N.Y. Comp. Codes R. & Regs. tit. 1 § 21.17

Current through Register Vol. 46, No. 45, November 2, 2024

Section 21.17 - Diversion of pool milk

Milk may be diverted from a pool plant(s) by direct delivery from the farms of producers by bulk farm tank trucks to diversion plants designated by the commissioner pursuant to subdivision (a) of this section, and shall be deemed to be pool milk within the limits provided in subdivision (b) of this section. Diverted milk shall be priced at the location of the plant to which diverted.

(a) Designation of a diversion plant may be made by the commissioner upon application by a marketer operating a pool plant or a collecting cooperative. Such application may be denied or the designation of diversion plant rescinded by the commissioner upon a finding by him, after hearing, that such diversion is or would be disruptive of orderly marketing conditions in this or any other market, or that the conditions of diversion specified in paragraphs (1) through (5) of this subdivision are not being met.

(1) The marketer diverting the milk shall operate a pool plant during the month or be a collecting cooperative which has arranged to make the reports and payments with respect to the milk of producers.

(2) The bulk farm tank truck used for diverting such milk shall be owned and operated by or under contract to said marketer.

(3) The marketer shall report each month to the commissioner with respect to milk of producers delivered to a diversion plant, the identity of the producers, their affiliation, and the pounds of milk of each producer so diverted, including milk diverted in excess of the limits provided in subdivision (b) of this section.

(4) The milk diverted from the farms of producers to diversion plants and which is pool milk is classified in accordance with the provisions of sections 21.30 through 21.34 of this Part and the marketer responsible for diverting such milk makes the payments required pursuant to sections 21.60 through 21.68 of this Part.

(5) The operator of the diversion plant to which milk of producers is diverted maintains and makes available to the commissioner all records necessary for an accurate determination of the quantity and utilization of pool milk diverted to said plant.

(b) The quantity of milk of producers which a marketer operating a pool plant or a collecting cooperative may divert to designated diversion plants as pool milk during each of the months of September through February, and which is classified as other than Class I milk, shall not exceed 70 percent of the total milk of producers received at or diverted from pool plants for the account of such marketer or collecting cooperative; provided, that with respect to any marketer or collecting cooperative which as of April 15, 1988 has permission to divert milk pursuant to section 21.16 of this Part as in effect on said date, the quantity of milk of producers which such marketer or cooperative may divert to designated diversion plants as pool milk in each such month, and which is classified as other than Class I milk, shall not exceed the above percentage limitation or eight million pounds per month, whichever is greater.

N.Y. Comp. Codes R. & Regs. Tit. 1 § 21.17