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)
Payment by Handlers Directly to Producers
Section 20.80 - Time and rate of payments
Current through Register Vol. 46, No. 12, March 20, 2024
(a) On or before the last day of the month, each handler shall make payment to each producer for milk received from such producer during the first 15 days of the month at not less than the lowest class price for the preceding month.
(b) On or before the 20th day of the month, each handler shall make payment, pursuant to subdivisions (c), (d), (e), (f) and (g) of this section, to each producer for the balance due for all milk received from such producer during the preceding month at not less than the uniform price for such month, subject to the following adjustments:
(c) Upon receipt of a written request from a cooperative association which the market administrator determines is authorized by its producer-members to collect payment for their milk, each handler, or before two days before payments are due to individual producers if paid by check, or the same day such payments are due to individual producers if paid in cash or cash equivalent, shall pay the cooperative association for milk received during the month from the producer-members of such association, an amount equal to not less than the total amount otherwise due such producer-members as determined pursuant to subdivisions (a) and (b) of this section.
(d) Each handler which is also a cooperative marketing association, determined by the Secretary to be qualified under the Capper-Volstead Act with respect to producers who are members of and under contract with such association, may make distribution, in accordance with the contract between the association and such members, of the net proceeds of all its sales in all markets in all use classifications.
(e) Whenever verification by the market administrator of the payment to any producer or cooperative association of producers for milk delivered to any handler discloses payment of less than is required by this Part, the handler shall make up such payment to the producer or cooperative association of producers not later than the time of making payment next following such disclosure.
(f) If a handler claims that he cannot make the required payment because the producer is deceased or cannot be located, or because the cooperative association or its lawful successor or assignee is no longer in existence, such payment shall be made to the producer settlement fund, and in the event that the handler subsequently locates and pays the producer or a lawful claimant, or in the event that the handler no longer exists and a lawful claim is later established, the market administrator shall make such payment from the producer settlement fund to the handler or to the lawful claimant as the case may be.
(g) If not later than the date when such payment is required to be made, legal proceedings have been instituted by the handler for the purpose of administrative or judicial review of the market administrator's findings upon verification as provided above, such payment shall be made to the producer settlement fund and shall be held in reserve until such time as the above-mentioned proceedings have been completed or until the handler submits proof to the market administrator that the required payment has been made to the producer or association of producers, in which latter event the payment shall be refunded to the handler.