59641-59662

FOOD AND AGRICULTURAL CODE
SECTION 59641-59662




59641.  Ten or more producers of the variety or kind of commodity
which is to be affected may file with the director a petition for the
establishment of a proration zone and the institution of a marketing
program.


59642.  The petition shall, among other things, contain or be
accompanied by all of the following:
   (a) A description of the district which comprises the proration
zone upon which the proposed marketing program is to be based.
   (b) A general statement of facts which sets forth the necessity
for instituting a marketing program.
   (c) A draft of a proposed marketing program, or a statement of the
principal features which are to be included in the proposed
marketing program.



59643.  Except as otherwise provided in Section 59654, if, after
receiving a petition for the establishment of a proration zone and a
proposed marketing program for it, the director determines that such
proposed proration zone and proposed marketing program are consistent
with the provisions of this chapter, the director shall hold a
public hearing at some central point which is located within the area
described in the petition and proposed to be established as a
proration zone.
   If the director determines that the proposed proration zone or
proposed marketing program is not consistent with the provisions of
this chapter, no hearing need be held.



59645.  Prior to holding a public hearing upon a proposed proration
zone and a proposed marketing program, the director:
   (a) May require the petitioners to file with the department a good
and sufficient undertaking to cover the probable cost of conducting
the hearing and instituting a marketing program.
   (b) Shall establish a list of producers of the commodity which is
affected within the area which comprises the proposed proration zone.



59646.  In establishing the list of producers, the director may
issue a notice to handlers which requires them to file with the
director a certified report that shows all of the following:
   (a) The name and mailing address of the handler.
   (b) The quantities of the commodity that is to be affected, which
were handled by the handler in the marketing season next preceding
the filing of the report, together with a reasonable determination of
the quantity so handled which was produced within the proposed
boundaries of the proration zone.
   (c) The correct name and mailing address of each producer, whose
producing operations are located within the proposed proration zone,
from whom the handler received the commodity which is to be affected,
during the next preceding season.
   (d) The quantities of the commodity which were received by the
handler from each such producer in the marketing season next
preceding the filing of the report.


59647.  The notice to handlers which requires them to file the lists
shall be published by the director pursuant to Section 6062 of the
Government Code in the capital of the state and in such other
localities as the director may require, and shall be mailed to all
handlers of the commodity that are directly affected, of record with
the department. The lists of producers shall be filed by handlers
within 10 days from the last date of publication of the notice.



59648.  In addition, the director may obtain lists of producers that
are affected, whenever and in such manner as he may deem necessary
or advisable for the purpose of checking, comparing, or correcting
such lists. The director shall maintain a current list of producers
which is based upon the records of operations under each marketing
program. Such producer list shall, subject to any proper corrections,
be final and conclusive in making determinations relative to the
assent by producers upon a marketing program.



59649.  Any producer that produces the commodity which is affected
by any proposed or existing marketing program, whose name does not
appear upon the director's list of producers affected, may have his
name established upon such list by filing with the director a signed
statement which states that he produced such commodity in the next
preceding season and gives the quantity which was produced and the
quantity which was delivered into primary channels of trade in such
season.



59650.  Notice of the public hearing shall be mailed to a list of
producers within the proposed zone at least 10 days prior to such
hearing. The list of producers shall be established in accordance
with the provisions of Sections 59646, 59647, 59648, and 59649. A
notice of such public hearing shall also be given at least 10 days
prior to such hearing by publication pursuant to Section 6061 of the
Government Code in the area proposed as the proration zone. If the
proposed proration zone includes areas that are noncontiguous, the
director shall hold a hearing in each.



59651.  At the public hearing, the director shall receive evidence
offered by the petitioners in support of the proposed proration zone
and the proposed marketing program and evidence from any interested
person in support of, or in opposition to, them. All testimony at the
hearings shall be under oath.


59652.  The hearings may be adjourned from time to time and from
place to place as the circumstances may require. For the purpose of
procuring additional evidence, facts, and data, petitioners or
opponents shall, upon proper motion, be granted a continuation of any
hearing by the director for a period not exceeding five days. A
transcript of the proceedings at all such hearings shall be made by
the director and shall be open to inspection by any interested party.



59653.  All evidence and exhibits and all facts and data which are
used directly or indirectly by the director, or introduced at a
hearing shall, within a reasonable time after being used or
introduced, be available at the office of the director to all
interested parties.



59654.  The director may decline to hold a public hearing upon a
proposed proration zone and a proposed marketing program if he
determines and is satisfied that a public hearing cannot be held
within a reasonable time in advance of the harvesting of, or the
beginning of the marketing season for, the commodity, so as to permit
the formulation and establishment of an equitable and effective
marketing program for the marketing season.



59655.  Before issuing a marketing program for the written assent of
producers, which contains provisions for correlating the supply of
the commodity which is affected with market demands for it by means
of restrictions upon the total quantity of the commodity, or
restrictions upon the total quantity of any grade, size, quality, or
condition of it, which restrictions have the effect of limiting the
total quantity of the commodity which may be marketed during any
marketing season and which restricted portion of the commodity might
otherwise be marketed by producers in compliance with other laws of
this state or of the United States, or in compliance with established
commercial practice during the marketing season, the director shall
make all of the following findings with respect to the marketing
program:
   (a) The marketing program will tend to reestablish or maintain
such level of prices for the commodity as will provide a purchasing
power for the commodity which is adequate to maintain in the business
of producing the commodity such number of producers as is required
to provide such supply of the quantities and qualities of the
commodity as is necessary to fulfill the normal requirements of
consumers.
   (b) The marketing program will tend to approach such equality of
purchasing power at as rapid a rate as is feasible in view of the
market demand for the commodity.
   (c) The marketing program conforms with the provisions of this
chapter and will tend to effectuate the declared purposes and
policies of this chapter.
   (d) The marketing program will protect the interest of consumers
of the commodity through the exercise of the powers of this chapter
only to such an extent as is necessary to establish the level of
purchasing power which is described in subdivision (a) of this
section.


59656.  In making the findings which are required by Section 59655,
the director shall take into consideration all facts which are
available to him with respect to all of the following economic
factors.
   (a) The quantity of the commodity which is available for
distribution.
   (b) The quantity of the commodity which is normally entered into
primary channels of trade.
   (c) The necessary costs of producing the commodity as determined
by available surveys or other facts.
   (d) The purchasing power of consumers as indicated by available
reports and indices.
   (e) The level of prices of other commodities which compete with,
or are utilized as substitutes for, the commodity.
   (f) The level of prices of other commodities, services, and
articles which producers commonly purchase.



59657.  Before issuing a marketing program for the written assent of
producers, which contains provisions for the purpose of regulating
the flow of the commodity, or any grade or size of it, to market
without restricting the total quantity which may be marketed during
the season, or which marketing program provides for the establishment
of grade, size, quality, or condition specifications, for uniform
grading and inspection, or for advertising and trade promotion, the
director shall make all of the following findings with respect to the
marketing program:
   (a) The marketing program will tend to attain the objectives which
are sought by the program.
   (b) The marketing program conforms with the provisions of this
chapter and will tend to effectuate the declared purposes and
policies of this chapter.
   (c) The marketing program will protect the interests of consumers
in that the powers of this chapter are being exercised only to the
extent which is necessary to attain the objectives of the program.



59658.  In making any findings pursuant to Section 59657, the
director shall base his findings upon the facts, testimony, and
evidence which is received at the public hearing together with any
other relevant facts which are available to him from official
publications or institutions of recognized standing.



59659.  In addition to either of the applicable findings prescribed
by Section 59655 or 59657, the director shall find that the proposed
proration zone includes all of the area within this state which is
reasonably necessary to carry out and attain the objectives of this
chapter.


59660.  If, at a public hearing which includes a consideration of
the establishment of the boundaries of a proration zone, it appears
that the inclusion of territory additional to that which is described
in the petition that is being heard is necessary to the proper
administration or enforcement of the proposed marketing program, the
director shall postpone further proceedings until notice has been
given by the director to the producers within the additional
territory in the manner which is provided for in Sections 59643,
59644, 59650, 59652, 59653, and 59654. Thereafter, the director may
conclude the hearing, and prepare his findings.




59662.  Each proration zone is a separate public corporate entity.