Public Law 89–696

by inserting at the end thereof the following new section:

Ҥ2389. Contracts for the procurement of milk; price adjustment

“Under regulations prescribed by the Secretary of Defense, any contract for the procurement of fluid milk for beverage purposes which was being performed on or after March 1, 1966, may be amended to provide a price adjustment for losses incurred by a contractor because of increased prices paid to the producers for such milk as a result of action by the Secretary of Agriculture on or after March 1, 1966, increasing the price of milk. A price adjustment shall not be made unless it has been determined by the Department that—

“(1)“(1)

such amount is not included in the contract price;

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“(2)“(2)

the contract does not otherwise contain a provision providing for an adjustment in price; and

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“(3)“(3)

the contractor will suffer a loss, not merely a diminution of anticipated profit, under the contract because or such increases

Defense Department contracts.

Milk procurement.

in producer prices.”; and

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by inserting the following new item in the analysis thereof: