§ 7484. — Required terms in orders.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 7USC7484]
TITLE 7--AGRICULTURE
CHAPTER 101--AGRICULTURAL PROMOTION
SUBCHAPTER V--POPCORN
Sec. 7484. Required terms in orders
(a) In general
An order shall contain the terms and conditions specified in this
section.
(b) Establishment and membership of Popcorn Board
(1) In general
The order shall provide for the establishment of, and
appointment of members to, a Popcorn Board that shall consist of not
fewer than 4 members and not more than 9 members.
(2) Nominations
The members of the Board shall be processors appointed by the
Secretary from nominations submitted by processors in a manner
authorized by the Secretary, subject to paragraph (3). Not more than
1 member may be appointed to the Board from nominations submitted by
any 1 processor.
(3) Geographical diversity
In making appointments, the Secretary shall take into account,
to the extent practicable, the geographical distribution of popcorn
production throughout the United States.
(4) Terms
The term of appointment of each member of the Board shall be 3
years, except that the members appointed to the initial Board shall
serve, proportionately, for terms of 2, 3, and 4 years, as
determined by the Secretary.
(5) Compensation and expenses
A member of the Board shall serve without compensation, but
shall be reimbursed for the expenses of the member incurred in the
performance of duties for the Board.
(c) Powers and duties of Board
The order shall define the powers and duties of the Board, which
shall include the power and duty--
(1) to administer the order in accordance with the terms and
provisions of the order;
(2) to issue regulations to effectuate the terms and provisions
of the order;
(3) to appoint members of the Board to serve on an executive
committee;
(4) to propose, receive, evaluate, and approve budgets, plans,
and projects of promotion, research, consumer information, and
industry information, and to contract with appropriate persons to
implement the plans or projects;
(5) to accept and receive voluntary contributions, gifts, and
market promotion or similar funds;
(6) to invest, pending disbursement under a plan or project,
funds collected through assessments authorized under subsection (f)
of this section, only in--
(A) obligations of the United States or an agency of the
United States;
(B) general obligations of a State or a political
subdivision of a State;
(C) an 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;
(7) to receive, investigate, and report to the Secretary
complaints of violations of the order; and
(8) to recommend to the Secretary amendments to the order.
(d) Plans and budgets
(1) In general
The order shall provide that the Board 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 Board to submit to the Secretary for
approval budgets on a fiscal year basis of the anticipated expenses
and disbursements of the Board in the implementation of the order,
including projected costs of plans and projects of promotion,
research, consumer information, and industry information.
(e) Contracts and agreements
(1) In general
The order shall provide that the Board may enter into contracts
or agreements for the implementation and carrying out of plans or
projects of promotion, research, consumer information, or industry
information, including contracts with a processor organization, and
for the payment of the cost of the plans or projects with funds
collected by the Board under the order.
(2) Requirements
A contract or agreement under paragraph (1) shall provide that--
(A) the contracting party shall develop and submit to the
Board a plan or project, together with a budget that shows the
estimated costs to be incurred for the 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
each transaction of the party, account for funds received and
expended, make periodic reports to the Board of activities
conducted, and make such other reports as the Board or the
Secretary may require.
(3) Processor organizations
The order shall provide that the Board may contract with
processor organizations for any services required in addition to the
services described in paragraph (1). The contract shall include
provisions comparable to the provisions required by paragraph (2).
(f) Assessments
(1) Processors
The order shall provide that each processor marketing popcorn in
the United States or for export shall, in the manner prescribed in
the order, pay assessments and remit the assessments to the Board.
(2) Direct marketers
A processor that markets popcorn produced by the processor
directly to consumers shall pay and remit the assessments on the
popcorn directly to the Board in the manner prescribed in the order.
(3) Rate
(A) In general
The rate of assessment prescribed in the order shall be a
rate established by the Board but not more than $.08 per
hundredweight of popcorn.
(B) Adjustment of rate
The order shall provide that the Board, with the approval of
the Secretary, may raise or lower the rate of assessment
annually up to a maximum of $.08 per hundredweight of popcorn.
(4) Use of assessments
(A) In general
Subject to subparagraphs (B) and (C) and subsection (c)(5)
of this section, the order shall provide that the assessments
collected shall be used by the Board--
(i) to pay expenses incurred in implementing and
administering the order, with provision for a reasonable
reserve; and
(ii) to cover such administrative costs as are incurred
by the Secretary, except that the administrative costs
incurred by the Secretary (other than any legal expenses
incurred to defend and enforce the order) that may be
reimbursed by the Board may not exceed 15 percent of the
projected annual revenues of the Board.
(B) Expenditures based on source of assessments
In implementing plans and projects of promotion, research,
consumer information, and industry information, the Board shall
expend funds on--
(i) plans and projects for popcorn marketed in the
United States or Canada in proportion to the amount of
assessments collected on domestically marketed popcorn; and
(ii) plans and projects for exported popcorn in
proportion to the amount of assessments collected on
exported popcorn.
(C) Notification
If the administrative costs incurred by the Secretary that
are reimbursed by the Board exceed 10 percent of the projected
annual revenues of the Board, the Secretary shall notify as soon
as practicable the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture, Nutrition, and
Forestry of the Senate.
(g) Prohibition on use of funds
The order shall prohibit any funds collected by the Board under the
order from being used to influence government action or policy, other
than the use of funds by the Board for the development and
recommendation to the Secretary of amendments to the order.
(h) Books and records of Board
The order shall require the Board to--
(1) maintain such books and records (which shall be available to
the Secretary for inspection and audit) as the Secretary may
prescribe;
(2) prepare and submit to the Secretary, from time to time, such
reports as the Secretary may prescribe; and
(3) account for the receipt and disbursement of all funds
entrusted to the Board.
(i) Books and records of processors
(1) Maintenance and reporting of information
The order shall require that each processor of popcorn for the
market shall--
(A) maintain, and make available for inspection, such books
and records as are required by the order; and
(B) file reports at such time, in such manner, and having
such content as is prescribed in the order.
(2) Use of information
The Secretary shall authorize the use of information regarding
processors that may be accumulated under a law or regulation other
than this subchapter or a regulation issued under this subchapter.
The information shall be made available to the Secretary as
appropriate for the administration or enforcement of this
subchapter, the order, or any regulation issued under this
subchapter.
(3) Confidentiality
(A) In general
Subject to subparagraphs (B), (C), and (D), all information
obtained by the Secretary under paragraphs (1) and (2) shall be
kept confidential by all officers, employees, and agents of the
Board and the Department.
(B) Disclosure by Secretary
Information referred to in subparagraph (A) may be disclosed
if--
(i) the Secretary considers the information relevant;
(ii) the information is revealed 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
(iii) the information relates to the order.
(C) Disclosure to other agency of Federal Government
(i) In general
No information obtained under the authority of this
subchapter may be made available to another agency or
officer of the Federal Government for any purpose other than
the implementation of this subchapter and any investigatory
or enforcement activity necessary for the implementation of
this subchapter.
(ii) Penalty
A person who knowingly violates this subparagraph shall,
on conviction, 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, employee, or agent of the Board or the
Department, shall be removed from office or terminated from
employment, as applicable.
(D) General statements
Nothing in this paragraph prohibits--
(i) the issuance of general statements based on the
reports of a number of persons subject to an order or
statistical data collected from the reports, if the
statements do not identify the information provided by any
person; or
(ii) the publication, by direction of the Secretary, of
the name of a person violating the order, together with a
statement of the particular provisions of the order violated
by the person.
(j) Other terms and conditions
The order shall contain such other terms and conditions, consistent
with this subchapter, as are necessary to effectuate this subchapter,
including regulations relating to the assessment of late payment
charges.
(Pub. L. 104-127, title V, Sec. 575, Apr. 4, 1996, 110 Stat. 1077.)
Section Referred to in Other Sections
This section is referred to in sections 7482, 7485 of this title.
