These changes will implement HB 7103. A referendum of citrus growers was held and passed in November 2009 to increase the assessment rate to a maximum of $.03 per box and to establish the Citrus Research and Development Foundation as the research ...

DEPARTMENT OF AGRICULTURE AND CONSUMER SERVICES
Division of Marketing and Development

RULE NO.: RULE TITLE:
5H-2.003: Assessments; Collections
5H-2.004: Rate of Assessments; Exemptions
PURPOSE AND EFFECT: These changes will implement HB 7103. A referendum of citrus growers was held and passed in November 2009 to increase the assessment rate to a maximum of $.03 per box and to establish the Citrus Research and Development Foundation as the research advisory council to the Department. Florida Statute 573 was amended accordingly. A referendum of tobacco growers was held and passed unanimously in May 2009 to increase the assessment rate to a maximum of $1.00 per 100 pounds of tobacco. The Citrus Research and Development Foundation serving as the advisory council recommended commencement of rule making by the Department as may be appropriate to administer the changes.
SUMMARY: Recent tobacco and citrus marketing order referendums passed with overwhelming industry support. The proposed rules are being developed to update the assessment and collection procedures of commodity marketing orders. The proposed amendments to Rule 5H-2.003, F.A.C., would permit the Department to adjust or suspend the assessment rates upon recommendation of the commodity advisory council. The proposed amendments also clarify the rule by removing the assessment amounts language from the rule. The assessment amounts are set by the marketing order and not by Department rule. This rulemaking also proposes to repeal existing Rule 5H-2.004, F.A.C., which has become outdated. No additional assessments will be collected under these rules.
SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS: The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. An SERC has not been prepared by the agency.
Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.
RULEMAKING AUTHORITY: 573.118(2), 573.119 FS.
LAW IMPLEMENTED: 573.112, 573.118(2), 573.119 FS.
IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAW.
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Marshall Wiseheart, [phone], [e-mail]

THE FULL TEXT OF THE PROPOSED RULE IS:

5H-2.003 Assessments; Collections.

The following applies to the Citrus Research, Peanut, and Tobacco Marketing Orders issued by the Department in accordance with Chapter 573, Florida Statutes.

(1) Assessments. After The Department after receiving the recommendations of the designated Advisory Council, the Department shall fix the rate of assessment on the volume of the commodity sold or some other equitable basis. Such assessment shall be collected by the handler at the first point of sale and shall not exceed the following amounts:

(a) Twenty five cents ($.25) per hundred pounds of tobacco;

(b) Three dollars ($3.00) per ton on peanuts.

(c) One cent ($.01) per standard packed box of citrus fruit as defined in Section 601.03(33), Florida Statutes. Upon recommendation of the Advisory Council, the rate of assessment shall be adjusted if the Department determines that additional funds are required or suspended if the Department determines that additional funds are not required. Upon being fixed by the Department, the assessment rate shall be published in the Florida Administrative Weekly, a newspaper of general circulation in Florida, and in other industry-related publications.

(2) Collections. Any money collected by the first handler shall be remitted to the Department under the provisions of the Marketing Order to be deposited in the General Inspection Trust Fund and shall be used for the sole purpose of implementing the Marketing Order for which the assessment was collected. Any money collected pursuant to the Citrus Research Marketing Order shall be for the administration and funding of citrus research activities. The Citrus Research and Development Foundation, Inc., (Foundation) shall act as the Advisory Council for the Citrus Research Marketing Order in accordance with Section 573.112, Florida Statutes.

Rulemaking Specific Authority 573.118(2), 573.119 FS. Law Implemented 573.112, 573.118(2), 573.119 FS. History–New 6-4-95,________.

 

5H-2.004 Rate of Assessments; Exemptions.

Rulemaking Specific Authority 573.118(2) FS. Law Implemented 573.118(2), 573.119 FS. History–New 6-4-95, Repealed________.

NAME OF PERSON ORIGINATING PROPOSED RULE: Nelson Mongiovi, Director Division of Marketing and Development
NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Adam H. Putnam, Commissioner of Agriculture
DATE PROPOSED RULE APPROVED BY AGENCY HEAD: July 12, 2011
DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAW: July 8, 2011