88R3620 SRA-D
 
  By: Ordaz H.B. No. 2194
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the labeling, advertising, and sale of products as
  "Made in Texas"; authorizing a civil penalty.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 17, Business & Commerce Code, is amended
  by adding Subchapter E-1 to read as follows:
  SUBCHAPTER E-1. LABELING, ADVERTISING, AND SALE OF "MADE IN TEXAS"
  PRODUCTS
         Sec. 17.71.  "MADE IN TEXAS" LABELING STANDARD. (a) The
  comptroller by rule shall establish criteria for determining
  whether a product may use "Made in Texas" or equivalent phrasing to
  represent that the product was made in whole or in substantial part
  in Texas.
         (b)  The criteria established under this section must
  include a requirement that all or virtually all significant parts
  and processing of a product originated in this state.
         Sec. 17.72.  COMPLIANCE WITH STANDARD REQUIRED. To the
  extent a person sells, advertises, or offers for sale in this state
  a product with "Made in Texas" or equivalent phrasing to represent
  that the product was made in whole or in substantial part in Texas,
  the label must be consistent with rules adopted by the comptroller
  under Section 17.71.
         Sec. 17.73.  CIVIL PENALTY; INJUNCTIVE RELIEF. (a) A person
  who violates Section 17.72 is liable to this state for a civil
  penalty not to exceed $500 for each violation.
         (b)  The attorney general may bring an action in the name of
  the state to:
               (1)  recover a civil penalty under this section; or
               (2)  restrain or enjoin the person from violating
  Section 17.72.
         (c)  The action may be brought in a district court in:
               (1)  Travis County; or
               (2)  a county in which any part of the violation or
  threatened violation occurs.
         (d)  A civil penalty collected under this section shall be
  deposited in the state treasury to the credit of the general revenue
  fund.
         Sec. 17.74.  AMOUNT OF CIVIL PENALTY. (a) Each day that a
  violation continues may be considered a separate violation for
  purposes of a civil penalty under this subchapter.
         (b)  The amount of a civil penalty must be based on:
               (1)  the seriousness of the violation, including the
  nature, circumstances, extent, and gravity of the violation;
               (2)  the history of previous violations;
               (3)  the amount necessary to deter a future violation;
               (4)  efforts by the person to correct the violation;
  and
               (5)  any other matter that justice may require.
         SECTION 2.  This Act takes effect September 1, 2023.