Laws: Cases and Codes : U.S. Code : Title 7 : Section 2707


   
U.S. Code as of: 01/03/05
Section 2707. Required terms and conditions in orders

      Orders issued pursuant to this chapter shall contain the
    following conditions:
    (a) Egg Board; establishment; appointment and terms of membership;
      powers and duties
      Providing for the establishment and appointment, by the
    Secretary, of an Egg Board which shall consist of not more than
    twenty members, and alternates therefor, and defining its powers
    and duties which shall include only the powers (1) to administer
    such order in accordance with its terms and provisions, (2) to make
    rules and regulations to effectuate the terms and provisions of
    such order, (3) to receive, investigate and report to the Secretary
    complaints of violations of such order, and (4) to recommend to the
    Secretary amendments to such order. The term of an appointment to
    the Egg Board shall be for two years with no member serving more
    than three consecutive terms, except that initial appointment shall
    be proportionately for two-year and three-year terms.
    (b) Composition of Board
      Providing that the Egg Board, and alternates therefor, shall be
    composed of egg producers or representatives of egg producers
    appointed by the Secretary from nominations submitted by eligible
    organizations, associations, or cooperatives, and certified
    pursuant to section 2715 of this title, or, if the Secretary
    determines that a substantial number of egg producers are not
    members of or their interests are not represented by any such
    eligible organizations, associations or cooperatives, then from
    nominations made by such egg producers in the manner authorized by
    the Secretary, so that the representation of egg producers on the
    Board shall reflect, to the extent practicable, the proportion of
    eggs produced in each geographic area of the United States as
    defined by the Secretary: Provided, however, That each such egg
    producing geographic area shall be entitled to at least one
    representative on the Egg Board: Provided further, That two members
    of the Egg Board, and alternates therefor, shall be consumers or
    representatives of consumers, if approved by egg producers voting
    in a referendum on an amendment to the order. Such consumer
    appointments shall be made by the Secretary from nominations
    submitted by eligible organizations. If the Secretary determines
    that such nominees are not members of either a bona fide consumer
    organization or do not represent consumers, the Secretary may
    appoint such consumers or representatives of consumers as deemed
    necessary to properly represent the interest of consumers. Consumer
    members of the Egg Board shall be voting members.
    (c) Advertising, sales promotion, consumer education, and research
      and development plans or projects; development and submittal to
      Secretary by Board
      Providing that the Egg Board shall, subject to the provisions of
    subsection (g) of this section, develop and submit to the Secretary
    for his approval any advertising, sales promotion, consumer
    education, research, and development plans or projects, and that
    any such plan or project must be approved by the Secretary before
    becoming effective.
    (d) Budgets; submittal to Secretary by Board
      Providing that the Egg Board shall, subject to the provisions of
    subsection (g) of this section, submit to the Secretary for his
    approval budgets on a fiscal period basis of its anticipated
    expenses and disbursements in the administration of the order,
    including probable costs of advertising, promotion, consumer
    education, research, and development projects. In preparing a
    budget for each of the 1994 and subsequent fiscal years, the Egg
    Board shall, to the maximum extent practicable, allocate a
    proportion of funds for research projects under this chapter that
    is comparable to the proportion of funds that were allocated for
    research projects under this chapter in the budget of the Egg Board
    for fiscal year 1993.
    (e) Assessment payments by egg producers to egg handlers;
      implementation pursuant to order of Board; determination of
      amount; collection of assessment; rate limitation; maintenance of
      suit for collection
      (1) Providing that each egg producer shall pay to the handler of
    eggs designated by the order of the Egg Board pursuant to
    regulations issued under the order, an assessment based upon the
    number of cases of commercial eggs handled for the account of such
    producer, in the manner as prescribed by the order, for such
    expenses and expenditures - including provision for a reasonable
    reserve and those administrative costs incurred by the Department
    after an order has been promulgated under this chapter - as the
    Secretary finds are reasonable and likely to be incurred by the Egg
    Board under the order during any period specified by him. Such
    handler shall collect such assessment from the producer and shall
    pay the same to the Egg Board in the manner as prescribed by the
    order.
      (2)(A) The assessment rate shall be prescribed by the order. The
    rate shall not exceed 20 cents per case (or the equivalent of a
    case) of commercial eggs.
      (B) The order may be amended to increase the rate of assessment
    if the increase is recommended by the Egg Board and approved by egg
    producers in a referendum conducted under section 2708(b) of this
    title.
      (C) The order may be amended to decrease the assessment rate
    after public notice and opportunity for comment in accordance with
    section 553 of title 5 and without regard to sections 556 and 557
    of such title.
      (3) To facilitate the collection of such assessments, the order
    of the Egg Board may designate different handlers or classes of
    handlers to recognize differences in marketing practices or
    procedures utilized in the industry. The Secretary may maintain a
    suit against any person subject to the order for the collection of
    such assessment, and the several district courts of the United
    States are hereby vested with jurisdiction to entertain such suits
    regardless of the amount in controversy.
    (f) Recordkeeping and reporting requirements; accounting by Board
      Providing that the Egg Board shall maintain such books and
    records and prepare and submit such reports from time to time, to
    the Secretary as he may prescribe, and for appropriate accounting
    by the Egg Board with respect to the receipt and disbursement of
    all funds entrusted to it.
    (g) Contracts or agreements by Board for implementation of orders
      and payment of costs; required provisions
      Providing that the Egg Board, with the approval of the Secretary,
    may enter into contracts or agreements for development and carrying
    out of the activities authorized under the order pursuant to
    section 2706(a) and (b) of this title and for the payment of the
    cost thereof with funds collected pursuant to the order. Any such
    contract or agreement shall provide that such contractors shall
    develop and submit to the Egg Board a plan or project together with
    a budget or budgets which shall show estimated costs to be incurred
    for such plan or project, and that any such plan or project shall
    become effective upon the approval of the Secretary, and further,
    shall provide that the contracting party shall keep accurate
    records of all of its transactions and make periodic reports to the
    Egg Board of activities carried out and an accounting for funds
    received and expended, and such other reports as the Secretary may
    require.
    (h) Restriction on use of funds collected by Board for political
      purposes
      Providing that no funds collected by the Egg Board under the
    order shall in any manner be used for the purpose of influencing
    governmental policy or action, except as provided by subsection
    (a)(4) of this section.
    (i) Compensation and expenses of members of Board
      Providing that the Board members, and alternates therefor, shall
    serve without compensation, but shall be reimbursed for their
    reasonable expenses incurred in performing their duties as members
    of the Board.
    (j) Reasonable costs limitation for collection of assessments and
      for an administrative staff
      Providing that the total costs incurred by the Egg Board for a
    fiscal year in collecting producer assessments and having an
    administrative staff shall not exceed an amount of the projected
    total assessments to be collected by the Egg Board for such fiscal
    year that the Secretary determines to be reasonable.



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