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Privacy Policy
Home Delivery to Commercial Establishments
Recently, we have had some inquiries regarding businesses involved in the delivery of dairy products from businesses to commercial establishments.
The review by the Milk Board has provided the following guidance:
The Colorado Milk Order, promulgated under the Marketing Act of 1939 (35-28-101 through 123, C.R.S.), defines “Distributor” as any person, other than a handler, producer-handler, or handler-distributor, engaged in the operation of selling, marketing, or distributing milk or milk products other than at retail in the State of Colorado which he or she has purchased or acquired from a handler, producer-handler, or a handler-distributor, whether as owner, agent, broker, or otherwise, and shall include a person who has milk processed for him by a handler.
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Board Meeting Agenda – August 6, 2019
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Board Meeting Agenda – May 14, 2019
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Board Meeting Agenda – February 12, 2019
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Sales to Schools and Government Agencies
The Colorado Milk Marketing Order, Section III-14 provides that:
The sale of milk and milk products to the following institutions and agencies shall be exempt from the requirement for uniform sales at filed prices, discounts, and rebates:
A. Elementary schools, limited to all grade schools through high school grades, public, private, parochial or otherwise that are operated for the same basic educational purpose as public schools and which provide similar non-profit lunchroom facilities for the benefit of students.
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Regarding Milk Based Supplement Shakes, Milk Based Protein Drinks, and Other Products
Recently, we have had some inquiries about whether wholesale prices for these types of drinks should be posted with this office.
Based on our review of some of these products, if the main or leading ingredient on the label is “milk, skim milk”, or other products currently regulated by the Colorado Milk Marketing Order the wholesale prices of these products should be posted with this office, and they are subject to the assessment. The general guidance is if these products contain 50% or more of milk products currently regulated by The Colorado Milk Order the prices must be posted with this office. Read more
Leasing of Refrigerated/Freezer Equipment to Retail Customers
The Colorado Milk Marketing order is enforced by the Colorado Milk Marketing Board.
The Colorado Milk Marketing Order, Section lll, Paragraph 19, titled “LEASING”, states
a handler, handler-distributor, or distributor may lease portable refrigerated units to a purchaser or prospective purchaser of milk and milk products provided the following conditions are met:
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Filing of Prices
Each handler, handler-distributor or distributor shall file with the Commissioner a complete schedule of wholesale prices for the sale of milk or milk products in the marketing area in which such sales are being made.
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Full Service and Limited Service Delivery
It has come to the attention of this office that some handlers, handler-distributors and distributors are crediting limited service delivery customers for the return of out-of-date milk or milk products and rotation of products n freezers/coolers. This practice has, at times, been referred to as “guaranteed sales.” The Milk Order clearly states that limited service delivery shall not include price marking, case stocking, or credit for returned products.
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Illegal Combination Sales and Sales of Other Products
It has come to the attention of this office that some Restaurants, Hotels and Institutional Businesses have been receiving a discount on milk products when combined with all other purchases including food, paper supplies etc. The additional purchase of milk products allows the customer an enhanced discount on all or some of the products purchased from the Distributor. This is prohibited by the Colorado Milk Marketing Order (CMMO).
The purpose of this bulletin is to remind you of Section IV titled “Indirect Discounting and Rebates”, Paragraph 5, titled “Combination Sales and Sales of Other Products” (page 22) of the CMMO:
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