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H0683...............................................by AGRICULTURAL AFFAIRS
POTATO COMMISSION - Repeals, adds to and amends existing law to revise the
powers and duties of the Potato Commission; to authorize and direct the
Potato Commission to disseminate certain information relating to commodity
facts and benefits; and to provide for the deposit of penalties.
02/13 House intro - 1st rdg - to printing
02/16 Rpt prt - to Agric Aff
02/19 Rpt out - rec d/p - to 2nd rdg
02/20 2nd rdg - to 3rd rdg
02/24 3rd rdg - PASSED - 63-0-7
AYES -- Barraclough, Barrett, Bauer, Bayer, Bedke, Bell, Black,
Block, Boe, Bolz, Bradford, Campbell, Cannon, Clark, Collins, Cuddy,
Deal, Denney, Douglas, Edmunson, Ellsworth, Eskridge, Field(18),
Field(23), Gagner, Garrett, Henbest, Jaquet, Jones, Kellogg, Kulczyk,
Lake, Langford, Langhorst, Martinez, McGeachin, McKague, Meyer,
Miller, Mitchell, Moyle, Naccarato, Nielsen, Pasley-Stuart, Raybould,
Ridinger, Ring, Ringo, Robison, Rydalch, Sali, Sayler, Schaefer,
Shepherd, Shirley, Skippen, Smith(30), Smith(24), Smylie, Snodgrass,
Stevenson, Wills, Wood
NAYS -- None
Absent and excused -- Andersen, Crow, Eberle, Harwood, Roberts,
Trail, Mr. Speaker
Floor Sponsor - Field(23)
Title apvd - to Senate
02/25 Senate intro - 1st rdg - to Agric Aff
03/08 Rpt out - rec d/p - to 2nd rdg
03/09 2nd rdg - to 3rd rdg
03/17 3rd rdg - PASSED - 35-0-0
AYES -- Andreason, Bailey, Brandt, Bunderson, Burkett, Burtenshaw,
Calabretta, Cameron, Compton, Darrington, Davis, Gannon, Geddes,
Goedde, Hill, Ingram, Kennedy, Keough, Little, Lodge, Malepeai,
Marley, McKenzie, McWilliams, Noble, Noh, Pearce, Richardson,
Schroeder, Sorensen, Stegner, Stennett, Sweet, Werk, Williams
NAYS -- None
Absent and excused -- None
Floor Sponsor - Burtenshaw
Title apvd - to House
03/18 To enrol - Rpt enrol - Sp signed
03/19 Pres signed - To Governor
03/23 Governor signed
Session Law Chapter 188
Effective: 03/23/04
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-seventh Legislature Second Regular Session - 2004
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 683
BY AGRICULTURAL AFFAIRS COMMITTEE
1 AN ACT
2 RELATING TO THE IDAHO POTATO COMMISSION; REPEALING SECTION 22-1201, IDAHO
3 CODE; AMENDING CHAPTER 12, TITLE 22, IDAHO CODE, BY THE ADDITION OF A NEW
4 SECTION 22-1201, IDAHO CODE, TO PROVIDE LEGISLATIVE INTENT; AMENDING SEC-
5 TION 22-1207, IDAHO CODE, TO REVISE THE POWERS AND DUTIES OF THE POTATO
6 COMMISSION, TO PROVIDE CORRECT TERMINOLOGY AND TO PROVIDE CORRECT CODE
7 REFERENCES; AMENDING SECTION 22-1208, IDAHO CODE, TO AUTHORIZE AND DIRECT
8 THE POTATO COMMISSION TO DISSEMINATE CERTAIN INFORMATION RELATING TO COM-
9 MODITY FACTS, BENEFITS AND PROMOTION AND TO MAKE TECHNICAL CORRECTIONS;
10 AMENDING SECTION 22-1213, IDAHO CODE, TO PROVIDE FOR THE DEPOSIT OF CER-
11 TAIN PENALTIES IN THE GENERAL FUND OF THE IDAHO POTATO COMMISSION; AMEND-
12 ING SECTION 49-417C, IDAHO CODE, TO PROVIDE A CORRECT CODE REFERENCE; AND
13 DECLARING AN EMERGENCY.
14 Be It Enacted by the Legislature of the State of Idaho:
15 SECTION 1. That Section 22-1201, Idaho Code, be, and the same is hereby
16 repealed.
17 SECTION 2. That Chapter 12, Title 22, Idaho Code, be, and the same is
18 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
19 ignated as Section 22-1201, Idaho Code, and to read as follows:
20 22-1201. LEGISLATIVE INTENT. It is in the best interest of all the people
21 of the state of Idaho that the abundant natural resources of Idaho be pro-
22 tected, fully developed, and uniformly distributed. The potato industry is one
23 of the agricultural industries that contributes to the economic welfare of the
24 state. It is the purpose of this chapter to promote the public health and wel-
25 fare of the citizens of the state by providing means for the protection, pro-
26 motion, study, research, analysis and development of markets relating to the
27 growing and promotion of Idaho potato products and byproducts.
28 SECTION 3. That Section 22-1207, Idaho Code, be, and the same is hereby
29 amended to read as follows:
30 22-1207. POWERS AND DUTIES OF COMMISSION. The powers and duties of the
31 commission shall include the following:
32 (1.) To adopt and from time to time alter, rescind, modify and/or amend
33 all proper and necessary rules and orders for the exercise of its powers and
34 the performance of its duties under this act chapter.
35 (2.) To contract and be contracted with.
36 (3.) To employ and at its pleasure discharge an advertising manager,
37 agents, advertising agencies personnel, and such other help as it deems neces-
38 sary and to outline their powers and duties and fix their compensation.
39 (4.) To make in the name of the commission such advertising contracts and
40 other agreements as may be necessary.
2
1 (5.) To keep books, records and accounts of all its doings, which books,
2 records and accounts shall be open to inspection by the state controller at
3 all times.
4 (6.) To purchase or authorize the purchase of all office equipment and
5 supplies and to incur all other reasonable and necessary expenses and obliga-
6 tions in connection with and required for the proper carrying out of the pro-
7 visions of this act chapter.
8 (7.) To cooperate with any local, state or national organization or
9 agency, whether voluntary or created by the law of any state, or the United
10 States government, engaged in work or activity similar to the work and activi-
11 ties of the commission, and to enter into contracts and agreements with such
12 organizations or agencies for carrying on a joint campaign of research, educa-
13 tion, product protection, promotion and reciprocal enforcement of these objec-
14 tives.
15 (8) To investigate and prosecute in the name of the state of Idaho viola-
16 tions of this chapter or any suit or action for the collection of fees, taxes
17 or penalties as hereinafter provided, or to protect brands, marks, packages,
18 brand names, trademarks, certification marks or other intellectual property
19 rights being promoted or used by the commission.
20 (9) To lease, purchase or own the real or personal property deemed neces-
21 sary in the administration of this chapter.
22 (10) To define and describe such grade or grades of potatoes that may be
23 advertised in accordance with the provisions of this act chapter.
24 8.(11) To define and designate the character of the brands, labels,
25 stencils, or other distinctive marks under which said potatoes may be marketed
26 promoted in order to secure the greatest returns to producers. and meet the
27 requirements of their advertising campaign.
28 9.(12) To devise and require the application of either a seal, label,
29 brand, package, or any other suitable device that will protect the identity of
30 the original Idaho pack of potatoes as near to the final consumer as possible.
31 10.(13) Whenever and wherever it deems it to be necessary the commission
32 shall use its offices to prevent any substitution of other potatoes for Idaho
33 potatoes and to prevent the misrepresentation, mislabeling or the misbranding
34 of Idaho potatoes at any and all times at any and all points where they dis-
35 cover the same is being done and to require the disclosure of the growing area
36 of origin upon potato containers by all persons doing business in the state of
37 Idaho.
38 11.(14) To require all those using any of the Idaho potato trade or certi-
39 fication marks, or handling or packing potatoes grown in Idaho, to execute an
40 agreement in the form prescribed by the commission to ensure compliance with
41 the provisions of this chapter.
42 12.(15) To devise a suitable system for tracking shipments of Idaho pota-
43 toes and Idaho potato products to prevent the misrepresentation, mislabeling
44 or the misbranding of Idaho potatoes.
45 13.(16) To prevent the unlicensed use of the Idaho potato trade or certi-
46 fication marks including, but not limited to, the marks "Grown in Idaho,"
47 "Famous Idaho Potatoes" and "Idaho Potatoes."
48 14.(17) To make, conduct or carry on studies and research in connection
49 with the raising, production and marketing promotion of potatoes, including
50 study and research dealing with the industrial and other uses of potatoes and
51 their by-products byproducts, and the extension and stabilization of markets
52 for such commodities; to disseminate information with respect to such study
53 and research as a part of the commission's advertising, publicity and sales
54 promotional activities authorized by this act chapter and to assist, aid and
55 educate growers, dealers and handlers in the raising, production and marketing
3
1 promotion of potatoes.
2 15.(18) To require all persons with their principal place of business
3 located in the state of Idaho to pay a one hundred dollar ($100) annual
4 license fee for use of any Idaho potato trade or certification mark and to
5 require all persons with their principal place of business located outside of
6 the state of Idaho to pay a three hundred dollar ($300) annual license fee for
7 use of any Idaho potato trade or certification mark.
8 For the accomplishment of such ends the commission is hereby empowered to
9 employ the necessary persons or contract for the performance of required ser-
10 vices; to cooperate with any organization of growers in this state, whether
11 organized by authority of law or voluntary, engaged in carrying on similar
12 activities and to participate jointly with any such organization, by contract
13 or otherwise, in financing such study and research or paying for the employ-
14 ment of persons or services required or in carrying out projects and programs
15 as herein contemplated; provided, however, expenditures authorized by the com-
16 mission for the purposes herein mentioned shall not exceed an amount equal to
17 twelve and one-half percent (12 1/2%) of the tax collected on potatoes levied
18 and imposed pursuant to section 22-1211, Idaho Code.
19 Provided, further, that none of the powers specified in subsection 14.(17)
20 of this section shall be exercised, and no expenditure of revenue as provided
21 in subsection 14.(17) of this section shall be authorized except upon the
22 affirmative vote of six (6) or more of the members of the commission.
23 16.(19) The commission, in furtherance of its duties under this act chap-
24 ter and under its rules, shall have the power to administer oaths, certify to
25 official acts and to issue subpoenas for the attendance of witnesses and the
26 production of papers, books, accounts, documents and testimony. The commission
27 may, if a witness refuses to attend or testify, or to produce any papers
28 required by such subpoenas, report to the district court in and for the county
29 in which the proceeding is pending, by petition, setting forth that due notice
30 has been given of the time and place of attendance of said witnesses, or the
31 production of said papers, that the witness has been properly summoned, and
32 that the witness has failed and refused to attend or produce the papers
33 required by this subpoena before the commission, or has refused to answer
34 questions propounded to him in the course of said proceedings, and ask an
35 order of said court compelling the witness to attend and testify and produce
36 said papers before the commission. The court, upon the petition of the commis-
37 sion, shall enter an order directing the witness to appear before the court at
38 a time and place to be fixed by the court in such order, the time to be not
39 more than ten (10) days from the date of the order, and then and there shall
40 show cause why he had not attended and testified or produced said papers
41 before the commission. A copy of said order shall be served upon said witness.
42 If it shall appear to the court that said subpoena was regularly issued by the
43 commission and regularly served, the court shall thereupon order that said
44 witness appear before the commission at the time and place fixed in said
45 order, and testify or produce the required papers. Upon failure to obey said
46 order, said witness shall be dealt with for contempt of court. Provided that
47 in proceedings before the commission where evidence is sought from witnesses
48 who are not residents of this state, the commission is authorized to obtain
49 subpoenas issued by the clerk of the district court. Subpoenas so requested
50 shall be issued by the clerk of the district court under the seal of the
51 court, shall state the name of the court and the title of the administrative
52 action, and shall command each person to whom it is directed to attend and
53 give testimony at a time and place therein specified. Subpoenas shall be used
54 only to require attendance of a witness at a deposition or hearing. The clerk
55 shall issue a subpoena or a subpoena for the production of documentary evi-
4
1 dence, signed and sealed but otherwise in blank, to a party requesting it, who
2 shall fill it in before service.
3 SECTION 4. That Section 22-1208, Idaho Code, be, and the same is hereby
4 amended to read as follows:
5 22-1208. ADVERTISING, PUBLICITY AND SALES PROMOTION COMMODITY FACTS AND
6 BENEFITS -- PROMOTION. The commission shall plan and conduct a campaign for
7 commodity advertising, publicity and sales promotion to increase the consump-
8 tion of potatoes and may contract for any advertising, publicity and sales
9 promotion service. To accomplish such purpose the commission shall have power
10 and it shall be the duty of the commission is authorized and directed to dis-
11 seminate information:
12 (a) Relating to potatoes and the importance thereof in preserving the
13 public health, the economy thereof in the diet of the people and the impor-
14 tance thereof in the nutrition of children;
15 (b) Relating to the manner, method and means used and employed in the
16 production, transportation, marketing promotion and grading of potatoes and to
17 laws of the state regulating and safeguarding such production, transportation,
18 marketing promotion and grading;
19 (c) Relating to the added cost to the producer and dealer in producing
20 and handling potatoes to meet the high standards imposed by the state that
21 insure a pure and wholesome product;
22 (d) Relating to the effect upon the public health which would result from
23 a breakdown of the Idaho potato industry;
24 (e) Relating to the reasons why producers and dealers should receive a
25 reasonable return on their labor and investment;
26 (f) Relating to the problem of furnishing the consumer at all times with
27 an abundant supply of fine quality of potatoes at reasonable prices;
28 (g) Relating to factors of instability peculiar to the vegetable industry
29 in general, and the potato industry in particular, such as unbalanced produc-
30 tion, effect of the weather, influence of consumer purchasing power and price
31 relative to the cost of other items of food in the normal diet of people, all
32 to the end that an intelligent and increasing consumer demand may be created;
33 (h) Relating to the possibilities of increased consumption of Idaho pota-
34 toes.;
35 (i) Relating to such other, further and additional information as shall
36 tend to promote increased consumption of Idaho potatoes, as may foster a bet-
37 ter understanding and more efficient cooperation between producers, dealers
38 and the consuming public.;
39 (j) Relating to branding, labeling, stenciling, sealing or packaging to
40 promote and use in all ways to advertise Idaho potatoes and to protect their
41 identity as far as possible to the final consumer.
42 SECTION 5. That Section 22-1213, Idaho Code, be, and the same is hereby
43 amended to read as follows:
44 22-1213. PENALTY FOR VIOLATIONS. (1) Any person who shall violate or aid
45 in the violation of any of the provisions of this chapter, any rules promul-
46 gated pursuant thereto, or the terms of any licensing agreement may be
47 assessed a civil penalty by the commission or its duly authorized agent of not
48 more than one thousand dollars ($1,000) for each offense and a civil penalty
49 of not more than one thousand dollars ($1,000) for each day of continuing
50 violation of such statute or rule or licensing agreement and shall be liable
51 for investigatory costs and attorney's fees reasonably incurred by the commis-
5
1 sion in connection with the violation.
2 (2) For purposes of this section, each container of potatoes in violation
3 of this chapter, rules or any licensing agreement, shall constitute a separate
4 violation for each day the container is in violation thereof.
5 (3) Procedure. No civil penalty may be assessed unless the person
6 charged was given notice and opportunity for a hearing pursuant to chapter 52,
7 title 67, Idaho Code. If the commission or its agent is unable to collect such
8 civil penalty or if any person fails to pay all or a set portion of the civil
9 penalty as determined by the commission or its agent, it may enforce its pen-
10 alty by action in the appropriate district court. Any person against whom the
11 commission or its agent has assessed a civil penalty pursuant to this section
12 may, within twenty-eight (28) days of the final agency action making the
13 assessment, appeal the assessment in accordance with chapter 52, title 67,
14 Idaho Code. All penalties collected pursuant to this section shall be paid
15 into the general fund of the Idaho advertising and development fund potato
16 commission. Nothing contained in this section shall be deemed to preclude the
17 commission from pursuing any other civil or criminal remedies available to it
18 as provided by law.
19 SECTION 6. That Section 49-417C, Idaho Code, be, and the same is hereby
20 amended to read as follows:
21 49-417C. FAMOUS POTATOES LICENSE PLATES. (1) On and after January 1,
22 2001, any person who is the owner of a vehicle registered under the provisions
23 of section 49-402, Idaho Code, or registered under any other section of law
24 for which the purchase of special plates is allowed, may apply for and, upon
25 department approval, receive special famous potatoes license plates in lieu of
26 regular license plates. Availability of famous potatoes license plates for
27 other vehicles shall be subject to the rules, policies and procedures of the
28 department.
29 (2) In addition to the regular registration fee required in chapter 4,
30 title 49, Idaho Code, the applicant shall be charged a fee of thirty-five dol-
31 lars ($35.00) for the initial issuance of plates, and twenty-five dollars
32 ($25.00) upon each succeeding annual registration. Ten dollars ($10.00) of the
33 initial fee and ten dollars ($10.00) of the renewal fee shall be deposited in
34 the state highway account and shall be used to fund the cost of administration
35 of this special license plate program. Twenty-five dollars ($25.00) of each
36 initial fee and fifteen dollars ($15.00) of each renewal fee shall be trans-
37 ferred by the state treasurer to the Idaho potato commission created in chap-
38 ter 12, title 22, Idaho Code, and shall be used exclusively for the purposes
39 described in subsection 14.(17) of section 22-1207, Idaho Code.
40 (3) Whenever title or interest in a vehicle registered under the provi-
41 sions of this section is transferred or assigned, the owner may transfer the
42 special plates to another vehicle upon payment of the required transfer fees.
43 The owner may only display the plates on another vehicle upon receipt of the
44 new registration from the department.
45 (4) The famous potatoes license plate shall be of a color and design in
46 accordance with the provisions of section 49-402C, Idaho Code. The distin-
47 guishing feature of the license plate shall be a representation of a prepared
48 Idaho potato with a melting pat of butter. The design and any slogan on the
49 plate shall be acceptable to the Idaho potato commission and shall be approved
50 by the department utilizing a numbering system as determined by the depart-
51 ment. Initial costs of the plate program, including costs of plate design,
52 shall be paid by the Idaho potato commission.
53 (5) Sample famous potatoes license plates may be purchased for a fee of
6
1 thirty dollars ($30.00), ten dollars ($10.00) of which shall be deposited in
2 the state highway account and twenty dollars ($20.00) of which shall be trans-
3 ferred to the Idaho potato commission. No additional fee shall be charged for
4 personalizing sample plates.
5 SECTION 7. An emergency existing therefor, which emergency is hereby
6 declared to exist, this act shall be in full force and effect on and after its
7 passage and approval.
STATEMENT OF PURPOSE
RS 13974C1
This legislation updates the chapter of the Idaho Code that
governs the Idaho Potato Commission. Sections One and Two repeal
and replace the current Statement of Legislative Intent. The
replacement language is consistent with the language found in
statutes more recently passed by the Legislature governing other
Idaho commodity commissions. Throughout the legislation, "act" is
replaced with "chapter". Again, this is an update consistent with
modern legislative drafting. The first instance of this appears
in Section Three of the legislation. Section Three also adds
three additional provisions governing the powers and duties of
the Commission. These provisions are identical to sections found
in several other Idaho commodity commissions. These changes
clarify the Commissions ability to work cooperatively with other
organizations engaged in similar work or activities as the
Commission, to bring actions to protect the marks owned or
administered by the Commission and to collect assessments, and to
lease or own real or personal property. The Commission has
performed these functions historically under its already existing
general powers and duties. This language only provides more
specific authority for the current activities of the Commission.
The remainder of the section eliminates references to marketing
and advertising and substitutes the concept of "promotion" in
their place.
This change again reflects the actual historical activities of
the Commission. These same changes are made in Section Four of
the legislation. Section Five eliminates a reference to a fund
that is no longer in use by the Commission and provides a correct
reference to the Commission's general fund.
FISCAL IMPACT
None
Contact
Name: Pat Kole, Idaho Potato Commission
Phone: 334-2350
STATEMENT OF PURPOSE/FISCAL NOTE H 683