Florida Senate - 2022 CS for SB 1002 By the Committee on Community Affairs; and Senator Burgess 578-02647-22 20221002c1 1 A bill to be entitled 2 An act relating to Florida citrus; providing a short 3 title; amending s. 601.04, F.S.; revising the 4 membership of the Florida Citrus Commission; requiring 5 members to meet certain requirements; revising 6 commission appointments to achieve staggered terms for 7 the newly appointed members; revising the requirements 8 for a quorum; amending s. 601.09, F.S.; increasing the 9 number of citrus districts in this state and revising 10 the counties that comprise each district; amending s. 11 601.13, F.S.; requiring certain entities to provide 12 reports on citrus production research to the 13 commission at specified intervals and upon request of 14 the commission; specifying requirements for the 15 reports; requiring that new varieties of citrus fruit 16 produced from research or studies funded by state 17 funds be made exclusively available for licensing and 18 commercialization to the Department of Citrus or its 19 designee for a specified timeframe; amending s. 20 601.992, F.S.; revising eligibility requirements for 21 not-for-profit corporations that may be required to 22 collect certain payments from their members; 23 reenacting s. 600.051(1), F.S., relating to marketing 24 agreements and the powers of the department, to 25 incorporate the amendment made to s. 601.09, F.S., in 26 a reference thereto; reenacting s. 601.15(7)(b), F.S., 27 relating to the use of moneys in the Florida Citrus 28 Advertising Trust Fund, to incorporate the amendment 29 made to s. 601.13, F.S., in references thereto; 30 providing an effective date. 31 32 Be It Enacted by the Legislature of the State of Florida: 33 34 Section 1.This act may be cited as the Citrus Recovery 35 Act. 36 Section 2.Section 601.04, Florida Statutes, is amended to 37 read: 38 601.04Florida Citrus Commission; creation and membership. 39 (1)(a)There is created within the department the Florida 40 Citrus Commission, which shall be composed of 11 nine members 41 appointed by the Governor. Each member must be a resident 42 citizen of this the state who is and has been actively engaged 43 in the growing, growing and shipping, or growing and processing 44 of citrus fruit in the state for at least 5 years immediately 45 before appointment to the commission and has, during that 5-year 46 period: 47 1.Derived a major portion of her or his income from such 48 growing, growing and shipping, or growing and processing of 49 citrus fruit; or 50 2.Been the owner of, member of, officer of, or paid 51 employee of a corporation, firm, or partnership that has, during 52 that 5-year period, derived the major portion of its income from 53 such growing, growing and shipping, or growing and processing of 54 citrus fruit. 55 (b)1.Seven Six members of the commission shall be 56 classified as grower members and shall be primarily engaged in 57 the growing of citrus fruit as an individual owner; as the owner 58 of, or as stockholder of, a corporation; or as a member of a 59 firm or partnership primarily engaged in citrus growing. Such 60 members may not receive any compensation from any licensed 61 citrus fruit dealer or handler, as defined in s. 601.03, other 62 than gift fruit shippers, but any of the grower members may 63 shall not be disqualified as a member if, individually, or as 64 the owner of, a member of, an officer of, or a stockholder of a 65 corporation, firm, or partnership primarily engaged in citrus 66 growing which processes, packs, and markets its own fruit and 67 whose business is primarily not purchasing and handling fruit 68 grown by others. 69 2.Three members of the commission shall be classified as 70 processor grower-handler members and shall be engaged as owners, 71 or as paid officers or employees, of a corporation, firm, 72 partnership, or other business unit engaged in canning, 73 concentrating, or otherwise processing citrus fruit for market 74 other than for shipment in fresh fruit form handling citrus 75 fruit. One such member shall be primarily engaged in the fresh 76 fruit business, and two such members shall be primarily engaged 77 in the processing of citrus fruits. 78 3.One member shall be classified as a packer member and 79 shall be engaged as an owner, or as a paid officer or employee, 80 of a corporation, firm, partnership, or other business unit that 81 operates as a packinghouse as defined in s. 601.03. The member 82 shall reside in the Indian River production area of this state 83 as defined in s. 601.091(2). 84 4.For purposes of this section, a members residence is 85 his or her actual physical and permanent residence. 86 (2)(a)One grower member Three commission members shall be 87 appointed from each of the three citrus districts designated in 88 s. 601.09. Members appointed from the same citrus district shall 89 serve staggered terms, such that the term of one of the 90 districts three members expires each year. Each member must 91 reside or grow citrus in the district from which she or he was 92 appointed. For the purposes of this section, a members 93 residence is her or his actual physical and permanent residence. 94 (b)One grower member shall be a grower with a citrus 95 producing area of more than 5,001 acres. The grower must reside 96 and grow citrus in this state. 97 (c)Members shall be appointed to terms of 3 years each, 98 except that, to establish staggered terms of members from each 99 citrus district, the terms of members appointed before July 1, 100 2022 2012, shall be shortened as follows: 101 1.The terms term of two grower members and one packer 102 member one member from each citrus district shall expire June 103 30, 2022 2012, and their successors her or his successor shall 104 be appointed to terms a term beginning July 1, 2022 2012, and 105 expiring May 31, 2025 2015. 106 2.The terms term of two grower members and one processor 107 member one member from each citrus district shall expire June 108 30, 2023 2013, and their successors her or his successor shall 109 be appointed to terms a term beginning July 1, 2023 2013, and 110 expiring May 31, 2026 2016. 111 3.The terms term of two grower members and one processor 112 member one member from each citrus district shall expire June 113 30, 2024 2014, and their successors her or his successor shall 114 be appointed to terms a term beginning July 1, 2024 2014, and 115 ending May 31, 2027 2017. 116 4.One grower member and one processor member shall be 117 appointed on or after July 1, 2022, with terms ending May 31, 118 2025. 119 5.Subsequent appointments shall be made in accordance with 120 this section. 121 122 Appointments shall be made by February 1 preceding the 123 commencement of the term and are subject to confirmation by the 124 Senate in the following legislative session. Each member is 125 eligible for reappointment and shall serve until her or his 126 successor is appointed and qualified. The regular terms begin on 127 June 1 and expire on May 31 of the third year after such 128 appointment. 129 (d)(c)When appointments are made, the Governor shall 130 publicly announce the actual classification and district that 131 each appointee represents. A majority of the members of the 132 commission currently appointed constitutes shall constitute a 133 quorum for the transaction of all business and the carrying out 134 of the duties of the commission. Before entering upon the 135 discharge of their duties as members of the commission, each 136 member shall take and subscribe to the oath of office prescribed 137 in s. 5, Art. II of the State Constitution. The qualifications 138 and classification required of each member by this section 139 continue to be required throughout the respective term of 140 office, and if a member, after appointment, fails to meet the 141 qualifications or classification that she or he possessed at the 142 time of appointment, the member must resign or be removed and be 143 replaced with a member possessing the proper qualifications and 144 classification. 145 (e)(d)When making an appointment to the commission, the 146 Governor shall announce the district, classification, and term 147 of the person appointed. 148 (3)(a)The commission shall elect a chair and secretary and 149 may elect a vice chair and such other officers as the commission 150 deems advisable. 151 (b)The chair, subject to commission concurrence, may 152 appoint such advisory committees or councils composed of 153 industry representatives as the chair deems appropriate, setting 154 forth the committee or council concerns that are consistent with 155 the statutory powers and duties of the commission and the 156 department. 157 Section 3.Section 601.09, Florida Statutes, is amended to 158 read: 159 601.09Citrus districts. 160 (1)For purposes of this chapter, the state is divided into 161 six three districts composed of: 162 (a)Citrus District One: Collier, Hendry, and Lee Levy, 163 Alachua, Brevard, Putnam, St. Johns, St. Lucie, Flagler, Indian 164 River, Marion, Seminole, Orange, Okeechobee, Polk, Volusia, and 165 Osceola Counties. 166 (b)Citrus District Two: Charlotte and Hardee, DeSoto, 167 Highlands, and Glades Counties. 168 (c)Citrus District Three: Glades, Highlands, and 169 Okeechobee Charlotte, Citrus, Collier, Hernando, Hendry, 170 Hillsborough, Lake, Lee, Manatee, Monroe, Martin, Pasco, Palm 171 Beach, Pinellas, Sarasota, Sumter, Broward, and Miami-Dade 172 Counties. 173 (d)Citrus District Four: Hardee, Hillsborough, Manatee, 174 Pinellas, and Sarasota Counties. 175 (e)Citrus District Five: Citrus, Hernando, Levy, Osceola, 176 Pasco, Polk, and Sumter Counties. 177 (f)Citrus District Six: Alachua, Brevard, Broward, 178 Flagler, Indian River, Lake, Marion, Martin, Miami-Dade, Monroe, 179 Orange, Palm Beach, Putnam, St. Johns, Seminole, St. Lucie, and 180 Volusia Counties. 181 (2)The Legislature intends that the citrus districts be 182 reviewed and, if necessary to maintain substantially equal 183 volumes of citrus production within each district, redistricted 184 every 5 years. The commission may, once every 5 years, review 185 the citrus districts based on the total boxes produced within 186 each district during the preceding 5 years and, based on the 187 commissions findings, submit recommendations to the Legislature 188 for redistricting in accordance with this subsection. 189 Section 4.Present subsection (3) of section 601.13, 190 Florida Statutes, is redesignated as subsection (5), and a new 191 subsection (3) and subsection (4) are added to that section, to 192 read: 193 601.13Citrus research; administration by Department of 194 Citrus; appropriation. 195 (3)An entity that solicits research proposals and awards 196 funding for those proposals expending funds received from the 197 State Treasury on citrus production research conducted pursuant 198 to chapter 573, as recommended by the Citrus Research and 199 Development Foundation, Inc., or conducted through contract with 200 the department shall deliver a report that includes all of the 201 following information to the commission biannually and at the 202 request of the commission: 203 (a)Project plans selected for funding. 204 (b)The financial status of the projects. 205 (c)Current findings of the funded research. 206 (d)Availability of citrus products or application of 207 growers practices found through funded research. 208 (e)The status of the commercialization process of such 209 products or practices. 210 (4)Before being released for sale to the general public, 211 any new variety of citrus fruit which is developed as a result 212 of any research or study accomplished using any percentage of 213 funds from the State Treasury as well as any technology that 214 enhances the marketability of new or current citrus varieties 215 must be made available as a first option for licensing and 216 commercialization for a period of 90 days, under commercially 217 reasonable terms, exclusively to the Florida Department of 218 Citrus or its designee. If the Florida Department of Citrus or 219 its designee exercises such exclusive license, the Florida 220 Citrus Commission may retain the exclusivity for up to 8 years 221 after the date of execution. 222 Section 5.Section 601.992, Florida Statutes, is amended to 223 read: 224 601.992Collection of dues and other payments on behalf of 225 certain nonprofit corporations engaged in market news and grower 226 education.The Department of Citrus or the Department of 227 Agriculture or their successors may collect or compel the 228 entities regulated by the Department of Citrus to collect dues, 229 contributions, or any other financial payment upon request by, 230 and on behalf of, any not-for-profit corporation and its related 231 not-for-profit corporations located in this state that receive 232 payments or dues from their members. Such not-for-profit 233 corporation must be engaged, to the exclusion of agricultural 234 commodities other than citrus, in market news and grower 235 education solely for citrus growers, and must have at least 236 2,500 5,000 members who are engaged in growing citrus in this 237 state for commercial sale. The Department of Citrus may adopt 238 rules to administer this section. The rules may establish 239 indemnity requirements for the requesting corporation and for 240 fees to be charged to the corporation that are sufficient but do 241 not exceed the amount necessary to ensure that any direct costs 242 incurred by the Department of Citrus in implementing this 243 section are borne by the requesting corporation and not by the 244 Department of Citrus. 245 Section 6.For the purpose of incorporating the amendment 246 made by this act to section 601.09, Florida Statutes, in a 247 reference thereto, subsection (1) of section 600.051, Florida 248 Statutes, is reenacted to read: 249 600.051Marketing agreements; powers of department. 250 (1)In order to effectuate the declared policy and purposes 251 of this act, the department shall have the power to enter into, 252 administer, and enforce marketing agreements with handlers and 253 distributors engaged in any one or more of the citrus districts 254 established in and by s. 601.09, in the handling and 255 distributing of citrus fruit in fresh fruit form or any variety 256 or varieties, grade, size, or quality thereof, regulating the 257 handling of such citrus fruit in the way and manner and to the 258 extent therein prescribed and agreed upon, which said marketing 259 agreements shall be binding only upon the signatories thereto 260 exclusively. The execution of any such marketing agreement shall 261 in no manner affect the issuance, administration, or enforcement 262 of any marketing order otherwise provided for by chapter 601, 263 and any marketing agreement executed hereunder shall be 264 ineffective to the extent that it is in conflict with any rule, 265 regulation, marketing order, or marketing agreement under any 266 federal law relating to the handling of citrus fruit grown in 267 Florida. 268 Section 7.For the purpose of incorporating the amendment 269 made by this act to section 601.13, Florida Statutes, in a 270 reference thereto, paragraph (b) of subsection (7) of section 271 601.15, Florida Statutes, is reenacted to read: 272 601.15Advertising campaign; methods of conducting; 273 assessments; emergency reserve fund; citrus research. 274 (7)All assessments levied and collected under this chapter 275 shall be paid into the State Treasury on or before the 15th day 276 of each month. Such moneys shall be accounted for in a special 277 fund to be designated as the Florida Citrus Advertising Trust 278 Fund, and all moneys in such fund are appropriated to the 279 department for the following purposes: 280 (b)Moneys in the Florida Citrus Advertising Trust Fund 281 shall be expended for the activities authorized by s. 601.13 and 282 for the cost of those general overhead, research and 283 development, maintenance, salaries, professional fees, 284 enforcement costs, and other such expenses that are not related 285 to advertising, merchandising, public relations, trade 286 luncheons, publicity, and other associated activities. The cost 287 of general overhead, maintenance, salaries, professional fees, 288 enforcement costs, and other such expenses that are related to 289 advertising, merchandising, public relations, trade luncheons, 290 publicity, and associated activities shall be paid from the 291 balance of the Florida Citrus Advertising Trust Fund. 292 Section 8.This act shall take effect July 1, 2022.