By Seaman H.B. No. 2640 75R8528 T A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the permitting of commercial mariculture facilities for 1-3 shrimp and exotic species of aquatic life in coastal counties, 1-4 relating to the authority of coastal counties over certain 1-5 mariculture activities, relating to a study to guide future 1-6 regulation of certain mariculture activities in Texas and granting 1-7 rulemaking authority. 1-8 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-9 SECTION 1. Chapter 26, Water Code, is amended to add a new 1-10 Section 26.0272 to read as follows: 1-11 Sec. 26.0272. STUDY OF IMPACTS OF DISCHARGES FROM CERTAIN 1-12 MARICULTURE FACILITIES. (a) Until completion of the study 1-13 described in Subsection (b) of this section, the commission shall 1-14 not 1-15 (1) grant any application for a permit, amendment, 1-16 renewal, or other authorization that is currently pending before 1-17 the agency or that is filed with the agency after the effective 1-18 date of this section for the discharge of any water or waste waters 1-19 from any existing or proposed mariculture facility for the 1-20 commercial production of shrimp or any exotic species if the 1-21 facility is located in any county bordering on the Gulf of Mexico 1-22 or bordering on the tidewater limits of the Gulf unless the permit, 1-23 amendment or other authorization provides that it expires on 1-24 September 1, 1999 and that it can only be renewed if meets the 2-1 standards and requirements of the commission based on the study 2-2 described in Subsection (b) of this section, or 2-3 (2) promulgate any rule authorizing discharges or 2-4 establishing requirements for discharges from such a facility. 2-5 (b) The commission shall, by December 1, 1998, conduct, in 2-6 coordination with the Parks and Wildlife Department, the Animal 2-7 Health Commission and appropriate educational entities, a study of 2-8 (1) the need for discharges and ways to minimize 2-9 discharges from mariculture facilities for the commercial 2-10 production of shrimp or any exotic species, and 2-11 (2) the potential impacts of such discharges on the 2-12 aquatic life of Texas bays and estuaries receiving such discharges. 2-13 The study shall include the examination of the potential impacts of 2-14 any release or pollutants, including viruses and exotic species. 2-15 The Parks and Wildlife Department shall have lead responsibility 2-16 for choosing any consultants for the study and for any evaluation 2-17 of the impacts of the release of viruses or exotic species. 2-18 (c) The commission shall coordinate with the Parks and 2-19 Wildlife Department and appropriate educational entities to 2-20 conduct, by December 1, 1998, a study of the impacts of the 2-21 diversions of state water by mariculture facilities for the 2-22 commercial production of shrimp or any exotic species on the 2-23 aquatic life of Texas bays and estuaries. 2-24 (d) The commission shall by rule establish an annual fee for 2-25 the use of state waters by mariculture facilities engaged in the 2-26 commercial production of shrimp or any exotic species. The fee 2-27 shall be collected for the period of January 1, 1997 to December 3-1 31, 1998 and be based on the actual or estimated amount of water 3-2 taken from Texas bays and estuaries during this period. The fee 3-3 shall be set by the commission in an amount sufficient to recover 3-4 the estimated costs of the studies required in Subsections (b) and 3-5 (c) of this section and any costs associated with the assessment 3-6 and collection of the fee. 3-7 (e) Upon completion of the studies required under this 3-8 section, the commission shall publish the results of the study and 3-9 shall submit copies of the study to the Governor, Lt. Governor and 3-10 Speaker of the House. 3-11 (f) In this section the term "mariculture" has the meaning 3-12 assigned in Section 11.1421 of this code. 3-13 (g) All permits issued by the commission before the 3-14 effective date of this law for a discharge of any water or waste 3-15 waters from any existing or proposed mariculture facility for the 3-16 commercial production of shrimp or any exotic species located in a 3-17 county bordering on the Gulf of Mexico or bordering on the 3-18 tidewater limits of the Gulf shall expire on September 1, 1999 and 3-19 can only be renewed if it meets the standards and requirements of 3-20 the commission based on the study described in Subsection (b) of 3-21 this section. 3-22 SECTION 2. Chapter 26, Water Code, is amended by adding a 3-23 new Section 26.0286 to read as follows: 3-24 Sec. 26.0286. ADDITIONAL REQUIREMENTS FOR CERTAIN 3-25 MARICULTURE FACILITIES ALONG THE TEXAS COAST. (a) This section 3-26 applies to new and existing mariculture facilities designed for the 3-27 commercial production of any type of shrimp or exotic species of 4-1 aquatic life in any county bordering on the Gulf of Mexico or on 4-2 the tidewater limits of the Gulf. 4-3 (b) The commission by rule shall require that any facility 4-4 described in Subsection (a) of this section shall obtain an 4-5 individual permit for any discharge prior to construction of the 4-6 facility and that an application for such a permit must include the 4-7 following: 4-8 (1) a certification that a copy of the application has 4-9 been filed by the applicant with the Texas Parks and Wildlife 4-10 Department and the commissioners court for the county in which the 4-11 facility is or is proposed to be located prior to or concurrently 4-12 with the filing of the application with the commission; 4-13 (2) a copy of a resolution from the county and city, 4-14 if the facility is or will be located within the corporate limits 4-15 or extraterritorial jurisdiction of a city, in which the facility 4-16 is located indicating the position of that local government on the 4-17 permitting of the facility or, if the applicant is unable to get 4-18 such a resolution, the sworn documentation that the applicant made 4-19 reasonable attempts to obtain such a resolution(s) including the 4-20 description of the attempts made. 4-21 (3) an environmental report describing in detail 4-22 (A) the site selection process for the facility, 4-23 including alternative locations considered and the basis for 4-24 selecting the requested location; 4-25 (B) the design and operating plans for the 4-26 facility, including plans for disease control, waste water 4-27 management and prevention of the creation of nuisance conditions; 5-1 (C) the existing environmental conditions at the 5-2 proposed site, including conditions in waters of the state from 5-3 which any diversion of water is planned or into which a discharge 5-4 is proposed; and 5-5 (D) any potential impacts of water intake, waste 5-6 discharges, dredging and any other significant activity related to 5-7 the construction and operation of the facility on sensitive aquatic 5-8 habitats in the areas of the proposed site and alternative sites 5-9 that were evaluated. 5-10 All or a part of the requirements of this subsection for an 5-11 environmental report may be waived by the commission for 5-12 applications filed after January 1, 2002, if, by rule, the 5-13 commission provides for waiver and making a formal finding, based 5-14 on a factual record that, as a result of the development of 5-15 adequate experience and expertise, the commission is able to 5-16 adequately evaluate sites proposed for such facilities without all 5-17 or a part of the environmental reports. 5-18 (4) A description of the best management practices 5-19 that the applicant proposes for use in minimizing potential impacts 5-20 to the environment from activities including water intake and 5-21 entrainment, pond management at the facility for water and bottom 5-22 sediments, routine water exchange, management of water during 5-23 harvests, feeding regimes to minimize waste, and stocking 5-24 densities. 5-25 (c) The commission shall give priority in its application 5-26 review process to any application for a facility described in 5-27 Subsection (a) above if 6-1 (1) the governmental body of the county and city, if 6-2 any, in which the facility is located has passed a resolution 6-3 supporting the location and operations of the facility; or 6-4 (2) the facility has limited its request for 6-5 authorization to the production of native species of aquatic life, 6-6 and will stock with only commercially raised animals. 6-7 (d) The commission may grant a discharge permit to a 6-8 facility described in Subsection (a) above only if it finds: 6-9 (1) the discharge will not cause a violation of any 6-10 water quality standard or other appropriate requirements imposed 6-11 pursuant to this chapter; 6-12 (2) the operator of the facility will use appropriate 6-13 best management practices adequate to minimize adverse effects to 6-14 the environment; 6-15 (3) the applicant has made reasonable efforts to 6-16 locate the facility in a manner that minimizes adverse impacts on 6-17 sensitive aquatic habitats; 6-18 (4) the operator will post a bond or provide other 6-19 appropriate financial assurance to the benefit of the commission, 6-20 if the permit authorizes the production of any exotic species. The 6-21 amount of the financial assurance shall be sufficient to provide 6-22 the resources needed by the commission to quarantine the facility, 6-23 disinfect the facility of any viruses, dispose of any wastes and 6-24 return the land to a condition suitable for its prior uses, in case 6-25 of abandonment of the facility by the operator; and 6-26 (5) the permit provides 6-27 (A) a prohibition on any discharge of water from 7-1 a facility if any disease is suspected or confirmed in any exotic 7-2 species being raised or if the executive director or the executive 7-3 director of the Texas Parks and Wildlife Department notifies the 7-4 operator in writing that there is good cause to suspect the 7-5 existence of disease at the facility. The prohibition must remain 7-6 in effect until the executive director of the Texas Parks and 7-7 Wildlife Department issues a written order that discharges can 7-8 begin; 7-9 (B) a requirement that any unit in the facility 7-10 in which disease has been identified must be put in a condition of 7-11 quarantine with no movement of water or animals to or from the unit 7-12 until a written approval for the movement of water or species to or 7-13 from the unit is issued by the executive director of the Texas 7-14 Parks and Wildlife Department; and 7-15 (C) notwithstanding Section 481.143(a) of the 7-16 Government Code, that the operator will comply with the best 7-17 management practices applicable to facilities subject to this 7-18 section as determined by the commission, including amendments to 7-19 those best management practices adopted by the commission during 7-20 the pendency of the permit. 7-21 (D) that the facility must have and implement a 7-22 disease monitoring and response plan that includes: 7-23 (i) a periodic disease monitoring program; 7-24 (ii) immediate reporting of any indication 7-25 of disease or detection of disease to the executive director and 7-26 the executive director of the Texas Parks and Wildlife Department; 7-27 (iii) for any pond in which disease is 8-1 suspected or confirmed, provisions for the use of netting or other 8-2 similar steps to minimize the removal of diseased organisms by 8-3 birds and other animals; and 8-4 (iv) the immediate quarantine of any area 8-5 in which disease is suspected or confirmed to assure that there is 8-6 no release of water or animals from the area until authorized by 8-7 the executive director of the Texas Parks and Wildlife Department. 8-8 (e) In this section, the term "mariculture" has the meaning 8-9 assigned to it in Section 11.1421 of this code. 8-10 (f) Construction of new facility or expansion of an existing 8-11 facility for the commercial production of shrimp or any exotic 8-12 species in any county bordering on the Gulf of Mexico or bordering 8-13 on the tidewater limits of the Gulf is prohibited until the permit 8-14 required under this chapter has been issued. 8-15 SECTION 3. Chapter 66, Parks and Wildlife Code, is amended 8-16 to add a new Section 66.0071 to read as follows: 8-17 Sec. 66.0071. LIMITATIONS ON ISSUANCE OF CERTAIN LICENSES 8-18 FOR EXOTIC SPECIES. No license or other authorizations may be 8-19 issued or renewed for the possession of any exotic species of 8-20 shrimp for purposes of commercial production in any county 8-21 bordering on the Gulf of Mexico or on the tidewater limits of the 8-22 Gulf unless the applicant for the license, renewal or other 8-23 authorization proves to the department through a letter from the 8-24 Texas Natural Resource Conservation Commission stating that 8-25 facility to be used for commercial production 8-26 (a) has all required discharge permits or other 8-27 authorizations from the Texas Natural Resource Conservation 9-1 Commission for the discharge of waste waters from the production 9-2 facility or 9-3 (b) does not need a discharge permit or other authorization 9-4 since the production facility is adequately designed to operate 9-5 without any discharge of waste waters. 9-6 SECTION 4. The importance of this legislation and the 9-7 crowded condition of the calendars in both houses create an 9-8 emergency and an imperative public necessity that the 9-9 constitutional rule requiring bills to be read on three several 9-10 days in each house be suspended, and this rule is hereby suspended, 9-11 and that this Act take effect and be in force from and after its 9-12 passage, and it is so enacted.