§ 7416. — Assessments.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 7USC7416]
TITLE 7--AGRICULTURE
CHAPTER 101--AGRICULTURAL PROMOTION
SUBCHAPTER II--ISSUANCE OF ORDERS FOR PROMOTION, RESEARCH, AND
INFORMATION ACTIVITIES REGARDING AGRICULTURAL COMMODITIES
Sec. 7416. Assessments
(a) Assessments authorized
While an order issued under this subchapter is in effect with
respect to an agricultural commodity, assessments shall be--
(1) paid by first handlers with respect to the agricultural
commodity produced and marketed in the United States; and
(2) paid by importers with respect to the agricultural commodity
imported into the United States, if the imported agricultural
commodity is covered by the order pursuant to section 7415(f) of
this title.
(b) Collection
Assessments required under an order shall be remitted to the board
established under the order at the time and in the manner prescribed by
the order.
(c) Limitation on assessments
Not more than 1 assessment may be levied on a first handler or
importer under subsection (a) of this section with respect to any
agricultural commodity.
(d) Assessment rates
The board shall recommend to the Secretary 1 or more rates of
assessment to be levied under subsection (a) of this section. If
approved by the Secretary, the rates shall take effect. An order may
provide that an assessment rate may not be increased unless approved by
a referendum conducted pursuant to section 7417 of this title.
(e) Late-payment and interest charges
(1) In general
Late-payment and interest charges may be levied on each person
subject to an order who fails to remit an assessment in accordance
with subsection (b) of this section.
(2) Rate
The rate for the charges shall be specified by the Secretary.
(f) Investment of assessments
Pending disbursement of assessments under a budget approved by the
Secretary, a board may invest assessments collected under this section
in--
(1) obligations of the United States or any agency of the United
States;
(2) general obligations of any State or any political
subdivision of a State;
(3) interest-bearing accounts or certificates of deposit of
financial institutions that are members of the Federal Reserve
System; or
(4) obligations fully guaranteed as to principal and interest by
the United States.
(g) Refund of assessments from escrow account
(1) Escrow account
During the period beginning on the effective date of an order
and ending on the date the Secretary announces the results of a
referendum that is conducted under section 7417(b)(1) of this title
with respect to the order, the board established under the order
shall--
(A) establish and maintain an escrow account of the kind
described in subsection (f)(3) of this section to be used to
refund assessments; and
(B) deposit funds in the account in accordance with
paragraph (2).
(2) Amount to be deposited
The board shall deposit in the account an amount equal to 10
percent of the assessments collected during the period referred to
in paragraph (1).
(3) Right to receive refund
Subject to paragraphs (4), (5), and (6), persons subject to an
order shall be eligible to demand a refund of assessments collected
during the period referred to in paragraph (1) if--
(A) the assessments were remitted on behalf of the person;
and
(B) the order is not approved in the referendum.
(4) Form of demand
The demand for a refund shall be made at such time and in such
form as specified by the order.
(5) Payment of refund
A person entitled to a refund shall be paid promptly after the
board receives satisfactory proof that the assessment for which the
refund is demanded was paid on behalf of the person who makes the
demand.
(6) Proration
If the funds in the escrow account required by paragraph (1) are
insufficient to pay the amount of all refunds that persons subject
to an order otherwise would have a right to receive under this
subsection, the board shall prorate the amount of the funds among
all the persons.
(7) Closing of escrow account
If the order is approved in a referendum conducted under section
7417(b)(1) of this title--
(A) the escrow account shall be closed; and
(B) the funds shall be available to the board for
disbursement as authorized in the order.
(Pub. L. 104-127, title V, Sec. 517, Apr. 4, 1996, 110 Stat. 1042.)
Section Referred to in Other Sections
This section is referred to in sections 7414, 7415, 7417 of this
title.
