Louisiana Administrative Code › Title 7 - AGRICULTURE AND ANIMALS › Part XXXI - Milk, Milk Products and Substitutions › Chapter 3 - Dairy Stabilization Board › Section XXXI-301 - Definitions

Current through Register Vol. 50, No. 6, June 20, 2024
A. Wherever in these rules and regulations the masculine is
				  used, it includes the feminine and vice versa; wherever the singular is used,
				  it includes the plural and vice versa.
Act
-R.S.
				  3:4101 et seq., the Dairy Stabilization
				  Law.
Administrative Cost
-includes those direct
				  additional expenses normally and customarily associated with the placement of a
				  product into an established accounting system such as clerical assistance and
				  computer related expenses and does not include expenses such as marketing,
				  sales or promotional expenses.
Agent
-an employee of the Department of
				  Agriculture and Forestry or any person authorized to act on behalf of the
				  commissioner.
Board
-the Dairy Stabilization Board created
				  by R.S.
				  3:4106.
Bulk Milk
-milk which has not yet been placed
				  in the container in which the product will be offered for sale to consumers,
				  retailers, or institutions.
Cartage
-the transportation of dairy products
				  within a limited geographicia area, such as delivery of dairy products from the
				  processor to the retailer or distributor.
Commerce
-any act for which a license from
				  the board is required.
Commissioner
-the commissioner of Agriculture
				  and Forestry of the state of Louisiana.
Cost
-
a.
Cost to the Retailer
-the per unit invoice
				  cost of the dairy products to the retailer:
i. less the volume discount, if any;
ii. plus, all costs of freight;
iii. plus, a markup to cover a proportionate part of the cost
				  of doing business, direct and indirect, which markup, in the absence of proof
				  of a different cost, shall be no less than 6 percent of the invoice cost to the
				  retailer after adding freight charges;
b.
Cost to the Distributor
-the per unit
				  invoice cost of the dairy products to the distributor, including:
i. all freight charges not otherwise included in the invoice
				  which shall, in the absence of proof of a different amount, be presumed to be 6
				  percent of the invoice cost for inbound freight and 12 percent of the invoice
				  cost for outbound freight as applicable; and
ii. a markup to cover a proportionate part of the cost of
				  doing business, direct and indirect, which markup, in the absence of proof of a
				  different cost, shall be presumed to be no less than 3 percent of the invoice
				  cost;
c.
Cost to the Processor
-all the cost
				  including the costs of raw products, ingredients and/or additives, labor
				  (including salaries of executives and officers), receiving, cooling,
				  processing, packaging, manufacturing, rent, interest, depreciation, power,
				  supplies, selling, delivery, storing, maintenance of plant and equipment,
				  advertising, transportation, all types of licenses, taxes, fees, insurance, any
				  and all overhead expenses, and all other costs, direct and indirect, of doing
				  business. Cost shall be allocated proportionately to each unit of product
				  produced;
d. to determine cost when one or more items are advertised,
				  offered for sale, or sold with one or more other items at a combined price, or
				  are advertised, offered as a gift, or given with the sale of one or more items,
				  then all of the items shall be considered as advertised, offered for sale, or
				  sold, and the cost and price of each item shall be governed by the provisions
				  of §301
Cost
.a, b, and c, and other related provisions hereof.
Delinquent Account
-the unpaid debt resulting
				  from the purchase of dairy products on credit after the passage of 30 days from
				  the end of the month in which the purchase was made.
Department
-the Department of Agriculture and
				  Forestry of the state of Louisiana.
Discount
-any reduction, direct or indirect,
				  in the price of dairy products.
Disruptive Trade Practice
-any of the acts
				  more fully defined in
				  §317 hereof.
Distributor
-a person, other than a
				  processor, who sells dairy products to one or more retail establishments or
				  home delivery routes. The term
distributor
includes wholesale
				  grocers, cooperative grocery associations, and any person engaged in marketing
				  dairy products at wholesale (the sale of goods in bulk or quantity as opposed
				  to retail or direct sales to consumers).
Fluid Milk
-homogenized milk, creamline milk,
				  lowfat milk, fortified lowfat milk, skim milk, buttermilk, flavored milk,
				  chocolate milk, lowfat chocolate milk, ice milk mix, half and half, breakfast
				  cream, whipping cream, egg nog, sour cream, cottage cheese (dry or cream),
				  creole cream cheese, yogurt, U.H.T. milk, reene, and lo-reene.
Freight
-all cost of transportation of dairy
				  products such as delivery of products to and from the retailer or
				  distributor.
Frozen Dessert(s)
-frozen dairy products
				  including ice cream, fruit ice cream, nut ice cream, frozen yogurt, ice milk,
				  malt ice milk, malt ice cream, French ice cream, milk sherbets, mellorine,
				  olarine, sherine and the mix from which any such product is made.
Illicit Payment
-the payment of anything of
				  value by a processor or distributor or any agent of either for the privilege of
				  doing business or with the intent or effect of influencing the recipient in a
				  business relationship.
Institution
-a school, hospital, state
				  agency, religious organization, charitable organization, or nursing
				  home.
Invoice
-the document evidencing the sale of
				  products which shall contain sales information including the date, quantity,
				  description of product and the actual sale price of each product to the
				  purchaser.
Licensee
-any person licensed or required to
				  be licensed under the Act or these rules and regulations.
Market Area
-that geographic territory in
				  which a licensee departing from a prevailing price under the circumstances
				  described in
				  §323. A.2.a.i or
				  §323. B.2.b i, actively
				  competes for customers with the relevant competitor and where the relevant
				  competitor is offering the price being met or that geographic territory in
				  which consumers of the licensee's dairy products actively shop for dairy
				  products of the licensee and the relevant competitor and where the relevant
				  competitor is offering the price being met.
Markup
-an amount added to the invoice or
				  replacement cost of dairy products to establish a reasonable sales
				  price.
Milk
-the lacteal secretion of one or more
				  cows (including such secretions when raw, cooled, pasteurized, standardized,
				  homogenized, recombined, or concentrated) which meets applicable requirements
				  of the state health officer.
Milk Case(s)
-the wood, metal, or plastic
				  container utilized for transportation and/or delivering cartons, bottles, jugs,
				  or other packages of dairy products.
Person
-any licensee, individual,
				  partnership, corporation, cooperative association, governmental agency, or any
				  entity.
Price
-the net amount received or to be
				  received by the seller in legal United States currency and currency
				  specifically does not include trading stamps.
Processor
-a person who processes one or more
				  dairy products or a person who purchases bulk milk for resale to a person who
				  processes dairy products. The term does not include a person who purchases ice
				  cream mix or ice milk mix whose processing activities are limited to converting
				  such mix into a dairy product which will be sold on the premises where such
				  processing occurs.
Quorum
-with respect to the board, four
				  members of the board.
Retailer
-any person who is engaged in
				  transferring title to daily products to consumers at a fixed business location
				  within the state.
Slotting Allowance
-the payment of anything
				  of value by a supplier as a mere reimbursement for actual, real and genuine
				  additional direct administrative cost incurred by a purchaser in servicing the
				  physical introduction of a product or products. Slotting allowance does not
				  mean, under any circumstances, any payment which may be construed as an illicit
				  payment as defined herein.
Supplier
-processors and distributors,
				  including wholesale grocers and cooperative grocery associations.
Volume Discount
-a rate of reduction
				  applicable to the price of dairy products, which rate is established on the
				  basis of total purchases of dairy products from all suppliers of such
				  products.
Volume Discount Year
-the 12 months
				  commencing on April 1 and ending on March 31.
Wholesaler
-any licensee engaged in the
				  business of making sales at wholesale (the sale of dairy products in bulk or
				  quantity as opposed to retail or direct sales to consumers) within this state,
				  or if any person is engaged in the business of making sales at both wholesale
				  and at retail, wholesaler shall apply only to the wholesale portion of the
				  business.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  3:4102 and 3:4108 (formerly R.S. 40:931.2 and
				  R.S. 40:931.8).