Whereas, there is confusion as to the authority of the Maine Milk Commission to establish minimal milk prices for dairy farmers; and

Whereas, dairy farming is a difficult business and an integral part of the Maine economy and rural way of life; and

Whereas, passage of this legislation would help stabilize prices to dairy farmers; and

Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 7 MRSA §2954, sub-§9, as enacted by PL 1983, c. 573, §2, is amended to read:

9. Minimum wholesale prices paid to producers for their milk. Notwithstanding any other provisions of this chapter or chapter 611, minimum wholesale prices paid by dealers to producers shall be for their milk that is sold in this State are subject to the provisions of chapter 611 minimum producer prices established by the Maine Milk Commission, regardless of whether the milk is subject to pooling requirements under federal or state law.

Emergency clause. In view of the emergency cited in the preamble, this Act takes effect when approved.

SUMMARY

Since its creation in 1935, the Maine Milk Commission has established the minimum price dairy farmers receive for milk produced, processed and sold in this State. Recently, this authority has been questioned with respect to Maine dealers who, as a result of their volume of sales of processed milk out of Maine and into areas of New England subject to federal regulation, are obligated to participate in the federal milk marketing order pooling system. This bill clarifies the Legislature's original intent that all Maine milk producers receive the minimum price established by the Maine Milk