Original Notice.

     Exempt from preproposal statement of inquiry under RCW 34.05.310(4).

     Title of Rule and Other Identifying Information: Hops, chapter 16-532 WAC.

     Hearing Location(s): Moxee City Hall, Community Room, 255 West Seattle Avenue, Moxee, WA 98936, (please use street parking), on April 2, 2013, at 11:00 a.m.

     Date of Intended Adoption: June 26, 2013.

     Submit Written Comments to: Kelly Frost, P.O. Box 42560, Olympia, WA 98504-2560, e-mail kfrost@agr.wa.gov, fax (360) 902-2092, by 5:00 p.m., April 5, 2013.

     Assistance for Persons with Disabilities: Contact WSDA receptionist by March 15, 2013, TTY 1-800-833-6388 or (360) 902-1976.

     Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: WAC 16-532-050 Assessment and collections, increases the assessment rate per "affected unit" from $2.00 to $2.75. The proposed increase will be decided through a referendum of affected hop producers.

     Reasons Supporting Proposal: The hop commission board determined that an increase in the assessment rate is necessary for the board to remain solvent in light of declining crop production and will allow the commission to continue to carry out their mandated mission. These changes will implement the petition received from the hop commission in accordance with RCW 15.65.050.

     Statutory Authority for Adoption: RCW 15.65.047 and [15.65].050, chapter 34.05 RCW.

     Statute Being Implemented: Chapter 15.65 RCW.

     Rule is not necessitated by federal law, federal or state court decision.

     Agency Comments or Recommendations, if any, as to Statutory Language, Implementation, Enforcement, and Fiscal Matters: Any rule proposal that results from this rule-making process will not be adopted unless the proposed rules are also approved in a referendum of affected hop producers pursuant to chapter 15.65 RCW.

     Name of Proponent: Washington state hop commission, governmental.

     Name of Agency Personnel Responsible for Drafting: Kelly Frost, P.O. Box 42560, Olympia, WA 98504, (360) 902-1802; Implementation and Enforcement: Ann George, P.O. Box 1207, Moxee, WA 98936, (509) 453-4749.

     No small business economic impact statement has been prepared under chapter 19.85 RCW. In accordance with RCW 15.65.570, the adoption of the final amendments to chapter 16-532 WAC will be determined by a referendum vote of affected producers.

     A cost-benefit analysis is not required under RCW 34.05.328. The department of agriculture and the Washington hop commission are not named agencies in RCW 34.05.328 (5)(a)(i).

February 13, 2013

Dan Newhouse

Director

OTS-5281.1

AMENDATORY SECTION(Amending WSR 08-15-039, filed 7/10/08, effective 8/10/08)

WAC 16-532-040   Assessments and collections.   (1) Assessments.

     (a) The annual assessment on all varieties of hops shall be ((up to)) two dollars and ((fifty)) seventy-five cents per affected unit, as approved by referendum vote of affected producers((, the results of which shall be retained on file in the board's administrative office)).

     (b) For the purpose of collecting assessments the board may:

     (i) Require handlers to collect producer assessments from producers whose production they handle, and remit the same to the board; or

     (ii) Require the person subject to the assessment to give adequate assurance or security for its payment; or

     (iii) Require the person subject to the assessment to remit assessments for any hops which are processed prior to the first sale; or

     (iv) Require the person subject to the assessment to remit an inventory report for any hops which are not processed or sold prior to December 31 of the year in which they are produced.

     (c) Subsequent to the first sale or processing, no affected units shall be transported, carried, shipped, sold, marketed, or otherwise handled or disposed of until every due and payable assessment herein provided for has been paid and the receipt issued. The foregoing shall include all affected units shipped or sold, both inside and outside the state.

     (2) Collections. Any moneys collected or received by the board pursuant to the provisions of the order during or with respect to any season or year may be refunded on a pro rata basis at the close of such season or year or at the close of such longer period as the board determines to be reasonably adapted to effectuate the declared policies of this act and the purposes of such marketing agreement or order, to all persons from whom such moneys were collected or received or may be carried over into and used with respect to the next succeeding season, year or period whenever the board finds that the same will tend to effectuate such policies and purposes.

     (3) Penalties. Any due and payable assessment herein levied in such specified amount as may be determined by the board pursuant to the provisions of the act and the order, shall constitute a personal debt of every person so assessed or who otherwise owes the same, and the same shall be due and payable to the board when payment is called for by it. In the event any person fails to pay the board the full amount of such assessment or such other sum on or before the date due, the board may, and is hereby authorized to add to such unpaid assessment or sum an amount not exceeding ten percent of the same to defray the cost of enforcing the collecting of the same. In the event of failure of such person or persons to pay any such due and payable assessment or other such sum, the board may bring a civil action against such person or persons in a state court of competent jurisdiction for the collection thereof, together with the above specified ten percent thereon, and such action shall be tried and judgment rendered as in any other cause of action for debt due and payable.

[Statutory Authority: Chapters 15.65 and 34.05 RCW. 08-15-039, § 16-532-040, filed 7/10/08, effective 8/10/08. Statutory Authority: RCW 15.65.047 and chapter 34.05 RCW. 05-15-098, § 16-532-040, filed 7/15/05, effective 8/15/05. Statutory Authority: RCW 15.65.050. 97-17-096, § 16-532-040, filed 8/20/97, effective 9/20/97; 95-17-118 (Order 5077), § 16-532-040, filed 8/23/95, effective 9/23/95. Statutory Authority: Chapter 15.65 RCW. 91-15-019 (Order 2090), § 16-532-040, filed 7/10/91, effective 8/10/91. Statutory Authority: RCW 15.65.170. 87-10-059 (Order 1927), § 16-532-040, filed 5/6/87, effective 6/8/87. Statutory Authority: Chapter 15.65 RCW. 83-16-041 (Order 1800), § 16-532-040, filed 7/29/83; 80-05-090 (Order 1686), § 16-532-040, filed 5/1/80; 79-01-045 (Order 1593), § 16-532-040, filed 12/21/78; Order 1332, § 16-532-040, filed 1/17/74; Marketing Order Article IV, §§ A through C, filed 7/1/64.]