7 CFR 1005.82 - Payments from the transportation credit balancing fund.

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§ 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 § 1000.90) after the end of each of the months of January, February and 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 § 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 § 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 of the month following the month for which such credits were requested pursuant to § 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 § 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 § 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 month of 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 Deputy Administrator of the Dairy Programs 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 at a pool distributing plant from a plant regulated under another Federal order, except Federal Order 1007; and
(2) Bulk milk received directly from the farms of dairy farmers at pool distributing plants subject to the following conditions:
(i) The dairy farmer was not a “producer” under this order for more than 45 days during the immediately preceding months of March through May, or not more than 50 percent of the production of the dairy farmer during those 3 months, in aggregate, was received as producer milk under this order during those 3 months; and
(ii) 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).
(iii) The market administrator may increase or decrease the milk production standard specified in paragraph (c)(2)(i) of this section 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.
(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 the mileage rate for the month computed pursuant to § 1005.83(a)(6).
(iii) Subtract the applicable Class I price specified in § 1000.50(a) for the county in which the shipping plant is located from the Class I price 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 the mileage rate for the month computed pursuant to § 1005.83(a)(6).
(v) Subtract the Class I price specified in § 1000.50(a) applicable for the county in which the origination point is located from the Class I price 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.
[64 FR 47960, Sept. 1, 1999, as amended at 70 FR 59223, Oct. 12, 2005; 71 FR 62379, Oct. 25, 2006; 73 FR 14161, Mar. 17, 2008]

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.

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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