SB 91 — Relating to Agriculture, to amend Sections 2-8-126, 2-8-128, 2-8-131, 2-8-133, 2-8-134, 2-8-135, and 2-8-323, Code of Alabama 1975, to revise the requirements for giving notice of a referendum on an assessment to be used to promote peanuts specifically as well as other nuts, bulbs, fruits, and vegetables; to revise the time an assessment on the sale of nuts, bulbs, fruits, or vegetables is effective between referendums; to revise the percentage the Commissioner of Agriculture and Industries may deduct from the sum of the assessment on nuts, bulbs, fruit, and vegetables; to revise the length of time between audits of an organization certified to conduct a referendum regarding an assessment on the sale of sheep and goats; and to make nonsubstantive, technical revisions to update the existing code language to current style.

SB91 INTRODUCEDENROLLED WVRC59-1WVRC59-2 By SenatorSenators CarnleyCarnley, Williams, Sessions, Chesteen, Stewart, Price, Barfoot, Melson, Bell, Kelley, Scofield RFD:

21-Mar-23 Page 0 WVRC59-1SB91 03/21/2023Enrolled ZAKEnrolled, (L)crAn 2023-772Act, 23 4Relating SYNOPSIS:to Agriculture, to amend Sections 2-8-126, 2-8-128, 2-8-131, 2-8-133, 2-8-134, 2-8-135, and 2-8-323, Code of Alabama 1975, to revise the requirements for giving notice of a referendum on an assessment to be used to promote peanuts specifically as well as other nuts, bulbs, fruits, and vegetables;

Under existing law, an organization certified by the Alabama Department of Agriculture and Industries to conduct a referendum on levying an assessment to promote a commodity must follow certain requirements for how notice must be given for the referendum.

Existing law specifies the amount of time an assessment on the sale of nuts, bulbs, fruits, or vegetables is effective before another referendum is required.

Under existing law, the Commissioner of Agriculture and Industries may deduct a percentage of the sums remitted to him or her for distribution pursuant to the assessment charged on the sale of nuts, bulbs, fruits, and vegetables.

This bill would revise the requirements for how notice must be given for a referendum on an assessment regarding nuts, bulbs, fruits, and vegetables in general and regarding peanuts specifically.

This bill would change the length of time an assessment on the sale of nuts, bulbs, fruits, and vegetables is in effect before a referendum is needed.

This bill would change the percentage the Commissioner of Agriculture and Industries may deduct from the sum of the assessment on the sale of nuts, Page 1 SB91 INTRODUCED bulbs, fruits, and vegetables for administrative costs.

Existing law also provides for the length of time between audits of the books and accounts of an organization certified to conduct a referendum regarding an assessment on sheep and goat sales.

This bill would change the length of time between audits of the books and accounts of an organization certified to conduct a referendum regarding an assessment on the sale of sheep and goats.

This bill would also make nonsubstantive, technical revisions to update the existing code language to current style.

A BILL TO BE ENTITLED AN ACT Relating to Agriculture, to amend Sections 2-8-126, 2-8-128, 2-8-131, 2-8-133, 2-8-134, 2-8-135, and 2-8-323, Code of Alabama 1975, to revise the requirements for giving notice of a referendum on an assessment to be used to promote peanuts specifically as well as other nuts, bulbs, fruits, and vegetables;

to revise Page 2 SB91 INTRODUCED the length of time between audits of an organization certified to conduct a referendum regarding an assessment on the sale of sheep and goats;

"§2-8-126 When a referendum has been authorized as provided in Section 2-8-125, the certified organization shall, before calling and announcing such the referendum, fix, determine, and publicly announce, at least 30 days before the date determined upon for such the referendum, the date, hours, and Page 1 SB91 Enrolled polling places for voting in such the referendum, the amount and basis of the assessment proposed to be collected, the means by which such the assessment shall be collected if authorized by the growers, and the general purposes to which said the amount so collected shall be applied.

Provided, however, any referendum called under the provisions of this article for the assessment of peanuts, notice shall also be published once a week in a newspaper in the county in which USDA inspection and buying points for peanuts are located for Page 3 SB91 INTRODUCED three successive weeks next preceding the referendum.

No annual assessment levied under the provisions of this article shall exceed three fourths of one percent of the value of the year's production of such agricultural commodity grown by any farmer, producer, or grower included in the group to which such the referendum is submitted." "§2-8-128 Any referendum conducted under the provisions of this article may be held either on an area or statewide basis, as may be determined by the certified organization before the 95 referendum is called.

The referendum, either on an area or statewide basis, may be participated in by all producers engaged in the production of the agricultural commodity on a commercial basis who shall be are subject to any assessments levied under this article and who produced the agricultural Page 2 SB91 Enrolled commodity in any of the three crop years immediately preceding the referendum.

In the referendum, individuals eligible for participation shall vote upon the question of whether or not there shall be levied an annual assessment for a period of three five years in the amount set forth in the call for the referendum on the agricultural product covered by the referendum." "§2-8-131 The hours, voting places, and rules and regulations for any referendum authorized in this article with respect to any of the agricultural commodities herein referred to and the area in which such the referendum shall be held shall be established and determined by the organization of the Page 4 SB91 INTRODUCED commercial growers and producers of such agricultural commodity duly certified by the State Board of Agriculture and Industries as provided in this article.

Such notice Notice shall likewise contain a statement of the amount of annual assessment proposed to be levied, which shall not exceed the amount specified in Section 2-8-126, and shall likewise state Page 3 SB91 Enrolled the method by which such the assessment shall be collected and how the proceeds thereof shall be administered and the purposes to which the same shall be applied, which purposes shall be in keeping with the provisions of this article." "§2-8-133 (a)In the event a majority of the producers eligible for participation in a referendum conducted under the provisions of this article and voting therein, shall vote in favor of the assessment, then the assessment shall be collected annually for three five years, as set forth in the 95 call for the referendum, and the collection of the assessment shall be under such method, rules, and regulations as may be determined by the organization conducting the referendum.

The Page 5 SB91 INTRODUCED assessment collected shall be paid into the treasury of the organization conducting the referendum, to be used together with other funds from other sources, including donations from individuals, concerns, or corporations or other entities and grants from state or governmental agencies, for the purpose of promoting and stimulating encouraging, by research, education, advertising, and other methods, the increased use and sale, domestic and foreign, of the agricultural commodity covered by the referendum.

(b) Upon the request of the duly certified organization of producers of any agricultural products referred to in this article, the Commissioner of Agriculture and Industries shall notify, by registered or certified mail, all persons, firms, and corporations engaged in the business of purchasing any such agricultural products in this state that on and after the Page 4 SB91 Enrolled date specified in the letter the assessments shall be deducted by the purchaser or his or her agent or representative from the purchase price of any such agricultural products.

The Commissioner of Agriculture and Page 6 SB91 INTRODUCED Industries shall be entitled to deduct five three percent of all sums remitted to him or her under this section to defray the expense incident to the administration of this article.

All amounts deducted shall be paid into the State Treasury and be credited to the account of the Agricultural Fund." "§2-8-134 In the event a referendum conducted as provided in this article shall not be supported by a majority of those eligible for participation therein and voting therein, then the organization conducting the referendum shall have full power and authority to may call another referendum for the purposes set forth in this article no earlier than 90 days after the preceding referendum, whether the referendum was conducted before or after April 17, 2002, on the question of an annual assessment for three five years." Page 5 SB91 Enrolled "§2-8-135 In the event a referendum conducted as provided in this article is carried by the vote of a majority of the eligible producers participating therein and assessments in pursuance thereof are levied annually for three five years as set forth in the call for the referendum, then the organization conducting the referendum shall, in its discretion, have full power and authority to may call and conduct, during the third fifth year of the period, another referendum in which the producers of such agricultural commodity shall vote upon the question of whether or not assessments shall be continued for the next ensuing three five years.

The certified organization shall have the full power and authority to may hold subsequent Page 7 SB91 INTRODUCED referendums it deems necessary to alter or modify the terms of the existing assessment.

However, if the intermediary referendum receives an affirmative vote, no subsequent referendum may be conducted until the passage of one year." "§2-8-323 (a) A certified association receiving and disbursing funds, following the close of its fiscal year every two five years, shall cause an audit of its books and accounts for the two five-year period to be conducted by a certified public accountant, disclosing receipts, disbursements, expenditures, Page 6 SB91 Enrolled and other related information, and a copy of the auditor's report shall be forwarded to the board for inspection and review.

(c) Within 90 days following the close of a certified association's fiscal year, if it has received any funds from assessments levied and collected pursuant to this article, the association shall forward a copy of a financial statement to Page 8 SB91 INTRODUCED the state board showing the amount received and collected and the amount spent for each project and item.

Page 97 SB91 Enrolled ________________________________________________ President and Presiding Officer of the Senate ________________________________________________ Speaker of the House of Representatives SB91 Senate 06-Apr-23 I hereby certify that the within Act originated in and passed the Senate.

Patrick Harris, Secretary.

House of Representatives Passed:

18-Apr-23 By:

Senator Carnley Page 8