[Congressional Record Volume 164, Number 106 (Monday, June 25, 2018)]
[Senate]
[Pages S4372-S4373]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 3074. Mr. LEE (for himself, Mr. Booker, and Ms. Hassan) submitted
an amendment intended to be proposed by him to the bill H.R. 2, to
provide for the reform and continuation of agricultural and other
programs of the Department of Agriculture through fiscal year 2023, and
for other purposes; which was ordered to lie on the table; as follows:
At the appropriate place, add the following:
SEC. ___. OPPORTUNITIES FOR FAIRNESS IN FARMING.
(a) Short Title.--This section may be cited as the
``Opportunities for Fairness in Farming Act of 2018''.
(b) Findings.--Congress finds that--
(1) the generic programs to promote and provide research
and information for an agricultural commodity (commonly known
as ``checkoff programs'') are intended to increase demand for
all of that agricultural commodity and benefit all assessed
producers of that agricultural commodity;
(2) although the laws establishing checkoff programs
broadly prohibit the use of funds in any manner for the
purpose of influencing legislation or government action,
checkoff programs have repeatedly been shown to use funds to
influence policy directly or by partnering with organizations
that lobby;
(3) the unlawful use of checkoff programs funds benefits
some agricultural producers while harming many others;
(4) to more effectively prevent Boards from using funds for
unlawful purposes, strict separation of engagement between
the Boards and policy entities is necessary;
(5) conflicts of interest in the checkoff programs allow
special interests to use checkoff program funds for the
benefit of some assessed agricultural producers at the
expense of many others;
(6) prohibiting conflicts of interest in checkoff programs
is necessary to ensure the proper and lawful operation of the
checkoff programs;
(7) checkoff programs are designed to promote agricultural
commodities, not to damage other types of agricultural
commodities through anticompetitive conduct or otherwise;
(8) prohibiting anticompetitive and similar conduct is
necessary to ensure proper and lawful operation of checkoff
programs;
(9) lack of transparency in checkoff programs enables
abuses to occur and conceals abuses from being discovered;
and
(10) requiring transparency in the expenditure of checkoff
program funds is necessary to prevent and uncover abuses in
checkoff programs.
(c) Definitions.--In this section:
(1) Board.--The term ``Board'' means a board, committee, or
similar entity established to carry out a checkoff program or
an order issued by the Secretary under a checkoff program.
(2) Checkoff program.--The term ``checkoff program'' means
a program to promote and provide research and information for
a particular agricultural commodity without reference to
specific producers or brands, including a program carried out
under any of the following:
(A) The Cotton Research and Promotion Act (7 U.S.C. 2101 et
seq.).
(B) The Potato Research and Promotion Act (7 U.S.C. 2611 et
seq.).
(C) The Egg Research and Consumer Information Act (7 U.S.C.
2701 et seq.).
(D) The Beef Research and Information Act (7 U.S.C. 2901 et
seq.).
(E) The Wheat and Wheat Foods Research and Nutrition
Education Act (7 U.S.C. 3401 et seq.).
(F) The Floral Research and Consumer Information Act (7
U.S.C. 4301 et seq.).
(G) Subtitle B of the Dairy Production Stabilization Act of
1983 (7 U.S.C. 4501 et seq.).
(H) The Honey Research, Promotion, and Consumer Information
Act (7 U.S.C. 4601 et seq.).
(I) The Pork Promotion, Research, and Consumer Information
Act of 1985 (7 U.S.C. 4801 et seq.).
(J) The Watermelon Research and Promotion Act (7 U.S.C.
4901 et seq.).
(K) The Pecan Promotion and Research Act of 1990 (7 U.S.C.
6001 et seq.).
(L) The Mushroom Promotion, Research, and Consumer
Information Act of 1990 (7 U.S.C. 6101 et seq.).
(M) The Lime Research, Promotion, and Consumer Information
Act of 1990 (7 U.S.C. 6201 et seq.).
(N) The Soybean Promotion, Research, and Consumer
Information Act (7 U.S.C. 6301 et seq.).
(O) The Fluid Milk Promotion Act of 1990 (7 U.S.C. 6401 et
seq.).
(P) The Fresh Cut Flowers and Fresh Cut Greens Promotion
and Information Act of 1993 (7 U.S.C. 6801 et seq.).
(Q) The Sheep Promotion, Research, and Information Act of
1994 (7 U.S.C. 7101 et seq.).
(R) Section 501 of the Federal Agriculture Improvement and
Reform Act of 1996 (7 U.S.C. 7401).
(S) The Commodity Promotion, Research, and Information Act
of 1996 (7 U.S.C. 7411 et seq.).
(T) The Canola and Rapeseed Research, Promotion, and
Consumer Information Act (7 U.S.C. 7441 et seq.).
(U) The National Kiwifruit Research, Promotion, and
Consumer Information Act (7 U.S.C. 7461 et seq.).
(V) The Popcorn Promotion, Research, and Consumer
Information Act (7 U.S.C. 7481 et seq.).
(W) The Hass Avocado Promotion, Research, and Information
Act of 2000 (7 U.S.C. 7801 et seq.).
(3) Conflict of interest.--The term ``conflict of
interest'' means a direct or indirect financial interest in a
person or entity that performs a service for, or enters into
a contract or agreement with, a Board for anything of
economic value.
(4) Secretary.--The term ``Secretary'' means the Secretary
of Agriculture.
(d) Requirements of Checkoff Programs.--
(1) Prohibitions.--
(A) Influencing government policy or action.--
(i) In general.--A Board shall not enter into any contract
or agreement to carry out checkoff program activities with a
party that engages in activities for the purpose of
influencing any government policy or action that relates to
agriculture.
(ii) Savings clause.--Nothing in clause (i) prohibits a
contract or agreement entered into between a Board and an
institution of higher education for the purpose of research,
extension, or education.
(B) Conflict of interest.--A Board shall not engage in, and
shall prohibit the employees and agents of the Board, acting
in their official capacity, from engaging in, any act that
may involve a conflict of interest.
(C) Other prohibitions.--A Board shall not engage in, and
shall prohibit the employees and agents of the Board, acting
in their official capacity, from engaging in--
(i) any anticompetitive activity;
(ii) any unfair or deceptive act or practice; or
(iii) any act that may be disparaging to, or in any way
negatively portray, another agricultural commodity or
product.
(2) Authority to enter into contracts.--Notwithstanding any
other provision of law, on approval of the Secretary, a Board
may enter directly into contracts and agreements to carry out
generic promotion, research, or other activities authorized
by law.
(3) Production of records.--
(A) In general.--Each contract or agreement of a checkoff
program shall provide that the entity that enters into the
contract or agreement shall produce to the Board accurate
records that account for all funds received under the
contract or agreement, including any goods or services
provided or costs incurred in connection with the contract or
agreement.
(B) Maintenance of records.--A Board shall maintain any
records received under subparagraph (A).
(4) Publication of budgets and disbursements.--
(A) In general.--The Board shall publish and make available
for public inspection all budgets and disbursements of funds
entrusted to the Board that are approved by the Secretary,
immediately on approval by the Secretary.
(B) Required disclosures.--In carrying out subparagraph
(A), the Board shall disclose--
(i) the amount of the disbursement;
(ii) the purpose of the disbursement, including the
activities to be funded by the disbursement;
(iii) the identity of the recipient of the disbursement;
and
(iv) the identity of any other parties that may receive the
disbursed funds, including any contracts or subcontractors of
the recipient of the disbursement.
(5) Audits.--
(A) Periodic audits by inspector general of usda.--
(i) In general.--Not later than 2 years after the date of
enactment of this Act, and not less frequently than every 5
years thereafter, the Inspector General of the Department of
Agriculture shall conduct an audit to determine the
compliance of each checkoff program with this section during
the period of time covered by the audit.
(ii) Review of records.--An audit conducted under clause
(i) shall include a review of any records produced to the
Board under paragraph (3)(A).
(iii) Submission of reports.--On completion of each audit
under clause (i), the Inspector General of the Department of
Agriculture shall--
(I) prepare a report describing the audit; and
[[Page S4373]]
(II) submit the report described in subclause (I) to--
(aa) the appropriate committees of Congress, including the
Subcommittee on Antitrust, Competition Policy and Consumer
Rights of the Committee on the Judiciary of the Senate; and
(bb) the Comptroller General of the United States.
(B) Audit by comptroller general.--
(i) In general.--Not earlier than 3 years, and not later
than 5 years, after the date of enactment of this Act, the
Comptroller General of the United States shall--
(I) conduct an audit to assess--
(aa) the status of actions taken for each checkoff program
to ensure compliance with this section; and
(bb) the extent to which actions described in item (aa)
have improved the integrity of a checkoff program; and
(II) prepare a report describing the audit conducted under
subclause (I), including any recommendations for--
(aa) strengthening the effect of actions described in
subclause (I)(aa); and
(bb) improving Federal legislation relating to checkoff
programs.
(ii) Consideration of inspector general reports.--The
Comptroller General of the United States shall consider
reports described in subparagraph (A)(iii) in preparing any
recommendations in the report under clause (i)(II).
(e) Severability.--If any provision of this section or the
application of such provision to any person or circumstance
is held to be unconstitutional, the remainder of this
section, and the application of the provision to any other
person or circumstance, shall not be affected.
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