Page:United States Statutes at Large Volume 114 Part 2.djvu/900

 114 STAT. 1549A-86 PUBLIC LAW 106-387 —APPENDIX (1) PROMOTION, CONSUMER INFORMATION, INDUSTRY INFORMATION AND RELATED RESEARCH PLANS AND PROJECTS.— (A) IN GENERAL.— To ensure the efficient use of funds, the order shall provide that the Board, with the approval of the Secretary, shall enter into a contract or an agreement with an avocado organization established by State statute in a State with the majority of Hass avocado production in the United States, for the implementation of a plan or project for promotion, industry information, consumer information, or related research with respect to Hass avocados, and for the pa5anent of the cost of the contract or agreement with funds received by the Board under the order. (B) REQUIREMENTS.— The order shall provide that any contract or agreement entered into under this paragraph shall provide that— (i) the contracting or agreeing party shall develop and submit to the Board a plan or project, together with a budget that includes the estimated costs to be incurred for the plan or project; (ii) the plan or project shall become effective on the approval of the Secretary; and (iii) the contracting party or agreeing party shall— (I) keep accurate records of all transactions of the party; (II) account for funds received and expended; (III) make periodic reports to the Board of activities conducted; and (IV) make such other reports as the Board or the Secretary shall require. (2) OTHER CONTRACTS AND AGREEMENTS.— The order shall provide that the Board, with the approval of the Secretary, may enter into a contract or agreement for administrative services. Any contract or agreement entered into under this paragraph shall include provisions comparable to the provisions described in paragraph (1)(B). (f) BOOKS AND RECORDS OF BOARD.— (1) IN GENERAL.—The order shall require the Board to— (A) maintain such books and records (which shall be available to the Secretary for inspection and audit) as the Secretary may require; (B) prepare and submit to the Secretary, from time to time, such reports as the Secretary may require; and (C) account for the receipt and disbursement of all the funds entrusted to the Board, including all assessment funds disbursed by the Board to a State organization of avocado producers established pursuant to State law. (2) AUDITS. —The Board shall cause the books and records of the Board to be audited by an independent auditor at the end of each fiscal year. A report of each audit shall be submitted to the Secretary. (g) CONTROL OF ADMINISTRATIVE COSTS. — (1) SYSTEM OF COST CONTROLS. — The order shall provide that the Board shall, as soon as practicable after the order becomes effective and after consultation with the Secretary and other appropriate persons, implement a system of cost controls based on normally accepted business practices that—

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