Dairy Farmers of Manitoba Marketing Plan Regulation

Dairy Farmers of Manitoba Marketing Plan Regulation, M.R. 89/2004 The Farm Products Marketing Act , C.C.S.M. c. F47 Regulation 89/2004 Registered May 31, 2004 bilingual version (HTML) Table of Contents Section DEFINITIONS AND INTERPRETATION 1 Definitions and interpretation PURPOSES AND APPLICATION OF THIS PLAN 2 Purpose and application DAIRY FARMERS OF MANITOBA 3 Continuation of Dairy Farmers of Manitoba 4 Administration by-law 5 Officers 6 Remuneration 7 Committees 8 Duties of the board 9 Fiscal year 10 Audit GENERAL POWERS OF THE BOARD 11 General production and marketing powers of the board SPECIFIC POWERS OF THE BOARD 12 Orders requiring registration or licensing 13 Information 14 Transportation 15 Exemptions 16 Directed marketings 17 Pooling 18 Equalization or adjustment programs 19 Price orders REGULATIONS REQUIRING COUNCIL APPROVAL 20 Approval of the Manitoba council 21 Fees and levies 22 Penalties ORDERS REQUIRING COUNCIL APPROVAL 23 Approval of the Manitoba council 24 Quotas CERTIFICATION OF FACILITIES 25 Certification of facilities GENERAL PROVISIONS 26 General requirements for regulations and orders 27 Partnerships and shared arrangements 28 Non-application TRANSITIONAL 29 Orders and regulations continued REPEAL 30 Repeal COMING INTO FORCE 31 Coming into force DEFINITIONS AND INTERPRETATION Definitions 1(1) The following definitions apply in this plan. "administration by-law" means the administration by-law referred to in section 4. (« règlement administratif ») "board" means Dairy Farmers of Manitoba. (« office de producteurs ») "dairy product" means milk, cream, condensed milk, dry milk, evaporated milk, sterile milk, milk powder, butter, cheese, ice cream or any other food substance for human consumption made wholly or mainly from milk. (« produit laitier ») "designated representative" means an individual appointed in accordance with the administration by-law by a registered producer that is a corporation or a partnership, to attend meetings and vote on behalf of the corporation or partnership, and to exercise the privileges described in the by-law. (« représentant désigné ») "facility" means any building, structure, equipment or land used for the production of milk. (« installation ») "marketing" means selling, offering for sale, preparing for sale, buying, storing, grading, assembling, packing, transporting, processing, advertising or financing and includes the processing of milk by a producer. (« commercialisation ») "milk" means milk obtained from cows, and includes cream separated from milk and all components of milk. (« lait ») "processor" means any person engaged in the business of processing milk or using milk in manufacturing within the province. (« transformateur ») "quota" means a quantity of milk that a registered producer has been authorized to market during a specified period of time by the board. (« quota ») "registered producer" means a producer who is duly registered with the board, and whose registration is in good standing. (« producteur inscrit ») "regulated product" means any variety, class or grade of milk or dairy products produced in Manitoba and any other substance produced in Manitoba by processing milk, alone or together with any other material or substance or by extraction from milk of any substance or material. (« produit réglementé ») "transportation" includes the gathering, haulage, movement or relocation of milk within the province. (« transport ») Interpretation 1(2) A reference in this plan to an "annual general meeting" or an "annual or special general meeting" means a meeting of registered producers and designated representatives, as provided for in the administration by-law. PURPOSES AND APPLICATION OF THIS PLAN Purpose and application 2(1) The general purpose of this plan is to provide for the promotion, regulation and management of the production and marketing of the regulated product, by the board, within Manitoba. 2(2) The specific purposes of this plan are (a) to obtain fair and equitable milk prices for registered producers; (b) to develop and maintain systems for the orderly production and marketing of milk; (c) to provide a uniform high quality of milk for the market; (d) to maintain adequate advertising and promotion of the regulated product; (e) to encourage a continuous supply of milk for trade; and (f) to gather, compile and distribute statistical information related to the production and marketing of the regulated product. 2(3) This plan applies to all of Manitoba. DAIRY FARMERS OF MANITOBA Continuation of Dairy Farmers of Manitoba 3(1) "Dairy Farmers of Manitoba", formerly known as "Manitoba Milk Producers" and continued by Manitoba Regulation 247/87 R, is continued as a board. 3(2) The board is to consist of a minimum of three and a maximum of nine members who at all times must be registered producers or designated representatives. 3(3) The members are to be elected by and from the registered producers and designated representatives, in accordance with the administration by-law. 3(4) A majority of the members constitutes a quorum for the transaction of business of the board. Administration by-law 4(1) The administration by-law in effect on the day this section comes into force remains in effect until it is repealed, replaced or amended in accordance with this section. 4(2) The administration by-law may be repealed, replaced or amended to otherwise provide for (a) the qualification of individuals to be appointed designated representatives; (b) the method of appointing designated representatives; (c) the establishment of districts; (d) the method of giving notice of and the holding of meetings; (e) the election of members of the board; and (f) such other matters related to the conduct of meetings and the governance of the board as are considered necessary for the administration of this plan. 4(3) The administration by-law may by resolution be repealed, replaced, or amended by a majority vote of those present and voting at an annual or special general meeting, if written notice has been mailed to each registered producer or designated representative at least seven days before the meeting, providing a copy of the resolution setting out the proposed repeal, replacement, or amendment, or a summary of the proposal. 4(4) The administration by-law may be repealed, replaced, or amended at an annual or special general meeting, without the notice required in subsection (3), upon a resolution receiving the affirmative vote of at least 75% of those present and voting at any such meeting. 4(5) A resolution proposing the repeal, replacement, or amendment of the administration by-law must be expressed to be subject to the approval of the Manitoba council, and does not take effect until a copy of the resolution is filed with the Manitoba council and approved by it. Officers 5(1) Members of the board must meet without delay after each annual general meeting, and elect a chair, vice-chair and an executive member from among their number. The board may appoint a secretary, a treasurer and any other officers that it considers necessary, who need not be members of the board. 5(2) The chair, or in the chair's absence, the vice-chair, must call and preside at all meetings of the board and at all annual or special general meetings. 5(3) The officers of the board must carry out the duties that are assigned to them by the board. Remuneration 6(1) The chair, officers and other members of the board or any committee appointed by the board may be paid remuneration in an amount that may be fixed by resolution of the board. 6(2) A resolution to pay remuneration is not effective unless it is approved by the Manitoba council. 6(3) Remuneration under subsection (1) must be paid as an expense out of the general revenue of the board, and shown in the annual report presented to the annual general meeting in each year. Committees 7 The board may appoint any committees that it considers necessary or desirable for the proper operation of this plan, and must appoint any committees that the Manitoba council requests it to appoint, in the form and for the purpose that the Manitoba council directs. Duties of the board 8(1) The board must maintain books and records as required for the proper administration of this plan, which must be open for inspection by the Manitoba council at any reasonable time. 8(2) The board must maintain a head office and make its location known to persons who carry on business with the board. 8(3) The board must hold an annual general meeting of registered producers and designated representatives each year within six months after the end of the board's fiscal year, and it may hold any other general meetings that it considers necessary or advisable. 8(4) The board must make an annual report about its activities to the annual general meeting and to the Manitoba council, and the report must contain a copy of the audited financial statements of the board for the previous fiscal year. 8(5) The board must provide any other reports and information to the Manitoba council as it may from time to time require. Fiscal year 9 The fiscal year of the board is as determined by the administration by-law. Audit 10 A qualified auditor must be appointed by resolution passed at an annual or special general meeting, for the purpose of auditing the books of the board. If an auditor is not so appointed, the board must itself appoint an auditor for that purpose. GENERAL POWERS OF THE BOARD General production and marketing powers of the board 11(1) The regulated product is under the jurisdiction of the board. 11(2) The regulated product may be marketed by the board. 11(3) Under the supervision of the Manitoba council, the board may perform acts, adopt policies and procedural rules, and make orders and regulations, as it considers necessary to administer this plan in accordance with its objectives, and to promote, regulate and manage the production and marketing of the regulated product. 11(4) For the purpose of carrying out its duties and functions the board may (a) open bank accounts in the name of the board and appoint signing officers; (b) borrow money on its credit and give security for money borrowed; (c) enter into agreements with producers and any other persons relating to the operation of this plan, including the Canadian Dairy Commission respecting the participation by Manitoba producers in any federal plan; (d) acquire and hold real and personal property in its name, mortgage property for the purposes of the board and sell or otherwise dispose of property when it is no longer required for the purposes of the board; (e) purchase, store, process, transport or sell milk; (f) advertise and promote the milk industry in any manner it considers advisable, and compile, publish, distribute and provide information about the milk industry; (g) establish or assist in the establishment of programs for the prevention or control of diseases that may impact on the production of milk, and provide assistance to the owner of any animal quarantined, treated, destroyed or disposed of in the interest of producers or in the public interest; (h) initiate, encourage, support and conduct programs and research into any aspect contributing to the production, quality or market development of the regulated product; (i) participate in associations that are relevant to the milk industry; and (j) subject to the Act and this plan, do any thing and make any orders, rules and regulations that it considers necessary or advisable to enable it to administer this plan. SPECIFIC POWERS OF THE BOARD Orders requiring registration or licensing 12(1) The board may make orders requiring (a) producers of the regulated product to register; or (b) transporters or processors of the regulated product to obtain a licence; for such term, and on such conditions and payment of such fees, as the board may determine. 12(2) The board must keep and maintain at its head office a register containing (a) the name and address of each registered producer, licensed transporter and licensed processor; and (b) the location of the facility or facilities used by each registered producer. 12(3) The board may cancel or suspend the registration or licence of a producer, transporter or processor who, in its opinion, (a) is not entitled to be registered or licensed; or (b) fails to comply with the Act, a regulation or order made or issued under the Act, or any condition of a registration or licence granted by the board. The board may reinstate a cancelled or suspended registration or licence on such terms, and on payment of such fee, as the board may determine. 12(4) Written notice of an intention to cancel or suspend a registration or licence must be served on the producer, transporter or processor by the board, either in person or by registered mail, at least two weeks before the date of the proposed cancellation or suspension. 12(5) A person who objects to the proposed cancellation or suspension of his or her registration or licence may notify the secretary of the board in writing of his or her objections, and the grounds for them. Information 13 The board may make orders requiring any person who produces or markets a regulated product to provide it with any information or record relating to the production or marketing of the regulated product that the board considers necessary. Transportation 14 The board may make orders regulating the transportation of milk in Manitoba. Exemptions 15 The board may make orders exempting from any regulation or order made by it (a) any quantity, quality, variety, class or grade of the regulated product; and (b) any person or class of persons who produce or market the regulated product, or any specified producers or purchasers of the regulated product or of any quantity, quality, variety, class or grade of regulated product. In the making of such an order the board may also authorize a person to produce or market a quantity of the regulated product on a temporary basis on terms specified by the board. Directed marketings 16 The board may make orders determining the time and place at which, and designating the agency through which, milk, or any quantity, quality, variety, class or grade of milk, must be marketed by a producer. Pooling 17(1) The board may conduct a pool for distributing to producers all money received from the sale of milk. 17(2) In conducting a pool, the board must, (a) after deducting all necessary and proper disbursements and expenses; (b) after making such allowances for reserves as may be approved by the Manitoba council; and (c) if the pool is conducted pursuant to an agreement made under subsection 33(1) of the Act, after making any deductions authorized by the agreement; distribute the remainder of the money received from the sale of milk in a manner such that each producer receives a share relative to the quantity, quality, variety, class or grade of milk delivered by the producer. 17(3) The board may make an initial payment on delivery of milk by a producer, and subsequent payments until the remainder of the money received from the sale of milk is distributed to producers. Equalization or adjustment programs 18 The board may (a) conduct, alone or together with an extra-provincial board, programs to equalize or adjust returns received by producers from the marketing of milk, by conducting product purchase programs, imposing fees, charges or levies on producers, or otherwise; and (b) use any fees, charges or levies imposed by it under this section to create reserves, pay expenses and losses resulting from the sale or disposal of any milk, or equalize or adjust moneys realized by producers from the sale of any milk during such period of time as the board may determine. Price orders 19 Subject to any order made by the Milk Prices Review Commission, the board may make orders fixing the price at which milk, or any variety, class or grade of milk, may be sold by the board to a processor. REGULATIONS REQUIRING COUNCIL APPROVAL Approval of the Manitoba council 20 A regulation made under section 21 or 22 is not effective until approved by the Manitoba council. Fees and levies 21 The board may make regulations assessing fees and levies payable to it by producers of milk, and providing for the collection of such fees and levies. Penalties 22 The board may make regulations controlling the quantity, quality, variety, class or grade of any milk that may be produced or marketed by imposing penalties on producers and collecting such penalties. ORDERS REQUIRING COUNCIL APPROVAL Approval of the Manitoba council 23 An order made under section 24 is not effective until approved by the Manitoba council. Quotas 24(1) The board may make orders requiring the marketing of milk to be conducted pursuant to a quota on such basis as it considers appropriate, including governing, with respect to producers, (a) the fixing and allotting of quotas; (b) the increase or reduction of quotas; (c) the cancelling of quotas; and (d) the refusal to fix and allot quotas. 24(2) An order under subsection (1) may prohibit the marketing of milk or any quantity, quality, variety, class or grade of milk. 24(3) A quota allotted to a producer by the board belongs to the board. 24(4) No person shall (a) transfer, assign or sell a quota to another person; (b) offer to transfer, assign or sell a quota to another person; (c) receive payment for a quota, or make a payment to a producer for a quota; (d) buy or offer to buy a quota from a producer; or (e) take or purport to take an interest in a quota, or grant or purport to grant an interest in a quota, for the purpose of securing or purporting to secure a payment or the performance of an obligation. 24(5) Nothing in this section prohibits the board from operating a program that re-distributes quotas on the basis of payments made to the board by participants in the program, or payments received by participants from the board. 24(6) Despite anything in this section, if a person intends to sell, lease, license or otherwise assign a facility used by a producer to produce or market milk, the board may reduce or cancel the quota of that producer, and may allot to the person acquiring the facility a quota either on a temporary or permanent basis in respect of that facility. 24(7) If a quota has been issued in the name of an association, partnership, body corporate, trust or other organization, the board may reduce or cancel the quota if there is a change in the legal or beneficial ownership of that organization. 24(8) The board may reduce or cancel a quota allotted to a producer who enters into a contract or agreement that deprives the producer of the right to the proceeds from the marketing of the milk produced by that producer. CERTIFICATION OF FACILITIES Certification of facilities 25 The board may certify a facility for use in the production or marketing of milk, and may impose one or both of the following conditions in the allotment of a quota to a producer: (a) that the milk produced by that producer be produced or kept in that facility; (b) that the milk marketed by that producer be produced in that facility. GENERAL PROVISIONS General requirements for regulations and orders 26 Every regulation and order made by the board under this plan, the Act or the regulations must be (a) signed by the proper officers under the seal of the board; and (b) open for inspection by any producer or by any person designated by the Manitoba council, at the head office of the board during regular business hours. Partnerships and shared arrangements 27(1) For the purpose of this plan and any regulation or order made by the board, if two or more persons produce or market milk together, the milk produced or marketed by one of them is deemed to be produced or marketed by the other person or persons, and such persons shall be treated as a single person for the purpose of determining the amount of milk produced or marketed by any of them. 27(2) Subsection (1) applies when the persons produce or market milk (a) in partnership; (b) in circumstances in which they share facilities, equipment, labour, or management functions provided directly or indirectly by any or all of them, or by the same corporation, firm or individual, whether the sharing is familial, communal or otherwise; or (c) in circumstances where one or more of the persons has an interest in an employment arrangement, a management arrangement or a loan or a guarantee involving one or more of the other persons, other than the lending of money to a person in the ordinary course of business by a bank, credit union, trust company, Farm Credit Canada, the Manitoba Agricultural Credit Corporation or any other commercial lender approved by the Manitoba council. 27(3) The board may direct that this section does not apply to a person or a class of persons. Non-application 28(1) This regulation, except sections 13 and 14, does not apply to a person if (a) the person ordinarily resides on the same parcel of land on which a facility for the production of the regulated product is located; (b) the volume of regulated product produced on that parcel of land does not exceed 50 litres per day; and (c) all of the regulated product produced on that parcel of land is consumed by the person, or by members of the person's immediate family, without being transported from that parcel of land. 28(2) In this section, "immediate family" means an individual's grandparent, parent, spouse, common-law partner, child, brother, sister, grandchild, step-child, step-grandchild, aunt, uncle, niece or nephew, and the spouse or common-law partner of any of those family members. M.R. 62/2012 TRANSITIONAL Orders and regulations continued 29 Every order and regulation made or issued under (a) the Manitoba Milk Producers' Marketing Plan Regulation , Manitoba Regulation 247/87 R; or (b) the Cream Marketing Plan Regulation , Manitoba Regulation 97/96; that was in force immediately before the coming into force of this plan, continues under this plan, and may be altered or enforced as if made under this plan. REPEAL Repeal 30 The Manitoba Milk Producers' Marketing Plan Regulation , Manitoba Regulation 247/87 R, and the Cream Marketing Plan Regulation , Manitoba Regulation 97/96, are repealed. COMING INTO FORCE Coming into force 31 This regulation comes into force on June 1, 2004, or the day it is registered under The Regulations Act , whichever is later.