BILL ANALYSIS


                                                     C.S.S.B. 750
                                                    By: Patterson
                                                Natural Resources
                                                         03-22-95
                                   Committee Report (Substituted)
BACKGROUND

The Parks and Wildlife Department has devised a licensing program
to oversee shrimp harvesting in Texas bays.  This plan is a limited
entry plan to manage shrimp licenses in Texas that attempts to
balance overfishing with the interests of the local fishing
economy.  Similar plans have already been implemented in other
coastal states.

PURPOSE

As proposed, C.S.S.B. 750 requires the Parks and Wildlife
Department to implement a shrimp license management program and a
shrimp license management review board to regulate the commercial
shrimping industry.

RULEMAKING AUTHORITY

It is the committee's opinion that rulemaking authority is granted
to the Parks and Wildlife Commission under SECTION 1 (Sections
77.119(b) and 77.121(b), Chapter 77F, Parks and Wildlife Code) of
this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 77, Parks and Wildlife Code, by adding
Subchapter F, as follows:

             SUBCHAPTER F.  SHRIMP LICENSE MANAGEMENT

     Sec.  77.111.  SHRIMP LICENSE MANAGEMENT PROGRAM.  Requires
     the Parks and Wildlife Department (department) to implement a
     shrimp license management program to promote economic
     stability in the shrimping industry and to conserve
     economically important resources.
     
     Sec.  77.112.  ISSUANCE AND RENEWAL OF COMMERCIAL BAY AND BAIT
     SHRIMP BOAT LICENSE.  (a) Prohibits the department from
     issuing a new commercial bay or bait shrimp boat license
     (license) after August 31, 1995, unless the person seeking to
     obtain the license documents certain information about the
     vessel to the satisfaction of the department.
     
     (b) Authorizes the department to renew a license for the
       license year ending August 31, 1996, only if the person
       seeking license renewal owns the vessel and held the license
       to be renewed on April 1, 1995, or attained the license
       through a transfer.
       
       (c) Authorizes the Parks and Wildlife Commission
       (commission) to renew a license after August 31, 1996, only
       if the person owns the vessel and held the license to be
       renewed during the preceding license year.
       
       (d) Requires an applicant for a new or renewed license for
       a vessel required by U.S. Coast Guard rules to be documented
       by the U.S. Coast Guard to submit to the department a U.S.
       Coast Guard certificate of documentation for the vessel with
       the license application.
       
       Sec.  77.113.  LICENSE TRANSFER.  (a) Prohibits a license from
     being transferred before September 1, 1999, except as provided
     by this section.
     
     (b) Authorizes a license to be transferred at any time, by
       sale or otherwise between certain parties.
       
       Sec.  77.114.  LIMIT ON NUMBER OF LICENSES HELD; DESIGNATED
     LICENSE HOLDER.  (a) Prohibits a person from holding or
     directly or indirectly controlling more than four commercial
     bay and commercial boat licenses.
     
     (b) Authorizes a person who qualifies to renew a license to
       hold each renewed license and after that date is authorized
       to retain and renew the licenses until the licenses are
       transferred, not renewed or revoked.  Prohibits a person
       from holding or renewing more than four commercial bay and
       four commercial boat licenses after August 31, 2002.
       
       (c) Requires a license to be issued to an individual. 
       Requires a person other than the individual who wishes to
       retain or seek a new license of either type to designate an
       individual to whom the license will be issued.
       
       Sec.  77.115.  TRANSFER FEE.  Authorizes the commission to set
     a fee for the transfer of a license.  Prohibits the transfer
     fee from exceeding the amount of the license fee.
     
     Sec.  77.116.  LENGTH AND ENGINE LIMITS; VESSEL UPGRADE.  (a)
     Sets forth engine horsepower and length limits of a licensed
     vessel.
     
     (b) Prohibits a licensed vessel from being lengthened or
       having the horsepower increased more than once by September
       1, 1995.
       
       (c) Prohibits a vessel from being lengthened more than 15
       percent of its length.
       
       (d) Authorizes a license to be renewed for a vessel that on
       September 1, 1995, is licensed as a commercial bay or bait
       shrimp boat and exceeds the length or horsepower limit of
       Subsection (a).  Prohibits that vessel from being lengthened
       or having the horsepower increased.  Requires the
       replacement vessel, if the original vessel is replaced, to
       meet the engine and length requirements under Subsection
       (a).
       
       (e) Requires the vessel length to be determined by U.S.
       Coast Guard specifications in effect on September 1, 1995.
       
       Sec.  77.117.  LICENSE SUSPENSION AND REVOCATION.  (a)
     Authorizes the executive director of the Parks and Wildlife
     Department (executive director), after notice and a hearing,
     to suspend a license if the license holder or any other
     operator of the licensed vessel is convicted of one or more
     flagrant offenses totalling three flagrant offenses for the
     licensed vessel.  Sets forth the circumstances that may result
     in a suspension and the time period of each suspension.
     
     (b) Provides that a license suspension does not affect the
       license holder's eligibility for license renewal, except as
       provided in Subsection (c).
       
       (c) Authorizes the executive director to permanently revoke
       a license, after notice and a hearing if the license
       holder's license has been previously suspended twice under
       this section; the license holder or any other operator of
       the licensed vessel is convicted of one or more flagrant
       offenses totalling three flagrant offenses for the licensed
       vessel; and the date of each offense is in a 24-consecutive-month period beginning after the date of the most previous
       suspension under this section.
       
       (d) Sets forth violations that are considered flagrant
       offenses.
       
       Sec.  77.118.  SHRIMP LICENSE MANAGEMENT REVIEW BOARD.  (a)
     Requires license holders to elect a nine-member shrimp license
     management review board (board).
     
     (b) Requires a member of the board to be a license holder.
       
       (c) Requires the nine members to be selected to reflect a
       certain geographical distribution according to the county of
       residence specified on the license of each member.
       
       (d) Requires the board to advise the commission and the
       department and make recommendations concerning the
       administrative aspects of the program, including hardship
       and appeal cases concerning eligibility; license transfer,
       renewal, suspension, and revocation; and the vessels.
       
       (e) Requires the executive director to adopt procedures for
       the election and operation of the board.  Requires the
       executive director to consider recommendations from license
       holders regarding procedures.
       
       (f) Provides that the board is not subject to Article 6252-33, V.T.C.S.
       
       Sec.  77.119.  LICENSE BUY-BACK PROGRAM.  (a) Authorizes the
     department to implement a license buy-back program as part of
     the program.
     
     (b) Authorizes the commission, by rule, to establish
       criteria by which the department selects licenses to be
       purchased.  Authorizes the commission to delegate to the
       executive director the authority to develop the criteria
       through rulemaking procedures.  Requires the commission, by
       order, to adopt the rules establishing the criteria. 
       Requires the commission or executive director to consult
       with the board concerning establishment of the criteria.
       
       (c) Requires the commission to retire each licensed
       purchased under the program until it finds that management
       of the shrimp fishery allows reissue of the old licenses
       through auction or lottery.
       
       Sec.  77.120.  SHRIMP LICENSE BUY-BACK ACCOUNT; FEE INCREASE. 
     Provides that the shrimp license buy-back account (account) is
     a separate account in the general revenue fund which consists
     of money deposited under this section.  Provides that Sections
     403.094 and 403.095, Government Code, do not apply to this
     section.
     
     (b) Authorizes the department to accept grants and money or
       material donations from private or public sources to be
       applied to the account.
       
       (c) Requires the department, in addition to fee increases
       the department is authorized to make under this code, to
       increase the fees for certain licenses by 15 percent, but
       not by more than $25.  Requires the department to deposit
       the amount of the increase to the credit of the account.
       
       (d) Requires the department to deposit transfer fees from
       Section 77.115 to the credit of the account.
       
       (e) Authorizes money in the account to be used only to
       purchase a license from a willing license holder.
       
       Sec.  77.121.  PROGRAM ADMINISTRATION; RULES.  (a) Requires
     the executive director to establish administrative procedures
     to complete the requirements of this chapter.
     
     (b) Requires the commission to adopt rules necessary for the
       administration of the program.
       
       Sec.  77.122.  REPORT TO LEGISLATURE.  Requires the department
     to report to the governor and each legislative member an
     overview of the status of the program, including the
     biological, sociological, and economic effects of the program.
     
     Sec.  77.123.  PREVAILING AUTHORITY.  Provides that a
     proclamation of the commission prevails over any conflict of
     this chapter to the extent of the conflict.
     
     SECTION 2.     Amends Section 11.032(b), Parks and Wildlife Code, to
make conforming changes.

SECTION 3. Amends Section 77.0361(c), Parks and Wildlife Code, to
make a conforming change.

SECTION 4. (a) Requires the commission to adopt any rules necessary
for the administration of the program, as soon as practicable after
the effective date of the Act.

     (b) Requires the executive director to adopt procedures for
     the election of the board, as soon as practicable after the
     effective date of this Act.  Requires the election of the
     board to be held by November 1, 1995.
     
     SECTION 5.     Emergency clause.
           Effective date: upon passage.