Wisconsin Administrative Code
Department of Agriculture, Trade and Consumer Protection
ATCP 90-139 - Trade and Consumer Protection
Chapter ATCP 100 - Milk Contractors
Subchapter IV - Discriminatory Payments to Producers
Section ATCP 100.98 - Definitions

Universal Citation: WI Admin Code ยง ATCP 100.98

Current through August 26, 2024

In this subchapter:

(1) "Base period" means the dairy plant operator's most recently completed fiscal year, or another representative period approved by the department.

(2) "Base period producer service cost" means a dairy plant operator's total cost, for the operator's base period, for all of the following:

(a) Dairy farm field service costs other than field service costs which are directly attributable to violations of ch. ATCP 65.

(b) Costs to test dairy farm milk shipments before the dairy plant operator commingles those milk shipments with other milk shipments at the dairy plant. Testing costs include lab testing, reporting and recordkeeping costs related to milk testing. Testing costs do not include costs incurred by a milk hauler to collect milk samples from dairy farms, nor do they include costs incurred because of producer's violation of ch. ATCP 65.

(c) Expenses to prepare and maintain producer payroll records and process payments to producers.

(d) Dairy farm license fees and other routine expenses which the dairy plant operator incurs in connection with the licensing and regulation of dairy farms.

(e) Other costs which the department allows in writing.

(3) "Base period pickup cost" means a dairy plant operator's total cost, for the operator's base period, to collect milk from dairy farms. "Base period pickup cost" does not include any of the following:

(a) Milk collection and hauling costs which the dairy plant operator charges to milk producers.

(b) Transportation or milk hauling costs incurred before the milk hauler arrives at the first dairy farm on the hauling route, or after the milk hauler leaves the last farm on the hauling route.

(4) "Dairy plant operator" means either of the following:

(a) A person who holds, or is required to hold, a dairy plant license under s. 97.20, Stats., and who buys milk from producers.

(b) A person who operates a dairy plant outside this state, and who buys milk from Wisconsin producers for delivery to that out-of-state dairy plant.

(5) "Milk price" means a producer's average gross pay per hundredweight less hauling charges, calculated for a pay period according to s. ATCP 100.30(9).

(6) "Pay class" means a group of producers who qualify for the same volume premium.

(7) "Pickup cost per hundredweight" means the cost calculated under s. ATCP 100.983(5) for a pay class or individual producer.

(8) "Producer service cost per hundredweight" means the cost calculated under s. ATCP 100.983(4) for a pay class or individual producer.

(9) "Non-price consideration" means anything of monetary value which a dairy plant operator or the operator's agent offers or provides to a producer in return for the producer's sale of milk to the operator, but which is not reflected in the milk price. "Non-price consideration" includes monetary payments, goods, milk hauling services, farm and household services, prizes, price and financing considerations, and other things that have direct monetary value to the producer. "Non-price consideration" includes services which a milk hauler furnishes as an agent of a dairy plant operator.

(10) "Volume premium" means any form of milk price increment or non-price consideration which a dairy plant operator or the operator's agent offers or provides to a producer based on the producer's milk volume, or which the operator or agent offers or provides only to certain producers based on their milk volume.

If a dairy plant operator pays a producer a higher price per hundredweight based on the total weight of any milk component (e.g., protein or butterfat) received from that producer, that price increment is a "volume premium" as defined under sub. (9). However, a per-hundredweight price increment based solely on the percentage contents of milk components in milk is not a "volume premium."

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