Page:United States Statutes at Large Volume 113 Part 2.djvu/1037

 PUBLIC LAW 106-113—APPENDIX H 113 STAT. 1501A-519 and services through funds available for the Agricultural Marketing Service of the Department. (f) IMPLEMENTATION OF REQUIREMENT.— The implementation of the final decision on new Class III and Class IV milk pricing formulas shall not be subject to congressional review under chapter 8 of title 5, United States Code. SEC. 3. DAIRY FORWARD PRICING PROGRAM. The Agricultural Adjustment Act (7 U.S.C. 601 et seq.), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937, is amended by adding at the end the following new section: "SEC. 23. DAIRY FORWARD PRICING PILOT PROGRAM. "(a) PILOT PROGRAM REQUIRED. —Not later than 90 days after the date of the enactment of this section, the Secretary of Agriculture shall establish a temporary pilot program under which milk producers and cooperatives are authorized to voluntarily enter into forward price contracts with milk handlers.. "(b) MINIMUM MILK PRICE REQUIREMENTS. — Payments made by milk handlers to milk producers and cooperatives, and prices received by milk producers and cooperatives, under the forward contracts shall be deemed to satisfy— "(1) all regulated minimum milk price requirements of paragraphs (B) and (F) of subsection (5) of section 8c; and "(2) the requirement of paragraph (C) of such subsection regarding total payments by each handler. "(c) MILK COVERED BY PILOT PROGRAM.— "(1) COVERED MILK.—The pilot program shall apply only with respect to the marketing of federally regulated milk that— "(A) is not classified as Class I milk or otherwise intended for fluid use; and "(B) is in the current of interstate or foreign commerce or directly burdens, obstructs, or affects interstate or foreign commerce in federally regulated milk. "(2) RELATION TO CLASS I MILK.— TO assist milk handlers in complying with the limitation in paragraph (1)(A) without having to segregate or otherwise individually track the source and disposition of milk, a milk handler may allocate milk receipts from producers, cooperatives, and other sources that are not subject to a forward contract to satisfy the handler's obligations with regard to Class I milk usage. "(d) DURATION.— The authority of the Secretary of Agriculture to carry out the pilot program shall terminate on December 31, 2004. No forward price contract entered into under the program may extend beyond that date. "(e) STUDY AND REPORT ON EFFECT OF PILOT PROGRAM. — "(1) STUDY. —The Secretary of Agriculture shall conduct a study on forward contracting between milk producers and cooperatives and milk handlers to determine the impact on milk prices paid to producers in the United States. To obtain information for the study, the Secretary may use the authorities available to the Secretary under section 8d, subject to the confidentiality requirements of subsection (2) of such section. "(2) REPORT.—Not later than April 30, 2002, the Secretary shall submit to the Committee on Agriculture, Nutrition and Forestry of the Senate and the Committee on Agriculture of

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