KRS 260.821: Inspection fee -- Statements and records -- Penalties for late fees.

(1) For the financing of the producers' share of this program, all handlers who issue

payments to Kentucky permitted producers shall deduct an inspection fee at the rate

of one-half cent ($0.005) per hundredweight from the producer's payment and shall

transfer these funds to the director.

(a) The deduction shall be identified as "Inspection Fee."

(b) Each handler shall file on forms approved by the director, not later than the

last day of January, April, July, and October of each year, a quarterly

statement, setting forth the pounds of milk on which payment was issued to

permitted producers during the preceding calendar quarter, and upon filing the

statement shall transfer the inspection fee payment.

(c) Each handler shall keep the records required by the direct or to accurately

indicate the amount of milk for which payments were issued to permitted

producers.

(2) For the financing of the processors' share of this program, handlers shall pay to the

director an inspection fee at the rate of one-half cent ($0.005) per hundredweight on

all milk received by processor locations in Kentucky.

(a) Each handler shall file on forms approved by the director, not later than the

last day of January, April, July, and October of each year, a quarterly

statement, setting forth the pounds of all milk received by processor locations

in Kentucky during the preceding calendar quarter, and upon filing the

statement shall make the inspection fee payment.

(b) Each handler shall keep the records required by the director to accurately

indicate the amount of milk delivered to or received by processor locations in

Kentucky.

(c) This fee shall not in any way be passed back to producers. If the fee is found

to have been passed back to producers, violators may be penalized as set forth

in KRS 260 .992, along with other actions that may be taken by the director

under KRS 260.775 to 260.845.

(3) Inspection fees that are due and have not been remitted to the director within fifteen

(15) days following the due date shall be assessed a penalty fee as se t forth in KRS

260.992. Assessment of this penalty fee shall not prevent the director from taking

other actions under KRS 260.775 to 260.845.

(4) Fees collected shall be used to help pay for a portion of the costs of inspection,

analysis, and other expense s necessary for the administration of KRS 260.775 to

260.845.