74R10381 MWV-F
          By Patterson                                          H.B. No. 2892
          Substitute the following for H.B. No. 2892:
          By Rabuck                                         C.S.H.B. No. 2892
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the boll weevil eradication program.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Section 74.102, Agriculture Code, is amended by
    1-5  amending Subdivisions (5), (9), and (14) to read as follows:
    1-6              (5)  "Cotton grower" means an individual who<:>
    1-7                    <(A)>  grows cotton<;> and
    1-8                    <(B)>  receives <direct> income on or after June
    1-9  1, 1992, from the sale of cotton.  The term includes an individual
   1-10  who as owner, landlord, tenant, or sharecropper is entitled to
   1-11  share in the cotton grown and available for marketing from a farm
   1-12  or to share in the proceeds from the sale of the cotton from the
   1-13  farm, under 7 C.F.R. Part 1413.
   1-14              (9)  "High Plains Boll Weevil Suppression Program Area"
   1-15  includes Bailey, Borden, Briscoe, Castro, Cochran, Crosby, Dawson,
   1-16  Deaf Smith, Dickens, Floyd, Gaines, Garza, Hale, Hockley, Howard,
   1-17  Lamb, Lubbock, Lynn, Martin, Midland, Motley, Parmer, Swisher,
   1-18  Terry, and Yoakum counties.  The High Plains Boll Weevil
   1-19  Suppression Program Area may also include other counties or parts
   1-20  of counties if areas are added to the High Plains Boll Weevil
   1-21  Suppression Area as provided under this subchapter.
   1-22              (14)  "St. Lawrence Cotton Growers Boll Weevil Control
   1-23  Zone" may include, subject to change as provided under this
    2-1  subchapter, all or part of <includes> Glasscock, Reagan, Upton,
    2-2  <and> south Midland, or other counties.
    2-3        SECTION 2.  Section 74.107(a), Agriculture Code, is amended
    2-4  to read as follows:
    2-5        (a)  The High Plains Boll Weevil Suppression Program Area and
    2-6  the St.  Lawrence Cotton Growers Boll Weevil Control Zone are
    2-7  separate zones for the purposes of boll weevil eradication;
    2-8  however, an area in the St. Lawrence Cotton Growers Boll Weevil
    2-9  Control Zone may be assigned to another zone as provided by this
   2-10  subchapter <and may not be combined with another area in an
   2-11  eradication zone under this subchapter>.
   2-12        SECTION 3.  Section 74.108, Agriculture Code, is amended to
   2-13  read as follows:
   2-14        Sec. 74.108.  Board Powers.  (a)  The board may:
   2-15              (1)  conduct board elections;
   2-16              (2)  conduct eradication zone referenda;
   2-17              (3)  conduct assessment referenda under Section 74.113
   2-18  of this code;
   2-19              (4)  conduct programs consistent with the declaration
   2-20  of policy stated in Section 74.101 of this code;
   2-21              (5)  accept, as necessary to implement this chapter,
   2-22  gifts, and grants;
   2-23              (6)  borrow money as necessary to execute this chapter;
   2-24              (7)  take other action and exercise other authority as
   2-25  necessary to execute any act authorized by this subchapter or the
    3-1  Texas Non-Profit Corporation Act (Article 1396-1.01 et seq.,
    3-2  Vernon's Texas Civil Statutes); and
    3-3              (8) <(5)>  form an advisory committee composed of
    3-4  individuals from this state, other states, or other countries and
    3-5  change membership on the committee, as necessary.  Any advisory
    3-6  committee created under this subdivision for the purpose of
    3-7  establishing treatment methods shall include among its members
    3-8  persons with knowledge of the effects of different treatments on
    3-9  the health of agricultural workers, the local population, and the
   3-10  ecosystem, including but not limited to the effects of a particular
   3-11  method of treatment on beneficial organisms and wildlife, the
   3-12  potential for secondary infestations from nontarget pests, and the
   3-13  potential for pest resistance to particular methods of treatment.
   3-14        (b)  The board may add an area to an eradication zone if:
   3-15              (1)  cotton production begins in the area;
   3-16              (2)  the area is adjacent to an eradication zone or is
   3-17  in an area with biological characteristics similar to the
   3-18  eradication zone; and
   3-19              (3)  the addition is approved in a referendum held in
   3-20  the area.
   3-21        (c)  The board may initiate the boll weevil eradication
   3-22  program in an area added to an eradication zone and may assess
   3-23  cotton growers in the area added to the eradication zone to ensure
   3-24  the integrity and success of the eradication program.  The board
   3-25  shall provide notice of intent to initiate eradication and collect
    4-1  assessments through informational meetings in the affected area not
    4-2  later than 60 days before the date recognized by the board as the
    4-3  average planting date for the area.
    4-4        (d)  The board may not reduce the area of the High Plains
    4-5  Boll Weevil Suppression Program Area.
    4-6        SECTION 4.  Section 74.109, Agriculture Code, is amended to
    4-7  read as follows:
    4-8        Sec. 74.109.  Board Duties.  (a)  The board shall make
    4-9  available for inspection at an annual independent audit all books,
   4-10  records of account, and minutes of proceedings maintained by the
   4-11  foundation.
   4-12        (b)  Not later than the 45th day after the last day of the
   4-13  fiscal year, the board shall submit to the commissioner a report
   4-14  itemizing all income and expenditures and describing all activities
   4-15  of the foundation during the fiscal year.
   4-16        (c)  The foundation shall provide fidelity <surety> bonds in
   4-17  amounts determined by the board <commissioner> for employees or
   4-18  agents who handle funds for the foundation.
   4-19        (d)  <The foundation shall collect, receive, hold in trust,
   4-20  and disburse all assessments and other funds collected under this
   4-21  subchapter as trust funds of the foundation.>  The foundation and
   4-22  the board are <is a> state agencies <agency> for the following
   4-23  purposes only:
   4-24              (1)  exemption from taxation including exemption from
   4-25  sales and use taxes, vehicle registration fees, and taxes under
    5-1  Chapter 152, Tax Code; and
    5-2              (2)  indemnification <only and for no other purpose>.
    5-3        (e)  Funds collected by the foundation are not state funds
    5-4  and are not required to be deposited in the state treasury.  The
    5-5  foundation shall deposit all money collected under this subchapter
    5-6  in a bank or other depository approved by the board.
    5-7        (f)  The foundation is a governmental unit under Section
    5-8  101.001, Civil Practice and Remedies Code, and is entitled to
    5-9  governmental immunity.  A tort claim against the foundation must be
   5-10  made under Chapter 101, Civil Practice and Remedies Code.
   5-11        (g) <(e)>  The board shall collect data on the type and
   5-12  quantity of pesticides used in accordance with this subchapter.
   5-13        (h) <(f)>  All revenue collected under this subchapter shall
   5-14  be used solely to finance programs approved by the commissioner as
   5-15  consistent with this subchapter and applicable provisions of the
   5-16  constitution.
   5-17        SECTION 5.  Section 74.110(a), Agriculture Code, is amended
   5-18  to read as follows:
   5-19        (a)  Except for instances of gross negligence, individual
   5-20  criminal actions, or acts of dishonesty, the foundation, the
   5-21  foundation's members, directors, officers, and employees are not
   5-22  individually liable to a cotton grower or other person for:
   5-23              (1)  errors in judgment;
   5-24              (2)  mistakes; or
   5-25              (3)  other acts or omissions.
    6-1        SECTION 6.  Section 74.113(f), Agriculture Code, is amended
    6-2  to read as follows:
    6-3        (f)  An assessment levied on cotton growers in an eradication
    6-4  zone may be applied only to:
    6-5              (1)  eradication in that zone;
    6-6              (2)  the foundation's operating costs, including
    6-7  payments on debt incurred for a foundation activity, except that
    6-8  the funds of one zone may not be used to pay another zone's bank
    6-9  loans; and
   6-10              (3)  the conducting of other programs consistent with
   6-11  the declaration of policy stated in Section 74.101 of this code.
   6-12        SECTION 7.  Section 74.114, Agriculture Code, is amended by
   6-13  amending Subsections (f) and (i) and adding Subsection (j) to read
   6-14  as follows:
   6-15        (f)  Ballots in a referendum or board election shall <may> be
   6-16  mailed directly to a central location, to be initially determined
   6-17  by the commissioner and later determined by the board.  A cotton
   6-18  grower eligible to vote in a referendum or board election who has
   6-19  not received a ballot from the foundation or another source shall
   6-20  be offered the option of requesting a ballot by mail or obtaining a
   6-21  ballot <voting in person> at the office of the county agent of the
   6-22  Texas Agricultural Extension Service or a government office
   6-23  distributing ballots in a <the> county in the proposed or
   6-24  established zone in which the referendum or board election is
   6-25  conducted <in which the cotton grower resides.  A county agent
    7-1  shall hold ballots received under this section in trust and shall
    7-2  count the ballots and report the results to the commissioner and
    7-3  the foundation>.
    7-4        (i)  A public hearing regarding the proposed eradication
    7-5  program <plan>, including information regarding regulations to be
    7-6  promulgated by the foundation and the commissioner, shall be held
    7-7  by the foundation in each of several locations within each boll
    7-8  weevil eradication zone.  The area posted for each hearing shall
    7-9  include no more than six contiguous counties that have cotton
   7-10  production at the time of the hearing.
   7-11        (j)  Individual voter information, including an individual's
   7-12  vote in a referendum or board election conducted under this
   7-13  section, is confidential and is not subject to disclosure under
   7-14  Chapter 552, Government Code.
   7-15        SECTION 8.  Section 74.115, Agriculture Code, is amended by
   7-16  amending Subsections (b) and (c) to read as follows:
   7-17        (b)  A cotton grower who fails to pay all assessments and
   7-18  penalties before the 10th <31st> day after receiving notice of the
   7-19  delinquency shall destroy any cotton growing on the grower's
   7-20  acreage that is subject to the assessment.  Cotton plants that are
   7-21  not destroyed are a public nuisance, and, on recommendation of the
   7-22  foundation, the department shall follow the procedures for
   7-23  destruction of host plants provided by Subchapter A of this
   7-24  chapter, including procedures for reimbursement by the grower of
   7-25  costs required for destruction.  The department may apply to a
    8-1  district court with jurisdiction in the county in which the public
    8-2  nuisance is located to have the nuisance condemned and destroyed.
    8-3  Injunctive relief available to the department under this subchapter
    8-4  is in addition to any other legal remedy available to the
    8-5  department.  The department is not required to file a bond in a
    8-6  proceeding under this subsection.
    8-7        (c)  In addition to any other remedies for the collection of
    8-8  assessments and penalties, the department may place and perfect a
    8-9  lien on cotton produced and harvested that year <before the
   8-10  destruction of other cotton grown> from the acreage that is subject
   8-11  to the assessment that is due and unpaid.  A buyer of cotton takes
   8-12  free of the lien if the buyer has not received written or actual
   8-13  notice of the lien from the department or if the buyer has paid for
   8-14  the cotton by a check on which the department is named as a joint
   8-15  payee.  In an action to enforce the lien, the burden is on the
   8-16  department to prove that the buyer of cotton received written or
   8-17  actual notice of the lien.  A buyer of cotton other than a person
   8-18  buying cotton from the cotton grower takes free of the lien.
   8-19        SECTION 9.  Section 74.116(b), Agriculture Code, is amended
   8-20  to read as follows:
   8-21        (b)  A cotton grower may not qualify for an exemption under
   8-22  this section for a year in which the amount computed by subtracting
   8-23  the assessments and penalties due under this subchapter from the
   8-24  cotton grower's net income subject to federal income taxation in
   8-25  the previous year is greater than $15,000.
    9-1        SECTION 10.  Section 74.120(c), Agriculture Code, is amended
    9-2  to read as follows:
    9-3        (c)  The foundation and the department may adopt other
    9-4  reasonable rules <it considers> necessary to carry out the purposes
    9-5  of this subchapter and Subchapter A of this chapter.  All rules
    9-6  issued under this subchapter must be adopted and published in
    9-7  accordance with state requirements.  Rules adopted by the
    9-8  foundation under this section shall be consistent with rules
    9-9  adopted by the commissioner under this subchapter.
   9-10        SECTION 11.  Section 74.125, Agriculture Code, is amended to
   9-11  read as follows:
   9-12        Sec. 74.125.  Organic Producers.  (a)  The board, in
   9-13  cooperation with the commissioner, shall develop rules and
   9-14  procedures to:
   9-15              (1)  protect the eligibility of organic producers to be
   9-16  certified by the commissioner;
   9-17              (2)  ensure that organic and transitional certification
   9-18  by the commissioner continue to meet national certification
   9-19  standards in order for organic cotton to maintain international
   9-20  marketability; and
   9-21              (3)  in all events maintain the effectiveness of the
   9-22  boll weevil eradication program administered under this subchapter.
   9-23        (b)  The board may not treat or require treatment of organic
   9-24  cotton fields with chemicals that are not approved for use on
   9-25  certified organic cotton.  Plow-up may be required as an
   10-1  alternative to chemicals.  In the rules adopted under Subsection
   10-2  (a), the board may provide indemnity for the organic producers for
   10-3  reasonable losses that result from a prohibition of production of
   10-4  organic cotton or from any requirement of destruction of organic
   10-5  cotton.  If time is reasonably available for the production of an
   10-6  economically feasible alternative crop, the board may require
   10-7  mitigation of losses with the production of an alternative crop.
   10-8        SECTION 12.  Section 74.126(c), Agriculture Code, is amended
   10-9  to read as follows:
  10-10        (c)  If the commissioner or the foundation determines that a
  10-11  violation of this subchapter or a rule adopted under this
  10-12  subchapter has occurred, the commissioner or the foundation may
  10-13  request that the attorney general or the county or district
  10-14  attorney of the county in which the alleged violation occurred or
  10-15  is occurring file suit for civil, injunctive, and/or other
  10-16  appropriate relief.
  10-17        SECTION 13.  Section 74.127, Agriculture Code, is amended by
  10-18  adding Subsection (c) to read as follows:
  10-19        (c)  If the foundation is abolished or the program
  10-20  discontinued for any reason, assessments approved, levied, or
  10-21  otherwise collectible on the date of abolishment remain valid as
  10-22  necessary to pay the financial obligations of the foundation.
  10-23        SECTION 14.  This Act takes effect September 1, 1995.
  10-24        SECTION 15.  The importance of this legislation and the
  10-25  crowded condition of the calendars in both houses create an
   11-1  emergency and an imperative public necessity that the
   11-2  constitutional rule requiring bills to be read on three several
   11-3  days in each house be suspended, and this rule is hereby suspended.