Assessment imposed on sale of milk or cream produced, sold, or contracted for sale in state -- Time of assessment -- Collection by dealer or producer-handler -- Penalty for delinquent payment or collection -- Statement to be given to producer.

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  • (1) An assessment of 10 cents is imposed upon each 100 pounds of milk or cream produced and sold, or contracted for sale, through commercial channels in this state.
  • (2) The assessment shall be:
    • (a) based upon daily or monthly settlements; and
    • (b) due at a time set by the commission, which may not be later than the last day of the month next succeeding the month of sale.
  • (3)
    • (a) The assessment shall be:
      • (i) assessed against the producer at the time the milk or milk fat is delivered for sale;
      • (ii) deducted from the sales price; and
      • (iii) collected by the dealer or producer-handler.
    • (b) The proceeds of the assessment shall be paid directly to the commission who shall issue a receipt to the dealer or producer-handler.
    • (c) If a dealer or producer-handler fails to remit the proceeds of the assessment or deduct the assessment on time:
      • (i) a penalty equal to 10% of the amount due is to be added to the assessment; and
      • (ii) the commission may bring an action against the dealer or producer-handler for:
        • (A) injunctive relief compelling payment of the assessment and penalty;
        • (B) damages, including interest at the statutory prejudgment rate from the date the payment was due;
        • (C) costs of collection, including reasonable attorney fees, whether incurred in litigation or otherwise; and
        • (D) other relief to which the commission may be entitled at law or in equity.
  • (4)
    • (a) At the time of payment of the assessment, the dealer or producer-handler shall deliver a statement to the producer calculating the assessment.
    • (b) The commission may require other relevant information to be included in the statement.
  • (5) If the mandatory assessment required by the Dairy and Tobacco Adjustment Act of 1983, Pub. L. No. 98-180, 97 Stat. 1128 (1150.152), is abolished, a producer who objects to payment of the assessment imposed under this section may, by January 31, submit a written request to the commission for a refund of the amount of the assessment the producer paid during the previous year.




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