I
103D CONGRESS
1ST SESSION
H. R. 738
To repeal the minimum adjustments to prices of fluid milk under Federal
marketing orders and to establish basing points in various geographical
areas of the United States for purposes of determining prices to be
paid to milk producers under such orders.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 2, 1993
Mr. ROTH introduced the following bill; which was referred to the Committee
on Agriculture
A BILL
To repeal the minimum adjustments to prices of fluid milk
under Federal marketing orders and to establish basing
points in various geographical areas of the United States
for purposes of determining prices to be paid to milk
producers under such orders.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Milk Marketing Order
Reform Act of 1993’’.
SEC. 2. REPEAL OF EXISTING MINIMUM ADJUSTMENTS TO
PRICES OF FLUID MILK.
(a) REPEAL.—Paragraph (A) of section 8c(5) of the
Agricultural Adjustment Act (7 U.S.C. 608c(5)), reen-
acted with amendments by the Agricultural Marketing
Agreement Act of 1937, is amended by striking the third
and fourth sentences, including the table.
(b) TECHNICAL AMENDMENTS.—The first sentence
of such paragraph is amended—
(1) by striking ‘‘Classifying’’ and inserting
‘‘The order shall classify’’;
(2) by striking ‘‘fixing’’ the first place it ap-
pears and inserting ‘‘fix’’; and
(3) by striking ‘‘providing’’ and inserting ‘‘pro-
vide’’.
SEC. 3. ESTABLISHMENT OF REGIONAL MILK PRICING SYS-
TEM.
(a) ESTABLISHMENT.—Subsection (5) of section 8c
of the Agricultural Adjustment Act (7 U.S.C. 608c), reen-
acted with amendments by the Agricultural Marketing
Agreement Act of 1937, is amended by striking paragraph
(H), which is no longer effective pursuant to section 103
of the Food and Agriculture Act of 1965 (Public Law 89–
321; 79 Stat. 1188), and inserting the following new para-
graph:
‘‘(H)(i) The Secretary shall designate by rule not less
than 4, and not more than 8, regions in the United States
which together include all geographical areas in the United
States that are subject to milk marketing orders. The en-
tire geographical area that is subject to a single milk mar-
keting order shall be included in a single region designated
under this paragraph.
‘‘(ii) Each region designated under this paragraph
shall consist of a geographical area in which less than 60
percent of the aggregate amount of milk of the highest
use classification produced is consumed for fluid use.
‘‘(iii) The Secretary shall designate a single site in
a milk surplus area in each such region and shall use such
site for purposes of determining the prices to be paid to
producers for milk produced in such region, including
price adjustments under paragraphs (A) and (B) for vol-
ume, market, and production differentials customarily ap-
plied by the handlers subject to the order involved and
for the grade or quality of the milk purchased.
‘‘(iv) The aggregate amount of the adjustments made
in accordance with subparagraph (iii) under paragraphs
(A) and (B) shall be not less than $1.12 per hundred-
weight of milk having 3.5 percent milkfat.’’.
(b) CONFORMING AMENDMENTS.—Such subsection is
further amended—
(1) in the second sentence of paragraph (A), by
striking ‘‘for (1)’’ and all that follows through ‘‘(3)’’
and inserting ‘‘made in accordance with paragraph
(H)(iii) and adjustments for’’; and
(2) in paragraph (B)—
(A) by striking ‘‘Providing:’’ and inserting
‘‘The order shall contain a provision provid-
ing—’’;
(B) by striking ‘‘for (a)’’ and all that fol-
lows through ‘‘(c)’’ and inserting ‘‘made in ac-
cordance with paragraph (H)(iii), adjustments
for’’; and
(C) by striking ‘‘(d)’’, ‘‘(e)’’, and ‘‘(f)’’.
SEC. 4. EFFECTIVE DATE.
The amendments made by this Act shall take effect
one year after the date of the enactment of this Act.
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