7 U.S.C. § 4551: Indemnity payments to dairy…

Summary

The Secretary of Agriculture can pay dairy farmers and dairy-product makers for milk, cows, or dairy goods they are ordered to remove from the market. Farmers ordered to remove milk since January 1, 1964 (but for payments not allowed before August 10, 1973, the starting date is August 10, 1973) and manufacturers ordered to remove products since November 30, 1970 can get payments at fair market value when the removal is because of chemical residues that were registered and approved by the federal government when used. The Secretary can also pay when milk is removed for nuclear radiation or fallout, or for other chemical or toxic residues not covered above, if the contamination was not the farmer’s fault and the chemicals were not used against rules or label instructions. If the Secretary finds within thirty days after a payment application that the farmer has other legal options, no payment will be made. Payments continue until the farmer is allowed to sell milk on commercial markets again.

Title 7, §4551

Agriculture, Source: USLM XML via OLRC

The Secretary of Agriculture is authorized to make indemnity payments for milk or cows producing such milk at a fair market value, to dairy farmers who have been directed since January 1, 1964 (but only since August 10, 1973, in the case of indemnity payments not authorized prior to August 10, 1973), to remove their milk, and to make indemnity payments for dairy products at fair market value to manufacturers of dairy products who have been directed since November 30, 1970, to remove their dairy products from commercial markets because of residues of chemicals registered and approved for use by the Federal Government at the time of such use. The Secretary is also authorized to make indemnity payments for milk, or cows producing such milk, at a fair market value to any dairy farmer who is directed to remove his milk from commercial markets because of (1) the presence of products of nuclear radiation or fallout if such contamination is not due to the fault of the farmer, or (2) residues of chemicals or toxic substances not included under the first sentence of this section if such chemicals or toxic substances were not used in a manner contrary to applicable regulations or labeling instructions provided at the time of use and the contamination is not due to the fault of the farmer: Provided, That no indemnity payment may be made for contamination resulting from such residues of chemicals or toxic substances if the Secretary determines within thirty days after the date of application for payment that other legal recourse is available to the farmer. Any indemnity payment to any farmer shall continue until he has been reinstated and is again allowed to dispose of his milk on commercial markets.

Notes & Related Subsidiaries

Editorial Notes

Codification Section was formerly classified to section 450j of this title prior to editorial reclassification and renumbering as this section. Section was enacted as part of Pub. L. 90–484, and not as part of the Dairy Production Stabilization Act of 1983 which comprises this chapter.

Prior Provisions

The following Acts authorized indemnity payments for the periods ending as indicated:

June 30, 1968—Pub. L. 90–95, § 1, Sept. 28, 1967, 81 Stat. 231.

June 30, 1967—Pub. L. 89–794, title III, § 301(c), Nov. 8, 1966, 80 Stat. 1465.

June 30, 1966—Pub. L. 89–253, § 24, Oct. 9, 1965, 79 Stat. 977.

June 30, 1965—Pub. L. 89–16, title III, § 303, Apr. 30. 1965, 79 Stat. 108. Jan. 31, 1965—Pub. L. 88–452, title III, § 331, Aug. 20, 1964, 78 Stat. 525.

Amendments

1977—Pub. L. 95–113 authorized indemnity payments for milk, or cows producing such milk, at a fair market value to any dairy farmer who is directed to remove his milk from commercial markets because of the presence of products of nuclear radiation or fallout if such contamination is not due to the fault of the farmer, or because of residues of chemicals or toxic substances not included under the first sentence of this section if such chemicals or toxic substances were not used in a manner contrary to applicable

Regulations

or labeling instructions provided at the time of use and the contamination is not due to the fault of the farmer, and inserted provision that no indemnity payment may be made for contamination resulting from residues of chemicals or toxic substances if the Secretary determines within thirty days after the date of application for payment that other legal recourse is available to the farmer. 1973—Pub. L. 93–86 inserted “for milk or cows producing such milk” after “The Secretary of Agriculture is authorized to make indemnity payments” and “(but only since

August 10, 1973, in the case of indemnity payments not authorized prior to

August 10, 1973)” after “

January 1, 1964” and substituted “, and to make indemnity payments for dairy products at fair market value to” for “and” after “remove their milk” and “of” for “it contained” before “residues of chemicals”. 1970—Pub. L. 91–524 inserted “and manufacturers of dairy products who have been directed since

November 30, 1970, to remove their dairy products,” after “milk”, in first sentence, and substituted “Any indemnity payment to any farmer shall continue” for “Such indemnity payments shall continue to each dairy farmer” in second sentence.

Statutory Notes and Related Subsidiaries

Effective Date

of 1977 AmendmentAmendment by Pub. L. 95–113 effective Oct. 1, 1977, see section 1901 of Pub. L. 95–113, set out as a note under section 1307 of this title.

§4551 Indemnity Payments to Dairy Farmers and Manufacturers of Dairy Products; Milk Removed for Its Residue of Chemical or Toxic Substances; Nuclear Radiation or Fallout Contaminants; Other Legal Recourse