Illinois General Assembly - Full Text of HB3101
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Full Text of HB3101  99th General Assembly

HB3101sam001 99TH GENERAL ASSEMBLY

Sen. John M. Sullivan

Filed: 5/8/2015

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 3101

2    AMENDMENT NO. ______. Amend House Bill 3101 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Livestock Auction Market Law is amended by
5changing Section 6.2 as follows:
 
6    (225 ILCS 640/6.2)  (from Ch. 121 1/2, par. 213b)
7    Sec. 6.2. The Department may refuse to issue or may suspend
8the license of any person upon the complaint in writing from
9the Checkoff Division of the Illinois Beef Association Board of
10Governors Illinois Beef Council indicating that the person has
11failed to properly remit or deduct funds as required by Section
129 of the Beef Market Development Act.
13(Source: P.A. 87-172.)
 
14    Section 10. The Illinois Livestock Dealer Licensing Act is
15amended by changing Sections 9 and 9.2 as follows:
 

 

 

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1    (225 ILCS 645/9)  (from Ch. 111, par. 409)
2    Sec. 9. The Department may refuse to issue or renew or may
3suspend or revoke a license on any of the following grounds:
4    a. Material misstatement in the application for original
5license or in the application for any renewal license under
6this Act;
7    b. Wilful disregard or violation of this Act, or of any
8other Act relative to the purchase and sale of livestock,
9feeder swine or horses, or of any regulation or rule issued
10pursuant thereto;
11    c. Wilfully aiding or abetting another in the violation of
12this Act or of any regulation or rule issued pursuant thereto;
13    d. Allowing one's license under this Act to be used by an
14unlicensed person;
15    e. Conviction of any felony, if the Department determines,
16after investigation, that such person has not been sufficiently
17rehabilitated to warrant the public trust;
18    f. Conviction of any crime an essential element of which is
19misstatement, fraud or dishonesty;
20    g. Conviction of a violation of any law in Illinois or any
21Departmental rule or regulation relating to livestock;
22    h. Making substantial misrepresentations or false promises
23of a character likely to influence, persuade or induce in
24connection with the livestock industry;
25    i. Pursuing a continued course of misrepresentation of or

 

 

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1making false promises through advertising, salesmen, agents or
2otherwise in connection with the livestock industry;
3    j. Failure to possess the necessary qualifications or to
4meet the requirements of this Act for the issuance or holding a
5license;
6    k. Failure to pay for livestock after purchase;
7    l. Issuance of checks for payment of livestock when funds
8are insufficient;
9    m. Determination by a Department audit that the licensee or
10applicant is insolvent;
11    n. Operating without adequate bond coverage or its
12equivalent required for licensees.
13    (o) Failing to remit the assessment required in Section 9
14of the Beef Market Development Act upon written complaint of
15the Checkoff Division of the Illinois Beef Association Board of
16Governors Illinois Beef Council.
17    The Department may refuse to issue or may suspend the
18license of any person who fails to file a return, or to pay the
19tax, penalty or interest shown in a filed return, or to pay any
20final assessment of tax, penalty or interest, as required by
21any tax Act administered by the Illinois Department of Revenue,
22until such time as the requirements of any such tax Act are
23satisfied.
24(Source: P.A. 87-172.)
 
25    (225 ILCS 645/9.2)  (from Ch. 111, par. 409.2)

 

 

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1    Sec. 9.2. The Department may refuse to issue or may suspend
2the license of any person upon the complaint in writing from
3the Checkoff Division of the Illinois Beef Association Board of
4Governors Illinois Beef Council indicating that the person has
5failed to properly remit or deduct funds as required by Section
69 of the Beef Market Development Act.
7(Source: P.A. 87-172)
 
8    Section 15. The Beef Market Development Act is amended by
9changing Sections 2, 3, 4, 6, 7, 8, 9, 10, 11, 13, and 14 as
10follows:
 
11    (505 ILCS 25/2)  (from Ch. 5, par. 1402)
12    Sec. 2. Definitions. In this Act, unless the context
13otherwise requires:
14    (a) "Beef" and "Beef products" means the meat intended for
15human consumption from any bovine animal, regardless of age,
16including veal.
17    (b) "Cattle" means such animals as may be so designated by
18federal law, including such marketing, promotion and research
19orders as may from time to time be in effect. Unless such
20federal law provides to the contrary, "cattle" means all bovine
21animals, regardless of age, including calves, except that
22cattle provided for dairy purposes shall be excluded during
23their useful life as dairy animals. A cow and nursing calf sold
24together shall be considered one unit.

 

 

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1    (c) "Checkoff Division" means the Checkoff Division of the
2Illinois Beef Association Board of Governors. "Council" means
3the operating committee established under this Act to
4administer and govern the program.
5    (d) "Person" means any natural person, partnership,
6corporation, company, association, society, trust or other
7business unit or organization.
8    (e) "Market Agent", "Market Agency", "Collection Agent" or
9"Collection Agency" means any person who sells, offers for
10sale, markets, distributes, trades or processes cattle which
11has been purchased or acquired from a producer, or which is
12marketed on behalf of a producer, and further includes
13meatpacking firms and their agents which purchase or consign to
14purchase cattle.
15    (f) "Director" means a member of the Checkoff Division
16Illinois Beef Council.
17    (g) "Board" means the elected members of the Checkoff
18Division Illinois Beef Council.
19    (h) "Producer" means a person that has owned or sold cattle
20in the previous calendar year or presently owns cattle.
21(Source: P.A. 84-1273; 84-1276.)
 
22    (505 ILCS 25/3)  (from Ch. 5, par. 1403)
23    Sec. 3. Name and purposes.
24    (a) The name of the program created and organized by this
25Act shall be the Illinois Beef Association Checkoff Division

 

 

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1Illinois Beef Council.
2    (b) The purposes and objectives of the program shall
3include:
4        (1) To promote the sale and use of beef and beef
5    products and to support national beef promotion, research,
6    education, and other consumer marketing activities at a
7    funding level to be determined by the Checkoff Division
8    Council and to otherwise support consumer market
9    development and promotion efforts on a national or
10    international scale;
11        (2) To develop new uses and markets for beef and beef
12    products;
13        (3) To develop and improve methods of distributing beef
14    and beef products to the consumer;
15        (4) To develop methods of improving the quality of beef
16    and beef products for the consumer benefit;
17        (5) To inform and educate the public of the nutritive
18    and economic values of beef and beef products;
19        (6) To function in a liaison capacity within the beef
20    and other food industries of the State and elsewhere in
21    matters that would increase efficiencies which ultimately
22    benefit both consumer and industry.
23(Source: P.A. 88-571, eff. 8-11-94.)
 
24    (505 ILCS 25/4)  (from Ch. 5, par. 1404)
25    Sec. 4. Governing board. With a favorable vote of beef

 

 

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1producers in the State of Illinois to support an
2assessment/deduction rate, as determined by referendum, of up
3to 50˘ per head of cattle sold in Illinois to finance the
4intent and purpose of this Act, there shall be created a
5Checkoff Division an Illinois Beef Council governed by a board
6of directors of 14 members. Two directors shall be elected by
7beef producers from each of seven compact and contiguous
8districts, apportioned as nearly as practicable according to
9the cattle-on-farms census report taken from the latest
10available United States Department of Agriculture records.
11    No county in Illinois shall be apportioned in more than one
12district. The seven districts shall be re-apportioned by the
13Checkoff Division Council every 9 years, according to the
14latest available United States Department of Agriculture
15cattle-on-farms census records. An elected director shall not
16become ineligible to serve his or her elected term through any
17re-apportionment.
18    Term of office. The 14 directors shall be elected to serve
19a three year term and may be reelected to serve an additional
20consecutive term. An elected director shall be a resident of
21Illinois, and shall be a beef producer who has been a beef
22producer for at least the 5 years prior to his or her election.
23A qualified beef producer may be elected to serve on the board
24only if he or she has submitted, by registered mail to the
25Checkoff Division Illinois Beef Council office, a nominating
26petition containing signatures of more than 50 beef producers

 

 

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1from the district he or she may seek to represent. Only the 2
2candidates receiving the greatest number of votes cast from
3that district shall be elected.
4    On the first elected board of directors, one term of office
5from each district shall be limited to two years; the two year
6term to be determined by lottery at the first meeting of the
7Checkoff Division Illinois Beef Council. No member may serve
8more than two consecutive terms.
9    All Checkoff Division Beef Council board positions shall be
10unsalaried. However, the board members may be reimbursed for
11travel and other expenses incurred in carrying out the intent
12and purposes of this Act.
13    It shall be the responsibility of the Checkoff Division
14Council to conduct the election of new board members within 30
15days before the end of any elected board member's term of
16office. Newly elected board members shall assume their office
17at the first meeting of the Checkoff Division Council after
18their election to office, which shall be convened within 30
19days after the election. Notice of such meeting shall be sent
20to the members of the Checkoff Division Illinois Beef Council
21by certified mail at least 10 days prior thereto, stating the
22time, date and place of the meeting.
23    Notice of elections of members of the board shall be given
24at least once in trade publications, the public press, and
25statewide newspapers at least 30 days prior to such election.
26    The Checkoff Division Council may declare the office of a

 

 

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1board member vacant and appoint a beef producer from that
2district to serve the unexpired term of any member unable or
3unwilling to complete his or her term of office.
4(Source: P.A. 88-571, eff. 8-11-94.)
 
5    (505 ILCS 25/6)  (from Ch. 5, par. 1406)
6    Sec. 6. Powers and duties of the Checkoff Division Council.
7(a) The Checkoff Division Council shall:
8    (1) Receive and disburse funds, as prescribed elsewhere in
9this Act, to be used in administering and implementing the
10provisions and intent of this Act;
11    (2) Annually elect a Chairman from among its members who
12may succeed himself for not more than one term;
13    (3) Annually elect a Secretary-Treasurer from among its
14members;
15    (4) Meet regularly, not less often than one time each
16calendar quarter or at such other times as called by the
17Chairman, or when requested by four or more members of the
18Checkoff Division Council, all meetings to be held under the
19Open Meetings Act of the State of Illinois;
20    (5) Maintain a permanent record of its business
21proceedings;
22    (6) Maintain a permanent and detailed record of its
23financial dealings;
24    (7) Prepare periodic reports and an annual report of its
25activities for the fiscal year, for review of the beef industry

 

 

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1of the State, and the annual report is to be filed with the
2Illinois Director of Agriculture;
3    (8) Prepare periodic reports and an annual accounting for
4the fiscal year of all receipts and expenditures for review of
5the beef industry of the State, and shall retain a certified
6public accountant for this purpose;
7    (9) Appoint a licensed banking institution as the
8depository for program funds and disbursements;
9    (10) Maintain frequent communication with officers and
10industry representatives of the National Livestock and Meat
11Board.
12    (11) Maintain an office at a specific location in Illinois.
13    (b) The Checkoff Division Council may:
14    (1) Conduct or contract for scientific research with any
15accredited university, college or similar institution; and,
16enter into other contracts or agreements which will aid in
17carrying out the purposes of the program, including contracts
18for the purchase or acquisition of facilities or equipment
19necessary to carry out the purposes of the program;
20    (2) Disseminate reliable information benefiting the
21consumer and the beef industry on such subjects as, but not
22limited to, purchase, identification, care, storage, handling,
23cookery, preparation, serving and nutritive value of beef and
24beef products;
25    (3) Provide information to such various government bodies
26as request it, on subjects of concern to the beef industry; and

 

 

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1further, act jointly or in cooperation with the State or
2Federal government, and agencies thereof, in the development or
3administration of programs deemed by the Checkoff Division
4Council as consistent with the objectives of the programs;
5    (4) Sue and be sued as a Checkoff Division Council without
6individual liability of the members for acts of the Checkoff
7Division Council when acting within the scope of the powers of
8this Act, and in the manner prescribed by the laws of the
9State;
10    (5) Borrow money from licensed lending institutions in
11amounts which are not cumulatively greater than 50% of
12anticipated annual income;
13    (6) Maintain a financial reserve for emergency use, the
14total of which shall not exceed 50% of anticipated annual
15income;
16    (7) Appoint advisory groups composed of representatives
17from organizations, institutions, governments or business
18related to or interested in the welfare of the beef industry
19and the consuming public;
20    (8) Employ subordinate officers and employees of the
21Checkoff Division Council and prescribe their duties and fix
22their compensation and terms of employment;
23    (9) Cooperate with any local, State, regional or nationwide
24organization or agency engaged in work or activities consistent
25with the objectives of the program.
26    (10) Cause any duly authorized agent or representative to

 

 

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1enter upon the premises of any market agency, market agent,
2collection agent, or collection agency and examine or cause to
3be examined by such agent only books, papers, and records which
4deal in any way with respect to the payment of the
5assessment/deduction or enforcement of this Act.
6(Source: P.A. 84-343; 84-584.)
 
7    (505 ILCS 25/7)  (from Ch. 5, par. 1407)
8    Sec. 7. Acceptance of grants and gifts. (a) The Checkoff
9Division Council may accept grants, donations, contributions
10or gifts from any source, provided the use of such resources is
11not restricted in any manner which is deemed inconsistent with
12the objectives of the program.
13(Source: P.A. 83-84.)
 
14    (505 ILCS 25/8)  (from Ch. 5, par. 1408)
15    Sec. 8. Payments to organizations. (a) As described
16heretofore, the Checkoff Division Council may pay funds to
17other organizations for work or services performed which are
18consistent with the objectives of the program.
19    (b) Prior to making payments described in this Section, the
20Checkoff Division Council shall secure agreements in writing
21that such organization receiving payment shall:
22    (1) Furnish not less often than annual, or on request of
23the Checkoff Division Council, written or printed reports of
24program activities and reports of financial data which are

 

 

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1relative to the Checkoff Division's Council's funding of such
2activities;
3    (2) Agree to have appropriate representatives attend
4business meetings of the Checkoff Division Council as
5reasonably requested by the Chairman of the Checkoff Division
6Council.
7    (c) The Checkoff Division Council may require adequate
8proof of security bonding on funds paid to any individual,
9business or other organizations.
10(Source: P.A. 84-343; 84-584.)
 
11    (505 ILCS 25/9)  (from Ch. 5, par. 1409)
12    Sec. 9. Collection of monies at time of marketing.
13    (a) Every marketing agency licensed to do business in the
14State of Illinois shall deduct from the gross receipts of the
15seller, at the time of sale, an assessment established by
16referendum up to 50˘ per head, as recommended by the Checkoff
17Division Council, on all cattle marketed in the State in
18addition to any assessment for a National Promotion Research
19Program, created by federal law, which may be in effect.
20    (b) The collecting agent shall assemble all such monies and
21forward them to the Checkoff Division Council on a regular
22basis, not less often than monthly, and the Checkoff Division
23Council shall provide appropriate business forms for the
24convenience of the collecting agent in executing this duty.
25    Failure of the collecting agent to deduct or forward funds

 

 

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1under this Section is grounds for the Checkoff Division Council
2to request the Department of Agriculture to suspend or refuse
3to issue the collecting agent's licenses issued under the
4Livestock Auction Market Law or Livestock Dealer Licensing Act.
5    (c) The Checkoff Division Council shall maintain within its
6financial record a separate accounting of all monies received
7under the provisions of this Section.
8    (d) Any due and payable assessment/deduction required
9under this Act constitutes a personal debt of the person so
10assessed or who otherwise owes the assessment/deduction. In the
11event of failure of a person to remit any properly due
12assessment/deduction or sum, the Checkoff Division Council may
13bring a civil action against that person in the circuit court
14of any county for the collection thereof, and may add an
15additional 10% penalty assessment, cost of enforcing the
16collection of the assessment, and court costs. The action shall
17be tried and judgment rendered as in any other cause of action
18for debts due and payable. All assessments, penalty
19assessments, and enforcement costs are due and payable to the
20Checkoff Division Council.
21    (e) All monies deducted under the provisions of this
22Section shall be considered as bonafide business expenses for
23the seller as provided for under the tax laws of this State.
24    (f) The Checkoff Division Council may adopt reciprocal
25agreements with other Beef Councils or like organizations, on
26moneys collected at Illinois collecting agencies on cattle from

 

 

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1other states and on Illinois cattle sold at other state
2markets.
3(Source: P.A. 87-172; 88-571, eff. 8-11-94.)
 
4    (505 ILCS 25/10)  (from Ch. 5, par. 1410)
5    Sec. 10. Refunds. (a) Any seller of cattle who has had
6monies deducted from his gross sales receipts under the
7provisions of this Act, shall be entitled to a prompt and full
8refund. Any seller of cattle who has had monies deducted from
9his gross sale receipts under the provisions of the Federal
10Beef Promotion and Research Order, as amended from time to
11time, shall be entitled to receive a refund which may be made
12in a manner consistent with the coordination of this Act and
13the National Beef Promotion Research Program for such time as
14such Program may be in effect.
15    (b) The Checkoff Division Council shall make available to
16all collecting agents business forms permitting requests for
17refund, such forms to be submitted by the objecting cattle
18producer or owner within 30 days of the sale transaction.
19    (c) Refund claims by the cattle producer or owner shall
20include his signature, date of sale, place of sale, number of
21cattle and amount of assessment deducted, and shall have
22attached thereto proof of the assessment deducted.
23    (d) If the Checkoff Division Council has reasonable doubt
24that a refund claim is valid, it may withhold payment and take
25such action as may be deemed necessary to determine its

 

 

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1validity.
2    (e) All requests for refunds shall be initiated by the
3producer only.
4(Source: P.A. 84-1273; 84-1276.)
 
5    (505 ILCS 25/11)  (from Ch. 5, par. 1411)
6    Sec. 11. Surety bond. (a) Any person authorized by the
7Checkoff Division Council to receive or disburse funds, as
8provided by the Act, shall post with the Checkoff Division
9Council a surety bond in the amount deemed appropriate by the
10Checkoff Division Council.
11    (b) Premiums covering bonding for employees, officers or
12members of the Checkoff Division Council shall be paid by the
13Checkoff Division Council.
14    (c) No person shall knowingly fail or refuse to comply with
15any requirement of this Act. The Checkoff Division Council may
16institute any action which is necessary to enforce compliance
17with any provision of this Act and rule or regulation
18thereunder. Each day's violation constitutes a separate
19offense. In addition to any other remedy provided by law, the
20Checkoff Division Council may petition for injunctive relief
21without being required to allege or prove the absence of any
22adequate remedy at law.
23(Source: P.A. 84-343; 84-584.)
 
24    (505 ILCS 25/13)  (from Ch. 5, par. 1413)

 

 

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1    Sec. 13. With the delivery by certified mail to the
2Checkoff Division Illinois Beef Council office of petitions
3from each of the 7 districts containing signatures of at least
4100 beef producers from each district, stating "Shall the Beef
5Market Development Act continue", the Checkoff Division
6Illinois Beef Council shall, within 90 days, conduct a
7referendum to determine if a majority of the beef producers
8voting in such referendum support the continuation of the Beef
9Market Development Act. Referendums under this Section shall be
10held not more than one time each 5 years.
11(Source: P.A. 91-357, eff. 7-29-99.)
 
12    (505 ILCS 25/14)  (from Ch. 5, par. 1414)
13    Sec. 14. Bylaws. The Checkoff Division Illinois Beef
14Council shall within 90 days of this Act becoming law, adopt
15bylaws to carry out the intent and purposes of this Act. These
16bylaws can be amended with a 30 day notice to board members at
17any regular or special meeting called for this purpose.
18(Source: P.A. 83-84.)
 
19    Section 99. Effective date. This Act takes effect upon
20becoming law.".