New York Codes, Rules and Regulations › Title 1 - DEPARTMENT OF AGRICULTURE AND MARKETS › Chapter I - Milk Control › Subchapter B - Milk Control Orders › Part 20 - New York/new Jersey Milk Marketing Area (revised Official Order No. 126) › Pool Plants and Bulk Tank Units › Section 20.27 - Suspension and cancellation of designation

Current through Register Vol. 46, No. 28, July 10, 2024
The designation of a pool plant pursuant to section
						20.24  of this
						Part or of a declared pool unit consisting of farms in the area specified in
						section
						20.25(e) 
						may be suspended or canceled under any of the following provisions:
(a) The designation shall be canceled
					 effective on the first of the month following the filing with the market
					 administrator, and on a form prescribed by him, of an application by the
					 handler operating the plant; provided, that a plant whose designation is so
					 canceled on the first of any of the months of August through November shall be
					 a pool plant it it meets the provisions of section
					 20.28(e) 
					 of this Part, and shall not be a pool plant pursuant to any other provision of
					 this order prior to December 1 following such cancellation; provided further,
					 that such application for cancellation shall be accompanied by proof that the
					 handler, if not a cooperative association qualified pursuant to section
					 20.77 
					 has notified any qualified cooperative association which has any members who
					 deliver milk to such plant, and has notified individually all producers
					 delivering to such plant who are not members of such qualified cooperative
					 association of his intention to make such application; provided further, that
					 if 50 percent or more of the producers delivering milk at such plant deliver
					 such milk for the account of a cooperative association which does not operate
					 the plant but for which milk such association receives payment, an application
					 must be made by such cooperative association as well as by the handler
					 operating the plant; provided further, that if a handler applies for a
					 replacement designation pursuant to section
					 20.24(b),
					 the designation of the plant or plants replaced shall be canceled automatically
					 at the time the replacement designation becomes effective.
(b) The designation of any plant which in any
					 month is not approved by a health authority as a source of milk for the
					 marketing area shall be automatically suspended at the beginning of the second
					 month following the month that the handler receives notice that the plant does
					 not have health approval as a source of milk for the marketing area unless the
					 absence of health approval is a temporary condition covering a period of not
					 more than 15 days; provided, that the designation of a plant approved by a
					 health authority as a source of milk for the marketing area, even though such
					 approval is restricted to prohibit shipment to the marketing area of milk for
					 specified periods during which permission is given by such health authority for
					 receiving unapproved milk or skim milk at the plant or for shipment of approved
					 skim milk from such plant, shall not be suspended pursuant to this
					 provision.
(c) The designation of a
					 plant pursuant to section
					 20.24  of this
					 Part shall be suspended at the beginning of the second month following any
					 consecutive 12- month period in which the plant failed to receive any pool milk
					 or at the beginning of the second month following a month in which there is a
					 failure to maintain the facilities and equipment that constitute a plant
					 pursuant to section
					 20.8(a)  of
					 this Part.
(d) The designation of
					 any plant or unit shall be suspended, effective no sooner than 10 days nor
					 later than 20 days after the date of mailing of notice, by registered letter,
					 to the handler, whenever the market administrator, subject to the limitations
					 set forth in subdivisions (h) and (j) of this section, finds on the basis of
					 available information that the handler operating the plant or unit is not
					 meeting the requirements set forth in section
					 20.26  of
					 this Part; provided, that, if the handler operating the plant or unit is not a
					 cooperative association qualified pursuant to section
					 20.77,
					 the market administrator shall notify any qualified cooperative association
					 which has any members who deliver milk to such plant or unit, and shall also
					 notify individually all producers delivering to such plant or unit who are not
					 members of such qualified cooperative association of such suspension of
					 designation.
(e) In the case of
					 suspension pursuant to this section of the designation of one or more plants or
					 units for failure to meet the requirements of section
					 20.26(a) or
					 (c)  of this Part the handler operating such
					 plant or unit may select, prior to the effective date of such suspension, one
					 or more other pool plants or pool units consisting of farms in the area
					 specified in section
					 20.25(e) 
					 for suspension in lieu thereof if, during the preceding month, the quantity of
					 pool milk received from producers at such substituted plants or units was not
					 less than the quantity of pool milk received from producers at the plants or
					 units named for suspension. The handler may also select the order in which
					 plant or unit designations are to be cancelled in the event of a later
					 determination by the commissioner canceling the designation of some but not all
					 of the plants or units suspended.
(f) Not later than 10 days after the
					 effective date of suspension of designation pursuant to this section, the
					 handler operating the plant or unit may apply to the commissioner for a review.
					 If the handler fails to so apply for such review, the designation shall be
					 canceled as of the effective date of the suspension. If the handler does so
					 apply, the commissioner shall, after review, either determine that the
					 requirements set forth in section
					 20.26  of
					 this Part have been met and order the suspension revoked, or determine that
					 such requirements have not been met and order the designation canceled as of
					 the effective date of the suspension: provided, that, if the commissioner has
					 made no determination within two months after the end of the month in which the
					 suspension was made effective, but later orders the designation canceled, such
					 cancellation shall be effective as of the first of the month following the date
					 of such determination.
(g)
					 Beginning with the effective date of a suspension pursuant to this section, and
					 until the commissioner has either ordered the designation canceled or ordered
					 the suspension revoked, the plant or unit shall be treated as a pool plant or
					 pool unit: provided, that all payments into or out of the producer settlement
					 fund (except such payments on the basis of operations during a month in which
					 the plant meets the requirements of section
					 20.28  of
					 this Part or the unit meets the requirements of section
					 20.25[g]) shall be held in reserve by the market administrator until an order is issued
					 by the commissioner, but no longer than two months after the end of the month
					 in which the suspension was made effective.
(h) No pool plant or pool unit designation
					 shall be suspended for failure to meet the requirements of section
					 20.26(a) 
					 of this Part except under the following conditions or pursuant to subdivision
					 (1) of this section:
(1) A meeting has been
					 held no sooner than three days after notice by the market administrator to all
					 handlers operating pool plants designated pursuant to section
					 20.24  or pool
					 units consisting of farms in the area specified in section
					 20.25(e) 
					 for consideration of the desirable utilization of milk received from producers
					 during a period ending not later than the end of the second month after the
					 month during which such meeting is held.
(2) There has been issued by the market
					 administrator, following such meeting, and mailed to all handlers operating
					 pool plants designated pursuant to section
					 20.24  of this
					 Part or pool units consisting of farms in the area specified in section
					 20.25(e) 
					 the market administrator's determination of the desirable utilization of milk
					 received from producers each month during all or a part of the period set forth
					 in paragraph (1) of this subdivision. Such determination shall include a
					 schedule setting forth, by months, the desired minimum percentage of pool milk
					 received from producers to be utilized in specified classes. Such specified
					 classes shall include Class I-A in the marketing area, and may include all or a
					 part of other Class I-A and Class I-B.
(3) The market administrator finds on the
					 basis of available information that the handler operating a plant or unit or
					 the cooperative reporting a plant or unit is not utilizing milk received from
					 producers in accordance with the minimum percentage set forth in the
					 determination of the market administrator previously announced pursuant to
					 paragraph (2) of this subdivision: provided, that the suspension of the
					 designation of a plant or unit may be made effective during the months of
					 November and December if the market administrator finds that the handler is
					 utilizing any milk received from producers in classes other than those set
					 forth in the determination of the market administrator announced pursuant to
					 paragraph (2) of this subdivision.