Section 126.42. Milk contractors; monthly license fee.  


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  • (1) Monthly license fee payment. Except as provided under sub. (5) or (6) , a milk contractor licensed under s. 126.41 (1) shall pay to the department, by the 25th day of each month, a monthly license fee of 0.15 cent for each 100 pounds of producer milk that the milk contractor procured in this state during the preceding month. The milk contractor shall submit, with the fee payment, a report stating the number of pounds of producer milk that the milk contractor procured in this state during the preceding month.
    (2) Late payment surcharge. If a milk contractor fails to pay a monthly fee under sub. (1) when due, the milk contractor shall pay, in addition to that monthly fee, a surcharge equal to 20 percent of the monthly fee. The milk contractor shall pay the surcharge by the 25th day of the following month.
    (3) Fee credits. If the balance in the fund contributed by milk contractors exceeds $4,000,000 on February 28 of any license year, the department shall credit 50 percent of the excess amount against fees charged under sub. (1) to contributing milk contractors who file timely renewal applications for the next license year. The department shall credit each contributing milk contractor on a prorated basis, in proportion to the total fees that the milk contractor has paid under sub. (1) for the 4 preceding license years. Each month that a contributing contractor who qualifies for a credit under this subsection pays fees under sub. (1) , the department shall credit to the contributing milk contractor one-twelfth of the total annual credit determined under this subsection.
    (4) Fee statement. Whenever the department issues an annual license to a milk contractor under s. 126.41 (1) , the department shall give the milk contractor notice of the monthly fees required under this section. The department shall specify all of the following:
    (a) The method for computing the monthly fee.
    (b) The date by which the milk contractor must pay the fee each month.
    (c) The late payment surcharge that may apply under sub. (2) .
    (d) The fee credit, if any, that applies under sub. (3) .
    (5) Producer agents; exemption. A producer agent is not required to pay the monthly fee under sub. (1) for producer milk that the producer agent markets to a milk contractor who is licensed under s. 126.41 (1) and who pays the monthly fee on the same milk.
    (6) Fee changes. The department may modify the license fees under sub. (1) by rule.