKETT                          TN...............   47137          2.60
POLK                             TN...............   47139          2.80
PUTNAM                           TN...............   47141          2.60
RHEA                             TN...............   47143          2.80
ROANE                            TN...............   47145          2.80
ROBERTSON                        TN...............   47147          2.60
RUTHERFORD                       TN...............   47149          2.60
SCOTT                            TN...............   47151          2.80
SEQUATCHIE                       TN...............   47153          2.80
SEVIER                           TN...............   47155          2.80
SHELBY                           TN...............   47157          2.80
SMITH                            TN...............   47159          2.60
STEWART                          TN...............   47161          2.60
SULLIVAN                         TN...............   47163          2.80
SUMNER                           TN...............   47165          2.60
TIPTON                           TN...............   47167          2.80
TROUSDALE                        TN...............   47169          2.60
UNICOI                           TN...............   47171          2.80
UNION                            TN...............   47173          2.80
VAN BUREN                        TN...............   47175          2.60
WARREN                           TN...............   47177          2.60
WASHINGTON                       TN...............   47179          2.80
WAYNE                            TN...............   47181          2.80
WEAKLEY                          TN...............   47183          2.60
WHITE                            TN...............   47185          2.60
WILLIAMSON                       TN...............   47187          2.60
WILSON                           TN...............   47189          2.60
ANDERSON                         TX...............   48001          3.15
ANDREWS                          TX...............   48003          2.40
ANGELINA                         TX...............   48005          3.15
ARANSAS                          TX...............   48007          3.65
ARCHER                           TX...............   48009          2.80
ARMSTRONG                        TX...............   48011          2.40
ATASCOSA                         TX...............   48013          3.45
AUSTIN                           TX...............   48015          3.60
BAILEY                           TX...............   48017          2.40
BANDERA                          TX...............   48019          3.30
BASTROP                          TX...............   48021          3.30
BAYLOR                           TX...............   48023          2.60
BEE                              TX...............   48025          3.65
BELL                             TX...............   48027          3.15
BEXAR                            TX...............   48029          3.45
BLANCO                           TX...............   48031          3.30
BORDEN                           TX...............   48033          2.40
BOSQUE                           TX...............   48035          3.15
BOWIE                            TX...............   48037          3.00
BRAZORIA                         TX...............   48039          3.60
BRAZOS                           TX...............   48041          3.30
BREWSTER                         TX...............   48043          2.40
BRISCOE                          TX...............   48045          2.40
BROOKS                           TX...............   48047          3.65
BROWN                            TX...............   48049          2.80
BURLESON                         TX...............   48051          3.30
BURNET                           TX...............   48053          3.30
CALDWELL                         TX...............   48055          3.45
CALHOUN                          TX...............   48057          3.65
CALLAHAN                         TX...............   48059          2.80

[[Page 69]]

 
CAMERON                          TX...............   48061          3.65
CAMP                             TX...............   48063          3.00
CARSON                           TX...............   48065          2.40
CASS                             TX...............   48067          3.00
CASTRO                           TX...............   48069          2.40
CHAMBERS                         TX...............   48071          3.60
CHEROKEE                         TX...............   48073          3.15
CHILDRESS                        TX...............   48075          2.40
CLAY                             TX...............   48077          2.80
COCHRAN                          TX...............   48079          2.40
COKE                             TX...............   48081          2.60
COLEMAN                          TX...............   48083          2.80
COLLIN                           TX...............   48085          3.00
COLLINGSWORTH                    TX...............   48087          2.40
COLORADO                         TX...............   48089          3.60
COMAL                            TX...............   48091          3.45
COMANCHE                         TX...............   48093          2.80
CONCHO                           TX...............   48095          2.80
COOKE                            TX...............   48097          3.00
CORYELL                          TX...............   48099          3.15
COTTLE                           TX...............   48101          2.40
CRANE                            TX...............   48103          2.40
CROCKETT                         TX...............   48105          2.60
CROSBY                           TX...............   48107          2.40
CULBERSON                        TX...............   48109          2.40
DALLAM                           TX...............   48111          2.40
DALLAS                           TX...............   48113          3.00
DAWSON                           TX...............   48115          2.40
DE WITT                          TX...............   48123          3.60
DEAF SMITH                       TX...............   48117          2.40
DELTA                            TX...............   48119          3.00
DENTON                           TX...............   48121          3.00
DICKENS                          TX...............   48125          2.40
DIMMIT                           TX...............   48127          3.45
DONLEY                           TX...............   48129          2.40
DUVAL                            TX...............   48131          3.65
EASTLAND                         TX...............   48133          2.80
ECTOR                            TX...............   48135          2.40
EDWARDS                          TX...............   48137          2.80
EL PASO                          TX...............   48141          2.25
ELLIS                            TX...............   48139          3.00
ERATH                            TX...............   48143          3.00
FALLS                            TX...............   48145          3.15
FANNIN                           TX...............   48147          3.00
FAYETTE                          TX...............   48149          3.60
FISHER                           TX...............   48151          2.60
FLOYD                            TX...............   48153          2.40
FOARD                            TX...............   48155          2.60
FORT BEND                        TX...............   48157          3.60
FRANKLIN                         TX...............   48159          3.00
FREESTONE                        TX...............   48161          3.15
FRIO                             TX...............   48163          3.45
GAINES                           TX...............   48165          2.40
GALVESTON                        TX...............   48167          3.60
GARZA                            TX...............   48169          2.40
GILLESPIE                        TX...............   48171          3.30
GLASSCOCK                        TX...............   48173          2.60
GOLIAD                           TX...............   48175          3.65
GONZALES                         TX...............   48177          3.45
GRAY                             TX...............   48179          2.40
GRAYSON                          TX...............   48181          3.00
GREGG                            TX...............   48183          3.00
GRIMES                           TX...............   48185          3.30
GUADALUPE                        TX...............   48187          3.45
HALE                             TX...............   48189          2.40
HALL                             TX...............   48191          2.40
HAMILTON                         TX...............   48193          3.15
HANSFORD                         TX...............   48195          2.40
HARDEMAN                         TX...............   48197          2.60
HARDIN                           TX...............   48199          3.60
HARRIS                           TX...............   48201          3.60
HARRISON                         TX...............   48203          3.00
HARTLEY                          TX...............   48205          2.40
HASKELL                          TX...............   48207          2.60
HAYS                             TX...............   48209          3.45
HEMPHILL                         TX...............   48211          2.40
HENDERSON                        TX...............   48213          3.00
HIDALGO                          TX...............   48215          3.65
HILL                             TX...............   48217          3.15
HOCKLEY                          TX...............   48219          2.40
HOOD                             TX...............   48221          3.00
HOPKINS                          TX...............   48223          3.00
HOUSTON                          TX...............   48225          3.15
HOWARD                           TX...............   48227          2.40
HUDSPETH                         TX...............   48229          2.25
HUNT                             TX...............   48231          3.00
HUTCHINSON                       TX...............   48233          2.40
IRION                            TX...............   48235          2.60
JACK                             TX...............   48237          2.80
JACKSON                          TX...............   48239          3.60
JASPER                           TX...............   48241          3.30
JEFF DAVIS                       TX...............   48243          2.40
JEFFERSON                        TX...............   48245          3.60
JIM HOGG                         TX...............   48247          3.65
JIM WELLS                        TX...............   48249          3.65
JOHNSON                          TX...............   48251          3.00
JONES                            TX...............   48253          2.60
KARNES                           TX...............   48255          3.65
KAUFMAN                          TX...............   48257          3.00
KENDALL                          TX...............   48259          3.30
KENEDY                           TX...............   48261          3.65
KENT                             TX...............   48263          2.60
KERR                             TX...............   48265          3.30
KIMBLE                           TX...............   48267          2.80
KING                             TX...............   48269          2.60
KINNEY                           TX...............   48271          3.30
KLEBERG                          TX...............   48273          3.65
KNOX                             TX...............   48275          2.60
LA SALLE                         TX...............   48283          3.45
LAMAR                            TX...............   48277          3.00
LAMB                             TX...............   48279          2.40
LAMPASAS                         TX...............   48281          3.15
LAVACA                           TX...............   48285          3.60
LEE                              TX...............   48287          3.30
LEON                             TX...............   48289          3.15
LIBERTY                          TX...............   48291          3.60
LIMESTONE                        TX...............   48293          3.15
LIPSCOMB                         TX...............   48295          2.40
LIVE OAK                         TX...............   48297          3.65
LLANO                            TX...............   48299          3.30
LOVING                           TX...............   48301          2.40
LUBBOCK                          TX...............   48303          2.40
LYNN                             TX...............   48305          2.40
MADISON                          TX...............   48313          3.30
MARION                           TX...............   48315          3.00
MARTIN                           TX...............   48317          2.40
MASON                            TX...............   48319          2.80
MATAGORDA                        TX...............   48321          3.60
MAVERICK                         TX...............   48323          3.30
MCCULLOCH                        TX...............   48307          2.80
MCLENNAN                         TX...............   48309          3.15
MCMULLEN                         TX...............   48311          3.45
MEDINA                           TX...............   48325          3.30
MENARD                           TX...............   48327          2.80
MIDLAND                          TX...............   48329          2.40
MILAM                            TX...............   48331          3.30
MILLS                            TX...............   48333          2.80
MITCHELL                         TX...............   48335          2.60
MONTAGUE                         TX...............   48337          2.80
MONTGOMERY                       TX...............   48339          3.60
MOORE                            TX...............   48341          2.40
MORRIS                           TX...............   48343          3.00
MOTLEY                           TX...............   48345          2.40
NACOGDOCHES                      TX...............   48347          3.15

[[Page 70]]

 
NAVARRO                          TX...............   48349          3.15
NEWTON                           TX...............   48351          3.30
NOLAN                            TX...............   48353          2.60
NUECES                           TX...............   48355          3.65
OCHILTREE                        TX...............   48357          2.40
OLDHAM                           TX...............   48359          2.40
ORANGE                           TX...............   48361          3.60
PALO PINTO                       TX...............   48363          2.80
PANOLA                           TX...............   48365          3.00
PARKER                           TX...............   48367          3.00
PARMER                           TX...............   48369          2.40
PECOS                            TX...............   48371          2.40
POLK                             TX...............   48373          3.30
POTTER                           TX...............   48375          2.40
PRESIDIO                         TX...............   48377          2.40
RAINS                            TX...............   48379          3.00
RANDALL                          TX...............   48381          2.40
REAGAN                           TX...............   48383          2.60
REAL                             TX...............   48385          3.30
RED RIVER                        TX...............   48387          3.00
REEVES                           TX...............   48389          2.40
REFUGIO                          TX...............   48391          3.65
ROBERTS                          TX...............   48393          2.40
ROBERTSON                        TX...............   48395          3.30
ROCKWALL                         TX...............   48397          3.00
RUNNELS                          TX...............   48399          2.80
RUSK                             TX...............   48401          3.00
SABINE                           TX...............   48403          3.15
SAN AUGUSTINE                    TX...............   48405          3.15
SAN JACINTO                      TX...............   48407          3.30
SAN PATRICIO                     TX...............   48409          3.65
SAN SABA                         TX...............   48411          2.80
SCHLEICHER                       TX...............   48413          2.80
SCURRY                           TX...............   48415          2.60
SHACKELFORD                      TX...............   48417          2.80
SHELBY                           TX...............   48419          3.15
SHERMAN                          TX...............   48421          2.40
SMITH                            TX...............   48423          3.00
SOMERVELL                        TX...............   48425          3.00
STARR                            TX...............   48427          3.65
STEPHENS                         TX...............   48429          2.80
STERLING                         TX...............   48431          2.60
STONEWALL                        TX...............   48433          2.60
SUTTON                           TX...............   48435          2.80
SWISHER                          TX...............   48437          2.40
TARRANT                          TX...............   48439          3.00
TAYLOR                           TX...............   48441          2.60
TERRELL                          TX...............   48443          2.60
TERRY                            TX...............   48445          2.40
THROCKMORTON                     TX...............   48447          2.80
TITUS                            TX...............   48449          3.00
TOM GREEN                        TX...............   48451          2.80
TRAVIS                           TX...............   48453          3.30
TRINITY                          TX...............   48455          3.30
TYLER                            TX...............   48457          3.30
UPSHUR                           TX...............   48459          3.00
UPTON                            TX...............   48461          2.40
UVALDE                           TX...............   48463          3.30
VAL VERDE                        TX...............   48465          2.80
VAN ZANDT                        TX...............   48467          3.00
VICTORIA                         TX...............   48469          3.65
WALKER                           TX...............   48471          3.30
WALLER                           TX...............   48473          3.60
WARD                             TX...............   48475          2.40
WASHINGTON                       TX...............   48477          3.30
WEBB                             TX...............   48479          3.45
WHARTON                          TX...............   48481          3.60
WHEELER                          TX...............   48483          2.40
WICHITA                          TX...............   48485          2.80
WILBARGER                        TX...............   48487          2.60
WILLACY                          TX...............   48489          3.65
WILLIAMSON                       TX...............   48491          3.30
WILSON                           TX...............   48493          3.45
WINKLER                          TX...............   48495          2.40
WISE                             TX...............   48497          3.00
WOOD                             TX...............   48499          3.00
YOAKUM                           TX...............   48501          2.40
YOUNG                            TX...............   48503          2.80
ZAPATA                           TX...............   48505          3.65
ZAVALA                           TX...............   48507          3.30
BEAVER                           UT...............   49001          1.60
BOX ELDER                        UT...............   49003          1.90
CACHE                            UT...............   49005          1.90
CARBON                           UT...............   49007          1.90
DAGGETT                          UT...............   49009          1.90
DAVIS                            UT...............   49011          1.90
DUCHESNE                         UT...............   49013          1.90
EMERY                            UT...............   49015          1.90
GARFIELD                         UT...............   49017          1.60
GRAND                            UT...............   49019          1.90
IRON                             UT...............   49021          1.60
JUAB                             UT...............   49023          1.90
KANE                             UT...............   49025          1.60
MILLARD                          UT...............   49027          1.90
MORGAN                           UT...............   49029          1.90
PIUTE                            UT...............   49031          1.60
RICH                             UT...............   49033          1.90
SALT LAKE                        UT...............   49035          1.90
SAN JUAN                         UT...............   49037          1.60
SANPETE                          UT...............   49039          1.90
SEVIER                           UT...............   49041          1.90
SUMMIT                           UT...............   49043          1.90
TOOELE                           UT...............   49045          1.90
UINTAH                           UT...............   49047          1.90
UTAH                             UT...............   49049          1.90
WASATCH                          UT...............   49051          1.90
WASHINGTON                       UT...............   49053          1.60
WAYNE                            UT...............   49055          1.60
WEBER                            UT...............   49057          1.90
ACCOMACK                         VA...............   51001          3.00
ALBEMARLE                        VA...............   51003          2.80
ALEXANDRIA CITY                  VA...............   51510          3.00
ALLEGHANY                        VA...............   51005          2.80
AMELIA                           VA...............   51007          3.10
AMHERST                          VA...............   51009          2.80
APPOMATTOX                       VA...............   51011          2.80
ARLINGTON                        VA...............   51013          3.00
AUGUSTA                          VA...............   51015          2.80
BATH                             VA...............   51017          2.80
BEDFORD                          VA...............   51019          2.80
BEDFORD CITY                     VA...............   51515          2.80
BLAND                            VA...............   51021          2.80
BOTETOURT                        VA...............   51023          2.80
BRISTOL CITY                     VA...............   51520          2.80
BRUNSWICK                        VA...............   51025          3.10
BUCHANAN                         VA...............   51027          2.80
BUCKINGHAM                       VA...............   51029          2.80
BUENA VISTA CITY                 VA...............   51530          2.80
CAMPBELL                         VA...............   51031          2.80
CAROLINE                         VA...............   51033          3.10
CARROLL                          VA...............   51035          2.80
CHARLES CITY                     VA...............   51036          3.10
CHARLOTTE                        VA...............   51037          3.10
CHARLOTTESVILLE CITY             VA...............   51540          2.80
CHESAPEAKE CITY                  VA...............   51550          3.20
CHESTERFIELD                     VA...............   51041          3.10
CLARKE                           VA...............   51043          2.80
CLIFTON FORGE CITY               VA...............   51560          2.80
COLONIAL HEIGHTS CITY            VA...............   51570          3.10
COVINGTON CITY                   VA...............   51580          2.80
CRAIG                            VA...............   51045          2.80
CULPEPER                         VA...............   51047          2.80
CUMBERLAND                       VA...............   51049          2.80
DANVILLE CITY                    VA...............   51590          2.80

[[Page 71]]

 
DICKENSON                        VA...............   51051          2.80
DINWIDDIE                        VA...............   51053          3.10
EMPORIA CITY                     VA...............   51595          3.10
ESSEX                            VA...............   51057          3.10
FAIRFAX                          VA...............   51059          3.00
FAIRFAX CITY                     VA...............   51600          3.00
FALLS CHURCH CITY                VA...............   51610          3.00
FAUQUIER                         VA...............   51061          3.00
FLOYD                            VA...............   51063          2.80
FLUVANNA                         VA...............   51065          2.80
FRANKLIN                         VA...............   51067          2.80
FRANKLIN CITY                    VA...............   51620          3.10
FREDERICK                        VA...............   51069          2.80
FREDERICKSBURG CITY              VA...............   51630          2.80
GALAX CITY                       VA...............   51640          2.80
GILES                            VA...............   51071          2.80
GLOUCESTER                       VA...............   51073          3.20
GOOCHLAND                        VA...............   51075          3.10
GRAYSON                          VA...............   51077          2.80
GREENE                           VA...............   51079          2.80
GREENSVILLE                      VA...............   51081          3.10
HALIFAX                          VA...............   51083          3.10
HAMPTON CITY                     VA...............   51650          3.20
HANOVER                          VA...............   51085          3.10
HARRISONBURG CITY                VA...............   51660          2.80
HENRICO                          VA...............   51087          3.10
HENRY                            VA...............   51089          2.80
HIGHLAND                         VA...............   51091          2.80
HOPEWELL CITY                    VA...............   51670          3.10
ISLE OF WIGHT                    VA...............   51093          3.20
JAMES CITY                       VA...............   51095          3.10
KING AND QUEEN                   VA...............   51097          3.10
KING GEORGE                      VA...............   51099          3.10
KING WILLIAM                     VA...............   51101          3.10
LANCASTER                        VA...............   51103          3.10
LEE                              VA...............   51105          2.80
LEXINGTON CITY                   VA...............   51678          2.80
LOUDOUN                          VA...............   51107          3.00
LOUISA                           VA...............   51109          2.80
LUNENBURG                        VA...............   51111          3.10
LYNCHBURG CITY                   VA...............   51680          2.80
MADISON                          VA...............   51113          2.80
MANASSAS CITY                    VA...............   51683          3.00
MANASSAS PARK CITY               VA...............   51685          3.00
MARTINSVILLE CITY                VA...............   51690          2.80
MATHEWS                          VA...............   51115          3.20
MECKLENBURG                      VA...............   51117          3.10
MIDDLESEX                        VA...............   51119          3.10
MONTGOMERY                       VA...............   51121          2.80
NELSON                           VA...............   51125          2.80
NEW KENT                         VA...............   51127          3.10
NEWPORT NEWS CITY                VA...............   51700          3.20
NORFOLK CITY                     VA...............   51710          3.20
NORTHAMPTON                      VA...............   51131          3.00
NORTHUMBERLAND                   VA...............   51133          3.10
NORTON CITY                      VA...............   51720          2.80
NOTTOWAY                         VA...............   51135          3.10
ORANGE                           VA...............   51137          2.80
PAGE                             VA...............   51139          2.80
PATRICK                          VA...............   51141          2.80
PETERSBURG CITY                  VA...............   51730          3.10
PITTSYLVANIA                     VA...............   51143          2.80
POQUOSON CITY                    VA...............   51735          3.20
PORTSMOUTH CITY                  VA...............   51740          3.20
POWHATAN                         VA...............   51145          3.10
PRINCE EDWARD                    VA...............   51147          3.10
PRINCE GEORGE                    VA...............   51149          3.10
PRINCE WILLIAM                   VA...............   51153          3.00
PULASKI                          VA...............   51155          2.80
RADFORD CITY                     VA...............   51750          2.80
RAPPAHANNOCK                     VA...............   51157          2.80
RICHMOND                         VA...............   51159          3.10
RICHMOND CITY                    VA...............   51760          3.10
ROANOKE                          VA...............   51161          2.80
ROANOKE CITY                     VA...............   51770          2.80
ROCKBRIDGE                       VA...............   51163          2.80
ROCKINGHAM                       VA...............   51165          2.80
RUSSELL                          VA...............   51167          2.80
SALEM CITY                       VA...............   51775          2.80
SCOTT                            VA...............   51169          2.80
SHENANDOAH                       VA...............   51171          2.80
SMYTH                            VA...............   51173          2.80
SOUTHAMPTON                      VA...............   51175          3.10
SPOTSYLVANIA                     VA...............   51177          2.80
STAFFORD                         VA...............   51179          3.00
STAUNTON CITY                    VA...............   51790          2.80
SUFFOLK CITY                     VA...............   51800          3.20
SURRY                            VA...............   51181          3.10
SUSSEX                           VA...............   51183          3.10
TAZEWELL                         VA...............   51185          2.80
VIRGINIA BEACH CITY              VA...............   51810          3.20
WARREN                           VA...............   51187          2.80
WASHINGTON                       VA...............   51191          2.80
WAYNESBORO CITY                  VA...............   51820          2.80
WESTMORELAND                     VA...............   51193          3.10
WILLIAMSBURG CITY                VA...............   51830          3.10
WINCHESTER CITY                  VA...............   51840          2.80
WISE                             VA...............   51195          2.80
WYTHE                            VA...............   51197          2.80
YORK                             VA...............   51199          3.20
ADDISON                          VT...............   50001          2.60
BENNINGTON                       VT...............   50003          2.80
CALEDONIA                        VT...............   50005          2.60
CHITTENDEN                       VT...............   50007          2.50
ESSEX                            VT...............   50009          2.40
FRANKLIN                         VT...............   50011          2.40
GRAND ISLE                       VT...............   50013          2.40
LAMOILLE                         VT...............   50015          2.50
ORANGE                           VT...............   50017          2.60
ORLEANS                          VT...............   50019          2.40
RUTLAND                          VT...............   50021          2.60
WASHINGTON                       VT...............   50023          2.60
WINDHAM                          VT...............   50025          2.80
WINDSOR                          VT...............   50027          2.80
ADAMS                            WA...............   53001          1.75
ASOTIN                           WA...............   53003          1.75
BENTON                           WA...............   53005          1.75
CHELAN                           WA...............   53007          1.75
CLALLAM                          WA...............   53009          1.90
CLARK                            WA...............   53011          1.90
COLUMBIA                         WA...............   53013          1.75
COWLITZ                          WA...............   53015          1.90
DOUGLAS                          WA...............   53017          1.75
FERRY                            WA...............   53019          1.90
FRANKLIN                         WA...............   53021          1.75
GARFIELD                         WA...............   53023          1.75
GRANT                            WA...............   53025          1.75
GRAYS HARBOR                     WA...............   53027          1.90
ISLAND                           WA...............   53029          1.90
JEFFERSON                        WA...............   53031          1.90
KING                             WA...............   53033          1.90
KITSAP                           WA...............   53035          1.90
KITTITAS                         WA...............   53037          1.75
KLICKITAT                        WA...............   53039          1.75
LEWIS                            WA...............   53041          1.90
LINCOLN                          WA...............   53043          1.90
MASON                            WA...............   53045          1.90
OKANOGAN                         WA...............   53047          1.75
PACIFIC                          WA...............   53049          1.90
PEND OREILLE                     WA...............   53051          1.90
PIERCE                           WA...............    5303          1.90
SAN JUAN                         WA...............   53055          1.90
SKAGIT                           WA...............   53057          1.90
SKAMANIA                         WA...............   53059          1.90

[[Page 72]]

 
SNOHOMISH                        WA...............   53061          1.90
SPOKANE                          WA...............   53063          1.90
STEVENS                          WA...............   53065          1.90
THURSTON                         WA...............   53067          1.90
WAHKIAKUM                        WA...............   53069          1.90
WALLA WALLA                      WA...............   53071          1.75
WHATCOM                          WA...............   53073          1.90
WHITMAN                          WA...............   53075          1.90
YAKIMA                           WA...............   53077          1.75
ADAMS                            WI...............   55001          1.70
ASHLAND                          WI...............   55003          1.70
BARRON                           WI...............   55005          1.70
BAYFIELD                         WI...............   55007          1.70
BROWN                            WI...............   55009          1.75
BUFFALO                          WI...............   55011          1.70
BURNETT                          WI...............   55013          1.70
CALUMET                          WI...............   55015          1.75
CHIPPEWA                         WI...............   55017          1.70
CLARK                            WI...............   55019          1.70
COLUMBIA                         WI...............   55021          1.75
CRAWFORD                         WI...............   55023          1.75
DANE                             WI...............   55025          1.75
DODGE                            WI...............   55027          1.75
DOOR                             WI...............   55029          1.75
DOUGLAS                          WI...............   55031          1.70
DUNN                             WI...............   55033          1.70
EAU CLAIRE                       WI...............   55035          1.70
FLORENCE                         WI...............   55037          1.70
FOND DU LAC                      WI...............   55039          1.75
FOREST                           WI...............   55041          1.70
GRANT                            WI...............   55043          1.75
GREEN                            WI...............   55045          1.75
GREEN LAKE                       WI...............   55047          1.70
IOWA                             WI...............   55049          1.75
IRON                             WI...............   55051          1.70
JACKSON                          WI...............   55053          1.70
JEFFERSON                        WI...............   55055          1.75
JUNEAU                           WI...............   55057          1.70
KENOSHA                          WI...............   55059          1.75
KEWAUNEE                         WI...............   55061          1.75
LA CROSSE                        WI...............   55063          1.70
LAFAYETTE                        WI...............   55065          1.75
LANGLADE                         WI...............   55067          1.70
LINCOLN                          WI...............   55069          1.70
MANITOWOC                        WI...............   55071          1.75
MARATHON                         WI...............   55073          1.70
MARINETTE                        WI...............   55075          1.70
MARQUETTE                        WI...............   55077          1.70
MENOMINEE                        WI...............   55078          1.70
MILWAUKEE                        WI...............   55079          1.75
MONROE                           WI...............   55081          1.70
OCONTO                           WI...............   55083          1.70
ONEIDA                           WI...............   55085          1.70
OUTAGAMIE                        WI...............   55087          1.75
OZAUKEE                          WI...............   55089          1.75
PEPIN                            WI...............   55091          1.70
PIERCE                           WI...............   55093          1.70
POLK                             WI...............   55095          1.70
PORTAGE                          WI...............   55097          1.70
PRICE                            WI...............   55099          1.70
RACINE                           WI...............   55101          1.75
RICHLAND                         WI...............   55103          1.75
ROCK                             WI...............   55105          1.75
RUSK                             WI...............   55107          1.70
SAUK                             WI...............   55111          1.75
SAWYER                           WI...............   55113          1.70
SHAWANO                          WI...............   55115          1.70
SHEBOYGAN                        WI...............   55117          1.75
ST. CROIX                        WI...............   55109          1.70
TAYLOR                           WI...............   55119          1.70
TREMPEALEAU                      WI...............   55121          1.70
VERNON                           WI...............   55123          1.75
VILAS                            WI...............   55125          1.70
WALWORTH                         WI...............   55127          1.75
WASHBURN                         WI...............   55129          1.70
WASHINGTON                       WI...............   55131          1.75
WAUKESHA                         WI...............   55133          1.75
WAUPACA                          WI...............   55135          1.75
WAUSHARA                         WI...............   55137          1.70
WINNEBAGO                        WI...............   55139          1.75
WOOD                             WI...............   55141          1.70
BARBOUR                          WV...............   54001          2.30
BERKELEY                         WV...............   54003          2.60
BOONE                            WV...............   54005          2.20
BRAXTON                          WV...............   54007          2.20
BROOKE                           WV...............   54009          2.10
CABELL                           WV...............   54011          2.20
CALHOUN                          WV...............   54013          2.20
CLAY                             WV...............   54015          2.20
DODDRIDGE                        WV...............   54017          2.10
FAYETTE                          WV...............   54019          2.20
GILMER                           WV...............   54021          2.20
GRANT                            WV...............   54023          2.60
GREENBRIER                       WV...............   54025          2.20
HAMPSHIRE                        WV...............   54027          2.60
HANCOCK                          WV...............   54029          2.10
HARDY                            WV...............   54031          2.60
HARRISON                         WV...............   54033          2.10
JACKSON                          WV...............   54035          2.20
JEFFERSON                        WV...............   54037          2.60
KANAWHA                          WV...............   54039          2.20
LEWIS                            WV...............   54041          2.10
LINCOLN                          WV...............   54043          2.20
LOGAN                            WV...............   54045          2.20
MARION                           WV...............   54049          2.10
MARSHALL                         WV...............   54051          2.10
MASON                            WV...............   54053          2.20
MCDOWELL                         WV...............   54047          2.80
MERCER                           WV...............   54055          2.80
MINERAL                          WV...............   54057          2.60
MINGO                            WV...............   54059          2.20
MONONGALIA                       WV...............   54061          2.10
MONROE                           WV...............   54063          2.20
MORGAN                           WV...............   54065          2.60
NICHOLAS                         WV...............   54067          2.20
OHIO                             WV...............   54069          2.10
PENDLETON                        WV...............   54071          2.60
PLEASANTS                        WV...............   54073          2.20
POCAHONTAS                       WV...............   54075          2.20
PRESTON                          WV...............   54077          2.30
PUTNAM                           WV...............   54079          2.20
RALEIGH                          WV...............   54081          2.20
RANDOLPH                         WV...............   54083          2.30
RITCHIE                          WV...............   54085          2.20
ROANE                            WV...............   54087          2.20
SUMMERS                          WV...............   54089          2.20
TAYLOR                           WV...............   54091          2.30
TUCKER                           WV...............   54093          2.30
TYLER                            WV...............   54095          2.10
UPSHUR                           WV...............   54097          2.30
WAYNE                            WV...............   54099          2.20
WEBSTER                          WV...............   54101          2.20
WETZEL                           WV...............   54103          2.10
WIRT                             WV...............   54105          2.20
WOOD                             WV...............   54107          2.20
WYOMING                          WV...............   54109          2.20
ALBANY                           WY...............   56001          1.90
BIG HORN                         WY...............   56003          1.60
CAMPBELL                         WY...............   56005          1.65
CARBON                           WY...............   56007          1.90
CONVERSE                         WY...............   56009          1.70
CROOK                            WY...............   56011          1.65
FREMONT                          WY...............   56013          1.60
GOSHEN                           WY...............   56015          1.90

[[Page 73]]

 
HOT SPRINGS                      WY...............   56017          1.60
JOHNSON                          WY...............   56019          1.65
LARAMIE                          WY...............   56021          2.45
LINCOLN                          WY...............   56023          1.60
NATRONA                          WY...............   56025          1.70
NIOBRARA                         WY...............   56027          1.70
PARK                             WY...............   56029          1.60
PLATTE                           WY...............   56031          1.90
SHERIDAN                         WY...............   56033          1.60
SUBLETTE                         WY...............   56035          1.60
SWEETWATER                       WY...............   56037          1.90
TETON                            WY...............   56039          1.60
UINTA                            WY...............   56041          1.90
WASHAKIE                         WY...............   56043          1.60
WESTON                           WY...............   56045          1.70
------------------------------------------------------------------------


[64 FR 70869, Dec. 17, 1999; 64 FR 73386, Dec. 30, 1999, as amended at 
68 FR 48771, Aug. 15, 2003]



Sec.  1000.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    (a) On or before the 5th day of the month, the market administrator 
for each Federal milk marketing order shall announce the following 
prices (as applicable to that order) for the preceding month:
    (1) The Class II price;
    (2) The Class II butterfat price;
    (3) The Class III price;
    (4) The Class III skim milk price;
    (5) The Class IV price;
    (6) The Class IV skim milk price;
    (7) The butterfat price;
    (8) The nonfat solids price;
    (9) The protein price;
    (10) The other solids price; and
    (11) The somatic cell adjustment rate.
    (b) On or before the 23rd day of the month, the market administrator 
for each Federal milk marketing order shall announce the following 
prices and pricing factors for the following month:
    (1) The Class I price;
    (2) The Class I skim milk price;
    (3) The Class I butterfat price;
    (4) The Class II skim milk price;
    (5) The Class II nonfat solids price; and
    (6) The advanced pricing factors described in Sec.  1000.50(q).



Sec.  1000.54  Equivalent price.

    If for any reason a price or pricing constituent required for 
computing the prices described in Sec.  1000.50 is not available, the 
market administrator shall use a price or pricing constituent determined 
by the Deputy Administrator, Dairy Programs, Agricultural Marketing 
Service, to be equivalent to the price or pricing constituent that is 
required.



                       Subpart H_Payments for Milk



Sec.  1000.70  Producer-settlement fund.

    The market administrator shall establish and maintain a separate 
fund known as the producer-settlement fund into which the market 
administrator shall deposit all payments made by handlers pursuant to 
Sec. Sec.  --------.71, --------.76, and --------.77 of each Federal 
milk order and out of which the market administrator shall make all 
payments pursuant to Sec. Sec.  --------.72 and --------.77 of each 
Federal milk order. Payments due any handler shall be offset by any 
payments due from that handler.



Sec.  1000.76  Payments by a handler operating a partially regulated 
distributing plant.

    On or before the 25th day after the end of the month (except as 
provided in Sec.  1000.90), the operator of a partially regulated 
distributing plant, other than a plant that is subject to marketwide 
pooling of producer returns under a State government's milk 
classification and pricing program, shall pay to the market 
administrator for the producer-settlement fund the amount computed 
pursuant to paragraph (a) of this section or, if the handler submits the 
information specified in Sec. Sec.  --------.30(b) and --------.31(b) of 
the order, the handler may elect to pay the amount computed pursuant to 
paragraph (b) of this section. A partially regulated distributing plant 
that is subject to marketwide pooling of

[[Page 74]]

producer returns under a State government's milk classification and 
pricing program shall pay the amount computed pursuant to paragraph (c) 
of this section.
    (a) The payment under this paragraph shall be an amount resulting 
from the following computations:
    (1) From the plant's route disposition in the marketing area:
    (i) Subtract receipts of fluid milk products classified as Class I 
milk from pool plants, plants fully regulated under other Federal 
orders, and handlers described in Sec.  1000.9(c) and Sec.  1135.11 of 
this chapter, except those receipts subtracted under a similar provision 
of another Federal milk order;
    (ii) Subtract receipts of fluid milk products from another nonpool 
plant that is not a plant fully regulated under another Federal order to 
the extent that an equivalent amount of fluid milk products disposed of 
to the nonpool plant by handlers fully regulated under any Federal order 
is classified and priced as Class I milk and is not used as an offset 
for any payment obligation under any order; and
    (iii) Subtract the pounds of reconstituted milk made from nonfluid 
milk products which are disposed of as route disposition in the 
marketing area;
    (2) For orders with multiple component pricing, compute a Class I 
differential price by subtracting Class III price from the current 
month's Class I price. Multiply the pounds remaining after the 
computation in paragraph (a)(1)(iii) of this section by the amount by 
which the Class I differential price exceeds the producer price 
differential, both prices to be applicable at the location of the 
partially regulated distributing plant except that neither the adjusted 
Class I differential price nor the adjusted producer price differential 
shall be less than zero;
    (3) For orders with skim milk and butterfat pricing, multiply the 
remaining pounds by the amount by which the Class I price exceeds the 
uniform price, both prices to be applicable at the location of the 
partially regulated distributing plant except that neither the adjusted 
Class I price nor the adjusted uniform price differential shall be less 
than the lowest announced class price; and
    (4) Unless the payment option described in paragraph (d) is 
selected, add the amount obtained from multiplying the pounds of labeled 
reconstituted milk included in paragraph (a)(1)(iii) of this section by 
any positive difference between the Class I price applicable at the 
location of the partially regulated distributing plant (less $1.00 if 
the reconstituted milk is labeled as such) and the Class IV price.
    (b) The payment under this paragraph shall be the amount resulting 
from the following computations:
    (1) Determine the value that would have been computed pursuant to 
Sec.  --------.60 of the order for the partially regulated distributing 
plant if the plant had been a pool plant, subject to the following 
modifications:
    (i) Fluid milk products and bulk fluid cream products received at 
the plant from a pool plant, a plant fully regulated under another 
Federal order, and handlers described in Sec.  1000.9(c) and Sec.  
1135.11 of this chapter shall be allocated at the partially regulated 
distributing plant to the same class in which such products were 
classified at the fully regulated plant;
    (ii) Fluid milk products and bulk fluid cream products transferred 
from the partially regulated distributing plant to a pool plant or a 
plant fully regulated under another Federal order shall be classified at 
the partially regulated distributing plant in the class to which 
allocated at the fully regulated plant. Such transfers shall be 
allocated to the extent possible to those receipts at the partially 
regulated distributing plant from the pool plant and plants fully 
regulated under other Federal orders that are classified in the 
corresponding class pursuant to paragraph (b)(1)(i) of this section. Any 
such transfers remaining after the above allocation which are in Class I 
and for which a value is computed pursuant to Sec.  --------.60 of the 
order for the partially regulated distributing plant shall be priced at 
the statistical uniform price or uniform price, whichever is applicable, 
of the respective order regulating the handling of milk at the receiving 
plant, with such statistical uniform price or uniform price adjusted to 
the location of the nonpool

[[Page 75]]

plant (but not to be less than the lowest announced class price of the 
respective order); and
    (iii) If the operator of the partially regulated distributing plant 
so requests, the handler's value of milk determined pursuant to Sec.  --
------.60 of the order shall include a value of milk determined for each 
nonpool plant that is not a plant fully regulated under another Federal 
order which serves as a supply plant for the partially regulated 
distributing plant by making shipments to the partially regulated 
distributing plant during the month equivalent to the requirements of 
Sec.  --------. 7(c) of the order subject to the following conditions:
    (A) The operator of the partially regulated distributing plant 
submits with its reports filed pursuant to Sec. Sec.  --------.30(b) and 
--------.31(b) of the order similar reports for each such nonpool supply 
plant;
    (B) The operator of the nonpool plant maintains books and records 
showing the utilization of all skim milk and butterfat received at the 
plant which are made available if requested by the market administrator 
for verification purposes; and
    (C) The value of milk determined pursuant to Sec.  --------.60 for 
the unregulated supply plant shall be determined in the same manner 
prescribed for computing the obligation of the partially regulated 
distributing plant; and
    (2) From the partially regulated distributing plant's value of milk 
computed pursuant to paragraph (b)(1) of this section, subtract:
    (i) The gross payments that were made for milk that would have been 
producer milk had the plant been fully regulated;
    (ii) If paragraph (b)(1)(iii) of this section applies, the gross 
payments by the operator of the nonpool supply plant for milk received 
at the plant during the month that would have been producer milk if the 
plant had been fully regulated; and
    (iii) The payments by the operator of the partially regulated 
distributing plant to the producer-settlement fund of another Federal 
order under which the plant is also a partially regulated distributing 
plant and, if paragraph (b)(1)(iii) of this section applies, payments 
made by the operator of the nonpool supply plant to the producer-
settlement fund of any order.
    (c) The operator of a partially regulated distributing plant that is 
subject to marketwide pooling of returns under a milk classification and 
pricing program that is imposed under the authority of a State 
government shall pay on or before the 25th day after the end of the 
month (except as provided in Sec.  1000.90) to the market administrator 
for the producer-settlement fund an amount computed as follows:
    After completing the computations described in paragraphs (a)(1)(i) 
and (ii) of this section, determine the value of the remaining pounds of 
fluid milk products disposed of as route disposition in the marketing 
area by multiplying the hundredweight of such pounds by the amount, if 
greater than zero, that remains after subtracting the State program's 
class prices applicable to such products at the plant's location from 
the Federal order Class I price applicable at the location of the plant.
    (d) Any handler may elect partially regulated distributing plant 
status for any plant with respect to receipts of nonfluid milk 
ingredients that are reconstituted for fluid use. Payments may be made 
to the producer-settlement fund of the order regulating the producer 
milk used to produce the nonfluid milk ingredients at the positive 
difference between the Class I price applicable under the other order at 
the location of the plant where the nonfluid milk ingredients were 
processed and the Class IV price. This payment option shall apply only 
if a majority of the total milk received at the plant that processed the 
nonfluid milk ingredients is regulated under one or more Federal orders 
and payment may only be made to the producer-settlement fund of the 
order pricing a plurality of the milk used to produce the nonfluid milk 
ingredients. This payment option shall not apply if the source of the 
nonfluid ingredients used in reconstituted fluid milk products cannot be 
determined by the market administrator.

[[Page 76]]



Sec.  1000.77  Adjustment of accounts.

    Whenever audit by the market administrator of any handler's reports, 
books, records, or accounts, or other verification discloses errors 
resulting in money due the market administrator from a handler, or due a 
handler from the market administrator, or due a producer or cooperative 
association from a handler, the market administrator shall promptly 
notify such handler of any amount so due and payment thereof shall be 
made on or before the next date for making payments as set forth in the 
provisions under which the error(s) occurred.



Sec.  1000.78  Charges on overdue accounts.

    Any unpaid obligation due the market administrator, producers, or 
cooperative associations from a handler pursuant to the provisions of 
the order shall be increased 1.0 percent each month beginning with the 
day following the date such obligation was due under the order. Any 
remaining amount due shall be increased at the same rate on the 
corresponding day of each succeeding month until paid. The amounts 
payable pursuant to this section shall be computed monthly on each 
unpaid obligation and shall include any unpaid charges previously 
computed pursuant to this section. The late charges shall accrue to the 
administrative assessment fund. For the purpose of this section, any 
obligation that was determined at a date later than prescribed by the 
order because of a handler's failure to submit a report to the market 
administrator when due shall be considered to have been payable by the 
date it would have been due if the report had been filed when due.



   Subpart I_Administrative Assessment and Marketing Service Deduction



Sec.  1000.85  Assessment for order administration.

    On or before the payment receipt date specified under Sec.  ------
--.71 of each Federal milk order each handler shall pay to the market 
administrator its pro rata share of the expense of administration of the 
order at a rate specified by the market administrator that is no more 
than 5 cents per hundredweight with respect to:
    (a) Receipts of producer milk (including the handler's own 
production) other than such receipts by a handler described in Sec.  
1000.9(c) that were delivered to pool plants of other handlers;
    (b) Receipts from a handler described in Sec.  1000.9(c);
    (c) Receipts of concentrated fluid milk products from unregulated 
supply plants and receipts of nonfluid milk products assigned to Class I 
use pursuant to Sec.  1000.43(d) and other source milk allocated to 
Class I pursuant to Sec.  1000.44(a) (3) and (8) and the corresponding 
steps of Sec.  1000.44(b), except other source milk that is excluded 
from the computations pursuant to Sec.  --------.60 (d) and (e) of parts 
1005, 1006, and 1007 of this chapter or Sec.  --------.60 (h) and (i) of 
parts 1001, 1030, 1032, 1033, 1124, 1126, 1131, and 1135 of this 
chapter; and
    (d) Route disposition in the marketing area from a partially 
regulated distributing plant that exceeds the skim milk and butterfat 
subtracted pursuant to Sec.  1000.76(a)(1) (i) and (ii).



Sec.  1000.86  Deduction for marketing services.

    (a) Except as provided in paragraph (b) of this section, each 
handler in making payments to producers for milk (other than milk of 
such handler's own production) pursuant to Sec.  --------.73 of each 
Federal milk order shall deduct an amount specified by the market 
administrator that is no more than 7 cents per hundredweight and shall 
pay the amount deducted to the market administrator not later than the 
payment receipt date specified under Sec.  --------.71 of each Federal 
milk order. The money shall be used by the market administrator to 
verify or establish weights, samples and tests of producer milk and 
provide market information for producers who are not receiving such 
services from a cooperative association. The services shall be performed 
in whole or in part by the market administrator or an agent engaged by 
and responsible to the market administrator.

[[Page 77]]

    (b) In the case of producers for whom the market administrator has 
determined that a cooperative association is actually performing the 
services set forth in paragraph (a) of this section, each handler shall 
make deductions from the payments to be made to producers as may be 
authorized by the membership agreement or marketing contract between the 
cooperative association and the producers. On or before the 15th day 
after the end of the month (except as provided in Sec.  1000.90), such 
deductions shall be paid to the cooperative association rendering the 
services accompanied by a statement showing the amount of any deductions 
and the amount of milk for which the deduction was computed for each 
producer. These deductions shall be made in lieu of the deduction 
specified in paragraph (a) of this section.



                   Subpart J_Miscellaneous Provisions



Sec.  1000.90  Dates.

    If a date required for a payment contained in a Federal milk order 
falls on a Saturday, Sunday, or national holiday, such payment will be 
due on the next day that the market administrator's office is open for 
public business.



Sec. Sec.  1000.91-1000.92  [Reserved]



Sec.  1000.93  OMB control number assigned pursuant to the Paperwork 
Reduction Act.

    The information collection requirements contained in this part have 
been approved by the Office of Management and Budget (OMB) under the 
provisions of Title 44 U.S.C. chapter 35 and have been assigned OMB 
control number 0581-0032.



PART 1001_MILK IN THE NORTHEAST MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1001.1 General provisions.

                               Definitions

1001.2 Northeast marketing area.
1001.3 Route disposition.
1001.4 Plant.
1001.5 Distributing plant.
1001.6 Supply plant.
1001.7 Pool plant.
1001.8 Nonpool plant.
1001.9 Handler.
1001.10 Producer-handler.
1001.11 [Reserved]
1001.12 Producer.
1001.13 Producer milk.
1001.14 Other source milk.
1001.15 Fluid milk product.
1001.16 Fluid cream product.
1001.17 [Reserved]
1001.18 Cooperative association.
1001.19 Commercial food processing establishment.

                             Handler Reports

1001.30 Reports of receipts and utilization.
1001.31 Payroll reports.
1001.32 Other reports.

                         Classification of Milk

1001.40 Classes of utilization.
1001.41 [Reserved]
1001.42 Classification of transfers and diversions.
1001.43 General classification rules.
1001.44 Classification of producer milk.
1001.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1001.50 Class prices, component prices, and advanced pricing factors.
1001.51 Class I differential and price.
1001.52 Adjusted Class I differentials.
1001.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1001.54 Equivalent price.

                       Producer Price Differential

1001.60 Handler's value of milk.
1001.61 Computation of producer price differential.
1001.62 Announcement of producer prices.

                            Payments for Milk

1001.70 Producer-settlement fund.
1001.71 Payments to the producer-settlement fund.
1001.72 Payments from the producer-settlement fund.
1001.73 Payments to producers and to cooperative associations.
1001.74 [Reserved]
1001.75 Plant location adjustments for producer milk and nonpool milk.
1001.76 Payments by a handler operating a partially regulated 
          distributing plant.
1001.77 Adjustment of accounts.
1001.78 Charges on overdue accounts.

[[Page 78]]

        Administrative Assessment and Marketing Service Deduction

1001.85 Assessment for order administration.
1001.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 47954, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1001.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1001. In this part 1001, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1001.2  Northeast marketing area.

    The marketing area means all the territory within the bounds of the 
following states and political subdivisions, including all piers, docks 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

 Connecticut, Delaware, Massachusetts, New Hampshire, New Jersey, Rhode 
                Island, Vermont and District of Columbia

    All of the States of Connecticut, Delaware, Massachusetts, New 
Hampshire, New Jersey, Rhode Island, Vermont and the District of 
Columbia.

                            Maryland Counties

    All of the State of Maryland except the counties of Allegany and 
Garrett.

                New York Counties, Cities, and Townships

    All counties within the State of New York except Allegany, 
Cattaraugus, Chatauqua, Erie, Genessee, Livingston, Monroe, Niagara, 
Ontario, Orleans, Seneca, Wayne, and Wyoming; the townships of Conquest, 
Montezuma, Sterling and Victory in Cayuga County; the city of Hornell, 
and the townships of Avoca, Bath, Bradford, Canisteo, Cohocton, 
Dansville, Fremont, Pulteney, Hartsville, Hornellsville, Howard, 
Prattsburg, Urbana, Wayland, Wayne and Wheeler in Steuben County; and 
the townships of Italy, Middlesex, and Potter in Yates County.

                          Pennsylvania Counties

    Adams, Bucks, Chester, Cumberland, Dauphin, Delaware, Franklin, 
Fulton, Juniata, Lancaster, Lebanon, Montgomery, Perry, Philadelphia, 
and York.

                      Virginia Counties and Cities

    Arlington, Fairfax, Loudoun, and Prince William, and the cities of 
Alexandria, Fairfax, Falls Church, Manassas, and Manassas Park.



Sec.  1001.3  Route disposition.

    See Sec.  1000.3.



Sec.  1001.4  Plant.

    (a) Except as provided in paragraph (b) of this section, plant means 
the land, buildings, facilities, and equipment constituting a single 
operating unit or establishment at which milk or milk products are 
received, processed, or packaged, including a facility described in 
paragraph (b)(2) of this section if the facility receives the milk of 
more than one dairy farmer.
    (b) Plant shall not include:
    (1) A separate building without stationary storage tanks that is 
used only as a reload point for transferring bulk milk from one tank 
truck to another or a separate building used only as a distribution 
point for storing packaged fluid milk products in transit for route 
disposition;
    (2) An on-farm facility operated as part of a single dairy farm 
entity for the separation of cream and skim milk or the removal of water 
from milk; or
    (3) Bulk reload points where milk is transferred from one tank truck 
to another while en route from dairy farmers' farms to a plant. If 
stationary storage tanks are used for transferring milk at the premises, 
the operator of the facility shall make an advance written request to 
the market administrator that the facility shall be treated as a reload 
point. The cooling of milk, collection of samples, and washing and 
sanitizing of tank trucks at the premises shall not disqualify it as a 
bulk reload point.



Sec.  1001.5  Distributing plant.

    See Sec.  1000.5.

[[Page 79]]



Sec.  1001.6  Supply plant.

    See Sec.  1000.6.



Sec.  1001.7  Pool plant.

    Pool plant means a plant, unit of plants, or system of plants as 
specified in paragraphs (a) through (f) of this section, but excluding a 
plant described in paragraph (h) of this section. The pooling standards 
described in paragraphs (c) and (f) of this section are subject to 
modification pursuant to paragraph (g) of this section.
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this section or Sec.  --------.7(b) 
of any other Federal milk order, from which during the month 25 percent 
or more of the total quantity of fluid milk products physically received 
at the plant (excluding concentrated milk received from another plant by 
agreement for other than Class I use) are disposed of as route 
disposition or are transferred in the form of packaged fluid milk 
products to other distributing plants. At least 25 percent of such route 
disposition and transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 25 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which fluid milk products are transferred or 
diverted to plants described in paragraph (a) or (b) of this section 
subject to the additional conditions described in this paragraph. In the 
case of a supply plant operated by a cooperative association handler 
described in Sec.  1000.9(c), fluid milk products that the cooperative 
delivers to pool plants directly from producers' farms shall be treated 
as if transferred from the cooperative association's plant for the 
purpose of meeting the shipping requirements of this paragraph.
    (1) During the months of August and December, such shipments must 
equal not less than 10 percent of the total quantity of milk that is 
received at the plant or diverted from it pursuant to Sec.  1001.13 
during the month;
    (2) During the months of September through November, such shipments 
must equal not less than 20 percent of the total quantity of milk that 
is received at the plant or diverted from it pursuant to Sec.  1001.13 
during the month;
    (3) A plant which meets the shipping requirements of this paragraph 
during each of the months of August through December shall be a pool 
plant during the following months of January through July unless the 
milk received at the plant fails to meet the requirements of a duly 
constituted regulatory agency, the plant fails to meet a shipping 
requirement instituted pursuant to paragraph (f) of this section, or the 
plant operator requests nonpool status for the plant. The shipping 
requirement for any plant which has not met the requirements of 
paragraphs (c)(1) and (c)(2) of this section must equal not less than 10 
percent of the total quantity of milk that is received at the plant or 
diverted from it pursuant to Sec.  1001.13 during each of the months of 
January through July in order for the plant to be a pool plant in each 
of those months;
    (4) If milk is delivered directly from producers' farms that are 
located outside of the states included in the marketing area or outside 
Maine or West Virginia, such producers must be grouped by state into 
reporting units and each reporting unit must independently meet the 
shipping requirements of this paragraph; and
    (5) Concentrated milk transferred from the supply plant to a 
distributing plant for an agreed-upon use other than Class I shall be 
excluded from the supply plant's shipments in computing the percentages 
in paragraphs (c)(1) and (2) of this section.
    (d) [Reserved]
    (e) Two or more plants that are located in the marketing area and 
operated by the same handler may qualify as a unit by meeting the total 
and in-area route distribution requirements specified in paragraph (a) 
of this section subject to the following additional requirements:
    (1) At least one of the plants in the unit qualifies as a pool plant 
pursuant to paragraph (a) of this section;

[[Page 80]]

    (2) Other plants in the unit must process only Class I or Class II 
products and must be located in a pricing zone providing the same or a 
lower Class I price than the price applicable at the distributing plant 
included in the unit; and
    (3) A written request to form a unit, or to add or remove plants 
from a unit, or to cancel a unit, must be filed with the market 
administrator prior to the first day of the month for which unit 
formation is to be effective.
    (f) Two or more supply plants operated by the same handler, or by 
one or more cooperative associations, may qualify for pooling as a 
system of plants by meeting the applicable percentage requirements of 
paragraph (c) of this section in the same manner as a single plant 
subject to the following additional requirements:
    (1) A supply plant system will be effective for the period of August 
1 through July 31 of the following year. Written notification must be 
given to the market administrator listing the plants to be included in 
the system prior to the first day of July preceding the effective date 
of the system. The plants included in the system shall be listed in the 
sequence in which they shall qualify for pool plant status based on the 
minimum deliveries required. If the deliveries made are insufficient to 
qualify the entire system for pooling, the last listed plant shall be 
excluded from the system, followed by the plant next-to-last on the 
list, and continuing in this sequence until remaining listed plants have 
met the minimum shipping requirements; and
    (2) Each plant that qualifies as a pool plant within a system shall 
continue each month as a plant in the system through the following July 
unless the plant subsequently fails to qualify for pooling, the handler 
submits a written notification to the market administrator prior to the 
first day of the month that the plant be deleted from the system, or 
that the system be discontinued. Any plant that has been so deleted from 
the system, or that has failed to qualify as a pool plant in any month, 
will not be part of the system for the remaining months through July. 
For any system that qualifies in August, no plant may be added in any 
subsequent month through the following July unless the plant replaces 
another plant in the system that has ceased operations and the market 
administrator is notified of such replacement prior to the first day of 
the month for which it is to be effective.
    (g) The applicable shipping percentages of paragraphs (c) and (f) of 
this section may be increased or decreased by the market administrator 
if the market administrator finds that such adjustment is necessary to 
encourage needed shipments or to prevent uneconomic shipments. Before 
making such a finding, the market administrator shall investigate the 
need for adjustment either on the market administrator's own initiative 
or at the request of interested parties if the request is made in 
writing at least 15 days prior to the month for which the requested 
revision is desired effective. If the investigation shows that an 
adjustment of the shipping percentages might be appropriate, the market 
administrator shall issue a notice stating that an adjustment is being 
considered and invite data, views and arguments. Any decision to revise 
an applicable shipping percentage must be issued in writing at least one 
day before the effective date.
    (h) The term pool plant shall not apply to the following plants:
    (1) A producer-handler plant;
    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant qualified pursuant to paragraph (a) of this section that 
is located within the marketing area if the plant also meets the pooling 
requirements of another Federal order and more than 50 percent of its 
route distribution has been in such other Federal order marketing area 
for 3 consecutive months;
    (4) A plant qualified pursuant to paragraph (a) of this section 
which is not located within any Federal order marketing area that meets 
the pooling requirements of another Federal order and has had greater 
route disposition in such other Federal order's marketing area for 3 
consecutive months;
    (5) A plant qualified pursuant to paragraph (a) of this section that 
is located in another Federal order marketing area if the plant meets 
the pooling requirements of such other Federal

[[Page 81]]

order and does not have a majority of its route distribution in this 
marketing area for 3 consecutive months or if the plant is required to 
be regulated under such other Federal order without regard to its route 
disposition in any other Federal order marketing area;
    (6) A plant qualified pursuant to paragraph (c) of this section 
which also meets the pooling requirements of another Federal order and 
from which greater qualifying shipments are made to plants regulated 
under the other Federal order than are made to plants regulated under 
the order in this part, or the plant has automatic pooling status under 
the other Federal order; and
    (7) That portion of a pool plant designated as a ``nonpool plant'' 
that is physically separate and operated separately from the pool 
portion of such plant. The designation of a portion of a regulated plant 
as a nonpool plant must be requested in writing by the handler and must 
be approved by the market administrator.



Sec.  1001.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1001.9  Handler.

    See Sec.  1000.9.



Sec.  1001.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is monthly route disposition in the marketing area during the month;
    (b) Receives milk solely from own farm production or receives milk 
that is fully subject to the pricing and pooling provisions of this or 
any other Federal order;
    (c) Receives at its plant or acquires for route disposition no more 
than 150,000 pounds of fluid milk products from handlers fully regulated 
under any Federal order. This limitation shall not apply if the 
producer-handler's own farm production is less than 150,000 pounds 
during the month;
    (d) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products; 
and
    (e) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled (excluding receipts from handlers 
fully regulated under any Federal order) and the processing and 
packaging operations are the producer-handler's own enterprise and at 
its own risk.



Sec.  1001.11  [Reserved]



Sec.  1001.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
(or components of milk) is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1001.13; or
    (2) Received by a handler described in Sec.  1000.9(c).
    (b) Producer shall not include a dairy farmer described in 
paragraphs (b)(1) through (6) of this section. A dairy farmer described 
in paragraphs (b)(5) or (6) of this section shall be known as a dairy 
farmer for other markets.
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1001.13(d);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and that milk is allocated by request to a utilization other than Class 
I;
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with respect to that portion 
of the milk so diverted that is assigned to Class I under the provisions 
of such other order;
    (5) For any month of December through June, any dairy farmer whose 
milk is received at a pool plant or by a cooperative association handler 
described in Sec.  1000.9(c) if the pool plant operator or the 
cooperative association caused milk from the same farm to be delivered 
to any plant as other than

[[Page 82]]

producer milk, as defined under the order in this part or any other 
Federal milk order, during the same month, either of the 2 preceding 
months, or during any of the preceding months of July through November; 
and
    (6) For any month of July through November, any dairy farmer whose 
milk is received at a pool plant or by a cooperative association handler 
described in Sec.  1000.9(c) if the pool plant operator or the 
cooperative association caused milk from the same farm to be delivered 
to any plant as other than producer milk, as defined under the order in 
this part or any other Federal milk order, during the same month.



Sec.  1001.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk) and butterfat contained in milk of a producer 
that is:
    (a) Received by the operator of a pool plant directly from a 
producer or from a handler described in Sec.  1000.9(c). Any milk which 
is picked up from the producer's farm in a tank truck under the control 
of the operator of a pool plant or a handler described in Sec.  
1000.9(c) but which is not received at a plant until the following month 
shall be considered as having been received by the handler during the 
month in which it is picked up at the farm. All milk received pursuant 
to this paragraph shall be priced at the location of the plant where it 
is first physically received;
    (b) Received by the operator of a pool plant or a handler described 
in Sec.  1000.9(c) in excess of the quantity delivered to pool plants 
subject to the following conditions:
    (1) The producers whose farms are outside of the states included in 
the marketing area and outside the states of Maine or West Virginia 
shall be organized into state units and each such unit shall be reported 
separately; and
    (2) For pooling purposes, each reporting unit must satisfy the 
shipping standards specified for a supply plant pursuant to Sec.  
1001.7(c);
    (c) Diverted by a proprietary pool plant operator to another pool 
plant. Milk so diverted shall be priced at the location of the plant to 
which diverted; or
    (d) Diverted by the operator of a pool plant or by a handler 
described in Sec.  1000.9(c) to a nonpool plant, subject to the 
following conditions:
    (1) Milk of a dairy farmer shall not be eligible for diversion 
unless milk of such dairy farmer was physically received as producer 
milk at a pool plant and the dairy farmer has continuously retained 
producer status since that time. If a dairy farmer loses producer status 
under the order in this part (except as a result of a temporary loss of 
Grade A approval), the dairy farmer's milk shall not be eligible for 
diversion until milk of the dairy farmer has been physically received as 
producer milk at a pool plant; and
    (2) Diverted milk shall be priced at the location of the plant to 
which diverted.



Sec.  1001.14  Other source milk.

    See Sec.  1000.14.



Sec.  1001.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1001.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1001.17  [Reserved]



Sec.  1001.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1001.19  Commercial food processing establishment.

    See Sec.  1000.19.

                             Handler Reports



Sec.  1001.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 9th day after the end of the 
month, in the detail and on prescribed forms, as follows:
    (a) Each pool plant operator shall report for each of its operations 
the following information:
    (1) Product pounds, pounds of butterfat, pounds of protein, and 
pounds of nonfat solids other than protein (other solids) contained in 
or represented by:

[[Page 83]]

    (i) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c); and
    (ii) Receipts of milk from handlers described in Sec.  1000.9(c);
    (2) Product pounds and pounds of butterfat contained in:
    (i) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (ii) Receipts of other source milk; and
    (iii) Inventories at the beginning and end of the month of fluid 
milk products and bulk fluid cream products;
    (3) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph; and
    (4) Such other information with respect to the receipts and 
utilization of skim milk, butterfat, milk protein, and other nonfat 
solids as the market administrator may prescribe.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. The report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The product pounds, pounds of butterfat, pounds of protein, and 
the pounds of solids-not-fat other than protein (other solids) contained 
in receipts of milk from producers; and
    (2) The utilization or disposition of such receipts.
    (d) Each handler not specified in paragraph (a) or (b) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1001.31  Payroll reports.

    (a) On or before the 22nd day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1001.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for the month, in detail prescribed 
by the market administrator, showing for each producer the information 
specified in Sec.  1001.73(e).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1001.32  Other reports.

    In addition to the reports required pursuant to Sec. Sec.  1001.30 
and 1001.31, each handler shall report any information the market 
administrator deems necessary to verify or establish each handler's 
obligation under the order.

                         Classification of Milk



Sec.  1001.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1001.41  [Reserved]



Sec.  1001.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1001.43  General classification rules.

    See Sec.  1000.43.



Sec.  1001.44  Classification of producer milk.

    See Sec.  1000.44.



Sec.  1001.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1001.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.



Sec.  1001.51  Class I differential and price.

    The Class I differential shall be the differential established for 
Suffolk County, Massachusetts, which is reported in Sec.  1000.52. The 
Class I price shall be the price computed pursuant

[[Page 84]]

to Sec.  1000.50(a) for Suffolk County, Massachusetts.



Sec.  1001.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1001.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1001.54  Equivalent price.

    See Sec.  1000.54.

                       Producer Price Differential



Sec.  1001.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at a pool plant by adding the amounts 
computed in paragraphs (a) through (h) of this section and subtracting 
from that total amount the value computed in paragraph (i) of this 
section. Unless otherwise specified, the skim milk, butterfat, and the 
combined pounds of skim milk and butterfat referred to in this section 
shall result from the steps set forth in Sec.  1000.44(a), (b), and (c), 
respectively, and the nonfat components of producer milk in each class 
shall be based upon the proportion of such components in producer skim 
milk. Receipts of nonfluid milk products that are distributed as labeled 
reconstituted milk for which payments are made to the producer-
settlement fund of another Federal order under Sec.  1000.76(a)(4) or 
(d) shall be excluded from pricing under this section.
    (a) Class I value. (1) Multiply the pounds of skim milk in Class I 
by the Class I skim milk price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class I by the Class I butterfat price.
    (b) Class II value. (1) Multiply the pounds of nonfat solids in 
Class II skim milk by the Class II nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class II times the Class II butterfat price.
    (c) Class III value. (1) Multiply the pounds of protein in Class III 
skim milk by the protein price;
    (2) Add an amount obtained by multiplying the pounds of other solids 
in Class III skim milk by the other solids price; and
    (3) Add an amount obtained by multiplying the pounds of butterfat in 
Class III by the butterfat price.
    (d) Class IV value. (1) Multiply the pounds of nonfat solids in 
Class IV skim milk by the nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class IV by the butterfat price.
    (e) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) and the corresponding 
step of Sec.  1000.44(b) by the skim milk prices and butterfat prices 
applicable to each class.
    (f) Multiply the difference between the current month's Class I, II, 
or III price, as the case may be, and the Class IV price for the 
preceding month by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (g) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3)(i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from a plant regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under other Federal orders, and unregulated supply 
plants.
    (h) Multiply the difference between the Class I price applicable at 
the location of the nearest unregulated supply plants from which an 
equivalent volume was received and the Class III price by the pounds of 
skim milk and butterfat in receipts of concentrated fluid milk products 
assigned to Class I pursuant to Sec.  1000.43(d) and Sec.  
1000.44(a)(3)(i) and the corresponding

[[Page 85]]

step of Sec.  1000.44(b) and the pounds of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(8) and the 
corresponding step of Sec.  1000.44(b), excluding such skim milk and 
butterfat in receipts of fluid milk products from an unregulated supply 
plant to the extent that an equivalent amount of skim milk or butterfat 
disposed of to such plant by handlers fully regulated under any Federal 
milk order is classified and priced as Class I milk and is not used as 
an offset for any other payment obligation under any order.
    (i) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 47954, Sept. 1, 1999, as amended at 65 FR 82834, Dec. 28, 2000; 
68 FR 7065, Feb. 12, 2003]



Sec.  1001.61  Computation of producer price differential.

    For each month, the market administrator shall compute a producer 
price differential per hundredweight. The report of any handler who has 
not made payments required pursuant to Sec.  1001.71 for the preceding 
month shall not be included in the computation of the producer price 
differential, and such handler's report shall not be included in the 
computation for succeeding months until the handler has made full 
payment of outstanding monthly obligations. Subject to the conditions in 
this paragraph, the market administrator shall compute the producer 
price differential in the following manner:
    (a) Combine into one total the values computed pursuant to Sec.  
1001.60 for all handlers required to file reports prescribed in Sec.  
1001.30;
    (b) Subtract the total of the values obtained by multiplying each 
handler's total pounds of protein, other solids, and butterfat contained 
in the milk for which an obligation was computed pursuant to Sec.  
1001.60 by the protein price, other solids price, and the butterfat 
price, respectively;
    (c) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1001.75;
    (d) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (e) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (1) The total hundredweight of producer milk; and
    (2) The total hundredweight for which a value is computed pursuant 
to Sec.  1001.60(h); and
    (f) Subtract not less than 4 cents nor more than 5 cents from the 
price computed pursuant to paragraph (e) of this section. The result, 
rounded to the nearest cent, shall be known as the producer price 
differential for the month.

[68 FR 7065, Feb. 12, 2003]



Sec.  1001.62  Announcement of producer prices.

    On or before the 13th day after the end of the month, the market 
administrator shall announce the following prices and information:
    (a) The producer price differential;
    (b) The protein price;
    (c) The nonfat solids price;
    (d) The other solids price;
    (e) The butterfat price;
    (f) The average butterfat, protein, nonfat solids, and other solids 
content of producer milk; and
    (g) The statistical uniform price for milk containing 3.5 percent 
butterfat computed by combining the Class III price and the producer 
price differential.

[64 FR 47954, Sept. 1, 1999, as amended at 65 FR 82834, Dec. 28, 2000; 
68 FR 7065, Feb. 12, 2003]

                            Payments for Milk



Sec.  1001.70  Producer-settlement fund.

    See Sec.  1000.70.



Sec.  1001.71  Payments to the producer-settlement fund.

    Each handler shall make payment to the producer-settlement fund in a 
manner that provides receipt of the funds by the market administrator no 
later

[[Page 86]]

than the 15th day after the end of the month (except as provided in 
Sec.  1000.90). Payment shall be the amount, if any, by which the amount 
specified in paragraph (a) of this section exceeds the amount specified 
in paragraph (b) of this section:
    (a) The total value of milk to the handler for the month as 
determined pursuant to Sec.  1001.60.
    (b) The sum of:
    (1) An amount obtained by multiplying the total hundredweight of 
producer milk as determined pursuant to Sec.  1000.44(c) by the producer 
price differential as adjusted pursuant to Sec.  1001.75;
    (2) An amount obtained by multiplying the total pounds of protein, 
other solids, and butterfat contained in producer milk by the protein, 
other solids, and butterfat prices respectively; and
    (3) An amount obtained by multiplying the pounds of skim milk and 
butterfat for which a value was computed pursuant to Sec.  1001.60(h) by 
the producer price differential as adjusted pursuant to Sec.  1001.75 
for the location of the plant from which received.

[64 FR 47954, Sept. 1, 1999, as amended at 65 FR 82834, Dec. 28, 2000; 
68 FR 7066, Feb. 12, 2003]



Sec.  1001.72  Payments from the producer-settlement fund.

    No later than the 16th day after the end of each month (except as 
provided in Sec.  1000.90), the market administrator shall pay to each 
handler the amount, if any, by which the amount computed pursuant to 
Sec.  1001.71(b) exceeds the amount computed pursuant to Sec.  
1001.71(a). If, at such time, the balance in the producer-settlement 
fund is insufficient to make all payments pursuant to this section, the 
market administrator shall reduce uniformly such payments and shall 
complete the payments as soon as the funds are available.



Sec.  1001.73  Payments to producers and to cooperative associations.

    (a) Each handler that is not paying a cooperative association for 
producer milk shall pay each producer as follows:
    (1) Partial payment. For each producer who has not discontinued 
shipments as of the 23rd day of the month, payment shall be made so that 
it is received by the producer on or before the 26th day of the month 
(except as provided in Sec.  1000.90) for milk received during the first 
15 days of the month at not less than the lowest announced class price 
for the preceding month, less proper deductions authorized in writing by 
the producer.
    (2) Final payment. For milk received during the month, payment shall 
be made so that it is received by each producer no later than the day 
after the payment date required in Sec.  1001.72 in an amount computed 
as follows:
    (i) Multiply the hundredweight of producer milk received by the 
producer price differential for the month as adjusted pursuant to Sec.  
1001.75;
    (ii) Multiply the pounds of butterfat received by the butterfat 
price for the month;
    (iii) Multiply the pounds of protein received by the protein price 
for the month;
    (iv) Multiply the pounds of other solids received by the other 
solids price for the month; and
    (v) Add the amounts computed in paragraphs (a)(2)(i) through (iv) of 
this section, and from that sum:
    (A) Subtract the partial payment made pursuant to paragraph (a)(1) 
of this section;
    (B) Subtract the deduction for marketing services pursuant to Sec.  
1000.86;
    (C) Add or subtract for errors made in previous payments to the 
producer; and
    (D) Subtract proper deductions authorized in writing by the 
producer.
    (b) One day before partial and final payments are due pursuant to 
paragraph (a) of this section, each handler shall pay a cooperative 
association for milk received as follows:
    (1) Partial payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk (including the 
milk of producers who are not members of such association and who the 
market administrator determines have authorized the cooperative 
association to collect payment for their milk) received during the first 
15 days of the month from a cooperative

[[Page 87]]

association in any capacity, except as the operator of a pool plant, the 
payment shall be equal to the hundredweight of milk received multiplied 
by the lowest announced class price for the preceding month.
    (2) Partial payment to a cooperative association for milk 
transferred from its pool plant. For bulk milk/skimmed milk products 
received during the first 15 days of the month from a cooperative 
association in its capacity as the operator of a pool plant, the partial 
payment shall be at the pool plant operator's estimated use value of the 
milk using the most recent class prices available at the receiving 
plant's location.
    (3) Final payment to a cooperative association for milk transferred 
from its pool plant. Following the classification of bulk fluid milk 
products and bulk fluid cream products received during the month from a 
cooperative association in its capacity as the operator of a pool plant, 
the final payment for such receipts shall be determined as follows:
    (i) Multiply the hundredweight of Class I skim milk by the Class I 
skim milk price for the month at the receiving plant;
    (ii) Multiply the pounds of Class I butterfat by the Class I 
butterfat price for the month at the receiving plant;
    (iii) Multiply the pounds of nonfat solids in Class II skim milk by 
the Class II nonfat solids price;
    (iv) Multiply the pounds of butterfat in Class II times the Class II 
butterfat price;
    (v) Multiply the pounds of nonfat solids in Class IV milk by the 
nonfat solids price for the month;
    (vi) Multiply the pounds of butterfat in Class III and Class IV milk 
by the butterfat price for the month;
    (vii) Multiply the pounds of protein in Class III milk by the 
protein price for the month;
    (viii) Multiply the pounds of other solids in Class III milk by the 
other solids price for the month; and
    (ix) Add together the amounts computed in paragraphs (b)(3)(i) 
through (viii) of this section and from that sum deduct any payment made 
pursuant to paragraph (b)(2) of this section.
    (4) Final payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk received from a 
cooperative association during the month, including the milk of 
producers who are not members of such association and who the market 
administrator determines have authorized the cooperative association to 
collect payment for their milk, the final payment for such milk shall be 
an amount equal to the sum of the individual payments otherwise payable 
for such milk pursuant to paragraph (a)(2) of this section.
    (c) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1001.72 by the payment date specified in 
paragraph (a) or (b) of this section, the handler may reduce payments 
pursuant to paragraphs (a) and (b) of this section, but by not more than 
the amount of the underpayment. The payments shall be completed on the 
next scheduled payment date after receipt of the balance due from the 
market administrator.
    (d) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer-
settlement fund, and in the event that the handler subsequently locates 
and pays the producer or a lawful claimant, or in the event that the 
handler no longer exists and a lawful claim is later established, the 
market administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant as the case may 
be.
    (e) In making payments to producers pursuant to this section, each 
pool plant operator shall furnish each producer, except a producer whose 
milk was received from a cooperative association handler described in 
Sec.  1000.9(a) or (c), a supporting statement in such form that it may 
be retained by the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and the payroll number of the producer;
    (2) The month and dates that milk was received from the producer, 
including the daily and total pounds of milk received;

[[Page 88]]

    (3) The total pounds of butterfat, protein, and other solids 
contained in the producer's milk;
    (4) The minimum rate or rates at which payment to the producer is 
required pursuant to the order in this part;
    (5) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (6) The amount, or rate per hundredweight, or rate per pound of 
component, and the nature of each deduction claimed by the handler; and
    (7) The net amount of payment to the producer or cooperative 
association.

[64 FR 47954, Sept. 1, 1999, as amended at 65 FR 32010, May 22, 2000; 65 
FR 82835, Dec. 28, 2000; 68 FR 7066, Feb. 12, 2003]



Sec.  1001.74  [Reserved]



Sec.  1001.75  Plant location adjustments for producer milk and nonpool milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1001.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1001.73 and 
1000.76.



Sec.  1001.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1001.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1001.78  Charges on overdue accounts.

    See Sec.  1000.78.

        Administrative Assessment and Marketing Service Deduction



Sec.  1001.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1001.86  Deduction for marketing services.

    See Sec.  1000.86.

                       PARTS 1002-1004 [RESERVED]



PART 1005_MILK IN THE APPALACHIAN MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1005.1 General provisions.

                               Definitions

1005.2 Appalachian marketing area.
1005.3 Route disposition.
1005.4 Plant.
1005.5 Distributing plant.
1005.6 Supply plant.
1005.7 Pool plant.
1005.8 Nonpool plant.
1005.9 Handler.
1005.10 Producer-handler.
1005.11 [Reserved]
1005.12 Producer.
1005.13 Producer milk.
1005.14 Other source milk.
1005.15 Fluid milk product.
1005.16 Fluid cream product.
1005.17 [Reserved]
1005.18 Cooperative association.
1005.19 Commercial food processing establishment.

                             Handler Reports

1005.30 Reports of receipts and utilization.
1005.31 Payroll reports.
1005.32 Other reports.

                         Classification of Milk

1005.40 Classes of utilization.
1005.41 [Reserved]
1005.42 Classification of transfers and diversions.
1005.43 General classification rules.
1005.44 Classification of producer milk.
1005.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1005.50 Class prices, component prices, and advanced pricing factors.
1005.51 Class I differential and price.
1005.52 Adjusted Class I differentials.
1005.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1005.54 Equivalent price.

                             Uniform Prices

1005.60 Handler's value of milk.
1005.61 Computation of uniform prices.
1005.62 Announcement of uniform prices.

[[Page 89]]

                            Payments for Milk

1005.70 Producer-settlement fund.
1005.71 Payments to the producer-settlement fund.
1005.72 Payments from the producer-settlement fund.
1005.73 Payments to producers and to cooperative associations.
1005.74 [Reserved]
1005.75 Plant location adjustments for producer milk and nonpool milk.
1005.76 Payments by a handler operating a partially regulated 
          distributing plant.
1005.77 Adjustment of accounts.
1005.78 Charges on overdue accounts.

                       Marketwide Service Payments

1005.80 Transportation credit balancing fund.
1005.81 Payments to the transportation credit balancing fund.
1005.82 Payments from the transportation credit balancing fund.

        Administrative Assessment and Marketing Service Deduction

1005.85 Assessment for order administration.
1005.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 47960, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1005.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1005. In this part 1005, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1005.2  Appalachian marketing area.

    The marketing area means all the territory within the bounds of the 
following states and political subdivisions, including all piers, docks 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

                            Georgia Counties

    Catoosa, Chattooga, Dade, Fannin, Murray, Walker, and Whitfield.

                            Indiana Counties

    Clark, Crawford, Daviess, Dubois, Floyd, Gibson, Greene, Harrison, 
Knox, Martin, Orange, Perry, Pike, Posey, Scott, Spencer, Sullivan, 
Vanderburgh, Warrick, and Washington.

                            Kentucky Counties

    Adair, Anderson, Bath, Bell, Bourbon, Boyle, Breathitt, 
Breckinridge, Bullitt, Butler, Carroll, Carter, Casey, Clark, Clay, 
Clinton, Cumberland, Daviess, Edmonson, Elliott, Estill, Fayette, 
Fleming, Franklin, Gallatin, Garrard, Grayson, Green, Hancock, Hardin, 
Harlan, Hart, Henderson, Henry, Hopkins, Jackson, Jefferson, Jessamine, 
Knott, Knox, Larue, Laurel, Lee, Leslie, Letcher, Lincoln, Madison, 
Marion, McCreary, McLean, Meade, Menifee, Mercer, Montgomery, Morgan, 
Muhlenberg, Nelson, Nicholas, Ohio, Oldham, Owen, Owsley, Perry, Powell, 
Pulaski, Rockcastle, Rowan, Russell, Scott, Shelby, Spencer, Taylor, 
Trimble, Union, Washington, Wayne, Webster, Whitley, Wolfe, and 
Woodford.

                    North Carolina and South Carolina

    All of the States of North Carolina and South Carolina.

                           Tennessee Counties

    Anderson, Blount, Bradley, Campbell, Carter, Claiborne, Cocke, 
Cumberland, Grainger, Greene, Hamblen, Hamilton, Hancock, Hawkins, 
Jefferson, Johnson, Knox, Loudon, Marion, McMinn, Meigs, Monroe, Morgan, 
Polk, Rhea, Roane, Scott, Sequatchie, Sevier, Sullivan, Unicoi, Union, 
and Washington.

                      Virginia Counties and Cities

    Buchanan, Dickenson, Lee, Russell, Scott, Tazewell, Washington, and 
Wise; and the cities of Bristol and Norton.

                         West Virginia Counties

    McDowell and Mercer.



Sec.  1005.3  Route disposition.

    See Sec.  1000.3.



Sec.  1005.4  Plant.

    See Sec.  1000.4.



Sec.  1005.5  Distributing plant.

    See Sec.  1000.5.



Sec.  1005.6  Supply plant.

    See Sec.  1000.6.

[[Page 90]]



Sec.  1005.7  Pool plant.

    Pool plant means a plant specified in paragraphs (a) through (d) of 
this section, or a unit of plants as specified in paragraph (e) of this 
section, but excluding a plant specified in paragraph (g) of this 
section. The pooling standards described in paragraphs (c) and (d) of 
this section are subject to modification pursuant to paragraph (f) of 
this section:
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this section or Sec.  --------.7(b) 
of any other Federal milk order, from which during the month 50 percent 
or more of the fluid milk products physically received at such plant 
(excluding concentrated milk received from another plant by agreement 
for other than Class I use) are disposed of as route disposition or are 
transferred in the form of packaged fluid milk products to other 
distributing plants. At least 25 percent of such route disposition and 
transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 50 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which 50 percent or more of the total 
quantity of milk that is physically received during the month from dairy 
farmers and handlers described in Sec.  1000.9(c), including milk that 
is diverted from the plant, is transferred to pool distributing plants. 
Concentrated milk transferred from the supply plant to a distributing 
plant for an agreed-upon use other than Class I shall be excluded from 
the supply plant's shipments in computing the plant's shipping 
percentage.
    (d) A plant located within the marketing area or in the State of 
Virginia that is operated by a cooperative association if pool plant 
status under this paragraph is requested for such plant by the 
cooperative association and during the month at least 60 percent of the 
producer milk of members of such cooperative association is delivered 
directly from farms to pool distributing plants or is transferred to 
such plants as a fluid milk product (excluding concentrated milk 
transferred to a distributing plant for an agreed-upon use other than 
Class I) from the cooperative's plant.
    (e) Two or more plants operated by the same handler and that are 
located within the marketing area may qualify for pool status as a unit 
by meeting the total and in-area route disposition requirements 
specified in paragraph (a) of this section and the following additional 
requirements:
    (1) At least one of the plants in the unit must qualify as a pool 
plant pursuant to paragraph (a) of this section;
    (2) Other plants in the unit must process only Class I or Class II 
products and must be located in a pricing zone providing the same or a 
lower Class I price than the price applicable at the distributing plant 
included in the unit pursuant to paragraph (e)(1) of this section; and
    (3) A written request to form a unit, or to add or remove plants 
from a unit, must be filed with the market administrator prior to the 
first day of the month for which it is to be effective.
    (f) The applicable shipping percentages of paragraphs (c) and (d) of 
this section may be increased or decreased by the market administrator 
if the market administrator finds that such adjustment is necessary to 
encourage needed shipments or to prevent uneconomic shipments. Before 
making such a finding, the market administrator shall investigate the 
need for adjustment either on the market administrator's own initiative 
or at the request of interested parties if the request is made in 
writing at least 15 days prior to the date for which the requested 
revision is desired effective. If the investigation shows that an 
adjustment of the shipping percentages might be appropriate, the market 
administrator shall issue a notice stating that an adjustment is being 
considered and invite data, views and arguments. Any decision to revise 
an applicable shipping percentage must be issued in writing at least one 
day before the effective date.
    (g) The term pool plant shall not apply to the following plants:
    (1) A producer-handler plant;

[[Page 91]]

    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant qualified pursuant to paragraph (a) of this section 
which is not located within any Federal order marketing area, meets the 
pooling requirements of another Federal order, and has had greater route 
disposition in such other Federal order marketing area for 3 consecutive 
months;
    (4) A plant qualified pursuant to paragraph (a) of this section 
which is located in another Federal order marketing area, meets the 
pooling standards of the other Federal order, and has not had a majority 
of its route disposition in this marketing area for 3 consecutive months 
or is locked into pool status under such other Federal order without 
regard to its route disposition in any other Federal order marketing 
area;
    (5) A plant qualified pursuant to paragraph (c) of this section 
which also meets the pooling requirements of another Federal order and 
from which greater qualifying shipments are made to plants regulated 
under such other order than are made to plants regulated under the order 
in this part, or such plant has automatic pooling status under such 
other order; and
    (6) That portion of a pool plant designated as a ``nonpool plant'' 
that is physically separate and operated separately from the pool 
portion of such plant. The designation of a portion of a regulated plant 
as a nonpool plant must be requested in writing by the handler and must 
be approved by the market administrator.



Sec.  1005.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1005.9  Handler.

    See Sec.  1000.9.



Sec.  1005.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is monthly route disposition in the marketing area;
    (b) Receives no fluid milk products, and acquires no fluid milk 
products for route disposition, from sources other than own farm 
production;
    (c) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products 
received from own farm production; and
    (d) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled, and the processing and packaging 
operations are the producer-handler's own enterprise and are operated at 
the producer-handler's own risk.



Sec.  1005.11  [Reserved]



Sec.  1005.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
(or components of milk) is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1005.13; or
    (2) Received by a handler described in Sec.  1000.9(c).
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1005.13(d);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and that milk is allocated by request to a utilization other than Class 
I; and
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another order with respect to that portion of the 
milk so diverted that is assigned to Class I under the provisions of 
such other order.



Sec.  1005.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk) and butterfat contained in milk of a producer 
that is:

[[Page 92]]

    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec.  1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;
    (b) Received by a handler described in Sec.  1000.9(c) in excess of 
the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator to another pool plant. Milk so 
diverted shall be priced at the location of the plant to which diverted; 
or
    (d) Diverted by the operator of a pool plant or a handler described 
in Sec.  1000.9(c) to a nonpool plant, subject to the following 
conditions:
    (1) In any month of July through December, not less than 6 days' 
production of the producer whose milk is diverted is physically received 
at a pool plant during the month;
    (2) In any month of January through June, not less than 2 days' 
production of the producer whose milk is diverted is physically received 
at a pool plant during the month;
    (3) The total quantity of milk so diverted during the month by a 
cooperative association shall not exceed 25 percent during the months of 
July through November, January, and February, and 40 percent during the 
months of December and March through June, of the producer milk that the 
cooperative association caused to be delivered to, and physically 
received at, pool plants during the month;
    (4) The operator of a pool plant that is not a cooperative 
association may divert any milk that is not under the control of a 
cooperative association that diverts milk during the month pursuant to 
paragraph (d) of this section. The total quantity of milk so diverted 
during the month shall not exceed 25 percent during the months of July 
through November, January, and February, and 40 percent during the 
months of December and March through June, of the producer milk 
physically received at such plant (or such unit of plants in the case of 
plants that pool as a unit pursuant to Sec.  1005.7(d)) during the 
month, excluding the quantity of producer milk received from a handler 
described in Sec.  1000.9(c);
    (5) Any milk diverted in excess of the limits prescribed in 
paragraphs (d)(3) and (4) of this section shall not be producer milk. If 
the diverting handler or cooperative association fails to designate the 
dairy farmers' deliveries that will not be producer milk, no milk 
diverted by the handler or cooperative association shall be producer 
milk;
    (6) Diverted milk shall be priced at the location of the plant to 
which diverted; and
    (7) The delivery day requirements and the diversion percentages in 
paragraphs (d)(1) through (4) of this section may be increased or 
decreased by the market administrator if the market administrator finds 
that such revision is necessary to assure orderly marketing and 
efficient handling of milk in the marketing area. Before making such a 
finding, the market administrator shall investigate the need for the 
revision either on the market administrator's own initiative or at the 
request of interested persons. If the investigation shows that a 
revision might be appropriate, the market administrator shall issue a 
notice stating that the revision is being considered and inviting 
written data, views, and arguments. Any decision to revise an applicable 
percentage must be issued in writing at least one day before the 
effective date.



Sec.  1005.14  Other source milk.

    See Sec.  1000.14.



Sec.  1005.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1005.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1005.17  [Reserved]



Sec.  1005.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1005.19  Commercial food processing establishment.

    See Sec.  1000.19.

[[Page 93]]

                             Handler Reports



Sec.  1005.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 7th day after the end of the 
month, in the detail and on prescribed forms, as follows:
    (a) With respect to each of its pool plants, the quantities of skim 
milk and butterfat contained in or represented by:
    (1) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c);
    (2) Receipts of milk from handlers described in Sec.  1000.9(c);
    (3) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (4) Receipts of other source milk;
    (5) Receipts of bulk milk from a plant regulated under another 
Federal order, except Federal Order 1007, for which a transportation 
credit is requested pursuant to Sec.  1005.82;
    (6) Receipts of producer milk described in Sec.  1005.82(c)(2), 
including the identity of the individual producers whose milk is 
eligible for the transportation credit pursuant to that paragraph and 
the date that such milk was received;
    (7) For handlers submitting transportation credit requests, 
transfers of bulk milk to nonpool plants, including the dates that such 
milk was transferred;
    (8) Inventories at the beginning and end of the month of fluid milk 
products and bulk fluid cream products; and
    (9) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. The report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The quantities of all skim milk and butterfat contained in 
receipts of milk from producers;
    (2) The utilization or disposition of all such receipts; and
    (3) With respect to milk for which a cooperative association is 
requesting a transportation credit pursuant to Sec.  1005.82, all of the 
information required in paragraphs (a)(5), (a)(6), and (a)(7) of this 
section.
    (d) Each handler not specified in paragraphs (a) through (c) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1005.31  Payroll reports.

    (a) On or before the 20th day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1005.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for the month, in detail prescribed 
by the market administrator, showing for each producer the information 
specified in Sec.  1005.73(e).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1005.32  Other reports.

    (a) On or before the 20th day after the end of each month, each 
handler described in Sec.  1000.9(a) and (c) shall report to the market 
administrator any adjustments to transportation credit requests as 
reported pursuant to Sec.  1005.30(a)(5), (6), and (7).
    (b) In addition to the reports required pursuant to Sec. Sec.  
1005.30, 1005.31, and 1005.32(a), each handler shall report any 
information the market administrator deems necessary to verify or 
establish each handler's obligation under the order.

[[Page 94]]

                         Classification of Milk



Sec.  1005.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1005.41  [Reserved]



Sec.  1005.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1005.43  General classification rules.

    See Sec.  1000.43.



Sec.  1005.44  Classification of producer milk.

    See Sec.  1000.44.



Sec.  1005.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1005.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.



Sec.  1005.51  Class I differential and price.

    The Class I differential shall be the differential established for 
Mecklenburg County, North Carolina, which is reported in Sec.  1000.52. 
The Class I price shall be the price computed pursuant to Sec.  
1000.50(a) for Mecklenburg County, North Carolina.



Sec.  1005.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1005.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1005.54  Equivalent price.

    See Sec.  1000.54.

                             Uniform Prices



Sec.  1005.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at a pool plant by adding the amounts 
computed in paragraphs (a) through (e) of this section and subtracting 
from that total amount the value computed in paragraph (f) of this 
section. Receipts of nonfluid milk products that are distributed as 
labeled reconstituted milk for which payments are made to the producer-
settlement fund of another Federal order under Sec.  1000.76(a)(4) or 
(d) shall be excluded from pricing under this section.
    (a) Multiply the pounds of skim milk and butterfat in producer milk 
that were classified in each class pursuant to Sec.  1000.44(c) by the 
applicable skim milk and butterfat prices, and add the resulting 
amounts;
    (b) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) by the respective skim 
milk and butterfat prices applicable at the location of the pool plant;
    (c) Multiply the difference between the Class IV price for the 
preceding month and the current month's Class I, II, or III price, as 
the case may be, by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (d) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3)(i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from a plant regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under other Federal orders, and unregulated supply 
plants;
    (e) Multiply the Class I skim milk and Class I butterfat prices 
applicable at the location of the nearest unregulated supply plants from 
which an equivalent volume was received by the pounds of skim milk and 
butterfat in receipts of concentrated fluid milk products assigned to 
Class I pursuant

[[Page 95]]

to Sec.  1000.43(d) and Sec.  1000.44(a)(3)(i) and the corresponding 
step of Sec.  1000.44(b) and the pounds of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(8) and the 
corresponding step of Sec.  1000.44(b), excluding such skim milk and 
butterfat in receipts of fluid milk products from an unregulated supply 
plant to the extent that an equivalent amount of skim milk or butterfat 
disposed of to such plant by handlers fully regulated under any Federal 
milk order is classified and priced as Class I milk and is not used as 
an offset for any other payment obligation under any order.
    (f) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 47960, Sept. 1, 1999, as amended at 65 FR 82835, Dec. 28, 2000]



Sec.  1005.61  Computation of uniform prices.

    On or before the 11th day of each month, the market administrator 
shall compute a uniform butterfat price, a uniform skim milk price, and 
a uniform price for producer milk receipts reported for the prior month. 
The report of any handler who has not made payments required pursuant to 
Sec.  1005.71 for the preceding month shall not be included in the 
computation of these prices, and such handler's report shall not be 
included in the computation for succeeding months until the handler has 
made full payment of outstanding monthly obligations.
    (a) Uniform butterfat price. The uniform butterfat price per pound, 
rounded to the nearest one-hundredth cent, shall be computed by:
    (1) Multiplying the pounds of butterfat in producer milk allocated 
to each class pursuant to Sec.  1000.44(b) by the respective class 
butterfat prices;
    (2) Adding the butterfat value calculated in Sec.  1005.60(e) for 
other source milk allocated to Class I pursuant to Sec.  1000.43(d) and 
the steps of Sec.  1000.44(b) that correspond to Sec.  1000.44(a)(3)(i) 
and Sec.  1000.44(a)(8) by the Class I price; and
    (3) Dividing the sum of paragraphs (a)(1) and (a)(2) of this section 
by the sum of the pounds of butterfat in producer milk and other source 
milk used to calculate the values in paragraphs (a)(1) and (a)(2) of 
this section.
    (b) Uniform skim milk price. The uniform skim milk price per 
hundredweight, rounded to the nearest cent, shall be computed as 
follows:
    (1) Combine into one total the values computed pursuant to Sec.  
1005.60 for all handlers;
    (2) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1005.75;
    (3) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (4) Subtract the value of the total pounds of butterfat for all 
handlers. The butterfat value shall be computed by multiplying the sum 
of the pounds of butterfat in producer milk and other source milk used 
to calculate the values in paragraphs (a)(1) and (a)(2) of this section 
by the butterfat price computed in paragraph (a) of this section;
    (5) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (i) The total skim pounds of producer milk; and
    (ii) The total skim pounds for which a value is computed pursuant to 
Sec.  1005.60(e); and
    (6) Subtract not less than 4 cents and not more than 5 cents.
    (c) Uniform price. The uniform price per hundredweight, rounded to 
the nearest cent, shall be the sum of the following:
    (1) Multiply the uniform butterfat price for the month pursuant to 
paragraph (a) of this section times 3.5 pounds of butterfat; and
    (2) Multiply the uniform skim milk price for the month pursuant to 
paragraph (b) of this section times 96.5 pounds of skim milk.

[64 FR 47960, Sept. 1, 1999, as amended at 65 FR 82835, Dec. 28, 2000]

[[Page 96]]



Sec.  1005.62  Announcement of uniform prices.

    On or before the 11th day after the end of the month, the market 
administrator shall announce the uniform prices for the month computed 
pursuant to Sec.  1005.61.

                            Payments for Milk



Sec.  1005.70  Producer-settlement fund.

    See Sec.  1000.70.



Sec.  1005.71  Payments to the producer-settlement fund.

    Each handler shall make a payment to the producer-settlement fund in 
a manner that provides receipt of the funds by the market administrator 
no later than the 12th day after the end of the month (except as 
provided in Sec.  1000.90). Payment shall be the amount, if any, by 
which the amount specified in paragraph (a) of this section exceeds the 
amount specified in paragraph (b) of this section:
    (a) The total value of milk of the handler for the month as 
determined pursuant to Sec.  1005.60; and
    (b) The sum of the value at the uniform prices for skim milk and 
butterfat, adjusted for plant location, of the handler's receipts of 
producer milk; and the value at the uniform price, as adjusted pursuant 
to Sec.  1005.75, applicable at the location of the plant from which 
received of other source milk for which a value is computed pursuant to 
Sec.  1005.60(e).



Sec.  1005.72  Payments from the producer-settlement fund.

    No later than one day after the date of payment receipt required 
under Sec.  1005.71, the market administrator shall pay to each handler 
the amount, if any, by which the amount computed pursuant to Sec.  
1005.71(b) exceeds the amount computed pursuant to Sec.  1005.71(a). If, 
at such time, the balance in the producer-settlement fund is 
insufficient to make all payments pursuant to this section, the market 
administrator shall reduce uniformly such payments and shall complete 
the payments as soon as the funds are available.



Sec.  1005.73  Payments to producers and to cooperative associations.

    (a) Each handler that is not paying a cooperative association for 
producer milk shall pay each producer as follows:
    (1) Partial payment. For each producer who has not discontinued 
shipments as of the 23rd day of the month, payment shall be made so that 
it is received by the producer on or before the 26th day of the month 
(except as provided in Sec.  1000.90) for milk received during the first 
15 days of the month at not less than 90 percent of the preceding 
month's uniform price, adjusted for plant location pursuant to Sec.  
1005.75 and proper deductions authorized in writing by the producer.
    (2) Final payment. For milk received during the month, a payment 
computed as follows shall be made so that it is received by each 
producer one day after the payment date required in Sec.  1005.72:
    (i) Multiply the hundredweight of producer skim milk received times 
the uniform skim milk price for the month;
    (ii) Multiply the pounds of butterfat received times the uniform 
butterfat price for the month;
    (iii) Multiply the hundredweight of producer milk received times the 
plant location adjustment pursuant to Sec.  1005.75; and
    (iv) Add the amounts computed in paragraph (a)(2)(i), (ii), and 
(iii) of this section, and from that sum:
    (A) Subtract the partial payment made pursuant to paragraph (a)(1) 
of this section;
    (B) Subtract the deduction for marketing services pursuant to Sec.  
1000.86;
    (C) Add or subtract for errors made in previous payments to the 
producer; and
    (D) Subtract proper deductions authorized in writing by the 
producer.
    (b) One day before partial and final payments are due pursuant to 
paragraph (a) of this section, each handler shall pay a cooperative 
association for milk received as follows:
    (1) Partial payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk (including the 
milk of producers who are not members of such association

[[Page 97]]

and who the market administrator determines have authorized the 
cooperative association to collect payment for their milk) received 
during the first 15 days of the month from a cooperative association in 
any capacity, except as the operator of a pool plant, the payment shall 
be equal to the hundredweight of milk received multiplied by 90 percent 
of the preceding month's uniform price, adjusted for plant location 
pursuant to Sec.  1005.75.
    (2) Partial payment to a cooperative association for milk 
transferred from its pool plant. For bulk fluid milk products and bulk 
fluid cream products received during the first 15 days of the month from 
a cooperative association in its capacity as the operator of a pool 
plant, the partial payment shall be at the pool plant operator's 
estimated use value of the milk using the most recent class prices 
available for skim milk and butterfat at the receiving plant's location.
    (3) Final payment to a cooperative association for milk transferred 
from its pool plant. For bulk fluid milk products and bulk fluid cream 
products received during the month from a cooperative association in its 
capacity as the operator of a pool plant, the final payment shall be the 
classified value of such milk as determined by multiplying the pounds of 
skim milk and butterfat assigned to each class pursuant to Sec.  1000.44 
by the class prices for the month at the receiving plant's location, and 
subtracting from this sum the partial payment made pursuant to paragraph 
(b)(2) of this section.
    (4) Final payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk received from a 
cooperative association during the month, including the milk of 
producers who are not members of such association and who the market 
administrator determines have authorized the cooperative association to 
collect payment for their milk, the final payment for such milk shall be 
an amount equal to the sum of the individual payments otherwise payable 
for such milk pursuant to paragraph (a)(2) of this section.
    (c) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1005.72 by the payment date specified in 
paragraph (a) or (b) of this section, the handler may reduce payments 
pursuant to paragraphs (a) and (b) of this section, but by not more than 
the amount of the underpayment. The payments shall be completed on the 
next scheduled payment date after receipt of the balance due from the 
market administrator.
    (d) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer-
settlement fund, and in the event that the handler subsequently locates 
and pays the producer or a lawful claimant, or in the event that the 
handler no longer exists and a lawful claim is later established, the 
market administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant as the case may 
be.
    (e) In making payments to producers pursuant to this section, each 
pool plant operator shall furnish each producer, except a producer whose 
milk was received from a cooperative association described in Sec.  
1000.9(a) or (c), a supporting statement in such form that it may be 
retained by the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and the payroll number of the producer;
    (2) The month and dates that milk was received from the producer, 
including the daily and total pounds of milk received;
    (3) The total pounds of butterfat in the producer's milk;
    (4) The minimum rate or rates at which payment to the producer is 
required pursuant to the order in this part;
    (5) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (6) The amount, or rate per hundredweight, and nature of each 
deduction claimed by the handler; and
    (7) The net amount of payment to the producer or cooperative 
association.

[64 FR 47960, Sept. 1, 1999, as amended at 65 FR 32010, May 22, 2000]

[[Page 98]]



Sec.  1005.74  [Reserved]



Sec.  1005.75  Plant location adjustments for producer milk and nonpool milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1005.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1005.73 and 
1000.76.



Sec.  1005.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1005.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1005.78  Charges on overdue accounts.

    See Sec.  1000.78.

                       Marketwide Service Payments



Sec.  1005.80  Transportation credit balancing fund.

    The market administrator shall maintain a separate fund known as the 
Transportation Credit Balancing Fund into which shall be deposited the 
payments made by handlers pursuant to Sec.  1005.81 and out of which 
shall be made the payments due handlers pursuant to Sec.  1005.82. 
Payments due a handler shall be offset against payments due from the 
handler.



Sec.  1005.81  Payments to the transportation credit balancing fund.

    (a) On or before the 12th day after the end of the month (except as 
provided in Sec.  1000.90), each handler operating a pool plant and each 
handler specified in Sec.  1000.9(c) shall pay to the market 
administrator a transportation credit balancing fund assessment 
determined by multiplying the pounds of Class I producer milk assigned 
pursuant to Sec.  1005.44 by $0.065 per hundredweight or such lesser 
amount as the market administrator deems necessary to maintain a balance 
in the fund equal to the total transportation credits disbursed during 
the prior June-January period. In the event that during any month of the 
June-January period the fund balance is insufficient to cover the amount 
of credits that are due, the assessment should be based upon the amount 
of credits that would have been disbursed had the fund balance been 
sufficient.
    (b) The market administrator shall announce publicly on or before 
the 5th day of the month (except as provided in Sec.  1000.90) the 
assessment pursuant to paragraph (a) of this section for the following 
month.



Sec.  1005.82  Payments from the transportation credit balancing fund.

    (a) Payments from the transportation credit balancing fund to 
handlers and cooperative associations requesting transportation credits 
shall be made as follows:
    (1) On or before the 13th day (except as provided in Sec.  1000.90) 
after the end of each of the months of July through December and any 
other month in which transportation credits are in effect pursuant to 
paragraph (b) of this section, the market administrator shall pay to 
each handler that received, and reported pursuant to Sec.  
1005.30(a)(5), bulk milk transferred from a plant fully regulated under 
another Federal order as described in paragraph (c)(1) of this section 
or that received, and reported pursuant to Sec.  1005.30(a)(6), milk 
directly from producers' farms as specified in paragraph (c)(2) of this 
section, a preliminary amount determined pursuant to paragraph (d) of 
this section to the extent that funds are available in the 
transportation credit balancing fund. If an insufficient balance exists 
to pay all of the credits computed pursuant to this section, the market 
administrator shall distribute the balance available in the 
transportation credit balancing fund by reducing payments prorata using 
the percentage derived by dividing the balance in the fund by the total 
credits that are due for the month. The amount of credits resulting from 
this initial proration shall be subject to audit adjustment pursuant to 
paragraph (a)(2) of this section.
    (2) The market administrator shall accept adjusted requests for 
transportation credits on or before the 20th day

[[Page 99]]

of the month following the month for which such credits were requested 
pursuant to Sec.  1005.32(a). After such date, a preliminary audit will 
be conducted by the market administrator, who will recalculate any 
necessary proration of transportation credit payments for the preceding 
month pursuant to paragraph (a) of this section. Handlers will be 
promptly notified of an overpayment of credits based upon this final 
computation and remedial payments to or from the transportation credit 
balancing fund will be made on or before the next payment date for the 
following month.
    (3) Transportation credits paid pursuant to paragraphs (a)(1) and 
(2) of this section shall be subject to final verification by the market 
administrator pursuant to Sec.  1000.77. Adjusted payments to or from 
the transportation credit balancing fund will remain subject to the 
final proration established pursuant to paragraph (a)(2) of this 
section.
    (4) In the event that a qualified cooperative association is the 
responsible party for whose account such milk is received and written 
documentation of this fact is provided to the market administrator 
pursuant to Sec.  1005.30(c)(3) prior to the date payment is due, the 
transportation credits for such milk computed pursuant to this section 
shall be made to such cooperative association rather than to the 
operator of the pool plant at which the milk was received.
    (b) The market administrator may extend the period during which 
transportation credits are in effect (i.e., the transportation credit 
period) to the months of January and June if a written request to do so 
is received 15 days prior to the beginning of the month for which the 
request is made and, after conducting an independent investigation, 
finds that such extension is necessary to assure the market of an 
adequate supply of milk for fluid use. Before making such a finding, the 
market administrator shall notify the Director of the Dairy Division and 
all handlers in the market that an extension is being considered and 
invite written data, views, and arguments. Any decision to extend the 
transportation credit period must be issued in writing prior to the 
first day of the month for which the extension is to be effective.
    (c) Transportation credits shall apply to the following milk:
    (1) Bulk milk received from a plant regulated under another Federal 
order, except Federal Order 1007, and allocated to Class I milk pursuant 
to Sec.  1000.44(a)(9); and
    (2) Bulk milk received directly from the farms of dairy farmers at 
pool distributing plants subject to the following conditions:
    (i) The quantity of such milk that shall be eligible for the 
transportation credit shall be determined by multiplying the total 
pounds of milk received from producers meeting the conditions of this 
paragraph by the lower of:
    (A) The marketwide estimated Class I utilization of all handlers for 
the month pursuant to Sec.  1000.45(a); or
    (B) The Class I utilization of all producer milk of the pool plant 
operator receiving the milk after the computations described in Sec.  
1000.44;
    (ii) The dairy farmer was not a ``producer'' under this order during 
more than 2 of the immediately preceding months of February through May 
and not more than 50 percent of the production of the dairy farmer 
during those 2 months, in aggregate, was received as producer milk under 
this order during those 2 months; and
    (iii) The farm on which the milk was produced is not located within 
the specified marketing area of the order in this part or the marketing 
area of Federal Order 1007 (7 CFR part 1007).
    (d) Transportation credits shall be computed as follows:
    (1) The market administrator shall subtract from the pounds of milk 
described in paragraphs (c)(1) and (2) of this section the pounds of 
bulk milk transferred from the pool plant receiving the supplemental 
milk if milk was transferred to a nonpool plant on the same calendar day 
that the supplemental milk was received. For this purpose, the 
transferred milk shall be subtracted from the most distant load of 
supplemental milk received, and then in sequence with the next most 
distant load until all of the transfers have been offset.

[[Page 100]]

    (2) With respect to the pounds of milk described in paragraph (c)(1) 
of this section that remain after the computations described in 
paragraph (d)(1) of this section, the market administrator shall:
    (i) Determine the shortest hard-surface highway distance between the 
shipping plant and the receiving plant;
    (ii) Multiply the number of miles so determined by 0.35 cent;
    (iii) Subtract the applicable Class I differential in Sec.  1000.52 
for the county in which the shipping plant is located from the Class I 
differential applicable for the county in which the receiving plant is 
located;
    (iv) Subtract any positive difference computed in paragraph 
(d)(2)(iii) of this section from the amount computed in paragraph 
(d)(2)(ii) of this section; and
    (v) Multiply the remainder computed in paragraph (d)(2)(iv) of this 
section by the hundredweight of milk described in paragraph (d)(2) of 
this section.
    (3) For the remaining milk described in paragraph (c)(2) of this 
section after computations described in paragraph (d)(1) of this 
section, the market administrator shall:
    (i) Determine an origination point for each load of milk by locating 
the nearest city to the last producer's farm from which milk was picked 
up for delivery to the receiving pool plant;
    (ii) Determine the shortest hard-surface highway distance between 
the receiving pool plant and the origination point;
    (iii) Subtract 85 miles from the mileage so determined;
    (iv) Multiply the remaining miles so computed by 0.35 cent;
    (v) Subtract the Class I differential specified in Sec.  1000.52 
applicable for the county in which the origination point is located from 
the Class I differential applicable at the receiving pool plant's 
location;
    (vi) Subtract any positive difference computed in paragraph 
(d)(3)(v) of this section from the amount computed in paragraph 
(d)(3)(iv) of this section; and
    (vii) Multiply the remainder computed in paragraph (d)(3)(vi) of 
this section by the hundredweight of milk described in paragraph (d)(3) 
of this section.

        Administrative Assessment and Marketing Service Deduction



Sec.  1005.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1005.86  Deduction for marketing services.

    See Sec.  1000.86.



PART 1006_MILK IN THE FLORIDA MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1006.1 General provisions.

                               Definitions

1006.2 Florida marketing area.
1006.3 Route disposition.
1006.4 Plant.
1006.5 Distributing plant.
1006.6 Supply plant.
1006.7 Pool plant.
1006.8 Nonpool plant.
1006.9 Handler.
1006.10 Producer-handler.
1006.11 [Reserved]
1006.12 Producer.
1006.13 Producer milk.
1006.14 Other source milk.
1006.15 Fluid milk product.
1006.16 Fluid cream product.
1006.17 [Reserved]
1006.18 Cooperative association.
1006.19 Commercial food processing establishment.

                             Handler Reports

1006.30 Reports of receipts and utilization.
1006.31 Payroll reports.
1006.32 Other reports.

                         Classification of Milk

1006.40 Classes of utilization.
1006.41 [Reserved]
1006.42 Classification of transfers and diversions.
1006.43 General classification rules.
1006.44 Classification of producer milk.
1006.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1006.50 Class prices, component prices, and advanced pricing factors.
1006.51 Class I differential and price.
1006.52 Adjusted Class I differentials.

[[Page 101]]

1006.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1006.54 Equivalent price.

                             Uniform Prices

1006.60 Handler's value of milk.
1006.61 Computation of uniform prices.
1006.62 Announcement of uniform prices.

                            Payments for Milk

1006.70 Producer-settlement fund.
1006.71 Payments to the producer-settlement fund.
1006.72 Payments from the producer-settlement fund.
1006.73 Payments to producers and to cooperative associations.
1006.74 [Reserved]
1006.75 Plant location adjustments for producer milk and nonpool milk.
1006.76 Payments by a handler operating a partially regulated 
          distributing plant.
1006.77 Adjustment of accounts.
1006.78 Charges on overdue accounts.

        Administrative Assessment and Marketing Service Deduction

1006.85 Assessment for order administration.
1006.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 47966, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1006.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1006. In this part 1006, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1006.2  Florida marketing area.

    The marketing area means all the territory within the State of 
Florida, except the counties of Escambia, Okaloosa, Santa Rosa, and 
Walton, including all piers, docks and wharves connected therewith and 
all craft moored thereat, and all territory occupied by government 
(municipal, State or Federal) reservations, installations, institutions, 
or other similar establishments if any part thereof is within any of the 
listed states or political subdivisions.



Sec.  1006.3  Route disposition.

    See Sec.  1000.3.



Sec.  1006.4  Plant.

    See Sec.  1000.4.



Sec.  1006.5  Distributing plant.

    See Sec.  1000.5.



Sec.  1006.6  Supply plant.

    See Sec.  1000.6.



Sec.  1006.7  Pool plant.

    Pool plant means a plant specified in paragraphs (a) through (d) of 
this section, or a unit of plants as specified in paragraph (e) of this 
section, but excluding a plant specified in paragraph (g) of this 
section. The pooling standards described in paragraphs (c) and (d) of 
this section are subject to modification pursuant to paragraph (f) of 
this section:
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this section or Sec.  --------.7(b) 
of any other Federal milk order, from which during the month 50 percent 
or more of the fluid milk products physically received at such plant 
(excluding concentrated milk received from another plant by agreement 
for other than Class I use) are disposed of as route disposition or are 
transferred in the form of packaged fluid milk products to other 
distributing plants. At least 25 percent of such route disposition and 
transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 50 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which 60 percent or more of the total 
quantity of milk that is physically received during the month from dairy 
farmers and handlers described in Sec.  1000.9(c), including milk that 
is diverted from the plant, is transferred to pool distributing plants.

[[Page 102]]

Concentrated milk transferred from the supply plant to a distributing 
plant for an agreed-upon use other than Class I shall be excluded from 
the supply plant's shipments in computing the plant's shipping 
percentage.
    (d) A plant located within the marketing area that is operated by a 
cooperative association if pool plant status under this paragraph is 
requested for such plant by the cooperative association and during the 
month 60 percent of the producer milk of members of such cooperative 
association is delivered directly from farms to pool distributing plants 
or is transferred to such plants as a fluid milk product (excluding 
concentrated milk transferred to a distributing plant for an agreed-upon 
use other than Class I) from the cooperative's plant.
    (e) Two or more plants operated by the same handler and that are 
located within the marketing area may qualify for pool status as a unit 
by meeting the total and in-area route disposition requirements 
specified in paragraph (a) of this section and the following additional 
requirements:
    (1) At least one of the plants in the unit must qualify as a pool 
plant pursuant to paragraph (a) of this section;
    (2) Other plants in the unit must process only Class I or Class II 
products and must be located in a pricing zone providing the same or a 
lower Class I price than the price applicable at the distributing plant 
included in the unit pursuant to paragraph (e)(1) of this section; and
    (3) A written request to form a unit, or to add or remove plants 
from a unit, must be filed with the market administrator prior to the 
first day of the month for which it is to be effective.
    (f) The applicable shipping percentages of paragraphs (c) and (d) of 
this section may be increased or decreased by the market administrator 
if the market administrator finds that such adjustment is necessary to 
encourage needed shipments or to prevent uneconomic shipments. Before 
making such a finding, the market administrator shall investigate the 
need for adjustment either on the market administrator's own initiative 
or at the request of interested parties if the request is made in 
writing at least 15 days prior to the date for which the requested 
revision is desired effective. If the investigation shows that an 
adjustment of the shipping percentages might be appropriate, the market 
administrator shall issue a notice stating that an adjustment is being 
considered and invite data, views and arguments. Any decision to revise 
an applicable shipping percentage must be issued in writing at least one 
day before the effective date.
    (g) The term pool plant shall not apply to the following plants:
    (1) A producer-handler plant;
    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant qualified pursuant to paragraph (a) of this section 
which is not located within any Federal order marketing area, meets the 
pooling requirements of another Federal order, and has had greater route 
disposition in such other Federal order marketing area for 3 consecutive 
months;
    (4) A plant qualified pursuant to paragraph (a) of this section 
which is located in another Federal order marketing area, meets the 
pooling standards of the other Federal order, and has not had a majority 
of its route disposition in this marketing area for 3 consecutive months 
or is locked into pool status under such other Federal order without 
regard to its route disposition in any other Federal order marketing 
area; and
    (5) A plant qualified pursuant to paragraph (c) of this section 
which also meets the pooling requirements of another Federal order and 
from which greater qualifying shipments are made to plants regulated 
under such other order than are made to plants regulated under the order 
in this part, or such plant has automatic pooling status under such 
other order.



Sec.  1006.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1006.9  Handler.

    See Sec.  1000.9.



Sec.  1006.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is monthly route disposition in the marketing area;

[[Page 103]]

    (b) Receives no fluid milk products, and acquires no fluid milk 
products for route disposition, from sources other than own farm 
production;
    (c) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products 
received from own farm production; and
    (d) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled, and the processing and packaging 
operations, are the producer-handler's own enterprise and are operated 
at the producer-handler's own risk.



Sec.  1006.11  [Reserved]



Sec.  1006.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
(or components of milk) is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1006.13; or
    (2) Received by a handler described in Sec.  1000.9(c).
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1006.13(d);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and that milk is allocated by request to a utilization other than Class 
I; and
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with respect to that portion 
of the milk so diverted that is assigned to Class I under the provisions 
of such other order.



Sec.  1006.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk) and butterfat contained in milk of a producer 
that is:
    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec.  1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;
    (b) Received by a handler described in Sec.  1000.9(c) in excess of 
the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator to another pool plant. Milk so 
diverted shall be priced at the location of the plant to which diverted; 
or
    (d) Diverted by the operator of a pool plant or a handler described 
in Sec.  1000.9(c) to a nonpool plant, subject to the following 
conditions:
    (1) In any month, not less than 10 days' production of the producer 
whose milk is diverted is physically received at a pool plant during the 
month;
    (2) The total quantity of milk so diverted during the month by a 
cooperative association shall not exceed 20 percent during the months of 
July through November, 25 percent during the months of December through 
February, and 40 percent during all other months, of the producer milk 
that the cooperative association caused to be delivered to, and 
physically received at, pool plants during the month;
    (3) The operator of a pool plant that is not a cooperative 
association may divert any milk that is not under the control of a 
cooperative association that diverts milk during the month pursuant to 
paragraph (d) of this section. The total quantity of milk so diverted 
during the month shall not exceed 20 percent during the months of July 
through November, 25 percent during the months of December through 
February, and 40 percent during all other months, of the producer milk 
physically received at such plant (or such unit of plants in the case of 
plants that pool as a unit pursuant to Sec.  1006.7(d)) during the 
month, excluding the quantity of producer milk received from a handler 
described in Sec.  1000.9(c);
    (4) Any milk diverted in excess of the limits prescribed in 
paragraphs (d) (3)

[[Page 104]]

and (4) of this section shall not be producer milk. If the diverting 
handler or cooperative association fails to designate the dairy farmers' 
deliveries that will not be producer milk, no milk diverted by the 
handler or cooperative association shall be producer milk;
    (5) Diverted milk shall be priced at the location of the plant to 
which diverted; and
    (6) The delivery day requirements and the diversion percentages in 
paragraphs (d) (1) through (3) of this section may be increased or 
decreased by the market administrator if the market administrator finds 
that such revision is necessary to assure orderly marketing and 
efficient handling of milk in the marketing area. Before making such a 
finding, the market administrator shall investigate the need for the 
revision either on the market administrator's own initiative or at the 
request of interested persons. If the investigation shows that a 
revision might be appropriate, the market administrator shall issue a 
notice stating that the revision is being considered and inviting 
written data, views, and arguments. Any decision to revise an applicable 
percentage must be issued in writing at least one day before the 
effective date.



Sec.  1006.14  Other source milk.

    See Sec.  1000.14.



Sec.  1006.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1006.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1006.17  [Reserved]



Sec.  1006.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1006.19  Commercial food processing establishment.

    See Sec.  1000.19.

                             Handler Reports



Sec.  1006.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 7th day after the end of the 
month, in the detail and on prescribed forms, as follows:
    (a) With respect to each of its pool plants, the quantities of skim 
milk and butterfat contained in or represented by:
    (1) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c);
    (2) Receipts of milk from handlers described in Sec.  1000.9(c);
    (3) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (4) Receipts of other source milk;
    (5) Inventories at the beginning and end of the month of fluid milk 
products and bulk fluid cream products; and
    (6) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. The report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The quantities of all skim milk and butterfat contained in 
receipts of milk from producers; and
    (2) The utilization or disposition of all such receipts.
    (d) Each handler not specified in paragraphs (a) through (c) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1006.31  Payroll reports.

    (a) On or before the 20th day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1006.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for the month, in detail prescribed 
by the market administrator, showing for

[[Page 105]]

each producer the information specified in Sec.  1006.73(e).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1006.32  Other reports.

    In addition to the reports required pursuant to Sec. Sec.  1006.30 
and 1006.31, each handler shall report any information the market 
administrator deems necessary to verify or establish each handler's 
obligation under the order.

                         Classification of Milk



Sec.  1006.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1006.41  [Reserved]



Sec.  1006.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1006.43  General classification rules.

    See Sec.  1000.43.



Sec.  1006.44  Classification of producer milk.

    See Sec.  1000.44.



Sec.  1006.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1006.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.



Sec.  1006.51  Class I differential and price.

    The Class I differential shall be the differential established for 
Hillsborough County, Florida, which is reported in Sec.  1000.52. The 
Class I price shall be the price computed pursuant to Sec.  1000.50(a) 
for Hillsborough County, Florida.



Sec.  1006.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1006.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1006.54  Equivalent price.

    See Sec.  1000.54.

                             Uniform Prices



Sec.  1006.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at a pool plant by adding the amounts 
computed in paragraphs (a) through (e) of this section and subtracting 
from that total amount the value computed in paragraph (f) of this 
section. Receipts of nonfluid milk products that are distributed as 
labeled reconstituted milk for which payments are made to the producer-
settlement fund of another Federal order under Sec.  1000.76(a)(4) or 
(d) shall be excluded from pricing under this section.
    (a) Multiply the pounds of skim milk and butterfat in producer milk 
that were classified in each class pursuant to Sec.  1000.44(c) by the 
applicable skim milk and butterfat prices, and add the resulting 
amounts;
    (b) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) by the respective skim 
milk and butterfat prices applicable at the location of the pool plant;
    (c) Multiply the difference between the Class IV price for the 
preceding month and the current month's Class I, II, or III price, as 
the case may be, by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (d) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim

[[Page 106]]

milk and butterfat assigned to Class I pursuant to Sec.  1000.43(d) and 
the hundredweight of skim milk and butterfat subtracted from Class I 
pursuant to Sec.  1000.44(a)(3)(i) through (vi) and the corresponding 
step of Sec.  1000.44(b), excluding receipts of bulk fluid cream 
products from a plant regulated under other Federal orders and bulk 
concentrated fluid milk products from pool plants, plants regulated 
under other Federal orders, and unregulated supply plants;
    (e) Multiply the Class I skim milk and Class I butterfat prices 
applicable at the location of the nearest unregulated supply plants from 
which an equivalent volume was received by the pounds of skim milk and 
butterfat in receipts of concentrated fluid milk products assigned to 
Class I pursuant to Sec.  1000.43(d) and Sec.  1000.44(a)(3)(i) and the 
corresponding step of Sec.  1000.44(b) and the pounds of skim milk and 
butterfat subtracted from Class I pursuant to Sec.  1000.44(a)(8) and 
the corresponding step of Sec.  1000.44(b), excluding such skim milk and 
butterfat in receipts of fluid milk products from an unregulated supply 
plant to the extent that an equivalent amount of skim milk or butterfat 
disposed of to such plant by handlers fully regulated under any Federal 
milk order is classified and priced as Class I milk and is not used as 
an offset for any other payment obligation under any order; and
    (f) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 47966, Sept. 1, 1999, as amended at 65 FR 82835, Dec. 28, 2000]



Sec.  1006.61  Computation of uniform prices.

    On or before the 11th day of each month, the market administrator 
shall compute a uniform butterfat price, a uniform skim milk price, and 
a uniform price for producer milk receipts reported for the prior month. 
The report of any handler who has not made payments required pursuant to 
Sec.  1006.71 for the preceding month shall not be included in the 
computation of these prices, and such handler's report shall not be 
included in the computation for succeeding months until the handler has 
made full payment of outstanding monthly obligations.
    (a) Uniform butterfat price. The uniform butterfat price per pound, 
rounded to the nearest one-hundredth cent, shall be computed by:
    (1) Multiplying the pounds of butterfat in producer milk allocated 
to each class pursuant to Sec.  1000.44(b) by the respective class 
butterfat prices;
    (2) Adding the butterfat value calculated in Sec.  1006.60(e) for 
other source milk allocated to Class I pursuant to Sec.  1000.43(d) and 
the steps of Sec.  1000.44(b) that correspond to Sec.  1000.44(a)(3)(i) 
and Sec.  1000.44(a)(8) by the Class I price; and
    (3) Dividing the sum of paragraphs (a)(1) and (a)(2) of this section 
by the sum of the pounds of butterfat in producer milk and other source 
milk used to calculate the values in paragraphs (a)(1) and (a)(2) of 
this section.
    (b) Uniform skim milk price. The uniform skim milk price per 
hundredweight, rounded to the nearest cent, shall be computed as 
follows:
    (1) Combine into one total the values computed pursuant to Sec.  
1006.60 for all handlers;
    (2) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1006.75;
    (3) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (4) Subtract the value of the total pounds of butterfat for all 
handlers. The butterfat value shall be computed by multiplying the sum 
of the pounds of butterfat in producer milk and other source milk used 
to calculate the values in paragraphs (a)(1) and (a)(2) of this section 
by the butterfat price computed in paragraph (a) of this section;
    (5) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (i) The total skim pounds of producer milk; and

[[Page 107]]

    (ii) The total skim pounds for which a value is computed pursuant to 
Sec.  1006.60(e); and
    (6) Subtract not less than 4 cents and not more than 5 cents.
    (c) Uniform price. The uniform price per hundredweight, rounded to 
the nearest cent, shall be the sum of the following:
    (1) Multiply the uniform butterfat price for the month pursuant to 
paragraph (a) of this section times 3.5 pounds of butterfat; and
    (2) Multiply the uniform skim milk price for the month pursuant to 
paragraph (b) of this section times 96.5 pounds of skim milk.

[64 FR 47966, Sept. 1, 1999, as amended at 65 FR 82835, Dec. 28, 2000]



Sec.  1006.62  Announcement of uniform prices.

    On or before the 11th day after the end of the month, the market 
administrator shall announce the uniform prices for the month computed 
pursuant to Sec.  1006.61.

                            Payments for Milk



Sec.  1006.70  Producer-settlement fund.

    See Sec.  1000.70.



Sec.  1006.71  Payments to the producer-settlement fund.

    Each handler shall make a payment to the producer-settlement fund in 
a manner that provides receipt of the funds by the market administrator 
no later than the 12th day after the end of the month (except as 
provided in Sec.  1000.90). Payment shall be the amount, if any, by 
which the amount specified in paragraph (a) of this section exceeds the 
amount specified in paragraph (b) of this section:
    (a) The total value of milk of the handler for the month as 
determined pursuant to Sec.  1006.60; and
    (b) The sum of the value at the uniform prices for skim milk and 
butterfat, adjusted for plant location, of the handler's receipts of 
producer milk; and the value at the uniform price, as adjusted pursuant 
to Sec.  1006.75, applicable at the location of the plant from which 
received of other source milk for which a value is computed pursuant to 
Sec.  1006.60(e).



Sec.  1006.72  Payments from the producer-settlement fund.

    No later than one day after the date of payment receipt required 
under Sec.  1006.71, the market administrator shall pay to each handler 
the amount, if any, by which the amount computed pursuant to Sec.  
1006.71(b) exceeds the amount computed pursuant to Sec.  1006.71(a). If, 
at such time, the balance in the producer-settlement fund is 
insufficient to make all payments pursuant to this section, the market 
administrator shall reduce uniformly such payments and shall complete 
the payments as soon as the funds are available.



Sec.  1006.73  Payments to producers and to cooperative associations.

    (a) Each handler that is not paying a cooperative association for 
producer milk shall pay each producer as follows:
    (1) Partial payments. (i) For each producer who has not discontinued 
shipments as of the 15th day of the month, payment shall be made so that 
it is received by the producer on or before the 20th day of the month 
(except as provided in Sec.  1000.90) for milk received during the first 
15 days of the month at not less than 85 percent of the preceding 
month's uniform price, adjusted for plant location pursuant to Sec.  
1006.75 and proper deductions authorized in writing by the producer; and
    (ii) For each producer who has not discontinued shipments as of the 
last day of the month, payment shall be made so that it is received by 
the producer on or before the 5th day of the following month (except as 
provided in Sec.  1000.90) for milk received from the 16th to the last 
day of the month at not less than 85 percent of the preceding month's 
uniform price, adjusted for plant location pursuant to Sec.  1006.75 and 
proper deductions authorized in writing by the producer.
    (2) Final payment. For milk received during the month, a payment 
computed as follows shall be made so that it is received by each 
producer one day after the payment date required in Sec.  1006.72:
    (i) Multiply the hundredweight of producer skim milk received times 
the

[[Page 108]]

uniform skim milk price for the month;
    (ii) Multiply the pounds of butterfat received times the uniform 
butterfat price for the month;
    (iii) Multiply the hundredweight of producer milk received times the 
plant location adjustment pursuant to Sec.  1006.75; and
    (iv) Add the amounts computed in paragraphs (a)(2)(i), (ii), and 
(iii) of this section, and from that sum:
    (A) Subtract the partial payments made pursuant to paragraph (a)(1) 
of this section;
    (B) Subtract the deduction for marketing services pursuant to Sec.  
1000.86;
    (C) Add or subtract for errors made in previous payments to the 
producer; and
    (D) Subtract proper deductions authorized in writing by the 
producer.
    (b) One day before partial and final payments are due pursuant to 
paragraph (a) of this section, each handler shall pay a cooperative 
association for milk received as follows:
    (1) Partial payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk (including the 
milk of producers who are not members of such association and who the 
market administrator determines have authorized the cooperative 
association to collect payment for their milk) received from a 
cooperative association in any capacity, except as the operator of a 
pool plant, the payment shall be equal to the hundredweight of milk 
received multiplied by 90 percent of the preceding month's uniform 
price, adjusted for plant location pursuant to Sec.  1006.75.
    (2) Partial payment to a cooperative association for milk 
transferred from its pool plant. For bulk fluid milk products and bulk 
fluid cream products received during the first 15 days of the month from 
a cooperative association in its capacity as the operator of a pool 
plant, the partial payment shall be at the pool plant operator's 
estimated use value of the milk using the most recent class prices 
available for skim milk and butterfat at the receiving plant's location.
    (3) Final payment to a cooperative association for milk transferred 
from its pool plant. For bulk fluid milk products and bulk fluid cream 
products received during the month from a cooperative association in its 
capacity as the operator of a pool plant, the final payment shall be the 
classified value of such milk as determined by multiplying the pounds of 
skim milk and butterfat assigned to each class pursuant to Sec.  1000.44 
by the class prices for the month at the receiving plant's location, and 
subtracting from this sum the partial payment made pursuant to paragraph 
(b)(2) of this section.
    (4) Final payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk received from a 
cooperative association during the month, including the milk of 
producers who are not members of such association and who the market 
administrator determines have authorized the cooperative association to 
collect payment for their milk, the final payment for such milk shall be 
an amount equal to the sum of the individual payments otherwise payable 
for such milk pursuant to paragraph (a)(2) of this section.
    (c) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1006.72 by the payment date specified in 
paragraph (a) or (b) of this section, the handler may reduce payments 
pursuant to paragraphs (a) and (b) of this section, but by not more than 
the amount of the underpayment. The payments shall be completed on the 
next scheduled payment date after receipt of the balance due from the 
market administrator.
    (d) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer-
settlement fund, and in the event that the handler subsequently locates 
and pays the producer or a lawful claimant, or in the event that the 
handler no longer exists and a lawful claim is later established, the 
market administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant as the case may 
be.
    (e) In making payments to producers pursuant to this section, each 
pool

[[Page 109]]

plant operator shall furnish each producer, except a producer whose milk 
was received from a cooperative association described in Sec.  1000.9(a) 
or (c), a supporting statement in such form that it may be retained by 
the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and the payroll number of the producer;
    (2) The month and dates that milk was received from the producer, 
including the daily and total pounds of milk received;
    (3) The total pounds of butterfat in the producer's milk;
    (4) The minimum rate or rates at which payment to the producer is 
required pursuant to the order in this part;
    (5) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (6) The amount, or rate per hundredweight, and nature of each 
deduction claimed by the handler; and
    (7) The net amount of payment to the producer or cooperative 
association.

[64 FR 47966, Sept. 1, 1999, as amended at 65 FR 32010, May 22, 2000]



Sec.  1006.74  [Reserved]



Sec.  1006.75  Plant location adjustments for producer milk and nonpool milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1006.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1006.73 and 
1000.76.



Sec.  1006.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1006.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1006.78  Charges on overdue accounts.

    See Sec.  1000.78.

        Administrative Assessment and Marketing Service Deduction



Sec.  1006.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1006.86  Deduction for marketing services.

    See Sec.  1000.86.



PART 1007_MILK IN THE SOUTHEAST MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1007.1 General provisions.

                               Definitions

1007.2 Southeast marketing area.
1007.3 Route disposition.
1007.4 Plant.
1007.5 Distributing plant.
1007.6 Supply plant.
1007.7 Pool plant.
1007.8 Nonpool plant.
1007.9 Handler.
1007.10 Producer-handler.
1007.11 [Reserved]
1007.12 Producer.
1007.13 Producer milk.
1007.14 Other source milk.
1007.15 Fluid milk product.
1007.16 Fluid cream product.
1007.17 [Reserved]
1007.18 Cooperative association.
1007.19 Commercial food processing establishment.

                             Handler Reports

1007.30 Reports of receipts and utilization.
1007.31 Payroll reports.
1007.32 Other reports.

                         Classification of Milk

1007.40 Classes of utilization.
1007.41 [Reserved]
1007.42 Classification of transfers and diversions.
1007.43 General classification rules.
1007.44 Classification of producer milk.
1007.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1007.50 Class prices, component prices, and advanced pricing factors.
1007.51 Class I differential and price.
1007.52 Adjusted Class I differentials.

[[Page 110]]

1007.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1007.54 Equivalent price.

                             Uniform Prices

1007.60 Handler's value of milk.
1007.61 Computation of uniform prices.
1007.62 Announcement of uniform prices.

                            Payments for Milk

1007.70 Producer-settlement fund.
1007.71 Payments to the producer-settlement fund.
1007.72 Payments from the producer-settlement fund.
1007.73 Payments to producers and to cooperative associations.
1007.74 [Reserved]
1007.75 Plant location adjustments for producer milk and nonpool milk.
1007.76 Payments by a handler operating a partially regulated 
          distributing plant.
1007.77 Adjustment of accounts.
1007.78 Charges on overdue accounts.

                       Marketwide Service Payments

1007.80 Transportation credit balancing fund.
1007.81 Payments to the transportation credit balancing fund.
1007.82 Payments from the transportation credit balancing fund.

        Administrative Assessment and Marketing Service Deduction

1007.85 Assessment for order administration.
1007.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 47971, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1007.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1007. In this part 1007, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1007.2  Southeast marketing area.

    The marketing area means all territory within the bounds of the 
following states and political subdivisions, including all piers, docks 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

              Alabama, Arkansas, Louisiana, and Mississippi

    All of the States of Alabama, Arkansas, Louisiana, and Mississippi.

                            Florida Counties

    Escambia, Okaloosa, Santa Rosa, and Walton.

                            Georgia Counties

    All of the State of Georgia except for the counties of Catoosa, 
Chattooga, Dade, Fannin, Murray, Walker, and Whitfield.

                            Kentucky Counties

    Allen, Ballard, Barren, Caldwell, Calloway, Carlisle, Christian, 
Crittenden, Fulton, Graves, Hickman, Livingston, Logan, Lyon, 
Marshall,McCracken, Metcalfe, Monroe, Simpson, Todd, Trigg, and Warren.

                            Missouri Counties

    Barry, Barton, Bollinger, Butler, Cape Girardeau, Carter, Cedar, 
Christian, Crawford, Dade, Dallas, Dent, Douglas, Dunklin, Greene, 
Howell, Iron, Jasper, Laclede, Lawrence, Madison, McDonald, Mississippi, 
New Madrid, Newton, Oregon, Ozark, Pemiscot, Perry, Polk, Reynolds, 
Ripley, Scott, Shannon, St. Francois, Stoddard, Stone, Taney, Texas, 
Vernon, Washington, Wayne, Webster, and Wright.

                           Tennessee Counties

    All of the State of Tennessee except for the counties of Anderson, 
Blount, Bradley, Campbell, Carter, Claiborne, Cocke, Cumberland, 
Grainger, Greene, Hamblen, Hamilton, Hancock, Hawkins, Jefferson, 
Johnson, Knox, Loudon, Marion, McMinn, Meigs, Monroe, Morgan, Polk, 
Rhea, Roane, Scott, Sequatchie, Sevier, Sullivan, Unicoi, Union, and 
Washington.



Sec.  1007.3  Route disposition.

    See Sec.  1000.3.



Sec.  1007.4  Plant.

    See Sec.  1000.4.



Sec.  1007.5  Distributing plant.

    See Sec.  1000.5.

[[Page 111]]



Sec.  1007.6  Supply plant.

    See Sec.  1000.6.



Sec.  1007.7  Pool plant.

    Pool plant means a plant specified in paragraphs (a) through (d) of 
this section, or a unit of plants as specified in paragraph (e) of this 
section, but excluding a plant specified in paragraph (g) of this 
section. The pooling standards described in paragraphs (c) and (d) of 
this section are subject to modification pursuant to paragraph (f) of 
this section:
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this section or Sec.  --------.7(b) 
of any other Federal milk order, from which during the month 50 percent 
or more of the fluid milk products physically received at such plant 
(excluding concentrated milk received from another plant by agreement 
for other than Class I use) are disposed of as route disposition or are 
transferred in the form of packaged fluid milk products to other 
distributing plants. At least 25 percent of such route disposition and 
transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 50 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which 50 percent or more of the total 
quantity of milk that is physically received during the month from dairy 
farmers and handlers described in Sec.  1000.9(c), including milk that 
is diverted from the plant, is transferred to pool distributing plants. 
Concentrated milk transferred from the supply plant to a distributing 
plant for an agreed-upon use other than Class I shall be excluded from 
the supply plant's shipments in computing the plant's shipping 
percentage.
    (d) A plant located within the marketing area that is operated by a 
cooperative association if pool plant status under this paragraph is 
requested for such plant by the cooperative association and during the 
month at least 60 percent of the producer milk of members of such 
cooperative association is delivered directly from farms to pool 
distributing plants or is transferred to such plants as a fluid milk 
product (excluding concentrated milk transferred to a distributing plant 
for an agreed-upon use other than Class I) from the cooperative's plant.
    (e) Two or more plants operated by the same handler and located 
within the marketing area may qualify for pool status as a unit by 
meeting the total and in-area route disposition requirements specified 
in paragraph (a) of this section and the following additional 
requirements:
    (1) At least one of the plants in the unit must qualify as a pool 
plant pursuant to paragraph (a) of this section;
    (2) Other plants in the unit must process only Class I or Class II 
products and must be located in a pricing zone providing the same or a 
lower Class I price than the price applicable at the distributing plant 
included in the unit pursuant to paragraph (e)(1) of this section; and
    (3) A written request to form a unit, or to add or remove plants 
from a unit, must be filed with the market administrator prior to the 
first day of the month for which it is to be effective.
    (f) The applicable shipping percentages of paragraphs (c) and (d) of 
this section may be increased or decreased by the market administrator 
if the market administrator finds that such adjustment is necessary to 
encourage needed shipments or to prevent uneconomic shipments. Before 
making such a finding, the market administrator shall investigate the 
need for adjustment either on the market administrator's own initiative 
or at the request of interested parties if the request is made in 
writing at least 15 days prior to the date for which the requested 
revision is desired effective. If the investigation shows that an 
adjustment of the shipping percentages might be appropriate, the market 
administrator shall issue a notice stating that an adjustment is being 
considered and invite data, views and arguments. Any decision to revise 
an applicable shipping percentage must be issued in writing at least one 
day before the effective date.

[[Page 112]]

    (g) The term pool plant shall not apply to the following plants:
    (1) A producer-handler plant;
    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant qualified pursuant to paragraph (a) of this section 
which is not located within any Federal order marketing area, meets the 
pooling requirements of another Federal order, and has had greater route 
disposition in such other Federal order marketing area for 3 consecutive 
months;
    (4) A plant qualified pursuant to paragraph (a) of this section 
which is located in another Federal order marketing area, meets the 
pooling standards of the other Federal order, and has not had a majority 
of its route disposition in this marketing area for 3 consecutive months 
or is locked into pool status under such other Federal order without 
regard to its route disposition in any other Federal order marketing 
area; and
    (5) A plant qualified pursuant to paragraph (c) of this section 
which also meets the pooling requirements of another Federal order and 
from which greater qualifying shipments are made to plants regulated 
under such other order than are made to plants regulated under the order 
in this part, or such plant has automatic pooling status under such 
other order.



Sec.  1007.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1007.9  Handler.

    See Sec.  1000.9.



Sec.  1007.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is monthly route disposition in the marketing area;
    (b) Receives no fluid milk products, and acquires no fluid milk 
products for route disposition, from sources other than own farm 
production;
    (c) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products 
received from own farm production; and
    (d) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled, and the processing and packaging 
operations, are the producer-handler's own enterprise and are operated 
at the producer-handler's own risk.



Sec.  1007.11  [Reserved]



Sec.  1007.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
(or components of milk) is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1007.13; or
    (2) Received by a handler described in Sec.  1000.9(c).
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1007.13(d);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and that milk is allocated by request to a utilization other than Class 
I; and
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with respect to that portion 
of the milk so diverted that is assigned to Class I under the provisions 
of such other order.



Sec.  1007.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk) and butterfat contained in milk of a producer 
that is:
    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec.  1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;

[[Page 113]]

    (b) Received by a handler described in Sec.  1000.9(c) in excess of 
the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator to another pool plant. Milk so 
diverted shall be priced at the location of the plant to which diverted; 
or
    (d) Diverted by the operator of a pool plant or a handler described 
in Sec.  1000.9(c) to a nonpool plant, subject to the following 
conditions:
    (1) In any month of January through June, not less than 4 days' 
production of the producer whose milk is diverted is physically received 
at a pool plant during the month;
    (2) In any month of July through December, not less than 10 days' 
production of the producer whose milk is diverted is physically received 
at a pool plant during the month;
    (3) The total quantity of milk so diverted during the month by a 
cooperative association shall not exceed 33 percent during the months of 
July through December, and 50 percent during the months of January 
through June, of the producer milk that the cooperative association 
caused to be delivered to, and physically received at, pool plants 
during the month;
    (4) The operator of a pool plant that is not a cooperative 
association may divert any milk that is not under the control of a 
cooperative association that diverts milk during the month pursuant to 
paragraph (d) of this section. The total quantity of milk so diverted 
during the month shall not exceed 33 percent during the months of July 
through December, or 50 percent during the months of January through 
June, of the producer milk physically received at such plant (or such 
unit of plants in the case of plants that pool as a unit pursuant to 
Sec.  1007.7(e)) during the month, excluding the quantity of producer 
milk received from a handler described in Sec.  1000.9(c);
    (5) Any milk diverted in excess of the limits prescribed in 
paragraphs (d)(3) and (4) of this section shall not be producer milk. If 
the diverting handler or cooperative association fails to designate the 
dairy farmers' deliveries that will not be producer milk, no milk 
diverted by the handler or cooperative association shall be producer 
milk;
    (6) Diverted milk shall be priced at the location of the plant to 
which diverted; and
    (7) The delivery day requirements and the diversion percentages in 
paragraphs (d)(1) through (4) of this section may be increased or 
decreased by the market administrator if the market administrator finds 
that such revision is necessary to assure orderly marketing and 
efficient handling of milk in the marketing area. Before making such a 
finding, the market administrator shall investigate the need for the 
revision either on the market administrator's own initiative or at the 
request of interested persons. If the investigation shows that a 
revision might be appropriate, the market administrator shall issue a 
notice stating that the revision is being considered and inviting 
written data, views, and arguments. Any decision to revise an applicable 
percentage must be issued in writing at least one day before the 
effective date.



Sec.  1007.14  Other source milk.

    See Sec.  1000.14.



Sec.  1007.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1007.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1007.17  [Reserved]



Sec.  1007.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1007.19  Commercial food processing establishment.

    See Sec.  1000.19.

                             Handler Reports



Sec.  1007.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 7th day after the end of the 
month, in the detail and on prescribed forms, as follows:
    (a) With respect to each of its pool plants, the quantities of skim 
milk and butterfat contained in or represented by:

[[Page 114]]

    (1) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c);
    (2) Receipts of milk from handlers described in Sec.  1000.9(c);
    (3) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (4) Receipts of other source milk;
    (5) Receipts of bulk milk from a plant regulated under another 
Federal order, except Federal Order 1005, for which a transportation 
credit is requested pursuant to Sec.  1007.82;
    (6) Receipts of producer milk described in Sec.  1007.82(c)(2), 
including the identity of the individual producers whose milk is 
eligible for the transportation credit pursuant to that paragraph and 
the date that such milk was received;
    (7) For handlers submitting transportation credit requests, 
transfers of bulk milk to nonpool plants, including the dates that such 
milk was transferred;
    (8) Inventories at the beginning and end of the month of fluid milk 
products and bulk fluid cream products; and
    (9) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraphs (a)(1), (a)(2), (a)(3), (a)(4), and 
(a)(8) of this section. Receipts of milk that would have been producer 
milk if the plant had been fully regulated shall be reported in lieu of 
producer milk. The report shall show also the quantity of any 
reconstituted skim milk in route disposition in the marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The quantities of all skim milk and butterfat contained in 
receipts of milk from producers;
    (2) The utilization or disposition of all such receipts; and
    (3) With respect to milk for which a cooperative association is 
requesting a transportation credit pursuant to Sec.  1007.82, all of the 
information required in paragraphs (a)(5), (a)(6), and (a)(7) of this 
section.
    (d) Each handler not specified in paragraphs (a) through (c) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1007.31  Payroll reports.

    (a) On or before the 20th day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1007.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for the month, in detail prescribed 
by the market administrator, showing for each producer the information 
specified in Sec.  1007.73(e).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1007.32  Other reports.

    (a) On or before the 20th day after the end of each month, each 
handler described in Sec.  1000.9(a) and (c) shall report to the market 
administrator any adjustments to transportation credit requests as 
reported pursuant to Sec.  1007.30(a)(5), (6), and (7).
    (b) In addition to the reports required pursuant to Sec. Sec.  
1007.30, 31, and 32(a), each handler shall report any information the 
market administrator deems necessary to verify or establish each 
handler's obligation under the order.

                         Classification of Milk



Sec.  1007.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1007.41  [Reserved]



Sec.  1007.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1007.43  General classification rules.

    See Sec.  1000.43.

[[Page 115]]



Sec.  1007.44  Classification of producer milk.

    See Sec.  1000.44.



Sec.  1007.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1007.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.



Sec.  1007.51  Class I differential and price.

    The Class I differential shall be the differential established for 
Fulton County, Georgia, which is reported in Sec.  1000.52. The Class I 
price shall be the price computed pursuant to Sec.  1000.50(a) for 
Fulton County, Georgia.



Sec.  1007.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1007.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1007.54  Equivalent price.

    See Sec.  1000.54.

                             Uniform Prices



Sec.  1007.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at a pool plant by adding the amounts 
computed in paragraphs (a) through (e) of this section and subtracting 
from that total amount the value computed in paragraph (f) of this 
section. Receipts of nonfluid milk products that are distributed as 
labeled reconstituted milk for which payments are made to the producer-
settlement fund of another Federal order under Sec.  1000.76(a)(4) or 
(d) shall be excluded from pricing under this section.
    (a) Multiply the pounds of skim milk and butterfat in producer milk 
that were classified in each class pursuant to Sec.  1000.44(c) by the 
applicable skim milk and butterfat prices, and add the resulting 
amounts;
    (b) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) by the respective skim 
milk and butterfat prices applicable at the location of the pool plant;
    (c) Multiply the difference between the Class IV price for the 
preceding month and the current month's Class I, II, or III price, as 
the case may be, by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (d) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3)(i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from a plant regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under other Federal orders, and unregulated supply 
plants;
    (e) Multiply the Class I skim milk and Class I butterfat prices 
applicable at the location of the nearest unregulated supply plants from 
which an equivalent volume was received by the pounds of skim milk and 
butterfat in receipts of concentrated fluid milk products assigned to 
Class I pursuant to Sec.  1000.43(d) and Sec.  1000.44(a)(3)(i) and the 
corresponding step of Sec.  1000.44(b) and the pounds of skim milk and 
butterfat subtracted from Class I pursuant to Sec.  1000.44(a)(8) and 
the corresponding step of Sec.  1000.44(b), excluding such skim milk and 
butterfat in receipts of fluid milk products from an unregulated supply 
plant to the extent that an equivalent amount of skim milk or butterfat 
disposed of to such plant by handlers fully regulated under any Federal 
milk order is classified and

[[Page 116]]

priced as Class I milk and is not used as an offset for any other 
payment obligation under any order; and
    (f) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 47966, Sept. 1, 1999, as amended at 65 FR 82835, Dec. 28, 2000]



Sec.  1007.61  Computation of uniform prices.

    On or before the 11th day of each month, the market administrator 
shall compute a uniform butterfat price, a uniform skim milk price, and 
a uniform price for producer milk receipts reported for the prior month. 
The report of any handler who has not made payments required pursuant to 
Sec.  1007.71 for the preceding month shall not be included in the 
computation of these prices, and such handler's report shall not be 
included in the computation for succeeding months until the handler has 
made full payment of outstanding monthly obligations.
    (a) Uniform butterfat price. The uniform butterfat price per pound, 
rounded to the nearest one-hundredth cent, shall be computed by:
    (1) Multiplying the pounds of butterfat in producer milk allocated 
to each class pursuant to Sec.  1000.44(b) by the respective class 
butterfat prices;
    (2) Adding the butterfat value calculated in Sec.  1007.60(e) for 
other source milk allocated to Class I pursuant to Sec.  1000.43(d) and 
the steps of Sec.  1000.44(b) that correspond to Sec.  1000.44(a)(3)(i) 
and Sec.  1000.44(a)(8) by the Class I price; and
    (3) Dividing the sum of paragraphs (a)(1) and (a)(2) of this section 
by the sum of the pounds of butterfat in producer milk and other source 
milk used to calculate the values in paragraphs (a)(1) and (a)(2) of 
this section.
    (b) Uniform skim milk price. The uniform skim milk price per 
hundredweight, rounded to the nearest cent, shall be computed as 
follows:
    (1) Combine into one total the values computed pursuant to Sec.  
1007.60 for all handlers;
    (2) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1007.75;
    (3) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (4) Subtract the value of the total pounds of butterfat for all 
handlers. The butterfat value shall be computed by multiplying the sum 
of the pounds of butterfat in producer milk and other source milk used 
to calculate the values in paragraphs (a)(1) and (a)(2) of this section 
by the butterfat price computed in paragraph (a) of this section;
    (5) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (i) The total skim pounds of producer milk; and
    (ii) The total skim pounds for which a value is computed pursuant to 
Sec.  1007.60(e); and
    (6) Subtract not less than 4 cents and not more than 5 cents.
    (c) Uniform price. The uniform price per hundredweight, rounded to 
the nearest cent, shall be the sum of the following:
    (1) Multiply the uniform butterfat price for the month pursuant to 
paragraph (a) of this section times 3.5 pounds of butterfat; and
    (2) Multiply the uniform skim milk price for the month pursuant to 
paragraph (b) of this section times 96.5 pounds of skim milk.

[64 FR 47966, Sept. 1, 1999, as amended at 65 FR 82835, Dec. 28, 2000]



Sec.  1007.62  Announcement of uniform prices.

    On or before the 11th day after the end of the month, the market 
administrator shall announce the uniform prices for the month computed 
pursuant to Sec.  1007.61.

                            Payments for Milk



Sec.  1007.70  Producer-settlement fund.

    See Sec.  1000.70.

[[Page 117]]



Sec.  1007.71  Payments to the producer-settlement fund.

    Each handler shall make a payment to the producer-settlement fund in 
a manner that provides receipt of the funds by the market administrator 
no later than the 12th day after the end of the month (except as 
provided in Sec.  1000.90). Payment shall be the amount, if any, by 
which the amount specified in paragraph (a) of this section exceeds the 
amount specified in paragraph (b) of this section:
    (a) The total value of milk of the handler for the month as 
determined pursuant to Sec.  1007.60; and
    (b) The sum of the value at the uniform prices for skim milk and 
butterfat, adjusted for plant location, of the handler's receipts of 
producer milk; and the value at the uniform price, as adjusted pursuant 
to Sec.  1007.75, applicable at the location of the plant from which 
received of other source milk for which a value is computed pursuant to 
Sec.  1007.60(e).



Sec.  1007.72  Payments from the producer-settlement fund.

    No later than one day after the date of payment receipt required 
under Sec.  1007.71, the market administrator shall pay to each handler 
the amount, if any, by which the amount computed pursuant to Sec.  
1007.71(b) exceeds the amount computed pursuant to Sec.  1007.71(a). If, 
at such time, the balance in the producer-settlement fund is 
insufficient to make all payments pursuant to this section, the market 
administrator shall reduce uniformly such payments and shall complete 
the payments as soon as the funds are available.



Sec.  1007.73  Payments to producers and to cooperative associations.

    (a) Each handler that is not paying a cooperative association for 
producer milk shall pay each producer as follows:
    (1) Partial payment. For each producer who has not discontinued 
shipments as of the 23rd day of the month, payment shall be made so that 
it is received by the producer on or before the 26th day of the month 
(except as provided in Sec.  1000.90) for milk received during the first 
15 days of the month at not less than 90 percent of the preceding 
month's uniform price, adjusted for plant location pursuant to Sec.  
1007.75 and proper deductions authorized in writing by the producer.
    (2) Final payment. For milk received during the month, a payment 
computed as follows shall be made so that it is received by each 
producer one day after the payment date required in Sec.  1007.72:
    (i) Multiply the hundredweight of producer skim milk received times 
the uniform skim milk price for the month;
    (ii) Multiply the pounds of butterfat received times the uniform 
butterfat price for the month;
    (iii) Multiply the hundredweight of producer milk received times the 
plant location adjustment pursuant to Sec.  1007.75; and
    (iv) Add the amounts computed in paragraph (a)(2)(i), (ii), and 
(iii) of this section, and from that sum:
    (A) Subtract the partial payment made pursuant to paragraph (a)(1) 
of this section;
    (B) Subtract the deduction for marketing services pursuant to Sec.  
1000.86;
    (C) Add or subtract for errors made in previous payments to the 
producer; and
    (D) Subtract proper deductions authorized in writing by the 
producer.
    (b) One day before partial and final payments are due pursuant to 
paragraph (a) of this section, each handler shall pay a cooperative 
association for milk received as follows:
    (1) Partial payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk (including the 
milk of producers who are not members of such association and who the 
market administrator determines have authorized the cooperative 
association to collect payment for their milk) received during the first 
15 days of the month from a cooperative association in any capacity, 
except as the operator of a pool plant, the payment shall be equal to 
the hundredweight of milk received multiplied by 90 percent of the 
preceding month's uniform price, adjusted for plant location pursuant to 
Sec.  1007.75.
    (2) Partial payment to a cooperative association for milk 
transferred from its pool

[[Page 118]]

plant. For bulk fluid milk products and bulk fluid cream products 
received during the first 15 days of the month from a cooperative 
association in its capacity as the operator of a pool plant, the partial 
payment shall be at the pool plant operator's estimated use value of the 
milk using the most recent class prices available for skim milk and 
butterfat at the receiving plant's location.
    (3) Final payment to a cooperative association for milk transferred 
from its pool plant. For bulk fluid milk products and bulk fluid cream 
products received during the month from a cooperative association in its 
capacity as the operator of a pool plant, the final payment shall be the 
classified value of such milk as determined by multiplying the pounds of 
skim milk and butterfat assigned to each class pursuant to Sec.  1000.44 
by the class prices for the month at the receiving plant's location, and 
subtracting from this sum the partial payment made pursuant to paragraph 
(b)(2) of this section.
    (4) Final payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk received from a 
cooperative association during the month, including the milk of 
producers who are not members of such association and who the market 
administrator determines have authorized the cooperative association to 
collect payment for their milk, the final payment for such milk shall be 
an amount equal to the sum of the individual payments otherwise payable 
for such milk pursuant to paragraph (a)(2) of this section.
    (c) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1007.72 by the payment date specified in 
paragraph (a) or (b) of this section, the handler may reduce payments 
pursuant to paragraphs (a) and (b) of this section, but by not more than 
the amount of the underpayment. The payments shall be completed on the 
next scheduled payment date after receipt of the balance due from the 
market administrator.
    (d) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer-
settlement fund, and in the event that the handler subsequently locates 
and pays the producer or a lawful claimant, or in the event that the 
handler no longer exists and a lawful claim is later established, the 
market administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant as the case may 
be.
    (e) In making payments to producers pursuant to this section, each 
pool plant operator shall furnish each producer, except a producer whose 
milk was received from a cooperative association described in Sec.  
1000.9(a) or (c), a supporting statement in such form that it may be 
retained by the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and the payroll number of the producer;
    (2) The month and dates that milk was received from the producer, 
including the daily and total pounds of milk received;
    (3) The total pounds of butterfat in the producer's milk;
    (4) The minimum rate or rates at which payment to the producer is 
required pursuant to this order;
    (5) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (6) The amount, or rate per hundredweight, and nature of each 
deduction claimed by the handler; and
    (7) The net amount of payment to the producer or cooperative 
association.

[64 FR 47971, Sept. 1, 1999, as amended at 65 FR 32010, May 22, 2000]



Sec.  1007.74  [Reserved]



Sec.  1007.75  Plant location adjustments for producer milk and nonpool milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1007.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1007.73 and 
1000.76.

[[Page 119]]



Sec.  1007.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1007.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1007.78  Charges on overdue accounts.

    See Sec.  1000.78.

                       Marketwide Service Payments



Sec.  1007.80  Transportation credit balancing fund.

    The market administrator shall maintain a separate fund known as the 
Transportation Credit Balancing Fund into which shall be deposited the 
payments made by handlers pursuant to Sec.  1007.81 and out of which 
shall be made the payments due handlers pursuant to Sec.  1007.82. 
Payments due a handler shall be offset against payments due from the 
handler.



Sec.  1007.81  Payments to the transportation credit balancing fund.

    (a) On or before the 12th day after the end of the month (except as 
provided in Sec.  1000.90), each handler operating a pool plant and each 
handler specified in Sec.  1000.9(c) shall pay to the market 
administrator a transportation credit balancing fund assessment 
determined by multiplying the pounds of Class I producer milk assigned 
pursuant to Sec.  1000.44 by $0.07 per hundredweight or such lesser 
amount as the market administrator deems necessary to maintain a balance 
in the fund equal to the total transportation credits disbursed during 
the prior June-January period. In the event that during any month of the 
June-January period the fund balance is insufficient to cover the amount 
of credits that are due, the assessment should be based upon the amount 
of credits that would have been disbursed had the fund balance been 
sufficient.
    (b) The market administrator shall announce publicly on or before 
the 5th day of the month (except as provided in Sec.  1000.90) the 
assessment pursuant to paragraph (a) of this section for the following 
month.



Sec.  1007.82  Payments from the transportation credit balancing fund.

    (a) Payments from the transportation credit balancing fund to 
handlers and cooperative associations requesting transportation credits 
shall be made as follows:
    (1) On or before the 13th day (except as provided in Sec.  1000.90) 
after the end of each of the months of July through December and any 
other month in which transportation credits are in effect pursuant to 
paragraph (b) of this section, the market administrator shall pay to 
each handler that received, and reported pursuant to Sec.  
1007.30(a)(5), bulk milk transferred from a plant fully regulated under 
another Federal order as described in paragraph (c)(1) of this section 
or that received, and reported pursuant to Sec.  1007.30(a)(6), milk 
directly from producers' farms as specified in paragraph (c)(2) of this 
section, a preliminary amount determined pursuant to paragraph (d) of 
this section to the extent that funds are available in the 
transportation credit balancing fund. If an insufficient balance exists 
to pay all of the credits computed pursuant to this section, the market 
administrator shall distribute the balance available in the 
transportation credit balancing fund by reducing payments pro rata using 
the percentage derived by dividing the balance in the fund by the total 
credits that are due for the month. The amount of credits resulting from 
this initial proration shall be subject to audit adjustment pursuant to 
paragraph (a)(2) of this section;
    (2) The market administrator shall accept adjusted requests for 
transportation credits on or before the 20th day of the month following 
the month for which such credits were requested pursuant to Sec.  
1007.32(a). After such date, a preliminary audit will be conducted by 
the market administrator, who will recalculate any necessary proration 
of transportation credit payments for the preceding month pursuant to 
paragraph (a) of this section. Handlers will be promptly notified of an 
overpayment of credits based upon this final computation and remedial 
payments to or from the transportation credit balancing fund will be 
made on or before the next payment date for the following month;

[[Page 120]]

    (3) Transportation credits paid pursuant to paragraphs (a)(1) and 
(2) of this section shall be subject to final verification by the market 
administrator pursuant to Sec.  1000.77. Adjusted payments to or from 
the transportation credit balancing fund will remain subject to the 
final proration established pursuant to paragraph (a)(2) of this 
section; and
    (4) In the event that a qualified cooperative association is the 
responsible party for whose account such milk is received and written 
documentation of this fact is provided to the market administrator 
pursuant to Sec.  1007.30(c)(3) prior to the date payment is due, the 
transportation credits for such milk computed pursuant to this section 
shall be made to such cooperative association rather than to the 
operator of the pool plant at which the milk was received.
    (b) The market administrator may extend the period during which 
transportation credits are in effect (i.e., the transportation credit 
period) to the months of January and June if a written request to do so 
is received 15 days prior to the beginning of the month for which the 
request is made and, after conducting an independent investigation, 
finds that such extension is necessary to assure the market of an 
adequate supply of milk for fluid use. Before making such a finding, the 
market administrator shall notify the Director of the Dairy Division and 
all handlers in the market that an extension is being considered and 
invite written data, views, and arguments. Any decision to extend the 
transportation credit period must be issued in writing prior to the 
first day of the month for which the extension is to be effective.
    (c) Transportation credits shall apply to the following milk:
    (1) Bulk milk received from a plant regulated under another Federal 
order, except Federal Order 1005, and allocated to Class I milk pursuant 
to Sec.  1000.44(a)(9); and
    (2) Bulk milk received directly from the farms of dairy farmers at 
pool distributing plants subject to the following conditions:
    (i) The quantity of such milk that shall be eligible for the 
transportation credit shall be determined by multiplying the total 
pounds of milk received from producers meeting the conditions of this 
paragraph by the lower of:
    (A) The marketwide estimated Class I utilization of all handlers for 
the month pursuant to Sec.  1000.45(a); or
    (B) The Class I utilization of all producer milk of the pool plant 
operator receiving the milk after the computations described in Sec.  
1000.44;
    (ii) The dairy farmer was not a ``producer'' under the order in this 
part during more than 2 of the immediately preceding months of February 
through May and not more than 50 percent of the production of the dairy 
farmer during those 2 months, in aggregate, was received as producer 
milk under the order in this part during those 2 months; and
    (iii) The farm on which the milk was produced is not located within 
the specified marketing area of the order in this part or the marketing 
area of Federal Order 1005 (7 CFR part 1005).
    (d) Transportation credits shall be computed as follows:
    (1) The market administrator shall subtract from the pounds of milk 
described in paragraphs (c)(1) and (2) of this section the pounds of 
bulk milk transferred from the pool plant receiving the supplemental 
milk if milk was transferred to a nonpool plant on the same calendar day 
that the supplemental milk was received. For this purpose, the 
transferred milk shall be subtracted from the most distant load of 
supplemental milk received, and then in sequence with the next most 
distant load until all of the transfers have been offset;
    (2) With respect to the pounds of milk described in paragraph (c)(1) 
of this section that remain after the computations described in 
paragraph (d)(1) of this section, the market administrator shall:
    (i) Determine the shortest hard-surface highway distance between the 
shipping plant and the receiving plant;
    (ii) Multiply the number of miles so determined by 0.35 cent;
    (iii) Subtract the applicable Class I differential in Sec.  1000.52 
for the county in which the shipping plant is located from the Class I 
differential applicable

[[Page 121]]

for the county in which the receiving plant is located;
    (iv) Subtract any positive difference computed in paragraph 
(d)(2)(iii) of this section from the amount computed in paragraph 
(d)(2)(ii) of this section; and
    (v) Multiply the remainder computed in paragraph (d)(2)(iv) of this 
section by the hundredweight of milk described in paragraph (d)(2) of 
this section.
    (3) For the remaining milk described in paragraph (c)(2) of this 
section after computations described in paragraph (d)(1) of this 
section, the market administrator shall:
    (i) Determine an origination point for each load of milk by locating 
the nearest city to the last producer's farm from which milk was picked 
up for delivery to the receiving pool plant;
    (ii) Determine the shortest hard-surface highway distance between 
the receiving pool plant and the origination point;
    (iii) Subtract 85 miles from the mileage so determined;
    (iv) Multiply the remaining miles so computed by 0.35 cent;
    (v) Subtract the Class I differential specified in Sec.  1000.52 
applicable for the county in which the origination point is located from 
the Class I differential applicable at the receiving pool plant's 
location;
    (vi) Subtract any positive difference computed in paragraph 
(d)(3)(v) of this section from the amount computed in paragraph 
(d)(3)(iv) of this section; and
    (vii) Multiply the remainder computed in paragraph (d)(3)(vi) of 
this section by the hundredweight of milk described in paragraph (d)(3) 
of this section.

        Administrative Assessment and Marketing Service Deduction



Sec.  1007.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1007.86  Deduction for marketing services.

    See Sec.  1000.86.

                       PARTS 1011-1013 [RESERVED]



PART 1030_MILK IN THE UPPER MIDWEST MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1030.1 General provisions.

                               Definitions

1030.2 Upper Midwest marketing area.
1030.3 Route disposition.
1030.4 Plant.
1030.5 Distributing plant.
1030.6 Supply plant.
1030.7 Pool plant.
1030.8 Nonpool plant.
1030.9 Handler.
1030.10 Producer-handler.
1030.11 [Reserved]
1030.12 Producer.
1030.13 Producer milk.
1030.14 Other source milk.
1030.15 Fluid milk product.
1030.16 Fluid cream product.
1030.17 [Reserved]
1030.18 Cooperative association.
1030.19 Commercial food processing establishment.

                             Handler Reports

1030.30 Reports of receipts and utilization.
1030.31 Payroll reports.
1030.32 Other reports.

                         Classification of Milk

1030.40 Classes of utilization.
1030.41 [Reserved]
1030.42 Classification of transfers and diversions.
1030.43 General classification rules.
1030.44 Classification of producer milk.
1030.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1030.50 Class prices, component prices, and advanced pricing factors.
1030.51 Class I differential and price.
1030.52 Adjusted Class I differentials.
1030.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1030.54 Equivalent price.
1030.55 Transportation credits and assembly credits.

                       Producer Price Differential

1030.60 Handler's value of milk.
1030.61 Computation of producer price differential.
1030.62 Announcement of producer prices.

[[Page 122]]

                            Payments for Milk

1030.70 Producer-settlement fund.
1030.71 Payments to the producer-settlement fund.
1030.72 Payments from the producer-settlement fund.
1030.73 Payments to producers and to cooperative associations.
1030.74 [Reserved]
1030.75 Plant location adjustments for producer milk and nonpool milk.
1030.76 Payments by a handler operating a partially regulated 
          distributing plant.
1030.77 Adjustment of accounts.
1030.78 Charges on overdue accounts.

        Administrative Assessment and Marketing Service Deduction

1030.85 Assessment for order administration.
1030.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674.

    Source: 64 FR 47978, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1030.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1030. In this part 1030, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1030.2  Upper Midwest marketing area.

    The marketing area means all territory within the bounds of the 
following states and political subdivisions, including all piers, docks, 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State, or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

                            Illinois Counties

    Boone, Carroll, Cook, De Kalb, Du Page, Jo Daviess, Kane, Kendall, 
Lake, Lee, McHenry, Ogle, Stephenson, Will, and Winnebago.

                              Iowa Counties

    Howard, Kossuth, Mitchell, Winnebago, Winneshiek, and Worth.

                            Michigan Counties

    Delta, Dickinson, Gogebic, Iron, Menominee, and Ontonagon.

                                Minnesota

    All counties except Lincoln, Nobles, Pipestone, and Rock.

                          North Dakota Counties

    Barnes, Cass, Cavalier, Dickey, Grand Forks, Griggs, La Moure, 
Nelson, Pembina, Ramsey, Ransom, Richland, Sargent, Steele, Traill, and 
Walsh.

                          South Dakota Counties

    Brown, Day, Edmunds, Grant, Marshall, McPherson, Roberts, and 
Walworth.

                           Wisconsin Counties

    All counties except Crawford and Grant.



Sec.  1030.3  Route disposition.

    See Sec.  1000.3.



Sec.  1030.4  Plant.

    See Sec.  1000.4.



Sec.  1030.5  Distributing plant.

    See Sec.  1000.5.



Sec.  1030.6  Supply plant.

    See Sec.  1000.6.



Sec.  1030.7  Pool plant.

    Pool plant means a plant, unit of plants, or system of plants as 
specified in paragraphs (a) through (f) of this section, but excluding a 
plant specified in paragraph (h) of this section. The pooling standards 
described in paragraphs (c) and (f) of this section are subject to 
modification pursuant to paragraph (g) of this section:
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this section or (Sec.  --------.7b) 
of any other Federal milk order, from which during the month 15 percent 
or more of the total quantity of fluid milk products physically received 
at the plant (excluding concentrated milk received from another plant by 
agreement for other than Class I use) are disposed of as route 
disposition or are transferred in the form of packaged fluid milk 
products to

[[Page 123]]

other distributing plants. At least 25 percent of such route disposition 
and transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 15 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which the quantity of bulk fluid milk 
products shipped to (and physically unloaded into) plants described in 
paragraph (c)(1) of this section is not less than 10 percent of the 
Grade A milk received from dairy farmers (except dairy farmers described 
in Sec.  1030.12(b)) and handlers described in Sec.  1000.9(c), 
including milk diverted pursuant to Sec.  1030.13, subject to the 
following conditions:
    (1) Qualifying shipments may be made to plants described in 
paragraphs (c)(1)(i) through (iv) of this section, except that whenever 
shipping requirements are increased pursuant to paragraph (g) of this 
section, only shipments to pool plants described in paragraphs (a), (b), 
and (e) of this section shall count as qualifying shipments for the 
purpose of meeting the increased shipments:
    (i) Pool plants described in Sec.  1030.7(a), (b) and (e);
    (ii) Plants of producer-handlers;
    (iii) Partially regulated distributing plants, except that credit 
for such shipments shall be limited to the amount of such milk 
classified as Class I at the transferee plant; and
    (iv) Distributing plants fully regulated under other Federal orders, 
except that credit for shipments to such plants shall be limited to the 
quantity shipped to pool distributing plants during the month and 
credits for shipments to other order plants shall not include any such 
shipments made on the basis of agreed-upon Class II, Class III, or Class 
IV utilization.
    (2) The operator of a supply plant may include as qualifying 
shipments under this paragraph milk delivered directly from producers' 
farms pursuant to Sec. Sec.  1000.9(c) or 1030.13(c) to plants described 
in paragraphs (a), (b), and (e) of this section.
    (3) Concentrated milk transferred from the supply plant to a 
distributing plant for an agreed-upon use other than Class I shall be 
excluded from the supply plant's shipments in computing the supply 
plant's shipping percentage.
    (d) [Reserved]
    (e) Two or more plants operated by the same handler and located in 
the marketing area may qualify for pool status as a unit by meeting the 
total and in-area route disposition requirements of a pool distributing 
plant specified in paragraph (a) of this section and subject to the 
following additional requirements:
    (1) At least one of the plants in the unit must qualify as a pool 
plant pursuant to paragraph (a) of this section;
    (2) Other plants in the unit must process Class I or Class II 
products, using 50 percent or more of the total Grade A fluid milk 
products received in bulk form at such plant or diverted therefrom by 
the plant operator in Class I or Class II products; and
    (3) The operator of the unit has filed a written request with the 
market administrator prior to the first day of the month for which such 
status is desired to be effective. The unit shall continue from month-
to-month thereafter without further notification. The handler shall 
notify the market administrator in writing prior to the first day of any 
month for which termination or any change of the unit is desired.
    (f) A system of 2 or more supply plants operated by one or more 
handlers may qualify for pooling by meeting the shipping requirements of 
paragraph (c) of this section in the same manner as a single plant 
subject to the following additional requirements:
    (1) Each plant in the system is located within the marketing area or 
was a pool supply plant pursuant to Sec.  1030.7(c) for each of the 3 
months immediately preceding the applicability date of this paragraph so 
long as it continues to maintain pool status. Cooperative associations 
may not use shipments pursuant to Sec.  1000.9(c) to qualify plants 
located outside the marketing area;
    (2) The handler(s) establishing the system submits a written request 
to

[[Page 124]]

the market administrator on or before July 15 requesting that such 
plants qualify as a system for the period of August through July of the 
following year. Such request will contain a list of the plants 
participating in the system in the order, beginning with the last plant, 
in which the plants will be dropped from the system if the system fails 
to qualify. Each plant that qualifies as a pool plant within a system 
shall continue each month as a plant in the system through the following 
July unless the handler(s) establishing the system submits a written 
request to the market administrator that the plant be deleted from the 
system or that the system be discontinued. Any plant that has been so 
deleted from a system, or that has failed to qualify in any month, will 
not be part of any system for the remaining months through July. The 
handler(s) that established a system may add a plant operated by such 
handler(s) to a system if such plant has been a pool plant each of the 6 
prior months and would otherwise be eligible to be in a system, upon 
written request to the market administrator no later than the 15th day 
of the prior month. In the event of an ownership change or the business 
failure of a handler that is a participant in a system, the system may 
be reorganized to reflect such changes if a written request to file a 
new marketing agreement is submitted to the market administrator; and
    (3) If a system fails to qualify under the requirements of this 
paragraph, the handler responsible for qualifying the system shall 
notify the market administrator which plant or plants will be deleted 
from the system so that the remaining plants may be pooled as a system. 
If the handler fails to do so, the market administrator shall exclude 
one or more plants, beginning at the bottom of the list of plants in the 
system and continuing up the list as necessary until the deliveries are 
sufficient to qualify the remaining plants in the system.
    (g) The applicable shipping percentages of paragraphs (c) and (f) of 
this section and Sec.  1030.13(d)(2), and (d)(3) may be increased or 
decreased, for all or part of the marketing area, by the market 
administrator if the market administrator finds that such adjustment is 
necessary to encourage needed shipments or to prevent uneconomic 
shipments. Before making such a finding, the market administrator shall 
investigate the need for adjustment either on the market administrator's 
own initiative or at the request of interested parties if the request is 
made in writing at least 15 days prior to the month for which the 
requested revision is desired effective. If the investigation shows that 
an adjustment of the shipping percentages might be appropriate, the 
market administrator shall issue a notice stating that an adjustment is 
being considered and invite data, views and arguments. Any decision to 
revise an applicable shipping or diversion percentage must be issued in 
writing at least one day before the effective date.
    (h) The term pool plant shall not apply to the following plants:
    (1) A producer-handler as defined under any Federal order;
    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant located within the marketing area and qualified pursuant 
to paragraph (a) of this section which meets the pooling requirements of 
another Federal order, and from which more than 50 percent of its route 
disposition has been in the other Federal order marketing area for 3 
consecutive months;
    (4) A plant located outside any Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of another Federal order and has had greater route 
disposition in such other Federal order's marketing area for 3 
consecutive months;
    (5) A plant located in another Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of such other Federal order and does not have a 
majority of its route distribution in this marketing area for 3 
consecutive months or if the plant is required to be regulated under 
such other Federal order without regard to its route disposition in any 
other Federal order marketing area;
    (6) A plant qualified pursuant to paragraph (c) of this section 
which also

[[Page 125]]

meets the pooling requirements of another Federal order and from which 
greater qualifying shipments are made to plants regulated under the 
other Federal order than are made to plants regulated under the order in 
this part, or the plant has automatic pooling status under the other 
Federal order; and
    (7) That portion of a regulated plant designated as a nonpool plant 
that is physically separate and operated separately from the pool 
portion of such plant. The designation of a portion of a regulated plant 
as a nonpool plant must be requested in advance and in writing by the 
handler and must be approved by the market administrator.
    (i) Any plant that qualifies as a pool plant in each of the 
immediately preceding 3 months pursuant to paragraph (a) of this section 
or the shipping percentages in paragraph (c) of this section that is 
unable to meet such performance standards for the current month because 
of unavoidable circumstances determined by the market administrator to 
be beyond the control of the handler operating the plant, such as a 
natural disaster (ice storm, wind storm, flood), fire, breakdown of 
equipment, or work stoppage, shall be considered to have met the minimum 
performance standards during the period of such unavoidable 
circumstances, but such relief shall not be granted for more than 2 
consecutive months.

[64 FR 47978, Sept. 1, 1999, as amended at 67 FR 19508, Apr. 22, 2002]



Sec.  1030.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1030.9  Handler.

    See Sec.  1000.9.



Sec.  1030.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is route disposition in the marketing area during the month;
    (b) Receives fluid milk from own farm production or milk that is 
fully subject to the pricing and pooling provisions of the order in this 
part or any other Federal order;
    (c) Receives at its plant or acquires for route disposition no more 
than 150,000 pounds of fluid milk products from handlers fully regulated 
under any Federal order. This limitation shall not apply if the 
producer-handler's own farm production is less than 150,000 pounds 
during the month;
    (d) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products; 
and
    (e) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled (excluding receipts from handlers 
fully regulated under any Federal order) and the processing and 
packaging operations are the producer-handler's own enterprise and at 
its own risk.



Sec.  1030.11  [Reserved]



Sec.  1030.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1030.13; or
    (2) Received by a handler described in Sec.  1000.9(c).
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1030.13(d);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and that milk is allocated by request to a utilization other than Class 
I; and
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with respect to that portion 
of the milk so diverted that is assigned to Class I under the provisions 
of such other order.

[[Page 126]]



Sec.  1030.13  Producer milk.

    Except as provided for in paragraph (e) of this section, Producer 
milk means the skim milk (or the skim equivalent of components of skim 
milk), including nonfat components, and butterfat in milk of a producer 
that is:
    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec.  1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;
    (b) Received by a handler described in Sec.  1000.9(c) in excess of 
the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator to another pool plant. Milk so 
diverted shall be priced at the location of the plant to which diverted; 
or
    (d) Diverted by the operator of a pool plant or a cooperative 
association described in Sec.  1000.9(c) to a nonpool plant, subject to 
the following conditions:
    (1) Milk of a dairy farmer shall not be eligible for diversion 
unless at least one day's production of such dairy farmer is physically 
received as producer milk at a pool plant during the first month the 
dairy farmer is a producer. If a dairy farmer loses producer status 
under the order in this part (except as a result of a temporary loss of 
Grade A approval or as a result of the handler of the dairy farmer's 
milk failing to pool the milk under any order), the dairy farmer's milk 
shall not be eligible for diversion unless at least one day's production 
of the dairy farmer has been physically received as producer milk at a 
pool plant during the first month the dairy farmer is re-associated with 
the market;
    (2) The quantity of milk diverted by a handler described in Sec.  
1000.9(c) may not exceed 90 percent of the producer milk receipts 
reported by the handler pursuant to Sec.  1030.30(c) provided that not 
less than 10 percent of such receipts are delivered to plants described 
in Sec.  1030.7(c)(1)(i) through (iii). These percentages are subject to 
any adjustments that may be made pursuant to Sec.  1030.7(g); and
    (3) The quantity of milk diverted to nonpool plants by the operator 
of a pool plant described in Sec.  1030.7(a) or (b) may not exceed 90 
percent of the Grade A milk received from dairy farmers (except dairy 
farmers described in Sec.  1030.12(b)) including milk diverted pursuant 
to Sec.  1030.13; and
    (4) Diverted milk shall be priced at the location of the plant to 
which diverted.
    (e) Producer milk shall not include milk of a producer that is 
subject to inclusion and participation in a marketwide equalization pool 
under a milk classification and pricing program imposed under the 
authority of a State government maintaining marketwide pooling of 
returns.

[64 FR 47978, Sept. 1, 1999, as amended at 67 FR 19508, Apr. 22, 2002]



Sec.  1030.14  Other source milk.

    See Sec.  1000.14.



Sec.  1030.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1030.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1030.17  [Reserved]



Sec.  1030.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1030.19  Commercial food processing establishment.

    See Sec.  1000.19.

                             Handler Reports



Sec.  1030.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 9th day after the end of the 
month, in the detail and on the prescribed forms, as follows:
    (a) Each handler that operates a pool plant shall report for each of 
its operations the following information:
    (1) Product pounds, pounds of butterfat, pounds of protein, pounds 
of solids-not-fat other than protein (other solids), and the value of 
the somatic cell adjustment pursuant to Sec.  1000.50(p), contained in 
or represented by:
    (i) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other

[[Page 127]]

than handlers described in Sec.  1000.9(c); and
    (ii) Receipts of milk from handlers described in Sec.  1000.9(c);
    (2) Product pounds and pounds of butterfat contained in:
    (i) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (ii) Receipts of other source milk; and
    (iii) Inventories at the beginning and end of the month of fluid 
milk products and bulk fluid cream products;
    (3) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph; and
    (4) Such other information with respect to the receipts and 
utilization of skim milk, butterfat, milk protein, other nonfat solids, 
and somatic cell information, as the market administrator may prescribe.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. The report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The product pounds, pounds of butterfat, pounds of protein, 
pounds of solids-not-fat other than protein (other solids), and the 
value of the somatic cell adjustment pursuant to Sec.  1000.50(p), 
contained in receipts of milk from producers; and
    (2) The utilization or disposition of such receipts.
    (d) Each handler not specified in paragraphs (a) through (c) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1030.31  Payroll reports.

    (a) On or before the 22nd day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1030.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for the month, in the detail 
prescribed by the market administrator, showing for each producer the 
information described in Sec.  1030.73(f).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1030.32  Other reports.

    In addition to the reports required pursuant to Sec. Sec.  1030.30 
and 1030.31, each handler shall report any information the market 
administrator deems necessary to verify or establish each handler's 
obligation under the order.

                         Classification of Milk



Sec.  1030.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1030.41  [Reserved]



Sec.  1030.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1030.43  General classification rules.

    See Sec.  1000.43.



Sec.  1030.44  Classification of producer milk.

    See Sec.  1000.44.



Sec.  1030.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1030.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.



Sec.  1030.51  Class I differential and price.

    The Class I differential shall be the differential established for 
Cook County, Illinois, which is reported in Sec.  1000.52. The Class I 
price shall be the

[[Page 128]]

price computed pursuant to Sec.  1000.50(a) for Cook County, Illinois.



Sec.  1030.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1030.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1030.54  Equivalent price.

    See Sec.  1000.54.



Sec.  1030.55  Transportation credits and assembly credits.

    (a) Each handler operating a pool distributing plant described in 
Sec.  1030.7(a), (b), or (e) that receives bulk milk from another pool 
plant shall receive a transportation credit for such milk computed as 
follows:
    (1) Determine the hundredweight of milk eligible for the credit by 
completing the steps in paragraph (c) of this section;
    (2) Multiply the hundredweight of milk eligible for the credit by 
.28 cents times the number of miles between the transferor plant and the 
transferee plant;
    (3) Subtract the effective Class I price at the transferor plant 
from the effective Class I price at the transferee plant;
    (4) Multiply any positive amount resulting from the subtraction in 
paragraph (a)(3) of this section by the hundredweight of milk eligible 
for the credit; and
    (5) Subtract the amount computed in paragraph (a)(4) of this section 
from the amount computed in paragraph (a)(2) of this section. If the 
amount computed in paragraph (a)(4) of this section exceeds the amount 
computed in paragraph (a)(2) of this section, the transportation credit 
shall be zero.
    (b) Each handler operating a pool distributing plant described in 
Sec.  1030.7(a), (b), or (e) that receives milk from dairy farmers, each 
handler that transfers or diverts bulk milk from a pool plant to a pool 
distributing plant, and each handler described in Sec.  1000.9(c) that 
delivers producer milk to a pool distributing plant shall receive an 
assembly credit on the portion of such milk eligible for the credit 
pursuant to paragraph (c) of this section. The credit shall be computed 
by multiplying the hundredweight of milk eligible for the credit by 8 
cents.
    (c) The following procedure shall be used to determine the amount of 
milk eligible for transportation and assembly credits pursuant to 
paragraphs (a) and (b) of this section:
    (1) At each pool distributing plant, determine the aggregate 
quantity of Class I milk, excluding beginning inventory of packaged 
fluid milk products;
    (2) Subtract the quantity of packaged fluid milk products received 
at the pool distributing plant from other pool plants and from nonpool 
plants if such receipts are assigned to Class I;
    (3) Subtract the quantity of bulk milk shipped from the pool 
distributing plant to other plants to the extent that such milk is 
classified as Class I milk;
    (4) Subtract the quantity of bulk milk received at the pool 
distributing plant from other order plants and unregulated supply plants 
that is assigned to Class I pursuant to Sec. Sec.  1000.43(d) and 
1000.44; and
    (5) Assign the remaining quantity pro rata to physical receipts 
during the month from:
    (i) Producers;
    (ii) Handlers described in Sec.  1000.9(c); and
    (iii) Other pool plants.
    (d) For purposes of this section, the distances to be computed shall 
be determined by the market administrator using the shortest available 
state and/or Federal highway mileage. Mileage determinations are subject 
to redetermination at all times. In the event a handler requests a 
redetermination of the mileage pertaining to any plant, the market 
administrator shall notify the handler of such redetermination within 30 
days after the receipt of such request. Any financial obligations 
resulting from a change in mileage shall not be retroactive for any 
periods prior to the redetermination by the market administrator.

[[Page 129]]

                       Producer Price Differential



Sec.  1030.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at a pool plant by adding the amounts 
computed in paragraphs (a) through (i) of this section and subtracting 
from that total amount the values computed in paragraphs (j) and (k) of 
this section. Unless otherwise specified, the skim milk, butterfat, and 
the combined pounds of skim milk and butterfat referred to in this 
section shall result from the steps set forth in Sec.  1000.44(a), (b), 
and (c), respectively, and the nonfat components of producer milk in 
each class shall be based upon the proportion of such components in 
producer skim milk. Receipts of nonfluid milk products that are 
distributed as labeled reconstituted milk for which payments are made to 
the producer-settlement fund of another Federal order under Sec.  
1000.76(a)(4) or (d) shall be excluded from pricing under this section.
    (a) Class I value. (1) Multiply the pounds of skim milk in Class I 
by the Class I skim milk price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class I by the Class I butterfat price.
    (b) Class II value. (1) Multiply the pounds of nonfat solids in 
Class II skim milk by the Class II nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class II times the Class II butterfat price.
    (c) Class III value. (1) Multiply the pounds of protein in Class III 
skim milk by the protein price;
    (2) Add an amount obtained by multiplying the pounds of other solids 
in Class III skim milk by the other solids price; and
    (3) Add an amount obtained by multiplying the pounds of butterfat in 
Class III by the butterfat price.
    (d) Class IV value. (1) Multiply the pounds of nonfat solids in 
Class IV skim milk by the nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class IV by the butterfat price.
    (e) Compute an adjustment for the somatic cell content of producer 
milk by multiplying the values reported pursuant to Sec.  1030.30(a)(1) 
and (c)(1) by the percentage of total producer milk allocated to Class 
II, Class III, and Class IV pursuant to Sec.  1000.44(c);
    (f) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) and the corresponding 
step of Sec.  1000.44(b) by the skim milk prices and butterfat prices 
applicable to each class.
    (g) Multiply the difference between the current month's Class I, II, 
or III price, as the case may be, and the Class IV price for the 
preceding month and by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (h) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3)(i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from plants regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under other Federal orders, and unregulated supply 
plants.
    (i) Multiply the difference between the Class I price applicable at 
the location of the nearest unregulated supply plants from which an 
equivalent volume was received and the Class III price by the pounds of 
skim milk and butterfat in receipts of concentrated fluid milk products 
assigned to Class I pursuant to Sec.  1000.43(d) and Sec.  
1000.44(a)(3)(i) and the corresponding step of Sec.  1000.44(b) and the 
pounds of skim milk and butterfat subtracted from Class I pursuant to 
Sec.  1000.44(a)(8) and the corresponding step of Sec.  1000.44(b), 
excluding such skim milk

[[Page 130]]

and butterfat in receipts of fluid milk products from an unregulated 
supply plant to the extent that an equivalent amount of skim milk or 
butterfat disposed of to such plant by handlers fully regulated under 
any Federal milk order is classified and priced as Class I milk and is 
not used as an offset for any other payment obligation under any order.
    (j) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).
    (k) Compute the amount of credits applicable pursuant to Sec.  
1030.55.

[64 FR 47978, Sept. 1, 1999, as amended at 65 FR 82836, Dec. 28, 2000; 
68 FR 7066, Feb. 12, 2003]



Sec.  1030.61  Computation of producer price differential.

    For each month the market administrator shall compute a producer 
price differential per hundredweight. The report of any handler who has 
not made payments required pursuant to Sec.  1030.71 for the preceding 
month shall not be included in the computation of the producer price 
differential, and such handler's report shall not be included in the 
computation for succeeding months until the handler has made full 
payment of outstanding monthly obligations. Subject to the conditions of 
this paragraph, the market administrator shall compute the producer 
price differential in the following manner:
    (a) Combine into one total the values computed pursuant to Sec.  
1030.60 for all handlers required to file reports prescribed in Sec.  
1030.30;
    (b) Subtract the total values obtained by multiplying each handler's 
total pounds of protein, other solids, and butterfat contained in the 
milk for which an obligation was computed pursuant to Sec.  1030.60 by 
the protein price, other solids price, and the butterfat price, 
respectively, and the total value of the somatic cell adjustment 
pursuant to Sec.  1030.30(a)(1) and (c)(1);
    (c) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1030.75;
    (d) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (e) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (1) The total hundredweight of producer milk; and
    (2) The total hundredweight for which a value is computed pursuant 
to Sec.  1030.60(i); and
    (f) Subtract not less than 4 cents nor more than 5 cents from the 
price computed pursuant to paragraph (e) of this section. The result 
shall be known as the producer price differential for the month.

[68 FR 7066, Feb. 12, 2003]



Sec.  1030.62  Announcement of producer prices.

    On or before the 13th day after the end of each month, the market 
administrator shall announce publicly the following prices and 
information:
    (a) The producer price differential;
    (b) The protein price;
    (c) The nonfat solids price;
    (d) The other solids price;
    (e) The butterfat price;
    (f) The somatic cell adjustment rate;
    (g) The average butterfat, nonfat solids, protein and other solids 
content of producer milk; and
    (h) The statistical uniform price for milk containing 3.5 percent 
butterfat, computed by combining the Class III price and the producer 
price differential.

[64 FR 47978, Sept. 1, 1999, as amended at 65 FR 82837, Dec. 28, 2000; 
68 FR 7066, Feb. 12, 2003; 68 FR 13618, Mar. 20, 2003]

                            Payments for Milk



Sec.  1030.70  Producer-settlement fund.

    See Sec.  1000.70.



Sec.  1030.71  Payments to the producer-settlement fund.

    Each handler shall make payment to the producer-settlement fund in a 
manner that provides receipt of the funds by the market administrator no 
later

[[Page 131]]

than the 15th day after the end of the month (except as provided in 
Sec.  1000.90). Payment shall be the amount, if any, by which the amount 
specified in paragraph (a) of this section exceeds the amount specified 
in paragraph (b) of this section:
    (a) The total value of milk to the handler for the month as 
determined pursuant to Sec.  1030.60.
    (b) The sum of:
    (1) An amount obtained by multiplying the total hundredweight of 
producer milk as determined pursuant to Sec.  1000.44(c) by the producer 
price differential as adjusted pursuant to Sec.  1030.75;
    (2) An amount obtained by multiplying the total pounds of protein, 
other solids, and butterfat contained in producer milk by the protein, 
other solids, and butterfat prices respectively;
    (3) The total value of the somatic cell adjustment to producer milk; 
and
    (4) An amount obtained by multiplying the pounds of skim milk and 
butterfat for which a value was computed pursuant to Sec.  1030.60(i) by 
the producer price differential as adjusted pursuant to Sec.  1030.75 
for the location of the plant from which received.

[64 FR 47978, Sept. 1, 1999, as amended at 65 FR 82836, Dec. 28, 2000; 
68 FR 7066, Feb. 12, 2003]



Sec.  1030.72  Payments from the producer-settlement fund.

    No later than the 16th day after the end of each month (except as 
provided in Sec.  1000.90), the market administrator shall pay to each 
handler the amount, if any, by which the amount computed pursuant to 
Sec.  1030.71(b) exceeds the amount computed pursuant to Sec.  
1030.71(a). If, at such time, the balance in the producer-settlement 
fund is insufficient to make all payments pursuant to this section, the 
market administrator shall reduce uniformly such payments and shall 
complete the payments as soon as the funds are available.



Sec.  1030.73  Payments to producers and to cooperative associations.

    (a) Each handler shall pay each producer for producer milk for which 
payment is not made to a cooperative association pursuant to paragraph 
(b) of this section, as follows:
    (1) Partial payment. For each producer who has not discontinued 
shipments as of the date of this partial payment, payment shall be made 
so that it is received by each producer on or before the 26th day of the 
month (except as provided in Sec.  1000.90) for milk received during the 
first 15 days of the month from the producer at not less than the lowest 
announced class price for the preceding month, less proper deductions 
authorized in writing by the producer.
    (2) Final payment. For milk received during the month, payment shall 
be made so that it is received by each producer no later than the 17th 
day after the end of the month (except as provided in Sec.  1000.90) in 
an amount equal to not less than the sum of:
    (i) The hundredweight of producer milk received times the producer 
price differential for the month as adjusted pursuant to Sec.  1030.75;
    (ii) The pounds of butterfat received times the butterfat price for 
the month;
    (iii) The pounds of protein received times the protein price for the 
month;
    (iv) The pounds of other solids received times the other solids 
price for the month;
    (v) The hundredweight of milk received times the somatic cell 
adjustment for the month;
    (vi) Less any payment made pursuant to paragraph (a)(1) of this 
section;
    (vii) Less proper deductions authorized in writing by such producer, 
and plus or minus adjustments for errors in previous payments to such 
producer subject to approval by the market administrator; and
    (viii) Less deductions for marketing services pursuant to Sec.  
1000.86.
    (b) Payments for milk received from cooperative association members. 
On or before the day prior to the dates specified in paragraphs (a)(1) 
and (a)(2) of this section (except as provided in Sec.  1000.90), each 
handler shall pay to a cooperative association for milk from producers 
who market their milk through the cooperative association and who have 
authorized the cooperative to collect such payments on their behalf an 
amount

[[Page 132]]

equal to the sum of the individual payments otherwise payable for such 
producer milk pursuant to paragraphs (a)(1) and (a)(2) of this section.
    (c) Payment for milk received from cooperative association pool 
plants or from cooperatives as handlers pursuant to Sec.  1000.9(c). On 
or before the day prior to the dates specified in paragraphs (a)(1) and 
(a)(2) of this section (except as provided in Sec.  1000.90), each 
handler who receives fluid milk products at its plant from a cooperative 
association in its capacity as the operator of a pool plant or who 
receives milk from a cooperative association in its capacity as a 
handler pursuant to Sec.  1000.9(c), including the milk of producers who 
are not members of such association and who the market administrator 
determines have authorized the cooperative association to collect 
payment for their milk, shall pay the cooperative for such milk as 
follows:
    (1) For bulk fluid milk products and bulk fluid cream products 
received from a cooperative association in its capacity as the operator 
of a pool plant and for milk received from a cooperative association in 
its capacity as a handler pursuant to Sec.  1000.9(c) during the first 
15 days of the month, at not less than the lowest announced class prices 
per hundredweight for the preceding month;
    (2) For the total quantity of bulk fluid milk products and bulk 
fluid cream products received from a cooperative association in its 
capacity as the operator of a pool plant, at not less than the total 
value of such products received from the association's pool plants, as 
determined by multiplying the respective quantities assigned to each 
class under Sec.  1000.44, as follows:
    (i) The hundredweight of Class I skim milk times the Class I skim 
milk price for the month plus the pounds of Class I butterfat times the 
Class I butterfat price for the month. The Class I price to be used 
shall be that price effective at the location of the receiving plant;
    (ii) The pounds of nonfat solids in Class II skim milk by the Class 
II nonfat solids price;
    (iii) The pounds of butterfat in Class II times the Class II 
butterfat price;
    (iv) The pounds of nonfat solids in Class IV times the nonfat solids 
price;
    (v) The pounds of butterfat in Class III and Class IV milk times the 
butterfat price;
    (vi) The pounds of protein in Class III milk times the protein 
price;
    (vii) The pounds of other solids in Class III milk times the other 
solids price;
    (viii) The hundredweight of Class II, Class III, and Class IV milk 
times the somatic cell adjustment; and
    (ix) Add together the amounts computed in paragraphs (c)(2)(i) 
through (viii) of this section and from that sum deduct any payment made 
pursuant to paragraph (c)(1) of this section; and
    (3) For the total quantity of milk received during the month from a 
cooperative association in its capacity as a handler under Sec.  
1000.9(c) as follows:
    (i) The hundredweight of producer milk received times the producer 
price differential as adjusted pursuant to Sec.  1030.75;
    (ii) The pounds of butterfat received times the butterfat price for 
the month;
    (iii) The pounds of protein received times the protein price for the 
month;
    (iv) The pounds of other solids received times the other solids 
price for the month;
    (v) The hundredweight of milk received times the somatic cell 
adjustment for the month; and
    (vi) Add together the amounts computed in paragraphs (c)(3)(i) 
through (v) of this section and from that sum deduct any payment made 
pursuant to paragraph (c)(1) of this section.
    (d) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1030.72 by the payment date specified in 
paragraph (a), (b) or (c) of this section, the handler may reduce pro 
rata its payments to producers or to the cooperative association (with 
respect to receipts described in paragraph (b) of this section, 
prorating the underpayment to the volume of milk received from the 
cooperative association in proportion to the total milk received from 
producers by the handler), but not by more than the amount of the 
underpayment. The payments shall be completed on the next scheduled 
payment date after receipt of the balance due from the market 
administrator.

[[Page 133]]

    (e) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer-
settlement fund, and in the event that the handler subsequently locates 
and pays the producer or a lawful claimant, or in the event that the 
handler no longer exists and a lawful claim is later established, the 
market administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant, as the case 
may be.
    (f) In making payments to producers pursuant to this section, each 
handler shall furnish each producer, except a producer whose milk was 
received from a cooperative association handler described in Sec.  
1000.9(a) or (c), a supporting statement in a form that may be retained 
by the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and payroll number of the producer;
    (2) The daily and total pounds, and the month and dates such milk 
was received from that producer;
    (3) The total pounds of butterfat, protein, and other solids 
contained in the producer's milk;
    (4) The somatic cell count of the producer's milk;
    (5) The minimum rate or rates at which payment to the producer is 
required pursuant to the order in this part;
    (6) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (7) The amount, or rate per hundredweight, or rate per pound of 
component, and the nature of each deduction claimed by the handler; and
    (8) The net amount of payment to the producer or cooperative 
association.

[64 FR 47978, Sept. 1, 1999, as amended at 65 FR 82836, Dec. 28, 2000; 
68 FR 7066, Feb. 12, 2003]



Sec.  1030.74  [Reserved]



Sec.  1030.75  Plant location adjustments for producer milk and nonpool milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1030.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1030.73 and 
1000.76.



Sec.  1030.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1030.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1030.78  Charges on overdue accounts.

    See Sec.  1000.78.

        Administrative Assessment and Marketing Service Deduction



Sec.  1030.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1030.86  Deduction for marketing services.

    See Sec.  1000.86.



PART 1032_MILK IN THE CENTRAL MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1032.1 General provisions.

                               Definitions

1032.2 Central marketing area.
1032.3 Route disposition.
1032.4 Plant.
1032.5 Distributing plant.
1032.6 Supply plant.
1032.7 Pool plant.
1032.8 Nonpool plant.
1032.9 Handler.
1032.10 Producer-handler.
1032.11 [Reserved]

[[Page 134]]

1032.12 Producer.
1032.13 Producer milk.
1032.14 Other source milk.
1032.15 Fluid milk product.
1032.16 Fluid cream product.
1032.17 [Reserved]
1032.18 Cooperative association.
1032.19 Commercial food processing establishment.

                             Handler Reports

1032.30 Reports of receipts and utilization.
1032.31 Payroll reports.
1032.32 Other reports.

                         Classification of Milk

1032.40 Classes of utilization.
1032.41 [Reserved]
1032.42 Classification of transfers and diversions.
1032.43 General classification rules.
1032.44 Classification of producer milk.
1032.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1032.50 Class prices, component prices, and advanced pricing factors.
1032.51 Class I differential and price.
1032.52 Adjusted Class I differentials.
1032.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1032.54 Equivalent price.

                       Producer Price Differential

1032.60 Handler's value of milk.
1032.61 Computation of producer price differential.
1032.62 Announcement of producer prices.

                            Payments for Milk

1032.70 Producer-settlement fund.
1032.71 Payments to the producer-settlement fund.
1032.72 Payments from the producer-settlement fund.
1032.73 Payments to producers and to cooperative associations.
1032.74 [Reserved]
1032.75 Plant location adjustments for producer milk and nonpool milk.
1032.76 Payments by a handler operating a partially regulated 
          distributing plant.
1032.77 Adjustment of accounts.
1032.78 Charges on overdue accounts.

        Administrative Assessment and Marketing Service Deduction

1032.85 Assessment for order administration.
1032.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 47985, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1032.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1032. In this part 1032, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1032.2  Central marketing area.

    The marketing area means all territory within the bounds of the 
following states and political subdivisions, including all piers, docks, 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State, or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

                            Colorado Counties

    Adams, Arapahoe, Baca, Bent, Boulder, Broomfield, Chaffee, Clear 
Creek, Cheyenne, Crowley, Custer, Delta, Denver, Douglas, Eagle, El 
Paso, Elbert, Fremont, Garfield, Gilpin, Gunnison, Huerfano, Jefferson, 
Kiowa, Kit Carson, Lake, Larimer, Las Animas, Lincoln, Logan, Mesa, 
Montrose, Morgan, Otero, Park, Phillips, Pitkin, Prowers, Pueblo, 
Sedgwick, Summit, Teller, Washington, Weld, and Yuma.

                            Illinois Counties

    Adams, Alexander, Bond, Brown, Bureau, Calhoun, Cass, Champaign, 
Christian, Clark, Clay, Clinton, Coles, Crawford, Cumberland, De Witt, 
Douglas, Edgar, Edwards, Effingham, Fayette, Ford, Franklin, Fulton, 
Gallatin, Greene, Grundy, Hamilton, Hancock, Hardin, Henderson, Henry, 
Iroquois, Jackson, Jasper, Jefferson, Jersey, Johnson, Kankakee, Knox, 
La Salle, Lawrence, Livingston, Logan, McDonough, McLean, Macon, 
Macoupin, Madison, Marion, Marshall, Mason, Massac, Menard, Mercer, 
Monroe, Montgomery, Morgan, Moultrie, Peoria, Perry, Piatt, Pike, Pope, 
Pulaski, Putnam, Randolph, Richland, Rock Island, Saline, Sangamon, 
Schuyler, Scott, Shelby, St. Clair, Stark, Tazewell, Union, Vermilion, 
Wabash, Warren, Washington, Wayne, White, Whiteside, Williamson, and 
Woodford.

[[Page 135]]

                              Iowa Counties

    All Iowa counties except Howard, Kossuth, Mitchell, Winnebago, 
Winneshiek, and Worth.

                                 Kansas

    All of the State of Kansas.

                           Minnesota Counties

    Lincoln, Nobles, Pipestone, and Rock.

                      Missouri Counties and Cities

    The counties of Andrew, Atchison, Bates, Buchanan, Caldwell, 
Carroll, Cass, Clay, Clinton, Daviess, De Kalb, Franklin, Gentry, 
Grundy, Harrison, Henry, Hickory, Holt, Jackson, Jefferson, Johnson, 
Lafayette, Lincoln, Livingston, Mercer, Nodaway, Pettis, Platte, Putnam, 
Ray, Saline, Schuyler, St. Charles, St. Clair, Ste. Genevieve, St. 
Louis, Sullivan, Warren, and Worth; and the city of St. Louis.

                            Nebraska Counties

    Adams, Antelope, Boone, Buffalo, Burt, Butler, Cass, Cedar, Chase, 
Clay, Colfax, Cuming, Custer, Dakota, Dawson, Dixon, Dodge, Douglas, 
Dundy, Fillmore, Franklin, Frontier, Furnas, Gage, Gosper, Greeley, 
Hall, Hamilton, Harlan, Hayes, Hitchcock, Howard, Jefferson, Johnson, 
Kearney, Keith, Knox, Lancaster, Lincoln, Madison, Merrick, Nance, 
Nemaha, Nuckolls, Otoe, Pawnee, Perkins, Phelps, Pierce, Platte, Polk, 
Red Willow, Richardson, Saline, Sarpy, Saunders, Seward, Sherman, 
Stanton, Thayer, Thurston, Valley, Washington, Wayne, Webster, and York.

                                Oklahoma

    All of the State of Oklahoma.

                          South Dakota Counties

    Aurora, Beadle, Bon Homme, Brookings, Clark, Clay, Codington, 
Davison, Deuel, Douglas, Hamlin, Hanson, Hutchinson, Jerauld, Kingsbury, 
Lake, Lincoln, McCook, Miner, Minnehaha, Moody, Sanborn, Spink, Turner, 
Union, and Yankton.

                           Wisconsin Counties

    Crawford and Grant.

[64 FR 47985, Sept. 1, 1999, as amended at 68 FR 48771, Aug. 15, 2003]



Sec.  1032.3  Route disposition.

    See Sec.  1000.3.



Sec.  1032.4  Plant.

    See Sec.  1000.4.



Sec.  1032.5  Distributing plant.

    See Sec.  1000.5.



Sec.  1032.6  Supply plant.

    See Sec.  1000.6.



Sec.  1032.7  Pool plant.

    Pool plant means a plant, unit of plants, or system of plants as 
specified in paragraphs (a) through (f) of this section, but excluding a 
plant specified in paragraph (h) of this section. The pooling standards 
described in paragraphs (c), (d), and (f) of this section are subject to 
modification pursuant to paragraph (g) of this section:
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this section or --------.7(b) of any 
other Federal milk order, from which during the month 25 percent or more 
of the total quantity of fluid milk products physically received at the 
plant (excluding concentrated milk received from another plant by 
agreement for other than Class I use) are disposed of as route 
disposition or are transferred in the form of packaged fluid milk 
products to other distributing plants. At least 25 percent of such route 
disposition and transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 25 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which the quantity of bulk fluid milk 
products shipped to (and physically unloaded into) plants described in 
paragraph (c)(1) of this section is not less than 20 percent during the 
months of August through February and 15 percent in all other months of 
the Grade A milk received from dairy farmers (except dairy farmers 
described in Sec.  1032.12(b)) and from handlers described in Sec.  
1000.9(c), including milk diverted pursuant to Sec.  1032.13, subject to 
the following conditions:
    (1) Qualifying shipments may be made to plants described in 
paragraphs (a) or (b) of this section;

[[Page 136]]

    (2) The operator of a pool plant located in the marketing area may 
include as qualifying shipments milk delivered directly from producer's 
farms pursuant to Sec.  1000.9(c) or Sec.  1032.13(c). Handlers may not 
use shipments pursuant to Sec.  1000.9(c) or Sec.  1032.13(c) to qualify 
plants located outside the marketing area;
    (3) Concentrated milk transferred from the supply plant to a 
distributing plant for an agreed-upon use other than Class I shall be 
excluded from the supply plant's shipments in computing the supply 
plant's shipping percentage;
    (4) No plant may qualify as a pool plant due to a reduction in the 
shipping percentage pursuant to paragraph (g) of this section unless it 
has been a pool supply plant during each of the immediately preceding 3 
months.
    (5) Shipments used in determining qualifying percentages shall be 
milk transferred or diverted to and physically received by pool 
distributing plants, less any transfers or diversions of bulk fluid milk 
products from such pool distributing plants.
    (d) A plant located in the marketing area and operated by a 
cooperative association if, during the month or the immediately 
preceding 12-month period, 35 percent or more of the producer milk of 
members of the association (and any producer milk of nonmembers and 
members of another cooperative association which may be marketed by the 
cooperative association) is physically received in the form of bulk 
fluid milk products (excluding concentrated milk transferred to a 
distributing plant for an agreed-upon use other than Class I) at plants 
specified in paragraph (a) or (b) of this section either directly from 
farms or by transfer from supply plants operated by the cooperative 
association and from plants of the cooperative association for which 
pool plant status has been requested under this paragraph subject to the 
following conditions:
    (1) The plant does not qualify as a pool plant under paragraph (a), 
(b) or (c) of this section or under comparable provisions of another 
Federal order; and
    (2) The plant is approved by a duly constituted regulatory agency 
for the handling of milk approved for fluid consumption in the marketing 
area.
    (e) Two or more plants operated by the same handler and located in 
the marketing area may qualify for pool status as a unit by meeting the 
total and in-area route disposition requirements of a pool distributing 
plant specified in paragraph (a) of this section subject to the 
following additional requirements:
    (1) At least one of the plants in the unit must qualify as a pool 
plant pursuant to paragraph (a) of this section;
    (2) Other plants in the unit must process Class I or Class II 
products, using 50 percent or more of the total Grade A fluid milk 
products received in bulk form at such plant or diverted therefrom by 
the plant operator in Class I or Class II products, and must be located 
in a pricing zone providing the same or a lower Class I price than the 
price applicable at the distributing plant included in the unit pursuant 
to paragraph (e)(1) of this section; and
    (3) The operator of the unit has filed a written request with the 
market administrator prior to the first day of the month for which such 
status is desired to be effective. The unit shall continue from month to 
month thereafter without further notification. The handler shall notify 
the market administrator in writing prior to the first day of any month 
for which termination or any change of the unit is desired.
    (f) A system of supply plants may qualify for pooling if 2 or more 
plants operated by one or more handlers meet the applicable percentage 
requirements of paragraph (c) of this section in the same manner as a 
single plant, subject to the following additional requirements:
    (1) Each plant in the system is located within the marketing area;
    (2) The handler(s) establishing the system submits a written request 
to the market administrator on or before September 1 requesting that 
such plants qualify as a system for the period of September through 
August of the following year. Such request will contain a list of the 
plants participating in the system;
    (3) Each plant included within a pool supply plant system shall 
continue each month as a plant in the system

[[Page 137]]

through the following August unless the handler(s) establishing the 
system submits a written request to the market administrator that the 
plant be deleted from the system or that the system be discontinued. Any 
plant that has been so deleted from a system, or that has failed to 
qualify in any month, will not be part of any system for the remaining 
months through August. No plant may be added in any subsequent month 
through the following August to a system that qualifies in September; 
and
    (4) If a system fails to qualify under the requirements of this 
paragraph, the handler responsible for qualifying the system shall 
notify the market administrator which plant or plants will be deleted 
from the system so that the remaining plants may be pooled as a system. 
If the handler fails to do so, the market administrator shall exclude 
one or more plants, beginning at the bottom of the list of plants in the 
system and continuing up the list as necessary until the deliveries are 
sufficient to qualify the remaining plants in the system.
    (g) The applicable shipping percentages of paragraphs (c), (d), and 
(f) of this section may be increased or decreased, for all or part of 
the marketing area, by the market administrator if the market 
administrator finds that such adjustment is necessary to encourage 
needed shipments or to prevent uneconomic shipments. Before making such 
a finding, the market administrator shall investigate the need for 
adjustment either on the market administrator's own initiative or at the 
request of interested parties if the request is made in writing at least 
15 days prior to the month for which the requested revision is desired 
effective. If the investigation shows that an adjustment of the shipping 
percentages might be appropriate, the market administrator shall issue a 
notice stating that an adjustment is being considered and invite data, 
views and arguments. Any decision to revise an applicable shipping 
percentage must be issued in writing at least one day before the 
effective date.
    (h) The term pool plant shall not apply to the following plants:
    (1) A producer-handler as defined under any Federal order;
    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant located within the marketing area and qualified pursuant 
to paragraph (a) of this section which meets the pooling requirements of 
another Federal order, and from which more than 50 percent of its route 
disposition has been in the other Federal order marketing area for 3 
consecutive months. On the basis of a written application made by the 
plant operator at least 15 days prior to the date for which a 
determination of the market administrator is to be effective, the market 
administrator may determine that the route disposition in the respective 
marketing areas to be used for purposes of this paragraph shall exclude 
(for a specified period of time) route disposition made under limited 
term contracts to governmental bases and institutions;
    (4) A plant located outside any Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of another Federal order and has had greater route 
disposition in such other Federal order's marketing area for 3 
consecutive months;
    (5) A plant located in another Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of such other Federal order and does not have a 
majority of its route distribution in this marketing area for 3 
consecutive months or if the plant is required to be regulated under 
such other Federal order without regard to its route disposition in any 
other Federal order marketing area;
    (6) A plant qualified pursuant to paragraph (c) of this section 
which also meets the pooling requirements of another Federal order and 
from which greater qualifying shipments are made to plants regulated 
under the other Federal order than are made to plants regulated under 
the order in this part, or the plant has automatic pooling status under 
the other Federal order; and
    (7) That portion of a regulated plant designated as a nonpool plant 
that is physically separate and operated separately from the pool 
portion of such

[[Page 138]]

plant. The designation of a portion of a regulated plant as a nonpool 
plant must be requested in advance and in writing by the handler and 
must be approved by the market administrator.

[64 FR 47985, Sept. 1, 1999, as amended at 68 FR 7072, Feb. 12, 2003]



Sec.  1032.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1032.9  Handler.

    See Sec.  1000.9.



Sec.  1032.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is route disposition in the marketing area during the month;
    (b) Receives fluid milk from own farm production or milk that is 
fully subject to the pricing and pooling provisions of the order in this 
part or any other Federal order;
    (c) Receives at its plant or acquires for route disposition no more 
than 150,000 pounds of fluid milk products from handlers fully regulated 
under any Federal order. This limitation shall not apply if the 
producer-handler's own farm production is less than 150,000 pounds 
during the month;
    (d) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products; 
and
    (e) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled (excluding receipts from handlers 
fully regulated under any Federal order) and the processing and 
packaging operations are the producer-handler's own enterprise and at 
its own risk.



Sec.  1032.11  [Reserved]



Sec.  1032.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
(or components of milk) is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1032.13; or (2) Received 
by a handler described in Sec.  1000.9(c).
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1032.13(d);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and that milk is allocated by request to a utilization other than Class 
I; and
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with respect to that portion 
of the milk so diverted that is assigned to Class I under the provisions 
of such other order.



Sec.  1032.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk), including nonfat components, and butterfat in 
milk of a producer that is:
    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec.  1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;
    (b) Received by a handler described in Sec.  1000.9(c) in excess of 
the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator to another pool plant. Milk so 
diverted shall be priced at the location of the plant to which diverted; 
or
    (d) Diverted by the operator of a pool plant or a cooperative 
association described in Sec.  1000.9(c) to a nonpool plant, subject to 
the following conditions:
    (1) Milk of a dairy farmer shall not be eligible for diversion until 
at least one day's production of such dairy farmer has been physically 
received as producer milk at a pool plant and the dairy farmer has 
continuously retained producer status since that time. If a

[[Page 139]]

dairy farmer loses producer status under the order in this part (except 
as a result of a temporary loss of Grade A approval), the dairy farmer's 
milk shall not be eligible for diversion until milk of the dairy farmer 
has been physically received as producer milk at a pool plant;
    (2) Of the quantity of producer milk received during the month 
(including diversions, but excluding the quantity of producer milk 
received from a handler described in Sec.  1000.9(c)) the handler 
diverts to nonpool plants not more than 80 percent during the months of 
August through February, and not more than 85 percent during the months 
of March through July, provided that not less than 20 percent of such 
receipts in the months of August through February and 15 percent of the 
remaining months' receipts are delivered to plants described in Sec.  
1032.7(a) and (b);
    (3) Receipts used in determining qualifying percentages shall be 
milk transferred to or diverted to or physically received by a plant 
described in Sec.  1032.7(a) or (b) less any transfer or diversion of 
bulk fluid milk products from such plants.
    (4) Diverted milk shall be priced at the location of the plant to 
which diverted;
    (5) Any milk diverted in excess of the limits prescribed in 
paragraph (d)(2) of this section shall not be producer milk. If the 
diverting handler or cooperative association fails to designate the 
dairy farmers' deliveries that are not to be producer milk, no milk 
diverted by the handler or cooperative association during the month to a 
nonpool plant shall be producer milk; and
    (6) The applicable diversion limits in paragraph (d)(2) of this 
section may be increased or decreased by the market administrator if the 
market administrator finds that such revision is necessary to assure 
orderly marketing and efficient handling of milk in the marketing area. 
Before making such a finding, the market administrator shall investigate 
the need for the revision either on the market administrator's own 
initiative or at the request of interested persons if the request is 
made in writing at least 15 days prior to the month for which the 
requested revision is desired effective. If the investigation shows that 
a revision might be appropriate, the market administrator shall issue a 
notice stating that the revision is being considered and inviting 
written data, views, and arguments. Any decision to revise an applicable 
percentage must be issued in writing at least one day before the 
effective date.
    (e) Producer milk shall not include milk of a producer that is 
subject to inclusion and participation in a marketwide equalization pool 
under a milk classification and pricing program imposed under the 
authority of a State government maintaining marketwide pooling of 
returns.

[64 FR 47985, Sept. 1, 1999, as amended at 68 FR 7072, Feb. 12, 2003]



Sec.  1032.14  Other source milk.

    See Sec.  1000.14.



Sec.  1032.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1032.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1032.17  [Reserved]



Sec.  1032.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1032.19  Commercial food processing establishment.

    See Sec.  1000.19.

                             Handler Reports



Sec.  1032.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 7th day after the end of the 
month, in the detail and on the prescribed forms, as follows:
    (a) Each handler that operates a pool plant pursuant to Sec.  1032.7 
shall report for each of its operations the following information:
    (1) Product pounds, pounds of butterfat, pounds of protein, pounds 
of solids-not-fat other than protein (other solids), and the value of 
the somatic cell adjustment pursuant to Sec.  1000.50(p), contained in 
or represented by:

[[Page 140]]

    (i) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c); and
    (ii) Receipts of milk from handlers described in Sec.  1000.9(c);
    (2) Product pounds and pounds of butterfat contained in:
    (i) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (ii) Receipts of other source milk; and
    (iii) Inventories at the beginning and end of the month of fluid 
milk products and bulk fluid cream products;
    (3) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph; and
    (4) Such other information with respect to the receipts and 
utilization of skim milk, butterfat, milk protein, other nonfat solids, 
and somatic cell information, as the market administrator may prescribe.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. The report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The product pounds, pounds of butterfat, pounds of protein, 
pounds of solids-not-fat other than protein (other solids), and the 
value of the somatic cell adjustment pursuant to Sec.  1000.50(p), 
contained in receipts of milk from producers; and
    (2) The utilization or disposition of such receipts.
    (d) Each handler not specified in paragraphs (a) through (c) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1032.31  Payroll reports.

    (a) On or before the 20th day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1032.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for the month, in the detail 
prescribed by the market administrator, showing for each producer the 
information described in Sec.  1032.73(f).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1032.32  Other reports.

    In addition to the reports required pursuant to Sec. Sec.  1032.30 
and 1032.31, each handler shall report any information the market 
administrator deems necessary to verify or establish each handler's 
obligation under the order.

                         Classification of Milk



Sec.  1032.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1032.41  [Reserved]



Sec.  1032.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1032.43  General classification rules.

    See Sec.  1000.43.



Sec.  1032.44  Classification of producer milk.

    See Sec.  1000.44.



Sec.  1032.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1032.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.

[[Page 141]]



Sec.  1032.51  Class I differential and price.

    The Class I differential shall be the differential established for 
Jackson County, Missouri, which is reported in Sec.  1000.52. The Class 
I price shall be the price computed pursuant to Sec.  1000.50(a) for 
Jackson County, Missouri.



Sec.  1032.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1032.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1032.54  Equivalent price.

    See Sec.  1000.54.

                       Producer Price Differential



Sec.  1032.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at a pool plant by adding the amounts 
computed in paragraphs (a) through (i) of this section and subtracting 
from that total amount the value computed in paragraph (j) of this 
section. Unless otherwise specified, the skim milk, butterfat, and the 
combined pounds of skim milk and butterfat referred to in this section 
shall result from the steps set forth in Sec.  1000.44(a), (b), and (c), 
respectively, and the nonfat components of producer milk in each class 
shall be based upon the proportion of such components in producer skim 
milk. Receipts of nonfluid milk products that are distributed as labeled 
reconstituted milk for which payments are made to the producer-
settlement fund of another Federal order under Sec.  1000.76(a)(4) or 
(d) shall be excluded from pricing under this section.
    (a) Class I value. (1) Multiply the pounds of skim milk in Class I 
by the Class I skim milk price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class I by the Class I butterfat price.
    (b) Class II value. (1) Multiply the pounds of nonfat solids in 
Class II skim milk by the Class II nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class II times the Class II butterfat price.
    (c) Class III value. (1) Multiply the pounds of protein in Class III 
skim milk by the protein price;
    (2) Add an amount obtained by multiplying the pounds of other solids 
in Class III skim milk by the other solids price; and
    (3) Add an amount obtained by multiplying the pounds of butterfat in 
Class III by the butterfat price.
    (d) Class IV value. (1) Multiply the pounds of nonfat solids in 
Class IV skim milk by the nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class IV by the butterfat price.
    (e) Compute an adjustment for the somatic cell content of producer 
milk by multiplying the values reported pursuant to Sec.  1032.30(a)(1) 
and (c)(1) by the percentage of total producer milk allocated to Class 
II, Class III, and Class IV pursuant to Sec.  1000.44(c);
    (f) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) and the corresponding 
step of Sec.  1000.44(b) by the skim milk prices and butterfat prices 
applicable to each class.
    (g) Multiply the difference between the current month's Class I, II, 
or III price, as the case may be, and the Class IV price for the 
preceding month by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (h) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3)(i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from a plant regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under

[[Page 142]]

other Federal orders, and unregulated supply plants.
    (i) Multiply the difference between the Class I price applicable at 
the location of the nearest unregulated supply plants from which an 
equivalent volume was received and the Class III price by the pounds of 
skim milk and butterfat in receipts of concentrated fluid milk products 
assigned to Class I pursuant to Sec.  1000.43(d) and Sec.  
1000.44(a)(3)(i) and the corresponding step of Sec.  1000.44(b) and the 
pounds of skim milk and butterfat subtracted from Class I pursuant to 
Sec.  1000.44(a)(8) and the corresponding step of Sec.  1000.44(b), 
excluding such skim milk and butterfat in receipts of fluid milk 
products from an unregulated supply plant to the extent that an 
equivalent amount of skim milk or butterfat disposed of to such plant by 
handlers fully regulated under any Federal milk order is classified and 
priced as Class I milk and is not used as an offset for any other 
payment obligation under any order.
    (j) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 47985, Sept. 1, 1999, as amended at 65 FR 82837, Dec. 28, 2000; 
68 FR 7067, Feb. 12, 2003]



Sec.  1032.61  Computation of producer price differential.

    For each month the market administrator shall compute a producer 
price differential per hundredweight. The report of any handler who has 
not made payments required pursuant to Sec.  1032.71 for the preceding 
month shall not be included in the computation of the producer price 
differential, and such handler's report shall not be included in the 
computation for succeeding months until the handler has made full 
payment of outstanding monthly obligations. Subject to the conditions of 
this paragraph, the market administrator shall compute the producer 
price differential in the following manner:
    (a) Combine into one total the values computed pursuant to Sec.  
1032.60 for all handlers required to file reports prescribed in Sec.  
1032.30;
    (b) Subtract the total values obtained by multiplying each handler's 
total pounds of protein, other solids, and butterfat contained in the 
milk for which an obligation was computed pursuant to Sec.  1032.60 by 
the protein price, the other solids price, and the butterfat price, 
respectively, and the total value of the somatic cell adjustment 
pursuant to Sec.  1032.30(a)(1) and (c)(1);
    (c) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1032.75;
    (d) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (e) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (1) The total hundredweight of producer milk; and
    (2) The total hundredweight for which a value is computed pursuant 
to Sec.  1032.60(i); and
    (f) Subtract not less than 4 cents nor more than 5 cents from the 
price computed pursuant to paragraph (e) of this section. The result 
shall be known as the producer price differential for the month.

[68 FR 7067, Feb. 12, 2003]



Sec.  1032.62  Announcement of producer prices.

    On or before the 11th day after the end of each month, the market 
administrator shall announce publicly the following prices and 
information:
    (a) The producer price differential;
    (b) The protein price;
    (c) The nonfat solids price;
    (d) The other solids price;
    (e) The butterfat price;
    (f) The somatic cell adjustment rate;
    (g) The average butterfat, protein, nonfat solids, and other solids 
content of producer milk; and
    (h) The statistical uniform price for milk containing 3.5 percent 
butterfat, computed by combining the Class III

[[Page 143]]

price and the producer price differential.

[64 FR 47985, Sept. 1, 1999, as amended at 65 FR 82838, Dec. 28, 2000; 
68 FR 7067, Feb. 12, 2003]

                            Payments for Milk



Sec.  1032.70  Producer-settlement fund.

    See Sec.  1000.70.



Sec.  1032.71  Payments to the producer-settlement fund.

    Each handler shall make payment to the producer-settlement fund in a 
manner that provides receipt of the funds by the market administrator no 
later than the 14th day after the end of the month (except as provided 
in Sec.  1000.90). Payment shall be the amount, if any, by which the 
amount specified in paragraph (a) of this section exceeds the amount 
specified in paragraph (b) of this section:
    (a) The total value of milk to the handler for the month as 
determined pursuant to Sec.  1032.60.
    (b) The sum of:
    (1) An amount obtained by multiplying the total hundredweight of 
producer milk as determined pursuant to Sec.  1000.44(c) by the producer 
price differential as adjusted pursuant to Sec.  1032.75;
    (2) An amount obtained by multiplying the total pounds of protein, 
other solids, and butterfat contained in producer milk by the protein, 
other solids, and butterfat prices respectively;
    (3) The total value of the somatic cell adjustment to producer milk; 
and
    (4) An amount obtained by multiplying the pounds of skim milk and 
butterfat for which a value was computed pursuant to Sec.  1032.60(i) by 
the producer price differential as adjusted pursuant to Sec.  1032.75 
for the location of the plant from which received.

[64 FR 47985, Sept. 1, 1999, as amended at 65 FR 82838, Dec. 28, 2000; 
68 FR 7067, Feb. 12, 2003]



Sec.  1032.72  Payments from the producer-settlement fund.

    No later than the 15th day after the end of each month (except as 
provided in Sec.  1000.90), the market administrator shall pay to each 
handler the amount, if any, by which the amount computed pursuant to 
Sec.  1032.71(b) exceeds the amount computed pursuant to Sec.  
1032.71(a). If, at such time, the balance in the producer-settlement 
fund is insufficient to make all payments pursuant to this section, the 
market administrator shall reduce uniformly such payments and shall 
complete the payments as soon as the funds are available.



Sec.  1032.73  Payments to producers and to cooperative associations.

    (a) Each handler shall pay each producer for producer milk for which 
payment is not made to a cooperative association pursuant to paragraph 
(b) of this section, as follows:
    (1) Partial payment. For each producer who has not discontinued 
shipments as of the date of this partial payment, payment shall be made 
so that it is received by each producer on or before the 26th day of the 
month (except as provided in Sec.  1000.90) for milk received during the 
first 15 days of the month from the producer at not less than the lowest 
announced class price for the preceding month, less proper deductions 
authorized in writing by the producer.
    (2) Final payment. For milk received during the month, payment shall 
be made so that it is received by each producer no later than the 17th 
day after the end of the month (except as provided in Sec.  1000.90) in 
an amount equal to not less than the sum of:
    (i) The hundredweight of producer milk received times the producer 
price differential for the month as adjusted pursuant to Sec.  1032.75;
    (ii) The pounds of butterfat received times the butterfat price for 
the month;
    (iii) The pounds of protein received times the protein price for the 
month;
    (iv) The pounds of other solids received times the other solids 
price for the month;
    (v) The hundredweight of milk received times the somatic cell 
adjustment for the month;
    (vi) Less any payment made pursuant to paragraph (a)(1) of this 
section;
    (vii) Less proper deductions authorized in writing by such producer 
and plus or minus adjustments for errors in

[[Page 144]]

previous payments to such producer; and
    (viii) Less deductions for marketing services pursuant to Sec.  
1000.86.
    (b) Payments for milk received from cooperative association members. 
On or before the day prior to the dates specified in paragraphs (a)(1) 
and (a)(2) of this section (except as provided in Sec.  1000.90), each 
handler shall pay to a cooperative association for milk from producers 
who market their milk through the cooperative association and who have 
authorized the cooperative to collect such payments on their behalf an 
amount equal to the sum of the individual payments otherwise payable for 
such producer milk pursuant to paragraphs (a)(1) and (a)(2) of this 
section.
    (c) Payment for milk received from cooperative association pool 
plants or from cooperatives as handlers pursuant to Sec.  1000.9(c). On 
or before the day prior to the dates specified in paragraphs (a)(1) and 
(a)(2) of this section (except as provided in Sec.  1000.90), each 
handler who receives fluid milk products at its plant from a cooperative 
association in its capacity as the operator of a pool plant or who 
receives milk from a cooperative association in its capacity as a 
handler pursuant to Sec.  1000.9(c), including the milk of producers who 
are not members of such association and who the market administrator 
determines have authorized the cooperative association to collect 
payment for their milk, shall pay the cooperative for such milk as 
follows:
    (1) For bulk fluid milk products and bulk fluid cream products 
received from a cooperative association in its capacity as the operator 
of a pool plant and for milk received from a cooperative association in 
its capacity as a handler pursuant to Sec.  1000.9(c) during the first 
15 days of the month, at not less than the lowest announced class prices 
per hundredweight for the preceding month;
    (2) For the total quantity of bulk fluid milk products and bulk 
fluid cream products received from a cooperative association in its 
capacity as the operator of a pool plant, at not less than the total 
value of such products received from the association's pool plants, as 
determined by multiplying the respective quantities assigned to each 
class under Sec.  1000.44 as follows:
    (i) The hundredweight of Class I skim milk times the Class I skim 
milk price for the month plus the pounds of Class I butterfat times the 
Class I butterfat price for the month. The Class I prices to be used 
shall be the prices effective at the location of the receiving plant;
    (ii) The pounds of nonfat solids in Class II skim milk by the Class 
II nonfat solids price;
    (iii) The pounds of butterfat in Class II times the Class II 
butterfat price;
    (iv) The pounds of nonfat solids in Class IV times the nonfat solids 
price;
    (v) The pounds of butterfat in Class III and Class IV milk times the 
butterfat price;
    (vi) The pounds of protein in Class III milk times the protein 
price;
    (vii) The pounds of other solids in Class III milk times the other 
solids price;
    (viii) The hundredweight of Class II, Class III, and Class IV milk 
times the somatic cell adjustment; and
    (ix) Add together the amounts computed in paragraphs (c)(2)(i) 
through (viii) of this section and from that sum deduct any payment made 
pursuant to paragraph (c)(1) of this section; and
    (3) For the total quantity of milk received during the month from a 
cooperative association in its capacity as a handler under Sec.  
1000.9(c) as follows:
    (i) The hundredweight of producer milk received times the producer 
price differential as adjusted pursuant to Sec.  1032.75;
    (ii) The pounds of butterfat received times the butterfat price for 
the month;
    (iii) The pounds of protein received times the protein price for the 
month;
    (iv) The pounds of other solids received times the other solids 
price for the month;
    (v) The hundredweight of milk received times the somatic cell 
adjustment for the month; and
    (vi) Add together the amounts computed in paragraphs (c)(3)(i) 
through (v) of this section and from that sum deduct any payment made 
pursuant to paragraph (c)(1) of this section.

[[Page 145]]

    (d) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1032.72 by the payment date specified in 
paragraph (a), (b) or (c) of this section, the handler may reduce pro 
rata its payments to producers or to the cooperative association (with 
respect to receipts described in paragraph (b) of this section, 
prorating the underpayment to the volume of milk received from the 
cooperative association in proportion to the total milk received from 
producers by the handler), but not by more than the amount of the 
underpayment. The payments shall be completed on the next scheduled 
payment date after receipt of the balance due from the market 
administrator.
    (e) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer-
settlement fund, and in the event that the handler subsequently locates 
and pays the producer or a lawful claimant, or in the event that the 
handler no longer exists and a lawful claim is later established, the 
market administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant, as the case 
may be.
    (f) In making payments to producers pursuant to this section, each 
handler shall furnish each producer, except a producer whose milk was 
received from a cooperative association handler described in Sec.  
1000.9(a) or (c), a supporting statement in a form that may be retained 
by the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and payroll number of the producer;
    (2) The daily and total pounds, and the month and dates such milk 
was received from that producer;
    (3) The total pounds of butterfat, protein, and other solids 
contained in the producer's milk;
    (4) The somatic cell count of the producer's milk;
    (5) The minimum rate or rates at which payment to the producer is 
required pursuant to the order in this part;
    (6) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (7) The amount, or rate per hundredweight, or rate per pound of 
component, and the nature of each deduction claimed by the handler; and
    (8) The net amount of payment to the producer or cooperative 
association.

[64 FR 47985, Sept. 1, 1999, as amended at 65 FR 82838, Dec. 28, 2000; 
68 FR 7067, Feb. 12, 2003]



Sec.  1032.74  [Reserved]



Sec.  1032.75  Plant location adjustments for producer milk and nonpool 
milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1032.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1032.73 and 
1000.76.



Sec.  1032.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1032.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1032.78  Charges on overdue accounts.

    See Sec.  1000.78.

        Administrative Assessment and Marketing Service Deduction



Sec.  1032.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1032.86  Deduction for marketing services.

    See Sec.  1000.86.

[[Page 146]]



PART 1033_MILK IN THE MIDEAST MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1033.1 General provisions.

                               Definitions

1033.2 Mideast marketing area.
1033.3 Route disposition.
1033.4 Plant.
1033.5 Distributing plant.
1033.6 Supply plant.
1033.7 Pool plant.
1033.8 Nonpool plant.
1033.9 Handler.
1033.10 Producer-handler.
1033.11 [Reserved]
1033.12 Producer.
1033.13 Producer milk.
1033.14 Other source milk.
1033.15 Fluid milk products.
1033.16 Fluid cream product.
1033.17 [Reserved]
1033.18 Cooperative association.
1033.19 Commercial food processing establishment.

                             Handler Reports

1033.30 Reports of receipts and utilization.
1033.31 Payroll reports.
1033.32 Other reports.

                         Classification of Milk

1033.40 Classes of utilization.
1033.41 [Reserved]
1033.42 Classification of transfers and diversions.
1033.43 General classification rules.
1033.44 Classification of producer milk.
1033.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1033.50 Class prices, component prices, and advanced pricing factors.
1033.51 Class I differential and price.
1033.52 Adjusted Class I differentials.
1033.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1033.54 Equivalent price.

                       Producer Price Differential

1033.60 Handler's value of milk.
1033.61 Computation of producer price differential.
1033.62 Announcement of producer prices.

                            Payments for Milk

1033.70 Producer-settlement fund.
1033.71 Payments to the producer-settlement fund.
1033.72 Payments from the producer-settlement fund.
1033.73 Payments to producers and to cooperative associations.
1033.74 [Reserved]
1033.75 Plant location adjustments for producer milk and nonpool milk.
1033.76 Payments by a handler operating a partially regulated 
          distributing plant.
1033.77 Adjustment of accounts.
1033.78 Charges on overdue accounts.

        Administrative Assessment and Marketing Service Deduction

1033.85 Assessment for order administration.
1033.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 47991, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1033.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1033. In this part 1033, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1033.2  Mideast marketing area.

    The marketing area means all territory within the bounds of the 
following states and political subdivisions, including all piers, docks, 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State, or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

                            Indiana Counties

    Adams, Allen, Bartholomew, Benton, Blackford, Boone, Brown, Carroll, 
Cass, Clay, Clinton, Dearborn, Decatur, De Kalb, Delaware, Elkhart, 
Fayette, Fountain, Franklin, Fulton, Grant, Hamilton, Hancock, 
Hendricks, Henry, Howard, Huntington, Jackson, Jasper, Jay, Jefferson, 
Jennings, Johnson, Kosciusko, Lagrange, Lake, La Porte, Lawrence, 
Madison, Marion, Marshall,

[[Page 147]]

Miami, Monroe, Montgomery, Morgan, Newton, Noble, Ohio, Owen, Parke, 
Porter, Pulaski, Putnam, Randolph, Ripley, Rush, Shelby, St. Joseph, 
Starke, Steuben, Switzerland, Tippecanoe, Tipton, Union, Vermillion, 
Vigo, Wabash, Warren, Wayne, Wells, White, and Whitley.

                            Kentucky Counties

    Boone, Boyd, Bracken, Campbell, Floyd, Grant, Greenup, Harrison, 
Johnson, Kenton, Lawrence, Lewis, Magoffin, Martin, Mason, Pendleton, 
Pike, and Robertson.

                            Michigan Counties

    All counties except Delta, Dickinson, Gogebic, Iron, Menominee, and 
Ontonagon.

                                  Ohio

    The townships of Woodville and Madison in Sandusky County and all 
other counties in Ohio except Erie, Huron, and Ottawa.

                          Pennsylvania Counties

    Allegheny, Armstrong, Beaver, Butler, Crawford, Erie, Fayette, 
Greene, Lawrence, Mercer, Venango, and Washington.
    In Clarion County only the townships of Ashland, Beaver, Licking, 
Madison, Perry, Piney, Richland, Salem, and Toby.
    All of Westmoreland County except the townships of Cook, Donegal, 
Fairfield, Ligonier, and St. Clair, and the boroughs of Bolivar, 
Donegal, Ligonier, New Florence, and Seward.

                         West Virginia Counties

    Barbour, Boone, Brooke, Cabell, Calhoun, Doddridge, Fayette, Gilmer, 
Hancock, Harrison, Jackson, Kanawha, Lewis, Lincoln, Logan, Marion, 
Marshall, Mason, Mingo, Monongalia, Ohio, Pleasants, Preston, Putnam, 
Raleigh, Randolph, Ritchie, Roane, Taylor, Tucker, Tyler, Upshur, Wayne, 
Wetzel, Wirt, Wood, and Wyoming.



Sec.  1033.3  Route disposition.

    See Sec.  1000.3.



Sec.  1033.4  Plant.

    See Sec.  1000.4.



Sec.  1033.5  Distributing plant.

    See Sec.  1000.5.



Sec.  1033.6  Supply plant.

    See Sec.  1000.6.



Sec.  1033.7  Pool plant.

    Pool plant means a plant, unit of plants, or a system of plants as 
specified in paragraphs (a) through (f) of this section, but excluding a 
plant specified in paragraph (h) of this section. The pooling standards 
described in paragraphs (c) through (f) of this section are subject to 
modification pursuant to paragraph (g) of this section:
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this section or Sec.  --------.7(b) 
of any other Federal milk order, from which during the month 30 percent 
or more of the total quantity of fluid milk products physically received 
at the plant (excluding concentrated milk received from another plant by 
agreement for other than Class I use) are disposed of as route 
disposition or are transferred in the form of packaged fluid milk 
products to other distributing plants. At least 25 percent of such route 
disposition and transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 30 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which the quantity of bulk fluid milk 
products shipped to, received at, and physically unloaded into plants 
described in paragraph (a) or (b) of this section as a percent of the 
Grade A milk received at the plant from dairy farmers (except dairy 
farmers described in Sec.  1033.12(b)) and handlers described in Sec.  
1033.9(c), as reported in Sec.  1033.30(a), is not less than 30 percent 
of the milk received from dairy farmers, including milk diverted 
pursuant to Sec.  1033.13, subject to the following conditions:
    (1) Qualifying shipments pursuant to this paragraph may be made to 
the following plants, except whenever the authority provided in 
paragraph (g) of this section is applied to increase the shipping 
requirements specified in this section, only shipments to pool plants 
described in Sec.  1033.7(a) and (b), shall count as qualifying 
shipments for the purpose of meeting the increased shipments:

[[Page 148]]

    (i) Pool plants described in Sec.  1033.7(a) and (b);
    (ii) Plants of producer-handlers;
    (iii) Partially regulated distributing plants, except that credit 
for such shipments shall be limited to the amount of such milk 
classified as Class I at the transferee plant.
    (2) The operator of a supply plant located within the marketing area 
may include deliveries to pool distributing plants directly from farms 
of producers pursuant to Sec.  1033.13(c) as up to 90 percent of the 
supply plant's qualifying shipments. Handlers may not use shipments 
pursuant to Sec.  1033.13(c) to qualify plants located outside the 
marketing area.
    (3) Concentrated milk transferred from the supply plant to a 
distributing plant for an agreed-upon use other than Class I shall be 
excluded from the supply plant's shipments in computing the supply 
plant's shipping percentage.
    (4) Shipments used in determining qualifying percentages shall be 
milk transferred or diverted and physically received by pool 
distributing plants, less any transfers or diversions of bulk fluid milk 
products from such pool distributing plants.
    (5) A supply plant that does not meet the minimum delivery 
requirements specified in this paragraph to qualify for pool status in 
the current month because a distributing plant to which the supply plant 
delivered its fluid milk products during such month failed to qualify as 
a pool plant pursuant to paragraph (a) or (b) of this section shall 
continue to be a pool plant for the current month if such supply plant 
qualified as a pool plant in the 3 immediately preceding months.
    (d) A plant operated by a cooperative association if, during the 
month, 30 percent or more of the producer milk of members of the 
association is delivered to a distributing pool plant(s) or to a nonpool 
plant(s), and classification other than Class I is not requested. 
Deliveries for qualification purposes may be made directly from the farm 
or by transfer from such association's plant, subject to the following 
conditions:
    (1) The cooperative requests pool status for such plant;
    (2) The 30 percent delivery requirement may be met for the current 
month or it may be met on the basis of deliveries during the preceding 
12-month period ending with the current month. Shipments used in 
determining qualifying shipments in meeting this 30 percent delivery 
requirement shall be milk transferred or diverted and physically 
received by pool distributing plants, less any transfers or diversions 
of bulk fluid milk products from such pool distributing plants;
    (3) The plant is approved by a duly constituted regulatory authority 
to handle milk for fluid consumption; and
    (4) The plant does not qualify as a pool plant under paragraph (a), 
(b), or (c) of this section or under the similar provisions of another 
Federal order applicable to a distributing plant or supply plant.
    (e) A plant located inside the marketing area which has been a pool 
plant under this order for twelve consecutive months, but is not 
otherwise qualified under this paragraph, if it has a marketing 
agreement with a cooperative association and it fulfills the following 
conditions:
    (1) The aggregate monthly quantity supplied by all parties to such 
an agreement as a percentage of the producer milk receipts included in 
the unit during the month is not less than 35 percent; and
    (2) Shipments for qualification purposes shall include both 
transfers from supply plants to plants described in paragraph (c)(1) of 
this section, and deliveries made direct from the farm to plants 
qualified under paragraph (a) of this section.
    (f) A system of supply plants may qualify for pooling if 2 or more 
plants operated by one or more handlers meet the applicable percentage 
requirements of paragraph (c) of this section in the same manner as a 
single plant subject to the following additional requirements:
    (1) Each plant in the system is located within the marketing area, 
or was a pool supply plant for each of the 3 months immediately 
preceding the effective date of this paragraph so long as it continues 
to maintain pool status. Cooperative associations may not use shipments 
pursuant to Sec.  1033.9(c) to qualify plants located outside the 
marketing area;

[[Page 149]]

    (2) A written notification to the market administrator listing the 
plants to be included in the system and the handler that is responsible 
for meeting the performance requirements of this paragraph under a 
marketing agreement certified to the market administrator by the 
designated handler and any others included in the system, and the period 
during which such consideration shall apply. Such notice, and notice of 
any change in designation, shall be furnished on or before the 5th 
working day following the month to which the notice applies. The listed 
plants included in the system shall also be in the sequence in which 
they shall qualify for pool plant status based on the minimum deliveries 
required. If the deliveries made are insufficient to qualify the entire 
system for pooling, the last listed plant shall be excluded from the 
system, followed by the plant next-to-last on the list, and continuing 
in this sequence until remaining listed plants have met the minimum 
shipping requirements; and
    (3) Each plant that qualifies as a pool plant within a system shall 
continue each month as a plant in the system unless the plant 
subsequently fails to qualify for pooling, or the responsible handler 
submits a written notification to the market administrator prior to the 
first day of the month that the plant is to be deleted from the system, 
or that the system is to be discontinued. In any month of March through 
August, a system shall not contain any plant which was not qualified 
under this paragraph, either individually or as a member of a system, 
during the previous September through February.
    (g) The applicable shipping percentages of paragraphs (c) through 
(f) of this section may be increased or decreased by the market 
administrator if the market administrator finds that such adjustment is 
necessary to encourage needed shipments or to prevent uneconomic 
shipments. Before making such a finding, the market administrator shall 
investigate the need for adjustment either on the market administrator's 
own initiative or at the request of interested parties if the request is 
made in writing at least 15 days prior to the month for which the 
requested revision is desired effective. If the investigation shows that 
an adjustment of the shipping percentages might be appropriate, the 
market administrator shall issue a notice stating that an adjustment is 
being considered and invite data, views and arguments. Any decision to 
revise an applicable shipping percentage must be issued in writing at 
least one day before the effective date.
    (h) The term pool plant shall not apply to the following plants:
    (1) A producer-handler as defined under any Federal order;
    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant located within the marketing area and qualified pursuant 
to paragraph (a) of this section that meets the pooling requirements of 
another Federal order, and from which more than 50 percent of its route 
disposition has been in the other Federal order marketing area for 3 
consecutive months;
    (4) A plant located outside any Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of another Federal order and has had greater route 
disposition in such other Federal order's marketing area for 3 
consecutive months;
    (5) A plant located in another Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of such other Federal order and does not have a 
majority of its route distribution in this marketing area for 3 
consecutive months or if the plant is required to be regulated under 
such other Federal order without regard to its route disposition in any 
other Federal order marketing area;
    (6) A plant qualified pursuant to paragraph (c) of this section that 
also meets the pooling requirements of another Federal order and from 
which greater qualifying shipments are made to plants regulated under 
the other Federal order than are made to plants regulated under the 
order in this part, or the plant has automatic pooling status under the 
other Federal order.
    (i) Any plant that qualifies as a pool plant in each of the 
immediately preceding 3 months pursuant to paragraph

[[Page 150]]

(a) of this section or the shipping percentages in paragraph (c) of this 
section that is unable to meet such performance standards for the 
current month because of unavoidable circumstances determined by the 
market administrator to be beyond the control of the handler operating 
the plant, such as a natural disaster (ice storm, wind storm, flood), 
fire, breakdown of equipment, or work stoppage, shall be considered to 
have met the minimum performance standards during the period of such 
unavoidable circumstances, but such relief shall not be granted for more 
than 2 consecutive months.

[64 FR 47991, Sept. 1, 1999, as amended at 67 FR 48744, July 26, 2002]



Sec.  1033.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1033.9  Handler.

    See Sec.  1000.9.



Sec.  1033.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is route disposition in the marketing area during the month;
    (b) Receives fluid milk from own farm production or that is fully 
subject to the pricing and pooling provisions of the order in this part 
or any other Federal order;
    (c) Receives at its plant or acquires for route disposition no more 
than 150,000 pounds of fluid milk products from handlers fully regulated 
under any Federal order. This limitation shall not apply if the 
producer-handler's own farm production is less than 150,000 pounds 
during the month;
    (d) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products; 
and
    (e) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled (excluding receipts from handlers 
fully regulated under any Federal order) and the processing and 
packaging operations are the producer-handler's own enterprise and at 
its own risk.



Sec.  1033.11  [Reserved]



Sec.  1033.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1033.13; or
    (2) Received by a handler described in Sec.  1033.9(c).
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1033.13(d);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and that milk is allocated by request to a utilization other than Class 
I; and
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with respect to that portion 
of the milk so diverted that is assigned to Class I under the provisions 
of such other order.



Sec.  1033.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk), including nonfat components, and butterfat in 
milk of a producer that is:
    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec.  1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;
    (b) Received by a handler described in Sec.  1000.9(c) in excess of 
the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator to another pool plant. Milk so 
diverted shall be priced at the location of the plant to which diverted; 
or

[[Page 151]]

    (d) Diverted by the operator of a pool plant or by a cooperative 
association described in Sec.  1000.9(c) to a nonpool plant, subject to 
the following conditions:
    (1) Milk of a dairy farmer shall not be eligible for diversion until 
milk of such dairy farmer has been physically received as producer milk 
at a pool plant and the dairy farmer has continuously retained producer 
status since that time. If a dairy farmer loses producer status under 
the order in this part (except as a result of a temporary loss of Grade 
A approval), the dairy farmer's milk shall not be eligible for diversion 
until milk of the dairy farmer has been physically received as producer 
milk at a pool plant;
    (2) The equivalent of at least two days' milk production is caused 
by the handler to be physically received at a pool plant in each of the 
months of August through November;
    (3) The equivalent of at least two days' milk production is caused 
by the handler to be physically received at a pool plant in each of the 
months of December through July if the requirement of paragraph (d)(2) 
of this section (Sec.  1033.13) in each of the prior months of August 
through November are not met, except in the case of a dairy farmer who 
marketed no Grade A milk during each of the prior months of August 
through November.
    (4) Of the total quantity of producer milk received during the month 
(including diversions but excluding the quantity of producer milk 
received from a handler described in Sec.  1000.9(c) of this chapter or 
which is diverted to another pool plant), the handler diverted to 
nonpool plants not more than 60 percent in each of the months of August 
through February and 70 percent in each of the months of March through 
July.
    (5) Diverted milk shall be priced at the location of the plant to 
which diverted;
    (6) Any milk diverted in excess of the limits set forth in paragraph 
(d)(3) of this section shall not be producer milk. The diverting handler 
shall designate the dairy farmer deliveries that shall not be producer 
milk. If the handler fails to designate the dairy farmer deliveries 
which are ineligible, producer milk status shall be forfeited with 
respect to all milk diverted to nonpool plants by such handler; and
    (7) The delivery day requirements and the diversion percentages in 
paragraphs (d)(2) and (d)(3) of this section may be increased or 
decreased by the market administrator if the market administrator finds 
that such revision is necessary to assure orderly marketing and 
efficient handling of milk in the marketing area. Before making such a 
finding, the market administrator shall investigate the need for the 
revision either on the market administrator's own initiative or at the 
request of interested persons if the request is made in writing at least 
15 days prior to the month for which the requested revision is desired 
effective. If the investigation shows that a revision might be 
appropriate, the market administrator shall issue a notice stating that 
the revision is being considered and inviting written data, views, and 
arguments. Any decision to revise an applicable percentage must be 
issued in writing at least one day before the effective date.

[64 FR 47991, Sept. 1, 1999, as amended at 67 FR 48744, July 26, 2002]



Sec.  1033.14  Other source milk.

    See Sec.  1000.14.



Sec.  1033.15  Fluid milk products.

    See Sec.  1000.15.



Sec.  1033.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1033.17  [Reserved]



Sec.  1033.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1033.19  Commercial food processing establishment.

    See Sec.  1000.19.

                             Handler Reports



Sec.  1033.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 7th day after the end of the 
month, in the

[[Page 152]]

detail and on the prescribed forms, as follows:
    (a) Each handler that operates a pool plant pursuant to Sec.  1033.7 
shall report for each of its operations the following information:
    (1) Product pounds, pounds of butterfat, pounds of protein, pounds 
of solids-not-fat other than protein (other solids), and the value of 
the somatic cell adjustment pursuant to Sec.  1000.50(p), contained in 
or represented by:
    (i) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c); and
    (ii) Receipts of milk from handlers described in Sec.  1000.9(c);
    (2) Product pounds and pounds of butterfat contained in:
    (i) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (ii) Receipts of other source milk; and
    (iii) Inventories at the beginning and end of the month of fluid 
milk products and bulk fluid cream products;
    (3) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph; and
    (4) Such other information with respect to the receipts and 
utilization of skim milk, butterfat, milk protein, other nonfat solids, 
and somatic cell information as the market administrator may prescribe.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. The report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The product pounds, pounds of butterfat, pounds of protein, 
pounds of solids-not-fat other than protein (other solids), and the 
value of the somatic cell adjustment pursuant to Sec.  1000.50(p), 
contained in receipts of milk from producers; and
    (2) The utilization or disposition of such receipts.
    (d) Each handler not specified in paragraphs (a) through (c) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1033.31  Payroll reports.

    (a) On or before the 22nd day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1033.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for the month, in the detail 
prescribed by the market administrator, showing for each producer the 
information described in Sec.  1033.73(e).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1033.32  Other reports.

    In addition to the reports required pursuant to Sec. Sec.  1033.30 
and 1033.31, each handler shall report any information the market 
administrator deems necessary to verify or establish each handler's 
obligation under the order.

                         Classification of Milk



Sec.  1033.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1033.41  [Reserved]



Sec.  1033.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1033.43  General classification rules.

    See Sec.  1000.43.



Sec.  1033.44  Classification of producer milk.

    See Sec.  1000.44.

[[Page 153]]



Sec.  1033.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1033.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.



Sec.  1033.51  Class I differential and price.

    The Class I differential shall be the differential established for 
Cuyahoga County, Ohio which is reported in Sec.  1000.52. The Class I 
price shall be the price computed pursuant to Sec.  1000.50(a) for 
Cuyahoga County, Ohio.



Sec.  1033.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1033.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1033.54  Equivalent price.

    See Sec.  1000.54.

                       Producer Price Differential



Sec.  1033.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at a pool plant by adding the amounts 
computed in paragraphs (a) through (i) of this section and subtracting 
from that total amount the value computed in paragraph (j) of this 
section. Unless otherwise specified, the skim milk, butterfat, and the 
combined pounds of skim milk and butterfat referred to in this section 
shall result from the steps set forth in Sec.  1000.44(a), (b), and (c), 
respectively, and the nonfat components of producer milk in each class 
shall be based upon the proportion of such components in producer skim 
milk. Receipts of nonfluid milk products that are distributed as labeled 
reconstituted milk for which payments are made to the producer-
settlement fund of another Federal order under Sec.  1000.76(a)(4) or 
(d) shall be excluded from pricing under this section.
    (a) Class I value.
    (1) Multiply the pounds of skim milk in Class I by the Class I skim 
milk price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class I by the Class I butterfat price.
    (b) Class II value.
    (1) Multiply the pounds of nonfat solids in Class II skim milk by 
the Class II nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class II times the Class II butterfat price.
    (c) Class III value.
    (1) Multiply the pounds of protein in Class III skim milk by the 
protein price;
    (2) Add an amount obtained by multiplying the pounds of other solids 
in Class III skim milk by the other solids price; and
    (3) Add an amount obtained by multiplying the pounds of butterfat in 
Class III by the butterfat price.
    (d) Class IV value.
    (1) Multiply the pounds of nonfat solids in Class IV skim milk by 
the nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class IV by the butterfat price.
    (e) Compute an adjustment for the somatic cell content of producer 
milk by multiplying the values reported pursuant to Sec.  033.30(a)(1) 
and (c)(1) by the percentage of total producer milk allocated to Class 
II, Class III, and Class IV pursuant to Sec.  1000.44(c);
    (f) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) and the corresponding 
step of Sec.  1000.44(b) by the skim milk prices and butterfat prices 
applicable to each class.
    (g) Multiply the difference between the current month's Class I, II, 
or III price, as the case may be, and the Class IV price for the 
preceding month by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);

[[Page 154]]

    (h) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3)(i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from a plant regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under other Federal orders, and unregulated supply 
plants.
    (i) Multiply the difference between the Class I price applicable at 
the location of the nearest unregulated supply plants from which an 
equivalent volume was received and the Class III price by the pounds of 
skim milk and butterfat in receipts of concentrated fluid milk products 
assigned to Class I pursuant to Sec.  1000.43(d) and Sec.  
1000.44(a)(3)(i) and the corresponding step of Sec.  1000.44(b) and the 
pounds of skim milk and butterfat subtracted from Class I pursuant to 
Sec.  1000.44(a)(8) and the corresponding step of Sec.  1000.44(b), 
excluding such skim milk and butterfat in receipts of fluid milk 
products from an unregulated supply plant to the extent that an 
equivalent amount of skim milk or butterfat disposed of to such plant by 
handlers fully regulated under any Federal milk order is classified and 
priced as Class I milk and is not used as an offset for any other 
payment obligation under any order.
    (j) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 47991, Sept. 1, 1999, as amended at 65 FR 82838, Dec. 28, 2000; 
68 FR 7067, Feb. 12, 2003]



Sec.  1033.61  Computation of producer price differential.

    For each month the market administrator shall compute a producer 
price differential per hundredweight. The report of any handler who has 
not made payments required pursuant to Sec.  1033.71 for the preceding 
month shall not be included in the computation of the producer price 
differential, and such handler's report shall not be included in the 
computation for succeeding months until the handler has made full 
payment of outstanding monthly obligations. Subject to the conditions of 
this paragraph, the market administrator shall compute the producer 
price differential in the following manner:
    (a) Combine into one total the values computed pursuant to Sec.  
1033.60 for all handlers required to file reports prescribed in Sec.  
1033.30;
    (b) Subtract the total values obtained by multiplying each handler's 
total pounds of protein, other solids, and butterfat contained in the 
milk for which an obligation was computed pursuant to Sec.  1033.60 by 
the protein price, the other solids price, and the butterfat price, 
respectively, and the total value of the somatic cell adjustment 
pursuant to Sec.  1033.30(a)(1) and (c)(1);
    (c) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1033.75;
    (d) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (e) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (1) The total hundredweight of producer milk; and
    (2) The total hundredweight for which a value is computed pursuant 
to Sec.  1033.60(i); and
    (f) Subtract not less than 4 cents nor more than 5 cents from the 
price computed pursuant to paragraph (e) of this section. The result 
shall be known as the producer price differential for the month.

[68 FR 7067, Feb. 12, 2003]

[[Page 155]]



Sec.  1033.62  Announcement of producer prices.

    On or before the 13th day after the end of each month, the market 
administrator shall announce publicly the following prices and 
information:
    (a) The producer price differential;
    (b) The protein price;
    (c) The nonfat solids price;
    (d) The other solids price;
    (e) The butterfat price;
    (f) The somatic cell adjustment rate;
    (g) The average butterfat, protein, nonfat solids, and other solids 
content of producer milk; and
    (h) The statistical uniform price for milk containing 3.5 percent 
butterfat, computed by combining the Class III price and the producer 
price differential.

[64 FR 47991, Sept. 1, 1999, as amended at 65 FR 82839, Dec. 28, 2000; 
68 FR 7068, Feb. 12, 2003]

                            Payments for Milk



Sec.  1033.70  Producer-settlement fund.

    See Sec.  1000.70.



Sec.  1033.71  Payments to the producer-settlement fund.

    Each handler shall make payment to the producer-settlement fund in a 
manner that provides receipt of the funds by the market administrator no 
later than the 15th day after the end of the month (except as provided 
in Sec.  1000.90). Payment shall be the amount, if any, by which the 
amount specified in paragraph (a) of this section exceeds the amount 
specified in paragraph (b) of this section:
    (a) The total value of milk to the handler for the month as 
determined pursuant to Sec.  1033.60.
    (b) The sum of:
    (1) An amount obtained by multiplying the total hundredweight of 
producer milk as determined pursuant to Sec.  1000.44(c) by the producer 
price differential as adjusted pursuant to Sec.  1033.75;
    (2) An amount obtained by multiplying the total pounds of protein, 
other solids, and butterfat contained in producer milk by the protein, 
other solids, and butterfat prices, respectively;
    (3) The total value of the somatic cell adjustment to producer milk; 
and
    (4) An amount obtained by multiplying the pounds of skim milk and 
butterfat for which a value was computed pursuant to Sec.  1033.60(i) by 
the producer price differential as adjusted pursuant to Sec.  1033.75 
for the location of the plant from which received.

[64 FR 47991, Sept. 1, 1999, as amended at 65 FR 82839, Dec. 28, 2000; 
68 FR 7068, Feb. 12, 2003]



Sec.  1033.72  Payments from the producer-settlement fund.

    No later than the 16th day after the end of each month (except as 
provided in Sec.  1000.90), the market administrator shall pay to each 
handler the amount, if any, by which the amount computed pursuant to 
Sec.  1033.71(b) exceeds the amount computed pursuant to Sec.  
1033.71(a). If, at such time, the balance in the producer-settlement 
fund is insufficient to make all payments pursuant to this section, the 
market administrator shall reduce uniformly such payments and shall 
complete the payments as soon as the funds are available.



Sec.  1033.73  Payments to producers and to cooperative associations.

    (a) Each handler shall pay each producer for producer milk for which 
payment is not made to a cooperative association pursuant to paragraph 
(b) of this section, as follows:
    (1) Partial payment. For each producer who has not discontinued 
shipments as of the date of this partial payment, payment shall be made 
so that it is received by each producer on or before the 26th day of the 
month (except as provided in Sec.  1000.90) for milk received during the 
first 15 days of the month from the producer at not less than the lowest 
announced class price for the preceding month, less proper deductions 
authorized in writing by the producer.
    (2) Final payment. For milk received during the month, payment shall 
be made so that it is received by each producer no later than the 17th 
day after the end of the month (except as provided in Sec.  1000.90) in 
an amount equal to not less than the sum of:

[[Page 156]]

    (i) The hundredweight of producer milk received times the producer 
price differential for the month as adjusted pursuant to Sec.  1033.75;
    (ii) The pounds of butterfat received times the butterfat price for 
the month;
    (iii) The pounds of protein received times the protein price for the 
month;
    (iv) The pounds of other solids received times the other solids 
price for the month;
    (v) The hundredweight of milk received times the somatic cell 
adjustment for the month;
    (vi) Less any payment made pursuant to paragraph (a)(1) of this 
section;
    (vii) Less proper deductions authorized in writing by such producer 
and plus or minus adjustments for errors in previous payments to such 
producer; and
    (viii) Less deductions for marketing services pursuant to Sec.  
1000.86.
    (b) Payments for milk received from cooperative associations. On or 
before the day prior to the dates specified in paragraphs (a)(1) and 
(a)(2) of this section (except as provided in Sec.  1000.90), each 
handler shall pay to a cooperative association for milk received as 
follows:
    (1) Partial payment to a cooperative association. For bulk fluid 
milk/skimmed milk received during the first 15 days of the month from a 
cooperative association in any capacity, except as the operator of a 
pool plant, the partial payment shall be equal to the hundredweight of 
milk received multiplied by the lowest announced class price for the 
preceding month.
    (2) Partial payment to a cooperative association for milk 
transferred from its pool plant. For bulk fluid milk/skimmed milk 
products received during the first 15 days of the month from a 
cooperative association in its capacity as the operator of a pool plant, 
the partial payment shall be at the pool plant operator's estimated use 
value of the milk using the most recent class prices available at the 
receiving plant's location.
    (3) Final payment to a cooperative association for milk transferred 
from its pool plant. Following the classification of bulk fluid milk 
products and bulk fluid cream products received during the month from a 
cooperative association in its capacity as the operator of a pool plant, 
the final payment for such receipts shall be determined as follows:
    (i) The hundredweight of Class I skim milk times the Class I skim 
milk price for the month plus the pounds of Class I butterfat times the 
Class I butterfat price for the month. The Class I prices to be used 
shall be the prices effective at the location of the receiving plant;
    (ii) The pounds of nonfat solids in Class II skim milk by the Class 
II nonfat solids price;
    (iii) The pounds of butterfat in Class II times the Class II 
butterfat price;
    (iv) The pounds of nonfat solids in Class IV times the nonfat solids 
price;
    (v) The pounds of butterfat in Class III and Class IV milk times the 
butterfat price;
    (vi) The pounds of protein in Class III milk times the protein 
price;
    (vii) The pounds of other solids in Class III milk times the other 
solids price;
    (viii) The hundredweight of Class II, Class III, and Class IV milk 
times the somatic cell adjustment; and
    (ix) Add together the amounts computed in paragraphs (b)(3)(i) 
through (viii) of this section and from that sum deduct any payment made 
pursuant to paragraph (b)(2) of this section; and
    (4) Final payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk received from a 
cooperative association during the month, including the milk of 
producers who are not members of such association and who the market 
administrator determines have authorized the cooperative association to 
collect payment for their milk, the final payment for such milk shall be 
an amount equal to the sum of the individual payments otherwise payable 
for such milk pursuant to paragraph (a)(2) of this section.
    (c) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1033.72 by the payment date specified in 
paragraph (a) or (b) of this section, the handler may reduce payments 
pursuant to paragraphs (a) and (b) of this section, but not by more than 
the amount of the underpayment. The payments shall be completed on the 
next scheduled payment

[[Page 157]]

date after receipt of the balance due from the market administrator.
    (d) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer-
settlement fund, and in the event that the handler subsequently locates 
and pays the producer or a lawful claimant, or in the event that the 
handler no longer exists and a lawful claim is later established, the 
market administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant, as the case 
may be.
    (e) In making payments to producers pursuant to this section, each 
handler shall furnish each producer, except a producer whose milk was 
received from a cooperative association handler described in Sec.  
1000.9(a) or (c), a supporting statement in a form that may be retained 
by the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and payroll number of the producer;
    (2) The daily and total pounds, and the month and dates such milk 
was received from that producer;
    (3) The total pounds of butterfat, protein, and other solids 
contained in the producer's milk;
    (4) The somatic cell count of the producer's milk;
    (5) The minimum rate or rates at which payment to the producer is 
required pursuant to the order in this part;
    (6) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (7) The amount, or rate per hundredweight, or rate per pound of 
component, and the nature of each deduction claimed by the handler; and
    (8) The net amount of payment to the producer or cooperative 
association.

[64 FR 47991, Sept. 1, 1999, as amended at 65 FR 82839, Dec. 28, 2000; 
68 FR 7068, Feb. 12, 2003]



Sec.  1033.74  [Reserved]



Sec.  1033.75  Plant location adjustments for producer milk and nonpool 
milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1033.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1033.73 and 
1000.76.



Sec.  1033.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1033.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1033.78  Charges on overdue accounts.

    See Sec.  1000.78.

        Administrative Assessment and Marketing Service Deduction



Sec.  1033.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1033.86  Deduction for marketing services.

    See Sec.  1000.86.

                       PARTS 1036-1120 [RESERVED]



PART 1124_MILK IN THE PACIFIC NORTHWEST MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1124.1 General provisions.

                               Definitions

1124.2 Pacific Northwest marketing area.
1124.3 Route disposition.
1124.4 Plant.
1124.5 Distributing plant.
1124.6 Supply plant.
1124.7 Pool plant.
1124.8 Nonpool plant.
1124.9 Handler.
1124.10 Producer-handler.

[[Page 158]]

1124.11 Cooperative reserve supply unit.
1124.12 Producer.
1124.13 Producer milk.
1124.14 Other source milk.
1124.15 Fluid milk product.
1124.16 Fluid cream product.
1124.17 [Reserved]
1124.18 Cooperative association.
1124.19 Commercial food processing establishment.

                             Handler Reports

1124.30 Reports of receipts and utilization.
1124.31 Payroll reports.
1124.32 Other reports.

                         Classification of Milk

1124.40 Classes of utilization.
1124.41 [Reserved]
1124.42 Classification of transfers and diversions.
1124.43 General classification rules.
1124.44 Classification of producer milk.
1124.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1124.50 Class prices, component prices, and advanced pricing factors.
1124.51 Class I differential and price.
1124.52 Adjusted Class I differentials.
1124.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1124.54 Equivalent price.

                       Producer Price Differential

1124.60 Handler's value of milk.
1124.61 Computation of producer price differential.
1124.62 Announcement of producer prices.

                            Payments for Milk

1124.70 Producer-settlement fund.
1124.71 Payments to the producer-settlement fund.
1124.72 Payments from the producer-settlement fund.
1124.73 Payments to producers and to cooperative associations.
1124.74 [Reserved]
1124.75 Plant location adjustments for producer milk and nonpool milk.
1124.76 Payments by a handler operating a partially regulated 
          distributing plant.
1124.77 Adjustment of accounts.
1124.78 Charges on overdue accounts.

        Administrative Assessment and Marketing Service Deduction

1124.85 Assessment for order administration.
1124.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 47998, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1124.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1124. In this part 1124, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1124.2  Pacific Northwest marketing area.

    The marketing area means all territory within the bounds of the 
following states and political subdivisions, including all piers, docks, 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State, or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

                             Idaho Counties

    Benewah, Bonner, Boundary, Kootenai, Latah, and Shoshone.

                             Oregon Counties

    Benton, Clackamas, Clatsop, Columbia, Coos, Crook, Curry, Deschutes, 
Douglas, Gilliam, Hood River, Jackson, Jefferson, Josephine, Klamath, 
Lake, Lane, Lincoln, Linn, Marion, Morrow, Multnomah, Polk, Sherman, 
Tillamook, Umatilla, Wasco, Washington, Wheeler, and Yamhill.

                               Washington

    All of the State of Washington.



Sec.  1124.3  Route disposition.

    See Sec.  1000.3.



Sec.  1124.4  Plant.

    See Sec.  1000.4.



Sec.  1124.5  Distributing plant.

    See Sec.  1000.5.



Sec.  1124.6  Supply plant.

    See Sec.  1000.6.

[[Page 159]]



Sec.  1124.7  Pool plant.

    Pool plant means a plant, unit of plants, or a system of plants as 
specified in paragraphs (a) through (f) of this section, but excluding a 
plant specified in paragraph (h) of this section. The pooling standards 
described in paragraph (c) of this section are subject to modification 
pursuant to paragraph (g) of this section:
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this section or Sec.  --------.7(b) 
of any other Federal milk order, from which during the month 25 percent 
or more of the total quantity of fluid milk products physically received 
at the plant (excluding concentrated milk received from another plant by 
agreement for other than Class I use) are disposed of as route 
disposition or are transferred in the form of packaged fluid milk 
products to other distributing plants. At least 25 percent of such route 
disposition and transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 25 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which during any month not less than 20 
percent of the total quantity of milk that is physically received at 
such plant from dairy farmers eligible to be producers pursuant to Sec.  
1124.12 (excluding milk received at such plant as diverted milk from 
another plant, which milk is classified other than Class I under the 
order in this part and is subject to the pricing and pooling provisions 
of this or another order issued pursuant to the Act) or diverted as 
producer milk to another plant pursuant to Sec.  1124.13, is shipped in 
the form of a fluid milk product (excluding concentrated milk 
transferred by agreement for other than Class I use) to a pool 
distributing plant or is a route disposition in the marketing area of 
fluid milk products processed and packaged at such plant;
    (1) A supply plant that has qualified as a pool plant during each of 
the immediately preceding months of September through February shall 
continue to so qualify in each of the following months of March through 
August, unless the plant operator files a written request with the 
market administrator that such plant not be a pool plant, such nonpool 
status to be effective the first month following such request and 
thereafter until the plant qualifies as a pool plant on the basis of 
milk shipments;
    (2) No plant may qualify as a pool plant due to a reduction in the 
shipping percentage pursuant to paragraph (g) of this section unless it 
has been a pool supply plant during each of the immediately preceding 3 
months.
    (d) A manufacturing plant located within the marketing area and 
operated by a cooperative association, or its wholly owned subsidiary, 
if, during the month, or the immediately preceding 12-month period 
ending with the current month, 20 percent or more of the producer milk 
of members of the association (and any producer milk of nonmembers and 
members of another cooperative association which may be marketed by the 
cooperative association) is physically received in the form of bulk 
fluid milk products (excluding concentrated milk transferred to a 
distributing plant for an agreed-upon use other that Class I) at plants 
specified in paragraph (a) or (b) of this section either directly from 
farms or by transfer from supply plants operated by the cooperative 
association, or its wholly owned subsidiary, and from plants of the 
cooperative association, or its wholly owned subsidiary, for which pool 
plant status has been requested under this paragraph subject to the 
following conditions:
    (1) The plant does not qualify as a pool plant under paragraph (a), 
(b), or (c) of this section or under comparable provisions of another 
Federal order; and
    (2) The plant is approved by a duly constituted regulatory agency 
for the handling of milk approved for fluid consumption in the marketing 
area.
    (3) A request is filed in writing with the market administrator 
before the first day of the month for which it is to

[[Page 160]]

be effective. The request will remain in effect until a cancellation 
request is filed in writing with the market administrator before the 
first day of the month for which the cancellation is to be effective.
    (e) [Reserved]
    (f) A system of two or more plants identified in Sec.  1124.7(d) 
operated by one or more cooperative handlers may qualify for pooling by 
meeting the above shipping requirements subject to the following 
additional requirements:
    (1) The cooperative handler(s) establishing the system submits a 
written request to the market administrator on or before the first day 
of the month for which the system is to be effective requesting that 
such plants qualify as a system. Such request will contain a list of the 
plants participating in the system in the order, beginning with the last 
plant, in which the plants will be dropped from the system if the system 
fails to qualify. Each plant that qualifies as a pool plant within a 
system shall continue each month as a plant in the system until the 
handler(s) establishing the system submits a written request before the 
first day of the month to the market administrator that the plant be 
deleted from the system or that the system be discontinued. Any plant 
that has been so deleted from a system, or that has failed to qualify in 
any month, will not be part of any system. In the event of an ownership 
change or the business failure of a handler that is a participant in the 
system, the system may be reorganized to reflect such a change if a 
written request to file a new marketing agreement is submitted to the 
market administrator; and
    (2) If a system fails to qualify under the requirement of this 
paragraph, the handler responsible for qualifying the system shall 
notify the market administrator of which plant or plants will be deleted 
from the system so that the remaining plants may be pooled as a system. 
If the handler fails to do so, the market administrator shall exclude 
one or more plants, beginning at the bottom of the list of plants in the 
system and continue up the list as necessary until the deliveries are 
sufficient to qualify the remaining plants in the system.
    (g) The applicable shipping percentage of paragraphs (c) and (d) of 
this section may be increased or decreased by the market administrator 
if the market administrator finds that such adjustment is necessary to 
encourage needed shipments or to prevent uneconomic shipments. Before 
making such a finding, the market administrator shall investigate the 
need for adjustment either on the market administrator's own initiative 
or at the request of interested parties if the request is made in 
writing at least 15 days prior to the month for which the requested 
revision is desired to be effective. If the investigation shows that an 
adjustment of the shipping percentages might be appropriate, the market 
administrator shall issue a notice stating that an adjustment is being 
considered and invite data, views and arguments. Any decision to revise 
an applicable shipping percentage must be issued in writing at least one 
day before the effective date.
    (h) The term pool plant shall not apply to the following plants:
    (1) A producer-handler as defined under any Federal order;
    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant located within the marketing area and qualified pursuant 
to paragraph (a) of this section which meets the pooling requirements of 
another Federal order, and from which more than 50 percent of its route 
disposition has been in the other Federal order marketing area for 3 
consecutive months;
    (4) A plant located outside any Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of another Federal order and has had greater route 
disposition in such other Federal order's marketing area for 3 
consecutive months;
    (5) A plant located in another Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of such other Federal order and does not have a 
majority of its route distribution in this marketing area for 3 
consecutive months or if the plant is required to be regulated under 
such other Federal order without regard to

[[Page 161]]

its route disposition in any other Federal order marketing area; and
    (6) A plant qualified pursuant to paragraph (c) of this section 
which also meets the pooling requirements of another Federal order and 
from which greater qualifying shipments are made to plants regulated 
under the other Federal order than are made to plants regulated under 
the order in this part, or the plant has automatic pooling status under 
the other Federal order.

[64 FR 47998, Sept. 1, 1999, as amended at 67 FR 69669, Nov. 19, 2002]



Sec.  1124.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1124.9  Handler.

    See Sec.  1000.9.



Sec.  1124.10  Producer-handler.

    Producer-handler means a person who operates a dairy farm and a 
distributing plant from which there is route disposition within the 
marketing area during the month and who the market administrator has 
designated a producer-handler after determining that all of the 
requirements of this section have been met.
    (a) Requirements for designation. Designation of any person as a 
producer-handler by the market administrator shall be contingent upon 
meeting the conditions set forth in paragraphs (a)(1) through (4) of 
this section. Following the cancellation of a previous producer-handler 
designation, a person seeking to have his/her producer-handler 
designation reinstated must demonstrate that these conditions have been 
met for the preceding month.
    (1) The care and management of the dairy animals and other resources 
and facilities designated in paragraph (b)(1) of this section necessary 
to produce all Class I milk handled (excluding receipts from handlers 
fully regulated under any Federal order) are under the complete and 
exclusive control and management of the producer-handler and are 
operated as the producer-handler's own enterprise and at its own risk.
    (2) The plant operation designated in paragraph (b)(2) of this 
section at which the producer-handler processes and packages, and from 
which it distributes, its own milk production is under the complete and 
exclusive control and management of the producer-handler and is operated 
as the producer-handler's own enterprise and at its sole risk.
    (3) The producer-handler neither receives at its designated milk 
production resources and facilities nor receives, handles, processes, or 
distributes at or through any of its designated milk handling, 
processing, or distributing resources and facilities other source milk 
products for reconstitution into fluid milk products or fluid milk 
products derived from any source other than:
    (i) Its designated milk production resources and facilities (own 
farm production);
    (ii) Pool handlers and plants regulated under any Federal order 
within the limitation specified in paragraph (c)(2) of this section; or
    (iii) Nonfat milk solids which are used to fortify fluid milk 
products.
    (4) The producer-handler is neither directly nor indirectly 
associated with the business control or management of, nor has a 
financial interest in, another handler's operation; nor is any other 
handler so associated with the producer-handler's operation.
    (b) Designation of resources and facilities. Designation of a person 
as a producer-handler shall include the determination of what shall 
constitute the person's milk production, handling, processing, and 
distribution resources and facilities, all of which shall be considered 
an integrated operation.
    (1) Milk production resources and facilities shall include all 
resources and facilities (milking herd(s), buildings housing such 
herd(s), and the land on which such buildings are located) used for the 
production of milk which are directly or indirectly, solely or 
partially, owned, operated, or controlled by the producer-handler, in 
which the producer-handler in any way has an interest, including any 
contractual arrangement, or which are directly, indirectly, or partially 
owned, operated, or controlled by any partner or stockholder of the 
producer-handler. However, for purposes of this paragraph, any such milk 
production resources and facilities which do not constitute

[[Page 162]]

an actual or potential source of milk supply for the producer-handler's 
operation shall not be considered a part of the producer-handler's milk 
production resources and facilities.
    (2) Milk handling, processing, and distribution resources and 
facilities shall include all resources and facilities (including store 
outlets) used for handling, processing, and distributing fluid milk 
products which are solely or partially owned by, and directly or 
indirectly operated or controlled by, the producer-handler or in which 
the producer-handler in any way has an interest, including any 
contractual arrangement, or over which the producer-handler directly or 
indirectly exercises any degree of management or control.
    (3) All designations shall remain in effect until canceled pursuant 
to paragraph (c) of this section.
    (c) Cancellation. The designation as a producer-handler shall be 
canceled upon determination by the market administrator that any of the 
requirements of paragraphs (a)(1) through (4) of this section are not 
continuing to be met, or under any of the conditions described in 
paragraphs (c)(1) and (2) of this section. Cancellation of a producer-
handler's status pursuant to this paragraph shall be effective on the 
first day of the month following the month in which the requirements 
were not met or the conditions for cancellation occurred.
    (1) Milk from the milk production resources and facilities of the 
producer-handler, designated in paragraph (b)(1) of this section, is 
delivered in the name of another person as producer milk to another 
handler.
    (2) The producer-handler handles fluid milk products derived from 
sources other than the milk production facilities and resources 
designated in paragraph (b)(1) of this section, except that it may 
receive at its plant, or acquire for route disposition, fluid milk 
products from fully regulated plants and handlers under any Federal 
order if such receipts do not exceed 150,000 pounds monthly. This 
limitation shall not apply if the producer-handler's own farm production 
is less than 150,000 pounds during the month.
    (d) Public announcement. The market administrator shall publicly 
announce:
    (1) The name, plant location(s), and farm location(s) of persons 
designated as producer-handlers;
    (2) The names of those persons whose designations have been 
canceled; and
    (3) The effective dates of producer-handler status or loss of 
producer-handler status for each. Such announcements shall be 
controlling with respect to the accounting at plants of other handlers 
for fluid milk products received from any producer-handler.
    (e) Burden of establishing and maintaining producer-handler status. 
The burden rests upon the handler who is designated as a producer-
handler to establish through records required pursuant to Sec.  1000.27 
that the requirements set forth in paragraph (a) of this section have 
been and are continuing to be met, and that the conditions set forth in 
paragraph (c) of this section for cancellation of designation do not 
exist.



Sec.  1124.11  Cooperative reserve supply unit.

    Cooperative reserve supply unit means any cooperative association or 
its agent that is a handler pursuant to Sec.  1000.9(c) that does not 
own or operate a plant, if such cooperative has been qualified to 
receive payments pursuant to Sec.  1124.73 and has been a handler of 
producer milk under the order in this part or its predecessor order 
during each of the 12 previous months, and if a majority of the 
cooperative's member producers are located within 125 miles of a plant 
described in Sec.  1124.7(a). A cooperative reserve supply unit shall be 
subject to the following conditions:
    (a) The cooperative shall file a request with the market 
administrator for cooperative reserve supply unit status at least 15 
days prior to the first day of the month in which such status is desired 
to be effective. Once qualified as a cooperative reserve supply unit 
pursuant to this paragraph, such status shall continue to be effective 
unless the cooperative requests termination prior to the first day of 
the month that change of status is requested, or the cooperative fails 
to meet all of the conditions of this section.
    (b) The cooperative reserve supply unit supplies fluid milk products 
to pool distributing plants located within

[[Page 163]]

125 miles of a majority of the cooperative's member producers in 
compliance with any announcement by the market administrator requesting 
a minimum level of shipments as follows:
    (1) The market administrator may require such supplies of bulk fluid 
milk from cooperative reserve supply units whenever the market 
administrator finds that milk supplies for Class I use are needed for 
plants defined in Sec.  1124.7(a) or (b). Before making such a finding, 
the market administrator shall investigate the need for such shipments 
either on the market administrator's own initiative or at the request of 
interested persons if the request is made in writing at least 15 days 
prior to the month for which the requested revision is desired 
effective. If the market administrator's investigation shows that such 
shipments might be appropriate, the market administrator shall issue a 
notice stating that a shipping announcement is being considered and 
inviting data, views and arguments with respect to the proposed shipping 
announcement. Any decision on the required shipment of bulk fluid milk 
from cooperative reserve supply units must be made in writing at least 
one day before the effective date.
    (2) Failure of a cooperative reserve supply unit to comply with any 
announced shipping requirements, including making any significant change 
in the unit's marketing operation that the market administrator 
determines has the impact of evading or forcing such an announcement, 
shall result in immediate loss of cooperative reserve supply unit status 
until such time as the unit has been a handler pursuant to Sec.  
1000.9(c) for at least 12 consecutive months.



Sec.  1124.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
(or components of milk) is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1124.13; or
    (2) Received by a handler described in Sec.  1000.9(c).
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1124.13(e);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and that milk is allocated by request to a utilization other than Class 
I;
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with respect to that portion 
of the milk so diverted that is assigned to Class I under the provisions 
of such other order; and
    (5) A dairy farmer whose milk was received at a nonpool plant during 
the month from the same farm as other than producer milk under the order 
in this part or any other Federal order. Such a dairy farmer shall be 
known as a dairy farmer for other markets.



Sec.  1124.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk), including nonfat components, and butterfat in 
milk of a producer that is:
    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec.  1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;
    (b) Received by a cooperative reserve supply unit described in Sec.  
1124.11. All milk received pursuant to this paragraph shall be priced at 
the location of the plant where it is first physically received and 
shall not be subject to the conditions specified in paragraph (e) of 
this section;
    (c) Received by a handler described in Sec.  1000.9(c) in excess of 
the quantity delivered to pool plants;
    (d) Diverted by a pool plant operator to another pool plant. Milk so 
diverted

[[Page 164]]

shall be priced at the location of the plant to which diverted; or
    (e) Diverted by the operator of a pool plant or a cooperative 
association described in Sec.  1000.9(c), excluding a cooperative 
reserve supply unit described in Sec.  1124.11, to a nonpool plant, 
subject to the following conditions:
    (1) Milk of a dairy farmer shall not be eligible for diversion 
unless at least 3 days' production of such dairy farmer's production is 
physically received at a pool plant during the month.
    (2) Of the quantity of producer milk received during the month 
(including diversions, but excluding the quantity of producer milk 
received from a handler described in Sec.  1000.9(c)) the handler 
diverts to nonpool plants not more than 80 percent.
    (3) Two or more handlers described in Sec.  1000.9(c) may have their 
allowable diversions computed on the basis of their combined deliveries 
of producer milk which they caused to be delivered to pool plants or 
diverted during the month if each has filed a request in writing with 
the market administrator before the first day of the month the agreement 
is to be effective. The request shall specify the basis for assigning 
overdiverted milk to the producer deliveries of each according to a 
method approved by the market administrator.
    (4) Diverted milk shall be priced at the location of the plant to 
which diverted;
    (5) Any milk diverted in excess of the limits prescribed in 
paragraph (e)(2) of this section shall not be producer milk. If the 
diverting handler or cooperative association fails to designate the 
dairy farmers' deliveries that are not to be producer milk, no milk 
diverted by the handler or cooperative association during the month to a 
nonpool plant shall be producer milk. In the event some of the milk of 
any producer is determined not to be producer milk pursuant to this 
paragraph, other milk delivered by such producer as producer milk during 
the month will not be subject to Sec.  1124.12(b)(5).
    (6) The delivery day requirement in paragraph (e)(1) of this section 
and the diversion percentage in paragraph (e)(2) of this section may be 
increased or decreased by the market administrator if the market 
administrator finds that such revision is necessary to assure the 
orderly marketing and efficient handling of milk in the marketing area. 
Before making such finding, the market administrator shall investigate 
the need for the revision either on the market administrator's own 
initiative or at the request of interested persons if the request is 
made in writing at least 15 days prior to the month for which the 
requested revision is desired to be effective. If the investigation 
shows that a revision might be appropriate, the market administrator 
shall issue a notice stating that the revision is being considered and 
inviting written data, views, and arguments. Any decision to revise the 
delivery day requirement or the diversion percentage must be issued in 
writing at least one day before the effective date.

[64 FR 47998, Sept. 1, 1999, as amended at 67 FR 69669, Nov. 19, 2002]



Sec.  1124.14  Other source milk.

    See Sec.  1000.14.



Sec.  1124.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1124.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1124.17  [Reserved]



Sec.  1124.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1124.19  Commercial food processing establishment.

    See Sec.  1000.19.

                             Handler Reports



Sec.  1124.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 9th day after the end of the 
month, in the detail and on the prescribed forms, as follows:
    (a) Each handler that operates a pool plant pursuant to Sec.  1124.7 
shall report for each of its operations the following information:
    (1) Product pounds, pounds of butterfat, pounds of protein, and 
pounds of

[[Page 165]]

solids-not-fat other than protein (other solids) contained in or 
represented by:
    (i) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c); and
    (ii) Receipts of milk from handlers described in Sec.  1000.9(c);
    (2) Product pounds and pounds of butterfat contained in:
    (i) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (ii) Receipts of other source milk; and
    (iii) Inventories at the beginning and end of the month of fluid 
milk products and bulk fluid cream products;
    (3) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph; and
    (4) Such other information with respect to the receipts and 
utilization of skim milk, butterfat, milk protein, and other nonfat 
solids, as the market administrator may prescribe.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. The report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The product pounds, pounds of butterfat, pounds of protein, and 
the pounds of solids-not-fat other than protein (other solids) contained 
in receipts of milk from producers; and
    (2) The utilization or disposition of such receipts.
    (d) Each handler not specified in paragraphs (a) through (c) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1124.31  Payroll reports.

    (a) On or before the 20th day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1124.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for the month, in the detail 
prescribed by the market administrator, showing for each producer the 
information described in Sec.  1124.73(f).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1124.32  Other reports.

    In addition to the reports required pursuant to Sec. Sec.  1124.30 
and 1124.31, each handler shall report any information the market 
administrator deems necessary to verify or establish each handler's 
obligation under the order.

                         Classification of Milk



Sec.  1124.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1124.41  [Reserved]



Sec.  1124.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1124.43  General classification rules.

    See Sec.  1000.43.



Sec.  1124.44  Classification of producer milk.

    In addition to the provisions provided in Sec.  1000.44, for 
purposes of this part 1124, Sec.  1000.44(a)(3)(iv) applies to fluid 
milk products and bulk fluid cream products received or acquired for 
distribution from a producer-handler.



Sec.  1124.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1124.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.

[[Page 166]]



Sec.  1124.51  Class I differential and price.

    The Class I differential shall be the differential established for 
King County, Washington, which is reported in Sec.  1000.52. The Class I 
price shall be the price computed pursuant to Sec.  1000.50(a) for King 
County, Washington.



Sec.  1124.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1124.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1124.54  Equivalent price.

    See Sec.  1000.54.

                       Producer Price Differential



Sec.  1124.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at a pool plant by adding the amounts 
computed in paragraphs (a) through (h) of this section and subtracting 
from that total amount the value computed in paragraph (i) of this 
section. Unless otherwise specified, the skim milk, butterfat, and the 
combined pounds of skim milk and butterfat referred to in this section 
shall result from the steps set forth in Sec.  1000.44 (a), (b), and 
(c), respectively, and the nonfat components of producer milk in each 
class shall be based upon the proportion of such components in producer 
skim milk. Receipts of nonfluid milk products that are distributed as 
labeled reconstituted milk for which payments are made to the producer-
settlement fund of another Federal order under Sec.  1000.76 (a)(4) or 
(d) shall be excluded from pricing under this section.
    (a) Class I value.
    (1) Multiply the hundredweight of skim milk in Class I by the Class 
I skim milk price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class I by the Class I butterfat price.
    (b) Class II value.
    (1) Multiply the pounds of nonfat solids in Class II skim milk by 
the Class II nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class II times the Class II butterfat price.
    (c) Class III value.
    (1) Multiply the pounds of protein in Class III skim milk by the 
protein price;
    (2) Add an amount obtained by multiplying the pounds of other solids 
in Class III skim milk by the other solids price; and
    (3) Add an amount obtained by multiplying the pounds of butterfat in 
Class III by the butterfat price.
    (d) Class IV value.
    (1) Multiply the pounds of nonfat solids in Class IV skim milk by 
the nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class IV by the butterfat price.
    (e) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) and the corresponding 
steps of Sec.  1000.44(b) by the skim milk prices and butterfat prices 
applicable to each class.
    (f) Multiply the difference between the current month's Class I, II, 
or III price, as the case may be, and the Class IV price for the 
preceding month by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (g) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3) (i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from plants regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under other Federal orders, and unregulated supply 
plants.
    (h) Multiply the difference between the Class I price applicable at 
the location of the nearest unregulated supply

[[Page 167]]

plants from which an equivalent volume was received and the Class III 
price by the pounds of skim milk and butterfat in receipts of 
concentrated fluid milk products assigned to Class I pursuant to Sec.  
1000.43(d) and Sec.  1000.44(a)(3)(i) and the corresponding step of 
Sec.  1000.44(b) and the pounds of skim milk and butterfat subtracted 
from Class I pursuant to Sec.  1000.44(a)(8) and the corresponding step 
of Sec.  1000.44(b), excluding such skim milk and butterfat in receipts 
of fluid milk products from an unregulated supply plant to the extent 
that an equivalent amount of skim milk or butterfat disposed of to such 
plant by handlers fully regulated under any Federal milk order is 
classified and priced as Class I milk and is not used as an offset for 
any other payment obligation under any order.
    (i) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 47998, Sept. 1, 1999, as amended at 65 FR 82839, Dec. 28, 2000; 
68 FR 7068, Feb. 12, 2003]



Sec.  1124.61  Computation of producer price differential.

    For each month the market administrator shall compute a producer 
price differential per hundredweight. The report of any handler who has 
not made payments required pursuant to Sec.  1124.71 for the preceding 
month shall not be included in the computation of the producer price 
differential, and such handler's report shall not be included in the 
computation for succeeding months until the handler has made full 
payment of outstanding monthly obligations. Subject to the conditions of 
this paragraph, the market administrator shall compute the producer 
price differential in the following manner:
    (a) Combine into one total the values computed pursuant to Sec.  
1124.60 for all handlers required to file reports prescribed in Sec.  
1124.30;
    (b) Subtract the total values obtained by multiplying each handler's 
total pounds of protein, other solids, and butterfat contained in the 
milk for which an obligation was computed pursuant to Sec.  1124.60 by 
the protein price, the other solids price, and the butterfat price, 
respectively;
    (c) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1124.75;
    (d) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (e) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (1) The total hundredweight of producer milk; and
    (2) The total hundredweight for which a value is computed pursuant 
to Sec.  1124.60(h); and
    (f) Subtract not less than 4 cents nor more than 5 cents from the 
price computed pursuant to paragraph (e) of this section. The result 
shall be known as the producer price differential for the month.

[68 FR 7068, Feb. 12, 2003]



Sec.  1124.62  Announcement of producer prices.

    On or before the 14th day after the end of each month, the market 
administrator shall announce publicly the following prices and 
information:
    (a) The producer price differential;
    (b) The protein price;
    (c) The nonfat solids price;
    (d) The other solids price;
    (e) The butterfat price;
    (f) The average butterfat, protein, nonfat solids, and other solids 
content of producer milk; and
    (g) The statistical uniform price for milk containing 3.5 percent 
butterfat, computed by combining the Class III price and the producer 
price differential.

[64 FR 47998, Sept. 1, 1999, as amended at 65 FR 82840, Dec. 28, 2000; 
68 FR 7069, Feb. 12, 2003]

                            Payments for Milk



Sec.  1124.70  Producer-settlement fund.

    See Sec.  1000.70.

[[Page 168]]



Sec.  1124.71  Payments to the producer-settlement fund.

    Each handler shall make payment to the producer-settlement fund in a 
manner that provides receipt of the funds by the market administrator no 
later than the 16th day after the end of the month (except as provided 
in Sec.  1000.90). Payment shall be the amount, if any, by which the 
amount specified in paragraph (a) of this section exceeds the amount 
specified in paragraph (b) of this section:
    (a) The total value of milk to the handler for the month as 
determined pursuant to Sec.  1124.60.
    (b) The sum of:
    (1) An amount obtained by multiplying the total hundredweight of 
producer milk as determined pursuant to Sec.  1000.44(c) by the producer 
price differential as adjusted pursuant to Sec.  1124.75;
    (2) An amount obtained by multiplying the total pounds of protein, 
other solids, and butterfat contained in producer milk by the protein, 
other solids, and butterfat prices respectively; and
    (3) An amount obtained by multiplying the pounds of skim milk and 
butterfat for which a value was computed pursuant to Sec.  1124.60(h) by 
the producer price differential as adjusted pursuant to Sec.  1124.75 
for the location of the plant from which received.

[64 FR 47998, Sept. 1, 1999, as amended at 65 FR 82840, Dec. 28, 2000; 
68 FR 7069, Feb. 12, 2003]



Sec.  1124.72  Payments from the producer-settlement fund.

    No later than the 18th day after the end of each month (except as 
provided in Sec.  1000.90), the market administrator shall pay to each 
handler the amount, if any, by which the amount computed pursuant to 
Sec.  1124.71(b) exceeds the amount computed pursuant to Sec.  
1124.71(a). If, at such time, the balance in the producer-settlement 
fund is insufficient to make all payments pursuant to this section, the 
market administrator shall reduce uniformly such payments and shall 
complete the payments as soon as the funds are available.



Sec.  1124.73  Payments to producers and to cooperative associations.

    (a) Each handler shall pay each producer for producer milk for which 
payment is not made to a cooperative association pursuant to paragraph 
(b) of this section, as follows:
    (1) Partial payment. For each producer who has not discontinued 
shipments as of the 18th day of the month, partial payment shall be made 
so that it is received by each producer on or before the last day of the 
month (except as provided in Sec.  1000.90) for milk received during the 
first 15 days of the month from the producer at not less than the lowest 
announced class price for the preceding month, less proper deductions 
authorized in writing by the producer.
    (2) Final payment. For milk received during the month, payment shall 
be made so that it is received by each producer no later than the 19th 
day after the end of the month (except as provided in Sec.  1000.90) in 
an amount equal to not less than the sum of:
    (i) The hundredweight of producer milk received times the producer 
price differential for the month as adjusted pursuant to Sec.  1124.75;
    (ii) The pounds of butterfat received times the butterfat price for 
the month;
    (iii) The pounds of protein received times the protein price for the 
month;
    (iv) The pounds of other solids received times the other solids 
price for the month;
    (v) Less any payment made pursuant to paragraph (a)(1) of this 
section;
    (vi) Less proper deductions authorized in writing by such producer 
and plus or minus adjustments for errors in previous payments to such 
producer subject to approval by the market administrator; and
    (vii) Less deductions for marketing services pursuant to Sec.  
1000.86.
    (b) Payments for milk received from cooperative association members. 
On or before the 2nd day prior to the dates specified in paragraphs 
(a)(1) and (a)(2) of this section (except as provided in Sec.  1000.90), 
each handler shall pay to a cooperative association for milk from 
producers who market their milk through the cooperative association

[[Page 169]]

and who have authorized the cooperative to collect such payments on 
their behalf an amount equal to the sum of the individual payments 
otherwise payable for such producer milk pursuant to paragraphs (a)(1) 
and (a)(2) of this section.
    (c) Payment for milk received from cooperative association pool 
plants or from cooperatives as handlers pursuant to Sec.  1000.9(c). On 
or before the 2nd day prior to the dates specified in paragraphs (a)(1) 
and (a)(2) of this section (except as provided in Sec.  1000.90), each 
handler who receives fluid milk products at its plant from a cooperative 
association in its capacity as the operator of a pool plant or who 
receives milk from a cooperative association in its capacity as a 
handler pursuant to Sec.  1000.9(c), including the milk of producers who 
are not members of such association and who the market administrator 
determines have authorized the cooperative association to collect 
payment for their milk, shall pay the cooperative for such milk as 
follows:
    (1) For bulk fluid milk products and bulk fluid cream products 
received from a cooperative association in its capacity as the operator 
of a pool plant and for milk received from a cooperative association in 
its capacity as a handler pursuant to Sec.  1000.9(c) during the first 
15 days of the month, at not less than the lowest announced class price 
per hundredweight for the preceding month.
    (2) For the total quantity of bulk fluid milk products and bulk 
fluid cream products received from a cooperative association in its 
capacity as the operator of a pool plant, at not less than the total 
value of such products received from the association's pool plants, as 
determined by multiplying the respective quantities assigned to each 
class under Sec.  1000.44, as follows:
    (i) The hundredweight of Class I skim milk times the Class I skim 
milk price for the month plus the pounds of Class I butterfat times the 
Class I butterfat price for the month. The Class I prices to be used 
shall be the prices effective at the location of the receiving plant;
    (ii) The pounds of nonfat solids in Class II skim milk by the Class 
II nonfat solids price;
    (iii) The pounds of butterfat in Class II times the Class II 
butterfat price;
    (iv) The pounds of nonfat solids in Class IV times the nonfat solids 
price;
    (v) The pounds of butterfat in Class III and Class IV milk times the 
butterfat price;
    (vi) The pounds of protein in Class III milk times the protein 
price;
    (vii) The pounds of other solids in Class III milk times the other 
solids price; and
    (viii) Add together the amounts computed in paragraphs (c)(2)(i) 
through (vii) of this section and from that sum deduct any payment made 
pursuant to paragraph (c)(1) of this section; and
    (3) For the total quantity of milk received during the month from a 
cooperative association in its capacity as a handler under Sec.  
1000.9(c) as follows:
    (i) The hundredweight of producer milk received times the producer 
price differential as adjusted pursuant to Sec.  1124.75;
    (ii) The pounds of butterfat received times the butterfat price for 
the month;
    (iii) The pounds of protein received times the protein price for the 
month;
    (iv) The pounds of other solids received times the other solids 
price for the month; and
    (v) Add together the amounts computed in paragraphs (c)(3)(i) 
through (iv) of this section and from that sum deduct any payment made 
pursuant to paragraph (c)(1) of this section.
    (d) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1124.72 by the payment date specified in 
paragraph (a), (b) or (c) of this section, the handler may reduce pro 
rata its payments to producers or to the cooperative association (with 
respect to receipts described in paragraph (b) of this section, 
prorating the underpayment to the volume of milk received from the 
cooperative association in proportion to the total milk received from 
producers by the handler), but not by more than the amount of the 
underpayment. The payments shall be completed on the next scheduled 
payment date after receipt of the balance due from the market 
administrator.
    (e) If a handler claims that a required payment to a producer cannot 
be made

[[Page 170]]

because the producer is deceased or cannot be located, or because the 
cooperative association or its lawful successor or assignee is no longer 
in existence, the payment shall be made to the producer-settlement fund, 
and in the event that the handler subsequently locates and pays the 
producer or a lawful claimant, or in the event that the handler no 
longer exists and a lawful claim is later established, the market 
administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant, as the case 
may be.
    (f) In making payments to producers pursuant to this section, each 
handler shall furnish each producer, except a producer whose milk was 
received from a cooperative association handler described in Sec.  
1000.9(a) or (c), a supporting statement in a form that may be retained 
by the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and payroll number of the producer;
    (2) The daily and total pounds, and the month and dates such milk 
was received from that producer;
    (3) The total pounds of butterfat, protein, and other solids 
contained in the producer's milk;
    (4) The minimum rate or rates at which payment to the producer is 
required pursuant to the order in this part;
    (5) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (6) The amount, or rate per hundredweight, or rate per pound of 
component, and the nature of each deduction claimed by the handler; and
    (7) The net amount of payment to the producer or cooperative 
association.

[64 FR 47998, Sept. 1, 1999, as amended at 65 FR 82840, Dec. 28, 2000; 
68 FR 7069, Feb. 12, 2003]



Sec.  1124.74  [Reserved]



Sec.  1124.75  Plant location adjustments for producer milk and nonpool milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1124.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1124.73 and 
1000.76.



Sec.  1124.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1124.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1124.78  Charges on overdue accounts.

    See Sec.  1000.78.

        Administrative Assessment and Marketing Service Deduction



Sec.  1124.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1124.86  Deduction for marketing services.

    See Sec.  1000.86.

                          PART 1125 [RESERVED]



PART 1126_MILK IN THE SOUTHWEST MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1126.1 General provisions.

                               Definitions

1126.2 Southwest marketing area.
1126.3 Route disposition.
1126.4 Plant.
1126.5 Distributing plant.
1126.6 Supply plant.
1126.7 Pool plant.
1126.8 Nonpool plant.
1126.9 Handler.
1126.10 Producer-handler.
1126.11 [Reserved]
1126.12 Producer.
1126.13 Producer milk.
1126.14 Other source milk.
1126.15 Fluid milk product.
1126.16 Fluid cream product.
1126.17 [Reserved]
1126.18 Cooperative association.

[[Page 171]]

1126.19 Commercial food processing establishment.

                             Handler Reports

1126.30 Reports of receipts and utilization.
1126.31 Payroll reports.
1126.32 Other reports.

                         Classification of Milk

1126.40 Classes of utilization.
1126.41 [Reserved]
1126.42 Classification of transfers and diversions.
1126.43 General classification rules.
1126.44 Classification of producer milk.
1126.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1126.50 Class prices, component prices, and advanced pricing factors.
1126.51 Class I differential and price.
1126.52 Adjusted Class I differentials.
1126.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1126.54 Equivalent price.

                       Producer Price Differential

1126.60 Handler's value of milk.
1126.61 Computation of producer price differential.
1126.62 Announcement of producer prices.

                            Payments for Milk

1126.70 Producer-settlement fund.
1126.71 Payments to the producer-settlement fund.
1126.72 Payments from the producer-settlement fund.
1126.73 Payments to producers and to cooperative associations.
1126.74 [Reserved]
1126.75 Plant location adjustments for producer milk and nonpool milk.
1126.76 Payments by a handler operating a partially regulated 
          distributing plant.
1126.77 Adjustment of accounts.
1126.78 Charges on overdue accounts.

        Administrative Assessment and Marketing Service Deduction

1126.85 Assessment for order administration.
1126.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 48004, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1126.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1126. In this part 1126, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1126.2  Southwest marketing area.

    The marketing area means all territory within the bounds of the 
following states and political subdivisions, including all piers, docks 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

                            Colorado Counties

    Archuleta, LaPlata, and Montezuma.

                          New Mexico and Texas

    All of the States of New Mexico and Texas.



Sec.  1126.3  Route disposition.

    See Sec.  1000.3.



Sec.  1126.4  Plant.

    See Sec.  1000.4.



Sec.  1126.5  Distributing plant.

    See Sec.  1000.5.



Sec.  1126.6  Supply plant.

    See Sec.  1000.6.



Sec.  1126.7  Pool plant.

    Pool plant means a plant specified in paragraphs (a) through (d) of 
this section, or a unit of plants as specified in paragraph (e) of this 
section, but excluding a plant specified in paragraph (g) of this 
section. The pooling standards described in paragraphs (c) and (d) of 
this section are subject to modification pursuant to paragraph (f) of 
this section:
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant

[[Page 172]]

to paragraph (b) of this section or Sec.  --------.7(b) of any other 
Federal milk order, from which during the month 25 percent or more of 
the total quantity of fluid milk products physically received at the 
plant (excluding concentrated milk received from another plant by 
agreement for other than Class I use) are disposed of as route 
disposition or are transferred in the form of packaged fluid milk 
products to other distributing plants. At least 25 percent of such route 
disposition and transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 25 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which 50 percent or more of the total 
quantity of milk that is physically received during the month from dairy 
farmers and handlers described in Sec.  1000.9(c), including milk that 
is diverted as producer milk to other plants, is transferred to pool 
distributing plants. Concentrated milk transferred from the supply plant 
to a distributing plant for an agreed-upon use other than Class I shall 
be excluded from the supply plant's shipments in computing the plant's 
shipping percentage.
    (d) A plant located within the marketing area that is operated by a 
cooperative association if pool plant status under this paragraph is 
requested for such plant by the cooperative association and during the 
month at least 30 percent of the producer milk of members of such 
cooperative association is delivered directly from farms to pool 
distributing plants or is transferred to such plants as a fluid milk 
product (excluding concentrated milk transferred to a distributing plant 
for an agreed-upon use other than Class I) from the cooperative's plant.
    (e) Two or more plants operated by the same handler and located 
within the marketing area may qualify for pool status as a unit by 
meeting the total and in-area route disposition requirements specified 
in paragraph (a) of this section and the following additional 
requirements:
    (1) At least one of the plants in the unit must qualify as a pool 
plant pursuant to paragraph (a) of this section;
    (2) Other plants in the unit must process only Class I or Class II 
products and must be located in a pricing zone providing the same or a 
lower Class I price than the price applicable at the distributing plant 
included in the unit pursuant to paragraph (e)(1) of this section; and
    (3) A written request to form a unit, or to add or remove plants 
from a unit, must be filed with the market administrator prior to the 
first day of the month for which it is to be effective.
    (f) The applicable shipping percentages of paragraphs (c) and (d) of 
this section may be increased or decreased by the market administrator 
if the market administrator finds that such adjustment is necessary to 
encourage needed shipments or to prevent uneconomic shipments. Before 
making such a finding, the market administrator shall investigate the 
need for adjustment either on the market administrator's own initiative 
or at the request of interested parties if the request is made in 
writing at least 15 days prior to the month for which the requested 
revision is desired effective. If the investigation shows that an 
adjustment of the shipping percentages might be appropriate, the market 
administrator shall issue a notice stating that an adjustment is being 
considered and invite data, views and arguments. Any decision to revise 
an applicable shipping percentage must be issued in writing at least one 
day before the effective date.
    (g) The term pool plant shall not apply to the following plants:
    (1) A producer-handler plant;
    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant qualified pursuant to paragraph (a) of this section that 
is located within the marketing area if the plant also meets the pooling 
requirements of another Federal order, and more than 50 percent of its 
route distribution has been in such other Federal order marketing area 
for 3 consecutive months;

[[Page 173]]

    (4) A plant qualified pursuant to paragraph (a) of this section 
which is not located within any Federal order marketing area that meets 
the pooling requirements of another Federal order and has had greater 
route disposition in such other Federal order's marketing area for 3 
consecutive months;
    (5) A plant qualified pursuant to paragraph (a) of this section that 
is located in another Federal order marketing area if the plant meets 
the pooling requirements of such other Federal order and does not have a 
majority of its route distribution in this marketing area for 3 
consecutive months or if the plant is required to be regulated under 
such other Federal order without regard to its route disposition in any 
other Federal order marketing area;
    (6) A plant qualified pursuant to paragraph (c) or (d) of this 
section which also meets the pooling requirements of another Federal 
order and from which greater qualifying shipments are made to plants 
regulated under the other Federal order than are made to plants 
regulated under the order in this part, or the plant has automatic 
pooling status under the other Federal order; and
    (7) That portion of a pool plant designated as a nonpool plant that 
is physically separate and operated separately from the pool portion of 
such plant. The designation of a portion of a regulated plant as a 
nonpool plant must be requested in writing by the handler and must be 
approved by the market administrator.



Sec.  1126.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1126.9  Handler.

    See Sec.  1000.9.



Sec.  1126.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is route disposition in the marketing area during the month;
    (b) Receives fluid milk products from own farm production or milk 
that is fully subject to the pricing and pooling provisions of the order 
in this part or another Federal order;
    (c) Receives no more than 150,000 pounds of fluid milk products from 
handlers fully regulated under any Federal order, including such 
products received at a location other than the producer-handler's 
processing plant for distribution on routes. This limitation shall not 
apply if the producer-handler's own farm production is less than 150,000 
pounds during the month;
    (d) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products; 
and
    (e) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled (excluding receipts from handlers 
fully regulated under any Federal order) and the processing and 
packaging operations are the producer-handler's own enterprise and at 
its own risk.



Sec.  1126.11  [Reserved]



Sec.  1126.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
(or components of milk) is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1126.13; or
    (2) Received by a handler described in Sec.  1000.9(c).
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1126.13(d);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and the milk is allocated by request to a utilization other than Class 
I; and
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with

[[Page 174]]

respect to that portion of the milk so diverted that is assigned to 
Class I under the provisions of such other order.



Sec.  1126.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk), including nonfat components, and butterfat 
contained in milk of a producer that is:
    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec.  1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;
    (b) Received by a handler described in Sec.  1000.9(c) in excess of 
the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator for the account of the handler 
operating such plant to another pool plant. Milk so diverted shall be 
priced at the location of the plant to which diverted; or
    (d) Diverted by the operator of a pool plant or a handler described 
in Sec.  1000.9(c) to a nonpool plant, subject to the following 
conditions:
    (1) Milk of a dairy farmer shall not be eligible for diversion 
unless a delivery of at least 40,000 pounds or one day's milk 
production, whichever is less, of such dairy farmer has been physically 
received as producer milk at a pool plant and the dairy farmer has 
continuously retained producer status since that time;
    (2) The total quantity of milk diverted during the month by a 
cooperative association shall not exceed 50 percent of the total 
quantity of producer milk that the cooperative association caused to be 
received at pool plants and diverted;
    (3) The operator of a pool plant that is not a cooperative 
association may divert any milk that is not under the control of a 
cooperative association that diverts milk during the month pursuant to 
this paragraph. The total quantity of milk so diverted during the month 
shall not exceed 50 percent of the total quantity of the producer milk 
physically received at such plant (or such unit of plants in the case of 
plants that pool as a unit pursuant to Sec.  1126.7(e)) and diverted;
    (4) Any milk diverted in excess of the limits prescribed in 
paragraphs (d)(2) and (3) of this section shall not be producer milk. If 
the diverting handler or cooperative association fails to designate the 
dairy farmers' deliveries that will not be producer milk, no milk 
diverted by the handler or cooperative association shall be producer 
milk;
    (5) Diverted milk shall be priced at the location of the plant to 
which diverted; and
    (6) The delivery requirement in paragraph (d)(1) and the diversion 
percentages in paragraphs (d)(2) and (3) of this section may be 
increased or decreased by the market administrator if there is a finding 
that such revision is necessary to assure orderly marketing and 
efficient handling of milk in the marketing area. Before making such a 
finding, the market administrator shall investigate the need for the 
revision either on the market administrator's own initiative or at the 
request of interested persons if the request is made in writing at least 
15 days prior to the month for which the requested revision is desired 
effective. If the investigation shows that a revision might be 
appropriate, the market administrator shall issue a notice stating that 
the revision is being considered and inviting written data, views, and 
arguments. Any decision to revise the delivery day requirement or any 
diversion percentage must be issued in writing at least one day before 
the effective date.



Sec.  1126.14  Other source milk.

    See Sec.  1000.14.



Sec.  1126.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1126.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1126.17  [Reserved]



Sec.  1126.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1126.19  Commercial food processing establishment.

    See Sec.  1000.19.

[[Page 175]]

                             Handler Reports



Sec.  1126.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 8th day after the end of the 
month, in the detail and on prescribed forms, as follows:
    (a) Each pool plant operator shall report for each of its operations 
the following information:
    (1) Product pounds, pounds of butterfat, pounds of protein, pounds 
of nonfat solids other than protein (other solids), and the value of the 
somatic cell adjustment pursuant to Sec.  1000.50(p) contained in or 
represented by:
    (i) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c); and
    (ii) Receipts of milk from handlers described in Sec.  1000.9(c);
    (2) Product pounds and pounds of butterfat contained in:
    (i) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (ii) Receipts of other source milk; and
    (iii) Inventories at the beginning and end of the month of fluid 
milk products and bulk fluid cream products;
    (3) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph; and
    (4) Such other information with respect to the receipts and 
utilization of skim milk, butterfat, milk protein, other nonfat solids, 
and somatic cell information, as the market administrator may prescribe.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. The report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The product pounds, pounds of butterfat, pounds of protein, 
pounds of solids-not-fat other than protein (other solids), and the 
value of the somatic cell adjustment pursuant to Sec.  1000.50(p), 
contained in receipts of milk from producers; and
    (2) The utilization or disposition of such receipts.
    (d) Each handler not specified in paragraphs (a) through (c) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1126.31  Payroll reports.

    (a) On or before the 20th day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1126.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for the month, in the detail 
prescribed by the market administrator, showing for each producer the 
information specified in Sec.  1126.73(e).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1126.32  Other reports.

    In addition to the reports required pursuant to Sec. Sec.  1126.30 
and 1126.31, each handler shall report any information the market 
administrator deems necessary to verify or establish each handler's 
obligation under the order.

                         Classification of Milk



Sec.  1126.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1126.41  [Reserved]



Sec.  1126.42  Classification of transfers and diversions.

    See Sec.  1000.42.

[[Page 176]]



Sec.  1126.43  General classification rules.

    See Sec.  1000.43.



Sec.  1126.44  Classification of producer milk.

    See Sec.  1000.44.



Sec.  1126.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1126.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.



Sec.  1126.51  Class I differential and price.

    The Class I differential shall be the differential established for 
Dallas County, Texas, which is reported in Sec.  1000.52. The Class I 
price shall be the price computed pursuant to Sec.  1000.50(a) for 
Dallas County, Texas.



Sec.  1126.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1126.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1126.54  Equivalent price.

    See Sec.  1000.54.

                       Producer Price Differential



Sec.  1126.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at a pool plant by adding the amounts 
computed in paragraphs (a) through (i) of this section and subtracting 
from that total amount the value computed in paragraph (j) of this 
section. Unless otherwise specified, the skim milk, butterfat, and the 
combined pounds of skim milk and butterfat referred to in this section 
shall result from the steps set forth in Sec.  1000.44(a), (b), and (c), 
respectively, and the nonfat components of producer milk in each class 
shall be based upon the proportion of such components in producer skim 
milk. Receipts of nonfluid milk products that are distributed as labeled 
reconstituted milk for which payments are made to the producer-
settlement fund of another Federal order under Sec.  1000.76(a)(4) or 
(d) shall be excluded from pricing under this section.
    (a) Class I value.
    (1) Multiply the pounds of skim milk in Class I by the Class I skim 
milk price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class I by the Class I butterfat price.
    (b) Class II value.
    (1) Multiply the pounds of nonfat solids in Class II skim milk by 
the Class II nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class II times the Class II butterfat price.
    (c) Class III value.
    (1) Multiply the pounds of protein in Class III skim milk by the 
protein price;
    (2) Add an amount obtained by multiplying the pounds of other solids 
in Class III skim milk by the other solids price; and
    (3) Add an amount obtained by multiplying the pounds of butterfat in 
Class III by the butterfat price.
    (d) Class IV value.
    (1) Multiply the pounds of nonfat solids in Class IV skim milk by 
the nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class IV by the butterfat price.
    (e) Compute an adjustment for the somatic cell content of producer 
milk by multiplying the values reported pursuant to Sec.  1126.30(a)(1) 
and (c)(1) by the percentage of total producer milk allocated to Class 
II, Class III, and Class IV pursuant to Sec.  1000.44(c);
    (f) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) and the corresponding 
step of Sec.  1000.44(b) by the skim milk prices and butterfat prices 
applicable to each class.
    (g) Multiply the difference between the current month's Class I, II, 
or III price, as the case may be, and the Class

[[Page 177]]

IV price for the preceding month by the hundredweight of skim milk and 
butterfat subtracted from Class I, II, or III, respectively, pursuant to 
Sec.  1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (h) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3)(i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from plants regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under other Federal orders, and unregulated supply 
plants.
    (i) Multiply the difference between the Class I price applicable at 
the location of the nearest unregulated supply plants from which an 
equivalent volume was received and the Class III price by the pounds of 
skim milk and butterfat in receipts of concentrated fluid milk products 
assigned to Class I pursuant to Sec.  1000.43(d) and Sec.  
1000.44(a)(3)(i) and the corresponding step of Sec.  1000.44(b) and the 
pounds of skim milk and butterfat subtracted from Class I pursuant to 
Sec.  1000.44(a)(8) and the corresponding step of Sec.  1000.44(b), 
excluding such skim milk and butterfat in receipts of fluid milk 
products from an unregulated supply plant to the extent that an 
equivalent amount of skim milk or butterfat disposed of to such plant by 
handlers fully regulated under any Federal milk order is classified and 
priced as Class I milk and is not used as an offset for any other 
payment obligation under any order.
    (j) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 478004, Sept. 1, 1999, as amended at 65 FR 82840, Dec. 28, 2000; 
68 FR 7069, Feb. 12, 2003]



Sec.  1126.61  Computation of producer price differential.

    For each month the market administrator shall compute a producer 
price differential per hundredweight. The report of any handler who has 
not made payments required pursuant to Sec.  1126.71 for the preceding 
month shall not be included in the computation of the producer price 
differential, and such handler's report shall not be included in the 
computation for succeeding months until the handler has made full 
payment of outstanding monthly obligations. Subject to the conditions of 
this paragraph, the market administrator shall compute the producer 
price differential in the following manner:
    (a) Combine into one total the values computed pursuant to Sec.  
1126.60 for all handlers required to file reports prescribed in Sec.  
1126.30;
    (b) Subtract the total of the values obtained by multiplying each 
handler's total pounds of protein, other solids, and butterfat contained 
in the milk for which an obligation was computed pursuant to Sec.  
1126.60 by the protein price, other solids price, and the butterfat 
price, respectively, and the total value of the somatic cell adjustment 
pursuant to Sec.  1126.30(a)(1) and (c)(1);
    (c) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1126.75;
    (d) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (e) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (1) The total hundredweight of producer milk; and
    (2) The total hundredweight for which a value is computed pursuant 
to Sec.  1126.60(i); and
    (f) Subtract not less than 4 cents nor more than 5 cents from the 
price computed pursuant to paragraph (e) of this section. The result 
shall be known as

[[Page 178]]

the producer price differential for the month.

[68 FR 7069, Feb. 12, 2003]



Sec.  1126.62  Announcement of producer prices.

    On or before the 13th day after the end of each month, the market 
administrator shall announce the following prices and information:
    (a) The producer price differential;
    (b) The protein price;
    (c) The nonfat solids price;
    (d) The other solids price;
    (e) The butterfat price;
    (f) The somatic cell adjustment rate;
    (g) The average butterfat, protein, nonfat solids, and other solids 
content of producer milk; and
    (h) The statistical uniform price for milk containing 3.5 percent 
butterfat, computed by combining the Class III price and the producer 
price differential.

[64 FR 478004, Sept. 1, 1999, as amended at 65 FR 82841, Dec. 28, 2000; 
68 FR 7069, Feb. 12, 2003]

                            Payments for Milk



Sec.  1126.70  Producer-settlement fund.

    See Sec.  1000.70.



Sec.  1126.71  Payments to the producer-settlement fund.

    Each handler shall make payment to the producer-settlement fund in a 
manner that provides receipt of the funds by the market administrator no 
later than the 16th day after the end of the month (except as provided 
in Sec.  1000.90). Payment shall be the amount, if any, by which the 
amount specified in paragraph (a) of this section exceeds the amount 
specified in paragraph (b) of this section:
    (a) The total value of milk to the handler for the month as 
determined pursuant to Sec.  1126.60.
    (b) The sum of:
    (1) An amount obtained by multiplying the total hundredweight of 
producer milk as determined pursuant to Sec.  1000.44(c) by the producer 
price differential as adjusted pursuant to Sec.  1126.75;
    (2) An amount obtained by multiplying the total pounds of protein, 
other solids, and butterfat contained in producer milk by the protein, 
other solids, and butterfat prices respectively;
    (3) The total value of the somatic cell adjustment to producer milk; 
and
    (4) An amount obtained by multiplying the pounds of skim milk and 
butterfat for which a value was computed pursuant to Sec.  1126.60(i) by 
the producer price differential as adjusted pursuant to Sec.  1126.75 
for the location of the plant from which received.

[64 FR 48004, Sept. 1, 1999, as amended at 65 FR 82841, Dec. 28, 2000; 
68 FR 7069, Feb. 12, 2003]



Sec.  1126.72  Payments from the producer-settlement fund.

    No later than the 17th day after the end of each month (except as 
provided in Sec.  1000.90), the market administrator shall pay to each 
handler the amount, if any, by which the amount computed pursuant to 
Sec.  1126.71(b) exceeds the amount computed pursuant to Sec.  
1126.71(a). If, at such time, the balance in the producer-settlement 
fund is insufficient to make all payments pursuant to this section, the 
market administrator shall reduce uniformly such payments and shall 
complete the payments as soon as the funds are available.



Sec.  1126.73  Payments to producers and to cooperative associations.

    (a) Each handler shall pay each producer for producer milk for which 
payment is not made to a cooperative association pursuant to paragraph 
(b) of this section, as follows:
    (1) Partial payment. For each producer who has not discontinued 
shipments as of the 23rd day of the month, payment shall be made so that 
it is received by the producer on or before the 26th day of the month 
(except as provided in Sec.  1000.90) for milk received during the first 
15 days of the month at not less than the lowest announced class price 
for the preceding month, less proper deductions authorized in writing by 
the producer.
    (2) Final payment. For milk received during the month, payment shall 
be made so that it is received by each producer no later than the 18th 
day after

[[Page 179]]

the end of the month (except as provided in Sec.  1000.90) in an amount 
computed as follows:
    (i) Multiply the hundredweight of producer milk received times the 
producer price differential for the month as adjusted pursuant to Sec.  
1126.75;
    (ii) Multiply the pounds of butterfat received times the butterfat 
price for the month;
    (iii) Multiply the pounds of protein received times the protein 
price for the month;
    (iv) Multiply the pounds of other solids received times the other 
solids price for the month;
    (v) Multiply the hundredweight of milk received times the somatic 
cell adjustment for the month;
    (vi) Add the amounts computed in paragraphs (a)(2)(i) through (v) of 
this section, and from that sum:
    (A) Subtract the partial payment made pursuant to paragraph (a)(1) 
of this section;
    (B) Subtract the deduction for marketing services pursuant to Sec.  
1000.86;
    (C) Add or subtract for errors made in previous payments to the 
producer subject to approval by the market administrator; and
    (D) Subtract proper deductions authorized in writing by the 
producer.
    (b) On or before the day prior to the dates specified for partial 
and final payments pursuant to paragraph (a) of this section (except as 
provided in Sec.  1000.90), each handler shall pay a cooperative 
association for milk received as follows:
    (1) Partial payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk (including the 
milk of producers who are not members of such association and who the 
market administrator determines have authorized the cooperative 
association to collect payment for their milk) received during the first 
15 days of the month from a cooperative association in any capacity, 
except as the operator of a pool plant, the payment shall be equal to 
the hundredweight of milk received multiplied by the lowest announced 
class price for the preceding month.
    (2) Partial payment to a cooperative association for milk 
transferred from its pool plant. For bulk milk/skimmed milk products 
received during the first 15 days of the month from a cooperative 
association in its capacity as the operator of a pool plant, the partial 
payment shall be at the pool plant operator's estimated use value of the 
milk using the most recent class prices available at the receiving 
plant's location.
    (3) Final payment to a cooperative association for milk transferred 
from its pool plant. Following the classification of bulk fluid milk 
products and bulk fluid cream products received during the month from a 
cooperative association in its capacity as the operator of a pool plant, 
the final payment for such receipts shall be determined as follows:
    (i) The hundredweight of Class I skim milk times the Class I skim 
milk price for the month plus the pounds of Class I butterfat times the 
Class I butterfat price for the month. The Class I prices to be used 
shall be the prices effective at the location of the receiving plant;
    (ii) The pounds of nonfat solids in Class II skim milk by the Class 
II nonfat solids price;
    (iii) The pounds of butterfat in Class II times the Class II 
butterfat price;
    (iv) The pounds of nonfat solids in Class IV times the nonfat solids 
price;
    (v) The pounds of butterfat in Class III and Class IV milk times the 
butterfat price;
    (vi) The pounds of protein in Class III milk times the protein 
price;
    (vii) The pounds of other solids in Class III milk times the other 
solids price;
    (viii) The hundredweight of Class II, Class III, and Class IV milk 
times the somatic cell adjustment; and
    (ix) Add together the amounts computed in paragraphs (b)(3)(i) 
through (viii) of this section and from that sum deduct any payments 
made pursuant to paragraph (b)(2) of this section.
    (4) Final payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk received from a 
cooperative association during the month, including the milk of 
producers who are not members of such association and who the market 
administrator determines have authorized the cooperative association to 
collect payment for their milk, the final payment for such milk shall be 
an

[[Page 180]]

amount equal to the sum of the individual payments otherwise payable for 
such milk pursuant to paragraph (a)(2) of this section.
    (c) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1126.72 by the payment date specified in 
paragraph (a) or (b) of this section, the handler may reduce pro rata 
its payments to producers or to cooperative associations pursuant to 
paragraphs (a) and (b) of this section, but by not more than the amount 
of the underpayment. The payments shall be completed on the next 
scheduled payment date after receipt of the balance due from the market 
administrator.
    (d) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer-
settlement fund, and in the event that the handler subsequently locates 
and pays the producer or a lawful claimant, or in the event that the 
handler no longer exists and a lawful claim is later established, the 
market administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant as the case may 
be.
    (e) In making payments to producers pursuant to this section, each 
pool plant operator shall furnish each producer, except a producer whose 
milk was received from a cooperative association handler described in 
Sec.  1000.9(a) or (c), a supporting statement in a form that may be 
retained by the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and the payroll number of the producer;
    (2) The month and dates that milk was received from the producer, 
including the daily and total pounds of milk received;
    (3) The total pounds of butterfat, protein, and other solids 
contained in the producer's milk;
    (4) The somatic cell count of the producer's milk;
    (5) The minimum rate or rates at which payment to the producer is 
required pursuant to the order in this part;
    (6) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (7) The amount, or rate per hundredweight, or rate per pound of 
component, and the nature of each deduction claimed by the handler; and
    (8) The net amount of payment to the producer or cooperative 
association.

[64 FR 48004, Sept. 1, 1999, as amended at 65 FR 32010, May 22, 2000; 65 
FR 82841, Dec. 28, 2000; 68 FR 7069, Feb. 12, 2003]



Sec.  1126.74  [Reserved]



Sec.  1126.75  Plant location adjustments for producer milk and nonpool milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1126.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1126.73 and 
1000.76.



Sec.  1126.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1126.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1126.78  Charges on overdue accounts.

    See Sec.  1000.78.

        Administrative Assessment and Marketing Service Deduction



Sec.  1126.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1126.86  Deduction for marketing services.

    See Sec.  1000.86.

[[Page 181]]



PART 1131_MILK IN ARIZONA-LAS VEGAS MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1131.1 General provisions.

                               Definitions

1131.2 Arizona-Las Vegas marketing area.
1131.3 Route disposition.
1131.4 Plant.
1131.5 Distributing plant.
1131.6 Supply plant.
1131.7 Pool plant.
1131.8 Nonpool plant.
1131.9 Handler.
1131.10 Producer-handler.
1131.11 [Reserved]
1131.12 Producer.
1131.13 Producer milk.
1131.14 Other source milk.
1131.15 Fluid milk product.
1131.16 Fluid cream product.
1131.17 [Reserved]
1131.18 Cooperative association.
1131.19 Commercial food processing establishment.

                             Handler Reports

1131.30 Reports of receipts and utilization.
1131.31 Payroll reports.
1131.32 Other reports.

                         Classification of Milk

1131.40 Classes of utilization.
1131.41 [Reserved]
1131.42 Classification of transfers and diversions.
1131.43 General classification rules.
1131.44 Classification of producer milk.
1131.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1131.50 Class prices, component prices, and advanced pricing factors.
1131.51 Class I differential and price.
1131.52 Adjusted Class I differentials.
1131.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1131.54 Equivalent price.

                             Uniform Prices

1131.60 Handler's value of milk.
1131.61 Computation of uniform prices.
1131.62 Announcement of uniform prices.

                            Payments for Milk

1131.70 Producer-settlement fund.
1131.71 Payments to the producer-settlement fund.
1131.72 Payments from the producer-settlement fund.
1131.73 Payments to producers and to cooperative associations.
1131.74 [Reserved]
1131.75 Plant location adjustments for producers and nonpool milk.
1131.76 Payments by a handler operating a partially regulated 
          distributing plant.
1131.77 Adjustment of accounts.
1131.78 Charges on overdue accounts.

        Administrative Assessment and Marketing Service Deduction

1131.85 Assessment for order administration.
1131.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 48010, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1131.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1131. In this part 1131, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1131.2  Arizona-Las Vegas marketing area.

    The marketing area means all territory within the bounds of the 
following states and political subdivisions, including all piers, docks 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

                                 Arizona

    All of the State of Arizona.

                             Nevada Counties

    Clark.



Sec.  1131.3  Route disposition.

    See Sec.  1000.3.

[[Page 182]]



Sec.  1131.4  Plant.

    See Sec.  1000.4.



Sec.  1131.5  Distributing plant.

    See Sec.  1000.5.



Sec.  1131.6  Supply plant.

    See Sec.  1000.6.



Sec.  1131.7  Pool plant.

    Pool Plant means a plant or unit of plants specified in paragraphs 
(a) through (e) of this section, but excluding a plant specified in 
paragraph (g) of this section. The pooling standards described in 
paragraphs (c) and (d) of this section are subject to modification 
pursuant to paragraph (f) of this section.
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this Sec.  --------. 7(b) of any 
other Federal milk order, from which during the month 25 percent or more 
of the total quantity of fluid milk products physically received at the 
plant (excluding concentrated milk received from another plant by 
agreement for other than Class I use) are disposed of as route 
disposition or are transferred in the form of packaged fluid milk 
products to other distributing plants. At least 25 percent of such route 
disposition and transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 25 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which 50 percent or more of the total 
quantity of milk that is physically received at such plant from dairy 
farmers and handlers described in Sec.  1000.9(c), including milk that 
is diverted as producer milk to other plants, is transferred to pool 
distributing plants. Concentrated milk transferred from the supply plant 
to a distributing plant for an agreed-upon use other than Class I shall 
be excluded from the supply plant's shipments in computing the plant's 
shipping percentage.
    (d) A plant located within the marketing area and operated by a 
cooperative association if, during the month, or the immediately 
preceding 12-month period ending with the current month, 35 percent or 
more of the producer milk of members of the association (and any 
producer milk of nonmembers and members of another cooperative 
association which may be marketed by the cooperative association) is 
physically received in the form of bulk fluid milk products (excluding 
concentrated milk transferred to a distributing plant for an agreed-upon 
use other than Class I) at plants specified in paragraph (a) or (b) of 
this section either directly from farms or by transfer from supply 
plants operated by the cooperative association and from plants of the 
cooperative association for which pool plant status has been requested 
under this paragraph subject to the following conditions:
    (1) The plant does not qualify as a pool plant under paragraph (a), 
(b) or (c) of this section or under comparable provisions of another 
Federal order; and
    (2) The plant is approved by a duly constituted regulatory agency 
for the handling of milk approved for fluid consumption in the marketing 
area.
    (e) Two or more plants operated by the same handler and located in 
the marketing area may qualify for pool plant status as a unit by 
together meeting the requirements specified in paragraph (a) of this 
section and subject to all of the following additional requirements:
    (1) At least one of the plants in the unit must qualify as a pool 
plant pursuant to paragraph (a) of this section;
    (2) Other plants in the unit must process Class I or Class II 
products, using 50 percent or more of the total Grade A fluid milk 
products received in bulk form at such plant or diverted therefrom by 
the plant operator in Class I or Class II products, and must be located 
in a pricing zone providing the same or lower Class I price than the 
price applicable at the distributing plant included in the unit pursuant 
to paragraph (e)(1) of this section; and

[[Page 183]]

    (3) A written request to form a unit must be filed by the handler 
with the market administrator prior to the first day of the month for 
which such status is desired to be effective. The unit shall continue 
from month to month thereafter without further notification. The handler 
shall notify the market administrator in writing prior to the first day 
of any month for which termination or any change of the unit is desired.
    (f) The applicable shipping percentages of paragraphs (c) and (d) of 
this section may be increased or decreased by the market administrator 
if the market administrator finds that such adjustment is necessary to 
encourage needed shipments or to prevent uneconomic shipments. Before 
making such a finding, the market administrator shall investigate the 
need for adjustment either on the market administrator's own initiative 
or at the request of interested parties if the request is made in 
writing at least 15 days prior to the month for which the requested 
revision is desired effective. If the investigation shows that an 
adjustment of the shipping percentages might be appropriate, the market 
administrator shall issue a notice stating that an adjustment is being 
considered and invite data, views and arguments. Any decision to revise 
an applicable shipping percentage must be issued in writing at least one 
day before the effective date.
    (g) The term pool plant shall not apply to the following plants:
    (1) A producer-handler as defined under any Federal order;
    (2) An exempt plant as defined in Sec.  1000.8(e);
    (3) A plant located within the marketing area and qualified pursuant 
to paragraph (a) of this section which meets the pooling requirements of 
another Federal order, and from which more than 50 percent of its route 
disposition has been in the other Federal order marketing area for 3 
consecutive months;
    (4) A plant located outside any Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of another Federal order and has had greater route 
disposition in such other Federal order's marketing area for 3 
consecutive months;
    (5) A plant located in another Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of such other Federal order and does not have a 
majority of its route distribution in this marketing area for 3 
consecutive months or if the plant is required to be regulated under 
such other Federal order without regard to its route disposition in any 
other Federal order marketing area;
    (6) A plant qualified pursuant to paragraph (c) of this section 
which also meets the pooling requirements of another Federal order and 
from which greater qualifying shipments are made to plants regulated 
under the other Federal order than are made to plants regulated under 
the order in this part, or the plant has automatic pooling status under 
the other Federal order; and
    (7) That portion of a regulated plant designated as a nonpool plant 
that is physically separate and operated separately from the pool 
portion of such plant. The designation of a portion of a regulated plant 
as a nonpool plant must be requested in advance and in writing by the 
handler and must be approved by the market administrator.

[64 FR 48010, Sept. 1, 1999]



Sec.  1131.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1131.9  Handler.

    See Sec.  1000.9.



Sec.  1131.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is route disposition in the marketing area during the month;
    (b) Receives fluid milk products from own farm production or milk 
that is fully subject to the pricing and pooling provisions of the order 
in this part or another Federal order;
    (c) Receives at its plant or acquires for route disposition no more 
than 150,000 pounds of fluid milk products from handlers fully regulated 
under any Federal order. This limitation

[[Page 184]]

shall not apply if the producer-handler's own farm production is less 
than 150,000 pounds during the month;
    (d) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products;
    (e) Does not distribute fluid milk products to a wholesale customer 
who also is serviced by a plant described in Sec.  1131.7(a), (b), or 
(e), or a handler described in Sec.  1000.8(c) that supplied the same 
product in the same-sized package with a similar label to the wholesale 
customer during the month; and
    (f) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled (excluding receipts from handlers 
fully regulated under any Federal order) and the operation of the 
distributing plant are the personal enterprise of, and at the personal 
risk of, such person in his/her capacity as a producer-handler.



Sec.  1131.11  [Reserved]



Sec.  1131.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
(or components of milk) is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1131.13; or
    (2) Received by a handler described in Sec.  1000.9(c).
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is received at an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1131.13(d);
    (3) A dairy farmer whose milk is received by diversion at a pool 
plant from a handler regulated under another Federal order if the other 
Federal order designates the dairy farmer as a producer under that order 
and that milk is allocated by request to a utilization other than Class 
I;
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with respect to that portion 
of the milk so diverted that is assigned to Class I under the provisions 
of such other order; and
    (5) A dairy farmer whose milk is received at a pool plant if during 
the month milk from the same farm is received at a nonpool plant (except 
a nonpool plant that has no utilization of milk products in any class 
other than Class III or Class IV) other than as producer milk under the 
order in this part or some other Federal order. Such a dairy farmer 
shall be known as a dairy farmer for other markets.



Sec.  1131.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk) and butterfat in milk of a producer that is:
    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec.  1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;
    (b) Received by a handler described in Sec.  1000.9(c) in excess of 
the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator to another pool plant. Milk so 
diverted shall be priced at the location of the plant to which diverted; 
or
    (d) Diverted by the operator of a pool plant or a cooperative 
association described in Sec.  1000.9(c) to a nonpool plant, subject to 
the following conditions:
    (1) Milk of a dairy farmer shall not be eligible for diversion 
unless at least one day's production of such dairy farmer is physically 
received at a pool plant during the month;
    (2) The total quantity of milk diverted by a handler in any month 
shall not exceed 50 percent of the total producer milk caused by the 
handler to be received at pool plants and diverted;
    (3) Diverted milk shall be priced at the location of the plant to 
which diverted;
    (4) Any milk diverted in excess of the limits prescribed in 
paragraph (d)(2) of this section shall not be producer milk. If the 
diverting handler or cooperative

[[Page 185]]

association fails to designate the dairy farmers' deliveries that are 
not to be producer milk, no milk diverted by the handler or cooperative 
association during the month to a nonpool plant shall be producer milk. 
In the event some of the milk of any producer is determined not to be 
producer milk pursuant to this paragraph, other milk delivered by such 
producer as producer milk during the month will not be subject to Sec.  
1131.12(b)(5); and
    (5) The delivery day requirement in paragraph (d)(1) of this section 
and diversion percentage in paragraph (d)(2) of this section may be 
increased or decreased by the market administrator if the market 
administrator finds that such revision is necessary to assure orderly 
marketing and efficient handling of milk in the marketing area. Before 
making such a finding, the market administrator shall investigate the 
need for the revision either on the market administrator's own 
initiative or at the request of interested persons if the request is 
made in writing at least 15 days prior to the month for which the 
requested revision is desired effective. If the investigation shows that 
a revision might be appropriate, the market administrator shall issue a 
notice stating that the revision is being considered and inviting 
written data, views, and arguments. Any decision to revise the delivery 
day requirement or the diversion percentage must be issued in writing at 
least one day before the effective date.



Sec.  1131.14  Other source milk.

    See Sec.  1000.14.



Sec.  1131.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1131.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1131.17  [Reserved]



Sec.  1131.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1131.19  Commercial food processing establishment.

    See Sec.  1000.19.

                             Handler Reports



Sec.  1131.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator's 
office receives the report on or before the 7th day after the end of the 
month, in the detail and on the forms prescribed by the market 
administrator, as follows:
    (a) With respect to each of its pool plants, the quantities of skim 
milk and butterfat contained in or represented by:
    (1) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c);
    (2) Receipts of milk from handlers described in Sec.  1000.9(c);
    (3) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (4) Receipts of other source milk;
    (5) Inventories at the beginning and end of the month of fluid milk 
products and bulk fluid cream products; and
    (6) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. Such report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec.  1000.9(c) shall report:
    (1) The quantities of all skim milk and butterfat contained in 
receipts of milk from producers; and
    (2) The utilization or disposition of all such receipts.
    (d) Each handler described in Sec.  1131.10 shall report:
    (1) The pounds of milk received from each of the handler's own-farm 
production units, showing separately the production of each farm unit 
and the number of dairy cows in production at each farm unit;
    (2) Fluid milk products and bulk fluid cream products received at 
its plant or

[[Page 186]]

acquired for route disposition from pool plants, other order plants, and 
handlers described in Sec.  1000.9(c);
    (3) Receipts of other source milk not reported pursuant to paragraph 
(d)(2) of this section;
    (4) Inventories at the beginning and end of the month of fluid milk 
products and fluid cream products; and
    (5) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph.
    (e) Each handler not specified in paragraphs (a) through (d) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1131.31  Payroll reports.

    (a) On or before the 20th day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1131.7 and each 
handler described in Sec.  1000.9(c) shall report to the market 
administrator its producer payroll for such month, in the detail 
prescribed by the market administrator, showing for each producer:
    (1) The month;
    (2) The producer's name and address;
    (3) The daily and total pounds of milk received from the producer;
    (4) The total butterfat content of such milk; and
    (5) The price per hundredweight, the gross amount due, the amount 
and nature of any deductions, and the net amount paid.
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1131.32  Other reports.

    In addition to the reports required pursuant to Sec.  1131.30 and 
Sec.  1131.31, each handler shall report any information the market 
administrator deems necessary to verify or establish each handler's 
obligation under the order.

                         Classification of Milk



Sec.  1131.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1131.41  [Reserved]



Sec.  1131.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1131.43  General classification rules.

    See Sec.  1000.43.



Sec.  1131.44  Classification of producer milk.

    See Sec.  1000.44.



Sec.  1131.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1131.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.



Sec.  1131.51  Class I differential and price.

    The Class I differential shall be the differential established for 
Maricopa County, Arizona, which is reported in Sec.  1000.52. The Class 
I price shall be the price computed pursuant to Sec.  1000.50(a) for 
Maricopa County, Arizona.



Sec.  1131.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1131.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1131.54  Equivalent price.

    See Sec.  1000.54.

                             Uniform Prices



Sec.  1131.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants and of each handler described in Sec.  1000.9(c) with respect to 
milk that was not received at

[[Page 187]]

a pool plant by adding the amounts computed in paragraphs (a) through 
(e) of this section and subtracting from that total amount the value 
computed in paragraph (f) of this section. Receipts of nonfluid milk 
products that are distributed as labeled reconstituted milk for which 
payments are made to the producer-settlement fund of another Federal 
order under Sec.  1000.76(a)(4) or (d) shall be excluded from pricing 
under this section.
    (a) Multiply the pounds of skim milk and butterfat in producer milk 
that were classified in each class pursuant to Sec.  1000.44(c) by the 
applicable skim milk and butterfat prices, and add the resulting 
amounts;
    (b) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) and the corresponding 
steps of Sec.  1000.44(b) by the respective skim milk and butterfat 
prices applicable at the location of the pool plant;
    (c) Multiply the difference between the current month's Class I, II, 
or III price, as the case may be, and the Class IV price for the 
preceding month by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (d) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3)(i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from plants regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under other Federal orders, and unregulated supply 
plants;
    (e) Multiply the Class I skim milk and Class I butterfat prices 
applicable at the location of the nearest unregulated supply plants from 
which an equivalent volume was received by the pounds of skim milk and 
butterfat in receipts of concentrated fluid milk products assigned to 
Class I pursuant to Sec.  1000.43(d) and Sec.  1000.44(a)(3)(i) and the 
corresponding step of Sec.  1000.44(b) and the pounds of skim milk and 
butterfat subtracted from Class I pursuant to Sec.  1000.44(a)(8) and 
the corresponding step of Sec.  1000.44(b), excluding such skim milk and 
butterfat in receipts of fluid milk products from an unregulated supply 
plant to the extent that an equivalent amount of skim milk or butterfat 
disposed of to such plant by handlers fully regulated under any Federal 
milk order is classified and priced as Class I milk and is not used as 
an offset for any other payment obligation under any order.
    (f) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 48010, Sept. 1, 1999, as amended at 65 FR 82841, Dec. 28, 2000]



Sec.  1131.61  Computation of uniform prices.

    On or before the 11th day of each month, the market administrator 
shall compute a uniform butterfat price, a uniform skim milk price, and 
a uniform price for producer milk receipts reported for the prior month. 
The report of any handler who has not made payments required pursuant to 
Sec.  1131.71 for the preceding month shall not be included in the 
computation of these prices, and such handler's report shall not be 
included in the computation for succeeding months until the handler has 
made full payment of outstanding monthly obligations.
    (a) Uniform butterfat price. The uniform butterfat price per pound, 
rounded to the nearest one-hundredth cent, shall be computed by:
    (1) Multiplying the pounds of butterfat in producer milk allocated 
to each class pursuant to Sec.  1000.44(b) by the respective class 
butterfat prices;
    (2) Adding the butterfat value calculated in Sec.  1131.60(e) for 
other source milk allocated to Class I pursuant to Sec.  1000.43(d) and 
the steps of Sec.  1000.44(b)

[[Page 188]]

that correspond to Sec.  1000.44(a)(3)(i) and Sec.  1000.44(a)(8) by the 
Class I price; and
    (3) Dividing the sum of paragraphs (a)(1) and (a)(2) of this section 
by the sum of the pounds of butterfat in producer milk and other source 
milk used to calculate the values in paragraphs (a)(1) and (a)(2) of 
this section.
    (b) Uniform skim milk price. The uniform skim milk price per 
hundredweight, rounded to the nearest cent, shall be computed as 
follows:
    (1) Combine into one total the values computed pursuant to Sec.  
1131.60 for all handlers;
    (2) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1131.75;
    (3) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (4) Subtract the value of the total pounds of butterfat for all 
handlers. The butterfat value shall be computed by multiplying the sum 
of the pounds of butterfat in producer milk and other source milk used 
to calculate the values in paragraphs (a)(1) and (a)(2) of this section 
by the butterfat price computed in paragraph (a) of this section;
    (5) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (i) The total skim pounds of producer milk; and
    (ii) The total skim pounds for which a value is computed pursuant to 
Sec.  1131.60(e); and
    (6) Subtract not less than 4 cents and not more than 5 cents.
    (c) Uniform price. The uniform price per hundredweight, rounded to 
the nearest cent, shall be the sum of the following:
    (1) Multiply the uniform butterfat price for the month pursuant to 
paragraph (a) of this section times 3.5 pounds of butterfat; and
    (2) Multiply the uniform skim milk price for the month pursuant to 
paragraph (b) of this section times .965.

[64 FR 48010, Sept. 1, 1999, as amended at 65 FR 82841, Dec. 28, 2000]



Sec.  1131.62  Announcement of uniform prices.

    On or before the 11th day after the end of the month, the market 
administrator shall announce the uniform prices for the month computed 
pursuant to Sec.  1131.61.

                            Payments for Milk



Sec.  1131.70  Producer-settlement fund.

    See Sec.  1000.70.



Sec.  1131.71  Payments to the producer-settlement fund.

    Each handler shall make payment to the producer-settlement fund in a 
manner that provides receipt of the funds by the market administrator no 
later than the 13th day after the end of the month (except as provided 
in Sec.  1000.90). Payments due the market administrator shall be deemed 
not to have been made until the money owed has been received at the 
market administrator's office, or deposited into the market 
administrator's bank account. Payment shall be the amount, if any, by 
which the amount specified in paragraph (a) of this section exceeds the 
amount specified in paragraph (b) of this section:
    (a) The total value of milk to the handler for the month as 
determined pursuant to Sec.  1131.60.
    (b) The sum of:
    (1) The value at the uniform prices for skim milk and butterfat, 
adjusted for plant location, of the handler's receipts of producer milk; 
and
    (2) The value at the uniform price as adjusted pursuant to Sec.  
1131.75 applicable at the location of the plant from which received of 
other source milk for which a value is computed pursuant to Sec.  
1131.60(e).



Sec.  1131.72  Payments from the producer-settlement fund.

    No later than the 14th day after the end of each month (except as 
provided in Sec.  1000.90), the market administrator shall pay to each 
handler the amount, if any, by which the amount computed pursuant to 
Sec.  1131.71(b) exceeds the amount computed pursuant to Sec.  
1131.71(a). If, at such time, the balance

[[Page 189]]

in the producer-settlement fund is insufficient to make all payments 
pursuant to this section, the market administrator shall reduce 
uniformly such payments and shall complete the payments as soon as the 
funds are available.



Sec.  1131.73  Payments to producers and to cooperative associations.

    (a) Except as provided in paragraphs (b) and (c) of this section, 
each handler shall make payment to each producer from whom milk is 
received during the month as follows:
    (1) Partial Payment. For each producer who has not discontinued 
shipments as of the 25th day of the month, payment shall be made so that 
it is received by the producer on or before the 27th day of each month 
(except as provided in Sec.  1000.90) for milk received from such 
producer during the first 15 days of the month at not less than 1.3 
times the lowest class price for the preceding month less proper 
deductions authorized in writing by the producer.
    (2) Final payment. For milk received during the month, a payment 
computed as follows shall be made so that it is received by each 
producer one day after the payment date required in Sec.  1131.72:
    (i) Multiply the hundredweight of producer skim milk received times 
the uniform skim milk price for the month;
    (ii) Multiply the pounds of producer butterfat received times the 
uniform butterfat price for the month;
    (iii) Multiply the hundredweight of producer milk received times the 
plant location adjustment pursuant to Sec.  1131.75; and
    (iv) Add the amounts computed in paragraph (a)(2)(i), (ii), and 
(iii) of this section, and from that sum:
    (A) Subtract the partial payment made pursuant to paragraph (a)(1) 
of this section;
    (B) Subtract the deduction for marketing services pursuant to Sec.  
1000.86;
    (C) Add or subtract for errors made in previous payments to the 
producer, subject to approval by the market administrator; and
    (D) Subtract proper deductions authorized in writing by the 
producer.
    (b) Two days prior to the dates on which partial and final payments 
are due pursuant to paragraph (a) of this section, each handler shall 
pay a cooperative association for milk received as follows:
    (1) Partial payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk (including the 
milk of producers who are not members of such association and who the 
market administrator determines have authorized the cooperative 
association to collect payment for their milk) received during the first 
15 days of the month from a cooperative association in any capacity 
except as the operator of a pool plant, the payment shall be an amount 
not less than 1.3 times the lowest class price for the preceding month 
multiplied by the hundredweight of milk.
    (2) Partial payment to a cooperative association for milk 
transferred from its pool plant. For bulk fluid milk products and bulk 
fluid cream products received during the first 15 days of the month from 
a cooperative association in its capacity as the operator of a pool 
plant, the partial payment shall be at the pool plant operator's 
estimated use value of the milk using the most recent class prices 
available for skim milk and butterfat at the receiving plant's location.
    (3) Final payment to a cooperative association for milk transferred 
from its pool plant. For bulk fluid milk products and bulk fluid cream 
products received during the month from a cooperative association in its 
capacity as the operator of a pool plant, the final payment shall be the 
classified value of such milk as determined by multiplying the pounds of 
skim milk and butterfat assigned to each class pursuant to Sec.  1000.44 
by the class prices for the month at the receiving plant's location, and 
subtracting from this sum the partial payment made pursuant to paragraph 
(b)(2) of this section.
    (4) Final payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk received from a 
cooperative association during the month, including the milk of 
producers who are not members of such association and who the market

[[Page 190]]

administrator determines have authorized the cooperative association to 
collect payment for their milk, the final payment for such milk shall be 
an amount equal to the sum of the individual payments otherwise payable 
for such milk pursuant to paragraph (a)(2) of this section.
    (c) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1131.72 by the payment date specified in 
paragraph (a) or (b) of this section, the handler may reduce pro rata 
his payments pursuant to such paragraphs, but by not more than the 
amount of such underpayment. Payments to producers shall be completed on 
the next scheduled payment date after receipt of the balance due from 
the market administrator.
    (d) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer-
settlement fund. In the event the handler subsequently locates and pays 
the producer or a lawful claimant, or in the event that the handler no 
longer exists and a lawful claim is later established, the market 
administrator shall make the required payment from the producer-
settlement fund to the handler or the lawful claimant, as the case may 
be.
    (e) In making payments to producers pursuant to this section, each 
pool plant operator shall furnish each producer, except a producer whose 
milk was received from a cooperative association described in Sec.  
1000.9(a) or (c), a supporting statement in such form that it may be 
retained by the recipient which shall show:
    (1) The month, and identity of the producer;
    (2) The daily and total pounds and the total pounds of butterfat 
content of producer milk;
    (3) The minimum rate at which payment to the producer is required 
pursuant to the order in this part;
    (4) The rate used in making payments if the rate is other than the 
applicable minimum rate;
    (5) The amount, rate per hundredweight, and nature of each deduction 
claimed by the handler; and
    (6) The net amount of payment to the producer or cooperative 
association.

[64 FR 48010, Sept. 1, 1999, as amended at 65 FR 32010, May 22, 2000]



Sec.  1131.74  [Reserved]



Sec.  1131.75  Plant location adjustments for producers and nonpool milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1131.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1131.73 and 
1000.76.



Sec.  1131.76  Payments by handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1131.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1131.78  Charges on overdue accounts.

    See Sec.  1000.78.

        Administrative Assessment and Marketing Service Deduction



Sec.  1131.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1131.86  Deduction for marketing services.

    See Sec.  1000.86.

                       PARTS 1132-1134 [RESERVED]



PART 1135_MILK IN THE WESTERN MARKETING AREA--Table of Contents




                    Subpart_Order Regulating Handling

                           General Provisions

Sec.
1135.1 General provisions.

                               Definitions

1135.2 Western marketing area.

[[Page 191]]

1135.3 Route disposition.
1135.4 Plant.
1135.5 Distributing plant.
1135.6 Supply plant.
1135.7 Pool plant.
1135.8 Nonpool plant.
1135.9 Handler.
1135.10 Producer-handler.
1135.11 Proprietary bulk tank handler.
1135.12 Producer.
1135.13 Producer milk.
1135.14 Other source milk.
1135.15 Fluid milk product.
1135.16 Fluid cream product.
1135.17 [Reserved]
1135.18 Cooperative association.
1135.19 Commercial food processing establishment.

                             Handler Reports

1135.30 Reports of receipts and utilization.
1135.31 Payroll reports.
1135.32 Other reports.

                         Classification of Milk

1135.40 Classes of utilization.
1135.41 [Reserved]
1135.42 Classification of transfers and diversions.
1135.43 General classification rules.
1135.44 Classification of producer milk.
1135.45 Market administrator's reports and announcements concerning 
          classification.

                              Class Prices

1135.50 Class prices, component prices, and advanced pricing factors.
1135.51 Class I differential and price.
1135.52 Adjusted Class I differentials.
1135.53 Announcement of class prices, component prices, and advanced 
          pricing factors.
1135.54 Equivalent price.

                       Producer Price Differential

1135.60 Handler's value of milk.
1135.61 Computation of producer price differential.
1135.62 Announcement of producer prices.

                            Payments for Milk

1135.70 Producer-settlement fund.
1135.71 Payments to the producer-settlement fund.
1135.72 Payments from the producer-settlement fund.
1135.73 Payments to producers and to cooperative associations.
1135.74 [Reserved]
1135.75 Plant location adjustments for producer milk and nonpool milk.
1135.76 Payments by a handler operating a partially regulated 
          distributing plant.
1135.77 Adjustment of accounts.
1135.78 Charges on overdue accounts.

        Administrative Assessment and Marketing Service Deduction

1135.85 Assessment for order administration.
1135.86 Deduction for marketing services.

    Authority: 7 U.S.C. 601-674, and 7253.

    Source: 64 FR 48015, Sept. 1, 1999, unless otherwise noted.



                    Subpart_Order Regulating Handling

                           General Provisions



Sec.  1135.1  General provisions.

    The terms, definitions, and provisions in part 1000 of this chapter 
apply to this part 1135. In this part 1135, all references to sections 
in part 1000 refer to part 1000 of this chapter.

                               Definitions



Sec.  1135.2  Western marketing area.

    The marketing area means all territory within the bounds of the 
following states and political subdivisions, including all piers, docks 
and wharves connected therewith and all craft moored thereat, and all 
territory occupied by government (municipal, State or Federal) 
reservations, installations, institutions, or other similar 
establishments if any part thereof is within any of the listed states or 
political subdivisions:

                             Idaho Counties

    Ada, Adams, Bannock, Bear Lake, Bingham, Blaine, Boise, Bonneville, 
Camas, Canyon, Caribou, Cassia, Elmore, Franklin, Gem, Gooding, 
Jefferson, Jerome, Lincoln, Madison, Minidoka, Oneida, Owyhee, Payette, 
Power, Twin Falls, Valley, and Washington.

                             Nevada Counties

    Elko, Lincoln, and White Pine.

                             Oregon Counties

    Baker, Grant, Harney, Malheur, and Union.

                                  Utah

    All of the state of Utah.

                            Wyoming Counties

    Lincoln and Uinta.



Sec.  1135.3  Route disposition.

    See Sec.  1000.3.

[[Page 192]]



Sec.  1135.4  Plant.

    See Sec.  1000.4.



Sec.  1135.5  Distributing plant.

    See Sec.  1000.5.



Sec.  1135.6  Supply plant.

    See Sec.  1000.6.



Sec.  1135.7  Pool plant.

    Pool Plant means a plant or unit of plants specified in paragraphs 
(a) through (e) of this section, but excluding a plant specified in 
paragraph (g) of this section. The pooling standards described in 
paragraphs (c) and (d) of this section are subject to modification 
pursuant to paragraph (f) of this section.
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant to paragraph (b) of this section or Sec. --------.7(b) of 
any other Federal milk order, from which during the month 25 percent or 
more of the total quantity of fluid milk products physically received at 
the plant (excluding concentrated milk received from another plant by 
agreement for other than Class I use) are disposed of as route 
disposition or are transferred in the form of packaged fluid milk 
products to other distributing plants. At least 25 percent of such route 
disposition and transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 25 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which during the month the quantity of bulk 
fluid milk products transferred or diverted to plants described in 
paragraph (a) or (b) of this section is 35 percent or more of the total 
Grade A milk received at the plant from dairy farmers (except dairy 
farmers described in Sec.  1135.12(b)) and handlers described in Sec.  
1000.9(c) and Sec.  1135.11, including milk diverted by the plant 
operator, subject to the following conditions:
    (1) A supply plant that has qualified as a pool plant during each of 
the immediately preceding months of September through February shall 
continue to so qualify in each of the following months of March through 
August unless the plant operator files a written request with the market 
administrator that such plant not be a pool plant, such nonpool status 
to be effective the first month following such request. A plant 
withdrawn from pool supply plant status may not be reinstated for any 
subsequent month of the March through July period unless it qualifies as 
a pool plant on the basis of milk shipments;
    (2) A pool plant operator may include as qualifying shipments milk 
diverted to pool distributing plants pursuant to Sec.  1135.13(c);
    (3) Concentrated milk transferred from the supply plant to a 
distributing plant for an agreed-upon use other than Class I shall be 
excluded from the supply plant's shipments in computing the plant's 
shipping percentage; and
    (4) No plant may qualify as a pool plant due to a reduction in the 
shipping percentage pursuant to paragraph (f) of this section unless it 
has been a pool supply plant during each of the immediately preceding 3 
months.
    (d) A milk manufacturing plant located within the marketing area 
that is operated by a cooperative association if, during the month or 
the immediately preceding 12-month period ending with the current month, 
35% or more of such cooperative's member producer milk (and any producer 
milk of nonmembers and members of another cooperative association which 
may be marketed by the cooperative association) is physically received 
in the form of bulk fluid milk products (excluding concentrated milk 
transferred to a distributing plant for an agreed-upon use other than 
Class I) at plants specified in paragraph (a) or (b) of this section 
either directly from farms or by transfer from supply plants operated by 
the cooperative association and from plants of the cooperative 
association for which pool plant status has been requested under this 
paragraph subject to the following conditions:

[[Page 193]]

    (1) The plant does not qualify as a pool plant under paragraph (a), 
(b) or (c) of this section or under comparable provisions of another 
Federal order; and
    (2) The plant is approved by a duly constituted regulatory agency 
for the handling of milk approved for fluid consumption in the marketing 
area.
    (2) The plant is approved by a duly constituted regulatory agency 
for the handling of milk approved for fluid consumption in the marketing 
area.
    (e) Two or more plants located in the marketing area and operated by 
the same handler may qualify for pool plant status as a unit by together 
meeting the requirements specified in paragraph (a) of this section and 
subject to the following additional requirements:
    (1) At least one of the plants in the unit must individually qualify 
as a pool plant pursuant to paragraph (a) of this section;
    (2) Other plants in the unit must process Class I or Class II 
products, using 50 percent or more of the total Grade A fluid milk 
products received in bulk form at such plant or diverted therefrom by 
the plant operator in Class I or Class II products, and must be located 
in a pricing zone providing the same or a lower Class I price than the 
price applicable at the distributing plant included in the unit pursuant 
to paragraph (e)(1) of this section; and
    (3) A written request to form a unit must be filed by the handler 
with the market administrator prior to the first day of the month for 
which such status is to be effective. The unit shall continue from month 
to month thereafter without further notification. The handler shall 
notify the market administrator in writing prior to the first day of any 
month for which termination or any change of the unit is desired.
    (f) The applicable shipping percentages of paragraphs (c) and (d) of 
this section may be increased or decreased by the market administrator 
if the market administrator finds that such adjustment is necessary to 
encourage needed shipments or to prevent uneconomic shipments. Before 
making such a finding, the market administrator shall investigate the 
need for adjustment either on the market administrator's own initiative 
or at the request of interested parties if the request is made in 
writing at least 15 days prior to the month for which the requested 
revision is desired effective. If the investigation shows that an 
adjustment of the shipping percentages might be appropriate, the market 
administrator shall issue a notice stating that an adjustment is being 
considered and invite data, views and arguments. Any decision to revise 
an applicable shipping percentage must be issued in writing at least one 
day before the effective date.
    (g) The term pool plant shall not apply to the following plants:
    (1) A producer-handler as defined under any Federal order;
    (2) An exempt plant as defined in 1000.8(e);
    (3) A plant located within the marketing area and qualified pursuant 
to paragraph (a) of this section which meets the pooling requirements of 
another Federal order, and from which more than 50 percent of its route 
disposition has been in the other Federal order marketing area for 3 
consecutive months;
    (4) A plant located outside any Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of another Federal order and has had greater route 
disposition in such other Federal order's marketing area for 3 
consecutive months;
    (5) A plant located in another Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of such other Federal order and does not have a 
majority of its route distribution in this marketing area for 3 
consecutive months or if the plant is required to be regulated under 
such other Federal order without regard to its route disposition in any 
other Federal order marketing area;
    (6) A plant qualified pursuant to paragraph (c) of this section 
which also meets the pooling requirements of another Federal order and 
from which greater qualifying shipments are made to plants regulated 
under the other Federal order than are made to plants regulated under 
the order in this part, or the plant has automatic pooling status under 
the other Federal order; and

[[Page 194]]

    (7) That portion of a regulated plant designated as a nonpool plant 
that is physically separate and operated separately from the pool 
portion of such plant. The designation of a portion of a regulated plant 
as a nonpool plant must be requested in advance and in writing by the 
handler and must be approved by the market administrator.



Sec.  1135.8  Nonpool plant.

    See Sec.  1000.8.



Sec.  1135.9  Handler.

    In addition to the handlers defined in Sec.  1000.9, handler shall 
include a person meeting the standards set forth in Sec.  1135.11.



Sec.  1135.10  Producer-handler.

    Producer-handler means a person who:
    (a) Operates a dairy farm and a distributing plant from which there 
is route disposition in the marketing area during the month;
    (b) Receives fluid milk products from own farm production or milk 
that is fully subject to the pricing and pooling provisions of the order 
in this part or another Federal order;
    (c) Receives at its plant or acquires for route disposition no more 
than 150,000 pounds of fluid milk products from handlers fully regulated 
under any Federal order. This limitation shall not apply if the 
producer-handler's own farm production is less than 150,000 pounds 
during the month;
    (d) Disposes of no other source milk as Class I milk except by 
increasing the nonfat milk solids content of the fluid milk products; 
and
    (e) Provides proof satisfactory to the market administrator that the 
care and management of the dairy animals and other resources necessary 
to produce all Class I milk handled (excluding receipts from handlers 
fully regulated under any Federal order) and the processing and 
packaging operations are the producer-handler's own enterprise and are 
operated at its own risk.



Sec.  1135.11  Proprietary bulk tank handler.

    Any person, except a cooperative association, with respect to milk 
that it receives for its account from the farm of a producer in a tank 
truck owned and operated by, or under the control of, such person and 
which is delivered during the month for the account of such person to 
the pool plant of another handler or diverted pursuant to Sec.  1135.13, 
subject to the following conditions:
    (a) Such person must operate a plant located in the marketing area 
at which milk is processed only into Class II, Class III, or Class IV 
products; and
    (b) Prior to operating as a handler pursuant to this paragraph, such 
person must submit to the marker administrator a statement signed by the 
applicant and the operator of the pool plant to which the milk will be 
delivered specifying that the applicant will be the responsible handler 
for the milk.



Sec.  1135.12  Producer.

    (a) Except as provided in paragraph (b) of this section, producer 
means any person who produces milk approved by a duly constituted 
regulatory agency for fluid consumption as Grade A milk and whose milk 
(or components of milk) is:
    (1) Received at a pool plant directly from the producer or diverted 
by the plant operator in accordance with Sec.  1135.13; or
    (2) Received by a handler described in Sec.  1000.9(c) or Sec.  
1135.11.
    (b) Producer shall not include:
    (1) A producer-handler as defined in any Federal order;
    (2) A dairy farmer whose milk is delivered to an exempt plant, 
excluding producer milk diverted to the exempt plant pursuant to Sec.  
1135.13(d);
    (3) A dairy farmer whose milk is diverted to a pool plant by a 
handler regulated under another Federal order if the other Federal order 
designates the dairy farmer as a producer under that order and that milk 
is allocated by request to a utilization other than Class I;
    (4) A dairy farmer whose milk is reported as diverted to a plant 
fully regulated under another Federal order with respect to that portion 
of the milk so diverted that is assigned to Class I under the provisions 
of such other order; and
    (5) A dairy farmer whose milk was received at a nonpool plant during 
the

[[Page 195]]

month from the same farm (except a nonpool plant that has no utilization 
of milk products in any Class other than Class III or Class IV) as other 
than producer milk under the order in this part or any other Federal 
order. Such a dairy farmer shall be known as a dairy farmer for other 
markets.



Sec.  1135.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk), including nonfat components, and butterfat in 
milk of a producer that is:
    (a) Received by the operator of a pool plant directly from a 
producer, a handler described in Sec.  1000.9(c), or a handler described 
in Sec.  1135.11. All milk received pursuant to this paragraph shall be 
priced at the location of the plant where it is first physically 
received;
    (b) Received by a handler described in Sec.  1000.9(c) or in Sec.  
1135.11 in excess of the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator to another pool plant. Milk so 
diverted shall be priced at the location of the plant to which diverted; 
or
    (d) Diverted by the operator of a pool plant, a cooperative 
association described in Sec.  1000.9(c), or a proprietary bulk tank 
handler described in Sec.  1135.11, to a nonpool plant, subject to the 
following conditions:
    (1) Milk of a dairy farmer shall not be eligible for diversion 
unless at least one day's milk production of such dairy farmer has been 
physically received as producer milk at a pool plant and the dairy 
farmer has continuously retained producer status since that time. If a 
dairy farmer loses producer status under the order in this part (except 
as a result of a temporary loss of Grade A approval), the dairy farmer's 
milk shall not be eligible for diversion until one day's milk production 
has been physically received as producer milk at a pool plant;
    (2) Of the quantity of producer milk received during the month 
(including diversions) the handler diverts to nonpool plants not more 
than 90 percent;
    (3) Two or more handlers described in Sec.  1000.9(c) may have their 
allowable diversions computed on the basis of their combined deliveries 
of producer milk which they caused to be delivered to pool plants or 
diverted during the month if each has filed a request in writing with 
the market administrator before the first day of the month the agreement 
is to be effective. The request shall specify the basis for assigning 
overdiverted milk to the producer deliveries of each according to a 
method approved by the market administrator.
    (4) Diverted milk shall be priced at the location of the plant to 
which diverted;
    (5) Any milk diverted in excess of the limits prescribed in 
paragraph (d)(2) of this section shall not be producer milk. If the 
diverting handler, cooperative association, or proprietary bulk tank 
handler fails to designate the dairy farmers' deliveries that are not to 
be producer milk, no milk diverted by the handler, cooperative 
association, or proprietary bulk tank handler during the month to a 
nonpool plant shall be producer milk. In the event some of the milk of 
any producer is determined not to be producer milk pursuant to this 
paragraph, other milk delivered by such producer as producer milk during 
the month will not be subject to Sec.  1135.12(b)(5); and
    (6) The delivery day requirement in paragraph (d)(1) and the 
diversion percentage in paragraph (d)(2) of this section may be 
increased or decreased by the market administrator if the market 
administrator finds that such revision is necessary to assure orderly 
marketing and efficient handling of milk in the marketing area. Before 
making such a finding, the market administrator shall investigate the 
need for the revision either on the market administrator's own 
initiative or at the request of interested persons if the request is 
made in writing at least 15 days prior to the month for which the 
requested revision is desired effective. If the investigation shows that 
a revision might be appropriate, the market administrator shall issue a 
notice stating that the revision is being considered and inviting 
written data, views, and arguments. Any decision to revise the delivery 
day requirement or the diversion percentage must be issued in writing at 
least one day before the effective date.

[[Page 196]]



Sec.  1135.14  Other source milk.

    See Sec.  1000.14.



Sec.  1135.15  Fluid milk product.

    See Sec.  1000.15.



Sec.  1135.16  Fluid cream product.

    See Sec.  1000.16.



Sec.  1135.17  [Reserved]



Sec.  1135.18  Cooperative association.

    See Sec.  1000.18.



Sec.  1135.19  Commercial food processing establishment.

    See Sec.  1000.19.

                             Handler Reports



Sec.  1135.30  Reports of receipts and utilization.

    Each handler shall report monthly so that the market administrator 
receives the report on or before the 7th day after the end of each 
month, in the detail and on the forms prescribed by the market 
administrator, as follows:
    (a) Each handler that operates a pool plant pursuant to Sec.  1135.7 
shall report for each of its operations the following information:
    (1) Product pounds, pounds of butterfat, pounds of protein, and 
pounds of solids-not-fat other than protein (other solids), contained in 
or represented by:
    (i) Receipts of producer milk, including producer milk diverted by 
the reporting handler, from sources other than handlers described in 
Sec.  1000.9(c) and Sec.  1135.11; and
    (ii) Receipts of milk from handlers described in Sec.  1000.9(c) and 
Sec.  1135.11;
    (2) Product pounds and pounds of butterfat contained in:
    (i) Receipts of fluid milk products and bulk fluid cream products 
from other pool plants;
    (ii) Receipts of other source milk; and
    (iii) Inventories at the beginning and end of the month of fluid 
milk products and bulk fluid cream products;
    (3) The utilization or disposition of all milk and milk products 
required to be reported pursuant to this paragraph; and
    (4) Such other information with respect to the receipts and 
utilization of skim milk, butterfat, milk protein, and other nonfat 
solids, as the market administrator may prescribe.
    (b) Each handler operating a partially regulated distributing plant 
shall report with respect to such plant in the same manner as prescribed 
for reports required by paragraph (a) of this section. Receipts of milk 
that would have been producer milk if the plant had been fully regulated 
shall be reported in lieu of producer milk. The report shall show also 
the quantity of any reconstituted skim milk in route disposition in the 
marketing area.
    (c) Each handler described in Sec. Sec.  1000.9(c) or 1135.11 shall 
report:
    (1) The product pounds, pounds of butterfat, pounds of protein, and 
the pounds of solids-not-fat other than protein (other solids) contained 
in receipts of milk from producers; and
    (2) The utilization or disposition of such receipts.
    (d) Each handler not specified in paragraphs (a) through (c) of this 
section shall report with respect to its receipts and utilization of 
milk and milk products in such manner as the market administrator may 
prescribe.



Sec.  1135.31  Payroll reports.

    (a) On or before the 21st day after the end of each month, each 
handler that operates a pool plant pursuant to Sec.  1135.7 and each 
handler described in Sec.  1000.9(c) and in Sec.  1135.11 shall report 
to the market administrator its producer payroll for the month, in the 
detail prescribed by the market administrator, showing for each producer 
the information described in Sec.  1135.73(e).
    (b) Each handler operating a partially regulated distributing plant 
who elects to make payment pursuant to Sec.  1000.76(b) shall report for 
each dairy farmer who would have been a producer if the plant had been 
fully regulated in the same manner as prescribed for reports required by 
paragraph (a) of this section.



Sec.  1135.32  Other reports.

    In addition to the reports required pursuant to Sec. Sec.  1135.30 
and 1135.31, each handler shall report any information the market 
administrator deems necessary to verify or establish each handler's 
obligation under the order.

[[Page 197]]

                         Classification of Milk



Sec.  1135.40  Classes of utilization.

    See Sec.  1000.40.



Sec.  1135.41  [Reserved]



Sec.  1135.42  Classification of transfers and diversions.

    See Sec.  1000.42.



Sec.  1135.43  General classification rules.

    See Sec.  1000.43.



Sec.  1135.44  Classification of producer milk.

    See Sec.  1000.44.



Sec.  1135.45  Market administrator's reports and announcements concerning 
classification.

    See Sec.  1000.45.

                              Class Prices



Sec.  1135.50  Class prices, component prices, and advanced pricing factors.

    See Sec.  1000.50.



Sec.  1135.51  Class I differential and price.

    The Class I differential shall be the differential established at 
Salt Lake County, Utah, which is reported in Sec.  1000.52. The Class I 
price shall be the price computed pursuant to Sec.  1000.50(a) for Salt 
Lake County, Utah.



Sec.  1135.52  Adjusted Class I differentials.

    See Sec.  1000.52.



Sec.  1135.53  Announcement of class prices, component prices, and advanced 
pricing factors.

    See Sec.  1000.53.



Sec.  1135.54  Equivalent price.

    See Sec.  1000.54.

                       Producer Price Differential



Sec.  1135.60  Handler's value of milk.

    For the purpose of computing a handler's obligation for producer 
milk, the market administrator shall determine for each month the value 
of milk of each handler with respect to each of the handler's pool 
plants, and of each handler described in Sec.  1000.9(c) and each 
handler described in Sec.  1135.11, with respect to milk that was not 
received at a pool plant, by adding the amounts computed in paragraphs 
(a) through (h) of this section and subtracting from that total amount 
the value computed in paragraph (i) of this section. Unless otherwise 
specified, the skim milk, butterfat, and the combined pounds of skim 
milk and butterfat referred to in this section shall result from the 
steps set forth in Sec.  1000.44 (a), (b), and (c), respectively, and 
the nonfat components of producer milk in each class shall be based upon 
the proportion of such nonfat components in producer skim milk. Receipts 
of nonfluid milk products that are distributed as labeled reconstituted 
milk for which payments are made to the producer-settlement fund of 
another Federal order under Sec.  1000.76 (a)(4) or (d) shall be 
excluded from pricing under this section.
    (a) Class I value.
    (1) Multiply the hundredweight of skim milk in Class I by the Class 
I skim milk price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class I by the Class I butterfat price.
    (b) Class II value.
    (1) Multiply the pounds of nonfat solids in Class II skim milk by 
the Class II nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class II times the Class II butterfat price.
    (c) Class III value.
    (1) Multiply the pounds of protein in Class III skim milk by the 
protein price;
    (2) Add an amount obtained by multiplying the pounds of other solids 
in Class III skim milk by the other solids price; and
    (3) Add an amount obtained by multiplying the pounds of butterfat in 
Class III by the butterfat price.
    (d) Class IV value.
    (1) Multiply the pounds of nonfat solids in Class IV skim milk by 
the nonfat solids price; and
    (2) Add an amount obtained by multiplying the pounds of butterfat in 
Class IV by the butterfat price.
    (e) Multiply the pounds of skim milk and butterfat overage assigned 
to each class pursuant to Sec.  1000.44(a)(11) and the corresponding 
step of Sec.  1000.44(b) by the

[[Page 198]]

skim milk prices and butterfat prices applicable to each class.
    (f) Multiply the difference between the current month's Class I, II, 
or III price, as the case may be, and the Class IV price for the 
preceding month by the hundredweight of skim milk and butterfat 
subtracted from Class I, II, or III, respectively, pursuant to Sec.  
1000.44(a)(7) and the corresponding step of Sec.  1000.44(b);
    (g) Multiply the difference between the Class I price applicable at 
the location of the pool plant and the Class IV price by the 
hundredweight of skim milk and butterfat assigned to Class I pursuant to 
Sec.  1000.43(d) and the hundredweight of skim milk and butterfat 
subtracted from Class I pursuant to Sec.  1000.44(a)(3) (i) through (vi) 
and the corresponding step of Sec.  1000.44(b), excluding receipts of 
bulk fluid cream products from plants regulated under other Federal 
orders and bulk concentrated fluid milk products from pool plants, 
plants regulated under other Federal orders, and unregulated supply 
plants.
    (h) Multiply the difference between the Class I price applicable at 
the location of the nearest unregulated supply plants from which an 
equivalent volume was received and the Class III price by the pounds of 
skim milk and butterfat in receipts of concentrated fluid milk products 
assigned to Class I pursuant to Sec.  1000.43(d) and Sec.  
1000.44(a)(3)(i) and the corresponding step of Sec.  1000.44(b) and the 
pounds of skim milk and butterfat subtracted from Class I pursuant to 
Sec.  1000.44(a)(8) and the corresponding step of Sec.  1000.44(b), 
excluding such skim milk and butterfat in receipts of fluid milk 
products from an unregulated supply plant to the extent that an 
equivalent amount of skim milk or butterfat disposed of to such plant by 
handlers fully regulated under any Federal milk order is classified and 
priced as Class I milk and is not used as an offset for any other 
payment obligation under any order.
    (i) For reconstituted milk made from receipts of nonfluid milk 
products, multiply $1.00 (but not more than the difference between the 
Class I price applicable at the location of the pool plant and the Class 
IV price) by the hundredweight of skim milk and butterfat contained in 
receipts of nonfluid milk products that are allocated to Class I use 
pursuant to Sec.  1000.43(d).

[64 FR 48015, Sept. 1, 1999, as amended at 65 FR 82841, Dec. 28, 2000; 
68 FR 7070, Feb. 12, 2003]



Sec.  1135.61  Computation of producer price differential.

    For each month the market administrator shall compute a producer 
price differential per hundredweight. The report of any handler who has 
not made payments required pursuant to Sec.  1135.71 for the preceding 
month shall not be included in the computation of the producer price 
differential, and such handler's report shall not be included in the 
computation for succeeding months until the handler has made full 
payment of outstanding monthly obligations. Subject to the conditions of 
this paragraph, the market administrator shall compute the producer 
price differential in the following manner:
    (a) Combine into one total the values computed pursuant to Sec.  
1135.60 for all handlers required to file reports prescribed in Sec.  
1135.30;
    (b) Subtract the total values obtained by multiplying each handler's 
total pounds of protein, other solids, and butterfat contained in the 
milk for which an obligation was computed pursuant to Sec.  1135.60 by 
the protein price, the other solids price, and the butterfat price, 
respectively;
    (c) Add an amount equal to the minus location adjustments and 
subtract an amount equal to the plus location adjustments computed 
pursuant to Sec.  1135.75;
    (d) Add an amount equal to not less than one-half of the unobligated 
balance in the producer-settlement fund;
    (e) Divide the resulting amount by the sum of the following for all 
handlers included in these computations:
    (1) The total hundredweight of producer milk; and
    (2) The total hundredweight for which a value is computed pursuant 
to Sec.  1135.60(h); and
    (f) Subtract not less than 4 cents nor more than 5 cents from the 
price computed pursuant to paragraph (e) of this section. The result 
shall be known as

[[Page 199]]

the producer price differential for the month.

[68 FR 7070, Feb. 12, 2003]



Sec.  1135.62  Announcement of producer prices.

    On or before the 12th day after the end of each month, the market 
administrator shall announce publicly the following prices and 
information:
    (a) The producer price differential;
    (b) The protein price;
    (c) The nonfat solids price;
    (d) The other solids price;
    (e) The butterfat price;
    (f) [Reserved]
    (g) The statistical uniform price for milk containing 3.5 percent 
butterfat computed by combining the Class III price and the producer 
price differential.
    (h) The statistical uniform price for milk containing 3.5 percent 
butterfat, computed by combining the Class III price and the producer 
price differential.

[64 FR 48015, Sept. 1, 1999, as amended at 65 FR 82842, Dec. 28, 2000; 
68 FR 7070, Feb. 12, 2003]

                            Payments for Milk



Sec.  1135.70  Producer-settlement fund.

    See Sec.  1000.70.



Sec.  1135.71  Payments to the producer-settlement fund.

    Each handler shall make payment to the producer-settlement fund in a 
manner that provides receipt of the funds by the market administrator no 
later than the 14th day after the end of the month (except as provided 
in Sec.  1000.90). Payment shall be the amount, if any, by which the 
amount specified in paragraph (a) of this section exceeds the amount 
specified in paragraph (b) of this section:
    (a) The total value of milk to the handler for the month as 
determined pursuant to Sec.  1135.60.
    (b) The sum of:
    (1) An amount obtained by multiplying the total hundredweight of 
producer milk as determined pursuant to Sec.  1000.44(c) by the producer 
price differential as adjusted pursuant to Sec.  1135.75;
    (2) An amount obtained by multiplying the total pounds of protein, 
other solids, and butterfat contained in producer milk by the protein, 
other solids, and butterfat prices respectively; and
    (3) [Reserved]
    (4) An amount obtained by multiplying the pounds of skim milk and 
butterfat for which a value was computed pursuant to Sec.  1135.60(h) by 
the producer price differential as adjusted pursuant to Sec.  1135.75 
for the location of the plant from which received.

[64 FR 48015, Sept. 1, 1999, as amended at 65 FR 82842, Dec. 28, 2000; 
68 FR 7070, Feb. 12, 2003]



Sec.  1135.72  Payments from the producer-settlement fund.

    No later than the 15th day after the end of each month (except as 
provided in Sec.  1000.90), the market administrator shall pay to each 
handler the amount, if any, by which the amount computed pursuant to 
Sec.  1135.71(b) exceeds the amount computed pursuant to Sec.  
1135.71(a). If, at such time, the balance in the producer-settlement 
fund is insufficient to make all payments pursuant to this section, the 
market administrator shall reduce uniformly such payments and shall 
complete the payments as soon as the funds are available.



Sec.  1135.73  Payments to producers and to cooperative associations.

    (a) Except as provided in paragraph (b) of this section, each 
handler shall make payment to each producer from whom milk is received 
during the month as follows:
    (1) Partial payment. On or before the 25th day of each month (except 
as provided in Sec.  1000.90) to each producer an amount not less than 
1.2 times the lowest class price for the preceding month multiplied by 
the hundredweight of milk received from such producer during the first 
15 days of the month, less proper deductions authorized in writing by 
such producer to be made from payments due pursuant to this paragraph.
    (2) Final payment. On or before the 17th day of the following month 
(except as provided in Sec.  1000.90), not less than

[[Page 200]]

an amount computed by the sum of the following:
    (i) The hundredweight of producer milk received times the producer 
price differential for the month as adjusted pursuant to Sec.  1135.75;
    (ii) The pounds of butterfat received times the butterfat price for 
the month;
    (iii) The pounds of protein in producer milk received times the 
protein price for the month;
    (iv) The pounds of other solids in producer milk received times the 
other solids price for the month;
    (v) [Reserved]
    (vi) Less any payments made pursuant to paragraph (a)(1) of this 
section;
    (vii) Less proper deductions authorized in writing by such producer 
and plus or minus adjustments for errors in previous payments to such 
producer subject to approval by the market administrator; and
    (viii) Less deductions made for marketing service pursuant to Sec.  
1000.86.
    (b) One day prior to the dates on which partial and final payments 
are due pursuant to paragraph (a) of this section, each handler shall 
pay a cooperative association for milk received as follows:
    (1) Partial payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk (including the 
milk of producers who are not members of such association and who the 
market administrator determines have authorized the cooperative 
association to collect payment for their milk) received during the first 
15 days of the month from a cooperative association in any capacity, 
except as the operator of a pool plant, the payment shall be an amount 
not less than 1.2 times the lowest class price for the preceding month 
multiplied by the hundredweight of milk.
    (2) Partial payment to a cooperative association for milk 
transferred from its pool plant. For bulk fluid milk products and bulk 
fluid cream products received during the first 15 days of the month from 
a cooperative association in its capacity as the operator of a pool 
plant, the partial payment shall be at the pool plant operator's 
estimated use value of the milk using the most recent class prices 
available at the receiving plant's location.
    (3) Final payment to a cooperative association for milk transferred 
from its pool plant. For the total quantity of bulk fluid milk products 
and bulk fluid cream products received from a cooperative association in 
its capacity as the operator of a pool plant, the final payment shall be 
at not less than the total value of such products received from the 
association's pool plants, as determined by multiplying the respective 
quantities assigned to each class under Sec.  1000.44, as follows:
    (i) The hundredweight of Class I skim milk times the Class I skim 
milk price for the month plus the pounds of Class I butterfat times the 
Class I butterfat price for the month. The Class I prices to be used 
shall be the prices effective at the location of the receiving plant;
    (ii) The pounds of nonfat solids in Class II skim milk by the Class 
II nonfat solids price;
    (iii) The pounds of butterfat in Class II times the Class II 
butterfat price;
    (iv) The pounds of nonfat solids in Class IV times the nonfat solids 
price;
    (v) The pounds of butterfat in Class III and Class IV milk times the 
butterfat price;
    (vi) The pounds of protein in Class III milk times the protein 
price;
    (vii) The pounds of other solids in Class III milk times the other 
solids price; and
    (viii) Add together the amounts computed in paragraphs (b)(3)(i) 
through (vii) of this section and from that sum deduct any payment made 
pursuant to paragraph (b)(1) of this section.
    (4) Final payment to a cooperative association for bulk milk 
received directly from producers' farms. For bulk milk received from a 
cooperative association during the month, including the milk of 
producers who are not members of such association and who the market 
administrator determines have authorized the cooperative association to 
collect payment for their milk, the final payment for such milk shall be 
an amount equal to the sum of the individual payments otherwise payable 
for such milk pursuant to paragraph (a)(2) of this section.

[[Page 201]]

    (c) If a handler has not received full payment from the market 
administrator pursuant to Sec.  1135.72 by the payment date specified in 
paragraph (a) or (b) of this section, the handler may reduce pro rata 
its payments to producers or to the cooperative association by not more 
than the amount of such underpayment. The payments shall be completed on 
the next scheduled payment date after receipt of the balance due from 
the market administrator.
    (d) If a handler claims that a required payment to a producer cannot 
be made because the producer is deceased or cannot be located, or 
because the cooperative association or its lawful successor or assignee 
is no longer in existence, the payment shall be made to the producer 
settlement fund, and in the event the handler subsequently locates and 
pays the producer or a lawful claimant, or in the event that the handler 
no longer exists and a lawful claim is later established, the market 
administrator shall make the required payment from the producer-
settlement fund to the handler or to the lawful claimant, as the case 
may be.
    (e) In making payments to producers pursuant to this section, each 
handler shall furnish each producer, except a producer whose milk was 
received from a cooperative association handler described in Sec.  
1000.9(a) or (c), a supporting statement in a form that may be retained 
by the recipient which shall show:
    (1) The name, address, Grade A identifier assigned by a duly 
constituted regulatory agency, and payroll number of the producer;
    (2) The daily and total pounds, and the month and dates such milk 
was received from that producer;
    (3) The total pounds of butterfat, protein, and other solids 
contained in the producer's milk;
    (4) [Reserved]
    (5) The minimum rate or rates at which payment to the producer is 
required pursuant to the order in this part;
    (6) The rate used in making payment if the rate is other than the 
applicable minimum rate;
    (7) The amount, or rate per hundredweight, or rate per pounds of 
component, and the nature of each deduction claimed by the handler; and
    (8) The net amount of payment to the producer or cooperative 
association.

[64 FR 48015, Sept. 1, 1999, as amended at 65 FR 32010, May 22, 2000; 65 
FR 82842, Dec. 28, 2000; 68 FR 7070, Feb. 12, 2003]



Sec.  1135.74  [Reserved]



Sec.  1135.75  Plant location adjustments for producer milk and nonpool milk.

    For purposes of making payments for producer milk and nonpool milk, 
a plant location adjustment shall be determined by subtracting the Class 
I price specified in Sec.  1135.51 from the Class I price at the plant's 
location. The difference, plus or minus as the case may be, shall be 
used to adjust the payments required pursuant to Sec. Sec.  1135.73 and 
1000.76.



Sec.  1135.76  Payments by a handler operating a partially regulated 
distributing plant.

    See Sec.  1000.76.



Sec.  1135.77  Adjustment of accounts.

    See Sec.  1000.77.



Sec.  1135.78  Charges on overdue accounts.

    See Sec.  1000.78.

        Administrative Assessment and Marketing Service Deduction



Sec.  1135.85  Assessment for order administration.

    See Sec.  1000.85.



Sec.  1135.86  Deduction for marketing services.

    See Sec.  1000.86.

                       PARTS 1136-1139 [RESERVED]



PART 1140_DAIRY FORWARD PRICING PILOT PROGRAM--Table of Contents




                          Subpart A_Definitions

Sec.
1140.1 Definitions.

[[Page 202]]

               Subpart B_Rules Governing Forward Contracts

1140.2 Rules governing forward contracts.

    Authority: 7 U.S.C. 601 et seq.

    Source: 65 FR 44413, July 18, 2000, unless otherwise noted.



                          Subpart A_Definitions



Sec.  1140.1  Definitions.

    (a) Pilot program means the dairy forward pricing pilot program 
provided by an amendment to the Agricultural Marketing Agreement Act of 
1937 (7 U.S.C. 601 et seq.) signed into law on November 29, 1999 
(Section 3 of H.R. 3428 of the 106th Congress, as enacted by section 
1001(a)(8) of Public Law 106-113 (113 Stat. 1536)).
    (b) Eligible milk means the quantity of milk equal to the 
contracting handler's Class II, III, and IV utilization of producer 
milk, in product pounds, during the month, combining all plants of a 
single handler regulated under the same Federal order.
    (c) Forward contract means an agreement covering the terms and 
conditions for the sale of milk from a producer defined in Sec. Sec.  
1001.12, 1005.12, 1006.12, 1007.12, 1030.12, 1032.12, 1033.12, 1124.12, 
1126.12, 1131.12, and 1135.12, or a cooperative association defined in 
Sec.  1000.18, and a handler defined in Sec. 1000.9 or 1135.9.
    (d) Contract milk means the producer milk covered by a forward 
contract.
    (e) Disclosure statement means the following statement which must be 
signed by each producer entering into a forward contract with a handler 
before the market administrator will recognize the terms and conditions 
provided in such contract.

                          Disclosure Statement

    I am voluntarily entering into a forward contract with -------- 
(handler's name). I have been given a copy of the contract and I have 
received the USDA's Pilot Program Fact Sheet to which this disclosure 
statement was attached. By signing this form, I understand that I am 
forfeiting my right to receive the order's minimum prices for that 
portion of my milk that is under forward contract for the duration of 
the contract. I also understand that my milk will be priced in 
accordance with the terms and conditions of the contract.

Printed Name:___________________________________________________________
Signature:______________________________________________________________
Date:___________________________________________________________________
Address:________________________________________________________________
Producer No:____________________________________________________________

    (f) Other definitions. The definition of any term in parts 1000-1135 
of this chapter apply to, and are hereby made a part of, this part.



               Subpart B_Rules Governing Forward Contracts



Sec.  1140.2  Rules governing forward contracts.

    (a) Any handler defined in Sec. Sec.  1000.9 and 1135.9 may enter 
into forward contracts with producers or cooperative associations for 
the handler's eligible milk. Milk under forward contract in compliance 
with these rules will be exempt from the minimum payment provisions that 
would apply to such milk pursuant to Sec. Sec.  1001.73, 1005.73, 
1006.73, 1007.73, 1030.73, 1032.73, 1033.73, 1124.73, 1126.73, 1131.73 
and 1135.73 for the period of time covered by the contract.
    (b) A forward contract with a producer or cooperative association 
participating for the first time in this pilot program may not exceed 12 
months. In no event shall a forward contract executed pursuant to this 
part extend beyond December 31, 2004.
    (c) Forward contracts must be signed and dated by the contracting 
handler and producer (or cooperative association) prior to the 1st day 
of the 1st month for which they are to be effective and must be in the 
possession of the market administrator by the 15th day of that month.\1\ 
The disclosure statement provided in Sec.  1140.1(e) must be signed on 
the same date as the contract by each producer entering into a forward 
contract under the pilot program, and this signed disclosure statement 
must be attached to each contract submitted to the market administrator.
---------------------------------------------------------------------------

    \1\ Contracts that have been signed prior to the effective date of 
these rules are invalid under the pilot program.
---------------------------------------------------------------------------

    (d) In the event that a handler's contract milk exceeds the 
handler's eligible milk for any month in which the specified contract 
price(s) are below

[[Page 203]]

the order's minimum prices, the handler must designate which producer 
milk shall not be contract milk. If the handler does not designate the 
suppliers of the over-contracted milk, the market administrator shall 
prorate the over-contracted milk to each producer and cooperative 
association having a forward contract with the handler.
    (e) Payments for milk covered by a forward contract must be made on 
or before the dates applicable to payments for milk that is not under 
forward contract under the respective Federal order.
    (f) Handlers participating in the pilot program will continue to be 
required to file all reports that are currently required under the 
respective marketing orders and will continue to be required to account 
to the pool for all milk they receive at their respective order's 
minimum class prices.
    (g) Nothing in this part shall impede the contractual arrangements 
that exist between a cooperative association and its members.



PART 1150_DAIRY PROMOTION PROGRAM--Table of Contents




               Subpart_Dairy Promotion and Research Order

                               Definitions

Sec.
1150.101 Act.
1150.102 Department.
1150.103 Secretary.
1150.104 Board.
1150.105 Person.
1150.106 United States.
1150.107 Fiscal period.
1150.108 Eligible organization.
1150.109 Qualified State or regional program.
1150.110 Producer.
1150.111 Milk.
1150.112 Dairy products.
1150.113 Fluid milk products.
1150.114 Promotion.
1150.115 Research.
1150.116 Nutrition education.
1150.117 Plans and projects.
1150.118 Marketing.
1150.119 Cooperative association.

               National Dairy Promotion and Research Board

1150.131 Establishment and membership.
1150.132 Term of office.
1150.133 Nominations.
1150.134 Nominee's agreement to serve.
1150.135 Appointment.
1150.136 Vacancies.
1150.137 Procedure.
1150.138 Compensation and reimbursement.
1150.139 Powers of the Board.
1150.140 Duties of the Board.

                        Expenses and Assessments

1150.151 Expenses.
1150.152 Assessments.
1150.153 Qualified State or regional dairy product promotion, research 
          or nutrition education programs.
1150.154 Influencing governmental action.
1150.155 Adjustment of accounts.
1150.156 Charges and penalties.

               Promotion, Research and Nutrition Education

1150.161 Promotion, research and nutrition education.

                       Reports, Books and Records

1150.171 Reports.
1150.172 Books and records.
1150.173 Confidential treatment.

                              Miscellaneous

1150.181 Proceedings after termination.
1150.182 Effect of termination or amendment.
1150.183 Personal liability.
1150.184 Patents, copyrights, inventions and publications.
1150.185 Amendments.
1150.186 Separability.
1150.187 Paperwork Reduction Act assigned number.

   Subpart_Procedure for Certification of Milk Producer Organizations

1150.270 General.
1150.271 Definitions.
1150.272 Responsibility for administration of regulations.
1150.273 Application for certification.
1150.274 Certification standards.
1150.275 Inspection and investigation.
1150.276 Review of certification.
1150.277 Listing of certified organizations.
1150.278 Confidential treatment.

    Authority: 7 U.S.C. 4501-4513.

    Source: 49 FR 11816, Mar. 28, 1984, unless otherwise noted.

[[Page 204]]



               Subpart_Dairy Promotion and Research Order

                               Definitions



Sec.  1150.101  Act.

    Act means Title I, Subtitle B, of the Dairy and Tobacco Adjustment 
Act of 1983, Pub. L. 98-180, 97 Stat. 1128, as approved November 29, 
1983, and any amendments thereto.



Sec.  1150.102  Department.

    Department means the United States Department of Agriculture.



Sec.  1150.103  Secretary.

    Secretary means the Secretary of Agriculture of the United States or 
any other officer or employee of the Department to whom authority has 
heretofore been delegated, or to whom authority may hereafter be 
delegated, to act in the Secretary's stead.



Sec.  1150.104  Board.

    Board means the National Dairy Promotion and Research Board 
established pursuant to Sec.  1150.131.



Sec.  1150.105  Person.

    Person means any individual, group of individuals, partnership, 
corporation, association, cooperative or other entity.



Sec.  1150.106  United States.

    United States means the 48 contiguous States in the continental 
United States.



Sec.  1150.107  Fiscal period.

    Fiscal period means the calendar year or such other annual period as 
the Board may determine.



Sec.  1150.108  Eligible organization.

    Eligible organization means any organization which has been 
certified by the Secretary pursuant to Sec. Sec.  1150.270 through 
1150.278 of this part.



Sec.  1150.109  Qualified State or regional program.

    Qualified State or regional program means any State or regional 
dairy product promotion, research or nutrition education program which 
is certified as a qualified program pursuant to Sec.  1150.153.



Sec.  1150.110  Producer.

    Producer means any person engaged in the production of milk for 
commercial use.



Sec.  1150.111  Milk.

    Milk means any class of cow's milk produced in the United States.



Sec.  1150.112  Dairy products.

    Dairy products means products manufactured for human consumption 
which are derived from the processing of milk, and includes fluid milk 
products.



Sec.  1150.113  Fluid milk products.

    Fluid milk products means those milk products normally consumed in 
liquid form as a beverage.



Sec.  1150.114  Promotion.

    Promotion means actions such as paid advertising, sales promotion, 
and publicity to advance the image and sales of, and demand for, dairy 
products generally.



Sec.  1150.115  Research.

    Research means studies testing the effectiveness of market 
development and promotion efforts, studies relating to the nutritional 
value of milk and dairy products, and other related efforts to expand 
demand for dairy products.



Sec.  1150.116  Nutrition education.

    Nutrition education means those activities intended to broaden the 
understanding of sound nutritional principles, including the role of 
milk and dairy products in a balanced diet.



Sec.  1150.117  Plans and projects.

    Plans and projects means promotion, research and nutrition education 
plans, studies or projects pursuant to Sec. Sec.  1150.139, 1150.140 and 
1150.161.



Sec.  1150.118  Marketing.

    Marketing means the sale or other disposition in commerce of dairy 
products.

[[Page 205]]



Sec.  1150.119  Cooperative association.

    Cooperative association means any cooperative marketing association 
of producers which is organized under the provisions of the Act of 
Congress of February 18, 1922, as amended, known as the ``Capper-
Volstead Act''.

               National Dairy Promotion and Research Board



Sec.  1150.131  Establishment and membership.

    (a) There is hereby established a National Dairy Promotion and 
Research Board of thirty-six members. For purposes of nominating 
producers to the Board, the United States shall be divided into thirteen 
geographic regions and the number of Board members from each region 
shall be as follows:
    (1) Two members from region number one comprised of the following 
States: Washington and Oregon.
    (2) Seven members from region number two comprised of the following 
State: California.
    (3) Three members from region number three comprised of the 
following States: Arizona, Colorado, Idaho, Montana, Nevada, Utah, and 
Wyoming.
    (4) Three members from region number four comprised of the following 
States: Arkansas, Kansas, New Mexico, Oklahoma and Texas.
    (5) Two members from region number five comprised of the following 
States: Minnesota, North Dakota and South Dakota.
    (6) Five members from region number six comprised of the following 
State: Wisconsin.
    (7) Two members from region number seven comprised of the following 
States: Illinois, Iowa, Missouri, and Nebraska.
    (8) One member from region number eight comprised of the following 
States: Alabama, Kentucky, Louisiana, Mississippi and Tennessee.
    (9) Three members from region number nine comprised of the following 
States: Indiana, Michigan, Ohio and West Virginia.
    (10) One member from region number ten comprised of the following 
States: Florida, Georgia, North Carolina, South Carolina and Virginia.
    (11) Three members from region number eleven comprised of the 
following States: Delaware, Maryland, New Jersey and Pennsylvania.
    (12) Three members from region number twelve comprised of the 
following State: New York.
    (13) One member from region number thirteen comprised of the 
following States: Connecticut, Maine, Massachusetts, New Hampshire, 
Rhode Island and Vermont.
    (b) The Board shall be composed of milk producers appointed by the 
Secretary either from nominations submitted pursuant to Sec.  1150.133 
or in accordance with Sec.  11150.136. A milk producer may be nominated 
only to represent the region in which such producer's milk is produced.
    (c) At least every five years, and not more than every three years, 
the Board shall review the geographic distribution of milk production 
volume throughout the United States and, if warranted, shall recommend 
to the Secretary a reapportionment of regions and/or a modification of 
the number of members from regions in order to best reflect the 
geographic distribution of milk production volume in the United States.
    (d) The number of members for each region which shall serve on the 
Board shall be determined by dividing the total pounds of milk produced 
in the United States for the calendar year previous to the date of 
review by 36 which provides a factor of pounds of milk per member, and 
then dividing the total pounds of milk for each region by such factor.
    (e) In determining the volume of milk produced in the United States, 
the Board and the Secretary shall utilize the information received by 
the Board pursuant to Sec.  1150.171 and data published by the 
Department.

[49 FR 11816, Mar. 28, 1984, as amended at 54 FR 6264, Feb. 9, 1989; 59 
FR 13435, Mar. 22, 1994; 63 FR 57895, Oct. 29, 1998; 68 FR 52336, Sept. 
3, 2003]



Sec.  1150.132  Term of office.

    (a) The members of the Board shall serve for terms of three years, 
except that the members appointed to the initial Board shall serve 
proportionately, for terms of one, two and three years.

[[Page 206]]

    (b) Each member of the Board shall serve until October 31 of the 
year in which his/her term expires, except that a retiring member may 
serve until a successor is appointed.
    (c) No member shall serve more than two consecutive terms.

[49 FR 11816, Mar. 28, 1984, as amended at 60 FR 53253, Oct. 13, 1995]



Sec.  1150.133  Nominations.

    Nominations for members of the Board shall be made in the following 
manner:
    (a) Upon effectuation of this provision, the Secretary shall solicit 
nominations for the initial Board from all eligible organizations. If 
the Secretary determines that a substantial number of producers are not 
members of, or their interests are not represented by, such eligible 
organizations, the Secretary shall also solicit nominations from such 
producers through general farmer organizations or by other means.
    (b) After the appointment of the initial Board, the Secretary shall 
announce at least 120 days in advance when a Board member's term is 
expiring and shall solicit nominations for that position in the manner 
described in paragraph (a) of this section. Nominations for such 
position should be submitted to the Secretary not less than 60 days 
prior to the expiration of such term.
    (c) An eligible organization may submit nominations only for 
positions on the Board that represent regions in which such eligible 
organization can establish that it represents a substantial number of 
producers. If there is more than one Board position for any such region, 
the organization may submit nominations for each position.
    (d) Where there is more than one eligible organization representing 
producers in a specific region, they may caucus and jointly nominate 
producers for each position representing that region on the Board for 
which a member is to be appointed. If joint agreement is not reached 
with respect to any such nominations, or if no caucus is held, each 
eligible organization may submit to the Secretary nominations for each 
appointment to be made to represent that region.



Sec.  1150.134  Nominee's agreement to serve.

    Any producer nominated to serve on the Board shall file with the 
Secretary at the time of the nomination a written agreement to:
    (a) Serve on the Board if appointed;
    (b) Disclose any relationship with any organization that operates a 
qualified State or regional program or has a contractual relationship 
with the Board; and
    (c) Withdraw from participation in deliberations, decision-making, 
or voting on matters where paragraph (b) applies.



Sec.  1150.135  Appointment.

    From the nominations made pursuant to Sec.  1150.133, the Secretary 
shall appoint the members of the Board on the basis of representation 
provided for in Sec.  1150.131(a).



Sec.  1150.136  Vacancies.

    To fill any vacancy occasioned by the death, removal, resignation, 
or disqualification of any member of the Board, the Secretary shall 
appoint a successor from the most recent list of nominations for the 
position or from nominations made by the Board.



Sec.  1150.137  Procedure.

    (a) A majority of the members shall constitute a quorum at a 
properly convened meeting of the Board. Any action of the Board shall 
require the concurring votes of at least a majority of those present and 
voting. The Board shall establish rules concerning timely notice of 
meetings.
    (b) The Board may take action upon the concurring votes of a 
majority of its members by mail, telephone, or telegraph when in the 
opinion of the chairman of the Board such action must be taken before a 
meeting can be called. Action taken by this emergency procedure is valid 
only if all members are notified and provided the opportunity to vote 
and any telephone vote is confirmed promptly in writing. Any action so 
taken shall have the same force and effect as though such action

[[Page 207]]

had been taken at a properly convened meeting of the Board.

[49 FR 11816, Mar. 28, 1984, as amended at 50 FR 9984, Mar. 13, 1985]



Sec.  1150.138  Compensation and reimbursement.

    The members of the Board shall serve without compensation but shall 
be reimbursed for necessary and reasonable expenses, including a per 
diem allowance as recommended by the Board and approved by the 
Secretary, incurred by them in the performance of their duties under 
this subpart.



Sec.  1150.139  Powers of the Board.

    The Board shall have the following powers:
    (a) To receive and evaluate, or on its own initiative develop, and 
budget for plans or projects to promote the use of fluid milk and dairy 
products as well as projects for research and nutrition education and to 
make recommendations to the Secretary regarding such proposals;
    (b) To administer the provisions of this subpart in accordance with 
its terms and provisions;
    (c) To make rules and regulations to effectuate the terms and 
provisions of this subpart;
    (d) To receive, investigate, and report to the Secretary complaints 
of violations of the provisions of this subpart;
    (e) To disseminate information to producers or eligible 
organizations through programs or by direct contact utilizing the public 
postage system or other systems;
    (f) To select committees and subcommittees of Board members, and to 
adopt such rules for the conduct of its business as it may deem 
advisable;
    (g) To establish advisory committees of persons other than Board 
members and pay the necessary and reasonable expenses and fees of the 
members of such committees;
    (h) To recommend to the Secretary amendments to this subpart; and
    (i) With the approval of the Secretary, to invest, pending 
disbursement pursuant to a plan or project, funds collected through 
assessments authorized under Sec.  1150.152 in, and only in, obligations 
of the United States or any agency thereof, in general obligations of 
any State or any political subdivision thereof, in any interest-bearing 
account or certificate of deposit of a bank that is a member of the 
Federal Reserve System, or in obligations fully guaranteed as to 
principal and interest by the United States.



Sec.  1150.140  Duties of the Board.

    The Board shall have the following duties:
    (a) To meet not less than annually, and to organize and select from 
among its members a chairman and such other officers as may be 
necessary;
    (b) To appoint from its members an executive committee whose 
membership shall equally reflect each of the different regions in the 
United States in which milk is produced, and to delegate to the 
committee authority to administer the terms and provisions of this 
subpart under the direction of the Board and within the policies 
determined by the Board;
    (c) To appoint or employ such persons as it may deem necessary and 
define the duties and determine the compensation of each;
    (d) To review all programs that promote milk and dairy products on a 
brand or trade name basis that have requested certification pursuant to 
Sec.  1150.153, and to recommend to the Secretary whether such request 
should be granted;
    (e) To develop and submit to the Secretary for approval, promotion, 
research, and nutrition education plans or projects resulting from 
research or studies conducted either by the Board or others;
    (f) To solicit, among other proposals, research proposals that would 
increase the use of fluid milk and dairy products by the military and by 
persons in developing nations, and that would demonstrate the 
feasibility of converting surplus nonfat dry milk to casein for domestic 
and export use;
    (g) To prepare and submit to the Secretary for approval, budgets on 
a fiscal period basis of its anticipated expenses and disbursements in 
the administration of this subpart, including probable costs of 
promotion, research and nutrition education plans or projects, and also 
including a general description of the proposed promotion, research and

[[Page 208]]

nutrition education programs contemplated therein;
    (h) To maintain such books and records, which shall be available to 
the Secretary for inspection and audit, and prepare and submit such 
reports from time to time to the Secretary as the Secretary may 
prescribe, and to make appropriate accounting with respect to the 
receipt and disbursement of all funds entrusted to it;
    (i) With the approval of the Secretary, to enter into contracts or 
agreements with national, regional or State dairy promotion and research 
organizations or other organizations or entities for the development and 
conduct of activities authorized under Sec. Sec.  1150.139 and 1150.161, 
and for the payment of the cost thereof with funds collected through 
assessments pursuant to Sec.  1150.152. Any such contract or agreement 
shall provide that:
    (1) The contractors shall develop and submit to the Board a plan or 
project together with a budgets or budget which shall show the estimated 
cost to be incurred for such plan or project;
    (2) Any such plan or project shall become effective upon approval of 
the Secretary; and
    (3) The contracting party shall keep accurate records of all of its 
transactions and make periodic reports to the Board of activities 
conducted and an accounting for funds received and expended, and such 
other reports as the Secretary or the Board may require. The Secretary 
or employees of the Board may audit periodically the records of the 
contracting party;
    (j) To prepare and make public, at least annually, a report of its 
activities carried out and an accounting for funds received and 
expended;
    (k) To have an audit of its financial statements conducted by a 
certified public accountant in accordance with generally accepted 
auditing standards, at least once each fiscal period and at such other 
times as the Secretary may request, and to submit a copy of each such 
audit report to the Secretary;
    (l) To give the Secretary the same notice of meetings of the Board, 
committees of the Board and advisory committees as is given to such 
Board or committee members in order that the Secretary, or a 
representative of the Secretary, may attend such meetings;
    (m) To submit to the Secretary such information pursuant to this 
subpart as may be requested; and
    (n) To encourage the coordination of programs of promotion, research 
and nutrition education designed to strengthen the dairy industry's 
position in the marketplace and to maintain and expand domestic and 
foreign markets and uses for fluid milk and dairy products produced in 
the United States.

                        Expenses and Assessments



Sec.  1150.151  Expenses.

    (a) The Board is authorized to incur such expenses (including 
provision for a reasonable reserve) as the Secretary finds are 
reasonable and likely to be incurred by the Board for its maintenance 
and functioning and to enable it to exercise its powers and perform its 
duties in accordance with the provisions of this subpart. However, after 
the first full year of operation of the order, administrative expenses 
incurred by the Board shall not exceed 5 percent of the projected 
revenue of that fiscal year. Such expenses shall be paid from 
assessments collected pursuant to Sec.  1150.152.
    (b) The Board shall reimburse the Secretary, from assessments 
collected pursuant to Sec.  1150.152, for administrative costs incurred 
by the Department after May 1, 1984.



Sec.  1150.152  Assessments.

    (a) Each person making payment to a producer for milk produced in 
the United States and marketed for commercial use shall collect an 
assessment on all such milk handled for the account of the producer at 
the rate of 15 cents per hundredweight of milk for commercial use or the 
equivalent thereof and shall remit the assessment to the Board.
    (b) Any producer marketing milk of that producer's own production in 
the form of milk or dairy products to consumers, either directly or 
through retail or wholesale outlets, shall remit to the Board an 
assessment on such milk

[[Page 209]]

at the rate of 15 cents per hundredweight of milk for commercial use or 
the equivalent thereof.
    (c) In determining the assessment due from each producer pursuant to 
Sec.  1150.152 (a) and (b), a producer who is participating in a 
qualified State or regional program(s) shall receive a credit for 
contributions to such program(s), but not to exceed the following 
amounts:
    (1) In the case of contributions for milk marketed on or before May 
31, 1984, up to the actual rate of contribution that was in effect under 
such program(s) on November 29, 1983, not to exceed 15 cents per 
hundredweight of milk marketed.
    (2) In all other cases, the credit shall not exceed 10 cents per 
hundredweight of milk marketed.
    (d) In order for a producer described in Sec.  1150.152(a) to 
receive the credit authorized in Sec.  1150.152(c), either the producer 
or a cooperative association on behalf of the producer must establish to 
the person responsible for remitting the assessment to the Board that 
the producer is contributing to a qualified State or regional program. 
Producers who contribute to a qualified program directly (other than 
through a payroll deduction) must establish with the person responsible 
for remitting the assessment to the Board, with validation by the 
qualified program, that they are making such contributions.
    (e) In order for a producer described in Sec.  1150.152(b) to 
receive the credit authorized in Sec.  1150.152(c), the producer and the 
applicable qualified State or regional program must establish to the 
Board that the producer is contributing to a qualified State or regional 
program.
    (f) The collection of assessments pursuant to Sec.  1150.152(a) and 
(b) shall begin with respect to milk marketed on and after the effective 
date of this section and shall continue until terminated by the 
Secretary. If the Board is not constituted by the date the first 
assessments are to be collected, the Secretary shall have the authority 
to receive the assessments on behalf of the Board. The Secretary shall 
remit such assessments to the Board when it is constituted.
    (g) Each person responsible for the remittance of the assessment 
pursuant to Sec.  1150.152(a) and (b) shall remit the assessment to the 
Board not later than the last day of the month following the month in 
which the milk was marketed.
    (h) Money remitted to the Board shall be in the form of a negotiable 
instrument made payable to ``National Dairy Promotion and Research 
Board.'' Remittances and reports specified in Sec.  1150.171 shall be 
mailed to the location designated by the Secretary or the Board.



Sec.  1150.153  Qualified State or regional dairy product promotion, 
research or nutrition education programs.

    (a) Any organization which conducts a State or regional dairy 
product promotion, research or nutrition education program may apply to 
the Secretary for certification of qualification so that producers may 
receive credit pursuant to Sec.  1150.152(c) for contributions to such 
program.
    (b) In order to be certified by the Secretary as a qualified 
program, the program must:
    (1) Conduct activities as defined in Sec. Sec.  1150.114, 1150.115, 
and 1150.116 that are intended to increase consumption of milk and dairy 
products generally;
    (2) Except for programs operated under the laws of the United States 
or any State, have been active and ongoing before enactment of the Act;
    (3) Be financed primarily by producers, either individually or 
through cooperative associations;
    (4) Not use a private brand or trade name in its advertising and 
promotion of dairy products unless the Board recommends and the 
Secretary concurs that such preclusion should not apply;
    (5) Certify to the Secretary that any requests from producers for 
refunds under the program will be honored by forwarding to either the 
Board or a qualified State or regional program designated by the 
producer that portion of such refunds equal to the amount of credit that 
otherwise would be applicable to that program pursuant to Sec.  
1150.152(c); and
    (6) Not use program funds for the purpose of influencing 
governmental policy or action.

[[Page 210]]

    (c) An application for certification of qualifications of any State 
or regional dairy product promotion, research or nutrition education 
program which does not satisfy the requirements specified in paragraph 
(b) of this section shall be denied. The certification of any qualified 
program which fails to satisfy the requirements specified in paragraph 
(b) of this section after certification shall be subject to suspension 
or termination.
    (1) Prior to the denial of an application for certification of 
qualification, or the suspension or termination of an existing 
certification, the Director of the Dairy Division shall afford the 
applicant or the holder of an existing certification an opportunity to 
achieve compliance with the requirements for certification within a 
reasonable time, as determined by the Director.
    (2) Any State or regional dairy product promotion, research or 
nutrition education program whose application for certification of 
qualification is to be denied, or whose certification of qualification 
is to be suspended or terminated shall be given written notice of such 
pending action and shall be afforded an opportunity to petition the 
Secretary for a review of the action. The petition shall be in writing 
and shall state the facts relevant to the matter for which the review is 
sought, and whether petitioner desires an informal hearing. If an 
informal hearing is not requested, the Director of the Dairy Division 
shall issue a final decision setting forth the action to be taken and 
the basis for such action. If petitioner requests a hearing, the 
Director of the Dairy Division, or a person designated by the Director, 
shall hold an informal hearing in the following manner:
    (i) Notice of a hearing shall be given in writing and shall be 
mailed to the last known address of the petitioner or of the State or 
regional program, or to an officer thereof, at least 20 days before the 
date set for the hearing. Such notice shall contain the time and place 
of the hearing and may contain a statement of the reason for calling the 
hearing and the nature of the questions upon which evidence is desired 
or upon which argument may be presented. The hearing place shall be as 
convenient to the State or regional program as can reasonably be 
arranged.
    (ii) Hearings are not to be public and are to be attended only by 
representatives of the petitioner or the State or regional program and 
of the U.S. Government, and such other parties as either the State or 
regional program or the U.S. Government desires to have appear for 
purposes of submitting information or as counsel.
    (iii) The Director of the Dairy Division, or a person designated by 
the Director, shall be the presiding officer at the hearing. The hearing 
shall be conducted in such manner as will be most conducive to the 
proper disposition of the matter. Written statements or briefs may be 
filed by the petitioner or the State or regional program, or other 
participating parties, within the time specified by the presiding 
officer.
    (iv) The presiding officer shall prepare preliminary findings 
setting forth a recommendation as to what action should be taken and the 
basis for such action. A copy of such findings shall be served upon the 
petitioner or the State or regional program by mail or in person. 
Written exceptions to the findings may be filed within 10 days after 
service thereof.
    (v) After due consideration of all the facts and the exceptions, if 
any, the Director of the Dairy Division shall issue a final decision 
setting forth the action to be taken and the basis for such action.

[49 FR 11816, Mar. 28, 1984, as amended at 56 FR 8258, Feb. 28, 1991]



Sec.  1150.154  Influencing governmental action.

    No funds collected by the Board under this subpart shall in any 
manner be used for the purpose of influencing governmental policy or 
action, except to recommend to the Secretary amendments to this subpart.



Sec.  1150.155  Adjustment of accounts.

    Whenever the Board or the Department determines through an audit of 
a person's reports, records, books or accounts or through some other 
means that additional money is due the Board or that money is due such 
person from the Board, such person shall be notified of the amount due. 
The person shall

[[Page 211]]

then remit any amount due the Board by the next date for remitting 
assessments as provided in Sec.  1150.152. Overpayments shall be 
credited to the account of the person remitting the overpayment and 
shall be applied against amounts due in succeeding months.



Sec.  1150.156  Charges and penalties.

    (a) Late-payment charge. Any unpaid assessments to the Board 
pursuant to Sec.  1150.152 shall be increased 1.5 percent each month 
beginning with the day following the date such assessments were due. Any 
remaining amount due, which shall include any unpaid charges previously 
made pursuant to this section, shall be increased at the same rate on 
the corresponding day of each month thereafter until paid. For the 
purpose of this section, any assessment that was determined at a date 
later than prescribed by this subpart because of a person's failure to 
submit a report to the Board when due shall be considered to have been 
payable by the date it would have been due if the report had been filed 
when due. The timeliness of a payment to the Board shall be based on the 
applicable postmark date or the date actually received by the Board, 
whichever is earlier.
    (b) Penalties. Any person who willfully violates any provision of 
this subpart shall be assessed a civil penalty by the Secretary of not 
more than $1,000 for each such violation and, in the case of a willful 
failure to pay, collect, or remit the assessment as required by this 
subpart, in addition to the amount due, a penalty equal to the amount of 
the assessment on the quantity of milk as to which the failure applies. 
The amount of any such penalty shall accrue to the United States and may 
be recovered in a civil suit brought by the United States. The remedies 
provided in this section shall be in addition to, and not exclusive of, 
other remedies that may be available by law or in equity.

               Promotion, Research and Nutrition Education



Sec.  1150.161  Promotion, research and nutrition education.

    (a) The Board shall receive and evaluate, or on its own initiative 
develop, and submit to the Secretary for approval any plans or projects 
authorized in Sec. Sec.  1150.139, 1150.140 and this section. Such plans 
or projects shall provide for:
    (1) The establishment, issuance, effectuation, and administration of 
appropriate plans or projects for promotion, research and nutrition 
education with respect to milk and dairy products; and
    (2) The establishment and conduct of research and studies with 
respect to the sale, distribution, marketing and utilization of milk and 
dairy products and the creation of new products thereof, to the end that 
marketing and utilization of milk and dairy products may be encouraged, 
expanded, improved or made more acceptable. Included shall be research 
and studies of proposals intended to increase the use of fluid milk and 
dairy products by the military and by persons in developing nations and 
proposals intended to demonstrate the feasibility of converting nonfat 
dry milk to casein for domestic and export use.
    (b) Each plan or project authorized under Sec.  1150.161(a) shall be 
periodically reviewed or evaluated by the Board to insure that the plan 
or project contributes to an effective program of promotion, research 
and nutrition education. If it is found by the Board that any such plan 
or project does not further the purposes of the Act, the Board shall 
terminate such plan or project.
    (c) No plan or project authorized under Sec.  1150.161(a) shall make 
use of unfair or deceptive acts or practices with respect to the 
quality, value or use of any competing product.

                       Reports, Books and Records



Sec.  1150.171  Reports.

    Each producer marketing milk of that producer's own production 
directly to consumers and each person making payment to producers and 
responsible for the collection of the assessment under Sec.  1150.152 
shall be required to report at the time for remitting assessments to the 
Board such information as may be required by the Board or by the 
Secretary. Such information may include but not be limited to the 
following:

[[Page 212]]

    (a) The quantity of milk purchased, initially transferred or which, 
in any other manner, are subject to the collection of the assessment;
    (b) The amount of assessment remitted;
    (c) The basis, if necessary, to show why the remittance is less than 
the number of hundredweights of milk multiplied by 15 cents; and
    (d) The date any assessment was paid.



Sec.  1150.172  Books and records.

    Each person who is subject to this subpart, and other persons 
subject to Sec.  1150.171, shall maintain and make available for 
inspection by employees of the Board and the Secretary such books and 
records as are necessary to carry out the provisions of this subpart and 
the regulations issued hereunder, including such records as are 
necesssary to verify any reports required. Such records shall be 
retained for at least two years beyond the fiscal period of their 
applicability.



Sec.  1150.173  Confidential treatment.

    All information obtained from such books, records or reports under 
the Act and this subpart shall be kept confidential by all persons, 
including employees and former employees of the Board, all officers and 
employees and all former officers and employees of the Department, and 
by all officers and all employees and all former officers and employees 
of contracting agencies having access to such information, and shall not 
be available to Board members. Only those persons having a specific need 
for such information in order to effectively administer the provisions 
of this subpart shall have access to such information. In addition, only 
such information so furnished or acquired as the Secretary deems 
relevant shall be disclosed by them, and then only in a suit or 
administrative hearing brought at the discretion, or upon the request, 
of the Secretary, or to which the Secretary or any officer of the United 
States is a party, and involving this subpart. Nothing in this section 
shall be deemed to prohibit:
    (a) The issuance of general statements based upon the reports of the 
number of persons subject to this subpart or statistical data collected 
therefrom, which statements do not identify the information furnished by 
any person; and
    (b) The publication, by direction of the Secretary, of the name of 
any person who has been adjudged to have violated this subpart, together 
with a statement of the particular provisions of the subpart violated by 
such person.

                              Miscellaneous



Sec.  1150.181  Proceedings after termination.

    (a) Upon the termination of this subpart, the Board shall recommend 
not more than five of its members to the Secretary to serve as trustees 
for the purpose of liquidating the affairs of the Board. Such persons, 
upon designation by the Secretary, shall become trustees of all the 
funds and property owned, in the possession of, or under the control of 
the Board, including unpaid claims or property not delivered or any 
other claim existing at the time of such termination.
    (b) The said trustees shall:
    (1) Continue in such capacity until discharged by the Secretary;
    (2) Carry out the obligations of the Board under any contract or 
agreements entered into by it pursuant to Sec.  1150.140(i);
    (3) From time to time account for all receipts and disbursements and 
deliver all property on hand, together with all books and records of the 
Board and of the trustees, to such persons as the Secretary may direct; 
and
    (4) Upon the request of the Secretary, execute such assignments or 
other instruments necessary or appropriate to vest in such persons full 
title and right to all of the funds, property, and claims vested in the 
Board or the trustees pursuant to this subpart.
    (c) Any person to whom funds, property, or claims have been 
transferred or delivered pursuant to this subpart shall be subject to 
the same obligation imposed upon the Board and upon the trustees.
    (d) Any residual funds not required to defray the necessary expenses 
of liquidation shall be turned over to the Secretary to be used, to the 
extent

[[Page 213]]

practicable, in the interest of continuing one or more of the promotion, 
research or nutrition education plans or projects authorized pursuant to 
this subpart.



Sec.  1150.182  Effect of termination or amendment.

    Unless otherwise expressly provided by the Secretary, the 
termination of this subpart or of any regulation issued pursuant hereto, 
or the issuance of any amendment to either thereof, shall not:
    (a) Affect or waive any right, duty, obligation, or liability which 
shall have arisen or which may hereafter arise in connection with any 
provision of this subpart or any regulation issued thereunder;
    (b) Release or extinguish any violation of this subpart or any 
regulation issued thereunder; or
    (c) Affect or impair any rights or remedies of the United States, or 
of the Secretary, or of any person, with respect to any such violation.



Sec.  1150.183  Personal liability.

    No member or employee of the Board shall be held personally 
responsible, either individually or jointly, in any way whatsoever to 
any person for errors in judgment, mistakes, or other acts of either 
commission or omission of such member or employee, except for acts of 
dishonesty or willful misconduct.



Sec.  1150.184  Patents, copyrights, inventions and publications.

    Any patents, copyrights, trademarks, inventions or publications 
developed through the use of funds collected under the provisions of 
this subpart shall be the property of the U.S. Government as represented 
by the Board, and shall, along with any rents, royalties, residual 
payments, or other income from the rental, sale, leasing, franchising, 
or other uses of such patents, copyrights, inventions, or publications, 
inure to the benefit of the Board. Upon termination of this subpart, 
Sec.  1150.181 shall apply to determine disposition of all such 
property.



Sec.  1150.185  Amendments.

    The Secretary may from time to time amend provisions of this part. 
Any interested person or organization affected by the provisions of the 
Act may propose such amendments to the Secretary.



Sec.  1150.186  Separability.

    If any provision of this subpart is declared invalid or the 
applicability thereof to any person or circumstances is held invalid, 
the validity of the remainder of this subpart or the applicability 
thereof to other persons or circumstances shall not be affected thereby.



Sec.  1150.187  Paperwork Reduction Act assigned number.

    The information collection and recordkeeping requirements contained 
in Sec. Sec.  1150.133, 1150.152, 1150.153, 1150.171, 1150.172, 
1150.202, 1150.204, 1150.205, 1150.211 and 1150.273 of these regulations 
(7 CFR Part 1150) have been approved by the Office of Management and 
Budget (OMB) under the provisions of 44 U.S.C. Chapter 35 and have been 
assigned OMB Control Number 0581-0147.

[50 FR 9984, Mar. 13, 1985]



   Subpart_Procedure for Certification of Milk Producer Organizations



Sec.  1150.270  General.

    Organizations must be certified by the Secretary that they are 
eligible to represent milk producers and to participate in the making of 
nominations of milk producers to serve as members of the National Dairy 
Promotion and Research Board as provided in the Dairy and Tobacco 
Adjustment Act of 1983. Certifications of eligibility required of the 
Secretary shall be conducted in accordance with this subpart.



Sec.  1150.271  Definitions.

    As used in this subpart:
    (a) Act means Title I, Subtitle B, of the Dairy and Tobacco 
Adjustment Act of 1983, Pub. L. 98-180, 97 Stat. 1128, as approved 
November 29, 1983, and any amendments thereto;
    (b) Department means the United States Department of Agriculture;
    (c) Secretary means the Secretary of Agriculture of the United 
States, or

[[Page 214]]

any officer or employee of the Department to whom authority has 
heretofore been delegated, or to whom authority may hereafter be 
delegated to act in the Secretary's stead;
    (d) Dairy Division means the Dairy Division of the Department's 
Agricultural Marketing Service;
    (e) Producer means any person engaged in the production of milk for 
commercial use;
    (f) Dairy products means products manufactured for human consumption 
which are derived from the processing of milk, and includes fluid milk 
products; and
    (g) Fluid milk products means those milk products normally consumed 
in liquid form as a beverage.



Sec.  1150.272  Responsibility for administration of regulations.

    The Dairy Division shall have the responsibility for administering 
the provisions of this subpart.



Sec.  1150.273  Application for certification.

    Any organization whose membership consists primarily of milk 
producers may apply for certification. Applicant organizations should 
supply information for certification using as a guide ``Application for 
Certification of Organizations,'' Form DA-26. Form DA-26 may be obtained 
from the Dairy Division, Agricultural Marketing Service, United States 
Department of Agriculture, Washington, DC 20250.



Sec.  1150.274  Certification standards.

    (a) Certification of eligible organizations shall be based, in 
addition to other available information, on a factual report submitted 
by the organization, which shall contain information deemed relevant and 
specified by the Secretary for the making of such determination, 
including the following:
    (1) Geographic territory covered by the organization's active 
membership;
    (2) Nature and size of the organization's active membership 
including the total number of active milk producers represented by the 
organization;
    (3) Evidence of stability and permanency of the organization;
    (4) Sources from which the organization's operating funds are 
derived;
    (5) Functions of the organization; and
    (6) The organization's ability and willingness to further the aims 
and objectives of the Act.
    (b) The primary considerations in determining the eligibility of an 
organization shall be whether its membership consists primarily of milk 
producers who produce a substantial volume of milk, and whether the 
primary or overriding interest of the organization is in the production 
or processing of fluid milk and dairy products and promotion of the 
nutritional attributes of fluid milk and dairy products.
    (c) The Secretay shall certify any organization which he finds meets 
the criteria under this section and his determination as to eligibility 
shall be final.



Sec.  1150.275  Inspection and investigation.

    The Secretary shall have the right, at any time after an application 
is received from an organization, to examine such books, documents, 
papers, records, files, and facilities of an organization as he deems 
necessary to verify the information submitted and to procure such other 
information as may be required to determine whether the organization is 
eligible for certification.



Sec.  1150.276  Review of certification.

    Certifications issued pursuant to this subpart are subject to 
termination or suspension if the organization does not currently meet 
the certification standards. A certified organization may be requested 
at any time to supply the Dairy Division with such information as may be 
required to show that the organization continues to be eligible for 
certification. Any information submitted to satisfy a request pursuant 
to this section shall be subject to inspection and investigation as 
provided in Sec.  1150.275.



Sec.  1150.277  Listing of certified organizations.

    A copy of each certification shall be furnished by the Dairy 
Division to the respective organization. Copies also shall be filed in 
the Dairy Division where they will be available for public inspection.

[[Page 215]]



Sec.  1150.278  Confidential treatment.

    All documents and other information submitted by applicant 
organizations and otherwise obtained by the Department by investigation 
or examination of books, documents, papers, records, files, or 
facilities shall be kept confidential by all employees of the 
Department. Only such information so furnished or acquired as the 
Secretary deems relevant shall be disclosed by them, and then only in 
the issuance of general statements based upon the applications of a 
number of persons, which do not identify the information furnished by 
any one person.

                       PARTS 1151-1159 [RESERVED]



PART 1160_FLUID MILK PROMOTION PROGRAM--Table of Contents




                   Subpart_Fluid Milk Promotion Order

                               Definitions

Sec.
1160.101 Act.
1160.102 Department.
1160.103 Secretary.
1160.104 United States.
1160.105 Board.
1160.106 Person.
1160.107 Fluid milk product.
1160.108 Fluid milk processor.
1160.109 Milk.
1160.110 Class I price.
1160.111 Promotion.
1160.112 Research.
1160.113 Fiscal period.
1160.114 Eligible organization.
1160.115 Milk marketing area.
1160.116 [Reserved]
1160.117 Continuation referendum.

              National Fluid Milk Processor Promotion Board

1160.200 Establishment and membership.
1160.201 Term of office.
1160.202 Nominations.
1160.203 Nominee's agreement to serve.
1160.204 Appointment.
1160.205 Vacancies.
1160.206 Procedure.
1160.207 Compensation and reimbursement.
1160.208 Powers of the Board.
1160.209 Duties of the Board.
1160.210 Expenses.
1160.211 Assessments.
1160.212 Influencing governmental action.
1160.213 Adjustment of accounts.
1160.214 Charges and penalties.

               Promotion, Consumer Education and Research

1160.301 Promotion, consumer education and research.

                       Reports, Books and Records

1160.401 Reports.
1160.402 Books and records.
1160.403 Confidential treatment.

                              Miscellaneous

1160.501 Continuation referenda.
1160.502 Proceedings after suspension or termination.
1160.503 Effect of suspension, termination or amendment.
1160.504 Personal liability.
1160.505 Patents, copyrights, inventions and publications.
1160.506 Amendments.
1160.507 Report.
1160.508 Separability.

 Subpart_Procedure for Conduct of Referenda in Connection with a Fluid 
                          Milk Promotion Order

1160.600 General.
1160.601 Definitions.
1160.602 Conduct of referendum.
1160.603 Who may vote.
1160.604 Duties of the referendum agent.
1160.605 Scheduling of referendum.
1160.606 Notice of referendum.
1160.607 Tabulation of ballots.
1160.608 Confidential information.
1160.609 Supplementary instructions.

    Authority: 7 U.S.C. 6401-6417.

    Source: 58 FR 46763, Sept. 3, 1993, unless otherwise noted.



                   Subpart_Fluid Milk Promotion Order

    Source: 58 FR 62503, Nov. 29, 1993, unless otherwise noted.

                               Definitions



Sec.  1160.101  Act.

    Act means the Fluid Milk Promotion Act of 1990, Subtitle H of Title 
XIX of the Food, Agriculture, Conservation, and Trade Act of 1990, 
Public Law 101-624, 7 U.S.C. 6401-6417, and any amendments thereto.



Sec.  1160.102  Department.

    Department means the United States Department of Agriculture.

[[Page 216]]



Sec.  1160.103  Secretary.

    Secretary means the Secretary of Agriculture of the United States or 
any officer or employee of the Department to whom authority has 
heretofore been delegated, or to whom authority may hereafter be 
delegated, to act in the Secretary's stead.



Sec.  1160.104  United States.

    United States means the 48 contiguous states in the continental 
United States and the District of Columbia, except that United States 
means the 50 states of the United States of America and the District of 
Columbia under the following provisions: the petition and review under 
section 1999K of the Act, enforcement under section 1999L of the Act, 
and investigations and power to subpoena under section 1999M of the Act.



Sec.  1160.105  Board.

    Board means the National Processor Advertising and Promotion Board 
established pursuant to 7 U.S.C. 6407(b)(1) and this subpart 
(hereinafter known as the National Fluid Milk Processor Promotion Board 
or Board).



Sec.  1160.106  Person.

    Person means any individual, group of individuals, partnership, 
corporation, association, cooperative or other entity.



Sec.  1160.107  Fluid milk product.

    Fluid milk product means any product that meets the definition 
provided in Sec.  1000.15 for milk marketing orders issued pursuant to 
the Agricultural Marketing Agreement Act of 1937, as amended, 7 U.S.C. 
601-674.

[67 FR 49858, Aug. 1, 2002]



Sec.  1160.108  Fluid milk processor.

    (a) Fluid milk processor means any person who processes and markets 
commercially fluid milk products in consumer-type packages in the United 
States (excluding fluid milk products delivered directly to the place of 
residence of a consumer), except that the term fluid milk processor 
shall not include in each of the respective fiscal periods those persons 
who process and market not more than 3,000,000 pounds of such fluid milk 
products during the representative month, which shall be the first month 
of the fiscal period.
    (b) Any person who did not qualify as a fluid milk processor for a 
fiscal period because of the 3,000,000-pound limitation shall not later 
qualify as a fluid milk processor during that fiscal period even though 
the monthly volume limitation is later exceeded during that period.
    (c) Any person who qualified as a fluid milk processor for a fiscal 
period and whose monthly marketings of fluid milk products later become 
3,000,000 pounds or less shall no longer qualify as a fluid milk 
processor during that fiscal period beginning with the month in which 
the marketings first dropped below the volume limitation.
    (d) For the purpose of determining qualification as a fluid milk 
processor, each processor of fluid milk products shall report for the 
representative month of each fiscal period the hundredweight of fluid 
milk products processed and marketed by the processor.

[58 FR 62503, Nov. 29, 1993, as amended at 62 FR 3983, Jan. 28, 1997; 67 
FR 49858, Aug. 1, 2002]



Sec.  1160.109  Milk.

    Milk means any class of cow's milk produced in the United States.



Sec.  1160.110  Class I price.

    Class I price is the price that is established for Class I milk in 
each marketing area under milk marketing orders authorized by the 
Agricultural Marketing Agreement Act of 1937, as amended, 7 U.S.C. 601-
674.



Sec.  1160.111  Promotion.

    Promotion means the following activities:
    (a) Consumer Education, which means any program utilizing public 
relations, advertising or other means devoted to educating consumers 
about the desirable characteristics of fluid milk products and directed 
toward increasing the general demand for fluid milk products.
    (b) Advertising, which means any advertising or promotion program 
involving only fluid milk products and directed toward educating 
consumers about the positive attributes of fluid

[[Page 217]]

milk and increasing the general demand for fluid milk products.



Sec.  1160.112  Research.

    Research means market research to support advertising and promotion 
efforts, including educational activities, research directed to product 
characteristics, and product development, including new products or 
improved technology in production, manufacturing or processing of milk 
and the products of milk.

[62 FR 3983, Jan. 28, 1997]



Sec.  1160.113  Fiscal period.

    Fiscal period means the initial period of up to 30 months that this 
subpart is effective. Thereafter, the fiscal period shall be such annual 
period as the Board may determine, except that the Board may provide for 
a lesser or greater period as it may find appropriate for the period 
immediately after the initial fiscal period to assure continuity of 
fiscal periods until the beginning of the first annual fiscal period.

[62 FR 3983, Jan. 28, 1997]



Sec.  1160.114  Eligible organization.

    Eligible organization means an organization eligible to nominate 
members of the Board and which meets the following criteria:
    (a) Is a nonprofit organization pursuant to section 501(c) (3), (5), 
or (6) of the Internal Revenue Code (26 U.S.C. 501(c) (3), (5), or (6));
    (b) Is governed by a board comprised of a majority of fluid milk 
processors; and
    (c) Represents fluid milk processors on a national basis whose 
members process more than 50 percent of the fluid milk products 
processed and marketed within the United States.



Sec.  1160.115  Milk marketing area.

    Milk marketing area means each area within which milk being marketed 
is subject to a milk marketing order issued pursuant to the Agricultural 
Marketing Agreement Act of 1937, as amended, 7 U.S.C. 601-674, or 
applicable state laws.



Sec.  1160.116  [Reserved]



Sec.  1160.117  Continuation referendum.

    Continuation referendum means that referendum among fluid milk 
processors that the Secretary shall conduct as provided in Sec.  
1160.501.

              National Fluid Milk Processor Promotion Board



Sec.  1160.200  Establishment and membership.

    (a) There is hereby established a National Fluid Milk Processor 
Board of 20 members, 15 of whom shall represent geographic regions and 
five of whom shall be at-large members of the Board. To the extent 
practicable, members representing geographic regions shall represent 
fluid milk processing operations of differing sizes. No fluid milk 
processor shall be represented on the Board by more than three members. 
The at-large members shall include at least three fluid milk processors 
and at least one member from the general public. Except for the member 
or members from the general public, nominees appointed to the Board must 
be active owners or employees of a fluid milk processor. The failure of 
such a member to own or work for a fluid milk processor or its successor 
fluid milk processor shall disqualify that member for membership on the 
Board except that such member shall continue to serve on the Board for a 
period of up to six months following the disqualification or until 
appointment of a successor Board member to such position, whichever is 
sooner, provided that such person continues to meet the criteria for 
serving on the Board as a processor representative.
    (b) In selecting the 15 Board members who represent geographic 
regions, one member shall be selected from each of the following 
regions:

Region 1. Connecticut, Maine, Massachusetts, New Hampshire, Rhode 
Island, and Vermont.
Region 2. New York and New Jersey.
Region 3. Delaware, Maryland, Pennsylvania, Virginia, and the District 
of Columbia.
Region 4. Georgia, North Carolina and South Carolina.
Region 5. Florida.
Region 6. Ohio and West Virginia.

[[Page 218]]

Region 7. Michigan, Minnesota, North Dakota, South Dakota and Wisconsin.
Region 8. Illinois and Indiana.
Region 9. Alabama, Kentucky, Louisiana, Mississippi and Tennessee.
Region 10. Texas.
Region 11. Arkansas, Iowa, Kansas, Missouri, Nebraska and Oklahoma.
Region 12. Arizona, Colorado, New Mexico, Nevada, and Utah.
Region 13. Idaho, Montana, Oregon, Washington and Wyoming.
Region 14. Northern California which shall be composed of the Northern 
California Marketing Area and the South Valley Marketing Area as defined 
by the Stabilization and Marketing Plan, as amended, issued by the 
California Department of Food and Agriculture pursuant to the provisions 
of Chapter 2, Part 3, Division 21, of the California Food and 
Agriculture Code, effective February 3, 1992.
Region 15. Southern California which shall be composed of the Southern 
California Marketing Area as defined by the Stabilization and Marketing 
Plan, as amended, issued by the California Department of Food and 
Agriculture pursuant to the provisions of Chapter 2, Part 3, Division 
21, of the California Food and Agriculture Code, effective February 3, 
1992.

[58 FR 62503, Nov. 29, 1993, as amended at 62 FR 3983, Jan. 28, 1997; 63 
FR 46639, Sept. 2, 1998; 65 FR 35810, June 6, 2000]



Sec.  1160.201  Term of office.

    (a) The members of the Board shall serve for terms of three years, 
except that the members appointed to the initial Board shall serve 
proportionately, for terms of one year, two years, and three years, as 
determined by the Secretary. The terms of all Board members shall expire 
upon the suspension or termination of the order except as provided in 
Sec.  1160.502.
    (b) No member shall serve more than two consecutive terms, except 
that any member who is appointed to serve for an initial term of one or 
two years shall be eligible to be reappointed for two three-year terms. 
Appointment to another position on the Board is considered a consecutive 
term. Should a non-board member be appointed to fill a vacancy on the 
Board with a term of 18 months or less remaining, the appointee shall be 
entitled to serve two consecutive 3-year terms following the term of the 
vacant position to which the person was appointed.

[58 FR 62503, Nov. 29, 1993, as amended at 62 FR 3983, Jan. 28, 1997; 63 
FR 46639, Sept. 2, 1998]



Sec.  1160.202  Nominations.

    Nominations for members of the Board shall be made in the following 
manner:
    (a) The Secretary shall solicit nominations for the initial Board 
from individual fluid milk processors and other interested parties, 
including eligible organizations. Fluid milk processors and other 
interested parties may submit nominations for positions on the Board for 
regions in which they are located or market fluid milk, and for at-large 
members. Eligible organizations may submit a slate of nominees for seats 
in all regions and for at-large members.
    (b) After the appointment of the initial Board, the Secretary shall 
announce at least 180 days in advance of the expiration of members' 
terms that such terms are expiring, and shall solicit nominations for 
such positions in the manner described in paragraph (a) of this section. 
Nominations for such positions should be submitted to the Secretary not 
less than 120 days prior to the expiration of members' terms.



Sec.  1160.203  Nominee's agreement to serve.

    Each nominee for Board membership must file with the Secretary at 
the time of nomination a written agreement to serve on the Board if 
appointed.



Sec.  1160.204  Appointment.

    From the nominations made pursuant to Sec.  1160.202, the Secretary 
shall appoint the members of the Board on the basis of representation 
provided for in Sec. Sec.  1160.200 and 1160.201.



Sec.  1160.205  Vacancies.

    To fill any vacancy occasioned by the death, removal, resignation, 
or disqualification of any member of the Board, the Secretary shall 
appoint a successor from the most recent list of nominations made by 
individual fluid milk processors and other interested

[[Page 219]]

parties, including eligible organizations, for the Board, or from 
nominations made by the Board.



Sec.  1160.206  Procedure.

    (a) A majority of the members shall constitute a quorum at a 
properly convened meeting of the Board. Any action of the Board shall 
require the concurring votes of at least a majority of those present and 
voting. The Board shall establish rules concerning timely notice of 
meetings.
    (b) The Board may take action upon the concurring votes of a 
majority of members by mail, telephone, telegraph, or other means of 
electronic communication when, in the opinion of the chairperson of the 
Board, such action must be taken before a meeting can be called. Action 
taken by this emergency procedure is valid only if all members are 
notified and provided the opportunity to vote and any telephone vote is 
confirmed promptly in writing. Any action so taken shall have the same 
force and effect as though such action had been taken at a properly 
convened meeting of the Board.



Sec.  1160.207  Compensation and reimbursement.

    The members of the Board and trustees, if any, named under Sec.  
1160.502, shall serve without compensation but shall be reimbursed for 
necessary and reasonable expenses incurred by them in the performance of 
their duties under this subpart.



Sec.  1160.208  Powers of the Board.

    The Board shall have the following powers:
    (a) To receive and evaluate, or on its own initiative develop, and 
budget for plans or projects to educate consumers and promote the use of 
fluid milk products and to make recommendations to the Secretary 
regarding such proposals;
    (b) To administer the provisions of this subpart in accordance with 
its terms and provisions;
    (c) To make rules and regulations to effectuate the terms and 
provisions of this subpart;
    (d) To receive, investigate, and report to the Secretary complaints 
of violations of the provisions of this subpart;
    (e) To employ such persons as the Board deems necessary and 
determine the duties and compensation of such persons;
    (f) To contract with eligible organizations or other persons to 
conduct activities authorized pursuant to this subpart;
    (g) To select committees and subcommittees, to adopt bylaws, and to 
adopt such rules for the conduct of its business as it may deem 
advisable; the Board may establish working committees of persons other 
than Board members;
    (h) To recommend to the Secretary amendments to this subpart; and
    (i) With the approval of the Secretary, to invest, pending 
disbursement pursuant to a plan or project, funds collected through 
assessments authorized under Sec.  1160.211 in, and only in, obligations 
of the United States or any agency thereof, in general obligations of 
any State or any political subdivision thereof, in any interest-bearing 
account or certificate of deposit of a bank that is a member of the 
Federal Reserve System, or in obligations fully guaranteed as to 
principal and interest by the United States.

[58 FR 62503, Nov. 29, 1993, as amended at 63 FR 46639, Sept. 2, 1998]



Sec.  1160.209  Duties of the Board.

    The Board shall have the following duties:
    (a) To meet not less than annually, and to organize and select from 
among its members a chairperson, who may serve for a term of a fiscal 
period pursuant to Sec.  1160.113, and not more than two consecutive 
terms, and to select such other officers as may be necessary;
    (b) To prepare and submit to the Secretary for approval a budget for 
each fiscal period of the anticipated expenses and disbursements in the 
administration of this subpart, including a description of and the 
probable costs of consumer education, promotion and research projects;
    (c) To develop and submit to the Secretary for approval promotion 
and consumer education, and research plans or projects;
    (d) To the extent practicable, carry out consumer education and 
promotion

[[Page 220]]

programs under Sec.  1160.301 in such a manner as to ensure that 
advertising coverage in each of the regions defined in Sec.  1160.200 is 
proportionate to funds collected from each such region;
    (e) To disseminate information to fluid milk processors or eligible 
organizations;
    (f) To maintain minutes, books and records that accurately reflect 
all of the acts and transactions of the Board, which shall be available 
to the Secretary for inspection and audit, and prepare and promptly 
report minutes of each Board meeting to the Secretary and submit such 
reports from time to time to the Secretary as the Secretary may 
prescribe, and to account with respect to the receipt and disbursement 
of all funds entrusted to it;
    (g) To enter into contracts or agreements, with the approval of the 
Secretary, with such persons and organizations as the Board may approve 
for the development and conduct of activities authorized under this 
subpart and for the payment of the cost thereof with funds collected 
through assessments pursuant to Sec.  1160.211 and income from such 
assessments. Any such contract or agreement shall provide that:
    (1) The contractors shall develop and submit to the Board a plan or 
project together with a budget(s) showing the estimated cost of such 
plan or project;
    (2) Any such plan or project shall be adopted upon approval of the 
Secretary; and
    (3) The contracting party shall keep accurate records of all of its 
transactions and make periodic reports to the Board of all activities 
conducted pursuant to the contract or agreement, and provide accounts of 
all funds received and expended, and such other reports as the Secretary 
or the Board may require. The Secretary or employees of the Board 
periodically may audit the records of the contracting parties;
    (h) For the initial fiscal period, the Board shall contract, to the 
extent practicable and subject to the approval of the Secretary, with an 
eligible organization to carry out the provisions of this subpart;
    (i) To prepare and make public, at least annually, a report of its 
activities and an accounting for funds received and expended;
    (j) To have an audit of its financial statements conducted by a 
certified public accountant in accordance with generally accepted 
auditing standards, at the end of the first 15 months of the initial 
fiscal period, at the end of the initial fiscal period, and at least 
once each fiscal period thereafter as well as at such other times as the 
Secretary may request, and to submit a copy of each such audit report to 
the Secretary;
    (k) To give the Secretary the same notice of meetings of the Board 
and committees of the Board, including actions conducted under Sec.  
1160.206(b), as is given to such Board or committee members in order 
that the Secretary, or a representative of the Secretary, may attend 
such meetings;
    (l) To submit to the Secretary such information pursuant to this 
subpart as may be requested;
    (m) The Board shall take reasonable steps to coordinate the 
collection of assessments, and promotion, education, and research 
activities of the Board, with the National Dairy Promotion and Research 
Board established under section 113(b) of the Dairy Production 
Stabilization Act of 1983 (7 U.S.C. 4504(b)); and
    (n) The Board shall conduct advertising using third parties only 
through contracts which shall prohibit the third party from selling, 
offering for sale, or otherwise making available advertising time or 
space to private industry members conducting brand-name advertising 
which immediately precedes, follows, appears in juxtaposition, or 
appears in the midst of Board-sponsored advertising.

[58 FR 62503, Nov. 29, 1993, as amended at 61 FR 27003, May 30, 1996; 62 
FR 3983, Jan. 28, 1997]



Sec.  1160.210  Expenses.

    (a) The Board is authorized to incur such expenses (including 
provision for a reasonable reserve) as the Secretary finds are 
reasonable and likely to be incurred by the Board for its 
administration, and to enable it to exercise its powers and perform its 
duties in accordance with the provisions of this subpart; except that, 
after the Board's first year, it shall not spend on its administration 
more than 5 percent of

[[Page 221]]

the assessments collected during any fiscal period subsequent to the 
initial fiscal period. Such administrative expenses shall be paid from 
assessments collected pursuant to Sec.  1160.211.
    (b) The Board shall reimburse the Secretary for administrative costs 
incurred by the Department from assessments collected pursuant to Sec.  
1160.211.
    (c) Within 30 days after funds are remitted from Regions 14 and 15, 
the Board shall provide a grant of 80% of such funds to the entity 
authorized by the laws of the State of California to conduct an 
advertising program for fluid milk products in that State for the 
purpose of implementing a coordinated advertising program in the markets 
within those regions. Such grant shall be provided with the approval of 
the Secretary on the following conditions:
    (1) The granted funds shall be utilized to implement a fluid milk 
promotion campaign within the markets within those regions. Verification 
of the implementation of this program shall be provided to the Board.
    (2) The Board shall ensure that the recipients of these funds 
implement a research and evaluation program to determine the effect of 
such program on consumption of fluid milk within the region.
    (3) The recipient of these funds must provide to the Board data from 
the research and evaluation programs so that the Board can determine the 
effect of the program on consumption of fluid milk.



Sec.  1160.211  Assessments.

    (a) (1) Each fluid milk processor shall pay to the Board or its 
designated agent an assessment of $.20 per hundredweight of fluid milk 
products processed and marketed commercially in consumer-type packages 
in the United States by such fluid milk processor. Producer-handlers 
required to pay assessments under section 113(g) of the Dairy Production 
Stabilization Act of 1983 (7 U.S.C. 4504(g)), and not exempt under Sec.  
1160.108, shall also pay the assessment under this subpart. No 
assessments are required on fluid milk products exported from the United 
States. The Secretary shall have the authority to receive assessments on 
behalf of the Board.
    (2) The Secretary shall announce the establishment of the assessment 
each month in the Class I price announcement in each milk marketing area 
by adding it to the Class I price for the following month. In the event 
the assessment is suspended for a given month, the Secretary shall 
inform all fluid milk processors of the suspension in the Class I price 
announcement for that month. The Secretary shall also inform fluid milk 
processors marketing fluid milk in areas not subject to milk marketing 
orders administered by the Secretary of the establishment or suspension 
of the assessment.
    (3) Each processor responsible for remitting an assessment shall 
remit it to the Board not later than the last day of the month following 
the month that the assessed milk was marketed.
    (b) Such assessments shall not:
    (1) Reduce the prices paid under the Federal 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;
    (2) Otherwise be deducted from the amounts that handlers must pay to 
producers for fluid milk products sold to a processor; or
    (3) Otherwise be deducted from the price of milk paid to a producer 
by a handler, as determined by the Secretary.
    (c) Money remitted to the Board or the Board's designated agent 
shall be in the form of a negotiable instrument made payable to the 
Board or its agent, as the case may be. Processors must mail remittances 
and reports specified in Sec. Sec.  1160.108, 1160.211(a)(1), 1160.213, 
1160.214, and 1160.401 to the location designated by the Board or its 
agent.

[58 FR 62503, Nov. 29, 1993, as amended at 62 FR 3983, Jan. 28, 1997]



Sec.  1160.212  Influencing governmental action.

    No funds collected by the Board under this subpart shall in any 
manner be used for the purpose of influencing governmental policy or 
action, except to recommend to the Secretary amendments to this subpart.

[[Page 222]]



Sec.  1160.213  Adjustment of accounts.

    Whenever the Board or the Secretary determines through an audit of a 
processor's reports, records, books or accounts or through some other 
means that additional money is due the Board or to such processor from 
the Board, the Board shall notify that person of the amount due or 
overpaid. If the processor owes money to the Board, it shall remit that 
amount by the next date for remitting assessments as provided in Sec.  
1160.211. If the processor has overpaid, that amount shall be credited 
to its account and applied against amounts due in succeeding months.



Sec.  1160.214  Charges and penalties.

    (a) Late-payment charge. Any unpaid assessments shall be increased 
1.5 percent each month beginning with the day following the date such 
assessments were due. Any remaining amount due, which shall include any 
unpaid charges previously made pursuant to this section, shall be 
increased at the same rate on the corresponding day of each month 
thereafter until paid. For the purpose of this section, any assessment 
determined at a date later than prescribed by this subpart because of 
the failure of a processor to submit a report to the Board when due 
shall be considered to have been payable by the date it would have been 
due if the report had been filed when due. The receipt of a payment by 
the Board will be based on the earlier of the postmark date or the 
actual date of receipt.
    (b) Penalties. The Secretary may assess any person who violates any 
provision of this subpart a civil penalty of not less than $500 nor more 
than $5,000 for each such violation. In the case of a willful failure to 
pay an assessment as required by this subpart, in addition to the amount 
due, the Secretary may assess an additional penalty of not less than 
$10,000 nor more than $100,000 for each such violation. The amount of 
any such penalty shall accrue to the United States, which may recover 
such amount in a civil suit. The remedies provided in this section are 
in addition to, and not exclusive of, other remedies that may be 
available by law or in equity.

               Promotion, Consumer Education and Research



Sec.  1160.301  Promotion, consumer education and research.

    (a) The Board shall receive and evaluate, or on its own initiative 
develop, and submit to the Secretary for approval any plans or projects 
authorized in Sec. Sec.  1160.208 and 1160.209. Such plans or projects 
shall provide for:
    (1) The establishment, issuance, effectuation, and administration of 
consumer education, promotion and research activities with respect to 
fluid milk products; and
    (2) The evaluation of consumer education, promotion and research 
activities implemented under the direction of the Board, and the 
communication of such evaluation to fluid milk processors and the 
public.
    (b) The Board shall periodically review or evaluate each plan or 
project authorized under Sec.  1160.301(a) to ensure that it contributes 
to an effective program of promotion, consumer education and research. 
If the Board finds that any such plan or project does not further the 
purposes of the Act, the Board shall terminate that plan or project.
    (c) No plan or project authorized under Sec.  1160.301(a) may employ 
unfair or deceptive acts or practices with respect to the quality, value 
or use of any competing product.
    (d) No plan or project authorized under Sec.  1160.301(a) may make 
use of a brand or trade name of a fluid milk product, except that this 
paragraph does not preclude the Board from offering program material to 
commercial parties to use under such terms and conditions as the Board 
may prescribe, subject to approval by the Secretary.

                       Reports, Books and Records



Sec.  1160.401  Reports.

    Each fluid milk processor marketing milk and paying an assessment 
under Sec.  1160.211 shall be required to report upon the remittance of 
such assessments such information as the Board or the Secretary may 
require. Such information shall include but not be limited to the 
following:

[[Page 223]]

    (a) The quantity of fluid milk products marketed that is subject to 
the collection of the assessment;
    (b) The amount of assessment remitted;
    (c) The reason, if necessary, why the remittance is less than the 
number of hundredweights of milk multiplied by 20 cents; and
    (d) The date any assessment was paid.



Sec.  1160.402  Books and records.

    Each person subject to this subpart shall maintain and make 
available for inspection by agents of the Board and the Secretary such 
books and records as are necessary to carry out the provisions of this 
subpart and the regulations issued hereunder, including such records as 
are necessary to verify any reports required. Such books and records 
shall be retained for at least two years beyond the fiscal period of 
their applicability.



Sec.  1160.403  Confidential treatment.

    (a) All persons, including agents and former agents of the Board, 
all officers and employees and all former officers and employees of the 
Department, and all officers and all employees and all former officers 
and employees of contracting agencies having access to commercial or 
financial information obtained from such books, records or reports under 
the Act and this subpart shall keep such information confidential, and 
not make it available to Board members. Only those persons, as 
determined by the Secretary, who have a specific need for such 
information in order to effectively administer the provisions of this 
subpart shall have access to such information. In addition, they shall 
disclose only that information the Secretary deems relevant, and then 
only in a suit or administrative hearing brought at the discretion, or 
upon the request, of the Secretary, or to which the Secretary or any 
officer of the United States is a party, and involving this subpart. 
Nothing in this section, however, shall be deemed to prohibit:
    (1) The issuance of general statements based upon the reports of the 
number of processors, individuals, groups of individuals, partnerships, 
corporations, associations, cooperatives, or other entities subject to 
this subpart or statistical data collected from such sources, which 
statements do not identify the information furnished by any such 
parties, and
    (2) The publication, at the direction of the Secretary, of the name 
of any processor, individuals, group of individuals, partnership, 
corporation, association, cooperative, or other entity that has been 
adjudged to have violated this subpart, together with a statement of the 
particular provisions of the subpart so violated.
    (b) Except as otherwise provided in this subpart, information 
obtained under this subpart may be made available to another agency of 
the Federal Government for a civil or criminal law enforcement activity 
if the activity is authorized by law and if the head of the agency has 
made a written request to the Secretary specifying the particular 
information desired and the law enforcement activity for which the 
information is sought.
    (c) Any person violating this section, on conviction, shall be 
subject to a fine of not more than $1,000 or to imprisonment for not 
more than 1 year, or both, and if such person is an agent of the Board 
or an officer or employee of the Department shall be removed from 
office.
    (d) Nothing in this subsection authorizes the Secretary to withhold 
information from a duly authorized committee or subcommittee of 
Congress.

                              Miscellaneous



Sec.  1160.501  Continuation referenda.

    (a) The Secretary at any time may conduct a referendum among those 
persons who the Secretary determines were fluid milk processors during a 
representative period, as determined by the Secretary, on whether to 
suspend or terminate the order. The Secretary shall hold such a 
referendum at the request of the Board or of any group of such 
processors that marketed during a representative period, as determined 
by the Secretary, 10 percent or more of the volume of fluid milk 
products marketed in the United States by fluid milk processors voting 
in the preceding referendum.

[[Page 224]]

    (b) Any suspension or termination of the order on the basis of a 
referendum conducted pursuant to this section must be favored:
    (1) By at least 50 percent of the fluid milk processors voting in 
the referendum; and
    (2) By fluid milk processors voting in the referendum that marketed 
during a representative period, as determined by the Secretary, 40 
percent or more of the volume of fluid milk products marketed in the 
United States by fluid milk processors voting in the referendum.
    (c) If the Secretary determines that the suspension or termination 
of the order is favored in the manner set forth in Sec.  1160.501(b), 
the Secretary shall take such action within 6 months of such 
determination.

[58 FR 62503, Nov. 29, 1993, as amended at 62 FR 3983, Jan. 28, 1997]



Sec.  1160.502  Proceedings after suspension or termination.

    (a) Upon the suspension or termination of this subpart, the Board 
shall recommend to the Secretary not more than five of its members to 
serve as trustees for the purpose of liquidating the affairs of the 
Board. Once the Secretary has designated such members as trustees, they 
shall become trustees of all the funds and property that the Board owns, 
possesses, or controls, including unpaid and undelivered property or any 
other unpaid claim existing at the time of such termination. The actions 
of such trustees shall be subject to approval by the Secretary.
    (b) The said trustees shall:
    (1) Serve as trustees until discharged by the Secretary;
    (2) Carry out the obligations of the Board under any contract or 
agreements that it entered pursuant to Sec. Sec.  1160.208 and 1160.209;
    (3) Account for all receipts and disbursements and deliver to any 
person designated by the Secretary all property on hand, together with 
all books and records of the Board and the trustees; and
    (4) At the request of the Secretary, execute such assignments or 
other instruments necessary or appropriate to vest in the Secretary's 
designee full title and right to all of the funds, property, and claims 
of the Board or the trustees.
    (c) The Secretary's designee shall be subject to the same 
obligations with respect to funds, property or claims transferred or 
delivered pursuant to this subpart as the Board and the trustees.
    (d) The Board, the trustees or the Secretary's designee shall 
deliver to the Secretary any residual funds not required to pay 
liquidation expenses, which funds may be used, to the extent 
practicable, to continue one or more of the promotion, research or 
nutrition education plans or projects authorized pursuant to this 
subpart.



Sec.  1160.503  Effect of suspension, termination or amendment.

    Unless otherwise expressly provided by the Secretary, the suspension 
or termination of this subpart or of any regulation issued pursuant 
hereto, or the issuance of any amendment to either thereof, shall not:
    (a) Affect or waive any right, duty, obligation, or liability of the 
Board or its trustees which shall have arisen or which may hereafter 
arise in connection with any provision of this subpart or any regulation 
issued thereunder;
    (b) Release or extinguish any violation of this subpart or any 
regulation issued thereunder; or
    (c) Affect or impair any rights or remedies of the United States, 
the Secretary, or any person, with respect to any such violation.



Sec.  1160.504  Personal liability.

    No member or employee of the Board shall be held personally 
responsible, either individually or jointly, in any way whatsoever to 
any person for errors in judgment, mistakes, or other acts of either 
commission or omission by such member or employee, except for acts of 
dishonesty or willful misconduct.



Sec.  1160.505  Patents, copyrights, inventions and publications.

    (a) Any patents, copyrights, trademarks, inventions or publications 
developed through the use of funds collected under the provisions of 
this subpart are the property of the United States Government as 
represented by the Board, and shall, along with any

[[Page 225]]

rents, royalties, residual payments, or other income from the rental, 
sale, leasing, franchising, or other uses of such patents, copyrights, 
inventions, or publications, inure to the benefit of the Board. Section 
1160.502 governs the disposition of all such property upon suspension or 
termination of this subpart.
    (b) Should patents, copyrights, inventions, and publications be 
developed through the use of funds collected by the Board under this 
subpart, and funds contributed by another organization or person, 
ownership and related rights to such patents, copyrights, inventions, 
and publications shall be determined by the agreement between the Board 
and the party contributing funds towards the development of such patent, 
copyright, invention, and publication in a manner consistent with 
paragraph (a) of this section.

[58 FR 62503, Nov. 29, 1993, as amended at 63 FR 46639, Sept. 2, 1998]



Sec.  1160.506  Amendments.

    The Secretary may from time to time amend provisions of this 
subpart. Any interested person or organization affected by the 
provisions of the Act may propose amendments to the Secretary.



Sec.  1160.507  Report.

    The Secretary shall provide annually for an independent evaluation 
of the effectiveness of the fluid milk promotion program carried out 
under this subtitle during the previous fiscal year, in conjunction with 
the evaluation of the National Dairy Promotion and Research Board 
established under section 113(b) of the Dairy Production Stabilization 
Act of 1983 (7 U.S.C. 4504(b)).



Sec.  1160.508  Separability.

    If any provision of this subpart is declared invalid or the 
applicability thereof to any person or any circumstances is held 
invalid, such declaration or holding shall not offset the validity of 
the remainder of this subpart or the applicability thereof to other 
persons or circumstances.



 Subpart_Procedure for Conduct of Referenda in Connection with a Fluid 
                          Milk Promotion Order



Sec.  1160.600  General.

    Referenda to determine whether eligible fluid milk processors favor 
the issuance, continuance, termination or suspension of a Fluid Milk 
Promotion Order authorized by the Fluid Milk Promotion Act of 1990 shall 
be conducted in accordance with this subpart.



Sec.  1160.601  Definitions.

    As used in this subpart:
    (a) Act means the Fluid Milk Promotion Act of 1990 (Subtitle H of 
Title XIX of the Food, Agriculture, Conservation, and Trade Act of 1990, 
Pub. L. 101-624, 7 U.S.C. 6401-6417) and any amendments thereto.
    (b) Department means the United States Department of Agriculture.
    (c) Secretary means the Secretary of Agriculture of the United 
States or any officer or employee of the Department to whom authority 
has heretofore been delegated, or to whom authority may hereafter be 
delegated, to act in the Secretary's stead.
    (d) Administrator means the Administrator of the Agricultural 
Marketing Service, with power to redelegate, or any officer or employee 
of the Department to whom authority has been delegated or may hereafter 
be delegated to act in the Administrator's stead.
    (e) Order means a Fluid Milk Promotion Order, and any amendments 
thereto, authorized by the Act.
    (f) Board means the National Fluid Milk Processor Promotion Board 
established pursuant to the Act.
    (g) Assessment means the monies that are collected and remitted to 
the Board pursuant to the Act.
    (h) Person means any individual, group of individuals, partnership, 
corporation, association, cooperative association or other entity.
    (i) Fluid milk processor means any person who is defined as a fluid 
milk processor under the order, or under the proposed order on which the 
initial referendum is held.
    (j) Referendum agent means the person designated by the Secretary to 
conduct the referendum.

[[Page 226]]

    (k) Representative period means the period designated by the 
Secretary pursuant to Sections 1999N and 1999O of the Act.



Sec.  1160.602  Conduct of referendum.

    (a) The referendum shall be conducted by mail in the manner 
prescribed in this subpart. The referendum agent may utilize such 
personnel or agencies of the Department as are deemed necessary by the 
Administrator. There shall be no voting except within the time specified 
by the referendum agent.
    (b) The referendum agent shall mail to each fluid milk processor 
that has properly registered to participate in the referendum:
    (1) A ballot containing a description of the question(s) upon which 
the referendum is being held;
    (2) Instructions for completing the ballot; and
    (3) A statement as to the time within which the ballot must be 
mailed to the referendum agent.



Sec.  1160.603  Who may vote.

    (a) Each person who was a fluid milk processor during the 
representative period, as determined by the Secretary, and who at the 
time of voter registration and when voting is processing and marketing 
commercially fluid milk products in consumer-type packages in the United 
States shall be entitled to vote in a referendum, and no such person 
shall be refused a ballot. Any person casting more than one ballot with 
conflicting votes shall thereby invalidate all ballots cast by such 
person in such referendum. Each person voting shall have registered with 
the referendum agent prior to the voting period. Each ballot cast shall 
contain a certification by the person casting the ballot that such 
person is qualified to vote. All information required on the ballot 
pertinent to the identification of the person voting must be supplied 
and certified to as being correct in order for the ballot to be valid.
    (b) Voting by proxy or agent will not be permitted. However, the 
ballot of a fluid milk processor who is other than an individual may be 
cast by a person who is duly authorized to do so, and such ballot shall 
contain a certification by such person that the entity on whose behalf 
the ballot is cast was a fluid milk processor during the representative 
period. All information required on the ballot pertinent to the 
identification of the fluid milk processor on whose behalf the ballot is 
cast must be supplied and certified to as being correct in order for the 
ballot to be valid.



Sec.  1160.604  Duties of the referendum agent.

    The referendum agent, in addition to any other duties imposed by 
this subpart, shall:
    (a) For the purpose of adjusting the rate of assessment, determine 
and publicly announce prior to the voting period the total volume of 
fluid milk products marketed by all processors of fluid milk in the 
United States during the representative period and the portion of such 
volume that must be represented by those fluid milk processors voting in 
favor of the question included on the ballot if the referendum question 
is to pass.
    (b)(1) Within 12 days after the deadline for registering to vote in 
the referendum, the referendum agent shall make available upon request a 
list of those fluid milk processors that properly registered. Any 
challenge of a processor's eligibility to vote must be received by the 
referendum agent within 17 days of the deadline for voter registration.
    (2) If the voting eligibility of any fluid milk processor is 
challenged within the timeframe specified in Sec.  1160.604(b)(1), the 
referendum agent shall review the challenge and make a final 
determination regarding the processor's eligibility to vote.
    (3) Prior to the time of mailing ballots to fluid milk processors, 
the referendum agent shall prepare a final list of eligible voters and 
make such list available upon request.
    (c) Verify the eligibility of all persons voting in the referendum 
by reviewing all ballots cast to assure that each ballot:
    (1) Was mailed within the prescribed time;
    (2) Contains all certifications required attesting to the 
eligibility of the person to vote, and that the person

[[Page 227]]

voting filed with the referendum agent prior to the voting period the 
advance registration required pursuant to Sec.  1160.606(a)(1); and
    (3) Was completed with respect to all necessary information 
pertinent to the identification of the person voting so that additional 
verification can be conducted by the referendum agent to substantiate 
the eligibility of each such person to vote.
    (d) Conduct further verification, as necessary, to determine the 
eligibility of each person to vote. Such verification may be completed 
by reviewing readily available sources of information, including the 
following:
    (1) Records of the Department;
    (2) Fluid milk processors' records; and
    (3) Any other reliable sources of information which may be available 
to the referendum agent.
    (e) Further verify ballots to avoid a duplication of votes. The 
following criteria shall serve as a guide:
    (1) Each fluid milk processor that is other than an individual shall 
be regarded as one person for voting purposes;
    (2) No more than one vote may be cast on behalf of any one fluid 
milk processor; and
    (3) In the event that more than one individual claim the right to 
vote and cast a ballot for a fluid milk processor, concurring votes of 
such individuals shall be treated as one vote while any conflicting 
votes shall thereby invalidate all ballots cast by such individuals.

[58 FR 62503, Nov. 29, 1993, as amended at 62 FR 3983, Jan. 28, 1997]



Sec.  1160.605  Scheduling of referendum.

    A referendum shall be held:
    (a) Whenever prescribed by the order;
    (b) For the purpose of adjusting the rate of assessment:
    (1) At the direction of the Secretary; or
    (2) Upon request of the Board or upon request of any group of fluid 
milk processors that marketed during a representative period, as 
determined by the Secretary, 10 percent or more of the volume of fluid 
milk products marketed by all processors of fluid milk in the United 
States during that period; or
    (c) For the purpose of suspending or terminating the order:
    (1) At the direction of the Secretary; or
    (2) Upon request of the Board or upon request of any group of fluid 
milk processors that marketed during a representative period, as 
determined by the Secretary, 10 percent or more of the volume of fluid 
milk products marketed by fluid milk processors voting in the preceding 
referendum.

[62 FR 3984, Jan. 28, 1997]



Sec.  1160.606  Notice of referendum.

    The referendum agent shall provide at least 30 days' notice of any 
referendum authorized by the Act by:
    (a) Mailing to each known person processing fluid milk products a 
notice of referendum, which shall include:
    (1) An advance registration form to be filed with the referendum 
agent prior to the voting period by any person choosing to vote in the 
referendum, with a statement as to the time within which the 
registration form must be mailed to the referendum agent;
    (2) A copy of the final rule, when applicable;
    (3) A sample ballot containing a description of the question(s) upon 
which the referendum is being held; and
    (4) Rules for participating in the referendum, including a statement 
as to the time within which the ballot must be mailed to the referendum 
agent; and
    (b) Giving public notice of the referendum:
    (1) By furnishing press releases and other information to available 
media of public information (including but not limited to press, radio, 
and television facilities) announcing the time within which ballots must 
be completed and mailed to the referendum agent, eligibility 
requirements, required certifications to cast a valid ballot, where 
additional information, ballots and instructions may be obtained, and 
other pertinent information; and
    (2) By such other means as the referendum agent may deem advisable.

[[Page 228]]



Sec.  1160.607  Tabulation of ballots.

    (a) The referendum agent shall verify the validity of all ballots 
cast in accordance with the instructions and requirements specified in 
Sec. Sec.  1160.602 through 1160.606. Ballots that are not valid shall 
be marked ``disqualified'' with a notation on the ballot as to the 
reason for the disqualification.
    (b) The total number of ballots cast, including the disqualified 
ballots, shall be ascertained. The number of ballots cast approving, the 
number of ballots cast disapproving, and the pounds of fluid milk 
products distributed during the representative period by the processors 
represented in each grouping of ballots, shall also be ascertained. The 
ballots marked ``disqualified'' shall not be considered as approving or 
disapproving, and the persons who cast such ballots shall not be 
regarded as participating in the referendum.
    (c) The referendum agent shall notify the Administrator of the 
number of ballots cast, the count of the votes, the number of 
disqualified ballots, and the volume of fluid milk products associated 
with the ballots cast as prescribed in Sec.  1160.607(b). The referendum 
agent shall seal the ballots and transmit to the Administrator a 
complete detailed report of all actions taken in connection with the 
referendum and all other information furnished to or compiled by the 
referendum agent.
    (d) Announcement of the results of the referendum will be made only 
at the direction of the Secretary. The referendum agent or others who 
assist in the referendum shall not disclose the results of the 
referendum or the total number of ballots and votes cast.



Sec.  1160.608  Confidential information.

    The ballots cast, the identity of any person who voted, or the 
manner in which any person voted and all information furnished to, 
compiled by, or in the possession of the referendum agent, except the 
list of eligible voters, shall be regarded as confidential.



Sec.  1160.609  Supplementary instructions.

    The Administrator is authorized to issue instructions and to 
prescribe forms and ballots, not inconsistent with the provisions of 
this subpart, to govern the conduct of referenda by referendum agents.

                       PARTS 1161-1199 [RESERVED]

[[Page 229]]



                              FINDING AIDS




  --------------------------------------------------------------------

  A list of CFR titles, subtitles, chapters, subchapters and parts and 
an alphabetical list of agencies publishing in the CFR are included in 
the CFR Index and Finding Aids volume to the Code of Federal Regulations 
which is published separately and revised annually.

  Table of CFR Titles and Chapters
  Alphabetical List of Agencies Appearing in the CFR
  List of CFR Sections Affected

[[Page 231]]



                    Table of CFR Titles and Chapters




                     (Revised as of January 1, 2004)

                      Title 1--General Provisions

         I  Administrative Committee of the Federal Register 
                (Parts 1--49)
        II  Office of the Federal Register (Parts 50--299)
        IV  Miscellaneous Agencies (Parts 400--500)

                          Title 2 [Reserved]

                        Title 3--The President

         I  Executive Office of the President (Parts 100--199)

                           Title 4--Accounts

         I  General Accounting Office (Parts 1--99)

                   Title 5--Administrative Personnel

         I  Office of Personnel Management (Parts 1--1199)
        II  Merit Systems Protection Board (Parts 1200--1299)
       III  Office of Management and Budget (Parts 1300--1399)
         V  The International Organizations Employees Loyalty 
                Board (Parts 1500--1599)
        VI  Federal Retirement Thrift Investment Board (Parts 
                1600--1699)
      VIII  Office of Special Counsel (Parts 1800--1899)
        IX  Appalachian Regional Commission (Parts 1900--1999)
        XI  Armed Forces Retirement Home (Part 2100)
       XIV  Federal Labor Relations Authority, General Counsel of 
                the Federal Labor Relations Authority and Federal 
                Service Impasses Panel (Parts 2400--2499)
        XV  Office of Administration, Executive Office of the 
                President (Parts 2500--2599)
       XVI  Office of Government Ethics (Parts 2600--2699)
       XXI  Department of the Treasury (Parts 3100--3199)
      XXII  Federal Deposit Insurance Corporation (Part 3201)
     XXIII  Department of Energy (Part 3301)
      XXIV  Federal Energy Regulatory Commission (Part 3401)
       XXV  Department of the Interior (Part 3501)
      XXVI  Department of Defense (Part 3601)

[[Page 232]]

    XXVIII  Department of Justice (Part 3801)
      XXIX  Federal Communications Commission (Parts 3900--3999)
       XXX  Farm Credit System Insurance Corporation (Parts 4000--
                4099)
      XXXI  Farm Credit Administration (Parts 4100--4199)
    XXXIII  Overseas Private Investment Corporation (Part 4301)
      XXXV  Office of Personnel Management (Part 4501)
        XL  Interstate Commerce Commission (Part 5001)
       XLI  Commodity Futures Trading Commission (Part 5101)
      XLII  Department of Labor (Part 5201)
     XLIII  National Science Foundation (Part 5301)
       XLV  Department of Health and Human Services (Part 5501)
      XLVI  Postal Rate Commission (Part 5601)
     XLVII  Federal Trade Commission (Part 5701)
    XLVIII  Nuclear Regulatory Commission (Part 5801)
         L  Department of Transportation (Part 6001)
       LII  Export-Import Bank of the United States (Part 6201)
      LIII  Department of Education (Parts 6300--6399)
       LIV  Environmental Protection Agency (Part 6401)
        LV  National Endowment for the Arts (Part 6501)
       LVI  National Endowment for the Humanities (Part 6601)
      LVII  General Services Administration (Part 6701)
     LVIII  Board of Governors of the Federal Reserve System (Part 
                6801)
       LIX  National Aeronautics and Space Administration (Part 
                6901)
        LX  United States Postal Service (Part 7001)
       LXI  National Labor Relations Board (Part 7101)
      LXII  Equal Employment Opportunity Commission (Part 7201)
     LXIII  Inter-American Foundation (Part 7301)
       LXV  Department of Housing and Urban Development (Part 
                7501)
      LXVI  National Archives and Records Administration (Part 
                7601)
     LXVII  Institute of Museum and Library Services (Part 7701)
      LXIX  Tennessee Valley Authority (Part 7901)
      LXXI  Consumer Product Safety Commission (Part 8101)
    LXXIII  Department of Agriculture (Part 8301)
     LXXIV  Federal Mine Safety and Health Review Commission (Part 
                8401)
     LXXVI  Federal Retirement Thrift Investment Board (Part 8601)
    LXXVII  Office of Management and Budget (Part 8701)

                      Title 6--Homeland Security

         I  Department of Homeland Security, Office of the 
                Secretary (Parts 0--99)

[[Page 233]]

                         Title 7--Agriculture

            Subtitle A--Office of the Secretary of Agriculture 
                (Parts 0--26)
            Subtitle B--Regulations of the Department of 
                Agriculture
         I  Agricultural Marketing Service (Standards, 
                Inspections, Marketing Practices), Department of 
                Agriculture (Parts 27--209)
        II  Food and Nutrition Service, Department of Agriculture 
                (Parts 210--299)
       III  Animal and Plant Health Inspection Service, Department 
                of Agriculture (Parts 300--399)
        IV  Federal Crop Insurance Corporation, Department of 
                Agriculture (Parts 400--499)
         V  Agricultural Research Service, Department of 
                Agriculture (Parts 500--599)
        VI  Natural Resources Conservation Service, Department of 
                Agriculture (Parts 600--699)
       VII  Farm Service Agency, Department of Agriculture (Parts 
                700--799)
      VIII  Grain Inspection, Packers and Stockyards 
                Administration (Federal Grain Inspection Service), 
                Department of Agriculture (Parts 800--899)
        IX  Agricultural Marketing Service (Marketing Agreements 
                and Orders; Fruits, Vegetables, Nuts), Department 
                of Agriculture (Parts 900--999)
         X  Agricultural Marketing Service (Marketing Agreements 
                and Orders; Milk), Department of Agriculture 
                (Parts 1000--1199)
        XI  Agricultural Marketing Service (Marketing Agreements 
                and Orders; Miscellaneous Commodities), Department 
                of Agriculture (Parts 1200--1299)
       XIV  Commodity Credit Corporation, Department of 
                Agriculture (Parts 1400--1499)
        XV  Foreign Agricultural Service, Department of 
                Agriculture (Parts 1500--1599)
       XVI  Rural Telephone Bank, Department of Agriculture (Parts 
                1600--1699)
      XVII  Rural Utilities Service, Department of Agriculture 
                (Parts 1700--1799)
     XVIII  Rural Housing Service, Rural Business-Cooperative 
                Service, Rural Utilities Service, and Farm Service 
                Agency, Department of Agriculture (Parts 1800--
                2099)
        XX  Local Television Loan Guarantee Board (Parts 2200--
                2299)
      XXVI  Office of Inspector General, Department of Agriculture 
                (Parts 2600--2699)
     XXVII  Office of Information Resources Management, Department 
                of Agriculture (Parts 2700--2799)
    XXVIII  Office of Operations, Department of Agriculture (Parts 
                2800--2899)
      XXIX  Office of Energy, Department of Agriculture (Parts 
                2900--2999)
       XXX  Office of the Chief Financial Officer, Department of 
                Agriculture (Parts 3000--3099)

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      XXXI  Office of Environmental Quality, Department of 
                Agriculture (Parts 3100--3199)
     XXXII  Office of Procurement and Property Management, 
                Department of Agriculture (Parts 3200--3299)
    XXXIII  Office of Transportation, Department of Agriculture 
                (Parts 3300--3399)
     XXXIV  Cooperative State Research, Education, and Extension 
                Service, Department of Agriculture (Parts 3400--
                3499)
      XXXV  Rural Housing Service, Department of Agriculture 
                (Parts 3500--3599)
     XXXVI  National Agricultural Statistics Service, Department 
                of Agriculture (Parts 3600--3699)
    XXXVII  Economic Research Service, Department of Agriculture 
                (Parts 3700--3799)
   XXXVIII  World Agricultural Outlook Board, Department of 
                Agriculture (Parts 3800--3899)
       XLI  [Reserved]
      XLII  Rural Business-Cooperative Service and Rural Utilities 
                Service, Department of Agriculture (Parts 4200--
                4299)

                    Title 8--Aliens and Nationality

         I  Department of Homeland Security (Immigration and 
                Naturalization) (Parts 1--499)
         V  Executive Office for Immigration Review, Department of 
                Justice (Parts 1000--1399)

                 Title 9--Animals and Animal Products

         I  Animal and Plant Health Inspection Service, Department 
                of Agriculture (Parts 1--199)
        II  Grain Inspection, Packers and Stockyards 
                Administration (Packers and Stockyards Programs), 
                Department of Agriculture (Parts 200--299)
       III  Food Safety and Inspection Service, Department of 
                Agriculture (Parts 300--599)

                           Title 10--Energy

         I  Nuclear Regulatory Commission (Parts 0--199)
        II  Department of Energy (Parts 200--699)
       III  Department of Energy (Parts 700--999)
         X  Department of Energy (General Provisions) (Parts 
                1000--1099)
      XVII  Defense Nuclear Facilities Safety Board (Parts 1700--
                1799)
     XVIII  Northeast Interstate Low-Level Radioactive Waste 
                Commission (Part 1800)

[[Page 235]]

                      Title 11--Federal Elections

         I  Federal Election Commission (Parts 1--9099)

                      Title 12--Banks and Banking

         I  Comptroller of the Currency, Department of the 
                Treasury (Parts 1--199)
        II  Federal Reserve System (Parts 200--299)
       III  Federal Deposit Insurance Corporation (Parts 300--399)
        IV  Export-Import Bank of the United States (Parts 400--
                499)
         V  Office of Thrift Supervision, Department of the 
                Treasury (Parts 500--599)
        VI  Farm Credit Administration (Parts 600--699)
       VII  National Credit Union Administration (Parts 700--799)
      VIII  Federal Financing Bank (Parts 800--899)
        IX  Federal Housing Finance Board (Parts 900--999)
        XI  Federal Financial Institutions Examination Council 
                (Parts 1100--1199)
       XIV  Farm Credit System Insurance Corporation (Parts 1400--
                1499)
        XV  Department of the Treasury (Parts 1500--1599)
      XVII  Office of Federal Housing Enterprise Oversight, 
                Department of Housing and Urban Development (Parts 
                1700--1799)
     XVIII  Community Development Financial Institutions Fund, 
                Department of the Treasury (Parts 1800--1899)

               Title 13--Business Credit and Assistance

         I  Small Business Administration (Parts 1--199)
       III  Economic Development Administration, Department of 
                Commerce (Parts 300--399)
        IV  Emergency Steel Guarantee Loan Board, Department of 
                Commerce (Parts 400--499)
         V  Emergency Oil and Gas Guaranteed Loan Board, 
                Department of Commerce (Parts 500--599)

                    Title 14--Aeronautics and Space

         I  Federal Aviation Administration, Department of 
                Transportation (Parts 1--199)
        II  Office of the Secretary, Department of Transportation 
                (Aviation Proceedings) (Parts 200--399)
       III  Commercial Space Transportation, Federal Aviation 
                Administration, Department of Transportation 
                (Parts 400--499)
         V  National Aeronautics and Space Administration (Parts 
                1200--1299)
        VI  Air Transportation System Stabilization (Parts 1300--
                1399)

[[Page 236]]

                 Title 15--Commerce and Foreign Trade

            Subtitle A--Office of the Secretary of Commerce (Parts 
                0--29)
            Subtitle B--Regulations Relating to Commerce and 
                Foreign Trade
         I  Bureau of the Census, Department of Commerce (Parts 
                30--199)
        II  National Institute of Standards and Technology, 
                Department of Commerce (Parts 200--299)
       III  International Trade Administration, Department of 
                Commerce (Parts 300--399)
        IV  Foreign-Trade Zones Board, Department of Commerce 
                (Parts 400--499)
       VII  Bureau of Industry and Security, Department of 
                Commerce (Parts 700--799)
      VIII  Bureau of Economic Analysis, Department of Commerce 
                (Parts 800--899)
        IX  National Oceanic and Atmospheric Administration, 
                Department of Commerce (Parts 900--999)
        XI  Technology Administration, Department of Commerce 
                (Parts 1100--1199)
      XIII  East-West Foreign Trade Board (Parts 1300--1399)
       XIV  Minority Business Development Agency (Parts 1400--
                1499)
            Subtitle C--Regulations Relating to Foreign Trade 
                Agreements
        XX  Office of the United States Trade Representative 
                (Parts 2000--2099)
            Subtitle D--Regulations Relating to Telecommunications 
                and Information
     XXIII  National Telecommunications and Information 
                Administration, Department of Commerce (Parts 
                2300--2399)

                    Title 16--Commercial Practices

         I  Federal Trade Commission (Parts 0--999)
        II  Consumer Product Safety Commission (Parts 1000--1799)

             Title 17--Commodity and Securities Exchanges

         I  Commodity Futures Trading Commission (Parts 1--199)
        II  Securities and Exchange Commission (Parts 200--399)
        IV  Department of the Treasury (Parts 400--499)

          Title 18--Conservation of Power and Water Resources

         I  Federal Energy Regulatory Commission, Department of 
                Energy (Parts 1--399)
       III  Delaware River Basin Commission (Parts 400--499)
        VI  Water Resources Council (Parts 700--799)

[[Page 237]]

      VIII  Susquehanna River Basin Commission (Parts 800--899)
      XIII  Tennessee Valley Authority (Parts 1300--1399)

                       Title 19--Customs Duties

         I  Bureau of Customs and Border Protection, Department of 
                Homeland Security; Department of the Treasury 
                (Parts 0--199)
        II  United States International Trade Commission (Parts 
                200--299)
       III  International Trade Administration, Department of 
                Commerce (Parts 300--399)
        IV  Bureau of Immigration and Customs Enforcement, 
                Department of Homeland Security (Parts 400--599)

                     Title 20--Employees' Benefits

         I  Office of Workers' Compensation Programs, Department 
                of Labor (Parts 1--199)
        II  Railroad Retirement Board (Parts 200--399)
       III  Social Security Administration (Parts 400--499)
        IV  Employees' Compensation Appeals Board, Department of 
                Labor (Parts 500--599)
         V  Employment and Training Administration, Department of 
                Labor (Parts 600--699)
        VI  Employment Standards Administration, Department of 
                Labor (Parts 700--799)
       VII  Benefits Review Board, Department of Labor (Parts 
                800--899)
      VIII  Joint Board for the Enrollment of Actuaries (Parts 
                900--999)
        IX  Office of the Assistant Secretary for Veterans' 
                Employment and Training, Department of Labor 
                (Parts 1000--1099)

                       Title 21--Food and Drugs

         I  Food and Drug Administration, Department of Health and 
                Human Services (Parts 1--1299)
        II  Drug Enforcement Administration, Department of Justice 
                (Parts 1300--1399)
       III  Office of National Drug Control Policy (Parts 1400--
                1499)

                      Title 22--Foreign Relations

         I  Department of State (Parts 1--199)
        II  Agency for International Development (Parts 200--299)
       III  Peace Corps (Parts 300--399)
        IV  International Joint Commission, United States and 
                Canada (Parts 400--499)
         V  Broadcasting Board of Governors (Parts 500--599)
       VII  Overseas Private Investment Corporation (Parts 700--
                799)
        IX  Foreign Service Grievance Board Regulations (Parts 
                900--999)

[[Page 238]]

         X  Inter-American Foundation (Parts 1000--1099)
        XI  International Boundary and Water Commission, United 
                States and Mexico, United States Section (Parts 
                1100--1199)
       XII  United States International Development Cooperation 
                Agency (Parts 1200--1299)
       XIV  Foreign Service Labor Relations Board; Federal Labor 
                Relations Authority; General Counsel of the 
                Federal Labor Relations Authority; and the Foreign 
                Service Impasse Disputes Panel (Parts 1400--1499)
        XV  African Development Foundation (Parts 1500--1599)
       XVI  Japan-United States Friendship Commission (Parts 
                1600--1699)
      XVII  United States Institute of Peace (Parts 1700--1799)

                          Title 23--Highways

         I  Federal Highway Administration, Department of 
                Transportation (Parts 1--999)
        II  National Highway Traffic Safety Administration and 
                Federal Highway Administration, Department of 
                Transportation (Parts 1200--1299)
       III  National Highway Traffic Safety Administration, 
                Department of Transportation (Parts 1300--1399)

                Title 24--Housing and Urban Development

            Subtitle A--Office of the Secretary, Department of 
                Housing and Urban Development (Parts 0--99)
            Subtitle B--Regulations Relating to Housing and Urban 
                Development
         I  Office of Assistant Secretary for Equal Opportunity, 
                Department of Housing and Urban Development (Parts 
                100--199)
        II  Office of Assistant Secretary for Housing-Federal 
                Housing Commissioner, Department of Housing and 
                Urban Development (Parts 200--299)
       III  Government National Mortgage Association, Department 
                of Housing and Urban Development (Parts 300--399)
        IV  Office of Housing and Office of Multifamily Housing 
                Assistance Restructuring, Department of Housing 
                and Urban Development (Parts 400--499)
         V  Office of Assistant Secretary for Community Planning 
                and Development, Department of Housing and Urban 
                Development (Parts 500--599)
        VI  Office of Assistant Secretary for Community Planning 
                and Development, Department of Housing and Urban 
                Development (Parts 600--699) [Reserved]
       VII  Office of the Secretary, Department of Housing and 
                Urban Development (Housing Assistance Programs and 
                Public and Indian Housing Programs) (Parts 700--
                799)

[[Page 239]]

      VIII  Office of the Assistant Secretary for Housing--Federal 
                Housing Commissioner, Department of Housing and 
                Urban Development (Section 8 Housing Assistance 
                Programs, Section 202 Direct Loan Program, Section 
                202 Supportive Housing for the Elderly Program and 
                Section 811 Supportive Housing for Persons With 
                Disabilities Program) (Parts 800--899)
        IX  Office of Assistant Secretary for Public and Indian 
                Housing, Department of Housing and Urban 
                Development (Parts 900--1699)
         X  Office of Assistant Secretary for Housing--Federal 
                Housing Commissioner, Department of Housing and 
                Urban Development (Interstate Land Sales 
                Registration Program) (Parts 1700--1799)
       XII  Office of Inspector General, Department of Housing and 
                Urban Development (Parts 2000--2099)
        XX  Office of Assistant Secretary for Housing--Federal 
                Housing Commissioner, Department of Housing and 
                Urban Development (Parts 3200--3899)
       XXV  Neighborhood Reinvestment Corporation (Parts 4100--
                4199)

                           Title 25--Indians

         I  Bureau of Indian Affairs, Department of the Interior 
                (Parts 1--299)
        II  Indian Arts and Crafts Board, Department of the 
                Interior (Parts 300--399)
       III  National Indian Gaming Commission, Department of the 
                Interior (Parts 500--599)
        IV  Office of Navajo and Hopi Indian Relocation (Parts 
                700--799)
         V  Bureau of Indian Affairs, Department of the Interior, 
                and Indian Health Service, Department of Health 
                and Human Services (Part 900)
        VI  Office of the Assistant Secretary-Indian Affairs, 
                Department of the Interior (Parts 1000--1199)
       VII  Office of the Special Trustee for American Indians, 
                Department of the Interior (Part 1200)

                      Title 26--Internal Revenue

         I  Internal Revenue Service, Department of the Treasury 
                (Parts 1--899)

           Title 27--Alcohol, Tobacco Products and Firearms

         I  Alcohol and Tobacco Tax and Trade Bureau, Department 
                of the Treasury (Parts 1--399)
        II  Bureau of Alcohol, Tobacco, Firearms, and Explosives, 
                Department of Justice (Parts 400--699)

                   Title 28--Judicial Administration

         I  Department of Justice (Parts 0--299)

[[Page 240]]

       III  Federal Prison Industries, Inc., Department of Justice 
                (Parts 300--399)
         V  Bureau of Prisons, Department of Justice (Parts 500--
                599)
        VI  Offices of Independent Counsel, Department of Justice 
                (Parts 600--699)
       VII  Office of Independent Counsel (Parts 700--799)
      VIII  Court Services and Offender Supervision Agency for the 
                District of Columbia (Parts 800--899)
        IX  National Crime Prevention and Privacy Compact Council 
                (Parts 900--999)
        XI  Department of Justice and Department of State (Parts 
                1100--1199)

                            Title 29--Labor

            Subtitle A--Office of the Secretary of Labor (Parts 
                0--99)
            Subtitle B--Regulations Relating to Labor
         I  National Labor Relations Board (Parts 100--199)
        II  Office of Labor-Management Standards, Department of 
                Labor (Parts 200--299)
       III  National Railroad Adjustment Board (Parts 300--399)
        IV  Office of Labor-Management Standards, Department of 
                Labor (Parts 400--499)
         V  Wage and Hour Division, Department of Labor (Parts 
                500--899)
        IX  Construction Industry Collective Bargaining Commission 
                (Parts 900--999)
         X  National Mediation Board (Parts 1200--1299)
       XII  Federal Mediation and Conciliation Service (Parts 
                1400--1499)
       XIV  Equal Employment Opportunity Commission (Parts 1600--
                1699)
      XVII  Occupational Safety and Health Administration, 
                Department of Labor (Parts 1900--1999)
        XX  Occupational Safety and Health Review Commission 
                (Parts 2200--2499)
       XXV  Employee Benefits Security Administration, Department 
                of Labor (Parts 2500--2599)
     XXVII  Federal Mine Safety and Health Review Commission 
                (Parts 2700--2799)
        XL  Pension Benefit Guaranty Corporation (Parts 4000--
                4999)

                      Title 30--Mineral Resources

         I  Mine Safety and Health Administration, Department of 
                Labor (Parts 1--199)
        II  Minerals Management Service, Department of the 
                Interior (Parts 200--299)
       III  Board of Surface Mining and Reclamation Appeals, 
                Department of the Interior (Parts 300--399)
        IV  Geological Survey, Department of the Interior (Parts 
                400--499)

[[Page 241]]

       VII  Office of Surface Mining Reclamation and Enforcement, 
                Department of the Interior (Parts 700--999)

                 Title 31--Money and Finance: Treasury

            Subtitle A--Office of the Secretary of the Treasury 
                (Parts 0--50)
            Subtitle B--Regulations Relating to Money and Finance
         I  Monetary Offices, Department of the Treasury (Parts 
                51--199)
        II  Fiscal Service, Department of the Treasury (Parts 
                200--399)
        IV  Secret Service, Department of the Treasury (Parts 
                400--499)
         V  Office of Foreign Assets Control, Department of the 
                Treasury (Parts 500--599)
        VI  Bureau of Engraving and Printing, Department of the 
                Treasury (Parts 600--699)
       VII  Federal Law Enforcement Training Center, Department of 
                the Treasury (Parts 700--799)
      VIII  Office of International Investment, Department of the 
                Treasury (Parts 800--899)
        IX  Federal Claims Collection Standards (Department of the 
                Treasury--Department of Justice) (Parts 900--999)

                      Title 32--National Defense

            Subtitle A--Department of Defense
         I  Office of the Secretary of Defense (Parts 1--399)
         V  Department of the Army (Parts 400--699)
        VI  Department of the Navy (Parts 700--799)
       VII  Department of the Air Force (Parts 800--1099)
            Subtitle B--Other Regulations Relating to National 
                Defense
       XII  Defense Logistics Agency (Parts 1200--1299)
       XVI  Selective Service System (Parts 1600--1699)
     XVIII  National Counterintelligence Center (Parts 1800--1899)
       XIX  Central Intelligence Agency (Parts 1900--1999)
        XX  Information Security Oversight Office, National 
                Archives and Records Administration (Parts 2000--
                2099)
       XXI  National Security Council (Parts 2100--2199)
      XXIV  Office of Science and Technology Policy (Parts 2400--
                2499)
     XXVII  Office for Micronesian Status Negotiations (Parts 
                2700--2799)
    XXVIII  Office of the Vice President of the United States 
                (Parts 2800--2899)

               Title 33--Navigation and Navigable Waters

         I  Coast Guard, Department of Homeland Security (Parts 
                1--199)
        II  Corps of Engineers, Department of the Army (Parts 
                200--399)

[[Page 242]]

        IV  Saint Lawrence Seaway Development Corporation, 
                Department of Transportation (Parts 400--499)

                          Title 34--Education

            Subtitle A--Office of the Secretary, Department of 
                Education (Parts 1--99)
            Subtitle B--Regulations of the Offices of the 
                Department of Education
         I  Office for Civil Rights, Department of Education 
                (Parts 100--199)
        II  Office of Elementary and Secondary Education, 
                Department of Education (Parts 200--299)
       III  Office of Special Education and Rehabilitative 
                Services, Department of Education (Parts 300--399)
        IV  Office of Vocational and Adult Education, Department 
                of Education (Parts 400--499)
         V  Office of Bilingual Education and Minority Languages 
                Affairs, Department of Education (Parts 500--599)
        VI  Office of Postsecondary Education, Department of 
                Education (Parts 600--699)
        XI  National Institute for Literacy (Parts 1100--1199)
            Subtitle C--Regulations Relating to Education
       XII  National Council on Disability (Parts 1200--1299)

                        Title 35--Panama Canal

         I  Panama Canal Regulations (Parts 1--299)

             Title 36--Parks, Forests, and Public Property

         I  National Park Service, Department of the Interior 
                (Parts 1--199)
        II  Forest Service, Department of Agriculture (Parts 200--
                299)
       III  Corps of Engineers, Department of the Army (Parts 
                300--399)
        IV  American Battle Monuments Commission (Parts 400--499)
         V  Smithsonian Institution (Parts 500--599)
       VII  Library of Congress (Parts 700--799)
      VIII  Advisory Council on Historic Preservation (Parts 800--
                899)
        IX  Pennsylvania Avenue Development Corporation (Parts 
                900--999)
         X  Presidio Trust (Parts 1000--1099)
        XI  Architectural and Transportation Barriers Compliance 
                Board (Parts 1100--1199)
       XII  National Archives and Records Administration (Parts 
                1200--1299)
        XV  Oklahoma City National Memorial Trust (Part 1501)
       XVI  Morris K. Udall Scholarship and Excellence in National 
                Environmental Policy Foundation (Parts 1600--1699)

[[Page 243]]

             Title 37--Patents, Trademarks, and Copyrights

         I  United States Patent and Trademark Office, Department 
                of Commerce (Parts 1--199)
        II  Copyright Office, Library of Congress (Parts 200--299)
        IV  Assistant Secretary for Technology Policy, Department 
                of Commerce (Parts 400--499)
         V  Under Secretary for Technology, Department of Commerce 
                (Parts 500--599)

           Title 38--Pensions, Bonuses, and Veterans' Relief

         I  Department of Veterans Affairs (Parts 0--99)

                       Title 39--Postal Service

         I  United States Postal Service (Parts 1--999)
       III  Postal Rate Commission (Parts 3000--3099)

                  Title 40--Protection of Environment

         I  Environmental Protection Agency (Parts 1--1099)
        IV  Environmental Protection Agency and Department of 
                Justice (Parts 1400--1499)
         V  Council on Environmental Quality (Parts 1500--1599)
        VI  Chemical Safety and Hazard Investigation Board (Parts 
                1600--1699)
       VII  Environmental Protection Agency and Department of 
                Defense; Uniform National Discharge Standards for 
                Vessels of the Armed Forces (Parts 1700--1799)

          Title 41--Public Contracts and Property Management

            Subtitle B--Other Provisions Relating to Public 
                Contracts
        50  Public Contracts, Department of Labor (Parts 50-1--50-
                999)
        51  Committee for Purchase From People Who Are Blind or 
                Severely Disabled (Parts 51-1--51-99)
        60  Office of Federal Contract Compliance Programs, Equal 
                Employment Opportunity, Department of Labor (Parts 
                60-1--60-999)
        61  Office of the Assistant Secretary for Veterans' 
                Employment and Training Service, Department of 
                Labor (Parts 61-1--61-999)
            Subtitle C--Federal Property Management Regulations 
                System
       101  Federal Property Management Regulations (Parts 101-1--
                101-99)
       102  Federal Management Regulation (Parts 102-1--102-299)
       105  General Services Administration (Parts 105-1--105-999)
       109  Department of Energy Property Management Regulations 
                (Parts 109-1--109-99)
       114  Department of the Interior (Parts 114-1--114-99)
       115  Environmental Protection Agency (Parts 115-1--115-99)

[[Page 244]]

       128  Department of Justice (Parts 128-1--128-99)
            Subtitle D--Other Provisions Relating to Property 
                Management [Reserved]
            Subtitle E--Federal Information Resources Management 
                Regulations System
       201  Federal Information Resources Management Regulation 
                (Parts 201-1--201-99) [Reserved]
            Subtitle F--Federal Travel Regulation System
       300  General (Parts 300-1--300-99)
       301  Temporary Duty (TDY) Travel Allowances (Parts 301-1--
                301-99)
       302  Relocation Allowances (Parts 302-1--302-99)
       303  Payment of Expenses Connected with the Death of 
                Certain Employees (Part 303-70)
       304  Payment of Travel Expenses from a Non-Federal Source 
                (Parts 304-1--304-99)

                        Title 42--Public Health

         I  Public Health Service, Department of Health and Human 
                Services (Parts 1--199)
        IV  Centers for Medicare & Medicaid Services, Department 
                of Health and Human Services (Parts 400--499)
         V  Office of Inspector General-Health Care, Department of 
                Health and Human Services (Parts 1000--1999)

                   Title 43--Public Lands: Interior

            Subtitle A--Office of the Secretary of the Interior 
                (Parts 1--199)
            Subtitle B--Regulations Relating to Public Lands
         I  Bureau of Reclamation, Department of the Interior 
                (Parts 200--499)
        II  Bureau of Land Management, Department of the Interior 
                (Parts 1000--9999)
       III  Utah Reclamation Mitigation and Conservation 
                Commission (Parts 10000--10010)

             Title 44--Emergency Management and Assistance

         I  Federal Emergency Management Agency, Department of 
                Homeland Security (Parts 0--399)
        IV  Department of Commerce and Department of 
                Transportation (Parts 400--499)

                       Title 45--Public Welfare

            Subtitle A--Department of Health and Human Services 
                (Parts 1--199)
            Subtitle B--Regulations Relating to Public Welfare

[[Page 245]]

        II  Office of Family Assistance (Assistance Programs), 
                Administration for Children and Families, 
                Department of Health and Human Services (Parts 
                200--299)
       III  Office of Child Support Enforcement (Child Support 
                Enforcement Program), Administration for Children 
                and Families, Department of Health and Human 
                Services (Parts 300--399)
        IV  Office of Refugee Resettlement, Administration for 
                Children and Families, Department of Health and 
                Human Services (Parts 400--499)
         V  Foreign Claims Settlement Commission of the United 
                States, Department of Justice (Parts 500--599)
        VI  National Science Foundation (Parts 600--699)
       VII  Commission on Civil Rights (Parts 700--799)
      VIII  Office of Personnel Management (Parts 800--899)
         X  Office of Community Services, Administration for 
                Children and Families, Department of Health and 
                Human Services (Parts 1000--1099)
        XI  National Foundation on the Arts and the Humanities 
                (Parts 1100--1199)
       XII  Corporation for National and Community Service (Parts 
                1200--1299)
      XIII  Office of Human Development Services, Department of 
                Health and Human Services (Parts 1300--1399)
       XVI  Legal Services Corporation (Parts 1600--1699)
      XVII  National Commission on Libraries and Information 
                Science (Parts 1700--1799)
     XVIII  Harry S. Truman Scholarship Foundation (Parts 1800--
                1899)
       XXI  Commission on Fine Arts (Parts 2100--2199)
     XXIII  Arctic Research Commission (Part 2301)
      XXIV  James Madison Memorial Fellowship Foundation (Parts 
                2400--2499)
       XXV  Corporation for National and Community Service (Parts 
                2500--2599)

                          Title 46--Shipping

         I  Coast Guard, Department of Homeland Security (Parts 
                1--199)
        II  Maritime Administration, Department of Transportation 
                (Parts 200--399)
       III  Coast Guard (Great Lakes Pilotage), Department of 
                Homeland Security (Parts 400--499)
        IV  Federal Maritime Commission (Parts 500--599)

                      Title 47--Telecommunication

         I  Federal Communications Commission (Parts 0--199)
        II  Office of Science and Technology Policy and National 
                Security Council (Parts 200--299)

[[Page 246]]

       III  National Telecommunications and Information 
                Administration, Department of Commerce (Parts 
                300--399)

           Title 48--Federal Acquisition Regulations System

         1  Federal Acquisition Regulation (Parts 1--99)
         2  Department of Defense (Parts 200--299)
         3  Department of Health and Human Services (Parts 300--
                399)
         4  Department of Agriculture (Parts 400--499)
         5  General Services Administration (Parts 500--599)
         6  Department of State (Parts 600--699)
         7  United States Agency for International Development 
                (Parts 700--799)
         8  Department of Veterans Affairs (Parts 800--899)
         9  Department of Energy (Parts 900--999)
        10  Department of the Treasury (Parts 1000--1099)
        12  Department of Transportation (Parts 1200--1299)
        13  Department of Commerce (Parts 1300--1399)
        14  Department of the Interior (Parts 1400--1499)
        15  Environmental Protection Agency (Parts 1500--1599)
        16  Office of Personnel Management, Federal Employees 
                Health Benefits Acquisition Regulation (Parts 
                1600--1699)
        17  Office of Personnel Management (Parts 1700--1799)
        18  National Aeronautics and Space Administration (Parts 
                1800--1899)
        19  Broadcasting Board of Governors (Parts 1900--1999)
        20  Nuclear Regulatory Commission (Parts 2000--2099)
        21  Office of Personnel Management, Federal Employees 
                Group Life Insurance Federal Acquisition 
                Regulation (Parts 2100--2199)
        23  Social Security Administration (Parts 2300--2399)
        24  Department of Housing and Urban Development (Parts 
                2400--2499)
        25  National Science Foundation (Parts 2500--2599)
        28  Department of Justice (Parts 2800--2899)
        29  Department of Labor (Parts 2900--2999)
        30  Department of Homeland Security, Homeland Security 
                Acquisition Regulation (HSAR) (Parts 3000--3099)
        34  Department of Education Acquisition Regulation (Parts 
                3400--3499)
        35  Panama Canal Commission (Parts 3500--3599)
        44  Federal Emergency Management Agency (Parts 4400--4499)
        51  Department of the Army Acquisition Regulations (Parts 
                5100--5199)
        52  Department of the Navy Acquisition Regulations (Parts 
                5200--5299)
        53  Department of the Air Force Federal Acquisition 
                Regulation Supplement (Parts 5300--5399)

[[Page 247]]

        54  Defense Logistics Agency, Department of Defense (Parts 
                5400--5499)
        57  African Development Foundation (Parts 5700--5799)
        61  General Services Administration Board of Contract 
                Appeals (Parts 6100--6199)
        63  Department of Transportation Board of Contract Appeals 
                (Parts 6300--6399)
        99  Cost Accounting Standards Board, Office of Federal 
                Procurement Policy, Office of Management and 
                Budget (Parts 9900--9999)

                       Title 49--Transportation

            Subtitle A--Office of the Secretary of Transportation 
                (Parts 1--99)
            Subtitle B--Other Regulations Relating to 
                Transportation
         I  Research and Special Programs Administration, 
                Department of Transportation (Parts 100--199)
        II  Federal Railroad Administration, Department of 
                Transportation (Parts 200--299)
       III  Federal Motor Carrier Safety Administration, 
                Department of Transportation (Parts 300--399)
        IV  Coast Guard, Department of Homeland Security (Parts 
                400--499)
         V  National Highway Traffic Safety Administration, 
                Department of Transportation (Parts 500--599)
        VI  Federal Transit Administration, Department of 
                Transportation (Parts 600--699)
       VII  National Railroad Passenger Corporation (AMTRAK) 
                (Parts 700--799)
      VIII  National Transportation Safety Board (Parts 800--999)
         X  Surface Transportation Board, Department of 
                Transportation (Parts 1000--1399)
        XI  Bureau of Transportation Statistics, Department of 
                Transportation (Parts 1400--1499)
       XII  Transportation Security Administration, Department of 
                Homeland Security (Parts 1500--1599)

                   Title 50--Wildlife and Fisheries

         I  United States Fish and Wildlife Service, Department of 
                the Interior (Parts 1--199)
        II  National Marine Fisheries Service, National Oceanic 
                and Atmospheric Administration, Department of 
                Commerce (Parts 200--299)
       III  International Fishing and Related Activities (Parts 
                300--399)
        IV  Joint Regulations (United States Fish and Wildlife 
                Service, Department of the Interior and National 
                Marine Fisheries Service, National Oceanic and 
                Atmospheric Administration, Department of 
                Commerce); Endangered Species Committee 
                Regulations (Parts 400--499)

[[Page 248]]

         V  Marine Mammal Commission (Parts 500--599)
        VI  Fishery Conservation and Management, National Oceanic 
                and Atmospheric Administration, Department of 
                Commerce (Parts 600--699)

                      CFR Index and Finding Aids

            Subject/Agency Index
            List of Agency Prepared Indexes
            Parallel Tables of Statutory Authorities and Rules
            List of CFR Titles, Chapters, Subchapters, and Parts
            Alphabetical List of Agencies Appearing in the CFR

[[Page 249]]





           Alphabetical List of Agencies Appearing in the CFR




                     (Revised as of January 1, 2004)

                                                  CFR Title, Subtitle or 
                     Agency                               Chapter

Administrative Committee of the Federal Register  1, I
Advanced Research Projects Agency                 32, I
Advisory Council on Historic Preservation         36, VIII
African Development Foundation                    22, XV
  Federal Acquisition Regulation                  48, 57
Agency for International Development, United      22, II
     States
  Federal Acquisition Regulation                  48, 7
Agricultural Marketing Service                    7, I, IX, X, XI
Agricultural Research Service                     7, V
Agriculture Department                            5, LXXIII
  Agricultural Marketing Service                  7, I, IX, X, XI
  Agricultural Research Service                   7, V
  Animal and Plant Health Inspection Service      7, III; 9, I
  Chief Financial Officer, Office of              7, XXX
  Commodity Credit Corporation                    7, XIV
  Cooperative State Research, Education, and      7, XXXIV
       Extension Service
  Economic Research Service                       7, XXXVII
  Energy, Office of                               7, XXIX
  Environmental Quality, Office of                7, XXXI
  Farm Service Agency                             7, VII, XVIII
  Federal Acquisition Regulation                  48, 4
  Federal Crop Insurance Corporation              7, IV
  Food and Nutrition Service                      7, II
  Food Safety and Inspection Service              9, III
  Foreign Agricultural Service                    7, XV
  Forest Service                                  36, II
  Grain Inspection, Packers and Stockyards        7, VIII; 9, II
       Administration
  Information Resources Management, Office of     7, XXVII
  Inspector General, Office of                    7, XXVI
  National Agricultural Library                   7, XLI
  National Agricultural Statistics Service        7, XXXVI
  Natural Resources Conservation Service          7, VI
  Operations, Office of                           7, XXVIII
  Procurement and Property Management, Office of  7, XXXII
  Rural Business-Cooperative Service              7, XVIII, XLII
  Rural Development Administration                7, XLII
  Rural Housing Service                           7, XVIII, XXXV
  Rural Telephone Bank                            7, XVI
  Rural Utilities Service                         7, XVII, XVIII, XLII
  Secretary of Agriculture, Office of             7, Subtitle A
  Transportation, Office of                       7, XXXIII
  World Agricultural Outlook Board                7, XXXVIII
Air Force Department                              32, VII
  Federal Acquisition Regulation Supplement       48, 53
Air Transportation Stabilization Board            14, VI
Alcohol and Tobacco Tax and Trade Bureau          27, I
Alcohol, Tobacco, Firearms, and Explosives,       27, II
     Bureau of
AMTRAK                                            49, VII
American Battle Monuments Commission              36, IV
American Indians, Office of the Special Trustee   25, VII
Animal and Plant Health Inspection Service        7, III; 9, I
Appalachian Regional Commission                   5, IX

[[Page 250]]

Architectural and Transportation Barriers         36, XI
     Compliance Board
Arctic Research Commission                        45, XXIII
Armed Forces Retirement Home                      5, XI
Army Department                                   32, V
  Engineers, Corps of                             33, II; 36, III
  Federal Acquisition Regulation                  48, 51
Benefits Review Board                             20, VII
Bilingual Education and Minority Languages        34, V
     Affairs, Office of
Blind or Severely Disabled, Committee for         41, 51
     Purchase From People Who Are
Broadcasting Board of Governors                   22, V
  Federal Acquisition Regulation                  48, 19
Census Bureau                                     15, I
Centers for Medicare & Medicaid Services          42, IV
Central Intelligence Agency                       32, XIX
Chief Financial Officer, Office of                7, XXX
Child Support Enforcement, Office of              45, III
Children and Families, Administration for         45, II, III, IV, X
Civil Rights, Commission on                       45, VII
Civil Rights, Office for                          34, I
Coast Guard                                       33, I; 46, I; 49, IV
Coast Guard (Great Lakes Pilotage)                46, III
Commerce Department                               44, IV
  Census Bureau                                   15, I
  Economic Affairs, Under Secretary               37, V
  Economic Analysis, Bureau of                    15, VIII
  Economic Development Administration             13, III
  Emergency Management and Assistance             44, IV
  Federal Acquisition Regulation                  48, 13
  Fishery Conservation and Management             50, VI
  Foreign-Trade Zones Board                       15, IV
  Industry and Security, Bureau of                15, VII
  International Trade Administration              15, III; 19, III
  National Institute of Standards and Technology  15, II
  National Marine Fisheries Service               50, II, IV, VI
  National Oceanic and Atmospheric                15, IX; 50, II, III, IV, 
       Administration                             VI
  National Telecommunications and Information     15, XXIII; 47, III
       Administration
  National Weather Service                        15, IX
  Patent and Trademark Office, United States      37, I
  Productivity, Technology and Innovation,        37, IV
       Assistant Secretary for
  Secretary of Commerce, Office of                15, Subtitle A
  Technology, Under Secretary for                 37, V
  Technology Administration                       15, XI
  Technology Policy, Assistant Secretary for      37, IV
Commercial Space Transportation                   14, III
Commodity Credit Corporation                      7, XIV
Commodity Futures Trading Commission              5, XLI; 17, I
Community Planning and Development, Office of     24, V, VI
     Assistant Secretary for
Community Services, Office of                     45, X
Comptroller of the Currency                       12, I
Construction Industry Collective Bargaining       29, IX
     Commission
Consumer Product Safety Commission                5, LXXI; 16, II
Cooperative State Research, Education, and        7, XXXIV
     Extension Service
Copyright Office                                  37, II
Corporation for National and Community Service    45, XII, XXV
Cost Accounting Standards Board                   48, 99
Council on Environmental Quality                  40, V
Court Services and Offender Supervision Agency    28, VIII
     for the District of Columbia
Customs and Border Protection Bureau              19, I
Defense Contract Audit Agency                     32, I
Defense Department                                5, XXVI; 32, Subtitle A; 
                                                  40, VII

[[Page 251]]

  Advanced Research Projects Agency               32, I
  Air Force Department                            32, VII
  Army Department                                 32, V; 33, II; 36, III, 
                                                  48, 51
  Defense Intelligence Agency                     32, I
  Defense Logistics Agency                        32, I, XII; 48, 54
  Engineers, Corps of                             33, II; 36, III
  Federal Acquisition Regulation                  48, 2
  National Imagery and Mapping Agency             32, I
  Navy Department                                 32, VI; 48, 52
  Secretary of Defense, Office of                 32, I
Defense Contract Audit Agency                     32, I
Defense Intelligence Agency                       32, I
Defense Logistics Agency                          32, XII; 48, 54
Defense Nuclear Facilities Safety Board           10, XVII
Delaware River Basin Commission                   18, III
District of Columbia, Court Services and          28, VIII
     Offender Supervision Agency for the
Drug Enforcement Administration                   21, II
East-West Foreign Trade Board                     15, XIII
Economic Affairs, Under Secretary                 37, V
Economic Analysis, Bureau of                      15, VIII
Economic Development Administration               13, III
Economic Research Service                         7, XXXVII
Education, Department of                          5, LIII
  Bilingual Education and Minority Languages      34, V
       Affairs, Office of
  Civil Rights, Office for                        34, I
  Educational Research and Improvement, Office    34, VII
       of
  Elementary and Secondary Education, Office of   34, II
  Federal Acquisition Regulation                  48, 34
  Postsecondary Education, Office of              34, VI
  Secretary of Education, Office of               34, Subtitle A
  Special Education and Rehabilitative Services,  34, III
       Office of
  Vocational and Adult Education, Office of       34, IV
Educational Research and Improvement, Office of   34, VII
Elementary and Secondary Education, Office of     34, II
Emergency Oil and Gas Guaranteed Loan Board       13, V
Emergency Steel Guarantee Loan Board              13, IV
Employee Benefits Security Administration         29, XXV
Employees' Compensation Appeals Board             20, IV
Employees Loyalty Board                           5, V
Employment and Training Administration            20, V
Employment Standards Administration               20, VI
Endangered Species Committee                      50, IV
Energy, Department of                             5, XXIII; 10, II, III, X
  Federal Acquisition Regulation                  48, 9
  Federal Energy Regulatory Commission            5, XXIV; 18, I
  Property Management Regulations                 41, 109
Energy, Office of                                 7, XXIX
Engineers, Corps of                               33, II; 36, III
Engraving and Printing, Bureau of                 31, VI
Environmental Protection Agency                   5, LIV; 40, I, IV, VII
  Federal Acquisition Regulation                  48, 15
  Property Management Regulations                 41, 115
Environmental Quality, Office of                  7, XXXI
Equal Employment Opportunity Commission           5, LXII; 29, XIV
Equal Opportunity, Office of Assistant Secretary  24, I
     for
Executive Office of the President                 3, I
  Administration, Office of                       5, XV
  Environmental Quality, Council on               40, V
  Management and Budget, Office of                5, III, LXXVII; 14, VI; 
                                                  48, 99
  National Drug Control Policy, Office of         21, III
  National Security Council                       32, XXI; 47, 2
  Presidential Documents                          3
  Science and Technology Policy, Office of        32, XXIV; 47, II

[[Page 252]]

  Trade Representative, Office of the United      15, XX
       States
Export-Import Bank of the United States           5, LII; 12, IV
Family Assistance, Office of                      45, II
Farm Credit Administration                        5, XXXI; 12, VI
Farm Credit System Insurance Corporation          5, XXX; 12, XIV
Farm Service Agency                               7, VII, XVIII
Federal Acquisition Regulation                    48, 1
Federal Aviation Administration                   14, I
  Commercial Space Transportation                 14, III
Federal Claims Collection Standards               31, IX
Federal Communications Commission                 5, XXIX; 47, I
Federal Contract Compliance Programs, Office of   41, 60
Federal Crop Insurance Corporation                7, IV
Federal Deposit Insurance Corporation             5, XXII; 12, III
Federal Election Commission                       11, I
Federal Emergency Management Agency               44, I
  Federal Acquisition Regulation                  48, 44
Federal Employees Group Life Insurance Federal    48, 21
     Acquisition Regulation
Federal Employees Health Benefits Acquisition     48, 16
     Regulation
Federal Energy Regulatory Commission              5, XXIV; 18, I
Federal Financial Institutions Examination        12, XI
     Council
Federal Financing Bank                            12, VIII
Federal Highway Administration                    23, I, II
Federal Home Loan Mortgage Corporation            1, IV
Federal Housing Enterprise Oversight Office       12, XVII
Federal Housing Finance Board                     12, IX
Federal Labor Relations Authority, and General    5, XIV; 22, XIV
     Counsel of the Federal Labor Relations 
     Authority
Federal Law Enforcement Training Center           31, VII
Federal Management Regulation                     41, 102
Federal Maritime Commission                       46, IV
Federal Mediation and Conciliation Service        29, XII
Federal Mine Safety and Health Review Commission  5, LXXIV; 29, XXVII
Federal Motor Carrier Safety Administration       49, III
Federal Prison Industries, Inc.                   28, III
Federal Procurement Policy Office                 48, 99
Federal Property Management Regulations           41, 101
Federal Railroad Administration                   49, II
Federal Register, Administrative Committee of     1, I
Federal Register, Office of                       1, II
Federal Reserve System                            12, II
  Board of Governors                              5, LVIII
Federal Retirement Thrift Investment Board        5, VI, LXXVI
Federal Service Impasses Panel                    5, XIV
Federal Trade Commission                          5, XLVII; 16, I
Federal Transit Administration                    49, VI
Federal Travel Regulation System                  41, Subtitle F
Fine Arts, Commission on                          45, XXI
Fiscal Service                                    31, II
Fish and Wildlife Service, United States          50, I, IV
Fishery Conservation and Management               50, VI
Food and Drug Administration                      21, I
Food and Nutrition Service                        7, II
Food Safety and Inspection Service                9, III
Foreign Agricultural Service                      7, XV
Foreign Assets Control, Office of                 31, V
Foreign Claims Settlement Commission of the       45, V
     United States
Foreign Service Grievance Board                   22, IX
Foreign Service Impasse Disputes Panel            22, XIV
Foreign Service Labor Relations Board             22, XIV
Foreign-Trade Zones Board                         15, IV
Forest Service                                    36, II
General Accounting Office                         4, I
General Services Administration                   5, LVII; 41, 105
  Contract Appeals, Board of                      48, 61
  Federal Acquisition Regulation                  48, 5

[[Page 253]]

  Federal Management Regulation                   41, 102
  Federal Property Management Regulations         41, 101
  Federal Travel Regulation System                41, Subtitle F
  General                                         41, 300
  Payment From a Non-Federal Source for Travel    41, 304
       Expenses
  Payment of Expenses Connected With the Death    41, 303
       of Certain Employees
  Relocation Allowances                           41, 302
  Temporary Duty (TDY) Travel Allowances          41, 301
Geological Survey                                 30, IV
Government Ethics, Office of                      5, XVI
Government National Mortgage Association          24, III
Grain Inspection, Packers and Stockyards          7, VIII; 9, II
     Administration
Harry S. Truman Scholarship Foundation            45, XVIII
Health and Human Services, Department of          5, XLV; 45, Subtitle A
  Centers for Medicare & Medicaid Services        42, IV
  Child Support Enforcement, Office of            45, III
  Children and Families, Administration for       45, II, III, IV, X
  Community Services, Office of                   45, X
  Family Assistance, Office of                    45, II
  Federal Acquisition Regulation                  48, 3
  Food and Drug Administration                    21, I
  Human Development Services, Office of           45, XIII
  Indian Health Service                           25, V; 42, I
  Inspector General (Health Care), Office of      42, V
  Public Health Service                           42, I
  Refugee Resettlement, Office of                 45, IV
Homeland Security, Department of                  6, I
  Coast Guard                                     33, I; 46, I; 49, IV
  Coast Guard (Great Lakes Pilotage)              46, III
  Customs and Border Protection Bureau            19, I
  Federal Emergency Management Agency             44, I
  Immigration and Customs Enforcement Bureau      19, IV
  Immigration and Naturalization                  8, I
  Transportation Security Administration          49, XII
Housing and Urban Development, Department of      5, LXV; 24, Subtitle B
  Community Planning and Development, Office of   24, V, VI
       Assistant Secretary for
  Equal Opportunity, Office of Assistant          24, I
       Secretary for
  Federal Acquisition Regulation                  48, 24
  Federal Housing Enterprise Oversight, Office    12, XVII
       of
  Government National Mortgage Association        24, III
  Housing--Federal Housing Commissioner, Office   24, II, VIII, X, XX
       of Assistant Secretary for
  Housing, Office of, and Multifamily Housing     24, IV
       Assistance Restructuring, Office of
  Inspector General, Office of                    24, XII
  Public and Indian Housing, Office of Assistant  24, IX
       Secretary for
  Secretary, Office of                            24, Subtitle A, VII
Housing--Federal Housing Commissioner, Office of  24, II, VIII, X, XX
     Assistant Secretary for
Housing, Office of, and Multifamily Housing       24, IV
     Assistance Restructuring, Office of
Human Development Services, Office of             45, XIII
Immigration and Customs Enforcement Bureau        19, IV
Immigration and Naturalization                    8, I
Immigration Review, Executive Office for          8, V
Independent Counsel, Office of                    28, VII
Indian Affairs, Bureau of                         25, I, V
Indian Affairs, Office of the Assistant           25, VI
     Secretary
Indian Arts and Crafts Board                      25, II
Indian Health Service                             25, V; 42, I
Industry and Security, Bureau of                  15, VII
Information Resources Management, Office of       7, XXVII
Information Security Oversight Office, National   32, XX
     Archives and Records Administration
Inspector General

[[Page 254]]

  Agriculture Department                          7, XXVI
  Health and Human Services Department            42, V
  Housing and Urban Development Department        24, XII
Institute of Peace, United States                 22, XVII
Inter-American Foundation                         5, LXIII; 22, X
Interior Department
  American Indians, Office of the Special         25, VII
       Trustee
  Endangered Species Committee                    50, IV
  Federal Acquisition Regulation                  48, 14
  Federal Property Management Regulations System  41, 114
  Fish and Wildlife Service, United States        50, I, IV
  Geological Survey                               30, IV
  Indian Affairs, Bureau of                       25, I, V
  Indian Affairs, Office of the Assistant         25, VI
       Secretary
  Indian Arts and Crafts Board                    25, II
  Land Management, Bureau of                      43, II
  Minerals Management Service                     30, II
  National Indian Gaming Commission               25, III
  National Park Service                           36, I
  Reclamation, Bureau of                          43, I
  Secretary of the Interior, Office of            43, Subtitle A
  Surface Mining and Reclamation Appeals, Board   30, III
       of
  Surface Mining Reclamation and Enforcement,     30, VII
       Office of
Internal Revenue Service                          26, I
International Boundary and Water Commission,      22, XI
     United States and Mexico, United States 
     Section
International Development, United States Agency   22, II
     for
  Federal Acquisition Regulation                  48, 7
International Development Cooperation Agency,     22, XII
     United States
International Fishing and Related Activities      50, III
International Investment, Office of               31, VIII
International Joint Commission, United States     22, IV
     and Canada
International Organizations Employees Loyalty     5, V
     Board
International Trade Administration                15, III; 19, III
International Trade Commission, United States     19, II
Interstate Commerce Commission                    5, XL
James Madison Memorial Fellowship Foundation      45, XXIV
Japan-United States Friendship Commission         22, XVI
Joint Board for the Enrollment of Actuaries       20, VIII
Justice Department                                5, XXVIII; 28, I, XI; 40, 
                                                  IV
  Alcohol, Tobacco, Firearms, and Explosives,     27, II
       Bureau of
  Drug Enforcement Administration                 21, II
  Federal Acquisition Regulation                  48, 28
  Federal Claims Collection Standards             31, IX
  Federal Prison Industries, Inc.                 28, III
  Foreign Claims Settlement Commission of the     45, V
       United States
  Immigration Review, Executive Office for        8, V
  Offices of Independent Counsel                  28, VI
  Prisons, Bureau of                              28, V
  Property Management Regulations                 41, 128
Labor Department                                  5, XLII
  Benefits Review Board                           20, VII
  Employee Benefits Security Administration       29, XXV
  Employees' Compensation Appeals Board           20, IV
  Employment and Training Administration          20, V
  Employment Standards Administration             20, VI
  Federal Acquisition Regulation                  48, 29
  Federal Contract Compliance Programs, Office    41, 60
       of
  Federal Procurement Regulations System          41, 50
  Labor-Management Standards, Office of           29, II, IV
  Mine Safety and Health Administration           30, I
  Occupational Safety and Health Administration   29, XVII
  Public Contracts                                41, 50
  Secretary of Labor, Office of                   29, Subtitle A

[[Page 255]]

  Veterans' Employment and Training Service,      41, 61; 20, IX
       Office of the Assistant Secretary for
  Wage and Hour Division                          29, V
  Workers' Compensation Programs, Office of       20, I
Labor-Management Standards, Office of             29, II, IV
Land Management, Bureau of                        43, II
Legal Services Corporation                        45, XVI
Library of Congress                               36, VII
  Copyright Office                                37, II
Local Television Loan Guarantee Board             7, XX
Management and Budget, Office of                  5, III, LXXVII; 14, VI; 
                                                  48, 99
Marine Mammal Commission                          50, V
Maritime Administration                           46, II
Merit Systems Protection Board                    5, II
Micronesian Status Negotiations, Office for       32, XXVII
Mine Safety and Health Administration             30, I
Minerals Management Service                       30, II
Minority Business Development Agency              15, XIV
Miscellaneous Agencies                            1, IV
Monetary Offices                                  31, I
Morris K. Udall Scholarship and Excellence in     36, XVI
     National Environmental Policy Foundation
National Aeronautics and Space Administration     5, LIX; 14, V
  Federal Acquisition Regulation                  48, 18
National Agricultural Library                     7, XLI
National Agricultural Statistics Service          7, XXXVI
National and Community Service, Corporation for   45, XII, XXV
National Archives and Records Administration      5, LXVI; 36, XII
  Information Security Oversight Office           32, XX
National Bureau of Standards                      15, II
National Capital Planning Commission              1, IV
National Commission for Employment Policy         1, IV
National Commission on Libraries and Information  45, XVII
     Science
National Council on Disability                    34, XII
National Counterintelligence Center               32, XVIII
National Credit Union Administration              12, VII
National Crime Prevention and Privacy Compact     28, IX
     Council
National Drug Control Policy, Office of           21, III
National Foundation on the Arts and the           45, XI
     Humanities
National Highway Traffic Safety Administration    23, II, III; 49, V
National Imagery and Mapping Agency               32, I
National Indian Gaming Commission                 25, III
National Institute for Literacy                   34, XI
National Institute of Standards and Technology    15, II
National Labor Relations Board                    5, LXI; 29, I
National Marine Fisheries Service                 50, II, IV, VI
National Mediation Board                          29, X
National Oceanic and Atmospheric Administration   15, IX; 50, II, III, IV, 
                                                  VI
National Park Service                             36, I
National Railroad Adjustment Board                29, III
National Railroad Passenger Corporation (AMTRAK)  49, VII
National Science Foundation                       5, XLIII; 45, VI
  Federal Acquisition Regulation                  48, 25
National Security Council                         32, XXI
National Security Council and Office of Science   47, II
     and Technology Policy
National Telecommunications and Information       15, XXIII; 47, III
     Administration
National Transportation Safety Board              49, VIII
National Weather Service                          15, IX
Natural Resources Conservation Service            7, VI
Navajo and Hopi Indian Relocation, Office of      25, IV
Navy Department                                   32, VI
  Federal Acquisition Regulation                  48, 52
Neighborhood Reinvestment Corporation             24, XXV
Northeast Interstate Low-Level Radioactive Waste  10, XVIII
   Commission
[[Page 256]]

Nuclear Regulatory Commission                     5, XLVIII; 10, I
  Federal Acquisition Regulation                  48, 20
Occupational Safety and Health Administration     29, XVII
Occupational Safety and Health Review Commission  29, XX
Offices of Independent Counsel                    28, VI
Oklahoma City National Memorial Trust             36, XV
Operations Office                                 7, XXVIII
Overseas Private Investment Corporation           5, XXXIII; 22, VII
Panama Canal Commission                           48, 35
Panama Canal Regulations                          35, I
Patent and Trademark Office, United States        37, I
Payment From a Non-Federal Source for Travel      41, 304
     Expenses
Payment of Expenses Connected With the Death of   41, 303
     Certain Employees
Peace Corps                                       22, III
Pennsylvania Avenue Development Corporation       36, IX
Pension Benefit Guaranty Corporation              29, XL
Personnel Management, Office of                   5, I, XXXV; 45, VIII
  Federal Acquisition Regulation                  48, 17
  Federal Employees Group Life Insurance Federal  48, 21
       Acquisition Regulation
  Federal Employees Health Benefits Acquisition   48, 16
       Regulation
Postal Rate Commission                            5, XLVI; 39, III
Postal Service, United States                     5, LX; 39, I
Postsecondary Education, Office of                34, VI
President's Commission on White House             1, IV
     Fellowships
Presidential Documents                            3
Presidio Trust                                    36, X
Prisons, Bureau of                                28, V
Procurement and Property Management, Office of    7, XXXII
Productivity, Technology and Innovation,          37, IV
     Assistant Secretary
Public Contracts, Department of Labor             41, 50
Public and Indian Housing, Office of Assistant    24, IX
     Secretary for
Public Health Service                             42, I
Railroad Retirement Board                         20, II
Reclamation, Bureau of                            43, I
Refugee Resettlement, Office of                   45, IV
Regional Action Planning Commissions              13, V
Relocation Allowances                             41, 302
Research and Special Programs Administration      49, I
Rural Business-Cooperative Service                7, XVIII, XLII
Rural Development Administration                  7, XLII
Rural Housing Service                             7, XVIII, XXXV
Rural Telephone Bank                              7, XVI
Rural Utilities Service                           7, XVII, XVIII, XLII
Saint Lawrence Seaway Development Corporation     33, IV
Science and Technology Policy, Office of          32, XXIV
Science and Technology Policy, Office of, and     47, II
     National Security Council
Secret Service                                    31, IV
Securities and Exchange Commission                17, II
Selective Service System                          32, XVI
Small Business Administration                     13, I
Smithsonian Institution                           36, V
Social Security Administration                    20, III; 48, 23
Soldiers' and Airmen's Home, United States        5, XI
Special Counsel, Office of                        5, VIII
Special Education and Rehabilitative Services,    34, III
     Office of
State Department                                  22, I; 28, XI
  Federal Acquisition Regulation                  48, 6
Surface Mining and Reclamation Appeals, Board of  30, III
Surface Mining Reclamation and Enforcement,       30, VII
     Office of
Surface Transportation Board                      49, X
Susquehanna River Basin Commission                18, VIII
Technology Administration                         15, XI
Technology Policy, Assistant Secretary for        37, IV

[[Page 257]]

Technology, Under Secretary for                   37, V
Tennessee Valley Authority                        5, LXIX; 18, XIII
Thrift Supervision Office, Department of the      12, V
     Treasury
Trade Representative, United States, Office of    15, XX
Transportation, Department of                     5, L
  Commercial Space Transportation                 14, III
  Contract Appeals, Board of                      48, 63
  Emergency Management and Assistance             44, IV
  Federal Acquisition Regulation                  48, 12
  Federal Aviation Administration                 14, I
  Federal Highway Administration                  23, I, II
  Federal Motor Carrier Safety Administration     49, III
  Federal Railroad Administration                 49, II
  Federal Transit Administration                  49, VI
  Maritime Administration                         46, II
  National Highway Traffic Safety Administration  23, II, III; 49, V
  Research and Special Programs Administration    49, I
  Saint Lawrence Seaway Development Corporation   33, IV
  Secretary of Transportation, Office of          14, II; 49, Subtitle A
  Surface Transportation Board                    49, X
  Transportation Statistics Bureau                49, XI
Transportation, Office of                         7, XXXIII
Transportation Security Administration            49, XII
Transportation Statistics Bureau                  49, XI
Travel Allowances, Temporary Duty (TDY)           41, 301
Treasury Department                               5, XXI; 12, XV; 17, IV; 
                                                  31, IX
  Alcohol and Tobacco Tax and Trade Bureau        27, I
  Community Development Financial Institutions    12, XVIII
       Fund
  Comptroller of the Currency                     12, I
  Customs and Border Protection Bureau            19, I
  Engraving and Printing, Bureau of               31, VI
  Federal Acquisition Regulation                  48, 10
  Federal Law Enforcement Training Center         31, VII
  Fiscal Service                                  31, II
  Foreign Assets Control, Office of               31, V
  Internal Revenue Service                        26, I
  International Investment, Office of             31, VIII
  Monetary Offices                                31, I
  Secret Service                                  31, IV
  Secretary of the Treasury, Office of            31, Subtitle A
  Thrift Supervision, Office of                   12, V
Truman, Harry S. Scholarship Foundation           45, XVIII
United States and Canada, International Joint     22, IV
     Commission
United States and Mexico, International Boundary  22, XI
     and Water Commission, United States Section
Utah Reclamation Mitigation and Conservation      43, III
     Commission
Veterans Affairs Department                       38, I
  Federal Acquisition Regulation                  48, 8
Veterans' Employment and Training Service,        41, 61; 20, IX
     Office of the Assistant Secretary for
Vice President of the United States, Office of    32, XXVIII
Vocational and Adult Education, Office of         34, IV
Wage and Hour Division                            29, V
Water Resources Council                           18, VI
Workers' Compensation Programs, Office of         20, I
World Agricultural Outlook Board                  7, XXXVIII

[[Page 259]]



List of CFR Sections Affected



All changes in this volume of the Code of Federal Regulations which were 
made by documents published in the Federal Register since January 1, 
2001, are enumerated in the following list. Entries indicate the nature 
of the changes effected. Page numbers refer to Federal Register pages. 
The user should consult the entries for chapters and parts as well as 
sections for revisions.
For the period before January 1, 2001, see the ``List of CFR Sections 
Affected, 1949-1963, 1964-1972, 1973-1985, and 1986-2000,'' published in 
11 separate volumes.

                                  2001

7 CFR
                                                                   66 FR
                                                                    Page
Chapter X
1007.7 (c) correctly revised; CFR correction.......................54909

                                  2002

7 CFR
                                                                   67 FR
                                                                    Page
Chapter X
1030.7 (g) amended; interim........................................19508
1030.13 Introductory text revised; (d)(3) redesignated as (d)(4); 
        new (d)(3) and (e) added; interim..........................19508
1033.7 (c)(i)(iii), (e) introductory text and (h)(6) amended; 
        (c)(1)(iv) and (h)(7) removed; (c)(2), (4) and (d)(2) 
        revised; interim...........................................48744
1033.13 (d)(3) through (6) redesignated as (d)(4) through (7); 
        (d)(2) and new (d)(4) revised; new (d)(3) added; interim 
                                                                   48744
1124.7 (c)(2) and (3) removed; (c)(4) redesignated as (c)(2); (d) 
        and (f) added; (g) revised; interim........................69669
1124.13 (e)(1) through (5) redesignated as (e)(2) through (6); new 
        (e)(1) added; new (e)(2), (5) and (6) revised; interim.....69669
1160.107 Revised...................................................49858
1160.108 (a) revised; (b) and (c) amended..........................49858

                                  2003

7 CFR
                                                                   68 FR
                                                                    Page
Chapter X
1000.40 (c)(1)(ii) added; (d)(1)(i) revised.........................7064
1000.50 Introductory text amended; (a), (b), (c) (g), (h), (j), 
        (l) through (p)(1) and (q)(3) revised; (q)(4) removed.......7064
1000.52 Table amended..............................................48771
1001.60 (c)(3), (d)(2) and (h) revised..............................7065
1001.61 Revised.....................................................7065
1001.62 (e) and (g) revised.........................................7065
1001.71 (b)(2) and (3) revised......................................7066
1001.73 (a)(2)(ii) and (b)(3)(vi) revised...........................7066
1030.7 Regulation at 67 FR 19508 confirmed.........................50687
1030.13 Regulations at 67 FR 19508 confirmed.......................50687
1030.60 (c)(3), (d)(2) and (i) revised..............................7066
1030.61 Revised.....................................................7066
1030.62 (e) and (h) revised.........................................7066
    (h) corrected..................................................13618
1030.71 (b)(2) and (4) revised......................................7066
1030.73 (a)(2)(ii), (c)(2)(v) and (3)(ii) revised...................7066
1032.2 Amended.....................................................48771
1032.7 (c) introductory text, (1) and (2) revised; (c)(4) removed; 
        (c)(5) redesignated as (c)(4); new (c)(5) added; interim 
                                                                    7072
    Regulation at 68 FR 7072 confirmed.............................66699

[[Page 260]]

1032.13 (d)(2) revised; (d)(3), (4) and (5) redesignated as 
        (d)(4), (5) and (6); new (d)(3) and (e) added; interim......7072
    Regulation at 68 FR 7072 confirmed.............................66699
1032.60 (c)(3), (d)(2) and (i) revised..............................7067
1032.61 Revised.....................................................7067
1032.62 (e) and (h) revised.........................................7067
1032.71 (b)(2) and (4) revised......................................7067
1032.73 (a)(2)(ii), (c)(2)(v) and (3)(ii) revised...................7067
1033.60 (c)(3), (d)(2) and (i) revised..............................7067
1033.61 Revised.....................................................7067
1033.62 (e) and (h) revised.........................................7068
1033.71 (b)(2) and (4) revised......................................7068
1033.73 (a)(2)(ii) and (b)(3)(v) revised............................7068
1124.60 (c)(3), (d)(2) and (h) revised..............................7068
1124.61 Revised.....................................................7068
1124.62 (e) and (g) revised.........................................7069
1124.71 (b)(2) and (3) revised......................................7069
1124.73 (a)(2)(ii), (c)(2)(v) and (3)(ii) revised...................7069
1126.60 (c)(3), (d)(2) and (i) revised..............................7069
1126.61 Revised.....................................................7069
1126.62 (e) and (h) revised.........................................7069
1126.71 (b)(2) and (4) revised......................................7069
1126.73 (a)(2)(ii) and (b)(3)(v) revised............................7069
1135.60 (c)(3), (d)(2) and (h) revised..............................7070
1135.61 Revised.....................................................7070
1135.62 (e) and (g) revised.........................................7070
1135.71 (b)(2) revised; (b)(3) removed..............................7070
1135.73 (a)(2)(ii) and (b)(3)(v) revised............................7070
1150.131 (a)(1), (2), (5) and (10) revised.........................52336


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