shipped during the month to a distributing plant.

[36 F.R. 4777, Mar. 12, 1971]

§ 1061.11 Pool plant.

"Pool plant" means any plant meeting the conditions of paragraph (a) or (b) of this section except an exempt distributing plant, the plant of a handler exempted pursuant to § 1061.60 or the plant of a producer-handler: Provided, That if a portion of a plant is operated separately from the Grade A portion of such plant and is not approved by any health authority for the receiving, processing, or packaging of any fluid milk product for Grade A disposition, it shall not be considered as part of a pool plant pursuant to this section: And provided further, That facilities used only as a reload point for transferring bulk milk from one tank truck to another shall not be a pool plant or part of a pool plant pursuant to this section.

(a) A distributing plant from which there is disposed of during the month not less than the percentages set forth in subparagraphs (1) and (2) of this paragraph of the total Grade A fluid milk products received during the month at such plant, including producer milk diverted under § 1061.17(b), but excluding receipts of packaged fluid milk products from other pool distributing plants and receipts from unregulated supply plants and other order plants which are assigned pursuant to § 1061.46 (a) (5) (i) (a) and (ii) and the corresponding step of § 1061.46(b):

(1) Not less than 10 percent of such receipts is disposed of from such plant as Class I milk in the marketing area as route disposition. Such disposition is to be exclusive of receipts of packaged fluid milk products from other pool distributing plants; and

(2) Not less than 30 percent during the months of February-August and 40 percent during the months of September-January of such receipts is disposed of as Class I milk as route disposition. Such disposition is to be exclusive of receipts of packaged fluid milk products from other pool distributing plants.

(b) A supply plant from which not less than 30 percent of its total Grade A milk receipts from dairy farmers during the month is delivered as fluid milk products to pool plants pursuant to paragraph (a) of this section subject to subparagraphs (1) and (2) of this paragraph:

(1) Any plant which qualified pursuant to this paragraph in each of the immediately preceding months of September through November shall be a pool plant for the months of December through August unless written application is filed by the plant operator with the market administrator on or before the first day of any such month requesting the plant be designated a nonpool plant for such month and each subsequent month through August during which it would not otherwise qualify as a pool plant;

(2) In determining the pool plant qualifications of a cooperative association's plant, member producer milk of such association which is delivered directly to plants described in paragraph (a) of this section shall be considered for purposes of this paragraph as having been first received at the cooperative's plant subject to the following conditions:

(i) Written request is made to the market administrator by the cooperative association prior to or during the month, designating the plant to be a pool plant pursuant to this subparagraph for the month, and for each month thereafter, until such request is withdrawn or terminated pursuant to subdivision (ii) of this subparagraph;

(ii) Any such plant which in a succeeding month is pooled under the provisions of another order issued pursuant to the Act shall not be pooled under this subparagraph for the ensuing 12 months. [34 F.R. 5909, Mar. 29, 1969, as amended at 36 F.R. 4777, Mar. 12, 1971; 37 F.R. 4176, Feb. 29, 1972]

§ 1061.12 Nonpool plant.

"Nonpool plant" means any milk receiving, manufacturing, or processing plant other than a pool plant. The following categories of nonpool plants are further defined as follows:

(a) "Other order plant" means a plant that is fully subject to the pricing and pooling provisions of another order issued pursuant to the Act.

(b) "Producer-handler plant" means a plant operated by a producer-handler as defined in any order (including this part) issued pursuant to the Act.

(c) "Partially regulated distributing plant" means a nonpool plant that is not an other order plant, a producer-handler plant or an exempt governmental plant and from which fluid milk products eligible for sale as Grade A in consumertype packages or dispenser units are dis

posed of as route disposition in the marketing area during the month.

(d) "Unregulated supply plant" means a nonpool plant that is not an other order plant, a producer-handler plant or an exempt governmental plant and from which a Grade A fluid milk product is shipped during the month to a pool plant.

(e) "Exempt governmental plant" means a distributing or supply plant operated by a governmental agency. [34 F.R. 5909, Mar. 29, 1969, as amended at 36 F.R. 4777, Mar. 12, 1971]

(a) Any person in his capacity as the operator of a pool plant(s);

(b) Any cooperative association with respect to producer milk which it causes to be diverted for its account from a pool plant of another handler to a nonpool plant;

(c) Any cooperative association with respect to milk of its producers which is received from the farm for delivery to the pool plant of another handler in a tank truck owned and operated by or under contract to such cooperative association;

(d) Any person in his capacity as the operator of a partially regulated distributing plant;

(e) Any person in his capacity as the the operator of an other order plant from which during the month fluid milk products are either disposed of as route disposition in the marketing area or shipped to a pool plant; and

(f) A producer-handler. [34 F.R. 5909, Mar. 29, 1969, as amended at 36 F.R. 4777, Mar. 12, 1971]

ex

"Producer-handler" means any person who operates a dairy farm and a distributing plant from which Class I milk of his own production is disposed of as route disposition in the marketing area, and who receives no milk or fluid milk products from the farms of other dairy farmers nor from any other source, cept receipts by plant transfer from pool plants and who receives no nonfluid milk products from any source for use in reconstituted fluid milk products: Provided, That such person provides proof satisfactory to the market administrator that the care and management of all dairy animals and other resources necessary to produce the entire volume of fluid milk and milk products handled (excluding

"Producer" means any person, other than a producer-handler as defined in any order (including this part) issued pursuant to the Act, who produces milk in compliance with the Grade A inspection requirements of a duly constituted health authority which milk is received as producer milk at a pool plant, or diverted pursuant to § 1061.17 from a pool plant to a nonpool plant.

§ 1061.16 Producer milk.

"Producer milk" means the skim milk and butterfat in Grade A milk:

(a) Received at a pool plant directly from a dairy farmer, except that milk received by diversion from other order plants which is assigned pursuant to § 1061.46 (a) (5) (ii) and the corresponding step of § 1061.46(b);

(b) Received at a pool plant from a cooperative association handler pursuant to § 1061.13(c);

(c) Received by a cooperative association handler pursuant to § 1061.13(c) from producers in excess of the quantity delivered to pool plants; and

(d) Subject to the provisions of § 1061. 17, diverted from a pool plant to a nonpool plant that is not an other order plant, or to a nonpool plant that is an other order plant if diverted as Class II milk and such milk is not producer milk under such other order.

§ 1061.17 Diverted milk.

"Diverted milk” means, for any month, milk produced by a dairy farmer which a pool plant handler or a handler pursuant to §1061.13(b) caused to be moved from the farm to a nonpool plant (subject to the conditions set forth in § 1061.16(d)) if such milk is claimed as producer milk and the conditions of paragraphs (a) or (b), and (c) of this section have been met.

(a) During the months of February through August a cooperative association handler pursuant to § 1061.13(b) may divert for its account, without limit on the remaining days, the milk of any member who was a producer during the previous month or whose milk is delivered to a pool plant on at least 1 day during the current month. During the

months of September through January such handler may divert as producer milk the milk of any member producer whose milk is delivered to a pool plant described in § 1061.11(a) on at least 1 day during the month except that the aggregate quantity of producer milk diverted by such handler shall not exceed the quantity of milk delivered during that month by all its member producers to pool plants described in § 1061.11(a).

(b) During February through August a handler in his capacity as the operator of a pool plant may divert for his account without limit on the remaining days the milk of any dairy farmer who was a producer during the previous month or whose milk is received at his pool plant on at least 1 day during the current month. During the months of September through January such handler may divert as producer milk the milk of any producer whose milk is received at his pool plant on at least 1 day during the month except that the aggregate quantity of producer milk diverted by such handler shall not exceed the quantity of milk received during the month at his pool plant from all producers except the member producers of a cooperative which diverted milk during the month pursuant to paragraph (a) of this section.

(c) If milk receipts from dairy farmers are diverted in excess of the quantities allowed pursuant to paragraphs (a) and (b) of this section the diverting handler shall specify the dairy farmers whose milk was overdiverted. If the diverting handler does not specify the dairy farmers whose milk was overdiverted, only the milk of dairy farmers which is received at a pool plant during the month shall be producer milk for such month.

§ 1061.22

Additional duties of the market administrator.

In addition to the duties specified in § 1000.3 (c) of this chapter, the market administrator shall perform the following duties:

(a)-(g) [Reserved]

(h) Publicly announce on or before:
(1) The fifth day of each month:

(i) The Class I price for the following month, and for the first month for which this paragraph is effective, the Class I price for the current month;

(ii) The Class I butterfat differential for the current month; and

(iii) The Class II price and Class II butterfat differential, both for the preceding month; and

(2) The 12th day of each month, the uniform price and the producer butterfat differential, both for the preceding month;

(i) on or before the 12th day of each month, notify each handler of his obligations to the producer-settlement fund for the preceding month;

(j) Whenever required for the purpose of allocating receipts from other order plants pursuant to § 1061.46(a) (9) and the corresponding step of § 1061.46(b), the market administrator shall estimate and publicly announce the utilization (to the nearest percentage) in each class during the month of skim milk and butterfat, respectively, in producer milk of all handlers. Such estimate shall be based upon the most current available data and shall be final for such purpose;

(k) Report to the market administrator of the other order, as soon as possible after the report of receipts and utilization for the month is received from a handler who has received fluid milk products from an other order plant, the classification to which such receipts are allocated pursuant to § 1061.46 pursuant to such report and thereafter any change in such allocation required to correct errors disclosed in verification of such report;

(1) Furnish to each handler operating a pool plant who has shipped fluid milk products to an other order plant, the classification to which the skim milk and butterfat in such fluid milk products were allocated by the market administrator of the other order on the basis of the report of the receiving handler and as necessary, any changes in such classification arising in the verification of such report;

(m) on or before the 20th day of each month, report to each cooperative association which so requests the amount and class utilization of milk received by each handler during the immediately preceding month from such cooperative association in its capacity as a handler pursuant to § 1061.13 (c) and directly from members of such cooperative association. For the purpose of this report, the milk so received shall be prorated to each class in proportion to the utilization by such handler in each class remaining after allocation pursuant to § 1061.46 (a) (1) through (10) and the corresponding steps of § 1061.46(b).

[34 F.R. 5909, Mar. 29, 1969, as amended at 36 F.R. 4777, Mar. 12, 1971; 36 F.R. 9851, May 29, 1971; 37 F.R. 2934, Feb. 10, 1972]

REPORTS

§ 1061.30 Monthly reports of receipts and utilization.

On or before the eighth day after the end of each month each handler who operates a pool plant shall report to the market administrator in the detail and on forms prescribed by the market administrator for each of his pool plants as follows:

(a) The quantities of skim milk and butterfat contained in or represented by:

(1) Milk received from producers including milk received from farms and diverted pursuant to § 1061.17 for such handler's account;

(2) Producer milk received from handlers pursuant to § 1061.13(c);

(3) Fluid milk products received from other pool plants;

(4) Other source milk; and

(5) Inventories of fluid milk products at the beginning and end of the month, showing separately the quantities in bulk and in packages;

(b) The utilization of all skim milk and butterfat required to be reported pursuant to this section, including a separate statement showing the respective amounts of skim milk and butterfat

disposed of as route disposition inside and outside the marketing area that are classified as Class I; and

(c) Such other information with respect to the receipts and utilization of skim milk and butterfat as the market administrator may prescribe.

[34 F.R. 5909, Mar. 29, 1969, as amended at 36 F.R. 4778, Mar. 12, 1971]

§ 1061.31 Other reports.

(a) Each producer-handler and each handler who operates an other order plant shall report the receipts and disposition of skim milk and butterfat at such plant at such time and in such manner as the market administrator may require.

(b) Each handler pursuant to § 1061. 13 (b) and (c) shall report to the market administrator on or before the eighth day after the end of the month in detail and on forms prescribed by the market administrator, the total quantity of skim milk and butterfat in milk received by such handler from all producer member farms for which it is the handler pursuant to § 1061.13 (b) and (c); and

(1) For milk for which it is the handler pursuant to § 1061.13(b), report the quantities of skim milk and butterfat in milk diverted for its account during the month from each pool plant and the utilization of such skim milk and butterfat; and

(2) For milk for which it is the handler pursuant to § 1061.13 (c), report the quantities of skim milk and butterfat in milk delivered to each pool plant during the month.

(c) Each handler operating a partially regulated distributing plant shall report for each such plant the information required of pool plant operators pursuant to § 1061.30 substituting receipts from dairy farmers for producer milk.

(d) Each handler receiving milk from producers' farms shall report to the market administrator in detail and on forms prescribed by the market administrator on or before the 25th day after the end of the month his producer payroll for such month which shall show for each producer:

(1) His identity;

(2) The quantity of milk received from such producer and the number of days on which milk was received from such producer;

(3) The average butterfat content of such milk; and

(a) The skim milk and butterfat which are required to be reported pursuant to §§ 1061.30 and 1061.31 shall be classified each month by the market administrator pursuant to the provisions of §§ 1061.41 through 1061.46; and

(b) If any water contained in the milk from which a product is made is removed before the product is utilized or disposed of by the handler, the pounds of skim milk utilized or disposed of in such product shall be considered to be a quantity equivalent to the nonfat milk solids contained in such product plus all the water originally associated with such solids.

Subject to the conditions set forth in §§ 1061.42 through 1061.46, inclusive, the classes of utilization shall be as follows:

(a) Class I milk. Class I milk shall be all skim milk and butterfat:

(1) Disposed of as a fluid milk product except as provided in subparagraphs (2), (3), and (4) of paragraph (b);

(2) In inventory of fluid milk products in packaged form on hand at the end of the month; and

(3) Not accounted for as Class II milk; (b) Class II milk. Class II milk shall be all skim milk and butterfat:

(1) Used to produce butter, butteroil, anhydrous milkfat, plain or sweetened condensed milk or skim milk, and condensed buttermilk; nonfat dry milk, dry whole milk, dried buttermilk, dried whey, and blends of dried milk products including dry ice cream mix; cheese and cheese foods; ice cream, ice milk and frozen desserts including mixes for freezing; sterile products in hermetically sealed metal or glass containers;

(2) Represented by the nonfat milk solids added to a fluid milk product which is in excess of the weight of an equivalent volume of the fluid milk product prior to such addition;

(3) Disposed of in bulk in the form of a fluid milk product to any commercial food processing establishment where food products are prepared only for consumption off the premises;

(4) Dumped or disposed of for animal feed;

(5) In inventory of bulk fluid milk products on hand at the end of the month;

(6) In shrinkage of the skim milk and butterfat, respectively, assigned pursuant to 1061.42 (a) but not in excess of:

(1) Two percent of producer milk described in § 1061.16 (a) and producer milk diverted pursuant to § 1061.17(b) by a pool plant operator;

(ii) Plus 1.5 percent of milk received in bulk tank lots from other pool plants;

(iii) Plus 1.5 percent of producer milk described in § 1061.16(b) except that if the handler operating the pool plant files notice with the market administrator that he is purchasing such milk on the basis of farm weights, the applicable percentage shall be 2 percent;

(iv) Plus 1.5 percent of milk received in bulk tank lots from other order plants exclusive of the quantity for which Class II use was requested by the operators of both plants;

(v) Plus 1.5 percent of milk in bulk tank lots from unregulated supply plants exclusive of the quantity for which Class II utilization was requested by the handler;

(vi) Less 1.5 percent of milk in bulk tank lots transferred from pool plants to other plants; and

(vii) Less 1.5 percent of producer milk diverted pursuant to § 1061.17(b) except that if the operator of the plant to which the milk is diverted accounts for such milk on the basis of farm weights, the applicable percentage shall be 2 percent;

(7) In shrinkage of skim milk and butterfat allocated pursuant to § 1061.42 (b); and

(8) In shrinkage of skim milk and butterfat, respectively, resulting from milk for which the cooperative association is the handler pursuant to § 1061.13 (b) and (c) not being delivered to nonpool plants and pool plants, but not in excess of one-half percent of the quantity received by the cooperative association from producers as determined by farm weights exclusive of the quantity for which farm weights are used as the basis of receipt at the plant to which delivered.