Provides that any time the produce security fund exceeds six million dollars on the one hundred twentieth day prior to the commencement of the next licensing year, the commissioner of agriculture and markets shall suspend the collection of the security fund fee; makes related provisions.
Summary
This bill amends the Agriculture and Markets Law to change when the state may stop collecting the produce security fund fee. Under current law, the commissioner must suspend collection when the fund exceeds a threshold; this bill raises that threshold from $4 million to $6 million on the 120th day before the next licensing year begins. It also adds a new inflation-related safeguard: if the fund is above $6 million but inflation has reduced the fund’s real protection for producers, the commissioner must continue collecting the fee for that year.
The measure is aimed at preserving the produce security fund’s ability to protect produce sellers and other covered producers against unpaid obligations while avoiding unnecessary fee collection when the fund is sufficiently funded. It is a technical amendment to the state’s produce dealer licensing and security framework and would directly affect the Department of Agriculture and Markets, the commissioner’s fee-collection duties, and businesses subject to the produce security fund fee.
Overall sentiment appears neutral to favorable, with the bill introduced at the request of the Department of Agriculture and Markets and no recorded committee debate or votes indicating opposition. The absence of transcripts or vote history suggests the bill is largely administrative and likely intended to update fund-management rules rather than create a controversial policy change.
The main point of potential contention is the balance between reducing fees for regulated businesses and ensuring adequate protection for producers. Supporters would likely favor the higher threshold and inflation adjustment as a practical update, while any concern would center on whether suspending fees too early could weaken the fund’s protection if claims rise or inflation erodes its value.
Impact
The bill would amend section 250 of the Agriculture and Markets Law to increase the produce security fund balance threshold for suspending fee collection from $4 million to $6 million and to require continued fee collection if inflation-adjusted protection is no longer equivalent to the prior standard. This changes the commissioner’s administrative authority over the produce security fund and affects produce dealers and other regulated parties that pay into the fund, while preserving the state’s ability to maintain producer protections.
Sentiment
The available context suggests a generally favorable or at least noncontroversial reception. The bill was introduced at the request of the Department of Agriculture and Markets, and there are no recorded committee transcripts or votes showing opposition or debate. It appears to be a technical, agency-supported update to fund management rather than a politically divisive measure.
Contention
The primary issue is whether the higher $6 million threshold and suspension of fee collection could reduce the fund’s cushion for paying claims, especially if market conditions change. On the other hand, the inflation clause reflects concern that a nominal dollar threshold may not preserve the same real level of protection over time. Any contention would likely be between regulated industry participants who prefer lower fees and producer advocates who want the fund kept robust.
Same As
Provides that any time the produce security fund exceeds six million dollars on the one hundred twentieth day prior to the commencement of the next licensing year, the commissioner of agriculture and markets shall suspend the collection of the security fund fee; makes related provisions.
Provides that any time the produce security fund exceeds six million dollars on the one hundred twentieth day prior to the commencement of the next licensing year, the commissioner of agriculture and markets shall suspend the collection of the security fund fee; makes related provisions.
Repeals the tax exempt status of private universities that received real property tax exemptions of one hundred million dollars or more during the prior fiscal year.
Provides that the penalty for the abandonment of animals is a misdemeanor, punishable by imprisonment for not more than one year, or by a fine of not less than five hundred dollars nor more than one thousand dollars, or by both.
Specifies that moneys credited to the state pursuant to section nine hundred one of the federal social security act are to be credited to the general account of the unemployment insurance fund.
Increases the excess limit for funds in the New York state thoroughbred breeding and development fund from seventy-five thousand dollars to five hundred thousand dollars.
Increases the excess limit for funds in the New York state thoroughbred breeding and development fund from seventy-five thousand dollars to five hundred thousand dollars.
Increases the penalty of knowingly violating the provisions relating to the appropriate shelter for dogs from a violation to a misdemeanor, punishable by imprisonment for not more than one year, or by a fine not less than five hundred dollars nor more than one thousand dollars, or by both.
Authorizes the transfer of funds from the tuition reimbursement account to the proprietary vocational school supervision account in the event that the net balance of the tuition reimbursement account is in excess of two million five hundred thousand dollars.