Agency explanation
Debarment was proposed because of unpaid assessments to the Agricultural
Marketing Service (AMS) and a civil penalty.
On August 11, 2020, Channing Strother, U.S. Department of Agriculture’s
Chief Administrative Law Judge (ALJ), ordered DAKIN DAIRY FARMS to
pay $219,893.42 in assessments and late-payment charges for unpaid
assessments to AMS and a civil penalty of $5,000 to the Treasurer of the
United States.
In March 2024, AMS requested information from the Dairy Board and its
designated agent in Florida, Florida Dairy Farmers (FDF), regarding whether
the Respondents had complied with the August 2020 ALJ Decision and
brought its operations into compliance with the Dairy Stabilization Act and
the Dairy Promotion Order by timely paying assessments and reporting
required information to the Dairy Board.
On March 21, 2024, the Dairy Board stated that the last payment of
assessments they received from the Respondents was on April 25, 2018, and
the last payment of late charges they received was on August 23, 2018.
Additionally, on March 27, 2024, FDF provided a history of payments which
detailed that they last received a payment from the Respondents in
May 2017.
On June 8, 2026, the AMS Transportation and Marketing Program’s Grants
Division (GD), notified AMS’ Compliance, Audit, Risk and Safety
Division (CARS) of a senatorial constituent services referral.
GD related that Dakin Dairy, LLC was selected for a Dairy Business
Innovation-funded subaward by the University of Tennessee; however,
award execution has been delayed due to conflicting SAM.gov records
involving an active exclusion. The constituent is arguing that the exclusion
applies to a different individual/entity (Jerry Dakin Dairy) and not to DAKIN DAIRY LLC, which was acquired by new ownership (the current
owners of DAKIN DAIRY LLC purchased the business and/or its assets
from Jerry Dakin, which is a family member with a history of wrongdoing).
On June 24, 2026, the AMS Dairy Program informed CARS that DAKIN
DAIRY LLC, at the Betts Road address, is not in good standing with the
Dairy Board or the requirements of the Act and Order to report and remit the
assessment. They have not paid assessments in 2025 or 2026 under the new
ownership. For further information contact the U.S. Department of Agriculture Agency Exclusions POC.
What is an exclusion?
An exclusion is a federal restriction on a business or individual participating in certain government contracts or assistance programs. Records can include suspensions, debarments and other restrictions.
Use these records to check potential vendors and partners. Restrictions vary: review the status, dates and scope in SAM.gov, and confirm any potential match with the issuing agency. An inactive record does not by itself mean a current restriction.
Understand exclusion types at SAM.gov