West Lynn Creamery, Inc. v. Healy, 512 U.S. 186, 5 (1994)

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190

WEST LYNN CREAMERY, INC. v. HEALY

Opinion of the Court

In his declaration he noted that the average federal blend price 2 had declined from $14.67 per hundred pounds (cwt) of raw milk in 1990 to $12.64/cwt in 1991, while costs of production for Massachusetts farmers had risen to an estimated average of $15.50/cwt. Id., at 27. He concluded:

"Regionally, the industry is in serious trouble and ultimately, a federal solution will be required. In the meantime, we must act on the state level to preserve our local industry, maintain reasonable minimum prices for the dairy farmers, thereby ensure a continuous and adequate supply of fresh milk for our market, and protect the public health." Id., at 31.

Promptly after his declaration of emergency, respondent issued the pricing order that is challenged in this proceeding.3

The order requires every "dealer" 4 in Massachusetts to make a monthly "premium payment" into the "Massachusetts Dairy Equalization Fund." The amount of those payments is computed in two steps. First, the monthly "order premium" is determined by subtracting the federal blend price for that month from $15 and dividing the difference by three; thus if the federal price is $12/cwt, the order premium is $1/cwt.5 Second, the premium is multiplied by the amount

2 For an explanation of the term "blend price," see the previous footnote.

3 The order was first issued on February 18, 1992, and amended on February 26, 1992. App. 32-40; Brief for Respondent 4-5. Only the amended order is at issue in this case.

4 A "dealer" is defined as "any person who is engaged within the Commonwealth in the business of receiving, purchasing, pasteurizing, bottling, processing, distributing, or otherwise handling milk, purchases or receives milk for sale as the consignee or agent of a producer, and shall include a producer-dealer, dealer-retailer, and sub-dealer." App. 32-33.

5 App. 35-36; West Lynn Creamery, Inc. v. Commissioner of Dept. of Food and Agriculture, 415 Mass. 8, 11, n. 10, 611 N. E. 2d 239, 241, n. 10 (1993). The commissioner appears to have set the order premium at only a third of the difference between the federal price and $15 because Massachusetts farmers produce only about one-third of the milk sold as fluid milk in the State. App. 21. Since Massachusetts dairy farmers produce

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