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CHAPTER XI-CONSUMER AND MARKETING SERVICE (MARKETING AGREEMENTS AND ORDERS;

MISCELLANEOUS COMMODITIES),
DEPARTMENT OF AGRICULTURE'

Part 1200 [Reserved] 1201 Type 62 shade-grown cigar-leaf tobacco grown in designated production

area of Florida and Georgia. 1205 Cotton research and promotion.

PART 1201-TYPE 62 SHADE

GROWN CIGAR-LEAF TOBACCO
GROWN IN DESIGNATED PRO-
DUCTION AREA OF FLORIDA AND
GEORGIA
Subpart-Order Regulating Handling

Sec.
1201.31 Duties.
1201.32 Procedure.

EXPENSES AND AS ESSMENTS 1201.40 Use of funds collected. 1201.41 Budget and expenses. 1201.42 Assessments. 1201.43 Rate of assessment. 1201.44 Refunds. 1201.45 Accountability of Committee mem

bers for funds and property. 1201.46 Legal action for collection of as

sessments.

REGULATION 1201.50 Marketing policy and report. 1201.51 Recommendation for regulation. 1201.52 Issuance of regulation. 1201.53 Initial regulation fixing number of

leaves that may be handled. 1201.54 Limitations on handling. 1201.55 Issuance of handling certificates. 1201.56 Identification of tobacco handled. 1201.57 Exemption certificates.

MISCELLANDOUS 1201.60 Books and records. 1201.61 Compliance. 1201.62 Right of the Secretary. 1201.63 Amendment. 1201.64 Duration of immunities. 1201.65 Agents. 1201.66 Derogation. 1201.67 Personal Hability. 1201.68 Separabilty.

DEFINITIONS Sec. 1201.1 Secretary. 12012 Act. 1201.3 Person. 1201.4 Tobacco. 1201.5 Production area. 1201.6 Grower; producer. 1201.7 Handler; packer. 12018 Handle; pack. 1201.9 Prime. 1201.10 Field. 1201.11 Fiscal period. 1201.12 Control Committee; Committeo.

CONTROL COMMITTEE 1201.20 Establishment and membership. 1201.21 Term of otice. 120122 Selection of members. 1201 23 Nominations. 1201.24 Failure to nominate. 1201.25 Qualification. 1201.23 Alternato members. 1201.27 Substitute for members. 1201.28 Vacancies. 1201.29 Compensation. 1201.30 Powers.

*80 PR. 2247, Fob. 19, 1968.

Sec.
1201.69 Effective time.
1201.70 Termination.
1201.71 Proceedings after termination.
1201.72 Effect of termination or amend.

ment.
Subpart-Control Committee Rules and

Regulations

DEFINITIONS 1201.100 Definitions.

GENERAL 1201.110 Communications.

ISSUANCE OF HANDLING CERTIFICATES 1201.115 Handling Certificates.

ISSUANCE OF EXEMPTION CERTIFICATES 1201.120 Exemption Certificates. BOOKS, RECORDS, REPORTS AND IDENTIFICATION

OF TOBACCO 1201.190 Books, records, and reports. 1201.140 Identification of tobacco handled.

Subpart-Expenses and Rate of Assessment 1201.300 Expenses and rate of assessment

for the fiscal period ending January 31, 1971.

Subpart-Modifications 1201.401 Modification for the 1968–69 fiscal

period. AUTHORITY: The provisions of this Part 1201 issued under secs. 1-19, 48 Stat. 31, es amended; 7 U.S.C. 601-674. Subpart-Order Regulating Handling

SOURCE: The provisions of this subpart appear at 27 F.R. 4763, May 19, 1962, except as otherwise noted. Redesignated at 28 FR. 4787, May 14, 1963.

$ 1201.4 Tobacco.

“Tobacco" means all Type 62 shadegrown cigar-leaf tobacco, as classified in Service and Regulatory Announcement No. 118 (Part 30 of this title), that is grown in the production area and harvested after the effective date of this part. $ 1201.5 Production area.

“Production area" means those counties bordering the Georgia-Florida State line and lying between the Suwanee River on the east and the Flint and Apalachicola Rivers on the west. $ 1201.6 Grower; producer.

"Grower" or "producer" means any person who is engaged in a proprietary capacity, in the commercial production of tobacco. $ 1201.7 Handler; packer.

“Handler" or "packer" means the first person, including any grower, who handles tobacco on his own behalf or on behalf of others after harvest and farm curing (initial drying from the green state). $ 1201.8 Handle; pack.

“Handle” or “pack” means to receive, bulk, sweat, sort, select, bale, or otherwise prepare tobacco for market, or to market tobacco. 8 1201.9 Prime.

"Prime" means to pick tobacco leaves from tobacco stalks. 8 1201.10 Field.

"Field" means a field of tobacco within the confines of a single shade covering.

1201.11 Fiscal periodo

"Fiscal period” means the 12-month period beginning on February 1 and ending on January 31 of the following year, both dates inclusive: Provided, That the first fiscal period shall begin on the effective date of this part. 8 1201.12 Control Committee; Commit

tee. “Control Committee" or "Committee" means the Control Committee established pursuant to $ 1201.20.

CONTROL COMMITTEE $ 1201.20 Establishment and member

ship. (a) Establishment. A Control Committee consisting of 11 members is here

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DEFINITIONS $ 1201.l Secretary.

"Secretary" means the Secretary of Agriculture of the United States, and any other officer or employee of the United States Department of Agriculture who is, or may hereafter be, authorized to act in his stead. 8 1201.2 Act.

“Act” means Public Act Number 10, 73d Congress, as amended, and as reenacted and amended by the Agricultural Marketing Agreement Act of 1937, as amended (48 Stat. 31, as amended; 7 U.S.C. 601 et seq.). & 1201.3 Person.

"Person" means any individual, partnership, corporation, association, or any other business unit.

by established to administer the terms growers. Such nominations may be by and provisions of this part. For each virtue of elections conducted by groups member of the Committee there shall be of such growers. Nominations for the an alternate member who shall have the grower members who are also handlers same qualifications as the member, and, may be submitted by growers who are unless otherwise specified, all provisions also handlers, or by groups, including of this part applicable to a member shall associations, of such growers. Such be applicable to his alternate.

nominations may be by virtue of elec(b) Membership representation—(1) tions conducted by groups of such Growers who are not handlers. Three growers. Nominations for the handler members shall be growers who are not member who is not a grower may be handlers. Any such member may be an submitted by handlers or by groups, inofficer, employee or agent of a grower. cluding associations, of such handlers.

(2) Growers who are also handlers. Such nominations may be by virtue of Seven members shall be growers who are elections conducted by groups of such also handlers. Any such member may handlers. Such nominations shall be be an officer, employee or agent of a submitted to the Secretary as soon as grower.

practical after the beginning of such (3) Handlers who are not growers. fiscal period. One member shall be a handler who is (b) Successor members. In order to not a grower. Such member may be an provide nominations for successor memofficer, employee or agent of the handler. bers:

(1) The Control Committee shall hold, $ 1201.21 Term of office.

or cause to be held, prior to November (a) Initial members. The term of of- 15 of each year, in which successor memfice of each initial member of the Com- bers are to be selected by the Secretary, mittee shall be the first fiscal period. a meeting of growers who are not han

(b) Successor members. The term of dlers for the purpose of designating office of each successor member shall be nominees from among whom the Secretwo consecutive fiscal periods.

tary may select grower members who (c) General. In the event a successor are not handlers. to any such member has not been selected (2) The Control Committee shall hold, and has not qualified by the end of the or cause to be held, prior to November term of office of the respective member, 15 of each year, in which successor memsuch member shall continue to serve bers are to be selected by the Secretary, until his successor is selected and has a meeting of growers who are also hanqualified. Each member shall commence dlers for the purpose of designating to serve on the date on which he qualifies. nominees from among whom the Sec

retary may select grower members who f 1201.22 Selection of members.

are also handlers. The Secretary shall select the various (3) The Control Committee shall hold, members of the Control Committee, and or cause to be held, prior to November 15 their respective alternates, on the basis of each year, in which successor members and in the manner prescribed in $ $ 1201.- are to be selected by the Secretary, a 20 and 1201.23. However, with respect meeting of handlers who are not growers to the selection of the initial members for the purpose of designating nominees of the Committee, the Secretary may from among whom the Secretary may make such selection without regard to select the handler member who is not a any nominations.

grower. 8 1201.23 Nominations.

(4) The Control Committee shall give (a) Certain members. For the con

adequate notice of each such meeting sideration of the Secretary in making

to all growers and handlers who may be the selection of the members of the eligible to participate in the respective Committee who are to serve during the nominations. fiscal period ending on January 31, 1963, (5) The Secretary may prescribe adnominations for eligible members may be ditional rules and regulations not insubmitted by growers and handlers. consistent with the provisions of this Nominations for the grower members part, relative to the election of nomiwho are not handlers may be submitted nees for members on the Committee. by growers who are not handlers, or by Such action may be pursuant to recomgroups, including associations, of such mendations of the Committee.

(6) At each such meeting held to § 1201.27 Substitute for members. nominate members on the Control Com

In the event the alternate who is aumittee, those eligible to participate

thorized to act in the place and stead therein shall elect a chairman and sec

of a member is unable, or fails, to atretary therefor. The chairman of each

tend a meeting of the Committee, such such meeting shall announce the name

member may designate any other alterof each person for whom a vote has

nate for a member of the same group as been cast, and the number of votes re

that represented by the absent member ceived by each shall be recorded in the

to act in his place and stead, and, pendminutes. Thereafter, the minutes of

ing such designation, the Secretary may such meeting, including such informa

designate such substitute. tion, shall be transmitted to the Secretary. In obtaining nominations, all § 1201.28 Vacancies persons eligible to participate therein

To fill any vacancy which occurs by shall be given a reasonable opportunity reason of the failure of any person, seto vote.

lected as a member of the Control Com(7) Only those eligible persons who mittee, to file a written acceptance of are in attendance at any such meeting appointment, or the death, removal, resmay participate in the designation of,

ignation, or disqualification of a memand voting for, nominees. Each such ber, a successor for his unexpired term person shall be entitled to cast but one of office shall be selected by the Secrevote on behalf of himself, his agents, sub- tary. Nominations may be submitted to sidiaries, affiliates, and representatives the Secretary for his consideration in for each member position for which he making such selection. The designation is eligible to participate in the desig

of nominees from among whom the Secnation and voting.

retary may select a successor shall be in (8) Nominations for members shall be

accordance with the provisions of this supplied to the Secretary not later than

part applicable to the designation of December 1 of the year in which the re

nominees for successors to members of spective meeting was held, in such manner and form as the Secretary may

the Committee. In the event that such prescribe.

nominations are not submitted to the

Secretary within 30 days after the begin$ 1201.24 Failure to nominate,

ning of the vacancy, the Secretary may If nominations are not supplied to the select a successor without regard to such Secretary within the time and in the nomination. manner and form specified by the Sec

§ 1201.29 Compensation. retary pursuant to $ 1201.23(b), the Secretary may, without regard to nomi

Members of the Control Committee nations, select the Committee members

shall serve without compensation, but on the basis prescribed in § 1201.20.

shall be reimbursed for reasonable ex

pense necessarily incurred in the per8 1201.25 Qualification.

formance of their duties under this part. Each person selected by the Secretary

$ 1201.30 Powers. as a member of the Committee shall,

The Control Committee shall have the prior to serving on the Committee, qualify by filing a written acceptance with the

following powers. Secretary within 15 days after being no

(a) To administer the provisions of tified of such section.

this part in accordance with its terms;

(b) To make rules and regulations to 8 1201.26 Alternate members.

effectuate the terms and provisions of An alternate for a member of the this part; Committee shall, in the event of the (c) To receive, investigate, and report member's absence, act in the place and to the Secretary complaints of violations stead of that member; and, in the event of this part; and of the member's removal, resignation, (d) To recommend to the Secretary disqualification, or death, such alternate

amendments to this part. shall act in the place and stead of such member until a successor for the un

8 1201.31 Duties. expired term of said member is selected The Control Committee shall have the and has qualified.

following duties:

(a) To act as intermediary between the Secretary and any grower or handler;

(b) To select, from among its membership, a chairman and such other of ficers as may be necessary; to select subcommittees composed of committee members; and to adopt such rules and regulations for the conduct of its business as it deems advisable;

(c) To appoint such employees as it may deem necessary and to determine the salaries and define the duties of such employees;

(d) To keep such minutes, books, and other records as will clearly reflect all of its acts and transactions and which shall be subject to examination at any time by the Secretary;

(e) To furnish to the Secretary information as to all of its activities, including a copy of the minutes of each meeting, and such other information as the Secretary may request;

(f) To cause the books and other records of the Committee to be audited by one or more competent accountants at least once each fiscal period and at such other times as the Control Committee may deem necessary or as the Secretary may request, which report shall show the receipt and expenditure of funds collected pursuant to this part and a copy of each such report shall be furnished to the Secretary;

(g) To give to the Secretary the same notice of meetings of the Control Committee as is given to the members of the Committee; and

(h) With the approval of the Secretary, to issue such regulations as may be necessary and appropriate for the carrying out of the provisions of this part. $ 1201.32 Procedure.

(a) The Control Committee may, upon the selection and qualification of nine of Its members, organize and commence to function. It may hold meetings only after due notice to its members. The Secretary may designate the time and place of the initial meeting of the Committee.

(b) A quorum shall consist of nine members, including alternate members and subsitutes then serving in the place and stead of any members, in attendance at the meeting; and all decisions of the Committee shall require not less than seven concurring votes of the members who are present at such meeting.

(c) The Committee may permit voting by mail or telegraph upon due notice to all members: Provided, That this method of voting shall not be used at an assembled meeting to obtain votes from absent members: Provided further, That when any

oposition is submitted for polling by such method, one dissenting vote shall prevent its adoption.

EXPENSES AND ASSIGNMENTS § 1201.40 Use of funds collected.

All funds received by the Committee, pursuant to this part shall be used only for the purposes authorized in this part. $ 1201.41 Budget and expenses.

The Control Committee is authorized to incur such expenses as the Secretary may find are reasonable and likely to be incurred by it during the then current fiscal period for its maintenance and functioning. The Committee shall, not later than 30 days after the beginning of each fiscal period, prepare and submit to the Secretary a budget of its proposed expenses for such fiscal period and a proposed rate of assessment, together with a report thereon. The funds to cover such expenses shall be acquired by levying assessments upon handlers as provided in this part. $ 1201.42 Assessments.

(a) Each handler who first handles tobacco shall, with respect to such tobacco, pay to the Committee, upon demand, such handler's pro rata share of the expenses which the Secretary finds will be incurred, as aforesaid, by the Committee during the then current fiscal period. Each such handler's pro rata share of such expenses shall be equal to the ratio between the total quantity of tobacco handled by him as the first handler thereof during the applicable fiscal period and the total quantity of tobacco handled by all handlers as the first handlers thereof during the same fiscal period.

(b) In order to provide funds to carry out the functions of the Committee, handlers may make advance payments of assessments. 8 1201.43 Rate of assessment.

(a) The Secretary shall fix the rate of assessment to be paid by such handlers; and such rate shall be fixed after consideration of the Committee's recommendations and other available information applicable thereto.

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