Text: SF00435 Text: SF00437 Text: SF00400 - SF00499 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 SENATE FILE 436 1 2 1 3 AN ACT 1 4 RELATING TO PRACTICES INVOLVING THE MARKETING OF LIVESTOCK 1 5 CONCERNING PACKERS, BY PROVIDING FOR THE REGULATION OF CERTAIN 1 6 PURCHASE INFORMATION AND CONTRACTING, AND PROVIDING PENALTIES 1 7 AND EFFECTIVE DATES. 1 8 1 9 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 1 10 1 11 Section 1. Section 22.7, Code 1999, is amended by adding 1 12 the following new subsection: 1 13 NEW SUBSECTION. 38. Information revealing the identity of 1 14 a packer or a person who sells livestock to a packer as 1 15 reported to the department of agriculture and land stewardship 1 16 pursuant to section 172C.2. 1 17 Sec. 2. NEW SECTION. 172C.1 DEFINITIONS. 1 18 1. "Department" means the department of agriculture and 1 19 land stewardship. 1 20 2. "Livestock" means live cattle, swine, or sheep. 1 21 3. "Packer" means a person who is engaged in the business 1 22 of slaughtering livestock or receiving, purchasing, or 1 23 soliciting livestock for slaughter, if the meat products of 1 24 the slaughtered livestock which are directly or indirectly to 1 25 be offered for resale or for public consumption and the meat 1 26 products have a total annual value of ten million dollars or 1 27 more. As used in this chapter, "packer" includes an agent of 1 28 the packer engaged in buying or soliciting livestock for 1 29 slaughter on behalf of a packer. "Packer" does not include a 1 30 frozen food locker plant regulated under chapter 172. 1 31 Sec. 3. NEW SECTION. 172C.2 PURCHASE REPORTS FILING. 1 32 1. A packer shall file purchase reports with the 1 33 department which include information relating to the purchase 1 34 of livestock as required by the department. The purchase 1 35 reports shall be completed in a manner prescribed by the 2 1 department. The department may require that purchase reports 2 2 be filed in an electronic format. A packer shall file 2 3 purchase reports at times determined practicable by the 2 4 department, but not later than two business days following the 2 5 event being reported. 2 6 2. a. The information required to be reported may include 2 7 but is not limited to livestock purchased, committed for 2 8 delivery, or slaughtered. The information may include the 2 9 volume of daily purchases and the weight, grade, and price 2 10 paid for livestock, including all premiums, discounts, or 2 11 adjustments. If livestock is purchased pursuant to contract, 2 12 the department may require that information in the purchase 2 13 report be categorized by the type of contract. The purchase 2 14 reports shall allow the department to compare prices paid 2 15 under contract with cash market prices. 2 16 b. This section does not require that information reported 2 17 include future plans, events, or transactions, unless provided 2 18 for by contract. 2 19 3. The department may provide for the public dissemination 2 20 of information contained in purchase reports. 2 21 a. The department may enter into an agreement with the 2 22 United States department of agriculture or any private 2 23 marketing service in order to disseminate information 2 24 contained in purchase reports. 2 25 b. The department, in consultation with the office of 2 26 attorney general, shall designate information in purchase 2 27 reports that reveals the identity of a packer or livestock 2 28 seller as confidential pursuant to section 22.7. 2 29 Sec. 4. NEW SECTION. 172C.3 PURCHASE NOTICE POSTING. 2 30 1. a. A packer shall post a purchase notice which 2 31 includes information relating to the purchase of livestock as 2 32 required by the department. The information contained in the 2 33 purchase notice shall include a summary of information 2 34 required to be filed in purchase reports as provided in 2 35 section 172C.2. 3 1 b. This section does not require that information 3 2 contained in a purchase notice include future plans, events, 3 3 or transactions unless provided for by contract. 3 4 2. The information contained in the purchase notice shall 3 5 appear in a format that can be understood by a reasonable 3 6 person familiar with selling livestock. The notice shall be 3 7 posted in a conspicuous place at the point of delivery in a 3 8 manner prescribed by the department. 3 9 Sec. 5. NEW SECTION. 172C.4 CONFIDENTIALITY PROVISIONS 3 10 IN CONTRACTS PROHIBITED. 3 11 1. A packer shall not include a provision in a contract 3 12 executed on or after the effective date of this section for 3 13 the purchase of livestock providing that information contained 3 14 in the contract is confidential. 3 15 2. A provision which is part of a contract for the 3 16 purchase of livestock executed on and after the effective date 3 17 of this section for the purchase of livestock is void, if the 3 18 provision states that information contained in the contract is 3 19 confidential. The provision is void regardless of whether the 3 20 confidentiality provision is express or implied; oral or 3 21 written; required or conditional; contained in the contract, 3 22 another contract, or in a related document, policy, or 3 23 agreement. This section does not affect other provisions of a 3 24 contract or a related document, policy, or agreement which can 3 25 be given effect without the voided provision. This section 3 26 does not require either party to the contract to divulge the 3 27 information in the contract to another person. 3 28 Sec. 6. NEW SECTION. 172C.5 RULES. 3 29 1. The department, in consultation with the office of 3 30 attorney general, shall adopt rules necessary in order to 3 31 administer this chapter. 3 32 2. The department may establish different rules according 3 33 to the species of livestock governing all of the following: 3 34 a. Purchase reporting requirements pursuant to section 3 35 172C.2. 4 1 b. Purchase notice posting requirements pursuant to 4 2 section 172C.3. 4 3 Sec. 7. NEW SECTION. 172C.6 ENFORCEMENT. 4 4 1. a. The attorney general's office is the primary agency 4 5 responsible for enforcing this chapter. 4 6 b. The department shall notify the attorney general's 4 7 office if the department has reason to believe that a 4 8 violation of section 172C.2 has occurred. 4 9 2. In enforcing the provisions of this chapter, the 4 10 attorney general may do all of the following: 4 11 a. Apply to the district court for an injunction to do any 4 12 of the following: 4 13 (1) Restrain a packer from engaging in conduct or 4 14 practices in violation of this chapter. 4 15 (2) Require a packer to comply with a provision of this 4 16 chapter. 4 17 b. Apply to district court for the issuance of a subpoena 4 18 to obtain contracts, documents, or other records for purposes 4 19 of enforcing this chapter. 4 20 c. Bring an action in district court to enforce penalties 4 21 provided in this chapter, including the imposition, 4 22 assessment, and collection of monetary penalties. 4 23 3. The attorney general shall have access to all 4 24 information reported by packers pursuant to section 172C.2, 4 25 regardless of whether the information is confidential. The 4 26 attorney general may use the information in order to enforce 4 27 this chapter or may submit the information to a federal 4 28 agency. 4 29 Sec. 8. NEW SECTION. 172C.7 PENALTIES. 4 30 1. A packer who fails to file a timely, accurate, or 4 31 complete purchase report as required pursuant to section 4 32 172C.2 is subject to a civil penalty of not more than five 4 33 thousand dollars. Each failure by a packer to file a timely, 4 34 accurate, or complete purchase report constitutes a separate 4 35 violation. 5 1 2. A packer who fails to post a timely, accurate, or 5 2 complete purchase notice as required pursuant to section 5 3 172C.3 is subject to a civil penalty of not more than one 5 4 thousand dollars. Each failure by a packer to post a timely, 5 5 accurate, or complete purchase notice constitutes a separate 5 6 violation. 5 7 3. A packer who includes a confidentiality provision in a 5 8 contract with a livestock seller in violation of section 5 9 172C.4 is guilty of a fraudulent practice as provided in 5 10 section 714.8. 5 11 Sec. 9. Section 714.8, Code 1999, is amended by adding the 5 12 following new subsection: 5 13 NEW SUBSECTION. 17. A packer who includes a 5 14 confidentiality provision in a contract with a livestock 5 15 seller in violation of section 172C.4. 5 16 Sec. 10. APPLICABILITY. A packer shall provide purchase 5 17 reports to the department of agriculture and land stewardship 5 18 as required in section 172C.2 and shall post a purchase notice 5 19 as provided in section 172C.3, as enacted in this Act, for 5 20 each species of livestock as defined in section 172C.1, as 5 21 enacted in this Act, in accordance with rules adopted by the 5 22 department governing that species. 5 23 Sec. 11. FUTURE REPEAL OF SECTIONS AND ELIMINATION OF 5 24 PROVISIONS IMPLEMENTATION OF FEDERAL STATUTES AND 5 25 REGULATIONS. 5 26 1. Subject to subsection 2, all of the following shall 5 27 apply: 5 28 a. If the federal government implements a statute or 5 29 regulation that is substantially similar to or more stringent 5 30 than purchase reporting requirements provided in section 5 31 172C.2 and penalties provided in section 172C.7, subsection 1, 5 32 as enacted by this Act, all of the following shall apply: 5 33 (1) Section 172C.2 is repealed. 5 34 (2) All of the following sections are amended as follows: 5 35 (a) Section 22.7, subsection 38, by striking the 6 1 subsection. 6 2 (b) Section 172C.5, subsection 2, paragraph "a", by 6 3 striking the paragraph. 6 4 (c) Section 172C.6, subsection 1, paragraph "b", by 6 5 striking the paragraph. 6 6 (d) Section 172C.6, subsection 3, by striking the 6 7 subsection. 6 8 (e) Section 172C.7, subsection 1, by striking the 6 9 subsection. 6 10 b. If the federal government implements a statute or 6 11 regulation that is substantially similar to or more stringent 6 12 than purchase notice requirements provided in section 172C.3 6 13 and penalties provided in section 172C.7, subsection 2, as 6 14 enacted by this Act, all of the following shall apply: 6 15 (1) Section 172C.3 is repealed. 6 16 (2) All of the following sections are amended as follows: 6 17 (a) Section 172C.5, subsection 2, paragraph "b", by 6 18 striking the paragraph. 6 19 (b) Section 172C.7, subsection 2, by striking the 6 20 subsection. 6 21 c. If the federal government implements a statute or 6 22 regulation that is substantially similar to or more stringent 6 23 than purchase reporting requirements and penalties as 6 24 described in paragraph "a" and purchase notice requirements 6 25 and penalties as described in paragraph "b", section 172C.5, 6 26 subsection 2, is amended by striking the subsection. 6 27 2. Paragraph "a", "b", or "c", as provided in subsection 6 28 1, shall become applicable only upon a finding by the 6 29 secretary of agriculture that the federal government has 6 30 implemented a statute or regulation as provided in that 6 31 specific paragraph in accordance with an order issued by the 6 32 secretary of agriculture and filed with the secretary of 6 33 state. The secretary of agriculture shall issue an order only 6 34 after consulting with the attorney general. 6 35 3. The secretary of agriculture shall forward a copy of an 7 1 order issued under this section to all of the following: 7 2 a. The governor. 7 3 b. The secretary of the senate and the chief clerk of the 7 4 house of representatives. 7 5 c. The attorney general. 7 6 d. The Code editor and the administrative code editor. 7 7 4. The Code editor may recommend that any provision of 7 8 chapter 172C, as enacted in this Act, be amended or eliminated 7 9 in a Code editor's bill as necessary in order to conform the 7 10 provisions of the chapter as provided in this section. 7 11 Sec. 12. RULEMAKING. The department of agriculture and 7 12 land stewardship shall commence rulemaking as required in 7 13 section 172C.5, as enacted in this Act, as soon as practicable 7 14 upon the enactment of this Act. However, rules adopted by the 7 15 department shall not be made effective prior to July 1, 2000, 7 16 for a provision of this Act that takes effect on that date. 7 17 Sec. 13. EFFECTIVE DATES. 7 18 1. Except as provided in subsection 2, this Act takes 7 19 effect on July 1, 2000. 7 20 2. Section 172C.4, section 172C.6, subsection 2, section 7 21 172C.7, subsection 3, section 714.8, subsection 17, section 7 22 12, and this section as enacted by this Act, being deemed of 7 23 immediate importance, take effect upon enactment. 7 24 7 25 7 26 7 27 MARY E. KRAMER 7 28 President of the Senate 7 29 7 30 7 31 7 32 RON J. CORBETT 7 33 Speaker of the House 7 34 7 35 I hereby certify that this bill originated in the Senate and 8 1 is known as Senate File 436, Seventy-eighth General Assembly. 8 2 8 3 8 4 8 5 MICHAEL E. MARSHALL 8 6 Secretary of the Senate 8 7 Approved , 1999 8 8 8 9 8 10 8 11 THOMAS J. VILSACK 8 12 Governor
Text: SF00435 Text: SF00437 Text: SF00400 - SF00499 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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