[Code of Federal Regulations]
[Title 7, Volume 10]
[Revised as of January 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1425.18]

[Page 478]
 
                          TITLE 7--AGRICULTURE
 
  CHAPTER XIV--COMMODITY CREDIT CORPORATION, DEPARTMENT OF AGRICULTURE
 
PART 1425_COOPERATIVE MARKETING ASSOCIATIONS--Table of Contents
 
Sec.  1425.18  Distribution of proceeds.

    (a)(1) If CCC makes loans or LDP's for any quantity in a loan pool, 
the related proceeds shall be distributed or otherwise made available to 
the members account:
    (i) Based on the quantity and quality of the commodity delivered by 
each member;
    (ii) Less any authorized charges for services performed or paid by 
the CMA necessary to condition or otherwise make the commodity eligible 
for loans or LDP's, according to the marketing agreement provided for in 
Sec.  1425.13;
    (iii) Within 15 work days from the date the CMA receives loan or LDP 
proceeds from CCC, or held according to the terms of a deferred payment 
agreement if requested by the member.
    (2) CMA's may credit advances to its members made before loans and 
LDP's are obtained against the distribution of loan and LDP proceeds 
requirement in paragraph (a)(1)(iii) of this section.
    (b)(1) Except as provided in paragraph (b)(2) of this section, loan 
pool proceeds shall not be combined with non-loan pool proceeds and the 
CMA shall distribute loan pool proceeds according to the information it 
provided CCC in accordance with Sec.  1425.4(b)(7).
    (2) Sales proceeds from a loan pool may be combined with sales 
proceeds from other pools if the proceeds from such pools are allocated 
among the pools according to the quantity and quality of the commodity 
included in the pools.
    (3) Loan and LDP proceeds shall only be issued to members involved 
in pools used for loans or LDP's.
    (4) When notified by CCC that loan and LDP distributions to a member 
must be reduced for a program year, farm, or crop, a CMA shall not make 
subsequent pool distributions and shall reimburse CCC for distributions 
previously issued, if applicable.

[63 FR 17312, Apr. 9, 1998, as amended at 71 FR 42750, July 28, 2006]