Title: An act relating to extending the expiration date of the dairy inspection program assessment.

Brief Description: Extending the expiration date of the dairy inspection program assessment.

Brief Summary of Bill

• Extends by five years the expiration date for an assessment on milk processing.

Majority Report: Do pass. Signed by 13 members: Representatives Linville, Chair; Rockefeller, Vice Chair; Schoesler, Ranking Minority Member; Holmquist, Assistant Ranking Minority Member; Kristiansen, Assistant Ranking Minority Member; Chandler, Eickmeyer, Grant, Hunt, McDermott, Orcutt, Quall and Sump.

An assessment is levied on all milk processed in this state. It is not to exceed 0.54 cents per hundredweight. The amount of the assessment is to be set by the Director of Agriculture by rule at an amount that, with General Fund monies, supports an inspection program that maintains compliance with the federal Pasteurized Milk Ordinance (PMO). The assessment is levied on the operator of the first milk processing plant receiving the milk for processing; however, it is not paid for any month in which the assessment for a plant is less than $20 for that month.

Revenues from the assessment are deposited in the Dairy Inspection Account in the Agricultural Local Fund. The funds may be used only to provide inspection services to the dairy industry.

The expiration date for the milk processing assessment is extended to June 30, 2010.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.

Testimony For: About 10 years ago, the state's inspection program in support of the PMO fell behind. When the federal government made its inspections, it found a lot of shortcomings. This is an assessment the industry requested to provide an adequate state inspection system. It will expire soon; extending the expiration date is hugely important to the dairy industry.

Persons Testifying: Senator Rasmussen, co-sponsor; and Chris Cheney, Washington State Dairy Federation.