---
kind: "section"
citation: "7 U.S.C. § 6304"
title: "7"
title_heading: "Agriculture"
number: "6304"
heading: "Required terms in orders"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/7/6304"
units:
  - "Chapter 92 — Soybean Promotion, Research, and Consumer Information"
---

# §6304. Required terms in orders

- (a) **In general—** Any [order](/usc/7/6302.md?p=10) issued under this chapter shall contain the terms and conditions specified in this section.
- (b) **Establishment and membership of United Soybean Board—**
  - (1) **In general—** The [order](/usc/7/6302.md?p=10) shall provide for the establishment of, and appointment of members to, a United Soybean [Board](/usc/7/6302.md?p=1) to administer the [order](/usc/7/6302.md?p=10). Members of the [Board](/usc/7/6302.md?p=1) shall be soybean [producers](/usc/7/6302.md?p=12) appointed by the [Secretary](/usc/7/6302.md?p=16), on a geographic basis, from [State](/usc/7/6302.md?p=19) or combined units, as provided in this subsection. The cumulative number of seats on the [Board](/usc/7/6302.md?p=1) shall be the total number of seats to which all the units are entitled.
  - (2) **Seats—** The [Secretary](/usc/7/6302.md?p=16) shall establish [State](/usc/7/6302.md?p=19) units and combined units and seats on the [Board](/usc/7/6302.md?p=1) for such units, as follows:
    - (A) **State units—** Except as provided in [subparagraph (B)](#b-2-B), each [State](/usc/7/6302.md?p=19) shall be considered as a unit.
    - (B) **Combined units—** A [State](/usc/7/6302.md?p=19) in which average annual soybean production is less than 3,000,000 bushels shall be grouped with other [States](/usc/7/6302.md?p=19) into a combined unit. To the extent practicable, each [State](/usc/7/6302.md?p=19) with average annual soybean production of less than 3,000,000 bushels shall be grouped with other [States](/usc/7/6302.md?p=19) with average annual soybean production of less than 3,000,000 bushels into a combined unit, in a manner prescribed in the [order](/usc/7/6302.md?p=10), and each combined unit shall consist of geographically contiguous [States](/usc/7/6302.md?p=19). To the extent practicable, each combined unit shall have an average annual production of [soybeans](/usc/7/6302.md?p=18) of at least 3,000,000 bushels.
    - (C) **Number of seats per unit—** Subject to [subparagraph (F)](#b-2-F), each unit, as established under subparagraph [(A)](#b-2-A) or [(B)](#b-2-B)—
      - (i) if its average annual soybean production is less than 15,000,000 bushels, shall be entitled to one seat on the [Board](/usc/7/6302.md?p=1);
      - (ii) if its average annual soybean production is 15,000,000 bushels or more but less than 70,000,000 bushels, shall be entitled to 2 seats on the [Board](/usc/7/6302.md?p=1);
      - (iii) if its average annual soybean production is 70,000,000 bushels or more but less than 200,000,000 bushels, shall be entitled to 3 seats on the [Board](/usc/7/6302.md?p=1); and
      - (iv) if its average annual soybean production is 200,000,000 bushels or more, shall be entitled to 4 seats on the [Board](/usc/7/6302.md?p=1).
    - (D) **Determination of average annual soybean production—** For purposes of subparagraphs [(A)](#b-2-A), [(B)](#b-2-B), [(C)](#b-2-C), and [(F)](#b-2-F), the [Secretary](/usc/7/6302.md?p=16) shall determine average annual soybean production applicable to a crop year by using the average of the 5 previous crops of [soybeans](/usc/7/6302.md?p=18), excluding the crop in which production was the highest and the crop in which production was the lowest.
    - (E) **Reapportionment of seats—** At the end of each 3 year period beginning with the 3 year period starting on the effective date of the [order](/usc/7/6302.md?p=10), the [Secretary](/usc/7/6302.md?p=16), if necessary, shall adjust any unit to conform with subparagraphs [(A)](#b-2-A) and [(B)](#b-2-B). If the [Secretary](/usc/7/6302.md?p=16) makes such an adjustment, the [Secretary](/usc/7/6302.md?p=16) shall reapportion the seats on the [Board](/usc/7/6302.md?p=1) to conform with [subparagraph (C)](#b-2-C) and any modifications made under [subparagraph (F)](#b-2-F). If payment of refunds following the initial referendum conducted under [section 6305(a) of this title](/usc/7/6305.md?p=a) is authorized by [producers](/usc/7/6302.md?p=12), in making such adjustments, the [Secretary](/usc/7/6302.md?p=16) shall exclude, from each [State](/usc/7/6302.md?p=19)’s annual soybean production, those bushels of [soybeans](/usc/7/6302.md?p=18) on which such refunds are paid.
    - (F) **Adjustment of levels of production—** At the end of each 3 year period beginning with the 3 year period starting on the effective date of the [order](/usc/7/6302.md?p=10), the [Board](/usc/7/6302.md?p=1) may recommend to the [Secretary](/usc/7/6302.md?p=16), to the extent it determines appropriate, changes in the levels of production used in subparagraphs [(A)](#b-2-A), [(B)](#b-2-B), and [(C)](#b-2-C) to determine per-unit representation on the [Board](/usc/7/6302.md?p=1). The [Secretary](/usc/7/6302.md?p=16) may amend the [order](/usc/7/6302.md?p=10) to make such changes in levels of production used to determine per-unit representation. Any such amendment to the [order](/usc/7/6302.md?p=10) shall not be subject to a referendum of [producers](/usc/7/6302.md?p=12). A unit may not, as a result of any modification under this subparagraph, lose [Board](/usc/7/6302.md?p=1) seats to which it is entitled at the time the [order](/usc/7/6302.md?p=10) is initially issued unless its average annual production, as determined under [subparagraph (D)](#b-2-D), declines below the levels required for representation, as specified in subparagraphs [(A)](#b-2-A), [(B)](#b-2-B), and [(C)](#b-2-C).
  - (3) **Nominations—**
    - (A) **In general—** The [Secretary](/usc/7/6302.md?p=16) shall appoint soybean [producers](/usc/7/6302.md?p=12) to seats established under [paragraph (2)](#b-2) from nominations submitted by each unit. Each unit shall submit to the [Secretary](/usc/7/6302.md?p=16) at least two nominations for each appointment to the [Board](/usc/7/6302.md?p=1) to which the unit is entitled, as determined under [paragraph (2)](#b-2).
    - (B) **Method for obtaining nominations—**
      - (i) **Initially-established Board—**
        - (I) **State units—** The [Secretary](/usc/7/6302.md?p=16) shall solicit nominations for each seat on the initially-established [Board](/usc/7/6302.md?p=1) to which a [State](/usc/7/6302.md?p=19) unit is entitled from the [State](/usc/7/6302.md?p=19) soybean [board](/usc/7/6302.md?p=1) in the [State](/usc/7/6302.md?p=19) that submits satisfactory evidence to the [Secretary](/usc/7/6302.md?p=16) that such [board](/usc/7/6302.md?p=1) meets the criteria of subparagraph (A) or (B) of [section 6302(14) of this title](/usc/7/6302.md?p=14). If no such organization exists in the unit, the [Secretary](/usc/7/6302.md?p=16) shall solicit nominations for appointments in such manner as the [Secretary](/usc/7/6302.md?p=16) determines appropriate.
        - (II) **Combined units—** The [Secretary](/usc/7/6302.md?p=16) shall solicit nominations for each seat on the initially-established [Board](/usc/7/6302.md?p=1) to which a combined unit is entitled in such manner as the [Secretary](/usc/7/6302.md?p=16) determines appropriate, taking into consideration the recommendations of any [State](/usc/7/6302.md?p=19) soybean [board](/usc/7/6302.md?p=1) operating in the unit that submits to the [Secretary](/usc/7/6302.md?p=16) satisfactory evidence that such [board](/usc/7/6302.md?p=1) meets the criteria described in subparagraph (A) or (B) of [section 6302(14) of this title](/usc/7/6302.md?p=14).
      - (ii) **Subsequent appointment—**
        - (I) **State units—** Nominations for each subsequent appointment to a seat on the [Board](/usc/7/6302.md?p=1) to which a [State](/usc/7/6302.md?p=19) unit is entitled shall be made by the [qualified State soybean board](/usc/7/6302.md?p=14) in the unit. If no such organization exists in the unit, the [Secretary](/usc/7/6302.md?p=16) shall solicit nominations for such appointment in such manner as the [Secretary](/usc/7/6302.md?p=16) determines appropriate.
        - (II) **Combined units—** The [Secretary](/usc/7/6302.md?p=16) shall solicit nominations for each subsequent appointment to the [Board](/usc/7/6302.md?p=1) to which a combined unit is entitled in such manner as the [Secretary](/usc/7/6302.md?p=16) determines appropriate, taking into consideration the recommendations of any [qualified State soybean board](/usc/7/6302.md?p=14) operating in the unit.
      - (iii) **Rejection—** The [Secretary](/usc/7/6302.md?p=16) may reject any nomination submitted by a unit under this paragraph. If there are insufficient nominations from which to appoint members to the [Board](/usc/7/6302.md?p=1) as a result of the [Secretary](/usc/7/6302.md?p=16) rejecting the nominations submitted by a unit, the unit shall submit additional nominations, as provided in this paragraph.
  - (4) **Terms—** Each appointment to the [Board](/usc/7/6302.md?p=1) shall be for a term of 3 years, except that appointments to the initially-established [Board](/usc/7/6302.md?p=1) shall be proportionately for 1-year, 2-year, and 3-year terms. No [person](/usc/7/6302.md?p=11) may serve more than three consecutive 3-year terms.
  - (5) **Compensation—** [Board](/usc/7/6302.md?p=1) members shall serve without compensation, but shall be reimbursed for their reasonable expenses incurred in performing their duties as members of the [Board](/usc/7/6302.md?p=1).
  - (6) **Temporary appointments—**
    - (A) **Appointment—** Notwithstanding paragraphs [(1)](#b-1) through [(5)](#b-5), the [Secretary](/usc/7/6302.md?p=16), under procedures established by the [Secretary](/usc/7/6302.md?p=16), shall appoint to the initially-established [Board](/usc/7/6302.md?p=1) up to three temporary members to serve in addition to the members appointed as otherwise provided in this subsection, as the [Secretary](/usc/7/6302.md?p=16) determines appropriate for transition purposes under the criteria set out in [subparagraph (B)](#b-6-B). Each such temporary member shall be appointed for a single term not to exceed 3 years.
    - (B) **Representation of certain States—** The [Secretary](/usc/7/6302.md?p=16) shall make temporary appointments to the initially-established [Board](/usc/7/6302.md?p=1) to ensure, to the extent practicable, that each [State](/usc/7/6302.md?p=19) with a [State](/usc/7/6302.md?p=19) soybean [board](/usc/7/6302.md?p=1) that, prior to November 28, 1990, was contributing [State](/usc/7/6302.md?p=19) soybean [promotion](/usc/7/6302.md?p=13) and [research](/usc/7/6302.md?p=15) assessment funds to national soybean [promotion](/usc/7/6302.md?p=13) and [research](/usc/7/6302.md?p=15) efforts has representation on the initially-established [Board](/usc/7/6302.md?p=1) that reflects the relative contributions of such [State](/usc/7/6302.md?p=19) to the national soybean [promotion](/usc/7/6302.md?p=13) and [research](/usc/7/6302.md?p=15) effort.
  - (7) **Meetings—** The [order](/usc/7/6302.md?p=10) shall provide for at least one meeting of the [Board](/usc/7/6302.md?p=1) annually and specify the circumstances under which additional special meetings of the [Board](/usc/7/6302.md?p=1) may be held.
- (c) **Powers and duties of Board—** The [order](/usc/7/6302.md?p=10) shall define the powers and duties of the [Board](/usc/7/6302.md?p=1) and shall include the power and duty—
  - (1) to administer the [order](/usc/7/6302.md?p=10) in accordance with the terms and provisions of the [order](/usc/7/6302.md?p=10);
  - (2) to make regulations to effectuate the terms and provisions of the [order](/usc/7/6302.md?p=10);
  - (3) if the [Board](/usc/7/6302.md?p=1) exercises its authority to establish the [Committee](/usc/7/6302.md?p=3) described in [subsection (g)](#g)—
    - (A) to elect members of the [Board](/usc/7/6302.md?p=1) to serve on the [Committee](/usc/7/6302.md?p=3); and
    - (B) if the [Board](/usc/7/6302.md?p=1) assigns to the [Committee](/usc/7/6302.md?p=3) the power to develop and submit budgets as provided for in [subsection (h)(1)](#h-1), to approve, modify, or reject budgets submitted by the [Committee](/usc/7/6302.md?p=3);
  - (4) to submit budgets to the [Secretary](/usc/7/6302.md?p=16) for the approval or disapproval of the [Secretary](/usc/7/6302.md?p=16);
  - (5) to contract with appropriate [persons](/usc/7/6302.md?p=11) to implement plans or projects;
  - (6) to contract with [qualified State soybean boards](/usc/7/6302.md?p=14) to implement programs in their [States](/usc/7/6302.md?p=19);
  - (7) to receive, investigate, and report to the [Secretary](/usc/7/6302.md?p=16) complaints of violations of the [order](/usc/7/6302.md?p=10);
  - (8) to recommend to the [Secretary](/usc/7/6302.md?p=16) amendments to the [order](/usc/7/6302.md?p=10);
  - (9) to provide the [Secretary](/usc/7/6302.md?p=16) with prior notice of meetings of the [Board](/usc/7/6302.md?p=1) and meetings of [committees](/usc/7/6302.md?p=3) of the [Board](/usc/7/6302.md?p=1) to permit the [Secretary](/usc/7/6302.md?p=16), or a designated representative, to attend such meetings; and
  - (10) to provide not less than annually a report to [producers](/usc/7/6302.md?p=12) accounting for funds and describing programs implemented, and such reports shall be made available to the public on request.
- (d) **Board voting procedures—**
  - (1) **In general—** The [order](/usc/7/6302.md?p=10) shall establish procedures for the conduct of voting by the [Board](/usc/7/6302.md?p=1), as provided in this subsection. On or after the end of the 3-year period beginning on the effective date of the [order](/usc/7/6302.md?p=10), the [Board](/usc/7/6302.md?p=1) may recommend to the [Secretary](/usc/7/6302.md?p=16) changes in the voting procedures of the [Board](/usc/7/6302.md?p=1) and the [Secretary](/usc/7/6302.md?p=16) may amend the [order](/usc/7/6302.md?p=10) to make such changes. Such changes shall not be subject to a referendum of [producers](/usc/7/6302.md?p=12).
  - (2) **Number of votes per member—** Each member of the [Board](/usc/7/6302.md?p=1) shall be entitled, in any vote conducted by the [Board](/usc/7/6302.md?p=1), to cast the number of votes determined under the following rules:
    - (A) **In general—** Each member shall be entitled to cast one vote unless a roll call vote is conducted. On a roll call vote, each member shall be entitled to cast such additional votes as are assigned to the member under [subparagraph (B)](#d-2-B).
    - (B) **Additional votes—** The additional votes that each member is assigned for roll call votes shall be computed as follows:
      - (i) **Assessment level—** Except as provided in [clause (ii)](#d-2-B-ii), each unit shall be allotted one vote for each percent, or portion of a percent, of the total amount of assessments remitted to the [Board](/usc/7/6302.md?p=1) that was remitted from the unit (net of any refunds made under [subsection (l)(2)](#l-2)), on the average, during each of the 3 previous fiscal years of the [Board](/usc/7/6302.md?p=1).
      - (ii) **First three fiscal years—**
        - (I) **First fiscal year—** During the first fiscal year of the [Board](/usc/7/6302.md?p=1), each unit shall be allotted one vote for each percent, or portion of a percent, of the total production of [soybeans](/usc/7/6302.md?p=18) in the [United States](/usc/7/6302.md?p=19) that was produced in the unit, on the average, during each of the 3 immediately preceding crop years.
        - (II) **Second and third fiscal years—** The [order](/usc/7/6302.md?p=10) shall provide appropriate adjustments of the procedure for the allotment of votes under [clause (i)](#d-2-B-i) to apply to allotments of votes during the second and third fiscal years of the [Board](/usc/7/6302.md?p=1).
      - (iii) **Division of votes within units—** A unit’s total votes under clause [(i)](#d-2-B-i) or [(ii)](#d-2-B-ii) shall be divided equally among all the members present and voting representing that unit. The procedures established by the [order](/usc/7/6302.md?p=10) shall provide for the equitable disposition of fractional votes assigned to a member under such division of a unit’s vote.
  - (3) **Motions—**
    - (A) **In general—** Except as provided in [subparagraph (B)](#d-3-B), a motion shall carry if approved by a simple majority of members of the [Board](/usc/7/6302.md?p=1) casting votes.
    - (B) **Roll call votes—** Any member of the [Board](/usc/7/6302.md?p=1) may call for a roll call vote on any motion. Except as otherwise provided in the bylaws adopted by the [Board](/usc/7/6302.md?p=1), whenever a roll call vote is conducted, the motion shall carry only if it is approved by a simple majority of all votes cast and a simple majority of all units voting (with the vote of each unit determined by a simple majority of all votes cast by members in that unit).
  - (4) **Committee votes—** In any vote conducted by a [committee](/usc/7/6302.md?p=3) of the [Board](/usc/7/6302.md?p=1), each member of the [committee](/usc/7/6302.md?p=3) shall have one vote.
  - (5) **Proxies—** A member may not cast votes by proxy.
- (e) **Budgets—**
  - (1) **In general—** The [order](/usc/7/6302.md?p=10) shall provide that the [Board](/usc/7/6302.md?p=1) shall develop budgets on a fiscal year basis of anticipated expenses and disbursements under the [order](/usc/7/6302.md?p=10), including probable costs of administration and [promotion](/usc/7/6302.md?p=13), [research](/usc/7/6302.md?p=15), [consumer information](/usc/7/6302.md?p=4), and [industry information](/usc/7/6302.md?p=7) projects. The [Board](/usc/7/6302.md?p=1) shall submit such budgets or any substantial modification thereof to the [Secretary](/usc/7/6302.md?p=16) for the [Secretary](/usc/7/6302.md?p=16)’s approval.
  - (2) **Limitation—** No expenditure of funds may be made by the [Board](/usc/7/6302.md?p=1) unless such expenditure is authorized under a budget or modification approved by the [Secretary](/usc/7/6302.md?p=16).
- (f) **Plans and projects—** The [order](/usc/7/6302.md?p=10) shall provide that the [Board](/usc/7/6302.md?p=1) shall review or, on its own initiative, develop plans or projects of [promotion](/usc/7/6302.md?p=13), [research](/usc/7/6302.md?p=15), [consumer information](/usc/7/6302.md?p=4), and [industry information](/usc/7/6302.md?p=7), to be paid for with funds received by the [Board](/usc/7/6302.md?p=1). Such plans or projects shall not become effective until approved by the [Secretary](/usc/7/6302.md?p=16).
- (g) **Soybean Program Coordinating Committee—**
  - (1) **Establishment—** The [order](/usc/7/6302.md?p=10) may authorize the [Board](/usc/7/6302.md?p=1) to establish a Soybean Program Coordinating [Committee](/usc/7/6302.md?p=3) to assist in the administration of the [order](/usc/7/6302.md?p=10), as provided in this subsection.
  - (2) **Membership—**
    - (A) **Composition—** The [Committee](/usc/7/6302.md?p=3) shall be composed of members such that—
      - (i) not less than two-thirds of the [Committee](/usc/7/6302.md?p=3) shall be members of the [Board](/usc/7/6302.md?p=1), including—
        - (I) the Chairperson and Treasurer of the [Board](/usc/7/6302.md?p=1); and
        - (II) additional members of the [Board](/usc/7/6302.md?p=1) elected by the [Board](/usc/7/6302.md?p=1); and
      - (ii) not more than one-third of the [Committee](/usc/7/6302.md?p=3) shall be [producers](/usc/7/6302.md?p=12) elected by the national, nonprofit soybean [producer](/usc/7/6302.md?p=12)-governed organization that conducts activities on behalf of [State](/usc/7/6302.md?p=19) soybean [boards](/usc/7/6302.md?p=1) and that, on November 28, 1990, conducts activities to promote [soybeans](/usc/7/6302.md?p=18) and [soybean products](/usc/7/6302.md?p=17) as a cooperator with the Foreign Agricultural Service of the [Department](/usc/7/6302.md?p=5).
    - (B) **Certification—** To serve on the [Committee](/usc/7/6302.md?p=3), each [producer](/usc/7/6302.md?p=12) elected by the national, nonprofit soybean [producer](/usc/7/6302.md?p=12)-governed organization shall be certified by the [Secretary](/usc/7/6302.md?p=16) as a [producer](/usc/7/6302.md?p=12) who is duly elected by such organization as a representative to the [Committee](/usc/7/6302.md?p=3).
  - (3) **Terms—** Terms of appointment to the [Committee](/usc/7/6302.md?p=3) shall be for 1 year. No [person](/usc/7/6302.md?p=11) may serve on the [Committee](/usc/7/6302.md?p=3) for more than 6 consecutive terms.
  - (4) **Compensation—** [Committee](/usc/7/6302.md?p=3) members shall serve without compensation, but shall be reimbursed for their reasonable expenses incurred in performing duties for the [Committee](/usc/7/6302.md?p=3).
  - (5) **Chairperson—** The Chairperson of the [Board](/usc/7/6302.md?p=1) shall serve as Chairperson of the [Committee](/usc/7/6302.md?p=3).
  - (6) **Quorum—** A quorum of the [Committee](/usc/7/6302.md?p=3) shall consist of the number of members of the [Committee](/usc/7/6302.md?p=3) equal to three-fourths of the total membership of the [Committee](/usc/7/6302.md?p=3).
- (h) **Powers and duties of Committee—** The [order](/usc/7/6302.md?p=10) shall define the powers and duties that the [Board](/usc/7/6302.md?p=1) may assign to the [Committee](/usc/7/6302.md?p=3), which may include the following:
  - (1) **Budgets—** The [Board](/usc/7/6302.md?p=1) may assign to the [Committee](/usc/7/6302.md?p=3) the power to develop and submit to the [Board](/usc/7/6302.md?p=1), for approval, budgets on a fiscal year basis, as provided for in [subsection (e)](#e). The [Board](/usc/7/6302.md?p=1) shall review and approve, reject, modify, or substitute a budget proposed by the [Committee](/usc/7/6302.md?p=3), and submit budgets to the [Secretary](/usc/7/6302.md?p=16) for the [Secretary](/usc/7/6302.md?p=16)’s approval under [subsection (e)](#e).
  - (2) **Plans and projects—** The [Board](/usc/7/6302.md?p=1) may assign to the [Committee](/usc/7/6302.md?p=3) the power to review, or on its own initiative develop, plans or projects for [promotion](/usc/7/6302.md?p=13), [research](/usc/7/6302.md?p=15), [consumer information](/usc/7/6302.md?p=4), and [industry information](/usc/7/6302.md?p=7) activities, to be paid for with funds received by the [Board](/usc/7/6302.md?p=1) as provided for in [subsection (f)](#f). Each such plan or project shall be presented to the [Board](/usc/7/6302.md?p=1) for approval.
  - (3) **Voting—** A recommendation to be presented to the [Board](/usc/7/6302.md?p=1) relating to proposed budgets or proposed plans and projects shall require the concurring vote of at least two-thirds of the members present at a meeting of the [Committee](/usc/7/6302.md?p=3).
- (i) **Administration—**
  - (1) **Expenses—** The [order](/usc/7/6302.md?p=10) shall provide that the [Board](/usc/7/6302.md?p=1) shall be responsible for all expenses of the [Board](/usc/7/6302.md?p=1).
  - (2) **Staff—**
    - (A) **In general—** The [order](/usc/7/6302.md?p=10) shall provide that the [Board](/usc/7/6302.md?p=1) may establish an administrative staff or facilities of its own or contract for the use of the staff and facilities of national, nonprofit, [producer](/usc/7/6302.md?p=12)-governed organizations that represent [producers](/usc/7/6302.md?p=12) of [soybeans](/usc/7/6302.md?p=18).
    - (B) **Limitation on salaries—** If the [Board](/usc/7/6302.md?p=1) establishes an administrative staff of its own, the [Board](/usc/7/6302.md?p=1) is authorized to expend for administrative staff salaries and benefits an amount not to exceed one percent of the projected level of assessments to be collected by the [Board](/usc/7/6302.md?p=1), net of any refunds to be made under [subsection (l)(2)](#l-2), for that fiscal year.
    - (C) **Reimbursement of organization—** If the staff of national, nonprofit, [producer](/usc/7/6302.md?p=12)-governed organizations that represent [producers](/usc/7/6302.md?p=12) of [soybeans](/usc/7/6302.md?p=18) are used by the [Board](/usc/7/6302.md?p=1), the staff of such organizations shall not receive compensation directly from the [Board](/usc/7/6302.md?p=1), but such organizations shall be reimbursed for the reasonable expenses of their staffs, including salaries, incurred in performing staff duties on behalf of, and authorized by, the [Board](/usc/7/6302.md?p=1).
  - (3) **Limitation on administrative costs—** The [order](/usc/7/6302.md?p=10) shall provide that costs incurred by the [Board](/usc/7/6302.md?p=1) in administering the [order](/usc/7/6302.md?p=10) (including the cost of staff but not including administrative costs incurred by the [Secretary](/usc/7/6302.md?p=16)) during any fiscal year shall not exceed 5 percent of the projected level of assessments to be collected by the [Board](/usc/7/6302.md?p=1), net of any refunds to be made under [subsection (l)(2)](#l-2) of this section, for that fiscal year.
- (j) **Contracts and agreements—**
  - (1) **Authority—** To ensure coordination and efficient use of funds, the [order](/usc/7/6302.md?p=10) shall provide that the [Board](/usc/7/6302.md?p=1) may enter into contracts or agreements for the implementation and carrying out of the activities authorized by this chapter with national, nonprofit, [producer](/usc/7/6302.md?p=12)-governed organizations that represent [producers](/usc/7/6302.md?p=12) of [soybeans](/usc/7/6302.md?p=18), and for the payment thereof with funds received by the [Board](/usc/7/6302.md?p=1) under the [order](/usc/7/6302.md?p=10).
  - (2) **Coordination—** To enhance coordination, the [Board](/usc/7/6302.md?p=1), when entering into contracts or agreements for the implementation and carrying out of activities authorized by this chapter, shall ensure that all plans or projects implemented for [consumer information](/usc/7/6302.md?p=4), [industry information](/usc/7/6302.md?p=7), [promotion](/usc/7/6302.md?p=13), or [research](/usc/7/6302.md?p=15) are each implemented by a single entity. There shall not be in force, at any one time, more than one contract or agreement for implementation of plans or projects for [consumer information](/usc/7/6302.md?p=4), for [industry information](/usc/7/6302.md?p=7), for [promotion](/usc/7/6302.md?p=13), or for [research](/usc/7/6302.md?p=15), except that, upon approval of the [Secretary](/usc/7/6302.md?p=16), the [Board](/usc/7/6302.md?p=1) may contract with [qualified State soybean boards](/usc/7/6302.md?p=14) to implement plans or projects within their respective [States](/usc/7/6302.md?p=19).
  - (3) **Terms—** Any contract or agreement entered into under this subsection shall provide that—
    - (A) the contracting party shall develop and submit to the [Board](/usc/7/6302.md?p=1) a plan or project together with a budget or budgets that shall show estimated costs to be incurred for such plan or project;
    - (B) the plan or project shall not become effective until it has been approved by the [Secretary](/usc/7/6302.md?p=16); and
    - (C) the contracting party shall keep accurate records of all of its transactions, account for funds received and expended, including staff time, salaries, and expenses expended on behalf of [Board](/usc/7/6302.md?p=1) activities, make periodic reports to the [Board](/usc/7/6302.md?p=1) of activities conducted, and make such other reports as the [Board](/usc/7/6302.md?p=1) or the [Secretary](/usc/7/6302.md?p=16) may require.
  - (4) **Communications to producers—** The [order](/usc/7/6302.md?p=10) may provide that—
    - (A) the [Board](/usc/7/6302.md?p=1) may enter into contracts or agreements with [qualified State soybean boards](/usc/7/6302.md?p=14) that apply therefor and agree to the terms thereof, for the implementation of plans or projects to coordinate and facilitate communications to [producers](/usc/7/6302.md?p=12) regarding the conduct of activities under the [order](/usc/7/6302.md?p=10) and for the payment of the costs of the plans or projects with funds received by the [Board](/usc/7/6302.md?p=1) under the [order](/usc/7/6302.md?p=10); and
    - (B) to facilitate the funding of plans or projects described in [subparagraph (A)](#j-4-A), if the [order](/usc/7/6302.md?p=10) does not authorize the payment of refunds, the [Board](/usc/7/6302.md?p=1) shall allocate for such funding each year an amount not less than the cumulative amount of all [producer](/usc/7/6302.md?p=12) contributions to [qualified State soybean boards](/usc/7/6302.md?p=14) during the previous year that the [State](/usc/7/6302.md?p=19) [boards](/usc/7/6302.md?p=1) were unable to retain, and forwarded to the [Board](/usc/7/6302.md?p=1), because [producers](/usc/7/6302.md?p=12) received refunds on such [State](/usc/7/6302.md?p=19) contributions, as determined by the [Board](/usc/7/6302.md?p=1) based on information submitted by the [qualified State soybean boards](/usc/7/6302.md?p=14).
  - (5) **Apportionment of funds to qualified State soybean boards—**
    - (A) **In general—** In using the funds allocated each year under [paragraph (4)(B)](#j-4-B) for payment of the costs of contracts or agreements described in [paragraph (4)(A)](#j-4-A), subject to [subparagraph (B)](#j-5-B), the [Board](/usc/7/6302.md?p=1) shall apportion such allocated funds among [States](/usc/7/6302.md?p=19) so that each [qualified State soybean board](/usc/7/6302.md?p=14) receives an amount equal to the amount of such allocated funds attributable to refunds in the [State](/usc/7/6302.md?p=19) during the previous year, as determined by the [Board](/usc/7/6302.md?p=1) based on information submitted by the [qualified State soybean boards](/usc/7/6302.md?p=14).
    - (B) **Exception—** The [Board](/usc/7/6302.md?p=1) shall not be required to apportion funds to a [qualified State soybean board](/usc/7/6302.md?p=14), as provided in [subparagraph (A)](#j-5-A), if—
      - (i) the [qualified State soybean board](/usc/7/6302.md?p=14) has not entered into a contract or agreement with the [Board](/usc/7/6302.md?p=1) for the implementation of plans or projects described in [paragraph (4)(A)](#j-4-A); or
      - (ii) the amount to be apportioned to the [qualified State soybean board](/usc/7/6302.md?p=14) is less than the cost to the [Board](/usc/7/6302.md?p=1) of overseeing the use of such apportionment during the year involved, and the contract or agreement shall so provide.
- (k) **Books and records of Board—** The [order](/usc/7/6302.md?p=10) shall require the [Board](/usc/7/6302.md?p=1) to—
  - (1) maintain such books and records, which shall be available to the [Secretary](/usc/7/6302.md?p=16) for inspection and audit, as the [Secretary](/usc/7/6302.md?p=16) may prescribe;
  - (2) prepare and submit to the [Secretary](/usc/7/6302.md?p=16), from time to time, such reports as the [Secretary](/usc/7/6302.md?p=16) may prescribe; and
  - (3) account for the receipt and disbursement of all funds entrusted to the [Board](/usc/7/6302.md?p=1).

  The [Board](/usc/7/6302.md?p=1) shall cause its books and records to be audited by an independent auditor at the end of each fiscal year and a report of such audit to be submitted to the [Secretary](/usc/7/6302.md?p=16). The [Secretary](/usc/7/6302.md?p=16) shall make such report available to the public upon request.

- (l) **Assessments—**
  - (1) **In general—**
    - (A) **First purchasers—**
      - (i) **Collection—** The [order](/usc/7/6302.md?p=10) shall provide that each [first purchaser](/usc/7/6302.md?p=6) of [soybeans](/usc/7/6302.md?p=18) from a [producer](/usc/7/6302.md?p=12) shall collect, in the manner prescribed by the [order](/usc/7/6302.md?p=10), an assessment from the [producer](/usc/7/6302.md?p=12) and remit the assessment to the [Board](/usc/7/6302.md?p=1). The [Board](/usc/7/6302.md?p=1) shall use [qualified State soybean boards](/usc/7/6302.md?p=14) to collect such assessments in [States](/usc/7/6302.md?p=19) in which such [boards](/usc/7/6302.md?p=1) operate.
      - (ii) **Rate—** The rate of assessment prescribed by the [order](/usc/7/6302.md?p=10) shall be one-half of 1 percent of the [net market price](/usc/7/6302.md?p=9) of [soybeans](/usc/7/6302.md?p=18) sold by the [producer](/usc/7/6302.md?p=12) to the [first purchaser](/usc/7/6302.md?p=6).
      - (iii) **One assessment—** No more than one assessment shall be made on any [soybeans](/usc/7/6302.md?p=18).
    - (B) **Direct processing—** The [order](/usc/7/6302.md?p=10) shall provide that any [person](/usc/7/6302.md?p=11) processing [soybeans](/usc/7/6302.md?p=18) of that [person](/usc/7/6302.md?p=11)’s own production and [marketing](/usc/7/6302.md?p=8) such [soybeans](/usc/7/6302.md?p=18) or [soybean products](/usc/7/6302.md?p=17) made from such [soybeans](/usc/7/6302.md?p=18) shall remit to the [Board](/usc/7/6302.md?p=1) or the [qualified State soybean board](/usc/7/6302.md?p=14), in the manner prescribed by the [order](/usc/7/6302.md?p=10), an assessment established at a rate equivalent to the rate provided for in [subparagraph (A)(ii)](#l-1-A-ii).
  - (2) **Refunds—**
    - (A) **Refunds prior to initial referendum—**
      - (i) **In general—** The [order](/usc/7/6302.md?p=10) shall provide that, during the period prior to the approval of the continuation of the initial [order](/usc/7/6302.md?p=10) in the referendum provided for in [section 6305(a) of this title](/usc/7/6305.md?p=a), as determined by the [Secretary](/usc/7/6302.md?p=16), each [producer](/usc/7/6302.md?p=12) shall have the right to demand and receive from the [Board](/usc/7/6302.md?p=1) a refund of any assessment collected from such [producer](/usc/7/6302.md?p=12) if—
        - (I) such [producer](/usc/7/6302.md?p=12) is responsible for paying the assessment; and
        - (II) such [producer](/usc/7/6302.md?p=12) does not support the programs, projects, or activities implemented under the [order](/usc/7/6302.md?p=10).
      - (ii) **By Board—** During the period referred to in [clause (i)](#l-2-A-i), refunds shall be provided equally from the [Board](/usc/7/6302.md?p=1) and, where applicable, the [qualified State soybean board](/usc/7/6302.md?p=14), as determined by the [Secretary](/usc/7/6302.md?p=16).
    - (B) **Administration—** Subject to [subparagraph (C)(i)](#l-2-C-i), any demand by a [producer](/usc/7/6302.md?p=12) for a refund of an assessment under this paragraph shall be made in accordance with regulations, on a form, and within the time period (not to exceed 90 days) prescribed by the [Board](/usc/7/6302.md?p=1).
    - (C) **Submission of refund demands—**
      - (i) **In general—** In each [State](/usc/7/6302.md?p=19) in which a [qualified State soybean board](/usc/7/6302.md?p=14) collects assessments, as provided in [paragraph (1)(A)(i)](#l-1-A-i), [producers](/usc/7/6302.md?p=12) shall submit demands for refunds of assessments to the [qualified State soybean board](/usc/7/6302.md?p=14). Such [board](/usc/7/6302.md?p=1) shall provide notice to [producers](/usc/7/6302.md?p=12), in a manner prescribed by the [Board](/usc/7/6302.md?p=1), of their right to such refunds, and shall process such submissions under procedures established by [State](/usc/7/6302.md?p=19) law applicable to refunds of assessments on [soybeans](/usc/7/6302.md?p=18), except that if no refunds are allowed under [State](/usc/7/6302.md?p=19) law, such submissions shall be processed under procedures established under this paragraph.
      - (ii) **No qualified State soybean board—** In each [State](/usc/7/6302.md?p=19) in which there is no [qualified State soybean board](/usc/7/6302.md?p=14), [producers](/usc/7/6302.md?p=12) shall submit demands for refunds of assessments directly to the [Board](/usc/7/6302.md?p=1).
    - (D) **Time limit for making refund—** Subject to [subparagraph (C)(i)](#l-2-C-i), each refund to a [producer](/usc/7/6302.md?p=12) of an assessment under this paragraph shall be made as soon as practicable, but in no event more than 60 days, after submission of proof satisfactory to the [qualified State soybean board](/usc/7/6302.md?p=14) or the [Board](/usc/7/6302.md?p=1) that the [producer](/usc/7/6302.md?p=12) paid the assessment for which refund is demanded.
    - (E) **Order not favored—** If the [Secretary](/usc/7/6302.md?p=16) determines that [producers](/usc/7/6302.md?p=12) do not favor the continuation of the [order](/usc/7/6302.md?p=10) in the referendum provided for in [section 6305(a) of this title](/usc/7/6305.md?p=a), refunds shall be made under this paragraph on collected assessments until such collections are terminated, as provided in [section 6305(a) of this title](/usc/7/6305.md?p=a).
    - (F) **Refunds after the initial referendum—**
      - (i) **In general—** The [order](/usc/7/6302.md?p=10) shall contain provisions relating to refunds after the approval of the [order](/usc/7/6302.md?p=10) in the initial referendum under [section 6305(a) of this title](/usc/7/6305.md?p=a) as required in this subparagraph.
      - (ii) **Availability—** Effective for the period beginning on the date the [Secretary](/usc/7/6302.md?p=16) determines the result of the initial referendum under [section 6305(a) of this title](/usc/7/6305.md?p=a) and ending on a date (not later than 18 months thereafter) established by the [Secretary](/usc/7/6302.md?p=16), the [qualified State soybean board](/usc/7/6302.md?p=14) and, where no [qualified State soybean board](/usc/7/6302.md?p=14) exists, the [Board](/usc/7/6302.md?p=1) shall make refunds available to soybean [producers](/usc/7/6302.md?p=12) at the end of the fiscal year from escrowed funds, as provided for in [clause (vii)](#l-2-F-vii). Such refunds shall be made available, under the procedures specified in subparagraphs [(A)](#l-2-A) through [(D)](#l-2-D) to the extent not inconsistent with this subparagraph, to [producers](/usc/7/6302.md?p=12) who have requested refunds during such period.
      - (iii) **Poll—** Not later than the end of the period provided for in [clause (ii)](#l-2-F-ii), the [Secretary](/usc/7/6302.md?p=16) shall conduct a poll of soybean [producers](/usc/7/6302.md?p=12), using the procedures provided for in [section 6305(b)(3) of this title](/usc/7/6305.md?p=b-3), to determine if [producers](/usc/7/6302.md?p=12) support the conduct of a referendum on the continuance of the payment of refunds under the [order](/usc/7/6302.md?p=10).
      - (iv) **Referendum—** If the [Secretary](/usc/7/6302.md?p=16) determines, based on the poll conducted under [clause (iii)](#l-2-F-iii), that the conduct of a referendum is supported by at least 20 percent of the [producers](/usc/7/6302.md?p=12) (not in excess of one-fifth of which may be [producers](/usc/7/6302.md?p=12) in any one [State](/usc/7/6302.md?p=19)) who, during a representative period, have been engaged in the production of [soybeans](/usc/7/6302.md?p=18), the [Secretary](/usc/7/6302.md?p=16) shall conduct a referendum among all such [producers](/usc/7/6302.md?p=12) for the purpose of determining whether such [producers](/usc/7/6302.md?p=12) favor the continuation of the payment of refunds under the [order](/usc/7/6302.md?p=10). Such referendum shall be conducted, under the procedures provided for in [section 6305 of this title](/usc/7/6305.md), not later than 1 year after the [Secretary](/usc/7/6302.md?p=16) determines, based on the poll, that the referendum is required.
      - (v) **Continued refunds—** If the [Secretary](/usc/7/6302.md?p=16) conducts a referendum under [clause (iv)](#l-2-F-iv), the [qualified State soybean board](/usc/7/6302.md?p=14) and, where no [qualified State soybean board](/usc/7/6302.md?p=14) exists, the [Board](/usc/7/6302.md?p=1) shall continue to make refunds available to [producers](/usc/7/6302.md?p=12) as provided for in [clause (ii)](#l-2-F-ii) during the period prior to the conduct of the referendum, which shall be payable at the end of the period from the escrowed funds, as provided in [clause (vii)](#l-2-F-vii).
      - (vi) **Continuation or cessation of refunds—** If the [Secretary](/usc/7/6302.md?p=16) determines, in the referendum conducted under [clause (iv)](#l-2-F-iv), that continuation of the payment of refunds is favored by a majority of the [producers](/usc/7/6302.md?p=12) voting in such referendum, the [qualified State soybean board](/usc/7/6302.md?p=14) and, where no [qualified State soybean board](/usc/7/6302.md?p=14) exists, the [Board](/usc/7/6302.md?p=1) shall continue to make refunds available to [producers](/usc/7/6302.md?p=12) as provided for in [clause (ii)](#l-2-F-ii) for each 1-year period that follows until such time as soybean [producers](/usc/7/6302.md?p=12) approve an amendment to the [order](/usc/7/6302.md?p=10) to eliminate such refunds. Such refunds shall be payable at the end of each such 1-year period from escrowed funds, as provided in [clause (vii)](#l-2-F-vii). If the [Secretary](/usc/7/6302.md?p=16) determines in the referendum that continuation of such refunds is not favored by a majority of [producers](/usc/7/6302.md?p=12) voting in the referendum, the right to such refunds shall cease immediately.
      - (vii) **Escrow accounts—**
        - (I) **Establishment—** The [qualified State soybean board](/usc/7/6302.md?p=14) and, for [producers](/usc/7/6302.md?p=12) in [States](/usc/7/6302.md?p=19) where no [qualified State soybean board](/usc/7/6302.md?p=14) exists, the [Board](/usc/7/6302.md?p=1) shall establish escrow accounts to be used to pay refunds under [clause (ii)](#l-2-F-ii) and, if necessary, clauses [(v)](#l-2-F-v) and [(vi)](#l-2-F-vi).
        - (II) **Separate accounts—** The [qualified State soybean board](/usc/7/6302.md?p=14) and, where no [qualified State soybean board](/usc/7/6302.md?p=14) exists, the [Board](/usc/7/6302.md?p=1) shall establish separate escrow accounts for each [State](/usc/7/6302.md?p=19) from which [producer](/usc/7/6302.md?p=12) assessments are collected for the purpose of making refunds under clauses [(ii)](#l-2-F-ii), [(v)](#l-2-F-v), and [(vi)](#l-2-F-vi), respectively.
        - (III) **Deposits—** The [qualified State soybean board](/usc/7/6302.md?p=14) and, where no [qualified State soybean board](/usc/7/6302.md?p=14) exists, the [Board](/usc/7/6302.md?p=1) shall deposit into its escrow account for refunds under clause [(ii)](#l-2-F-ii), [(v)](#l-2-F-v), or [(vi)](#l-2-F-vi), as appropriate, 10 percent of the total assessment collected by the [qualified State soybean board](/usc/7/6302.md?p=14) and, where no [qualified State soybean board](/usc/7/6302.md?p=14) exists, the [Board](/usc/7/6302.md?p=1) (including the assessment provided under [paragraph (2)](#l-2) and contributions by [producers](/usc/7/6302.md?p=12) to [qualified State soybean boards](/usc/7/6302.md?p=14) under [paragraph (4)](#l-4)), during the time period involved.
        - (IV) **Refunds made from escrow account—** Refunds requested by [producers](/usc/7/6302.md?p=12) from a [State](/usc/7/6302.md?p=19) under [clause (ii)](#l-2-F-ii) (or if refunds are available under clause [(v)](#l-2-F-v) or [(vi)](#l-2-F-vi)) during the time period involved shall be made from the escrow account that is applicable to that clause for such [State](/usc/7/6302.md?p=19).
        - (V) **Proration—** If the funds deposited in a [State](/usc/7/6302.md?p=19) account established under [subclause (I)](#l-2-F-vii-I) for purposes described under clauses [(ii)](#l-2-F-ii), [(v)](#l-2-F-v), and [(vi)](#l-2-F-vi) are not sufficient to honor all requests for refunds made by [producers](/usc/7/6302.md?p=12) from that [State](/usc/7/6302.md?p=19) during the time period involved, the [qualified State soybean board](/usc/7/6302.md?p=14) and, where no [qualified State soybean board](/usc/7/6302.md?p=14) exists, the [Board](/usc/7/6302.md?p=1) shall prorate the amount of such refunds from the [State](/usc/7/6302.md?p=19)’s account among all [producers](/usc/7/6302.md?p=12) from that [State](/usc/7/6302.md?p=19) that request refunds.
        - (VI) **Surplus funds—** Any funds not refunded to [producers](/usc/7/6302.md?p=12) in a [State](/usc/7/6302.md?p=19) under this clause shall be divided equally between the [Board](/usc/7/6302.md?p=1) and the [qualified State soybean board](/usc/7/6302.md?p=14) of such [State](/usc/7/6302.md?p=19). Such funds shall be used to carry out programs under this chapter.
        - (VII) **Refund period—** In applying this clause to refunds under [clause (vi)](#l-2-F-vi), each annual refund period shall be treated separately.
  - (3) **Use—** The assessments (net of any refunds under [paragraph (2)](#l-2)) shall be used for—
    - (A) payment of the expenses incurred in implementation and administration of the [order](/usc/7/6302.md?p=10);
    - (B) the establishment of a reasonable reserve; and
    - (C) reimbursement to the [Secretary](/usc/7/6302.md?p=16) of administrative costs incurred by the [Secretary](/usc/7/6302.md?p=16) to implement and administer the [order](/usc/7/6302.md?p=10), other than one-half of the cost incurred for the referendum conducted under [paragraph (2)(F)](#l-2-F).
  - (4) **Credit for contributions to qualified State soybean boards—** A [producer](/usc/7/6302.md?p=12) who can establish that such [producer](/usc/7/6302.md?p=12) is contributing to a [qualified State soybean board](/usc/7/6302.md?p=14) shall receive credit, in determining the assessment due to the [Board](/usc/7/6302.md?p=1) from such [producer](/usc/7/6302.md?p=12), for contributions to the [qualified State soybean board](/usc/7/6302.md?p=14) of up to one-quarter of 1 percent of the [net market price](/usc/7/6302.md?p=9) of [soybeans](/usc/7/6302.md?p=18) or the equivalent thereof. For purposes of this chapter, there shall be only one [qualified State soybean board](/usc/7/6302.md?p=14) in each [State](/usc/7/6302.md?p=19). A [producer](/usc/7/6302.md?p=12) may receive a credit under this paragraph only if the contribution is to the [qualified State soybean board](/usc/7/6302.md?p=14) in the [State](/usc/7/6302.md?p=19) in which the [soybeans](/usc/7/6302.md?p=18) are produced, except that the [Board](/usc/7/6302.md?p=1), with the approval of the [Secretary](/usc/7/6302.md?p=16), may authorize exceptions to such [State](/usc/7/6302.md?p=19)-of-origin rule as are appropriate to ensure effective coordination of collection procedures among [States](/usc/7/6302.md?p=19).
  - (5) **Single process of assessment—** The procedures in the [order](/usc/7/6302.md?p=10) for the collection of assessments shall ensure, to the extent practicable, that such [soybeans](/usc/7/6302.md?p=18) are subject to a single process of assessment under the [order](/usc/7/6302.md?p=10).
- (m) **Credit for certain costs to States—** The [order](/usc/7/6302.md?p=10) shall provide that the [Board](/usc/7/6302.md?p=1) may provide a credit to each [qualified State soybean board](/usc/7/6302.md?p=14) of an amount not to exceed one-half of any fees paid to [State](/usc/7/6302.md?p=19) governmental agencies or [first purchasers](/usc/7/6302.md?p=6) for collection of the assessments if the payment of such fees by the [qualified State soybean board](/usc/7/6302.md?p=14) is required by [State](/usc/7/6302.md?p=19) law enacted prior to November 28, 1990, except that the [Board](/usc/7/6302.md?p=1) may not provide a credit to any [qualified State soybean board](/usc/7/6302.md?p=14) of an amount that exceeds 2.5 percent of the amount of assessments collected and remitted to the [Board](/usc/7/6302.md?p=1) under [subsection (l)](#l).
- (n) **Minimum level of assessments to States—**
  - (1) **Pre-referendum period—** The [order](/usc/7/6302.md?p=10) shall contain provisions to ensure that, during the period prior to the conduct of the referendum provided for in [section 6305(a) of this title](/usc/7/6305.md?p=a), each [qualified State soybean board](/usc/7/6302.md?p=14) receives annually an amount of funds equal to the average amount that the [State](/usc/7/6302.md?p=19) [board](/usc/7/6302.md?p=1) collected from assessments during each of the [State](/usc/7/6302.md?p=19) [board](/usc/7/6302.md?p=1)’s fiscal years 1984 through 1988 (excluding the year in which such collections were the highest and the year in which such collections were the lowest), as determined by the [Secretary](/usc/7/6302.md?p=16) and subject to [paragraph (3)](#n-3).
  - (2) **Post-referendum period—** The [order](/usc/7/6302.md?p=10) shall provide, effective after the conduct of the referendum provided for in [section 6305(a) of this title](/usc/7/6305.md?p=a), subject to [paragraph (3)](#n-3), that the [Board](/usc/7/6302.md?p=1) annually shall provide a credit to each [qualified State soybean board](/usc/7/6302.md?p=14) of an amount by which—
    - (A) the amount equal to 1 cent times the average number of bushels of [soybeans](/usc/7/6302.md?p=18) produced in the [State](/usc/7/6302.md?p=19) during each of the preceding 5 years (excluding the year in which the production is the highest and the year in which the production is the lowest); exceeds
    - (B) the total amount collected by the [qualified State soybean board](/usc/7/6302.md?p=14) from assessments on [producers](/usc/7/6302.md?p=12) minus the amount of assessments remitted to the [Board](/usc/7/6302.md?p=1) during such year under [subsection (l)](#l).
  - (3) **Limitation—** The total amount of credits under paragraph [(1)](#n-1) or [(2)](#n-2) and assessments retained by the [qualified State soybean board](/usc/7/6302.md?p=14) for a year may not exceed the total amount of assessments collected in that [State](/usc/7/6302.md?p=19) under [subsection (l)](#l) (net of any refunds made under [paragraph (2)](#l-2) of subsection (l)) in that year.
- (o) **Investment of funds—**
  - (1) **In general—** The [order](/usc/7/6302.md?p=10) shall provide that the [Board](/usc/7/6302.md?p=1), with the approval of the [Secretary](/usc/7/6302.md?p=16), may invest assessment funds collected by the [Board](/usc/7/6302.md?p=1) under the [order](/usc/7/6302.md?p=10), pending their disbursement, only in—
    - (A) obligations of the [United States](/usc/7/6302.md?p=19) or any agency thereof;
    - (B) general obligations of any [State](/usc/7/6302.md?p=19) or any political subdivision thereof;
    - (C) any interest-bearing account or certificate of deposit of a [bank](/usc/7/27.md?p=a) that is a member of the Federal Reserve System; or
    - (D) obligations fully guaranteed as to principal and interest by the [United States](/usc/7/6302.md?p=19).
  - (2) **Income—** Income from any such investment may be used for any purpose for which the invested funds may be used.
- (p) **Prohibition on use of funds to influence governmental action—**
  - (1) **In general—** Except as otherwise provided in [paragraph (2)](#p-2), the [order](/usc/7/6302.md?p=10) shall prohibit any funds collected by the [Board](/usc/7/6302.md?p=1) under the [order](/usc/7/6302.md?p=10) from being used in any manner for the purpose of influencing legislation or governmental action or policy.
  - (2) **Exceptions—** [Paragraph (1)](#p-1) shall not apply to—
    - (A) the development and recommendation of amendments to the [order](/usc/7/6302.md?p=10);
    - (B) the communication to appropriate government officials of information relating to the conduct, implementation, or results of [promotion](/usc/7/6302.md?p=13), [research](/usc/7/6302.md?p=15), [consumer information](/usc/7/6302.md?p=4), or [industry information](/usc/7/6302.md?p=7) activities under the [order](/usc/7/6302.md?p=10); or
    - (C) any action designed to [market](/usc/7/198.md?p=1) [soybeans](/usc/7/6302.md?p=18) or [soybean products](/usc/7/6302.md?p=17) directly to a foreign government or political subdivision thereof.
- (q) **Books and records of first purchasers and certain producers—**
  - (1) **Recordkeeping—**
    - (A) **In general—** The [order](/usc/7/6302.md?p=10) shall require that each [first purchaser](/usc/7/6302.md?p=6) of [soybeans](/usc/7/6302.md?p=18) and any [person](/usc/7/6302.md?p=11) processing [soybeans](/usc/7/6302.md?p=18) of that [person](/usc/7/6302.md?p=11)’s own production maintain and make available for inspection by the [Board](/usc/7/6302.md?p=1) or the [Secretary](/usc/7/6302.md?p=16) such books and records as may be required by the [order](/usc/7/6302.md?p=10) and file reports at the time, in the manner, and having the content prescribed by the [order](/usc/7/6302.md?p=10). The [order](/usc/7/6302.md?p=10) shall exempt small [producers](/usc/7/6302.md?p=12) processing [soybeans](/usc/7/6302.md?p=18) of their own production from such recordkeeping and reporting requirements if they are not required to pay assessments under the [order](/usc/7/6302.md?p=10).
    - (B) **“Small producer” defined—** The [order](/usc/7/6302.md?p=10) shall define the term “small [producer](/usc/7/6302.md?p=12)” as such term is used in [subparagraph (A)](#q-1-A).
  - (2) **Use of information—**
    - (A) **In general—** Information maintained under [paragraph (1)](#q-1) shall be made available to the [Secretary](/usc/7/6302.md?p=16) as is appropriate for the administration or enforcement of this chapter, or any [order](/usc/7/6302.md?p=10) or regulation issued under this chapter.
    - (B) **Other information—** The [Secretary](/usc/7/6302.md?p=16) shall authorize the use under this chapter of information regarding [first purchasers](/usc/7/6302.md?p=6) that is accumulated under a law or regulation other than this chapter or regulations under this chapter.
  - (3) **Confidentiality—**
    - (A) **In general—** Except as otherwise provided in this chapter, commercial or financial information that is obtained under paragraph [(1)](#q-1) or [(2)](#q-2) and that is privileged or confidential shall be kept confidential by all officers and employees of the [Department](/usc/7/6302.md?p=5), members of the [Board](/usc/7/6302.md?p=1), and agents of the [Board](/usc/7/6302.md?p=1).
    - (B) **Permitted uses—** Information obtained under the authority of this chapter shall be made available to any agency or officer of the Federal Government for—
      - (i) the implementation of this chapter;
      - (ii) any investigatory or enforcement action necessary for the implementation of this chapter; or
      - (iii) any civil or criminal law enforcement activity if the activity is authorized by law.
    - (C) **Other exceptions—** Nothing in [subparagraph (A)](#q-3-A) may be deemed to prohibit—
      - (i) the issuance of general statements, based on the reports, of the number of [persons](/usc/7/6302.md?p=11) subject to an [order](/usc/7/6302.md?p=10) or statistical data collected therefrom, which statements do not identify the information furnished by any [person](/usc/7/6302.md?p=11); or
      - (ii) the publication, by direction of the [Secretary](/usc/7/6302.md?p=16), of the name of any [person](/usc/7/6302.md?p=11) violating any [order](/usc/7/6302.md?p=10), together with a statement of the particular provisions of the [order](/usc/7/6302.md?p=10) violated by such [person](/usc/7/6302.md?p=11).
  - (4) **Penalty—** Any [person](/usc/7/6302.md?p=11) who willfully violates the provisions of this subsection, upon conviction, shall be subject to a fine of not more than $1,000, or to imprisonment for not more than one year, or both, and, if a member or an agent of the [Board](/usc/7/6302.md?p=1) or an officer or employee of the [Department](/usc/7/6302.md?p=5), shall be removed from office.
- (r) **Incidental terms and conditions—** The [order](/usc/7/6302.md?p=10) shall provide terms and conditions, not inconsistent with the provisions of this chapter, as necessary to effectuate the provisions of the [order](/usc/7/6302.md?p=10), including provisions for the assessment of a penalty for each late payment of assessments under [subsection (l)](#l).

## Source credit

(Pub. L. 101–624, title XIX, § 1969, Nov. 28, 1990, 104 Stat. 3884; Pub. L. 102–237, title VIII, § 806(1), Dec. 13, 1991, 105 Stat. 1883.)

## Notes

### Editorial Notes

### Amendments

1991—Subsec. (g)(2)(A)(ii). Pub. L. 102–237, § 806(1)(A), substituted “Agricultural” for “Argicultural”.

Subsec. (l)(2)(F)(vii)(V). Pub. L. 102–237, § 806(1)(B), substituted “that request” for “that requests”.

Subsec. (q)(4). Pub. L. 102–237, § 806(1)(C), inserted a comma after “and” and struck out semicolon after “Board”.
