SENATE AMENDED PRIOR PRINTER'S NOS. 3200, 3239 PRINTER'S NO. 3722
No. 2294 Session of 1984
INTRODUCED BY MANDERINO, RYAN, MORRIS, GRIECO, IRVIS, RUDY, WASS, HONAMAN, PIEVSKY, DeVERTER, HAYES, HOEFFEL, BOWSER, LLOYD, JOHNSON, AFFLERBACH, FARGO, FREEMAN, MERRY, PUNT, ITKIN, BURD, DOMBROWSKI, GANNON, TRELLO, KOSINSKI, McHALE, PRATT, MAYERNIK, STEWART, WOZNIAK, CORDISCO, DeLUCA, STEIGHNER, GALLAGHER, KASUNIC, DALEY, COHEN, CESSAR, WAMBACH, PETRARCA, COY, D. R. WRIGHT, NOYE, DORR, RUDY, B. SMITH, HERSHEY, SALOOM, MADIGAN, SEMMEL, WARGO, SIRIANNI, PITTS, BELFANTI, VROON, GRUPPO, STUBAN, DeWEESE, KENNEDY, MURPHY, COLE, SERAFINI, GREENWOOD, COSLETT, SCHULER, GEORGE, STAIRS, WACHOB, MICHLOVIC, COWELL, E. Z. TAYLOR, FEE, CALTAGIRONE, RYBAK, PISTELLA, KUKOVICH, SHOWERS, BALDWIN, CAPPABIANCA, McCALL, PRESTON, BATTISTO, DEAL, RAPPAPORT, OLIVER, SEVENTY, CLARK, DUFFY, MRKONIC, HERMAN, LEVI, KLINGAMAN, MANMILLER, BUNT, SAURMAN, MOWERY, CLYMER, REINARD, TELEK, LEHR, DAVIES, BROUJOS AND HALUSKA, JUNE 13, 1984
SENATOR TILGHMAN, APPROPRIATIONS, IN SENATE, AS AMENDED, NOVEMBER 20, 1984
AN ACT 1 Providing for agricultural development; establishing the <-- 2 Agricultural Development Advisory Committee and providing for 3 its powers and duties; providing for certain guaranteed loans 4 and interest deferral; providing further duties of the 5 Secretary and Department of Agriculture and the Secretary and 6 Department of Commerce; and making an appropriation. 7 TABLE OF CONTENTS 8 Section 1. Short title. 9 Section 2. Definitions. 10 Section 3. The Agricultural Development Advisory Committee. 11 Section 4. Reports to General Assembly. 12 Section 5. General powers and duties of the secretary.
1 Section 6. Review of applications by the Secretary of 2 Commerce. 3 Section 7. Review of applications by the committee and the 4 secretary. 5 Section 8. Eligibility for interest deferrals and loan 6 guarantees and limitations thereon. 7 Section 9. Sale or conveyance by applicant. 8 Section 10. Rules and regulations. 9 Section 11. Limitation on amount of interest deferrals 10 and loan guarantees. 11 Section 12. Conflict of interest prohibited. 12 Section 13. Appropriation. 13 Section 14. Limitation. 14 Section 15. Effective date. 15 AMENDING THE ACT OF DECEMBER 5, 1936 (2ND SP.SESS., 1937 <-- 16 P.L.2897, NO.1), ENTITLED "AN ACT ESTABLISHING A SYSTEM OF 17 UNEMPLOYMENT COMPENSATION TO BE ADMINISTERED BY THE 18 DEPARTMENT OF LABOR AND INDUSTRY AND ITS EXISTING AND NEWLY 19 CREATED AGENCIES WITH PERSONNEL (WITH CERTAIN EXCEPTIONS) 20 SELECTED ON A CIVIL SERVICE BASIS; REQUIRING EMPLOYERS TO 21 KEEP RECORDS AND MAKE REPORTS, AND CERTAIN EMPLOYERS TO PAY 22 CONTRIBUTIONS BASED ON PAYROLLS TO PROVIDE MONEYS FOR THE 23 PAYMENT OF COMPENSATION TO CERTAIN UNEMPLOYED PERSONS; 24 PROVIDING PROCEDURE AND ADMINISTRATIVE DETAILS FOR THE 25 DETERMINATION, PAYMENT AND COLLECTION OF SUCH CONTRIBUTIONS 26 AND THE PAYMENT OF SUCH COMPENSATION; PROVIDING FOR 27 COOPERATION WITH THE FEDERAL GOVERNMENT AND ITS AGENCIES; 28 CREATING CERTAIN SPECIAL FUNDS IN THE CUSTODY OF THE STATE 29 TREASURER; AND PRESCRIBING PENALTIES," PROVIDING FOR BENEFITS 30 FOR CERTAIN SEASONAL WORKERS. 19840H2294B3722 - 2 -
1 The General Assembly of the Commonwealth of Pennsylvania 2 hereby enacts as follows: 3 Section 1. Short title. <-- 4 This act shall be known and may be cited as the Agricultural 5 Development Act. 6 Section 2. Definitions. 7 The following words and phrases when used in this act shall 8 have the meanings given to them in this section unless the 9 context clearly indicates otherwise: 10 "Agricultural activity" or "farming." The commercial 11 production of agricultural crops, livestock or livestock 12 products, poultry products, milk or dairy products, or fruits 13 and other horticultural products. 14 "Applicant." Any family farm enterprise applying for a 15 family farm loan guarantee or an interest deferral. 16 "Area loan organization." A local development district of 17 the Appalachian Regional Commission, an industrial development 18 corporation organized and existing under the act of May 17, 1956 19 (1955 P.L.1609, No.537), known as the Pennsylvania Industrial 20 Development Authority Act, or any other nonprofit economic 21 development organization certified by the Secretary of 22 Agriculture and the Secretary of Commerce as possessing an 23 acceptable loan review committee, professional staff support and 24 such other qualifications as are necessary to evaluate and 25 administer loan guarantees and interest deferrals made under the 26 provisions of this act. 27 "Committee." The Agricultural Development Advisory 28 Committee. 29 "Department." The Department of Agriculture. 30 "Family farm corporation." A corporation formed for the 19840H2294B3722 - 3 -
1 purpose of farming in which the majority of the voting stock is 2 held by and the majority of the stockholders are natural 3 persons, or the spouses of such persons or other persons related 4 to such persons or spouses and at least one of such majority 5 stockholders is residing on or actively operating or managing 6 the farm and none of the stockholders of which are corporations. 7 "Family farm enterprise." A natural person, family farm 8 corporation or family farm partnership engaged in farming, 9 including the processing and marketing of its agricultural 10 commodities directly, provided that those agricultural 11 commodities are or would be produced on the farm for which 12 financial assistance is sought. 13 "Family farm partnership." A general partnership entered 14 into for the purpose of farming having no more than three 15 unrelated members and having at least one member residing on or 16 actively operating or managing the farm. 17 "Farmland." Land in the Commonwealth that is capable of 18 supporting the commercial production of agricultural crops, 19 livestock or livestock products, poultry products, milk or dairy 20 products, fruit or other horticultural products and land in the 21 Commonwealth on which a family farm enterprise would process or 22 market its agricultural commodities directly, provided that 23 those agricultural commodities are or would be produced on the 24 farm for which financial assistance is sought. 25 "Federal agency." Includes the United States of America, the 26 President of the United States of America and any department or 27 corporation, agency or instrumentality heretofore or hereafter 28 created, designated or established by the United States of 29 America. 30 "Lender." Any bank, savings bank, mutual savings bank, 19840H2294B3722 - 4 -
1 building and loan association and savings and loan association 2 organized under the laws of this Commonwealth or the United 3 States, trust companies, trust companies acting as fiduciaries 4 and other financial institutions subject to the supervision of 5 the Department of Banking; and any foreign or domestic 6 corporation engaged in the business of insurance which is 7 subject to the supervision of the Insurance Commissioner; and 8 any financial institutions operating under the supervision of 9 the Federal farm credit administration. The term shall also mean 10 the seller of the property in cases of seller-sponsored loan or 11 purchase money loan. 12 "Secretary." The Secretary of Agriculture. 13 Section 3. The Agricultural Development Advisory Committee. 14 (a) Establishment.--There is hereby created the Agricultural 15 Development Advisory Committee. 16 (b) Composition.--The committee shall be composed of the 17 following: 18 (1) The Secretary of Agriculture, who will serve as 19 chairman. 20 (2) The chairmen of the Senate and House Agriculture and 21 Rural Affairs Committees or their respective designees. 22 (3) Six members to be appointed by the Secretary of 23 Agriculture as follows: 24 (i) one officer from a commercial lending 25 institution experienced in agricultural financing; 26 (ii) three farmers; 27 (iii) one officer from a farm credit association; 28 and 29 (iv) one agricultural economist. 30 A majority of the committee shall constitute a quorum. In 19840H2294B3722 - 5 -
1 appointing the three farmers to the committee, the Secretary of 2 Agriculture may consider farmers recommended by the Statewide 3 general farm organizations. 4 (c) Appointment, terms and vacancies.--The members of the 5 committee initially appointed by the Secretary of Agriculture 6 and any person appointed by the secretary to fill a vacancy 7 shall serve until June 30, 1987. 8 (d) Staff services.--The Department of Agriculture shall 9 provide staff services for carrying out its powers and duties 10 under this act, including liaison between the committee and 11 lenders, the Department of Agriculture, the Department of 12 Commerce, and other agencies of the Commonwealth whose 13 facilities and services may be useful to the committee in its 14 work. 15 (e) Expenses of committee members.--The members of the 16 committee shall be entitled to no compensation for their 17 services as members, but shall be entitled to reimbursement for 18 all necessary expenses incurred in connection with the 19 performance of their duties as members of the committee. 20 Section 4. Reports to General Assembly. 21 On or before March 1 of each year in which loan guarantees or 22 interest deferrals are outstanding, the secretary shall submit a 23 report to the Secretary of the Senate and the Chief Clerk of the 24 House of Representatives detailing each loan guarantee and 25 interest deferral accepted or rejected by type, amount, interest 26 rate, lending institution, location, dates of application and 27 final decision, type of farm, and acreage of farm. The secretary 28 shall also estimate the amount of farmland preserved and the 29 increase in the amount of farm receipts in the Commonwealth due 30 to this program. 19840H2294B3722 - 6 -
1 Section 5. General powers and duties of the secretary. 2 The secretary may exercise all powers necessary or 3 appropriate to carry out this act, including the following 4 powers, in addition to others herein granted: 5 (1) To review all applications for interest deferrals 6 and loan guarantees under this act. 7 (2) To determine, after consideration of the 8 recommendations of the Secretary of Commerce and the 9 committee, which applications for interest deferrals and loan 10 guarantees should be rejected, which applications should be 11 approved, and which applications should be approved subject 12 to special conditions. 13 (3) To determine, after consideration of the 14 recommendations of the Secretary of Commerce and the 15 committee, the criteria and procedures of the interest 16 deferral and loan guarantee programs. 17 (4) To conduct examinations necessary to: 18 (i) the determination of an applicant's eligibility 19 to receive an interest deferral or loan guarantee; 20 (ii) the determination of the economic viability of 21 the interest deferral or loan guarantee; and 22 (iii) the power to review the operation of any 23 family farm enterprise that has received an interest 24 deferral or loan guarantee. 25 (5) In determining eligibility for an interest deferral 26 or a loan guarantee, to consult with the committee and staff 27 of any local farm credit association or agricultural 28 stabilization and conservation service office in the area 29 where an applicant resides or where the family farm 30 enterprise is located or proposed to be located. 19840H2294B3722 - 7 -
1 (6) To prescribe, in conjunction with the Secretary of 2 Commerce, the form and manner for the submission of 3 applications for interest deferrals and loan guarantees and 4 the information to be included in those applications. 5 (7) To determine the information to be provided by the 6 applicant, the lender and the committee. 7 (8) To do all other acts and things necessary or 8 convenient to carry out the powers granted to him by this act 9 or any other acts. 10 Section 6. Review of applications by the Secretary of Commerce. 11 (a) Form of application.--Prior to recommending the approval 12 or rejection of any interest deferral or loan guarantee 13 authorized by this act, the Secretary of Commerce shall receive 14 from the prospective borrower an application in the form and 15 manner prescribed by the Secretary of Agriculture and the 16 Secretary of Commerce together with any other information as the 17 Secretary of Agriculture shall require the prospective borrower 18 and the prospective lender to provide. 19 (b) Review of application.--Upon receipt of a properly 20 submitted and documented application, the Secretary of Commerce 21 shall conduct a financial review of the application and 22 recommend approval, approval with special conditions, or 23 rejection of the application on the basis of the following 24 criteria and the eligibility criteria and loan limits prescribed 25 by section 8: 26 (1) The ability of the applicant to meet and satisfy all 27 debt service as it becomes due and payable. 28 (2) The sufficiency of available collateral, including 29 satisfactory lien positions on real and personal property 30 which shall consist of no less than second lien positions on 19840H2294B3722 - 8 -
1 such real and personal property. 2 (3) The relevant criminal and credit history and ratings 3 of the applicant as determined from credit reporting services 4 and other sources. 5 (4) The eligibility of the applicant and the project for 6 the guarantee or interest deferral which is being sought. 7 (5) The capital needs of the applicant. 8 (6) The payment to date of all tax obligations due and 9 owing by the applicant to the Commonwealth or any political 10 subdivision thereof. 11 (7) The availability of evidence that insufficient 12 private funds are available at reasonable rates and terms 13 within the necessary time without the requested assistance. 14 (c) Transmittal to the Secretary of Agriculture.--Following 15 the review and recommendation, the Secretary of Commerce shall 16 transmit the application and the recommendation on that 17 application to the Secretary of Agriculture together with the 18 rationale for that recommendation and any other information 19 requested by the Secretary of Agriculture. 20 (d) Use of area loan organizations.--In carrying out his 21 duties and responsibilities under this section, the Secretary of 22 Commerce may utilize area loan organizations which have been 23 certified by the Secretary of Agriculture and the Secretary of 24 Commerce. In determining if an area loan organization should be 25 certified for the purposes of this act, the secretaries shall 26 consider, in addition to other relevant factors, the expertise 27 of that area loan organization for the purposes of performing 28 some duties and responsibilities under this section but deny 29 certification for the purpose of performing other duties and 30 responsibilities for which the organization is determined not to 19840H2294B3722 - 9 -
1 have sufficient expertise or personnel. Area loan organizations 2 may establish and charge reasonable fees for processing loan 3 guarantees and interest deferrals under this act with the 4 approval of the secretary and the committee. 5 Section 7. Review of applications by the committee and the 6 Secretary of Agriculture. 7 (a) Application form.--Prior to recommending the approval or 8 rejection of any interest deferral or loan guarantee authorized 9 by this act, the committee shall receive from the prospective 10 borrower an application in the form and manner prescribed by the 11 secretary together with any such other information as the 12 secretary shall require the prospective borrower and the 13 prospective lender to provide. 14 (b) Majority required.--The committee shall not recommend 15 the approval of an application for an interest deferral or a 16 loan guarantee unless a majority of the quorum present at a 17 meeting vote in favor of the action. 18 (c) Financial status of borrower.--In determining whether to 19 recommend any interest deferral or loan guarantee in accordance 20 with this act, the committee shall give primary consideration to 21 the borrower's ability to repay and secondary consideration to 22 the security available. 23 (d) Recommendation to secretary.--The committee shall 24 forward its recommendation of the approval or rejection of any 25 interest deferral or loan guarantee to the secretary together 26 with the rationale for the committee's decision, any other 27 information requested by the secretary and any recommendation of 28 special conditions to be placed on an approved interest deferral 29 or loan guarantee. 30 (e) Criteria for committee recommendations.--In determining 19840H2294B3722 - 10 -
1 whether to recommend the approval or rejection of any interest 2 deferral or loan guarantee, the committee shall adhere to the 3 eligibility criteria and loan limits prescribed by section 8. 4 (f) Action by the secretary.--The secretary shall grant an 5 interest deferral or a loan guarantee to an applicant only after 6 consideration of the recommendation of the committee and the 7 recommendation of the Secretary of Commerce and only in 8 accordance with the eligibility criteria and loan limits 9 prescribed by section 8. The secretary may grant an interest 10 deferral or a loan guarantee in a lesser amount and on less 11 favorable terms than recommended by the committee or the 12 Secretary of Commerce and may impose conditions not recommended 13 by the committee or the Secretary of Commerce. 14 Section 8. Eligibility for interest deferrals and loan 15 guarantees and limitations thereon. 16 (a) Eligibility criteria.--To be eligible for an interest 17 deferral or a loan guarantee, an applicant must demonstrate: 18 (1) That he is a resident of the Commonwealth, or that 19 its principal operating or managing members or shareholders 20 in the case of either a family farm partnership or a family 21 farm corporation are Pennsylvania residents or show 22 sufficient evidence that he or they intend to become a 23 resident or residents. If the applicant is a corporation, it 24 must be a Pennsylvania corporation in order to be eligible. 25 (2) That the applicant or the principal operating or 26 managing members or shareholders thereof have sufficient 27 education, training or experience in the type of farming for 28 which he or they wish the interest deferral or loan guarantee 29 and will participate in a farm management program, approved 30 by the secretary, for the duration of the loan on which the 19840H2294B3722 - 11 -
1 interest will be deferred or for the duration of the loan 2 guarantee. 3 (3) That the applicant has been processed by a lender 4 for the loan on which the interest deferral or loan guarantee 5 is sought and that the lender will make and service such 6 loan. 7 (4) That the applicant will use the loan proceeds for 8 the agricultural purposes set forth in the application and 9 that the farmland or family farm enterprise is located in 10 Pennsylvania. 11 (5) That the applicant is credit worthy, based on the 12 applicant's net worth, cash flow projections, and credit 13 rating and on the type of farmland or family farm enterprise 14 involved. 15 (6) That the terms offered by the lender without an 16 interest deferral or loan guarantee are not adequate to 17 permit the applicant to carry out the agricultural purposes 18 for which he is seeking the loan. 19 (7) That the loan guarantee or interest deferral would 20 facilitate the continued operation or transfer of a farm in 21 Pennsylvania which is currently active, would help the 22 applicant to replace all or part of its production with 23 production of a commodity or commodities for which there is 24 more likely to be an adequate market, or would help the 25 family farm enterprise to process or market directly a 26 commodity or commodities produced on the farm for which 27 financial assistance is sought. 28 (b) Loan limit for acquiring farmland and farm structures.-- 29 The secretary may guarantee a loan or loans not to exceed the 30 lesser of 90% of the amount of the loan or loans or $200,000 for 19840H2294B3722 - 12 -
1 each family farm enterprise for a term not to exceed 20 years if 2 the loan is guaranteed for the purpose of acquiring farmland, 3 farm structures or a combination thereof. 4 (c) Loan limit for acquiring equipment, livestock and other 5 capital assets.--The secretary may guarantee a loan or loans not 6 to exceed the lesser of 90% of the amount of the loan or loans 7 or $150,000 for each family farm enterprise for a term not to 8 exceed seven years if the loan guaranteed is for the purchase of 9 capital assets, such as, but not limited to, equipment or 10 livestock and horticultural assets. 11 (d) Loan limit for acquiring noncapital assets.--The 12 secretary may guarantee a loan or loans not to exceed the lesser 13 of 90% of the amount of the loan or loans or $50,000 for each 14 family farm enterprise for a term not to exceed one year if the 15 loan guaranteed is for the purchase of fertilizer, seed, 16 livestock feed or other supplies normally used for agricultural 17 activity or farming. 18 (e) Interest deferrals.--The secretary may make the interest 19 payments for an applicant for up to the first three years of a 20 loan if the loan is guaranteed in accordance with this section 21 or is in the amount and for the purposes for which a loan may be 22 guaranteed in accordance with this section. The secretary shall 23 prescribe the period during which, and the terms under which, 24 the applicant shall reimburse the Commonwealth for the interest 25 which the secretary paid to the lender on the applicant's behalf 26 and the security which the applicant must provide to assure 27 reimbursement to the Commonwealth. 28 Section 9. Sale or conveyance by applicant. 29 (a) Obligation due on sale.--Any applicant who sells or 30 conveys the property for which an interest deferral or loan 19840H2294B3722 - 13 -
1 guarantee was granted shall immediately return the entire 2 indebtedness still owed to the Commonwealth or to the lender, if 3 any. The new owner may negotiate an interest deferral or loan 4 guarantee in his own right, but under no circumstances may the 5 original loan be assumed by the new owner or the property be 6 sold subject to the loan. This subsection is not intended to 7 prohibit an applicant from granting a security interest in the 8 property for the purposes of securing an additional loan. 9 (b) Default.--Any applicant who fails to maintain the land 10 covered by an interest deferral or a loan guarantee for a period 11 of time longer than one year shall be in default. Such a default 12 may be waived by the secretary, after consultation with the 13 committee and the Secretary of Commerce, in the event of a 14 physical disability or other extenuating circumstances. 15 Section 10. Rules and regulations. 16 The secretary may, in the manner provided by law, promulgate 17 the rules and regulations and forms necessary to carry out this 18 act. 19 Section 11. Limitation on amount of interest deferrals and 20 loan guarantees. 21 The sum of all outstanding interest deferrals and loan 22 guarantees at any time shall not exceed $25,000,000. Under no 23 circumstances shall the the Secretary of Agriculture, the 24 Secretary of Commerce or the committee have power to pledge the 25 credit or taxing power of the Commonwealth. 26 Section 12. Conflict of interest prohibited. 27 No member of the committee or officer or employee of the 28 Department of Agriculture or the Department of Commerce or 29 member or employee of an area loan organization shall either 30 directly or indirectly be a party to or be in any manner 19840H2294B3722 - 14 -
1 interested in any contract or agreement under this act for any 2 matter, cause or thing whatsoever by reason whereof any 3 liability or indebtedness shall in any way be created against 4 the Commonwealth, provided that nothing herein shall prohibit a 5 commercial lending institution or a farm credit association from 6 either directly or indirectly being a party to or being in any 7 manner interested in any such contract or agreement if one of 8 its officers is a member of the committee as long as such 9 officer declares his conflict of interest and refrains from 10 participating in any deliberation or vote on, or other action 11 regarding, such contract or agreement. If any contract or 12 agreement shall be made in violation of this section, the same 13 shall be null and void and no action shall be maintained thereon 14 against the Commonwealth. 15 Section 13. Appropriation. 16 The sum of $10,000,000 is hereby appropriated to the 17 Department of Agriculture from the Pennsylvania Economic 18 Revitalization Fund for the purposes set forth in this act. The 19 appropriation made hereby shall be a continuing appropriation. 20 Section 14. Limitation. 21 No loan guarantees or interest deferrals pursuant to this act 22 shall be approved after June 30, 1987. 23 Section 15. Effective date. 24 This act shall take effect immediately. 25 SECTION 1. THE ACT OF DECEMBER 5, 1936 (2ND SP.SESS., 1937 <-- 26 P.L.2897, NO.1), KNOWN AS THE UNEMPLOYMENT COMPENSATION LAW, IS 27 AMENDED BY ADDING A SECTION TO READ: 28 SECTION 402.5. ELIGIBILITY OF SEASONAL WORKERS.--(A) 29 NOTWITHSTANDING ANY OTHER PROVISION OF THIS ACT WITH RESPECT TO 30 SERVICE PERFORMED IN A SEASONAL OPERATION OR SEASONAL INDUSTRY, 19840H2294B3722 - 15 -
1 BENEFITS SHALL NOT BE PAID TO A SEASONAL WORKER, BASED ON SUCH 2 SERVICES, FOR ANY WEEK OF UNEMPLOYMENT OCCURRING OUTSIDE OF THE 3 NORMAL SEASONAL PERIOD OF OPERATION, PROVIDED THERE IS A 4 CONTRACT OR REASONABLE ASSURANCE THAT SUCH SEASONAL WORKER WILL 5 PERFORM SERVICES IN THAT SEASONAL INDUSTRY IN HIS NEXT NORMAL 6 SEASONAL PERIOD. HOWEVER, IF UPON PRESENTING HIMSELF FOR WORK IN 7 HIS NEXT NORMAL SEASONAL PERIOD, THE INDIVIDUAL IS NOT OFFERED 8 AN OPPORTUNITY TO PERFORM SUCH SERVICES, HIS CLAIMS FOR 9 UNEMPLOYMENT COMPENSATION SHALL BE ACCEPTED RETROACTIVELY TO THE 10 TIME THE INDIVIDUAL'S BENEFITS (BASED ON SEASONAL AND NON- 11 SEASONAL WAGES) WOULD HAVE COMMENCED BUT FOR THIS SUBSECTION. 12 (B) UPON WRITTEN APPLICATION FILED WITH THE DEPARTMENT BY AN 13 EMPLOYER, THE SECRETARY SHALL DETERMINE, AND MAY THEREAFTER 14 REDETERMINE, IN ACCORDANCE WITH THE RULES AND REGULATIONS OF THE 15 DEPARTMENT, THE NORMAL SEASONAL PERIOD DURING WHICH WORKERS ARE 16 ORDINARILY EMPLOYED FOR THE PURPOSE OF CARRYING ON SEASONAL 17 OPERATIONS IN THE SEASONAL INDUSTRY IN WHICH SUCH EMPLOYER IS 18 ENGAGED. AN APPLICATION FOR SUCH DETERMINATION SHALL BE MADE ON 19 FORMS PRESCRIBED BY THE DEPARTMENT. SUCH APPLICATION MUST BE 20 MADE AT LEAST TWENTY (20) DAYS PRIOR TO THE ESTIMATED BEGINNING 21 DATE OF THE NORMAL SEASONAL PERIOD FOR WHICH THE DETERMINATION 22 IS REQUESTED. SIMULTANEOUSLY WITH THE FILING OF THE APPLICATION, 23 THE EMPLOYER SHALL CONSPICUOUSLY DISPLAY ON THE EMPLOYER'S 24 PREMISES IN A SUFFICIENT NUMBER OF PLACES A COPY OF THE FILING 25 OF APPLICATION. 26 (C) AN EMPLOYER DETERMINED, IN ACCORDANCE WITH THE 27 PROVISIONS OF THIS SECTION, TO BE A SEASONAL INDUSTRY OR A 28 SEASONAL OPERATION SHALL BE REQUIRED TO CONSPICUOUSLY DISPLAY 29 NOTICES OF THE SEASONAL DETERMINATION ON ITS PREMISES IN A 30 SUFFICIENT NUMBER OF PLACES AS WILL FAIRLY ADVISE ITS EMPLOYES 19840H2294B3722 - 16 -
1 OF THE ESTIMATED BEGINNING AND ESTIMATED ENDING DATES OF ITS 2 NORMAL SEASONAL PERIOD. SUCH NOTICES SHALL BE PROVIDED BY THE 3 DEPARTMENT. 4 (D) ANY SUCCESSOR OF A SEASONAL EMPLOYER SHALL BE DEEMED TO 5 BE A SEASONAL INDUSTRY OR A SEASONAL OPERATION UNLESS SUCH 6 SUCCESSOR SHALL, WITHIN ONE HUNDRED TWENTY (120) DAYS AFTER THE 7 ACQUISITION, REQUEST CANCELLATION OF SUCH DETERMINATION. 8 (E) ANY DETERMINATION ISSUED UNDER THE PROVISIONS OF THIS 9 SECTION SHALL BE SUBJECT TO REVIEW IN THE SAME MANNER AND TO THE 10 SAME EXTENT AS ALL OTHER DETERMINATIONS ISSUED UNDER THIS ACT. 11 (F) BENEFITS PAYABLE TO ANY OTHERWISE ELIGIBLE INDIVIDUAL 12 WHO IS DETERMINED TO BE A SEASONAL WORKER SHALL BE CALCULATED IN 13 ACCORDANCE WITH THE PROVISIONS OF THIS SECTION FOR ANY BENEFIT 14 YEAR WHICH IS ESTABLISHED ON OR AFTER THE BEGINNING DATE OF A 15 DETERMINATION OF A SEASONAL INDUSTRY OR A SEASONAL OPERATION BY 16 WHICH SUCH INDIVIDUAL WAS EMPLOYED DURING THE BASE YEAR 17 APPLICABLE TO SUCH BENEFIT YEAR, AS IF SUCH DETERMINATION HAD 18 BEEN EFFECTIVE IN SUCH BASE PERIOD. 19 (G) IN NO CASE SHALL A SEASONAL WORKER BE ELIGIBLE TO 20 RECEIVE A TOTAL AMOUNT OF COMPENSATION IN A BENEFIT YEAR IN 21 EXCESS OF THE MAXIMUM COMPENSATION PAYABLE FOR SUCH BENEFIT 22 YEAR, AS PROVIDED IN SECTION 404 OF THIS ACT. 23 (H) FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING 24 DEFINITIONS SHALL APPLY: 25 (1) "FOOD PROCESSING OPERATION" MEANS THOSE SERVICES 26 PERFORMED IN CONNECTION WITH COMMERCIAL CANNING OR COMMERCIAL 27 FREEZING. 28 (2) "NORMAL SEASONAL PERIOD" MEANS THE NORMAL SEASONAL 29 PERIOD, AS DETERMINED IN ACCORDANCE WITH SUBSECTION (B) OF THIS 30 SECTION, DURING WHICH WORKERS ARE ORDINARILY EMPLOYED FOR THE 19840H2294B3722 - 17 -
1 PURPOSE OF CARRYING ON SEASONAL OPERATIONS IN EACH SEASONAL 2 INDUSTRY. 3 (3) "SEASONAL INDUSTRY" MEANS AN INDUSTRY, ESTABLISHMENT OR 4 PROCESS WITHIN AN INDUSTRY WHICH, BECAUSE OF CLIMATIC CONDITIONS 5 MAKING IT IMPRACTICAL OR IMPOSSIBLE TO DO OTHERWISE, CUSTOMARILY 6 CARRIES ON FRUIT OR VEGETABLE FOOD PROCESSING OPERATIONS, OR 7 BOTH, ONLY DURING A REGULARLY RECURRING PERIOD OF ONE HUNDRED 8 FIFTY (150) DAYS OF WORK OR LESS IN A CALENDAR YEAR. 9 (4) "SEASONAL OPERATION" MEANS AN OPERATION IN WHICH IT IS 10 CUSTOMARY FOR AN EMPLOYER ENGAGED IN A SEASONAL INDUSTRY AS 11 DEFINED IN THIS SECTION, TO OPERATE ALL OR A PORTION OF ITS 12 BUSINESS DURING A REGULARLY RECURRING PERIOD OF ONE HUNDRED 13 FIFTY (150) DAYS OF WORK OR LESS FOR A NORMAL SEASONAL PERIOD 14 DURING A CALENDAR YEAR. AN EMPLOYER MAY BE DETERMINED TO BE 15 ENGAGED IN A SEASONAL INDUSTRY AS DEFINED IN THIS SECTION, WITH 16 RESPECT TO A PORTION OF ITS BUSINESS, ONLY IF THAT PORTION, 17 UNDER THE USUAL AND CUSTOMARY PRACTICE IN THE INDUSTRY, IS 18 IDENTIFIABLE AS A FUNCTIONALLY DISTINCT OPERATION. AN EMPLOYER 19 MAY OPERATE DURING MORE THAN ONE SEASONAL PERIOD DURING A 20 CALENDAR YEAR. HOWEVER, EACH SUCH PERIOD SHOULD BE DEEMED TO BE 21 A SEPARATE SEASONAL OPERATION. 22 (5) "SEASONAL WORKER" MEANS A WORKER WHO PERFORMS SERVICES 23 FOR A SEPARATE SEASONAL OPERATION AS DEFINED IN THIS SECTION, 24 FOR LESS THAN ONE HUNDRED FIFTY (150) DAYS OF WORK. 25 SECTION 2. THIS ACT SHALL APPLY TO BENEFIT YEARS BEGINNING 26 ON AND AFTER JANUARY 6, 1985. 27 SECTION 3. THIS ACT SHALL TAKE EFFECT IMMEDIATELY. F12L3RLC/19840H2294B3722 - 18 -