CHAPTER 11. FOOD: EGGS OFFERED FOR SALE AND STATE EGG BOARD
IC 16-42-11
Chapter 11. Food: Eggs Offered for Sale and State Egg Board
IC 16-42-11-1
Repealed
(Repealed by P.L.28-2009, SEC.16.)
IC 16-42-11-1.1
Definitions
Sec. 1.1. The following definitions apply throughout this chapter:
(1) "Case" means thirty (30) dozen.
(2) "Eggs" means shell eggs represented as fresh or treated.
(3) "Farmers market" means a common facility where two (2)
or more farmers or growers gather on a regular basis to sell
farm products, which they produce, directly to the consumer.
(4) "Fresh eggs" means consumer grades of eggs as defined by
the standards of quality and weights as set forth by the state egg
board.
(5) "Person" means any individual, partnership, association,
business trust, corporation, or any organized group of persons,
regardless of whether the group is incorporated.
(6) "Retailer" means any person who sells eggs for human
consumption and not for resale.
(7) "Treated eggs" means eggs that have been treated by a
process such as pasteurization, irradiation, or other method of
treatment that changes the interior quality of an egg in such a
manner that United States Department of Agriculture quality
standards do not apply.
(8) "Wholesaler" means any person engaged in buying eggs for
human consumption for resale to retailers, hotels, restaurants,
hospitals, nursing homes, schools, state or federal institutions,
operators of multiple unit retail outlets engaged in the
distribution of eggs to their own retail units, or producers who
sell or deliver eggs to retailers, hotels, restaurants, hospitals,
nursing homes, schools, or state or federal institutions.
As added by P.L.28-2009, SEC.4.
IC 16-42-11-2
Repealed
(Repealed by P.L.28-2009, SEC.16.)
IC 16-42-11-3
Repealed
(Repealed by P.L.28-2009, SEC.16.)
IC 16-42-11-4
Establishment of board; membership; term; oath; officers;
compensation; business office
Sec. 4. (a) The state egg board is established. The board consists
of nine (9) members appointed by the governor as follows:
(1) One (1) member from recommendations submitted by the
Indiana State Poultry Association, Inc.
(2) One (1) member from recommendations submitted by the
Indiana Farm Bureau, Inc.
(3) One (1) member from recommendations submitted by the
Indiana Retail Grocery and Convenience Store Association, Inc.
(4) One (1) member from recommendations submitted by the
Indiana Retail Council, Inc.
(5) One (1) member from recommendations submitted by the
Egg Council of the Indiana State Poultry Association, Inc.
(6) One (1) member from recommendations submitted by the
dean of the college of agriculture of Purdue University.
(7) One (1) member at large to represent the interests of the
consumer.
(8) One (1) member to represent those engaged in the
wholesaling of eggs through the Federal-State Egg Grading
Program in Indiana.
(9) One (1) member to represent the interests of the food service
industry.
(b) All appointments are for terms of three (3) years. However, an
appointment to fill an unexpired term shall be made by the governor
for the remainder of that term only.
(c) The recommendations provided for in this section shall be
submitted to the governor within ten (10) days before an appointment
is to be made to the state egg board. All appointments by the
governor under this chapter shall be made within twenty (20) days
after submission to the governor of the recommendations for
appointments. If the recommendations are not submitted to the
governor within the specified time, the governor shall make the
appointment without the recommendations. If the governor does not
make an appointment to fill an expired term for a member described
in subsection (a)(1), (a)(2), (a)(3), (a)(4), (a)(5), or (a)(6) within
twenty (20) days after receiving the recommendation, the current
members of the state egg board may select an individual from the
names submitted by an organization under subsection (a) to fill the
position represented by that organization on the state egg board. The
individual shall serve a three (3) year term beginning with the next
official board meeting following the twenty (20) day deadline.
(d) The members of the state egg board shall, before entering
upon their duties, take and subscribe to the oath of office provided
for other state officers. The oath of office shall be filed in the office
of the secretary of state. The secretary of state shall administer the
oath as a part of the duties of the office of secretary of state.
(e) The state egg board shall elect from its own membership the
following officers:
(1) President.
(2) A vice president who serves in the president's absence or
disability.
(3) Recording secretary.
The officers serve for one (1) year or until their successors are
elected and qualified.
(f) Each member of the state egg board who is not a state
employee is entitled to the minimum salary per diem provided by
IC 4-10-11-2.1(b). The member is also entitled to reimbursement for
traveling expenses as provided under IC 4-13-1-4 and other expenses
actually incurred in connection with the member's duties as provided
in the state policies and procedures established by the Indiana
department of administration and approved by the budget agency.
(g) The state egg board shall provide a suitable office, equipment,
supplies, and facilities for the conduct of the board's business.
As added by P.L.2-1993, SEC.25. Amended by P.L.40-1993, SEC.55;
P.L.28-2009, SEC.5.
IC 16-42-11-5
Powers and duties
Sec. 5. (a) The state egg board shall administer, enforce, and carry
out this chapter.
(b) The state egg board shall do the following:
(1) Formulate and determine standards of quality and weights
of eggs sold or offered for sale.
(2) Regulate the sale of and commerce in eggs sold or offered
for sale at retail or wholesale and regulate the sale of eggs by
wholesalers and retailers.
(3) Formulate and publish definitions, names, and grades of
eggs and specifications for the care and handling of eggs that
may be offered for sale at retail and wholesale under the terms
of this chapter and for the care and handling of eggs that may be
offered for sale by wholesalers and retailers as eggs fit for
human consumption.
(4) Provide for and issue permits to wholesalers or retailers of
eggs and provide for the registration of wholesalers and retailers
of eggs.
(5) Adopt rules necessary for or incident to carrying out this
chapter.
(6) Investigate and report violations of this chapter and
violations of the rules of the state egg board to the proper
authorities for prosecution.
(7) Revoke any registration or permit for a violation of this
chapter or of the rules adopted by the state egg board.
(8) Hold four (4) regular meetings at quarterly intervals at the
time and place the state egg board designates. The president of
the state egg board may call special meetings of the state egg
board whenever in the president's judgment it becomes
necessary. The president shall call a special meeting of the state
egg board upon written request of a majority of the members of
the state egg board.
(9) The state egg board shall publish or cause to be published an
annual report of the board's work. In addition, the state egg
board may periodically publish or cause to be published and
distributed other information concerning eggs.
As added by P.L.2-1993, SEC.25. Amended by P.L.28-2009, SEC.6.
IC 16-42-11-6
Substandard eggs; prohibited sale
Sec. 6. A person may not sell, offer for sale, or advertise for sale
at retail or wholesale eggs that do not meet the standards of quality
and weight set forth by the state egg board.
As added by P.L.2-1993, SEC.25. Amended by P.L.28-2009, SEC.7.
IC 16-42-11-7
Proof of delivery
Sec. 7. (a) Every person selling eggs to a retailer shall furnish
proof of delivery at the time of delivery showing:
(1) the date;
(2) the grades; and
(3) the quantity of the eggs;
according to the standards prescribed by the state egg board.
(b) A copy of the proof of delivery shall be kept on file by
retailers at their respective places of business for thirty (30) days and
at all reasonable times shall be available and open for inspection by
accredited inspectors or representatives of the state egg board.
As added by P.L.2-1993, SEC.25. Amended by P.L.28-2009, SEC.8.
IC 16-42-11-8
Farmers' and egg producers' exemption
Sec. 8. Farmers and other bona fide egg producers who sell and
deliver, on the premises where produced, eggs produced by their own
flocks on their own premises are exempt from this chapter.
As added by P.L.2-1993, SEC.25.
IC 16-42-11-9
Farmer's or egg producer's wholesaler or retailer registration
Sec. 9. A farmer or bona fide egg producer may apply for
registration as a wholesaler or retailer under this chapter and may,
upon application, after being registered receive a permit to sell eggs.
As added by P.L.2-1993, SEC.25.
IC 16-42-11-9.5
Farmers market retail permit
Sec. 9.5. A farmer or bona fide egg producer who markets directly
to the consumer at a location that is not the farmer's or producer's
own premises and is recognized as a farmers market may be required
to have a farmers market retail permit issued by the state egg board.
The state egg board shall establish requirements and procedures for
obtaining a farmers market retail permit by rule under IC 4-22-2.
As added by P.L.28-2009, SEC.9.
IC 16-42-11-10
Application of section; registration statement; fees; wholesaler
report permit
Sec. 10. (a) Except as provided in section 10.2(d) of this chapter,
this section applies to:
(1) registrations and permits issued by; and
(2) fees due and payable to;
the state egg board before July 1, 2010.
(b) Every wholesaler or retailer selling eggs shall, before July 1
of each year, file with the state egg board a statement setting forth
the fact that the wholesaler or retailer desires to sell eggs. The
statement shall designate the name of the wholesaler or retailer
desiring to register the location of the wholesaler's or retailer's
principal office and any location where eggs are stored or distributed
if that location is different from the principal office. The state egg
board shall furnish blank forms for registration. The state egg board
shall register the facts set forth in the statement in a permanent
record. The state egg board shall furnish to each registered
wholesaler a registration number upon payment of the registration
fee and deposit.
(c) The state egg board shall require and collect from each
wholesaler at the time of registration a fee based upon the average
number of cases of eggs sold to retailers, hotels, restaurants,
hospitals, nursing homes, schools, or to state or federal institutions
each week during the preceding calendar year, as follows:
Average Number
of Cases Sold
Registration Fee
0 -
100
$ 30
101 -
250
$ 60
251 -
500
$ 90
501 -
1,000
$ 120
1,001
and over
$ 150
(d) The state egg board shall require and collect from each
wholesaler at the time of registration a deposit equal to the product
obtained by using a multiplier of six cents ($0.06) and a multiplicand
that is the number of cases of eggs sold in that quarter of the
immediately preceding five (5) calendar quarters in which the highest
number of cases of eggs were sold by the wholesaler to retailers,
hotels, restaurants, hospitals, nursing homes, schools, or to state or
federal institutions. However, if the wholesaler does not have a five
(5) quarter history, the state egg board shall fix the deposit at a
reasonable amount.
(e) The state egg board shall require and collect from each retail
store or unit of retailing a fee based upon the average number of
cases of eggs sold each week during the preceding calendar year, as
follows:
Average Number
Registration Fee
of Cases Sold
1-5
$20
more than 5
$25
(f) All registered wholesalers must make application to the state
egg board for a permit to report the case volume of eggs sold in
Indiana and submit a fee of six cents ($0.06) for each thirty (30)
dozen eggs or a fraction of that number of the volume reported. In
applying for a permit, the applicant must agree to do the following:
(1) Keep records the state egg board considers necessary to
indicate accurately the case volume of eggs sold in Indiana.
(2) Grant the state egg board permission to examine those
records and verify the statement of the number and grade of
eggs reported.
(3) Report under oath to the state egg board, on forms furnished
by the state egg board, the number of eggs reported during the
period covered.
As added by P.L.2-1993, SEC.25. Amended by P.L.183-1993, SEC.1;
P.L.28-2009, SEC.10.
IC 16-42-11-10.2
Application of section; permit and registration requirements; fees
Sec. 10.2. (a) Except as provided in subsection (d), this section
applies to:
(1) registrations and permits issued by; and
(2) fees due and payable to;
the state egg board after June 30, 2010.
(b) The state egg board may establish requirements for issuing a
permit or registration under this chapter by rule under IC 4-22-2.
(c) The state egg board may establish fees necessary to carry out
this chapter by rule under IC 4-22-2.
(d) If a rule is not in effect by July 1, 2010, the fees and
requirements for obtaining a registration or permit under section 10
of this chapter apply until the date the rule takes effect.
As added by P.L.28-2009, SEC.11.
IC 16-42-11-10.4
Permits; issuance; revocation; fees
Sec. 10.4. The state egg board may grant a permit if the board
determines that the action will lead to efficient enforcement of this
chapter. The state egg board may revoke a permit at any time if it
appears to the state egg board that a wholesaler is not complying
with the terms of the agreement entered into at the time of the
issuance. The report of eggs is due and the fees are payable quarterly
on the last day of the month following the end of the quarter. If:
(1) the report is not filed and the fee paid by the tenth day
following the due date;
(2) the report is false; or
(3) the requirements of this chapter have not been complied
with;
the state egg board may revoke the permit. If the fee is unpaid after
the ten (10) day grace period, a penalty of the greater of twenty
dollars ($20) or ten percent (10%) of the amount due in addition to
the amount due shall be assessed. If the state egg board determines
that an account review is necessary, out-of-state permit holders shall
reimburse the state egg board for expenses incurred to conduct the
account review.
As added by P.L.28-2009, SEC.12.
IC 16-42-11-11
Prohibited sales or distribution
Sec. 11. (a) A person may not sell as a wholesaler to a retailer,
hotel, restaurant, hospital, nursing home, school, or state or federal
institution eggs for human consumption that are not subject to being
reported as provided in this chapter.
(b) A person operating multiple retail outlets may not distribute
or deliver to retail units eggs for human consumption that are not
subject to being reported as provided for in this chapter. A retail
store or retail unit may not receive from a wholesaler eggs for human
consumption that are not subject to being reported as provided for in
this chapter.
As added by P.L.2-1993, SEC.25. Amended by P.L.28-2009, SEC.13.
IC 16-42-11-12
Purdue University; inspections
Sec. 12. The dean of the college of agriculture of Purdue
University may, subject to the approval of the state egg board,
employ an executive administrator, inspectors, clerks, and other
assistants necessary to carry out this chapter under the direction and
supervision of the state egg board. The inspectors shall inspect and
examine eggs sold, offered for sale, or exposed for sale and shall also
inspect and examine eggs sold by wholesalers and retailers as fit for
human consumption under this chapter at times and places and in the
manner the state egg board directs.
As added by P.L.2-1993, SEC.25. Amended by P.L.40-1993, SEC.56;
P.L.28-2009, SEC.14.
IC 16-42-11-13
Fiscal management
Sec. 13. All money received by the state egg board shall be paid
to the treasurer of Purdue University who shall, under the direction
of the state egg board, expend the money on proper vouchers to meet
all necessary expenditures for carrying out this chapter and for any
other expenses of Purdue University agricultural programs
authorized by law and in support of the purposes of this chapter. The
dean of agriculture shall submit to the state egg board an annual
report showing the receipts and expenditures of all money received
and expended by the director under this chapter. The report shall be
made a part of the annual report of the state egg board.
As added by P.L.2-1993, SEC.25. Amended by P.L.40-1993, SEC.57.
IC 16-42-11-14
Violations
Sec. 14. A person who violates this chapter commits a Class C
infraction.
As added by P.L.2-1993, SEC.25.
IC 16-42-11-15
Immunity from liability
Sec. 15. The:
(1) members of the state egg board;
(2) dean of the college of agriculture of Purdue University; and
(3) employees of the state egg board;
are not liable in their individual capacity, except to the state, for an
act done or omitted in connection with the performance of their
respective duties under this chapter.
As added by P.L.2-1993, SEC.25. Amended by P.L.40-1993, SEC.58;
P.L.28-2009, SEC.15.