2010 Tennessee Code
Title 53 - Food, Drugs And Cosmetics
Chapter 3 - Dairy Law of the State of Tennessee
Part 1 - General Provisions
53-3-106 - Manufacturer, plant and distributor licenses.

53-3-106. Manufacturer, plant and distributor licenses.

(a)  (1)  Frozen Dessert Manufacturer's License.  For purposes of licensing under this chapter, a dairy products plant manufacturing or packaging frozen desserts, such as ice cream, ice cream mix, ice milk, ice milk mix, ice or ice sherbets or any trade product made in semblance of these products or that may be used as a substitute for these products, shall be licensed as a frozen dessert manufacturer. Any person making frozen dessert for sale shall be required to procure from the commissioner an annual frozen dessert manufacturers license for each location or plant where frozen dessert is manufactured. The method for determining the license fee for a frozen dessert manufacturers license shall be based on the gallons of mix used the previous calendar year. In the event a frozen dessert manufacturer does not have a year's history, the license fee shall be based on an estimate determined by the commissioner.

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          (2)  Dairy Plant or Trade Products Plant License, or Both.   A dairy products plant or trade products plant manufacturing, processing or packaging any dairy products or trade products other than those listed in subdivision (a)(1) as frozen desserts shall be required to have a dairy plant license. Every person buying or receiving from another milk, cream or dairy products for manufacturing, processing or packaging shall be required to procure from the commissioner an annual dairy plant or trade products plant license for each location where milk, cream, dairy products or trade products are received for the purpose of manufacturing, processing or packaging. Methods for determining license fees for a plant license shall be as follows:

                (A)  For a plant purchasing fluid milk, the fee shall be based on pounds of fluid milk received the previous calendar year. In the event the plant does not have a year's history, the license fee shall be based on an estimate determined by the commissioner.

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          (B)  For a plant receiving cream, the fee shall be based on pounds of butterfat (BF) received the previous calendar year. In the event the plant does not have a year's history, the license fee shall be based on an estimate by the commissioner.

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          (C)  If a dairy products or trade products plant receives both fluid milk and cream, the license fee shall be determined by combining the fees due under subdivisions (a)(2)(A) and (B).

          (D)  In the event any dairy products or trade products plant as defined in this chapter does not use fluid milk or cream as a principal ingredient of the product it manufactures, then the plant license shall be based on pounds of finished product sold and fees determined by schedule under subdivision (a)(2)(A).

     (3)  Receiving Plant License.  Any plant where fluid milk or cream not in consumer packages is received on consignment or otherwise, stored, or transported, but where packaging, processing or manufacturing does not occur, shall be required to have an annual receiving plant license for each location or plant where milk or cream is received. Methods for determining the license fee for a receiving plant license shall be as follows:

          (A)  The license fee for a receiving plant receiving fluid milk shall be one half (½) the fee based on the schedule under subdivision (a)(2)(A);

          (B)  The license fee for a receiving plant receiving cream shall be one half (½) the fee based on the schedule under subdivision (a)(2)(B); and

          (C)  If a receiving plant receives both fluid milk and cream, the license fee shall be one half (½) the fee based on the combination of schedules under subdivisions (a)(2)(A) and (B).

     (4)  Distributor's License.  Every person buying or receiving from another person dairy products or frozen desserts or trade products, as defined in this chapter for the purpose of resale, shall be required to purchase from the commissioner an annual distributor's license; provided, that no distributor's license shall be required of the holder of a frozen dessert manufacturer's license or dairy plant or trade products plant license delivering or distributing their own products, or persons selling dairy products or trade products in hotels, restaurants, retail stores or supermarkets if the dairy products or trade products have been delivered to the location of the hotel, restaurant, retail store, or supermarket by a licensed frozen dessert manufacturer, licensed dairy plant or trade product plant operator, or a licensed distributor. No distributor's license shall be required of a receiving plant. The license fee for a distributor's license shall be forty dollars ($40.00) per truck up to a maximum fee of four hundred dollars ($400).

(b)  (1)  (A)  Application for the license provided for in this section shall be made on forms prescribed by the commissioner and shall be accompanied by the required fee.

          (B)  The license is to be issued by the commissioner after inspection and approval by the commissioner of the sanitary conditions of the place of business of the applicant.

          (C)  Persons buying or receiving milk or cream from another, for sale or manufacture on the basis of the chemical or physical constituents in the milk or cream, or manufacturing or offering for sale dairy products or trade products as defined in this chapter, shall comply with and be governed by this chapter and all rules and regulations issued by the commissioner under authority of this chapter.

          (D)  All licenses provided for in this section shall become due on July 1 of each year, and shall not be transferable.

     (2)  The commissioner, in issuing or renewing a license, shall give equal consideration to the location and person requesting the license, and the commissioner shall refuse to issue a license if, for any reason, in the commissioner's opinion, the location is unsatisfactory or the person is unqualified.

[Acts 1970, ch. 577, § 2; T.C.A. § 52-306; Acts 1997, ch. 75, § 1; 2002, ch. 640, §§ 25-28.]