§4906 Required Terms in Plans

Summary

Plans must create a National Watermelon Promotion Board and say what it can do. The Board must run the plan, make rules to carry it out, look into complaints and tell the Secretary, and suggest changes. The Board is made up of equal numbers of producer and handler representatives and one public representative. Producers and handlers nominate members; the Secretary appoints them. A producer who buys 25% or more of their own production from others, or whose handled volume (own plus purchases) is more than 50% of their own production, counts as a handler for Board eligibility. If importers are covered, the Board must include at least one importer representative. Importer seats must match the share of assessments importers pay; the Secretary will review importer representation every 5 years using the prior 3 years of assessment data and adjust it as practical. Board members get no pay but can be reimbursed for reasonable expenses. The Board must send a fiscal budget to the Secretary for approval. The Secretary sets per-unit assessments (producers and handlers pay the same per unit), using public notice-and-comment, and importers pay the combined producer+handler rate if they are covered. Board money can only fund research, development, advertising, promotion, and necessary administration. Advertising cannot promote private brands or use false claims, and funds cannot be used to influence government except as allowed. Producers, handlers, or covered importers who oppose the program can request a refund under Board rules; they get at least 90 days to apply and must be paid within 60 days. A referendum approved for elimination of refunds from the plan in effect before December 14, 1993, will remove the refund right. Importers bringing in less than 150,000 pounds a year may apply for a refund based on the domestic producer rate; the Secretary can change that weight limit after public notice-and-comment to reflect major shifts in the 5-year average yield per acre. The Board must submit programs for Secretary approval, may enter contracts with the Secretary’s approval, keep books and reports, have a full audit each fiscal period, and make rules to certify who is a producer.