AN ACT to update the seed law and to increase fees for seed dealer licenses.

The General Assembly of North Carolina enacts:

SECTION 1.  G.S. 106‑277 reads as rewritten:
"§ 106‑277.  Purpose.
The purpose of this Article is to regulate the labeling, possessing for sale, sale and offering or exposing for sale or otherwise providing for planting purposes of agricultural seeds and vegetable  seeds; to prevent misrepresentation thereof; and for other purposes."
SECTION 2.  G.S. 106‑277.2 reads as rewritten:
"§ 106‑277.2.  Definitions.
As used in this Article, unless the context clearly requires otherwise:
…
(7a)	The term "conditioning" means cleaning, scarifying, or blending to obtain uniform quality and other operations that would change the purity or germination of the seed and therefore require retesting to determine the quality of the seed, but does not include operations such as packaging, labeling, blending together of uniform lots of the same kind, or kind and variety, without cleaning, or preparation of a mixture without cleaning, any of which would not require retesting to determine the quality of the seed.
…
(21)	The term "North Carolina seed analysis tag" means the tag designed and prescribed by the Commissioner as the official North Carolina seed analysis  tag.
…
	…
	.…"
SECTION 3.  G.S. 106‑277.5(2) reads as rewritten:
"(2)	Lot  identification."
SECTION 4.  G.S. 106‑277.6 reads as rewritten:
"§ 106‑277.6.  Labels for vegetable seeds in containers of one pound or less.
Labels for vegetable seeds in containers of one pound or less shall show the following information:
(1)	Name of kind and variety of seed.
	
(2a)	Lot identification.
	
(3a)	One of the following, as applicable:
a.	The statement "Packed for (year)" or "Sell by (year)."
b.	The statement "Sell by (month) (year)" where the month and year in which the germination test was complete is no more than 12 months from the date of the test, exclusive of the month and year of the test.
c.	The percentage germination and the calendar month and year that the test was completed to determine the percentage, provided that the germination test was completed within 12 months, exclusive of the month and year of the test.
.…"
SECTION 5.  G.S. 106‑277.7 reads as rewritten:
"§ 106‑277.7.  Labels for vegetable seeds in containers of more than one pound.
Vegetable seeds in containers of more than one pound shall be labeled to show the following information:
(1)	The name of each kind and variety present in excess of five percent (5%) and the percentage by weight of each in order of its predominance.
(2)	Lot  identification.
	.…"
SECTION 6.  G.S. 106‑277.9 reads as rewritten:
"§ 106‑277.9.  Prohibitions.
It shall be unlawful for any person:
(1)	To transport, to offer for transportation, to sell, distribute, offer for sale or expose for sale within this State agricultural or vegetable seeds for seeding purposes:
a.	Unless a seed license has been obtained in accordance with the provisions of this Article.
b.	Unless the test to determine the percentage of germination required by G.S. 106‑277.5 through 106‑277.7 shall have been completed (i) on agricultural seed within a nine‑month period, exclusive of the calendar month in which the test was completed, (ii) on cool season lawn seeds and mixtures of cool season lawn seeds, including, but not limited to, Kentucky bluegrass, red fescue, chewings fescue, hard fescue, tall fescue, perennial ryegrass, intermediate ryegrass, annual ryegrass, colonial bent grass, and creeping bent grass, within a 15‑month period, exclusive of the calendar month in which the test was completed, and (iii) on vegetable seed within a 12‑month period, exclusive of the calendar month in which the test was completed, immediately prior to sale, exposure for sale, or offering for sale or transportation; provided, the North Carolina Board of Agriculture may adopt  rules  to designate a longer period for any kind of agricultural or vegetable seed which is packaged in such container materials (hermetically sealed), and under such other conditions prescribed, that will, during such longer period, maintain the viability of said seed under ordinary conditions of handling.
…
	…
(2)	To transport, offer for transportation, sell, offer for  sale, or expose for sale seeds, whole grain  not for seeding purposes unless labeled "not for seeding purposes."
(3)	To detach, alter,  deface, or destroy any label provided for in this Article or the rules and regulations promulgated hereunder, or to alter or substitute seed in any manner that defeats the purposes of this Article.
(4)	To disseminate false or misleading advertisement in any manner concerning agricultural  seeds or vegetable  seeds.
.…"
SECTION 7.  G.S. 106‑277.10(c)(1) reads as rewritten:
"(c)	The label requirements for peanuts, cotton and tobacco seed may be limited to:
(1)	Lot  identification."
SECTION 8.  G.S. 106‑277.10(d) reads as rewritten:
"(d)	The provisions of G.S. 106‑277.3 through 106‑277.7 do not apply:
(1)	To seed or grain sold or represented to be sold for purposes other than for seeding provided that said seed is labeled "not for seeding purposes" and that the vendor shall make it unmistakably clear to the purchaser of such seed or grain that it is not for seeding purposes.
(2)	To seed for  conditioning when consigned to, being transported to or stored in an approved  conditioning establishment, provided that the invoice or labeling accompanying said seed bears the statement "seed for  conditioning" and provided further that other labeling or representation which may be made with respect to the unlearned or  unconditioned seed shall be subject to this Article.
(3)	To seed sold by a farmer grower to a seed dealer or conditioner, or to seed in storage in or consigned to a seed‑cleaning or  conditioning plant; provided that any labeling or other representation which may be made with respect to the unlearned or  unconditioned seed shall be subject to this Article.
(4)	To any carrier in respect to any seed or screenings transported or delivered for transportation in the ordinary course of its business as a carrier; provided that such carrier is not engaged in producing,  conditioning, or marketing agricultural or vegetable seeds  subject to provisions of this Article."
SECTION 9.  G.S. 106‑277.23 reads as rewritten:
"§ 106‑277.23.  Notice of violations; hearings, prosecutions or warnings.
It shall be the duty of the Commissioner to give notice of every violation of the provisions of this Article with respect to agricultural or vegetable seeds, or mixtures of such seeds,  to the person in whose hands such seeds  are found, and to send copies of such notice to the shipper of such seed and to the person whose "analysis tag or label" is attached to the container of such  seeds, in which notice the Commissioner may designate a time and place for a hearing. The person or persons involved shall have the right to introduce evidence either in person or by agent or attorney. If, after hearing, or without such hearing in the event the person fails or refuses to appeal, the Commissioner is of the opinion that the evidence warrants prosecution he may institute proceedings in a court of competent jurisdiction in the locality which the violation occurred or, if he believes the public interest will be adequately served thereby, he may direct to the alleged violator a suitable written notice or warning."
SECTION 10.  G.S. 106‑277.25 reads as rewritten:
"§ 106‑277.25.  Seizure and disposition of seeds violating Article.
Any lot of agricultural or vegetable seeds, mixtures of such seeds  being sold, exposed for sale, offered for sale or held with intent to sell in this State contrary to the provisions of this Article shall be subject to seizure on complaint of the Commissioner to the resident judge of the superior court in the county in which the seeds or mixtures of such seeds  are located. In the event the court finds the seeds  to be in violation of the provisions of this Article and orders the condemnation thereof, such seeds  shall be denatured, processed, destroyed, relabeled, or otherwise disposed of in compliance with the laws of this State; provided that in no instance shall such disposition be ordered by the court without first having given the claimant an opportunity to apply to the court for the release of the seeds,   with permission to process or relabel to bring them into compliance with the provisions of this Article."
SECTION 11.  G.S. 106‑277.28(2) reads as rewritten:
"(2)	Each seed dealer who offers for sale any agricultural, vegetable, or lawn or turf seeds for seeding purposes shall register with the Commissioner and shall obtain an annual license, for each location where activities are conducted, by January 1 of each year and shall pay the following license fee:
a.	Wholesale or combined wholesale and retail
	seed dealer	 $125.00
b.	Retail seed dealer 						 $30.00."
SECTION 12.  This act becomes effective October 1, 2009.
In the General Assembly read three times and ratified this the 30th day of July, 2009.

	_____________________________________
		 Walter H. Dalton
	 President of the Senate

	_____________________________________
		 Joe Hackney
	 Speaker of the House of Representatives

	_____________________________________
		 Beverly E. Perdue
	 Governor

Approved __________.m. this ______________ day of ___________________, 2009