DEPARTMENT OF LIVESTOCK - CENTRALIZED SERVICES DIVISION
MILK CONTROL BUREAU / BOARD OF MILK CONTROL
PROGRAM AND BUDGET COST ANALYSIS
Program Importance
The Milk Control Program staffs the administratively-attached Board of Milk Control. The Board of Milk Control carries out state policy to stabilize the milk market and promote, foster, and encourage intelligent production and orderly marketing of dairy products in order to ensure an adequate supply of milk to Montana’s citizens. Central to this mission is the regulation of minimum prices paid to dairy farmers for milk. The minimum prices are market-based and are determined for different classes of utilization (types of products made from milk). Program processes ensure that dairy farms are compensated in accordance with minimum price regulations and in accordance with a statewide market pooling arrangement and quota supply management system, which were created by administrative rule in response to petitions submitted by Montana producers. The board also adopts rules governing fair trade practices pertaining to the milk market. Statute specifically prohibits four methods of business deemed to be unfair and not in the public interest.
Legal Authorities
- 2-15-3105, MCA – authorizes the Board of Milk Control; designates the board as a quasi-judicial board; and allocates the Board of Milk Control to Department of Livestock for administrative purposes only
- 2-15-121(1)(a), MCA: establishes that the Board of Milk Control exercises its quasi-judicial, licensing, and policymaking functions independently and without approval or control of the department
- 2-15-121(2)(d), MCA and 81-23-103(4), MCA - establishes that the Department of Livestock provides staff for the Board of Milk Control
- Title 81 Chapter 23 - provides policy purpose of milk market regulation; provides powers and authorities to the board to administer the chapter; provides authority for licensing, license fees, and assessment upon sales of producers, producer-distributors, and distributors to secure funds to enforce and administer the statute; and authorizes specific market regulation provisions, including regulation of minimum milk prices for producers, establishment of a quota plan and statewide pooling arrangement, authority to audit for compliance, authority to adopt rules governing fair trade practices, and prohibition of four methods of doing business