PRINTER'S NO. 1464
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1224
Session of
2019
INTRODUCED BY LAWRENCE, BERNSTINE, CALTAGIRONE, DeLUCA, FEE,
GREGORY, HEFFLEY, HERSHEY, HICKERNELL, LONGIETTI, MASSER,
MILLARD, B. MILLER, MOUL, PICKETT, RYAN, SNYDER, TOPPER AND
ZIMMERMAN, APRIL 17, 2019
REFERRED TO COMMITTEE ON AGRICULTURE AND RURAL AFFAIRS,
APRIL 17, 2019
AN ACT
Amending the act of April 28, 1937 (P.L.417, No.105), entitled
"An act relating to milk and the products thereof; creating a
Milk Marketing Board; establishing its jurisdiction, powers
and duties; regulating the production, transportation,
manufacturing, processing, storage, distribution, delivery
and sale of milk and certain products thereof; providing for
the licensing of milk dealers and the payment of fees
therefor; requiring milk dealers to file bonds to secure
payment for milk to producers and certain milk dealers;
authorizing the holding of hearings and the issuance of
subpoenas by the board; conferring jurisdiction upon courts
to punish contempts and to prohibit violations of this act
and of rules, regulations and orders of the board;
authorizing the board to adopt rules, regulations and orders,
and to enter into interstate and Federal compacts; requiring
persons who weigh, measure, sample or test milk to procure
permits or certificates, to take examinations, to pay fees
therefor, to furnish certain notices, records and statements,
and to use certain methods of weighing, measuring, sampling
and testing; authorizing the board to examine the business,
papers and premises of milk dealers and producers, requiring
the keeping of records and the filing of reports by milk
dealers, and permitting, with limitations, the use of
information obtained thereby; authorizing the board to fix
prices for milk and certain milk products subject to the
approval of the Governor, and conferring certain powers upon
the Governor with respect thereto; providing for appeals to
the courts from decisions of the board, and for the burden of
proof upon such appeals; prescribing penalties, fines and
imprisonment for violations of this act and rules,
regulations and orders of the board; defining perjury;
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defining remedies; repealing legislation supplied and
superseded by this act, and saving rights, duties and
proceedings thereunder; and making appropriations," in
purpose, short title and definitions, further providing for
definitions and construction; in general powers of the board,
providing for coordination with Department of Revenue; and,
in prices of milk, further providing for cooperatives.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 103 of the act of April 28, 1937
(P.L.417, No.105), known as the Milk Marketing Law, is amended
by adding a definition to read:
Section 103. Definitions; Construction.--The following terms
shall be construed in this act to have the following meanings,
except in those instances where the context clearly indicates
otherwise:
* * *
"Board established premium" means a fee, charge or tax
established by official order of the board at the retail or
wholesale level on a class or classes of milk.
* * *
Section 2. The act is amended by adding a section to read:
Section 312. Coordination with Department of Revenue.--The
board is hereby vested with the authority to coordinate,
facilitate or establish the collection and distribution of board
established premiums with the Department of Revenue.
Section 3. Section 809 of the act is amended to read:
Section 809. Cooperatives.--(a) It is hereby declared to be
the legislative intent that no provision of this act shall
prevent, and no provision contained herein shall be deemed or
construed to prevent, any cooperative agricultural association
or corporation organized under the laws of this Commonwealth, or
a similar association or corporation organized under the laws of
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this or any other state, and engaged in making collective sales
or in the marketing of milk for the producers thereof, from
blending the net proceeds of its sales or consignments or
deliveries in all its markets or of its sales or deliveries
within any particular market in various classes and whether in
fluid form or as manufactured products, both within and without
the Commonwealth, and paying its producers such blended price,
with such deductions and differentials as may be authorized
under contract between such association or corporation, and its
producers, and with prior written approval of the board, or from
making collective sales of the milk of its members and other
producers represented by it, or from making such sales or
deliveries at a blended price based upon sales or deliveries
thereof in the various classes, and whether in fluid form or as
manufactured products, both within and without the Commonwealth,
which price is to be paid either directly to the producers or to
the cooperative agricultural association or corporation. Nothing
herein contained shall prevent any milk dealer or handler from
contracting for his milk with such cooperative agricultural
association or corporation, upon such basis; but all such
contracts shall be upon the basis of the prices fixed by the
board, with the result that the net price received for milk by
such cooperative association or corporation shall be
commensurate with such prices. No director or officer of a
cooperative association or corporation shall offer, nor shall
milk dealers or handlers, or agents thereof, receive from any
producer or from such cooperative association or corporation,
directly or indirectly, any discounts, rebates, free service, or
compensation through rentals, extension of credit, or otherwise
for the purpose or with the effect, of reducing the net cost to
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the dealer or handler for milk purchased or received by or
through such cooperative association or corporation.
(b) No provision of this act shall be deemed or construed to
affect the contracts of such cooperative agricultural
association or corporation with its producers, except as
hereinafter specifically provided, nor to affect or abridge the
rights and powers of such an association or any of its
operations: Provided, however, That the powers of subpoena,
entry, and inspection, vested in the board under this act, shall
apply for the purpose of examining and auditing books and
records of any such cooperative agricultural association or
corporation, at reasonable intervals, for the purpose of
administering this act. This section shall not, however, be
construed to exempt such association or corporation from the
jurisdiction of the board over the prices at which it may sell
milk to milk dealers or handlers, stores or consumers[.] or from
the jurisdiction of the board over the collection and
distribution of board established premiums under section 312.
(c) Every cooperative agricultural association or
corporation operating under the provisions of this section shall
file with the board a copy of its certificate of incorporation
and by-laws, and a copy of each form of contract employed in its
relations with producers, within sixty (60) days after the
effective date of this act.
Section 4. This act shall take effect in 60 days.
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