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Regular Session, 2014
HOUSE BILL NO. 886
BY REPRESENTATIVE MONTOUCET
AGRICULTURE/RICE: Provides relative to assessments levied by the Louisiana Rice
Research Board
AN ACT1
To amend and reenact R.S. 3:3543(B), (C), and (D), 3544(Section Heading), (A)(1) and (3),2
(E), (F)(3) and (4), and (H)(1), and 3547(A), and to repeal R.S. 3: 3544(A)(10), (B),3
and (H)(5), relative to the Louisiana Rice Research Board; to provide for the4
appointing authority of the board and membership terms; to provide for the levy of5
certain assessments on dry rough "paddy" rice; to provide relative to the time period6
for the transfer of funds; to repeal authority for referenda for assessment purposes;7
and to provide for related matters.8
Be it enacted by the Legislature of Louisiana:9
Section 1. R.S. 3:3543(B), (C), and (D), 3544(Section Heading), (A)(1) and (3), (E),10
(F)(3) and (4), and (H)(1), and 3547(A) are hereby amended and reenacted to read as11
follows:12
§3543. Louisiana Rice Research Board; creation and organization13
* * *14
B. The board shall be composed of thirteen members appointed by the15
governor commissioner, subject to Senate confirmation. Each member shall be a rice16
producer. Members shall serve for four-year terms which shall begin on the first day17
of July in 1988 and each four years thereafter. Members shall be appointed in18
accordance with the following provisions:19
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C. Not less than thirty days prior to July 1, 1988, and every four years1
thereafter, the The Louisiana Farm Bureau, Inc., the Louisiana Rice Growers2
Association, and the American Rice Growers Cooperative Association each shall3
submit the names of their nominees, all of whom shall be rice producers, to the4
governor commissioner who shall appoint the required number of board members5
from each set of nominees. In the event that the governor commissioner fails to6
appoint the members of the board in accordance with this Section, the current7
members shall continue to serve until their replacements are appointed. Board8
members shall be eligible to succeed themselves on the board if they meet the9
prescribed qualifications and are reappointed by the governor commissioner.10
D. The members of the board shall meet and organize immediately after their11
appointment and shall elect a chairman, vice chairman, and secretary-treasurer from12
the membership of the board, whose duties shall be those customarily exercised by13
such officers or specifically designated by the board. The board may establish rules14
and regulations for its own government and the administration of the affairs of the15
board and shall have the following duties, functions, and authorizations in addition16
to and in conjunction with the aforenamed:17
(1) To plan and conduct referenda among producers for the approval or18
disapproval of the program in accordance with the provisions of this Chapter.19
(2) (1) To make recommendations and to advise the commissioner20
concerning rules and regulations relating to the administration of the collection of21
the assessments.22
(3) (2) To receive the funds from the state treasury in accordance with the23
provisions of this Chapter.24
(4) (3) To expend funds collected for rice research and to enter into contracts25
with rice research organizations and/or agencies relating to the production, handling,26
marketing, or utilization of rice for the purposes of research.27
(5) (4) To keep minutes, books, and records which will clearly reflect all of28
its meetings, acts, and transactions. Said minutes, books, and records shall at all29 HLS 14RS-1106 ORIGINAL
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times be subject to examination by any rice producer on whom an assessment has1
been collected.2
(6) (5) To publicize the actions of the board in the news media serving the3
rice areas of Louisiana.4
* * *5
§3544. Levy of assessment; referendum; collection; enforcement; transfer of funds6
A. Levy of assessment.7
(1) There is imposed and levied an assessment at the rate not to exceed of8
three cents per hundredweight, or the equivalent thereof, of dry rough "paddy" rice9
produced in this state.10
* * *11
(3) The obligation to pay the assessment shall apply to the producer for all12
rice marketed by him. To facilitate collection, this assessment is to be deducted by13
each miller or handler from the amount paid the producer at the first point of sale14
only, whether within or without outside the state; however, the assessment shall not15
be imposed unless and until the question of its imposition and the amount thereof has16
been submitted to and been approved by a majority of the rice producers who vote17
in referendum to be called and held by the board within ninety days following the18
effective date of this Chapter. If the assessment is approved as provided in this19
Section, the assessment shall become effective July 1, 1973.20
* * *21
E. Refunds.22
(1) Any rice producer may request and receive a refund of the amount23
deducted from his share of the proceeds from the sale of his rice provided he makes24
a written application with the commissioner within thirty days from the date of sale25
supported by copies of weight or settlement sheets by the buyer and provided further26
that the application is filed before the annual accounting is made and the funds paid27
to the board.28 HLS 14RS-1106 ORIGINAL
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(2) Provided however, the refund as provided in this Subsection shall not be1
available if a majority of the rice producers who vote in a referendum to be called2
and held by the board after January 1, 1992, vote to abolish the refund provisions of3
this Subsection.4
(3) If a majority of the rice producers who vote in such a referendum vote5
to abolish the refund provisions, such refund provisions shall be null and void and6
shall thereafter have no effect.7
F. Transfer of funds.8
* * *9
(3) The commissioner of agriculture shall annually monthly pay over to the10
Louisiana Rice Research Board the funds collected less the actual cost of11
administering and collecting the assessment levied herein up to but not to exceed two12
percent of the gross amount collected.13
(4) The annual monthly settlement to the Louisiana Rice Research Board14
shall be made as of the first day of July of each year and shall be accompanied by a15
complete audit of all funds collected and disbursed, and costs actually incurred in the16
collection and administration of the assessment.17
* * *18
H. Additional assessments.19
(1) In addition to all other assessments levied pursuant to this Section there20
is hereby levied an assessment at a rate not to exceed of two cents per21
hundredweight, or the equivalent thereof, on dry rough "paddy" rice produced in this22
state.23
* * *24
§3547. Use of funds25
A. The board shall dedicate, after deducting for administrative expenses, the26
amounts determined needed for rice research. The board shall have authority to27
contract for services in order to accomplish the purpose for which it is created. Use28
of these funds may be applied within or without outside the State of Louisiana,29 HLS 14RS-1106 ORIGINAL
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including regional, national and international applications as long as the research will1
benefit Louisiana rice producers. Such funds may also be used to defray costs or2
referenda.3
* * *4
Section 2. R.S. 3:3544(A)(10), (B) and (H)(5) are hereby repealed in their entirety.5
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)]
Montoucet HB No. 886
Abstract: Changes the appointing authority for the La. Rice Research Board and removes
the term of appointment, provides for certain assessments to be levied, imposed, and
collected on dry rough "paddy" rice, and repeals referenda for assessment purposes.
Present law provides for the 13-member La. Rice Research Board to be appointed by the
governor for 4-year terms from lists of nominees submitted by the La. Farm Bureau, the La.
Rice Growers Assoc., and the American Rice Growers Cooperative Assoc.
Proposed law retains present law relative to nominating entities but changes the present law
nominating authority from the governor to the commissioner and removes the 4-year term
of appointment.
Present law provides for board members to elect certain officers, establish rules and
regulations, and be empowered with the following duties:
(1) To plan and conduct referenda among producers for the approval or disapproval of the
program.
(2) To receive funds from the state treasury.
(3) To make recommendations to the commissioner concerning rules and regulations
relative to the collection of the assessment.
(4) To expend collected funds for rice research and enter into contracts with certain
organizations for purposes of rice research.
(5) To keep accurate minutes, books, and records reflective of all meetings, acts, and
transactions which are subject to examination by any rice producer.
(6) To publicize board actions in news media serving the rice areas of the state.
Proposed law retains present law provisions for the election of officers, establishment of
rules and regulations and certain duties but removes the present law board duty to plan and
conduct referenda for program purposes.
Present law provides for an assessment to be levied and imposed at a rate not to exceed 3¢
per hundredweight of dry rough "paddy" rice to be collected at the first point of sale. Further
provides that the assessment not be imposed until its imposition and the amount thereof has
been submitted to a majority of rice producers in a referendum vote. HLS 14RS-1106 ORIGINAL
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Proposed law retains present law collection provisions but changes the present law
assessment amount from a 0-to-3¢ range to 3¢ per hundredweight on dry rough "paddy" rice
and removes the present law referendum provision for assessment purposes.
Present law provides for an assessment refund pursuant to a written application with the
commissioner within 30 days from the date of the sale and prior to the annual accounting and
transfer of funds to the board. Further provides for a referendum vote of the producers to
abolish the refund provisions which would render such refund null and void.
Proposed law retains the 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 transfer to the board funds collected
less administrative costs in an amount not to exceed 2% of the gross amount collected.
Further provides that the annual settlement to the board be accompanied by a complete audit
of all funds collected and disbursed.
Proposed law retains present law relative to the transfer of funds to the board with the
accompanying audit but changes the present law fund transfer period from annually to
monthly.
Present law provides for the levy of an additional assessment at a rate not to exceed 2¢ per
hundredweight on dry rough "paddy" rice.
Proposed law changes the present law additional assessment rate from a 0-to-2¢ range to 2¢
per hundredweight.
Present law authorizes the board to determine an amount needed for rice research and to
contract for services to accomplish such need. Further provides for the application of funds
within or outside of the state subject to the benefit of La. rice producers. Additionally allows
use of funds to defray costs or referenda.
Proposed law retains the present law provisions relative to the expenditure of funds for rice
research and contracted services but removes the present law provision for fund allowance
to defray costs or referenda.
Present law allows the assessment on rice to be extended indefinitely in 5-year increments
by approval in a referendum vote of rice producers.
Proposed law repeals present law.
Present law provides for the imposition of the assessment only by referendum vote of a
majority of rice producers. Further provides for criteria for participation in a referendum and
for notification of the referendum results.
Proposed law repeals present law.
Present law provides that additional assessments be subject to all other assessment
requirements including provisions for referenda and extension in 5-year increments, subject
to referenda.
Proposed law repeals present law.
(Amends R.S. 3:3543(B), (C), and (D), 3544(Section Heading), (A)(1) and (3), (E), (F)(3)
and (4), and (H)(1); Repeals R.S. 3:3544(A)(10), (B) and (H)(5))