CHAPTER 627

An Act to provide, subject to a referendum, for the levy of a tax on poultry
and poultry products; to provide for the expenditure of the proceeds of
such tax; to impose certain duties on the Board and Commission of
Agriculture and Immigration in connection therewith; and to prescribe

penalties.
[H 809]
Approved March 31, 1964

Be it enacted by the General Assembly of Virginia:
1. § 1. Subject to § 9 of this act, the General Assembly finds and
declares that poultry and poultry products are important to the pros-
perity of this State and are a major source of income to a large segment
of the State’s population. Additional research, education, publicity, ad-
vertising and other means of promoting the sale and use of poultry and
poultry products are required to enhance the economical production and
orderly marketing of these poultry products and will be beneficial to the
State as a whole. This legislation is adopted in furtherance of these
purposes.

§ 2. Subject to § 9 of this act, the General Assembly hereby de-
clares it to be in the public interest that farmers producing chicken eggs,
turkeys or chicken broilers each be permitted to express in a separate
advisory referendum whether taxes and assessments should be levied
upon any one of these commodities with revenues therefrom to be used
in encouraging an expanded program of research, education, publicity,
advertising and other means of promotion of the specified product upon
which such tax or assessment is levied. The word “farmer” as used
herein shall include all producers of any one of such poultry products
as defined in § 5. The word “county” means a county, city or town in
which poultry and poultry products are a major source of income.

§ 3. The Board ot Agriculture and Immigration, hereinafter referred
to as the Board, upon petition being filed with it by the Virginia State
Poultry Federation, Incorporated, hereinafter referred to as the Feder-
ation, requesting an advisory referendum and upon finding that suffi-
cient interest exists among the producers of such product in this State
to justify a referendum, shall authorize the holding of a referendum as
hereinafter set forth. The Commissioner of Agriculture and Immigra-
tion, hereinafter referred to as the Commissioner, or his designated agents,
shall thereupon be fully empowered and directed to hold and conduct a
referendum on the question of whether or not the farmers in this State
who are the producers of that poultry product are of the opinion that
such additional research, education, publicity, advertising and other means
of promotion are required and are willing to pay additional taxes and
assessments upon such poultry product for the purposes statea in this act.
The amount of the tax to be voted upon in the separate referendums au-
thorized by this act shall be two cents per 30-dozen case of eggs or two
cents per laying hen producing such eggs when such hens are marketed;
seven cents per hundred pounds live-weight cf turkeys marketed, and 25
cents per thousand pounds of chicken broilers marketed. Upon filing the
petition under the authority of this section, the Federation shall thereby
agree to pay all expenses or costs of the holding of such referendum, if
the same is determined to be held, and the Federation shall become in-
debted for and shall pay all such expenses. The expenses mentioned herein
shall not include payment for services of any employee of the Department
or Agriculture and Immigration or the Virginia Agricultural Extension

rvice.

§ 4. The Commissioner with the assistance of the Virginia Agricultural
Extension Service and the Federation shall arrange for and manage any
referendum conducted under this act. He shall, sixty days before the date
upon which a referendum is to be held, fix, determine and publicly
announce by posting on the front door of the courthouse in eacn county
in which the poultry product is produced the date, hours, and polling
places or other ways for voting in such referendum, the amount to be
collected, the sources thereof, the means by which such sums shall be
collected, and the general purposes for which the funds so collected shall
be applied.

§ 5. Each farmer who kept 400 or more laying hens for the purpose of
producing chicken eggs, raised 500 or more turkeys or 1,000 or more
chicken broilers during the year next preceding the date of the referendum
held pursuant to this act shall be eligible to vote in the referendum pro-
vided for in this act concerning his particular commodity, provided that
he shall certify to such production on forms which shall be prepared by the
State Board. Any person meeting such requirements shall not be required
to be an eligible voter in other respects.

§ 6. The Board shall further adopt rules governing the ballots to
be used in the referendum, the conduct of the referendum, canvassing the
results thereof, and declaring the results of the referendum. Such rules
shall be adopted after consultation with the Federation.

§ 7. The Board after consultation with the Federation shall fix the
date, areas, hours, voting places, rules and regulations with respect to
the holding of such referendum and may provide for voting by mail
if it deems it advisable, and the State Board shall mail copies of
the same to be published in each newspaper of general circulation in the
counties in which the referendum is to be held at least sixty days before
the holding of any such referendum under this act. Such notice, so
published shall contain, in addition to the other information herein
required the amount of the taxes or assessments proposed to be levied,
and the purpose for which the proceeds shall be expended.

§ 8. The Commissioner with the assistance of the Federation shall
prepare and distribute in advance of such referendum all necessary bal-
lots and supplies required for such referendum and shall under rules
and regulations adopted and promulgated by the State Board and with
the assistance of the Federation and the Extension Service arrange for
the necessary polling places. He shall, within ten days after such refer-
endum canvass and publicly declare the results thereof and certify the
same to the Governor and the State Board.

§ 9. The Governor shall examine all matters relating to the holding
of the referendum and whether two-thirds or more of the farmers voting
in a referendum provided for under this act expressed themselves as
favoring additional research, education, publicity, advertising and other
means of promotion and the levying of the tax and assessment to support
the same. In addition, the Governor shall examine the general need for
such agricultural research and promotion of the particular poultry
product concerning which the referendum was held and determine whether
or not additional research, education, publicity, advertising and other
means of promotion concerning the poultry product are needed. If he
finds that the same are needed, he shall so proclaim and shall establish
within the Department of Agriculture and Immigration a Virginia Poul-
try Products Commission as defined in § 18.

_ § 10. The Governor shall examine all matters relating to the hold-
ing of the referendum and whether one-third or more of the farmers
voting in a referendum provided for under this act expressed themselves
as opposing additional research, education, publicity, advertising and
other means of promotion of the particular poultry product which was
the subject of the referendum and the levying of taxes and assessments
to support the same. In addition, the Governor shall examine the general
need for research and promotion of the poultry product which was the
subject of the referendum and determine whether or not additional re-
search, education, publicity, advertising and other means of promotion
of that product are needed. If he finds that the same are not needed, he
shall so proclaim.

§ 11. If the Governor issues a proclamation under § 10 of this
act, the Board may call, in the manner prescribed in this act, another
referendum in the next succeeding year for the purposes specified in
§ 2 hereof or in any year in which a petition is filed with the Board
under § 3. If the Governor issues a proclamation under § 9 then no other
referendum shall be held on the poultry product which was the subject
of the proclamation until after the expiration of five years from the
effective date of the imposition of the tax or assessment, except upon
a petition of the Federation but at the expiration of the said five-year
period another referendum shall be had in the manner herein provided
in order to determine whether such taxes or assessments shall continue
to be levied for an additional five-year period.

§ 12. The question to be printed on the ballots used in a referendum
held under this act, unless otherwise specified herein, shall be as follows:

Do you favor additional research, education, publicity, advertising
and other promotion of (here insert the name of the poultry product which
is the subject of the referendum) and the levy of tax or assessment of
(here insert the amount of the tax to be levied on such poultry product)
in accordance with the provisions of this act to support the same?

Yes 7

No [J

§ 13. The Virginia Poultry Products Commission is hereby estab-
lished within the Virginia Department of Agriculture and Immigration.
The Commission shall be composed of seven members appointed by the
Governor from nominations submitted to him by the Federation; the
terms of the members shall run concurrently with the term of the
Governor making the appointment but vacancies occurring before the
expiration of the term shall be filled for the unexpired term. The Com-
mission shall elect a chairman, vice-chairman and such other officers
as may be required. The Commission shall have charge of the manage-
ment and expenditures of the Virginia Poultry Products Fund established
in the State treasury. The Commission may establish an Executive Com-
mittee and charge it with such powers, duties and functions as the
Commission deems proper.

The members of the Commission shall be paid a per diem of ten
dollars while transacting official business for the Commission and shall
be entitled to be reimbursed for expenses incurred in connection with
their attendance at regular or special called meetings of the Commission.

The Commission shall have power to expend funds to provide for
programs of research, education, publicity, advertising and other pro-
motion of each and every poultry product on which taxes or assessments
are being levied in accordance with the provisions of this act, to manage
the fund so as to accumulate a reserve for contingencies, to establish an
office and employ such technical, professional and other assistants as
may be required, to contract for research, publicity, advertising and other
promotional services; and to take all such measures as will assist in
strengthening and promoting the best interests of farmers producing the
poultry products on which such tax or assessment has been levied in
accordance with the provisions of this act. The Commission shall not
expend funds produced from a tax or levy on one poultry product for any
purpose other than research and promotion of that poultry product ex-
cept that the proceeds collected by a tax or assessment on each of the
poultry products specified in this act may be charged its proportionate
share of the general operating costs of the Commission.

The chairman of the Commission shall make a report at each annual
meeting of the Commission and furnish the members of the Commission
with a statement of the total receipts and disbursements for the year as
to each poultry product specified in the act. He shall file a copy of
such report with the Commissioner and shall make copies of such report
available for publication.

§ 14. For the purpose of carrying out the provisions of this act, the
packer, processor or handler, hereinafter referred to as “the handler”,
of any poultry product on which a tax or assessment has been levied
in accordance with the provisions of this act, and who purchases from
the farmer shall deduct from payments made to the farmer for any such
farm product the amount of the tax levied thereon and shall remit such
tax or assessment to the Commission in the manner and at the time
hereinafter provided. The term “handler,” also includes the farmer who
packs, processes or performs the functions of handler for a portion or all
of his products. Deductions shall be made on each purchase or separate
farmer-to-handler transaction consisting of 60 dozen or more of chicken
eggs, 400 or more chicken hens, 500 or more turkeys or 1,000 or more
chicken broilers. The report to the Commission shall be on forms
prescribed and furnished by the Commission and shall be a statement of
the gross volume of the farm product on which the tax or assessment
is levied which has been packed, processed or handled by the handler and
shall be filed with the Commissioner on the tenth day of each month,
covering such poultry products purchased or handled during the pre-
ceding month. The tax or assessment levied on the poultry product shall
be due and payable by the handler on the same day that the report is
due. Such tax or assessment shall be paid to the Commission and shall
be promptly paid into the State treasury to the credit of the Virginia
Poultry Products Fund.

§ 15. The handler shall keep a complete record of the poultry
products subject to the provisions of this act which have been packed,
processed or handled by him and shall preserve such records for a period
of not less than two years from the time such poultry products were
packed, processed or handled. Such records shall be opened to the in-
spection of the Commission and its duly authorized agents and shall
be established and maintained as required by the Commission.

§ 16. The tax or assessment imposed under the provisions of this
act and unpaid on the date on which such tax was due and payable shall
bear interest at the rate of one per centum per month from and after
such due date until paid. If any person defaults in any payment of the
tax or interest thereon, the amount shall be collected by a civil action in
the name of the Commonwealth at the relation of the Commission and
the person adjudged in default shall pay the costs of such action. The
Attorney General at the request of the Commission shall institute such
action in the proper court for the collection of the amount of any tax
past due under this act including interest thereon.

§ 17. All moneys levied and collected under the provisions of this
act shall be credited on the Comptroller’s books to a fund to be known
as the “Virginia Poultry Products Fund”. All moneys credited to the
Virginia Poultry Products Fund are hereby appropriated for the pur-
poses set forth in this act and shall be used exclusively for the purposes
set out in this act. In carrying out the purposes of this act, the Com-
mission shall have the authority to cooperate with other State, regional
and national agricultural organizations in research, education, publicity,
advertising and other promotional activities.

§ 18. All moneys collected under this act shall be expended by the
Virginia Poultry Products Commission by warrants of the Comptroller
on the State treasury issued on vouchers signed by the duly authorized
officer of the Commission.

The unexpended balance of the Virginia Poultry Products Fund
at the end of each biennium shall not be transferred to the general fund
of the State treasury.

§ 19. It shall be a misdemeanor for any handler knowingly to report
falsely to the Commission the quantity of poultry products handled by
him during any period or to falsify the records of the poultry products
processed or handled by him, or to fail to keep a complete record of the
poultry products processed or handled by him, or to preserve such record
for a period of not less than two years from the time such poultry pro-
ducts are processed or handled.

§ 20. In the case of turkeys and broilers, the handler shall be the

processor or live hauler who purchases from the farmer. In the case of
eggs, the handler shall be the grading station, packer or huckster hand-
ling the products of farmers or the processor or live handler of the
laying hens when marketed. ;
2. If any section, subsection, sentence, part or application of this act
be held unconstitutional by a court of last resort such holding shall not
affect any other section, subsection, sentence, part or application which
can be given effect without the part so held invalid.