```

[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 1538 Introduced in Senate (IS)]

105th CONGRESS
  1st Session
                                S. 1538

To amend the Honey Research, Promotion, and Consumer Information Act to 
    improve the honey research, promotion, and consumer information 
                    program, and for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           November 13, 1997

 Mr. Santorum introduced the following bill; which was read twice and 
   referred to the Committee on Agriculture, Nutrition, and Forestry

_______________________________________________________________________

                                 A BILL

 
To amend the Honey Research, Promotion, and Consumer Information Act to 
    improve the honey research, promotion, and consumer information 
                    program, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Honey Research, Promotion, and 
Consumer Information Improvement Act of 1997''.

SEC. 2. FINDINGS AND PURPOSES.

    Section 2 of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4601) is amended--
            (1) by striking the section heading and all that follows 
        through ``The Congress finds that:'' and inserting the 
        following:

``SEC. 2. FINDINGS AND PURPOSES.

    ``(a) Findings.--Congress makes the following findings:'';
            (2) in paragraphs (6) and (7), by striking ``and consumer 
        education'' each place it appears and inserting ``consumer 
        education, and industry information'';
            (3) by inserting after paragraph (7) the following:
            ``(8) The ability to develop and maintain purity standards 
        for honey and honey products is critical to maintaining the 
        consumer confidence, safety, and trust that are essential 
        components of any undertaking to maintain and develop markets 
        for honey and honey products.
            ``(9) Research directed at improving the cost effectiveness 
        and efficiency of beekeeping, as well as developing better 
        means of dealing with pest and disease problems, is essential 
        to keeping honey and honey product prices competitive and 
        facilitating market growth as well as maintaining the financial 
        well-being of the honey industry.
            ``(10) Research involving the quality, safety, and image of 
        honey and honey products and how that quality, safety, and 
        image may be affected during the extraction, processing, 
        packaging, marketing, and other stages of the honey and honey 
        product production and distribution process, is highly 
        important to building and maintaining markets for honey and 
        honey products.''; and
            (4) by striking subsection (b) and inserting the following:
    ``(b) Purposes.--The purposes of this Act are--
            ``(1) to authorize the establishment of an orderly 
        procedure for the development and financing, through an 
        adequate assessment, of an effective, continuous, and 
        nationally coordinated program of promotion, research, consumer 
        education, and industry information designed to--
                    ``(A) strengthen the position of the honey industry 
                in the marketplace;
                    ``(B) maintain, develop, and expand domestic and 
                foreign markets and uses for honey and honey products; 
                and
                    ``(C) maintain and improve the competitiveness and 
                efficiency of the honey industry; and
            ``(2) to maintain and expand the markets for all honey and 
        honey products in a manner that--
                    ``(A) is not designed to maintain or expand any 
                individual producer's, importer's or handler's share of 
                the market;
                    ``(B) does not compete with or replace individual 
                advertising or promotion efforts designed to promote 
                individual brand name or trade name honey or honey 
                products; and
                    ``(C) authorizes and funds programs that result in 
                government speech promoting government objectives.
    ``(c) Administration.--Nothing in this Act--
            ``(1) prohibits the sale of various grades of honey;
            ``(2) provides for control of honey production;
            ``(3) limits the right of the individual honey producer to 
        produce honey; or
            ``(4) creates a trade barrier to honey produced in a 
        foreign country.''.

SEC. 3. DEFINITIONS.

    Section 3 of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4602) is amended--
            (1) by striking paragraph (7) and inserting the following:
            ``(7) Handle.--
                    ``(A) In general.--The term `handle' means to 
                process, package, sell, transport, purchase, or in any 
                other way place or cause to be placed, honey or a honey 
                product in commerce.
                    ``(B) Inclusion.--The term `handle' includes 
                selling unprocessed honey that will be consumed or used 
                without further processing or packaging.
                    ``(C) Exclusions.--The term `handle' does not 
                include--
                            ``(i) the transportation of unprocessed 
                        honey by a producer to a handler;
                            ``(ii) the transportation by a commercial 
                        carrier of honey, whether processed or 
                        unprocessed, for a handler or producer; or
                            ``(iii) the purchase of honey or a honey 
                        product by a consumer or other end-user of the 
                        honey or honey product.'';
            (2) in paragraph (15) by adding ``or `National Honey 
        Board''' following ```Honey Board'''; and
            (3) by adding at the end the following:
            ``(19) Department.--The term `Department' means the United 
        States Department of Agriculture.
            ``(20) Honey production.--The term `honey production' means 
        all beekeeping operations related to--
                    ``(A) managing honey bee colonies to produce honey;
                    ``(B) harvesting honey from the colonies;
                    ``(C) extracting honey from the honeycombs; and
                    ``(D) preparing honey for sale for further 
                processing.''
            ``(21) Industry information.--The term `industry 
        information' means information or a program that will lead to 
        the development of new markets, new marketing strategies, or 
        increased efficiency for the honey industry, or an activity to 
        enhance the image of honey and honey products and of the honey 
        industry.'';
            ``(22) National honey marketing cooperative.--The term 
        `national honey marketing cooperative' means a cooperative that 
        markets its products in at least 2 of the following 4 regions 
        of the United States, as determined by the Secretary:
                    ``(A) the Atlantic Coast, including the District of 
                Columbia and the Commonwealth of Puerto Rico;
                    ``(B) the Mideast;
                    ``(C) the Midwest; and
                    ``(D) the Pacific, including the states of Alaska 
                and Hawaii.'';
            ``(23) Qualified national organization representing handler 
        interests.--The term `qualified national organization 
        representing handler interests' means an organization that the 
        Secretary has certified as being eligible to recommend for 
        nomination to the Committee handler, handler-importer, 
        alternate handler, and alternate handler-importer, members of 
        the Honey Board under section 4606(b) of this Act.'';
            ``(24) Qualified national organization representing 
        importer interests.--The term `qualified national organization 
        representing importer interests' means an organization that the 
        Secretary has certified as being eligible to recommend for 
        nomination to the Committee importer, handler-importer, 
        alternate importer, and alternate handler-importer members of 
        the Honey Board under section 4606(b) of this Act.'';
            (4) by reordering the paragraphs so that they are in 
        alphabetical order by term defined and redesignating the 
        paragraphs accordingly.

SEC. 4. HONEY RESEARCH, PROMOTION, AND CONSUMER INFORMATION ORDER.

    Section 4 of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4603) is amended by inserting ``and 
regulations'' following ``orders''.

SEC. 5. NOTICE AND HEARING.

    Section 5 of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4604) is amended to read as follows:
    ``(a) Notice and Comment.--Whenever the Secretary has reason to 
believe that the issuance of an order, an amendment to an order, or 
regulations pursuant to an order will assist in carrying out the 
purposes of this Act, the Secretary shall comply with the notice and 
comment procedures established under section 553 of title 5, United 
States Code. Sections 556 and 557 of such title shall not apply with 
respect to issuance of an order, an amendment to an order, or 
regulations pursuant to an order.
    ``(b) Proposal of an Order.--A proposal for an order may be 
submitted to the Secretary by any organization or interested person 
affected by the provisions of this Act.''.

SEC. 6. FINDINGS AND ISSUANCE OF ORDER.

    Section 6 of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4605) is amended to read as follows:
    ``After notice of and opportunity for comment has been provided in 
accordance with section 5 of this Act, the Secretary shall issue an 
order, an amendment to an order, or a regulation pursuant to an order, 
if the Secretary finds, and sets forth in such order, amendment to an 
order, or regulation, that the issuance of such order, amendment to an 
order, or regulation pursuant to an order, and all the terms and 
conditions thereof will assist in carrying out the purposes of this 
Act.''.

SEC. 7. REQUIRED TERMS OF AN ORDER.

    (a) National Honey Nominations Committee.--Section 7(b) of the 
Honey Research, Promotion, and Consumer Information Act (7 U.S.C. 
4606(b)) is amended--
            (1) in paragraph (2) by striking ``, except'' and all that 
        follows to the period and inserting ``except that the term of 
        appointments to the Committee may be staggered periodically as 
        determined by the Secretary'';
            (2) in paragraph (5)--
                    (A) in the second sentence by striking ``after the 
                first annual meeting''; and
                    (B) in the third sentence by striking ``per 
                centum'' and inserting ``percent''.
    (b) Honey Board.--Section 7(c) of the Honey Research, Promotion, 
and Consumer Information Act (7 U.S.C. 4606(c)) is amended--
            (1) by redesignating paragraphs (3) through (6) as 
        paragraphs (7) through (10), respectively;
            (2) in paragraph (2) by striking subparagraphs (B), (C), 
        (D), and (E) and all that follows and inserting the following:
                    ``(B)(i) two members who are handlers of honey 
                appointed from nominations submitted by the Committee 
                made from recommendations to the Committee from 
                qualified national organizations representing handler 
                interests; and
                    ``(ii) if approved in a referendum, two members who 
                are handlers of honey who, during any 3 of the 
                preceding 5 years were also importers of record of at 
                least 40,000 pounds of honey, appointed from 
                nominations submitted by the Committee made from 
                recommendations to the Committee from qualified 
                national organizations representing handler interests 
                or qualified national organizations representing 
                importer interests or from individual handlers or 
                importers who have paid assessments to the Honey Board 
                on imported honey if the Secretary determines that 
                there is not a qualified national organization 
                representing either handler or importer interests;
                    ``(C)(i) two members who are either importers or 
                exporters, of which at least one shall be an importer, 
                appointed from nomination submitted by the Committee 
                from recommendations to the Committee by industry 
                organizations representing importer and exporter 
                interests; or
                    ``(ii) if approved in a referendum, two members who 
                are importers appointed from nominations submitted by 
                the Committee made from recommendations to the 
                Committee from qualified national organizations 
                representing importer interests or from individual 
                importers who have paid assessments to the Honey Board 
                on imported honey if the Secretary determines that 
                there is not a qualified national organization 
                representing importer interests; and
                    ``(D) one member who is an officer, director, or 
                employee of a national honey marketing cooperative 
                appointed from nominations submitted by the Committee 
                made from recommendations to the Committee from 
                qualified national honey marketing cooperatives.
            ``(3) Alternates.--The Committee shall submit nominations 
        for an alternate for each member of the Honey Board described 
        in paragraph (2). An alternate shall be appointed in the same 
        manner as a member and shall serve when the member is absent 
        from a meeting or is disqualified.
            ``(4) Reconstitution.--
                    ``(A) In general.--If approved in a referendum 
                conducted pursuant to section 13(g) and in accordance 
                with rules issued by the Secretary, the Honey Board 
                shall review the geographic distribution of the 
                quantities of domestically produced honey assessed 
                under the order and changes in the annual average 
                percentage of assessments owed by importers under the 
                order relative to assessments owed by producers and 
                handlers of domestic honey, including whether any 
                changes in assessments owed on imported quantities are 
                owed by importers described in paragraph 5(B) or 
                whether they are handlers who also import honey as 
                described in paragraph 2(B)(ii) and, if warranted and 
                in accordance with this subsection, recommend to the 
                Secretary--
                            ``(i) changes in the regional 
                        representation of honey producers established 
                        by the Secretary;
                            ``(ii) the reallocation of handler-importer 
                        seats under paragraph (2)(B)(ii) as handler 
                        seats under paragraph (2)(B)(i) or the 
                        reallocation of importer seats under paragraph 
                        (2)(C) as handler-importer seats under 
                        paragraph (2)(B)(ii) or the reallocation of 
                        handler-importer seats as importer seats under 
                        paragraph (2)(C) to reflect any changes in the 
                        proportion of domestic and imported honey 
                        assessed under the order or the source of 
                        assessments on imported honey; or
                            ``(iii) the addition of members to the 
                        Board under either paragraphs (2)(A), 
                        (2)(B)(ii) or (2)(C) to reflect any changes in 
                        the proportion of domestic and imported honey 
                        assessed under the order.
                    ``(B) Scope of review.--The review required under 
                subparagraph (A) shall encompass data from the 5 years 
                preceding the year in which the review is conducted.
                    ``(C) Basis for recommendations.--Except as 
                provided in (E) below, recommendations made under 
                subparagraph (A) shall be based on the 5-year average 
                annual assessments, excluding the two years containing 
                the highest and lowest disparity between the proportion 
                of assessments owed from imported and domestic honey, 
                determined pursuant to the review that is conducted, 
                including whether any change is from the assessments 
                owed by importers described in paragraph 5(B) or from 
                those owed by handlers who also import honey as 
                described in paragraph (2)(B)(ii). Only if the 
                following proportions change by more than 6 percent 
                from the base period proportion found in a prior review 
                shall the Board be required to recommend changes 
                pursuant to subparagraphs (A)(ii) and (A)(iii) 
                respectively--
                            ``(i) the proportion of assessments owed by 
                        handler-importers under paragraph (2)(B)(ii) 
                        compared with the proportion of assessments 
                        owed by importers under paragraph (2)(C); or
                            ``(ii) the proportion of assessments owed 
                        by importers compared with those owed on 
                        domestic honey by producers and handlers.
                    ``(D) Timing of review.--The Honey Board shall 
                conduct the reviews required under this subsection not 
                more than once in each 5-year period with the first 
                review to be conducted prior to the first continuation 
                referendum conducted pursuant to section 13(c) 
                following the referendum provided for in section 13(f).
                    ``(E) Base period for review.--The base period 
                proportions for determining the magnitude of change 
                under subparagraph (C) shall be those found in the 
                prior review conducted under this subsection except 
                that for the first review conducted under subparagraph 
                (D), the base period proportions shall be those that 
                existed in the 1996 fiscal year of the Honey Board.
            ``(5) Restrictions on nomination and appointment.--
                    ``(A) Producer-packers as producers.--No producer-
                packer who, during any 3 of the preceding 5 years, 
                purchased for resale more honey than the producer-
                packer produced shall be eligible for nomination or 
                appointment to the Honey Board as a producer described 
in paragraph (2)(A) or as an alternate to a producer.
                    ``(B) Importers.--No importer who, during any 3 of 
                the preceding 5 years, did not receive at least 75 
                percent of the gross income generated by the sale of 
                honey and honey products from the sale of imported 
                honey and honey products shall be eligible for 
                nomination or appointment to the Honey Board as an 
                importer described in paragraph (2)(C) or an alternate 
                to an importer.
            ``(6) Certification of organizations.--
                    ``(A) In general.--The eligibility of an 
                organization to participate in the making of 
                recommendations to the Committee for nomination to the 
                Board to represent handlers or importers under this 
                section shall be certified by the Secretary.
                    ``(B) Eligibility criteria.--Subject to 
                subparagraphs (D) and (E), the Secretary shall certify 
                an organization that the Secretary determines meets the 
                eligibility criteria established by the Secretary under 
                this paragraph.
                    ``(C) Finality.--An eligibility determination of 
                the Secretary under this paragraph shall be final.
                    ``(D) Basis for certification.--Certification under 
                this paragraph shall be based on, in addition to other 
                available information, a factual report submitted by 
                the organization that contains information considered 
                relevant and specified by the Secretary, including--
                            ``(i) the geographic territory covered by 
                        the active membership of the organization;
                            ``(ii) the nature and size of the active 
                        membership of the organization, including the 
                        proportion of the total number of active 
                        handlers or importers represented by the 
                        organization;
                            ``(iii) evidence of the stability and 
                        permanency of the organization;
                            ``(iv) sources from which the operating 
                        funds of the organization are derived;
                            ``(v) the functions of the organization; 
                        and
                            ``(vi) the ability and willingness of the 
                        organization to further the purposes of this 
                        Act.
                    ``(E) Primary considerations.--A primary 
                consideration in determining the eligibility of an 
                organization under this paragraph shall be whether--
                            ``(i) the membership of the organization 
                        consists primarily of handlers or importers who 
                        derive a substantial quantity of their income 
                        from sales of honey and honey products; and
                            ``(ii) the organization has an interest in 
                        the marketing of honey and honey products.
                    ``(F) Inclusiveness.--As a condition of 
                certification under this paragraph, an organization 
                must agree to adopt a process to notify non-members of 
                the organization of Honey Board nomination 
                opportunities for which the organization is certified 
                to make recommendations to the Committee and to 
                consider non-members when making their nominations to 
                the Committee should non-members express interest in 
                serving on the Honey Board.''; and
            (3) in paragraph (7) (as so redesignated) by striking 
        ``except'' and all that follows through the end of the sentence 
        and inserting the following: ``except that appointments to the 
        Honey Board may be staggered periodically, as determined by the 
        Secretary, to maintain continuity of the Board among all 
        members and among members representing particular groups.''.
    (c) Assessments.--Section 7(e) of the Honey Research, Promotion, 
and Consumer Information Act (7 U.S.C. 4606(e)) is amended--
            (1) by redesignating paragraphs (2) and (3) as paragraphs 
        (5) and (6) respectively;
            (2) by striking paragraph (1) and inserting the following:
            ``(1) In general.--The Honey Board shall administer 
        collection of the assessment provided for in this subsection, 
        and may accept voluntary contributions from other sources, to 
        finance the expenses described in subsections (d) and (f).
            ``(2) Rate.--Except as provided by paragraph (3), the 
        assessment rate shall be $0.01 per pound (payable in the manner 
        described in section 9), with--
                    ``(A) in the case of honey produced in the United 
                States, $0.01 per pound payable by honey producers; and
                    ``(B) in the case of honey imported into the United 
                States, $0.01 per pound payable by honey importers.
            ``(3) Amended rate.--If approved in a referendum, the 
        assessment rate shall be $0.02 per pound (payable in the manner 
        described in section 9), with--
                    ``(A) in the case of honey produced in the United 
                States--
                            ``(i) $0.01 per pound payable by honey 
                        producers; and
                            ``(ii) $0.01 per pound payable by handlers 
                        (including producer-packers); and
                    ``(B) in the case of honey imported into the United 
                States, the entire $0.02 per pound payable by honey 
                importers.
            ``(4) Importers and producer-packers.--For purposes of this 
        subsection and sections 9, 12, and 13--
                    ``(A) an importer shall be considered a handler 
                with respect to $0.01 per pound of the assessment 
                payable by importers under paragraph (3)(B); and
                    ``(B) a producer-packer shall be considered a 
                handler on all honey, including honey that they 
                produce, that they handle with respect to the $0.01 per 
                pound assessment payable by handlers under paragraph 
                (3)(A)(ii).''
            (3) in paragraph (5) (as so redesignated) by striking 
        subparagraph (B) and inserting the following:
                    (B) Small quantities.--
                            ``(i) In general.--A producer, producer-
                        packer, handler, or importer, who produces, 
                        imports, or handles during a year less than 
                        6,000 pounds of honey or honey products shall 
                        be exempt in that year from payment of an 
                        assessment on honey or honey products that the 
                        person distributes directly through local 
                        retail outlets, as determined by the Secretary, 
                        during that year.''
                            ``(ii) Inapplicability.--If a person no 
                        longer meets the requirements of clause (i) for 
                        an exemption, the person shall--
                                    ``(I) file a report with the Honey 
                                Board in the form and manner prescribed 
                                by the Board; and
                                    ``(II) pay an assessment on or 
                                before March 15 of the subsequent year 
                                on all honey produced, imported, or 
                                handled by the person during the year 
                                in which the person no longer meets the 
                                requirement of clause (i) for an 
                                exemption.''; and
            (4) in paragraph (6) (as so redesignated)--
                    (A) by inserting ``handler,'' after ``producer-
                packer'' in both places it occurs;
                    (B) by inserting ``, handler,'' after the third 
                occurrence of ``producer''; and
                    (C) by striking ``(2)'' and inserting ``(5)''.
    (d) Use of Funds.--Section 7(f) of the Honey Research, Promotion, 
and Consumer Information Act (7 U.S.C. 4606(f)) is amended--
            (1) in the first sentence, by striking ``from the 
        assessments'';
            (2) by designating the first sentence (as amended) and the 
        second sentence as paragraphs (1) and (3), respectively; and
            (3) by inserting after paragraph (1) (as to designated) the 
        following:
            ``(2) Research projects.--
                    ``(A) In general.--If approved in referendum, the 
                Honey Board shall reserve at least 8 percent of all 
                assessments collected during a year for expenditure on 
                approved research projects designed to advance the cost 
                effectiveness, competitiveness, efficiency, pest and 
                disease control, and other management aspects of 
                beekeeping and honey production.
                    ``(B) Carryover.--If all funds reserved under 
                subparagraph (A) are not allocated to approved research 
                projects in a year, any reserved funds remaining 
                unallocated shall be carried forward for allocation and 
                expenditure under subparagraph (A) in subsequent 
                years.''.
    (e) False or Unwarranted Claims or Statements.--Section 7(g) of the 
Honey Research, Promotion, and Consumer Information Act (7 U.S.C. 
4606(g)) is amended by striking ``with assessments collected'' and 
inserting ``by the Honey Board''.
    (f) Influencing Governmental Policy or Action.--Section 7(h) of the 
Honey Research, Promotion, and Consumer Information Act (7 U.S.C. 
4606(h)) is amended by striking ``through assessments authorized by'' 
and inserting ``by the Honey Board under''.

SEC. 8. PERMISSIVE TERMS AND PROVISIONS.

    Section 8 of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4607) is amended by adding at the end the 
following:
            ``(8) Inspection and monitoring.--
                    ``(A) In general.--If approved in a referendum, 
                providing authority for the development of 
                recommendations for programs and rules and regulations 
                for the approval of the Secretary regarding purity 
                standards for honey and honey products with the intent 
                to maintain a positive and wholesome marketing image 
                for honey and honey products.
                    ``(B) Inspection and monitoring system.--
                            ``(i) Inspection.--Any program, rule or 
                        regulation issued under this subsection may 
                        provide for the inspection, by the Secretary, 
                        of honey and honey products being sold for 
                        domestic consumption and for export.
                            ``(ii) Monitoring system.--The Honey Board 
                        may develop recommendations for the approval of 
                        the Secretary for a system for monitoring the 
                        purity of honey and honey products being sold 
                        for domestic consumption and for export.
                    ``(C) Coordination with other federal agencies.--
                The Secretary may coordinate, to the maximum extent 
                practicable, with the head of any other Federal agency, 
                as it relates to ensuring compliance with labeling or 
                other issues related to the purity of honey and the 
                enforcement of any noncompliance with rules or 
                regulations issued under this Act or rules and 
                regulations issued by any other Federal agency.
                    ``(D) Authority to issue regulations.--The 
                Secretary is authorized to issue rules and regulations 
                to establish purity standards as they relate to honey 
                and honey products.
                    ``(E) Violations.--Any persons violating any rule 
                or regulation issued pursuant to this subsection shall 
                be subject to enforcement under section 11 of this Act.
            ``(9) Voluntary quality program.--
                    ``(A) In general.--In addition to or independent of 
                any programs, rules or regulations issued under 
                subsection (8) above, the Honey Board, with the 
                approval of the Secretary, may establish and carry out 
                a voluntary quality assurance program regarding purity 
                standards of honey and honey products.
                    ``(B) Components.--The program recommended for the 
                approval of the Secretary may include--
                            ``(i) the establishment of an official 
                        Honey Board seal of approval to be displayed on 
                        honey and honey products of producers, 
                        handlers, and importers participating in the 
                        voluntary program found to meet such standards 
                        of purity as may be established;
                            ``(ii) actions to encourage producers, 
                        handlers, and importers to participate in the 
                        program;
                            ``(iii) actions to encourage consumers to 
                        purchase honey and honey products bearing the 
                        official seal of approval; and
                            ``(iv) periodic inspections by the 
                        Secretary, or other parties approved by the 
                        Secretary, of honey and honey products of 
                        producers, handlers, and importers 
                        participating in the voluntary program.
                    ``(C) Display of seal of approval.--To display an 
                official seal of approval on its honey or honey 
                product, a producer, handler, or importer must 
                participate in the voluntary compliance program.''.

SEC. 9. COLLECTION OF ASSESSMENTS.

    (a) New Assessment.--Section 9 of the Honey Research, Promotion, 
and Consumer Information Act (7 U.S.C. 4608) is amended--
            (1) by striking subsection (a) and inserting the following:
    ``(a) Handlers.--Except as otherwise provided in this section, a 
first handler of honey shall be responsible, at the time of first 
purchase,--
            ``(1) for the collection, and payment to the Honey Board, 
        of the $0.01 per pound assessment payable by a producer under 
        section 7(e)(2)(A) or, if approved in a referendum, under 
        section 7(e)(3)(A)(i); and
            ``(2) if approved in a referendum, the payment to the Honey 
        Board of an additional $0.01 per pound assessment payable by 
        the handler under section 7(e)(3)(A)(ii).'';
            (2) by striking subsection (c) and inserting the following:
    ``(c) Importers.--Except as otherwise provided in this section, an 
importer shall remit to the Honey Board, at the time of entry into the 
United States, the $0.01 per pound assessment on imported honey and 
honey products required under section 7(e)(2)(B) or if approved in a 
referendum, the $0.02 per pound assessment on imported honey and honey 
products required under section 7(e)(3)(B).''; and
            (3) by striking subsection (e) and inserting the following:
    ``(e) Producer-Packers--Except as otherwise provided in this 
section, a producer-packer shall be responsible for the collection, and 
payment to the Honey Board, of--
            ``(1) the $0.01 per pound assessment payable by the 
        producer-packer under section 7(e)(2)(A) or, if approved in a 
        referendum, under section 7(e)(3)(A)(i) on honey they produce;
            ``(2) at the time of first purchase, the $0.01 per pound 
        assessment payable by a producer under section 7(e)(2)(A)(i) 
        or, if approved in a referendum, under section 7(e)(3)(A)(i) on 
        honey purchased as a first handler by the producer-packer; and
            ``(3) if approved in a referendum, the payment to the Honey 
        Board of an additional $0.01 per pound assessment payable by 
        the producer-packer under section 7(e)(3)(A)(ii).''.
    (b) Inspection; Books and Records.--Section 9 of the Honey 
Research, Promotion, and Consumer Information Act (7 U.S.C. 4608) is 
amended by striking subsection (f) and inserting the following:
    ``(f) Inspection; Books and Records.--
            ``(1) In general.--To make available to the Secretary and 
        to the Honey Board information and data that are necessary to 
        carry out this Act (including an order or regulation issued 
        under this Act) a handler, importer, producer, or producer-
        packer responsible for payment of an assessment under this Act, 
        and a person receiving an exemption from an assessment under 
        section 7(e)(5), shall--
                    ``(A) maintain and make available for inspection by 
                the Secretary and the Honey Board such books and 
                records as are required by the order and regulations 
                issued under this Act; and
                    ``(B) file reports at the times, in the manner, and 
                having the content prescribed by the order and 
                regulations, including but not limited to, the total 
                number of bee colonies maintained, the quantity of 
                honey produced, and the quantity of honey handled or 
                imported.
            ``(2) Employee or agent.--To conduct an inspection or 
        review a report of an individual handler, importer, producer, 
        or producer-packer under paragraph (1), an individual must be 
        an employee or agent of the Department or the Honey Board, and 
        not be a member or alternate member of the Honey Board.
            ``(3) Confidentiality.--An employee or agent described in 
        paragraph (2) shall be subject to the confidentiality 
        requirements of subsection (g).''.
    (c) Confidentiality of Information; Disclosure.--Section 9 of the 
Honey Research, Promotion, and Consumer Information Act (7 U.S.C. 4608) 
is amended by striking subsection (g) and inserting the following:
    ``(g) Confidentiality of Information; Disclosure.--
            ``(1) In general.--All information obtained pursuant to 
        subsection (f) of this section shall be kept confidential by 
        all officers, employees, and agents of the Department of 
        Agriculture and of the Honey Board.
            ``(2) Disclosure.--
                    ``(A) only such information as the Secretary deems 
                relevant shall be disclosed; and
                    ``(B) only in a suit or administrative hearing 
                brought at the request of the Secretary or to which the 
                Secretary or any officer of the United States is a 
                party involving the order with reference to which the 
                information was furnished or acquired.
            ``(3) Exceptions.--Nothing in this section prohibits--
                    ``(A) the issuance of general statements based upon 
                the reports of a number of handlers subject to any 
                order, if such statements do not identify the 
                information furnished by any person; or
                    ``(B) the publication, by direction of the 
                Secretary, of the name of any person violating any 
                order issued under this Act, together with a statement 
                of the particular provisions of the order violated by 
                such person.
            ``(4) Violation.--Any person knowingly violating this 
        subsection, on conviction--
                    ``(A) shall be subject--
                            ``(i) to a fine of not more than $1,000;
                            ``(ii) to imprisonment for not more than 1 
                        year; or
                            ``(iii) both; and
                    ``(B) if an officer or employee of the Honey Board 
                or the Department, shall be removed from office.''.
    (d) Refunds.--Section 9 of the Honey Research, Promotion, and 
Consumer Information Act (7 U.S.C. 4608) is amended by striking 
subsection (h).
    (e) Administration.--Section 9 of the Honey Research, Promotion, 
and Consumer Information Act (7 U.S.C. 4608) (as amended by subsection 
(d)) is amended by inserting after subsection (g) the following:
    ``(h) Administration.--Administration and remittance of the 
assessments under this Act shall be conducted--
            ``(1) in the manner prescribed in the order and regulations 
        issued under this Act; and
            ``(2) if approved in a referendum, in a manner that ensures 
        that all honey and honey products are assessed a total of, but 
        not more than, $0.02 per pound, including any producer or 
        importer assessment.''.
    (f) Liability for Assessments.--Section 9 of the Honey Research, 
Promotion, and Consumer Information Act (7 U.S.C. 4608) is amended in 
subsection (i)--
            ``(1) in the section heading to read as follows: 
        ``Liability for Assessments.'';
            ``(2) by adding at the end the following: ``If the United 
        States Customs Service fails to collect an assessment from an 
        importer or an importer fails to pay an assessment at the time 
        of entry of honey and honey products into the United States 
        under this section, the importer shall be responsible for the 
        remission of the assessment to the Honey Board.''.
    (g) Credit for Qualified Marketing Promotion Activities.--Section 9 
of the Honey Research, Promotion, and Consumer Information Act (7 
U.S.C. 4608) (as amended by subsection (f)) is amended by adding at the 
end the following:
    ``(j) Credit for Qualified Marketing Promotion Activities.--
            ``(1) Definition of payee.--In this subsection, the term 
        `payee' means a handler, importer, or producer-packer.
            ``(2) Credit.--If approved in a referendum, the order and 
        regulations issued under this Act shall require the Honey 
        Board, in determining the assessment due from a payee, on the 
        request of the payee, to grant the payee a credit of up to 50 
        percent of the direct expenditures of the payee for qualified 
        marketing promotion activities (including paid advertising) 
        that promote the sale of honey or honey products.
            ``(3) Limitation.--For a year, a payee may receive credits 
        under paragraph (2) in a total amount not to exceed 50 percent 
        of the $0.01 per pound assessments required of handlers and 
        producer-packers under section 7(e)(3)(A)(ii) and 25 percent of 
        the $0.02 per pound assessments required of importers under 
        section 7(e)(3)(B) on the honey or honey products covered by 
        the payee's request for credit for the year.''.

SEC. 10. PETITION AND REVIEW.

    Section 10(a) of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4609(a)) is amended to read as follows:
    ``(a) Filing of Petition; Hearing.--
            ``(1) In general.--Any persons subject to an order may 
        file, pursuant to paragraph (4), a written petition with the 
        Secretary--
                    ``(A) stating that the order or any provision of 
                the order or any obligation imposed in connection 
                therewith is not in accordance with law; and
                    ``(B) requesting--
                            ``(i) a modification thereof; or
                            ``(ii) to be exempted therefrom.
            ``(2) Hearing.--The petitioner shall thereupon be given an 
        opportunity for a hearing upon the petition, in accordance with 
        regulations issued by the Secretary.
            ``(3) Ruling; finality.--After the hearing, the Secretary 
        shall make a ruling on the petition which, if in accordance 
        with law, shall be final.
            ``(4) Statute of limitations.--Any petition filed under 
        this subsection challenging an order, any provision of the 
        order, or any obligation imposed in connection with the order, 
        must be filed within 2 years after the later of--
                    ``(A) the effective date of the order, provision, 
                or obligation subject to challenge in the petition; or
                    ``(B) the date the petitioner became subject to the 
                order, provision, or obligation subject to challenge in 
                the petition.

SEC. 11. REQUIREMENTS OF REFERENDUM.

    Section 12 of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4611) is amended to read as follows:

``SEC. 12. REQUIREMENTS OF REFERENDUM.

    ``(a) In General.--For the purpose of ascertaining whether issuance 
of an order is approved by producers, importers, and in the case of an 
order assessing handlers, handlers, the Secretary shall conduct a 
referendum among those producers, importers, and, in the case of an 
order assessing handlers, handlers, not exempt under section 7(e)(5) 
who, during a representative period determined by the Secretary, have 
been engaged in the production, importation, or handling of honey or 
honey products.
    ``(b)(1) Effectiveness of Order.--No order issued under this Act 
shall be effective unless the Secretary determines that the issuance of 
the order is approved by a majority of the producers, importers, and if 
covered by the order, handlers voting in the referendum, and such 
majority represents more than 50 percent of the volume of honey 
produced, imported, and, if assessed under the order, handled during 
the representative period by those voting in the referendum.
    ``(2) Amendments to Orders.--With the exception of amendments 
implementing provisions of this Act which specifically provide for 
approval in a referendum, the Secretary is authorized to amend an 
existing order pursuant to administrative procedures in sections 5 and 
6.
    ``(c) Producer-Packers and Importers.--In accordance with section 
7(e)(4), producer-packers and importers shall each have one vote as a 
handler as well as a producer or importer (unless exempt under section 
7(e)(5)) in all referenda involving orders assessing handlers to the 
extent the individual producer-packer or importer pays assessments as a 
handler. The volume of honey or honey products upon which such 
qualifying producer-packer or importer pays assessments as a handler 
shall be credited to such person's vote as a handler pursuant to this 
subsection (in addition to any volume upon which they pay an assessment 
as a producer or importer that is credited to their vote as a producer 
or importer).
    ``(d) Confidentiality.--The ballots and other information or 
reports that reveal, or tend to reveal, the identity or vote of any 
producer, importer, or handler of honey shall be held strictly 
confidential and shall not be disclosed.''.

SEC. 12. TERMINATION OR SUSPENSION.

    Section 13 of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4612) is amended to read as follows:

``SEC. 13. TERMINATION OR SUSPENSION.

    ``(a) Authority of Secretary.--If the Secretary finds that an order 
issued under this Act, or any provision of the order, obstructs or does 
not tend to effectuate the purposes of this Act, the Secretary shall 
terminate or suspend the operation of the order or provision.
    ``(b) Definition of Person.--In this section, the term `person' 
means a producer, importer or handler that is subject to assessment 
under the order upon which a referendum is being conducted.
    ``(c) Producer-Packers and Importers.--In accordance with section 
7(e)(4), producer-packers and importers shall each have one vote as a 
handler as well as a producer or importer (unless exempt under section 
7(e)(5)) in all referenda involving orders assessing handlers to the 
extent the individual producer-packer or importer pays assessments as a 
handler. The volume of honey or honey products upon which such 
qualifying producer-packer or importer pays assessments as a handler 
shall be credited to such person's vote as a handler pursuant to this 
subsection (in addition to any volume upon which they pay an assessment 
as a producer or importer that is credited to their vote as a producer 
or importer).
    ``(d) Periodic Referenda.--Except as provided in subsections (e)(3) 
and (g)(7), on the date that is 5 years after the date on which the 
Secretary issues an order authorizing the collection of assessments on 
honey or honey products under this Act, and every 5 years thereafter, 
the Secretary shall conduct a referendum to determine if the persons 
subject to assessment under the order approve the termination or 
suspension of the order.
    ``(e) Referenda on Request.--
            ``(1) In general.--On the request of the Honey Board or the 
        petition of at least 10 percent of the total number of persons 
        subject to assessment under the order, the Secretary shall 
        conduct a referendum to determine if the persons subject to 
        assessment under the order approve termination or suspension of 
        the order.
            ``(2) Limitation.--Referenda conducted pursuant to 
        paragraph (1) may not be held more than once every 2 years.
            ``(3) Effect on periodic referenda.--If a referendum is 
        conducted under this subsection and the Secretary determines 
        that termination or suspension of the order is not approved by 
        the requisite number of persons, any referendum otherwise 
        required to be conducted under subsection (d) shall not be held 
        prior to the date that is 5 years after the date of the 
        referendum conducted under this subsection.
    ``(f) Timing and Requirements for Termination or Suspension.--The 
Secretary shall terminate or suspend an order at the end of the 
marketing year during which a referendum is conducted under subsection 
(d) or (e) if the Secretary determines that the termination or 
suspension is approved--
            ``(1) by a majority of the persons voting in the 
        referendum; and
            ``(2) such majority represents more than 50 percent of the 
        volume of honey and honey products produced, imported, and, if 
        assessed under the order, handled during the representative 
        period by those voting in the referendum.
    ``(g) Implementation of Honey Research, Promotion, and Consumer 
Information Improvement Act of 1997.--
            ``(1) In general.--To implement the amendments made by the 
        Honey Research, Promotion, and Consumer Information Improvement 
        Act of 1997, the Secretary shall issue an amended order under 
        section 4 that reflects the amendments made by that Act.
            ``(2) Proposal of amended order.--Not later than 90 days 
        after the date of the enactment of this subsection, the 
        Secretary shall publish a proposed order under section 4 that 
        reflects the amendments made by that Act. The Secretary shall 
        provide notice and an opportunity for public comment on the 
        proposed order pursuant to section 5.
            ``(3) Issuance of amended order.--Not later than 240 days 
        after publication of the proposed order, the Secretary shall 
        issue an order pursuant to section 6, taking into consideration 
        the comments received and including in the order such 
        provisions as are necessary to ensure that the order conforms 
        with the amendments made by that Act.
            ``(4) Referendum on amended order.--
                    ``(A) In general.--On issuance of an order 
                reflecting the amendments made by that Act, the 
                Secretary shall conduct a referendum under this 
                subsection for the sole purpose of determining whether 
                the order as amended shall become effective. No 
                individual provision of the amended order shall be 
                subject to a separate vote under the referendum.
                    ``(B) Eligible voters.--The Secretary shall conduct 
                the referendum among persons who have been producers, 
                producer-packers, importers, or handlers during a 
                representative period as determined by the Secretary.
                    ``(C) Determining volume.--Producer-packers, 
                importers, and handlers shall be allowed to vote as if 
                the amended order had been in place during the 
                representative period determined by the Secretary and 
                they had paid the increased assessments provided by the 
                amended order. The votes and the volume attributed 
                thereto of producer-packers and importers shall be 
                determined pursuant to subsection (c). The volume of 
                honey and honey products attributed to the vote of a 
                handler shall be that handled in the representative 
                period upon which the handler would have paid 
                assessments had the amended order been in effect.
                    ``(D) Effectiveness of order.--The amended order 
                shall become effective only if the Secretary determines 
                that the amended order is effective in accordance with 
                section 12(b).
            ``(5) Continuation of existing order if amended order is 
        rejected.--If adoption of the amended order is not approved, 
        the order issued under section 4 in effect on the date of 
        enactment of the Honey Research, Promotion, and Consumer 
        Information Improvement Act of 1997 shall continue in full 
        force and effect and the Secretary is authorized to amend the 
        order to ensure its conformity with this Act.
            ``(6) Effect of rejection on subsequent orders.--If 
        adoption of the amended order is not approved in the referendum 
        provided for in paragraph (4) above, noting in this subsection 
        shall be construed to prevent the issuance of an amended order 
        implementing some or all of the provisions of the Honey 
        Research, Promotion, and Consumer Information Improvement Act 
        of 1997 or making other changes in an existing order through 
        administrative procedures under sections 5 and 6, provided, 
        that amendments implementing provisions which are subject to a 
        referendum must be approved pursuant to section 12(b) prior to 
        becoming effective.
            ``(7) Effect on periodic referenda.--If the amended order 
        becomes effective, any referendum otherwise required to be 
        conducted under subsection (d) shall not be held prior to 5 
        years after the date of the referendum conducted under this 
        section.''.
                                 <all>
```