BEFORE THE DEPARTMENT OF AGRICULTURE

OF THE STATE OF MONTANA

 

In the matter of the amendment of ARM 4.9.402 and ARM 4.21.402 and the adoption of New Rule I and New Rule II pertaining to Violations in Commodity Reporting

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NOTICE OF PUBLIC HEARING ON PROPOSED AMENDMENT AND ADOPTION

TO: All Concerned Persons

 

            1. On July 16, 2020, at 1:00 p.m., the Department of Agriculture will hold a public hearing in Room 225 of the Scott Hart Building, at Helena, Montana, as well as virtually through the meeting platform Zoom to consider the proposed amendment and adoption of the above-stated rules. For the virtual meeting details, please contact Virginia Corbett by email at agr@mt.gov or by phone at (406) 444-3156.

 

2. The Department of Agriculture will make reasonable accommodations for persons with disabilities who wish to participate in this rulemaking process or need an alternative accessible format of this notice. If you require an accommodation, contact Department of Agriculture no later than 5:00 p.m. on July 9, 2020, to advise us of the nature of the accommodation that you need. Please contact Cort Jensen, Department of Agriculture, 302 N. Roberts, Helena, Montana, 59601; telephone (406) 444-5402; fax (406) 444-5409; or e-mail agr@mt.gov.

 

3. The rules proposed to be amended provide as follows, new matter underlined, deleted matter interlined:

 

            4.9.402 REQUIREMENTS FOR REPORTS (1) through (2)(c) remain the same.

            (d) Any person failing to produce the past due reports shall be guilty of a misdemeanor and shall be subject to a fine of not less than $25 $50 or more than $500 upon conviction. $5,000 based upon the amount withheld and the number of refunds attached. See the penalty matrix in [NEW RULE I].

 

AUTH: 80-11-205, MCA

IMP:  80-11-205, 80-11-207, MCA

 

REASON:  These changes provide that in case of violations of reporting requirements, an increased civil fine option is created in lieu of the current criminal penalty.

 

            4.21.402 REQUIREMENTS FOR REPORTS (1) through (2)(c) remain the same.

            (d) Any person failing to produce the past due reports shall be guilty of a misdemeanor and shall be subject to a fine of not less than $25  $50 or more than $500 upon conviction. $5,000 based upon the amount withheld and the number of refunds affected. See the penalty matrix in [NEW RULE II].

 

AUTH: 80-1-102, 80-11-1003, MCA

IMP:  80-11-1001, 80-11-1002, 80-11-1003, 80-11-1004, 80-11-1005, 80-11-1006, 80-11-1007, 80-11-1008, MCA

 

REASON:  These changes provide that in case of violations of reporting requirements, an increased civil fine option is created in lieu of the current criminal penalty.

 

4. The rules proposed to be adopted provide as follows:

 

NEW RULE I  PENALTY MATRIX  (1) Any person failing to produce past due reports will be subject to a fee based on the following matrix:

 

Amount withheld	No refunds affected	1-5 refunds affected	Greater than 5 refunds affected
Less than $1,000	$50	$500	$1,000
$1,000-$10,0000	$500	$1,000	$2,500
Greater than $10,000	$1,000	$2,500	$5,000

 

AUTH:   80-11-211, MCA

IMP:   80-11-211, MCA

 

REASON: This new rule outlines the parameters for the civil fine option created by the proposed amendment to ARM 4.9.402 in this notice.

 

NEW RULE II  PENALTY MATRIX  (1) Any person failing to produce past due reports will be subject to a fee based on the following matrix:

 

Amount withheld	No refunds affected	1-5 refunds affected	Greater than 5 refunds affected
Less than $1,000	$50	$500	$1,000
$1,000-$10,0000	$500	$1,000	$2,500
Greater than $10,000	$1,000	$2,500	$5,000

 

AUTH:  80-11-1008, MCA

IMP:  80-11-1008, MCA

 

REASON: This new rule outlines the parameters for the civil fine option created by the proposed amendment to ARM 4.21.402 in this notice.

 

            5.  Concerned persons may submit their data, views, or arguments either orally or in writing at the hearing. Written data, views, or arguments may also be submitted to: Cort Jensen, Department of Agriculture, 302 N. Roberts, Helena, Montana, 59601; telephone (406) 444-5402; fax (406) 444-5409; or e-mail agr@mt.gov, and must be received no later than 5:00 p.m., July 24, 2020.

 

6. Zach Coccoli, Department of Agriculture, has been designated to preside over and conduct this hearing.

 

7. The department maintains a list of interested persons who wish to receive notices of rulemaking actions proposed by this agency. Persons who wish to have their name added to the list shall make a written request that includes the name, e-mail, and mailing address of the person to receive notices and specifies for which program the person wishes to receive notices. Notices will be sent by e-mail unless a mailing preference is noted in the request. Such written request may be mailed or delivered to the contact person in paragraph 5 or may be made by completing a request form at any rules hearing held by the department.

 

8. The bill sponsor contact requirements of 2-4-302, MCA, apply and have been fulfilled. The primary bill sponsor was contacted by email on June 16, 2020.

 

9.  With regard to the requirements of 2-4-111, MCA, the department has determined that the amendment and adoption of the above-referenced rules will not significantly and directly impact small businesses.

 

 

/s/ Cort Jensen                                           /s/ Ben Thomas                              

Cort Jensen                                                  Ben Thomas

Rule Reviewer                                              Director

                                                                        Department of Agriculture

           

Certified to the Secretary of State June 16, 2020.