[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: 7CFR1430.307]

[Page 537]
 
                          TITLE 7--AGRICULTURE
 
  CHAPTER XIV--COMMODITY CREDIT CORPORATION, DEPARTMENT OF AGRICULTURE
 
PART 1430_DAIRY PRODUCTS--Table of Contents
 
        Subpart C_2004 Dairy Disaster Assistance Payment Program
 
Sec.  1430.307  Rate of payment and limitations on funding.

    (a) Subject to the availability of funds, the payment rate for 
eligible production and spoilage losses determined according to Sec.  
1430.306 is, depending on the State, the average monthly Mailbox milk 
price for the Florida, the Southeast, or the Appalachian States 
Marketing Orders as reported by the Agricultural Marketing Service 
during the months of August, September, and October of 2004. Maximum 
payment rates for eligible losses for dairy operations located in 
specific states are as follows:
    (1) Florida--$17.62 per hundredweight ($0.1762 per pound).
    (2) Alabama, Georgia, Louisiana, and Mississippi--$16.26 per 
hundredweight ($0.1626 per pound).
    (3) North Carolina and South Carolina--$15.59 per hundredweight 
($0.1559 per pound).
    (b) Subject to the availability of funds, each eligible dairy 
operation's payment is calculated by multiplying the applicable payment 
rate under paragraph (a) of this section by the operation's total 
eligible losses. Where there are multiple producers in the dairy 
operation, individual producers' payments are disbursed according to 
each producer's share of the dairy operation's production as specified 
in the Application.
    (c) If the total value of losses claimed under paragraph (b) of this 
section exceeds the $10 million available for the 2004 Dairy Disaster 
Assistance Payment Program, less any reserve that may be created under 
paragraph (e) of this section, total eligible losses of individual dairy 
operations that, as calculated as an overall percentage for the full 
three month period, August-October 2004 (not a monthly average for any 
one month), are greater than 20 percent of the total base production for 
those three months will be paid at the maximum rate under paragraph (a) 
of this section to the extent available funding allows. A loss of over 
20 percent in only one or two of the eligible months does not itself 
qualify for the maximum per-pound payment. Total eligible losses for a 
producer, as calculated under Sec.  1430.306, of less than or equal to 
20 percent during the eligibility period of August to October 2004 will 
be paid at a rate determined by dividing the eligible losses of less 
than 20 percent by the funds remaining after making payments for all 
eligible losses above the 20 percent threshold.
    (d) In no event shall the payment exceed the value determined by 
multiplying the producer's total eligible loss times the average price 
received for commercial milk production in their area as defined in 
paragraph (a) of this section.
    (e) A reserve may be created to handle claims that extend beyond the 
conclusion of the application period, but claims shall not be payable 
once the available funding is expended.