CHAPTER 12:78:01
LIVESTOCK PACKER TRANSACTIONS
Section
12:78:01:01 Definitions.
12:78:01:02 Daily reports.
12:78:01:03 Packer records to be maintained.
12:78:01:04 Order buyer and packer buyer reports.
12:78:01:01. Definitions. Words defined in SDCL 40-15B-1 have the same meaning when used in this article. Other terms used in this article mean:
(1) "Base price," the price paid for livestock, delivered at the packing plant, before application of any premiums or discounts, expressed in dollars per hundred pounds of carcass weight;
(2) "Carcass merit premium or discount," any adjustment in the base price, calculated on carcass characteristics, as determined by a packer's specific carcass evaluation system, if the packer's system of premiums or discounts is known before sale and delivery, but the actual amount of any applicable premium or discount is not known until after slaughter. The premiums and discounts may be based on backfat thickness, fat marbling, calculated percentage of lean meat, dressing percentage, percentage of designated primal cuts yielded by a given animal or group of animals, or similar considerations;
(3) "Cold storage plant," any warehouse, as defined in SDCL 57A-7-102(1)(h), that is engaged in the business of storing meat food products or cold carcasses, or parts or products of carcasses of any livestock;
(4) "Contract," any verbal or written agreement between mutually consenting parties who are lawfully capable of contracting for agreed upon consideration;
(5) "Department," the South Dakota Department of Agriculture and Natural Resources;
(6) "Direct purchase," any purchase of livestock for slaughter and delivered within 20 days of purchase, regardless of whether the purchase is made by means of a written or verbal agreement;
(7) "Frozen food locker plant," any warehouse, as defined in SDCL 57A-7-102(1)(h), that is engaged in the business of storing frozen meat food products or frozen carcasses, or frozen parts or products of carcasses of any livestock;
(8) "Non-carcass merit premium or discount," any adjustment in the base price of livestock offered by an individual packer, based on any factor other than carcass characteristics, if the actual amount of any applicable premium or discount is known before the sale and delivery of livestock. The premiums and discounts may be based on the timing of delivery, the number of animals included in a delivery, the particular production method or genetics of the livestock, or similar considerations;
(9) "Order buyer," any person representing packers or acting as their agent for the purpose of receiving, purchasing or soliciting slaughter livestock for customers at public markets or elsewhere;
(10) "Packer," any packer as defined in SDCL 40-15B-1, including:
(a) Livestock buying stations as defined in SDCL 40-15-1.1, except for buying stations engaged solely in purchasing livestock other than livestock for slaughter;
(b) Livestock dealers as defined in SDCL 40-15A-1(5), except for dealers engaged solely in the business of buying, selling, and dealing in livestock other than livestock for slaughter;
(c) Meat processing establishments as defined in SDCL 39-5-6(17) that purchase any livestock for resale or public consumption;
(d) Slaughtering establishments as defined in SDCL 39-5-6(26) that purchase any livestock for resale or public consumption;
(e) Retail store meat processors as defined in SDCL 39-5-6(24) that purchase any livestock for resale or public consumption.
The term packer does not include:
(a) Entities operating solely as custom exempt plants as defined in SDCL 39-5-6(4) and whodo not purchase any livestock for resale or public consumption;
(b) Entities operating solely as cold storage plants;
(c) Entities operating solely as frozen food locker plants;
(d) Meat brokers and retail dealers as defined in SDCL 39-5-6(14) and 39-5-6(23) who are engaged solely in the business of dealing in carcasses, parts thereof, or meat products and do not purchase livestock;
(11) "Packer buyer," any person engaged in the business of buying livestock as an employee or agent of a packer;
(12) "Person," any natural person, firm, copartnership, joint venture, association, limited liability company, corporation, estate, trust, business trust, or receiver;
(13) "Public consumption," the consumption of meat food products, except for products resulting from custom slaughter undertaken for the owners of livestock and used by such owners in their own households or by members of their households and nonpaying guests.
Source: 26 SDR 61, effective November 4, 1999; SL 2021, ch 1, §§ 8, 19, effective April 19, 2021.
General Authority: SDCL 40-15B-7.
Law Implemented: SDCL 40-15B-4, 40-15B-7.
12:78:01:02. Daily reports. Each packer subject to SDCL chapter 40-15B shall submit daily reports to the department listing the following information for each transaction made during the 24-hour period previous to reporting:
(1) Type of transaction, such as direct purchase, contract for delivery in twenty days or more, system involving a base price, or description of any combination thereof;
(2) Base price, if purchased according to a system involving the application of cash market prices and premiums and discounts;
(3) Kill or slaughter date;
(4) Purchase date or contracting date;
(5) Number of head of livestock purchased;
(6) Class;
(7) Premium and discount adjustments.
The packer or the packer's designee shall certify that the information required by this section has been provided to the United State's Department of Agriculture, Agricultural Marketing Service, Livestock Market News Branch.
The reporting requirements of this chapter do not apply to purchases or solicitations (bids) at a public auction market.
The reports may not disclose the identity of the seller. The reports may be submitted by Internet, electronic mail, or facsimile transmission. Before using Internet, electronic mail, or facsimile transmission, the packer must notify the department by first class mail that it has elected this method and must obtain approval therefor. Thereafter, the packer must immediately notify the department prior to any changes in the method of transmitting daily reports to the department. The packer is responsible for maintaining records for a period of two years, demonstrating that the reports were delivered by Internet, electronic mail, or facsimile transmission.
Source: 26 SDR 61, effective November 4, 1999.
General Authority:SDCL 40-15B-7.
12:78:01:03. Packer records to be maintained. Any packer subject to SDCL chapter 40-15B who purchases slaughter livestock shall maintain the following information:
(1) A copy of each daily report submitted to the department pursuant to § 12:78:01:02.
(2) A dated copy of all documents used for purposes of calculating prices paid for livestock, including the calculation of premiums or discounts, and including formulas used for pricing livestock.
The records must contain current information and must be maintained for a period of two years. The records must be available for inspection during normal business hours by the department or its authorized agents, and the South Dakota Office of Attorney General or its authorized agents. Inspections of records are subject to the confidentiality requirements of SDCL 1-27-29 to 1-27-31, inclusive.
Source: 26 SDR 61, effective November 4, 1999.
General Authority:SDCL 40-15B-7.
12:78:01:04. Order buyer and packer buyer reports. If a packer files timely daily reports pursuant to § 12:78:01:02 and the reports identify an order buyer, packer buyer, or other agent of the packer for a specific agreement, then the agent listed need not also report the same agreement on the agent's daily report.
If all agreements in which an order buyer, packer buyer, or other agent are involved are timely reported and identified by the packer or packers for whom the person acts as an agent, then the agent need not file reports.
Source: 26 SDR 61, effective November 4, 1999.
General Authority:SDCL 40-15B-7.
