By Lucio S.B. No. 810
74R7126 T
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the Department of Agriculture's certification of Texas
1-3 agricultural products and production processes and the imposition
1-4 of penalties.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Chapter 18, Agriculture Code, is amended to read
1-7 as follows:
1-8 CHAPTER 18. <ORGANIC> CERTIFICATION AND AGRICULTURAL PRODUCT
1-9 STANDARDS <AND CERTIFICATION>
1-10 SUBCHAPTER A: ORGANIC STANDARDS AND CERTIFICATION
1-11 Sec. 18.001. Definitions. In this subchapter:
1-12 (1) "Distributor" means a person engaged in the
1-13 business of selling food or fiber for resale, including a
1-14 wholesaler, broker, packer, repacker, shipper, or shipping agent.
1-15 (2) "Logo" means the department's copyrighted "Texas
1-16 Department of Agriculture Certified Organic" or "Texas Department
1-17 of Agriculture Organic Certification Pending--Transitional"
1-18 logotype.
1-19 (3) "Organic certifying agent" means a private organic
1-20 certification organization accredited under this subchapter.
1-21 (4) "Organic farming" means a system of ecological
1-22 soil management that relies on building humus levels through crop
1-23 rotations, recycling organic wastes, and applying balanced mineral
1-24 amendments and that uses, when necessary, mechanical, botanical, or
2-1 biological controls with minimum adverse effects on health and
2-2 environment.
2-3 (5) "Organic food" includes only food that is produced
2-4 under a system of organic farming and processed, packaged,
2-5 transported, and stored to retain maximum nutritional value without
2-6 the use of artificial preservatives, coloring or other additives,
2-7 ionizing radiation, or synthetic pesticides.
2-8 (6) "Organic fiber" includes only fiber that is
2-9 produced under a system of organic farming and processed, packaged,
2-10 transported, and stored to maintain segregation and prevention of
2-11 contamination from other fiber or synthetic pesticides, prohibited
2-12 defoliants, or desiccants.
2-13 (7) "Processor" means a person who is engaged in the
2-14 business of manufacturing raw agricultural commodities into food,
2-15 feed, or fiber products.
2-16 (8) "Producer" means a person who is engaged in the
2-17 business of growing or producing food, feed, or fiber.
2-18 (9) "Retailer" means a person, other than a restaurant
2-19 operator, who is engaged in the business of selling food at retail,
2-20 other than at a restaurant, to its ultimate consumer.
2-21 Sec. 18.002. Rules. The department may adopt rules
2-22 necessary for the enforcement and administration of this
2-23 subchapter.
2-24 Sec. 18.003. Organic Certification. (a) The department
2-25 shall certify producers, processors, distributors, and retailers of
2-26 organic food and fiber in this state. The department by rule shall
2-27 adopt minimum standards for certification under this subchapter.
3-1 (b) A person may apply for an organic certification, or a
3-2 renewal of an organic certification, by submitting an application
3-3 and a nonrefundable annual fee prescribed by the department.
3-4 (c) An organic certification expires on August 31 of each
3-5 year. A person who fails to submit a renewal fee on or before the
3-6 expiration date of the certification must pay, in addition to the
3-7 renewal fee, the late fee provided by Section 12.024 of this code.
3-8 (d) A person who is certified under this subchapter may use
3-9 department logos as provided by department rule.
3-10 Sec. 18.004. Organic Certifying Agent Accreditation Program.
3-11 (a) The department by rule may accredit a person as an organic
3-12 certifying agent. On receipt of a certificate of accreditation
3-13 under this section, an organic certifying agent may certify for the
3-14 department a producer, processor, distributor, or retailer of
3-15 organic food or fiber under this subchapter.
3-16 (b) A person may apply for a certificate of accreditation,
3-17 or a renewal of a certificate of accreditation, by submitting an
3-18 application and a nonrefundable annual fee prescribed by the
3-19 department.
3-20 (c) The department may issue a certificate of accreditation
3-21 under this section only if it determines that the applicant's
3-22 certification standards are equivalent to department certification
3-23 standards.
3-24 (d) A certificate of accreditation expires on the first
3-25 anniversary of the date of issuance. A person who fails to submit
3-26 a renewal fee on or before the expiration date of the certificate
3-27 of accreditation must pay, in addition to the renewal fee, the late
4-1 fee provided by Section 12.024 of this code.
4-2 (e) An organic certifying agent may not:
4-3 (1) provide an organic certification for a person with
4-4 whom the organic certifying agent, or an employee of the organic
4-5 certifying agent, has, or has had, a commercial relationship,
4-6 including providing consulting services;
4-7 (2) accept payment, gifts, or other favors of any kind
4-8 from a person seeking certification, other than fees permitted by
4-9 this subchapter; or
4-10 (3) charge a fee other than a fee prescribed by this
4-11 subchapter for providing advice about organic practices or
4-12 techniques.
4-13 Sec. 18.005. Use of Term "Organic". A person may not label,
4-14 market, advertise, or represent as "organic" any food or fiber that
4-15 is sold, kept, offered, or exposed for sale, unless that person is:
4-16 (1) certified directly by the department under Section
4-17 18.003 of this code; or
4-18 (2) certified by an organic certifying agent under
4-19 Section 18.004 of this code.
4-20 Sec. 18.006. Fees. (a) The department may charge an annual
4-21 fee not to exceed $2,500 for each applicant certified as a
4-22 producer, distributor, or retailer and a fee not to exceed $5,000
4-23 for each applicant certified as a processor of organic food or
4-24 fiber produced in this state.
4-25 (b) The department may charge an annual fee not to exceed
4-26 $2,500 for each applicant certified as a distributor or retailer
4-27 and a fee not to exceed $5,000 for each applicant certified as a
5-1 processor of organic food or fiber produced outside of this state.
5-2 (c) The department may charge an annual fee not to exceed
5-3 $2,500 for a person who obtains a certificate of accreditation as
5-4 an organic certifying agent.
5-5 (d) The department shall set fees under this subchapter in
5-6 amounts that enable it to recover the costs of administering this
5-7 subchapter.
5-8 Sec. 18.007. Denial, Suspension, or Revocation of Organic
5-9 Certification or Organic Certifying Agent Accreditation. The
5-10 department may deny, suspend, or revoke a certification of a
5-11 producer, processor, distributor, or retailer or a certificate of
5-12 accreditation issued to an organic certifying agent under this
5-13 subchapter if the person to whom the certification or accreditation
5-14 was issued:
5-15 (1) makes a false representation material to a matter
5-16 governed by this subchapter; or
5-17 (2) violates or refuses to comply with this subchapter
5-18 or a rule or instruction of the department under this subchapter.
5-19 Sec. 18.008. Penalty. (a) A person commits an offense if
5-20 the person knowingly:
5-21 (1) violates this subchapter; or
5-22 (2) fails to comply with a notice, order, or rule of
5-23 the department under this subchapter.
5-24 (b) An offense under this section is a Class C misdemeanor.
5-25 Sec. 18.009. Civil Penalty; Injunction. (a) A person who
5-26 violates this subchapter or a rule adopted under this subchapter is
5-27 liable to the state for a civil penalty not to exceed $500 for each
6-1 violation. Each day a violation continues is a separate violation
6-2 for purposes of a civil penalty assessment.
6-3 (b) On request of the department, the attorney general or
6-4 the county attorney or district attorney of the county in which the
6-5 violation is alleged to have occurred shall file suit to collect
6-6 the penalty.
6-7 (c) A civil penalty collected under this section shall be
6-8 deposited in the general revenue fund. All civil penalties
6-9 recovered in suits instituted by a county or district attorney
6-10 under this section shall be divided between the state and the
6-11 county in which the county or district attorney brought suit, with
6-12 50 percent of the recovery to be paid to the general revenue fund
6-13 and 50 percent to the county.
6-14 (d) The department is entitled to appropriate injunctive
6-15 relief to prevent or abate a violation of this subchapter or a rule
6-16 adopted under this subchapter. On request of the department, the
6-17 attorney general or the county or district attorney of the county
6-18 in which the alleged violation is threatened or occurring shall
6-19 file suit for the injunctive relief. Venue is in the county in
6-20 which the alleged violation is threatened or is occurring.
6-21 (e) This section is applicable only if the department
6-22 chooses to use civil remedy as opposed to criminal penalty under
6-23 Section 18.008.
6-24 Sec. 18.010. Stop-Sale Order. (a) If food or fiber is
6-25 being sold in violation of this subchapter or a rule adopted under
6-26 this subchapter, the department may issue a written order to stop
6-27 the sale of that item of food or fiber by a person in control of
7-1 the item. The person named in the order may not sell the item
7-2 until:
7-3 (1) permitted by a court under Subsection (b) of this
7-4 section; or
7-5 (2) the department determines that the sale of the
7-6 item is in compliance with this subchapter and rules adopted under
7-7 this subchapter.
7-8 (b) The person named in the order may bring suit in a court
7-9 in the county where the item is located. After a hearing, the
7-10 court may permit the item to be sold if the court finds the item is
7-11 not being sold in violation of this subchapter or a department rule
7-12 issued under this subchapter.
7-13 (c) This section does not limit the department's right to
7-14 act under another section of this subchapter.
7-15 SUBCHAPTER B: AGRICULTURAL PRODUCT STANDARDS
7-16 Sec. 18.011. PRODUCT CERTIFICATION. (a) The department may
7-17 establish certification programs relating to the protecting,
7-18 selling, advertising, marketing, transporting or other commercial
7-19 handling of agricultural, horticultural or related products in
7-20 Texas when a certification program is warranted to assure genetic
7-21 purity, identity, or disease or pest resistance, or to help prevent
7-22 the spread of insects, pests, disease or pathogens.
7-23 (b) The department may regulate the use of the term "Texas
7-24 Certified Product", other terms indicating product quality
7-25 standards, and any symbols connected with such terms as used with
7-26 any products regulated under this subchapter.
7-27 Sec. 18.012. RULES. The department may, by rule, develop
8-1 minimum certification standards for the administration and
8-2 enforcement of this subchapter.
8-3 Sec. 18.013. FEES. The department may set fees under this
8-4 subchapter in amounts no greater than needed to enable it to
8-5 recover the costs of administering this subchapter.
8-6 Sec. 18.014. CIVIL PENALTY; INJUNCTION. (a) A person who
8-7 violates this subchapter or a rule adopted by the department under
8-8 this subchapter is liable for a civil penalty not to exceed $500
8-9 for each violation. Each day a violation continues is a separate
8-10 violation for purposes of a civil penalty assessment. A civil
8-11 penalty collected under this section shall be deposited in the
8-12 general revenue fund. All civil penalties recovered in suits
8-13 instituted by a local government or governments under this section
8-14 shall be equally divided between the State of Texas and the local
8-15 government or governments with 50 percent of the recovery to be
8-16 paid to the General Revenue Fund and the other 50 percent equally
8-17 to the local government or governments first instituting the suit.
8-18 (b) On request of the department, the attorney general or
8-19 the county attorney or district attorney of the county in which the
8-20 violation is alleged to have occurred shall file suit to collect
8-21 the penalty.
8-22 (c) The department is entitled to appropriate injunctive
8-23 relief to prevent or abate a violation of this subchapter or a rule
8-24 adopted under this subchapter. On request of the department, the
8-25 attorney general or the county district attorney of the county in
8-26 which the alleged violation is threatened or occurring shall file
8-27 suit for the injunctive relief. Venue is the county in which the
9-1 alleged violation is threatened or occurring.
9-2 SUBCHAPTER C: AGRICULTURAL PRODUCTION PROCESS CERTIFICATION
9-3 PROGRAM
9-4 Sec. 18.015. AGRICULTURAL CERTIFICATION. (a) The
9-5 department may establish voluntary certification programs relating
9-6 to the protecting, selling, advertising, marketing, or related
9-7 production processes in Texas. Such processes may be certified
9-8 under this subchapter.
9-9 Sec. 18.016. RULES. The department may, by rule, develop
9-10 programs establishing minimum certification standards for
9-11 production processes.
9-12 Sec. 18.017. FEES. The department may set fees under this
9-13 subchapter in amounts no greater than needed to enable it to
9-14 recover the costs of administering this subchapter.
9-15 Sec. 18.018. PENALTIES. The department may assess an
9-16 administrative penalty under this subchapter only if it finds that
9-17 a person is falsely claiming to be certified under this subchapter.
9-18 SECTION 2. Section 12.020(c), Agriculture Code, is amended
9-19 to read as follows:
9-20 (c) The provisions of this code subject to this section and
9-21 the applicable penalty amounts are as follows:
9-22 Provision Maximum Penalty
9-23 Chapters 13, 14, 18, 61,
9-24 101, 102, 103, and 132, $500
9-25 Subchapter B, Chapter 71 $2,000
9-26 Subchapters A and C, Chapter 71
9-27 Chapters 72 and 73 $5,000.
10-1 SECTION 3. The importance of this legislation and the
10-2 crowded condition of the calendars in both houses create an
10-3 emergency and an imperative public necessity that the
10-4 constitutional rule requiring bills to be read on three several
10-5 days in each house be suspended, and this rule is hereby suspended,
10-6 and that this Act take effect and be in force from and after its
10-7 passage, and it is so enacted.