§159-29 Exemptions. (a) This chapter requiring inspection of the slaughtering of animals and the preparation of the carcasses, parts thereof, and meat or meat products at establishments conducting such operations shall not apply:

(1) To the slaughtering by any person of animals of the person's own raising, and the preparation and transportation by the person of the carcasses, parts thereof, and meat or meat products of the animals exclusively for use by the person, members of the person's household, and the person's nonpaying guests and employees; provided that the slaughter of the animals is performed in compliance with part II of chapter 146.

(2) To the custom slaughter by any person of cattle, sheep, swine, or goats delivered by the owner thereof or the owner's agent for slaughter, and the preparation by that slaughterer of the carcasses, parts thereof, and meat or meat products of the animals exclusively for use, in the household of the owner, by the owner, members of the owner's household, and the owner's nonpaying guests and employees; nor:

(3) To the custom preparation by any person of carcasses, parts thereof, and meat or meat products derived from the slaughter by any person of cattle, sheep, swine, or goats of the owner's own raising or from exotic animals delivered by the owner thereof for that custom preparation, and transportation of those custom prepared articles exclusively for use, in the household of the owner, by the owner, members of the owner's household, and the owner's nonpaying guests and employees.

(4) To the person engaging in custom operations at an establishment at which inspection under this chapter is maintained; provided that:

(A) Any carcasses, parts thereof, and meat or meat products wherever handled on a custom basis, or any containers or packages containing those articles, are separated at all times from carcasses, parts thereof, and meat or meat products prepared for sale; and

(B) All articles prepared on a custom basis, or any containers or packages containing such articles, are plainly marked "not for sale" immediately after being prepared and kept so identified until delivered to the owner.

A person conducting custom exempt operations shall be registered with the board as a custom exempt operator under this paragraph and obtain a permit for exemption from the board to conduct those operations. The board may refuse, withdraw, or modify any permit for exemption under this paragraph in its discretion whenever it determines the action is necessary to effectuate the purposes of this chapter.

(b) The custom slaughter of animals and preparation of meat or meat products shall be conducted in accordance with the sanitary conditions and the recordkeeping, registration, and disease control provisions that the board may prescribe.

(c) The transportation by commercial carrier of carcasses, parts thereof, or meat or meat products produced without inspection under subsection (a) is prohibited, except under permit issued by the board.

(d) This chapter requiring inspection of meat or meat products shall not apply to operations of types traditionally and usually conducted at retail stores and restaurants, when conducted at any retail store or restaurant or similar retail-type establishment for sale at the establishments in normal retail quantities or service of meat or meat products to consumers; provided that the meat or meat products shall have been inspected and passed previously in compliance with this chapter and that the preparation, handling, and storage of meat or meat products is conducted in accordance with the sanitary conditions that the board may prescribe.

(e) In order to accomplish the objectives of this chapter, the board, by rule, may exempt operations which the board determines would best be exempted to further the purposes of this chapter, to the extent that the exemptions conform to the Federal Meat Inspection Act and the regulations thereunder.

(f) The adulteration and misbranding provisions of this chapter, other than the requirement of the official inspection legend, shall apply to meat or meat products which are not required to be inspected under this section. [L 1969, c 214, pt of §1; am L 1977, c 202, §1; am L 1978, c 37, §1; gen ch 1985; am L 1990, c 139, §7; am L 1991, c 88, §1]