SECTIONS 61801-61812 - California Statutes

FOOD AND AGRICULTURAL CODE

SECTION 61801-61812

61801. The production of market milk is hereby declared to be a
business affected with a public interest. The provisions of this
chapter are enacted in the exercise of the police powers of this
state for the purpose of protecting the health and welfare of the
people of this state.

61802. The Legislature hereby declares all of the following:
(a) Market milk is a necessary article of food for human
consumption.
(b) The production and maintenance of an adequate supply of
healthful market milk of proper chemical and physical content, free
from contamination, is vital to the public health and welfare, and
the production, transportation, processing, and storage of market
milk in this state is an industry affecting the public health.
(c) Because of the perishable quality of milk, the nature of milk
production, the varying seasonal production and demand factors, and
other economic factors affecting the milk industry, the potential
exists for economic disruption, in the absence of regulation, in the
production, marketing, and sale of market milk which may constitute a
menace to the health and welfare of the inhabitants of this state
and may tend to undermine sanitary regulations and standards of
content and purity, however effectually the sanitary regulations may
be enforced.
(d) Health regulations alone are insufficient to prevent economic
disturbances in the production of milk which may disrupt the future
supply of market milk and to safeguard the consuming public from
future inadequacy of a supply of this necessary commodity.
(e) It is the policy of this state to promote, foster, and
encourage the intelligent production and orderly marketing of
commodities necessary to its citizens, including market milk, and to
eliminate economic waste, destructive trade practices, and improper
accounting for market milk purchased from producers.
(f) It is recognized by the Legislature that the economic factors
concerning the production, marketing, and sale of market milk in
California may be affected by the national market for milk for
manufacturing purposes.
(g) It is recognized by the Legislature that in recent years the
supply of manufacturing milk in California, as defined in Section
32509, has consistently declined and continues to decline, and that
market milk has virtually supplanted manufacturing milk for
manufacturing purposes in this state, and that it is therefore
necessary to conform the pricing standards governing minimum producer
prices for market milk established under this chapter to current
economic conditions.
(h) It is recognized by the Legislature that the levels of retail
prices of milk and milk products paid by consumers are affected by a
large number of economic and other factors apart from minimum
producer prices for market milk established under this chapter, many
of which factors are not within the power of the director to regulate
or control, particularly since the Legislature repealed provisions
concerning establishment of minimum wholesale and retail prices. It
is further recognized by the Legislature that, in order to accomplish
the purposes of this chapter and to promote the public health and
welfare, it is essential to establish minimum producer prices at fair
and reasonable levels so as to generate reasonable producer incomes
that will promote the intelligent and orderly marketing of market
milk in the various classes, and that minimum producer prices
established under this chapter should not be unreasonably depressed
because other factors have affected the levels of retail prices paid
by consumers.

61803. It is recognized by the Legislature that conditions within
the milk industry of this state are such that it is necessary to
establish marketing areas wherein different prices and regulations
are necessary, and for that purpose the director shall have the
administrative authority, with such additional duties as are herein
prescribed, after investigation and public hearing, to prescribe such
marketing areas and modify the same when advisable or necessary.

61804. The foregoing statements in this article of facts, policy,
and application of this chapter are hereby declared a matter of
legislative determination.

61805. The purposes of this chapter are to do all of the following:
(a) Provide funds for administration and enforcement of this
chapter, by assessments to be paid by producers and handlers of
market milk in the manner prescribed in this chapter.
(b) Authorize and enable the director to prescribe marketing areas
and to determine minimum prices to be paid to producers by handlers
for market milk which are necessary due to varying factors of costs
of production, health regulations, transportation, and other factors
in the marketing areas of this state. In determining minimum prices
to be paid producers by handlers, the director shall endeavor under
like conditions to achieve uniformity of cost to handlers for market
milk within any marketing area. However, no minimum prices
established or determined under this chapter shall be invalid because
uniformity of cost to handlers for market milk in any marketing area
is not achieved as a result of the minimum producer prices so
established or determined.
(c) Authorize and enable the director to formulate stabilization
and marketing plans, subject to the limitations prescribed in this
chapter with respect to the contents of the stabilization and
marketing plans, and to declare the plans in effect for any marketing
area.
(d) Enable the dairy industry, with the aid of the state, to
develop and maintain satisfactory marketing conditions, bring about
and maintain a reasonable amount of stability and prosperity in the
production of market milk, and provide means for carrying on
essential educational activities.

61806. It is the intent of the Legislature that the powers
conferred in this chapter shall be liberally construed.

61807. Nothing in this chapter permits or authorizes the
development of conditions of monopoly in the production of market
milk. In the establishment of the terms and conditions under which
market milk shall be purchased from producers, the terms and
conditions are those which will, in the several localities and
markets of the state, and under the varying conditions of production,
insure an adequate and continuous supply of pure, fresh, wholesome
market milk to consumers of the market milk.

61808. The Legislature hereby declares that this chapter is
intended to formulate a comprehensive scheme for the regulation of
marketing milk. If, however, any provision of, or addition or
amendment to, this chapter, either as originally enacted in 1935 at
the 51st Regular Session of the California Legislature, or as
amended, added to, recodified, or reenacted at any subsequent session
of the California Legislature, should be held to be
unconstitutional, the unconstitutionality of such provision does not
affect any other provision of this chapter.

61809. If any article, section, subdivision, sentence, clause, or
phrase of any provision of this chapter is for any reason held to be
unconstitutional, such decision does not affect the validity of the
remaining provisions of this chapter. The Legislature hereby declares
that it would have enacted each article, section, subdivision,
sentence, clause, or phrase of this chapter irrespective of the fact
that one or more other articles, sections, subdivisions, sentences,
clauses, or phrases is declared unconstitutional.

61810. Chapter 1 (commencing with Section 61301), Chapter 2.5
(commencing with Section 62500), and Chapter 3 (commencing with
Section 62700) shall be liberally construed as being complementary
of, and supplemental to, this chapter, and these chapters shall
constitute a single comprehensive scheme for the regulation of the
production and handling of market milk. However, each of the
chapters, and each article, section, subdivision, sentence, clause,
and phrase of each chapter is severable.
If one of the chapters or any article, section, subdivision,
sentence, clause, or phrase of any one of the chapters is for any
reason held void, invalid, or unconstitutional, the decision shall
not affect the validity of the other chapter or any of its articles,
sections, subdivisions, sentences, clauses, or phrases.

61811. No provision of this chapter, or of any stabilization and
marketing plan formulated by the director pursuant to this chapter,
is any limitation upon the right of any handler or producer-handler
including any nonprofit cooperative association of producers which
association is also a handler, by reason of the form or nature of the
legal entity under which such handler conducts business, to sell or
handle market milk, or any dairy product at prices or upon terms and
conditions according to, and within, the several methods of handling,
at or subject to which the market milk or dairy product lawfully may
be sold or handled by any other handler.
This section does not make lawful or permit the payment by any
such handler to a producer for market milk of prices less than the
minimum prices prescribed in the applicable stabilization and
marketing plan.

61812. Neither the repeal of former Chapter 2 of this part, the
reenactment of this chapter nor the amendment of any provision of
this chapter shall have the effect of terminating or invalidating any
stabilization and marketing plan, including provisions thereunder
regarding minimum prices to be paid producers for market milk,
established by the director pursuant to this chapter or former
Chapter 2 prior to the effective date of the repeal, enactment, or
amendment. The director shall, however, establish minimum prices
pursuant to the provisions of the enactment, or amendment at the
earliest practicable date after the effective date of the amendment.