2023 Pennsylvania Consolidated & Unconsolidated Statutes › Act 21 - AGRICULTURE CODE (3 PA.C.S.) - OMNIBUS AMENDMENTS

Session of 2023
No. 2023-21
HB 157
AN ACT
Amending Title 3 (Agriculture) of the Pennsylvania Consolidated Statutes, in Pennsylvania
            Preferred® Trademark, further providing for definitions, for Pennsylvania Preferred®
            trademark, for licensee qualification, for duties and authority of department, for
            trademark license agreement, application and licensure process, for costs, for Pennsylvania
            Preferred® Trademark Licensing Fund, for injunctive relief, for rules and regulations
            and for purpose, repealing provisions relating to definitions and further providing
            for qualified veterans and qualified veteran business entities.
The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows:
Section 1.  The definitions of "licensee" and "qualified entity" in section 4602 of Title 3 of
            the Pennsylvania Consolidated Statutes are amended and the section is amended by adding
            definitions to read:
§ 4602.  Definitions.
The following words and phrases when used in this chapter shall have the meanings
            given to them in this section unless the context clearly indicates otherwise:
* * *
"Licensee."  A qualified entity that is subject to a [current] Pennsylvania Preferred® trademark
or Pennsylvania Preferred Organic
®
trademark
license agreement with the department.
"Organic agricultural commodity."  An agricultural commodity that meets the definition of "organically produced" under
            7 U.S.C. Ch. 94 (relating to organic certification).
"Pennsylvania Preferred Organic® trademark."  One or more trademarks that consist of the phrase "Pennsylvania Preferred Organic"
            or "PA Preferred Organic," and that may include specific graphic designs or artwork
            as part of the trademark registration and which is used to identify a Pennsylvania-produced
            organic agricultural commodity.
* * *
"Qualified entity."  A person that produces, processes, prepares, sells, offers for sale, markets, promotes
            or is involved with any aspect of production, processing, preparation, promotion,
            marketing, sale or offering for sale of
a
Pennsylvania-produced agricultural [commodities]
commodity or Pennsylvania-produced organic agricultural commodity
.
"Qualified veteran."  A qualified entity that:
(1)  is a veteran of one or more of the armed forces of the United States, including the
            United States Army, the United States Navy, the United States Marine Corps, the United
            States Air Force or the United States Coast Guard; and
(2)  has received an honorable discharge or a general discharge under honorable conditions.
"Qualified veteran business entity."  A qualified entity to which:
(1)  The entity is a corporation, partnership, association or other business organization.
(2)  Qualified veterans make up 50% or more of the entity's ownership and a minimum of
            50% of the entity's management control.
* * *
Section 2.  Sections 4611, 4612, 4613(a)(2), 4614(a)(1), 4615(2), 4616, 4618, 4619 and 4631 of
            Title 3 are amended to read:
§ 4611.  Pennsylvania Preferred® trademark
and Pennsylvania Preferred Organic
®
trademark
.
The department [shall]
may
take all actions necessary and appropriate to acquire, create, establish, register,
            maintain, license, promote and protect a Pennsylvania Preferred® trademark
or Pennsylvania Preferred Organic
®
trademark
for use on or in connection with the sale, marketing or promotion of a Pennsylvania-produced
            agricultural commodity
or a Pennsylvania-produced organic agricultural commodity
.
§ 4612.  Licensee qualification.
A qualified entity shall meet at least one of the following requirements to become
            a licensee:
(1)  Be a person that produces an agricultural commodity
or an organic agricultural commodity
:
(i)  that is entirely harvested from a Pennsylvania location or is grown at a Pennsylvania
            location for at least 75% of the commodity's production cycle; and
(ii)  that, if inspected by the department, the USDA, the FDA or an independent certifying
            agency approved by the department, is approved by the inspecting authority as meeting
            all applicable quality, sanitation, safety and labeling standards of that inspecting
            authority.
(2)  Be a person that processes an agricultural commodity
or an organic agricultural commodity
:
(i)  in whole or in part at a facility which is located within this Commonwealth; and
(ii)  in whole or in part at a facility, which, if the agricultural commodity
or organic agricultural commodity
is intended for human consumption, is in compliance with Subchapter B of Chapter
            57 (relating to food safety) and all applicable Federal and State food quality, sanitation,
            safety and labeling standards regulations; and
(iii)  [the use of which, to the maximum extent possible given production season restrictions
            or market availability, is a]
which is comprised of at least 75% of a
Pennsylvania-produced agricultural commodity
or a Pennsylvania-produced organic agricultural commodity
.
(3)  Be a person that promotes or markets an agricultural commodity
or an organic agricultural commodity
from a person that meets the provisions of paragraph (1) or (2).
(4)  Be a public eating and drinking place licensed under and in compliance with Subchapter
            A of Chapter 57 (relating to retail food facility safety) or under the act of August
            24, 1951 (P.L.1304, No.315), known as the Local Health Administration Law, which offers
            a menu item that includes an agricultural commodity
or an organic agricultural commodity
from a person that meets the provisions of paragraph (1) or (2).
(5)  Be a person approved by the department to use and promote the use of the Pennsylvania
            Preferred® trademark
or Pennsylvania Preferred Organic
®
trademark
to constituencies in furthering the purposes of this chapter.
§ 4613.  Duties and authority of department.
(a)  Department authority to enter into trademark license agreements.--
* * *
(2)  The department shall establish the terms and conditions under which a person may be
            licensed to use the Pennsylvania Preferred® trademark
or Pennsylvania Preferred Organic
®
trademark
. Terms and conditions shall require a licensee to produce, process, promote or market
            an agricultural commodity
or an organic agricultural commodity
in a manner acceptable to the department which protects the reputation of the Pennsylvania
            Preferred® trademark
or
Pennsylvania Preferred Organic
®
trademark
.
* * *
§ 4614.  Trademark license agreement, application and licensure process.
(a)  General rule.--
(1)  A qualified entity may apply to be licensed to use the Pennsylvania Preferred® trademark
or Pennsylvania Preferred Organic
®
trademark
.
* * *
§ 4615.  Costs.
Reimbursement of costs are as follows:
* * *
(2)  The department may charge a licensee for costs of Pennsylvania Preferred®
or Pennsylvania Preferred Organic
®
promotional materials provided by the department at the request of the licensee.
§ 4616.  Pennsylvania Preferred® Trademark
and Pennsylvania Preferred Organic
®
Trademark
Licensing Fund.
(a)  Establishment.--There is established in the State Treasury a special fund which shall
            be an interest-bearing restricted revenue account to be known as the Pennsylvania
            Preferred® Trademark
and Pennsylvania Preferred Organic
®
Trademark
Licensing Fund. The following money shall be deposited into the fund:
(1)  Money as is appropriated, given, granted or donated for the purpose established under
            this chapter by the Federal Government, the Commonwealth or any other government or
            private agency or person.
(2)  Funds derived from the costs established under section 4615 (relating to costs).
(3)  Funds derived from civil penalties collected by the department under section 4617
            (relating to civil penalties).
(b)  Appropriation.--Money in the fund is appropriated on a continuing basis to the department
            for the purpose of administering this chapter. All interest and earnings received
            from investment or deposit of the money in the fund shall be paid into the account
            for the purpose authorized by this section. Any unexpended money and any interest
            or earnings on the money in the fund may not be transferred or revert to the General
            Fund, but shall remain in the account to be used by the department for the purpose
            specified under this section.
(c)  Use.--Money deposited in the fund shall be used as follows:
(1)  To promote the licensure and use of the Pennsylvania Preferred® trademark
or Pennsylvania Preferred Organic
®
trademark
with respect to Pennsylvania-produced agricultural commodities
or Pennsylvania-produced organic agricultural commodities
.
(2)  To promote the Pennsylvania Preferred® trademark
and
the Pennsylvania Preferred Organic
®
trademark
as an identification of origin and quality.
(3)  To promote Pennsylvania-produced agricultural commodities with respect to which the
            Pennsylvania Preferred® trademark is [licensed.]
used and increase the number of qualified entities which use the Pennsylvania Preferred
®
trademark.
(3.1)  To promote Pennsylvania-produced organic agricultural commodities with respect to
            which the Pennsylvania Preferred Organic® trademark is used and increase the number
            of qualified entities that use the Pennsylvania Preferred Organic® trademark.
(4)  To pay costs associated with monitoring the use of the Pennsylvania Preferred® trademark
and Pennsylvania Preferred Organic
®
trademark
, prohibiting the unlawful or unauthorized use of the [trademark]
trademarks
and enforcing rights in the [trademark]
trademarks
.
(4.1)  To promote participation under this chapter by qualified veterans and qualified veteran
            business entities.
(4.2)  To promote, encourage and facilitate cooperation by the department with military,
            government or private sector marketing efforts that identify, emphasize and encourage
            the production and marketing of Pennsylvania-produced agricultural commodities
or Pennsylvania-produced organic agricultural commodities
by qualified veterans and qualified veteran business entities.
(5)  To otherwise fund the department's costs in administering and enforcing this chapter.
[(d)  Definitions.--As used in this section, the following words and phrases shall have
            the meanings given to them in this subsection unless the context clearly indicates
            otherwise:
"Qualified veteran."  As defined under section 4632 (relating to definitions).
"Qualified veteran business entity."  As defined under section 4632.]
(e)  Grants.--The department may use money deposited into the Pennsylvania Preferred® Trademark
            and Pennsylvania Preferred Organic® Trademark Licensing Fund to promote one or more
            of the funding objectives under subsection (c) through the awarding of grants.
§ 4618.  Injunctive relief.
In addition to any other remedies provided for under this chapter,
the department or
the Attorney General, at the request of the department, may initiate, in the [Commonwealth Court or the court of common pleas of the county in which the defendant
            resides or has his place of business]
court of common pleas in Dauphin County
, an action in equity for an injunction to restrain violations of this chapter or
               a trademark license agreement. In the proceeding, the court shall, upon motion of
               the Commonwealth, issue a preliminary injunction if it finds that the defendant is
            engaging in unlawful conduct under this chapter or is engaging in conduct which is
            causing immediate or irreparable harm to the public. The Commonwealth shall not be
            required to furnish bond or other security in connection with the proceedings. In
            addition to an injunction, the court, in equity proceedings, may levy civil penalties
            as provided under section 4617 (relating to civil penalties).
§ 4619.  Rules and regulations.
The department shall promulgate rules and regulations necessary to promote the efficient,
            uniform and Statewide administration of this chapter. For two years from the effective
            date of this section, the department shall have the power and authority to promulgate,
            adopt and use guidelines to implement the provisions of this chapter. The guidelines
            shall be published in the Pennsylvania Bulletin but shall not be subject to review
            under section 205 of the act of July 31, 1968 (P.L.769, No.240), referred to as the
            Commonwealth Documents Law, sections 204(b) and 301(10) of the act of October 15,
            1980 (P.L.950, No.164), known as the Commonwealth Attorneys Act, or the act of June
            25, 1982 (P.L.633, No.181), known as the Regulatory Review Act. All guidelines shall
            expire no later than December 31, [2013]
2025
, and shall be replaced by regulations which shall have been promulgated, adopted
            and published as provided under law.
§ 4631.  Purpose.
The purpose of this subchapter is to:
(1)  Benefit qualified veterans and qualified veteran business entities that are licensed
            by the department under Subchapter B (relating to Pennsylvania Preferred® Program)
            by allowing and encouraging the use of other trademarks or descriptive labels, packaging
            or advertisement information to inform consumers that agricultural commodities
or organic agricultural commodities
were produced by veterans of the armed forces of the United States.
(2)  Encourage qualified veterans and qualified veteran business entities to avail themselves
            of marketing opportunities for Pennsylvania-produced agricultural commodities
or Pennsylvania-produced organic agricultural commodities
through licensure under Subchapter B and partnership with organizations such as the
            Farmer Veteran Coalition Homegrown By Heroes program and similar programs intended
            to encourage veterans to farm or to otherwise benefit farmers who are veterans.
Section 3.  Section 4632 of Title 3 is repealed:
[§ 4632.  Definitions.
The following words and phrases when used in this subchapter shall have the meanings
            given to them in this section unless the context clearly indicates otherwise:
"Qualified veteran."  A qualified entity who:
(1)  is a veteran of one or more of the armed forces of the United States, including the
            United States Army, the United States Navy, the United States Marine Corps, the United
            States Air Force or the United States Coast Guard; and
(2)  has received an honorable discharge or a general discharge under honorable conditions.
"Qualified veteran business entity."  A qualified entity to which the following apply:
(1)  The entity is a corporation, partnership, association or other business organization.
(2)  Qualified veterans make up 50% or more of the entity's ownership and a minimum of
            50% of the entity's management control.]
Section 4.  Section 4633(b) of Title 3 is amended to read:
§ 4633.  Qualified veterans and qualified veteran business entities.
* * *
(b)  Coordination of effort.--The department shall cooperate with military, government
            or private sector marketing efforts that identify, emphasize and encourage the production
            and marketing of Pennsylvania-produced agricultural commodities
or Pennsylvania-produced organic agricultural commodities
by qualified veterans and qualified veteran business entities and may allow the use
            of the Pennsylvania Preferred® trademark
or Pennsylvania Preferred Organic
®
trademark
in a cooperative effort.
Section 5.  This act shall take effect in 60 days.
APPROVED--The 1st day of November, A.D. 2023.
JOSH SHAPIRO