S.B. No. 750 AN ACT 1-1 relating to the creation of a license management program for 1-2 certain commercial fishing. 1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-4 SECTION 1. Chapter 77, Parks and Wildlife Code, is amended 1-5 by adding Subchapter F to read as follows: 1-6 SUBCHAPTER F. SHRIMP LICENSE MANAGEMENT 1-7 Sec. 77.111. SHRIMP LICENSE MANAGEMENT PROGRAM. For the 1-8 purposes of promoting efficiency and economic stability in the 1-9 shrimping industry and of conserving economically important shrimp 1-10 resources, the department shall implement a shrimp license 1-11 management program in accordance with the shrimp management plan 1-12 adopted by the commission under Section 77.007 and as prescribed by 1-13 this subchapter. 1-14 Sec. 77.112. ISSUANCE AND RENEWAL OF COMMERCIAL BAY AND BAIT 1-15 SHRIMP BOAT LICENSES. (a) After August 31, 1995, the department 1-16 may not issue a new commercial bay or bait shrimp boat license 1-17 unless the person seeking to obtain the license documents to the 1-18 satisfaction of the department that the vessel for which the 1-19 license is sought: 1-20 (1) is owned by the person; 1-21 (2) was under construction and at least 50 percent 1-22 completed on April 1, 1995; and 1-23 (3) is intended to be licensed and used as a 1-24 commercial bay or bait shrimp boat. 2-1 (b) For the license year ending August 31, 1996, the 2-2 department may renew a commercial bay or bait shrimp boat license 2-3 only if the person seeking renewal of the license: 2-4 (1) owns the commercial bay or bait shrimp boat for 2-5 which the license renewal is sought; and 2-6 (2) held the license to be renewed on April 1, 1995, 2-7 or, after that date, obtained the license to be renewed by a 2-8 transfer authorized by Section 77.113. 2-9 (c) After August 31, 1996, the commission may renew a 2-10 commercial bay or bait shrimp boat license only if the person 2-11 seeking to renew the license: 2-12 (1) owns the commercial bay or bait shrimp boat for 2-13 which the license renewal is sought; and 2-14 (2) held the license to be renewed during the 2-15 preceding license year. 2-16 (d) An applicant for a new or renewed commercial bay or bait 2-17 shrimp boat license for a vessel that is required by United States 2-18 Coast Guard rules to be documented by the United States Coast Guard 2-19 must submit to the department with the license application the 2-20 United States Coast Guard certificate of documentation for the 2-21 vessel. 2-22 Sec. 77.113. LICENSE TRANSFER. (a) Except as provided by 2-23 this section, a commercial bay or bait shrimp boat license may not 2-24 be transferred from one person to another before September 1, 1999. 2-25 (b) A commercial bay or bait shrimp boat license may be 2-26 transferred at any time, by sale or otherwise: 2-27 (1) between holders of a commercial bay or bait shrimp 3-1 boat license; 3-2 (2) between a holder of a commercial bay or bait 3-3 shrimp boat license and a historical shrimp boat captain as defined 3-4 by the shrimp license management review board and approved by the 3-5 executive director; or 3-6 (3) to an heir or devisee of the deceased holder of 3-7 the commercial bay or bait shrimp boat license, but only if the 3-8 heir or devisee is a person who in the absence of a will would be 3-9 entitled to all or a portion of the deceased's property. 3-10 Sec. 77.114. LIMIT ON NUMBER OF LICENSES HELD; DESIGNATED 3-11 LICENSE HOLDER. (a) Except as provided by Subsection (b), no 3-12 person may hold or directly or indirectly control more than four 3-13 commercial bay and four commercial bait shrimp boat licenses. 3-14 (b) A person who qualifies to renew a license under Section 3-15 77.112 on September 1, 1995, may hold each license renewed and 3-16 after that date may retain and renew the licenses until the 3-17 licenses are transferred, not renewed, or revoked. A person may 3-18 not hold or renew more than four commercial bay and four commercial 3-19 bait shrimp boat licenses under this subsection after August 31, 3-20 2002. 3-21 (c) A commercial bay or bait shrimp boat license must be 3-22 issued to an individual. A person other than an individual who 3-23 wishes to retain or seeks to renew a license of either type must 3-24 designate an individual to whom the license will be issued. 3-25 Sec. 77.115. TRANSFER FEE. The commission may set a fee for 3-26 the transfer of a commercial bay or bait shrimp boat license. The 3-27 amount of the transfer fee may not exceed the amount of the license 4-1 fee for the license being transferred. 4-2 Sec. 77.116. LENGTH AND ENGINE LIMITS; VESSEL UPGRADE. 4-3 (a) Except as provided by Subsection (d), a vessel licensed as a 4-4 commercial bay or bait shrimp boat may not: 4-5 (1) have an engine that is rated by the manufacturer 4-6 of the engine at more than 400 horsepower; or 4-7 (2) exceed 60 feet in length. 4-8 (b) A vessel licensed as a commercial bay or bait shrimp 4-9 boat may not be lengthened or have the engine horsepower increased 4-10 more than once after September 1, 1995. 4-11 (c) A vessel may not be lengthened by more than 15 percent 4-12 of the vessel's length. 4-13 (d) The license for a vessel that on September 1, 1995, is 4-14 licensed as a commercial bay or bait shrimp boat and exceeds the 4-15 length or horsepower limit set by Subsection (a) may be renewed, 4-16 but the vessel may not be lengthened or have the horsepower of the 4-17 vessel increased. If the vessel is replaced, the replacement 4-18 vessel must meet the engine and length requirements described in 4-19 Subsection (a). 4-20 (e) For purposes of this section, vessel length shall be 4-21 determined according to United States Coast Guard specifications in 4-22 effect on September 1, 1995. 4-23 Sec. 77.117. LICENSE SUSPENSION AND REVOCATION. (a) The 4-24 executive director, after notice and the opportunity for a hearing, 4-25 may suspend a commercial bay or bait shrimp boat license if the 4-26 license holder or any other operator of the licensed vessel is 4-27 convicted of one or more flagrant offenses totalling three flagrant 5-1 offenses for the licensed vessel. The suspension may be for: 5-2 (1) six months, if: 5-3 (A) the date of each offense is within a 5-4 24-consecutive-month period beginning not earlier than September 1, 5-5 1995; and 5-6 (B) the license holder has not previously had a 5-7 commercial bay or bait shrimp boat license suspended under this 5-8 section; or 5-9 (2) 12 months, if the date of each offense is within a 5-10 24-consecutive-month period and the license holder has previously 5-11 had a commercial bay or bait shrimp boat license suspended under 5-12 this section. 5-13 (b) Except as provided by Subsection (c), a license 5-14 suspension under this section does not affect the license holder's 5-15 eligibility to renew the license after the suspension expires. 5-16 (c) The executive director, after notice and the opportunity 5-17 for a hearing, may permanently revoke a commercial bay or bait 5-18 shrimp boat license if: 5-19 (1) the license holder has previously had a commercial 5-20 bay or bait shrimp boat license suspended twice under this section; 5-21 (2) the license holder or any other operator of the 5-22 licensed vessel is convicted of one or more flagrant offenses 5-23 totalling three flagrant offenses for the licensed vessel; and 5-24 (3) the date of each offense is in a 5-25 24-consecutive-month period beginning not earlier than the date of 5-26 the most recent previous suspension under this section. 5-27 (d) For purposes of this section, a flagrant offense 6-1 includes: 6-2 (1) trawling in a nursery area in violation of this 6-3 code or of a proclamation of the commission issued under this code; 6-4 (2) shrimping longer than 30 minutes before or 30 6-5 minutes after legal shrimping hours prescribed by this code or by a 6-6 proclamation of the commission issued under this code; 6-7 (3) exceeding possession limits, in violation of this 6-8 code or of a proclamation of the commission issued under this code, 6-9 by 100 or more pounds; 6-10 (4) exceeding legal net size, in violation of this 6-11 code or of a proclamation of the commission issued under this code, 6-12 by five feet or more; or 6-13 (5) falsifying information required by this subchapter 6-14 or a commission rule adopted under this subchapter for the issuance 6-15 of a commercial bay or bait shrimp boat license. 6-16 (e) The same flagrant offense may not be counted for more 6-17 than one suspension under this section. 6-18 Sec. 77.118. SHRIMP LICENSE MANAGEMENT REVIEW BOARD. 6-19 (a) The holders of commercial bay and bait shrimp boat licenses 6-20 shall elect a shrimp license management review board of nine 6-21 members. 6-22 (b) A member of the review board must be a holder of a 6-23 commercial bay or bait shrimp boat license. 6-24 (c) The nine members of the review board must be selected to 6-25 reflect the following geographical distribution according to the 6-26 county of residence specified on the member's commercial bay or 6-27 bait shrimp boat license: 7-1 (1) one member representing Orange, Jefferson, 7-2 Chambers, and Harris counties; 7-3 (2) two members representing Galveston County; 7-4 (3) two members representing Brazoria and Matagorda 7-5 counties; 7-6 (4) three members representing Calhoun, Aransas, 7-7 Nueces, San Patricio, and Refugio counties; and 7-8 (5) one member representing Kleberg, Cameron, and 7-9 Willacy counties. 7-10 (d) The review board shall advise the commission and 7-11 department and make recommendations concerning the administrative 7-12 aspects of the shrimp license management program, including 7-13 hardship and appeal cases concerning eligibility, license transfer, 7-14 license renewal, license suspension, license revocation, and vessel 7-15 length and engine changes. 7-16 (e) The executive director shall adopt procedures for the 7-17 election and operation of the review board. The executive director 7-18 shall solicit and consider recommendations from the commercial bay 7-19 and bait shrimp boat license holders regarding the procedures. 7-20 (f) The review board is not subject to Article 6252-33, 7-21 Revised Statutes. 7-22 Sec. 77.119. LICENSE BUYBACK PROGRAM. (a) The department 7-23 shall implement a license buyback program as part of the shrimp 7-24 license management program established by this subchapter. 7-25 (b) The commission by rule may establish criteria, using 7-26 reasonable classifications, by which the department selects 7-27 licenses to be purchased. The commission may delegate to the 8-1 executive director, for purposes of this section only, the 8-2 authority to develop the criteria through rulemaking procedures, 8-3 but the commission by order must finally adopt the rules 8-4 establishing the criteria. The commission or executive director 8-5 shall consult with the shrimp license management review board 8-6 concerning establishment of the criteria. 8-7 (c) The commission shall retire each license purchased under 8-8 the license buyback program until the commission finds that 8-9 management of the shrimp fishery allows reissue of those licenses 8-10 through auction or lottery. 8-11 Sec. 77.120. SHRIMP LICENSE BUYBACK ACCOUNT; FEE INCREASE. 8-12 (a) The shrimp license buyback account is a separate account in 8-13 the general revenue fund. The account consists of money deposited 8-14 to the account under this section. Sections 403.094 and 403.095, 8-15 Government Code, do not apply to the account. 8-16 (b) The department may accept grants and donations of money 8-17 or materials from private or public sources to be applied to the 8-18 shrimp license buyback account. 8-19 (c) In addition to fee increases the department is 8-20 authorized to make under this code, the department shall increase 8-21 by 15 percent, but not by an amount that exceeds $25, the fee for 8-22 the following licenses and shall deposit the amount of the increase 8-23 to the credit of the shrimp license buyback account: 8-24 (1) a bait-shrimp dealer's license issued under 8-25 Section 77.043; 8-26 (2) a wholesale fish dealer's license issued under 8-27 Section 47.009; 9-1 (3) a wholesale truck dealer's fish license issued 9-2 under Section 47.010; 9-3 (4) a retail fish dealer's license issued under 9-4 Section 47.011; 9-5 (5) a retail dealer's truck license issued under 9-6 Section 47.013; 9-7 (6) a shrimp house operator license issued under 9-8 Section 77.042; 9-9 (7) a commercial bait-shrimp boat license issued under 9-10 Section 77.033; 9-11 (8) a commercial bay shrimp boat license issued under 9-12 Section 77.031; 9-13 (9) a commercial gulf shrimp boat license issued under 9-14 Section 77.035; and 9-15 (10) an individual bait-shrimp trawl license issued 9-16 under Section 77.048. 9-17 (d) The department shall deposit to the credit of the shrimp 9-18 license buyback account transfer fees received under Section 9-19 77.115. 9-20 (e) Money in the shrimp license buyback account may be used 9-21 only to buy back from a willing license holder a commercial bay or 9-22 bait shrimp boat license. 9-23 Sec. 77.121. PROGRAM ADMINISTRATION; RULES. (a) The 9-24 executive director shall establish administrative procedures to 9-25 carry out the requirements of this subchapter. 9-26 (b) The commission shall adopt any rules necessary for the 9-27 administration of the program established under this subchapter. 10-1 Sec. 77.122. REPORT TO LEGISLATURE. Not later than January 10-2 1, 1999, the department shall report to the governor and each 10-3 member of the legislature an overview of the administration and 10-4 status of the shrimp license management program, including the 10-5 biological, sociological, and economic effects of the program. 10-6 Sec. 77.123. PREVAILING AUTHORITY. A proclamation of the 10-7 commission under this subchapter prevails over any conflicting 10-8 provision of this chapter to the extent of the conflict. 10-9 SECTION 2. Subsection (b), Section 11.032, Parks and 10-10 Wildlife Code, is amended to read as follows: 10-11 (b) The department shall deposit to the credit of the game, 10-12 fish, and water safety account all revenue, less allowable costs, 10-13 from the following sources: 10-14 (1) all types of fishing licenses and stamps and 10-15 shrimping licenses, except as provided by Section 77.120; 10-16 (2) all types of hunting licenses and stamps; 10-17 (3) trapping licenses and other licenses relating to 10-18 the taking, propagation, and sale of fur-bearing animals or their 10-19 pelts; 10-20 (4) sale of marl, sand, gravel, shell, and mudshell; 10-21 (5) oyster bed rentals and permits; 10-22 (6) federal funds received for fish and wildlife 10-23 research, management, development and conservation, resource 10-24 protection, and law enforcement, unless the funds are received for 10-25 the specific purposes of Subchapter F, Chapter 77; 10-26 (7) sale of property, less advertising costs, 10-27 purchased from this account or a special fund or account that is 11-1 now part of this account; 11-2 (8) fines and penalties collected for violations of a 11-3 law pertaining to the protection and conservation of wild birds, 11-4 wild fowl, wild animals, fish, shrimp, oysters, game birds and 11-5 animals, fur-bearing animals, alligators, and any other wildlife 11-6 resources of this state; 11-7 (9) sale of rough fish by the department; 11-8 (10) fees for importation permits; 11-9 (11) fees from supplying fish for or placing fish in 11-10 water located on private property; 11-11 (12) sale of seized pelts; 11-12 (13) sale or lease of grazing rights to and the 11-13 products from game preserves, sanctuaries, and management areas; 11-14 (14) contracts for the removal of fur-bearing animals 11-15 and reptiles from wildlife management areas; 11-16 (15) motorboat registration fees; 11-17 (16) motorboat manufacturer or dealer registration 11-18 fee; 11-19 (17) fines or penalties imposed by a court for 11-20 violation of water safety laws contained in Chapter 31 of this 11-21 code; 11-22 (18) alligator hunter's or alligator buyer's licenses; 11-23 (19) sale of alligators or any part of an alligator by 11-24 the department; 11-25 (20) fees and revenue collected under Section 11-26 11.027(b) or (c) of this code that are associated with the 11-27 conservation of fish and wildlife; and 12-1 (21) any other source provided by law. 12-2 SECTION 3. Subsection (c), Section 77.0361, Parks and 12-3 Wildlife Code, is amended to read as follows: 12-4 (c) All licenses issued under the authority of Chapter 77 of 12-5 this code may not be transferred to another person or vessel except 12-6 as provided by this subsection or by Section 77.113. The 12-7 commission, by regulation, may prescribe requirements necessary for 12-8 license transfers and may prescribe, by regulation, forms to be 12-9 used and fees to be charged for transfers of licenses in this 12-10 chapter and for duplicate license plates and/or duplicate or 12-11 replacement licenses. 12-12 SECTION 4. (a) As soon as practicable after the effective 12-13 date of this Act, the Parks and Wildlife Commission shall adopt any 12-14 rules necessary for the administration of the shrimp license 12-15 management program created by Subchapter F, Chapter 77, Parks and 12-16 Wildlife Code, as added by this Act. 12-17 (b) As soon as practicable after the effective date of this 12-18 Act, the executive director shall adopt procedures for the election 12-19 of the shrimp license management review board under Section 77.118, 12-20 Parks and Wildlife Code, as added by this Act. As soon as 12-21 practicable after the adoption of election procedures, but not 12-22 later than November 1, 1995, the election of the shrimp license 12-23 management review board shall be held. 12-24 SECTION 5. The importance of this legislation and the 12-25 crowded condition of the calendars in both houses create an 12-26 emergency and an imperative public necessity that the 12-27 constitutional rule requiring bills to be read on three several 13-1 days in each house be suspended, and this rule is hereby suspended, 13-2 and that this Act take effect and be in force from and after its 13-3 passage, and it is so enacted.