[Code of Federal Regulations]
[Title 7, Volume 3]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR205.505]

[Page 410-411]
 
                          TITLE 7--AGRICULTURE
 
 CHAPTER I--AGRICULTURAL MARKETING SERVICE \1\ (STANDARDS, INSPECTIONS, 
       MARKETING PRACTICES), DEPARTMENT OF AGRICULTURE (CONTINUED)
 
PART 205--NATIONAL ORGANIC PROGRAM--Table of Contents
 
              Subpart F--Accreditation of Certifying Agents
 
Sec. 205.505  Statement of agreement.

    (a) A private or governmental entity seeking accreditation under 
this subpart must sign and return a statement of agreement prepared by 
the Administrator which affirms that, if granted

[[Page 411]]

accreditation as a certifying agent under this subpart, the applicant 
will carry out the provisions of the Act and the regulations in this 
part, including:
    (1) Accept the certification decisions made by another certifying 
agent accredited or accepted by USDA pursuant to Sec. 205.500;
    (2) Refrain from making false or misleading claims about its 
accreditation status, the USDA accreditation program for certifying 
agents, or the nature or qualities of products labeled as organically 
produced;
    (3) Conduct an annual performance evaluation of all persons who 
review applications for certification, perform on-site inspections, 
review certification documents, evaluate qualifications for 
certification, make recommendations concerning certification, or make 
certification decisions and implement measures to correct any 
deficiencies in certification services;
    (4) Have an annual internal program review conducted of its 
certification activities by certifying agent staff, an outside auditor, 
or a consultant who has the expertise to conduct such reviews and 
implement measures to correct any noncompliances with the Act and the 
regulations in this part;
    (5) Pay and submit fees to AMS in accordance with Sec. 205.640; and
    (6) Comply with, implement, and carry out any other terms and 
conditions determined by the Administrator to be necessary.
    (b) A private entity seeking accreditation as a certifying agent 
under this subpart must additionally agree to:
    (1) Hold the Secretary harmless for any failure on the part of the 
certifying agent to carry out the provisions of the Act and the 
regulations in this part;
    (2) Furnish reasonable security, in an amount and according to such 
terms as the Administrator may by regulation prescribe, for the purpose 
of protecting the rights of production and handling operations certified 
by such certifying agent under the Act and the regulations in this part; 
and
    (3) Transfer to the Administrator and make available to the 
applicable State organic program's governing State official all records 
or copies of records concerning the certifying agent's certification 
activities in the event that the certifying agent dissolves or loses its 
accreditation; Provided, That such transfer shall not apply to a merger, 
sale, or other transfer of ownership of a certifying agent.