7 CFR 1005.73 - Payments to producers and to cooperative associations.

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§ 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 § 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 § 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 § 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 § 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 § 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 § 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 § 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 § 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 § 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]

Title 7 published on 2014-01-01

The following are only the Rules published in the Federal Register after the published date of Title 7.

For a complete list of all Rules, Proposed Rules, and Notices view the Rulemaking tab.

  • 2014-05-09; vol. 79 # 90 - Friday, May 9, 2014
    1. 79 FR - Milk in the Appalachian and Southeast Marketing Areas; Order Amending the Orders
      GPO FDSys XML | Text
      DEPARTMENT OF AGRICULTURE, Agricultural Marketing Service
      7 CFR Parts 1005 and 1007

This is a list of United States Code sections, Statutes at Large, Public Laws, and Presidential Documents, which provide rulemaking authority for this CFR Part.

This list is taken from the Parallel Table of Authorities and Rules provided by GPO [Government Printing Office].

It is not guaranteed to be accurate or up-to-date, though we do refresh the database weekly. More limitations on accuracy are described at the GPO site.


United States Code
U.S. Code: Title 7 - AGRICULTURE

§ 601 - Declaration of conditions

§ 602 - Declaration of policy; establishment of price basing period; marketing standards; orderly supply flow; circumstances for continued regulation

§ 603 - Government owned cotton; transfer to Secretary of Agriculture; powers of Secretary

§ 604 - Borrowing money; expenditures; authority of Secretary

§ 605 - Repealed. June 30, 1947, ch. 166, title II,

§ 606 - Repealed. Aug. 24, 1935, ch. 641,

§ 607 - Sale by Secretary; additional options; validation of assignments; publication of information

§ 608 - Powers of Secretary

7 U.S. Code § 551 to 568 - Transferred

§ 608a - Enforcement of chapter

7 U.S. Code § 551 to 568 - Transferred

§ 608b - Marketing agreements; exemption from anti-trust laws; inspection requirements for handlers not subject to agreements

§ 608c - Orders

7 U.S. Code § 551 to 568 - Transferred

§ 608d - Books and records

§ 608e - Repealed. July 3, 1948, ch. 827, title III,

7 U.S. Code § 551 to 568 - Transferred

§ 608f - Repealed.

§ 609 - Processing tax; methods of computation; rate; what constitutes processing; publicity as to tax to avoid profiteering

§ 610 - Administration

§ 611 - “Basic agricultural commodity” defined; exclusion of commodities

§ 612 - Appropriation; use of revenues; administrative expenses

§ 612a, 612b - Omitted

§ 612c - Appropriation to encourage exportation and domestic consumption of agricultural products

7 U.S. Code § 612a, 612b - Omitted

7 U.S. Code § 612a, 612b - Omitted

7 U.S. Code § 612a, 612b - Omitted

7 U.S. Code § 612a, 612b - Omitted

7 U.S. Code § 612a, 612b - Omitted

7 U.S. Code § 612a, 612b - Omitted

§ 613 - Termination date; investigations and reports

§ 613a - Repealed. Sept. 1, 1937, ch. 898, title V,

§ 614 - Separability

§ 615 - Refunds of tax; exemptions from tax; compensating tax; compensating tax on foreign goods; covering into Treasury

§ 616 - Stock on hand when tax takes effect or terminates

§ 617 - Refund on goods exported; bond to suspend tax on commodity intended for export

§ 618 - Existing contracts; imposition of tax on vendee; collection

§ 619 - Collection of tax; provisions of internal revenue laws applicable; returns

§ 619a - Cotton tax, time for payment

§ 620 - Falsely ascribing deductions or charges to taxes; penalty

§ 621 - Machinery belting processed from cotton; exemption from tax

§ 622 - Omitted

§ 623 - Actions relating to tax; legalization of prior taxes

§ 624 - Limitation on imports; authority of President

§ 625 - Repealed.

§ 626 - Import inventory

§ 627 - Dairy forward pricing pilot program

§ 641 to 659 - Omitted

§ 671 - Arbitration of disputes concerning milk

§ 672 - Agreements; licenses, regulations, programs, etc., unaffected

§ 673 - Taxes under Agricultural Adjustment Act; laws unaffected

§ 674 - Short title

§ 7253 - Consolidation and reform of Federal milk marketing orders

Title 7 published on 2014-01-01

The following are ALL rules, proposed rules, and notices (chronologically) published in the Federal Register relating to 7 CFR 1005 after this date.

  • 2014-05-09; vol. 79 # 90 - Friday, May 9, 2014
    1. 79 FR - Milk in the Appalachian and Southeast Marketing Areas; Order Amending the Orders
      GPO FDSys XML | Text
      DEPARTMENT OF AGRICULTURE, Agricultural Marketing Service
      7 CFR Parts 1005 and 1007