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Margin Protection Program for Dairy and Dairy Product Donation Program

farm-program · Commodity Credit Corporation · Rule · Published 2014-08-29 · Effective 2014-08-29 · 79 FR 51453

Document

Document number
2014-20567
Federal Register citation
79 FR 51453
CFR reference
7 CFR 1430
Type
Rule
Action
Final rule.
Category
farm-program
Sub-agency
Commodity Credit Corporation
Publication date
2014-08-29
Effective date
2014-08-29

Abstract

This rule implements regulations for the Margin Protection Program for Dairy (MPP-Dairy) and the Dairy Product Donation Program (DPDP) as authorized in subtitle D of the Agricultural Act of 2014 (the 2014 Farm Bill). MPP-Dairy provides dairy producers with risk management coverage that will pay producers when the difference between the price of milk and the cost of feed (the margin) falls below a certain level. MPP-Dairy provides basic catastrophic level coverage for an administrative fee, and greater coverage for a premium in addition to the administrative fee. Amounts of coverage and premiums vary based on producer selections. This rule specifies the eligibility requirements and payment formulas for MPP-Dairy. Under the related DPDP, which is a complimentary program designed to support producer margins by increasing the price of milk, the U.S. Department of Agriculture (USDA) will buy dairy products when the margin falls below a certain level, and will distribute those products to individuals in low-income groups through public and private non-profit organizations. The Farm Service Agency (FSA) will operate both programs using funds of the Commodity Credit Corporation (CCC). The USDA Food and Nutrition Service (FNS) will assist in the distribution of the dairy products under DPDP.

Source

Authoritative
Federal Register document
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