Milk Act 1988
Milk Act 1988
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Milk Act 1988
Milk Act 1988
Public Act |
1988 No 13 |
|
Date of assent |
24 March 1988 |
|
Contents
An Act to provide for the continued home delivery of milk; and to reduce in other respects the regulation of the processing, supply, and distribution of milk for human consumption
BE IT ENACTED by the Parliament of New Zealand as follows:
Part I Preliminary
1 Short Title and commencement
(1)
This Act may be cited as the Milk Act 1988.
(2)
This Act shall come into force on the 1st day of April 1988.
2 Interpretation
In this Act, unless the context otherwise requires,—
“Authority” means the New Zealand Milk Authority established by section 4(1) of this Act:
“Consumers”, in relation to a home delivery district, means all persons who—
(a)
Buy milk within the district for human consumption; or
(b)
Buy milk for resale within the district for human consumption; or
(c)
Buy milk for manufacture within the district into other products for human consumption,—
not for the time being excluded under section 13 of this Act from the delivery requirements of the district:
“Delivery arrangement” means an arrangement between any person and a processor or a former processor for the person to engage in the delivery of milk to consumers (whether as employee, agent, contractor, or otherwise howsoever):
“Domestic consumers”, in relation to a home delivery district, means all consumers of the district who are not persons who customarily buy milk—
(a)
For resale within the district for human consumption; or
(b)
For manufacture within the district into other products for human consumption:
“Former processor” means a person who, immediately before the commencement of this Act, had a consent under section 24 of the Milk Act 1967 to treat milk or establish or operate any plant for the treatment of milk:
“Former vendor” means—
(a)
A person who, immediately before the commencement of this Act, was approved as a milk vendor under section 17 or section 20 of the Milk Act 1967; or
(b)
A person who—
(i)
At some time before that commencement voluntarily ceased to be so approved; and
(ii)
Had not before that commencement received any compensation for ceasing to be so approved; and
(iii)
Is not a party to a delivery arrangement;—
and includes the personal representative of a former vendor:
“Home delivery district”, in relation to a processor, means a district in respect of which the processor’s licence under section 9 of this Act was granted; and
(a)
Includes any area for the time being added to any such district, and any district allocated to the processor, under section 14 of this Act; but
(b)
Does not include any area for the time being taken from any such district, or removed from the processor, under that section:
“Milk” means cow’s milk that (whether or not it has been treated or processed in any other way) has been pasteurised, and is intended to be sold in liquid form for human consumption; but does not include flavoured milk, ultra neat treated milk, or any cream that has been separated from milk:
“Minister” means the Minister of Trade and Industry:
“Processor” means a person for the time being holding a licence granted under section 9 of this Act:
“Working day” means a day that is not a Saturday, a Sunday, Good Friday, Easter Monday, Anzac Day, Labour Day, Waitangi Day, the Sovereign’s birthday, or a day during a period commencing on any Christmas Day and ending with the 15th day of the following January.
3 Act binds the Crown
This Act binds the Crown.
Part II Town Milk Industry
4 New Zealand Milk Authority
(1)
There is hereby established the New Zealand Milk Authority.
(2)
The Authority comprises 3 members appointed by the Governor-General on the recommendation of the Minister, made after consultation with organisations in the opinion of the Minister representing the various sectors of the town milk industry.
(3)
The Authority is a body corporate with perpetual succession and a common seal; and is capable of holding personal (but not real) property, suing and being sued, and otherwise doing and suffering everything bodies corporate may lawfully do and suffer.
(4)
No member or deputy member of the Authority is personally liable for any act done or omitted by the member or deputy member, or by the Authority—
(a)
In good faith; and
(b)
In pursuance or intended pursuance of the functions and powers conferred on the Authority by this Act.
(5)
The provisions of the First Schedule to this Act apply to the Authority.
5 Functions of Authority
The functions of the Authority are—
(a)
To license milk processors:
(b)
To determine, allocate, modify, and reallocate home delivery districts:
(c)
To determine the retail price differential for milk under section 18(1) of this Act:
(d)
To monitor the supply of milk, the delivery of milk to domestic consumers of home delivery districts by and on behalf of processors, and the retail prices of milk:
(e)
To report to the Minister on matters relating to the sale or delivery of milk:
(f)
Any other functions conferred on it by this Act or any other enactment.
6 Powers of Authority
The Authority has—
(a)
The powers conferred on it by this Act or any other enactment; and
(b)
All other powers reasonably necessary to enable it to perform its functions.
7 Authority to comply with general Government policies
(1)
Subject to the provisions of this Act, the Authority shall, in the performance and exercise of its functions and powers, comply with any general or special written directions relating to the policy of the Government given to it by the Minister.
(2)
As soon as is practicable after giving the Authority any direction under subsection (1) of this section, the Minister shall—
(a)
Publish a copy of it in the Gazette; and
(b)
Lay a copy of it before the House of Representatives.
8 Applications for licences to process milk
(1)
Any person may apply to the Authority for a licence to process milk.
(2)
Every application shall be made on a form supplied by the Authority, and shall specify one or more districts in which the applicant intends to provide a home delivery service, and any other information the Authority requires.
9 Granting of licences
(1)
Subject to subsections (2) and (3) of this section, if the Authority is satisfied on reasonable grounds that—
(a)
There is no person (other than the applicant) licensed under this section to process milk in respect of the districts specified by an applicant under section 8 of this Act (or in respect of any modified or different district or districts in respect of which the Authority is prepared to grant the applicant a licence); and
(b)
The applicant is or will be able at all times to provide sufficient milk to satisfy the requirements for milk of the consumers of the districts concerned,—
it shall, by written notice to the applicant specifying the districts concerned, grant the applicant a licence to process milk in respect of the districts.
(2)
Where the Authority intends to grant to an applicant under section 8 of this Act a licence to process milk in respect of districts other than those the applicant specified, it shall first notify the applicant in writing of its intention; and it shall not grant the licence to the applicant unless the applicant has notified it that the applicant agrees to those districts.
(3)
Where, in the opinion of the Authority, the granting to an applicant under section 8 of this Act of a licence to process milk in respect of any district would affect any processor, the Authority shall not grant it without first—
(a)
Notifying the applicant and the processor of the proposed decision and of the fact that the processor has 20 working days to make a submission to the Authority on the application; and
(b)
Sending the applicant a copy of any written submission received by the Authority from the processor within 20 working days of the processor’s being notified, together with notice that the applicant has 20 working days to make a submission to the Authority on the processor’s submission; and
(c)
Considering—
(i)
The processor’s submission; and
(ii)
Any written submission concerning the processor’s submission received by the Authority from the applicant within 20 working days of the applicant’s receiving a copy of the processor’s submission.
(4)
No person who is not a processor shall pack, pasteurise, process, or treat any milk.
(5)
Subject to subsection (6) of this section, any processor may grant to persons who have any contract, arrangement, or understanding with the processor for the delivery of milk to consumers of any of the processor’s home delivery districts exclusive zones for the delivery of milk processed or bought by the processor.
(6)
To the extent that any provision or part of any contract, arrangement, or understanding in force immediately before the expiry of this Act grants or has the effect of granting to any person, or provides for the acquisition by any person, of exclusive zones for the delivery of milk to the domestic consumers of any home delivery district, the provision or part shall be deemed to have been cancelled on that expiry.
10 Processors to provide home delivery service
(1)
Every processor shall ensure that in each of the processor’s home delivery districts milk is delivered to domestic consumers in accordance with the standards determined under section 16 of this Act for the time being applying to them.
(2)
No processor is obliged to ensure the delivery of milk to any domestic consumer who—
(a)
Owes the processor or a contractor of the processor money for milk sold or delivered; or
(b)
Has persistently refused or delayed payment for milk sold or delivered.
11 Cancellation of licences
(1)
Subject to subsection (2) of this section, if the Authority is satisfied on reasonable grounds that a processor is not at all times—
(a)
Providing sufficient milk to satisfy the requirements for milk of all the consumers of any of its home delivery districts; or
(b)
Complying with section 10 of this Act in respect of any of its home delivery districts,—
it may cancel the processor’s licence in respect of the district.
(2)
The Authority shall not cancel a processor’s licence under subsection (1) of this section without first—
(a)
Notifying the processor of the Authority’s intention to do so, and of the grounds upon which it intends to do so and the fact that the processor has 20 working days to make a submission to the Authority on the proposed cancellation; and
(b)
Considering any written submission it receives from the processor within 20 working days of the processor’s receiving the notice.
(3)
On application by a processor, the Authority shall cancel the processor’s licence.
12 Temporary licences
(1)
Where—
(a)
Any processor’s licence is cancelled in respect of a home delivery district; or
(b)
The Authority is satisfied that a processor is temporarily unable to comply with section 10 of this Act in respect of a home delivery district,—
the Authority may grant any person a temporary licence under this section in respect of all or any part of the processor’s home delivery districts.
(2)
A licence granted under this section shall expire after 3 months or any shorter period the Authority specifies when granting it; but the Authority may grant the person concerned another.
(3)
The Authority may cancel a licence granted under this section if satisfied on reasonable grounds that the person concerned is not at all times ensuring that in the area in respect of which it was granted milk is delivered to domestic consumers in accordance with the standards determined under section 16 of this Act in respect of it.
(4)
There is no right of reconsideration of a decision to grant or cancel a licence under this section.
(5)
Where a licence under this section is in force,—
(a)
The person concerned shall be deemed to be a processor; and
(b)
The area in respect of which it was granted shall be deemed to be a home delivery district.
13 Certain consumers excluded from delivery requirements
(1)
Every person who customarily buys or will buy 1500 litres or more of milk each week for—
(a)
Manufacture within a home delivery district into other products for sale for human consumption; or
(b)
The person’s own use within a home delivery district; or
(c)
Both,—
is excluded from the delivery requirements of the district.
(2)
Any consumer of a home delivery district who customarily buys or will buy milk—
(a)
For resale within the district; or
(b)
For manufacture within the district into other products for sale for human consumption,—
may apply to the Authority for exclusion from the delivery requirements of the district; and, if satisfied on reasonable grounds, that—
(c)
The exclusion will provide desirable competition in the supply of milk to the district’s domestic consumers; and
(d)
The exclusion is not likely to affect adversely the ability of the district’s processor to ensure that in the district milk is delivered to domestic consumers in accordance with the standards determined under section 16 of this Act for the time being applying to them,—
the Authority may exclude the consumer.
(3)
The Authority shall not exclude any person from the delivery requirements of any home delivery district without first—
(a)
Notifying the processor concerned of the proposed exclusion and of the fact that the processor has 20 working days to make a submission to the Authority on the proposed exclusion; and
(b)
Sending the person a copy of any written submission received by the Authority from the processor within 20 working days of the processor’s being notified, together with notice that the person has 20 working days to make a submission to the Authority on the processor’s submission; and
(c)
Considering—
(i)
The processor’s submission; and
(ii)
Any written submission concerning the processor’s submission received by the Authority from the person within 20 working days of the person’s receiving a copy of the processor’s submission.
14 Authority may modify home delivery district
(1)
Subject to subsections (2) and (3) of this section, the Authority may—
(a)
For the purpose of preserving or enhancing the delivery of milk to the domestic consumers of the district or districts concerned; or
(b)
Where the effect of the Authority’s action would be to reduce or abandon the delivery of milk to the domestic consumers of any area of any district concerned; but the Authority is satisfied that—
(i)
There is in the area insufficient demand for the continued delivery of milk to its domestic consumers to justify maintaining it; and
(ii)
The processor concerned agrees to the action,—
by written notice to a processor specifying the action concerned, remove, increase, reduce, or otherwise modify any of the processor’s home delivery districts, or allocate to the processor any additional home delivery district.
(2)
The Authority shall not take any action under subsection (1)(a) of this section that would have the effect that the domestic consumers of the processor’s home delivery districts after the taking of the action require less milk than the domestic consumers of the processor’s home delivery districts before the taking of the action required unless—
(a)
The Authority is satisfied that the processor is not at all times able to provide sufficient milk to satisfy the requirements for milk of the consumers of the latter districts; or
(b)
The processor has been convicted of an offence in respect of acting in contravention of, or failing to comply with, section 16 of this Act in relation to the latter districts; or
(c)
The processor consents to the action.
(3)
The Authority shall not take any action under subsection (1) of this section without—
(a)
Notifying every processor who or that, in the opinion of the Authority, may be affected by the proposed action, of the proposed action and of the fact that the processor has 20 working days to make a submission to the Authority on the proposed action; and
(b)
Sending every such processor a copy of every written submission (if any) received by the Authority from any other such processor within 20 working days of the other processor’s being notified, together with notice that the processor has 20 working days to make a submission to the Authority on the other processor’s submission; and
(c)
Considering—
(i)
Every submission a copy of which has been sent to a processor under paragraph (b) of this subsection; and
(ii)
Every written submission concerning those submissions or any of them received by the Authority from any such processor within 20 working days of the processor’s receiving a copy of the submission or submissions concerned.
15 Re-examination of decisions
(1)
Where the Authority decides to refuse an applicant under section 8 of this Act a licence to process milk, the applicant has a right of reexamination of the decision by an arbitrator.
(2)
Where the Authority decides to notify an applicant under section 8 of this Act that it intends to grant the applicant a licence to process milk in respect of districts other than those the applicant specified, the applicant has a right of reexamination of the decision by an arbitrator.
(3)
Where the Authority decides to cancel a processor’s licence to process milk, the processor has a right of reexamination of the decision by an arbitrator.
(4)
Where the Authority decides to refuse to exclude from the delivery requirements of a home delivery district an applicant under section 13(2) of this Act, the applicant has a right of re-examination of the decision by an arbitrator.
(5)
Where the Authority decides to exclude from the delivery requirements of a home delivery district an applicant under section 13(2) of this Act, the district’s processor has a right of re-examination of the decision by an arbitrator.
(6)
Where the Authority decides to remove, increase, reduce, or otherwise modify any of a processor’s home delivery districts, or allocate to the processor any additional home delivery district, the processor, and every other processor affected by the decision, has a right of re-examination of the decision by an arbitrator.
(7)
The Second Schedule to this Act applies to the right of reexamination conferred by this section.
16 Authority to determine minimum standards
(1)
Subject to subsections (2) and (3) of this section, the Authority shall from time to time, by notice in the Gazette, determine in relation to the delivery of milk by and on behalf of processors, minimum standards relating to—
(a)
The frequency of delivery of milk to domestic consumers; and
(b)
The times at which milk is to be delivered to domestic consumers; and
(c)
By reference to—
(i)
The distance of homes or milk-boxes from the road or street; and
(ii)
The nature of the access to homes or milk-boxes from the road or street,—
the extent (if any) to which processors may not be required to ensure the delivery of milk to domestic consumers;—
and different standards may be determined for consumers of different classes or descriptions.
(2)
No notice under subsection (1) of this section shall come into force before the expiration of 10 working days after the date of its publication.
(3)
The Authority shall not determine standards under subsection (1) of this section without first consulting organisations in the opinion of the Authority representing processors.
(4)
The Authority may from time to time, on application by a processor, exempt the processor from any requirement of the standards determined under subsection (1) of this section; and may at any time, by written notice to the processor, cancel or modify the exemption.
(5)
No processor shall deliver milk, or cause milk to be delivered, to consumers in its home delivery districts otherwise than in accordance with the standards for the time being determined under this section.
17 Exclusivity of home delivery districts
(1)
No person shall cause to be delivered to the home of any domestic consumer of a home delivery district any milk that was not processed or bought by the district’s processor unless the consumer bought the milk in a shop occupied by the person.
(2)
No person shall sell or deliver to any person (not being a person for the time being excluded under section 13 of this Act from the delivery requirements of the district concerned) in any home delivery district any milk that was not processed or bought by the district’s processor.
18 Authority to establish retail price differential
(1)
Subject to subsections (2) and (3) of this section, the Authority shall from time to time by notice in the Gazette establish a retail price differential for the purposes of section 19 of this Act.
(2)
No notice under subsection (1) of this section shall come into force before the expiration of 10 working days after the date of its publication.
(3)
The Authority shall not establish a price or percentage under subsection (1) of this section without first consulting organisations in the opinion of the Authority representing the various sectors of the town milk industry.
19 Effect of retail price differential
(1)
In this section,—
“Differential” means the retail price differential for the time being established under section 18(1) of this Act:
“Minimum retail price”, in relation to a processor, means the lowest price at which milk processed by the processor is for the time being sold to domestic consumers in any of the processor’s home delivery districts (being domestic consumers who customarily buy less than 30 litres of milk each week):
“Permitted resale price”, in relation to a processor, means the processor’s minimum retail price minus the differential.
(2)
Subject to subsection (3) of this section, any processor may, as a condition of the sale of any milk processed by the processor, determine the price at which it is to be resold.
(3)
Every processor shall take all reasonable steps to ensure that—
(a)
All consumers (other than domestic consumers) of the processor’s home delivery district are informed of the processor’s permitted resale price; and
(b)
No milk sold by the processor is resold at a price below the processor’s permitted resale price.
(4)
Every person who resells milk bought from a processor shall take all reasonable steps to ensure that it is not resold at a price below the processor’s permitted resale price.
(5)
No processor shall sell milk to any domestic consumer at a price below the processor’s permitted resale price.
20 Authority may demand information
A processor shall, as soon as is reasonably practicable after receiving written demand from the Authority, give the Authority such of the following information as the Authority specifies:
(a)
The prices (per litre) at which the processor sells milk to consumers in any of the processor’s home delivery districts:
(b)
Any information relating to the delivery of milk to the houses and businesses of consumers in any such district by or on behalf of the processor:
(c)
Any information relating to the quantities of milk normally sold in any such district by or on behalf of the processor, the categories of milk so sold, and the categories of person to whom or which milk is so sold.
21 Authority may impose levy
(1)
Subject to subsections (2) and (3) of this section, the Authority may from time to time by notice in the Gazette, for the purpose of providing funds to enable the Authority to perform its functions,—
(a)
Impose on processors a levy (at a rate not exceeding 1 cent per litre) on the milk they process; and
(b)
Subject to paragraph (a) of this subsection, specify the rate and method of calculation of the levy.
(2)
The Authority shall not impose a levy under subsection (1) of this section without first consulting organisations in the opinion of the Authority representing the various sectors of the town milk industry.
(3)
No notice under subsection (1) of this section shall come into force before the expiration of 10 working days after the date of its publication.
(4)
Every processor shall, within 30 days of its falling due, pay to the Authority any levy imposed under subsection (1) of this section.
(5)
The Authority may recover from any processor, as a debt due to the Authority, any amount not paid under subsection (4) of this section.
22 Offences and penalties
Every person commits an offence against this Act, and shall be liable on summary conviction to—
(a)
A fine not exceeding $50,000 in the case of a body corporate; and
(b)
A fine not exceeding $5,000 in any other case,—
who acts in contravention of or fails to comply with any of sections 16 to 20 of this Act.
Part III Transitional Provisions Relating to Milk Vendors
23 Former vendors
(1)
Any former vendor may, within 3 months of the commencement of this Act, by written notice to the Authority, apply to the Authority for compensation for the loss of the goodwill of the vendor’s former milk delivery business.
(2)
Where the Authority is satisfied that an applicant under subsection (1) of this section has executed a bond requiring the former vendor to repay to the Authority till or an appropriate part of the compensation if—
(a)
The applicant turns out to have been a party to a delivery arrangement; or
(b)
Later becomes a party to a delivery arrangement,—
it shall pay the applicant compensation for the loss of the applicant’s former milk delivery business.
(3)
The amount to be paid under subsection (2) of this section in relation to any former vendor is $1,000 more than the maximum amount that would have been payable under section 32 of the Milk Act 1967 on the 1st day of November 1987.
24 Limitations on goodwill payments
No processor shall require any former vendor to pay any sum for, or as a condition of, the processor’s entering into a delivery agreement with the vendor within 3 months of the commencement of this Act.
25 Performance bonds, etc.
(1)
Notwithstanding section 24 of this Act, a processor may, for or as a condition of the processor’s entering into a delivery agreement with any person, require the person, at the person’s option, to—
(a)
Execute one bond; or
(b)
Lodge one sum of money with any other person,—
as a security in respect of milk tokens supplied, or as a security against the person’s default under the agreement, or for both reasons.
(2)
No former vendor shall be required under subsection (1) of this section to enter into a bond for, or lodge a sum of money exceeding $5,000.
(3)
Where within 3 months of the commencement of this Act a former vendor is required under subsection (1) of this section to enter into a bond for, or lodge, a sum of money, the vendor may notify the Authority and the processor concerned that the vendor wishes to execute a bond and have it guaranteed by the Authority; and in that case—
(a)
The vendor may execute a bond for the amount concerned; and
(b)
The Authority shall guarantee it; and
(c)
The vendor shall be liable under the bond to the extent (if any) only that the maximum goodwill of the vendor’s former milk delivery business (calculated under section 32 of the Milk Act 1967) on 1 November 1987 was less than $5,000; and
(d)
The Authority shall be liable under the bond to the extent that the vendor is not liable under it; and
(e)
The Authority shall have no right to be indemnified by the vendor in respect of the Authority’s liability under the bond.
Part IV Repeals, Savings, Consequential Amendments, and Expiry
26 Repeals, and abolition of Milk Board
(1)
The enactments specified in the Third Schedule to this Act are hereby repealed.
(2)
The Orders in Council, notices, and determinations specified in the Fourth Schedule to this Act are hereby revoked.
(3)
The New Zealand Milk Board constituted under the Milk Act 1967 is hereby abolished.
(4)
The Milk Appeal Authority established by section 57a of the Milk Act 1967 is hereby abolished.
(5)
All rights, assets, liabilities, and debts that the said Board had immediately before the commencement of this Act shall, on that commencement, be deemed to have become rights, assets, liabilities, and debts of the Minister.
27 Consequential amendments
(1)
The Food Act 1981 is hereby consequentially amended by inserting, after section 11, the following section:
“11a
“(1)
Except as provided in subsection (2) of this section, no person shall sell, resell, or buy any raw milk.
“(2)
A milk producer may sell raw milk to any person if—
“(a)
It is sold—
“(i)
At the producer’s dairy premises; and
“(ii)
In a quantity not exceeding 5 litres at any one time; and
“(b)
The person intends the milk for consumption by the person or the person’s family;—
and the person may buy it accordingly.
“(3)
Subsection (2) of this section is subject to section 9 of this Act.”
(2)
The Second Schedule to the Official Information Act 1982 (as substituted by section 23(1) of the Official Information Amendment Act 1987 and from time to time thereafter amended) is hereby consequentially amended by omitting the item “New Zealand Milk Board”
, and substituting the item “New Zealand Milk Authority”
.
28 Savings
(1)
Every former processor shall be deemed to have been granted a licence under section 9 of this Act on the commencement of this Act.
(2)
As soon as is practicable after the commencement of this Act, the Authority shall, by written notice to each former processor, allocate one or more home delivery districts to the processor; and, subject to section 15 of this Act, each district so allocated shall be deemed to have been allocated under section 9 of this Act.
(3)
Until a former processor is allocated home delivery districts under subsection (2) of this section, this Act applies to every area within which, in the month before the commencement of this Act, milk vendors customarily delivered milk processed by the processor, as if the area is a home delivery district of the processor.
(4)
Until a differential is in fact established under section 18(1) of this Act, a differential of 3 cents per litre shall be deemed to have been so established.
(5)
Until a levy is in fact imposed under section 21(1) of this Act, a levy of one third of a cent per litre shall be deemed to have been so imposed.
(6)
Until 3 months after the commencement of this Act, every person who immediately before that commencement had an authority under section 54 of the Milk Act 1967 shall be deemed to be excluded under section 13 of this Act from the delivery requirements of the home delivery district concerned.
29 Expiry of Act
(1)
This Act shall expire with the close of the 31st day of March 1993.
(2)
On the expiry of this Act,—
(a)
The Authority shall be deemed to have been abolished; and
(b)
All rights, assets, liabilities, and debts that the Authority had immediately before the expiry shall be deemed to have become rights, assets, liabilities and debts of the Minister.
SCHEDULES
FIRST SCHEDULE Administrative Provisions Applying to New Zealand Milk Authority
Section 4(5)
1 President of Authority
(1)
From time to time, as the office is or becomes vacant, the Minister shall appoint one member of the Authority to be President.
(2)
No person who has a pecuniary interest (otherwise than as a consumer) in the production, treatment, distribution, or sale of milk shall be appointed President.
2 Terms of office
(1)
Every member of the Authority shall hold office for a term of 2 years but may from time to time be reappointed.
(2)
Notwithstanding subclause (1) of this clause, every member of the Authority shall continue in office until a successor is appointed or the office becomes vacant under clause 3 of this Schedule, whichever is the sooner.
3 Extraordinary vacancies
(1)
The Governor-General may dismiss any member of the Authority for disability, neglect of duty, or misconduct, proved to the satisfaction of the Governor-General.
(2)
The Governor-General may dismiss the President of the Authority if satisfied that the President has a pecuniary interest (otherwise than as a consumer) in the production, treatment, distribution, or sale of milk.
(3)
Any member of the Authority may resign by written notice to the Minister.
(4)
The office of a member of the Authority becomes vacant, and the vacancy is extraordinary, if the member dies, resigns, or is dismissed.
(5)
Notwithstanding clause 2(1) of this Schedule, every member of the Authority appointed to fill an extraordinary vacancy shall hold office for the residue of the term of the vacating member.
(6)
The powers of the Authority are not affected by any vacancy in its membership.
4 Deputies of members
(1)
If satisfied that a member of the Authority is unable by reason of illness, absence, or other sufficient reason to discharge the duties of the member’s office, the Minister may, after consulting the Authority appoint a deputy to act for the member.
(2)
At any meeting of the Authority not attended by a member, the member’s deputy may act in place of the member.
(3)
Neither the appointment of a deputy nor any act done by a deputy or the Authority shall in any proceedings be questioned on the ground that the occasion for any deputy’s appointment had not arisen or had ceased.
5 Meetings of Authority
(1)
The Authority shall meet at times and places it or its President from time to time determines.
(2)
The quorum for a meeting of the Authority is 2 members.
(3)
At meetings of the Authority—
(a)
The President shall preside if present:
(b)
If the President is absent, the President’s deputy shall preside if present:
(c)
If the President and President’s deputy are absent, a member agreed by the members present or, if they cannot agree, chosen by lot, shall preside.
(4)
Subject to subclause (6) of this clause, every question before the Authority shall be decided by a majority of the valid votes recorded on it.
(5)
The person presiding at a meeting of the Authority has a deliberative vote and, in the event of an equality of votes, a casting vote.
(6)
A written resolution signed, or assented to by letter, telegram, facsimile transmission, or telex, by all members of the Authority (not being deputies) is as valid and effectual as if duly passed at a meeting of the Authority.
(7)
Except as provided in this Act, the Authority may regulate its own procedures.
6 Remuneration and travelling allowances of Authority
The members of the Authority shall be paid fees, salary, allowances, and travelling allowances and expenses for the time being determined by the Minister.
7 Officers and employees
(1)
The Authority may employ any officers and employees it thinks necessary to perform its functions efficiently.
(2)
The Authority may pay its officers and employees any salaries, wages, and allowances it thinks fit.
8 Authority may enter into contracts
Without limiting the generality of section 6 of this Act, the Authority may agree with any department of State or other organisation for the performance of any of the Authority’s functions; and in that case the department or organisation concerned may act accordingly.
9 Contracts generally
The Authority is a public body for the purposes of the Public Bodies Contracts Act 1959.
10 Investment of funds
The Authority may invest any of its funds available for investment in any manner it wishes.
11 Bank accounts
The Authority may open and maintain bank accounts at any banks within New Zealand.
12 Authority to prepare financial statements
(1)
As soon as is practicable after the 31st day of May in each year, the Authority shall prepare the following statements:
(a)
Statements of the Authority’s financial position at the end of the year ending with that day:
(b)
Statements of all changes in the Authority’s financial position during the year:
(c)
Statements of the Authority’s revenue and expenditure during the year:
(d)
Such other statements as are necessary to show fully the Authority’s financial position during the year.
13 Audit of accounts and financial statements
(1)
The Audit Office shall audit the accounts of the Authority, and the financial statements referred to in clause 12 of this Schedule.
(2)
For the purposes of subclause (1) of this clause, the Audit Office shall have and may exercise and perform all the functions, duties, and powers that it has under the Public Finance Act 1977 in respect of the money and shares of a local authority.
14 Annual report and statements to be laid before House of Representatives
(1)
As soon as is practicable after the statements referred to in clause 12 of this Schedule have been prepared in respect of any year and audited, the Authority shall prepare and give to the Minister a report of its proceedings and operations for the year, together with a copy of the statements and the report of the Audit Office on them, and a report on the operation and state of the town milk industry during the year.
(2)
As soon as is practicable after receiving copies of any such report, statements, and report of the Audit Office, the Minister shall lay copies before the House of Representatives.
SECOND SCHEDULE Provisions Relating to Re-Examination of Decisions
Section 15(7)
1 Authority to give reasons
Subject to clause 2 of this Schedule, where the Authority makes a decision of which any person has a right of re-examination, it shall give every person who has that right—
(a)
Notice in writing of its reasons for making the decision; together with
(b)
Notice in writing that the person has 10 working days to apply for re examination of the decision.
2 Notification of processors
Clause 1 of this Schedule does not require the Authority to notify any processor of its reasons for making a decision of the kind referred to in section 15(6) of this Act unless, in the opinion of the Authority, the processor may be affected by the decision.
3 When decisions to take effect
(1)
Subject to paragraphs (m) and (0) of subclause (2) of this clause, a decision of which any person has a right of re-examination takes effect upon the expiration of 10 working days after—
(a)
The receipt of notice under clause 1 of this Schedule by the person required by that subsection to be notified, where only one person is required to be notified; and
(b)
The receipt of notice under clause 1 of this Schedule by the person required by that subsection to be notified who is the last to be notified, in every other case.
(2)
Where, before a decision would otherwise take effect under subclause (1) of this clause, any person who has a right of re-examination of the decision gives the Authority notice in writing that the person requires the decision to be re-examined, the following provisions apply:
(a)
In this subclause, “the parties”
means every person who—
(i)
Is required by clause 1 of this Schedule to be notified of the Authority’s reasons for the decision; or
(ii)
Has a right of re-examination of the decision, and has before the decision would otherwise have taken effect, given the Authority notice in writing that the person requires the decision to be re-examined:
(b)
Every arbitrator appointed under this subclause shall be the holder of a current practising certificate as a barrister and solicitor of the High Court:
(c)
Subject to paragraph (b) of this subclause, where, before the expiration of 10 working days after the decision would otherwise have taken effect, the parties and the Authority agree on an arbitrator, the agreed person shall be arbitrator in relation to the decision:
(d)
Where the parties and the Authority do not agree on an arbitrator before that expiration, the Authority shall forthwith on that expiration give the Minister written notice that an arbitrator must be appointed, together with a brief written description of the nature of the decision and a copy of the Authority’s reasons for making it:
(e)
Subject to paragraph (b) of this subclause, within 5 working days of being notified under paragraph (d) of this subclause, the Minister shall by written notice to the Authority appoint an arbitrator to re-examine the decision:
(f)
Forthwith upon knowing the identity of the arbitrator, the Authority shall give all the parties written notice that—
(i)
The decision is to be re-examined; and
(ii)
The parties have 10 working days to forward to the Authority their written submissions to the arbitrator:
(g)
Forthwith upon the expiration of 10 working days after the receipt of notice under paragraph (f) of this subclause by the party who is the last to be notified, the Authority shall send to each party and the arbitrator copies of—
(i)
Every submission received by the Authority before that expiration; and
(ii)
The Authority’s own written submission to the arbitrator,—
together with notice that the parties have 10 working days to give the Authority written responses to those submissions:
(h)
Forthwith upon the expiration of 10 working days after the receipt of notice under paragraph (g) of this subclause by the party who is the last to be notified, the Authority shall send to each party and the arbitrator copies of—
(i)
Every response received by the Authority before that expiration; and
(ii)
The Authority’s own response to the submissions:
(i)
The arbitrator may request any additional written information or submission from any party or the Authority:
(j)
Subject to paragraph (i) of this subclause, the arbitrator shall issue to the Authority, as soon as is possible after receiving the responses, a written determination relating to the decision:
(k)
Subject to paragraph (1) of this subclause, the arbitrator shall either—
(i)
Confirm the decision; or
(ii)
Substitute for it any other decision the Authority might lawfully have made:
(l)
The arbitrator shall confirm the decision unless satisfied that some other decision is more appropriate:
(m)
The confirmed or substituted decision shall take effect when it is received by the Authority or on any later date specified in the determination:
(n)
The Authority shall give the parties copies of the determination forthwith on receiving it:
(o)
Where, before a determination is issued, all the parties have notified the Authority that they have abandoned the re-examination of the decision, the decision shall take effect immediately and, subject to paragraph (p) of this subclause no determination shall proceed:
(p)
Every determination shall specify the arbitrator’s costs in undertaking the arbitration and the proportions in which the parties and the Authority should pay them, and where a reexamination is abandoned, the arbitrator shall issue a determination specifying those matters:
(q)
The Authority shall pay all the arbitrator’s costs, but may recover from each of the parties, as a debt due to the Authority, the appropriate proportion of those costs.
THIRD SCHEDULE Enactments Repealed
Section 26(1)
1953, No. 7—The Ministry of Agriculture and Fisheries Act 1953: So much of the Schedule as relates to the Milk Act 1967.
1967, No. 53—The Milk Act 1967 (R.S. Vol. 18, p. 451).
1971, No. 75—The Milk Amendment Act 1971 (R.S. Vol. 18, p. 502).
1973, No. 75—The Milk Amendment Act 1973 (R.S. Vol. 18, p. 503).
1978, No. 30—The Milk Amendment Act 1978 (R.S. Vol. 18, p. 504).
1980, No. 60—The Milk Amendment Act 1980 (R.S. Vol. 18, p. 504).
1982, No. 41—The Milk Amendment Act 1982 (R.S. Vol. 18, p. 507).
1986, No. 5—The Commerce Act 1986: So much of the Second Schedule as relates to the Milk Act 1967.
1987, No. 40—The Milk Amendment Act 1982 (R.S. Vol. 18, p. 507).
FOURTH SCHEDULE Orders in Council, Notices, and Determinations Revoked
Section 26(2)
| Tide or Description | Gazette reference or Statutory Regulations Serial Number |
|---|---|
| The Milk Board Election Regulations 1945 | S.R 1945/78 |
| The Milk Board Election Regulations 1945, Amendment No. 1 | S.R 1947/190 |
| The Milk Boards (Travelling Expenses) Regulations 1948 | S.R. 1948/90 |
| The Milk Delivery Regulations 1949 | S.R. 1949/150 |
| The Milk Authorities Appeals Regulations 1952 | S.R. 1952/35 |
| The Western Bay of Plenty Supply Association Order 1965 | S.R. 1965/85 |
| The Milk Marketing Order 1968 | S.R. 1968/147 |
| The Milk Districts Order 1968 | Gazette, 1968, Vol. II, p. 1403 |
| The Milk Treatment and Delivery Allowances Notice 1968 | Gazette, 1968, Vol. II, p. 1645 |
| The notice approving associations of producers and operators of premises and plant for the treatment of milk | Gazette, 1968, Vol. II, p. 1466 |
| Milk prices notices | Gazette, 1968, Vol. II, pp. 1467–1470 |
| The Milk Regulations 1973 | S.R 1973/150 |
| The Milk Marketing Order 1986, Amendment No. 1 | S.R. 1973/237 |
| The Milk Order 1978 | S.R. 1978/273 |
| The Milk Marketing Order 1968, Amendment No. 2 | S.R. 1979/159 |
| The Milk Treatment Regulations Revocation Order 1979 | S.R 1979/166 |
| The Milk Districts Order 1968, Amendment | Gazette, 1979, p. 299 |
| The Milk Producer Allowances Notice 1981 | Gazette, 1982, p. 179 |
| The Milk Price Notice (No. 2) 1985 | Gazette, 1985, p. 3632 |
| The Milk Producer Prices and Allowances Notice 1986 | Gazette, 1986, p. 3727 |
| The Milk Price Notice 1986 | Gazette, 1986, p. 4037 |
| The Retail Milk Margins Notice 1986 | Gazette, 1986, p. 4037 |
| The Milk Producer Prices and Allowances Notice 1986, Amendment No. 1 | Gazette, 1987, p. 1794 |
| The Milk Delivery (Margins and Allowances) Order 1987 | Gazette, 1987, p. 4725 |
This Act is administered in the Department of Trade and Industry.
"Related Legislation
"Related Legislation
"Related Legislation
Versions
Milk Act 1988
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