Public Act 099-0389
 
HB3101 EnrolledLRB099 10019 JLS 30240 b

    AN ACT concerning business.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Livestock Auction Market Law is amended by
changing Section 6.2 as follows:
 
    (225 ILCS 640/6.2)  (from Ch. 121 1/2, par. 213b)
    Sec. 6.2. The Department may refuse to issue or may suspend
the license of any person upon the complaint in writing from
the Checkoff Division of the Illinois Beef Association Board of
Governors Illinois Beef Council indicating that the person has
failed to properly remit or deduct funds as required by Section
9 of the Beef Market Development Act.
(Source: P.A. 87-172.)
 
    Section 10. The Illinois Livestock Dealer Licensing Act is
amended by changing Sections 9 and 9.2 as follows:
 
    (225 ILCS 645/9)  (from Ch. 111, par. 409)
    Sec. 9. The Department may refuse to issue or renew or may
suspend or revoke a license on any of the following grounds:
    a. Material misstatement in the application for original
license or in the application for any renewal license under
this Act;
    b. Wilful disregard or violation of this Act, or of any
other Act relative to the purchase and sale of livestock,
feeder swine or horses, or of any regulation or rule issued
pursuant thereto;
    c. Wilfully aiding or abetting another in the violation of
this Act or of any regulation or rule issued pursuant thereto;
    d. Allowing one's license under this Act to be used by an
unlicensed person;
    e. Conviction of any felony, if the Department determines,
after investigation, that such person has not been sufficiently
rehabilitated to warrant the public trust;
    f. Conviction of any crime an essential element of which is
misstatement, fraud or dishonesty;
    g. Conviction of a violation of any law in Illinois or any
Departmental rule or regulation relating to livestock;
    h. Making substantial misrepresentations or false promises
of a character likely to influence, persuade or induce in
connection with the livestock industry;
    i. Pursuing a continued course of misrepresentation of or
making false promises through advertising, salesmen, agents or
otherwise in connection with the livestock industry;
    j. Failure to possess the necessary qualifications or to
meet the requirements of this Act for the issuance or holding a
license;
    k. Failure to pay for livestock after purchase;
    l. Issuance of checks for payment of livestock when funds
are insufficient;
    m. Determination by a Department audit that the licensee or
applicant is insolvent;
    n. Operating without adequate bond coverage or its
equivalent required for licensees.
    o. Failing to remit the assessment required in Section 9 of
the Beef Market Development Act upon written complaint of the
Checkoff Division of the Illinois Beef Association Board of
Governors Illinois Beef Council.
    The Department may refuse to issue or may suspend the
license of any person who fails to file a return, or to pay the
tax, penalty or interest shown in a filed return, or to pay any
final assessment of tax, penalty or interest, as required by
any tax Act administered by the Illinois Department of Revenue,
until such time as the requirements of any such tax Act are
satisfied.
(Source: P.A. 87-172.)
 
    (225 ILCS 645/9.2)  (from Ch. 111, par. 409.2)
    Sec. 9.2. The Department may refuse to issue or may suspend
the license of any person upon the complaint in writing from
the Checkoff Division of the Illinois Beef Association Board of
Governors Illinois Beef Council indicating that the person has
failed to properly remit or deduct funds as required by Section
9 of the Beef Market Development Act.
(Source: P.A. 87-172)
 
    Section 15. The Beef Market Development Act is amended by
changing Sections 2, 3, 4, 6, 7, 8, 9, 10, 11, 13, and 14 as
follows:
 
    (505 ILCS 25/2)  (from Ch. 5, par. 1402)
    Sec. 2. Definitions. In this Act, unless the context
otherwise requires:
    (a) "Beef" and "Beef products" means the meat intended for
human consumption from any bovine animal, regardless of age,
including veal.
    (b) "Cattle" means such animals as may be so designated by
federal law, including such marketing, promotion and research
orders as may from time to time be in effect. Unless such
federal law provides to the contrary, "cattle" means all bovine
animals, regardless of age, including calves, except that
cattle provided for dairy purposes shall be excluded during
their useful life as dairy animals. A cow and nursing calf sold
together shall be considered one unit.
    (c) "Checkoff Division" means the Checkoff Division of the
Illinois Beef Association Board of Governors. "Council" means
the operating committee established under this Act to
administer and govern the program.
    (d) "Person" means any natural person, partnership,
corporation, company, association, society, trust or other
business unit or organization.
    (e) "Market Agent", "Market Agency", "Collection Agent" or
"Collection Agency" means any person who sells, offers for
sale, markets, distributes, trades or processes cattle which
has been purchased or acquired from a producer, or which is
marketed on behalf of a producer, and further includes
meatpacking firms and their agents which purchase or consign to
purchase cattle.
    (f) "Director" means a member of the Checkoff Division
Illinois Beef Council.
    (g) "Board" means the elected members of the Checkoff
Division Illinois Beef Council.
    (h) "Producer" means a person that has owned or sold cattle
in the previous calendar year or presently owns cattle.
(Source: P.A. 84-1273; 84-1276.)
 
    (505 ILCS 25/3)  (from Ch. 5, par. 1403)
    Sec. 3. Name and purposes.
    (a) The name of the program created and organized by this
Act shall be the Illinois Beef Association Checkoff Division
Illinois Beef Council.
    (b) The purposes and objectives of the program shall
include:
        (1) To promote the sale and use of beef and beef
    products and to support national beef promotion, research,
    education, and other consumer marketing activities at a
    funding level to be determined by the Checkoff Division
    Council and to otherwise support consumer market
    development and promotion efforts on a national or
    international scale;
        (2) To develop new uses and markets for beef and beef
    products;
        (3) To develop and improve methods of distributing beef
    and beef products to the consumer;
        (4) To develop methods of improving the quality of beef
    and beef products for the consumer benefit;
        (5) To inform and educate the public of the nutritive
    and economic values of beef and beef products;
        (6) To function in a liaison capacity within the beef
    and other food industries of the State and elsewhere in
    matters that would increase efficiencies which ultimately
    benefit both consumer and industry.
(Source: P.A. 88-571, eff. 8-11-94.)
 
    (505 ILCS 25/4)  (from Ch. 5, par. 1404)
    Sec. 4. Governing board. With a favorable vote of beef
producers in the State of Illinois to support an
assessment/deduction rate, as determined by referendum, of up
to 50¢ per head of cattle sold in Illinois to finance the
intent and purpose of this Act, there shall be created a
Checkoff Division an Illinois Beef Council governed by a board
of directors of 14 members. Two directors shall be elected by
beef producers from each of seven compact and contiguous
districts, apportioned as nearly as practicable according to
the cattle-on-farms census report taken from the latest
available United States Department of Agriculture records.
    No county in Illinois shall be apportioned in more than one
district. The seven districts shall be re-apportioned by the
Checkoff Division Council every 9 years, according to the
latest available United States Department of Agriculture
cattle-on-farms census records. An elected director shall not
become ineligible to serve his or her elected term through any
re-apportionment.
    Term of office. The 14 directors shall be elected to serve
a three year term and may be reelected to serve an additional
consecutive term. An elected director shall be a resident of
Illinois, and shall be a beef producer who has been a beef
producer for at least the 5 years prior to his or her election.
A qualified beef producer may be elected to serve on the board
only if he or she has submitted, by registered mail to the
Checkoff Division Illinois Beef Council office, a nominating
petition containing signatures of more than 50 beef producers
from the district he or she may seek to represent. Only the 2
candidates receiving the greatest number of votes cast from
that district shall be elected.
    On the first elected board of directors, one term of office
from each district shall be limited to two years; the two year
term to be determined by lottery at the first meeting of the
Checkoff Division Illinois Beef Council. No member may serve
more than two consecutive terms.
    All Checkoff Division Beef Council board positions shall be
unsalaried. However, the board members may be reimbursed for
travel and other expenses incurred in carrying out the intent
and purposes of this Act.
    It shall be the responsibility of the Checkoff Division
Council to conduct the election of new board members within 30
days before the end of any elected board member's term of
office. Newly elected board members shall assume their office
at the first meeting of the Checkoff Division Council after
their election to office, which shall be convened within 30
days after the election. Notice of such meeting shall be sent
to the members of the Checkoff Division Illinois Beef Council
by certified mail at least 10 days prior thereto, stating the
time, date and place of the meeting.
    Notice of elections of members of the board shall be given
at least once in trade publications, the public press, and
statewide newspapers at least 30 days prior to such election.
    The Checkoff Division Council may declare the office of a
board member vacant and appoint a beef producer from that
district to serve the unexpired term of any member unable or
unwilling to complete his or her term of office.
(Source: P.A. 88-571, eff. 8-11-94.)
 
    (505 ILCS 25/6)  (from Ch. 5, par. 1406)
    Sec. 6. Powers and duties of the Checkoff Division Council.
(a) The Checkoff Division Council shall:
    (1) Receive and disburse funds, as prescribed elsewhere in
this Act, to be used in administering and implementing the
provisions and intent of this Act;
    (2) Annually elect a Chairman from among its members who
may succeed himself for not more than one term;
    (3) Annually elect a Secretary-Treasurer from among its
members;
    (4) Meet regularly, not less often than one time each
calendar quarter or at such other times as called by the
Chairman, or when requested by four or more members of the
Checkoff Division Council, all meetings to be held under the
Open Meetings Act of the State of Illinois;
    (5) Maintain a permanent record of its business
proceedings;
    (6) Maintain a permanent and detailed record of its
financial dealings;
    (7) Prepare periodic reports and an annual report of its
activities for the fiscal year, for review of the beef industry
of the State, and the annual report is to be filed with the
Illinois Director of Agriculture;
    (8) Prepare periodic reports and an annual accounting for
the fiscal year of all receipts and expenditures for review of
the beef industry of the State, and shall retain a certified
public accountant for this purpose;
    (9) Appoint a licensed banking institution as the
depository for program funds and disbursements;
    (10) Maintain frequent communication with officers and
industry representatives of the National Livestock and Meat
Board.
    (11) Maintain an office at a specific location in Illinois.
    (b) The Checkoff Division Council may:
    (1) Conduct or contract for scientific research with any
accredited university, college or similar institution; and,
enter into other contracts or agreements which will aid in
carrying out the purposes of the program, including contracts
for the purchase or acquisition of facilities or equipment
necessary to carry out the purposes of the program;
    (2) Disseminate reliable information benefiting the
consumer and the beef industry on such subjects as, but not
limited to, purchase, identification, care, storage, handling,
cookery, preparation, serving and nutritive value of beef and
beef products;
    (3) Provide information to such various government bodies
as request it, on subjects of concern to the beef industry; and
further, act jointly or in cooperation with the State or
Federal government, and agencies thereof, in the development or
administration of programs deemed by the Checkoff Division
Council as consistent with the objectives of the programs;
    (4) Sue and be sued as a Checkoff Division Council without
individual liability of the members for acts of the Checkoff
Division Council when acting within the scope of the powers of
this Act, and in the manner prescribed by the laws of the
State;
    (5) Borrow money from licensed lending institutions in
amounts which are not cumulatively greater than 50% of
anticipated annual income;
    (6) Maintain a financial reserve for emergency use, the
total of which shall not exceed 50% of anticipated annual
income;
    (7) Appoint advisory groups composed of representatives
from organizations, institutions, governments or business
related to or interested in the welfare of the beef industry
and the consuming public;
    (8) Employ subordinate officers and employees of the
Checkoff Division Council and prescribe their duties and fix
their compensation and terms of employment;
    (9) Cooperate with any local, State, regional or nationwide
organization or agency engaged in work or activities consistent
with the objectives of the program.
    (10) Cause any duly authorized agent or representative to
enter upon the premises of any market agency, market agent,
collection agent, or collection agency and examine or cause to
be examined by such agent only books, papers, and records which
deal in any way with respect to the payment of the
assessment/deduction or enforcement of this Act.
(Source: P.A. 84-343; 84-584.)
 
    (505 ILCS 25/7)  (from Ch. 5, par. 1407)
    Sec. 7. Acceptance of grants and gifts. (a) The Checkoff
Division Council may accept grants, donations, contributions
or gifts from any source, provided the use of such resources is
not restricted in any manner which is deemed inconsistent with
the objectives of the program.
(Source: P.A. 83-84.)
 
    (505 ILCS 25/8)  (from Ch. 5, par. 1408)
    Sec. 8. Payments to organizations. (a) As described
heretofore, the Checkoff Division Council may pay funds to
other organizations for work or services performed which are
consistent with the objectives of the program.
    (b) Prior to making payments described in this Section, the
Checkoff Division Council shall secure agreements in writing
that such organization receiving payment shall:
    (1) Furnish not less often than annual, or on request of
the Checkoff Division Council, written or printed reports of
program activities and reports of financial data which are
relative to the Checkoff Division's Council's funding of such
activities;
    (2) Agree to have appropriate representatives attend
business meetings of the Checkoff Division Council as
reasonably requested by the Chairman of the Checkoff Division
Council.
    (c) The Checkoff Division Council may require adequate
proof of security bonding on funds paid to any individual,
business or other organizations.
(Source: P.A. 84-343; 84-584.)
 
    (505 ILCS 25/9)  (from Ch. 5, par. 1409)
    Sec. 9. Collection of monies at time of marketing.
    (a) Every marketing agency licensed to do business in the
State of Illinois shall deduct from the gross receipts of the
seller, at the time of sale, an assessment established by
referendum up to 50¢ per head, as recommended by the Checkoff
Division Council, on all cattle marketed in the State in
addition to any assessment for a National Promotion Research
Program, created by federal law, which may be in effect.
    (b) The collecting agent shall assemble all such monies and
forward them to the Checkoff Division Council on a regular
basis, not less often than monthly, and the Checkoff Division
Council shall provide appropriate business forms for the
convenience of the collecting agent in executing this duty.
    Failure of the collecting agent to deduct or forward funds
under this Section is grounds for the Checkoff Division Council
to request the Department of Agriculture to suspend or refuse
to issue the collecting agent's licenses issued under the
Livestock Auction Market Law or Livestock Dealer Licensing Act.
    (c) The Checkoff Division Council shall maintain within its
financial record a separate accounting of all monies received
under the provisions of this Section.
    (d) Any due and payable assessment/deduction required
under this Act constitutes a personal debt of the person so
assessed or who otherwise owes the assessment/deduction. In the
event of failure of a person to remit any properly due
assessment/deduction or sum, the Checkoff Division Council may
bring a civil action against that person in the circuit court
of any county for the collection thereof, and may add an
additional 10% penalty assessment, cost of enforcing the
collection of the assessment, and court costs. The action shall
be tried and judgment rendered as in any other cause of action
for debts due and payable. All assessments, penalty
assessments, and enforcement costs are due and payable to the
Checkoff Division Council.
    (e) All monies deducted under the provisions of this
Section shall be considered as bonafide business expenses for
the seller as provided for under the tax laws of this State.
    (f) The Checkoff Division Council may adopt reciprocal
agreements with other Beef Councils or like organizations, on
moneys collected at Illinois collecting agencies on cattle from
other states and on Illinois cattle sold at other state
markets.
(Source: P.A. 87-172; 88-571, eff. 8-11-94.)
 
    (505 ILCS 25/10)  (from Ch. 5, par. 1410)
    Sec. 10. Refunds. (a) Any seller of cattle who has had
monies deducted from his gross sales receipts under the
provisions of this Act, shall be entitled to a prompt and full
refund. Any seller of cattle who has had monies deducted from
his gross sale receipts under the provisions of the Federal
Beef Promotion and Research Order, as amended from time to
time, shall be entitled to receive a refund which may be made
in a manner consistent with the coordination of this Act and
the National Beef Promotion Research Program for such time as
such Program may be in effect.
    (b) The Checkoff Division Council shall make available to
all collecting agents business forms permitting requests for
refund, such forms to be submitted by the objecting cattle
producer or owner within 30 days of the sale transaction.
    (c) Refund claims by the cattle producer or owner shall
include his signature, date of sale, place of sale, number of
cattle and amount of assessment deducted, and shall have
attached thereto proof of the assessment deducted.
    (d) If the Checkoff Division Council has reasonable doubt
that a refund claim is valid, it may withhold payment and take
such action as may be deemed necessary to determine its
validity.
    (e) All requests for refunds shall be initiated by the
producer only.
(Source: P.A. 84-1273; 84-1276.)
 
    (505 ILCS 25/11)  (from Ch. 5, par. 1411)
    Sec. 11. Surety bond. (a) Any person authorized by the
Checkoff Division Council to receive or disburse funds, as
provided by the Act, shall post with the Checkoff Division
Council a surety bond in the amount deemed appropriate by the
Checkoff Division Council.
    (b) Premiums covering bonding for employees, officers or
members of the Checkoff Division Council shall be paid by the
Checkoff Division Council.
    (c) No person shall knowingly fail or refuse to comply with
any requirement of this Act. The Checkoff Division Council may
institute any action which is necessary to enforce compliance
with any provision of this Act and rule or regulation
thereunder. Each day's violation constitutes a separate
offense. In addition to any other remedy provided by law, the
Checkoff Division Council may petition for injunctive relief
without being required to allege or prove the absence of any
adequate remedy at law.
(Source: P.A. 84-343; 84-584.)
 
    (505 ILCS 25/13)  (from Ch. 5, par. 1413)
    Sec. 13. With the delivery by certified mail to the
Checkoff Division Illinois Beef Council office of petitions
from each of the 7 districts containing signatures of at least
100 beef producers from each district, stating "Shall the Beef
Market Development Act continue", the Checkoff Division
Illinois Beef Council shall, within 90 days, conduct a
referendum to determine if a majority of the beef producers
voting in such referendum support the continuation of the Beef
Market Development Act. Referendums under this Section shall be
held not more than one time each 5 years.
(Source: P.A. 91-357, eff. 7-29-99.)
 
    (505 ILCS 25/14)  (from Ch. 5, par. 1414)
    Sec. 14. Bylaws. The Checkoff Division Illinois Beef
Council shall within 90 days of this Act becoming law, adopt
bylaws to carry out the intent and purposes of this Act. These
bylaws can be amended with a 30 day notice to board members at
any regular or special meeting called for this purpose.
(Source: P.A. 83-84.)
 
    Section 99. Effective date. This Act takes effect upon
becoming law.

Effective Date: 8/18/2015