Title 7 — Agriculture
Chapter 106 — Commodity Programs
§ 7982. National dairy market loss payments
Statutory text
Definitions
In this section:
Class I milk
The term “Class I milk” means milk (including milk components) classified as Class I milk under a Federal milk marketing order.
Eligible production
The term “eligible production” means milk produced by a producer in a participating State.
Federal milk marketing order
The term “Federal milk marketing order” means an order issued under section 608c of this title.
Participating State
The term “participating State” means each State.
Producer
The term “producer” means an individual or entity that directly or indirectly (as determined by the Secretary)—
shares in the risk of producing milk; and
makes contributions (including land, labor, management, equipment, or capital) to the dairy farming operation of the individual or entity that are at least commensurate with the share of the individual or entity of the proceeds of the operation.
Payments
The Secretary shall offer to enter into contracts with producers on a dairy farm located in a participating State under which the producers receive payments on eligible production.
Amount
Payments to a producer under this section shall be calculated by multiplying (as determined by the Secretary)—
the payment quantity for the producer during the applicable month established under subsection (d);
the amount equal to—
$16.94 per hundredweight; less
the Class I milk price per hundredweight in Boston under the applicable Federal milk marketing order; by
during the period beginning on the first day of the month the producers on a dairy farm enter into a contract under this section and ending on , 45 percent; and
during the period beginning on , and ending on , 34 percent.
Payment quantity
In general
Subject to paragraph (2), the payment quantity for a producer during the applicable month under this section shall be equal to the quantity of eligible production marketed by the producer during the month.
Limitation
The payment quantity for all producers on a single dairy operation during the months of the applicable fiscal year for which the producers receive payments under subsection (b) shall not exceed 2,400,000 pounds. For purposes of determining whether producers are producers on separate dairy operations or a single dairy operation, the Secretary shall apply the same standards as were applied in implementing the dairy program under section 805 of the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2001 (as enacted into law by Public Law 106–387; 114 Stat. 1549A–50).
Reconstitution
The Secretary shall promulgate regulations to ensure that a producer does not reconstitute a dairy operation for the sole purpose of receiving additional payments under this section.
Payments
A payment under a contract under this section shall be made on a monthly basis not later than 60 days after the last day of the month for which the payment is made.
Signup
The Secretary shall offer to enter into contracts under this section during the period beginning on the date that is 60 days after , and ending on .
Duration of contract
In general
Except as provided in paragraph (2), any contract entered into by producers on a dairy farm under this section shall cover eligible production marketed by the producers on the dairy farm during the period starting with the first day of month the producers on the dairy farm enter into the contract and ending on .
Violations
If a producer violates the contract, the Secretary may—
terminate the contract and allow the producer to retain any payments received under the contract; or
allow the contract to remain in effect and require the producer to repay a portion of the payments received under the contract based on the severity of the violation.
Legislative history
Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.
Pub. L. 107–171 title I § 1502 · 116 Stat. 134
Enacted · 7 U.S.C. § 7982
Pub. L. 107–171, title I, § 1502, May 13, 2002, 116 Stat. 205
Source evidence
Code source credit
Pub. L. 107–171, title I, § 1502, May 13, 2002, 116 Stat. 205Enacted provision · exact public law section
SEC. 1502. NATIONAL DAIRY MARKET LOSS PAYMENTS. (a) Definitions.— In this section: (1) Class I milk.— The term ‘Class I milk’ means milk (including milk components) classified as Class I milk under a Federal milk marketing order. (2) Eligible production.— The term ‘eligible production’ means milk produced by a producer in a participating State. (3) Federal milk marketing order.— The term ‘Federal milk marketing order’ means an order issued under section 8c of the Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937. (4) Participating state.— The term ‘participating State’ means each State. (5) Producer.— The term ‘producer’ means an individual or entity that directly or indirectly (as determined by the Secretary)— (A) shares in the risk of producing milk; and (B) makes contributions (including land, labor, management, equipment, or capital) to the dairy farming operation of the individual or entity that are at least commensurate with the share of the individual or entity of the proceeds of the operation. (b) Payments.— The Secretary shall offer to enter into contracts with producers on a dairy farm located in a participating State under which the producers receive payments on eligible production. (c) Amount.— Payments to a producer under this section shall be calculated by multiplying (as determined by the Secretary)— (1) the payment quantity for the producer during the applicable month established under subsection (d); (2) the amount equal to— (A) $16.94 per hundredweight; less (B) the Class I milk price per hundredweight in Boston under the applicable Federal milk marketing order; by (3) 45 percent. (d) Payment Quantity.— (1) In general.— Subject to paragraph (2), the payment quantity for a producer during the applicable month under this section shall be equal to the quantity of eligible production marketed by the producer during the month. (2) Limitation.— The payment quantity for all producers on a single dairy operation during the months of the applicable fiscal year for which the producers receive payments under subsection (b) shall not exceed 2,400,000 pounds. For purposes of determining whether producers are producers on separate dairy operations or a single dairy operation, the Secretary shall apply the same standards as were applied in implementing the dairy program under section 805 of the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2001 (as enacted into law by Public Law 106-387; 114 Stat. 1549A-50). (3) Reconstitution.— The Secretary shall promulgate regulations to ensure that a producer does not reconstitute a dairy operation for the sole purpose of receiving additional payments under this section. (e) Payments.— A payment under a contract under this section shall be made on a monthly basis not later than 60 days after the last day of the month for which the payment is made. (f) Signup.— The Secretary shall offer to enter into contracts under this section during the period beginning on the date that is 60 days after the date of enactment of this Act and ending on September 30, 2005. (g) Duration of Contract.— (1) In general.— Except as provided in paragraph (2) and subsection (h), any contract entered into by producers on a dairy farm under this section shall cover eligible production marketed by the producers on the dairy farm during the period starting with the first day of month the producers on the dairy farm enter into the contract and ending on September 30, 2005. (2) Violations.— If a producer violates the contract, the Secretary may— (A) terminate the contract and allow the producer to retain any payments received under the contract; or (B) allow the contract to remain in effect and require the producer to repay a portion of the payments received under the contract based on the severity of the violation. (h) Transition Rule.— In addition to any payment that is otherwise available under this section, if the producers on a daily farm enter into a contract under this section, the Secretary shall make a payment in accordance with the formula specified in subsection (c) on the quantity of eligible production of the producer marketed during the period beginning on December 1, 2001, and ending on the last day of the month preceding the month the producers on the dairy farm entered into the contract.Agricultural Reconciliation Act of 2005
Pub. L. 109–171 § 1101(a) · 120 Stat. 4
Added · 7 U.S.C. § 7982(c)(3)
Pub. L. 109–171, § 1101(a), added par. (3)
Struck · 7 U.S.C. § 7982(c)(3)
Pub. L. 109–171, § 1101(a), struck out former par. (3) which read as follows: “45 percent.”
Source evidence
Code amendment note
Subsec. (c)(3). Pub. L. 109–171, § 1101(a), added par. (3) and struck out former par. (3) which read as follows: “45 percent.”Enacted provision · exact public law section
(a) Amount.— Section 1502(c) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7982(c)) is amended by striking paragraph (3) and inserting the following new paragraph: “(3) (A) during the period beginning on the first day of the month the producers on a dairy farm enter into a contract under this section and ending on September 30, 2005, 45 percent; “(B) during the period beginning on October 1, 2005, and ending on August 31, 2007, 34 percent; and “(C) during the period beginning on September 1, 2007, 0 percent.” .Agricultural Reconciliation Act of 2005
Pub. L. 109–171 § 1101(b) · 120 Stat. 4
Substituted · 7 U.S.C. § 7982(f)
Pub. L. 109–171, § 1101(b), substituted “2007” for “2005”
Source evidence
Code amendment note
Subsec. (f). Pub. L. 109–171, § 1101(b), substituted “2007” for “2005”.Enacted provision · exact public law section
(b) Duration.— Section 1502 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7982) is amended by striking “2005” each place it appears in subsections (f) and (g)(1) and inserting “2007”.Agricultural Reconciliation Act of 2005
Pub. L. 109–171 § 1101(b) · 120 Stat. 4
Struck · 7 U.S.C. § 7982(g)(1)
Pub. L. 109–171, § 1101(b), (c)(1), struck out “and subsection (h) of this section” after “paragraph (2)”
Substituted · 7 U.S.C. § 7982(g)(1)
Pub. L. 109–171, § 1101(b), (c)(1), substituted “2007” for “2005”
Source evidence
Code amendment note
Subsec. (g)(1). Pub. L. 109–171, § 1101(b), (c)(1), struck out “and subsection (h) of this section” after “paragraph (2)” and substituted “2007” for “2005”.Enacted provision · exact public law section
(b) Duration.— Section 1502 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7982) is amended by striking “2005” each place it appears in subsections (f) and (g)(1) and inserting “2007”.Agricultural Reconciliation Act of 2005
Pub. L. 109–171 § 1101(c)(2) · 120 Stat. 4
Struck · 7 U.S.C. § 7982(h)
Pub. L. 109–171, § 1101(c)(2), struck out subsec. (h), which related to transition rule
Source evidence
Code amendment note
Subsec. (h). Pub. L. 109–171, § 1101(c)(2), struck out subsec. (h), which related to transition rule.Enacted provision · exact public law section
(2) by striking subsection (h).U.S. Troop Readiness, Veterans’ Care, Katrina Recovery, and Iraq Accountability Appropriations Act, 2007
Pub. L. 110–28 title IX § 9006(a) · 121 Stat. 112
Inserted · 7 U.S.C. § 7982(c)(3)
Pub. L. 110–28 inserted “and” at end of subpar. (A)
Substituted · 7 U.S.C. § 7982(c)(3)
Pub. L. 110–28 substituted “September 30, 2007, 34 percent.” for “August 31, 2007, 34 percent; and” in subpar. (B)
Struck · 7 U.S.C. § 7982(c)(3)
Pub. L. 110–28 struck out subpar. (C), which read as follows: “during the period beginning on September 1, 2007, 0 percent.”
Source evidence
Code amendment note
Subsec. (c)(3). Pub. L. 110–28 inserted “and” at end of subpar. (A), substituted “September 30, 2007, 34 percent.” for “August 31, 2007, 34 percent; and” in subpar. (B), and struck out subpar. (C), which read as follows: “during the period beginning on September 1, 2007, 0 percent.”Enacted provision · exact public law section
(a) Section 1502(c)(3) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7982(c)(3)) is amended— (1) in subparagraph (A), by adding “and” at the end; (2) in subparagraph (B), by striking “August” and all that follows through the end and inserting “September 30, 2007, 34 percent.”; and (3) by striking subparagraph (C).
10 of 10 references resolved to an enrolled provision
Editorial Notes
References in Text
Section 805 of the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2001, referred to in subsec. (d)(2), is section 805 of Pub. L. 106–387, § 1(a) [title VIII], , 114 Stat. 1549, 1549A–50, which is not classified to the Code.
Amendments2006–2007 · 2 rounds
2007
Subsec. (c)(3). Pub. L. 110–28 inserted “and” at end of subpar. (A), substituted “, 34 percent.” for “, 34 percent; and” in subpar. (B), and struck out subpar. (C), which read as follows: “during the period beginning on , 0 percent.”
2006
Subsec. (c)(3). Pub. L. 109–171, § 1101(a), added par. (3) and struck out former par. (3) which read as follows: “45 percent.”
Subsec. (f). Pub. L. 109–171, § 1101(b), substituted “2007” for “2005”.
Subsec. (g)(1). Pub. L. 109–171, § 1101(b), (c)(1), struck out “and subsection (h) of this section” after “paragraph (2)” and substituted “2007” for “2005”.
Subsec. (h). Pub. L. 109–171, § 1101(c)(2), struck out subsec. (h), which related to transition rule.
Credits
2002–2007 · 3 acts
- 2002Pub. L. 107–171, title I, § 1502, , 116 Stat. 205
- 2006Pub. L. 109–171, title I, § 1101, , 120 Stat. 4
- 2007Pub. L. 110–28, title IX, § 9006(a), , 121 Stat. 217.
Show as published
(Pub. L. 107–171, title I, § 1502, , 116 Stat. 205; Pub. L. 109–171, title I, § 1101, , 120 Stat. 4; Pub. L. 110–28, title IX, § 9006(a), , 121 Stat. 217.)