HB 0905

CS

CHAMBER ACTION

1	The Committee on Agriculture recommends the following:
2
3	Committee Substitute
4	Remove the entire bill and insert:
5	A bill to be entitled
6	An act relating to the Florida beef industry; creating s.
7	570.9135, F.S.; providing a popular name; providing
8	legislative intent; defining terms; creating the Florida
9	Beef Council, Inc.; providing purposes; providing powers
10	and duties of the council and restrictions upon actions of
11	the council; providing for a board of directors of the
12	council; providing for a referendum on assessments to be
13	deducted from the sale of each head of cattle; allowing
14	the council to accept grants and gifts; providing
15	guidelines for payments to other organizations; providing
16	for the collection of assessments at the time of
17	marketing; providing duties of marketing agents and
18	collecting agents; requiring the council to maintain a
19	separate accounting of moneys received from assessments;
20	providing for legal action to collect delinquent
21	assessments; providing for the collection of penalties,
22	enforcement costs, court costs, and reasonable attorney
23	fees; providing for a collection allowance; providing for
24	refunds; providing for a referendum on continuing this
25	act; providing for council bylaws; providing a contingent
26	effective date.
27
28	Be It Enacted by the Legislature of the State of Florida:
29
30	Section 1.  Section 570.9135, Florida Statutes, is created
31	to read:
32	570.9135  Beef Market Development Act; definitions; Florida
33	Beef Council, Inc., creation, purposes, governing board, powers,
34	and duties; referendum on assessments imposed on gross receipts
35	from cattle sales; payments to organizations for services;
36	collecting and refunding assessments; vote on continuing the
37	act; council bylaws.--
38	(1)  POPULAR NAME.--This act shall be known by the popular
39	name the "Beef Market Development Act."
40	(2)  LEGISLATIVE INTENT.--The Legislature intends by this
41	act to promote the growth of the cattle industry in this state;
42	to assure the public an adequate and wholesome food supply; to
43	provide for the general economic welfare of producers and
44	consumers of beef and the state; and to provide the beef cattle
45	production and feeding industry of this state with the authority
46	to establish a self-financed, self-governed program to help
47	develop, maintain, and expand the state, national, and foreign
48	markets for beef and beef products that are produced, processed,
49	or manufactured in this state.
50	(3)  DEFINITIONS.--As used in this act, the term:
51	(a)  "Beef" or "beef products" means the products of beef
52	intended for human consumption which are derived from any bovine
53	animal, regardless of age, including, but not limited to, veal.
54	(b)  "Cattle" means such animals as are so designated by
55	federal law, including any marketing, promotion, and research
56	orders as are in effect. Unless such federal law provides to the
57	contrary, the term "cattle" includes all bovine animals,
58	regardless of age, including, but not limited to, calves. A cow
59	and nursing calf sold together are considered one unit.
60	(c)  "Council" means the Florida Beef Council, Inc.
61	(d)  "Department" means the Department of Agriculture and
62	Consumer Services.
63	(e)  "Market agent," "market agency," "collection agent,"
64	or "collection agency" means a person who sells, offers for
65	sale, markets, distributes, trades, or processes cattle that
66	have been purchased or acquired from a producer or that are
67	marketed on behalf of a producer. The terms also include
68	meatpacking firms and their agents which purchase or consign to
69	purchase cattle.
70	(f)  "Person" means any natural person, partnership,
71	corporation, company, association, society, trust, or other
72	business unit or organization.
73	(g)  "Producer" means a person that has owned or sold
74	cattle in the previous calendar year or presently owns cattle.
75	(4)  FLORIDA BEEF COUNCIL, INC.; CREATION; PURPOSES.--
76	(a)  There is created the Florida Beef Council, Inc., a
77	not-for-profit corporation organized under the laws of this
78	state and operating as a direct-service organization of the
79	department.
80	(b)  The intents and purposes of this act shall be financed
81	through an assessment imposed on each head of cattle sold in
82	this state, which assessment must be approved by a simple
83	majority vote of beef producers in this state.
84	(c)  The purposes and objectives of the program are to:
85	1.  Plan, implement, and conduct programs of promotion,
86	research, and consumer information or industry information which
87	are designed to strengthen the cattle industry's market position
88	in this state and in the nation and to maintain and expand
89	domestic and foreign markets and uses for beef and beef
90	products.
91	2.  Administer and receive assessments from any cattle sold
92	in this state for the purpose of funding cattle production and
93	beef research, education, promotion, and consumer and industry
94	information in this state and in the nation.
95	3.  Develop, implement, and monitor the assessment-
96	collection system for this state.
97	4.  Plan and implement a cattle and beef industry feedback
98	program in this state.
99	5.  Coordinate the assessment system for this state with
100	any national program, as well as with other states, so as to
101	coordinate research, education, promotion, industry, and
102	consumer information programs.
103	6.  Develop new uses and markets for beef and beef
104	products.
105	7.  Develop and improve methods of distributing beef and
106	beef products to the consumer.
107	8.  Develop methods of improving the quality of beef and
108	beef products for the benefit of consumers.
109	9.  Inform and educate the public concerning the nutritive
110	and economic values of beef and beef products.
111	10.  Serve as a liaison within the beef and other food
112	industries of the state and elsewhere in matters that would
113	increase efficiencies that ultimately benefit both consumers and
114	industry.
115	11.  Establish the amount per head for an assessment to be
116	collected for this state.
117	12.  Coordinate collection of assessments among neighboring
118	states.
119	13.  Establish refund procedures and criteria for any
120	producer from whom an assessment has been collected.
121	14.  Buy, sell, mortgage, rent, or improve, in any manner
122	that the council considers expedient, real property or personal
123	property, or both.
124	15.  Publish and distribute such papers or periodicals as
125	the board of directors considers necessary to encourage and
126	accomplish the purposes of the council.
127	16.  Do all other acts necessary or expedient for the
128	administration of the affairs and attainment of the purposes of
129	the council.
130	17.  Approve an annual plan, budget, and audit for the
131	council.
132	(d)1.  The council may not participate in or intervene in
133	any political campaign on behalf of or in opposition to any
134	candidate for public office. This restriction includes, but is
135	not limited to, a prohibition against publishing or distributing
136	any statements.
137	2.  No part of the net receipts of the council shall inure
138	to the benefit of or be distributable to its directors, its
139	officers, or other private persons, except that the council may
140	pay reasonable compensation for services rendered by staff
141	employees and may make payments and distributions in furtherance
142	of the purposes of this act.
143	3.  Notwithstanding any other provision of law, the council
144	may not carry on any other activities not permitted to be
145	carried on:
146	a.  By a corporation exempt from federal income tax under
147	s. 501(c)(3) of the Internal Revenue Code of 1986, as amended;
148	or
149	b.  By a corporation to which contributions are deductible
150	under s. 170(c)(2) of the Internal Revenue Code of 1986, as
151	amended.
152	4.  Notwithstanding any other statement of the purposes and
153	responsibilities of the council, the council may not engage in
154	any activities or exercise any powers that are not in
155	furtherance of its specific and primary purposes.
156	(5)  GOVERNING BOARD.--
157	(a)  The Florida Beef Council, Inc., shall be governed by a
158	board of directors composed of 13 members, including 8
159	representatives of the Florida Cattlemen's Association, of whom
160	one is a representative of the Florida Association of Livestock
161	Markets; one a representative of the Dairy Farmers, Inc.; one a
162	representative of the Florida CattleWomen, Inc.; one a
163	representative of the Florida Farm Bureau Federation; one an
164	allied-industry representative; and one an Institute of Food and
165	Agricultural Sciences representative.
166	(b)  The initial board of directors shall be appointed by
167	the Commissioner of Agriculture for a term of 1 year. Each
168	subsequent vacancy shall be filled in accordance with the bylaws
169	of the council. Thereafter, each board member shall be appointed
170	to serve a 3-year term and may be reappointed to serve an
171	additional consecutive term. A member may not serve more than
172	two consecutive terms. A member must be a resident of this state
173	and must be a beef producer who has been a beef producer for at
174	least the 5 years immediately preceding the first day of his or
175	her service on the board, except that the representative of the
176	Florida Farm Bureau Federation, the allied-industry
177	representative, and the Institute of Food and Agricultural
178	Sciences representative need not be beef producers. All beef
179	council board positions shall be unsalaried; however, the board
180	members are entitled to reimbursement as provided in s. 112.061
181	for travel and other expenses incurred in carrying out the
182	intents and purposes of this act.
183	(c)  The council shall provide for its officers through its
184	bylaws, including the ability to set forth offices and
185	responsibilities and form committees necessary for the
186	implementation of this act. The Commissioner of Agriculture may
187	designate an ex officio nonvoting member of the board of
188	directors.
189	(d)  If a member of the board misses three consecutive,
190	officially called meetings, the board of directors may declare
191	that position vacant.
192	(6)  REFERENDUM ON ASSESSMENTS.--All beef producers in this
193	state shall have the opportunity to vote in a referendum to
194	determine whether the assessment program pursuant to this act
195	should be approved, with a separate question to determine
196	whether the program, if approved, will be funded through
197	specific contributions that are mandatory and refundable upon
198	request or voluntary at the point of sale.
199	(a)  A referendum held under this section must be conducted
200	by secret ballot at extension offices of the Institute of Food
201	and Agricultural Sciences of the University of Florida or at
202	offices of the United States Department of Agriculture with the
203	cooperation of the department.
204	(b)  Notice of a referendum to be held under this act must
205	be given at least once in trade publications, the public press,
206	and statewide newspapers at least 30 days before the referendum
207	is held.
208	(c)  Only one referendum on a prospective increase in the
209	amount of assessments to be deducted from the gross receipts of
210	the sale of cattle in this state may be conducted in a 3-year
211	period.
212	(d)  Each cattle producer is entitled to only one vote in a
213	referendum held under this act. Proof of identification and
214	cattle ownership must be presented before voting.
215	(e)  A simple majority of those casting ballots shall
216	determine any issue that requires a referendum under this act.
217	(7)  POWERS AND DUTIES OF THE COUNCIL.--
218	(a)  The council shall:
219	1.  Receive and disburse funds, as prescribed elsewhere in
220	this act, to be used in administering and implementing the act.
221	2.  Maintain a permanent record of its business
222	proceedings.
223	3.  Maintain a permanent, detailed record of its financial
224	dealings.
225	4.  Prepare periodic reports and an annual report of its
226	activities for the fiscal year, for review by the beef industry
227	in this state, and file its annual report with the department.
228	5.  Prepare, for review by the beef industry in this state,
229	periodic reports and an annual accounting for each fiscal year
230	of all receipts and expenditures, and shall retain a certified
231	public accountant for this purpose.
232	6.  Appoint a licensed banking institution to serve as the
233	depository for program funds and to handle disbursements of
234	those funds.
235	7.  Maintain frequent communication with officers and
236	industry representatives at the state and national levels,
237	including the department.
238	8.  Maintain an office in this state.
239	(b)  The council may:
240	1.  Conduct or contract for scientific research with any
241	accredited university, college, or similar institution, and
242	enter into other contracts or agreements that will aid in
243	carrying out the purposes of the program, including contracts
244	for the purchase or acquisition of facilities or equipment
245	necessary to carry out the purposes of the program.
246	2.  Disseminate reliable information benefiting the
247	consumer and the beef industry on subjects such as, but not
248	limited to, the purchase, identification, care, storage,
249	handling, cookery, preparation, serving, and nutritive value of
250	beef and beef products.
251	3.  Provide to government bodies, on request, information
252	relating to subjects of concern to the beef industry, and may
253	act jointly or in cooperation with the state or Federal
254	Government, and agencies thereof, in the development or
255	administration of programs that the council considers to be
256	consistent with the objectives of the program.
257	4.  Sue and be sued as a council without individual
258	liability of the members for acts of the council when acting
259	within the scope of the powers of this act and in the manner
260	prescribed by the laws of this state.
261	5.  Borrow from licensed lending institutions money in
262	amounts that are not cumulatively greater than 50 percent of the
263	council's anticipated annual income.
264	6.  Maintain a financial reserve for emergency use, the
265	total of which must not exceed 50 percent of the council's
266	anticipated annual income.
267	7.  Appoint advisory groups composed of representatives
268	from organizations, institutions, governments, or businesses
269	related to or interested in the welfare of the beef industry and
270	the consuming public.
271	8.  Employ subordinate officers and employees of the
272	council, prescribe their duties, and fix their compensation and
273	terms of employment.
274	9.  Cooperate with any local, state, regional, or
275	nationwide organization or agency engaged in work or activities
276	consistent with the objectives of the program.
277	10.  Cause any duly authorized agent or representative to
278	enter upon the premises of any market agency, market agent,
279	collection agency, or collection agent and examine or cause to
280	be examined by the authorized agent only books, papers, and
281	records that deal with the payment of the assessment provided
282	for in this act or with the enforcement of this act.
283	11.  Do all other things necessary to further the intent of
284	this act which are not prohibited by law.
285	(8)  ACCEPTANCE OF GRANTS AND GIFTS.--The council may
286	accept grants, donations, contributions, or gifts from any
287	source if the use of such resources is not restricted in any
288	manner that the council considers to be inconsistent with the
289	objectives of the program.
290	(9)  PAYMENTS TO ORGANIZATIONS.--
291	(a)  The council may pay funds to other organizations for
292	work or services performed which are consistent with the
293	objectives of the program.
294	(b)  Before making payments described in this subsection,
295	the council must secure a written agreement that the
296	organization receiving payment will:
297	1.  Furnish at least annually, or more frequently on
298	request of the council, written or printed reports of program
299	activities and reports of financial data that are relative to
300	the council's funding of such activities; and
301	2.  Agree to have appropriate representatives attend
302	business meetings of the council as reasonably requested by the
303	chairperson of the council.
304	(c)  The council may require adequate proof of security
305	bonding on funds paid to any individual, business, or other
306	organization.
307	(10)  COLLECTION OF MONEYS AT TIME OF MARKETING.--
308	(a)  Each marketing agency licensed to do business in this
309	state may deduct from the gross receipts of the seller, at the
310	time of sale, an assessment established by referendum in an
311	amount of up to $1 per head, as recommended by the council, on
312	all cattle marketed in this state.
313	(b)  The collecting agent shall collect all such moneys and
314	forward them to the council periodically, at least once a month,
315	and the council shall provide appropriate business forms for the
316	convenience of the collecting agent in executing this duty.
317	(c)  The council shall maintain within its financial
318	records a separate accounting of all moneys received under this
319	subsection.
320	(d)  Any due and payable assessment required under this act
321	constitutes a personal debt of the person who is so assessed or
322	who otherwise owes the assessment. If a person fails to remit
323	any properly due assessment, the council may bring a civil
324	action against that person in the circuit court of any county
325	for the collection thereof, and may add a penalty in the amount
326	of 10 percent of the assessment owed, the cost of enforcing the
327	collection of the assessment, court costs, and reasonable
328	attorney fees. The action shall be tried and judgment rendered
329	as in any other cause of action for debts due and payable. All
330	assessments, penalties, and enforcement costs are due and
331	payable to the council.
332	(e)  All moneys deducted under this subsection are
333	considered to be bona fide business expenses for the seller as
334	provided for under the tax laws of this state.
335	(f)  The council may adopt reciprocal agreements with other
336	beef councils or similar organizations relating to moneys
337	collected at Florida collecting agencies on cattle from other
338	states and to Florida cattle sold at other state markets.
339	(g)  The collecting agent shall be entitled to deduct 2.5
340	percent of the amount collected to retain as a reasonable
341	collection allowance prior to remitting the funds to the
342	council.
343	(11)  REFUNDS.--
344	(a)  A seller of cattle who has had moneys deducted from
345	his or her gross sales receipts under this act is entitled to a
346	prompt and full refund on request.
347	(b)  The council shall make available to all collecting
348	agents business forms permitting requests for refund, which
349	forms are to be submitted by the objecting cattle producer or
350	owner within 45 days after the sale transaction takes place.
351	(c)  A refund claim made by the cattle producer or owner
352	must include the claimant's signature, date of sale, place of
353	sale, number of cattle, and amount of assessment deducted, and
354	must have attached thereto proof of the assessment deducted.
355	(d)  If the council has reasonable doubt that a refund
356	claim is valid, it may withhold payment and take such action as
357	it considers necessary to determine the validity of the claim.
358	Any dispute arising under this subsection shall be determined as
359	specified in paragraph (10)(d).
360	(e)  Only the producer may initiate a request for refund.
361	(12)  VOTE ON CONTINUING THE ACT.--Upon the delivery by
362	certified mail to the Florida Beef Council office of petitions
363	from at least 15 counties containing signatures of at least 200
364	beef producers from each county and stating "Shall the Beef
365	Market Development Act continue," the council shall, within 90
366	days, conduct a referendum to determine whether a majority of
367	the beef producers voting in the referendum support the
368	continuation of the Beef Market Development Act. A referendum
369	held under this subsection may not be held more than one time in
370	each 3-year period. Qualifications for signature and vote are
371	the same as those required in subsection (6).
372	(13)  BYLAWS.--The Florida Beef Council shall, within 90
373	days after this act becomes a law, adopt bylaws to carry out the
374	intents and purposes of this act. These bylaws may be amended
375	with a 30-day notice to board members at any regular or special
376	meeting called for this purpose. The bylaws must conform to the
377	requirements of this act, but may also address any matter not in
378	conflict with the general laws of this state.
379	Section 2.  This act shall take effect upon becoming a law;
380	however, an assessment on head of cattle sold may not be imposed
381	under this act, nor may a referendum relating to such
382	assessments be conducted, before the effective date of
383	dissolution of the Beef Promotion and Research Act of 1985, Pub.
384	L. No. 99-198, which date shall be determined by the Florida
385	Commissioner of Agriculture.

CODING: Words stricken are deletions; words underlined are additions.