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                                 SENATE AMENDED
        PRIOR PRINTER'S NOS. 1933, 2568               PRINTER'S NO. 2584

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1573 Session of 1997


        INTRODUCED BY BUNT, BELFANTI, WAUGH, B. SMITH, FLEAGLE,
           HENNESSEY, GORDNER, MAJOR, E. Z. TAYLOR, HERMAN, FARGO,
           MILLER, HESS, HERSHEY, COLAIZZO, ITKIN, McGILL, PHILLIPS,
           SCRIMENTI, COY, KREBS, LYNCH, CLARK, KELLER, BAKER,
           ZIMMERMAN, ARMSTRONG, ROSS, BARD, SATHER, HALUSKA, FAIRCHILD,
           TRELLO, STEELMAN, HARHART, CAPPABIANCA, CIVERA, YOUNGBLOOD,
           SAYLOR, WILT, BENNINGHOFF AND ZUG, JUNE 4, 1997

        SENATOR TILGHMAN, APPROPRIATIONS, IN SENATE, RE-REPORTED AS
           AMENDED, NOVEMBER 24, 1997

                                     AN ACT

     1  Amending the act of September 20, 1961 (P.L.1541, No.657),        <--
     2     entitled, as reenacted and amended, "An act providing for the
     3     issuing, administration, enforcement and termination of
     4     marketing programs on agricultural commodities; imposing
     5     powers and duties on the Secretary of Agriculture; providing
     6     for the creation and operation of advisory boards;
     7     prescribing the content of programs; and providing for the
     8     imposition and collection of fees," further providing for the
     9     definition of "agricultural commodity."
    10  AMENDING TITLE 3 (AGRICULTURE) OF THE PENNSYLVANIA CONSOLIDATED   <--
    11     STATUTES, FURTHER DEFINING "GARBAGE" FOR PURPOSES OF DOMESTIC
    12     ANIMALS; PROVIDING FOR PAYMENT OF INDEMNIFICATION AND
    13     DEPOPULATION INCENTIVES FOR AVIAN INFLUENZA; FURTHER
    14     PROVIDING FOR GENERAL TESTING AND INSPECTION OF SCANNING
    15     DEVICES; PROVIDING FOR THE ISSUING, ADMINISTRATION,
    16     ENFORCEMENT AND TERMINATION OF MARKETING PROGRAMS ON
    17     AGRICULTURAL COMMODITIES; IMPOSING POWERS AND DUTIES ON THE
    18     SECRETARY OF AGRICULTURE; PROVIDING FOR THE CREATION AND
    19     OPERATION OF ADVISORY BOARDS; PRESCRIBING THE CONTENT OF
    20     PROGRAMS; PROVIDING FOR THE IMPOSITION AND COLLECTION OF
    21     FEES; AND MAKING A REPEAL.

    22     The General Assembly of the Commonwealth of Pennsylvania
    23  hereby enacts as follows:
    24     Section 1.  Section 2(6) of the act of September 20, 1961      <--

     1  (P.L.1541, No.657), known as the Pennsylvania Agricultural
     2  Commodities Marketing Act of 1968, reenacted and amended July
     3  16, 1968 (P.L.359, No.179), is amended to read:
     4     Section 2.  Definitions.--When used in this act, the
     5  following words and phrases shall have the following meanings,
     6  unless the context indicates otherwise:
     7     * * *
     8     (6)  "Agricultural commodity" means agricultural,
     9  aquacultural, horticultural, viticultural and dairy products,
    10  livestock and the products thereof, ranch raised fur bearing
    11  animals and the products thereof, the products of poultry and
    12  bee raising, forestry and forestry products, and any and all
    13  products raised or produced on farms intended for human
    14  consumption and the processed or manufactured products thereof
    15  intended for human consumption, transported or intended to be
    16  transported in commerce.
    17     * * *
    18     Section 2.  This act shall take effect in 60 days.
    19     SECTION 1.  THE DEFINITION OF "GARBAGE" IN SECTION 2303 OF     <--
    20  TITLE 3 OF THE PENNSYLVANIA CONSOLIDATED STATUTES IS AMENDED TO
    21  READ:
    22  § 2303.  DEFINITIONS.
    23     THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS CHAPTER
    24  SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE
    25  CONTEXT CLEARLY INDICATES OTHERWISE:
    26     * * *
    27     ["GARBAGE."  ALL WASTE MATERIAL RESULTING FROM THE HANDLING,
    28  PREPARATION, COOKING OR CONSUMPTION OF FOOD, EXCEPT THAT THE
    29  TERM SHALL NOT INCLUDE WASTE FROM ORDINARY HOUSEHOLD OPERATIONS
    30  WHICH IS FED DIRECTLY TO DOMESTIC ANIMALS ON THE SAME PREMISES
    19970H1573B2584                  - 2 -

     1  WHERE THE HOUSEHOLD IS LOCATED. THE TERM ALSO DOES NOT INCLUDE
     2  ANY WASTE OR RESIDUALS FROM FOOD PROCESSING OPERATIONS.]
     3     "GARBAGE."  ALL WASTE OR RESIDUALS RESULTING FROM THE
     4  HANDLING, PREPARATION, COOKING OR CONSUMPTION OF FOOD DERIVED IN
     5  WHOLE OR IN PART FROM THE MEAT OF ANY ANIMAL, INCLUDING POULTRY
     6  AND FISH, OR OTHER ANIMAL MATERIAL AND OTHER REFUSE OF ANY
     7  CHARACTER THAT HAS BEEN ASSOCIATED WITH THE MEAT OF ANY ANIMAL
     8  OR OTHER ANIMAL MATERIAL. THE TERM DOES NOT INCLUDE WASTE FROM
     9  ORDINARY HOUSEHOLD OPERATIONS THAT IS FED DIRECTLY TO SWINE ON
    10  THE SAME PREMISES WHERE THE HOUSEHOLD IS LOCATED.
    11     * * *
    12     SECTION 2.  SECTIONS 2333 AND 4112(C) OF TITLE 3 ARE AMENDED
    13  TO READ:
    14  § 2333.  RESTRICTION ON PAYMENT OF INDEMNIFICATION AND
    15             DEPOPULATION INCENTIVE.
    16     (A)  GENERALLY.--NOTWITHSTANDING ANY OTHER PROVISION OF LAW,
    17  INDEMNIFICATION UNDER SECTION 2331 (RELATING TO INDEMNIFICATION)
    18  AND DEPOPULATION INCENTIVE UNDER SECTION 2332 (RELATING TO
    19  DEPOPULATION INCENTIVE) SHALL BE PAID ONLY FOR DOMESTIC ANIMALS.
    20     (B)  AVIAN INFLUENZA.--NOTWITHSTANDING ANY OTHER PROVISION OF
    21  LAW, WHETHER A DOMESTIC ANIMAL, DOMESTIC ANIMAL PRODUCT OR OTHER
    22  PROPERTY IS CONDEMNED BY THE DEPARTMENT AND SLAUGHTERED OR
    23  DESTROYED UNDER SECTION 2331 OR VOLUNTARILY SLAUGHTERED OR
    24  DESTROYED BY THE OWNER UNDER SECTION 2332 TO ERADICATE OR
    25  PREVENT THE SPREAD OF AVIAN INFLUENZA, THE AMOUNT PAYABLE BY THE
    26  DEPARTMENT SHALL, IN ALL CASES, BE THE SAME MAXIMUM PERCENTAGE    <--
    27  OF APPRAISED VALUE AS DETERMINED BY THE DEPARTMENT. ALL OTHER     <--
    28  PROVISIONS OF SECTIONS 2331 AND 2332 SHALL APPLY TO ANY PAYMENT
    29  UNDER THIS SUBSECTION.
    30  § 4112.  GENERAL TESTING AND INSPECTIONS.
    19970H1573B2584                  - 3 -

     1     * * *
     2     (C)  GENERAL TESTING AND INSPECTION OF SCANNING DEVICES.--
     3  NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER TO THE
     4  CONTRARY, WITHIN THE 12-MONTH PERIOD ENDING ON [JUNE 30, 1998]
     5  JUNE 30, 1999, AND EVERY 12-MONTH PERIOD THEREAFTER, THE
     6  DEPARTMENT SHALL TEST AND INSPECT TO ASCERTAIN IF THEY ARE
     7  CORRECT ALL COMMERCIALLY USED UNIVERSAL PRODUCT CODE SCANNING
     8  SYSTEMS AND PRICE LOOK UP DEVICES. A CITY OR COUNTY MAY TEST AND
     9  INSPECT SUCH DEVICES AND SYSTEMS IF SPECIFIED IN ITS MEMORANDUM
    10  OF UNDERSTANDING ENTERED INTO WITH THE DEPARTMENT IN ACCORDANCE
    11  WITH SECTION 4125 (RELATING TO DIVISION OF RESPONSIBILITIES).
    12  SUCH DEVICES AND SYSTEMS SHALL BE EXEMPT FROM THE ANNUAL TESTING
    13  AND INSPECTION REQUIREMENTS OF THIS SUBSECTION IF THE DEVICE OR
    14  SYSTEM IS INSPECTED AT LEAST ANNUALLY ON AN UNANNOUNCED BASIS AS
    15  PART OF A PRIVATE CERTIFICATION PROGRAM WHICH CONFORMS WITH THE
    16  EXAMINATION PROCEDURES FOR PRICE VERIFICATION AS ADOPTED BY THE
    17  NATIONAL CONFERENCE OF WEIGHTS AND MEASURES.
    18     SECTION 3.  TITLE 3 IS AMENDED BY ADDING A CHAPTER TO READ:
    19                             CHAPTER 45
    20                 AGRICULTURAL COMMODITIES MARKETING
    21  SEC.
    22  4501.  SHORT TITLE OF CHAPTER.
    23  4502.  DEFINITIONS.
    24  4503.  POWERS AND DUTIES OF SECRETARY.
    25  4504.  COMMODITY MARKETING BOARD.
    26  4505.  PROVISIONS OF MARKETING PROGRAMS.
    27  4506.  EFFECTING MARKETING PROGRAMS.
    28  4507.  TERMINATING MARKETING PROGRAMS.
    29  4508.  MARKETING PROGRAM REVIEW AND AMENDMENTS.
    30  4509.  NOTICE OF ISSUANCE.
    19970H1573B2584                  - 4 -

     1  4510.  COLLECTION OF FEES.
     2  4511.  RULES AND REGULATIONS FOR ENFORCEMENT.
     3  4512.  ADVANCED DEPOSITS.
     4  4513.  SEVERABILITY.
     5  § 4501.  SHORT TITLE OF CHAPTER.
     6     THIS CHAPTER SHALL BE KNOWN AND MAY BE CITED AS THE
     7  AGRICULTURAL COMMODITIES MARKETING ACT.
     8  § 4502.  DEFINITIONS.
     9     THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS CHAPTER
    10  SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE
    11  CONTEXT CLEARLY INDICATES OTHERWISE:
    12     "AGRICULTURAL COMMODITY."  AGRICULTURAL, AQUACULTURAL,
    13  HORTICULTURAL, VITICULTURAL AND DAIRY PRODUCTS, LIVESTOCK AND
    14  THE PRODUCTS THEREOF, RANCH RAISED FURBEARING ANIMALS AND THE
    15  PRODUCTS THEREOF, THE PRODUCTS OF POULTRY AND BEE RAISING,
    16  FORESTRY AND FORESTRY PRODUCTS, AND ANY AND ALL PRODUCTS RAISED
    17  OR PRODUCED ON FARMS INTENDED FOR HUMAN CONSUMPTION AND THE
    18  PROCESSED OR MANUFACTURED PRODUCTS THEREOF INTENDED FOR HUMAN
    19  CONSUMPTION, TRANSPORTED OR INTENDED TO BE TRANSPORTED IN
    20  COMMERCE.
    21     "COMMODITY MARKETING BOARD" OR "BOARD."  THE PERSONS WHO ARE
    22  APPOINTED BY THE SECRETARY OF AGRICULTURE FROM AMONG PRODUCERS
    23  WHOSE COMMODITIES ARE SUBJECT TO AN ISSUED MARKETING PROGRAM.
    24     "COOPERATIVE ASSOCIATION."  ANY COOPERATIVE MARKETING
    25  ASSOCIATION OF PRODUCERS WHICH THE SECRETARY OF AGRICULTURE
    26  DETERMINES, AFTER APPLICATION BY THE COOPERATIVE ASSOCIATION:
    27         (1)  TO BE QUALIFIED UNDER THE PROVISIONS OF THE CO-
    28     OPERATIVE MARKETING ASSOCIATIONS ACT (42 STAT. 388, 7 U.S.C.
    29     §§ 291 AND 292) AND ORGANIZED AS A COOPERATIVE AGRICULTURAL
    30     ASSOCIATION UNDER THE LAWS OF THIS COMMONWEALTH AND ANY OTHER
    19970H1573B2584                  - 5 -

     1     STATE; AND
     2         (2)  TO HAVE FULL AUTHORITY IN THE SALE OF AFFECTED
     3     AGRICULTURAL COMMODITY OF ITS MEMBERS AND TO BE ENGAGED IN
     4     MAKING COLLECTIVE SALES OF OR MARKETING THE COMMODITY OR ITS
     5     PRODUCTS FOR ITS MEMBERS.
     6     "MARKETING CONTRACT."  A CONTRACT OR AGREEMENT BETWEEN A
     7  COMMODITY MARKETING BOARD AND A PERSON FOR THE PERFORMANCE OF
     8  SERVICES RELATING TO ADVERTISING, MARKETING, PROMOTION, RESEARCH
     9  OR OTHER OBJECTIVES IN FURTHERANCE OF A MARKETING PROGRAM.
    10     "MARKETING PROGRAM."  A PROGRAM ESTABLISHED PURSUANT TO THIS
    11  CHAPTER GOVERNING THE COLLECTION OF FEES AND ADMINISTRATION OF
    12  BUDGETS TO IMPLEMENT PROJECTS TO BENEFIT PRODUCERS IN THIS
    13  COMMONWEALTH DURING ANY SPECIFIED PERIOD OR PERIODS.
    14     "PERSON."  AN INDIVIDUAL, FIRM, CORPORATION, ASSOCIATION OR
    15  ANY OTHER BUSINESS UNIT.
    16     "PRODUCER."  A PERSON ENGAGED WITHIN THIS COMMONWEALTH OR A
    17  PRODUCTION AREA WITHIN THIS COMMONWEALTH IN THE BUSINESS OF
    18  PRODUCING AGRICULTURAL COMMODITIES OR CAUSING AGRICULTURAL
    19  COMMODITIES TO BE PRODUCED.
    20     "SALES AGENT."  ANY PERSON, INCLUDING INDIVIDUALS,
    21  PARTNERSHIPS, CORPORATIONS, COOPERATIVE ASSOCIATIONS AND
    22  UNINCORPORATED COOPERATIVE ASSOCIATIONS, WHO PURCHASES OR
    23  HANDLES OR RECEIVES OR SELLS OR CONTRACTS TO SELL AN AFFECTED
    24  AGRICULTURAL COMMODITY.
    25  § 4503.  POWERS AND DUTIES OF SECRETARY.
    26     (A)  ADMINISTRATION AND ENFORCEMENT OF CHAPTER.--SUBJECT TO
    27  THE PROVISIONS CONTAINED IN THIS CHAPTER, THE SECRETARY SHALL
    28  ADMINISTER AND ENFORCE THE PROVISIONS OF THIS CHAPTER, AND SHALL
    29  HAVE AND SHALL EXERCISE ALL ADMINISTRATIVE POWERS NECESSARY TO
    30  EFFECTUATE THE PURPOSES OF THIS CHAPTER, INCLUDING THE ISSUANCE
    19970H1573B2584                  - 6 -

     1  OF MARKETING PROGRAMS, THE APPOINTMENT OF MEMBERS TO COMMODITY
     2  MARKETING BOARDS AS PROVIDED IN SECTION 4504 (RELATING TO
     3  COMMODITY MARKETING BOARD) AND THE PROVIDING OF PERSONNEL,
     4  STAFF, LEGAL COUNSEL AND OFFICE FACILITIES REQUIRED FOR THE
     5  ADMINISTRATION AND ENFORCEMENT OF MARKETING PROGRAMS.
     6     (B)  GROUNDS FOR PUBLIC HEARING.--WHENEVER THE SECRETARY HAS
     7  REASON TO BELIEVE THAT THE ISSUANCE OF A MARKETING PROGRAM OR
     8  AMENDMENTS TO AN EXISTING MARKETING PROGRAM WILL TEND TO
     9  EFFECTUATE THIS CHAPTER, THE SECRETARY SHALL, EITHER UPON HIS
    10  OWN MOTION OR UPON APPLICATION OF ANY PRODUCER OR ANY
    11  ORGANIZATION OF PRODUCERS, GIVE DUE NOTICE OF AN OPPORTUNITY FOR
    12  A PUBLIC HEARING UPON A PROPOSED MARKETING PROGRAM OR AMENDMENTS
    13  TO AN EXISTING MARKETING PROGRAM.
    14     (C)  PUBLICATION OF NOTICE OF HEARING.--NOTICE OF ANY HEARING
    15  CALLED FOR THIS PURPOSE SHALL BE GIVEN BY THE SECRETARY BY
    16  PUBLISHING A NOTICE OF THE HEARING, FOR A PERIOD OF NOT LESS
    17  THAN FIVE CONSECUTIVE PUBLICATION DAYS, IN A DAILY NEWSPAPER OF
    18  GENERAL CIRCULATION, PUBLISHED IN THE CAPITAL OF THE
    19  COMMONWEALTH AND IN ANY OTHER NEWSPAPER OR NEWSPAPERS AS THE
    20  SECRETARY MAY PRESCRIBE. NO PUBLIC HEARING SHALL BE HELD PRIOR
    21  TO 20 DAYS AFTER THE LAST DAY OF THE PERIOD OF PUBLICATION.
    22     (D)  MAILING TO PRODUCERS.--THE SECRETARY SHALL ALSO MAIL A
    23  COPY OF THE NOTICE OF A HEARING AND A COPY OF THE PROPOSED
    24  MARKETING PROGRAM OR PROPOSED AMENDMENTS TO ALL PRODUCERS WHOSE
    25  NAMES AND ADDRESSES APPEAR UPON LISTS OF SUCH PERSONS WHICH
    26  SHALL BE COMPILED IN THE DEPARTMENT.
    27     (E)  SPECIFICS OF NOTICE.--THE NOTICE OF HEARING SHALL SET
    28  FORTH THE DATE AND PLACE OF THE HEARING, AND THE AREA COVERED BY
    29  THE PROPOSED MARKETING PROGRAM, OR THE PROPOSED AMENDMENTS, AND
    30  A STATEMENT THAT THE SECRETARY WILL RECEIVE AT THE HEARING, IN
    19970H1573B2584                  - 7 -

     1  ADDITION TO TESTIMONY AND EVIDENCE AS TO THE PROPOSED MARKETING
     2  PROGRAM, TESTIMONY AND EVIDENCE AS TO OTHER NECESSARY AND
     3  RELEVANT MATTERS, INCLUDING RATE OF ASSESSMENT, AND WITH RESPECT
     4  TO THE ACCURACY AND SUFFICIENCY OF LISTS ON FILE WITH THE
     5  SECRETARY, WHICH SHOW THE NAMES AND ADDRESSES OF PRODUCERS AND
     6  THE QUANTITIES OF AGRICULTURAL COMMODITIES PRODUCED BY THE
     7  PRODUCERS IN THE MARKETING SEASON NEXT PRECEDING THE HEARING.
     8     (F)  HEARING REQUIREMENTS.--THE HEARING SHALL BE PUBLIC, AND
     9  ALL TESTIMONY SHALL BE RECEIVED UNDER OATH. A FULL AND COMPLETE
    10  RECORD OF ALL PROCEEDINGS AT THE HEARINGS SHALL BE MADE AND
    11  MAINTAINED ON FILE IN THE OFFICE OF THE SECRETARY. AT HEARINGS
    12  THE SECRETARY SHALL RECEIVE, IN ADDITION TO OTHER NECESSARY AND
    13  RELEVANT MATTERS, TESTIMONY AND EVIDENCE REGARDING THE RATE OF
    14  ASSESSMENT AND TESTIMONY AND EVIDENCE WITH RESPECT TO THE
    15  ACCURACY AND SUFFICIENCY OF THE LISTS ON FILE WITH THE
    16  SECRETARY, WHICH SHOW THE NAMES OF THE PRODUCERS AND THE
    17  QUANTITIES OF AGRICULTURAL COMMODITIES PRODUCED BY THE PRODUCERS
    18  IN THE MARKETING SEASON NEXT PRECEDING THE HEARING.
    19     (G)  ISSUANCE OF MARKETING PROGRAM.--AFTER NOTICE AND
    20  HEARING, THE SECRETARY MAY ISSUE A MARKETING PROGRAM IF THE
    21  SECRETARY FINDS AND SETS FORTH IN THE MARKETING PROGRAM THAT THE
    22  PROGRAM WILL TEND TO EFFECTUATE THE PURPOSES OF THIS CHAPTER.
    23  § 4504.  COMMODITY MARKETING BOARD.
    24     (A)  ESTABLISHMENT OF COMMODITY MARKETING BOARD.--
    25         (1)  EACH MARKETING PROGRAM, ISSUED PURSUANT TO THIS
    26     CHAPTER, SHALL PROVIDE FOR THE ESTABLISHMENT OF A COMMODITY
    27     MARKETING BOARD, WHICH SHALL HAVE PRIMARY DECISION MAKING
    28     AUTHORITY RELATIVE TO MARKETING CONTRACTS AND OTHER PROJECTS
    29     IN FURTHERANCE OF THE PROGRAM. THE NUMBER, REPRESENTATION,
    30     QUALIFICATIONS AND TERMS OF BOARD MEMBERS AND THE SCHEDULE OF
    19970H1573B2584                  - 8 -

     1     REGULAR BOARD MEETINGS AND PROCEDURE FOR CALLING SPECIAL
     2     BOARD MEETINGS SHALL BE ESTABLISHED IN THE ISSUED MARKETING
     3     PROGRAM. NO MARKETING PROGRAM SHALL BE ISSUED TO ESTABLISH A
     4     COMMODITY BOARD OF LESS THAN FIVE MEMBERS, ONE OF WHOM SHALL
     5     BE THE SECRETARY, OR THE SECRETARY'S DESIGNEE. THE OTHER
     6     BOARD MEMBERS SHALL BE APPOINTED BY THE SECRETARY FROM AMONG
     7     THE AGRICULTURAL PRODUCERS WHOSE COMMODITIES SHALL BE SUBJECT
     8     TO THE MARKETING PROGRAM. IN MAKING THESE APPOINTMENTS, THE
     9     SECRETARY SHALL CONSIDER NOMINATIONS SUBMITTED BY THE
    10     PRODUCERS. NO DECISION BY THE BOARD SHALL BE EFFECTIVE
    11     UNLESS, PURSUANT TO REGULAR OR SPECIAL MEETINGS, A MAJORITY
    12     OF BOARD MEMBERS WERE PRESENT AND A MAJORITY OF THOSE PRESENT
    13     VOTED IN SUPPORT OF THE DECISION. ALL DECISIONS RENDERED BY
    14     THE BOARD SHALL BE RECORDED IN WRITTEN MINUTES OF THE
    15     MEETING, AND THE RECORDED MINUTES SHALL BE MADE AVAILABLE TO
    16     THE SECRETARY AND TO THE PRODUCERS WHOSE COMMODITIES ARE
    17     SUBJECT TO THE MARKETING PROGRAM.
    18         (2)  IF THE SECRETARY REQUIRES SALES AGENTS TO COLLECT
    19     PRODUCER CHARGES UNDER SECTION 4510(B) (RELATING TO
    20     COLLECTION OF FEES), AN ADDITIONAL MEMBER SHALL BE APPOINTED
    21     TO THE BOARD BY THE SECRETARY. THIS MEMBER SHALL REPRESENT
    22     THESE SALES AGENTS WHO ARE SUBJECT TO THE MARKETING PROGRAM
    23     COLLECTION AGREEMENT. IN MAKING THE APPOINTMENT, THE
    24     SECRETARY SHALL CONSIDER NOMINATIONS BY THE SALES AGENTS.
    25     (B)  BOARD MEMBERS.--NO MEMBER OF A COMMODITY MARKETING BOARD
    26  SHALL RECEIVE A SALARY, BUT EACH SHALL BE ENTITLED TO ACTUAL
    27  EXPENSES INCURRED WHILE ENGAGED IN PERFORMING THE DUTIES
    28  AUTHORIZED BY THIS CHAPTER. ANY MARKETING PROGRAM ESTABLISHED
    29  UNDER THIS CHAPTER MAY AUTHORIZE A PAYMENT NOT TO EXCEED $100
    30  PER DAY, AND EXPENSES FOR EACH DAY IN WHICH A BOARD MEMBER OR
    19970H1573B2584                  - 9 -

     1  SUBCOMMITTEE MEMBER IS PERFORMING A DUTY NECESSARY TO THE
     2  FUNCTION OF THE BOARD.
     3     (C)  POWERS AND DUTIES OF BOARD.--IN ADMINISTERING THE
     4  MARKETING PROGRAM THE BOARD SHALL HAVE THE FOLLOWING POWERS AND
     5  DUTIES:
     6         (1)  TO DETERMINE ALL MATTERS PERTAINING TO THE MARKETING
     7     PROGRAM ISSUED BY THE SECRETARY.
     8         (2)  TO HIRE AND EMPLOY PERSONNEL WHICH THE BOARD DEEMS
     9     NECESSARY FOR THE PROPER ADMINISTRATION OF THE MARKETING
    10     PROGRAM AND TO FIX THE COMPENSATION AND TERMS OF EMPLOYMENT
    11     OF PERSONNEL. THE HIRING, EMPLOYMENT, COMPENSATION AND TERMS
    12     OF EMPLOYMENT OF PERSONNEL UNDER THIS PARAGRAPH SHALL NOT BE
    13     SUBJECT TO THE PROVISIONS OF THE ACT OF APRIL 9, 1929
    14     (P.L.177, NO.175), KNOWN AS THE ADMINISTRATIVE CODE OF 1929.
    15         (3)  TO ADOPT WRITTEN PROCEDURES FOR ACQUIRING AND
    16     DISPOSING OF PROPERTY, AND, SUBJECT TO THESE PROCEDURES, TO
    17     ACQUIRE, OWN, USE, HIRE, LEASE, OPERATE AND DISPOSE OF
    18     PERSONAL PROPERTY, REAL PROPERTY AND INTERESTS IN REAL
    19     PROPERTY.
    20         (4)  TO MAKE AND ENTER INTO ALL CONTRACTS AND AGREEMENTS,
    21     IN ACCORDANCE WITH THE PROVISIONS OF THE LAW, WHICH THE BOARD
    22     DEEMS NECESSARY OR INCIDENTAL TO THE FURTHERANCE OF THE
    23     MARKETING PROGRAM OR PERFORMANCE OF DUTIES AND POWERS UNDER
    24     THIS CHAPTER. MARKETING CONTRACTS AND THE PROCEDURES AND
    25     DECISIONS RELATED TO CONTRACTS SHALL NOT BE SUBJECT TO
    26     COMPETITIVE BIDDING REQUIREMENTS OF ANY OTHER STATUTE OR
    27     OTHER REQUIREMENTS PRESCRIBED IN THE ADMINISTRATIVE CODE OF
    28     1929. THE BOARD SHALL ADOPT WRITTEN PROCUREMENT PROCEDURES
    29     FOR ALL MARKETING CONTRACTS. PROCEDURES SHALL INCLUDE:
    30             (I)  THE METHOD OR METHODS WHICH THE BOARD MAY USE TO
    19970H1573B2584                 - 10 -

     1         INVITE PROPOSALS FOR MARKETING CONTRACTS AND THE MANNER
     2         OF NOTICE TO BE GIVEN TO PROSPECTIVE CONTRACTING PARTIES.
     3             (II)  THE MINIMUM QUALIFICATIONS OF A PROSPECTIVE
     4         CONTRACTING PARTY NECESSARY FOR CONSIDERATION BY THE
     5         BOARD IN MARKETING CONTRACTS.
     6             (III)  THE MANNER IN WHICH A CONTRACT OFFER IS
     7         ACCEPTED AND A MARKETING CONTRACT IS AWARDED BY THE
     8         BOARD. NOTWITHSTANDING ANY OTHER REQUIREMENT OF THIS
     9         SUBSECTION, THE BOARD MAY MAKE SOLE SOURCE PROCUREMENTS
    10         WHEN THERE IS ONLY ONE SOURCE FOR THE REQUIRED SERVICE
    11         AND MAY MAKE EMERGENCY PROCUREMENTS WHEN THE BOARD
    12         DETERMINES IN WRITING THAT THE PROCEDURE IS NECESSARY DUE
    13         TO THE URGENCY OF THE PARTICULAR SITUATION.
    14         (5)  TO RECEIVE, ACCOUNT FOR AND DISBURSE ALL MONEYS
    15     COLLECTED PURSUANT TO THE ISSUED MARKETING PROGRAM.
    16         (6)  TO PREPARE A BUDGET FOR THE ADMINISTRATION,
    17     OPERATING COSTS AND EXPENSES OF THE PROGRAM.
    18         (7)  TO RECEIVE AND REPORT TO THE SECRETARY COMPLAINTS OR
    19     VIOLATIONS OF THE MARKETING PROGRAM AND TO ASSIST AND
    20     COOPERATE WITH THE SECRETARY IN THE ENFORCEMENT THEREOF.
    21         (8)  TO ESTABLISH COMMITTEES OR SUBCOMMITTEES TO CARRY
    22     OUT ASSIGNED DUTIES AND FUNCTIONS, AND TO DESIGNATE BOARD
    23     MEMBERS AND NONBOARD MEMBERS TO SERVE ON SUCH COMMITTEES AND
    24     SUBCOMMITTEES.
    25         (9)  TO COLLECT AND GATHER INFORMATION AND DATA RELEVANT
    26     TO THE PROPER ADMINISTRATION OF THE MARKETING PROGRAM.
    27         (10)  TO CHARGE FEES AND TO ASSIST THE SECRETARY IN THE
    28     IMPOSITION OF FEES AND THE COLLECTION OF FEES AND REVENUES
    29     UNDER THIS CHAPTER.
    30         (11)  TO ISSUE AN ANNUAL REPORT ON THE OPERATION OF THE
    19970H1573B2584                 - 11 -

     1     PROGRAM.
     2         (12)  TO RECOMMEND AMENDMENTS TO THE MARKETING PROGRAM
     3     AND AMENDMENTS TO THIS ACT AND REGULATIONS ISSUED UNDER THIS
     4     CHAPTER.
     5     (D)  LIMITATION.--NO FINANCIAL OBLIGATION SHALL BE INCURRED
     6  BY ANY BOARD BEYOND THE EXTENT TO WHICH MONEY SHALL HAVE BEEN
     7  PROVIDED UNDER THE AUTHORITY OF THIS CHAPTER. NO OBLIGATION OR
     8  LIABILITY OF ANY TYPE INCURRED BY A BOARD CREATED PURSUANT TO
     9  THIS CHAPTER SHALL BE AN OBLIGATION OR LIABILITY OF THE
    10  COMMONWEALTH, AND NO BOARD SHALL HAVE THE POWER TO PLEDGE THE
    11  CREDIT OR TAXING POWER OF THE COMMONWEALTH NOR TO MAKE ITS DEBTS
    12  PAYABLE OUT OF ANY MONEYS EXCEPT THOSE PROVIDED FOR BY THIS
    13  CHAPTER.
    14     (E)  DAIRY INDUSTRY MARKETING PROGRAM.--ANY MARKETING PROGRAM
    15  ISSUED UNDER THIS CHAPTER SPECIFICALLY FOR THE DAIRY INDUSTRY
    16  SHALL PROVIDE FOR THE ESTABLISHMENT OF A BOARD OF 21 MEMBERS,
    17  WHO SHALL INCLUDE THE SECRETARY, OR HIS DESIGNEE, AND 20 PERSONS
    18  APPOINTED BY THE SECRETARY WHO ARE ACTIVE IN THE PRODUCTION OF
    19  MILK, INCLUDING, BUT NOT LIMITED TO, REPRESENTATIVES OF MILK
    20  COOPERATIVES AND FARMING ASSOCIATIONS, PRODUCER-HANDLERS OF MILK
    21  AND INDEPENDENT DAIRY FARMERS. IN ADDITION TO THE POWERS AND
    22  DUTIES CONTAINED IN SUBSECTION (C), THE COMMODITY MARKETING
    23  BOARD OF THE DAIRY PROMOTION PROGRAM SHALL HAVE THE POWER TO
    24  ELECT OR APPOINT FROM THE MEMBERSHIP OF THE BOARD A CHAIRMAN,
    25  VICE CHAIRMAN, SECRETARY AND TREASURER AND TO HOLD SPECIAL
    26  MEETINGS AT THE REQUEST OF THE CHAIRMAN OR UPON REQUEST OF ONE-
    27  THIRD OF THE MEMBERS OF THE BOARD.
    28  § 4505.  PROVISIONS OF MARKETING PROGRAMS.
    29     SUBJECT TO THE LEGISLATIVE RESTRICTIONS AND LIMITATIONS SET
    30  FORTH IN THIS CHAPTER, ANY MARKETING PROGRAM ISSUED BY THE
    19970H1573B2584                 - 12 -

     1  SECRETARY PURSUANT TO THIS CHAPTER MAY CONTAIN ANY OR ALL OF THE
     2  FOLLOWING PROVISIONS:
     3         (1)  PROVISIONS FOR THE ESTABLISHMENT OF PLANS FOR
     4     ADVERTISING AND SALES PROMOTION TO MAINTAIN PRESENT MARKETS,
     5     OR TO CREATE NEW OR LARGER MARKETS FOR AGRICULTURAL
     6     COMMODITIES GROWN OR PRODUCED IN THIS COMMONWEALTH. PLANS
     7     SHALL BE DIRECTED TOWARD INCREASING THE SALE OF SUCH
     8     COMMODITIES WITHOUT REFERENCE TO ANY PARTICULAR FIRM'S OR
     9     INDIVIDUAL'S BRAND OR TRADE NAME. NO ADVERTISING OR SALES
    10     PROMOTION PROGRAM SHALL BE ISSUED BY THE SECRETARY, WHICH
    11     SHALL MAKE USE OF FALSE OR UNWARRANTED CLAIMS ON BEHALF OF
    12     ANY PRODUCT OR DISPARAGE THE QUALITY, VALUE, SALE OR USE OF
    13     ANY OTHER AGRICULTURAL COMMODITY.
    14         (2)  PROVISIONS FOR THE ESTABLISHMENT OF RESEARCH
    15     PROGRAMS DESIGNED TO BENEFIT PRODUCERS, OR FOR AGRICULTURE IN
    16     GENERAL.
    17         (3)  PROVISIONS ESTABLISHING OR PROVIDING AUTHORITY FOR
    18     ESTABLISHING AN INFORMATION AND SERVICE PROGRAM DESIGNED TO
    19     ACQUAINT PRODUCERS AND OTHER INTERESTED PERSONS WITH QUALITY
    20     STANDARDS AND QUALITY IMPROVEMENTS.
    21         (4)  PROVISIONS ALLOWING THE SECRETARY AND THE COMMODITY
    22     MARKETING BOARD TO COOPERATE WITH ANY OTHER STATE OR FEDERAL
    23     AGENCY, OR OTHER ORGANIZATION WHOSE ACTIVITIES MAY BE DEEMED
    24     BENEFICIAL TO THE PURPOSE OF THIS CHAPTER.
    25         (5)  PROVISION MAY BE MADE IN THE PROGRAM TO EXEMPT, OR
    26     ALLOW SUITABLE ADJUSTMENTS OR CREDITS, IN CONNECTION WITH AN
    27     AGRICULTURAL COMMODITY ON WHICH A MANDATORY CHECKOFF FOR
    28     MARKET DEVELOPMENT IS REQUIRED UNDER THE AUTHORITY OF ANY
    29     FEDERAL LAW.
    30  § 4506.  EFFECTING MARKETING PROGRAMS.
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     1     (A)  REFERENDUM REQUIRED.--NO MARKETING PROGRAM, OR AMENDMENT
     2  THERETO, SHALL BECOME EFFECTIVE UNLESS AND UNTIL THE SECRETARY
     3  DETERMINES BY A REFERENDUM WHETHER OR NOT THE AFFECTED PRODUCERS
     4  ASSENT TO THE PROPOSED ACTION.
     5     (B)  MAJORITY VOTE.--THE SECRETARY SHALL CONDUCT THE
     6  REFERENDUM AMONG THE AFFECTED PRODUCERS, AND THE AFFECTED
     7  PRODUCERS SHALL BE DEEMED TO HAVE ASSENTED TO THE PROPOSED
     8  PROGRAM IF, OF THOSE VOTING, A MAJORITY BY NUMBER AND A MAJORITY
     9  BY VOLUME ASSENT TO THE PROPOSED PROGRAM.
    10     (C)  VOTE OF COOPERATIVE ASSOCIATION.--IN DETERMINING WHETHER
    11  A MARKETING PROGRAM OR AN AMENDMENT TO THE MARKETING PROGRAM HAS
    12  BEEN APPROVED BY PRODUCERS, THE SECRETARY SHALL CONSIDER THE
    13  VOTE OF A COOPERATIVE ASSOCIATION AS THE VOTES OF ITS MEMBERS,
    14  PROVIDING THE COOPERATIVE HAS FIRST NOTIFIED ITS MEMBERS IN
    15  WRITING AT LEAST 30 DAYS IN ADVANCE OF ITS INTENTION TO CAST A
    16  REPRESENTATIVE VOTE. THE NOTICE SHALL INFORM THE PRODUCER OF THE
    17  RIGHT TO CAST A VOTE INDIVIDUALLY AND SHALL INCLUDE THE
    18  FOLLOWING WORDING IN BOLD FACE TYPE: WARNING - IF YOU DO NOT
    19  EXERCISE YOUR RIGHT TO VOTE YOUR COOPERATIVE HAS THE RIGHT TO
    20  VOTE FOR YOU. EACH PRODUCER SHALL RECEIVE A BALLOT FROM THE
    21  SECRETARY. THE BALLOT SHALL CONTAIN THE FOLLOWING WORDING IN
    22  BOLD FACE TYPE: WARNING - IF YOU DO NOT EXERCISE YOUR RIGHT TO
    23  VOTE YOUR COOPERATIVE HAS THE RIGHT TO VOTE FOR YOU. IF THE
    24  PRODUCER VOTES INDIVIDUALLY, THE VOTE SHALL BE DEDUCTED FROM THE
    25  COOPERATIVE REPRESENTATIVE VOTE.
    26     (D)  PROCEDURE.--ANY REFERENDUM REQUIRED UNDER THIS CHAPTER
    27  SHALL BE CONDUCTED IN ACCORDANCE WITH REASONABLE RULES AND
    28  REGULATIONS TO BE ESTABLISHED AND PROMULGATED BY THE SECRETARY.
    29     (E)  PENNSYLVANIA DAIRY PRODUCTS PROMOTION PROGRAM.--THE
    30  SECRETARY MAY ESTABLISH WITHOUT A REFERENDUM A PENNSYLVANIA
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     1  DAIRY PRODUCTS PROMOTION PROGRAM, PROVIDED THAT THE PROGRAM IS
     2  FINANCED BY VOLUNTARY CONTRIBUTIONS CREDITED AGAINST ASSESSMENTS
     3  PAYABLE TO THE NATIONAL DAIRY PROMOTION AND RESEARCH BOARD
     4  PURSUANT TO THE DAIRY AND TOBACCO ADJUSTMENT ACT OF 1983 (PUBLIC
     5  LAW 98-180, 97 STAT. 1128). THIS PROGRAM SHALL TERMINATE, UNLESS
     6  CONTINUED BY REFERENDUM AS PROVIDED IN THIS SECTION, NOT LATER
     7  THAN SIX MONTHS FOLLOWING THE DISAPPROVAL OF THE FEDERAL DAIRY
     8  PROMOTION PROGRAM BY A MAJORITY OF PRODUCERS VOTING IN A
     9  NATIONWIDE REFERENDUM. THE ESTABLISHMENT, TERMINATION, AMENDMENT
    10  AND MANAGEMENT OF THE PENNSYLVANIA DAIRY PRODUCTS PROMOTION
    11  PROGRAM SHALL, EXCEPT AS PROVIDED IN THIS SUBSECTION, BE
    12  CONDUCTED PURSUANT TO THE PROVISIONS OF THIS CHAPTER.
    13  § 4507.  TERMINATING MARKETING PROGRAMS.
    14     SUBJECT TO APPROVAL OF THE APPROPRIATE COMMODITY MARKETING
    15  BOARD, THE SECRETARY SHALL SUSPEND OR TERMINATE ANY MARKETING
    16  PROGRAM OR ANY PROVISIONS OF ANY MARKETING PROGRAM WHENEVER THE
    17  SECRETARY FINDS THAT THE PROVISIONS OR PROGRAM DOES NOT TEND TO
    18  EFFECTUATE THIS CHAPTER WITHIN THE STANDARDS AND SUBJECT TO THE
    19  LIMITATIONS AND RESTRICTIONS IMPOSED IN THIS CHAPTER. A
    20  SUSPENSION OR TERMINATION SHALL NOT BE EFFECTIVE UNTIL THE
    21  EXPIRATION OF THE CURRENT MARKETING SEASON. IF THE SECRETARY
    22  FINDS THAT THE TERMINATION OF ANY MARKETING PROGRAM IS REQUESTED
    23  IN WRITING BY MORE THAN 33 1/3% OF THE AFFECTED PRODUCERS WHO
    24  PRODUCE FOR MARKET MORE THAN 50% OF THE VOLUME OF AGRICULTURAL
    25  COMMODITIES PRODUCED WITHIN THE DESIGNATED PRODUCTION AREA FOR
    26  MARKET, THE SECRETARY SHALL TERMINATE OR SUSPEND FOR A SPECIFIED
    27  PERIOD THE MARKETING PROGRAM OR PROVISIONS THEREOF. THE
    28  TERMINATION SHALL BE EFFECTIVE ONLY IF ANNOUNCED ON OR BEFORE
    29  THE DATE AS MAY BE SPECIFIED IN THE PROGRAM. IF 10% OF THE
    30  PRODUCERS IN A COMMODITY GROUP OF OVER 2,000 AFFECTED PRODUCERS
    19970H1573B2584                 - 15 -

     1  OR 15% OF THE PRODUCERS IN A COMMODITY GROUP OF LESS THAN 2,000
     2  AFFECTED PRODUCERS REQUEST IN WRITING THAT A REFERENDUM BE HELD
     3  ON THE QUESTION OF TERMINATING THE PROGRAM, THE SECRETARY MUST
     4  ANNOUNCE AND CONDUCT A REFERENDUM WITHIN A REASONABLE PERIOD OF
     5  TIME, AND IN ANY CASE, WITHIN ONE YEAR OF THE REQUEST, A
     6  MARKETING PROGRAM SHALL BE TERMINATED IF SO VOTED BY A MAJORITY
     7  OF THOSE VOTING.
     8  § 4508.  MARKETING PROGRAM REVIEW AND AMENDMENTS.
     9     (A)  REVIEW.--EVERY FIVE YEARS THE SECRETARY SHALL CALL A
    10  REFERENDUM OF AFFECTED PRODUCERS WITHIN EACH AGRICULTURAL
    11  COMMODITY GROUP FOR WHICH A MARKETING PROGRAM EXISTS TO
    12  DETERMINE WHETHER OR NOT A MAJORITY OF THOSE VOTING STILL DESIRE
    13  A MARKETING PROGRAM.
    14     (B)  REFERENDUM ON AMENDMENTS.--THE SECRETARY SHALL CALL FOR
    15  A REFERENDUM ON AMENDMENTS TO A MARKETING PROGRAM WITHIN A
    16  REASONABLE PERIOD OF TIME, UPON THE REQUEST OF THE ADVISORY
    17  BOARD OR WITH WRITTEN REQUEST OF 10% OF THE PRODUCERS IN A
    18  COMMODITY GROUP OF OVER 2,000 AFFECTED PRODUCERS OR 15% OF THE
    19  PRODUCERS IN A COMMODITY GROUP OF LESS THAN 2,000 AFFECTED
    20  PRODUCERS. IN VOTING ON AN AMENDMENT TO THE MARKETING PROGRAM,
    21  THE VOTE SHALL BE ONLY ON THE AMENDMENT, AND SHALL NOT TERMINATE
    22  THE PROGRAM.
    23  § 4509.  NOTICE OF ISSUANCE.
    24     UPON THE ISSUANCE OF ANY MARKETING PROGRAM OR ANY SUSPENSION,
    25  AMENDMENT OR TERMINATION THEREOF, A NOTICE SHALL BE PUBLISHED IN
    26  A NEWSPAPER OF GENERAL CIRCULATION PUBLISHED IN THE CAPITAL OF
    27  THE COMMONWEALTH AND IN SUCH OTHER NEWSPAPERS AS THE SECRETARY
    28  MAY PRESCRIBE. NO PROGRAM OR ANY SUSPENSION, AMENDMENT OR
    29  TERMINATION THEREOF SHALL BECOME EFFECTIVE UNTIL THE TERMINATION
    30  OF A PERIOD OF 20 DAYS FROM THE DATE OF THE PUBLICATION. IT
    19970H1573B2584                 - 16 -

     1  SHALL ALSO BE THE DUTY OF THE SECRETARY TO MAIL A COPY OF THE
     2  NOTICE OF THE ISSUANCE TO ALL PRODUCERS DIRECTLY AFFECTED BY THE
     3  TERMS OF THE PROGRAM, SUSPENSION, AMENDMENT OR TERMINATION,
     4  WHOSE NAMES AND ADDRESSES MAY BE ON FILE IN THE OFFICE OF THE
     5  SECRETARY, AND TO EVERY PERSON WHO FILES IN THE OFFICE OF THE
     6  SECRETARY A WRITTEN REQUEST FOR NOTICE.
     7  § 4510.  COLLECTION OF FEES.
     8     (A)  GENERAL RULE.--ANY MARKETING PROGRAM ISSUED PURSUANT TO
     9  THIS CHAPTER SHALL PROVIDE FOR THE COLLECTION OF FEES TO DEFRAY
    10  THE NECESSARY EXPENSES INCURRED IN THE FORMATION, ISSUANCE,
    11  ADMINISTRATION AND ENFORCEMENT OF THE MARKETING PROGRAM AND
    12  SHALL INCLUDE THE AMOUNT, TIME, METHOD AND CONDITION OF PAYMENT.
    13  FEES TO BE CHARGED SHALL NOT BE IN EXCESS OF THAT WHICH WILL
    14  GENERATE REVENUES OF 5% OF THE GROSS MARKET VALUE OF PRODUCTION
    15  AND MARKETING OF THE COMMODITY SUBJECT TO THE MARKETING PROGRAM.
    16  EACH AND EVERY PRODUCER AFFECTED BY ANY MARKETING PROGRAM ISSUED
    17  UNDER THIS CHAPTER SHALL PAY TO THE SECRETARY AT THE TIME AND IN
    18  THE MANNER AS PRESCRIBED BY THE PROGRAM AS ADOPTED THE CHARGES
    19  PROVIDED BY THIS SUBSECTION.
    20     (B)  COLLECTION BY SALES AGENTS.--FOR THE CONVENIENCE OF
    21  MAKING COLLECTIONS OF ANY PRODUCER CHARGES ESTABLISHED PURSUANT
    22  TO THIS SECTION, THE SECRETARY SHALL HAVE THE AUTHORITY AND MAY,
    23  BY REGULATION, UPON THE REQUEST OF A COMMODITY MARKETING BOARD,
    24  REQUIRE SALES AGENTS TO COLLECT PRODUCER CHARGES UPON THE SALE
    25  OF THE AGRICULTURAL COMMODITY.
    26     (C)  APPROPRIATION.--ANY MONEY COLLECTED BY THE SECRETARY
    27  UNDER THIS ACT IS HEREBY SPECIFICALLY APPROPRIATED TO THE
    28  DEPARTMENT FOR THE ADMINISTRATION OF THE MARKETING PROGRAMS FOR
    29  WHICH THEY WERE COLLECTED. WHEN A MARKETING PROGRAM IS
    30  DISCONTINUED, THE SURPLUS MONEY SHALL BE MADE AVAILABLE FOR THE
    19970H1573B2584                 - 17 -

     1  ADMINISTRATION OF THIS CHAPTER OR OF FUTURE MARKETING PROGRAMS
     2  INVOLVING THE SAME COMMODITY.
     3     (D)  AUDITING STANDARDS.--EACH BOARD SHALL ADOPT AND PUBLISH
     4  A SET OF AUDITING STANDARDS, CONSISTENT WITH GENERALLY ACCEPTED
     5  AUDITING STANDARDS, AGAINST WHICH THE MONEYS IT COLLECTS
     6  PURSUANT TO THIS CHAPTER AND EXPENDS IN ACCORDANCE WITH THE
     7  TERMS OF THIS CHAPTER CAN BE AUDITED. EACH BOARD SHALL ENGAGE AN
     8  OUTSIDE AUDITING FIRM TO CONDUCT ANNUALLY AN AUDIT OF ITS
     9  COLLECTIONS AND EXPENDITURES. AN AUDIT UNDER FEDERAL LAW OR
    10  REGULATION MAY BE ACCEPTED BY THE BOARD AS LONG AS IT MEETS THE
    11  MINIMUM STANDARDS ESTABLISHED UNDER THIS SECTION.
    12  § 4511.  RULES AND REGULATIONS FOR ENFORCEMENT.
    13     THE SECRETARY SHALL, WITH THE ADVICE OF THE COMMODITY
    14  MARKETING BOARD, MAKE AND PROMULGATE RULES AND REGULATIONS AS
    15  MAY BE NECESSARY TO EFFECTUATE THIS CHAPTER AND TO ENFORCE THE
    16  PROVISIONS OF ANY MARKETING PROGRAM, ALL OF WHICH SHALL HAVE THE
    17  FORCE AND EFFECT OF LAW. THE SECRETARY MAY INSTITUTE AN ACTION
    18  AT LAW OR IN EQUITY AND MAY ESTABLISH PENALTIES AS MAY APPEAR
    19  NECESSARY TO ENFORCE COMPLIANCE WITH THIS CHAPTER, OR ANY RULE
    20  OR REGULATION, OR MARKETING PROGRAM COMMITTED TO THE SECRETARY'S
    21  ADMINISTRATION IN ADDITION TO ANY OTHER REMEDY UNDER THIS
    22  CHAPTER.
    23  § 4512.  ADVANCED DEPOSITS.
    24     PRIOR TO THE ISSUANCE OF ANY MARKETING PROGRAM, THE SECRETARY
    25  MAY REQUIRE THE APPLICANT THEREFOR TO DEPOSIT AN AMOUNT AS THE
    26  SECRETARY MAY DEEM NECESSARY TO DEFRAY THE EXPENSE OF PREPARING
    27  AND MAKING THE MARKETING PROGRAM EFFECTIVE. FUNDS SHALL BE
    28  RECEIVED, DEPOSITED AND DISBURSED BY THE SECRETARY IN ACCORDANCE
    29  WITH THE PROVISIONS OF HANDLING FUNDS IN THIS CHAPTER. THE
    30  SECRETARY MAY REIMBURSE THE APPLICANT IN THE AMOUNT OF THE
    19970H1573B2584                 - 18 -

     1  DEPOSIT FROM ANY FUNDS RECEIVED THROUGH THE ADOPTING OF A
     2  MARKETING PROGRAM PURSUANT TO THIS CHAPTER.
     3  § 4513.  SEVERABILITY.
     4     THE PROVISIONS OF THIS CHAPTER ARE SEVERABLE. IF ANY
     5  PROVISION OF THIS CHAPTER OR ITS APPLICATION TO ANY PERSON OR
     6  CIRCUMSTANCE IS HELD INVALID, THE INVALIDITY SHALL NOT AFFECT
     7  OTHER PROVISIONS OR APPLICATIONS OF THIS CHAPTER WHICH CAN BE
     8  GIVEN EFFECT WITHOUT THE INVALID PROVISION OR APPLICATION.
     9     SECTION 4.  THE ACT OF SEPTEMBER 20, 1961 (P.L.1541, NO.657),
    10  KNOWN AS THE PENNSYLVANIA AGRICULTURAL COMMODITIES MARKETING ACT
    11  OF 1968, IS REPEALED.
    12     SECTION 5.  THIS ACT SHALL TAKE EFFECT IN 60 DAYS.












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