Amended
IN
Assembly
May 07, 2013 |
Introduced by Assembly Member Pan |
December 03, 2012 |
(a)In establishing prices to be paid by handlers to producers for class 4b market milk, the calculation shall include a dry whey value factor, computed as the cheese hundredweight price, as established under the applicable stabilization and marketing plan, computed by using the dry whey price defined in the plan, less a manufacturing cost allowance of nineteen and ninety-one hundredths cents ($0.1991), multiplied by a factor of 4.69, provided that the dry whey value factor shall be no less than 80 percent of the dry whey value used in federal milk marketing orders to establish minimum producer prices.
(b)Each handler’s plant in California that purchases milk for class 4b utilization may deduct a dry whey credit for quantities of
solids-not-fat processed for up to 264,480 pounds solids-not-fat produced per month. The dry whey credit shall be equal to the dry whey factor established under the applicable stabilization and marketing plan, divided by 8.7.