H.B. 296

1

DAIRY COMMISSION AMENDMENTS
2 1999 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: Craig W. Buttars
5 AN ACT RELATING TO AGRICULTURE; AMENDING THE COMPOSITION OF THE UTAH
6 DAIRY COMMISSION; ELIMINATING THE TERM LIMITATION FOR COMMISSION
7 MEMBERS; AMENDING ELECTION PROVISIONS; AMENDING THE ASSESSMENT
8 STATEMENT REQUIREMENTS; DECREASING THE ADDITIONAL ASSESSMENT
9 AMOUNT FOR GOVERNMENT LIAISON AND INDUSTRY RELATIONS PROGRAMS;
10 AND MAKING TECHNICAL AMENDMENTS.
11 This act affects sections of Utah Code Annotated 1953 as follows:
12 AMENDS:
13 4-22-2, as last amended by Chapter 82, Laws of Utah 1997
14 4-22-6, as enacted by Chapter 2, Laws of Utah 1979
15 4-22-7, as last amended by Chapter 139, Laws of Utah 1992
16 4-22-8.5, as enacted by Chapter 253, Laws of Utah 1994
17 Be it enacted by the Legislature of the state of Utah:
18 Section 1. Section 4-22-2 is amended to read:
19 4-22-2. Utah Dairy Commission created -- Composition -- Elected members -- Terms
20 of elected members -- Qualifications for election.
21 (1) There is created an independent state agency known as the Utah Dairy Commission.
22 (2) The Utah Dairy Commission consists of [14] 13 members as follows:
23 (a) the commissioner of agriculture and food, or [his] the commissioner's representative;
24 (b) the dean of the College of Agriculture at Utah State University, or [his] the dean's
25 representative;
26 (c) the president of the Utah Dairy [Wives] Women's Association or the president of the
27 Utah Dairy Women's Association's representative;

28 (d) a member from District 1, northern Cache County, which member shall have a Cornish,
29 Lewiston, Richmond/Cove, or Trenton mailing address;
30 (e) a member from District 2, central Cache County and Rich County, which member shall
31 have a Newton, Clarkston, Amalga, Smithfield, Benson, Hyde Park, Mendon, or Petersboro
32 mailing address;
33 (f) a member from District 3, southern Cache County, which member shall have a Logan,
34 Providence, Nibley, Hyrum, Paradise, Wellsville, College Ward, Young Ward, or Millville mailing
35 address;
36 (g) a member from District 4, Box Elder County;
37 (h) a member from District 5, Weber and Morgan Counties;
38 (i) a member from District 6, Salt Lake, Davis, Utah, and Tooele Counties;
39 [(j) a member from District 7, Utah County;]
40 [(k)] (j) a member from District [8] 7, Wasatch, Summit, Duchesne, Uintah, and Daggett
41 Counties;
42 [(l)] (k) a member from District [9] 8, Millard, Beaver, Iron, and Washington Counties;
43 [(m)] (l) a member from District [10] 9, Sanpete, Carbon, Emery, Grand, Juab, and San
44 Juan Counties; and
45 [(n)] (m) a member from District [11] 10, Piute, Wayne, Kane, Garfield, and Sevier
46 Counties.
47 (3) The ex officio members listed in Subsections (2)(a) and (b) shall serve without a vote.
48 (4) [(a)] The members listed in Subsections (2)(d) through [(n): (i)] (m) shall be elected
49 to four-year terms of office as provided in Section 4-22-6 [; and].
50 [(ii) may serve no more than three terms.]
51 [(b) The limitation on the number of terms served as provided in Subsection (a) shall apply
52 to any person who has served or will serve on the commission before, on, or after May 2, 1994,
53 the effective date of this act.]
54 (5) Members shall enter office on July 1 of the year in which they are elected.
55 (6) The commission, by two-thirds vote, may [periodically] alter the boundaries
56 comprising the districts established in this section to maintain equitable representation of active
57 milk producers on the commission.
58 (7) Each member shall be:

59 (a) a citizen of the United States;
60 (b) 26 years of age or older;
61 (c) an active milk producer with five consecutive years experience in milk production
62 within this state immediately preceding election; and
63 (d) a resident of Utah and the district represented.
64 Section 2. Section 4-22-6 is amended to read:
65 4-22-6. Commission to conduct elections -- Nomination of candidates -- Expenses of
66 election paid by commission.
67 (1) (a) The commissioner shall administer all commission elections.
68 (b) [Not later than May 15 of each election year, the] The commissioner shall mail a ballot
69 to each producer within the district in which an election is to be held by May 15 of each election
70 year.
71 (c) The candidate who receives the highest number of votes cast in the candidate's district
72 [is deemed] shall be elected.
73 (d) The commissioner shall determine all questions of eligibility.
74 (e) [No] A ballot must be postmarked [later than] by May 31 of an election year [is valid].
75 (f) (i) All ballots received by the commissioner shall be counted and tallied by [the
76 commission on the first working day after] June [10; provided, that no] 15.
77 (ii) A member of the commission whose name appears on [any] a ballot [being counted
78 or tallied by the commission shall] may not participate in counting or tallying the ballots.
79 (2) (a) Candidates for election to the commission shall be nominated, not later than April
80 15, by a petition signed by [15] five or more producers who are residents of the district in which
81 the election is to be held[; provided, that if].
82 (b) If two or more candidates are not nominated by petition, the commission shall select
83 a nominating committee composed of three [persons] producers who are residents of the district
84 [which] who shall select [one or two] the candidates [depending upon the number] not nominated
85 by petition.
86 (3) The names of all nominees, whether nominated by petition or by a nominating
87 committee, shall be submitted to the commissioner on or before May 1 of each year in which an
88 election is held.
89 (4) All election expenses incurred by the commissioner [in the conduct of elections] shall

90 be paid by the commission.
91 Section 3. Section 4-22-7 is amended to read:
92 4-22-7. Assessment imposed on sale of milk or cream produced, sold, or contracted
93 for sale in state -- Time of assessment -- Collection by producer or producer-handler --
94 Penalty for delinquent payment or collection -- Statement to be given producer -- Transfer
95 of assessment.
96 (1) An assessment of ten cents is imposed upon each 100 pounds of milk or cream
97 produced and sold, or contracted for sale, through commercial channels in this state.
98 (2) The assessment[,] shall be:
99 (a) based upon daily or monthly settlements[, is]; and
100 (b) due at a time [prescribed] set by the commission, [but] which may not be later than the
101 last day of the month next succeeding the month of sale.
102 (3) (a) The assessment [is] shall be:
103 (i) assessed against the producer at the time the milk or milk fat is delivered for sale [and
104 shall be];
105 (ii) deducted [and collected] from the sales price; and
106 (iii) collected by the dealer or producer-handler.
107 (b) The proceeds of the assessment shall be paid directly to the commission [which] who
108 shall [evidence] issue a receipt [of the assessment through a receipt issued] to the dealer or
109 producer-handler.
110 (c) If a dealer or producer-handler fails to [timely] remit the proceeds of the assessment
111 or [fails to] deduct the assessment on time, a penalty equal to 10% of the [assessment] amount due
112 shall be added to the assessment.
113 (4) (a) At the time of payment of the assessment, the dealer or producer-handler[, as the
114 case may be,] shall deliver a statement to the producer [which contains:] calculating the
115 assessment.
116 [(a) the name and address of the producer;]
117 [(b) the name and address of the purchaser, or if applicable, the name and address of the
118 producer-handler;]
119 [(c) the dollar value of the milk or cream sold and the amount of assessment deducted;]
120 [(d) the date of the purchase; and]

121 [(e)] (b) [any other information the] The commission may require other relevant
122 information to be included in the statement.
123 (5) (a) A producer who objects to having the Utah Dairy Commission receive the
124 assessment imposed under this section may, by January 31, submit a written request to the
125 commission to transfer to the National Dairy Board an amount equal to the assessment the
126 producer paid during the previous year.
127 (b) Unless the request for transfer is withdrawn, the transfer shall be made on or before
128 May 30 of the year it is requested.
129 (c) If the mandatory assessment required by the Dairy and Tobacco Adjustment Act of
130 1983, Pub. L. No. 98-180, 97 Stat. 1128 (1150.152), is abolished, a producer who objects to
131 payment of the assessment imposed under [Subsection (a)] this section, may, by January 31,
132 submit a written request to the commission for a refund of the amount of the assessment the
133 producer paid during the previous year.
134 Section 4. Section 4-22-8.5 is amended to read:
135 4-22-8.5. Additional assessment for government liaison and industry relations
136 programs -- Refund of the assessment.
137 (1) In addition to the assessment provided in Section 4-22-7 , an assessment of
138 three-fourths of one cent is imposed upon each 100 pounds of milk or cream produced and sold,
139 or contracted for sale, through commercial channels in this state for the purposes specified in
140 Subsection (3).
141 (2) The three-fourths of one cent assessment shall be paid in the same manner as the
142 assessment required by Section 4-22-7 .
143 (3) The commission shall use the revenue derived from the three-fourths of one cent
144 assessment imposed by this section to contract out for services and expenses of government liaison
145 and industry relations programs created to stabilize and protect the state's dairy industry and the
146 health and welfare of the public.
147 (4) A producer who objects to payment of the assessment imposed by this section may,
148 by January 31, submit a written request to the commission to be exempted from payment of the
149 assessment for that year. By January 1 each year, the commission shall send a postage-paid,
150 self-addressed postcard to each person subject to the assessment which may be returned to request
151 an exemption.

152 [(5) In 1994, a producer who objects to payment of the assessment may by June 1 submit
153 a written request for exemption to the commission. The commission shall by May 2, 1994, send
154 a postage-paid, self-addressed postcard to each person subject to the assessment which may be
155 returned to request an exemption.]




Legislative Review Note
as of 2-3-99 9:12 AM

A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel