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HomeFood and Agricultural CodeDiv. 21Pt. 3Ch. 2Art. 9§ 62068 Milk Pooling Payment Rules

§ 62068 Milk Pooling Payment Rules

Food and Agricultural Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 62068 Milk Pooling Payment Rules

Key Takeaways

  • •Dairy companies can combine milk from different farms to pay farmers fairly, even if the milk doesn't all go to the same place.
  • •If a company mixes milk from farms it owns, it must share any savings from not moving the milk around with all the farmers involved.
  • •Farmers who send milk directly to a plant can get paid the average price for that type of milk use.

Example

A big dairy company owns two farms and buys milk from both. Instead of moving all the milk to one plant, they keep some at each farm to save on trucking costs.

The company must share those trucking savings with all the farmers whose milk was part of the deal. Farmers who send milk straight to the plant get paid the average price for how their milk is used.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 62068 Milk Pooling Payment Rules

Each stabilization and marketing plan may contain provisions which authorize any handler that purchases market milk under contract from any producer to pool such market milk for producer payment purposes in accordance with such contracts, irrespective of whether such market milk is actually and physically received at the same milk products plant or diverted, in accordance with such plan. Such provisions may do any of the following: (a) Provide that market milk that is received from producers by milk products plants under the same ownership, may be pooled for purposes of payment to producers. (b) Provide that if a handler pools market milk, as provided in subdivision (a), the handler shall allocate, among all producers that participate in the class 1 usage, transportation savings which are applicable to market milk, not actually transported between the plant of first receipt and one or more other plants subject to the pool, and used for class 1, and may pay to producers shipping market milk directly to a plant subject to the pool a price for usage of such market milk for class 1, which price represents the average of minimum producer prices payable by that particular plant for such class 1 usage. (Added by Stats. 1977, Ch. 1192.)

Last verified: January 23, 2026

Key Terms

ownershipcontractportaccordancestabilization

Related Statutes

  • § 62067 Milk Handler Reporting Requirements
  • § 62070 Milk Processing Transportation Charges
  • § 62073 Milk Hauling Rate Compliance
  • § 62191 Milk Purchase Contract Requirements
  • § 12811.5 Pesticide Registration Data Use

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Food and Agricultural Code. Section 62068.
View Official Source