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Dairy Facts 2016
 
 

USDA Amends Pooling Provisions for Three Milk Marketing Orders

Nov 06, 2006

USDA Amends Pooling Provisions for Three Milk Marketing Orders

The U.S. Department of Agriculture last week announced final rules that will permanently amend the pooling provisions of the Central, Mideast and Upper Midwest Milk Marketing Orders. A majority of producers in each area have approved the amendments, which will become effective December 1, 2006.

The amendments to the Central Milk Marketing Order will limit the volume of milk a handler can pool in a month to 125% of the total volume of milk pooled in the previous month. The amendments also will increase supply plan performance standards, amend certain features of the pool qualification provisions and decrease the diversion limit standards of the order.

The amendments to the Mideast Milk Marketing Order will limit the volume of milk that a handler may pool during the months of April through February to 115% of the volume pooled in the prior month; during the month of March, the volume of milk that a handler may pool will be limited to 120% of the volume of milk pooled in the prior month.

The amendments to the Upper Midwest Milk Marketing Order will limit the volume of milk that a handler may pool during the months of April through February to 125% of the volume pooled in the prior month; during the month of March, the volume of milk that a handler may pool will be limited to 135% of the volume of milk pooled in the prior month. In addition, the Upper Midwest amendments will allow the market administrator to increase the maximum administrative assessment up to 0.8¢ per hundredweight on all pooled milk, if necessary to maintain the required fund reserves.

To read the press releases announcing the amendments, click here.

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Posted November 6, 2006

 
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