Pulse crop checkoff established.
Terms used in this Act mean:
The term of the members of the council is three years. However, the initial
appointments shall be for staggered terms. Succeeding council members shall be nominated and
elected by participating growers pursuant to rules promulgated by the secretary pursuant to chapter
1-26. No council member may serve more than two consecutive elected terms. If a member ceases
to be a participating grower, the secretary shall declare the member's office vacant, and the
secretary shall appoint a successor for the balance of the term of the office vacated.
The council shall annually elect a chair and vice-chair. A majority of voting
members constitutes a quorum. All meetings of the council shall be called by the chair. However,
special meetings may be called by three members of the council. The council shall adopt
procedures for the calling of special meetings.
Compensation for the members of the council shall be paid pursuant to
Funds collected pursuant to this Act shall be deposited with the state treasurer in a
special fund known as the pulse crops fund. Expenditures of these funds shall be made in
accordance with the provisions of chapter 4-7.
The council shall promote the development, marketing, processing, and production
of pulse crops in South Dakota. In the administration of this Act, the council may:
Section 10. An assessment at the rate of one percent of the net market price is levied and imposed on any pulse crop grown or sold in South Dakota to a first purchaser. The council may enter into reciprocal agreements with other states that also have a pulse checkoff to remit the assessment to the state where the crop is grown. This assessment is due on any identifiable lot or quantity of a pulse crop.
Each first purchaser of pulse crops shall file an application or affidavit with the
council on forms prescribed and furnished by the council which contain the name under which the
first purchaser is transacting business within the state, the place of business, and the location of
loading places of the first purchaser.
Each first purchaser shall keep a permanent record of all purchases of pulse crops,
which may be examined by the council at any reasonable time. The first purchaser shall report to
the council the quantity of pulse crops received by the first purchaser. The report and remittance
of the assessment shall be made at the times and in the manner prescribed by the council in rules
promulgated pursuant to chapter 1-26.
In the case of a pledge or mortgage of pulse crops as security for a loan under the
federal price support program, the assessment established under section 10 of this Act shall be
deducted from the proceeds of the loan at the time the loan is made, or be deducted thereafter by
agencies of the federal government. The producer's note and loan agreement, producer's note and
supplemental loan agreement, or delivery instructions issued by the federal agency to the grower
fulfill the requirements for invoices, and these documents constitute proof of payment of the
assessment on the pulse crops. Forms supplemental or alternate to those approved in this section
that are provided by the Commodity Credit Corporation of the United States Department of
Agriculture and contain the necessary information may be used for the purposes of this section.
Identification numbers created by the Commodity Credit Corporation for use in lieu of the name
of the grower from whom the assessment was collected are approved, if authorized officials of the
State of South Dakota have access at all reasonable times to records in the United States
Department of Agriculture Farm Service Agency county offices showing the names of growers to
whom such identification numbers have been assigned.
If pulse crops described in section 14 of this Act remain in farm storage for the
duration of the pledge or mortgage, the assessment paid at the time the loan was made completely
satisfies the assessment liability unless upon subsequent actual delivery of the pulse crop from
farm storage in satisfaction of the pledge, or mortgage in the amount of one dollar or more, any
underpayment is due solely to the necessity of estimating the quantity of the pulse crops placed in
In connection with the collection of the pulse crop assessment on Commodity
Credit Corporation pulse loans disbursed and purchase agreement settlement made,
undercollections or overcollections of the pulse crop assessment amounting to one dollar or less
as a result of errors do not require collection of the underpayment or refund of the overpayment
by the Commodity Credit Corporation, and its responsibility in such cases is waived.
If any first purchaser fails to pay the assessment provided in this Act, the council
may enforce collection in any appropriate court within this state.
Any grower subject to the assessment provided in this Act, within sixty days
following the assessment, may apply to the council for a refund of the assessment. Upon return of
the refund application accompanied by a record of the assessment by the first purchaser, the grower
shall, within sixty days, be refunded the net amount of the assessment collected. Additionally, a
grower, who for any reason, pays the assessment more than once on the same pulse crops, upon
furnishing proof of this to the council, is entitled to a refund of the overpayment.
If fifteen percent of the participating growers, as disclosed by the records of the
council for the preceding year, petition the council, the council shall conduct a referendum among
the participating growers of the state to determine whether they wish the Legislature to raise or
reduce the assessment imposed by this Act. The referendum may be conducted only among
participating growers who have paid all assessments pursuant to this Act for the preceding year,
and the ballots shall be prepared by the council and mailed to each participating grower at least
thirty days before the last date for filing ballots. In addition, each ballot shall be accompanied by
a notice to each participating grower:
The council may contract with the Public Utilities Commission to inspect the
records of licensed grain dealers to determine compliance with the assessment and checkoff
requirements of this Act. The contract shall cover the dealers to be inspected and the amount the
council shall reimburse the Public Utilities Commission for the inspections.
be amended to read as follows:
The commission may contract with the Wheat Commission pursuant to § 38-10-41,
with the South Dakota Oilseeds Council pursuant to § 38-27-19, the Soybean Research and
Promotion Council pursuant to § 38-29-14,
the South Dakota Corn Utilization Council
pursuant to § 38-32-24
, and the South Dakota Pulse Crop Council pursuant to section 21 of this
. Under the terms of any such contract, the commission may inspect the records of licensed
grain dealers to determine compliance with assessment and checkoff requirements imposed by
chapters 38-10, 38-27, 38-29, and 38-32
and the provisions of this Act