7 USC 7110 - Regulations

Collapse to view only § 7110. Regulations

§ 7101. Findings and declaration of policy
§ 7102. Definitions
§ 7103. Issuance and amendment of orders
§ 7104. Required terms in orders
§ 7105. Referenda
§ 7106. Petition and review
§ 7107. Enforcement
§ 7108. Investigations and power to subpoena
§ 7109. Administrative provisions
§ 7110. Regulations
§ 7111. Authorization of appropriations

§ 7101. Findings and declaration of policy

(a) Findings

Congress finds that—

(1) sheep and sheep products are important goods;

(2) the production of sheep and sheep products play a significant role in the economy of the United States in that sheep and sheep products are produced throughout the United States and used by millions of people throughout the United States and foreign countries;

(3) sheep and sheep products must be high quality, readily available, handled properly, and marketed efficiently to ensure that consumers have an adequate supply of sheep products;

(4) the maintenance and expansion of existing markets and development of new markets for sheep and sheep products are vital to the welfare of sheep producers and persons concerned with marketing, using, and producing sheep and sheep products, as well as to the general economy of the United States, and necessary to ensure the ready availability and efficient marketing of sheep and sheep products;

(5) there exist established State organizations conducting sheep and sheep product promotion, research, and industry and consumer education programs that are invaluable to the efforts of promoting the consumption of sheep and sheep products;

(6) the cooperative development, financing, and implementation of a coordinated national program of sheep and sheep product promotion, research, consumer information, education, and industry information are necessary to maintain and expand existing markets and develop new markets for sheep and sheep products; and

(7) sheep and sheep products move in interstate and foreign commerce, and sheep and sheep products that do not move in such channels of commerce directly burden or affect interstate commerce in sheep and sheep products.

(b) Policy

It is the policy of Congress that it is in the public interest to authorize the establishment, through the exercise of the powers provided in this chapter, of an orderly procedure for developing, financing (through adequate assessments on sheep and sheep products produced or imported into the United States), and carrying out an effective, continuous, coordinated program of promotion, research, consumer information, education, and industry information designed to—

(1) strengthen the position of the sheep and sheep product industry in the marketplace;

(2) maintain and expand existing domestic and foreign markets and uses for sheep and sheep products; and

(3) develop new markets and uses for sheep and sheep products.

(Pub. L. 103–407, § 2, Oct. 22, 1994, 108 Stat. 4210.)

§ 7102. Definitions

As used in this chapter (unless the context clearly requires otherwise):

(1) Board

(2) Carbonized wool

(3) Consumer information

(4) Customs Service

(5) Degreased wool

(6) Department

(7) Education

(8) Executive Committee

(9) Exporter

(10) Feeder

(11) Greasy wool

(12) Handler

(13) Importer

(14) Industry information

(15) Order

(16) Person

(17) Processor

(18) Producer

(19) Producer information

(20) Promotion

(21) Pulled wool

(22) Qualified State sheep board

The term “qualified State sheep board” means a sheep and wool promotion entity that—

(A) is authorized by State statute or is otherwise organized and operating within a State;

(B) receives voluntary contributions or dues and conducts promotion, research, or consumer information programs with respect to sheep or wool, or both; and

except that not more than 1 qualified State sheep board shall exist in any State at any 1 time.

(23) Raw wool

(24) Research

(25) Secretary

(26) Sheep

(27) Sheep products

(28) State

(29) Unit

(30) United States

(31) Wool

(32) Wool products

(Pub. L. 103–407, § 3, Oct. 22, 1994, 108 Stat. 4211.)

§ 7103. Issuance and amendment of orders

(a) In general

(b) Procedure

(1) Proposal or request for issuance

(2) Notice and comment concerning proposed order

(3) Issuance of orders

(4) Referendum

(Pub. L. 103–407, § 4, Oct. 22, 1994, 108 Stat. 4213.)

§ 7104. Required terms in orders

(a) In general

(b) Establishment and membership of Board

(1) In generalThe order shall provide for the establishment of, and appointment of members to, a National Sheep Promotion, Research, and Information Board to administer the order. Members of the Board shall be appointed by the Secretary from nominations provided in accordance with this subsection. The cumulative number of seats on the Board shall be 120 and shall be apportioned as follows:

(A) Producers

(B) Feeders

(D) Alternates

(2) Nominations

(A) Producers

(B) Feeders

(1) Initially established Board

(A) Producer nominations

(B) Feeder and importer nominationsThe Secretary shall solicit nominations for each seat for which feeders or importers are entitled to representation from organizations that represent feeders and importers, respectively. In determining whether an organization is eligible to submit nominations under this subparagraph, the Secretary shall determine whether—

(i) the active membership of the organization includes a significant number of feeders or importers in relation to the total membership of the organization;

(ii) there is evidence of stability and permanency of the organization; and

(iii) the organization has a primary and overriding interest in representing the feeder or importer segment of the sheep industry.

(2) Subsequent appointment

(A) Producer nominations

(B) Feeder and importer nominations

(3) Certification of organizations

(A) In general

(B) Basis for certificationCertification under this paragraph shall be based, in addition to other available information, on a factual report submitted by the organization, that shall contain information considered relevant and specified by the Secretary, including—

(i) the geographic territory covered by the active membership of the organization;

(ii) the nature and size of the active membership of the organization, including the proportion of the total number of active producers represented by the organization;

(iii) evidence of stability and permanency of the organization;

(iv) sources from which the operating funds of the organization are derived;

(v) the functions of the organization; and

(vi) the ability and willingness of the organization to further the aims and objectives of this chapter.

(C) Primary considerationsA primary consideration in determining the eligibility of an organization under this paragraph shall be whether—

(i) the membership of the organization consists primarily of producers who own a substantial quantity of sheep; and

(ii) an interest of the organization is in the production of sheep.

(d) Administration

(1) Terms

(2) Compensation

(3) Meetings

(e) Powers and duties of BoardThe order shall define the powers and duties of the Board and shall include the power and duty—

(1) to elect officers of the Board, including a Chairperson, Vice Chairperson, and Secretary;

(2) to administer the order in accordance with the terms and provisions of the order;

(3) to recommend regulations to effectuate the terms and provisions of the order;

(4) to elect members of the Board to serve on the Executive Committee;

(5) to approve or reject budgets submitted by the Executive Committee;

(6) on approval, to submit the budgets to the Secretary for the approval or disapproval of the Secretary;

(7) to contract with entities, if necessary, to carry out plans or projects in accordance with this chapter;

(8) to conduct programs of promotion, research, consumer information, education, industry information, and producer information;

(9) to receive, investigate, and report to the Secretary complaints of violations of the order;

(10) to recommend to the Secretary amendments to the order;

(11) to provide the Secretary with prior notice of meetings of the Board to permit the Secretary, or a designated representative, to attend the meetings;

(12) to provide, not less than annually, a report to producers, feeders, and importers accounting for funds expended by the Board and describing programs carried out under this chapter, and to make the report available to the public on request;

(13) to establish 7 regions that, to the extent practicable, contain geographically contiguous States and approximately equal numbers of producers and sheep production;

(14) to employ or retain necessary staff; and

(15) to invest funds in accordance with subsection (k).

(f) Budgets

(1) In general

(2) Limitation

(g) Executive Committee

(1) Establishment

(2) MembershipThe Executive Committee shall be composed of 14 members, of which—

(A) 11 members shall be elected by the Board on an annual basis, of which—

(i) 7 members shall represent producers, with 1 member representing each of the regions established in the order;

(ii) 1 member shall represent feeders; and

(iii) 3 members shall represent importers; and

(B) 3 members shall be the Chairperson, Vice Chairperson, and Secretary of the Board.

(3) Powers and duties

(A) Plans or projects

(B) Budgets

(4) Terms

(5) Chairperson

(6) Quorum

(h) Expenses, contracts, and agreements

(1) Expenses

(2) Contracts and agreementsA contract or agreement entered into by the Board under subsection (e)(7) shall provide that—

(A) the contracting party shall develop and submit to the Board a plan or project, together with a budget or budgets that provides estimated costs to be incurred for the plan or project;

(B) the plan or project, and the contract or agreement, shall not become effective until the plan or project has been approved by the Secretary; and

(i) keep accurate records of all of the transactions of the party;

(ii) account for funds received and expended, including staff time, salaries, and expenses expended on behalf of Board activities;

(iii) make periodic reports to the Board of activities conducted; and

(iv) make such other reports as the Board or the Secretary may require.

(i) Assessments

(1) Sheep purchases

(A) In general

(B) Processing

(i) In general

(ii) Exception

(2) Wool purchases

(A) In general

(B) Processing

(i) In general

(ii) Exception

(3) Direct processingThe order shall provide that any person processing or causing to be processed sheep or sheep products of that person’s own production and marketing shall—

(A) pay an assessment on the sheep or sheep products at the time of sale at a rate equivalent to the rate provided for in paragraph (1) or (2), as appropriate; and

(B) remit the assessment to the Board in the manner prescribed by the order.

(4) ExportsThe order shall provide that any person exporting live sheep or greasy wool shall—

(A) pay the assessment on the sheep or greasy wool at the time of export at a rate equivalent to the rate provided for in paragraph (1) or (2), as appropriate; and

(B) remit the assessment to the Board in the manner prescribed by the order.

(5) Imports

(A) In general

(B) Collection

(i) In generalExcept as provided in subparagraph (B), the rate of assessment under this paragraph for sheep and sheep products shall be—(I) in the case of a live sheep, 1 cent per pound; and(II) in the case of a sheep product, the equivalent of 1 cent per pound of live sheep, as determined by the Secretary in consultation with the domestic sheep industry.

(ii) Exception

(D) Rate for wool and wool products

(i) In general

(ii) Exception

(6) Qualified State sheep boards

(A) In general

(B) Exception

(7) De minimis importsThe Secretary may issue regulations that—

(A) exclude certain imported materials or products that contain de minimis span levels of sheep or sheep products; and

(B) waive the assessment due on the materials or products.

(8) Use of assessments

(A) In general

(B) Reimbursement of Secretary

(j) Books and records of Board

(1) In generalThe order shall require the Board to—

(A) maintain such books and records as the Secretary may prescribe, which shall be available to the Secretary for inspection and audit;

(B) prepare and submit to the Secretary, from time to time, such reports as the Secretary may prescribe; and

(2) Audit

(k) Investment of funds

(1) In generalThe order shall provide that the Board may invest, pending disbursement, funds the Board receives under the order, only in—

(A) obligations of the United States or any agency of the United States;

(B) general obligations of any State or any political subdivision of a State;

(D) obligations fully guaranteed as to principal and interest by the United States.

(2) Use of income

(l) Prohibition on use of funds

(1) In general

(2) ExceptionsParagraph (1) shall not apply to—

(A) the development and recommendation to the Secretary of amendments to the order; or

(B) the communication to appropriate government officials, in response to a request made by the officials, of information relating to the conduct, implementation, or results of promotion, research, consumer information, education, industry information, or producer information activities under the order.

(3) False or misleading claims

(m) Books and records

(1) In general

(2) Use of information

(A) In general

(B) Other information

(3) Confidentiality

(A) In general

(B) DisclosureInformation referred to in subparagraph (A) may be disclosed only if—

(i) the Secretary considers the information relevant;

(ii) the information is revealed in a judicial proceeding or administrative hearing brought at the direction or on the request of the Secretary or to which the Secretary or any officer of the Department is a party; and

(iii) the information relates to this chapter.

(i) the issuance of general statements, based on the reports, of the number of persons subject to an order or statistical data collected from the persons, which statements do not identify the information furnished by any person; or

(ii) the publication, by direction of the Secretary, of the name of any person violating any order and a statement of the particular provisions of the order violated by the person.

(D) Administration

(E) Penalty

(n) Other terms and conditions

(Pub. L. 103–407, § 5, Oct. 22, 1994, 108 Stat. 4213.)

§ 7105. Referenda

(a) Initial referendum

(1) In general

(2) Approval of order

(b) Additional referenda

(1) In general

(2) Suspension or termination

If the Secretary determines that suspension or termination of the order is favored by a majority of the producers, feeders, and importers voting in the referendum or at least ⅔ of the production represented by the persons voting in the referendum, the Secretary shall suspend or terminate—

(A) collection of assessments under the order not later than 180 days after the determination; and

(B) the order in an orderly manner as soon as practicable after the determination.

(1) Reimbursement

(A) In general

(B) Federal employee salaries

(2) Date

(3) Place

(4) Allocation of production

(Pub. L. 103–407, § 6, Oct. 22, 1994, 108 Stat. 4223.)

§ 7106. Petition and review

(a) Petition

(1) In general

A person subject to an order issued under this chapter may file with the Secretary a petition—

(A) stating that the order, any provision of the order, or any obligation imposed in connection with the order is not established in accordance with law; and

(B) requesting a modification of the order or an exemption from the order.

(2) Hearings

(3) Ruling

(b) Review

(1) Commencement of action

(2) Process

(3) Remands

If the court determines that the ruling is not in accordance with law, the court shall remand the matter to the Secretary with directions—

(A) to make such ruling as the court shall determine to be in accordance with law; or

(B) to take such further action as, in the opinion of the court, the law requires.

(Pub. L. 103–407, § 7, Oct. 22, 1994, 108 Stat. 4224.)

§ 7107. Enforcement

(a) Jurisdiction

(b) Referral to Attorney General

(1) Civil penaltiesA person who willfully violates an order or regulation issued by the Secretary under this chapter may be assessed by the Secretary—

(A) a civil penalty of not more than $1,000 for each such violation; and

(B) in the case of a willful failure to pay, collect, or remit an assessment as required by the order, an additional penalty equal to the amount of the assessment.

(2) Separate offense

(3) Cease-and-desist orders

(4) Notice and hearing

(5) Finality

(d) Review by court of appeals

(1) In generalA person against whom an order is issued under subsection (c) may obtain review of the order by—

(A) filing, not later than 30 days after the date of the order, a notice of appeal in—

(i) the United States court of appeals for the circuit in which the person resides or carries on business; or

(ii) the United States Court of Appeals for the District of Columbia Circuit; and

(B) simultaneously sending a copy of the notice of appeal by certified mail to the Secretary.

(2) Record

(3) Standard of review

(e) Failure to obey orders

(f) Failure to pay penalties

(g) Additional remedies

(Pub. L. 103–407, § 8, Oct. 22, 1994, 108 Stat. 4224.)

§ 7108. Investigations and power to subpoena

(a) Investigations

The Secretary may make such investigations as the Secretary considers necessary—

(1) for the effective administration of this chapter; or

(2) to determine whether any person subject to this chapter has engaged, or is about to engage, in any action that constitutes or will constitute a violation of this chapter, or of any order or regulation issued under this chapter.

(b) Subpoenas, oaths, and affirmations

(d) Contempt

(e) Process

(Pub. L. 103–407, § 9, Oct. 22, 1994, 108 Stat. 4226.)

§ 7109. Administrative provisions

(a) Construction

(b) Amendments to orders

(Pub. L. 103–407, § 10, Oct. 22, 1994, 108 Stat. 4226.)

§ 7110. Regulations

The Secretary may issue such regulations as are necessary to carry out this chapter.

(Pub. L. 103–407, § 11, Oct. 22, 1994, 108 Stat. 4226.)

§ 7111. Authorization of appropriations

(a) In general

(b) Administrative expenses

(Pub. L. 103–407, § 12, Oct. 22, 1994, 108 Stat. 4226.)