Minnesota Session Laws - 1994, Regular Session

                            CHAPTER 558-S.F.No. 2709 
                  An act relating to agriculture; amending provisions 
                  regarding the pricing of certain dairy products; 
                  amending Minnesota Statutes 1993 Supplement, section 
                  32.72.  
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1993 Supplement, section 
        32.72, is amended to read: 
           32.72 [SALES BELOW COST PROHIBITED; EXCEPTIONS.] 
           Subdivision 1.  [POLICY; PROCESSORS; WHOLESALERS; 
        RETAILERS.] (a) It is the intent of the legislature to 
        accomplish partial deregulation of milk marketing with a minimum 
        negative impact upon small volume retailers. 
           (b) A processor or wholesaler may not sell or offer for 
        sale selected class I or class II dairy products at a price 
        lower than the processor's or wholesaler's basic cost. 
           (c) A retailer may not sell or offer for sale selected 
        class I or class II dairy products at a retail price lower than 
        (1) 105 percent of the retailer's basic cost until June 30, 
        1994; and (2) the retailer's basic cost beginning July 1, 1994, 
        and thereafter.  A retailer may not use any method or device in 
        the sale or offer for sale of a selected dairy product that 
        results in a violation of this section. 
           Subd. 2.  [EXCEPTIONS.] The minimum processor, wholesaler, 
        and retailer prices of subdivision 1 do not apply:  
           (i) to a sale complying with section 325D.06, clauses (1) 
        to (4); 
           (ii) to a retailer giving away selected class I and class 
        II dairy products free if the customer is not required to make a 
        purchase; or 
           (iii) to a processor, wholesaler, or retailer giving away 
        selected class I and class II dairy products free or at a 
        reduced cost to a bona fide charity; or 
           (iv) to a retailer during the month of June 1994, and June 
        of each year thereafter. 
           Presented to the governor May 2, 1994 
           Signed by the governor May 4, 1994, 3:12 p.m.