CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 1 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S A bill to be entitled 1 An act relating to Florida citrus; providing a short 2 title; amending s. 601.04, F.S.; revising the 3 membership of the Florida Citrus Commission; requiring 4 members to meet certain requirements; revising 5 commission appointments to achieve staggered terms for 6 the newly appointed members; revising the requirements 7 for a quorum; amending s. 601.09, F.S.; increasing the 8 number of citrus districts in this state and revisi ng 9 the counties that comprise each district; amending s. 10 601.13, F.S.; requiring certain entities to provide 11 reports on citrus production research to the 12 commission at specified intervals and upon request of 13 the commission; specifying requirements for the 14 reports; requiring that new varieties of citrus fruit 15 developed as result of research or studies funded by 16 state funds and certain technology be made exclusively 17 available for licensing and commercialization to the 18 Department of Citrus or its designee for a specified 19 timeframe; authorizing the commission to retain the 20 exclusivity for a specified timeframe; amending s. 21 601.992, F.S.; revising eligibility requirements of 22 not-for-profit corporations on whose behalf the 23 Department of Citrus or the Department of Agriculture 24 and Consumer Services may collect certain financial 25 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 2 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S payments; reenacting s. 600.051(1), F.S., relating to 26 marketing agreements and the powers of the Department 27 of Citrus, to incorporate the amendment made to s. 28 601.09, F.S., in a reference the reto; reenacting s. 29 601.15(7)(b), F.S., relating to the use of moneys in 30 the Florida Citrus Advertising Trust Fund, to 31 incorporate the amendment made to s. 601.13, F.S., in 32 a reference thereto; providing an effective date. 33 34 Be It Enacted by the Legisla ture of the State of Florida: 35 36 Section 1. This act may be cited as the "Citrus Recovery 37 Act." 38 Section 2. Section 601.04, Florida Statutes, is amended to 39 read: 40 601.04 Florida Citrus Commission; creation and 41 membership.— 42 (1)(a) There is created w ithin the department the Florida 43 Citrus Commission, which shall be composed of 11 nine members 44 appointed by the Governor. Each member must be a resident 45 citizen of this the state who is and has been actively engaged 46 in the growing, growing and shipping, or growing and processing 47 of citrus fruit in the state for at least 5 years immediately 48 before appointment to the commission and has, during that 5 -year 49 period: 50 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 3 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S 1. Derived a major portion of her or his income from such 51 growing, growing and shipping, or gro wing and processing of 52 citrus fruit; or 53 2. Been the owner of, member of, officer of, or paid 54 employee of a corporation, firm, or partnership that has, during 55 that 5-year period, derived the major portion of its income from 56 such growing, growing and shipp ing, or growing and processing of 57 citrus fruit. 58 (b)1. Seven Six members of the commission shall be 59 classified as grower members and shall be primarily engaged in 60 the growing of citrus fruit as an individual owner; as the owner 61 of, or as stockholder of, a corporation; or as a member of a 62 firm or partnership primarily engaged in citrus growing. Such 63 members may not receive any compensation from any licensed 64 citrus fruit dealer or handler, as defined in s. 601.03, other 65 than gift fruit shippers, but any of t he grower members may 66 shall not be disqualified as a member if, individually, or as 67 the owner of, a member of, an officer of, or a stockholder of a 68 corporation, firm, or partnership primarily engaged in citrus 69 growing which processes, packs, and markets it s own fruit and 70 whose business is primarily not purchasing and handling fruit 71 grown by others. 72 2. Three members of the commission shall be classified as 73 processor grower-handler members and shall be engaged as owners, 74 or as paid officers or employees, of a corporation, firm, 75 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 4 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S partnership, or other business unit engaged in canning, 76 concentrating, or otherwise processing citrus fruit for market 77 other than for shipment in fresh fruit form handling citrus 78 fruit. One such member shall be primarily engaged in th e fresh 79 fruit business, and two such members shall be primarily engaged 80 in the processing of citrus fruits. 81 3. One member shall be classified as a packer member and 82 shall be engaged as an owner, or as a paid officer or employee, 83 of a corporation, firm, p artnership, or other business unit that 84 operates as a packinghouse as defined in s. 601.03. The member 85 shall reside in the Indian River production area of this state 86 as defined in s. 601.091(2). 87 4. For purposes of this section, a member's residence is 88 his or her actual physical and permanent residence. 89 (2)(a) One grower member Three commission members shall be 90 appointed from each of the three citrus districts designated in 91 s. 601.09. Members appointed from the same citrus district shall 92 serve staggered terms, such that the term of one of the 93 district's three members expires each year . Each member must 94 reside or grow citrus in the district from which she or he was 95 appointed. For the purposes of this section, a member's 96 residence is her or his actual physi cal and permanent residence. 97 (b) One grower member shall be a grower with a citrus 98 producing area of more than 5,001 acres. The grower must reside 99 and grow citrus in this state. 100 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 5 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S (c)1. Members shall be appointed to terms of 3 years each, 101 except that, to establish staggered terms of members from each 102 citrus district, the terms of members appointed before July 1, 103 2022 2012, shall be shortened as follows: 104 a.1. The terms term of two grower members and one packer 105 member one member from each citrus district shall expire June 106 30, 2022 2012, and their successors her or his successor shall 107 be appointed to terms a term beginning July 1, 2022 2012, and 108 expiring May 31, 2025 2015. 109 b.2. The terms term of two grower members and one 110 processor member one member from each citrus district shall 111 expire June 30, 2023 2013, and their successors her or his 112 successor shall be appointed to terms a term beginning July 1, 113 2023 2013, and expiring May 31, 2026 2016. 114 c.3. The terms term of two grower members and one 115 processor member one member from each citrus district shall 116 expire June 30, 2024 2014, and their successors her or his 117 successor shall be appointed to terms a term beginning July 1, 118 2024 2014, and ending May 31, 2027 2017. 119 2. One grower member and one processor member shall be 120 appointed on or after July 1, 2022, with terms ending May 31, 121 2025. 122 3.4. Subsequent appointments shall be made in accordance 123 with this section. 124 125 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 6 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S Appointments shall b e made by February 1 preceding the 126 commencement of the term and are subject to confirmation by the 127 Senate in the following legislative session. Each member is 128 eligible for reappointment and shall serve until her or his 129 successor is appointed and qualified. The regular terms begin on 130 June 1 and expire on May 31 of the third year after such 131 appointment. 132 (d)(c) When appointments are made, the Governor shall 133 publicly announce the actual classification and district that 134 each appointee represents. A majority of the currently appointed 135 members of the commission constitutes shall constitute a quorum 136 for the transaction of all business and the carrying out of the 137 duties of the commission. Before entering upon the discharge of 138 their duties as members of the commissi on, each member shall 139 take and subscribe to the oath of office prescribed in s. 5, 140 Art. II of the State Constitution. The qualifications and 141 classification required of each member by this section continue 142 to be required throughout the respective term of of fice, and if 143 a member, after appointment, fails to meet the qualifications or 144 classification that she or he possessed at the time of 145 appointment, the member must resign or be removed and be 146 replaced with a member possessing the proper qualifications and 147 classification. 148 (e)(d) When making an appointment to the commission, the 149 Governor shall announce the district, classification, and term 150 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 7 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S of the person appointed. 151 (3)(a) The commission shall elect a chair and secretary 152 and may elect a vice chair and such o ther officers as the 153 commission deems advisable. 154 (b) The chair, subject to commission concurrence, may 155 appoint such advisory committees or councils composed of 156 industry representatives as the chair deems appropriate, setting 157 forth the committee or counci l concerns that are consistent with 158 the statutory powers and duties of the commission and the 159 department. 160 Section 3. Section 601.09, Florida Statutes, is amended to 161 read: 162 601.09 Citrus districts. — 163 (1) For purposes of this chapter, the state is divi ded 164 into six three districts composed of: 165 (a) Citrus District One: Collier, Hendry, and Lee Levy, 166 Alachua, Brevard, Putnam, St. Johns, St. Lucie, Flagler, Indian 167 River, Marion, Seminole, Orange, Okeechobee, Polk, Volusia, and 168 Osceola Counties. 169 (b) Citrus District Two: Charlotte and Hardee, DeSoto, 170 Highlands, and Glades Counties. 171 (c) Citrus District Three: Glades, Highlands, and 172 Okeechobee Charlotte, Citrus, Collier, Hernando, Hendry, 173 Hillsborough, Lake, Lee, Manatee, Monroe, Martin, Pasco, Palm 174 Beach, Pinellas, Sarasota, Sumter, Broward, and Miami -Dade 175 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 8 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S Counties. 176 (d) Citrus District Four: Hardee, Hillsborough, Manatee, 177 Pinellas, and Sarasota Counties. 178 (e) Citrus District Five: Citrus, Hernando, Levy, Osceola, 179 Pasco, Polk, and Sumter Counties. 180 (f) Citrus District Six: Alachua, Brevard, Broward, 181 Flagler, Indian River, Lake, Marion, Martin, Miami -Dade, Monroe, 182 Orange, Palm Beach, Putnam, St. Johns, Seminole, St. Lucie, and 183 Volusia Counties. 184 (2) The Legislature intends that the citrus districts be 185 reviewed and, if necessary to maintain substantially equal 186 volumes of citrus production within each district, redistricted 187 every 5 years. The commission may, once every 5 years, review 188 the citrus districts based on the total boxes produced within 189 each district during the preceding 5 years and, based on the 190 commission's findings, submit recommendations to the Legislature 191 for redistricting in accordance with this subsection. 192 Section 4. Subsection (3) of section 601.13, Florida 193 Statutes, is renumbered as sub section (5), and a new subsection 194 (3) and subsection (4) are added to that section to read: 195 601.13 Citrus research; administration by Department of 196 Citrus; appropriation. — 197 (3) An entity that solicits research proposals and awards 198 funding for those prop osals expending funds received from the 199 State Treasury on citrus production research conducted pursuant 200 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 9 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S to chapter 573, as recommended by the Citrus Research and 201 Development Foundation, Inc., or conducted through contract with 202 the department shall deliver a report that includes all of the 203 following information to the commission biannually and at the 204 request of the commission: 205 (a) Project plans selected for funding. 206 (b) The financial status of the projects. 207 (c) Current findings of the funded research. 208 (d) Availability of citrus products or application of 209 growers' practices found through funded research. 210 (e) The status of the commercialization process of such 211 products or practices. 212 (4) Before being released for sale to the general public, 213 any new variety of citrus fruit which is developed as a result 214 of any research or study accomplished using any percentage of 215 funds from the State Treasury as well as any technology that 216 enhances the marketability of new or current citrus fruit 217 varieties must be mad e available as a first option for licensing 218 and commercialization for a period of 90 days, under 219 commercially reasonable terms, exclusively to the department or 220 its designee. If the department or its designee exercises such 221 exclusive license, the Florida C itrus Commission may retain the 222 exclusivity for up to 8 years after the date of execution. 223 Section 5. Section 601.992, Florida Statutes, is amended 224 to read: 225 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 10 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S 601.992 Collection of dues and other payments on behalf of 226 certain nonprofit corporations eng aged in market news and grower 227 education.—The Department of Citrus or the Department of 228 Agriculture or their successors may collect or compel the 229 entities regulated by the Department of Citrus to collect dues, 230 contributions, or any other financial payment upon request by, 231 and on behalf of, any not -for-profit corporation and its related 232 not-for-profit corporations located in this state that receive 233 payments or dues from their members. Such not -for-profit 234 corporation must be engaged, to the exclusion of agric ultural 235 commodities other than citrus, in market news and grower 236 education solely for citrus growers, and must have at least 237 2,500 5,000 members who are engaged in growing citrus in this 238 state for commercial sale. The Department of Citrus may adopt 239 rules to administer this section. The rules may establish 240 indemnity requirements for the requesting corporation and for 241 fees to be charged to the corporation that are sufficient but do 242 not exceed the amount necessary to ensure that any direct costs 243 incurred by the Department of Citrus in implementing this 244 section are borne by the requesting corporation and not by the 245 Department of Citrus. 246 Section 6. For the purpose of incorporating the amendment 247 made by this act to section 601.09, Florida Statutes, in a 248 reference thereto, subsection (1) of section 600.051, Florida 249 Statutes, is reenacted to read: 250 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 11 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S 600.051 Marketing agreements; powers of department. — 251 (1) In order to effectuate the declared policy and 252 purposes of this act, the department shall have the power to 253 enter into, administer, and enforce marketing agreements with 254 handlers and distributors engaged in any one or more of the 255 citrus districts established in and by s. 601.09, in the 256 handling and distributing of citrus fruit in fresh fruit form or 257 any variety or varieties, grade, size, or quality thereof, 258 regulating the handling of such citrus fruit in the way and 259 manner and to the extent therein prescribed and agreed upon, 260 which said marketing agreements shall be binding only upon the 261 signatories thereto excl usively. The execution of any such 262 marketing agreement shall in no manner affect the issuance, 263 administration, or enforcement of any marketing order otherwise 264 provided for by chapter 601, and any marketing agreement 265 executed hereunder shall be ineffective to the extent that it is 266 in conflict with any rule, regulation, marketing order, or 267 marketing agreement under any federal law relating to the 268 handling of citrus fruit grown in Florida. 269 Section 7. For the purpose of incorporating the amendment 270 made by this act to section 601.13, Florida Statutes, in a 271 reference thereto, paragraph (b) of subsection (7) of section 272 601.15, Florida Statutes, is reenacted to read: 273 601.15 Advertising campaign; methods of conducting; 274 assessments; emergency reserve fund; citru s research.— 275 CS/HB 1097 2022 CODING: Words stricken are deletions; words underlined are additions. hb1097-01-c1 Page 12 of 12 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S (7) All assessments levied and collected under this 276 chapter shall be paid into the State Treasury on or before the 277 15th day of each month. Such moneys shall be accounted for in a 278 special fund to be designated as the Florida Citrus Advertisin g 279 Trust Fund, and all moneys in such fund are appropriated to the 280 department for the following purposes: 281 (b) Moneys in the Florida Citrus Advertising Trust Fund 282 shall be expended for the activities authorized by s. 601.13 and 283 for the cost of those genera l overhead, research and 284 development, maintenance, salaries, professional fees, 285 enforcement costs, and other such expenses that are not related 286 to advertising, merchandising, public relations, trade 287 luncheons, publicity, and other associated activities. Th e cost 288 of general overhead, maintenance, salaries, professional fees, 289 enforcement costs, and other such expenses that are related to 290 advertising, merchandising, public relations, trade luncheons, 291 publicity, and associated activities shall be paid from the 292 balance of the Florida Citrus Advertising Trust Fund. 293 Section 8. This act shall take effect July 1, 2022. 294