Soybean Marketing Act.

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(505 ILCS 130/1) (from Ch. 5, par. 551)

Sec. 1. Because individual producers of soybeans are unable to develop adequate new markets for their commodity, the following is declared to be the legislative policy of this Act:

  • (a) To enable soybean producers of this State to coordinate more effectively the maintenance and development of markets of their commodity with market demands;
  • (b) To encourage through market development programs a more orderly, efficient and equitable manner of marketing soybeans and soybean products;
  • (c) To provide methods for the development of new and larger markets for soybeans; and
  • (d) Through expanded markets aid soybean producers in maintaining an adequate and equitable level of income.

(Source: P.A. 78-739.)

 

(505 ILCS 130/2) (from Ch. 5, par. 552)

Sec. 2. This Act shall be known and may be cited as the "Soybean Marketing Act".

(Source: P.A. 78-739.)

 

(505 ILCS 130/3) (from Ch. 5, par. 553)

Sec. 3. For the purpose of this Act, unless the context clearly requires otherwise:

(a) "Soybean" means and includes all kinds and varieties of soybeans grown in this State and marketed and sold as soybeans by the producer.

(b) "Person" means any natural person, partnership, corporation, society, association, representative or other fiduciary.

(c) "Producer" means any person engaged in this State in the business of producing and marketing soybeans, unless otherwise defined in marketing program.

(d) "First purchaser" means any person who resells soybeans purchased from a producer or offers for sale any product produced from such soybeans for any purpose.

(e) "Market Development" means to engage in research and educational programs directed toward better and more efficient utilization of soybeans; to provide methods and means for the maintenance of present markets; for the development of new and larger domestic and foreign markets.

(f) "Marketing program" means any program established under this Act which prescribes procedures for the development of markets for soybeans and soybean products.

(g) "Program operating board" means the board established by any marketing program to administer such programs.

(h) "Director" means the Director of the Department of Agriculture of the State of Illinois.

(i) "Department" means the Department of Agriculture of the State of Illinois.

(j) "Bushel" means 60 pounds of soybeans by weight.

(k) "Net market price" means:

  • (1) except as provided in item (2), the sales price or other value received by a producer for soybeans after adjustments for any premium or discount based on grading or quality factors; or
  • (2) for soybeans pledged as collateral for a loan issued under any price support loan program administered by the Commodity Credit Corporation, the principal amount of the loan. (Source: P.A. 95-953, eff. 1-1-09.)

 

(505 ILCS 130/4) (from Ch. 5, par. 554)

Sec. 4. Any marketing program proposed or adopted under this Act shall include where applicable the following:

  • (a) a definition of terms;
  • (b) the purpose of the program;
  • (c) the maximum rates and equitable procedures for collection of any assessment provided for by the program;
  • (d) the nominating procedure and qualifications of the program operating board members, representation on the program operating board, terms of office, compensation, if any, and other necessary provisions pertaining thereto;
  • (e) the operating procedures of the program;
  • (f) the qualifications for exempting soybeans or producers where such exemptions are applicable.

(Source: P.A. 78-739.)

 

(505 ILCS 130/5) (from Ch. 5, par. 555)

Sec. 5. Any marketing program proposed or adopted under this Act may include any of the following:

  • (a) market development and research programs;
  • (b) market promotion, education and public relations programs;
  • (c) market information services;
  • (d) the right to contract with qualified organizations, agencies or individuals for any of the activities listed in paragraphs (a), (b) or (c) of this Section;
  • (e) other provisions not inconsistent with this Act or other Illinois or federal laws and regulations.

(Source: P.A. 78-739.)

 

(505 ILCS 130/6) (from Ch. 5, par. 556)

Sec. 6. A marketing program proposal or a proposed amendment to an existing marketing program may be requested by petition to the Director by 2500 producers of soybeans, with at least 10 signers of such petition from each of 50 counties.

(Source: P.A. 78-739.)

 

(505 ILCS 130/7) (from Ch. 5, par. 557)

Sec. 7. If any marketing program or amendment to an existing marketing program is proposed under Section 6 of this Act, the Director shall appoint a temporary operating committee consisting of 7 members who are soybean producers to develop such proposed marketing program. Such proposal shall be considered at a public hearing. After the close of the public hearing the Director and temporary operating committee shall send copies of their findings to all parties of record appearing at the hearing. If such proposal is approved by the temporary operating committee, a referendum shall be held thereon in accordance with Section 8 of this Act.

The Director, upon recommendation of the temporary operating committee, shall establish procedures for the qualifications of producers for marketing programs, for the participation of producers in hearings and referenda and other procedures necessary in the development and adoption of marketing programs. Procedures relative to the adoption of any marketing program or amendment to an existing marketing program shall not be subject to the provisions of The Illinois Administrative Procedure Act. However, the Director shall take any necessary steps to inform affected persons of the procedures, including publication of the procedures in the Illinois Register.

(Source: P.A. 83-80.)

 

(505 ILCS 130/8) (from Ch. 5, par. 558)

Sec. 8. Within 90 days after final approval by the temporary operating committee of any proposed marketing program, the Director shall determine by referendum in accordance with this Section and Section 11 of this Act whether the affected producers assent to such proposed program. The proposed program is approved when a majority of those voting in the referendum vote in favor of such proposed program.

Within 90 days after final approval by the program operating board of any proposed amendment to the marketing program, the Director shall determine by referendum in accordance with this Section and Section 11 of this Act whether the affected producers assent to such proposed amendment. The proposed amendment to the program is approved when a majority voting on the amendment vote in favor of the amendment.

If any proposed marketing program or amendment is not approved by such referendum, no additional referendum on such program or amendment may be held for 2 years from the date of the close of such referendum period.

(Source: P.A. 85-181.)

 

(505 ILCS 130/9) (from Ch. 5, par. 559)

Sec. 9. Prior to the consideration of any proposed marketing program or amendment, the Director may require the applicants therefor to deposit with him such funds, not to exceed $5,000, as may be necessary to defray the expenses of preparing, holding hearings and conducting the referendum on such marketing program or amendment. Such funds shall be deposited and distributed in accordance with Section 18 of this Act. Any funds collected beyond actual expenses shall be refunded to the applicants on a pro rata basis. The applicants shall be reimbursed by the treasurer of the program operating board in the amount of the deposit, less any refunds, from fees received under such program if such program is established.

(Source: P.A. 78-739.)

 

(505 ILCS 130/10) (from Ch. 5, par. 560)

Sec. 10. In any referendum under this Act, voting shall be by ballot cast by eligible voters at geographically located polling places throughout the State. Any producer who is qualified under any marketing program is entitled to one vote. The referendum area includes the entire State of Illinois.

Reasonable publicity and notification of the referendum date and voting locations shall be provided in trade publications and the public press at least 2 weeks prior to such referendum date.

(Source: P.A. 78-739.)

 

(505 ILCS 130/11) (from Ch. 5, par. 561)

Sec. 11. The marketing program established by this Act shall remain in effect for 5 years and shall automatically be extended from year to year unless a referendum election for continued approval is requested by written petition of no less than 2% of soybean producers. The referendum shall be in accordance with Section 10 of this Act to determine the continued approval of such marketing program. Continuation or termination shall be determined by the same voting requirements for adoption of any marketing program set forth in Section 8.

(Source: P.A. 78-739.)

 

(505 ILCS 130/12) (from Ch. 5, par. 562)

Sec. 12. Any marketing program established under this Act shall provide for a program operating board consisting of at least 24 members who are charged with the administration of the program.

The board shall consist of one member elected from each of the districts as established in the marketing program and 6 at large members without respect to residence district. The 6 at large members shall be nominated by a majority of the board sitting in quorum and thereafter elected by a majority of producers in attendance at the annual meeting.

The program operating board shall elect from its members a chairman, treasurer and such other positions as may be provided for in the marketing program. The term of office for members of the program operating board elected from districts shall be for 3 years, except that the term of the members of the board first taking office shall be for one, 2, or 3 years as determined by lot. The marketing program shall establish the number of members elected from districts for each term of office at the first board and shall provide the procedure for the election of members in subsequent years. The term of the at large members of the board shall be for 3 years, except that the term of the at large members first taking office shall be for one, 2, or 3 years as determined by lot.

All voting members of the program operating board are entitled to actual and necessary travel and incidental expenses while attending meetings of the board or while engaged in the performance of official responsibilities as determined by the board and provided for in the marketing program.

(Source: P.A. 94-61, eff. 1-1-06.)

 

(505 ILCS 130/13) (from Ch. 5, par. 563)

Sec. 13. For the initial board any soybean producer may become a candidate from a district and have his name placed on the ballot if he files a petition with the Director containing the signatures of 150 or 3%, whichever is less, of those producers in his district qualified to vote on the referendum. All district director candidates shall be resident producers of the district for which they are nominated. Notice of the initial election of district directors of the board shall be given in trade publications and public press at least 2 weeks prior to such election. Vacancies on the program operating board during the term of office shall be filled by the program operating board until the next regular election. In subsequent years a special election shall be held to fill any expiring term on the board. Nominations of district directors shall be in the same fashion as original board members. The nominating procedure for district directors shall be as provided in this Section unless otherwise provided for in the marketing program. Candidates receiving the greatest number of votes at any special election shall be elected.

(Source: P.A. 94-61, eff. 1-1-06.)

 

(505 ILCS 130/14) (from Ch. 5, par. 564)

Sec. 14. The duties and responsibilities of the program operating board shall be prescribed in the authority for each marketing program and to the extent applicable shall include the following:

  • (a) to develop and direct the marketing program;
  • (b) to prepare and approve a budget consistent with estimated receipts and the scope of the marketing program;
  • (c) to formulate and execute assessment procedures, rates and methods of collection;
  • (d) to procure and evaluate data and information necessary for the proper administration and operation of the marketing program;
  • (e) to employ personnel and contract for services which are necessary for the proper operation of the marketing program;
  • (f) to authorize the expenditure of funds and the contracting of expenditures to conduct proper activities of the program;
  • (g) to bond the treasurer and such other persons necessary to insure adequate protection of funds; and
  • (h) to perform such other duties which are necessary to the proper operation of the program.

(Source: P.A. 78-739.)

 

(505 ILCS 130/15) (from Ch. 5, par. 565)

Sec. 15. (1) For any marketing program approved by referendum under this Act the Director shall:

  • (a) take steps to insure that adequate and proper records are kept and that an annual audit summary is available to all program participants;
  • (b) take steps to insure that adequate bonds are maintained;
  • (c) coordinate administrative activities between the program operating board and the Department; and
  • (d) confer and cooperate with the legally constituted authorities of other states and the United States.

(2) Following approval of any marketing program or amendment, the Director shall file the program or amendment with the Secretary of State as provided in Section 5-65 of the Illinois Administrative Procedure Act. Such program or amendment shall be included in the rules of the Department required by Section 5-15 of the Illinois Administrative Procedure Act.

(Source: P.A. 91-357, eff. 7-29-99.)

 

(505 ILCS 130/16) (from Ch. 5, par. 566)

Sec. 16. Any properly qualified marketing program shall provide for assessments against producers of the affected commodity to defray the costs of the activities provided for in the marketing program. Assessments authorized in a marketing program shall be based on the quantity of commodity produced and shall be equitably assessed against all affected producers. The total maximum assessment levied on the commodity of any affected producer shall not exceed 1/4¢ per bushel of soybeans produced and sold by that producer during the first year a program is in operation, 1/2¢ per bushel of soybeans produced and sold by that producer during the next 4 years a program is in operation and 1/2 of 1% of the net market price of soybeans produced and sold by that producer for all subsequent years. Assessments authorized in a marketing program shall not be used for political activity of any kind whatsoever or for preferential treatment of any person to the detriment of other persons in the marketing program. The program operating board may require the first purchaser of soybeans to withhold and remit such assessments to the board. A first purchaser remitting the assessments for any producer may deduct the proper amount of assessment from any amount which he owes to such producer. The program operating board shall have the power to cause any duly authorized agent or representative to enter upon the premises of any purchaser of soybeans and examine or cause to be examined by such agent only books, papers and records which deal in any way with respect to the payment of the assessment or enforcement of this Act.

(Source: P.A. 95-953, eff. 1-1-09.)

 

(505 ILCS 130/16.1) (from Ch. 5, par. 566.1)

Sec. 16.1. Any properly qualified marketing program may provide for assessments as to soybeans grown outside Illinois, but sold to first purchasers in Illinois. In such case the same assessments and procedures applicable to Illinois producers as to collection, remittance and refund of assessments shall be applicable to persons producing soybeans outside Illinois who sell to first purchasers in Illinois.

(Source: P.A. 85-182.)

 

(505 ILCS 130/17) (from Ch. 5, par. 567)

Sec. 17. A producer who has sold soybeans and has an assessment deducted from the sale price may, by application in writing to the board, secure a refund in the amount deducted. The refund shall be payable when the application shall have been made to the board within 60 days after the deduction. Interest shall be allowed and paid at the rate of 6% per annum upon the total amount of such assessment imposed by this Act, except that if any such assessment is refunded within 90 days after an application for refund has been made within the required 60 days after deduction or within 90 days after the first purchaser of soybeans remits the assessments withheld and deducted to the program operating board, whichever is later, no interest shall be allowed on such assessment. Each application for refund by a producer shall have attached thereto proof of assessment deducted.

(Source: P.A. 78-739.)

 

(505 ILCS 130/18) (from Ch. 5, par. 568)

Sec. 18. Any funds received by the Director under Section 9 of this Act shall be deposited with the State Treasurer as ex-officio custodian and held by him separate and apart from any other public moneys of this State in a trust fund designated as the Commodity Trust Fund and disbursed only upon a voucher or order issued by the Director and paid by a warrant drawn by the State Comptroller and countersigned by the State Treasurer. The Director shall order disbursement from the Commodity Trust Fund only for payment of the expenses authorized by this Act.

Persons who collect marketing program assessment funds pursuant to Sections 16 or 20 of this Act shall remit such funds to the program operating board which shall deposit such in an account to be used as authorized by the marketing program.

(Source: P.A. 78-739.)

 

(505 ILCS 130/19) (from Ch. 5, par. 569)

Sec. 19. The program operating board shall publish annually an activity and financial report for such marketing program to be available to all of the affected producers of the marketing program. All expenditures under each marketing program shall be audited at least annually by a registered public accountant. Within 30 days after completion of such audit the results shall be made available to the Director.

(Source: P.A. 78-739.)

 

(505 ILCS 130/20) (from Ch. 5, par. 570)

Sec. 20. Any due and payable assessment required under the provisions of any marketing program created under this Act constitutes a personal debt of every person so assessed or who otherwise owes such assessment. Such assessment is due and payable to the program operating board not more frequently than quarterly or when stipulated in the marketing program and called for by the program operating board. In the event any person fails to remit the full amount of such due assessment or such other sum within 30 days after the due date, the person owing such assessment shall be given an opportunity to present his case as provided for in Section 22 of this Act. When established that the assessment is correct, the program operating board may add to such unpaid assessment or sum a penalty amount not exceeding 10% of the amount due to defray the cost of enforcing the collection of the assessment or sum due. In the event of failure of such person to remit any properly due assessment or sum, the program operating board may bring a civil action against such person in the circuit court of any county for the collection thereof, together with the above additional specified 10% penalty assessment and court costs. Such action shall be tried and judgment rendered as in any other cause of action for debts due and payable. All assessments on soybean production are due and payable to the program operating board.

(Source: P.A. 78-739.)

 

(505 ILCS 130/21) (from Ch. 5, par. 571)

Sec. 21. Upon termination of any marketing program, all remaining unobligated funds shall be refunded on a pro rata basis to the persons from whom the funds were collected in the preceding 2 years. If the program operating board finds that the amounts refundable are so small as to make refunding impracticable, the funds may be used to defray expenses incurred by the Department in the development, adoption and administration of any subsequent marketing program for soybeans. If not utilized within a period of 2 years after termination of the marketing program, such funds shall be deposited into the General Revenue Fund of the State Treasury.

(Source: P.A. 78-739.)

 

(505 ILCS 130/22) (from Ch. 5, par. 572)

Sec. 22. No person shall knowingly fail or refuse to comply with any requirement of this Act where obligated to comply by a duly approved marketing program. The program operating board may institute any action which is necessary to enforce compliance with any provision of this Act or any marketing program adopted pursuant to this Act. In addition to any other remedy provided by law, the program operating board may petition for injunctive relief without being required to allege or prove the absence of any other adequate remedy. Such action shall be brought in the circuit court of any county.

Before the program operating board may institute any proceedings under this Act, the alleged violator shall first be given an opportunity to present his views to the program operating board as to why proceedings should not be instituted. Such hearings shall be subject to The Illinois Administrative Procedure Act.

(Source: P.A. 83-80.)

 

(505 ILCS 130/23) (from Ch. 5, par. 573)

Sec. 23. The operation of any marketing program or any part thereof may be temporarily suspended for any reasonable cause by the program operating board, for any period of time not to exceed one growing and marketing season.

(Source: P.A. 78-739.)

 

(505 ILCS 130/24) (from Ch. 5, par. 574)

Sec. 24. If any provision of this Act or application thereof to any person or circumstances is held invalid, such invalidity shall not affect other provisions or applications of this Act which can be given effect without the invalid application or provision, and to this end the provisions of this Act are declared to be severable.

(Source: P.A. 78-739.)

 

(505 ILCS 130/25) (from Ch. 5, par. 575)

Sec. 25. Sections 7 and 15 of this Act shall not be subject to Sections 5-35, 5-40, 5-100, 5-105, 5-110, 5-115, 5-120, 5-125, and 5-130 of the Illinois Administrative Procedure Act.

(Source: P.A. 88-45.)


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