---
kind: "section"
citation: "15 U.S.C. § 6403"
title: "15"
title_heading: "Commerce and Trade"
number: "6403"
heading: "Referenda"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/15/6403"
units:
  - "Chapter 90 — Propane Education and Research"
---

# §6403. Referenda

- (a) **Creation of program—** The [qualified industry organizations](/usc/15/6402.md?p=8) may conduct, at their own expense, a referendum among [producers](/usc/15/6402.md?p=5) and [retail marketers](/usc/15/6402.md?p=9) for the creation of a [Propane](/usc/15/6402.md?p=6) Education and Research [Council](/usc/15/6402.md?p=1). The [Council](/usc/15/6402.md?p=1), if established, shall reimburse the [qualified industry organizations](/usc/15/6402.md?p=8) for the cost of the referendum accounting and documentation. Such referendum shall be conducted by an independent auditing firm agreed to by the [qualified industry organizations](/usc/15/6402.md?p=8). Voting rights in such referendum shall be based on the volume of [propane](/usc/15/6402.md?p=6) produced or [odorized propane](/usc/15/6402.md?p=4) sold in the previous calendar year or other representative period. Upon approval of those [persons](/usc/15/7a.md?p=6) representing two-thirds of the total volume of [propane](/usc/15/6402.md?p=6) voted in the [retail marketer](/usc/15/6402.md?p=9) class and two-thirds of all [propane](/usc/15/6402.md?p=6) voted in the [producer](/usc/15/6402.md?p=5) class, the [Council](/usc/15/6402.md?p=1) shall be established, and shall be authorized to levy an assessment on [odorized propane](/usc/15/6402.md?p=4) in accordance with [section 6405 of this title](/usc/15/6405.md). All [persons](/usc/15/7a.md?p=6) voting in the referendum shall certify to the independent auditing firm the volume of [propane](/usc/15/6402.md?p=6) represented by their vote.
- (b) **Termination—** On the [Council](/usc/15/6402.md?p=1)’s own initiative, or on petition to the [Council](/usc/15/6402.md?p=1) by [producers](/usc/15/6402.md?p=5) and [retail marketers](/usc/15/6402.md?p=9) representing 35 percent of the volume of [propane](/usc/15/6402.md?p=6) in each class, the [Council](/usc/15/6402.md?p=1) shall, at its own expense, hold a referendum, to be conducted by an independent auditing firm selected by the [Council](/usc/15/6402.md?p=1), to determine whether the [industry](/usc/15/6402.md?p=2) favors termination or suspension of the [Council](/usc/15/6402.md?p=1). Termination or suspension shall not take effect unless it is approved by [persons](/usc/15/7a.md?p=6) representing more than one-half of the total volume of [odorized propane](/usc/15/6402.md?p=4) in the [retail marketer](/usc/15/6402.md?p=9) class and more than one-half of the total volume of [propane](/usc/15/6402.md?p=6) in the [producer](/usc/15/6402.md?p=5) class, or is approved by [persons](/usc/15/7a.md?p=6) representing more than two-thirds of the total volume of [propane](/usc/15/6402.md?p=6) in either such class.

## Source credit

(Pub. L. 104–284, § 4, Oct. 11, 1996, 110 Stat. 3371.)
