SB374: Cattle Industry Board; assessment from sale of cattle.
Be it enacted by the General Assembly of Virginia:
1. That §§ 3.2-1100, 3.2-1300, 3.2-1301, 3.2-1304, 3.2-1305, and 3.2-1306 of the Code of Virginia are amended and reenacted and that the Code of Virginia is amended by adding a section numbered 3.2-1302.1 as follows:
§ 3.2-1100. Diversion of dedicated revenues.
A. The unexpended balances of the following special funds shall not be diverted or expended for any purpose other than each fund's intended purpose. The special funds are:
1. Apple Fund (§ 3.2-1206);
2. Peanut Fund (§ 3.2-1906);
3. Plant Pollination Fund (§ 3.2-2806);
4. Virginia Agricultural Foundation Fund (§ 3.2-2905);
5. Virginia Bright Flue-Cured Tobacco Promotion Fund (§ 3.2-2407);
6. Virginia Beef Cattle Industry Fund (§ 3.2-1305);
7. Virginia Corn Fund (§ 3.2-1411);
8. Virginia Cotton Fund (§ 3.2-1511);
9. Virginia Dark-Fired Tobacco Promotion Fund (§ 3.2-2407.1);
10. Virginia Egg Fund (§ 3.2-1605);
11. Virginia Horse Industry Promotion and Development Fund (§ 3.2-1704);
12. Virginia Marine Products Fund (§ 3.2-2705);
13. Virginia Milk Commission Assessments Fund (§ 3.2-3220);
14. Virginia Pork Industry Fund (§ 3.2-2005);
15. Virginia Potato Fund (§ 3.2-1810);
16. Virginia Sheep Industry Promotion and Development Fund (§ 3.2-2111);
17. Virginia Small Grains Fund (§ 3.2-2211);
18. Virginia Soybean Fund (§ 3.2-2311); and
19. Virginia Wine Promotion Fund (§ 3.2-3005).
B. No provision of this subtitle shall be construed to give any board the authority to expend funds for legislative or political activity.
§ 3.2-1300. Definitions.
As used in this chapter, unless the context requires a different meaning:
"Board" means the Cattle Industry Board.
"Cattle" means beef cattle sold for slaughter or
feeding purposes, veal calves sold for slaughter or feeding purposes,
beef-type and dairy dairy-type cattle sold for immediate
slaughter providing such animals are sold for a consideration in excess of
$20 $100 per head in the Commonwealth.
"Handler" means, at the point where the cattle are
weighed or traded and the value determined, operators of all stockyards
an operator of any stockyard, livestock dealerships, slaughterhouses
dealership, slaughterhouse, packing plants, and plant, or
livestock auction markets market, or any other person that
who purchases from a producer.
"Processor" or "packer" means any
person that slaughters cattle.
"Producer" means any person engaged in the business
of raising cattle, or selling dairy cattle for slaughter.
§ 3.2-1301. Cattle Industry Board; composition and appointment of members.
A. The Beef Cattle Industry Council
Board, established by the passage of a referendum held pursuant to Chapter
375 of the Acts of Assembly of 1983, is continued within the Department.
The Beef Industry Council Board shall be
composed of 15 11 members, each of whom shall be a citizen of the
United States and a resident of the Commonwealth. Each member shall have been
actively engaged in the type of production or business that he will represent
on the Beef Industry Council Board for at least five years, shall
derive a substantial proportion of his income from such production or business,
and shall continue to be actively engaged in such production or business during
his term.
B. The Governor shall appoint the members, who represent the
various segments of the cattle industry as follows:
1. Seven commercial Six beef cattle producers,
one from each feeder cattle production area of the Commonwealth. The
seven six areas shall be designated by the Virginia Cattlemen's
Association Board in general accordance with census-based
feeder cattle marketing practices populations and updated every five
years using USDA National Agricultural Statistics Service information.
2. Two dairymen producers doing business in any of
the six cattle production areas.
3. One commercial cattle feeder dairy producer.
4. Two purebred beef cattle breeders handlers.
5. Two livestock market operators.
6. One meat packer or processor.
C. Such appointments shall be chosen from the following
recommendations made through the Commissioner: by the Governor
and confirmed in accordance with § 2.2-107. The Governor shall be guided in his
appointments by nominations made by the Virginia Farm Bureau Federation,
Virginia Cattlemen's Association, Virginia Livestock Markets Association, or
other agricultural organizations representing Virginia cattle producers. Each
such agricultural organization may nominate producers from each production area
or for each Board position. The recommendations shall be submitted prior to the
expiration of the member's term for which the nomination is being provided. If
any such agricultural organization fails to provide its nominations, the
Governor may appoint other nominees who meet the criteria set out in this
subsection. However, no nomination shall be considered if the nominee currently
serves on a board appointed pursuant to the USDA-approved collection and
administration of the National Beef Checkoff in accordance with the federal
1985 National Beef Promotion Act and Order.
1. Each of the seven beef cattle producing areas shall
recommend two producers to the Virginia Cattlemen's Association. The Virginia
Cattlemen's Association shall recommend these 14 commercial beef cattle
producers (two from each area), and at least one representative from each
feeder cattle production area of the Commonwealth shall be appointed to the
Beef Industry Council.
2. The Virginia Cattle Feeders Association shall recommend
two commercial cattle feeders.
3. The Virginia State Dairymen's Association shall
recommend four dairymen.
4. The Beef Cattle Improvement Association shall recommend
four purebred beef cattle breeders, provided that not more than one be nominated
from each of the four predominant breeder associations.
5. The Virginia Association of Livestock Market Operators
shall recommend four livestock market operators.
6. The Virginia Cattlemen's Association shall recommend two
persons, each of whom shall be either a processor or a packer.
The recommendations shall be submitted before the
expiration of the member's term for which the nomination is being provided. If
said associations fail to provide the recommendations, the Governor may appoint
other nominees that meet the foregoing criteria.
§ 3.2-1302.1. Cattle Industry Board officers and meetings.
The Board shall elect a chairman from the membership of the Board and such other officers as deemed appropriate. The Board shall meet once per year and at such other times as called by the chairman. The chairman may call special meetings at any time and shall call a special meeting when requested by four or more members of the Board.
§ 3.2-1304. Powers and duties of Cattle Industry Board.
A. The Beef Cattle Industry Council may
improve cattle industry markets through activities to develop, maintain, and
expand the state, national, and foreign markets for cattle, beef, veal, and
their products produced, processed, or manufactured in the Commonwealth
Board shall be responsible for the promotion and economic development of the
Virginia cattle industry and of beef products, including the improvement of the
commercial value of cattle for Virginia producers.
B. The Beef Industry Council Board may
formulate and effectuate, directly or in cooperation with other agencies and
instrumentalities specified in this chapter, sales stimulation and consumer or
other educational programs designed to increase the use and consumption of
beef, veal, and their products expend funds collected pursuant to §
3.2-1306 to provide for programs to serve the Virginia cattle industry for
market development, education, publicity, research, and the promotion of the
sale and use of cattle and beef products; to manage the funds so as to
accumulate a reserve for contingencies; to establish an office and employ such
technical, professional, and other assistants as may be required; and to
contract for market development, publicity, research, advertising, and other
promotional services.
C. The Beef Industry Council shall engage in the research,
education, and promotion of the use and sale of beef and beef products, and
shall have the following powers and duties:
1. To enter into contracts as the Beef Industry Council
deems necessary for the experimental development of new or improved markets or
marketing methods.
2. To conduct or contract for scientific research and
services to discover and develop the commercial value of beef and veal and
their products.
3. To make grants to research agencies for financing
special or emergency studies or for the purchase or acquisition of facilities
necessary to carry out research in keeping with the intent of this chapter.
4. To disseminate reliable information founded upon the
research conducted under this chapter and other sources, showing the uses of
beef, veal, and their products.
5. To cooperate with any local, state, or national
organization or agency engaged in work or activities similar to that of the
Beef Industry Council and enter into contracts with such organizations or
agencies for carrying on joint programs.
6. To act jointly and in cooperation with the federal and
state governments, or any agency thereof in the administration of any program
of the government or governmental agency deemed by the Beef Industry Council as
beneficial to the production, marketing, or promotion of the beef and veal
industry of the Commonwealth and expend funds in connection with such programs
provided they are compatible with this chapter.
7. To enter into contracts that it deems appropriate to the
carrying out of the purposes of the Beef Industry Council as authorized by this
chapter.
8. To study and inform producers concerning state and
federal legislation with respect to tariffs, duties, reciprocal trade agreements,
import quotas, and other matters concerning the beef and veal industry.
9. To borrow money not in excess of estimates of its
revenue from the current year's tax.
10. To appoint subordinate officers and employees of the
Beef Industry Council and prescribe their duties and fix their compensation
within the limitations of the Virginia Personnel Act (§ 2.2-2900 et seq.).
11. To acquire and maintain such office space and equipment
as necessary to carry out the duties of the Beef Industry Council.
12. From the tax revenues it receives, to contract with
organizations to carry out work and programs, approved by the Beef Industry
Council, on a national basis.
D. The Beef Industry Council Board shall
establish a meeting place anywhere within the Commonwealth, but the selection
of the location shall be guided by consideration for the convenience of the
majority of those most likely to have business with the Beef Industry
Council Board or to be affected by this chapter.
E. The Beef Industry Council may adopt regulations
necessary to carry out the purpose of this chapter.
F. D. An annual report shall be made by the
Beef Industry Council Board to the Commissioner and shall be
published as a public record to include a statement on receipts and itemized
disbursements of the Virginia Beef Cattle Industry Fund.
§ 3.2-1305. Virginia Cattle Industry Fund established.
There is hereby created in the state treasury a special
nonreverting fund to be known as the Virginia Beef Cattle
Industry Fund, hereinafter referred to as "the Fund." The Fund shall
be established on the books of the Comptroller. All funds collected pursuant to
§ 3.2-1306 shall be paid into the state treasury and credited to the Fund. Any
moneys remaining in the Fund, including interest thereon, at the end of each
fiscal year shall not revert to the general fund but shall remain in the Fund.
All moneys credited to the Fund shall be used exclusively as
set forth in this chapter. The Auditor of Public Accounts shall audit all the
accounts of the Beef Industry Council Board as is provided for in
§ 30-133. Expenditures and disbursements from the Fund shall be made by the
Beef Industry Council Board on warrants issued by the Comptroller
upon written request signed by a duly authorized officer of the Beef
Industry Council Board.
§ 3.2-1306. Collection and disposition of assessment by handler; reports.
A. Every Beginning January 1, 2019, and ending July
1, 2023, every handler shall deduct 25 cents ($0.25) 50 cents
($0.50) per head from the proceeds of sale owed by him to the
respective owners of all cattle and calves when sold in the Commonwealth, with
the exception of dairy cows going back to farms for milk production and
those, animals selling for less than $20 $100 per head,
or cattle of any type weighing 99 pounds or less. The handler shall remit
such assessments to the Tax Commissioner on or before the last day of the
each month following the end of each calendar quarter in which
the handler sells cattle.
B. Every handler shall complete reports on forms furnished by
the Tax Commissioner and submit such reports to the Tax Commissioner along with
the assessments collected pursuant to subsection A. Each report shall include a
statement of the number of cattle handled and the amount of money collected,
and any other information deemed necessary by the Tax Commissioner to carry out
his functions. Notwithstanding the provisions of § 58.1-3, upon request, the
Tax Commissioner is authorized to provide the Beef Industry Council
Board with a list of taxpayers and amounts paid.
C. Any assessment that is not paid when due shall be collected pursuant to § 3.2-1102.
D. Any producer from whom an assessment has been collected pursuant to subsection A who is dissatisfied with the assessment and the Board's use of the assessment may, within 90 days of the collection of the assessment, make a written demand with documented proof of sale for a refund of the assessment from the Board. The Board shall refund such assessments within 90 days of receiving a written demand for a refund.
2. That § 3.2-1302 of the Code of Virginia is repealed.
3. That the provisions of this act shall not affect the USDA-approved collection and administration of the National Beef Checkoff in accordance with the 1985 National Beef Promotion Act and Order or the dispersal of any collected funds in accordance with the guidelines of a marketing plan approved by the national Cattlemen's Beef Promotion and Research Board.
4. That between July 1, 2018, and January 1, 2019, no handler shall collect or remit any Virginia cattle assessment pursuant to the provisions of subsection A of § 3.2-1306 of the Code of Virginia, as amended by this act. No Virginia cattle assessment that was unpaid or uncollected prior to July 1, 2018, shall be collected by the Department of Taxation.
5. That prior to expending a substantial amount of the funds collected pursuant to § 3.2-1306 of the Code of Virginia, as amended by this act, the Cattle Industry Board shall develop and publish a strategic plan that provides for programs to serve the Virginia cattle industry for market development, education, publicity, research, and the promotion of the sale and use of cattle and beef products. In its development of the plan, the Board shall include input sessions that are open to the public, including members of the cattle industries.
6. That the initial appointments of the members to the Cattle Industry Board, as created by § 3.2-1301 of the Code of Virginia, as amended by this act, shall be staggered as follows: (i) three beef cattle producers from three of the cattle production areas of the Commonwealth for terms of two years and three such beef cattle producers for terms of four years; (ii) one producer doing business in any of the six cattle production areas for a term of two years and one such producer for a term of four years; (iii) one dairy producer for a term of four years; and (iv) one handler for a term of two years and one handler for a term of four years.
7. That the unexpired term of any member of the Beef Industry Council, established by the passage of a referendum held pursuant to Chapter 375 of the Acts of Assembly of 1983, shall expire on July 1, 2018. Any such member shall be eligible for appointment to the Virginia Cattle Industry Board pursuant to the provisions of Chapter 13 (§ 3.2-1300 et seq.) of Title 3.2 of the Code of Virginia, as amended by this act.
Be it enacted by the General Assembly of Virginia:
1. That §§ 3.2-1100, 3.2-1300, 3.2-1301, 3.2-1304, 3.2-1305, and 3.2-1306 of the Code of Virginia are amended and reenacted and that the Code of Virginia is amended by adding a section numbered 3.2-1302.1 as follows:
§ 3.2-1100. Diversion of dedicated revenues.
A. The unexpended balances of the following special funds shall not be diverted or expended for any purpose other than each fund's intended purpose. The special funds are:
1. Apple Fund (§ 3.2-1206);
2. Peanut Fund (§ 3.2-1906);
3. Plant Pollination Fund (§ 3.2-2806);
4. Virginia Agricultural Foundation Fund (§ 3.2-2905);
5. Virginia Bright Flue-Cured Tobacco Promotion Fund (§ 3.2-2407);
6. Virginia Beef Cattle Industry Fund (§ 3.2-1305);
7. Virginia Corn Fund (§ 3.2-1411);
8. Virginia Cotton Fund (§ 3.2-1511);
9. Virginia Dark-Fired Tobacco Promotion Fund (§ 3.2-2407.1);
10. Virginia Egg Fund (§ 3.2-1605);
11. Virginia Horse Industry Promotion and Development Fund (§ 3.2-1704);
12. Virginia Marine Products Fund (§ 3.2-2705);
13. Virginia Milk Commission Assessments Fund (§ 3.2-3220);
14. Virginia Pork Industry Fund (§ 3.2-2005);
15. Virginia Potato Fund (§ 3.2-1810);
16. Virginia Sheep Industry Promotion and Development Fund (§ 3.2-2111);
17. Virginia Small Grains Fund (§ 3.2-2211);
18. Virginia Soybean Fund (§ 3.2-2311); and
19. Virginia Wine Promotion Fund (§ 3.2-3005).
B. No provision of this subtitle shall be construed to give any board the authority to expend funds for legislative or political activity.
§ 3.2-1300. Definitions.
As used in this chapter, unless the context requires a different meaning:
"Board" means the Cattle Industry Board.
"Cattle" means beef cattle sold for slaughter or
feeding purposes, veal calves sold for slaughter or feeding purposes,
beef-type and dairy dairy-type cattle sold for immediate
slaughter providing such animals are sold for a consideration in excess of
$20 $100 per head in the Commonwealth.
"Handler" means, at the point where the cattle are
weighed or traded and the value determined, operators of all stockyards
an operator of any stockyard, livestock dealerships, slaughterhouses
dealership, slaughterhouse, packing plants, and plant, or
livestock auction markets market, or any other person that
who purchases from a producer.
"Processor" or "packer" means any
person that slaughters cattle.
"Producer" means any person engaged in the business
of raising cattle, or selling dairy cattle for slaughter.
§ 3.2-1301. Cattle Industry Board; composition and appointment of members.
A. The Beef Cattle Industry Council
Board, established by the passage of a referendum held pursuant to Chapter
375 of the Acts of Assembly of 1983, is continued within the Department.
The Beef Industry Council Board shall be
composed of 15 11 members, each of whom shall be a citizen of the
United States and a resident of the Commonwealth. Each member shall have been
actively engaged in the type of production or business that he will represent
on the Beef Industry Council Board for at least five years, shall
derive a substantial proportion of his income from such production or business,
and shall continue to be actively engaged in such production or business during
his term.
B. The Governor shall appoint the members, who represent the
various segments of the cattle industry as follows:
1. Seven commercial Six beef cattle producers,
one from each feeder cattle production area of the Commonwealth. The
seven six areas shall be designated by the Virginia Cattlemen's
Association Board in general accordance with census-based
feeder cattle marketing practices populations and updated every five
years using USDA National Agricultural Statistics Service information.
2. Two dairymen producers doing business in any of
the six cattle production areas.
3. One commercial cattle feeder dairy producer.
4. Two purebred beef cattle breeders handlers.
5. Two livestock market operators.
6. One meat packer or processor.
C. Such appointments shall be chosen from the following
recommendations made through the Commissioner: by the Governor
and confirmed in accordance with § 2.2-107. The Governor shall be guided in his
appointments by nominations made by the Virginia Farm Bureau Federation,
Virginia Cattlemen's Association, Virginia Livestock Markets Association, or
other agricultural organizations representing Virginia cattle producers. Each
such agricultural organization may nominate producers from each production area
or for each Board position. The recommendations shall be submitted prior to the
expiration of the member's term for which the nomination is being provided. If
any such agricultural organization fails to provide its nominations, the
Governor may appoint other nominees who meet the criteria set out in this
subsection. However, no nomination shall be considered if the nominee currently
serves on a board appointed pursuant to the USDA-approved collection and
administration of the National Beef Checkoff in accordance with the federal
1985 National Beef Promotion Act and Order.
1. Each of the seven beef cattle producing areas shall
recommend two producers to the Virginia Cattlemen's Association. The Virginia
Cattlemen's Association shall recommend these 14 commercial beef cattle
producers (two from each area), and at least one representative from each
feeder cattle production area of the Commonwealth shall be appointed to the
Beef Industry Council.
2. The Virginia Cattle Feeders Association shall recommend
two commercial cattle feeders.
3. The Virginia State Dairymen's Association shall
recommend four dairymen.
4. The Beef Cattle Improvement Association shall recommend
four purebred beef cattle breeders, provided that not more than one be
nominated from each of the four predominant breeder associations.
5. The Virginia Association of Livestock Market Operators
shall recommend four livestock market operators.
6. The Virginia Cattlemen's Association shall recommend two
persons, each of whom shall be either a processor or a packer.
The recommendations shall be submitted before the
expiration of the member's term for which the nomination is being provided. If
said associations fail to provide the recommendations, the Governor may appoint
other nominees that meet the foregoing criteria.
§ 3.2-1302.1. Cattle Industry Board officers and meetings.
The Board shall elect a chairman from the membership of the Board and such other officers as deemed appropriate. The Board shall meet once per year and at such other times as called by the chairman. The chairman may call special meetings at any time and shall call a special meeting when requested by four or more members of the Board.
§ 3.2-1304. Powers and duties of Cattle Industry Board.
A. The Beef Cattle Industry Council may
improve cattle industry markets through activities to develop, maintain, and
expand the state, national, and foreign markets for cattle, beef, veal, and
their products produced, processed, or manufactured in the Commonwealth
Board shall be responsible for the promotion and economic development of the
Virginia cattle industry and of beef products, including the improvement of the
commercial value of cattle for Virginia producers.
B. The Beef Industry Council Board may
formulate and effectuate, directly or in cooperation with other agencies and
instrumentalities specified in this chapter, sales stimulation and consumer or
other educational programs designed to increase the use and consumption of
beef, veal, and their products expend funds collected pursuant to §
3.2-1306 to provide for programs to serve the Virginia cattle industry for
market development, education, publicity, research, and the promotion of the
sale and use of cattle and beef products; to manage the funds so as to
accumulate a reserve for contingencies; to establish an office and employ such
technical, professional, and other assistants as may be required; and to
contract for market development, publicity, research, advertising, and other
promotional services.
C. The Beef Industry Council shall engage in the research,
education, and promotion of the use and sale of beef and beef products, and
shall have the following powers and duties:
1. To enter into contracts as the Beef Industry Council
deems necessary for the experimental development of new or improved markets or
marketing methods.
2. To conduct or contract for scientific research and
services to discover and develop the commercial value of beef and veal and
their products.
3. To make grants to research agencies for financing
special or emergency studies or for the purchase or acquisition of facilities
necessary to carry out research in keeping with the intent of this chapter.
4. To disseminate reliable information founded upon the
research conducted under this chapter and other sources, showing the uses of
beef, veal, and their products.
5. To cooperate with any local, state, or national
organization or agency engaged in work or activities similar to that of the
Beef Industry Council and enter into contracts with such organizations or
agencies for carrying on joint programs.
6. To act jointly and in cooperation with the federal and
state governments, or any agency thereof in the administration of any program
of the government or governmental agency deemed by the Beef Industry Council as
beneficial to the production, marketing, or promotion of the beef and veal
industry of the Commonwealth and expend funds in connection with such programs
provided they are compatible with this chapter.
7. To enter into contracts that it deems appropriate to the
carrying out of the purposes of the Beef Industry Council as authorized by this
chapter.
8. To study and inform producers concerning state and
federal legislation with respect to tariffs, duties, reciprocal trade agreements,
import quotas, and other matters concerning the beef and veal industry.
9. To borrow money not in excess of estimates of its
revenue from the current year's tax.
10. To appoint subordinate officers and employees of the
Beef Industry Council and prescribe their duties and fix their compensation
within the limitations of the Virginia Personnel Act (§ 2.2-2900 et seq.).
11. To acquire and maintain such office space and equipment
as necessary to carry out the duties of the Beef Industry Council.
12. From the tax revenues it receives, to contract with
organizations to carry out work and programs, approved by the Beef Industry
Council, on a national basis.
D. The Beef Industry Council Board shall
establish a meeting place anywhere within the Commonwealth, but the selection
of the location shall be guided by consideration for the convenience of the
majority of those most likely to have business with the Beef Industry
Council Board or to be affected by this chapter.
E. The Beef Industry Council may adopt regulations
necessary to carry out the purpose of this chapter.
F. D. An annual report shall be made by the
Beef Industry Council Board to the Commissioner and shall be
published as a public record to include a statement on receipts and itemized
disbursements of the Virginia Beef Cattle Industry Fund.
§ 3.2-1305. Virginia Cattle Industry Fund established.
There is hereby created in the state treasury a special
nonreverting fund to be known as the Virginia Beef Cattle
Industry Fund, hereinafter referred to as "the Fund." The Fund shall
be established on the books of the Comptroller. All funds collected pursuant to
§ 3.2-1306 shall be paid into the state treasury and credited to the Fund. Any
moneys remaining in the Fund, including interest thereon, at the end of each
fiscal year shall not revert to the general fund but shall remain in the Fund.
All moneys credited to the Fund shall be used exclusively as
set forth in this chapter. The Auditor of Public Accounts shall audit all the
accounts of the Beef Industry Council Board as is provided for in
§ 30-133. Expenditures and disbursements from the Fund shall be made by the
Beef Industry Council Board on warrants issued by the Comptroller
upon written request signed by a duly authorized officer of the Beef
Industry Council Board.
§ 3.2-1306. Collection and disposition of assessment by handler; reports.
A. Every Beginning January 1, 2019, and ending July
1, 2023, every handler shall deduct 25 cents ($0.25) 50 cents
($0.50) per head from the proceeds of sale owed by him to the
respective owners of all cattle and calves when sold in the Commonwealth, with
the exception of dairy cows going back to farms for milk production and
those, animals selling for less than $20 $100 per head,
or cattle of any type weighing 99 pounds or less. The handler shall remit
such assessments to the Tax Commissioner on or before the last day of the
each month following the end of each calendar quarter in which
the handler sells cattle.
B. Every handler shall complete reports on forms furnished by
the Tax Commissioner and submit such reports to the Tax Commissioner along with
the assessments collected pursuant to subsection A. Each report shall include a
statement of the number of cattle handled and the amount of money collected,
and any other information deemed necessary by the Tax Commissioner to carry out
his functions. Notwithstanding the provisions of § 58.1-3, upon request, the
Tax Commissioner is authorized to provide the Beef Industry Council
Board with a list of taxpayers and amounts paid.
C. Any assessment that is not paid when due shall be collected pursuant to § 3.2-1102.
D. Any producer from whom an assessment has been collected pursuant to subsection A who is dissatisfied with the assessment and the Board's use of the assessment may, within 90 days of the collection of the assessment, make a written demand with documented proof of sale for a refund of the assessment from the Board. The Board shall refund such assessments within 90 days of receiving a written demand for a refund.
2. That § 3.2-1302 of the Code of Virginia is repealed.
3. That the provisions of this act shall not affect the USDA-approved collection and administration of the National Beef Checkoff in accordance with the 1985 National Beef Promotion Act and Order or the dispersal of any collected funds in accordance with the guidelines of a marketing plan approved by the national Cattlemen's Beef Promotion and Research Board.
4. That between July 1, 2018, and January 1, 2019, no handler shall collect or remit any Virginia cattle assessment pursuant to the provisions of subsection A of § 3.2-1306 of the Code of Virginia, as amended by this act. No Virginia cattle assessment that was unpaid or uncollected prior to July 1, 2018, shall be collected by the Department of Taxation.
5. That prior to expending a substantial amount of the funds collected pursuant to § 3.2-1306 of the Code of Virginia, as amended by this act, the Cattle Industry Board shall develop and publish a strategic plan that provides for programs to serve the Virginia cattle industry for market development, education, publicity, research, and the promotion of the sale and use of cattle and beef products. In its development of the plan, the Board shall include input sessions that are open to the public, including members of the cattle industries.
6. That the initial appointments of the members to the Cattle Industry Board, as created by § 3.2-1301 of the Code of Virginia, as amended by this act, shall be staggered as follows: (i) three beef cattle producers from three of the cattle production areas of the Commonwealth for terms of two years and three such beef cattle producers for terms of four years; (ii) one producer doing business in any of the six cattle production areas for a term of two years and one such producer for a term of four years; (iii) one dairy producer for a term of four years; and (iv) one handler for a term of two years and one handler for a term of four years.
7. That the unexpired term of any member of the Beef Industry Council, established by the passage of a referendum held pursuant to Chapter 375 of the Acts of Assembly of 1983, shall expire on July 1, 2018. Any such member shall be eligible for appointment to the Virginia Cattle Industry Board pursuant to the provisions of Chapter 13 (§ 3.2-1300 et seq.) of Title 3.2 of the Code of Virginia, as amended by this act.
Be it enacted by the General Assembly of Virginia:
1. That §§ 3.2-1100, 3.2-1300, 3.2-1301, 3.2-1304, 3.2-1305, and 3.2-1306 of the Code of Virginia are amended and reenacted and that the Code of Virginia is amended by adding a section numbered 3.2-1302.1 as follows:
§ 3.2-1100. Diversion of dedicated revenues.
A. The unexpended balances of the following special funds shall not be diverted or expended for any purpose other than each fund's intended purpose. The special funds are:
1. Apple Fund (§ 3.2-1206);
2. Peanut Fund (§ 3.2-1906);
3. Plant Pollination Fund (§ 3.2-2806);
4. Virginia Agricultural Foundation Fund (§ 3.2-2905);
5. Virginia Bright Flue-Cured Tobacco Promotion Fund (§ 3.2-2407);
6. Virginia Beef Cattle Industry Fund (§ 3.2-1305);
7. Virginia Corn Fund (§ 3.2-1411);
8. Virginia Cotton Fund (§ 3.2-1511);
9. Virginia Dark-Fired Tobacco Promotion Fund (§ 3.2-2407.1);
10. Virginia Egg Fund (§ 3.2-1605);
11. Virginia Horse Industry Promotion and Development Fund (§ 3.2-1704);
12. Virginia Marine Products Fund (§ 3.2-2705);
13. Virginia Milk Commission Assessments Fund (§ 3.2-3220);
14. Virginia Pork Industry Fund (§ 3.2-2005);
15. Virginia Potato Fund (§ 3.2-1810);
16. Virginia Sheep Industry Promotion and Development Fund (§ 3.2-2111);
17. Virginia Small Grains Fund (§ 3.2-2211);
18. Virginia Soybean Fund (§ 3.2-2311); and
19. Virginia Wine Promotion Fund (§ 3.2-3005).
B. No provision of this subtitle shall be construed to give any board the authority to expend funds for legislative or political activity.
§ 3.2-1300. Definitions.
As used in this chapter, unless the context requires a different meaning:
"Board" means the Cattle Industry Board.
"Cattle" means beef cattle sold for slaughter or
feeding purposes, veal calves sold for slaughter or feeding purposes,
beef-type and dairy dairy-type cattle sold for immediate
slaughter providing such animals are sold for a consideration in excess of $20
per head in the Commonwealth.
"Handler" means, at the point where the cattle are
weighed or traded and the value determined, operators of all stockyards
an operator of any stockyard, livestock dealerships, slaughterhouses
dealership, slaughterhouse, packing plants, and plant, or
livestock auction markets market, or any other person that
who purchases from a producer.
"Processor" or "packer" means any
person that slaughters cattle.
"Producer" means any person engaged in the business
of raising cattle, or selling dairy cattle for slaughter.
§ 3.2-1301. Cattle Industry Board; composition and appointment of members.
A. The Beef Cattle Industry Council
Board, established by the passage of a referendum held pursuant to Chapter
375 of the Acts of Assembly of 1983, is continued within the Department.
The Beef Industry Council Board shall be
composed of 15 seven members, each of whom shall be a citizen of
the United States and a resident of the Commonwealth. Each member shall have
been actively engaged in the type of production or business that he will represent
on the Beef Industry Council Board for at least five years, shall
derive a substantial proportion of his income from such production or business,
and shall continue to be actively engaged in such production or business during
his term.
B. The Governor shall appoint the members, who represent the
various segments of the cattle industry as follows:
1. Seven commercial Six beef cattle producers,
one from each feeder cattle production area of the Commonwealth. The
seven six areas shall be designated by the Virginia Cattlemen's
Association in general accordance with census-based feeder cattle
marketing practices populations and updated every 10 years using USDA
National Agricultural Statistics Service information.
2. Two dairymen.
3. One commercial cattle feeder dairy
producer.
4. Two purebred beef cattle breeders.
5. Two livestock market operators.
6. One meat packer or processor.
C. Such appointments shall be chosen from the following
recommendations made through the Commissioner Secretary of the
Commonwealth:
1. Each of the seven six beef cattle producing
areas shall recommend two producers to the Virginia Cattlemen's Association.
The Virginia Cattlemen's Association Executive Committee shall, in
consultation with other cattle producer representative organizations,
recommend these 14 commercial 12 beef cattle producers (two from
each area), and at least one representative from each feeder cattle
production area of the Commonwealth shall be appointed by the Governor and
confirmed in accordance with § 2.2-107 to the Beef Industry Council
Board.
2. The Virginia Cattle Feeders Association shall recommend
two commercial cattle feeders.
3. The Virginia State Dairymen's Association Board
of Directors shall recommend four dairymen two dairy producers.
4. The Beef Cattle Improvement Association shall recommend
four purebred beef cattle breeders, provided that not more than one be
nominated from each of the four predominant breeder associations.
5. The Virginia Association of Livestock Market Operators
shall recommend four livestock market operators.
6. The Virginia Cattlemen's Association shall recommend two
persons, each of whom shall be either a processor or a packer.
The recommendations shall be submitted before the expiration
of the member's term for which the nomination is being provided. If said
associations fail to provide the recommendations, the Governor may appoint
other nominees that who meet the foregoing criteria.
§ 3.2-1302.1. Cattle Industry Board officers and compensation.
The Board shall elect a chairman and such other officers as deemed appropriate who may or may not be from among its members. The Board shall meet once per year and at such other times as called by the chairman. The chairman may call special meetings at any time and shall call a special meeting when requested by four or more members of the Board.
§ 3.2-1304. Powers and duties of Cattle Industry Board.
A. The Beef Industry Council Board may improve
cattle industry markets through activities to develop, maintain, and expand the
state, national, and foreign markets for cattle, and beef,
veal, and their products produced, processed, or manufactured in the
Commonwealth.
B. The Beef Industry Council Board may formulate
and effectuate, directly or in cooperation with other agencies and
instrumentalities specified in this chapter, sales stimulation and consumer or
other educational programs designed to increase the use and consumption of beef,
veal, and their and beef products.
C. The Beef Industry Council Board shall engage
in the research, education, and promotion of the use and sale of beef and beef
products, and shall have the following powers and duties:
1. To enter into contracts as the Beef Industry Council
Board deems necessary for the experimental development of new or improved
markets or marketing methods.
2. To conduct or contract for scientific research and services
to discover and develop the commercial value of beef and veal and their
beef products.
3. To make grants to research agencies for financing special or emergency studies or for the purchase or acquisition of facilities necessary to carry out research in keeping with the intent of this chapter.
4. To disseminate reliable information founded upon the
research conducted under this chapter and other sources, showing the uses of
beef, veal, and their and beef products.
5. To cooperate with any local, state, or national
organization or agency engaged in work or activities similar to that of the
Beef Industry Council Board and enter into contracts with such
organizations or agencies for carrying on joint programs.
6. To act jointly and in cooperation with the federal and
state governments, or any agency thereof in the administration of any program
of the government or governmental agency deemed by the Beef Industry Council
Board as beneficial to the production, marketing, or promotion of the beef
and veal industry of the Commonwealth and expend funds in connection with
such programs provided they are compatible with this chapter.
7. To enter into contracts that it deems appropriate to the
carrying out of the purposes of the Beef Industry Council Board
as authorized by this chapter.
8. To study and inform producers concerning state and federal
legislation with respect to tariffs, duties, reciprocal trade agreements,
import quotas, and other matters concerning the beef and veal industry.
9. To borrow money not in excess of estimates of its revenue from the current year's tax.
10. To appoint subordinate officers and employees of the
Beef Industry Council Board and prescribe their duties and fix their
compensation within the limitations of the Virginia Personnel Act (§ 2.2-2900
et seq.).
11. To acquire and maintain such office space and equipment as
necessary to carry out the duties of the Beef Industry Council Board.
12. From the tax revenues it receives, to contract with
organizations to carry out work and programs, approved by the Beef
Industry Council, on a national basis Board to carry out approved
industry promotion.
D. The Beef Industry Council Board shall
establish a meeting place anywhere within the Commonwealth, but the selection
of the location shall be guided by consideration for the convenience of the
majority of those most likely to have business with the Beef Industry
Council Board or to be affected by this chapter.
E. The Beef Industry Council Board may adopt
regulations necessary to carry out the purpose of this chapter.
F. An annual report shall be made by the Beef Industry
Council Board to the Commissioner and shall be published as a public
record to include a statement on receipts and itemized disbursements of the
Virginia Beef Cattle Industry Fund.
§ 3.2-1305. Virginia Cattle Industry Fund established.
There is hereby created in the state treasury a special
nonreverting fund to be known as the Virginia Beef Cattle Industry
Fund, hereinafter referred to as "the Fund." The Fund shall be
established on the books of the Comptroller. All funds collected pursuant to §
3.2-1306 shall be paid into the state treasury and credited to the Fund. Any
moneys remaining in the Fund, including interest thereon, at the end of each
fiscal year shall not revert to the general fund but shall remain in the Fund.
All moneys credited to the Fund shall be used exclusively as
set forth in this chapter. The Auditor of Public Accounts shall audit all the
accounts of the Beef Industry Council Board as is provided for in
§ 30-133. Expenditures and disbursements from the Fund shall be made by the
Beef Industry Council Board on warrants issued by the Comptroller
upon written request signed by a duly authorized officer of the Beef
Industry Council Board.
§ 3.2-1306. Collection and disposition of assessment by handler; reports.
A. Every handler shall deduct 25 cents ($0.25) one
dollar ($1) per head from the proceeds of sale owed by him to the
respective owners of all cattle and calves when sold in the Commonwealth, with
the exception of dairy cows going back to farms for milk production and
those animals selling for less than $20 per head cattle of any type
weighing 199 pounds or less. The handler shall remit such assessments to
the Tax Commissioner on or before the last day of the each month
following the end of each calendar quarter in which the handler sells
cattle.
B. Every handler shall complete reports on forms furnished by the
Tax Commissioner and submit such reports to the Tax Commissioner along with the
assessments collected pursuant to subsection A. Each report shall include a
statement of the number of cattle handled and the amount of money collected,
and any other information deemed necessary by the Tax Commissioner to carry out
his functions. Notwithstanding the provisions of § 58.1-3, upon request, the
Tax Commissioner is authorized to provide the Beef Industry Council
Board with a list of taxpayers and amounts paid.
C. Any assessment that is not paid when due shall be collected pursuant to § 3.2-1102.
D. Any producer from whom an assessment has been collected pursuant to subsection A who is dissatisfied with the assessment and the Board's use of the assessment may, within 30 days of the collection of the assessment, make a written demand for a refund of the assessment from the Board. The Board shall refund such assessments.
2. That § 3.2-1302 of the Code of Virginia is repealed.
3. That the provisions of this act shall not affect the USDA-approved collection and administration of the National Beef Checkoff in accordance with the 1985 National Beef Promotion Act and Order or the dispersal of any collected funds in accordance with the guidelines of a marketing plan approved by the national Cattlemen's Beef Promotion and Research Board.
SENATE BILL NO. 374
Be it enacted by the General Assembly of Virginia:
1. That §§ 3.2-1100, 3.2-1300, 3.2-1301, 3.2-1304, 3.2-1305, and 3.2-1306 of the Code of Virginia are amended and reenacted and that the Code of Virginia is amended by adding a section numbered 3.2-1302.1 as follows:
§ 3.2-1100. Diversion of dedicated revenues.
A. The unexpended balances of the following special funds shall not be diverted or expended for any purpose other than each fund's intended purpose. The special funds are:
1. Apple Fund (§ 3.2-1206);
2. Peanut Fund (§ 3.2-1906);
3. Plant Pollination Fund (§ 3.2-2806);
4. Virginia Agricultural Foundation Fund (§ 3.2-2905);
5. Virginia Bright Flue-Cured Tobacco Promotion Fund (§ 3.2-2407);
6. Virginia Beef Cattle Industry Fund (§
3.2-1305);
7. Virginia Corn Fund (§ 3.2-1411);
8. Virginia Cotton Fund (§ 3.2-1511);
9. Virginia Dark-Fired Tobacco Promotion Fund (§ 3.2-2407.1);
10. Virginia Egg Fund (§ 3.2-1605);
11. Virginia Horse Industry Promotion and Development Fund (§ 3.2-1704);
12. Virginia Marine Products Fund (§ 3.2-2705);
13. Virginia Milk Commission Assessments Fund (§ 3.2-3220);
14. Virginia Pork Industry Fund (§ 3.2-2005);
15. Virginia Potato Fund (§ 3.2-1810);
16. Virginia Sheep Industry Promotion and Development Fund (§ 3.2-2111);
17. Virginia Small Grains Fund (§ 3.2-2211);
18. Virginia Soybean Fund (§ 3.2-2311); and
19. Virginia Wine Promotion Fund (§ 3.2-3005).
B. No provision of this subtitle shall be construed to give any board the authority to expend funds for legislative or political activity.
§ 3.2-1300. Definitions.
As used in this chapter, unless the context requires a different meaning:
"Board" means the Cattle Industry Board.
"Cattle" means beef
cattle sold for slaughter or feeding purposes, veal calves sold for slaughter
or feeding purposes, beef-type
and dairy dairy-type
cattle sold for immediate
slaughter providing such animals are sold for a consideration in excess of $20
per head in the Commonwealth.
"Handler" means, at the point where the cattle are
weighed or traded and the value determined,
operators of all stockyards an
operator of any stockyard, livestock
dealerships, slaughterhouses
dealership, slaughterhouse, packing
plants, and plant, or
livestock auction markets market, or any other person that
who purchases from a producer.
"Processor"
or "packer" means any person that slaughters cattle.
"Producer" means any person engaged in the business
of raising cattle, or selling dairy
cattle for slaughter.
§ 3.2-1301. Cattle Industry Board; composition and appointment of members.
A. The Beef Cattle Industry Council
Board, established by the passage of a referendum held
pursuant to Chapter 375 of the Acts of Assembly of 1983, is continued within
the Department.
The Beef Industry
Council Board
shall be composed of 15 seven members, each of whom
shall be a citizen of the United States and a resident of the Commonwealth.
Each member shall have been actively engaged in the type of production or
business that he will represent on the Beef Industry
Council Board
for at least five years, shall derive a substantial proportion of his income
from such production or business, and shall continue to be actively engaged in
such production or business during his term.
B. The Governor shall appoint the members, who represent the various segments of the cattle industry as follows:
1. Seven commercial Six beef cattle producers, one
from each feeder cattle production area
of the Commonwealth. The seven six areas shall be designated
by the Virginia Cattlemen's Association in general accordance with census-based feeder cattle marketing practices populations and updated every 10
years using USDA National Agricultural
Statistics Service information.
2. Two dairymen.
3.
One commercial cattle feeder dairy producer.
4. Two purebred beef
cattle breeders.
5. Two livestock
market operators.
6. One meat packer or
processor.
C. Such appointments shall be chosen from the following
recommendations made through the Commissioner Secretary of the Commonwealth:
1. Each of the seven six beef cattle producing
areas shall recommend two producers to the Virginia Cattlemen's Association.
The Virginia Cattlemen's Association Executive Committee
shall, in consultation with other cattle producer
representative organizations, recommend these 14 commercial 12 beef cattle producers (two
from each area), and at least one representative from each
feeder cattle production area of the Commonwealth shall be
appointed by the Governor and confirmed in accordance with §
2.2-107 to the Beef Industry
Council Board.
2. The Virginia Cattle
Feeders Association shall recommend two commercial cattle feeders.
3.
The Virginia State Dairymen's Association
Board of Directors shall recommend
four dairymen two dairy producers.
4. The Beef Cattle
Improvement Association shall recommend four purebred beef cattle breeders,
provided that not more than one be nominated from each of the four predominant
breeder associations.
5. The Virginia
Association of Livestock Market Operators shall recommend four livestock market
operators.
6. The Virginia
Cattlemen's Association shall recommend two persons, each of whom shall be
either a processor or a packer.
The recommendations shall be submitted before the expiration
of the member's term for which the nomination is being provided. If said
associations fail to provide the recommendations, the Governor may appoint
other nominees that who meet the foregoing
criteria.
§ 3.2-1302.1. Cattle Industry Board officers and compensation.
The Board shall elect a chairman and such other officers as deemed appropriate who may or may not be from among its members. The Board shall meet once per year and at such other times as called by the chairman. The chairman may call special meetings at any time and shall call a special meeting when requested by five or more members of the Board.
§ 3.2-1304. Powers and duties of Cattle Industry Board.
A. The Beef
Industry Council
Board may improve cattle industry markets through
activities to develop, maintain, and expand the state, national, and foreign
markets for cattle, and beef, veal, and their products
produced, processed, or manufactured in the Commonwealth.
B. The Beef Industry
Council Board
may formulate and effectuate, directly or in cooperation with other agencies
and instrumentalities specified in this chapter, sales stimulation and consumer
or other educational programs designed to increase the use and consumption of
beef, veal, and their and beef
products.
C. The Beef Industry
Council Board
shall engage in the research, education, and promotion of the use and sale of
beef and beef products, and shall have the following powers and duties:
1. To enter into contracts as the
Beef Industry Council
Board deems necessary for the experimental development of
new or improved markets or marketing methods.
2. To conduct or contract for scientific research and services
to discover and develop the commercial value of beef and
veal and their beef
products.
3. To make grants to research agencies for financing special or emergency studies or for the purchase or acquisition of facilities necessary to carry out research in keeping with the intent of this chapter.
4. To disseminate reliable information founded upon the
research conducted under this chapter and other sources, showing the uses of
beef, veal, and their and beef
products.
5. To cooperate with any local, state, or national
organization or agency engaged in work or activities similar to that of the Beef Industry Council Board and enter into contracts
with such organizations or agencies for carrying on joint programs.
6. To act jointly and in cooperation with the federal and
state governments, or any agency thereof in the administration of any program
of the government or governmental agency deemed by the
Beef Industry Council
Board as beneficial to the production, marketing, or
promotion of the beef and veal
industry of the Commonwealth and expend funds in connection with such programs
provided they are compatible with this chapter.
7. To enter into contracts that it deems appropriate to the
carrying out of the purposes of the Beef Industry
Council Board
as authorized by this chapter.
8. To study and inform producers concerning state and federal
legislation with respect to tariffs, duties, reciprocal trade agreements,
import quotas, and other matters concerning the beef
and veal industry.
9. To borrow money not in excess of estimates of its revenue from the current year's tax.
10. To appoint subordinate officers and employees of the Beef Industry Council Board and prescribe their
duties and fix their compensation within the limitations of the Virginia Personnel
Act (§ 2.2-2900 et seq.).
11. To acquire and maintain such office space and equipment as
necessary to carry out the duties of the Beef Industry
Council Board.
12. From the tax revenues it receives, to contract with
organizations to carry out work and
programs, approved by the
Beef Industry Council, on a national basis Board to carry out approved industry promotion.
D. The Beef Industry
Council Board
shall establish a meeting place anywhere within the Commonwealth, but the
selection of the location shall be guided by consideration for the convenience
of the majority of those most likely to have business with the Beef Industry Council Board or to be affected by
this chapter.
E. The Beef Industry
Council Board
may adopt regulations necessary to carry out the purpose of this chapter.
F. An annual report shall be made by the
Beef Industry Council
Board to the Commissioner and shall be published as a
public record to include a statement on receipts and itemized disbursements of
the Virginia Beef Cattle Industry Fund.
§ 3.2-1305. Virginia Cattle Industry Fund established.
There is hereby created in the state treasury a special
nonreverting fund to be known as the Virginia
Beef Cattle
Industry Fund, hereinafter referred to as "the Fund." The Fund shall
be established on the books of the Comptroller. All funds collected pursuant to
§ 3.2-1306 shall be paid into the state treasury and credited to the Fund. Any
moneys remaining in the Fund, including interest thereon, at the end of each
fiscal year shall not revert to the general fund but shall remain in the Fund.
All moneys credited to the Fund shall be used exclusively as
set forth in this chapter. The Auditor of Public Accounts shall audit all the
accounts of the Beef
Industry Council
Board as is provided for in § 30-133. Expenditures and
disbursements from the Fund shall be made by the
Beef Industry Council
Board on warrants issued by the Comptroller upon written
request signed by a duly authorized officer of the
Beef Industry Council
Board.
§ 3.2-1306. Collection and disposition of assessment by handler; reports.
A. Every handler shall deduct 25
cents ($0.25) one dollar ($1)
per head from the proceeds of sale owed by him
to the respective owners of all cattle and calves when sold in the
Commonwealth, with the exception of dairy cows going
back to farms for milk production and those animals selling for less than $20
per head cattle of any type
weighing 199 pounds or less. The handler shall remit such
assessments to the Tax Commissioner on or before the last day of the
each month following the end of
each calendar quarter in
which the handler sells cattle.
B. Every handler shall complete reports on forms furnished by
the Tax Commissioner and submit such reports to the Tax Commissioner along with
the assessments collected pursuant to subsection A. Each report shall include a
statement of the number of cattle handled and the amount of money collected,
and any other information deemed necessary by the Tax Commissioner to carry out
his functions. Notwithstanding the provisions of § 58.1-3, upon request, the
Tax Commissioner is authorized to provide the Beef
Industry Council
Board with a list of taxpayers and amounts paid.
C. Any assessment that is not paid when due shall be collected pursuant to § 3.2-1102.
D. Any producer from whom an assessment has been collected pursuant to subsection A who is dissatisfied with the assessment and the Board's use of the assessment may, within 30 days of the collection of the assessment, make a written demand for a refund of the assessment from the Board. The Board shall refund such assessments.
E. The collection of the National Beef Checkoff, which is separate from the assessment collected pursuant to this section, shall be conducted through the USDA-approved efforts of the Board in accordance with the 1985 National Beef Promotion Act and Order. Half of each dollar so collected shall remain at the disposal of the Board for dispersal within the guidelines of the Board marketing plan that is approved annually by the national Cattlemen's Beef Promotion and Research Board.
2. That § 3.2-1302 of the Code of Virginia is repealed.