§ 7465. — Required terms in order.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 7USC7465]
TITLE 7--AGRICULTURE
CHAPTER 101--AGRICULTURAL PROMOTION
SUBCHAPTER IV--KIWIFRUIT
Sec. 7465. Required terms in order
(a) Budgets and plans
(1) In general
An order issued under section 7463 of this title shall provide
for periodic budgets and plans in accordance with this subsection.
(2) Budgets
The Board shall prepare and submit to the Secretary a budget
prior to the beginning of the fiscal year of the anticipated
expenses and disbursements of the Board in the administration of the
order, including probable costs of research, promotion, and consumer
information. A budget shall become effective on a \2/3\-vote of a
quorum of the Board and approval by the Secretary.
(3) Plans
Each budget shall include a plan for research, promotion, and
consumer information regarding kiwifruit. A plan under this
paragraph shall become effective on approval by the Secretary. The
Board may enter into contracts and agreements, on approval by the
Secretary, for--
(A) the development and carrying out of the plan; and
(B) the payment of the cost of the plan, with funds
collected pursuant to this subchapter.
(b) Assessments
(1) In general
The order shall provide for the imposition and collection of
assessments with regard to the production and importation of
kiwifruit in accordance with this subsection.
(2) Rate
The assessment rate shall be the rate that is recommended by a
\2/3\-vote of a quorum of the Board and approved by the Secretary,
except that the rate shall not exceed $0.10 per 7-pound tray of
kiwifruit or an equivalent rate.
(3) Collection by first handlers
Except as provided in paragraph (5), the first handler of
kiwifruit shall--
(A) be responsible for the collection from the producer, and
payment to the Board, of assessments required under this
subsection; and
(B) maintain a separate record of the kiwifruit of each
producer whose kiwifruit are so handled, including the kiwifruit
owned by the handler.
(4) Importers
The assessment on imported kiwifruit shall be paid by the
importer to the United States Customs Service at the time of entry
into the United States and shall be remitted to the Board.
(5) Exemption from assessment
The following persons or activities are exempt from an
assessment under this subsection:
(A) A producer who produces less than 500 pounds of
kiwifruit per year.
(B) An importer who imports less than 10,000 pounds of
kiwifruit per year.
(C) A sale of kiwifruit made directly from the producer to a
consumer for a purpose other than resale.
(D) The production or importation of kiwifruit for
processing.
(6) Claim of exemption
To claim an exemption under paragraph (5) for a particular year,
a person shall--
(A) submit an application to the Board stating the basis for
the exemption and certifying that the quantity of kiwifruit
produced, imported, or sold by the person will not exceed any
poundage limitation required for the exemption in the year; or
(B) be on a list of approved processors developed by the
Board.
(c) Use of assessments
(1) Authorized uses
The order shall provide that funds paid to the Board as
assessments under subsection (b) of this section may be used by the
Board--
(A) to pay for research, promotion, and consumer information
described in the budget of the Board under subsection (a) of
this section and for other expenses incurred by the Board in the
administration of an order;
(B) to pay such other expenses for the administration,
maintenance, and functioning of the Board (including any
enforcement efforts for the collection of assessments) as may be
authorized by the Secretary, including interest and penalties
for late payments; and
(C) to fund a reserve established under section 7466(d) of
this title.
(2) Required uses
The order shall provide that funds paid to the Board as
assessments under subsection (b) of this section shall be used by
the Board--
(A) to pay the expenses incurred by the Secretary, including
salaries and expenses of Federal Government employees, in
implementing and administering the order; and
(B) to reimburse the Secretary for any expenses incurred by
the Secretary in conducting referenda under this subchapter.
(3) Limitation on use of assessments
Except for the first year of operation of the Board, expenses
for the administration, maintenance, and functioning of the Board
may not exceed 30 percent of the budget for a year.
(d) False claims
The order shall provide that any promotion funded with assessments
collected under subsection (b) of this section may not make--
(1) any false claims on behalf of kiwifruit; and
(2) any false statements with respect to the attributes or use
of any product that competes with kiwifruit for sale in commerce.
(e) Prohibition on use of funds
The order shall provide that funds collected by the Board under this
subchapter through assessments may not, in any manner, be used for the
purpose of influencing legislation or governmental policy or action,
except for making recommendations to the Secretary as provided for under
this subchapter.
(f) Books, records, and reports
(1) Board
The order shall require the Board--
(A) to maintain books and records with respect to the
receipt and disbursement of funds received by the Board;
(B) to submit to the Secretary from time to time such
reports as the Secretary may require for appropriate accounting;
and
(C) to submit to the Secretary at the end of each fiscal
year a complete audit report by an independent auditor regarding
the activities of the Board during the fiscal year.
(2) Others
To make information and data available to the Board and the
Secretary that is appropriate or necessary for the effectuation,
administration, or enforcement of this subchapter (or any order or
regulation issued under this subchapter), the order shall require
handlers and importers who are responsible for the collection,
payment, or remittance of assessments under subsection (b) of this
section--
(A) to maintain and make available for inspection by the
employees and agents of the Board and the Secretary such books
and records as may be required by the order; and
(B) to file, at the times and in the manner and content
prescribed by the order, reports regarding the collection,
payment, or remittance of the assessments.
(g) Confidentiality
(1) In general
The order shall require that all information obtained pursuant
to subsection (f)(2) of this section be kept confidential by all
officers, employees, and agents of the Department of Agriculture and
of the Board. Only such information as the Secretary considers
relevant shall be disclosed to the public and 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, involving the order with respect to which the information was
furnished or acquired.
(2) Limitations
Nothing in this subsection prohibits--
(A) the issuance of general statements based on the reports
of a number of handlers and importers subject to an order, if
the statements do not identify the information furnished by any
person; or
(B) the publication, by direction of the Secretary, of the
name of any person violating an order issued under section
7463(a) of this title, together with a statement of the
particular provisions of the order violated by the person.
(3) Penalty
Any person who willfully violates 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 the person
is a member, officer, or agent of the Board or an employee of the
Department of Agriculture, shall be removed from office.
(h) Withholding of information
Nothing in this subchapter authorizes the withholding of information
from Congress.
(Pub. L. 104-127, title V, Sec. 556, Apr. 4, 1996, 110 Stat. 1067.)
Transfer of Functions
For transfer of functions, personnel, assets, and liabilities of the
United States Customs Service of the Department of the Treasury,
including functions of the Secretary of the Treasury relating thereto,
to the Secretary of Homeland Security, and for treatment of related
references, see sections 203(1), 551(d), 552(d), and 557 of Title 6,
Domestic Security, and the Department of Homeland Security
Reorganization Plan of November 25, 2002, as modified, set out as a note
under section 542 of Title 6.
Section Referred to in Other Sections
This section is referred to in section 7466 of this title.
