Current through August 26, 2024
A contractor may establish an unharvested acreage pool
under this section. The unharvested acreage pool shall comply with all of the
following requirements:
(1) TERMS
SPECIFIED IN CONTRACT. In each vegetable procurement contract with a pool
participant, the contractor shall clearly specify the terms and conditions of
the pool, including terms related to producer contributions, contractor
contributions, and the use of pool funds. The same terms and conditions shall
apply to every producer who participates in the pool.
(2) POOL COVERAGE. Pool funds may be used
only to pay for vegetable acreage contracted with pool participants. No pool
may apply to more than one contract year. If a pool applies to more than one
vegetable crop, the vegetable procurement contract shall clearly identify the
crops included in the pool.
(3)
PRODUCERS AND ACREAGE ASSIGNED TO POOL.
(a)
Pool participants and pool acreage shall be assigned to a specific pool when
those participants sign vegetable procurement contracts for that acreage. Pool
participants and pool acreage, once assigned to a pool, may not be reassigned
to a different pool.
(b) If any
pool participants are located outside this state, the vegetable procurement
contract shall identify all of the states in which pool participants are
located.
(4) USE OF POOL
FUNDS; GENERAL.
(a) A contractor may use pool
funds to pay for unharvested suitable acreage or abandoned acreage.
(b) If, because of low crop yield or grade, a
producer is entitled to a smaller contract payment for harvested acreage than
if that harvested acreage had been abandoned, a contractor may use pool funds
to pay the producer the difference between the harvested acreage payment and
the higher contract guarantee for abandoned acreage.
(c) A contractor may not use pool funds for
any purpose other than those specified under par. (a) or (b).
Payments under pars. (a) and (b) are subject to the terms
of the vegetable procurement contract.
(5) PRODUCER CONTRIBUTIONS. In every
vegetable procurement contract with a pool participant, the contractor shall
clearly specify both of the following:
(a)
The circumstances under which the participant will be required to contribute to
the pool, and the method by which contributions will be assessed.
(b) The amount of the participant's
contribution to the pool, or the formula by which that contribution will be
determined, subject to the maximum specified under sub. (6).
(6) MAXIMUM PRODUCER CONTRIBUTION.
(a) In every vegetable procurement contract
with a pool participant, the contractor shall specify the participant's maximum
potential contribution to the pool.
(b) The maximum contribution under par. (a)
shall be stated as a maximum percentage deduction from the gross amount due the
producer under the vegetable procurement contract. Producers of abandoned
acreage may be subject to a different maximum contribution than producers of
suitable acreage, provided that the different maximum contribution is clearly
specified in the contract.
(c) No
contractor may require a pool participant to contribute more than the
applicable maximum amount specified under this subsection.
(7) CONTRACTOR TO MATCH PRODUCER
CONTRIBUTIONS. The contractor shall contribute to the pool an amount which is
not less than the total of all producer contributions to the pool.
(8) CONTRACTOR ACREAGE INCLUDED.
(a) If, in any geographic area covered by a
pool, a contractor grows the same vegetable crop on acreage owned or leased by
the contractor, the contractor shall participate in the pool on the same basis
as every other participating producer.
(b) If the contractor participates as a
producer under par. (a), the contractor's pool contribution shall be treated as
a producer contribution which the contractor shall also match with a separate
contribution under sub. (7).
(c)
If a contractor participates as a producer under par. (a), the contractor is
eligible for payments from the pool on the same basis as every other
participating producer.
(9) REFUNDS TO POOL CONTRIBUTORS. If the
contractor collects more pool contributions than the contractor distributes to
pool participants under sub. (4), the contractor shall refund all unused pool
funds to pool contributors on a pro rata basis, based on the amount of each
contributor's pool contribution. If the contractor refunds pool funds to
producers under this subsection, the contractor shall include each producer's
pro rata refund with the contractor's final payment to the producer under the
vegetable procurement contract.
(10) INFORMATION TO PRODUCERS. When the
contractor makes final payment to a pool participant under a vegetable
procurement contract, the contractor shall provide all of the following
information to the pool participant:
(a) The
total amount that pool participants contributed to the pool. If the contractor
participates as a producer under sub. (8), the contractor's total contribution
as a producer shall be stated separately.
(b) The contractor's total contribution to
the pool as a contractor under sub. (7).
(c) The total amount of pool funds paid to
pool participants under sub. (4). If the contractor received pool funds as a
producer under sub. (8) (c), the amount paid to the contractor shall be stated
separately.
(d) The total number of
suitable pool acres left unharvested, the number of pool participants who
produced that unharvested suitable acreage, and the total amount of pool funds
paid for unharvested suitable acreage. Instead of reporting the number of
suitable pool acres left unharvested, the contractor may report that number as
a percentage of total pool acres.
(e) The total number of pool acres that were
abandoned, the number of pool participants who produced that abandoned acreage,
and the total amount of pool funds paid for abandoned acreage. If some of the
abandoned acres were not eligible for pool payments, the contractor shall also
report the total number of eligible acres and producers. Instead of reporting
the number of pool acres that were abandoned, or the number of abandoned acres
that were eligible for pool payments, the contractor may report those numbers
as percentages of total pool acres.
(f) The total number of harvested pool acres
that were eligible for pool payments under sub. (4) (b), the number of pool
participants who produced that eligible harvested acreage, and the total amount
of pool funds paid under sub. (4) (b) for that eligible harvested acreage.
Instead of reporting the number of pool acres that were eligible for pool
payments under sub. (4) (b), the contractor may report that number as a
percentage of total pool acres.
(g)
The total amount of pool funds, if any, that the contractor refunded to pool
contributors under sub. (9). If the contractor contributed as a producer under
sub. (8), the amount refunded to the contractor shall be stated
separately.
(11)
RECORDS.
(a) For each unharvested acreage
pool, the contractor shall keep complete and accurate records related to each
of the items under sub. (10).
(b)
For each pool participant, the contractor shall keep accurate records of all of
the following:
1. The participant's name and
address.
2. The amount of each
participant's pool acreage.
3. The
participant's pool contribution, if any.
4. The amount of unharvested suitable acreage
for which the participant received pool payments, and the amount of those
payments.
5. The amount of
abandoned acreage for which the participant received pool payments, and the
amount of those payments.
6. The
amount of acreage for which the participant received pool payments under sub.
(4) (b), and the amount of those payments.
(c) If a contractor estimates the yield or
grade of unharvested suitable acreage under s.
ATCP 101.03(4), the contractor shall keep
complete and accurate records showing how the yield or grade was estimated in
compliance with that subsection.
(12) RECORDS RETAINED; INSPECTION AND
COPYING. A contractor shall retain the records under sub. (11) for at least 3
years, and shall make those records available to the department for inspection
and copying upon request.
