[Federal Register Volume 77, Number 72 (Friday, April 13, 2012)]
[Notices]
[Page 22282]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-8911]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

[Doc. No. AMS-DA-10-0089; DA-11-01]


Milk in the Northeast and Other Marketing Areas; Determination of 
Equivalent Price Series

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Determination of equivalent price series.

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SUMMARY: It has been determined by the Deputy Administrator of Dairy 
Programs that the dairy products price series in the Dairy Products 
Sales report released by the Agricultural Marketing Service (AMS) is 
equivalent to the price series previously released by the National 
Agricultural Statistics Service (NASS) in the Dairy Products Prices 
report. The dairy product price series is used in the price discovery 
mechanism for raw milk component values, and the component values are 
then used in determining Federal milk market order (FMMO) minimum 
classified milk prices. AMS previously used the NASS prices in the 
determination of raw milk component values; however, the responsibility 
for the collection of dairy product sales data was transferred from 
NASS to AMS effective April, 1, 2012 (77 FR 8717), at which time NASS 
discontinued the publication of its Dairy Products Prices report. The 
data collected by AMS through this new system will be used for future 
component value computations and the subsequent calculation of FMMO 
minimum classified milk prices. The establishment of an equivalent 
dairy products price series is essential to the continuing operation of 
the FMMO program.

DATES: April 18, 2012.

FOR FURTHER INFORMATION CONTACT: Bret Tate, Order Formulation and 
Enforcement Division, USDA/AMS/Dairy Programs, STOP 0231-Room 2963, 
1400 Independence Ave. SW., Washington, DC 20250-0231, (202) 720-7183, 
email address: [email protected].

SUPPLEMENTARY INFORMATION: This action provides an equivalent series of 
dairy products prices for the calculation of milk component values and 
classified milk prices in all FMMOs (7 CFR parts 1001, 1005, 1006, 
1007, 1030, 1032, 1033, 1124, 1126, and 1131). The Department of 
Agriculture (Department) has been using the Dairy Products Prices 
report as published weekly by NASS in the calculation of raw milk 
component values, as referenced in section 1000.50. These component 
values are subsequently used in the computation of the minimum 
classified prices used by the FMMO program.
    Pursuant to the provisions of the Agricultural Marketing Agreement 
Act of 1937, as amended (7 U.S.C. 601-674 and 7253), and part 1000 and 
the applicable provisions of the orders regulating the handling of milk 
in the previously mentioned marketing areas, it is found and determined 
that:
    (1) In September 2010, the Mandatory Price Reporting Act of 2010 
(Pub. L. 111-239) amended section 273(d) of the Agricultural Marketing 
Act of 1946 (7 U.S.C. 1637b) to require that the Secretary establish an 
electronic reporting system for reporting data under the dairy product 
mandatory reporting program.
    (2) As such, AMS implemented the electronic reporting system (77 FR 
8717) and, as part of that rulemaking, it also announced the transfer 
of the collection of dairy product sales data from NASS to AMS, 
effective April 1, 2012. Subsequently, NASS discontinued its Dairy 
Products Prices report as of Friday, March 30, 2012.
    (3) AMS began releasing its own dairy products price series for 
cheddar cheese (40 pound blocks and 500 pound barrels), butter, nonfat 
dry milk, and dry whey in a report titled Dairy Products Sales on April 
4, 2012.
    (4) Section 1000.54 provides that if for any reason a price 
required by the order for computing class prices is not available as 
prescribed in the order, the market administrator may use an equivalent 
price as determined by the Deputy Administrator, Dairy Programs, AMS.
    (5) As the NASS publication stipulated in the order is unavailable 
for use in the computation of class prices, the Deputy Administrator 
for Dairy Programs has determined that the AMS price series is 
equivalent to those data previously collected by NASS, in accordance 
with the authorities granted by section 1000.54.
    (6) Effective April 18, 2012, and thereafter, the data series 
contained in the AMS Dairy Products Sales report will be used to 
compute the raw milk component values that are used in determining FMMO 
minimum classified prices.

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

    Dated: April 9, 2012.
Ruihong Guo,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2012-8911 Filed 4-12-12; 8:45 am]
BILLING CODE 3410-02-P