*ES0129.1* February 8, 2022 ENGROSSED SENATE BILL No. 129 _____ DIGEST OF SB 129 (Updated February 7, 2022 11:25 am - DI 140) Citations Affected: IC 15-15; noncode. Synopsis: Seed tests. Requires the state seed commissioner to charge fees for testing seed for purity and germination that are commensurate with fees that are standard in the seed testing industry. Repeals certain requirements for agricultural seed in packages that are not more than one pound. Provides that $25 is the minimum fee to register pure or mixed cultures of microorganisms and materials with the state chemist. Allows the state chemist to adopt rules to establish fees that are necessary for the administration of certain laws concerning the sale and transfer of plant cultures, including costs of inspections, registration of products, and product analysis. Voids rules concerning fees for seed analysis, testing, and examination. Effective: July 1, 2022. Leising, Glick (HOUSE SPONSORS — LEHE, AYLESWORTH, BAIRD) January 4, 2022, read first time and referred to Committee on Agriculture. January 11, 2022, reported favorably — Do Pass. January 13, 2022, read second time, ordered engrossed. Engrossed. January 18, 2022, read third time, passed. Yeas 47, nays 0. HOUSE ACTION January 31, 2022, read first time and referred to Committee on Agriculture and Rural Development. February 8, 2022, reported — Do Pass. ES 129—LS 6295/DI 77 February 8, 2022 Second Regular Session of the 122nd General Assembly (2022) PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type. Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution. Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2021 Regular Session of the General Assembly. ENGROSSED SENATE BILL No. 129 A BILL FOR AN ACT to amend the Indiana Code concerning agriculture and animals. Be it enacted by the General Assembly of the State of Indiana: 1 SECTION 1. IC 15-15-1-27, AS AMENDED BY P.L.75-2010, 2 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 3 JULY 1, 2022]: Sec. 27. (a) The state seed commissioner shall 4 administer this chapter. The state seed commissioner may authorize an 5 agent to act for the state seed commissioner under this chapter. 6 (b) The state seed commissioner may do any of the following to 7 administer this chapter: 8 (1) Sample, inspect, analyze, and test agricultural and vegetable 9 seed distributed within Indiana for seeding and sowing purposes, 10 when, where, and to the extent the state seed commissioner 11 considers necessary to determine whether the agricultural or 12 vegetable seed is in compliance with this chapter. 13 (2) Notify a seed distributor of any violations of this chapter. 14 (3) Adopt rules: 15 (A) governing: 16 (i) methods of sampling, inspecting, analyzing, testing, and 17 examining agricultural and vegetable seed; and ES 129—LS 6295/DI 77 2 1 (ii) tolerances to be followed in the administration of this 2 chapter; and 3 (B) necessary for the efficient enforcement of this chapter. 4 (4) Adopt rules to establish lists of prohibited and restricted 5 noxious weeds. 6 (5) Adopt rules to establish reasonable standards of germination 7 (as defined by rule adopted under section 28 of this chapter) for 8 vegetable seed. 9 (6) Adopt rules to establish standards for the effectiveness of 10 legume inoculant applied to pre-inoculated seed. 11 (7) Adopt rules to govern the treatment of seed and the labeling 12 and distribution of treated seed. 13 (8) Publish at least one (1) time each year, in the form the seed 14 commissioner considers proper, information concerning: 15 (A) the sales of agricultural and vegetable seed; and 16 (B) the results of the analysis of official samples of 17 agricultural and vegetable seed sold within Indiana as 18 compared with the analysis guaranteed on the label. 19 Information concerning production and use of agricultural and 20 vegetable seed may not disclose the operation of any person. 21 (9) Enter any: 22 (A) public or private property during regular business hours; 23 or 24 (B) vehicle that transports seed, whether by land, water, or air, 25 at any time the vehicle is accessible; 26 to inspect seed and the records relating to the seed, subject to this 27 chapter and the rules adopted under this chapter. 28 (10) As used in this subdivision, "stop sale order" refers to a 29 written order issued by the state seed commissioner to the owner 30 or custodian of a lot of agricultural or vegetable seed that the state 31 seed commissioner has found violates this chapter or rules 32 adopted under this chapter. The state seed commissioner may 33 issue and enforce stop sale orders. A stop sale order prohibits the 34 future sale, processing, and movement of the seed until the state 35 seed commissioner issues a release from the stop sale order. The 36 owner or custodian of the seed is entitled to appeal a stop sale 37 order to a court with jurisdiction in the locality in which the seed 38 is found, as provided in IC 4-21.5, seeking a judgment as to the 39 justification for the order for the discharge of the seed from the 40 stop sale order in accordance with the findings of the court. This 41 subdivision does not limit the right of the state seed commissioner 42 to proceed as otherwise authorized by this chapter. ES 129—LS 6295/DI 77 3 1 (11) Establish and maintain or make provisions for seed testing 2 facilities. 3 (12) Employ qualified persons. 4 (13) Incur necessary expenses. 5 (14) Test or provide for testing seed for purity and germination 6 (as defined by rule adopted under section 28 of this chapter) for 7 farmers and dealers on request of a farmer or dealer and: 8 (A) prescribe rules governing such testing; and 9 (B) charge for the tests made. 10 Without adopting a rule, the state seed commissioner shall 11 charge fees that are commensurate with fees that are 12 standard in the seed testing industry. 13 (15) Cooperate with the United States Department of Agriculture 14 and other agencies in seed law enforcement. 15 (16) Enter the property of a producer of hybrid seed to determine 16 whether the seed produced is as the seed is represented. 17 (17) Issue a written special use permit to a person to use a 18 prohibited noxious weed seed or a restricted noxious weed seed 19 for purposes of research, development, production, or education, 20 subject to subsection (c). 21 (18) Adopt rules under IC 4-22-2 to establish fees that are 22 necessary for the administration of this chapter, including costs of 23 inspections, analysis, and publications. 24 (19) Adopt rules under IC 4-22-2 to establish civil fines for the 25 following: 26 (A) Failure to submit a report required under this chapter. 27 (B) Failure to pay a fee required under this chapter. 28 (c) The seed commissioner, in response to an application for the 29 issuance of a special use permit under subsection (b)(17), may: 30 (1) issue a special use permit; 31 (2) issue a special use permit subject to conditions; or 32 (3) deny a special use permit request. 33 In determining whether to issue a special use permit, the seed 34 commissioner shall consider each species of prohibited noxious weed 35 or restricted noxious weed separately. The seed commissioner may 36 revoke a special use permit at any time if it appears that the permit 37 holder is not complying with the conditions established under the 38 special use permit. 39 SECTION 2. IC 15-15-1-34, AS AMENDED BY P.L.75-2010, 40 SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 41 JULY 1, 2022]: Sec. 34. (a) A distributor of agricultural seed in 42 packages of not more than one (1) pound shall pay not later than ES 129—LS 6295/DI 77 4 1 January 15 of each year an annual fee of forty-five dollars ($45) for 2 each brand of seed distributed. Payment of an annual fee is not required 3 of retailers who furnish quantities of not more than one (1) pound from 4 a properly labeled container of seed on which the inspection fee has 5 been paid. 6 (b) (a) A person who distributes agricultural or vegetable seed in 7 Indiana may apply to the state seed commissioner for a permit to use 8 the person's own labeling, report the quantity of seed sold, and pay the 9 inspection fee on the basis of the report. 10 (c) (b) In making application for a permit under subsection (b), (a), 11 the distributor must agree to the following: 12 (1) Label the seed with the information required by law. 13 (2) Keep the records the state seed commissioner considers 14 necessary to indicate accurately the number and size of containers 15 of each kind of agricultural and vegetable seed distributed and the 16 quantity of such seed distributed in bulk. 17 (3) Grant the state seed commissioner or the state seed 18 commissioner's authorized representative permission to examine 19 the records described in subdivision (2) and verify the statement 20 of quantity of seed distributed. 21 (4) Report under oath to the state seed commissioner on forms 22 furnished by the state seed commissioner the quantity of 23 agricultural and vegetable seed sold during the period covered. 24 (d) (c) The state seed commissioner may grant a permit under 25 subsection (b) (a) if the state seed commissioner determines that the 26 applicant's proposed report of the quality of agricultural and vegetable 27 seed sold will lead to efficient enforcement of this chapter. The state 28 seed commissioner may revoke the permit at any time if it appears to 29 the state seed commissioner that the distributor is not complying with 30 the agreement described in subsection (c) (b) or this chapter. If: 31 (1) the report is not filed and the inspection fee not paid before 32 ten (10) days following the due date; 33 (2) the report of volume is false; or 34 (3) the labeling requirements of this chapter have not been 35 complied with; 36 the state seed commissioner may revoke the permit. If the inspection 37 fee is unpaid after the ten (10) day grace period, a penalty shall be 38 assessed in the amount of ten percent (10%) in addition to the amount 39 due. 40 (e) (d) The report of quantity sold required under subsection (c)(4) 41 (b)(4) is due, and the inspection fees required under this chapter are 42 payable, semiannually on the last day of the month following the end ES 129—LS 6295/DI 77 5 1 of the semiannual period. The first half reporting period ends June 30 2 and the second half reporting period ends December 31. 3 SECTION 3. IC 15-15-2-6, AS ADDED BY P.L.2-2008, SECTION 4 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 5 2022]: Sec. 6. (a) The state chemist shall charge, collect, and receive 6 the sum a minimum fee of twenty-five dollars ($25): 7 (1) at the time of registering a pure or mixed culture of 8 microorganisms or materials described in section 3 of this chapter 9 for each material or culture registered; and 10 (2) not later than the fifteenth day of January of each succeeding 11 year until the pure or mixed cultures of microorganisms or 12 material is no longer sold, distributed, offered, or displayed for 13 sale in Indiana. 14 (b) Money received under subsection (a) must be forwarded to the 15 treasurer of Purdue University, who shall expend the money on 16 vouchers to be filed with the auditor of state to pay all necessary 17 expenses incurred in implementing this chapter, including: 18 (1) the employment of inspectors, chemists, and bacteriologists; 19 (2) the expenses incurred in procuring samples; 20 (3) printing bulletins; and 21 (4) giving the results of inspections, as provided by this chapter; 22 and for any other expenses of Purdue University agricultural programs, 23 as authorized by law and in support of the purposes of this chapter. 24 (c) The dean of agriculture of Purdue University shall submit to the 25 governor an annual classified report showing the total receipts and 26 expenditures of all fees received under this chapter. 27 (d) Excess funds from the collection of fees under this chapter are 28 subject to IC 15-16-2-36. 29 SECTION 4. IC 15-15-2-9, AS ADDED BY P.L.2-2008, SECTION 30 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 31 2022]: Sec. 9. (a) The state chemist may: 32 (1) prescribe and enforce rules necessary to implement this 33 chapter; 34 (2) refuse to issue a permit; or 35 (3) refuse to register or cancel the registration of any product used 36 for promoting plant growth or any pure or mixed cultures of 37 microorganisms or materials used for promoting plant growth if 38 the state chemist believes the product, cultures, or materials: 39 (A) are registered under a name that would be misleading as 40 to the materials of which they are made; or 41 (B) are sold under false or misleading claims. 42 (b) The state chemist may adopt rules under IC 4-22-2 to ES 129—LS 6295/DI 77 6 1 establish fees that are necessary for the administration of this 2 chapter, including costs of inspections, registration of products, 3 and product analysis. 4 SECTION 5. [EFFECTIVE JULY 1, 2022] (a) 360 IAC 1-7-1 and 5 360 IAC 1-7-2 are void. The publisher of the Indiana 6 Administrative Code and Indiana Register shall remove these 7 sections from the Indiana Administrative Code. 8 (b) This SECTION expires July 1, 2023. ES 129—LS 6295/DI 77 7 COMMITTEE REPORT Madam President: The Senate Committee on Agriculture, to which was referred Senate Bill No. 129, has had the same under consideration and begs leave to report the same back to the Senate with the recommendation that said bill DO PASS. (Reference is to SB 129 as introduced.) LEISING, Chairperson Committee Vote: Yeas 8, Nays 0 _____ COMMITTEE REPORT Mr. Speaker: Your Committee on Agriculture and Rural Development, to which was referred Senate Bill 129, has had the same under consideration and begs leave to report the same back to the House with the recommendation that said bill do pass. (Reference is to SB 129 as printed January 12, 2022.) LEHE Committee Vote: Yeas 13, Nays 0 ES 129—LS 6295/DI 77