1. a. The Department of Agriculture shall disburse annually to each enrolled dairy farmer in the State the amount of the annual premium paid by the enrolled dairy farmer for coverage under the federal Dairy Margin Coverage Program up to the amount of the premium for coverage for the first 5,000,000 pounds of annual milk production per farm, the first tier of coverage under the program. The department, pursuant to the “Administrative Procedure Act,” P.L.1968, c.410 (C. 52:14B-1 et seq.), shall adopt rules and regulations establishing procedures for the disbursement of funds to reimburse each enrolled dairy farmer in the State the amount the enrolled dairy farmer has paid for the annual premium for coverage authorized pursuant to this subsection under the federal Dairy Margin Coverage Program.

b. The Department of Agriculture shall include in its annual budget request to the Governor an amount equal to the moneys necessary to pay the annual premiums for the coverage authorized pursuant to subsection a. of this section under the federal Dairy Margin Coverage Program for all enrolled dairy farmers in the State. The Legislature shall appropriate the necessary funds to the department for this purpose.

c. As used in this section:

“Department” means the Department of Agriculture.

“Enrolled dairy farmer” means a dairy farmer enrolled in the federal Dairy Margin Coverage Program.

“Federal Dairy Margin Coverage Program” means the federal Dairy Margin Coverage Program that replaced the former federal Margin Protection Program for Dairy Producers pursuant to the federal Agricultural Act of 2018.

L.2021, c.401.