Ley 209 del 2007
Resumen
Esta ley enmienda la Ley Núm. 34 de 11 de junio de 1957, conocida como la "Ley para Reglamentar la Industria Lechera", para incluir nuevas definiciones de tipos de leche líquida, como la leche ultra pasteurizada y aséptica (UHT). Además, delega nuevas facultades al Administrador de la Oficina para la Reglamentación de la Industria Lechera (ORIL) para fijar e implementar precios máximos, mínimos o únicos para la leche líquida en todos los niveles de distribución, asegurando así la estabilidad y el desarrollo de la industria lechera en Puerto Rico y la disponibilidad del producto para los consumidores.
Contenido
(No. 209) (Approved December 14, 2007)
AN ACT
To amend Section 1, subsection
(h) and to add subsections
(l) and
(m) ; Section 5, subsection
(b) ; Section 16, subsections
(d) and
(e) ; and Section 20, subsection
(c) of Act No. 34 of June 11, 1957, as amended, known as an "Act to Regulate the Milk Industry," in order to include new definitions; delegate new powers to the Administrator of the Milk Industry Regulating Office to implement and enforce the maximum, minimum or only price fixed on milk in its fluid form at all levels of distribution.
STATEMENT OF MOTIVES
Milk is an essential product in the diet of the Puerto Rican people. Its high nutritional value makes it particularly important for our children. Due to its versatility, it may be consumed as a liquid as well as processed in dairy products. Fresh milk is the most widely known form of milk consumption in Puerto Rico. For years, the Government of Puerto Rico has watched over this industry that, at present, is the main sector of the agricultural industry in our economy.
The tradition in Puerto Rico, within this sector of the Food Industry, which is, in turn, shared with Agriculture and Manufacturing, has been to maintain a model of managed supply whereby, through regulations, the milk to be supplied is regulated both for quantity and quality. Thus, the necessary supply is ensured in order to guarantee Puerto Rican consumers a constant and reliable provision of milk which, at the same time, helps to strengthen
and develop an industry on which thousands of direct and indirect jobs depend. In order for this model of managed supply to function properly, it is required that the regulatory framework of the Milk Industry be tempered to the new realities and challenges of the milk market, and particularly, to the vertiginous increase in the operating costs in segments of the industry as well as to the arrival of new variations of the product in its liquid form.
For the first time, this Act incorporates the definition of one of these liquid milk products which has reached a significant percentage in this market in Puerto Rico. The ultra pasteurized and aseptic or UHT (Ultra High Temperature) milk needs a statutory definition and the incorporation thereof to the regulatory framework of the milk market.
In order for the Administrator of the Milk Industry Regulating Office (ORIL, Spanish acronym), to have available the necessary tools to attune the regulations to the developments of the market, it is necessary to empower him/her to fix not only the maximum prices, but also the minimum and inclusively, the only price for all types of liquid milk. At present, ORIL regulates the price of Fresh Milk in Puerto Rico, but due to the lack of definitions, UHT milk is not regulated.
The producers as well as those who process milk constitute the basic components of a healthy, expeditious, and competitive market. The purpose of the Milk Industry Development Fund is to promote the consumption of fresh milk in Puerto Rico and adopt measures that strengthen the growth of the industry.
In order to comply with the nutritional safety guarantees as well as to ensure the continuous development of the milk industry in Puerto Rico, it is indispensable to maintain an adequate balance between the supply and demand for liquid milk products. For this reason, it is hereby provided that
the Administrator of the Milk Industry Regulating Office shall ensure that the price of UHT milk is regulated at all times as is the price of fresh milk, and if necessary, of any other type, formula or category of liquid milk. It must be pointed out that UHT milk is calculated by repayment formula as part of the production quota of cattle breeders. It is further provided, that liquid milk in some of its types, formulas or categories shall not be sold, once regulated, at any distribution level at a price under the minimum price fixed by the Administrator for said level. The power of the Administrator is likewise extended so that in cases in which the industry warrants the establishment of a single price, he/she may as well also establish the same. This specific power may be exercised in the summer months during which the production of milk decreases due to climatic conditions that cause a scarcity of raw milk.
BE IT ENACTED BY THE LEGISLATURE OF PUERTO RICO:
Section 1.-Subsection
(h) is hereby amended and subsections
(l) and
(m) , respectively, are hereby added to Section 1 of Act No. 34 of June 11, 1957, as amended, to read as follows: "Section 1.-Definitions
(a) ...
(h) Fresh milk - Milk in its natural state, pasteurized and homogenized, which is sold for direct consumption to the public. (1) Fluid Milk - Milk in its liquid state whether raw, pasteurized and homogenized, Ultra Pasteurized and Aseptic Milk (UHT Milk, for its English acronym) or
processed in such a manner that its byproduct maintains a liquid state, that is sold in different types, formulas or categories for direct consumption by the public.
(m) Ultra Pasteurized and Aseptic Milk (UHT Milk, for its English acronym) - denomination of milk that has been pasteurized through an aseptic chemical process at temperatures of at least two hundred and eighty (280) degrees Fahrenheit followed by flash cooling. This milk is sold to consumers in containers that do not require refrigeration while they remain unopened."
Section 2.- Subsection (14) is hereby added to Section 5(b) of Act No. 34 of June 11, 1957, as amended, to read as follows: "Section 5.- Powers and Duties of the Administrator
(a) ...
(b) (1) ... (14) Ensure that the maximum and minimum prices fixed for liquid milk and the maximum prices of its byproducts at all levels of distribution are implemented and enforced."
Section 3.- Subsections
(d) and
(e) of Section 16 of Act No. 34 of June 11, 1957, as amended, are hereby amended, to read as follows: "Section 16.- Rules
(a) ...
(d) The Administrator shall fix the maximum, minimum or only prices for liquid milk, including surplus, in its different denominations, this being types, formulas or categories in all and any of the distribution channels and
levels. Any determination of prices shall be the product of a process of duly convoked public hearings. In the hearings to fix the maximum, minimum or only price for liquid milk and/or its byproducts, the Administrator shall summon the Secretary of the Department of Consumer Affairs, who shall appear in representation of the consumers. Said Department shall also render a report and its recommendations to the Administrator on said hearings. The Administrator shall take into consideration the recommendations of the Department of Consumer Affairs in determining the fixing of maximum, minimum or only prices.
(e) In fixing the maximum, minimum or only prices to be paid for each quart of liquid milk or fraction thereof, the Administrator shall set fair and reasonable prices that will ensure an adequate liquid milk market, without affecting the production or the sources of production and supply unfavorably. To this end, the Administrator shall consider all cost factors involved in the production, processing and sterilizing of milk, including but without being limited to the cost of labor, feed, transportation and distribution of liquid milk and its byproducts, as well as compliance with the sanitary requirements established by law.
He shall likewise take into consideration the supply and demand of the product in all its different denominations, the purchasing power of the community according to the income and general business activity indexes, and other market conditions and economic factors
that may affect the supply, demand or the value of milk or its byproducts. The Administrator shall ensure that the maximum, minimum or only price of UHT milk produced in Puerto Rico or imported, at all levels be fixed in accordance with the evaluations and recommendations of the Milk Industry Regulating Office for the corresponding level.
At least once a year ... Every determination of the Administrator ..." Section 4.- A subsection
(c) is hereby added to Section 20 of Act No. 34 of June 11, 1957, as amended, to read as follows: "Section 20.- Unlawful Commercial Practices; Disorganization of the Market
(a) ...
(b) ...
(c) Liquid milk shall not be sold at any level of distribution at a price other than that fixed by the Administrator for said level."
Section 5.- Severance Clause If any of the provisions of this Act were to be declared unconstitutional by a competent Court, the others shall remain in effect.
Section 6.- Effectiveness This Act shall take effect immediately after its approval.
CERTIFICATION
I hereby certify to the Secretary of State that the following Act No. 209 (House Substitute for S.B. 1425) of the $6^{ ext {th }}$ Session of the $15^{ ext {th }}$ Legislature of Puerto Rico:
AN ACT to amend Section 1, subsection
(h) and to add subsections
(l) and
(m) ; Section 5, subsection
(b) ; Section 16, subsections
(d) and
(e) ; and Section 20, subsection
(c) of Act No. 34 of June 11, 1957, as amended, known as an "Act to Regulate the Milk Industry," in order to include new definitions; delegate new powers to the Administrator of the Milk Industry Regulating Office to implement and enforce the maximum, minimum or only price fixed on milk in its fluid form at all levels of distribution, has been translated from Spanish to English and that the English version is correct.
In San Juan, Puerto Rico, today $15^{ ext {th }}$ of February of 2008.
Francisco J. Domenech Director