and all its terms and conditions will tending area during a period of 30 days imto effectuate the declared policy of said mediately prior to the effective date Act: hereof, but begins the regular delivery of milk to a handler, he shall be known as a "new producer" for a period beginning with the date of his first delivery and including 2 full calendar months following such first delivery to a handler, after which he shall be known as a "producer."

(c) The term "person" means any in- reenacted and amended by the Agriculdividual, partnership, corporation, asso-tural Marketing Agreement Act ciation, or any other business unit.

bond, conditioned upon the faithful which are necessary for the sampling performance of his duties, in an amount | and weighing of the milk of each proand with surety thereon satisfactory to ducer and new producer.*† the Secretary.

in the 61-70 mile freight zone described in paragraph (b) of this section:

Class I milk-$2.32 per hundredweight: Provided, That with respect to Class I milk disposed of under a program approved by the Secretary for the sale or disposal of milk to low-income consumers, including persons on relief, the price shall be not less than that provided by such program.

(2) The minimum price of milk received from producers and new producers at a plant in which such milk is bottled and loaded for wholesale or retail delivery and disposed of as Class I milk in the marketing area shall be the minimum price for Class I milk provided in paragraph (a) of this section, plus 28 cents per hundredweight.

(3) The minimum price of milk re

Class II milk-$1.65 per hundred- ceived from producers and new producweight.

ers at a plant in which such milk is bottled and loaded for wholesale or re

Class III milk-The price per hundred-tail delivery in the marketing area and

weight calculated by the market administrator as follows: subtract 2 cents from the average wholesale price per pound of 92-score butter at Chicago, as reported by the United States Department of Agriculture for the delivery period during which such milk was received, multiply by 4, and add 30 percent thereof.

(b) Location differentials. (1) The market administrator shall from time to

time publicly announce the freight zone location of each handler's country plant or plants, according to the railway mileage distance between the country plants of the handler and the railroad terminal in the city of New Orleans, or according to the highway mileage distance between the country plant and the City Hall in New Orleans, whichever is shorter. Except as set forth in subparagraph (2) of this paragraph, the minimum price for milk received at any plant located in a freight zone other than the 61-70 mile zone and disposed of as Class I milk in the marketing area, shall be the minimum price for Class I milk applicable pursuant to this section, plus or minus the amount indicated in the following schedule, for the freight zone in which the plant is located:

Freight zone miles

0-10

11- 20

21- 30

31-40

41-50

51-60

61-70

71-80

81-90

91-100

101-110

111-120

121-130

131-140

141-150

(c) Sales outside the marketing area. The price to be paid by a handler for milk received from producers and new producers and disposed of as Class I milk outside the marketing area, in lieu of the price otherwise applicable pursuant to paragraph (a) of this section, shall be, as ascertained by the market administrator, such price as is being paid, for milk of equivalent use, to dairy farmers supplying the market in which such milk was disposed, subject to a reasonable allowance for transportation.*†

§ 942.6 Handlers who are also producers-(a) Application of provisions. No provision hereof shall apply to a handler who is also a producer and who receives no milk from producers or an asCents per sociation of producers, except that such hundredweight handler shall make reports to the mar+13.0 ket administrator at such time and in +11.0 such manner as the market administra+ 8.0 +6.5 tor may request, and shall permit the +4.0 market administrator or his agent to + 2.0 verify such reports. 0.0

Each additional 10 miles.. Minus an additional 1.0 cent

in each class from other handlers, and | ket administrator shall mail to all han(2) exclude from such handler's Class I milk that milk of such handler's own production which was disposed of as certified milk.*†

dlers, and publicly announce, the uniform price for each handler as determined pursuant to this paragraph, and the Class III price for such delivery period.*+

§ 942.7 Computation and announce- § 942.8 Payment for milk-(a) Time ment of uniform prices to producers. and method of payment. On or before (a) For each delivery period the market the tenth day after the end of each deadministrator shall compute, subject to livery period, each handler shall make the provisions of § 942.6, for each han- payment, subject to the butterfat differdler the uniform price per hundred-ential set forth in paragraph (c) of this weight of milk received by such handler section and to the location differentials during such delivery period as follows: (1) For each plant, multiply the quantity of milk received from producers, new producers, and the quantity of milk of his own production disposed of in each class by the price applicable pursuant to § 942.5;

(2) For each plant, multiply the hundredweight of milk received from producers, not including new producers, by the Class I location differential for such plant applicable pursuant to § 942.5 (b) (1);

(3) Add to the amount computed pursuant to subparagraph (1) of this paragraph, the amount of the Class I location differential for each plant located in a zone beyond the 61-70 mile zone, computed pursuant to subparagraph (2) of this paragraph and subtract from the amount computed pursuant to subparagraph (1) of this paragraph, the amount of the Class I location differential for each plant located in a zone nearer than the 61-70 mile zone, computed pursuant to subparagraph (2) of this paragraph;

(4) Subtract from the sum computed pursuant to subparagraph (3) of this paragraph an amount determined by multiplying the quantity of milk received from new producers by the Class III price; and

(5) Divide the amount computed pursuant to subparagraph (4) of this paragraph by the hundredweight of milk received from producers, not including new producers. This result shall be known as the uniform price for such delivery period for milk (containing 4.0 percent butterfat) received from producers at plants located in the 61-70 mile freight

zone.

set forth in paragraph (d) of this section, for the total value of milk received from producers and new producers during the delivery period, computed pursuant to § 942.7 (a), as follows:

(1) To each producer to whom payment is not made pursuant to subparagraph (3) of this paragraph, at not less than the uniform price computed pursuant to § 942.7 (a) for the quantity of milk received from such producer;

(2) To each new producer to whom payment is not made pursuant to subparagraph (3) of this paragraph, at the Class III price for the quantity of milk received from such new producer;

(3) To a cooperative association, with respect to milk which it causes to be delivered to a handler from producers and new producers who have signed membership agreements or other contracts with the cooperative association, which agreements or contracts expressly authorize the cooperative to collect the amount due such producers and new producers for their milk, and pursuant to which author

ex

ization the cooperative association is collecting payment for milk on behalf of its producers and new producers, or pressly assumes such responsibility by some authorized act of the board of directors, or of the membership in accordance with its bylaws, the total amount of money which such handler is obligated to pay for milk received from such producers and new producers, calculated as follows: (i) multiply the volume of milk received from such producers by not less than the uniform price computed pursuant to § 942.7 (a), (ii) multiply the volume of milk received from such new producers by the Class III price, and (iii) add together the resulting amounts.

(b) Errors in payments. Errors in

(b) on or before the sixth day after the end of each delivery period the mar-making any of the payments prescribed

in this section shall be corrected not later | to all milk received by him from prothan the date for making payments next | ducers and new producers, or produced following the determination of such

errors.

by him during such delivery period, the exact sum to be determined by the market administrator, subject to review by the Secretary: Provided, That each handler which is a cooperative association shall pay such pro rata share of expense of administration on only that milk received from producers and new producers at a plant operated by such cooperative association.

(b) Suits by market administrator. The market administrator may maintain a suit in his own name against any handler for the collection of such handler's pro rata share of expense set forth in this section.*+

(c) Butterfat differential. If during the delivery period any handler has received from any producer milk having an average butterfat content other than 4.0 percent, such handler, in making the payments prescribed in subparagraphs (1) and (3) of paragraph (a) of this section, shall add for each one-tenth of 1 percent of average butterfat content in milk above 4.0 percent not less than, or shall deduct for each one-tenth of 1 percent of average butterfat content in milk below 4.0 percent not more than, 4 cents per hundredweight. If during the delivery period any handler has received from $942.10 Effective time, suspension, or any new producer milk having an aver- termination of part-(a) Effective time. age butterfat content other than 4.0 per- The provisions hereof, or any amendcent, such handler, in making the payment hereto, shall become effective at ments prescribed in subparagraphs (2) such time as the Secretary may declare, and (3) of paragraph (a) of this section, and shall continue in force until susshall add or subtract, as the case may be, pended, or terminated, pursuant to parafor each one-tenth of 1 percent of aver-graph (b) of this section. age butterfat content in milk above or below 4.0 percent, 4 cents per hundredweight.

(b) Suspension or termination of part. The Secretary may suspend or terminate this part or any provision hereof whenever he finds that this part or any provision hereof obstructs or does not tend to effectuate the declared policy of the Act. This part, shall, in any event, terminate whenever the provisions of the Act authorizing it cease to be in effect.

(d) Location differentials. In making payments pursuant to paragraph (a) of this section for milk received from producers and new producers at a plant not located in the 61-70 mile freight zone, each handler shall add or deduct from such payment, with respect to all milk received from such producers and new pro-market administrator. If, upon the susducers, the amount per hundredweight specified pursuant to § 942.5 (b) (1) for

the zone in which the plant is located.

(e) Additional payments. Any handler may make payments to producers, not including new producers, for milk in addition to the payments to be made pursuant to paragraph (a) of this section: Provided, That such additional payments shall be made on a uniform basis for all milk of like grade and quality received by him.*†

§ 942.9 Expense of administration (a) Payments by handlers. As his prorata share of the expense of the administration hereof, each handler, except those described in § 942.6 (a), shall pay to the market administrator, on or before the tenth day after the end of each delivery period, an amount not exceeding 4 cents per hundredweight, with respect

(c) Continuing power and duty of the

pension or termination of any or all provisions hereof, there are any obligations arising hereunder, the final accrual or ascertainment of which requires further acts by any handler, by the market administrator, or by any other person, the power and duty to perform such further acts shall continue notwithstanding such suspension or termination: Provided, That any such acts required to be performed by the market administrator shall, if the Secretary so directs, be performed by such other person, persons, or agency as the Secretary may designate.

(1) The market administrator, or such other person as the Secretary may designate, shall (i) continue in such capacity until removed by the Secretary, (ii) from time to time account for all receipts and disbursements and when so directed by the Secretary deliver all funds on hand,