To amend the Dairy Production Stabilization Act of 1983 to ensure that all persons who benefit from the dairy promotion and research program contribute to the cost of the program, and for other purposes.

To amend the Dairy Production Stabilization Act of 1983 to ensure that all persons who benefit from the dairy promotion and research program contribute to the cost of the program, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the `Dairy Promotion Fairness Act'.

SEC. 2. FUNDING OF DAIRY PROMOTION AND RESEARCH PROGRAM.

(a) DECLARATION OF POLICY- Section 110(b) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4501(b)) is amended--

(1) in the first sentence--

(A) by inserting after `commercial use' the following: `and on imported dairy products'; and

(B) by striking `products produced in the United States.' and inserting `products.'; and

(2) in the second sentence, by inserting after `produce milk' the following: `or the right of any person to import dairy products'.

(b) DEFINITIONS- Section 111 of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4502) is amended--

(1) in subsection (k), by striking `and' at the end;

(2) in subsection (l), by striking the period at the end and inserting a semicolon; and

(3) by adding at the end the following:

`(m) the term `imported dairy product' means any dairy product that is imported into the United States, including dairy products imported into the United States in the form of--

`(1) milk, cream, and fresh and dried dairy products;

`(2) butter and butterfat mixtures;

`(3) cheese; and

`(4) casein and mixtures;

`(n) the term `importer' means any person that imports an imported dairy product from outside the United States for sale in the United States as a principal or as an agent, broker, or consignee of any person; and

`(o) the term `Customs' means the United States Customs Service.'.

(c) REPRESENTATION OF IMPORTERS ON BOARD- Section 113(b) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504(b)) is amended--

(1) by inserting `NATIONAL DAIRY PROMOTION AND RESEARCH BOARD- ' after `(b)';

(2) by designating the first through ninth sentences as paragraphs (1) through (5) and paragraphs (7) through (10), respectively, and indenting appropriately;

(3) in paragraph (2) (as so designated), by striking `Members' and inserting `Except as provided in paragraph (6), the members'; and

(4) by inserting after paragraph (5) (as so designated) the following:

`(6) IMPORTERS-

`(A) IN GENERAL- The Secretary shall appoint not more than 2 members who are--

`(i) representatives of importers of dairy products; and

`(ii) subject to an assessment under the order.

`(B) REPRESENTATION- The number of members appointed under subparagraph (A) shall reflect the proportion of domestic production and imports supplying the United States market, as determined by the Secretary on the basis of--

`(i) the average quantity of dairy products produced in the United States during the 3 preceding fiscal years; to

`(ii) the average volume of imports of dairy products imported into the United States during the 3 preceding fiscal years.

`(C) ADDITIONAL MEMBERS; NOMINATION- The members appointed under this paragraph--

`(i) shall be in addition to the total number of members appointed under paragraph (2); and

`(ii) shall be appointed from nominations submitted by importers under such procedures as the Secretary determines to be appropriate.'.

(d) IMPORTER ASSESSMENT- Section 113(g) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504(g)) is amended--

(1) by inserting `ASSESSMENTS- ' after `(g)';

(2) by designating the first through fifth sentences as paragraphs (1) through (5), respectively, and indenting appropriately; and

(3) by adding at the end the following:

`(6) IMPORTERS-

`(A) IN GENERAL- The order shall provide that each importer of imported dairy products shall pay an assessment to the Board in the manner prescribed by the order.

`(B) TIMING-

`(i) IN GENERAL- An assessment on imported dairy products shall be paid by the importer to Customs at the time of entry of the products into the United States and shall be remitted to the Board.

`(ii) ENTRY INTO THE UNITED STATES- For purposes of this paragraph, entry of the products into the United States shall be considered to have occurred when the products are released from the custody of Customs and introduced into the stream of commerce in the United States.

`(C) RATE- The rate of assessment on imported dairy products shall be determined in the same manner as the rate of assessment per hundredweight or the equivalent of milk.

`(D) VALUE OF PRODUCTS- For the purpose of determining the assessment on imported dairy products under subparagraph (C), the value to be placed on imported dairy products shall be established by the Secretary in a fair and equitable manner.

`(E) RESTRICTION ON USE- An assessment collected on imported dairy products shall not be used for foreign market promotion.'.

(e) RECORDS- Section 113(k) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504(k)) is amended in the first sentence by striking `person receiving' and inserting `importer of imported dairy products, each person receiving'.

(f) IMPORTER ELIGIBILITY TO VOTE IN REFERENDUM- Section 116(b) of the Dairy Promotion Stabilization Act of 1983 (7 U.S.C. 4507(b)) is amended--

(1) in the first sentence--

(A) by inserting after `of producers' the following: `and importers'; and

(B) by inserting after `the producers' the following: `and importers'; and

(2) in the second sentence, by inserting after `of the producers' the following: `and importers'.