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Bill > HR3062


US HR3062

US HR3062
Dairy Security Act of 2011


summary

Introduced
In Committee
Crossed Over
Passed
Dead

Introduced Session

112th Congress

Bill Summary

Dairy Security Act of 2011 - Directs the Secretary of Agriculture (USDA) to establish a dairy producer margin protection program to protect dairy producer income by paying participating producers: (1) basic margin protection payments when actual dairy producer margins are less than the threshold levels for such payments, and (2) supplemental margin protection payments if purchased by a participating producer. Makes all registering U.S. dairy producers eligible for such program. Authorizes a producer to purchase supplemental margin protection at the time of program registration. Directs the Secretary to establish: (1) a dairy market stabilization program for all U.S. dairy producers in order to balance the supply of milk with demand when dairy producers are experiencing low or negative operating margins, and (2) a board of directors for the program. Requires milk handlers to reduce payments to each participating producer from whom the handler receives milk during any month in which stabilization program payment reductions are in effect. Directs the Secretary to conduct the margin protection and stabilization programs from January 1, 2012, through December 31, 2017. Directs the Secretary to amend each federal milk marketing order as provided for by this Act. Eliminates the: (1) dairy product price support program, (2) the milk income loss contract program, (3) permanent price support authority for milk, and (4) the dairy export incentive program.

AI Summary

This bill, the Dairy Security Act of 2011, establishes a new dairy producer margin protection program to safeguard dairy farmers' income by providing payments when the difference between milk prices and feed costs (the "actual dairy producer margin") falls below certain thresholds. All U.S. dairy producers can register for this program, and they can also opt to purchase additional "supplemental margin protection" for higher coverage. Additionally, the bill creates a "dairy market stabilization program" for participating producers, designed to balance milk supply with demand during periods of low producer margins; this program may require milk handlers to reduce payments to producers if stabilization measures are triggered. The Secretary of Agriculture, who is the head of the U.S. Department of Agriculture (USDA), is directed to manage both programs from January 1, 2012, through December 31, 2017, and to amend federal milk marketing orders accordingly. Crucially, this bill also repeals several existing programs, including the dairy product price support program, the milk income loss contract program, permanent price support authority for milk, and the dairy export incentive program.

Committee Categories

Agriculture and Natural Resources

Sponsors (11)

Last Action

Referred to the Subcommittee on Livestock, Dairy, and Poultry. (on 10/04/2011)

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