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92_SB0405enr SB405 Enrolled LRB9203931TAtmA 1 AN ACT concerning agriculture. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 1. Short title. This Act may be cited as the 5 Illinois Swine Market Development Act. 6 Section 5. Legislative intent. The legislature intends 7 to promote the growth of the swine industry in Illinois; to 8 assure the citizens of this State and the American public an 9 adequate and wholesome food supply; to provide for the 10 general economic welfare of both producers and consumers of 11 pork and the State of Illinois; and to provide the swine 12 production and feeding industry of this State with authority 13 to establish a self-financed, self-governed program to help 14 develop, maintain, and expand the State, national, and 15 foreign markets for pork and pork products produced, 16 processed, or manufactured in this State. 17 Section 10. Definitions. In this Act: 18 "Board" means the elected members of the Illinois Pork 19 Producers Association board of directors. 20 "Council" means the Illinois Swine Market Development 21 Council created by this Act. 22 "Director" means a member of the Illinois Swine Market 23 Development Council. 24 "Market agent", "market agency", "collection agent", or 25 "collection agency" means any person who sells, offers for 26 sale, markets, distributes, trades, or processes swine that 27 has been purchased or acquired from a producer or that is 28 marketed on behalf of a producer. The term also includes 29 meat packing firms, and their agents, that purchase or 30 consign to purchase swine. SB405 Enrolled -2- LRB9203931TAtmA 1 "Market" means to sell or to otherwise dispose of a swine 2 animal, pork, or pork product in commerce. 3 "Person" means any natural person, partnership, 4 corporation, company, association, society, trust, or other 5 business unit or organization. 6 "Pork" means the meat from swine. 7 "Pork product" means a product produced or processed in 8 whole or in part from swine. 9 "Producer" means any person engaged in this State in the 10 business of producing or marketing swine, unless otherwise 11 defined in the marketing program. 12 "Swine" means all domesticated animals of the family 13 Suidae. 14 Section 15. Illinois Swine Market Development Program. 15 (a) The name of the program authorized by and created 16 by this Act is the Illinois Swine Market Development Program. 17 (b) The program shall include, as applicable, the 18 following: 19 (1) a definition of terms; 20 (2) the purpose of the program; 21 (3) the assessment rate or rates provided for by 22 the program; 23 (4) equitable procedures for collection of the 24 assessment provided for the program; 25 (5) procedures and criteria for determining 26 adoption of a program; 27 (6) the election procedure and qualifications of 28 the directors of the Council, terms of office, expense 29 reimbursement, and other necessary provisions pertaining 30 thereto; 31 (7) the operating procedures of the program; 32 (8) the qualifications for and registration of 33 swine producers to participate in referenda for the SB405 Enrolled -3- LRB9203931TAtmA 1 adoption, amendment, or continuation of a marketing 2 program and the election of Council directors; 3 (9) the procedure for requesting refunds and, if 4 provided for in the marketing program, reasonable 5 reimbursement of collection agencies' expenses; 6 (10) procedures for the discontinuance of a 7 program; 8 (11) the determination of what swine are subject to 9 assessment and the exemption of swine producers or swine 10 from assessment when those exemptions are applicable as 11 defined in the marketing program; and 12 (12) the adoption of other provisions to facilitate 13 the purposes of the marketing program. 14 (c) The purposes of the program may include: 15 (1) promoting the sale and use of pork and pork 16 products; supporting promotion, research, and education 17 programs, and other consumer marketing activities at a 18 funding level determined by the Council; and otherwise 19 supporting consumer market development and promotion 20 efforts on a State, national, and international scale; 21 (2) developing new uses and markets for pork and 22 pork products; 23 (3) developing and improving methods of 24 distributing pork and pork products to the consumer; 25 (4) developing methods for improving the quality of 26 pork and pork products for consumer benefit; 27 (5) informing and educating the public of the 28 nutritive and economic value of pork and pork products; 29 (6) informing and educating pork producers on 30 disease control and eradication, environmental 31 stewardship and mandates, and other areas of importance 32 to the swine industry; 33 (7) functioning as a liaison within the pork 34 industry and other food industries of the State and SB405 Enrolled -4- LRB9203931TAtmA 1 elsewhere in matters that would increase efficiencies 2 that ultimately benefit both consumers and industry; and 3 (8) developing and expanding markets for swine. 4 Section 20. Powers and duties of the Board. 5 (a) The Board is responsible for the development of the 6 initial Illinois Swine Market Development Program, providing 7 publicity and conducting informational meetings prior to the 8 referendum for adoption on the initial marketing program, 9 making the proposed program and nominating petitions for 10 director and names of candidates running for office available 11 to the public, registering producers who are subject to the 12 program to vote, conducting the initial referendum to adopt a 13 program, and conducting the initial election of the Council. 14 (b) The Board shall develop an Illinois Swine Market 15 Development Program consistent with the provisions set forth 16 in Section 15 and as authorized by or required by this Act. 17 Section 25. Governing council. With a favorable vote of 18 swine producers subject to the marketing program in the State 19 of Illinois to adopt by referendum an Illinois Swine Market 20 Development Program, there shall be established an Illinois 21 Swine Market Development Council governed by a board of 22 directors of 7 members who shall be elected at the same time 23 as the initial referendum and thereafter as provided for in 24 this Act and marketing program. Swine producers who are 25 subject to the program shall elect a director from each of 7 26 compact and contiguous districts, apportioned as nearly as 27 practical according to the swine-on-farms census report taken 28 from the latest available United States Department of 29 Agriculture records. 30 No county in Illinois shall be apportioned into more than 31 one district. The 7 districts shall be re-apportioned by the 32 Council every 9 years, according to the latest available SB405 Enrolled -5- LRB9203931TAtmA 1 United States Department of Agriculture swine-on-farms census 2 records. An elected director shall not become ineligible to 3 serve his or her elected term through any re-apportionment. 4 The 7 directors shall be elected to serve a 3-year term 5 and may be re-elected to serve an additional consecutive 6 term. An elected director must be a resident of Illinois and 7 must be a swine producer subject to the program who has been 8 a swine producer for at least the 5 years prior to his or her 9 election. A qualified swine producer may be elected to serve 10 on the Council only if he or she has submitted, by registered 11 mail to the Illinois Swine Market Development office, a 12 nominating petition containing signatures of 25 or more swine 13 producers subject to the program from the district he or she 14 seeks to represent, except that in the case of the initial 15 election of Council directors, the nominating petition shall 16 be mailed by registered mail to the Board. The candidate 17 receiving the greatest number of votes cast from that 18 district shall be elected. 19 All Council directors shall be unsalaried. Council 20 directors may, however, be reimbursed for travel and other 21 expenses incurred in carrying out the intent and purposes of 22 this Act and marketing program. 23 It is the responsibility of the Council to conduct the 24 election of Council directors within 30 days before the end 25 of any elected Council director's term of office. Newly 26 elected Council directors shall assume their office at the 27 first meeting of the Council after their election to office, 28 which shall be convened within 30 days after the election. 29 Notice of the meeting shall be sent to the directors of the 30 Council at least 10 days before the meeting. The notice must 31 state the time, date, and place of the meeting. 32 Reasonable notice of elections of directors of the 33 Council must be given at least once in trade publications and 34 in the public press at least 30 days before the election. SB405 Enrolled -6- LRB9203931TAtmA 1 The Council may declare an office of director vacant and 2 appoint a swine producer subject to the program from that 3 district to serve the unexpired term of any director unable 4 or unwilling to complete his or her term of office. 5 Section 30. Referenda. All swine producers subject to 6 the marketing program shall have the opportunity to vote in a 7 referendum to determine the adoption, amendment, or 8 continuation of a marketing program. 9 All referenda shall be by secret ballot. Voting shall be 10 by mailed ballot. No less than 14 calendar days shall be 11 allowed for swine producers subject to the program to cast 12 their ballots. Procedure shall be provided for absentee 13 voting. Reasonable notice of all referenda held under this 14 Act must be given at least once in trade publications and in 15 the public press at least 30 days before the referendum. 16 The ballots shall be returned to the Illinois Department 17 of Agriculture. Such ballots shall be returned or delivered 18 to the Department no later than the date for the conclusion 19 of the voting period. The Department shall secure all ballots 20 until they are tallied. The Department shall appoint a 21 3-person teller committee to tally the vote and shall make 22 the results of the referendum public. 23 The initial referendum to adopt an Illinois Swine Market 24 Development Program and to set the amount of an assessment 25 may be conducted at any time by the Board of the Illinois 26 Pork Producers Association. The Board shall hold 27 informational meetings on the initial marketing program. 28 Any producer who is qualified under any marketing program 29 is entitled to one vote. The referendum area includes the 30 entire State of Illinois. 31 Section 35. Powers and duties of the Council. 32 (a) The Council shall: SB405 Enrolled -7- LRB9203931TAtmA 1 (1) receive and disburse funds, as prescribed in 2 this Act and the marketing program, to be used in 3 administering and implementing the provisions and the 4 intent of this Act and the marketing program; 5 (2) annually elect a Chairperson from among its 6 members who may succeed himself or herself for not more 7 than one term; 8 (3) annually elect a Secretary-Treasurer from among 9 its members; 10 (4) meet regularly and at any other times at the 11 call of the Chairperson, or when requested by 4 or more 12 directors of the Council; all meetings must comply with 13 the Open Meetings Act; 14 (5) maintain a permanent record of its business 15 proceedings; 16 (6) maintain a permanent and detailed record of its 17 financial dealings; 18 (7) prepare and publish annually an activity and 19 financial report for the marketing program to be 20 available to all of the affected producers of the 21 marketing program. All expenditures under each marketing 22 program shall be audited at least annually by a 23 registered public accountant. Within 30 days after 24 completion of such audit, the results shall be made 25 available to the Director of the Illinois Department of 26 Agriculture; 27 (8) bond the treasurer and such other persons 28 necessary to insure adequate protection of funds and 29 deposit program funds in a secure banking institution; 30 and 31 (9) maintain an office at a specific location in 32 Illinois. 33 (b) The Council may: 34 (1) conduct or contract with any accredited SB405 Enrolled -8- LRB9203931TAtmA 1 university, college, or similar institution and enter 2 into other contracts or agreements that will aid the 3 Council in carrying out the purposes of the program, 4 including contracts for the purchase or acquisition of 5 facilities or equipment necessary to carry out the 6 purposes of the program; 7 (2) disseminate reliable information benefiting the 8 consumer and the swine industry on subjects including, 9 but not limited to, purchase, identification, care 10 storage, handling, cookery, preparation, serving, and 11 nutritive value of pork and pork products; 12 (3) provide information to government bodies and 13 act jointly or in cooperation with the State or federal 14 government, and agencies thereof, to facilitate the 15 objectives of the program; 16 (4) sue and be sued as a Council without individual 17 liability of the members for acts of the Council when 18 acting within the scope of the powers of this Act and in 19 the manner prescribed by the laws of this State; 20 (5) borrow money from licensed lending institutions 21 in an amount that is not cumulatively greater than 50% of 22 the Council's anticipated annual income; 23 (6) maintain a financial reserve for emergency use, 24 the total of which may not exceed 50% of the Council's 25 anticipated annual income; 26 (7) appoint advisory groups composed of 27 representatives from organizations, institutions, 28 government, or businesses related to or interested in the 29 welfare of the swine industry and the pork-consuming 30 public; 31 (8) employ subordinate officers and employees of 32 the Council and prescribe their duties and fix their 33 compensation and terms of employment; 34 (9) cooperate with any local, State, regional, or SB405 Enrolled -9- LRB9203931TAtmA 1 nationwide organization or agency or person engaged in 2 work or activities consistent with the objectives of the 3 program; 4 (10) cause any duly authorized agent or 5 representative of the Council to enter upon the premises 6 of any market agency, market agent, collection agent, or 7 collection agency, or any person responsible for 8 remitting assessments to the Council and examine or cause 9 to be examined by an authorized agent only books, papers, 10 and records that deal in any way with the payment of the 11 assessment adopted pursuant to this Act and marketing 12 program; 13 (11) provide services that enhance profitability 14 and consumer preference for pork; and 15 (12) carry out the duties and responsibilities as 16 set forth in this Act and marketing program. 17 Section 40. Acceptance of grants and gifts. The Council 18 may accept grants, donations, contributions, or gifts from 19 any source and may use these moneys consistent with the 20 objectives of the program. 21 Section 45. Payments to organizations. 22 (a) The Council may pay funds to other organizations or 23 persons for work or services performed that are consistent 24 with the objectives of the program. 25 (b) Before making payments described in this Section, 26 the Council must secure agreements in writing that the 27 organization or persons receiving payment will (i) furnish 28 yearly or at the request of the Council written or printed 29 reports of program activities and reports of financial data 30 that are related to the Council's funding of these activities 31 and (ii) agree to have appropriate representatives attend 32 business meetings of the Council as reasonably requested by SB405 Enrolled -10- LRB9203931TAtmA 1 the Chairperson of the Council. 2 (c) The Council may require adequate proof of surety 3 bonding on funds paid to any person or organization. 4 Section 50. Collection of moneys. 5 (a) Every person who is responsible for remitting the 6 assessment as established in the marketing program shall 7 deduct the amount of the assessment as directed in the 8 marketing program. 9 (b) The person responsible for remitting the assessment 10 shall forward the assessed funds to the Council on a monthly 11 basis. The Council shall provide appropriate business forms 12 for the convenience of the person responsible for remitting 13 the assessment. 14 (c) Failure of the person who is responsible for 15 collecting and remitting to the Council assessments 16 authorized by this Act and marketing program is grounds for 17 the Council to request that the Illinois Department of 18 Agriculture suspend or refuse to issue the person's license 19 under the Livestock Auction Market Law or Illinois Livestock 20 Dealer Licensing Act. 21 (d) The Council shall maintain financial records of all 22 moneys received under the marketing program. 23 (e) Any due and payable assessment required under this 24 Act and marketing program constitutes a personal debt of the 25 person so assessed or the person who otherwise owes the 26 assessment. In the event of failure of a person to remit any 27 properly due assessment, the Council may bring a civil action 28 against that person in the circuit court of any county for 29 the collection thereof, and may add an additional 10% penalty 30 assessment, cost of enforcing the collection of the 31 assessment, and court costs. The action shall be tried and 32 judgment rendered as in any other cause of action for debts 33 due and payable. All assessments, penalty assessments, and SB405 Enrolled -11- LRB9203931TAtmA 1 enforcement costs are due and payable to the Council. 2 (f) All moneys assessed under this Act and marketing 3 program are bona fide business expenses for the seller under 4 the tax laws of this State. 5 (g) The Council may adopt reciprocal agreements with 6 other swine councils or similar organizations. 7 Section 55. Refunds. 8 (a) Any person who has had an assessment deducted from 9 under the provisions of this Act and marketing program is 10 entitled to a full and prompt refund. The refund shall be 11 made in a manner consistent with this Act and any marketing 12 program for the time that the program is in effect. 13 (b) The Council shall make available to all persons 14 responsible for collecting and remitting the assessment forms 15 for requesting refunds. The refund request forms shall be 16 submitted by the swine producer within 60 days after the date 17 of assessment. 18 (c) A refund claim by the swine producer must include 19 his or her signature, date and place of assessment, number of 20 swine, and amount of assessment deducted and must have 21 attached to it proof of the assessment. 22 (d) If the Council has reasonable doubt that a refund 23 claim is valid, it may withhold payment and take any action 24 that may be deemed necessary to determine its validity. 25 (e) All requests for refunds shall be initiated by the 26 producer. 27 Section 60. Surety bond. Any person authorized by the 28 Council to receive or disburse funds must post with the 29 Council a surety bond in an amount determined by the Council. 30 Premiums covering bonds for employees, officers, or members 31 of the Council shall be paid by the Council. SB405 Enrolled -12- LRB9203931TAtmA 1 Section 65. Compliance. No person may knowingly fail or 2 refuse to comply with the requirements of this Act or an 3 adopted marketing program. The Council may institute any 4 action that is necessary to enforce compliance with this Act 5 or an adopted marketing program. In addition to any other 6 remedy provided by law, the Council may petition the circuit 7 court for injunctive relief without being required to allege 8 or prove the absence of any adequate remedy at law. 9 Section 70. Duration of program. 10 (a) Any marketing program adopted by referendum shall 11 remain in effect until amended or repealed. 12 (b) Upon delivery by certified mail to the Council 13 office of petitions from each of the 7 districts containing 14 the signatures of at least 100 swine producers in each 15 district that are qualified to vote, stating "Shall the 16 Illinois Swine Market Development Program continue?", the 17 Council shall, within 90 days, conduct a referendum to 18 determine if a majority of the swine producers qualified to 19 vote in the referendum support the continuation of the 20 Illinois Swine Market Development Program. Referendums on 21 the question of the continuation of a program may not be held 22 more than once every 5 years. The continuation of a 23 marketing program shall be determined by the same voting 24 requirements as for adoption of the marketing program. 25 (c) A marketing program may be amended by utilizing the 26 same procedures as for determining the continuation of a 27 program. The Council may at any time deemed necessary propose 28 amendments to a marketing program. 29 Section 75. Termination of program. Upon termination of 30 any marketing program, all remaining unobligated funds shall 31 be refunded on a pro rata basis to the producers from whom 32 the assessments were collected in the preceding 2 years. SB405 Enrolled -13- LRB9203931TAtmA 1 Section 80. Suspension of program. The operation of any 2 marketing program or any part thereof may be suspended for 3 any reasonable cause by the Council. 4 Section 85. Illinois Administrative Procedure Act. The 5 marketing program, procedures relative to the adoption of any 6 marketing program or amendment to an existing marketing 7 program shall not be subject to the provisions of the 8 Illinois Administrative Procedure Act. 9 Section 90. Invalidity. If any provision of this Act or 10 application thereof to any person or circumstances is held 11 invalid, that invalidity does not affect other provisions or 12 applications of this Act that can be given effect without the 13 invalid application or provision, and to this end the 14 provisions of this Act are declared to be severable. 15 Section 999. Effective date. This Act takes effect upon 16 becoming law.