Section 1260.311 - Collecting persons for purposes of collection of assessmentsCollecting persons for purposes of collecting and remitting the $1.00 per head assessment shall be:
(a) Except as provided in paragraphs (b), (c), and (f) of this section, each person making payment to a producer for cattle purchased in the United States shall collect from the producer an assessment at the rate of $1-per-head of cattle purchased and shall be responsible for remitting assessments to the QSBC or the Board as provided in § 1260.312 . The collecting person shall collect the assessment at the time the collecting person makes payment or any credit to the producer's account for the cattle purchased. The person paying the producer shall give the producer a receipt indicating payment of the assessment.(b) Any producer marketing cattle of that producer's own production in the form of beef or beef products to consumers, either directly or through retail or wholesale outlets, shall be responsible for remitting to the qualified State beef council or the Cattlemen's Board pursuant to § 1260.312 , an assessment on such cattle at the rate of $1.00 per head of cattle or the equivalent thereof. The obligation to remit the assessment shall attach upon slaughter of the cattle, and the producer responsible for remitting the assessment shall remit the assessment in the manner provided in § 1260.312 . For the purposes of this subpart, a producer marketing cattle of the producer's own production in the form of beef or beef products shall be considered a collecting person.(c) In the States listed in the following chart there exists a requirement that cattle be brand inspected by State authorized inspectors prior to sale. In addition, when cattle are sold in the sales transactions listed below in those States, these State authorized inspectors are authorized to, and shall, except as provided for in paragraph (f) of this section, collect assessments due as a result of the sale of cattle. In those transactions in which inspectors are responsible for collecting assessments, the person paying the producer shall not be responsible for the collection and remittance of such assessments. The following chart identifies the party responsible for collecting and remitting assessments in these States: | State | Sales
through
auction
market | Sales to a
slaughter/
packer | Sales to a
feedlot | Sales to
an order
buyer/dealer | Country
sales1 |
| Arizona | CP | CP | CP | B | B |
| California | CP | CP | B | B-CP | B |
| Colorado | CP | B | B | B | B |
| Idaho | B | B | B | B | B |
| Montana | CP | B | B | B | B |
| Nebraska | CP | CP | B-CP | B-CP | B-CP |
| Nevada | B | B | B | B | B |
| Oregon | CP | B-CP | B | B | B |
| New Mexico | CP | B-CP | B-CP | B-CP | B-CP |
| Utah | CP | B-CP | B | B | B |
| Washington | CP | CP | B | B-CP | B |
| Wyoming | CP | B | B | B | B |
KEY:
B-Brand inspector has responsibility to collect and remit assessments due.
CP-The person paying the producer shall be the collecting person and has responsibility to collect and remit the assessments due.
B-CP-Brand inspector has responsibility to collect; however, when there has not been a physical brand inspection the person paying the producer shall be the collecting person and has the responsibility to collect and remit assessments due.
1 For the purpose of this subpart, the term "country sales" shall include any sales not conducted at an auction or livestock market and which is not a sale to a slaughter/packer, feedlot, or order buyer or dealer.
(d) For cattle delivered on futures contracts, the commission firm or the market agency representing the seller in the delivery of cattle shall be the collecting person.(e) In a case where a producer sells cattle as part of a custom slaughter operation, the producer shall be the collecting person in the same manner as if the cattle were slaughtered for sale.(f)(1) In lieu of each person making a payment to a producer for cattle purchased in the United States, producers are provided the option in accordance with this paragraph (f) to remit the assessment to the QSBC in the State in which the producer resides. A producer who transports, prior to sale, cattle of that producer's own production to another State, may elect to make a directed payment of the $1-per-head assessment in advance to the QSBC in the State in which the producer resides, provided that the producer fulfills the following requirements:(i) Transports the cattle under retained ownership to a feedlot or similar location, and the cattle remain at such location, prior to sale, for a period not less than 30 days; and(ii) The producer, either before or at the time of transport, signs a Certification of Producer Directed Payment of Cattle Assessments form indicating that the assessment has been paid in advance, and remits the assessment to the appropriate QSBC. A copy of the certification form indicating the payment of the assessment shall be sent by the producer with the assessment when remitted to the QSBC. The producer also shall send a copy of the certification form to the feedlot operator at the time the cattle are delivered. A copy of the certification form also shall be given to the purchaser of the cattle by the feedlot operator at the time of sale.(2) The certification form will include the following information:(ii) Producer's social security number or Tax I.D. number.(iii) Producer's address (street address or P.O. Box, city, State, and zip code).(iv) Signature of Producer.(v) Producer's State of residence.(vi) Number of cattle shipped to out of State feedyard under retained ownership.(vii) Date cattle shipped.(viii) State where cattle will be on feed.(3) Cattle of a producer's own production shall be those cattle which meet all of the following requirements:(i) The cattle shall be offspring of a producer's own cow herd;(ii) The cattle shall have been continuously and exclusively under the producer's ownership; and(iii) The cattle are transported to a feedlot with such producer continuously owning the cattle through the entire feeding phase.(4) For those cattle for which the assessment has been producer directed and paid in advance pursuant to paragraph (f)(1) of this section, the purchaser of the cattle shall not be required to collect and remit the assessment, but shall maintain on file a copy of the Certification of Producer Directed Payment of Cattle Assessments form completed and signed by the producer who originally transported the cattle under retained ownership.(5) For those cattle for which the assessment has been producer directed and paid in advance pursuant to paragraph (f)(1) of this section, copies of the completed Certification of Producer Directed Payment of Cattle Assessments form shall be maintained on file by the producer, the QSBC or the Board, the feedlot operator, and the purchaser of the cattle for 3 years.(6) Producers shall not receive credit of the assessment required to be paid pursuant to paragraph (f)(1) of this section for those cattle lost because of death.53 FR 5754, Feb. 26, 1988, as amended at 67 FR 61766 , Oct. 2, 2002