North Dakota Administrative Code
Title 51 - Milk Marketing Board
Article 51-03 - Market Areas and Stabilization Plans
Chapter 51-03-02 - Stabilization Plans for Market Area 1
Section 51-03-02-12.1 - Authorized discounts on milk products - Market area 1

Current through Supplement No. 394, October, 2024

The following authorized maximum volume discounts are authorized on sales of milk products. Said discounts must be based upon the average total monthly purchases of milk products from all suppliers for the preceding year.

Discount Rate
Monthly Volume Full Service Limited Service
0 gal. to 799 gal. 0% 3%
800 gal. to 1600 gal. 2% 5%
1601 gal. to 2400 gal. 3% 6%
2401 gal. to 3200 gal. 4% 7%
3201 gal. to 8000 gal. 5% 9%
8001 gal. and over 7% 11%

A limited service program should be authorized in market area 1 for grocery store retailers. This limited service program should consist of the following:

1. Maximum delivery of three times per week to store cooler.

2. All orders preordered prior to delivery.

3. No in-store service, i.e., cleaning cases, stamping products, etc.

4. Personnel for store resets will be limited to dairy case setting only.

5. No returns on merchandise, except when product is found to be damaged or defective at time of delivery check-in.

6. No callback on delivery days.

7. No volume discounts from processors or distributors will be allowed on charged sales not paid by a retailer within four weeks (twenty-eight days) of the statement date. All statements must be on a weekly basis, the weekly cutoff date must remain the same.

A full service program should be authorized in market area 1 for retailers whose total monthly purchases of milk products from all suppliers for the preceding year exceed eight hundred gallons [3028.33 liters] per month. This full service program should consist of the following:

1. Supplier will be responsible for maintaining adequate supply of product.

2. Product will be stocked and displayed on delivery days.

3. Product will be sold on a guaranteed sales basis.

4. Personnel for store resets will be limited to dairy case resets only.

5. No volume discounts from processors or distributors will be allowed on charged sales not paid by a retailer within four weeks (twenty-eight days) of the statement date. All statements must be on a weekly basis, the weekly cutoff date must remain the same.

General Authority: NDCC 4-18.1-03, 4-18.1-07, 4-18.1-20, 28-32-03.1(3)

Law Implemented: NDCC 4-18.1-07

Disclaimer: These regulations may not be the most recent version. North Dakota may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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