PUBLIC LAW 107-171—MAY 13, 2002 116 STAT. 205 Subtitle E—Dairy SEC. 1501. MILK PRICE SUPPORT PROGRAM. 7 USC 7981. (a) SUPPORT ACTIVITIES. — During the period beginning on June 1, 2002, and ending on December 31, 2007, the Secretary of Agriculture shall support the price of milk produced in the 48 contiguous States through the purchase of cheese, butter, and nonfat dry milk produced from the milk. (b) RATE. — During the period specified in subsection (a), the price of milk shall be supported at a rate equal to $9.90 per hundredweight for milk containing 3.67 percent butterfat. (c) PURCHASE PRICES.— (1) UNIFORM PRICES.— The support purchase prices under this section for each of the products of milk (butter, cheese, and nonfat dry milk) announced by the Secretary shall be the same for all of that product sold by persons offering to sell the product to the Secretary. (2) SUFFICIENT PRICES. —The purchase prices shall be sufficient to enable plants of average efficiency to pay producers, on average, a price that is not less than the rate of price support for milk in effect under subsection (b). (d) SPECIAL RULE FOR BUTTER AND NONFAT DRY MILK PUR- CHASE PRICES. — (1) ALLOCATION OF PURCHASE PRICES.— The Secretary may allocate the rate of price support between the purchase prices for nonfat dry milk and butter in a manner that will result in the lowest level of expenditures by the Commodity Credit Corporation or achieve such other objectives as the Secretary considers appropriate. Not later than 10 days after making or changing an allocation, the Secretary shall notify the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate of the allocation. Section 553 of title 5, United States Code, shall not apply with respect to the implementation of this section. (2) TIMING OF PURCHASE PRICE ADJUSTMENTS.—The Secretary may make any such adjustments in the purchase prices for nonfat dry milk and butter the Secretary considers to be necessary not more than twice in each calendar year. (e) COMMODITY CREDIT CORPORATION.—The Secretary shall carry out the program authorized by this section through the Commodity Credit Corporation. SEC. 1502. NATIONAL DAIRY MARKET LOSS PAYMENTS. 7 USC 7982. (a) DEFINITIONS. —In this section: (1) CLASS I MILK.— The term 'Class I milk' means milk (including milk components) classified as Class I milk under a Federal milk marketing order. (2) ELIGIBLE PRODUCTION. —The term 'eligible production' means milk produced by a producer in a participating State. (3) FEDERAL MILK MARKETING ORDER.— The term 'Federal milk marketing order' means an order issued under section 8c of the Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937.
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