[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: 7CFR1131.7]

[Page 184-186]
 
                          TITLE 7--AGRICULTURE
 
  CHAPTER X--AGRICULTURAL MARKETING SERVICE (Marketing Agreements and 
                 Orders; Milk) DEPARTMENT OF AGRICULTURE
 
PART 1131_MILK IN ARIZONA-LAS VEGAS MARKETING AREA--Table of Contents
 
                    Subpart_Order Regulating Handling
 
Sec. 1131.7  Pool plant.

    Pool Plant means a plant or unit of plants specified in paragraphs 
(a) through (e) of this section, but excluding a plant specified in 
paragraph (g) of this section. The pooling standards described in 
paragraphs (c) and (d) of this section are subject to modification 
pursuant to paragraph (f) of this section.
    (a) A distributing plant, other than a plant qualified as a pool 
plant pursuant

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to paragraph (b) of this Sec. --------. 7(b) of any other Federal milk 
order, from which during the month 25 percent or more of the total 
quantity of fluid milk products physically received at the plant 
(excluding concentrated milk received from another plant by agreement 
for other than Class I use) are disposed of as route disposition or are 
transferred in the form of packaged fluid milk products to other 
distributing plants. At least 25 percent of such route disposition and 
transfers must be to outlets in the marketing area.
    (b) Any distributing plant located in the marketing area which 
during the month processed at least 25 percent of the total quantity of 
fluid milk products physically received at the plant (excluding 
concentrated milk received from another plant by agreement for other 
than Class I use) into ultra-pasteurized or aseptically-processed fluid 
milk products.
    (c) A supply plant from which 50 percent or more of the total 
quantity of milk that is physically received at such plant from dairy 
farmers and handlers described in Sec. 1000.9(c), including milk that 
is diverted as producer milk to other plants, is transferred to pool 
distributing plants. Concentrated milk transferred from the supply plant 
to a distributing plant for an agreed-upon use other than Class I shall 
be excluded from the supply plant's shipments in computing the plant's 
shipping percentage.
    (d) A plant located within the marketing area and operated by a 
cooperative association if, during the month, or the immediately 
preceding 12-month period ending with the current month, 35 percent or 
more of the producer milk of members of the association (and any 
producer milk of nonmembers and members of another cooperative 
association which may be marketed by the cooperative association) is 
physically received in the form of bulk fluid milk products (excluding 
concentrated milk transferred to a distributing plant for an agreed-upon 
use other than Class I) at plants specified in paragraph (a) or (b) of 
this section either directly from farms or by transfer from supply 
plants operated by the cooperative association and from plants of the 
cooperative association for which pool plant status has been requested 
under this paragraph subject to the following conditions:
    (1) The plant does not qualify as a pool plant under paragraph (a), 
(b) or (c) of this section or under comparable provisions of another 
Federal order; and
    (2) The plant is approved by a duly constituted regulatory agency 
for the handling of milk approved for fluid consumption in the marketing 
area.
    (e) Two or more plants operated by the same handler and located in 
the marketing area may qualify for pool plant status as a unit by 
together meeting the requirements specified in paragraph (a) of this 
section and subject to all of the following additional requirements:
    (1) At least one of the plants in the unit must qualify as a pool 
plant pursuant to paragraph (a) of this section;
    (2) Other plants in the unit must process Class I or Class II 
products, using 50 percent or more of the total Grade A fluid milk 
products received in bulk form at such plant or diverted therefrom by 
the plant operator in Class I or Class II products, and must be located 
in a pricing zone providing the same or lower Class I price than the 
price applicable at the distributing plant included in the unit pursuant 
to paragraph (e)(1) of this section; and
    (3) A written request to form a unit must be filed by the handler 
with the market administrator prior to the first day of the month for 
which such status is desired to be effective. The unit shall continue 
from month to month thereafter without further notification. The handler 
shall notify the market administrator in writing prior to the first day 
of any month for which termination or any change of the unit is desired.
    (f) The applicable shipping percentages of paragraphs (c) and (d) of 
this section may be increased or decreased by the market administrator 
if the market administrator finds that such adjustment is necessary to 
encourage needed shipments or to prevent uneconomic shipments. Before 
making such a finding, the market administrator

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shall investigate the need for adjustment either on the market 
administrator's own initiative or at the request of interested parties 
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 an adjustment of the shipping percentages might 
be appropriate, the market administrator shall issue a notice stating 
that an adjustment is being considered and invite data, views and 
arguments. Any decision to revise an applicable shipping percentage must 
be issued in writing at least one day before the effective date.
    (g) The term pool plant shall not apply to the following plants:
    (1) A producer-handler as defined under any Federal order;
    (2) An exempt plant as defined in Sec. 1000.8(e);
    (3) A plant located within the marketing area and qualified pursuant 
to paragraph (a) of this section which meets the pooling requirements of 
another Federal order, and from which more than 50 percent of its route 
disposition has been in the other Federal order marketing area for 3 
consecutive months;
    (4) A plant located outside any Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of another Federal order and has had greater route 
disposition in such other Federal order's marketing area for 3 
consecutive months;
    (5) A plant located in another Federal order marketing area and 
qualified pursuant to paragraph (a) of this section that meets the 
pooling requirements of such other Federal order and does not have a 
majority of its route distribution in this marketing area for 3 
consecutive months or if the plant is required to be regulated under 
such other Federal order without regard to its route disposition in any 
other Federal order marketing area;
    (6) A plant qualified pursuant to paragraph (c) of this section 
which also meets the pooling requirements of another Federal order and 
from which greater qualifying shipments are made to plants regulated 
under the other Federal order than are made to plants regulated under 
the order in this part, or the plant has automatic pooling status under 
the other Federal order; and
    (7) That portion of a regulated plant designated as a nonpool plant 
that is physically separate and operated separately from the pool 
portion of such plant. The designation of a portion of a regulated plant 
as a nonpool plant must be requested in advance and in writing by the 
handler and must be approved by the market administrator.

[64 FR 48010, Sept. 1, 1999]