---
kind: "section"
citation: "16 U.S.C. § 4010"
title: "16"
title_heading: "Conservation"
number: "4010"
heading: "Functions and powers of councils"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/16/4010"
units:
  - "Chapter 60 — Fish and Seafood Promotion"
---

# §4010. Functions and powers of councils

- (a) **Activities of a council—**
  - (1) Each [council](/usc/16/4003.md?p=2) shall—
    - (A) Adopt[^1] a seal which shall be judicially noticed;
    - (B) implement all terms of its charter;
    - (C) prepare and submit to the [Secretary](/usc/16/4003.md?p=16), for review and approval under [section 4011(a)(1) of this title](/usc/16/4011.md?p=a-1), a [marketing and promotion](/usc/16/4003.md?p=8) plan and amendments to such plan which contain descriptions of the projected [consumer education](/usc/16/4003.md?p=1), [research](/usc/16/4003.md?p=14), and other [marketing and promotion](/usc/16/4003.md?p=8) activities of the [council](/usc/16/4003.md?p=2);
    - (D) implement and administer an approved [marketing and promotion](/usc/16/4003.md?p=8) plan and amendments to such plan;
    - (E) determine the assessments to be made under [section 4012 of this title](/usc/16/4012.md) and administer the collection of such assessments to finance [council](/usc/16/4003.md?p=2) expenses described in paragraph (2) of this subsection;
    - (F) receive, investigate and report to the [Secretary](/usc/16/4003.md?p=16) accounts of [violations](/usc/16/620e.md?p=11) of rules or orders relating to assessments collected under [section 4012 of this title](/usc/16/4012.md), or quality standard requirements established under [subsection (c)](#c) of this section;
    - (G) prepare and submit to the [Secretary](/usc/16/4003.md?p=16), for review and approval under [section 4011(a)(1) of this title](/usc/16/4011.md?p=a-1), a budget (on a fiscal year basis) of the anticipated expenses and disbursements of the [council](/usc/16/4003.md?p=2), including—
      - (i) all administrative and contractual expenses;
      - (ii) the probable costs of [consumer education](/usc/16/4003.md?p=1), [research](/usc/16/4003.md?p=14), and other [marketing and promotion](/usc/16/4003.md?p=8) plans or [projects](/usc/16/410r–5.md?p=c-4);
      - (iii) the costs of the collection of assessments; and
      - (iv) the expense of repayment of the costs of each referendum conducted in regard to the [council](/usc/16/4003.md?p=2);
    - (H) maintain books and records, prepare and submit to the [Secretary](/usc/16/4003.md?p=16) such reports from time to time as may be necessary for appropriate accounting with respect to the receipt and disbursement of [funds](/usc/16/4003.md?p=4) entrusted to it, and cause a complete audit report to be submitted to the [Secretary](/usc/16/4003.md?p=16) at the end of each fiscal year;
    - (I) reimburse the [Secretary](/usc/16/4003.md?p=16) for the expenses incurred for the conduct of the referendum to establish the [council](/usc/16/4003.md?p=2) or any subsequent referendum to terminate the [council](/usc/16/4003.md?p=2) that fails; and
    - (J) prepare and submit to the [Secretary](/usc/16/4003.md?p=16) from time to time such reports or proposals as the [council](/usc/16/4003.md?p=2) determines appropriate to further the purposes of this chapter.
  - (2) [Funds](/usc/16/4003.md?p=4) collected by a [council](/usc/16/4003.md?p=2) under [section 4012 of this title](/usc/16/4012.md) shall be used by the [council](/usc/16/4003.md?p=2) for—
    - (A) [research](/usc/16/4003.md?p=14), [consumer education](/usc/16/4003.md?p=1), and other [marketing and promotion](/usc/16/4003.md?p=8) activities regarding the quality and marketing of [fish and fish products](/usc/16/1826c.md?p=1);
    - (B) other expenses, as described in [subsection (a)(1)(G)](#a-1-G) of this section;
    - (C) such other expenses for the administration, maintenance, and functioning of the [council](/usc/16/4003.md?p=2) as may be authorized by the [Secretary](/usc/16/4003.md?p=16);
    - (D) any reserve [fund](/usc/16/4003.md?p=4) established under [subsection (b)(5)](#b-5) of this section and any administrative expenses incurred by the [Secretary](/usc/16/4003.md?p=16) specified as reimbursable under this chapter.
  - (3) [Marketing and promotion](/usc/16/4003.md?p=8) plans and amendments to such plans prepared by a [council](/usc/16/4003.md?p=2) under [subsection (a)(1)(C)](#a-1-C) of this section shall be designed to increase the general demand for [fish and fish products](/usc/16/1826c.md?p=1) described in accordance with [section 4009(b)(3) of this title](/usc/16/4009.md?p=b-3) by encouraging, expanding, and improving the marketing, promotion and utilization of such [fish and fish products](/usc/16/1826c.md?p=1), in domestic or foreign markets, or both, through [consumer education](/usc/16/4003.md?p=1), [research](/usc/16/4003.md?p=14), and other [marketing and promotion](/usc/16/4003.md?p=8) activities.
  - (4) [Consumer education](/usc/16/4003.md?p=1) and other [marketing and promotion](/usc/16/4003.md?p=8) activities carried out by a [council](/usc/16/4003.md?p=2) under a [marketing and promotion](/usc/16/4003.md?p=8) plan and amendments to such plan may not contain references to any private brand or trade name and shall avoid the use of deceptive acts or practices in promoting [fish](/usc/16/4003.md?p=3) or [fish](/usc/16/4003.md?p=3) products or with respect to the quality, value, or use of any competing product or group of products.
- (b) **Authority of a council—** A [council](/usc/16/4003.md?p=2) may—
  - (1) sue and be sued;
  - (2) enter into contracts;
  - (3) employ and determine the salary of an executive director who may, with the approval of the [council](/usc/16/4003.md?p=2), employ and determine the salary of such additional staff as may be necessary;
  - (4) collaborate with other [councils](/usc/16/4003.md?p=2) and with the [National Council](/usc/16/4003.md?p=10) in establishing and implementing a national [marketing and promotion](/usc/16/4003.md?p=8) plan for one or more species of [fish](/usc/16/4003.md?p=3) or [fish](/usc/16/4003.md?p=3) products; and
  - (5) establish a reserve [fund](/usc/16/4003.md?p=4) from monies collected and received under [section 4012 of this title](/usc/16/4012.md) to permit an effective and sustained program of [research](/usc/16/4003.md?p=14), [consumer education](/usc/16/4003.md?p=1), and other [marketing and promotion](/usc/16/4003.md?p=8) activities regarding the quality and marketing of [fish and fish products](/usc/16/1826c.md?p=1) in years when production and assessment income may be reduced, but the total reserve [fund](/usc/16/4003.md?p=4) may not exceed the amount budgeted for the current fiscal year of operation.
- (c) **Quality standards—**
  - (1) A [council](/usc/16/4003.md?p=2) may develop and submit to the [Secretary](/usc/16/4003.md?p=16) for approval, or upon the request of a [council](/usc/16/4003.md?p=2) the [Secretary](/usc/16/4003.md?p=16) shall develop, quality standards for a [fish](/usc/16/4003.md?p=3) or [fish](/usc/16/4003.md?p=3) product described in accordance with [section 4009(b)(3) of this title](/usc/16/4009.md?p=b-3). Any quality standard developed under this paragraph shall be consistent with the purposes of this chapter.
  - (2) A quality standard developed under paragraph (1) of this subsection may be adopted by a [council](/usc/16/4003.md?p=2) by a majority of the [members](/usc/16/4003.md?p=9) of the [council](/usc/16/4003.md?p=2) if first approved, in a referendum conducted by the [council](/usc/16/4003.md?p=2), by a majority of the [sector](/usc/16/4003.md?p=15) participants of the [sector](/usc/16/4003.md?p=15) concerned voting and the majority collectively accounted for, in the twelve-month period immediately preceding the month in which the referendum is held, not less than sixty-six percent of the value of the [fish](/usc/16/4003.md?p=3) or [fish](/usc/16/4003.md?p=3) products described in accordance with [section 4009(b)(3) of this title](/usc/16/4009.md?p=b-3) that were handled by that [sector](/usc/16/4003.md?p=15) during such period.
  - (3) With respect to a quality standard adopted under paragraph (2) of this subsection, the [council](/usc/16/4003.md?p=2) shall develop and file with the [Secretary](/usc/16/4003.md?p=16) an official identification in the form of a symbol, stamp, label, or seal that will be used to indicate that a [fish](/usc/16/4003.md?p=3) or [fish](/usc/16/4003.md?p=3) product meets the quality standard at the time the official identification is affixed to the [fish](/usc/16/4003.md?p=3) or [fish](/usc/16/4003.md?p=3) product, or is affixed to or printed on the packaging material of the [fish](/usc/16/4003.md?p=3) or [fish](/usc/16/4003.md?p=3) product.
  - (4) The [Secretary](/usc/16/4003.md?p=16) shall establish by regulation procedures for the use of an official identification filed with the [Secretary](/usc/16/4003.md?p=16) under paragraph (3) of this subsection. Misuse of an official identification established under this section shall constitute a [violation](/usc/16/620e.md?p=11) of this chapter.
  - (5) Prior to issuing final regulations under paragraph (4) of this subsection, the [Secretary](/usc/16/4003.md?p=16) shall—
    - (A) publish the proposed regulations by such means as will result in wide publicity in affected regions; and
    - (B) provide for public comment and the opportunity for a public hearing.
  - (6) A [council](/usc/16/4003.md?p=2) may receive, investigate and report to the [Secretary](/usc/16/4003.md?p=16) accounts of [violations](/usc/16/620e.md?p=11) of regulations issued under paragraph (4) of this subsection.
  - (7) Any regulation issued under paragraph (4) of this subsection shall be repealed immediately by the [Secretary](/usc/16/4003.md?p=16) upon the termination under [section 4015 of this title](/usc/16/4015.md) of the [council](/usc/16/4003.md?p=2) that developed the official identification to which the regulations apply.
  - (8) The procedures applicable to the adoption and the [taking](/usc/16/3102.md?p=18) effect of a quality standard developed under this subsection also apply to a subsequent amendment or the termination of such standard.
- (d) **Amendment of a charter—** A [council](/usc/16/4003.md?p=2) may submit to the [Secretary](/usc/16/4003.md?p=16) amendments to the text of the [council](/usc/16/4003.md?p=2)’s charter. Any proposed amendments to a charter shall be approved or disapproved in the same manner as the original charter was approved under [section 4009(d)](/usc/16/4009.md?p=d) and (e) of this title, with the exception of [section 4009(d)(1)(B) of this title](/usc/16/4009.md?p=d-1-B).

## Footnotes

[^1]: So in original. Probably should not be capitalized.

## Source credit

(Pub. L. 99–659, title II, § 211, Nov. 14, 1986, 100 Stat. 3724.)