On September 4, 2026, the U.S. Department of Agriculture's (USDA) Agricultural Marketing Service (AMS) announced a crucial review of the 1990 amendments to the Cotton Research and Promotion Act. This official notice (FR Doc No: 2026-18128), published in the Federal Register, initiates a public comment period, closing November 3, 2026, to ascertain whether a new referendum is required for cotton producers and importers to vote on the continuation of five specific provisions that have shaped the industry's promotional and research funding for decades. This quinquennial review is a significant development for the U.S. cotton sector, impacting its governance, funding, and the rights of its stakeholders.
Understanding the Cotton Research and Promotion Program
The national Cotton Research and Promotion Program, established by the Cotton Research and Promotion Act of 1966, serves to strengthen cotton's competitive standing and expand its market uses through coordinated research and promotion. Administered by the 37-member Cotton Board, which includes producers and importers, the program is financed through assessments levied on domestic and imported cotton and cotton products. These funds support advertising, sales promotion, and research. The Cotton Board's responsibilities include collecting funds, contracting for program development, and making recommendations to the Secretary of Agriculture.
The Five Amendments Under Review
The focus of the current AMS review are five specific amendments introduced by the Food, Agriculture, Conservation, and Trade Act of 1990. These provisions fundamentally altered the program's structure and operations:
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Importer Representation: Mandated the inclusion of importers on the Cotton Board.
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Assessment of Imported Cotton: Established the assessment of imported cotton and cotton products for program funding.
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Referendum Reimbursement Increase: Raised the maximum amount the Secretary of Agriculture could be reimbursed for conducting a referendum from $200,000 to $300,000.
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Agency Reimbursement for Import Assessments: Provided for the reimbursement of government agencies assisting in collecting assessments on imported cotton and cotton products.
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Termination of Producer Refund Rights: Ended the right of domestic producers to demand a refund of their assessments.
These amendments were initially approved by a majority of producers and importers in a 1991 referendum, with their promulgation in the Federal Register later that year.
Mandated Review Process and Historical Context
The 1990 amendments themselves included a provision requiring the Secretary of Agriculture to conduct a review every five years after the 1991 referendum. The purpose of this review is to determine if a referendum is needed to reassess industry support for the continuation of these specific amendments.
The most recent review occurred in 2020. At that time, the Department found no compelling reason to conduct a referendum (85 FR 82426). Subsequently, in 2021, the Department offered a sign-up period for eligible persons to request a continuance referendum (86 FR 72203). However, the requests did not meet the statutory criteria to trigger a referendum, which requires 10 percent or more of those who voted in the most recent referendum, with no more than 20 percent from any one state or importer group. Consequently, no referendum was held at that time. The current notice signals the commencement of the next quinquennial review cycle.
Implications for Cotton Producers and Importers
The five amendments have significant implications for all stakeholders in the cotton industry. The inclusion of importer representation on the Cotton Board, coupled with the assessment of imported cotton, fundamentally broadened the program's funding base and decision-making body. This shifted it from a purely domestic producer-funded initiative to one with broader industry participation. The termination of producer refund rights, in particular, represented a substantial change, ensuring a more stable and predictable funding stream for the program but removing a direct avenue for producers to opt out. The financial reimbursement provisions facilitate the administrative mechanisms necessary for the program's operation, especially concerning international trade. The potential for a referendum could reignite debates over these foundational aspects of the program, particularly concerning equitable funding and representation.
Public Input: A Critical Juncture
The current request for comments provides a crucial opportunity for all interested parties, including cotton producers, importers, and related industry stakeholders, to provide their perspectives directly to the USDA. The Department will consider these comments in its determination of whether a referendum is warranted. Should the Secretary determine a referendum is necessary, it will be conducted within 12 months of that public announcement. If a referendum is not deemed warranted by the Secretary, another sign-up period will be made available for producers and importers to potentially force one, adhering to the 10 percent threshold requirement. This public comment period is a vital step in ensuring the program remains responsive to the industry it serves.
