BILL ANALYSIS S.B. 810 By: Lucio (Gutierrez) April 14, 1995 Committee Report (Amended) BACKGROUND As the state's agriculture economy diversifies, so does the need to address the various problems and opportunities Texas producers may encounter. Under current law, the Texas Department of Agriculture (TDA) must ask the legislature for specific authority to develop and implement certification programs for agricultural products and production processes. This process can take two or more years. The need for a certification program has arisen in the citrus and grape industries. The Florida citrus industry has suffered from the spread of the disease Tristeza through budwood that is grafted onto rootstock. A process has been developed where Tristeza resistant budwood can be produced. Growers could be assured of disease free budwood if a certified product was available. The California grape industry has suffered from a similar problem with the disease Phylloxera. PURPOSE This bill allows the Texas Department of Agriculture to establish and enforce certification programs for agricultural products and agricultural production processes. RULEMAKING AUTHORITY Additional rulemaking authority is expressly delegated to the Texas Department of Agriculture in SECTION 1 [Sections 18.052 and 18.072, Agriculture Code]. SECTION BY SECTION ANALYSIS SECTION 1. Chapter 18, Agriculture Code is amended to read as follows: CHAPTER 18. CERTIFICATION AND AGRICULTURAL PRODUCT STANDARDS SUBCHAPTER A. ORGANIC STANDARDS AND CERTIFICATION Sec. 18.001 - 18.010. Changes the word "chapter" wherever mentioned to "subchapter" to reflect the addition of subchapters to Chapter 18, Agriculture Code. SUBCHAPTER B. AGRICULTURAL PRODUCT STANDARDS Sec. 18.051. PRODUCT CERTIFICATION PROGRAMS. (a) Allows the Texas Department of Agriculture (department) to establish certification programs relating to the protection, sale, advertising, marketing, transporting, or other commercial handling of agricultural, horticultural, or related products in this state if necessary to ensure genetic purity, identity, or disease or pest resistance, or to help prevent the spread of insects, other pests, diseases, or pathogens. (b) Allows the department to regulate the use of the term "Texas Certified Product" and other terms and symbols that indicate product quality standards and products regulated under this subchapter. Sec. 18.052. STANDARDS. Allows the department to develop minimum certification standards for product certification. Sec. 18.053. FEES. Allows the department to set fees necessary to recover the costs of administering this subchapter. Sec. 18.054. CIVIL PENALTY; INJUNCTION. (a) Establishes civil penalties not to exceed $500 per violation. Each day a violation continues is a separate violation. (b) Sets forth that any penalty recovered by the department shall be deposited in the general revenue fund. Allows a local government to file suit and retain 50 percent of the penalty recovered with the other 50 percent going into the state's general revenue fund. (c) Requires the attorney general, county or district attorney to bring action to collect the penalty upon request of the department. (d) Allows the department to seek injunctive relief to prevent a violation of this subchapter. Requires the attorney general, county or district attorney to seek injunctive relief upon request of the department. SUBCHAPTER C. AGRICULTURAL PRODUCTION PROCESS CERTIFICATION PROGRAM Sec. 18.071. AGRICULTURAL CERTIFICATION. Allows the department to establish voluntary certification programs relating to the protection, sale, advertising, marketing, or related production processes used by producers. Sec. 18.072. CERTIFICATION STANDARDS. Allows the department to develop minimum certification standards for production processes. Sec. 18.073. FEES. Allows the department to set fees necessary to recover the costs of administering this subchapter. Sec. 18.074. ADMINISTRATIVE PENALTY. Allows the department to assess an administrative penalty under Section 12.020 of the Agriculture Code, if a person is falsely claiming to have a certified production process. SECTION 2. Section 12.020(c), Agriculture Code, is amended to set forth that the maximum administrative penalty allowed under Chapter 18, Agriculture Code, is $500. SECTION 3. Effective date: September 1, 1995. SECTION 4. Emergency clause. EXPLANATION OF AMENDMENT Committee amendment #1 substitutes the word "accredited" for "registered" and "accreditation" for "registration" throughout the bill. The amendment also provides that a person may be certified to use the term "organic" by department rule. SUMMARY OF COMMITTEE ACTION S.B. 810 was considered by the committee in a public hearing on April 11, 1995. S.B. 810 was considered in lieu of H.B. 2233 which was pending in committee. Rep. Gutierrez explained the bill. The committee considered one amendment to the bill. That amendment was adopted without objection. The bill was reported favorably as amended, with the recommendation that it do pass and be printed, by a record vote of 8 ayes, 0 nays, 0 pnv, 1 absent.