---
kind: "section"
citation: "7 U.S.C. § 7444"
title: "7"
title_heading: "Agriculture"
number: "7444"
heading: "Required terms in orders"
release: "119-102"
url: "https://uscodex.org/usc/7/7444"
units:
  - "Chapter 101 — Agricultural Promotion"
  - "Subchapter III — Canola and Rapeseed"
---

# §7444. Required terms in orders

- (a) **In general—** An [order](/usc/7/2902.md?p=10) issued under this subchapter shall contain the terms and conditions specified in this section.
- (b) **Establishment and membership of National Canola and Rapeseed Board—**
  - (1) **In general—** The [order](/usc/7/2902.md?p=10) shall provide for the establishment of, and appointment of members to, a National [Canola](/usc/7/7442.md?p=2) and [Rapeseed](/usc/7/7442.md?p=2) [Board](/usc/7/1502.md?p=b-4) to administer the [order](/usc/7/2902.md?p=10).
  - (2) **Service to entire industry—** The [Board](/usc/7/1502.md?p=b-4) shall carry out programs and projects that will provide maximum benefit to the [canola](/usc/7/7442.md?p=2) and [rapeseed](/usc/7/7442.md?p=2) industry in all parts of the [United States](/usc/7/7442.md?p=19) and only promote [canola](/usc/7/7442.md?p=2), [rapeseed](/usc/7/7442.md?p=2), or [canola or rapeseed products](/usc/7/7442.md?p=3).
  - (3) **Board membership—** The [Board](/usc/7/1502.md?p=b-4) shall consist of 15 members, including—
    - (A) 11 members who are [producers](/usc/7/7442.md?p=14), including—
      - (i) 1 member from each of the 6 geographic regions comprised of [States](/usc/7/7442.md?p=18) where [canola](/usc/7/7442.md?p=2) or [rapeseed](/usc/7/7442.md?p=2) is produced, as determined by the [Secretary](/usc/7/7442.md?p=17); and
      - (ii) 5 members from the geographic regions referred to in [clause (i)](#b-3-A-i), allocated according to the production in each region; and
    - (B) 4 members who are [industry members](/usc/7/7442.md?p=10), including at least—
      - (i) 1 member who represents manufacturers of [canola](/usc/7/7442.md?p=2) or [rapeseed](/usc/7/7442.md?p=2) end products; and
      - (ii) 1 member who represents [persons](/usc/7/7442.md?p=13) who commercially buy or sell [canola](/usc/7/7442.md?p=2) or [rapeseed](/usc/7/7442.md?p=2).
  - (4) **Limitation on State residence—** There shall be no more than 4 [producer](/usc/7/7442.md?p=14) members of the [Board](/usc/7/1502.md?p=b-4) from any 1 [State](/usc/7/7442.md?p=18).
  - (5) **Modifying Board membership—** In accordance with regulations approved by the [Secretary](/usc/7/7442.md?p=17), at least once each 3 years and not more than once each 2 years, the [Board](/usc/7/1502.md?p=b-4) shall review the geographic distribution of [canola](/usc/7/7442.md?p=2) and [rapeseed](/usc/7/7442.md?p=2) production throughout the [United States](/usc/7/7442.md?p=19) and, if warranted, recommend to the [Secretary](/usc/7/7442.md?p=17) that the [Secretary](/usc/7/7442.md?p=17)—
    - (A) reapportion regions in [order](/usc/7/2902.md?p=10) to reflect the geographic distribution of [canola](/usc/7/7442.md?p=2) and [rapeseed](/usc/7/7442.md?p=2) production; and
    - (B) reapportion the seats on the [Board](/usc/7/1502.md?p=b-4) to reflect the production in each region.
  - (6) **Certification of organizations—**
    - (A) **In general—** For the purposes of [section 7445 of this title](/usc/7/7445.md), the eligibility of any [State](/usc/7/7442.md?p=18) organization to represent [producers](/usc/7/7442.md?p=14) shall be certified by the [Secretary](/usc/7/7442.md?p=17).
    - (B) **Criteria—** The [Secretary](/usc/7/7442.md?p=17) shall certify any [State](/usc/7/7442.md?p=18) organization that the [Secretary](/usc/7/7442.md?p=17) determines has a history of stability and permanency and meets at least 1 of the following criteria:
      - (i) **Majority representation—** The total paid membership of the organization—
        - (I) is comprised of at least a majority of [canola](/usc/7/7442.md?p=2) or [rapeseed](/usc/7/7442.md?p=2) [producers](/usc/7/7442.md?p=14); or
        - (II) represents at least a majority of the [canola](/usc/7/7442.md?p=2) or [rapeseed](/usc/7/7442.md?p=2) [producers](/usc/7/7442.md?p=14) in the [State](/usc/7/7442.md?p=18).
      - (ii) **Substantial number of producers represented—** The organization represents a substantial number of [producers](/usc/7/7442.md?p=14) that produce a substantial quantity of [canola](/usc/7/7442.md?p=2) or [rapeseed](/usc/7/7442.md?p=2) in the [State](/usc/7/7442.md?p=18).
      - (iii) **Purpose—** The organization is a general farm or agricultural organization that has as a stated objective the [promotion](/usc/7/7442.md?p=15) and development of the [United States](/usc/7/7442.md?p=19) [canola](/usc/7/7442.md?p=2) or [rapeseed](/usc/7/7442.md?p=2) industry and the economic welfare of [United States](/usc/7/7442.md?p=19) [canola](/usc/7/7442.md?p=2) or [rapeseed](/usc/7/7442.md?p=2) [producers](/usc/7/7442.md?p=14).
    - (C) **Report—** The [Secretary](/usc/7/7442.md?p=17) shall make a certification under this paragraph on the basis of a factual report submitted by the [State](/usc/7/7442.md?p=18) organization.
  - (7) **Terms of office—**
    - (A) **In general—** A member of the [Board](/usc/7/1502.md?p=b-4) shall serve for a term of 3 years, except that the members appointed to the initial [Board](/usc/7/1502.md?p=b-4) shall serve, proportionately, for terms of 1, 2, and 3 years, as determined by the [Secretary](/usc/7/7442.md?p=17).
    - (B) **Limitation on terms—** No individual may serve more than 2 consecutive 3-year terms as a member.
    - (C) **Termination of terms—** Notwithstanding [subparagraph (B)](#b-7-B), each member shall continue to serve until a successor is appointed by the [Secretary](/usc/7/7442.md?p=17).
  - (8) **Compensation—** A member of the [Board](/usc/7/1502.md?p=b-4) shall serve without compensation, but shall be reimbursed for necessary and reasonable expenses incurred in the performance of duties for and approved by the [Board](/usc/7/1502.md?p=b-4).
- (c) **Powers and duties of Board—** The [order](/usc/7/2902.md?p=10) shall define the powers and duties of the [Board](/usc/7/1502.md?p=b-4), which shall include the power and duty—
  - (1) to administer the [order](/usc/7/2902.md?p=10) in accordance with the terms and conditions of the [order](/usc/7/2902.md?p=10);
  - (2) to issue regulations to effectuate the terms and conditions of the [order](/usc/7/2902.md?p=10);
  - (3) to meet, organize, and select from among members of the [Board](/usc/7/1502.md?p=b-4) a chairperson, other officers, and [committees](/usc/7/2132.md?p=n) and subcommittees, as the [Board](/usc/7/1502.md?p=b-4) determines appropriate;
  - (4) to establish working [committees](/usc/7/2132.md?p=n) of [persons](/usc/7/7442.md?p=13) other than [Board](/usc/7/1502.md?p=b-4) members;
  - (5) to employ such [persons](/usc/7/7442.md?p=13), other than [Board](/usc/7/1502.md?p=b-4) members, as the [Board](/usc/7/1502.md?p=b-4) considers necessary, and to determine the compensation and define the duties of the [persons](/usc/7/7442.md?p=13);
  - (6) to prepare and submit for the approval of the [Secretary](/usc/7/7442.md?p=17), when appropriate or necessary, a recommended rate of assessment under [section 7445 of this title](/usc/7/7445.md), and a fiscal period budget of the anticipated expenses in the administration of the [order](/usc/7/2902.md?p=10), including the probable costs of all programs and projects;
  - (7) to develop programs and projects, subject to [subsection (d)](#d);
  - (8) to enter into [contracts](/usc/7/518.md?p=4) or agreements, subject to [subsection (e)](#e), to develop and carry out programs or projects of [research](/usc/7/7442.md?p=16), [promotion](/usc/7/7442.md?p=15), [industry information](/usc/7/7442.md?p=9), and [consumer information](/usc/7/7442.md?p=6);
  - (9) to carry out [research](/usc/7/7442.md?p=16), [promotion](/usc/7/7442.md?p=15), [industry information](/usc/7/7442.md?p=9), and [consumer information](/usc/7/7442.md?p=6) projects, and to pay the costs of the projects with assessments collected under [section 7445 of this title](/usc/7/7445.md);
  - (10) to keep minutes, books, and records that reflect the actions and transactions of the [Board](/usc/7/1502.md?p=b-4), and promptly report minutes of each [Board](/usc/7/1502.md?p=b-4) meeting to the [Secretary](/usc/7/7442.md?p=17);
  - (11) to appoint and convene, from time to time, working [committees](/usc/7/2132.md?p=n) comprised of [producers](/usc/7/7442.md?p=14), [industry members](/usc/7/7442.md?p=10), and the public to assist in the development of [research](/usc/7/7442.md?p=16), [promotion](/usc/7/7442.md?p=15), [industry information](/usc/7/7442.md?p=9), and [consumer information](/usc/7/7442.md?p=6) programs for [canola](/usc/7/7442.md?p=2), [rapeseed](/usc/7/7442.md?p=2), and [canola](/usc/7/7442.md?p=2) and [rapeseed](/usc/7/7442.md?p=2) products;
  - (12) to invest, pending disbursement under a program or project, [funds](/usc/7/4531.md?p=5) collected through assessments authorized under [section 7445 of this title](/usc/7/7445.md), or [funds](/usc/7/4531.md?p=5) earned from investments, only in—
    - (A) obligations of the [United States](/usc/7/7442.md?p=19) or an agency of the [United States](/usc/7/7442.md?p=19);
    - (B) general obligations of a [State](/usc/7/7442.md?p=18) or a political subdivision of a [State](/usc/7/7442.md?p=18);
    - (C) an interest-bearing account or certificate of deposit of a [bank](/usc/7/27.md?p=a) that is a member of the Federal Reserve System; or
    - (D) obligations fully guaranteed as to principal and interest by the [United States](/usc/7/7442.md?p=19);
  - (13) to receive, investigate, and report to the [Secretary](/usc/7/7442.md?p=17) complaints of violations of the [order](/usc/7/2902.md?p=10);
  - (14) to furnish the [Secretary](/usc/7/7442.md?p=17) with such information as the [Secretary](/usc/7/7442.md?p=17) may request;
  - (15) to recommend to the [Secretary](/usc/7/7442.md?p=17) amendments to the [order](/usc/7/2902.md?p=10);
  - (16) to develop and recommend to the [Secretary](/usc/7/7442.md?p=17) for approval such regulations as may be necessary for the development and execution of programs or projects, or as may otherwise be necessary, to carry out the [order](/usc/7/2902.md?p=10); and
  - (17) to provide the [Secretary](/usc/7/7442.md?p=17) with advance notice of meetings.
- (d) **Programs and budgets—**
  - (1) **Submission to Secretary—** The [order](/usc/7/2902.md?p=10) shall provide that the [Board](/usc/7/1502.md?p=b-4) shall submit to the [Secretary](/usc/7/7442.md?p=17) for approval any program or project of [research](/usc/7/7442.md?p=16), [promotion](/usc/7/7442.md?p=15), [consumer information](/usc/7/7442.md?p=6), or [industry information](/usc/7/7442.md?p=9). No program or project shall be implemented prior to approval by the [Secretary](/usc/7/7442.md?p=17).
  - (2) **Budgets—** The [order](/usc/7/2902.md?p=10) shall require the [Board](/usc/7/1502.md?p=b-4), prior to the beginning of each fiscal year, or as may be necessary after the beginning of a fiscal year, to submit to the [Secretary](/usc/7/7442.md?p=17) for approval budgets of anticipated expenses and disbursements in the implementation of the [order](/usc/7/2902.md?p=10), including projected costs of [research](/usc/7/7442.md?p=16), [promotion](/usc/7/7442.md?p=15), [consumer information](/usc/7/7442.md?p=6), and [industry information](/usc/7/7442.md?p=9) programs and projects.
  - (3) **Incurring expenses—** The [Board](/usc/7/1502.md?p=b-4) may incur such expenses for programs or projects of [research](/usc/7/7442.md?p=16), [promotion](/usc/7/7442.md?p=15), [consumer information](/usc/7/7442.md?p=6), or [industry information](/usc/7/7442.md?p=9), and other expenses for the administration, maintenance, and functioning of the [Board](/usc/7/1502.md?p=b-4) as may be authorized by the [Secretary](/usc/7/7442.md?p=17), including any implementation, administrative, and referendum costs incurred by the [Department](/usc/7/7442.md?p=7).
  - (4) **Paying expenses—** The [funds](/usc/7/4531.md?p=5) to cover the expenses referred to in [paragraph (3)](#d-3) shall be paid by the [Board](/usc/7/1502.md?p=b-4) from assessments collected under [section 7445 of this title](/usc/7/7445.md) or [funds](/usc/7/4531.md?p=5) borrowed pursuant to [paragraph (5)](#d-5).
  - (5) **Authority to borrow—** To meet the expenses referred to in [paragraph (3)](#d-3), the [Board](/usc/7/1502.md?p=b-4) shall have the [authority](/usc/7/2009aa.md?p=1) to borrow [funds](/usc/7/4531.md?p=5), as approved by the [Secretary](/usc/7/7442.md?p=17), for capital outlays and startup costs.
- (e) **Contracts and agreements—**
  - (1) **In general—** To ensure efficient use of [funds](/usc/7/4531.md?p=5), the [order](/usc/7/2902.md?p=10) shall provide that the [Board](/usc/7/1502.md?p=b-4) may enter into a [contract](/usc/7/518.md?p=4) or agreement for the implementation and carrying out of a program or project of [canola](/usc/7/7442.md?p=2), [rapeseed](/usc/7/7442.md?p=2), or [canola or rapeseed products](/usc/7/7442.md?p=3) [research](/usc/7/7442.md?p=16), [promotion](/usc/7/7442.md?p=15), [consumer information](/usc/7/7442.md?p=6), or [industry information](/usc/7/7442.md?p=9), including a [contract](/usc/7/518.md?p=4) with a [producer](/usc/7/7442.md?p=14) organization, and for the payment of the costs with [funds](/usc/7/4531.md?p=5) received by the [Board](/usc/7/1502.md?p=b-4) under the [order](/usc/7/2902.md?p=10).
  - (2) **Requirements—** A [contract](/usc/7/518.md?p=4) or agreement under [paragraph (1)](#e-1) shall provide that—
    - (A) the contracting party shall develop and submit to the [Board](/usc/7/1502.md?p=b-4) a program or project together with a budget that shall show the estimated costs to be incurred for the program or project;
    - (B) the program or project shall become effective on the approval of the [Secretary](/usc/7/7442.md?p=17); and
    - (C) the contracting party shall keep accurate records of all transactions, account for [funds](/usc/7/4531.md?p=5) received and expended, make periodic reports to the [Board](/usc/7/1502.md?p=b-4) of activities conducted, and make such other reports as the [Board](/usc/7/1502.md?p=b-4) or the [Secretary](/usc/7/7442.md?p=17) may require.
  - (3) **Producer organizations—** The [order](/usc/7/2902.md?p=10) shall provide that the [Board](/usc/7/1502.md?p=b-4) may [contract](/usc/7/518.md?p=4) with a [producer](/usc/7/7442.md?p=14) organization for any services required in addition to the services described in [paragraph (1)](#e-1). The [contract](/usc/7/518.md?p=4) shall include provisions comparable to the provisions required by [paragraph (2)](#e-2).
- (f) **Books and records of Board—**
  - (1) **In general—** The [order](/usc/7/2902.md?p=10) shall require the [Board](/usc/7/1502.md?p=b-4) to—
    - (A) maintain such books and records (which shall be available to the [Secretary](/usc/7/7442.md?p=17) for inspection and audit) as the [Secretary](/usc/7/7442.md?p=17) may prescribe;
    - (B) prepare and submit to the [Secretary](/usc/7/7442.md?p=17), from time to time, such reports as the [Secretary](/usc/7/7442.md?p=17) may prescribe; and
    - (C) account for the receipt and disbursement of all [funds](/usc/7/4531.md?p=5) entrusted to the [Board](/usc/7/1502.md?p=b-4).
  - (2) **Audits—** The [Board](/usc/7/1502.md?p=b-4) shall cause the books and records of the [Board](/usc/7/1502.md?p=b-4) to be audited by an independent auditor at the end of each fiscal year, and a report of the audit to be submitted to the [Secretary](/usc/7/7442.md?p=17).
- (g) **Prohibition—**
  - (1) **In general—** Subject to [paragraph (2)](#g-2), the [Board](/usc/7/1502.md?p=b-4) shall not engage in any action to, nor shall any [funds](/usc/7/4531.md?p=5) received by the [Board](/usc/7/1502.md?p=b-4) under this subchapter be used to—
    - (A) influence legislation or governmental action;
    - (B) engage in an action that would be a [conflict of interest](/usc/7/7442.md?p=5);
    - (C) engage in advertising that is false or misleading; or
    - (D) engage in [promotion](/usc/7/7442.md?p=15) that would disparage other [commodities](/usc/7/1a.md?p=9).
  - (2) **Action permitted—** [Paragraph (1)](#g-1) does not preclude—
    - (A) the development and recommendation of amendments to the [order](/usc/7/2902.md?p=10);
    - (B) the communication to appropriate government officials of information relating to the conduct, implementation, or results of [promotion](/usc/7/7442.md?p=15), [research](/usc/7/7442.md?p=16), [consumer information](/usc/7/7442.md?p=6), or [industry information](/usc/7/7442.md?p=9) activities under the [order](/usc/7/2902.md?p=10); or
    - (C) any action designed to market [canola or rapeseed products](/usc/7/7442.md?p=3) directly to a foreign government or political subdivision of a foreign government.
- (h) **Books and records—**
  - (1) **In general—** The [order](/usc/7/2902.md?p=10) shall require that each [producer](/usc/7/7442.md?p=14), [first purchaser](/usc/7/7442.md?p=8), or [industry member](/usc/7/7442.md?p=10) shall—
    - (A) maintain and submit to the [Board](/usc/7/1502.md?p=b-4) any reports considered necessary by the [Secretary](/usc/7/7442.md?p=17) to ensure compliance with this subchapter; and
    - (B) make available during normal business hours, for inspection by employees of the [Board](/usc/7/1502.md?p=b-4) or [Secretary](/usc/7/7442.md?p=17), such books and records as are necessary to carry out this subchapter, including such records as are necessary to verify any required reports.
  - (2) **Confidentiality—**
    - (A) **In general—** Except as otherwise provided in this subchapter, all information obtained from books, records, or reports required to be maintained under [paragraph (1)](#h-1) shall be kept confidential, and shall not be disclosed to the public by any [person](/usc/7/7442.md?p=13).
    - (B) **Disclosure—** Information referred to in [subparagraph (A)](#h-2-A) may be disclosed to the public if—
      - (i) the [Secretary](/usc/7/7442.md?p=17) considers the information relevant;
      - (ii) the information is revealed in a suit or administrative hearing brought at the direction or on the request of the [Secretary](/usc/7/7442.md?p=17) or to which the [Secretary](/usc/7/7442.md?p=17) or any officer of the [Department](/usc/7/7442.md?p=7) is a party; and
      - (iii) the information relates to this subchapter.
    - (C) **Misconduct—** A knowing disclosure of confidential information in violation of [subparagraph (A)](#h-2-A) by an officer or employee of the [Board](/usc/7/1502.md?p=b-4) or [Department](/usc/7/7442.md?p=7), except as required by other law or allowed under subparagraph [(B)](#h-2-B) or [(D)](#h-2-D), shall be considered a violation of this subchapter.
    - (D) **General statements—** Nothing in this paragraph prohibits—
      - (i) the issuance of general statements based on the reports of a number of [persons](/usc/7/7442.md?p=13) subject to an [order](/usc/7/2902.md?p=10) or statistical data collected from the reports, if the statements do not identify the information furnished by any [person](/usc/7/7442.md?p=13); or
      - (ii) the publication, by direction of the [Secretary](/usc/7/7442.md?p=17), of the name of a [person](/usc/7/7442.md?p=13) violating the [order](/usc/7/2902.md?p=10), together with a statement of the particular provisions of the [order](/usc/7/2902.md?p=10) violated by the [person](/usc/7/7442.md?p=13).
  - (3) **Availability of information for law enforcement—** Information obtained under this subchapter may be made available to another agency of the Federal Government for a civil or criminal law enforcement activity if the activity is authorized by law and if the head of the agency has made a written request to the [Secretary](/usc/7/7442.md?p=17) specifying the particular information desired and the law enforcement activity for which the information is sought.
  - (4) **Penalty—** Any [person](/usc/7/7442.md?p=13) knowingly violating this subsection, on conviction, shall be subject to a fine of not more than $1,000 or to imprisonment for not more than 1 year, or both, and if an officer or employee of the [Board](/usc/7/1502.md?p=b-4) or the [Department](/usc/7/7442.md?p=7), shall be removed from office or terminated from employment, as applicable.
  - (5) **Withholding of information—** Nothing in this subchapter authorizes the withholding of information from Congress.
- (i) **Use of assessments—** The [order](/usc/7/2902.md?p=10) shall provide that the assessments collected under [section 7445 of this title](/usc/7/7445.md) shall be used for payment of the expenses in implementing and administering this subchapter, with provision for a reasonable reserve, and to cover administrative costs incurred by the [Secretary](/usc/7/7442.md?p=17) in implementing and administering this subchapter.
- (j) **Other terms and conditions—** The [order](/usc/7/2902.md?p=10) shall contain such other terms and conditions, not inconsistent with this subchapter, as are determined necessary by the [Secretary](/usc/7/7442.md?p=17) to effectuate this subchapter.

## Source credit

(Pub. L. 104–127, title V, § 535, Apr. 4, 1996, 110 Stat. 1051.)