II

107TH CONGRESS

1ST SESSION S. 1123

To amend the Dairy Production Stabilization Act of 1983 to ensure that

all persons who benefit from the dairy promotion and research program

contribute to the cost of the program, and for other purposes.

IN THE SENATE OF THE UNITED STATES

JUNE 28, 2001

Mr. FEINGOLD (for himself, Mr. CRAIG, and Mr. KOHL) introduced the following bill; which was read twice and referred to the Committee on Agriculture, Nutrition, and Forestry

A BILL

To amend the Dairy Production Stabilization Act of 1983

to ensure that all persons who benefit from the dairy

promotion and research program contribute to the cost

of the program, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Dairy Promotion Fair5 ness Act’’.
2

•S 1123 IS

1 SEC. 2. FUNDING OF DAIRY PROMOTION AND RESEARCH

2 PROGRAM.

3 (a) DECLARATION OF POLICY.—Section 110(b) of

4 the Dairy Production Stabilization Act of 1983 (7 U.S.C.

5 4501(b)) is amended—

6 (1) in the first sentence—

7 (A) by inserting after ‘‘commercial use’’

8 the following: ‘‘and on imported dairy prod9 ucts’’; and

10 (B) by striking ‘‘products produced in the

11 United States.’’ and inserting ‘‘products.’’; and

12 (2) in the second sentence, by inserting after

13 ‘‘produce milk’’ the following: ‘‘or the right of any

14 person to import dairy products’’.

15 (b) DEFINITIONS.—Section 111 of the Dairy Produc16 tion Stabilization Act of 1983 (7 U.S.C. 4502) is

17 amended—

18 (1) in subsection (k), by striking ‘‘and’’ at the

19 end;

20 (2) in subsection (l), by striking the period at

21 the end and inserting a semicolon; and

22 (3) by adding at the end the following:

23 ‘‘(m) the term ‘imported dairy product’ means

24 any dairy product that is imported into the United

25 States, including dairy products imported into the

26 United States in the form of—
3

•S 1123 IS

1 ‘‘(1) milk, cream, and fresh and dried

2 dairy products;

3 ‘‘(2) butter and butterfat mixtures;

4 ‘‘(3) cheese; and

5 ‘‘(4) casein and mixtures;

6 ‘‘(n) the term ‘importer’ means any person that

7 imports an imported dairy product from outside the

8 United States for sale in the United States as a

9 principal or as an agent, broker, or consignee of any

10 person; and

11 ‘‘(o) the term ‘Customs’ means the United

12 States Customs Service.’’.

13 (c) REPRESENTATION OF IMPORTERS ON BOARD.—

14 Section 113(b) of the Dairy Production Stabilization Act

15 of 1983 (7 U.S.C. 4504(b)) is amended—

16 (1) by inserting ‘‘NATIONAL DAIRY PROMOTION

17 AND RESEARCH BOARD.—’’ after ‘‘(b)’’;

18 (2) by designating the first through ninth sen19 tences as paragraphs (1) through (5) and para20 graphs (7) through (10), respectively, and indenting

21 appropriately;

22 (3) in paragraph (2) (as so designated), by

23 striking ‘‘Members’’ and inserting ‘‘Except as pro24 vided in paragraph (6), the members’’; and
4

•S 1123 IS

1 (4) by inserting after paragraph (5) (as so des2 ignated) the following:

3 ‘‘(6) IMPORTERS.—

4 ‘‘(A) IN GENERAL.—The Secretary shall

5 appoint not more than 2 members who are—

6 ‘‘(i) representatives of importers of

7 dairy products; and

8 ‘‘(ii) subject to an assessment under

9 the order.

10 ‘‘(B) REPRESENTATION.—The number of

11 members appointed under subparagraph (A)

12 shall reflect the proportion of domestic produc13 tion and imports supplying the United States

14 market, as determined by the Secretary on the

15 basis of—

16 ‘‘(i) the average quantity of dairy

17 products produced in the United States

18 during the 3 preceding fiscal years; to

19 ‘‘(ii) the average volume of imports of

20 dairy products imported into the United

21 States during the 3 preceding fiscal years.

22 ‘‘(C) ADDITIONAL MEMBERS; NOMINA23 TION.—The members appointed under this

24 paragraph—
5

•S 1123 IS

1 ‘‘(i) shall be in addition to the total

2 number of members appointed under para3 graph (2); and

4 ‘‘(ii) shall be appointed from nomina5 tions submitted by importers under such

6 procedures as the Secretary determines to

7 be appropriate.’’.

8 (d) IMPORTER ASSESSMENT.—Section 113(g) of the

9 Dairy Production Stabilization Act of 1983 (7 U.S.C.

10 4504(g)) is amended—

11 (1) by inserting ‘‘ASSESSMENTS.—’’ after

12 ‘‘(g)’’;

13 (2) by designating the first through fifth sen14 tences as paragraphs (1) through (5), respectively,

15 and indenting appropriately; and

16 (3) by adding at the end the following:

17 ‘‘(6) IMPORTERS.—

18 ‘‘(A) IN GENERAL.—The order shall pro19 vide that each importer of imported dairy prod20 ucts shall pay an assessment to the Board in

21 the manner prescribed by the order.

22 ‘‘(B) TIMING.—

23 ‘‘(i) IN GENERAL.—An assessment on

24 imported dairy products shall be paid by

25 the importer to Customs at the time of
6

•S 1123 IS

1 entry of the products into the United

2 States and shall be remitted to the Board.

3 ‘‘(ii) ENTRY INTO THE UNITED

4 STATES.—For purposes of this paragraph,

5 entry of the products into the United

6 States shall be considered to have occurred

7 when the products are released from the

8 custody of Customs and introduced into

9 the stream of commerce in the United

10 States.

11 ‘‘(C) RATE.—The rate of assessment on

12 imported dairy products shall be determined in

13 the same manner as the rate of assessment per

14 hundredweight or the equivalent of milk.

15 ‘‘(D) VALUE OF PRODUCTS.—For the pur16 pose of determining the assessment on imported

17 dairy products under subparagraph (C), the

18 value to be placed on imported dairy products

19 shall be established by the Secretary in a fair

20 and equitable manner.

21 ‘‘(E) RESTRICTION ON USE.—An assess22 ment collected on imported dairy products shall

23 not be used for foreign market promotion.’’.

24 (e) RECORDS.—Section 113(k) of the Dairy Produc25 tion Stabilization Act of 1983 (7 U.S.C. 4504(k)) is
7

•S 1123 IS

1 amended in the first sentence by striking ‘‘person receiv2 ing’’ and inserting ‘‘importer of imported dairy products,

3 each person receiving’’.

4 (f) IMPORTER ELIGIBILITY TO VOTE IN REF5 ERENDUM.—Section 116(b) of the Dairy Promotion Sta6 bilization Act of 1983 (7 U.S.C. 4507(b)) is amended—

7 (1) in the first sentence—

8 (A) by inserting after ‘‘of producers’’ the

9 following: ‘‘and importers’’; and

10 (B) by inserting after ‘‘the producers’’ the

11 following: ‘‘and importers’’; and

12 (2) in the second sentence, by inserting after

13 ‘‘of the producers’’ the following: ‘‘and importers’’.

Æ