Dairy Promotion Equity Act

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Dairy Promotion Equity Act''.

SEC. 2. FUNDING OF DAIRY PROMOTION AND RESEARCH PROGRAM.

    (a) Declaration of Policy.--The first sentence of section 110(b) of 
the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4501(b)) is 
amended--
            (1) by inserting after ``commercial use'' the following: 
        ``and on imported dairy products''; and
            (2) by striking ``products produced in'' and inserting 
        ``products produced in or imported into''.
    (b) Definitions.--Section 111 of the Dairy Production Stabilization 
Act of 1983 (7 U.S.C. 4502) is amended--
            (1) in subsection (k), by striking ``and'' at the end;
            (2) in subsection (l), by striking the period at the end 
        and inserting a semicolon; and
            (3) by adding at the end the following:
            ``(m) the term `imported dairy product' means any dairy 
        product that is imported into the United States, including--
                    ``(1) milk and cream and fresh and dried dairy 
                products;
                    ``(2) butter and butterfat mixtures;
                    ``(3) cheese;
                    ``(4) casein and mixtures; and
                    ``(5) other dairy products; and
            ``(n) the term `importer' means a person that imports an 
        imported dairy product into the United States.''.
    (c) Funding.--
            (1) Representation on board.--Section 113(b) of the Dairy 
        Production Stabilization Act of 1983 (7 U.S.C. 4504(b)) is 
        amended--
                    (A) by designating the first through ninth 
                sentences as paragraphs (1) through (5) and paragraphs 
                (7) through (10), respectively;
                    (B) in paragraph (1) (as so designated), by 
                striking ``thirty-six'' and inserting ``38'';
                    (C) in paragraph (2) (as so designated), by 
                striking ``Members'' and inserting ``Of the members of 
                the Board, 36 members''; and
                    (D) by inserting after paragraph (5) (as so 
                designated) the following:
            ``(6) Importers.--
                    ``(A) In general.--Of the members of the Board, 2 
                members shall be representatives of importers of 
                imported dairy products.
                    ``(B) Appointment.--The importer representatives 
                shall be appointed by the Secretary from nominations 
                submitted by importers under such procedures as the 
                Secretary determines to be appropriate.''.
            (2) Assessment.--Section 113(g) of the Dairy Production 
        Stabilization Act of 1983 (7 U.S.C. 4504(g)) is amended--
                    (A) by designating the first through fifth 
                sentences as paragraphs (1) through (5), respectively; 
                and
                    (B) by adding at the end the following:
            ``(6) Importers.--
                    ``(A) In general.--The order shall provide that 
                each importer of imported dairy products shall pay an 
                assessment to the Board in the manner prescribed by the 
                order.
                    ``(B) Rate.--The rate of assessment on imported 
                dairy products shall be determined in the same manner 
                as the rate of assessment per hundredweight or the 
                equivalent of milk.
                    ``(C) Value of products.--For the purpose of 
                determining the assessment on imports under 
                subparagraph (B), the value to be placed on imported 
                dairy products shall be established by the Secretary in 
                a fair and equitable manner.''.
            (3) Records.--The first sentence of section 113(k) of the 
        Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504(k)) 
        is amended by striking ``person receiving'' and inserting 
        ``importer of imported dairy products, each person receiving''.
            (4) Referendum.--Section 116 of the Dairy Production 
        Stabilization Act of 1983 (7 U.S.C. 4507) is amended by adding 
        at the end the following:
    ``(d) Referendum on Dairy Promotion Equity Act.--
            ``(1) In general.--On the request of a representative group 
        comprising 10 percent or more of the number of producers 
        subject to the order, the Secretary shall--
                    ``(A) conduct a referendum to determine whether the 
                producers favor suspension of the application of the 
                amendments made by section 2 of the Dairy Promotion 
                Equity Act; and
                    ``(B) suspend the application of the amendments 
                until the results of the referendum are known.
            ``(2) Continuation of suspension.--The Secretary shall 
        continue the suspension of the application of the amendments 
        referred to in paragraph (1)(A) only if the Secretary 
        determines that suspension of the application of the amendments 
        is favored by a majority of the producers voting in the 
        referendum who, during a representative period (as determined 
        by the Secretary), have been engaged in the production of milk 
        for commercial use.''.

Summary: Dairy Promotion Equity Act - Amends the Dairy Production Stabilization Act of 1983 to:  (1) require dairy importers to contribute to the dairy promotion program; (2) increase National Dairy Board membership by including importers; and (3) provide for a referendum regarding suspension of certain provisions under the Dairy Promotion Equity Act.