[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 7USC6104]
TITLE 7--AGRICULTURE
CHAPTER 90--MUSHROOM PROMOTION, RESEARCH, AND CONSUMER INFORMATION
Sec. 6104. Required terms in orders
(a) In general
Each order issued under this chapter shall contain the terms and
conditions prescribed in this section.
(b) Mushroom Council
(1) Establishment and membership of Council
(A) Establishment
The order shall provide for the establishment of, and
selection of members to, a Mushroom Council that shall consist
of at least 4 members and not more than 9 members.
(B) Membership
Except as provided for in paragraph (2), the members of the
Council shall be mushroom producers and importers appointed by
the Secretary from nominations submitted by producers and
importers in the manner authorized by the Secretary, except that
no more than one member may be appointed to the Council from
nominations submitted by any one producer or importer.
(2) Appointments
(A) In general
In making appointments, the Secretary shall take into
account, to the extent practicable, the geographical
distribution of mushroom production throughout the United
States, and the comparative volume of mushrooms imported into
the United States.
(B) Units
In establishing such geographical distribution of mushroom
production, a whole State shall be considered as a unit and such
units shall be organized into 4 regions that shall fairly
represent the geographic distribution of mushroom production
within the United States.
(C) Importers
Importers shall be represented as one region, which shall be
separate from the regions established for mushrooms produced in
the United States.
(D) Members per region
The Secretary shall appoint one member from each region if
such region produces or imports, on average, at least 35,000,000
pounds of mushrooms annually.
(E) Additional members
Subject to the nine-member limit on the number of members on
the Council provided in paragraph (1), the Secretary shall
appoint an additional member to the Council from a region for
each additional 50,000,000 pounds of production or imports per
year, on average, within the region.
(F) Average annual production
For purposes of this paragraph, in determining average
annual mushroom production in each of the 4 regions of the
United States established under this paragraph, the Secretary
shall only consider mushrooms produced by producers covered by
this chapter, as defined in section 6102(11) of this title.
(G) Failure to nominate
If producers and importers fail to nominate individuals for
appointment, the Secretary may appoint members on a basis
provided for in the order.
(3) Terms; compensation
(A) Terms
The term of appointment to the Council shall be for 3 years,
except that the initial appointments shall to the extent
practicable be proportionately for 1-year, 2-year, and 3-year
terms.
(B) Compensation
Council members shall serve without compensation but shall
be reimbursed for their expenses incurred in performing their
duties as members of the Council.
(c) Powers and duties of Council
The order shall define the powers and duties of the Council, which
shall include the following powers and duties--
(1) to administer the order in accordance with its terms and
provisions;
(2) to make rules and regulations to effectuate the terms and
provisions of the order;
(3) to appoint members of the Council to serve on an executive
committee;
(4) to propose, receive, evaluate, approve and submit to the
Secretary for approval under subsection (d) of this section budgets,
plans, and projects of mushroom promotion, research, consumer
information, and industry information, as well as to contract and
enter into agreements with appropriate persons to implement such
plans or projects;
(5) to develop and propose to the Secretary voluntary quality
and grade standards for mushrooms;
(6) to receive, investigate, and report to the Secretary
complaints of violations of the order;
(7) to recommend to the Secretary amendments to the order; and
(8) to invest, pending disbursement under a plan or project,
funds collected through assessments authorized under this chapter
only in--
(A) obligations of the United States or any agency thereof;
(B) general obligations of any State or any political
subdivision thereof;
(C) any interest-bearing account or certificate of deposit
of a bank that is a member of the Federal Reserve System; or
(D) obligations fully guaranteed as to principal and
interest by the United States,
except that income from any such invested funds may only be used for
any purpose for which the invested funds may be used.
(d) Plans and budgets
(1) Submission to Secretary
The order shall provide that the Council shall submit to the
Secretary for approval any plan or project of promotion, research,
consumer information, or industry information.
(2) Budgets
The order shall require the Council to submit to the Secretary
for approval budgets on a fiscal year basis of its anticipated
expenses and disbursements in the implementation of the order,
including projected costs of promotion, research, consumer
information, and industry information plans and projects.
(3) Approval by Secretary
No plan or project of promotion, research, consumer information,
or industry information, or budget, shall be implemented prior to
its approval by the Secretary.
(e) Contracts and agreements
(1) In general
To ensure efficient use of funds, the order shall provide that
the Council may enter into contracts or agreements for the
implementation and carrying out of plans or projects of mushroom
promotion, research, consumer information, or industry information,
including contracts with producer organizations, and for the payment
of the cost thereof with funds received by the Council under the
order.
(2) Requirements
Any such contract or agreement shall provide that--
(A) the contracting party shall develop and submit to the
Council a plan or project together with a budget or budgets that
shall show estimated costs to be incurred for such plan or
project;
(B) the plan or project shall become effective on the
approval of the Secretary; and
(C) the contracting party shall keep accurate records of all
of its transactions, account for funds received and expended,
make periodic reports to the Council of activities conducted,
and make such other reports as the Council or the Secretary may
require.
(3) Producer organizations
The order shall provide that the Council may contract with
producer organizations for any other services. Any such contract
shall include provisions comparable to those provided in
subparagraphs (A), (B), and (C) of paragraph (2).
(f) Books and records of Council
(1) In general
The order shall require the Council to--
(A) maintain such books and records (which shall be
available to the Secretary for inspection and audit) as the
Secretary may prescribe;
(B) prepare and submit to the Secretary, from time to time,
such reports as the Secretary may prescribe; and
(C) account for the receipt and disbursement of all funds
entrusted to the Council.
(2) Audits
The Council shall cause its books and records to be audited by
an independent auditor at the end of each fiscal year, and a report
of such audit to be submitted to the Secretary.
(g) Assessments
(1) Collection and payment
(A) In general
The order shall provide that each first handler of mushrooms
for the domestic fresh market produced in the United States
shall collect, in the manner prescribed by the order,
assessments from producers and remit the assessments to the
Council.
(B) Importers
The order also shall provide that each importer of mushrooms
for the domestic fresh market shall pay assessments to the
Council in the manner prescribed by the order.
(C) Direct marketing
Any person marketing mushrooms of that person's own
production directly to consumers shall remit the assessments on
such mushrooms directly to the Council in the manner prescribed
in the order.
(2) Rate of assessment
The rate of assessment shall be determined and announced by the
Council and may be changed by the Council at any time. The order
shall provide that the rate of assessment--
(A) for the first year of the order, may not exceed one-
quarter cent per pound of mushrooms;
(B) for the second year of the order, may not exceed one-
third cent per pound of mushrooms;
(C) for the third year of the order, may not exceed one-half
cent per pound of mushrooms; and
(D) for the following years of the order, may not exceed one
cent per pound of mushrooms.
(3) Use of assessments
The order shall provide that the assessments shall be used for
payment of the expenses in implementing and administering this
chapter, with provision for a reasonable reserve, and to cover those
administrative costs incurred by the Secretary in implementing and
administering this chapter, except for the salaries of Government
employees incurred in conducting referenda.
(4) Limitation on collection
No assessment may be collected on mushrooms that a first handler
certifies will be exported as mushrooms.
(h) Prohibition
The order shall prohibit any funds received by the Council under the
order from being used in any manner for the purpose of influencing
legislation or governmental action or policy, except that such funds may
be used by the Council for the development and recommendation to the
Secretary of amendments to the order as prescribed in this chapter and
for the submission to the Secretary of recommended voluntary grade and
quality standards for mushrooms under the Agricultural Marketing Act of
1946 (7 U.S.C. 1621 et seq.).
(i) Books and records
(1) In general
The order shall require that each first handler and importer of
mushrooms maintain, and make available for inspection, such books
and records as may be required by the order and file reports at the
time, in the manner, and having the content prescribed by the order.
(2) Availability to Secretary
Such information shall be made available to the Secretary as is
appropriate for the administration or enforcement of this chapter,
the order, or any regulation issued under this chapter.
(3) Confidentiality
(A) In general
Except as otherwise provided in this chapter, all
information obtained under paragraph (1) shall be kept
confidential by all officers and employees of the Department and
the Council, and agents of the Council, and only such
information so obtained as the Secretary considers relevant may
be disclosed to the public by them and then only in a suit or
administrative hearing brought at the request of the Secretary,
or to which the Secretary or any officer of the United States is
a party, and involving the order.
(B) Limitations
Nothing in this paragraph may be construed to prohibit--
(i) the issuance of general statements, based on the
reports, of the number of persons subject to the order or
statistical data collected therefrom, which statements do
not identify the information furnished by any person; or
(ii) the publication, by direction of the Secretary, of
the name of any person violating the order, together with a
statement of the particular provisions of the order violated
by such person.
(4) Availability of information
(A) In general
Except as otherwise provided in this chapter, information
obtained under this chapter may be made available to another
agency of the Federal Government for a civil or criminal law
enforcement activity if the activity is authorized by law and if
the head of the agency has made a written request to the
Secretary specifying the particular information desired and the
law enforcement activity for which the information is sought.
(B) Penalty
Any person knowingly violating this subsection, on
conviction, shall be subject to a fine of not more than $1,000
or to imprisonment for not more than 1 year, or both, and if an
officer or employee of the Council or the Department, shall be
removed from office.
(5) Withholding information
Nothing in this chapter shall be construed to authorize the
withholding of information from Congress.
(j) Other terms and conditions
The order also shall contain such terms and conditions, not
inconsistent with this chapter, as are necessary to effectuate this
chapter, including provisions for the assessment of a penalty for each
late payment of assessments under subsection (g) of this section.
(Pub. L. 101-624, title XIX, Sec. 1925, Nov. 28, 1
