Food and Agricultural Code, 1967

This chapter does not become operative until the secretary finds, after a referendum vote, that at least 40% of producers participated and one of two voting/value thresholds is met.

The secretary must set a referendum period of at least 10 days and no more than 60 days, may add needed procedures, and may extend the period if the original period is under 60 days.

If an eligible producer does not receive a ballot, that alone does not invalidate the referendum.

If the secretary finds that a favorable vote has been given under this article, the secretary must certify it and notify all affected producers on file.

If the secretary finds there was not a favorable vote, the secretary must certify and declare the chapter inoperative. The secretary may hold another implementation referendum vote one year or more after the last vote.

Before the referendum vote, the commission’s proponents must deposit the amount the secretary says is needed to cover vote-preparation and voting costs. Unused funds must be returned, and the commission may reimburse certain deposited funds and related legal costs after it is established.

After the commission is certified, the secretary must contact all producers or call producer meetings to nominate and elect commission members, and must give listed producers written notice at least 10 days before the meeting date.

After the first commission election, later commission members must be selected under nomination and election procedures set by the commission, with the secretary’s concurrence.

The commission must set the annual assessment for the marketing season by May 1, or as soon after as possible, and the assessment cannot exceed $0.006 per dollar of gross sales.

This chapter does not apply to nursery products produced only for a producer’s home use, unless that use counts as a transfer of title between separate business entities held by a single owner.

A person seeking an exemption from this chapter must file an affidavit with the commission, and the commission may review, investigate, and approve or deny it.

Nursery product producers must keep specific records, submit them when requested, and preserve them for three years.

Most information collected by the commission or the secretary must be kept confidential and not disclosed, unless a court order requires disclosure after a hearing in a judicial proceeding involving this chapter.

An assessment levied under this chapter becomes a personal debt of each person assessed.

Producers must hold assessments owed to the commission in trust and send them, with assessment reports, in the way and time the commission requires.

If the producer is a corporation, LLC, partnership, or trust, specified individuals are included and can share identical liability for violations of this chapter.

If a person misses the deadline to file a return or pay an assessment, they must pay a 10% penalty and 1.5% monthly interest on the unpaid balance.