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Public Act 92-0158
SB405 Enrolled LRB9203931TAtmA
AN ACT concerning agriculture.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 1. Short title. This Act may be cited as the
Illinois Swine Market Development Act.
Section 5. Legislative intent. The legislature intends
to promote the growth of the swine industry in Illinois; to
assure the citizens of this State and the American public an
adequate and wholesome food supply; to provide for the
general economic welfare of both producers and consumers of
pork and the State of Illinois; and to provide the swine
production and feeding industry of this State with authority
to establish a self-financed, self-governed program to help
develop, maintain, and expand the State, national, and
foreign markets for pork and pork products produced,
processed, or manufactured in this State.
Section 10. Definitions. In this Act:
"Board" means the elected members of the Illinois Pork
Producers Association board of directors.
"Council" means the Illinois Swine Market Development
Council created by this Act.
"Director" means a member of the Illinois Swine Market
Development Council.
"Market agent", "market agency", "collection agent", or
"collection agency" means any person who sells, offers for
sale, markets, distributes, trades, or processes swine that
has been purchased or acquired from a producer or that is
marketed on behalf of a producer. The term also includes
meat packing firms, and their agents, that purchase or
consign to purchase swine.
"Market" means to sell or to otherwise dispose of a swine
animal, pork, or pork product in commerce.
"Person" means any natural person, partnership,
corporation, company, association, society, trust, or other
business unit or organization.
"Pork" means the meat from swine.
"Pork product" means a product produced or processed in
whole or in part from swine.
"Producer" means any person engaged in this State in the
business of producing or marketing swine, unless otherwise
defined in the marketing program.
"Swine" means all domesticated animals of the family
Suidae.
Section 15. Illinois Swine Market Development Program.
(a) The name of the program authorized by and created
by this Act is the Illinois Swine Market Development Program.
(b) The program shall include, as applicable, the
following:
(1) a definition of terms;
(2) the purpose of the program;
(3) the assessment rate or rates provided for by
the program;
(4) equitable procedures for collection of the
assessment provided for the program;
(5) procedures and criteria for determining
adoption of a program;
(6) the election procedure and qualifications of
the directors of the Council, terms of office, expense
reimbursement, and other necessary provisions pertaining
thereto;
(7) the operating procedures of the program;
(8) the qualifications for and registration of
swine producers to participate in referenda for the
adoption, amendment, or continuation of a marketing
program and the election of Council directors;
(9) the procedure for requesting refunds and, if
provided for in the marketing program, reasonable
reimbursement of collection agencies' expenses;
(10) procedures for the discontinuance of a
program;
(11) the determination of what swine are subject to
assessment and the exemption of swine producers or swine
from assessment when those exemptions are applicable as
defined in the marketing program; and
(12) the adoption of other provisions to facilitate
the purposes of the marketing program.
(c) The purposes of the program may include:
(1) promoting the sale and use of pork and pork
products; supporting promotion, research, and education
programs, and other consumer marketing activities at a
funding level determined by the Council; and otherwise
supporting consumer market development and promotion
efforts on a State, national, and international scale;
(2) developing new uses and markets for pork and
pork products;
(3) developing and improving methods of
distributing pork and pork products to the consumer;
(4) developing methods for improving the quality of
pork and pork products for consumer benefit;
(5) informing and educating the public of the
nutritive and economic value of pork and pork products;
(6) informing and educating pork producers on
disease control and eradication, environmental
stewardship and mandates, and other areas of importance
to the swine industry;
(7) functioning as a liaison within the pork
industry and other food industries of the State and
elsewhere in matters that would increase efficiencies
that ultimately benefit both consumers and industry; and
(8) developing and expanding markets for swine.
Section 20. Powers and duties of the Board.
(a) The Board is responsible for the development of the
initial Illinois Swine Market Development Program, providing
publicity and conducting informational meetings prior to the
referendum for adoption on the initial marketing program,
making the proposed program and nominating petitions for
director and names of candidates running for office available
to the public, registering producers who are subject to the
program to vote, conducting the initial referendum to adopt a
program, and conducting the initial election of the Council.
(b) The Board shall develop an Illinois Swine Market
Development Program consistent with the provisions set forth
in Section 15 and as authorized by or required by this Act.
Section 25. Governing council. With a favorable vote of
swine producers subject to the marketing program in the State
of Illinois to adopt by referendum an Illinois Swine Market
Development Program, there shall be established an Illinois
Swine Market Development Council governed by a board of
directors of 7 members who shall be elected at the same time
as the initial referendum and thereafter as provided for in
this Act and marketing program. Swine producers who are
subject to the program shall elect a director from each of 7
compact and contiguous districts, apportioned as nearly as
practical according to the swine-on-farms census report taken
from the latest available United States Department of
Agriculture records.
No county in Illinois shall be apportioned into more than
one district. The 7 districts shall be re-apportioned by the
Council every 9 years, according to the latest available
United States Department of Agriculture swine-on-farms census
records. An elected director shall not become ineligible to
serve his or her elected term through any re-apportionment.
The 7 directors shall be elected to serve a 3-year term
and may be re-elected to serve an additional consecutive
term. An elected director must be a resident of Illinois and
must be a swine producer subject to the program who has been
a swine producer for at least the 5 years prior to his or her
election. A qualified swine producer may be elected to serve
on the Council only if he or she has submitted, by registered
mail to the Illinois Swine Market Development office, a
nominating petition containing signatures of 25 or more swine
producers subject to the program from the district he or she
seeks to represent, except that in the case of the initial
election of Council directors, the nominating petition shall
be mailed by registered mail to the Board. The candidate
receiving the greatest number of votes cast from that
district shall be elected.
All Council directors shall be unsalaried. Council
directors may, however, be reimbursed for travel and other
expenses incurred in carrying out the intent and purposes of
this Act and marketing program.
It is the responsibility of the Council to conduct the
election of Council directors within 30 days before the end
of any elected Council director's term of office. Newly
elected Council directors shall assume their office at the
first meeting of the Council after their election to office,
which shall be convened within 30 days after the election.
Notice of the meeting shall be sent to the directors of the
Council at least 10 days before the meeting. The notice must
state the time, date, and place of the meeting.
Reasonable notice of elections of directors of the
Council must be given at least once in trade publications and
in the public press at least 30 days before the election.
The Council may declare an office of director vacant and
appoint a swine producer subject to the program from that
district to serve the unexpired term of any director unable
or unwilling to complete his or her term of office.
Section 30. Referenda. All swine producers subject to
the marketing program shall have the opportunity to vote in a
referendum to determine the adoption, amendment, or
continuation of a marketing program.
All referenda shall be by secret ballot. Voting shall be
by mailed ballot. No less than 14 calendar days shall be
allowed for swine producers subject to the program to cast
their ballots. Procedure shall be provided for absentee
voting. Reasonable notice of all referenda held under this
Act must be given at least once in trade publications and in
the public press at least 30 days before the referendum.
The ballots shall be returned to the Illinois Department
of Agriculture. Such ballots shall be returned or delivered
to the Department no later than the date for the conclusion
of the voting period. The Department shall secure all ballots
until they are tallied. The Department shall appoint a
3-person teller committee to tally the vote and shall make
the results of the referendum public.
The initial referendum to adopt an Illinois Swine Market
Development Program and to set the amount of an assessment
may be conducted at any time by the Board of the Illinois
Pork Producers Association. The Board shall hold
informational meetings on the initial marketing program.
Any producer who is qualified under any marketing program
is entitled to one vote. The referendum area includes the
entire State of Illinois.
Section 35. Powers and duties of the Council.
(a) The Council shall:
(1) receive and disburse funds, as prescribed in
this Act and the marketing program, to be used in
administering and implementing the provisions and the
intent of this Act and the marketing program;
(2) annually elect a Chairperson from among its
members who may succeed himself or herself for not more
than one term;
(3) annually elect a Secretary-Treasurer from among
its members;
(4) meet regularly and at any other times at the
call of the Chairperson, or when requested by 4 or more
directors of the Council; all meetings must comply with
the Open Meetings Act;
(5) maintain a permanent record of its business
proceedings;
(6) maintain a permanent and detailed record of its
financial dealings;
(7) prepare and publish annually an activity and
financial report for the marketing program to be
available to all of the affected producers of the
marketing program. All expenditures under each marketing
program shall be audited at least annually by a
registered public accountant. Within 30 days after
completion of such audit, the results shall be made
available to the Director of the Illinois Department of
Agriculture;
(8) bond the treasurer and such other persons
necessary to insure adequate protection of funds and
deposit program funds in a secure banking institution;
and
(9) maintain an office at a specific location in
Illinois.
(b) The Council may:
(1) conduct or contract with any accredited
university, college, or similar institution and enter
into other contracts or agreements that will aid the
Council 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 swine industry on subjects including,
but not limited to, purchase, identification, care
storage, handling, cookery, preparation, serving, and
nutritive value of pork and pork products;
(3) provide information to government bodies and
act jointly or in cooperation with the State or federal
government, and agencies thereof, to facilitate the
objectives of the program;
(4) sue and be sued as a Council without individual
liability of the members for acts of the Council when
acting within the scope of the powers of this Act and in
the manner prescribed by the laws of this State;
(5) borrow money from licensed lending institutions
in an amount that is not cumulatively greater than 50% of
the Council's anticipated annual income;
(6) maintain a financial reserve for emergency use,
the total of which may not exceed 50% of the Council's
anticipated annual income;
(7) appoint advisory groups composed of
representatives from organizations, institutions,
government, or businesses related to or interested in the
welfare of the swine industry and the pork-consuming
public;
(8) employ subordinate officers and employees of
the 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 or person engaged in
work or activities consistent with the objectives of the
program;
(10) cause any duly authorized agent or
representative of the Council to enter upon the premises
of any market agency, market agent, collection agent, or
collection agency, or any person responsible for
remitting assessments to the Council and examine or cause
to be examined by an authorized agent only books, papers,
and records that deal in any way with the payment of the
assessment adopted pursuant to this Act and marketing
program;
(11) provide services that enhance profitability
and consumer preference for pork; and
(12) carry out the duties and responsibilities as
set forth in this Act and marketing program.
Section 40. Acceptance of grants and gifts. The Council
may accept grants, donations, contributions, or gifts from
any source and may use these moneys consistent with the
objectives of the program.
Section 45. Payments to organizations.
(a) The Council may pay funds to other organizations or
persons for work or services performed that are consistent
with the objectives of the program.
(b) Before making payments described in this Section,
the Council must secure agreements in writing that the
organization or persons receiving payment will (i) furnish
yearly or at the request of the Council written or printed
reports of program activities and reports of financial data
that are related to the Council's funding of these activities
and (ii) agree to have appropriate representatives attend
business meetings of the Council as reasonably requested by
the Chairperson of the Council.
(c) The Council may require adequate proof of surety
bonding on funds paid to any person or organization.
Section 50. Collection of moneys.
(a) Every person who is responsible for remitting the
assessment as established in the marketing program shall
deduct the amount of the assessment as directed in the
marketing program.
(b) The person responsible for remitting the assessment
shall forward the assessed funds to the Council on a monthly
basis. The Council shall provide appropriate business forms
for the convenience of the person responsible for remitting
the assessment.
(c) Failure of the person who is responsible for
collecting and remitting to the Council assessments
authorized by this Act and marketing program is grounds for
the Council to request that the Illinois Department of
Agriculture suspend or refuse to issue the person's license
under the Livestock Auction Market Law or Illinois Livestock
Dealer Licensing Act.
(d) The Council shall maintain financial records of all
moneys received under the marketing program.
(e) Any due and payable assessment required under this
Act and marketing program constitutes a personal debt of the
person so assessed or the person who otherwise owes the
assessment. In the event of failure of a person to remit any
properly due assessment, the 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 Council.
(f) All moneys assessed under this Act and marketing
program are bona fide business expenses for the seller under
the tax laws of this State.
(g) The Council may adopt reciprocal agreements with
other swine councils or similar organizations.
Section 55. Refunds.
(a) Any person who has had an assessment deducted from
under the provisions of this Act and marketing program is
entitled to a full and prompt refund. The refund shall be
made in a manner consistent with this Act and any marketing
program for the time that the program is in effect.
(b) The Council shall make available to all persons
responsible for collecting and remitting the assessment forms
for requesting refunds. The refund request forms shall be
submitted by the swine producer within 60 days after the date
of assessment.
(c) A refund claim by the swine producer must include
his or her signature, date and place of assessment, number of
swine, and amount of assessment deducted and must have
attached to it proof of the assessment.
(d) If the Council has reasonable doubt that a refund
claim is valid, it may withhold payment and take any action
that may be deemed necessary to determine its validity.
(e) All requests for refunds shall be initiated by the
producer.
Section 60. Surety bond. Any person authorized by the
Council to receive or disburse funds must post with the
Council a surety bond in an amount determined by the Council.
Premiums covering bonds for employees, officers, or members
of the Council shall be paid by the Council.
Section 65. Compliance. No person may knowingly fail or
refuse to comply with the requirements of this Act or an
adopted marketing program. The Council may institute any
action that is necessary to enforce compliance with this Act
or an adopted marketing program. In addition to any other
remedy provided by law, the Council may petition the circuit
court for injunctive relief without being required to allege
or prove the absence of any adequate remedy at law.
Section 70. Duration of program.
(a) Any marketing program adopted by referendum shall
remain in effect until amended or repealed.
(b) Upon delivery by certified mail to the Council
office of petitions from each of the 7 districts containing
the signatures of at least 100 swine producers in each
district that are qualified to vote, stating "Shall the
Illinois Swine Market Development Program continue?", the
Council shall, within 90 days, conduct a referendum to
determine if a majority of the swine producers qualified to
vote in the referendum support the continuation of the
Illinois Swine Market Development Program. Referendums on
the question of the continuation of a program may not be held
more than once every 5 years. The continuation of a
marketing program shall be determined by the same voting
requirements as for adoption of the marketing program.
(c) A marketing program may be amended by utilizing the
same procedures as for determining the continuation of a
program. The Council may at any time deemed necessary propose
amendments to a marketing program.
Section 75. Termination of program. Upon termination of
any marketing program, all remaining unobligated funds shall
be refunded on a pro rata basis to the producers from whom
the assessments were collected in the preceding 2 years.
Section 80. Suspension of program. The operation of any
marketing program or any part thereof may be suspended for
any reasonable cause by the Council.
Section 85. Illinois Administrative Procedure Act. The
marketing program, procedures relative to the adoption of any
marketing program or amendment to an existing marketing
program shall not be subject to the provisions of the
Illinois Administrative Procedure Act.
Section 90. Invalidity. If any provision of this Act or
application thereof to any person or circumstances is held
invalid, that invalidity does not affect other provisions or
applications of this Act that can be given effect without the
invalid application or provision, and to this end the
provisions of this Act are declared to be severable.
Section 999. Effective date. This Act takes effect upon
becoming law.
Passed in the General Assembly May 08, 2001.
Approved July 25, 2001.
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