(1) Except as provided in this section for initial appointments after redistricting or boundary modification, the term of office of each producer member of the commission shall be three years. Commission members shall continue to serve their terms until new appointments are made.

(2) Any vacancies that occur on the commission shall be filled by appointment by the director from a list containing the names of a candidate or candidates forwarded to the director by the commission. The director has the discretion to appoint or reject the candidate or candidates and, if the candidate or candidates are rejected, request additional candidates. The appointee shall hold office for the remainder of the term for which he or she is appointed to fill, so that commission memberships shall be on a uniform staggered basis.

(3) The term of office of each dealer shall be three years or until such time as a successor is duly appointed. Any vacancy for a dealer shall be forthwith filled by the director. The director, in making any dealer appointments, may consider lists of nominees supplied by dealers or producers also acting as dealers.