BILL ANALYSIS


                                                        H.B. 2245
                                                 By: Black (Sims)
                                                Natural Resources
                                                         05-10-95
                              Senate Committee Report (Unamended)
BACKGROUND

The Texas Animal Health Commission (TAHC) and its 12-member
commission were created in 1893 by the 23rd Legislature. TAHC is
responsible for enforcing animal health rules and regulations and
oversees the control and eradication of disease in traditional
livestock, exotic livestock and fowl, and poultry. The Texas Animal
Health Commission is subject to the Sunset Act and will be
abolished September 1, 1995 unless continued by the legislature.

PURPOSE

As proposed, H.B. 2245 provides for the continuation and functions
of the Texas Animal Health Commission; provides administrative and
criminal penalties.

RULEMAKING AUTHORITY

It is the committee's opinion that rulemaking authority is granted
to the Texas Animal Health Commission under SECTION 17 (Sec.
161.049(e), Agriculture Code), SECTION 18 (Section 161.054,
Agriculture Code), and SECTION 23 (Sec. 161.112(b), Agriculture
Code) of this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 146.022, Agriculture Code, to require the
Texas Department of Agriculture (department) to enter into any
cooperative agreement initiated by the Texas Animal Health
Commission (commission) under Section 161.053.

SECTION 2. Amends Section 161.001(a), Agriculture Code, to define
"animal." Makes nonsubstantive changes.

SECTION 3. Amends Section 161.005(b), Agriculture Code, to provide
that any written instrument issued by the commission is admissible
as evidence in court if certified by the presiding officer, rather
than the chairman, or the executive director.

SECTION 4. Amends Chapter 161A, Agriculture Code, by adding Section
161.008, as follows:

     Sec. 161.008. STATE FUNDS REFORM ACT APPLICABLE. Subjects all
     money paid to the commission under this chapter to Chapter
     404F, Government Code.
     
SECTION 5. Amends Section 161.021, Agriculture Code, by amending
Subsection (c) and adding Subsection (d) to set forth provisions
under which a person is not eligible for appointment as a public
member of the commission. Makes a nonsubstantive change.

SECTION 6. Amends Chapter 161B, Agriculture Code, by adding Section
161.023, as follows:

     Sec. 161.023. MANDATORY TRAINING PROGRAM FOR COMMISSIONERS.
     (a) Requires a member, before a member of the commission may
     assume the member's duties and before the member may be
     confirmed by the senate, to complete at least one course of
     the training program established under this section.
     
     (b) Sets forth information a training program established
       under this section shall provide.
       
       SECTION 7.   Amends Section 161.024, Agriculture Code, as follows:

     Sec. 161.024. New heading: PRESIDING OFFICER. Requires the
     governor to designate a member of the commission as the
     presiding officer, rather than one commissioner as chairman,
     of the commission to serve in that capacity at the pleasure of
     the governor.
     
     SECTION 8.     Amends Section 161.027, Agriculture Code, to provide
that the commission, unless continued in existence as provided by
Chapter 325, Government Code, is abolished September 1, 2007,
rather than 1995.

SECTION 9. Amends Section 161.029(c), Agriculture Code, to require
the presiding officer to notify the governor and the attorney
general that a potential ground for removal exists. Requires the
executive director, if the potential ground for removal involves
the presiding officer, to notify the next highest officer of the
commission, who shall notify the governor and the attorney general
that a potential ground for removal exists. Makes conforming
changes.

SECTION 10.    Amends Section 161.030, Agriculture Code, as
follows:

     Sec. 161.030. SEPARATION OF AUTHORITY. Requires the commission
     to develop and implement policies that clearly separate,
     rather than define, the policy-making responsibilities of the
     commission and the management responsibilities of the
     executive director.
     
     SECTION 11.    Amends Section 161.031, Agriculture Code, as
follows:

     Sec. 161.031. PERSONNEL. (a) Requires the executive director
     or the executive director's designee (executive director) to
     develop an intraagency career ladder program that addresses
     opportunities for mobility and advancement for employees
     within the commission. Requires the program to require
     intraagency posting of all, rather than nonentry level,
     positions concurrently with any public posting.
     
     (b) Requires the executive director to develop a system of
       annual performance evaluations that are based on documented
       employee performance.
       
       (c) Makes no change.
       
       (d) Requires the policy statement to include policies that
       are in compliance with the requirements of Chapter 21, Labor
       Code. Makes conforming and nonsubstantive changes.
       
       (e) Requires a policy statement prepared under Subsection
       (d) of this section to be reviewed by the Texas Commission
       on Human Rights for compliance with Subsection (d)(1) of
       this section.
       
       SECTION 12.  Amends Section 161.032, Agriculture Code, to require
the commission to prepare, rather than file with the governor and
the presiding officer of each house of the legislature, an annual
complete and detailed written report accounting for all funds
received and disbursed by the commission during the preceding
fiscal year. Requires the annual report to meet the reporting
requirements applicable to financial reporting provided in the
General Appropriations Act.

SECTION 13.    Amends Sections 161.033(c) and (d), Agriculture
Code, as follows:

     (c) Requires the commission to keep a file about each written
     complaint filed with the commission that the commission has
     authority to resolve. Requires the commission to provide to
     the person filing the complaint and the persons or entities
     complained about the commission's policies and procedures
     pertaining to complaint investigation and resolution. Requires
     the commission to notify the person filing the complaint and
     the persons or entities complained about of the status of the
     complaint unless the notice would jeopardize an undercover
     investigation.
     
     (d) Sets forth provisions the information kept about each
     complaint shall include.
     
     SECTION 14.    Amends Section 161.034, Agriculture Code, to subject
the commission to the open meetings law, Chapter 551, Government
Code.

SECTION 15.    Amends Chapter 161B, Agriculture Code, by adding
Sections 161.035, 161.036, 161.037, and 161.038, as follows:

     Sec. 161.035. ADVISORY COMMITTEES. (a) Authorizes the
     commission to establish advisory committees as it considers
     necessary to assist it in developing proposed rules for the
     regulation of exotic livestock and exotic fowl.
     
     (b) Provides that a member of an advisory committee
       established under this section serves at the pleasure of the
       commission.
       
       (c) Provides that a member of an advisory committee
       established under this section is not entitled to
       compensation.
       
       Sec. 161.036. PROGRAM AND FACILITY ACCESSIBILITY. Requires the
     commission to comply with federal and state laws related to
     program and facility accessibility. Requires the executive
     director to prepare and maintain a written plan that describes
     how a person who does not speak English can be provided access
     to the commission's programs and services.
     
     Sec. 161.037. PERIODIC REVIEW OF AGENCY FUNCTIONS. (a)
     Requires the commission to periodically review services
     provided by the commission that are provided in the private
     sector in order to determine the most cost-effective method
     for delivering the services.
     
     (b) Requires the commission to consult the Council on
       Competitive Government for assistance during each review
       performed under this section.
       
       Sec. 161.038. ADMINISTRATIVE PROCEDURE ACT APPLICABLE.
     Subjects the commission to the administrative procedure law,
     Chapter 2001, Government Code.
     
     SECTION 16.    Amends Section 161.048, Agriculture Code, as
follows:

     Sec. 161.048. New heading: INSPECTION OF SHIPMENT OF ANIMALS
     OR ANIMAL PRODUCTS. (a) Entitles an agent of the commission to
     stop and inspect a shipment of animals, rather than livestock.
     Makes conforming changes.
     
     SECTION 17.    Amends Sections 161.049(c), (d), and (e),
Agriculture Code, as follows:

     (c) Authorizes the commission to require a livestock, exotic
     livestock, domestic fowl, or exotic fowl (livestock) dealer to
     maintain records of all livestock bought and sold by the
     dealer. Makes nonsubstantive and conforming changes.
     
     (d) Authorizes the commission to inspect and copy, rather than
     conduct periodic inspections of, the records of a livestock
     dealer that relate to the buying and selling of those animals.
     
     (e) Requires, rather than authorizes, the commission to adopt
     the form and content of the records maintained by a dealer
     under Subsection (c) of this section.
     
     SECTION 18.    Amends Chapter 161C, Agriculture Code, by adding
Sections 161.053 and 161.054, as follows:

     Sec. 161.053. COOPERATIVE AGREEMENTS. Authorizes the
     commission to enter into a cooperative agreement with the
     department to use for animal health purposes livestock export
     pens controlled by the department.
     
     Sec. 161.054. IDENTIFICATION OF EXOTIC ANIMALS. Authorizes the
     commission to adopt rules to establish a standard method for
     identifying and tracking exotic livestock and exotic fowl.
     
     SECTION 19.    Amends Section 161.061(b), Agriculture Code, to make
nonsubstantive and conforming changes.

SECTION 20.    Amends Section 161.081(a), Agriculture Code, to make
conforming changes.

SECTION 21.    Amends Section 161.101, Agriculture Code, by
amending Subsection (a) and adding Subsection (c), to require the
veterinarian, if the animals subject to reporting requirements
under this section are exotic livestock or exotic fowl, in addition
to reporting information required by Subsections (a) and (b), to
report to the commission information relating to the name and
address or the owner of the animal involved; and the location of
the animal involved. Makes conforming changes.

SECTION 22.    Amends Section 161.111, Agriculture Code, to make
conforming changes.

SECTION 23.    Amends Section 161.112, Agriculture Code, to
authorize the commission, following notice and public hearing, to
adopt rules requiring permits for moving exotic livestock and
exotic fowl from livestock markets as necessary to protect against
the spread of communicable diseases.

SECTION 24.    Amends Section 161.136(a), Agriculture Code, to make
conforming changes.

SECTION 25.    Amends Section 161.139(a), Agriculture Code, to make
nonsubstantive changes.

SECTION 26.    Amends Section 161.140, Agriculture Code, as
follows:

     Sec. 161.140. New heading: REFUSAL TO PERMIT EXAMINATION OF
     ANIMAL OR CARCASS. Makes nonsubstantive changes.
     
     SECTION 27.    Amends Sections 161.141(a) and (b), Agriculture
Code, to provide that an offense under this subsection is a Class
C misdemeanor for each animal or shipment of commodities moved in
violation of the quarantine unless it is shown on the trial of the
offense that the defendant has been previously convicted under this
section, in which event the offense is a Class B misdemeanor. Makes
conforming changes.

SECTION 28.    Amends Chapter 161H, Agriculture Code, by adding
Section 161.148, as follows:

     Sec. 161.148. ADMINISTRATIVE PENALTY. (a) Authorizes the
     commission to impose an administrative penalty against a
     person who violates a rule or order adopted under this
     subtitle.
     
     (b) Authorizes the penalty for a violation to be in an
       amount not to exceed $1,000. Provides that each day a
       violation continues or occurs is a separate violation for
       purposes of imposing a penalty.
       
       (c) Sets forth provisions on which the amount of the penalty
       shall be based.
       
       (d) Authorizes an executive director who determines that a
       violation has occurred to issue to the commission a report
       that states the facts on which the determination is based
       and the director's recommendation on the imposition of a
       penalty, including a recommendation on the amount of the
       penalty.
       
       (e) Requires the executive director, within 14 days after
       the date the report is issued, to give written notice of the
       report to the person. Authorizes the notice to be given by
       certified mail. Requires the notice to include a brief
       summary of the alleged violation and a statement of the
       amount of the recommended penalty and to inform the person
       that the person has a right to a hearing on the occurrence
       of the violation, the amount of the penalty, or both the
       occurrence of the violation and the amount of the penalty.
       
       (f) Authorizes a person, within 20 days after the person
       receives the notice, in writing to accept the determination
       and recommended penalty of the executive director or to make
       a written request for a hearing on the occurrence of the
       violation, the amount of the penalty or both the occurrence
       of the violation and the amount of the penalty.
       
       (g) Requires the commissioner, by order, if the person
       accepts the determination and recommended penalty of the
       executive director, to approve the determination and impose
       the recommended penalty.
       
       (h) Requires the executive director, if the person requests
       a hearing or fails to respond timely to the notice, to set
       a hearing and give notice of the hearing to the person.
       Requires the hearing to be held by an administrative law
       judge of the State Office of Administrative Hearings.
       Requires the administrative law judge to make findings of
       fact and conclusions of law and promptly issue to the
       commission a proposal for a decision  about the occurrence
       of the violation and the amount of a proposed penalty.
       Authorizes the commission, based on the findings of fact,
       conclusions of law, and proposal for a decision, to find
       that a violation has occurred and impose a penalty or to
       find that no violation occurred.
       
       (i) Requires the notice of the commissioner's order given to
       the person under Chapter 2001, Government Code, to include
       a statement of the right of the person to judicial review of
       the order.
       
       (j) Sets forth provisions required of a person within 30
       days after the date the commission's order becomes final as
       provided by Section 2001.144, Government Code.
       
       (k) Sets forth provisions under which a person who acts
       under Subsection (j)(3) of this section, within the 30-day
       period, may stay enforcement of the penalty or request the
       court to stay enforcement of the penalty.
       
       (l) Authorizes an executive director who receives a copy of
       an affidavit under Subsection (k)(2) of this section to file
       with the court, within five days after the date the copy is
       received, a contest to the affidavit. Requires the court to
       hold a hearing on the facts alleged in the affidavit as soon
       as practicable and to stay the enforcement of the penalty on
       finding that the alleged facts are true. Provides that the
       person who files an affidavit has the burden of proving that
       the person is financially unable to pay the amount of the
       penalty and to give a supersedeas bond.
       
       (m) Authorizes the executive director, if the person does
       not pay the amount of the penalty and the enforcement of the
       penalty is not stayed, to refer the matter to the attorney
       general for collection of the amount of the penalty.
       
       (n) Provides that judicial review of the order of the
       commissioner is instituted by filing a petition as provided
       by Chapter 2001G, Government Code; and is under the
       substantial evidence rule.
       
       (o) Authorizes the court, if the court sustains the
       occurrence of the violation, to uphold or reduce the amount
       of the penalty and order the person to pay the full or
       reduced amount of the penalty. Requires the court, if the
       court does not sustain the occurrence of the violation, to
       order that no penalty is owed.
       
       (p) Requires the court to proceed under this subsection when
       the judgment of the court becomes final. Requires the court,
       if the person paid the amount of the penalty and if that
       amount is reduced or is not upheld by the court, to order
       that the appropriate amount plus accrued interest be
       remitted to the person. Provides that the rate of the
       interest is the rate charged on loans to depository
       institutions by the New York Federal Reserve Bank, and the
       interest shall be paid for the period beginning on the date
       the penalty was paid and ending on the date the penalty is
       remitted. Requires the court to order the release of the
       bond if the person gave a supersedeas bond and if the amount
       of the penalty is not upheld by the court. Requires the
       court, if the person gave a supersedeas bond and if the
       amount of the penalty is reduced, to order the release of
       the bond after the person pays the amount.
       
       (q) Requires a penalty collected under this section to be
       remitted to the comptroller for deposit in the general
       revenue fund.
       
       (r) Subjects all proceedings under this section to Chapter
       2001, Government Code.
       
       SECTION 29.  Amends Section 164.006, Agriculture Code, as
follows:

     Sec. 164.006. New heading: ACTIONS OF COMMISSION. Makes
     conforming changes.
     
     SECTION 30.    Amends Section 164.021(b), Agriculture Code, to make
a conforming change.

SECTION 31.    Amends Sections 164.022(a) and (b), Agriculture
Code, to make conforming changes.

SECTION 32.    Amends Section 167.052(a), Agriculture Code, to make
a conforming change.

SECTION 33.    Amends Section 167.059(c), Agriculture Code, to make
a conforming change.

SECTION 34.    Amends Section 167.109(a), Agriculture Code, to make
a conforming change.

SECTION 35.    (a) Makes application of Section 161.021(d),
Agriculture Code, as added by this Act, prospective beginning
September 1, 1995.

     (b) Makes application of Section 161.023, Agriculture Code, as
     added by this Act, prospective beginning September 1, 1995.
     
     (c) Makes application of Sections 24, 25, 26, and 27 of this
     Act prospective.
     
     SECTION 36.    Effective date: September 1, 1995.

SECTION 37.    Emergency clause.