Florida Senate - 2015                             CS for SB 1220
       
       
        
       By the Committee on Fiscal Policy; and Senators Grimsley, Evers,
       and Soto
       
       
       
       
       594-03402-15                                          20151220c1
    1                        A bill to be entitled                      
    2         An act relating to the Cattle Market Development Act;
    3         amending s. 570.83, F.S.; renaming the Beef Market
    4         Development Act as the Cattle Market Development Act;
    5         renaming the Florida Beef Council, Inc., as the
    6         Florida Cattle Enhancement Board, Inc.; conforming
    7         intent and definitions; removing a provision that
    8         deems a cow and nursing calf sold together as one
    9         unit; removing provisions providing for a $1 per head
   10         assessment and referenda; providing for the
   11         Commissioner of Agriculture to appoint a voting member
   12         rather than an ex officio, nonvoting member to the
   13         governing board of the Cattle Enhancement Board;
   14         providing for staggered terms of governing board
   15         members; providing for initial and subsequent
   16         appointment of governing board members; removing
   17         provisions requiring the board to maintain frequent
   18         communication with officers and industry
   19         representatives at the state and national levels;
   20         revising the authority of the board; revising the date
   21         of the scheduled repeal of the act; making technical
   22         changes; providing an effective date.
   23          
   24  Be It Enacted by the Legislature of the State of Florida:
   25  
   26         Section 1. Section 570.83, Florida Statutes, is amended to
   27  read:
   28         570.83 Cattle Beef Market Development Act; definitions;
   29  Florida Cattle Enhancement Board Beef Council, Inc., creation,
   30  purposes, governing board, powers, and duties; referendum on
   31  assessments imposed on gross receipts from cattle sales;
   32  payments to organizations for services; collecting and refunding
   33  assessments; vote on continuing the act; board council bylaws.—
   34         (1) SHORT TITLE POPULAR NAME.—This section act may be cited
   35  as the “Cattle Beef Market Development Act.”
   36         (2) LEGISLATIVE INTENT.—The Legislature intends by this act
   37  to promote the growth of the cattle industry in this state; to
   38  assure the public an adequate and wholesome food supply; to
   39  provide for the general economic welfare of producers and
   40  consumers of beef and the state; and to provide the beef cattle
   41  production and feeding industry of this state with the authority
   42  to establish a self-financed, self-governed program to help
   43  develop, maintain, and expand the state, national, and foreign
   44  markets for beef and beef products that are produced, processed,
   45  or manufactured in this state.
   46         (3) DEFINITIONS.—As used in this section act, the term:
   47         (a) “Beef” or “beef products” means the products of beef
   48  intended for human consumption which are derived from any bovine
   49  animal, regardless of age, including, but not limited to, veal.
   50         (c)(b) “Cattle” means such animals as are so designated by
   51  federal law, including any marketing, promotion, and research
   52  orders as are in effect. Unless such federal law provides to the
   53  contrary, the term “cattle” includes all bovine animals,
   54  regardless of age, including, but not limited to, calves. A cow
   55  and nursing calf sold together are considered one unit.
   56         (b)(c)“Board” or “Florida Cattle Enhancement Board”
   57  “Council” means the Florida Cattle Enhancement Board Beef
   58  Council, Inc.
   59         (d) “Department” means the Department of Agriculture and
   60  Consumer Services.
   61         (e) “Collection agent” means a person who sells, offers for
   62  sale, markets, distributes, trades, or processes cattle that
   63  have been purchased or acquired from a producer or that are
   64  marketed on behalf of a producer. The term also includes
   65  meatpacking firms and their agents that purchase or consign to
   66  purchase cattle.
   67         (e)(f) “Person” means any natural person, partnership,
   68  corporation, company, association, society, trust, or other
   69  business unit or organization.
   70         (f)(g) “Producer” means a person that has owned or sold
   71  cattle in the previous calendar year or presently owns cattle.
   72         (4) FLORIDA CATTLE ENHANCEMENT BOARD BEEF COUNCIL, INC.;
   73  CREATION; PURPOSES.—
   74         (a) There is created the Florida Cattle Enhancement Board
   75  Beef Council, Inc., a not-for-profit corporation organized under
   76  the laws of this state for the purpose of and operating as a
   77  direct-support organization to of the department pursuant to
   78  this section.
   79         (b) The council is authorized to impose an assessment of
   80  not more than $1 on each head of cattle sold in the state if the
   81  imposition of the assessment is approved by referendum pursuant
   82  to subsection (6). The proceeds of the assessment shall be used
   83  to fund the activities of the council. The council shall:
   84         1. Establish the amount of the assessment at not more than
   85  $1 per head of cattle.
   86         2. Develop, implement, and monitor a collection system for
   87  the assessment.
   88         3. Coordinate the collection of the assessment with other
   89  states.
   90         4. Establish refund procedures.
   91         5. Conduct referenda under subsections (6) and (12).
   92         (c) The council shall:
   93         1. Plan, implement, and conduct programs of promotion,
   94  research, and consumer information or industry information which
   95  are designed to strengthen the cattle industry’s market position
   96  in this state and in the nation and to maintain and expand
   97  domestic and foreign markets and expand uses for beef and beef
   98  products.
   99         2. Use the proceeds of the assessment for the purpose of
  100  funding cattle production and beef research, education,
  101  promotion, and consumer and industry information in this state
  102  and in the nation.
  103         3. Plan and implement a cattle and beef industry feedback
  104  program in this state.
  105         4. Coordinate research, education, promotion, industry, and
  106  consumer information programs with any national programs or
  107  programs of other states.
  108         5. Develop new uses and markets for beef and beef products.
  109         6. Develop and improve methods of distributing beef and
  110  beef products to the consumer.
  111         7. Develop methods of improving the quality of beef and
  112  beef products for the benefit of consumers.
  113         8. Inform and educate the public concerning the nutritive
  114  and economic values of beef and beef products.
  115         9. Serve as a liaison within the beef and other food
  116  industries of the state and elsewhere in matters that would
  117  increase efficiencies that ultimately benefit both consumers and
  118  industry.
  119         10. Buy, sell, mortgage, rent, or improve, in any manner
  120  that the council considers expedient, real property or personal
  121  property, or both.
  122         11. Publish and distribute such papers or periodicals as
  123  the board of directors considers necessary to encourage and
  124  accomplish the purposes of the council.
  125         12. Do all other acts necessary or expedient for the
  126  administration of the affairs and attainment of the purposes of
  127  the council.
  128         13. Approve an annual plan, budget, and audit for the
  129  council.
  130         (b)(d)1. The board council may not participate in or
  131  intervene in any political campaign on behalf of or in
  132  opposition to any candidate for public office. This restriction
  133  includes, but is not limited to, a prohibition against
  134  publishing or distributing any statements.
  135         (c)2.No part of The net receipts of the board may not
  136  council shall inure to the benefit of or be distributable to its
  137  directors, its officers, or other private persons, except that
  138  the board council may pay reasonable compensation for services
  139  rendered by staff employees and may make payments and
  140  distributions in furtherance of the purposes of this section
  141  act.
  142         (d)3. Notwithstanding any other provision of law, the board
  143  council may not carry on any other activities prohibited for not
  144  permitted to be carried on:
  145         1.a.By A corporation exempt from federal income tax under
  146  s. 501(c)(3) of the Internal Revenue Code of 1986, as amended;
  147  or
  148         2.b.By A corporation to which contributions are deductible
  149  under s. 170(c)(2) of the Internal Revenue Code of 1986, as
  150  amended.
  151         (e)4. Notwithstanding any other statement of the purposes
  152  and responsibilities of the board council, the board council may
  153  not engage in any activities or exercise any powers that are not
  154  in furtherance of its specific and primary purposes.
  155         (5) GOVERNING BOARD.—
  156         (a) The Florida Cattle Enhancement Board Beef Council,
  157  Inc., shall be governed by a board of directors composed of 14
  158  13 members as follows:
  159         1. Eight, including 8 representatives of the Florida
  160  Cattlemen’s Association, of whom one is a representative of the
  161  Florida Association of Livestock Markets and one is a practicing
  162  order buyer.;
  163         2. One a representative of the Dairy Farmers, Inc.;
  164         3. One a representative of the Florida CattleWomen, Inc.;
  165         4. One a representative of the Florida Farm Bureau
  166  Federation.;
  167         5. One representative of an allied-industry.
  168         6. One representative of the department. representative;
  169  and
  170         7. One representative of the an Institute of Food and
  171  Agricultural Sciences representative.
  172         (b) The initial board of directors shall be appointed by
  173  the Commissioner of Agriculture for staggered terms a term of 1
  174  year for three members, 2 years for three members, 3 years for
  175  four members, and 4 years for four members. Each subsequent
  176  vacancy shall also be filled by the Commissioner of Agriculture
  177  with in accordance with the bylaws of the council. Thereafter,
  178  each board member of the board of directors shall be appointed
  179  to serve a 3-year term and may be reappointed to serve an
  180  additional consecutive term. A member may not serve more than
  181  two consecutive terms. A member must be a resident of this state
  182  and must be a producer who has been a producer for at least the
  183  5 years immediately preceding the first day of his or her
  184  service on the board, except that the representative of the
  185  Florida Farm Bureau Federation, the allied-industry
  186  representative, the department representative, and the Institute
  187  of Food and Agricultural Sciences representative need not be
  188  producers. All members of the beef council board of directors
  189  positions shall serve without compensation but be unsalaried ;
  190  however, the board members are entitled to reimbursement as
  191  provided in s. 112.061 for travel and other expenses incurred in
  192  carrying out the intents and purposes of this section act.
  193         (c) The Florida Cattle Enhancement Board council shall
  194  provide for its officers through its bylaws, including the
  195  ability to set forth offices and responsibilities and form
  196  committees necessary for the implementation of this section act.
  197  The Commissioner of Agriculture may designate an ex officio
  198  nonvoting member of the board of directors.
  199         (d) If a member of the board of directors misses three
  200  consecutive, officially called meetings, the board of directors
  201  may declare that position vacant.
  202         (6) REFERENDUM ON ASSESSMENTS.— All producers in this state
  203  shall have the opportunity to vote in a referendum to determine
  204  whether the council shall be authorized to impose an assessment
  205  of not more than $1 per head on cattle sold in the state. The
  206  referendum shall pose the question: “Do you approve of an
  207  assessment program, up to $1 per head of cattle pursuant to
  208  section 570.83, Florida Statutes, to be funded through specific
  209  contributions that are mandatory and refundable upon request?”
  210         (a) A referendum held under this section must be conducted
  211  by secret ballot at extension offices of the Institute of Food
  212  and Agricultural Sciences of the University of Florida or at
  213  offices of the United States Department of Agriculture with the
  214  cooperation of the department.
  215         (b) Notice of a referendum to be held under this act must
  216  be given at least once in trade publications, the public press,
  217  and statewide newspapers at least 30 days before the referendum
  218  is held.
  219         (c) Additional referenda may be held to authorize the
  220  council to increase the assessment to more than $1 per head of
  221  cattle. Such referendum shall pose the question: “Do you approve
  222  of granting the Florida Beef Council, Inc., authority to
  223  increase the per-head-of-cattle assessment pursuant to section
  224  570.83, Florida Statutes, from ...(present rate)... to up to a
  225  maximum of ...(proposed rate)... per head?” Referenda may not be
  226  held more often than once every 3 years.
  227         (d) Each cattle producer is entitled to only one vote in a
  228  referendum held under this section. Proof of identification and
  229  cattle ownership must be presented before voting.
  230         (e) A simple majority of those casting ballots shall
  231  determine any issue that requires a referendum under this
  232  section.
  233         (6)(7) POWERS AND DUTIES OF THE BOARD COUNCIL.—
  234         (a) The board council shall:
  235         1. Serve as a liaison within the beef and other food
  236  industries of the state and elsewhere in matters that would
  237  increase efficiencies that ultimately benefit consumers and the
  238  industry.
  239         2. Buy, sell, mortgage, rent, or improve, in any manner
  240  that the board considers expedient, real property or personal
  241  property, or both.
  242         3. Publish and distribute papers or periodicals as the
  243  board of directors considers necessary to encourage and
  244  accomplish the purposes of the Florida Cattle Enhancement Board.
  245         4.1. Receive and disburse funds, as prescribed elsewhere in
  246  this act, to be used in administering and implementing this
  247  section the act.
  248         5.2. Maintain a permanent record of its business
  249  proceedings.
  250         6.3. Maintain a permanent, detailed record of its financial
  251  dealings.
  252         7.4. Prepare periodic reports and an annual report of its
  253  activities for the fiscal year, for review by the beef industry
  254  in this state, and file its annual report with the department.
  255         8.5. Prepare, for review by the beef industry in this
  256  state, periodic reports and an annual accounting for each fiscal
  257  year of all receipts and expenditures to be filed with the
  258  department, and shall retain a certified public accountant for
  259  this purpose.
  260         9.6. Appoint a licensed banking institution to serve as the
  261  depository for program funds and to handle disbursements of
  262  those funds.
  263         7. Maintain frequent communication with officers and
  264  industry representatives at the state and national levels,
  265  including the department.
  266         10.8. Maintain an office in this state.
  267         (b) The board council may:
  268         1. Conduct or contract for scientific research with any
  269  accredited university, college, or similar institution, and
  270  enter into other contracts or agreements that will aid in
  271  carrying out the purposes of the program, including contracts
  272  for the purchase or acquisition of facilities or equipment
  273  necessary to carry out the purposes of the program.
  274         2. Disseminate reliable information benefiting the consumer
  275  and the cattle beef industry on subjects such as, but not
  276  limited to, the purchase, identification, care, storage,
  277  handling, cookery, preparation, serving, and nutritive value of
  278  beef and beef products.
  279         3. Provide to government bodies, on request, information
  280  relating to subjects of concern to the cattle beef industry, and
  281  may act jointly or in cooperation with the state or Federal
  282  Government, and agencies thereof, in the development or
  283  administration of programs that the board council considers to
  284  be consistent with the objectives of the program.
  285         4. Sue and be sued as a board council without individual
  286  liability of the members for acts of the council when acting
  287  within the scope of the powers of this act and in the manner
  288  prescribed by the laws of this state.
  289         5. Borrow from licensed lending institutions money in
  290  amounts that are not cumulatively greater than 50 percent of the
  291  board’s council’s anticipated annual income.
  292         6. Maintain a financial reserve for emergency use, the
  293  total of which must not exceed 50 percent of the council’s
  294  anticipated annual income.
  295         7. Appoint advisory groups composed of representatives from
  296  organizations, institutions, governments, or businesses related
  297  to or interested in the welfare of the beef industry and the
  298  consuming public.
  299         6.8. Employ staff subordinate officers and employees of the
  300  council, prescribe their duties, and fix their compensation and
  301  terms of employment.
  302         7.9. Cooperate with any local, state, regional, or
  303  nationwide organization or agency engaged in work or activities
  304  consistent with the objectives of the program.
  305         10. Cause any duly authorized agent or representative to
  306  enter upon the premises of any market agency, market agent,
  307  collection agency, or collection agent and examine or cause to
  308  be examined by the authorized agent only books, papers, and
  309  records that deal with the payment of the assessment provided
  310  for in this act or with the enforcement of this act.
  311         8. Fund cattle production and beef research, education,
  312  promotion, and consumer and industry information in this state
  313  and in the nation.
  314         9. Plan, implement, and conduct programs of promotion,
  315  research, and consumer and industry information which are
  316  designed to strengthen the market position of the cattle
  317  industry in this state and in the nation and to maintain and
  318  expand domestic and foreign markets and expand uses for beef and
  319  beef products.
  320         10. Plan and implement a cattle and beef industry feedback
  321  program in this state.
  322         11. Coordinate research, education, promotion, industry,
  323  and consumer information programs with any national programs or
  324  programs of other states.
  325         12.11. Do all other things necessary to further the intent
  326  of this act which are not prohibited by law.
  327         (7)(8) ACCEPTANCE OF GRANTS AND GIFTS.—The board council
  328  may accept grants, donations, contributions, or gifts from any
  329  source if the use of such resources is not restricted in any
  330  manner that the board council considers to be inconsistent with
  331  the objectives of the program.
  332         (8)(9) PAYMENTS TO ORGANIZATIONS.—
  333         (a) The board council may pay funds to other organizations
  334  for work or services performed which are consistent with the
  335  objectives of the program.
  336         (b) Before making payments pursuant to described in this
  337  subsection, the board council must secure a written agreement
  338  that the organization receiving payment will:
  339         1. Furnish at least annually, or more frequently on request
  340  of the board council, written or printed reports of program
  341  activities and reports of financial data that are relative to
  342  the board’s council’s funding of such activities; and
  343         2. Agree to have appropriate representatives attend
  344  business meetings of the board council as reasonably requested
  345  by the chairperson of the board council.
  346         (c) The board council may require adequate proof of
  347  security bonding on such said funds to any individual, business,
  348  or other organization.
  349         (10) COLLECTION OF MONEYS AT TIME OF MARKETING.—
  350         (a) Each collection agent may deduct from the gross
  351  receipts of the producer, at the time of sale, the assessment
  352  imposed by the council.
  353         (b) The collection agent shall collect all such moneys and
  354  forward them to the council periodically, at least once a month,
  355  and the council shall provide appropriate business forms for the
  356  convenience of the collecting agent in executing this duty.
  357         (c) The council shall maintain within its financial records
  358  a separate accounting of all moneys received under this
  359  subsection.
  360         (d) The assessment is due and payable upon the sale of
  361  cattle in this state. The assessment constitutes a personal debt
  362  of the producer who is so assessed or who otherwise owes the
  363  assessment. If a producer fails to remit any properly due
  364  assessment, the council may bring a civil action against that
  365  person in the circuit court of any county for the collection
  366  thereof, and may add a penalty in the amount of 10 percent of
  367  the assessment owed, the cost of enforcing the collection of the
  368  assessment, court costs, and reasonable attorney’s fees. The
  369  action shall be tried and judgment rendered as in any other
  370  cause of action for debts due and payable. All assessments,
  371  penalties, and enforcement costs are due and payable to the
  372  council.
  373         (e) The council may adopt reciprocal agreements with other
  374  beef councils or similar organizations relating to moneys
  375  collected at Florida collection agents on cattle from other
  376  states and to Florida cattle sold at other state markets.
  377         (f) The collection agents shall be entitled to deduct 2.5
  378  percent of the amount collected to retain as a reasonable
  379  collection allowance prior to remitting the funds to the
  380  council.
  381         (11) REFUNDS.—
  382         (a) A producer who has had moneys deducted from his or her
  383  gross sales receipts under this act is entitled to a prompt and
  384  full refund on request.
  385         (b) The council shall make available to all collection
  386  agents business forms permitting request for refund, which forms
  387  are to be submitted by the objecting producer within 45 days
  388  after the sale transaction takes place.
  389         (c) A refund claim must include the claimant’s signature,
  390  date of sale, place of sale, number of cattle, and amount of
  391  assessment deducted, and must have attached thereto proof of the
  392  assessment deducted.
  393         (d) If the council has reasonable doubt that a refund claim
  394  is valid, it may withhold payment and take such action as it
  395  considers necessary to determine the validity of the claim. Any
  396  dispute arising under this subsection shall be determined as
  397  specified in paragraph (10)(d).
  398         (e) The council shall take action on refund requests within
  399  30 calendar days following the date of receipt of the request.
  400         (f) Only the producer may initiate a request for refund.
  401         (12) VOTE ON CONTINUING THE ASSESSMENT.—Upon the delivery
  402  by certified mail to the Florida Beef Council office of
  403  petitions from at least 1,800 producers or 10 percent of
  404  Florida’s producers as determined by the department, whichever
  405  is less, and stating “Shall the assessment authorized by the
  406  Beef Market Development Act continue?” the council shall, within
  407  90 days, conduct a referendum to determine whether a majority of
  408  the producers voting in the referendum support the continuation
  409  of the Beef Market Development Act. All signatures must be
  410  collected within a 12-month period. A referendum held under this
  411  subsection may not be held more than one time in a 3-year
  412  period. Qualifications for signature and vote are the same as
  413  those required in subsection (6).
  414         (9)(13) BYLAWS.—The Florida Cattle Enhancement Board Beef
  415  Council shall, within 90 days after the governing board is
  416  appointed this act becomes a law, adopt bylaws to carry out the
  417  intents and purposes of this section act. The These bylaws may
  418  be amended with a 30-day notice to governing board members at
  419  any regular or special meeting called for such this purpose. The
  420  bylaws must conform to the requirements of this section act but
  421  may also address any matter not in conflict with the general
  422  laws of this state.
  423         (10)(14) REPEAL.—This section is repealed October 1, 2020
  424  2019, unless reviewed and saved from repeal by the Legislature.
  425         Section 2. This act shall take effect July 1, 2015.