093_HB1121 LRB093 06818 JAM 06963 b 1 AN ACT authorizing a horse feed checkoff. 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 Equine Research and Promotion Act. 6 Section 5. Definitions. As used in this Act: 7 "Board" means the Illinois Equine Industry Research 8 and Promotion Board appointed in accordance with this Act. 9 "Commercial equine feed" means manufactured feed, 10 supplement, or premix intended or labeled for equine use. 11 "Director" means the Director of Agriculture. 12 "Manufactured feed" means grains, seeds, or forage 13 that are ground, mixed, supplemented, or otherwise altered 14 for the purpose of consumption. 15 "Qualified industry organization" means the 16 Horsemen's Council of Illinois or successor organization that 17 represents the entire spectrum of the Illinois equine 18 industry. 19 Section 10. Referendum. Within 90 days after the 20 effective date of this Act, the University of Illinois 21 Extension shall determine by referendum whether the affected 22 equine owners in Illinois assent to the levy, collection, and 23 use of an equine feed assessment in accordance with this Act. 24 The University of Illinois Extension shall be compensated for 25 all costs associated with conducting the referendum. The 26 results shall be certified by an independent auditing firm 27 located in Illinois and submitted to the Director within 30 28 days after certification. All qualified Illinois equine 29 owners shall be entitled to one vote. 30 Voting shall be at locations throughout the State on a -2- LRB093 06818 JAM 06963 b 1 day and during a time period as specified by the University 2 of Illinois Extension. Provisions shall be made for absentee 3 voting. Publicity and notification of the referendum date, 4 absentee voting procedures, and voting locations shall be 5 provided in the appropriate trade publications and in the 6 public press at least 3 weeks prior to the date of the 7 referendum. 8 Upon approval by the majority of qualified Illinois 9 equine owners and certification by an independent auditing 10 firm located in Illinois, the Board shall be established and 11 authorized to levy an assessment on horse feed in accordance 12 with this Act. 13 Section 15. Qualified Illinois equine owner. A resident 14 of Illinois shall be considered a qualified Illinois equine 15 owner if he or she executes an affidavit verifying Illinois 16 residency and one of the following requirements: 17 (1) Current registration for the equine. 18 (2) Receipt of a valid coggins test within the last 19 12 months. 20 (3) Receipt for the current lease of an equine. 21 (4) A lease purchase agreement, contract, or other 22 legal document showing current ownership or lease 23 interest in an equine. 24 (5) Feed, supplies, care, or service receipts for 25 an equine within the past 12 months. 26 Section 20. Illinois Equine Industry Research and 27 Promotion Board. 28 (a) Upon certification of the assent by the majority of 29 qualified Illinois equine owners voting on the referendum, 30 the qualified industry organization shall select the 12 31 members of the Illinois Equine Industry Research and 32 Promotion Board. -3- LRB093 06818 JAM 06963 b 1 In selecting members, the qualified industry organization 2 shall give due regard to selecting a Board that is 3 representative of the diverse geographical regions of the 4 State and the equine industry, to include representation of: 5 (1) The harness racing industry. 6 (2) The thoroughbred racing industry. 7 (3) The Illinois pleasure, show, and working horse 8 industries. 9 The qualified industry organization shall select one 10 member of the Board from the Illinois feed and grain 11 industry. Each selected member of the Board with the 12 exception of the member representing the feed and grain 13 industry shall be a qualified Illinois equine owner, a person 14 fully employed in the Illinois equine industry, or a person 15 servicing the Illinois equine industry. 16 (b) Except for initial appointees, Board members shall 17 serve terms of 3 years. Members may not serve more than 2 18 consecutive terms. Members filling unexpired terms may not 19 serve more than a total of 7 consecutive years. Former 20 members of the Board may return to the Board if they have not 21 been a member for 2 years. Initial appointments to the Board 22 shall be for terms of one, 2, and 3 years staggered to 23 provide for the selection of 4 members each year. 24 (c) The Board shall select from its members a 25 chairperson and other officers as necessary. The Board may 26 establish committees and subcommittees of the Board and shall 27 adopt rules and bylaws for the conduct of business and 28 implementation of this Act. The Board shall establish 29 procedures for the solicitation of equine industry comment 30 and recommendation on any significant plans, programs, or 31 projects to be funded by the Board. The Board may establish 32 advisory committees of persons other than Board members. 33 (d) Issues related to research, education, and industry 34 enhancements and promotion shall be given priority by the -4- LRB093 06818 JAM 06963 b 1 Board in developing programs and projects. 2 (e) At the beginning of each fiscal year, the Board 3 shall prepare a budget for the next fiscal year including the 4 costs of all projects, contracts, and programs. The Board 5 shall submit the budget to the Director for review and 6 comment. The Director may recommend appropriate programs and 7 activities. 8 (f) The Board shall keep minutes, books, and records 9 that clearly reflect all acts and transactions of the Board 10 and shall make public that information. The books of the 11 Board shall be audited by a certified public accountant at 12 least once during each fiscal year and other times the Board 13 may designate. The expense of the audit shall be the 14 responsibility of the Board. Copies of the audit shall be 15 provided to the Director and all members of the Board and to 16 other members of the equine industry upon request. 17 Section 25. Assessments. 18 (a) The Board shall set the assessment at $2 per ton or 19 5 cents per 50-pound bag of commercial equine feed. The 20 assessed amount shall apply to all manufacturers of 21 commercial equine feed when the feed is sold or imported for 22 sale in Illinois. The assessment when made shall be listed as 23 a separate line on the bill labeled "Illinois Equine Research 24 and Promotion Assessment". Assessments collected are due to 25 the Board the 25th day of each quarter and shall include the 26 total collected for the previous calendar quarter. The 27 remitting manufacturer may retain 2% of the amount of 28 assessment as a collection fee. If payment is not made in 29 full to the Board by the due date as specified under this 30 subsection, an interest penalty of 5% of any unpaid amount 31 shall be added for each month or fraction of a month after 32 the due date, until final payment is made. No collection fee 33 may be retained on amounts not remitted in full by the 25th -5- LRB093 06818 JAM 06963 b 1 day of each quarter. 2 (b) The Board may establish an alternative means of 3 collecting the assessment if another means is found to be 4 more effective and efficient. The Board shall assess any 5 charges incurred in conjunction with action to secure 6 compliance with this Act by any person who fails to remit any 7 amount due the Board under this Act. 8 (c) Pending disbursement pursuant to a program, plan, or 9 project, the Board shall invest funds collected through 10 assessments, and any other funds received by the Board, only 11 (i) in obligations of the United States or any agency 12 thereof, (ii) in general obligations of any state or 13 political subdivision thereof, (iii) in any interest-bearing 14 account or certificate of deposit of a bank that is a member 15 of the Federal Reserve System, or (iv) in obligations fully 16 guaranteed as to the principal and interest by the United 17 States. 18 Section 30. Refunds. The final purchaser of commercial 19 equine feed, who has a dated receipt displaying the 20 assessment added as a line item to the sale price, may by 21 application in writing to the Board secure a refund in the 22 amount added. The refund shall be payable when the 23 application has been made to the Board within 60 days after 24 the assessment. Interest shall be allowed and paid at the 25 rate of 5% per annum upon the total amount of such assessment 26 imposed by this Act, except when any such assessment is 27 refunded within 90 days after an application for refund has 28 been made within the required 60 days after assessment. Each 29 application for a refund by a purchaser of commercial equine 30 feed shall have attached thereto proof of assessment charged. 31 A purchaser who obtains a refund is not eligible for any 32 benefits provided under this Act. -6- LRB093 06818 JAM 06963 b 1 Section 35. Compliance. The circuit courts of this State 2 have jurisdiction specifically to enforce this Act. 3 Section 99. Effective date. This Act takes effect upon 4 becoming law.