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7 U.S.C. § 87 — Conflicts of interest
Federal law — U.S. Code and appendices · legal_authorities
**(a) Prohibition with respect to persons licensed or authorized by Secretary to perform official functions** No person licensed or authorized by the Secretary to perform any official function under this chapter, or employed by the Secretary in otherwise carrying out any of the provisions of this chapter, shall, during the term of such license, authorization, or employment, (a) be financially interested (directly or otherwise) in any business entity owning or operating any grain elevator or warehouse or engaged in the merchandising of grain, or (b) be in the employment of, or accept gratuities from, any such entity, or (c) be engaged in any other kind of activity specified by regulation of the Secretary as involving a conflict of interest: Provided, however, That the Secretary may license qualified employees of any grain elevators or warehouses to perform official sampling functions, under such conditions as the Secretary may by regulation prescribe, and the Secretary may by regulation provide such other exceptions to the restrictions of this section as the Secretary determines are consistent with the purposes of this chapter.
**(b) Prohibition with respect to personnel of official or State agencies and business or governmental entities related to such agencies; substantial stockholder; use of official inspection service; authority delegation; report to Congressional committees**
(1) No official agency or a State agency delegated authority under this chapter, or any member, director, officer, or employee thereof, and no business or governmental entity related to any such agency, shall be employed in or otherwise engaged in, or directly or indirectly have any stock or other financial interest in, any business involving the commercial transportation, storage, merchandis
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Source location: Title 7, Chapter 3, § 87; chapter-003-grain-standards.md
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**(a) Prohibition with respect to persons licensed or authorized by Secretary to perform official functions** No person licensed or authorized by the Secretary to perform any official function under this chapter, or employed by the Secretary in otherwise carrying out any of the provisions of this chapter, shall, during the term of such license, authorization, or employment, (a) be financially interested (directly or otherwise) in any business entity owning or operating any grain elevator or warehouse or engaged in the merchandising of grain, or (b) be in the employment of, or accept gratuities from, any such entity, or (c) be engaged in any other kind of activity specified by regulation of the Secretary as involving a conflict of interest: Provided, however, That the Secretary may license qualified employees of any grain elevators or warehouses to perform official sampling functions, under such conditions as the Secretary may by regulation prescribe, and the Secretary may by regulation provide such other exceptions to the restrictions of this section as the Secretary determines are consistent with the purposes of this chapter.
**(b) Prohibition with respect to personnel of official or State agencies and business or governmental entities related to such agencies; substantial stockholder; use of official inspection service; authority delegation; report to Congressional committees**
(1) No official agency or a State agency delegated authority under this chapter, or any member, director, officer, or employee thereof, and no business or governmental entity related to any such agency, shall be employed in or otherwise engaged in, or directly or indirectly have any stock or other financial interest in, any business involving the commercial transportation, storage, merchandising, or other commercial handling of grain, or the use of official inspection service (except that in the case of a producer such use shall not be prohibited for grain in which the producer does not have an interest); and no business or governmental entity conducting any such business, or any member, director, officer, or employee thereof, and no other business or governmental entity related to any such entity, shall operate or be employed by or directly or indirectly have any stock or other financial interest in, any official agency or a State agency delegated inspection authority. Further, no substantial stockholder in any incorporated official agency shall be employed in or otherwise engaged in, or be a substantial stockholder in any corporation conducting any such business, or directly or indirectly have any other kind of financial interest in any such business; and no substantial stockholder in any corporation conducting such a business shall operate or be employed by or be a substantial stockholder in, or directly or indirectly have any other kind of financial interest in, any official agency.
(2) A substantial stockholder of a corporation shall be any person holding 2 per centum or more, or one hundred shares or more, of the voting stock of the corporation, whichever is the lesser interest. Any entity shall be considered to be related to another entity if it owns or controls, or is owned or controlled by, such other entity, or both entities are owned or controlled by another entity.
(3) Each State agency delegated official weighing authority under [section 79a of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section79a&num=0&edition=prelim) and each State or local agency or other person designated by the Secretary under such section to perform official weighing or supervision of weighing shall be subject to the provisions of subsection (b) of this section. The term “use of official inspection service” shall be deemed to refer to the use of the services provided under such a delegation or designation.
(4) If a State or local governmental agency is delegated authority to perform official inspection or official weighing or supervision of weighing, or a State or local governmental agency is designated as an official agency, the Secretary shall specify the officials and other personnel thereof to which the conflict of interest provisions of this subsection (b) apply.
(5) Notwithstanding the foregoing provisions of this subsection, the Secretary may delegate authority to a State agency or designate a governmental agency, board of trade, chamber of commerce, or grain exchange to perform official inspection or perform official weighing or supervision of weighing except that for purposes of supervision of weighing only, the Secretary may also designate any other person, if the Secretary determines that any conflict of interest which may exist between the agency or person or any member, director, officer, employee, or stockholder thereof and any business involving the transportation, storage, merchandising, or other handling of grain or use of official inspection or weighing service is not such as to jeopardize the integrity or the effective and objective operation of the functions performed by such agency. Whenever the Secretary makes such a determination and makes a delegation or designation to an agency that has a conflict of interest otherwise prohibited by this subsection, the Secretary shall, within thirty days after making such a determination, submit a report to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate, detailing the factual bases for such determination.
**(c) Official agencies or State agencies not prevented from engaging in business of weighing grain** The provisions of this section shall not prevent an official agency or State agency delegated authority under this chapter from engaging in the business of weighing grain.
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Official weighing in accordance with prescribed regulations** The Secretary shall cause official weighing under standards or procedures provided for in [section 76 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section76&num=0&edition=prelim) to be made of all grain required to be officially weighed as provided in [section 77 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section77&num=0&edition=prelim), in accordance with such regulations as the Secretary may prescribe.
**(b) Official weighing or supervision of weighing at grain elevators, warehouses, or other storage or handling facilities located other than at export elevators at export port locations** The Secretary is authorized to cause official weighing or supervision of weighing under standards or procedures provided in [section 76 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section76&num=0&edition=prelim) to be performed at any grain elevator, warehouse, or other storage or handling facility located other than at export elevators at export port locations at which official inspection is provided pursuant to the provisions of this chapter, in such manner as the Secretary deems appropriate and under such regulations as the Secretary may provide.
**(c) Personnel performing official weighing or supervision of weighing at locations at which official inspection is provided**
(1) With respect to official weighing or supervision of weighing for locations at which official inspection is provided by the Secretary, the Secretary shall cause such official weighing or supervision of weighing to be performed by official inspection personnel employed by the Secretary.
(2) With respect to official weighing or
Source: Supplied U.S. Code snapshot — release unconfirmed · 7 U.S.C. § 79a
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Federal law — U.S. Code and appendices · legal_authorities
The powers conferred under this chapter shall not be used to discourage the production of supplies of foods and fibers sufficient to maintain normal domestic human consumption as determined by the Secretary from the records of domestic human consumption in the years 1920 to 1929, inclusive, taking into consideration increased population quantities of any commodity that were forced into domestic consumption by decline in exports during such period, current trends in domestic consumption and exports of particular commodities, and the quantities of substitutes available for domestic consumption within any general class of food commodities. In carrying out the purposes of this chapter it shall be the duty of the Secretary to give due regard to the maintenance of a continuous and stable supply of agricultural commodities from domestic production adequate to meet consumer demand at prices fair to both producers and consumers.
Source: Supplied U.S. Code snapshot — release unconfirmed · 7 U.S.C. § 1307
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Federal law — U.S. Code and appendices · legal_authorities
**(a)** Whenever standards relating to kind, class, quality, or condition of grain are effective under [section 76 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section76&num=0&edition=prelim) for any grain no person shall in any sale, offer for sale, or consignment for sale, which involves the shipment of such grain in interstate or foreign commerce, describe such grain as being of any grade in any advertising, price quotation, other negotiation of sale, contract of sale, invoice, bill of lading, other document, or description on bags or other containers of the grain, other than by an official grade designation, with or without additional information as to specified factors: Provided, That the description of such grain by any proprietary brand name or trademark that does not resemble an official grade designation, or with respect to interstate commerce, by the use of one or more grade factor designations set forth in the official United States standards for grain, or by other criteria shall not be deemed to be a description of grain as being of any grade.
**(b)** No person shall, in any sale, offer for sale, or consignment for sale, of any grain which involves the shipment of such grain from the United States to any place outside thereof, knowingly describe such grain by any official grade designation, or other description, which is false or misleading.
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Federal law — U.S. Code and appendices · legal_authorities
**(a)** Grain is an essential source of the world’s total supply of human food and animal feed and is merchandised in interstate and foreign commerce. It is declared to be the policy of the Congress, for the promotion and protection of such commerce in the interests of producers, merchandisers, warehousemen, processors, and consumers of grain, and the general welfare of the people of the United States, to provide for the establishment of official United States standards for grain, to promote the uniform application thereof by official inspection personnel, to provide for an official inspection system for grain, and to regulate the weighing and the certification of the weight of grain shipped in interstate or foreign commerce in the manner hereinafter provided; with the objectives that grain may be marketed in an orderly and timely manner and that trading in grain may be facilitated. It is hereby found that all grain and other articles and transactions in grain regulated under this chapter are either in interstate or foreign commerce or substantially affect such commerce and that regulation thereof as provided in this chapter is necessary to prevent or eliminate burdens on such commerce and to regulate effectively such commerce.
**(b)** It is also declared to be the policy of Congress—
(1) to promote the marketing of grain of high quality to both domestic and foreign buyers;
(2) that the primary objective of the official United States standards for grain is to certify the quality of grain as accurately as practicable; and
(3) that official United States standards for grain shall—
(A) define uniform and accepted descriptive terms to facilitate trade in grain;
(B) provide information to aid in determining grain storability;
(C) offer users of such standards th
Source: Supplied U.S. Code snapshot — release unconfirmed · 7 U.S.C. § 74
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Grain required to be officially inspected** The Secretary is authorized to cause official inspection under the standards provided for in [section 76 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section76&num=0&edition=prelim) to be made of all grain required to be officially inspected as provided in [section 77 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section77&num=0&edition=prelim), in accordance with such regulations as the Secretary may prescribe.
**(b) Inspections made pursuant to request of interested persons** The Secretary is further authorized, upon request of any interested person, and under such regulations as the Secretary may prescribe, to cause official inspection to be made with respect to any grain whether by official sample, submitted sample, or otherwise within the United States under standards provided for in [section 76 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section76&num=0&edition=prelim), or, upon request of the interested person, under other criteria approved by the Secretary for determining the kind, class, quality, or condition of grain, or other facts relating to grain, whenever in the judgment of the Secretary providing such service will effectuate any of the objectives stated in [section 74 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section74&num=0&edition=prelim).
**(c) Reinspections and appeals; cancellation of superseded certificates; sale of samples** The regulations prescribed by the Secretary under this chapter shall include provisions for reinspections and appeal inspections; cancellation and surrender of certificates superseded by reinspections and appeal inspections
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Federal law — U.S. Code and appendices · legal_authorities
### Statutory Notes
#### Codification
Sections were omitted in the general reorganization of this chapter by Pub. L. 90–487, § 1, Aug. 15, 1968, 82 Stat. 761.
Section 80, act Aug. 11, 1916, ch. 313, pt. B, § 7 (part), 39 Stat. 484, provided for revocation and suspension of licenses issued by the Secretary of Agriculture. See [section 85 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section85&num=0&edition=prelim).
Section 81, act Aug. 11, 1916, ch. 313, pt. B, § 7 (part), 39 Stat. 484, prohibited the existence of an interest, financial or otherwise, direct or indirect, on the part of inspectors in grain elevators or warehouses or in the merchandising of grain. See [section 87 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section87&num=0&edition=prelim).
Section 82, act Aug. 11, 1916, ch. 313, pt. B, § 7 (part), 39 Stat. 484, required maintenance of records and reports by inspectors. See [section 87a of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section87a&num=0&edition=prelim).
Section 83, act Aug. 11, 1916, ch. 313, pt. B, § 7 (part), 39 Stat. 484, called for a semiannual report by the Secretary of Agriculture on the delivery of grain in the nation.
Source: Supplied U.S. Code snapshot — release unconfirmed · 7 U.S.C. § 80 to 83
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Federal law — U.S. Code and appendices · legal_authorities
Page 185
TITLE 7—AGRICULTURE
§ 87
or in lieu of, refusal of official inspection or
services related to weighing in accordance with
this section, the Secretary may assess against
any person who has knowingly committed any
violation of section 87b of this title or has been
convicted of any violation of other Federal law
with respect to the handling, weighing, or offi-
cial inspection of grain a civil penalty not to ex-
ceed $75,000 for each such violation as the Sec-
retary determines is appropriate to effectuate
the objectives stated in section 74 of this title.
(d) Opportunity for hearing; temporary refusal
without hearing pending final determination
Before official inspection or services related to
weighing is refused to any person or a civil pen-
alty is assessed against any person under this
section, such person shall be afforded oppor-
tunity for a hearing in accordance with sections
554, 556, and 557 of title 5: Provided, That the Sec-
retary may, without first affording the person a
hearing, refuse official inspection or services re-
lated to weighing temporarily pending final de-
termination whenever the Secretary has reason
to believe there is cause for refusal of inspection
or services related to weighing and considered
such action to be in the best interest of the offi-
cial inspection system under this chapter. The
Secretary shall afford such person an oppor-
tunity for a hearing within seven days after
temporarily refusing official inspection or serv-
ices related to weighing; and such hearing and
ancillary procedures related thereto shall be
conducted in an expedited manner.
(e) Collection and disposition of civil penalties
Moneys received in payment of such civil pen-
alties shall be deposited in the general fund of
the United State
Source: Supplied 2024 U.S. Code historical extraction · 7 U.S.C. § 87
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