Section 140.47. Prohibited expenditures and business practices.

  A marketing board may not:

(1)  Expend, or contract for the expenditure of moneys:

(a) For any purpose which is not authorized under ch. 96 , Stats. , and the marketing order, or which is inconsistent with ch. 96 , Stats. , and the marketing order.

(b) In violation of ch. 96 , Stats. , the marketing order or this chapter.

(c) Whose aggregate amount exceeds the annual receipts of the marketing board for the fiscal year in which the expenditures occur. Annual receipts, for purposes of this paragraph, include any surplus receipts carried over from the preceding fiscal year. This paragraph does not prohibit a marketing board from contracting for the expenditure of anticipated receipts during the current fiscal year in which the receipts are anticipated, if the expenditure is budgeted and approved in compliance with ss. ATCP 140.42 and 140.45 . A marketing board shall periodically review its projections of anticipated receipts during the fiscal year, to determine whether the projections are accurate, and whether any adjustment of proposed expenditures may be necessary to comply with this paragraph.

(d) To promote or fund any other marketing order. This does not prohibit joint funding of marketing order projects and programs with other marketing boards.

(e) To influence state or federal legislation or rulemaking. This does not prohibit any of the following activities, unless the secretary determines that expenditures for activities are excessive in relation to the purposes for which the marketing order is created:

1. The publication and distribution of information describing the programs, activities and accomplishments of the marketing board.

2. The publication and distribution of information related to any proposal under subch. I for the amendment or repeal of the marketing order, if the information is published and distributed prior to the secretary's decision under s. ATCP 140.18 advancing the proposed amendment or repeal to a referendum of producers or handlers.

3. Communication by a marketing board member or employee with any state public official or employee concerning the proposed amendment or repeal of the marketing order, or concerning any other rulemaking which is directly related to the marketing order.

4. The publication and distribution of information concerning an impending advisory referendum on the marketing order, provided that the marketing board does not directly recommend or suggest how producers or handlers should vote in the advisory referendum.

(f) For salaries, administrative expenses, travel expenses or personal expenses, except those which are reasonable and necessary for the operation of the marketing board, or which are a reasonable and necessary incident to the performance of administrative or contract services for the marketing board.

(g) For any market development program which makes false or unwarranted claims on behalf of an affected commodity or disparages the quality, value, sale or use of any other agricultural commodity.

(h) For any market research or development program which makes reference to, or which exclusively promotes a private brand or trade name of the affected commodity.

(2)  Expend or contract for the expenditure of moneys if the expenditure is exclusively or primarily intended to promote an individual private interest without regard to the general interest of producers or handlers of the affected commodity. This does not prohibit the expenditure of moneys for the general benefit of affected producers or handlers where the expenditure also has incidental benefits to an individual private interest.

(3)  Make any loan or extend credit. This does not prohibit a marketing board from depositing moneys in a savings and loan association, state bank, savings and trust company, mutual savings bank, or national bank in this state which receives or holds public deposits pursuant to ch. 34 , Stats.

(4)  Engage in the purchase or sale of agricultural commodities. This does not prohibit limited and occasional purchases of agricultural commodities, or limited and occasional sales of agricultural commodities at cost, where the purchase or sale is incidental to the conduct of a research, educational or promotional program under ch. 96 , Stats. , and the marketing order.

(5)  Engage in the business of selling goods or services. This does not prohibit the occasional sale of educational or promotional materials at cost, where the sale is incidental to the conduct of an educational or promotional program under ch. 96 , Stats. , and the marketing order.

(6)  Make any gift or gratuitous payment for which the recipient gives no bona fide consideration.

History: Cr. Register, November, 1985, No. 359 , eff. 12-1-85.