Or. Admin. Code § 603-042-0020

Current through Register Vol. 63, No. 10, October 1, 2024

Section 603-042-0020 - Commodity Commission Fees for Commodity Commission Program

(1) Pursuant to ORS 576.320, ORS 577.345, and ORS 578.135, the Department of Agriculture may collect annual fees from the commodity commissions to reimburse the Department for the supervisory and administrative functions that the Department performs according to ORS Chapters 576, 577, and 578. The Department shall consult with the Commodity Commission Oversight Program Advisory Committee related to the annual fees.

(2) The total fee assessed to the commissions shall not exceed $350,000 per fiscal year, beginning with the fee invoiced in fiscal year 2018-2019. The fee shall be used to reimburse the Department for expenses incurred in the previous fiscal year.

(3) The fees for each commission shall be determined using the assessment income as shown on the annual financial reports submitted to the Department.

(4) The total fee for each commodity commission shall be calculated as follows:

(a) First, calculate the base fee for each commission. The base fee for each commission equals 2.3% of the actual assessment income that the commission received in the fiscal year two years prior to the calculation, except that for those commissions with assessment income of $30,000 or less the base fee shall be a flat fee of $750, and except that for those commissions with assessment income exceeding $1,521,738 the base fee shall be a flat fee not to exceed $45,000.

(b) Second, calculate the first shortfall by totaling all the base fees and subtracting the result from the Commodity Commission Oversight Program's (the program) annual operating costs, which are not to exceed $350,000.

(c) Third, calculate the assessment factor for each commission. The assessment factor shall be determined by dividing each commission's fiscal year assessment collection by the total assessment income collected from all commodity commissions. The Department shall use the assessment collection shown on each commission's yearend financial statements from the fiscal year two years before the calculation. (For example, when calculating the fee invoiced in fiscal year 2018-19, the Department shall use the assessment shown on the 2017-18 year-end financial statement.)

(d) Fourth, calculate the shortfall portion for each commission. For commissions paying a base fee based on a percentage of its actual assessment income, the shortfall portion equals the first shortfall multiplied by the assessment factor for that commission. For commissions paying a base fee based on a flat fee, the shortfall portion is not calculated.

(e) Fifth, calculate the combined fee for each commission. The combined fee for each commission equals the base fee for that commission plus the shortfall portion for that commission.

(f) Sixth, add all the combined fees for all commissions. If the total does not equal the actual cost of the program, which is not to exceed $350,000, a second shortfall exists.

(g) Seventh, if subsequent shortfalls exist, the Department shall assess those shortfalls to each commission that is paying a fee based on a percentage of its actual assessment income.

(5) The Department shall invoice each commission no later than November 15 each year; and the total fees shall be paid to the Department no later than December 31 of each year.

Or. Admin. Code § 603-042-0020

DOA 11-2000, f. & cert. ef. 4-18-00; DOA 14-2007, f. & cert. ef. 8-23-07; DOA 9-2011, f. & cert. ef. 5-10-11; DOA 23-2012, f. & cert. ef. 8-6-12; DOA 8-2019, amend filed 03/07/2019, effective 3/7/2019

Statutory/Other Authority: ORS 561.190, 576.320, 577.345 & 578.135

Statutes/Other Implemented: ORS 561, 576, 577 & 578