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Regular Session, 2014
HOUSE BILL NO. 1045
BY REPRESENTATIVE LEBAS
AGRICULTURE/RICE: Provides relative to assessments levied by the Louisiana Rice
Promotion Board
AN ACT1
To amend and reenact R.S. 3:3533(E), 3534(Section Heading), (A)(1) and (2), (G), and2
(H)(1), and 3537(A) and to repeal R.S. 3:3534(B) and (I), relative to the Louisiana3
Rice Promotion Board; to provide for the duties and responsibilities of the board; to4
provide for the levy of certain assessments; to provide for rice producer refunds; to5
provide for use and transfer of funds; to repeal the levy of additional assessments;6
to repeal authority for referenda for assessment purposes; and to provide for related7
matters.8
Be it enacted by the Legislature of Louisiana:9
Section 1. R.S. 3:3533(E), 3534(Section Heading), (A)(1) and (2), (G), and (H)(1),10
and 3537(A) are hereby amended and reenacted to read as follows:11
§3533. Creation and organization12
* * *13
E. The members of the board shall meet and organize immediately after their14
appointment and shall elect a chairman, vice chairman, and secretary-treasurer from15
the membership of the board. The duties of the officers shall be those customarily16
exercised by such officers or specifically designated by the board. The board may17
establish rules and regulations for its own government and the administration of the18
affairs of the board and shall have the following duties, functions, and authorizations19
in addition to and in conjunction with the aforenamed:20 HLS 14RS-1539 ORIGINAL
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(1) To plan and conduct, in such manner as the board may determine,1
referenda among producers for the approval or disapproval of the program in2
accordance with the provisions of this Chapter.3
(2) (1) To make recommendations and to advise the commissioner4
concerning rules and regulations relating to the administration of the collection of5
the assessments.6
(3) (2) To enter into contracts for rice promotion with rice promotion and7
other organizations relating to the production, handling, marketing, and utilization8
of rice, which rice promotion organizations may include nonprofit organizations of9
which members of the board are members.10
(4) (3) To keep minutes, books, and records which will clearly reflect all of11
its meetings, acts and transactions. The minutes, books, and records at all times shall12
be subject to examination by any rice producer on whom an assessment has been13
collected.14
(5) (4) To publicize the actions of the board in the news media serving the15
rice areas of Louisiana.16
(6) (5) To investigate and cause prosecution to be instituted for violation of17
the provisions of this Chapter.18
* * *19
§3534. Levy of assessment; referendum, collection, and enforcement; records;20
refunds; transfer of funds21
A. Levy of assessment.22
(1) There is hereby levied an assessment at the rate not to exceed of three23
cents per hundredweight, or the equivalent thereof, of dry rough "paddy" rice24
produced in this state and a rate not to exceed of two and seventy one-hundredths25
cents per hundredweight, or the equivalent thereof, on rice produced in this state and26
sold on a "green weight" basis.27
(2) The obligation to pay the assessment shall apply to the producer for all28
rice marketed by him. To facilitate collection, this assessment shall be deducted by29 HLS 14RS-1539 ORIGINAL
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each miller or handler from the amount paid the producer at the first point of sale1
only, whether within or without the state.; however, the assessment shall not be2
imposed unless and until the question of its imposition has been submitted to and3
been approved by a majority of the rice producers who vote in referendum as4
provided in Subsection B of this Section.5
* * *6
G. Refunds.7
(1) Any rice producer may request and receive a refund of the amount8
deducted from his share of the proceeds from the sale of his rice provided he makes9
a written application with the commissioner within thirty days from the date of sale10
supported by copies of sales slips signed by the producer and provided further that11
the application is filed before the annual accounting is made and the funds paid to12
the board.13
(2) Provided however, the refund as provided in this Subsection shall not be14
available if a majority of the rice producers who vote in a referendum to be called15
and held by the board after January 1, 1992, vote to abolish the refund provisions of16
this Subsection.17
(3) If a majority of the rice producers who vote in such a referendum vote18
to abolish the refund provisions, such refund provisions shall be null and void and19
shall thereafter have no effect.20
H. Transfer of funds.21
(1) The commissioner of agriculture shall annually monthly pay over to the22
Louisiana Rice Promotion Board the funds collected less the actual cost of23
administering and collecting the assessment levied herein up to but not to exceed two24
percent of the gross amount collected.25
* * *26
§3537. Use of funds27
A. After deduction from the proceeds of the assessment, the expenses of28
collection and administration, including costs of referenda, the board shall dedicate29 HLS 14RS-1539 ORIGINAL
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the balance to rice promotion. The board shall have the discretion as to what1
organizations and agencies to expend monies for such purposes. Use of these funds2
may be applied within or without outside of the state of Louisiana, including3
regional, national, and international applications.4
* * *5
Section 2. R.S. 3:3534(B) and (I) are hereby repealed in their entirety.6
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
LeBas HB No. 1045
Abstract: Clarifies the duties of the La. Rice Promotion Board, provides for certain
assessments to be levied and collected on dry rough "paddy" rice and rice sold on
"green weight" basis, provides for the transfer and use of funds, repeals the levy of
additional assessments, and repeals referenda for assessment purposes.
Present law empowers the La. Rice Promotion Board with the following duties:
(1)To plan and conduct referenda among producers for approval or disapproval of the
program.
(2)To advise the commissioner relative to the administration of the collection of
assessments.
(3)To enter into contracts for rice promotion, which may be with nonprofit
organizations to which members of the board may belong.
(4) To keep minutes, books, and records which reflect all meetings, acts, and
transactions which shall be subject to examination by any assessed rice producer.
(5)To publicize the actions of the board.
(6)To impose penalties for any violation of the provisions of present law.
Proposed law retains present law but removes the authority to plan and conduct referenda.
Present law provides for the levy of an assessment not to exceed 3¢ per hundredweight of
dry rough "paddy" rice and not to exceed 2.70¢ per hundredweight of "green-weight" rice,
which shall apply to all rice marketed by a producer. Further provides for the assessment
to be deducted by the miller or handler at the first point of sale. Additionally provides that
the assessment not be imposed unless approved by referendum vote of a majority of rice
producers.
Proposed law retains present law collection provisions but changes present law assessment
amount from a 0-to-3¢ range to 3¢ per hundredweight on dry rough "paddy" rice and
changes present law assessment amount from a 0-to-2.70¢ range to 2.70¢ per hundredweight
on "green weight" rice and removes present law referendum provision for assessment
purposes. HLS 14RS-1539 ORIGINAL
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Present law provides that any rice producer may receive a refund of the amount deducted
from the sale of his rice upon written application with the commissioner within 30 days from
the sale date supported by producer-signed copies of sales slips submitted prior to the
accounting and transfer of funds to the board. Further provides for a referendum vote of
rice producers to abolish the refund provisions which would render such refund null and
void.
Proposed law retains present law provision for an assessment refund subject to written
application with the commissioner within a certain time period but removes present law
referendum requirements to abolish refund provisions.
Present law provides for the commissioner to annually pay to the board the funds collected
less administrative costs not to exceed 2% of the gross amount collected.
Proposed law retains present law relative to the transfer of funds to the board but changes
present law fund transfer period from annually to monthly.
Present law authorizes the board to dedicate the balance of funds to rice promotion, less
expenses of collection and administration and costs of referenda. Further provides that the
board determines organizations and agencies to contract for promotion services within or
outside of the state.
Proposed law retains present law provisions relative to the expenditure of funds for rice
promotion and contracted services but removes present law provision for fund allowance to
defray costs of referenda.
Present law provides for the imposition of assessments, effective for five crop years and
extended indefinitely in five-year increments, only by referendum vote of a majority of rice
producers. Further provides for criteria for referendum participation and notification of
results.
Proposed law repeals present law.
Present law provides for additional assessments at a rate not to exceed 2¢ per hundredweight
on dry rough "paddy" rice and such assessment reduced by 10% on "green weight" rice.
Further provides that the additional assessments are subject to all other assessment
requirements including provisions for referenda and extension in five-year increments,
subject to referenda.
Proposed law repeals present law.
(Amends R.S. 3:3533(E), 3534(Section Heading), (A)(1) and (2), (G), and (H)(1), and
3537(A); Repeals R.S. 3:3534(B) and (I))