[Code of Federal Regulations]
[Title 7, Volume 9]
[Revised as of January 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1033.13]

[Page 153-154]
 
                          TITLE 7--AGRICULTURE
 
  CHAPTER X--AGRICULTURAL MARKETING SERVICE (Marketing Agreements and 
                 Orders; Milk) DEPARTMENT OF AGRICULTURE
 
PART 1033_MILK IN THE MIDEAST MARKETING AREA--Table of Contents
 
                    Subpart_Order Regulating Handling
 
Sec. 1033.13  Producer milk.

    Producer milk means the skim milk (or the skim equivalent of 
components of skim milk), including nonfat components, and butterfat in 
milk of a producer that is:
    (a) Received by the operator of a pool plant directly from a 
producer or a handler described in Sec. 1000.9(c). All milk received 
pursuant to this paragraph shall be priced at the location of the plant 
where it is first physically received;
    (b) Received by a handler described in Sec. 1000.9(c) in excess of 
the quantity delivered to pool plants;
    (c) Diverted by a pool plant operator to another pool plant. Milk so 
diverted shall be priced at the location of the plant to which diverted; 
or
    (d) Diverted by the operator of a pool plant or by a cooperative 
association described in Sec. 1000.9(c) to a nonpool plant, subject to 
the following conditions:
    (1) Milk of a dairy farmer shall not be eligible for diversion until 
milk of such dairy farmer has been physically received as producer milk 
at a pool plant and the dairy farmer has continuously retained producer 
status since that time. If a dairy farmer loses producer status under 
the order in this part (except as a result of a temporary loss of Grade 
A approval), the dairy farmer's milk shall not be eligible for diversion 
until milk of the dairy farmer has been physically received as producer 
milk at a pool plant;
    (2) The equivalent of at least two days' milk production is caused 
by the handler to be physically received at a pool plant in each of the 
months of August through November;
    (3) The equivalent of at least two days' milk production is caused 
by the

[[Page 154]]

handler to be physically received at a pool plant in each of the months 
of December through July if the requirement of paragraph (d)(2) of this 
section (Sec. 1033.13) in each of the prior months of August through 
November are not met, except in the case of a dairy farmer who marketed 
no Grade A milk during each of the prior months of August through 
November.
    (4) Of the total quantity of producer milk received during the month 
(including diversions but excluding the quantity of producer milk 
received from a handler described in Sec. 1000.9(c) of this chapter or 
which is diverted to another pool plant), the handler diverted to 
nonpool plants not more than 60 percent in each of the months of August 
through February and 70 percent in each of the months of March through 
July.
    (5) Diverted milk shall be priced at the location of the plant to 
which diverted;
    (6) Any milk diverted in excess of the limits set forth in paragraph 
(d)(3) of this section shall not be producer milk. The diverting handler 
shall designate the dairy farmer deliveries that shall not be producer 
milk. If the handler fails to designate the dairy farmer deliveries 
which are ineligible, producer milk status shall be forfeited with 
respect to all milk diverted to nonpool plants by such handler; and
    (7) The delivery day requirement in paragraphs (d)(2) and (d)(3) of 
this section and the diversion percentages in paragraph (d)(4) of this 
section may be increased or decreased by the market administrator if the 
market administrator finds that suhc 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 request is 
made in writing at least 15 days prior to the month for which the 
requested revision is desired effective. 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.

[64 FR 47991, Sept. 1, 1999, as amended at 67 FR 48744, July 26, 2002; 
69 FR 34555, June 22, 2004]