Checkoff Collections Regarding Disposed Milk

As some farmers across the country are required to temporarily dispose milk, the U.S. Department of Agriculture offered the following guidance regarding the federal dairy checkoff assessment: 

The Agricultural Marketing Service at USDA issued guidance on April 13, 2020, to the federal Dairy and Fluid Milk Boards. The USDA guidance provides that when milk is dumped, there is no requirement to pay the federal checkoff assessment, even in cases where the producer is paid for the dumped milk. If a state has a state law that mandates the payment of the state portion of the checkoff assessment, the state law must be consulted to determine whether the state portion of the checkoff assessment is due. 

For more information, please contact USDA’s Agricultural Marketing Service.