2009 California Food and Agricultural Code - Section 71120-71138 :: Article 6. Assessments And Records

71120.  (a) The commission shall establish the assessment for the
marketing season not later than September 1 of each year or as soon
thereafter as is possible. The assessment shall not exceed ten cents
($0.10) per hundredweight for rice delivered to handlers by
producers. Of the assessment, not more than five cents ($0.05) per
hundredweight shall be assessed against handlers, and not more than
five cents ($0.05) per hundredweight shall be assessed against
producers. The assessment rate shall be the same for handlers and
producers.
   (b) An assessment greater than the amount specified in subdivision
(a) may not be charged unless approved by a majority of the
commission and by handlers and producers pursuant to procedures
specified in Section 71101.

71121.  (a) This chapter does not apply to handlers of less than
100,000 hundredweight in any marketing season or to rice produced
only for a producer's home use or rice that is used only for
ornamental purposes.
   (b) If at any time during a marketing season the volume handled by
a handler reaches 100,000 hundredweight or more, the handler shall
be assessed for the initial 100,000 hundredweight and any additional
volume handled during the marketing season. If the assessments on the
initial 100,000 hundredweight are paid in the time and manner
specified by the commission, the assessments shall not be considered
past due.
   (c) Notwithstanding Section 71026, the 100,000 hundredweight
threshold established pursuant to this chapter shall remain in effect
unless a higher threshold is approved by a majority of the
commission and by those handlers remaining eligible under the
proposed threshold and producers pursuant to procedures specified in
Section 71101.

71122.  Any person requesting an exemption from this chapter shall
file an affidavit with the commission attesting that he or she is not
a handler, as defined in Section 71026, or produces rice only for
his or her own home use or for ornamental purposes. The affidavit
shall contain all the information required by the commission. The
commission shall review the affidavit, conduct any additional
investigation it deems appropriate, and approve or deny the
affidavit.

71123.  Every person who handles rice in any quantity shall keep a
complete and accurate record of all transactions involving the
purchase or sale of rice and shall submit the record to the
commission in the time and manner specified by the commission. The
records shall be in a simple form and contain the information that
the commission prescribes. The records shall be preserved by the
handler for a period of three years and shall be offered and
submitted for inspection at any reasonable time upon written demand
of the commission or its duly authorized agent.

71124.  (a) All proprietary information obtained or developed
pursuant to this article by the commission or the secretary from any
source, including, but not limited to, the names and addresses of
producers, is confidential and shall not be disclosed except when
required by a court order after a hearing in a judicial proceeding.
   (b) Information on volume shipments, crop value, and any other
related information that is required for reports to governmental
agencies, financial reports to the commission, or aggregate sales and
inventory information, and any other information that gives only
totals, but excludes individual information, may be disclosed by the
commission.

71125.  Any assessment that is levied as provided for in this
chapter is a personal debt of every person assessed.

71126.  (a) Only the first handler of rice is subject to the handler
assessment and shall deduct the producer assessment from amounts
paid by him or her to the producer and shall be a trustee of these
assessments and assessments required to be paid by the handler until
they are paid to the commission at the time and in the manner
prescribed by the commission. Title to the assessments shall pass
immediately to the commission and handlers shall hold the assessments
in trust for the benefit of the commission and shall remit them,
with assessment reports, in the time and manner specified by the
commission. All first handlers, without regard to the volume handled,
shall deduct and remit the producer assessment. Failure to collect
the assessment from any producer shall not exempt the handler from
liability. In addition, failure of a handler to remit the collected
producer assessments to the commission shall not relieve the producer
of this obligation.
   (b) If rice is forfeited under a loan from the Commodity Credit
Corporation, the handler shall pay both the producer and handler
assessments if the rice is contracted to the handler. If the handler'
s total volume for the marketing season is less than 100,000
hundredweight, only the producer assessment shall apply. If the rice
forfeited under a loan from the Commodity Credit Corporation is not
contracted to a handler, the producer shall pay both the handler and
producer assessments. If the total volume handled by the producer
during the marketing season is less than 100,000 hundredweight, only
the producer assessment shall apply.

71127.  When the handler or producer is a corporation, all of the
directors and officers of the corporation in their capacity as
individuals shall be included, and any liability for violating this
chapter, including, but not limited to, failing to pay assessments or
file required reports, shall also include identical liability upon
each director or officer of the corporation.

71128.  Any person who fails to file a return or pay any assessment
within the time required by the commission shall pay to the
commission a penalty of 10 percent of the amount of the assessment
determined to be due, and, in addition, shall pay 1 1/2 percent
interest per month on the unpaid balance.

71129.  In addition to any other penalty imposed, the commission may
require any person who fails to pay an assessment or related charge
pursuant to this article to furnish and maintain a surety bond in a
form and amount, and for a period of time, specified by the
commission as assurance that all payments to the commission will be
made when due.

71130.  It is a violation of state law for any person to do any of
the following:
   (a) Willfully render or furnish a false report, statement, or
record required by the commission.
   (b) Fail to render or furnish a report, statement, or record
required by the commission.
   (c) Secrete, destroy, or alter records required to be kept under
this chapter.

71131.  The commission shall establish procedures for the purpose of
according individuals aggrieved by its actions or determinations an
informal hearing before the commission or before a committee of the
commission designated for that purpose. Appeals from decisions of the
commission may be made to the secretary. The determination of the
secretary shall be subject to judicial review upon petition filed
with the appropriate superior court.

71132.  (a) The commission may commence civil actions and utilize
all remedies provided in law or equity for the collection of
assessments and civil penalties and for the obtaining of injunctive
relief or specific performance regarding this chapter and the
regulations adopted pursuant to this chapter. A court shall issue to
the commission any requested writ of attachment or injunctive relief
upon a prima facie showing by verified complaint that a named
defendant has violated this chapter or any other regulation of the
commission, including, but not limited to, the nonpayment of
assessments. No bond shall be required to be posted by the commission
as a condition for the issuance of any writ of attachment or
injunctive relief.
   (b) A writ of attachment shall be issued pursuant to Chapter 4
(commencing with Section 485.010) of Title 6.5 of Part 2 of the Code
of Civil Procedure, except that the showing specified in Section
485.010 of the Code of Civil Procedure is not required. Injunctive
relief shall be issued pursuant to Chapter 3 (commencing with Section
525) of Title 7 of Part 2 of the Code of Civil Procedure, except
that the showing of irreparable harm or inadequate remedy at law
specified in Sections 526 and 527 of the Code of Civil Procedure is
not required.
   (c) Upon entry of any final judgment on behalf of the commission
against any defendant, the court shall enjoin the defendant from
conducting any type of business regarding rice until there is full
compliance and satisfaction of the judgment. Upon a favorable
judgment for the commission, it shall be entitled to receive
reimbursement for any reasonable attorney's fees and other actual
related costs. Venue for these actions may be established at the
domicile or place of business of the defendant or in the county of
the principal office of the commission. The commission may be sued
only in the county of its principal office.

71133.  Any action by the commission for any violation of this
chapter shall be commenced within two years from the date of
discovery of the alleged violation. Any action against the commission
by any person shall be commenced within two years from the date of
the act of which the person complains.

71134.  The termination of this chapter shall not affect or waive
any right, duty, obligation, or liability that has arisen or that may
thereafter arise in connection with this chapter, release or
extinguish any violation of this chapter, or affect or impair any
right or remedies of the commission with respect to any violation.

71135.  (a) Every five years, commencing with the fifth marketing
season following the certification pursuant to Section 71104, the
secretary shall conduct a referendum among handlers and producers.
The operations of the commission shall continue unless the secretary
determines from the referendum that a majority of the eligible
handlers and a majority of the eligible producers voting in the
referendum voted in favor of terminating the operations of this
chapter.
   (b) If the secretary finds that the vote favors continuation, he
or she shall so certify and this chapter shall remain operative. If
the secretary finds that the vote favors termination, he or she shall
so certify and declare the operation of this chapter and the
commission suspended upon the expiration of the then current
marketing season. Thereupon, the operations of the commission shall
be concluded and funds distributed as provided in Section 71137.

71136.  (a) Upon a finding by a two-thirds vote of the membership of
the commission that the operation of this chapter has not tended to
effectuate its declared purposes, the commission may recommend to the
secretary that the operation of this chapter be suspended. However,
any suspension shall not become effective until the expiration of the
then current marketing season.
   (b) Upon the vote of the members of the commission specified in
subdivision (a), the secretary shall establish a referendum period,
which shall not be less than 10 days or more than 60 days in
duration. The secretary may prescribe additional procedures as may be
necessary to conduct the referendum. At the close of the established
referendum period, the secretary shall tabulate the ballots filed
during the period. The secretary shall suspend the operation of this
chapter if he or she finds any of the following has occurred:
   (1) Sixty-five percent or more of the handlers who voted in the
referendum voted in favor of suspension, and the handlers so voting
handled a majority of the total quantity of rice handled in the
preceding marketing season by all of the handlers voting in the
referendum.
   (2) A majority of the handlers who voted in the referendum voted
in favor of suspension, and the handlers so voting handled 65 percent
or more of the total quantity of rice handled in the preceding
marketing season by all of the handlers voting in the referendum.
   (3) Sixty-five percent or more of the producers who voted in the
referendum voted in favor of suspension, and the producers so voting
produced a majority of the total quantity of rice produced in the
preceding marketing season by all of the producers voting in the
referendum.
   (4) A majority of the producers who voted in the referendum voted
in favor of suspension, and the producers so voting produced 65
percent or more of the total quantity of rice produced in the
preceding marketing season by all of the producers voting in the
referendum.

71137.  After the effective date of suspension of this chapter, the
operation of the commission shall be concluded and all moneys held by
the commission not required to defray the expenses of concluding and
terminating operations of the commission shall be returned on a pro
rata basis to all persons from whom assessments were collected in the
immediately preceding marketing season. However, if the commission
finds that the amounts returnable are so small as to make impractical
the computation and remitting of the prorated refund to these
persons, any funds remaining after payment of all expenses of winding
up and terminating operations shall be withdrawn from the approved
depository and paid into an appropriate state or federal program
conducted or used to fund activities related to the subject matter of
this chapter. Upon suspension, any intellectual property owned by
the commission shall be transferred without charge to the secretary
who shall hold the property in trust for the benefit of the
California rice industry. The property shall be transferred without
charge to any successor program serving purposes similar to the
purposes of this chapter.

71138.  Upon suspension of the operation of this chapter, the
commission shall mail a copy of the notice of suspension to all
eligible persons affected by the suspension whose names and addresses
are on file.