in whole percents. Less than 1.0 percent actual dockage and fractional percentages shall be disregarded. Foreign material percentages shall be stated in tenths.

$257.75 Method of receiving soybeans. (a) Country warehousemen may receive soybeans for immediate shipment to processors, terminal warehousemen having contracts with Commodity, or for storage in the elevator or Commodity bins. In order to receive soybeans for Commodity, a country warehousema must have executed Uniform Grain Storage Agreement (C. C. C. Form H) and supplements thereto. Approval by the county committee must be obtained before any soybeans are placed in Commodity bins.

(b) County agricultural conservation committees may receive soybeans for storage in bins owned by Commodity, storage in other facilities, or for shipment. No car shall be loaded without prior approval from the regional director.

§ 257.76 Soybeans received by country warehouses approved under the Uniform Grain Storage Agreement. The country warehouseman shall receive soybeans delivered by wagon or truck from the producer, grade the soybeans and store them in his warehouse, or in Commodity bins, upon prior approval of, and under supervision of, the county committee; or shall receive and grade the soybeans for sale to processors or to terminal warehousemen who have contracts with Commodity. Producers shall file an Offer of Sale memorandum (C. C. C. Purchase Form B) with the county committee listing all lienholders and containing lien waivers, and shall designate to whom the proceeds of the soybeans sold shall be paid in the case of soybeans sold to Commodity.

(a) Storage in warehouse for Commodity. The warehouseman shall issue separate warehouse receipts for each lot of soybeans stored for Commodity showing the weight, moisture, class and grade, and all other information necessary to determine the premiums and discounts specified in §§ 257.70, 257.71, and 257.74. The warehouseman shall deliver to the producer said warehouse receipt and inspection certificates or, upon request of the producer, the warehouseman shall deliver such warehouse receipt and inspection certificates to the county office of the Agricultural Adjustment Agency.

The county committee of the Agricultural Adjustment Agency shall issue the producer a non-interest-bearing sight draft for each purchase. The information on the warehouse receipt or inspection certificate shall be transferred to the sight draft. The sight draft shall be prepared in triplicate, the original given to the producer, one copy retained by the county committee of the Agricultural Adjustment Agency, and one copy mailed, on the date of issuance, to the regional office of Commodity. The sight draft and attachments may be presented to a local bank or direct to Commodity for payment. Charges shall against the warehouse receipts in accordance with the Uniform Grain Storage Agreement, except that the charge for handling the soybeans in and out of the warehouse shall be 5 cents per bushel. The warehouseman shall be responsible for weights and grades to Commodity.

accrue

(b) Storage in bins owned by Commodity. Eligible soybeans containing not more than 14 percent moisture, and eligible soybeans grading sample (due to green damage only) and containing not more than 14 percent moisture and reasonably free from dockage and foreign material, may be stored in bins owned by Commodity upon prior approval by the county committee. All soybeans stored in Commodity bins must be placed in the bins under the direct supervision of the committee. Soybeans to be stored in steel or wooden bins for Commodity should be segregated according to color, except that soybeans of Classes I and II which contain a total of less than 5 percent of Classes III and IV may be considered as the same color. If necessary, soybeans of the same color but different grades may be mixed. The warehouseman shall issue scale tickets and inspection certificates showing moisture, class, and grade for soybeans grading other than sample (due to green damage only). For eligible soybeans grading sample, the warehouseman shall issue scale tickets or inspection certificates showing moisture, class, grade, and percent of damage, and deliver such tickets and inspection certificates to the producer or, upon request from the producer deliver such scale tickets and inspection certificates to the county office of the Agricultural Adjustment Agency. The county committee shall issue the producer a noninterest-bearing sight draft for each purchase in an amount due the producer

for the quantity, quality, class, and grade of soybeans delivered. The information on the scale tickets or inspection certificates shall be transferred to the sight draft.

$257.77 Soybeans received by county committees. In areas where there are no approved warehousemen, country warehousemen, or warehousemen's agents available at usual shipping points, or, where warehousemen do not cooperate in the purchase program, the county committee, or an agent designated by the county committee, will receive soybeans and make immediate shipment or store in Commodity bins.

Soybeans containing in excess of 14 percent moisture shall not be stored in bins owned by Commodity. However, producers may, by filing C. C. C. Purchase Form B with the county committee, deliver their soybeans for purchase to a point designated by the county committee, without first obtaining a grade determination, provided the soybeans do not have a moisture content in excess of 14 percent in the opinion of the producer and the county committee.

In the event the producer is requested by the county committee to deliver his soybeans to a point more distant than his usual delivery point for the purpose of assembling in carload lots, Commodity will allow not more than 5 cents per ton per mile haul for the additional distance necessary to make such delivery. In no event shall the county committee approve payments for an additional haul in excess of 4 cents per bushel without prior approval of the regional director of Commodity. The approval of payment for additional mileage shall be submitted on C. C. C. Grain Form J (Revised) by the county committee, which shall be mailed to the Chicago office of Commodity for payment. The amount claimed for additional mileage shall not be included in the amount of the sight draft.

County committees will weigh and load soybeans into bins owned by Commodity and will obtain a representative sample which shall be forwarded to the State

office of the Agricultural Adjustment Agency or to an inspector licensed to grade soybeans. Upon receipt of the grade analysis, which shall include an entry for all grade factors needed to determine purchase price, the county committee shall draw a non-interest-bearing sight draft on Commodity in favor of the producer, for the total purchase price of the beans delivered in the same manner, and follow the same instructions as when the soybeans are placed in bins by the warehouseman.

§ 257.78 Grade analysis. Where requested by the producer, the warehouseman shall furnish the producer a complete grade analysis which shall include class, grade, test weight, moisture, percentage of splits, percentage of total damage, percentage of green damage, percentage of foreign material other than dockage, percentage of brown and/or black soybeans in case green or yellow soybeans are being offered for sale, and percent of dockage.

If the warehouse is not equipped to furnish all grade factors, a representative sample of the soybeans delivered shall be taken by the warehouseman and producer and sent to the State Agricultural Conservation Office Laboratory, or to an inspector licensed to grade soybeans, for grade determination before any payment is made to the producer.

All settlements with the producer by the county committee of the Agricultural Adjustment Agency shall be based upon an agreement between the warehouseman and producer of grade factors determined.

The producer may call for another grade if, in his opinion, any grade factors furnished by the warehouseman are incorrect. In such cases, a representative sample taken by the warehouseman and producer shall be forwarded to a qualified licensed inspector for analysis, and settlement shall then be made on the basis of such analysis. The individual requesting the second grade shall pay the cost of obtaining grade determination.

SCHEDULE OF DISCOUNTS FROM BASIC LOAN AND PURCHASE PRICE FOR 1945 CROP SOYBEANS

53.0.

52.0..

49.0.

48.0.

47.0..

46.0.

45.0.

44.0..

43.0..

42.0..

41.0..

40.0..

Continue

1 Round down to nearest pound. (Drop fractions.)

Round to nearest %.

Round to nearest 1%. (Drop fraction of 0.5.)

258.14 Members of Congress not eligible to share offer.

258.15 Records and reports.

AUTHORITY: §§ 258.1 to 258.15, inclusive, issued under 49 Stat. 4, as amended; 15 U.S.C. and Sup., 713.

SOURCE: §§ 258.1 to 258.15, inclusive, with exceptions noted in text, contained in Regulations, Vice President, Commodity Credit Corporation, Jan. 27, 1945, 10 F.R. 1313.

NOTE: The regulations in this part were made applicable to cheese produced during the months of April and May 1945, by Regulation, Vice President, Commodity Credit Corporation, Mar. 16, 1945, 10 F.R. 2953, and were made applicable to Cheddar cheese produced during the period June-December 1945, both months inclusive, by Regulation, Vice President, Commodity Credit Corporation, Apr. 26, 1945, 10 F.R. 4696.

CROSS REFERENCE: For tabulation of War Food Order 15, see Chapter XI of Title 7.

§ 258.1 Introduction. The Commodity Credit Corporation (hereinafter called "Commodity"), a corporate agency of the United States, hereby offers, subject to the terms and conditions hereinafter specified, to purchase American Cheddar cheese from any manufacturer thereof (hereinafter called the "manufacturer") in the continental area of the United States, and to sell such cheese to such manufacturer.

§ 258.2 Agreement to purchase. Commodity will purchase from any manufacturer all American Cheddar cheese produced by such manufacturer during the months of January, February, and March 1945, and during each subsequent month of 1945 as Commodity shall designate. The price to be paid for such cheese shall be 27 cents per pound in the case of cheese with a moisture content of more than 37.75 percent, and 27.25 cents per pound in the case of cheese with a moisture content of 37.75 percent or less. Such purchase prices will be paid in the manner prescribed in 258.5. The weight and moisture content of cheese purchased by Commodity hereunder

shall be determined by the weight and moisture content of the cheese at the time it is received from the manufacturer by a receiver or at the time the manufacturer becomes the receiver.

[Preceding section, in small type, superseded by following section during period covered by this Supplement]

§ 258.2 Agreement to purchase. Commodity will purchase from any manufacturer all American Cheddar cheese produced by him during January 1946 which has been sold by him before the close of business on January 31, 1946, or with respect to which he has become the receiver before the close of business on January 31, 1946. The price to be paid for such cheese shall be 27 cents per pound in the case of cheese with a moisture content of more than 37.75 percent, and 27.25 cents per pound in the case of cheese with a moisture content of 37.75 percent or less. Such purchase prices will be paid in the manner prescribed in § 258.5. The weight and moisture content of cheese purchased by Commodity hereunder shall be determined by the weight and moisture content of the cheese at the time it is received from the manufacturer by a receiver or at the time the manufacturer becomes the receiver. [Reg., Dec. 28, 1945, effective Jan. 1, 1946, 11 F.R. 31]

§ 258.3 Agreement to sell. Commodity will sell to each manufacturer all such cheese purchased from him pursuant to § 258.2 at 23.25 cents per pound. Such sale price shall be paid in the manner prescribed in § 258.5.

§ 258.4 Time of purchase and sale. Purchases by Commodity hereunder shall be deemed to be made at the time the American Cheddar cheese is produced by the manufacturer, and sales by Commodity hereunder shall be deemed to be made immediately thereafter.

§ 258.5 Settlement. Settlement hereunder for American Cheddar cheese purchased from, and sold by Commodity to, the manufacturer shall be made on a monthly basis. Claims against Commodity for payment of the difference between the purchase price payable by Commodity under § 258.2, and the sale price payable to Commodity under § 258.3 on the quantity of cheese purchased from and sold to the manufacturer during the month covered by such claims shall be presented by the manufacturer to Dairy Products Marketing Association, Inc.,

which has been designated to receive such claims for and on behalf of Commodity. Such claims shall be submitted on or before the last day of the month following the month covered by such claims. Claims shall be supported by:

(a) Dairy Products Report No. 1 (U.S.D.A. Form No. C. E. 9-119 Rev.) and Dairy Products Report No. 3 (U.S.D.A. Form No. C. E. 9-121) applicable to the month for which the claim is submitted. These forms are currently required to be submitted to the United States Department of Agriculture, P. O. Box 6910-A, Chicago, Illinois, pursuant to War Food Order 15 as amended (formerly FDO 15), and such submission shall also satisfy the requirements of this paragraph.

(b) When required, a certified statement by each receiver of American Cheddar cheese showing the quantities, weight, and moisture content of cheese received from the manufacturer during such month.

The documents (including statement of claim) presented pursuant to this offer shall be in such form and contain such certifications as Commodity may prescribe. The manufacturer shall keep books and records sufficient to show the information set forth above and all additional information which may be required by Commodity, and shall permit inspection of his books, records, and accounts and of his stocks of American Cheddar cheese by Commodity.

§ 258.6 Payments to milk producers. The manufacturer shall distribute to milk producers who supplied whole milk to a plant during any month with respect to which claim is submitted hereunder an amount equal to the difference between the purchase price payable by Commodity under § 258.2, and the sale price payable to Commodity under § 258.3 for cheese purchased and sold during such month. Except as Commodity may otherwise direct, such payments shall be distributed pro rata among the milk producers on the basis of the amount otherwise paid to the producers for whole milk delivered to such plant during such month. All such payments shall be in addition to the payments producers would otherwise receive for whole milk. The manufacturer shall give to each producer a written statement of the amount of the payment being made to him in consequence of this offer. If the manufacturer received whole milk at his cheese plant from another plant or milk receiver, the

manufacturer shall arrange for similar payment to the producers supplying whole milk to such other plant or milk receiver. The manufacturer shall furnish proof of such payments to producers in such form and at such time as Commodity or its duly authorized agent may prescribe. Notwithstanding the foregoing provisions of this section, if the manufacturer is a handler under any order issued pursuant to the Agricultural Marketing Agreement Act of 1937, as amended, regulating the handling of milk in any marketing area, he shall not be required to distribute payments received from Commodity on cheese manufactured from milk received from producers whose milk is covered by such order (payments to producers of other milk to be made as otherwise provided in this section.)

§ 258.7 Trust fund. An amount equal to the total amount payable to the manufacturer by Commodity under the foregoing sections of this offer shall be set aside by the manufacturer as a trust fund for the benefit of the milk producers described in § 258.6. Any portion of such amount which the manufacturer has not distributed to the milk producers entitled thereto within sixty days after the receipt of payment hereunder shall, at such time as may be directed by Commodity or its duly authorized agent, be paid to Commodity.

§ 258.8 Sales to government agencies. The manufacturer shall pay to Commodity 3.8 cents per pound of Cheddar cheese and process Cheddar cheese, as defined in War Food Order 15, as amended, sold by him to any of the following government agencies during the effective period of any regulation of the Office of Price Administration establishing maximum prices for sales of such cheese to such agencies equal to the maximum prices on other sales of such cheese plus 3.8 cents per pound:

(a) War Food Administration and any agency thereof (including Dairy Products Marketing Association, Inc., acting for the War Food Administration).

(b) U. S. Army Quartermaster Market Centers (including Field Headquarters) and U. S. Army Quartermaster Depots.

(c) U. S. Navy Market Offices.

The acceptance of this offer by any manufacturer shall constitute his authorization to any such Government agency to deduct 3.8 cents per pound