Bill Text: IN HB1387 | 2011 | Regular Session | Enrolled


Bill Title: Commodity market development councils.

Spectrum: Slight Partisan Bill (Republican 3-1)

Status: (Passed) 2011-05-16 - Effective 07/01/2011 [HB1387 Detail]

Download: Indiana-2011-HB1387-Enrolled.html


First Regular Session 117th General Assembly (2011)


PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
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    HOUSE ENROLLED ACT No. 1387



     AN ACT to amend the Indiana Code concerning agriculture and animals.

Be it enacted by the General Assembly of the State of Indiana:

SOURCE: IC 15-15-11-1; (11)HE1387.1.1. -->
    SECTION 1. IC 15-15-11-1, AS ADDED BY P.L.2-2008, SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 1. As used in this chapter, "agricultural commodity" means poultry, poultry products, cattle, dairy products, sheep, wool, goats, mint, or soybeans, wheat, or small grains. The term includes flour made from wheat or small grains.
SOURCE: IC 15-15-11-4; (11)HE1387.1.2. -->     SECTION 2. IC 15-15-11-4, AS ADDED BY P.L.2-2008, SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 4. As used in this chapter, "dean of agriculture" refers to the dean of the college of agriculture of Purdue University. The term includes the dean's designee.
SOURCE: IC 15-15-11-12; (11)HE1387.1.3. -->     SECTION 3. IC 15-15-11-12, AS ADDED BY P.L.2-2008, SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 12. (a) If the director dean of agriculture approves the petition, in whole or as revised, the director dean of agriculture shall call a referendum among producers of commercial quantities of the commodity to vote upon establishment of the proposed commodity market development program.
    (b) Before issuance of a notice of referendum on a proposed commodity market development program, the director dean of agriculture shall establish the number of producers qualified of that

particular agricultural commodity. The producers must register with the director, dean of agriculture, who shall maintain a list of those producers. At least twenty percent (20%) of the producers must register before a referendum may be held. The director dean of agriculture shall establish a registration period for establishing, continuing, changing, or terminating a marketing program after the director dean of agriculture calls for a referendum. Postdating of a registration is void. The producer or handler list established under this subsection is final and conclusive in making determinations relative to the assent of producers upon the issuance, amendment, or termination of a commodity market development program.
    (c) The director dean of agriculture shall publish a notice of referendum to the attention of producers in the newspapers or trade journals within the affected area that the director dean of agriculture prescribes. The director dean of agriculture may also mail notice to all producers or handlers on the current list of producers.
    (d) If the majority of those who actually vote favor the adoption of the proposal in the petition, the director dean of agriculture shall declare the proposal to be adopted.
    (e) A proposal to change the amount of the fee or to make other major changes in the program may be made only if a proposal for the change is adopted by a two-thirds (2/3) vote of the commodity market development council or by petition of twenty-five percent (25%) of the agricultural commodity producers. The proposal must then be submitted to a referendum under which the same percentages of votes favoring the proposal (by number and production) are required for approval as were required for establishment of the original market development program.
    (f) A proposal to terminate a commodity market development program may be made only if a proposal for termination is adopted by a majority of the commodity market development council or by petition of two percent (2%) of the agricultural commodity producers. The proposed termination must be submitted to a referendum under which a simple majority of those voting in favor of termination of the program is required for termination.
    (g) A referendum to:
        (1) set up a commodity market development council for a particular commodity;
        (2) change the amount of fee;
        (3) make other major changes; or
        (4) terminate a commodity market development council;
may not be held within twelve (12) months of a referendum conducted

for a similar purpose for the same agricultural commodity.
    (h) If the amount of refund requests under section 18 of this chapter exceeds twenty-five percent (25%) of the amount collected under this chapter for a fiscal year, the director dean of agriculture shall conduct a referendum on the continuation of the commodity market development council. at least one (1) time every three (3) years.
    (i) Any eligible producer may register to participate in a referendum on the continuation or termination of a program. Registration for such a referendum may not be limited to those producers who registered for the referendum to establish the program.

SOURCE: IC 15-15-11-13; (11)HE1387.1.4. -->     SECTION 4. IC 15-15-11-13, AS ADDED BY P.L.2-2008, SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 13. The director dean of agriculture shall be guided by the advice, recommendations, and assistance of the commodity market development council about:
        (1) the collection and expenditures of funds; and
        (2) audits and refunds;
associated with the commodity market development program.
SOURCE: IC 15-15-11-15; (11)HE1387.1.5. -->     SECTION 5. IC 15-15-11-15, AS ADDED BY P.L.2-2008, SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 15. (a) Except as provided in subsection (b), the director dean of agriculture shall collect the fee imposed under the commodity market development program from the producers, handlers, or processors.
    (b) This subsection applies to a commodity market development program for cattle, dairy products, or soybeans. The director dean of agriculture shall collect ninety-seven percent (97%) of the fee imposed under the commodity market development program from the producers, handlers, or processors. A producer, handler, or processor may retain the remaining three percent (3%) as compensation for collecting the fee.
    (c) If a market development fee is unpaid on the date that the fee was due, a penalty of one percent (1%) per month is imposed beginning on the date the fee was due until payment plus the penalty is received by the director. dean of agriculture. If, after notice, a person defaults in a payment of the fee or penalties imposed under this subsection, the amount due shall be collected by civil action in the name of the state of Indiana at the request of the director, dean of agriculture, and the person adjudged in default shall pay the costs of the action. The attorney general, at the request of the director, dean of agriculture, and, if requested by the attorney general, the prosecuting attorney of any county, in which a cause of action arose under the provisions for

the collection of fees due and unpaid, shall institute proper action in an Indiana court for the collection of unpaid fees and penalties.
    (d) The individual commodity council market development fund is established. The fund consists of all fees paid to the director dean of agriculture under that agricultural commodity program. The director dean of agriculture shall spend all money credited to the fund, less administration expenses, for the use and benefit of the commodity market development council for which the fund is established.
    (e) The director dean of agriculture shall submit an annual statement to the commodity market development council that shows all receipts, administration expenses, refunds, and the balance credited to the fund.
    (f) Not more than one (1) fee may be collected for an agricultural commodity under this chapter. or under a federal program for promotion or market development.

SOURCE: IC 15-15-11-17; (11)HE1387.1.6. -->     SECTION 6. IC 15-15-11-17, AS ADDED BY P.L.2-2008, SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 17. The director dean of agriculture shall assist a commodity market development council to do the following:
        (1) Elect a chairperson and any other officers.
        (2) Authorize the expenditure of a budgeted amount of the council market development fund in the administration of the commodity market development program.
        (3) Collect commodity market development fees.
        (4) Perform other necessary duties.
SOURCE: IC 15-15-11-18; (11)HE1387.1.7. -->     SECTION 7. IC 15-15-11-18, AS ADDED BY P.L.2-2008, SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 18. (a) A producer or handler is entitled to have the fees paid by the producer or handler refunded as provided in this section.
    (b) A producer or handler must file a request for refund with the director dean of agriculture not later than one hundred eighty (180) days after the payment of the fees.
    (c) The director dean of agriculture shall provide forms for the request of refund of fees under this section. A refund form shall be made available to a producer or handler when payment is made.
    (d) For the purpose of making an application for a refund, a producer is considered the agent of all persons who have an interest in the agricultural commodity. The interest of each person in the agricultural commodity must be indicated on the refund request form, and the refund shall be paid to each interested person's interest according to that person's interest.


HEA 1387 _ Concur

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