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: Provides for the membership and terms of appointment of the La. Rice Research
Board, provides for certain assessments to be levied, imposed, and collected on dry rough
"paddy" rice, provides for the payment of a refund, and repeals referenda for assessment
purposes.
Present law provides for the 13-member La. Rice Research Board to be appointed by the
governor for four-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 and adds the following two members to the board: (1) one
member appointed from a list of three persons nominated by the La. Independent Rice Producers
Assoc., and (2) the commissioner of agriculture or his designee, who will not be subject to
Senate confirmation. Removes the commissioner as an advisor to the board.
Present law provides for the board's four-year terms of office to begin July 1, 1988.
Proposed law changes the effective date for the four-year terms from July 1, 1988, to August 15,
2014.
Present law requires nominating entities to submit their respective list of nominees for
appointment consideration no later than 30 days prior to July 1, 1988, and every four years
thereafter.
Proposed law changes the date for commencement of four-year terms from July 1, 1988, to
August 15, 2014. Adds the La. Independent Rice Producers Assoc. as a nominating entity
required to submit a list of nominees by a certain date.
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.
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.
Proposed law provides that the refund be paid to the producer no later than 60 days after the
commissioner receives the producer's application for a refund. Further requires a two-thirds vote
of the legislature to repeal the refund.
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 five-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 five-year increments, subject to referenda.
Proposed law repeals present law.
(Amends R.S. 3:3543(B), (C), and (D), 3544(A)(1) and (3), (E), (F)(3) and (4), and (H)(1) and
3547(A); Repeals R.S. 3:3543(E) and 3544(A)(10), (B), and (H)(5))
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on Agriculture, Forestry,
Aquaculture, and Rural Development to the original bill.
1. Changed the appointing authority of the La. Rice Research Board from the
commissioner of agriculture to the governor.
2. Added two members to the 13-member board beginning Aug. 15, 2014, and removes
the advisor to the board.
3. Required the nominating entities to submit lists of nominees for appointment consideration not less than 30 days prior to Aug. 15, 2014, and every four years
thereafter.
4. Required the commissioner to pay a refund to the producer no later than 60 days after
receipt of the producer's application for a refund.
5. Required a two-thirds vote of the legislature to repeal the refund.