Pennsylvania Act 2023-25 — MILK MARKETING LAW - OMNIBUS AMENDMENTS AND REPEALS

Act text

Session of 2023

No. 2023-25

HB 1170

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and rules, regulations and orders of the board; defining perjury; defining remedies; repealing legislation supplied and superseded by this act, and saving rights, duties and proceedings thereunder; and making appropriations," further providing for title of act; in purpose, short title and definitions, further providing for definitions and construction; in organization of the board, further providing for appointment and terms of members and quorum; in licenses of milk dealers, further providing for grounds for refusal, suspension or revocation; in moneys and expenses of board, further providing for expenses and for payment; and, in saving provisions, repealing provisions relating to Joint Study Committee.

The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows:

Section 1. The title of the act of April 28, 1937 (P.L.417, No.105), known as the Milk Marketing Law, is amended to read:

AN ACT

Relating to milk and the products thereof; creating a Pennsylvania 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; defining remedies; repealing legislation supplied and superseded by this act, and saving rights, duties and proceedings thereunder; and making appropriations.

Section 2. The definitions of "board" and "milk components" in section 103 of the act are amended 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:

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"Board" means the State agency created by this act, to be known as the ["Milk Marketing] "Pennsylvania Milk Board."

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"Milk components" means the components of milk, including butterfat and any other components, for which the prices of handlers, producers or both are established by marketing agreements or orders issued under the Agricultural Marketing Agreement Act of 1937 (7 U.S.C. 601, et seq.) and which the [Milk Marketing Board] board determines by regulation are applicable to the marketing areas established under this act.

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Section 3. Sections 201, 404(14), 1102(a) and (c) and 1104 of the act are amended to read:

Section 201. Appointment and Terms of Members; Quorum.-- (a) There is hereby created an independent administrative board to be known as the Pennsylvania Milk [Marketing] Board. The board shall consist of three members nominated and appointed by the Governor, by and with the advice and consent of two-thirds of all the members of the Senate, for terms of six (6) years each, and until their successors shall have been appointed and qualified; except that the terms of the members first taking office shall expire May first, one thousand nine hundred thirty-nine, May first, one thousand nine hundred forty-one, and May first, one thousand nine hundred forty-three, respectively, as designated by the Governor at the time of appointment and until their successors shall have been appointed and qualified. Of the members appointed after the effective date of this amending act, one shall be appointed to represent consumer interests and shall have the responsibility under the direction of the board for directing the executive secretary to coordinate and supervise the Bureau of Consumer Affairs.

(b) The Governor shall designate one of the members of the board as chairman. The chairman shall, when present, preside at all meetings and price hearings, and in his absence a member designated by the chairman shall preside. When presiding at a price hearing, the chairman or acting chairman shall have the status of agency head for the purpose of conducting the hearing.

(c) Two members of the board shall constitute a quorum, and any action or order of the board shall require the approval of at least two members.

(d) The Governor may remove any board member for inefficiency, neglect of duty, loss of qualification as provided in section 202 or misconduct in office: Provided, That he is given a copy of the charges against him and an opportunity to be publicly heard in person or by counsel in his own defense upon not less than ten days' notice, and that the Governor file with the Department of State a complete statement of all charges made against such board member, together with a complete record of the proceedings and his findings thereon.

Section 404. Grounds for Refusal, Suspension or Revocation.--The board shall grant a license to an applicant complying with the provisions of this act and the rules, regulations and orders issued by the board pursuant thereto. Anything in this act to the contrary notwithstanding, a store or controlled affiliate which satisfies all other requirements for licensing shall not be denied an appropriate license if it has been so licensed on the effective date of this amendment. The board may decline to grant a license to an applicant, or may suspend or revoke the right of a licensee or former licensee to apply for a license for a new license period, or may suspend, revoke or refuse to transfer a license already granted to a milk dealer or handler, or may prohibit a milk dealer or handler exempted from the license requirements of this act from continuing to operate as a milk dealer or handler, after determination by the board that the dealer or handler:

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(14) Has demonstrated through the financial information submitted with his application, a lack of financial responsibility or a probable inability to meet the financial responsibilities imposed by this act or by the act of July 6, 1984 (P.L.652, No.136), known as the "Milk Producers' Security Act," and by the regulations of the [Milk Marketing Board] board .

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Section 1102. Expenses.--(a) As much of the money in the Milk Marketing Fund as may be necessary shall be annually appropriated to the [Milk Marketing Board] board to be used to pay its expenses, including the following:

(1) Salaries of the board and of its employes.

(2) Rental and other expenses for offices, rooms, garage space and other accommodations outside of the Capitol Buildings, either in or outside of the capital city, occupied by the board.

(3) Premiums for [workmen's] workers' compensation insurance covering the officers and employes of the board.

(4) Premiums for surety bonds for such officers or employes of the board as may be required by law to furnish such bonds.

(5) Purchase and operating costs of motor vehicles required by the board for full-time use, including premiums for liability insurance covering such motor vehicles and the members of the board and employes operating them; also the amount payable to the Department of General Services for the use of automobiles supplied by it for temporary use by the board.

(6) Furniture, stationery, materials, supplies and all other overhead expenses of the board.

(7) All other expenses of every kind and description necessary for the performance by the board of its work.

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(c) Before November 1 of each year, the [Milk Marketing Board] board shall estimate its total expenses for the fiscal year beginning July 1 of the following year. This estimate shall be submitted to the Governor in accordance with section 610 of the act of April 9, 1929 (P.L.177, No.175), known as "The Administrative Code of 1929." At the same time the board submits its estimate to the Governor, the board shall also submit that estimate to the General Assembly through the President pro tempore of the Senate and the Speaker of the House of Representatives. The board, or its designated representatives, shall be afforded an opportunity to appear before the Governor regarding its estimate.

Section 1104. Payment.--Moneys in the Milk Marketing Fund appropriated to the [Milk Marketing Board] board shall be paid out upon warrant of the State Treasurer drawn after requisition by the secretary of the [Milk Marketing Board] board .

Section 4. Section 1204 of the act is repealed:

[Section 1204. Joint Study Committee.--There is hereby created a Joint Study Committee which shall study the implementation and effect of resale pricing under this act. The committee shall be in existence until its report hereunder is delivered to the General Assembly not later than December 31, 1985. The committee shall consist of the following members:

(1) Four producers, one each appointed by the majority leader and minority leader of each house.

(2) Four consumers, one each appointed by the majority and minority leaders of each house.

(3) Four dealers, one each appointed by the majority and minority leaders of each house.

(4) The chairman and the minority chairman of the Agriculture and Rural Affairs Committees of each house, or their designee.

(5) One at-large member appointed by the Secretary of Agriculture.

At the first meeting of the committee which will be called by the chairman of the Senate Agriculture and Rural Affairs Committee, the committee shall elect a chairman who, with the concurrence of a majority of the members of the committee, shall determine a schedule of meetings for the conduct of committee business. The chairman thus elected, or another member of the committee as appointed by the chairman, shall preside at all meetings of the committee.

There is also hereby created an advisory committee to provide assistance and support for the Joint Study Committee and which shall consist of:

(1) The chairman of the Pennsylvania Milk Marketing Board and his staff.

(2) The Dean of the Pennsylvania State University College of Agriculture and his staff.

(3) The Dean of the Wharton School of Business Administration of the University of Pennsylvania and his staff.

The purpose of the committee shall be to study and report upon the implementation and effect of the resale milk pricing provisions of this act. The committee shall submit its final report to the Agriculture and Rural Affairs Committee of each house not later than December 1, 1985.]

Section 5. A reference in any other act or regulation to the Milk Marketing Board shall be deemed to be a reference to the Pennsylvania Milk Board.

Section 6. This act shall take effect in 60 days.

APPROVED--The 6th day of November, A.D. 2023.

JOSH SHAPIRO