Code Section

Food and Agricultural Code - FAC

DIVISION 22. MARKETING ADVISORY AND PROMOTIONAL AGENCY LAWS [63901 - 79902]

  ( Division 22 enacted by Stats. 1967, Ch. 15. )
  

PART 2. MARKETING ADVISORY AND PROMOTIONAL COUNCILS AND COMMISSIONS [64001 - 79902]

  ( Part 2 heading added by Stats. 1995, Ch. 727, Sec. 1.3. )
  

CHAPTER 1. The Dairy Council of California Law [64001 - 64323]

  ( Chapter 1 enacted by Stats. 1967, Ch. 15. )
  

ARTICLE 11. Financing Plan [64300 - 64312]
  ( Article 11 added by Stats. 1982, Ch. 380, Sec. 23. )

  
64301.  

(a) Annually before the beginning of the fiscal year, the secretary shall, upon the recommendation of the council, establish and announce the assessments to be paid by producers and handlers for the coming fiscal year.

(b) These assessments shall be established at levels sufficient to finance the budget for the coming fiscal year as approved by the secretary pursuant to Sections 64153 and 64154.

(c) The rate structure of the assessments shall be as follows:

(1) The following assessments for handlers of milk:

(A) No more than 17.0 mills ($0.0170) per hundredweight for Class I milk.

(B) No more than 8.5 mills ($0.0085) per hundredweight for all other usages of milk.

(C) The relationship between the handler assessment rates per hundredweight established for Class I milk and for all other usages shall be at a ratio of 2 to 1.

(2) For producers of milk if a stand-alone quota program established pursuant to Section 62757 is operative, the assessments shall be as follows:

(A) No more than 2.0 mills ($0.0020) per pound for quota solids-not-fat, within the meaning given that term for purposes of the Quota Implementation Plan established pursuant to Section 62757.

(B) No more than 1.0 mills ($0.0010) per pound for all other solids-not-fat.

(C) The relationship between the producer assessment rates per pound quota solids-not-fat and per pound for all other solids-not-fat shall be at a ratio of 2 to 1.

(3) For producers of milk if a stand-alone quota program established pursuant to Section 62757 is not operative, the assessments shall be as follows:

(A) No more than 10.4 mills ($0.0104) per hundredweight of milk produced and delivered to a handler.

(B) The producer assessment shall be without regard to the milk’s usage and shall be at a level between the two handler rates.

(d) The handler and producer assessment rates established pursuant to this section shall be set at levels so that the total projected handler revenue for the year and the total projected producer revenue for the year to be generated from those assessments shall be as close to equal as reasonably possible.

(Amended by Stats. 2021, Ch. 371, Sec. 15. (AB 425) Effective January 1, 2022.)