I 

112TH CONGRESS 

1ST SESSION H. R. 3395 

To enable concrete masonry products manufacturers and importers to establish, finance, and carry out a coordinated program of research, education, 

and promotion to improve, maintain, and develop markets for concrete 

masonry products. 

IN THE HOUSE OF REPRESENTATIVES 

NOVEMBER 4, 2011 

Mr. SHIMKUS (for himself and Ms. BALDWIN) introduced the following bill; 

which was referred to the Committee on Energy and Commerce, and in 

addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such 

provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To enable concrete masonry products manufacturers and importers to establish, finance, and carry out a coordinated 

program of research, education, and promotion to improve, maintain, and develop markets for concrete masonry products. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Concrete Masonry 

5 Products Research, Education, and Promotion Act of 

6 2011’’. 


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1 SEC. 2. FINDINGS AND DECLARATION OF POLICY. 

2 (a) FINDINGS.—Congress finds the following: 

3 (1) The production of concrete masonry prod4 ucts plays a significant role in the Nation’s economy. 

5 (2) Concrete masonry products are produced by 

6 hundreds of concrete manufacturers and utilized 

7 throughout the United States and foreign countries. 

8 (3) Concrete masonry products move in the 

9 channels of interstate and foreign commerce, and 

10 concrete masonry products that do not move in such 

11 channels of commerce directly burden or affect inter12 state commerce of concrete masonry products. 

13 (4) The concrete masonry products industry 

14 employs thousands of workers and positively impacts 

15 economic stability throughout the United States. 

16 (5) The maintenance and expansion of existing 

17 markets for concrete masonry products and the de18 velopment of new markets is vital to the welfare of 

19 concrete manufacturers in the United States and 

20 those concerned with marketing and using concrete 

21 masonry products as well as the general economic 

22 welfare of the Nation. 

23 (6) The concrete masonry products industry 

24 plays a vital role in providing safe, environmentally 

25 sustainable, and economical construction for citizens 

26 of the United States and abroad. Concrete masonry 


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1 products are used for the construction of structures 

2 that protect and provide shelter for citizens during 

3 disasters (earthquakes, floods, hurricanes, tornados, 

4 fire, etc.). Concrete masonry structures provide en5 ergy efficiencies to reduce American energy de6 mands. Concrete masonry provides for durable struc7 tures that support sustainability objectives, reducing 

8 long-term demands on natural resources. Concrete 

9 masonry products are made using locally available 

10 resources throughout the United States, reducing 

11 transportation and infrastructure demands. Concrete 

12 masonry products are used to support the construc13 tion of durable and cost-efficient, low-income hous14 ing. 

15 (b) PURPOSE.—The purpose of this Act is to author16 ize the establishment of an orderly program for devel17 oping, financing, and carrying out an effective, contin18 uous, and coordinated program of research, education, and 

19 promotion, including funds for marketing and market re20 search activities, that is designed to— 

21 (1) strengthen the position of the concrete ma22 sonry products industry in the domestic market23 place; 


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1 (2) maintain, develop, and expand markets and 

2 uses for concrete masonry products in the domestic 

3 and foreign marketplaces; and 

4 (3) promote the use of concrete masonry prod5 ucts in environmentally sustainable construction and 

6 building. 

7 (c) LIMITATION.—Nothing in this Act may be con8 strued to provide for the control of production or otherwise 

9 limit the right of any person to manufacture or import 

10 concrete masonry products. 

11 SEC. 3. DEFINITIONS. 

12 For the purposes of this Act: 

13 (a) BLOCK MACHINE.—The term ‘‘block machine’’ 

14 means a piece of equipment that utilizes vibration and 

15 compaction to form concrete masonry products. 

16 (b) BOARD.—The term ‘‘Board’’ means the Concrete 

17 Masonry Products Board established under section 5. 

18 (c) CAVITY.—The term ‘‘cavity’’ means the open 

19 space in the mold of a block machine capable of forming 

20 a single concrete masonry unit having nominal plan di21 mensions of 8 inches by 16 inches. 

22 (d) COMMERCE.—The term ‘‘commerce’’ includes 

23 interstate, foreign, and intrastate commerce. 

24 (e) CONCRETE MASONRY PRODUCTS.—The term 

25 ‘‘concrete masonry products’’ refers to a broader class of 


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1 products, including concrete masonry units as well as 

2 hardscape products such as concrete pavers and segmental 

3 retaining wall units, manufactured on a block machine 

4 using dry-cast concrete. 

5 (f) CONCRETE MASONRY UNIT.—The term ‘‘concrete 

6 masonry unit’’ means a concrete masonry product that is 

7 a manmade masonry unit having an actual width of 3 

8 inches or greater and manufactured from dry-cast con9 crete using a block machine. Such term includes concrete 

10 block and related concrete units used in masonry applica11 tions. 

12 (g) CUSTOMS.—The term ‘‘Customs’’ means United 

13 States Customs and Border Protection. 

14 (h) DEPARTMENT.—The term ‘‘Department’’ means 

15 the Department of Commerce. 

16 (i) DRY-CAST CONCRETE.—The term ‘‘dry-cast con17 crete’’ means a composite material that is composed essen18 tially of aggregates embedded in a binding medium com19 posed of a mixture of cementitious materials (including 

20 hydraulic cement, pozzolans, or other cementitious mate21 rials) and water of such a consistency to maintain its 

22 shape after forming in a block machine. 

23 (j) EDUCATION.—The term ‘‘education’’ means pro24 grams that will educate or communicate the benefits of 

25 concrete masonry products in safe and environmentally 


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1 sustainable development, advancements in concrete ma2 sonry product technology and development, and other in3 formation and programs designed to generate increased 

4 demand for commercial, residential, multi-family, and in5 stitutional projects using concrete masonry products and 

6 to generally enhance the image of concrete masonry prod7 ucts. 

8 (k) IMPORTER.—The term ‘‘importer’’ means a per9 son that imports concrete masonry products into the 

10 United States. 

11 (l) MACHINE CAVITIES.—The term ‘‘machine cav12 ities’’ means the cavities with which a block machine could 

13 be equipped. 

14 (m) MACHINE CAVITIES IN OPERATION.—The term 

15 ‘‘machine cavities in operation’’ means those machine cav16 ities associated with a block machine that have produced 

17 concrete masonry units within the last six months of the 

18 date set for determining eligibility and is fully operable 

19 and capable of producing concrete masonry units. 

20 (n) MASONRY UNIT.—The term ‘‘masonry unit’’ 

21 means a noncombustible building product intended to be 

22 laid by hand or joined using mortar, grout, surface bond23 ing, post-tensioning or some combination of these meth24 ods. 


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1 (o) MANUFACTURER.—The term ‘‘manufacturer’’ 

2 means any person engaged in the manufacturing of com3 mercial concrete masonry products. 

4 (p) ORDER.—The term ‘‘order’’ means an order 

5 issued under section 4. 

6 (q) PERSON.—The term ‘‘person’’ means any indi7 vidual, group of individuals, partnership, corporation, as8 sociation, cooperative, or any other entity. 

9 (r) PROMOTION.—The term ‘‘promotion’’ means any 

10 action, including paid advertising, to advance the image 

11 and desirability of concrete masonry products with the ex12 press intent of improving the competitive position and 

13 stimulating sales of concrete masonry products in the mar14 ketplace. 

15 (s) RESEARCH.—The term ‘‘research’’ means studies 

16 testing the effectiveness of market development and pro17 motion efforts, studies relating to the improvement of con18 crete masonry products and new product development, and 

19 studies documenting the performance of concrete ma20 sonry. 

21 (t) SECRETARY.—The term ‘‘Secretary’’ means the 

22 Secretary of Commerce. 

23 (u) UNITED STATES.—The term ‘‘United States’’ 

24 means the several States and the District of Columbia. 


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1 SEC. 4. ISSUANCE OF ORDERS. 

2 (a) IN GENERAL.— 

3 (1) ISSUANCE.—The Secretary, subject to the 

4 procedures provided in subsection (b), shall issue or5 ders under this Act applicable to— 

6 (A) manufacturers of concrete masonry 

7 products; and 

8 (B) importers of concrete masonry prod9 ucts, if imports of concrete masonry products 

10 are subject to assessment under the order. 

11 (2) SCOPE.—Any order shall be national in 

12 scope. 

13 (3) ONE ORDER.—Not more than one order 

14 shall be in effect at any one time. 

15 (b) PROCEDURES.— 

16 (1) DEVELOPMENT OR RECEIPT OF PROPOSED

17 ORDER.—A proposed order with respect to concrete 

18 masonry products may be— 

19 (A) prepared by the Secretary at any time; 

20 or 

21 (B) requested by or submitted to the Sec22 retary by— 

23 (i) an existing national organization of 

24 concrete masonry product manufacturers 

25 or importers; or 


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1 (ii) any person that may be affected 

2 by the issuance of an order with respect to 

3 concrete masonry products. 

4 (2) PUBLICATION OF PROPOSED ORDER.—Not 

5 later than 60 days after receiving a proposed order 

6 or a request for a proposed order in accordance with 

7 subparagraph (B), the Secretary shall publish a pro8 posed order in the Federal Register and give 30 

9 days notice and opportunity for public comment on 

10 the proposed order. 

11 (3) ISSUANCE OF ORDER.— 

12 (A) IN GENERAL.—After notice and oppor13 tunity for public comment are provided in ac14 cordance with paragraph (2), the Secretary 

15 shall issue the order, taking into consideration 

16 the comments received and including in the 

17 order such provisions as are necessary to ensure 

18 that the order is in conformity with this Act. 

19 (B) EFFECTIVE DATE.—The order shall be 

20 issued and become effective only after an af21 firmative vote in a referendum as provided in 

22 section 7, but not later than 120 days after 

23 publication of the proposed order. 

24 (c) AMENDMENTS.—The Secretary may, from time to 

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1 ble to an order shall be applicable to any amendment to 

2 an order. 

3 SEC. 5. REQUIRED TERMS IN ORDERS. 

4 (a) IN GENERAL.—Any order issued under this Act 

5 shall contain the terms and provisions specified in this sec6 tion. 

7 (b) CONCRETE MASONRY PRODUCTS BOARD.— 

8 (1) ESTABLISHMENT AND MEMBERSHIP.— 

9 (A) ESTABLISHMENT.—The order shall 

10 provide for the establishment of a Concrete Ma11 sonry Products Board (referred to in this Act 

12 as the ‘‘Board’’) to carry out a program of ge13 neric promotion, research, and information re14 garding concrete masonry products. 

15 (B) MEMBERSHIP.— 

16 (i) NUMBER OF MEMBERS.—The 

17 Board shall consist of not more than 25 

18 members. 

19 (ii) APPOINTMENT.—The members of 

20 the Board shall be appointed by the Sec21 retary from nominations submitted as pro22 vided in this subsection. 

23 (iii) COMPOSITION.—The Board shall 

24 consist of manufacturers. If imports of 

25 concrete masonry products are subject to 


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1 assessment under the order, the Secretary 

2 shall also appoint importers as members of 

3 the Board. 

4 (2) DISTRIBUTION OF APPOINTMENTS.— 

5 (A) GEOGRAPHICAL REPRESENTATION.— 

6 To ensure fair and equitable representation of 

7 the concrete masonry products industry, the 

8 composition of the Board shall reflect the geo9 graphical distribution of the manufacture of 

10 concrete masonry products in the United 

11 States, the types of concrete masonry products 

12 manufactured, and the quantity or value of the 

13 concrete masonry products imported into the 

14 United States, if imports of concrete masonry 

15 products are covered under the order. 

16 (B) ADJUSTMENT IN BOARD REPRESENTA17 TION.—Three years after the assessment of 

18 concrete masonry products commences pursuant 

19 to an order, and at the end of each three-year 

20 period thereafter, the Board, subject to the re21 view and approval of the Secretary, shall, if 

22 warranted, recommend to the Secretary the re23 apportionment of the Board membership to re24 flect changes in the geographical distribution of 

25 the manufacture of concrete masonry products, 


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1 the types of concrete masonry products manu2 factured, and the quantity or value of imported 

3 concrete masonry products. 

4 (3) NOMINATIONS PROCESS.—The order shall 

5 provide the following: 

6 (A) NUMBER OF NOMINATIONS.—Two 

7 nominees shall be submitted for each appoint8 ment to the Board. 

9 (B) PROCEDURE.—Nominations for each 

10 appointment of a manufacturer or an importer 

11 shall be made by manufacturers or importers, 

12 respectively, in accordance with procedures 

13 specified in the order. 

14 (C) FAILURE TO NOMINATE.—In any case 

15 in which manufacturers or importers fail to 

16 nominate individuals for an appointment to the 

17 Board, the Secretary may appoint an individual 

18 to fill the vacancy on a basis provided in the 

19 order or other regulations of the Secretary. 

20 (D) FAILURE TO APPOINT.—If the Sec21 retary fails to make an appointment to the 

22 Board within 30 days of receiving nominations 

23 for such appointment, the first nominee for 

24 such appointment shall be deemed appointed. 


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1 (4) ALTERNATES.—The order shall provide for 

2 the selection of alternate members of the Board by 

3 the Secretary in accordance with procedures speci4 fied in the order. 

5 (5) TERMS.— 

6 (A) IN GENERAL.—The members and any 

7 alternates of the Board shall each serve for a 

8 term of three years, except that members and 

9 any alternates initially appointed to the Board 

10 shall serve for terms of not more than two, 

11 three, and four years, as specified by the order. 

12 (B) LIMITATION ON CONSECUTIVE

13 TERMS.—A member or alternate may serve not 

14 more than two consecutive terms. 

15 (C) CONTINUATION OF TERM.—Notwith16 standing subparagraph (B), each member or al17 ternate shall continue to serve until a successor 

18 is appointed by the Secretary. 

19 (D) VACANCIES.—A vacancy arising before 

20 the expiration of a term of office of an incum21 bent member or alternate of the Board shall be 

22 filled in a manner provided for in the order. 

23 (6) DISQUALIFICATION FROM BOARD SERV24 ICE.—The order shall provide that if a member or 

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1 ufacturer or importer ceases to qualify as a manu2 facturer or importer, respectively, such member or 

3 alternate shall be disqualified from serving on the 

4 Board. 

5 (7) COMPENSATION.— 

6 (A) IN GENERAL.—Members and any al7 ternates of the Board shall serve without com8 pensation. 

9 (B) TRAVEL EXPENSES.—If approved by 

10 the Board, members or alternates shall be reim11 bursed for reasonable travel expenses, which 

12 may include per diem allowance or actual sub13 sistence incurred while away from their homes 

14 or regular places of business in the performance 

15 of services for the Board. 

16 (c) POWERS AND DUTIES OF THE BOARD.—The 

17 order shall specify the powers and duties of the Board, 

18 which shall include the power and duty— 

19 (1) to administer the order in accordance with 

20 its terms and conditions and to collect assessments; 

21 (2) to develop and recommend to the Secretary 

22 for approval such bylaws as may be necessary for 

23 the functioning of the Board and such rules as may 

24 be necessary to administer the order, including ac25 tivities authorized to be carried out under the order; 


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1 (3) to meet, organize, and select from among 

2 members of the Board a chairperson, other officers, 

3 and committees and subcommittees, as the Board 

4 determines appropriate; 

5 (4) to establish regional organizations or com6 mittees to administer regional initiatives; 

7 (5) to establish working committees of persons 

8 other than Board members; 

9 (6) to employ such persons, other than the 

10 members, as the Board considers necessary, and to 

11 determine the compensation and specify the duties 

12 of the persons; 

13 (7) to prepare and submit for the approval of 

14 the Secretary, before the beginning of each fiscal 

15 year, rates of assessment under section 6 and an an16 nual budget of the anticipated expenses to be in17 curred in the administration of the order, including 

18 the probable cost of each promotion, research, and 

19 information activity proposed to be developed or car20 ried out by the Board; 

21 (8) to borrow funds necessary for the startup 

22 expenses of the order; 

23 (9) to carry out research, education, and pro24 motion programs and projects, and to pay the costs 


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1 of such programs and projects with assessments col2 lected under section 6; 

3 (10) subject to subsection (e), to enter into con4 tracts or agreements to develop and carry out pro5 grams or projects of research, education, and pro6 motion relating to concrete masonry products; 

7 (11) to keep minutes, books, and records that 

8 reflect the actions and transactions of the Board, 

9 and promptly report minutes of each Board meeting 

10 to the Secretary; 

11 (12) to receive, investigate, and report to the 

12 Secretary complaints of violations of the order; 

13 (13) to furnish the Secretary with such infor14 mation as the Secretary may request; 

15 (14) to recommend to the Secretary such 

16 amendments to the order as the Board considers ap17 propriate; and 

18 (15) to provide the Secretary with advance no19 tice of meetings. 

20 (d) PROGRAMS AND PROJECTS; BUDGETS; EX21 PENSES.— 

22 (1) PROGRAMS AND PROJECTS.—The order 

23 shall require the Board to submit to the Secretary 

24 for approval any program or project of research, 

25 education, or promotion. 


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1 (2) BUDGETS.— 

2 (A) SUBMISSION.—The order shall require 

3 the Board to submit to the Secretary for ap4 proval a budget of the anticipated expenses and 

5 disbursements of the Board in the implementa6 tion of the order, including the projected costs 

7 of concrete masonry products research, edu8 cation, and promotion programs and projects. 

9 (B) TIMING.—The budget shall be sub10 mitted before the beginning of a fiscal year and 

11 as frequently as may be necessary after the be12 ginning of the fiscal year. 

13 (C) APPROVAL.—If the Secretary fails to 

14 approve or reject a budget within 30 days of re15 ceipt, such budget shall be deemed approved. 

16 (3) ADMINISTRATIVE EXPENSES.— 

17 (A) INCURRING EXPENSES.—A board may 

18 incur the expenses described in paragraph (2) 

19 and other expenses for the administration, 

20 maintenance, and functioning of the Board as 

21 authorized by the Secretary. 

22 (B) PAYMENT OF EXPENSES.—Expenses 

23 incurred under subparagraph (A) shall be paid 

24 by the Board using assessments collected under 

25 section 6, earnings obtained from assessments, 


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1 and other income of the Board. Any funds bor2 rowed by the Board shall be expended only for 

3 startup costs and capital outlays. 

4 (C) LIMITATION ON SPENDING.—For fiscal 

5 years beginning three or more years after the 

6 date of establishment of the Board, the Board 

7 may not expend for administration (except for 

8 reimbursement to the Secretary required under 

9 subparagraph (D)), maintenance, and func10 tioning of the Board in a fiscal year an amount 

11 that exceeds 10 percent of the assessment and 

12 other income received by the Board for the fis13 cal year. 

14 (D) REIMBURSEMENT OF SECRETARY.— 

15 The order shall require that the Secretary be 

16 reimbursed from assessments for all expenses 

17 incurred by the Secretary in the implementa18 tion, administration, and supervision of the 

19 order, including all referenda costs incurred in 

20 connection with the order. 

21 (e) CONTRACTS AND AGREEMENTS.— 

22 (1) IN GENERAL.—The order shall provide that, 

23 with the approval of the Secretary, the Board may— 

24 (A) enter into contracts and agreements to 

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1 cation, and promotion activities relating to con2 crete masonry products, including contracts and 

3 agreements with manufacturer associations or 

4 other entities as considered appropriate by the 

5 Secretary; 

6 (B) enter into contracts and agreements 

7 for administrative services; and 

8 (C) pay the cost of approved research, edu9 cation, and promotion programs and projects 

10 using assessments collected under section 6, 

11 earnings obtained from assessments, and other 

12 income of the Board. 

13 (2) REQUIREMENTS.—Each contract or agree14 ment shall provide that any person who enters into 

15 the contract or agreement with the Board shall— 

16 (A) develop and submit to the Board a 

17 proposed activity together with a budget that 

18 specifies the cost to be incurred to carry out the 

19 activity; 

20 (B) keep accurate records of all of trans21 actions relating to the contract or agreement; 

22 (C) account for funds received and ex23 pended in connection with the contract or 

24 agreement; 


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1 (D) make periodic reports to the Board of 

2 activities conducted under the contract or 

3 agreement; and 

4 (E) make such other reports as the Board 

5 or the Secretary considers relevant. 

6 (3) FAILURE TO APPROVE.—If the Secretary 

7 fails to approve or reject a contract or agreement 

8 entered into under paragraph (1) within 30 days of 

9 receipt, the contract or agreement shall be deemed 

10 approved. 

11 (f) BOOKS AND RECORDS OF BOARD.— 

12 (1) IN GENERAL.—The order shall require the 

13 Board to— 

14 (A) maintain such books and records 

15 (which shall be available to the Secretary for in16 spection and audit) as the Secretary may re17 quire; 

18 (B) collect and submit to the Secretary, at 

19 any time the Secretary may specify, any infor20 mation the Secretary may request; and 

21 (C) account for the receipt and disburse22 ment of all funds in the possession, or under 

23 the control, of the Board. 

24 (2) AUDITS.—The order shall require the Board 

25 to have— 


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1 (A) the books and records of the Board au2 dited by an independent auditor at the end of 

3 each fiscal year; and 

4 (B) a report of the audit submitted di5 rectly to the Secretary. 

6 (g) PROHIBITED ACTIVITIES.— 

7 (1) IN GENERAL.—Subject to paragraph (2), 

8 the Board shall not engage in any action to, nor 

9 shall any funds received by the Board under this Act 

10 be used to— 

11 (A) influence legislation or governmental 

12 action; 

13 (B) engage in an action that would be a 

14 conflict of interest; or 

15 (C) engage in advertising that is false or 

16 misleading. 

17 (2) EXCEPTIONS.—Paragraph (1) does not pre18 clude— 

19 (A) the development and recommendation 

20 of amendments to the order; 

21 (B) the communication to appropriate gov22 ernment officials of information relating to the 

23 conduct, implementation, or results of research, 

24 education, and promotion activities under the 

25 order; or 


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1 (C) any action designed to market concrete 

2 masonry products directly to a foreign govern3 ment or political subdivision of a foreign gov4 ernment. 

5 (h) PERIODIC EVALUATION.—The order shall require 

6 the Board to provide for the independent evaluation of all 

7 research, education, and promotion activities undertaken 

8 under the order. 

9 (i) BOOKS AND RECORDS OF PERSONS COVERED BY

10 ORDER.— 

11 (1) IN GENERAL.—The order shall require that 

12 manufacturers and importers of concrete masonry 

13 products shall— 

14 (A) maintain records sufficient to ensure 

15 compliance with the order and regulations; 

16 (B) submit to the Board any information 

17 required by the Board to carry out its respon18 sibilities; and 

19 (C) make the records described in subpara20 graph (A) available, during normal business 

21 hours, for inspection by employees or agents of 

22 the Board or the Department, including any 

23 records necessary to verify information required 

24 under subparagraph (B). 


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1 (2) TIME REQUIREMENT.—Any record required 

2 to be maintained under paragraph (1) shall be main3 tained for such time period as the Secretary may 

4 prescribe. 

5 (3) CONFIDENTIALITY OF INFORMATION.— 

6 (A) IN GENERAL.—Except as otherwise 

7 provided in this Act, all information obtained 

8 under paragraph (1) or as part of a referendum 

9 under section 7 shall be kept confidential by all 

10 officers, employees, and agents of the Depart11 ment and of the Board. 

12 (B) SUITS AND HEARINGS.—Information 

13 referred to in subparagraph (A) may be dis14 closed only if— 

15 (i) the Secretary considers the infor16 mation relevant; and 

17 (ii) the information is revealed in a 

18 judicial proceeding or administrative hear19 ing brought at the direction or on the re20 quest of the Secretary or to which the Sec21 retary or any officer of the Department is 

22 a party. 

23 (C) GENERAL STATEMENTS AND PUBLICA24 TIONS.—This paragraph does not prohibit— 


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1 (i) the issuance of general statements 

2 based on reports or on information relating 

3 to a number of persons subject to an order 

4 if the statements do not identify the infor5 mation furnished by any person; or 

6 (ii) the publication, by direction of the 

7 Secretary, of the name of any person vio8 lating any order and a statement of the 

9 particular provisions of the order violated 

10 by the person. 

11 (D) PENALTY.—Any person who willfully 

12 violates this subsection shall be fined not more 

13 than $5,000, imprisoned not more than 1 year, 

14 or both. 

15 (4) WITHHOLDING INFORMATION.—This sub16 section does not authorize the withholding of infor17 mation from Congress. 

18 SEC. 6. ASSESSMENTS. 

19 (a) ASSESSMENTS.— 

20 (1) MANUFACTURERS.—The order shall provide 

21 that assessments shall be paid by manufacturers 

22 with respect to concrete masonry products manufac23 tured and marketed in the United States. 

24 (2) IMPORTERS.—The order may provide that 

25 assessments shall be paid by importers with respect 


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1 to concrete masonry products imported into the 

2 United States. 

3 (b) COLLECTION.— 

4 (1) MANUFACTURERS.—Except as provided in 

5 paragraph (2), assessments required under the order 

6 shall be remitted by the manufacturer to the Board 

7 in the manner prescribed by the order. 

8 (2) IMPORTERS.—An assessment on imported 

9 concrete masonry products shall be paid by the im10 porter to Customs at the time of entry into the 

11 United States and shall be remitted by Customs to 

12 the Board in the manner prescribed by the order. 

13 (3) TIMING.—The order shall provide that as14 sessments required under the order shall be remitted 

15 to the Board no less than quarterly. 

16 (4) RECORDS.—As part of the remittance of as17 sessments, manufacturers shall identify the total 

18 amount due in assessments on all sales receipts, in19 voices or other commercial documents of sale as a 

20 result of the sale of concrete masonry units in a 

21 manner as prescribed by the Board to ensure com22 pliance with the order. 

23 (c) ASSESSMENT RATES.—With respect to assess24 ment rates, the order shall contain the following terms: 


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1 (1) INITIAL RATE.—The assessment rate on 

2 concrete masonry products shall be $0.01 per con3 crete masonry unit sold. 

4 (2) CHANGES IN THE RATE.— 

5 (A) AUTHORITY TO CHANGE RATE.—The 

6 Board shall have the authority to change the 

7 assessment rate. A two-thirds majority of voting 

8 members of the Board shall be required to ap9 prove a change in the assessment rate. 

10 (B) LIMITATION ON INCREASES.—An in11 crease or decrease in the assessment rate with 

12 respect to concrete masonry products may not 

13 exceed $0.01 per concrete masonry unit sold. 

14 (C) MAXIMUM RATE.—The assessment 

15 rate shall not be in excess of $0.05 per concrete 

16 masonry unit. 

17 (D) LIMITATION ON FREQUENCY OF

18 CHANGES.—The assessment rate may not be in19 creased or decreased more than once annually. 

20 (d) LATE-PAYMENT AND INTEREST CHARGES.— 

21 (1) IN GENERAL.—Late-payment and interest 

22 charges may be levied on each person subject to the 

23 order who fails to remit an assessment in accordance 

24 with subsection (b). 


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1 (2) RATE.—The rate for late-payment and in2 terest charges shall be specified by the Secretary. 

3 (e) INVESTMENT OF ASSESSMENTS.—Pending dis4 bursement of assessments under a budget approved by the 

5 Secretary, a board may invest assessments collected under 

6 this section in— 

7 (1) obligations of the United States or any 

8 agency of the United States; 

9 (2) general obligations of any State or any po10 litical subdivision of a State; 

11 (3) interest-bearing accounts or certificates of 

12 deposit of financial institutions that are members of 

13 the Federal Reserve System; or 

14 (4) obligations fully guaranteed as to principal 

15 and interest by the United States. 

16 (f) ASSESSMENT FUNDS FOR REGIONAL INITIA17 TIVES.— 

18 (1) IN GENERAL.—The order shall provide that 

19 no less than 50 percent of the assessments (less ad20 ministration expenses) paid by a manufacturer shall 

21 be used to support research, education and pro22 motion plans and projects in support of the geo23 graphic region of the manufacturer. 

24 (2) GEOGRAPHIC REGIONS.—The order shall 

25 provide for the following geographic regions: 


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1 (A) Region I shall comprise Connecticut, 

2 Delaware, Maine, Maryland, Massachusetts, 

3 New Hampshire, New Jersey, New York, Penn4 sylvania, Rhode Island, Vermont, and West Vir5 ginia. 

6 (B) Region II shall comprise Alabama, 

7 Florida, Georgia, Mississippi, North Carolina, 

8 South Carolina, Tennessee, and Virginia. 

9 (C) Region III shall comprise Illinois, Indi10 ana, Iowa, Kentucky, Michigan, Minnesota, Ne11 braska, North Dakota, Ohio, South Dakota, 

12 and Wisconsin. 

13 (D) Region IV shall comprise Arizona, Ar14 kansas, Kansas, Louisiana, Missouri, New Mex15 ico, Oklahoma, and Texas. 

16 (E) Region V shall comprise Alaska, Cali17 fornia, Colorado, Hawaii, Idaho, Montana, Ne18 vada, Oregon, Utah, Washington, and Wyo19 ming. 

20 (3) ADJUSTMENT OF GEOGRAPHIC REGIONS.— 

21 The order shall provide that the Secretary may, 

22 upon recommendation of the Board, modify the com23 position of the geographic regions described in para24 graph (2). 


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1 SEC. 7. REFERENDA. 

2 (a) INITIAL REFERENDUM.— 

3 (1) REFERENDUM REQUIRED.—During the 60- 

4 day period immediately preceding the proposed effec5 tive date of the order issued under section 4, the 

6 Secretary shall conduct a referendum among manu7 facturers and importers required to pay assessments 

8 under the order, as provided in section 6. 

9 (2) APPROVAL OF ORDER NEEDED.—The order 

10 shall become effective only if the Secretary deter11 mines that the order has been approved by a simple 

12 majority of all votes cast in the referendum. 

13 (b) VOTES PERMITTED.— 

14 (1) MANUFACTURERS.—Each manufacturer eli15 gible to vote in a referendum conducted under this 

16 section shall be entitled to cast one vote for each 

17 machine cavity in operation that is operated by such 

18 manufacturer if they satisfy the eligibility require19 ments as defined in paragraph (3). 

20 (2) IMPORTERS.—Each importer eligible to vote 

21 in a referendum conducted under this section shall 

22 be entitled to cast one vote if they satisfy the eligi23 bility requirements as defined in paragraph (3). 

24 (3) ELIGIBILITY.—For purposes of paragraphs 

25 (1) and (2), manufacturers and importers shall be 

26 considered to be eligible to vote if they have manuVerDate Mar 15 2010 01:59 Nov 11, 2011 Jkt 019200 PO 00000 Frm 00029 Fmt 6652 Sfmt 6201 E:\BILLS\H3395.IH H3395

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1 factured or imported concrete masonry products 

2 during a period of at least six months prior to the 

3 referendum. 

4 (c) MANNER OF CONDUCTING REFERENDA.— 

5 (1) IN GENERAL.—Referenda conducted pursu6 ant to this section shall be conducted in a manner 

7 determined by the Secretary. 

8 (2) ADVANCE REGISTRATION.—A manufacturer 

9 or importer who chooses to vote in any referendum 

10 conducted under this section shall register with the 

11 Secretary prior to the voting period, after receiving 

12 notice from the Secretary concerning the referendum 

13 under paragraph (4). 

14 (3) VOTING.—The Secretary shall establish pro15 cedures for voting in any referendum conducted 

16 under this section. The ballots and other information 

17 or reports that reveal or tend to reveal the identity 

18 or vote of voters shall be strictly confidential. 

19 (4) NOTICE.—Not later than 30 days before a 

20 referendum is conducted under this section with re21 spect to an order, the Secretary shall notify all man22 ufacturers and importers, in such a manner as de23 termined by the Secretary, of the period during 

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1 tice shall explain any registration and voting proce2 dures established under this subsection. 

3 (d) SUBSEQUENT REFERENDA.—If an order is ap4 proved in a referendum conducted under subsection (a), 

5 the Secretary shall conduct a subsequent referendum— 

6 (1) at the request of the Board, subject to the 

7 voting requirements of subsections (b) and (c), to 

8 ascertain whether eligible manufacturers and import9 ers favor suspension, termination, or continuance of 

10 the order; or 

11 (2) effective beginning on the date that is 5 

12 years after the date of the approval of the order, and 

13 at 5-year intervals thereafter, at the request of 25 

14 percent or more of the number of persons eligible to 

15 vote under subsection (b). 

16 (e) SUSPENSION OR TERMINATION.—If, as a result 

17 of a referendum conducted under subsection (d), the Sec18 retary determines that suspension or termination of the 

19 order is favored by a simple majority of all votes cast in 

20 the referendum, the Secretary shall— 

21 (1) not later than 180 days after the ref22 erendum, suspend or terminate, as appropriate, col23 lection of assessments under the order; and 


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1 (2) suspend or terminate, as appropriate, activi2 ties under the order as soon as practicable and in 

3 an orderly manner. 

4 (f) COSTS OF REFERENDA.—The Board established 

5 under an order with respect to which a referendum is con6 ducted under this section shall reimburse the Secretary 

7 from assessments for any expenses incurred by the Sec8 retary to conduct the referendum. 

9 SEC. 8. PETITION AND REVIEW. 

10 (a) PETITION.— 

11 (1) IN GENERAL.—A person subject to an order 

12 issued under this Act may file with the Secretary a 

13 petition— 

14 (A) stating that the order, any provision of 

15 the order, or any obligation imposed in connec16 tion with the order, is not established in accord17 ance with law; and 

18 (B) requesting a modification of the order 

19 or an exemption from the order. 

20 (2) HEARING.—The Secretary shall give the pe21 titioner an opportunity for a hearing on the petition, 

22 in accordance with regulations issued by the Sec23 retary. 

24 (3) RULING.—After the hearing, the Secretary 

25 shall make a ruling on the petition. The ruling shall 


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1 be final, subject to review as set forth in subsection 

2 (b). 

3 (4) LIMITATION ON PETITION.—Any petition 

4 filed under this subsection challenging an order, any 

5 provision of the order, or any obligation imposed in 

6 connection with the order, shall be filed within 2 

7 years after the effective date of the order, provision, 

8 or obligation subject to challenge in the petition. 

9 (b) REVIEW.— 

10 (1) COMMENCEMENT OF ACTION.—The district 

11 courts of the United States in any district in which 

12 a person who is a petitioner under subsection (a) re13 sides or conducts business shall have jurisdiction to 

14 review the ruling of the Secretary on the petition of 

15 the person, if a complaint requesting the review is 

16 filed no later than 20 days after the date of the 

17 entry of the ruling by the Secretary. 

18 (2) PROCESS.—Service of process in pro19 ceedings under this subsection shall be conducted in 

20 accordance with the Federal Rules of Civil Proce21 dure. 

22 (3) REMANDS.—If the court in a proceeding 

23 under this subsection determines that the ruling of 

24 the Secretary on the petition of the person is not in 


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1 accordance with law, the court shall remand the 

2 matter to the Secretary with directions— 

3 (A) to make such ruling as the court shall 

4 determine to be in accordance with law; or 

5 (B) to take such further action as, in the 

6 opinion the court, the law requires. 

7 (c) ENFORCEMENT.—The pendency of proceedings 

8 instituted under this section shall not impede, hinder, or 

9 delay the Attorney General or the Secretary from obtain10 ing relief under section 9. 

11 SEC. 9. ENFORCEMENT. 

12 (a) JURISDICTION.—A district court of the United 

13 States shall have jurisdiction to enforce, and to prevent 

14 and restrain any person from violating, this Act or an 

15 order or regulation issued by the Secretary under this Act. 

16 (b) REFERRAL TO ATTORNEY GENERAL.—A civil ac17 tion authorized to be brought under this section shall be 

18 referred to the Attorney General of the United States for 

19 appropriate action. 

20 (c) CIVIL PENALTIES AND ORDERS.— 

21 (1) CIVIL PENALTIES.—A person who willfully 

22 violates an order or regulation issued by the Sec23 retary under this Act may be assessed by the Sec24 retary a civil penalty of not more than $5,000 for 

25 each violation. 


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1 (2) SEPARATE OFFENSE.—Each violation and 

2 each day during which there is a failure to comply 

3 with an order or regulation issued by the Secretary 

4 shall be considered to be a separate offense. 

5 (3) CEASE-AND-DESIST ORDERS.—In addition 

6 to, or in lieu of, a civil penalty, the Secretary may 

7 issue an order requiring a person to cease and desist 

8 from violating the order or regulation. 

9 (4) NOTICE AND HEARING.—No order assessing 

10 a penalty or cease-and-desist order may be issued by 

11 the Secretary under this subsection unless the Sec12 retary provides notice and an opportunity for a hear13 ing on the record with respect to the violation. 

14 (5) FINALITY.—An order assessing a penalty or 

15 a cease-and-desist order issued under this subsection 

16 by the Secretary shall be final and conclusive unless 

17 the person against whom the order is issued files an 

18 appeal from the order with the appropriate district 

19 court of the United States, as provided in subsection 

20 (d). 

21 (d) ADDITIONAL REMEDIES.—The remedies provided 

22 in this Act shall be in addition to, and not exclusive of, 

23 other remedies that may be available. 


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1 SEC. 10. INVESTIGATION AND POWER TO SUBPOENA. 

2 (a) INVESTIGATIONS.—The Secretary may conduct 

3 such investigations as the Secretary considers necessary 

4 for the effective administration of this Act, or to determine 

5 whether any person has engaged or is engaging in any 

6 act that constitutes a violation of this Act or any order 

7 or regulation issued under this Act. 

8 (b) SUBPOENAS, OATHS, AND AFFIRMATIONS.— 

9 (1) INVESTIGATIONS.—For the purpose of con10 ducting an investigation under subsection (a), the 

11 Secretary may administer oaths and affirmations, 

12 subpoena witnesses, compel the attendance of wit13 nesses, take evidence, and require the production of 

14 any records that are relevant to the inquiry. The 

15 production of the records may be required from any 

16 place in the United States. 

17 (2) ADMINISTRATIVE HEARINGS.—For the pur18 pose of an administrative hearing held under section 

19 8(a)(2) or section 9(c)(4), the presiding officer may 

20 administer oaths and affirmations, subpoena wit21 nesses, compel the attendance of witnesses, take evi22 dence, and require the production of any records 

23 that are relevant to the inquiry. The attendance of 

24 witnesses and the production of the records may be 

25 required from any place in the United States. 

26 (c) AID OF COURTS.— 


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1 (1) IN GENERAL.—In the case of contumacy by, 

2 or refusal to obey a subpoena issued under sub3 section (b) to, any person, the Secretary may invoke 

4 the aid of any court of the United States within the 

5 jurisdiction of which the investigation or proceeding 

6 is conducted, or where the person resides or con7 ducts business, in order to enforce a subpoena issued 

8 under subsection (b). 

9 (2) ORDER.—The court may issue an order re10 quiring the person referred to in a paragraph (1) to 

11 comply with a subpoena referred to in paragraph 

12 (1). 

13 (3) FAILURE TO OBEY.—Any failure to obey 

14 the order of the court may be punished by the court 

15 as a contempt of court. 

16 (4) PROCESS.—Process in any proceeding 

17 under this subsection may be served in the United 

18 States judicial district in which the person being 

19 proceeded against resides or conducts business, or 

20 wherever the person may be found. 

21 SEC. 11. SUSPENSION OR TERMINATION. 

22 (a) MANDATORY SUSPENSION OR TERMINATION.— 

23 The Secretary shall suspend or terminate an order or a 

24 provision of an order if the Secretary finds that an order 

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1 fectuate the purpose of this Act, or if the Secretary deter2 mines that the order or a provision of an order is not fa3 vored by persons voting in a referendum conducted under 

4 section 7. 

5 (b) IMPLEMENTATION OF SUSPENSION OR TERMI6 NATION.—If, as a result of a referendum conducted under 

7 section 7, the Secretary determines that the order is not 

8 approved, the Secretary shall— 

9 (1) not later than 180 days after making the 

10 determination, suspend or terminate, as the case 

11 may be, collection of assessments under the order; 

12 and 

13 (2) as soon as practicable, suspend or termi14 nate, as the case may be, activities under the order 

15 in an orderly manner. 

16 SEC. 12. CONFIDENTIALITY. 

17 Nothing in this Act shall be construed to require the 

18 Board to disclose information or records under section 552 

19 of title 5, United States Code. 

20 SEC. 13. AMENDMENTS TO ORDERS. 

21 The provisions of this Act applicable to the order 

22 shall be applicable to any amendment to the order, except 

23 that section 8 shall not apply to an amendment. 


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1 SEC. 14. EFFECT ON OTHER LAWS. 

2 This Act shall not affect or preempt any other Fed3 eral or State law authorizing research, education, and pro4 motion relating to concrete masonry products. 

5 SEC. 15. REGULATIONS. 

6 The Secretary may issue such regulations as may be 

7 necessary to carry out this Act and the power vested in 

8 the Secretary under this Act. 

9 SEC. 16. LIMITATION ON EXPENDITURES FOR ADMINISTRA10 TIVE EXPENSES. 

11 Funds appropriated to carry out this Act may not 

12 be used for the payment of the expenses or expenditures 

13 of the Board in administering the order. 

Æ 


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