3-417. Assessments; collection; budget

A. The annual assessment rate shall not exceed five per cent of the annual gross sales dollar value of the affected commodity determined by the preceding marketing season. Not more than two per cent of the annual gross sales dollar value of the affected commodity may be used to pay costs associated with administering the marketing order. Assessment rates may be set on a per carton or equivalent basis.

B. Each marketing order shall state a method of collection. For the initial year, an advance deposit of not more than ten per cent of the total assessments owing may be collected from affected persons based on the preceding marketing season. If the marketing order affects producers only or if the marketing order affects both producers and shippers, the shipper shall withhold the assessments owed by the producer pursuant to the marketing order. The shipper is a trustee of the assessments until they are paid to the marketing commission. If the marketing order affects producers only, a producer is responsible for paying the assessments unless the assessments are withheld for payment by the shipper.

C. Each affected person shall keep a complete and accurate record of all of the affected commodity sold by the affected person. The records shall contain the information required to be kept for the citrus, fruit and vegetable trust fund pursuant to articles 2 and 4 of this chapter and rules adopted pursuant to those articles.

D. Except for the first year of operation, on or before July 1 of each year, the marketing commission or marketing committee shall set an assessment according to the maximum rate of assessment established by this article, the marketing order or marketing agreement. Before establishing the assessment rate, the commission or committee shall establish an annual budget. The budget is effective on approval of the commission or committee.

E. Title 41, chapter 6 does not apply to setting and collecting the assessment under this section, but the commission or committee shall provide fifteen days' advance notice of the meeting at which the assessment will be adopted and the amount of the proposed assessment. The commission or committee shall receive public testimony at the meeting regarding the assessment.