§157-35  Compensatory payment.  Wheneverany distributor or producer-distributor sells recombined or reconstituted milkfor fluid human consumption in a milk shed, the distributor orproducer-distributor shall pay the board a compensatory payment to be distributedto all producers who supply milk to the distributor or producer-distributor.

In determining the compensatory payment, theboard shall hold a public hearing whenever it deems it necessary to establishthe loss of quota suffered by the producers from the sale of recombined orreconstituted milk, the reasonable rate of return the producers would havereceived if recombined or reconstituted milk were not sold to the public, andthe pro rata share each producer should receive from the compensatory fund. The board may, at the request of a distributor or producer-distributor or onits own motion, suspend the operation of this section during periods when theproduction of milk by producers is inadequate to meet consumer requirements. [L1967, c 260, §24; HRS §157-35; ree and am L 1972, c 40, pt of §2]