§ 2617. —  Required terms and conditions of plans.


[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
  January 24, 2002 and December 19, 2002]
[CITE: 7USC2617]

 
                          TITLE 7--AGRICULTURE
 
                CHAPTER 58--POTATO RESEARCH AND PROMOTION
 
Sec. 2617. Required terms and conditions of plans

    Any plan issued pursuant to this chapter shall contain the following 
terms and conditions:

(a) National Potato Promotion Board; establishment; powers and duties

    Providing for the establishment by the Secretary of a National 
Potato Promotion Board (hereinafter referred to as ``the board'') and 
for defining its powers and duties, which shall include powers--
        (1) to administer such plan in accordance with its terms and 
    conditions;
        (2) to make rules and regulations to effectuate the terms and 
    conditions of such plan;
        (3) to receive, investigate, and report to the Secretary 
    complaints of violations of such plan; and
        (4) to recommend to the Secretary amendments to such plan.

(b) Membership of board

    Providing that the board shall be composed of representatives of 
producers and the public appointed by the Secretary from nominations 
submitted in accordance with this subsection. If importers are subject 
to a plan, the board shall also include up to 5 representatives of 
importers, appointed by the Secretary from nominations submitted by 
importers in such manner as may be prescribed by the Secretary. 
Representatives of producers shall be nominated by producers in such 
manner as may be prescribed by the Secretary. Public representatives 
shall be nominated by the board in such manner as may be prescribed by 
the Secretary. If producers or importers fail to select nominees for 
appointment to the board, or the board fails to nominate public 
representatives, the Secretary may appoint persons on the basis of 
representation as provided for in such plan. The requirement for 
inclusion of public representatives on the board shall not be subject to 
producer approval, or to importer approval when importers are subject to 
a plan, in a referendum.

(c) Compensation and expenses of board members

    Providing that board members shall serve without compensation, but 
shall be reimbursed for reasonable expenses incurred in performing their 
duties as members of the board.

(d) Budget; preparation and submission

    Providing that the board shall prepare and submit to the Secretary 
for his approval a budget, on a fiscal period basis, of its anticipated 
expenses and disbursements in the administration of the plan, including 
probable costs of research, development, advertising, and promotion.

(e) Assessment rate per poundage handled; limitation

    Providing that the board shall recommend to the Secretary and the 
Secretary shall fix the assessment rate at not more than 2 cents per one 
hundred pounds of potatoes handled; except that if approved by 
producers, and importers when importers are subject to a plan, pursuant 
to section 2623 of this title, the rate of assessment shall not exceed 
one-half of 1 per centum of the immediate past ten-calendar-year United 
States average price received for potatoes by growers as reported by the 
Department of Agriculture.

(f) Restrictions

    Providing that--
        (1) funds collected by the board shall be used for research, 
    development, advertising, or promotion of potatoes and potato 
    products and such other expenses for the administration, 
    maintenance, and functioning of the board, as may be authorized by 
    the Secretary, including any referendum and administrative costs 
    incurred by the Department of Agriculture under this chapter: 
    Provided, That the provision for payment to the Department of 
    Agriculture for any referendum and administrative costs so incurred 
    shall not be subject to producer approval, or importer approval when 
    importers are subject to a plan, in a referendum;
        (2) no advertising or sales promotion program shall make any 
    reference to private brand names or use false or unwarranted claims 
    in behalf of potatoes or their products or false or unwarranted 
    statements with respect to the attributes or use of any competing 
    products; and
        (3) no funds collected by the board shall in any manner be used 
    for the purpose of influencing governmental policy or action, except 
    as provided by subsection (a)(4) of this section.

(g) Research, development, advertising or promotion programs or 
        projects; development and submission by board; approval by 
        Secretary

    Providing that the board shall, subject to the provisions of 
subsections (e) and (f) of this section, develop and submit to the 
Secretary for his approval any research, development, advertising or 
promotion programs or projects, and that any such program or project 
must be approved by the Secretary before becoming effective.

(h) Contract authority of board; funds for payment of cost

    Providing the board with authority to enter into contracts or 
agreements, with the approval of the Secretary, for the development and 
carrying out of research, development, advertising or promotion programs 
or projects, and the payment of the cost thereof with funds collected 
pursuant to this chapter.

(i) Recordkeeping; reports for accounting: receipts and disbursements; 
        audit report

    Providing that the board shall maintain books and records and 
prepare and submit to the Secretary such reports from time to time as 
may be prescribed for appropriate accounting with respect to the receipt 
and disbursement of funds entrusted to it and cause a complete audit 
report to be submitted to the Secretary at the end of each fiscal 
period.

(Pub. L. 91-670, title III, Sec. 308, Jan. 11, 1971, 84 Stat. 2042; Pub. 
L. 97-244, Sec. 2, Aug. 26, 1982, 96 Stat. 310; Pub. L. 98-171, 
Sec. 2(a), Nov. 29, 1983, 97 Stat. 1117; Pub. L. 101-624, title XIX, 
Sec. 1940, Nov. 28, 1990, 104 Stat. 3866.)


                               Amendments

    1990--Subsec. (b). Pub. L. 101-624, Sec. 1940(1), inserted after 
first sentence ``If importers are subject to a plan, the board shall 
also include up to 5 representatives of importers, appointed by the 
Secretary from nominations submitted by importers in such manner as may 
be prescribed by the Secretary.'', inserted ``or importers'' after ``If 
producers'', and inserted ``, or to importer approval when importers are 
subject to a plan,'' after ``approval'' in last sentence.
    Subsec. (e). Pub. L. 101-624, Sec. 1940(2), substituted ``2 cents'' 
for ``one cent'' and inserted ``, and importers when importers are 
subject to a plan,'' after ``producers''.
    Subsec. (f)(1). Pub. L. 101-624, Sec. 1940(3), inserted ``, or 
importer approval when importers are subject to a plan,'' after 
``producer approval'' in proviso.
    Subsecs. (g) to (j). Pub. L. 101-624, Sec. 1940(4), redesignated 
subsecs. (h) to (j) as (g) to (i), respectively, and struck out former 
subsec. (g) which read as follows: ``Providing that, notwithstanding any 
other provisions of this chapter, any potato producer against whose 
potatoes any assessment is made and collected under authority of this 
chapter and who is not in favor of supporting the research and promotion 
program as provided for under this chapter shall have the right to 
demand and receive from the board a refund of such assessment: Provided, 
That such demand shall be made personally by such producer in accordance 
with regulations and on a form and within a time period prescribed by 
the board and approved by the Secretary, but in no event less than 
ninety days, and upon submission of proof satisfactory to the board that 
the producer paid the assessment for which refund is sought, and any 
such refund shall be made within sixty days after demand therefor.''
    1983--Subsec. (b). Pub. L. 98-171, Sec. 2(a)(1), inserted ``The 
requirement for inclusion of public representatives on the board shall 
not be subject to producer approval in a referendum.''
    Subsec. (e). Pub. L. 98-171, Sec. 2(a)(2), amended subsec. (e) 
generally, substituting requirement that the Secretary fix ``the 
assessment rate at not more than one cent per one hundred pounds of 
potatoes handled'' for ``the assessment rate required for such costs as 
may be incurred under subsection (d) of this section, including any 
referendum and administrative costs estimated to be incurred by the 
United States Department of Agriculture under this chapter'' and 
provision ``except that if approved by producers pursuant to section 
2623 of this title, the rate of assessment shall not exceed'' for 
``Provided, That the rate of assessment for fiscal year 1982 and each 
fiscal year thereafter shall not exceed''.
    Subsec. (f)(1). Pub. L. 98-171, Sec. 2(a)(3), inserted ``Provided, 
That the provision for payment to the Department of Agriculture for any 
referendum and administrative costs so incurred shall not be subject to 
producer approval in a referendum''.
    1982--Subsec. (b). Pub. L. 97-244, Sec. 2(1), substituted provisions 
that the board be composed of representatives of producers and the 
public appointed by the Secretary from nominations submitted in 
accordance with this subsection, that representatives of producers be 
nominated by producers in such manner as may be prescribed by the 
Secretary, that public representatives be nominated by the board in such 
manner as may be prescribed by the Secretary, and that, if producers 
fail to select nominees for appointment to the board or the board fails 
to nominate public representatives, the Secretary may appoint persons on 
the basis of representation as provided for in such plan for provisions 
that the board could be composed of representatives of producers 
selected by the Secretary from nominations made by producers in such 
manner as might be prescribed by the Secretary and that, in the event 
producers failed to select nominees for appointment to the board, the 
Secretary was to appoint producers on the basis of representation 
provided for in such plan.
    Subsec. (e). Pub. L. 97-244, Sec. 2(2), substituted provisions that 
the assessment rate include any referendum and administrative costs 
estimated to be incurred by the Department of Agriculture under this 
chapter, but that the assessment rate for fiscal year 1982 and each 
fiscal year thereafter not exceed one-half of 1 per centum of the 
immediate past ten calendar year United States average price received 
for potatoes by growers as reported by the Department of Agriculture, 
for provisions that the assessment rate could not exceed 1 cent per 
hundred pounds of potatoes handled.
    Subsec. (f)(1). Pub. L. 97-244, Sec. 2(3), substituted ``as may be 
authorized by the Secretary, including any referendum and administrative 
costs incurred by the Department of Agriculture under this chapter'' for 
``as may be authorized by the Secretary''.

                  Section Referred to in Other Sections

    This section is referred to in section 2618 of this title.






























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