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7 U.S.C. § 2106 — Required terms and conditions in orders
Federal law — U.S. Code and appendices · legal_authorities
Orders issued pursuant to this chapter shall contain the following terms and conditions:
**(a)** Providing for the establishment and selection by the Secretary, of a Cotton Board, and defining its powers and duties, which shall include only the powers:
(1) To administer such order in accordance with its terms and provisions;
(2) To make rules and regulations to effectuate the terms and provisions of such order, including the designation of the person responsible for collecting the assessment;
(3) To receive, investigate, and report to the Secretary complaints of violations of such order; and
(4) To recommend to the Secretary amendments to such order.
**(b)** Providing that the Cotton Board shall be composed of (1) representatives of cotton producers selected by the Secretary, from nominations submitted by eligible producer organizations within a cotton-producing State, as certified pursuant to [section 2113 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section2113&num=0&edition=prelim), or, if the Secretary determines that a substantial number of producers are not members of or their interests are not represented by any such eligible producer organizations, from nominations made by producers in the manner authorized by the Secretary, so that the representation of cotton producers on the Board for each cotton-producing State shall reflect, to the extent practicable, the proportion which that State’s marketings of cotton bears to the total marketings of cotton in the United States, and (2) when imports of cotton are subject to an order, an appropriate number of representatives, as determined by the Secretary, of importers of cotton on which assessments are paid under this chapter. Such importer representatives shall be appointed
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Source file: Laws/federal/codes/united-states-code/title-7/section-2106-required-terms-and-conditions-in-orders--3dc42981b3.md
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Source location: Title 7, Chapter 53, § 2106; chapter-053-cotton-research-and-promotion.md
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Orders issued pursuant to this chapter shall contain the following terms and conditions:
**(a)** Providing for the establishment and selection by the Secretary, of a Cotton Board, and defining its powers and duties, which shall include only the powers:
(1) To administer such order in accordance with its terms and provisions;
(2) To make rules and regulations to effectuate the terms and provisions of such order, including the designation of the person responsible for collecting the assessment;
(3) To receive, investigate, and report to the Secretary complaints of violations of such order; and
(4) To recommend to the Secretary amendments to such order.
**(b)** Providing that the Cotton Board shall be composed of (1) representatives of cotton producers selected by the Secretary, from nominations submitted by eligible producer organizations within a cotton-producing State, as certified pursuant to [section 2113 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section2113&num=0&edition=prelim), or, if the Secretary determines that a substantial number of producers are not members of or their interests are not represented by any such eligible producer organizations, from nominations made by producers in the manner authorized by the Secretary, so that the representation of cotton producers on the Board for each cotton-producing State shall reflect, to the extent practicable, the proportion which that State’s marketings of cotton bears to the total marketings of cotton in the United States, and (2) when imports of cotton are subject to an order, an appropriate number of representatives, as determined by the Secretary, of importers of cotton on which assessments are paid under this chapter. Such importer representatives shall be appointed by the Secretary after consultation with organizations representing importers, as determined by the Secretary. Each cotton-producing State shall be entitled to at least one representative on the Cotton Board. The Secretary may appoint a number of consumer advisors to the Cotton Board not to exceed 15 per centum of the membership of the Cotton Board. The Cotton Board shall reimburse the consumer advisors for expenses incurred in attending meetings of the Board in the same manner as the Cotton Board members.
**(c)** Providing that the Cotton Board shall, subject to the provisions of subsection (g) of this section, develop and submit to the Secretary for his approval any advertising or sales promotion or research and development plans or projects, and that any such plan or project must be approved by the Secretary before becoming effective.
**(d)** Providing that the Cotton Board shall, subject to the provisions of subsection (g) of this section, submit to the Secretary for his approval, budgets on a fiscal period basis of its anticipated expenses and disbursements in the administration of the order, including probable costs of advertising and promotion and research and development projects.
**(e)**
(1) Providing that—
(A) the producer or other person for whom the cotton is being handled shall pay to the handler of such cotton designated by the Cotton Board pursuant to regulations issued under the order;
(B) such handler shall collect from the producer or other person for whom the cotton, including cotton owned by the handler, is being handled, and shall pay to the Cotton Board; and
(C) each importer shall pay to the Cotton Board on imports of cotton,
an assessment prescribed by the order, on the basis of bales of cotton handled or imported. The assessment shall cover such expenses and expenditures, including provision for a reasonable reserve, as the Secretary finds are reasonable and likely to be incurred by the Cotton Board under the order, during any period specified by the Secretary.
(2) The order shall provide for reimbursing the Secretary—
(A) for expenses not to exceed $300,000 incurred by the Secretary in connection with any referendum conducted under [section 2107 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section2107&num=0&edition=prelim); and
(B) for administrative costs incurred by the Secretary for supervisory work up to 5 employee years after an order or amendment to an order has been issued and made effective.
There shall also be included in the order a provision for reimbursing any agency of the Federal Government that assists in administering the import provisions of the order for a reasonable amount of the expenses incurred by that agency in connection therewith.
(3) To facilitate the collection and payment of such assessments, the Cotton Board may designate different handlers or importers or classes of handlers or importers to recognize differences in marketing practices or procedures utilized in any State or area, except that no more than one such assessment shall be made on any bale of cotton, unless specifically authorized by provisions of this subsection.
(4) The rate of assessment prescribed by the order shall be $1 per bale of cotton handled, supplemented by an additional per bale amount not to exceed 1 percent of the value of cotton as determined by the Cotton Board and the Secretary. The rate of assessment on imports of cotton shall be determined in the same manner as the rate of assessment per bale of cotton handled, and the value to be placed on cotton imports for the purpose of determining the assessment on such imports shall be established by the Secretary in a fair and equitable manner. The Secretary shall establish procedures to ensure that the upland cotton content of imported products is not subject to more than one assessment under this chapter.
(5) No authority under this chapter may be used as a basis to advertise or solicit votes in any referendum relating to the rate of assessment with funds collected under this chapter.
(6) The Secretary may maintain a suit against any person subject to the order for the collection of such assessment, and the several district courts of the United States are hereby vested with jurisdiction to entertain such suits regardless of the amount in controversy. The remedies provided in this section shall be in addition to, and not exclusive of, the remedies provided for elsewhere in this chapter or now or hereafter existing at law or in equity.
(7) The provisions of this subsection and subsection (b) shall not apply to cottonseed and the products derived from cottonseed whether domestically produced or imported.
(8) The provisions of this subsection relating to importers and assessments on imports of cotton shall be effective only if approved in a referendum as provided in section 2107(b) or 2107(c) of this title.
**(f)** Providing that the Cotton Board shall maintain such books and records and prepare and submit such reports from time to time, to the Secretary as he may prescribe, and for appropriate accounting by the Cotton Board with respect to the receipt and disbursement of all funds entrusted to it.
**(g)** Providing that the Cotton Board, with the approval of the Secretary, shall enter into contracts or agreements for the development and carrying out of the activities authorized under the order pursuant to sections 2105(a) and (b) of this title and for the payment of the costs thereof with funds collected pursuant to the order, with an organization or association whose governing body consists of cotton producers selected by the cotton producer organizations certified by the Secretary under [section 2113 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section2113&num=0&edition=prelim), in such manner that the producers of each cotton-producing State will, to the extent practicable, have representation on the governing body of such organization in the proportion that the cotton marketed by the producers of such State bears to the total cotton marketed by the producers of all cotton-producing States, subject to adjustments to reflect lack of participation in the program by reason of refunds under [section 2110 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section2110&num=0&edition=prelim). Any such contract or agreement shall provide that such contracting organization or association shall develop and submit annually to the Cotton Board, for the purpose of review and making recommendations to the Secretary, a program of research, advertising, and sales promotion projects, together with a budget, or budgets, which shall show the estimated cost to be incurred for such projects, and that any such projects shall become effective upon approval by the Secretary. Any such contract or agreement shall also provide that the contracting organization shall keep accurate records of all its transactions and make an annual report to the Cotton Board of activities carried out and an accounting for funds received and expended, and such other reports as the Secretary may require.
**(h)** Providing that no funds collected by the Cotton Board under the order shall in any manner be used for the purpose of influencing governmental policy or action, except as provided by subsection (a)(4) of this section.
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Federal law — U.S. Code and appendices · legal_authorities
**(a)** Notwithstanding any other section of this chapter and except as provided in subsection (b), any cotton producer against whose cotton any assessment is made and collected from him under the authority of this chapter and who is not in favor of supporting the research and promotion program as provided for herein shall have the right to demand and receive from the Cotton Board a refund of such assessment: Provided, That such demand shall be made personally by such producer in accordance with regulations and on a form and within a time period prescribed by the Board and approved by the Secretary, but in no event less than ninety days, and upon submission of proof satisfactory to the Board that the producer paid the assessment for which refund is sought, and any such refund shall be made within sixty days after demand therefor.
**(b)** The right of a producer to demand a refund under subsection (a) shall terminate if the proposed amendment of the order implementing the Cotton Research and Promotion Amendments Act of 1990 is approved in the referendum provided for under [section 2107 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section2107&num=0&edition=prelim). Such right shall terminate 30 days after the date the Secretary announces the results of such referendum if such proposed amendment is approved. Such right shall be reinstated if the amendment should be disapproved in any subsequent referendum.
Source: Supplied U.S. Code snapshot — release unconfirmed · 7 U.S.C. § 2110
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Federal law — U.S. Code and appendices · legal_authorities
The eligibility of each cotton producer organization to represent cotton producers of a cotton producing State to request the issuance of an order under [section 2103 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section2103&num=0&edition=prelim), and to participate in the making of nominations under [section 2106(b) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section2106/b&num=0&edition=prelim) shall be certified by the Secretary and shall be based in addition to other available information upon a factual report submitted by the organization which shall contain information deemed relevant and specified by the Secretary for the making of such determination, including the following:
**(a)** Geographic territory within the State covered by the organization’s active membership;
**(b)** Nature and size of the organization’s active membership in the State, proportion of total of such active membership accounted for by farmers, a map showing the cotton-producing counties in such State in which the organization has members, the volume of cotton produced in each such county, the number of cotton producers in each such county, and the size of the organization’s active cotton producer membership in each such county;
**(c)** The extent to which the cotton producer membership of such organization is represented in setting the organization’s policies;
**(d)** Evidence of stability and permanency of the organization;
**(e)** Sources from which the organization’s operating funds are derived;
**(f)** Functions of the organization; and
**(g)** The organization’s ability and willingness to further the aims and objectives of this chapter:
Source: Supplied U.S. Code snapshot — release unconfirmed · 7 U.S.C. § 2113
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Referendum and cotton producer approval of orders** The Secretary shall conduct a referendum among persons who, during a representative period determined by the Secretary, have been engaged in the production of cotton for the purpose of ascertaining whether the issuance of an order is approved or favored by producers. No order issued pursuant to this chapter shall be effective unless the Secretary determines that the issuance of such order is approved or favored by not less than two-thirds of the producers voting in such referendum, or by the producers of not less than two-thirds of the cotton produced during the representative period by producers voting in such referendum and by not less than a majority of the producers voting in such referendum.
**(b) Referendum on proposed amendment to order implementing provisions of 1990 amendments to this chapter**
(1) Notwithstanding the provisions of sections 2103 and 2104 of this title, not later than 150 days after the date of enactment of the Cotton Research and Promotion Act Amendments of 1990 [November 28, 1990], and after notice and opportunity for public comment, the Secretary shall issue a proposed amendment to the order implementing the provisions of such Act, which shall become effective as provided in paragraph (2).
(2) Notwithstanding the provisions of subsection (a), the Secretary shall, within a period not to exceed 8 months after November 28, 1990, conduct a referendum among persons who have been cotton producers during a representative period, as determined by the Secretary, and persons who are importers of cotton and who, during a 12-month period ending not later than 90 days prior to the conduct of the referendum under this section imported a quantity of cotton in excess of the de minimis quantity (if
Source: Supplied U.S. Code snapshot — release unconfirmed · 7 U.S.C. § 2107
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Federal law — U.S. Code and appendices · legal_authorities
Orders issued pursuant to this chapter shall contain one or more of the following terms and conditions, and except as provided in [section 2106 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section2106&num=0&edition=prelim), no others.
**(a)** Providing for the establishment, issuance, effectuation, and administration of appropriate plans or projects for the advertising and sales promotion of cotton and its products and for the disbursement of necessary funds for such purposes: Provided, however, That any such plan or project shall be directed toward increasing the general demand for cotton or its products but no reference to a private brand or trade name shall be made if the Secretary determines that such reference will result in undue discrimination against the cotton products of other persons: And provided further, That no such advertising or sales promotion programs shall make use of false or unwarranted claims in behalf of cotton or its products or false or unwarranted statements with respect to the quality, value, or use of any competing product.
**(b)** Providing for establishing and carrying on research and development projects and studies with respect to the production, ginning, processing, distribution, or utilization of cotton and its products, to the end that the marketing and utilization of cotton may be encouraged, expanded, improved, or made more efficient, and for the disbursement of necessary funds for such purposes.
**(c)** Providing that handlers or any class of handlers maintain and make available for inspection such books and records as may be required by the order and for the filing of reports by such handlers at the times, in the manner, and having the content prescribed by the order, to the end that informa
Source: Supplied U.S. Code snapshot — release unconfirmed · 7 U.S.C. § 2105
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Federal law — U.S. Code and appendices · legal_authorities
Page 1399
TITLE 7—AGRICULTURE
§ 2106
§ 2102. Orders of Secretary to cotton handlers
To effectuate the declared policy of this chap-
ter, the Secretary shall, subject to the provi-
sions of this chapter, issue and from time to
time amend, orders applicable to persons en-
gaged in the harvesting, marketing, ginning, or
other handling of cotton, hereinafter referred to
as handlers. Such orders shall be applicable to
all production or marketing areas, or both, in
the United States.
(Pub. L. 89–502, § 3, July 13, 1966, 80 Stat. 280.)
§ 2103. Notice and hearing upon proposed orders
Whenever the Secretary has reason to believe
that the issuance of an order will tend to effec-
tuate the declared policy of this chapter, he
shall give due notice and opportunity for a hear-
ing upon a proposed order. Such hearing may be
requested and a proposal for an order submitted
by any cotton producer organization certified
pursuant to section 2113 of this title or by any
other interested person or persons, including the
Secretary.
(Pub. L. 89–502, § 4, July 13, 1966, 80 Stat. 280.)
§ 2104. Finding and issuance of orders
After notice and opportunity for hearing as
provided in section 2103 of this title, the Sec-
retary shall issue an order if he finds, and sets
forth in such order, upon the evidence intro-
duced at such hearing, that the issuance of such
order and all the terms and conditions thereof
will tend to effectuate the declared policy of
this chapter.
(Pub. L. 89–502, § 5, July 13, 1966, 80 Stat. 280.)
§ 2105. Permissive terms and conditions in orders
Orders issued pursuant to this chapter shall
contain one or more of the following terms and
conditions, and except as provided in section
2106 of this title, no others.
(a) Providing for the establishment,
Source: Supplied 2024 U.S. Code historical extraction · 7 U.S.C. § 2106
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