Bill not drafted by TLC or Senate E&E.

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         By:  Brown                                   S.B. No. 1124

                                A BILL TO BE ENTITLED

                                       AN ACT

 1-1     relating to the regulation of aquaculture.

 1-2           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-3           SECTION 1.  Subchapter A, Chapter 134, Agriculture Code, is

 1-4     amended to read as follows:

 1-5                      SUBCHAPTER A.  GENERAL PROVISIONS

 1-6           Sec. 134.001.  DEFINITIONS.  In this chapter:

 1-7                 (1)  "Cultured species" means aquatic [plants or]

 1-8     animals raised under conditions where at least a portion of their

 1-9     life cycle is controlled by an aquaculturist.

1-10                 (2)  "Exotic species" means a nonindigenous plant or

1-11     animal not normally found in the public waters of this state.

1-12                 (3)  "Aquaculturist" or "fish farmer" means any person

1-13     licensed under this chapter to engage in aquaculture or fish

1-14     farming.

1-15                 (4)  "Aquaculture" or "fish farming" means the business

1-16     of producing or [and] selling cultured species raised in private

1-17     facilities. Aquaculture or fish farming is an agricultural

1-18     activity.

1-19                 (5)  "Private facility" means a pond, tank, cage, or

1-20     other structure capable of holding cultured species in confinement

1-21     wholly within or on private land or water or within or on permitted

1-22     public land or water.

1-23                 (6)  "Owner" means an aquaculturist owning or operating

 2-1     a facility licensed by the commission [department].

 2-2                 (7)  "Commission" means the Texas Animal Health

 2-3     Commission.

 2-4           Sec. 134.002.  Aquaculture Program.  The department shall

 2-5     [establish an aquaculture program that]:

 2-6                 (1)  promote [develops and conducts a plan for

 2-7     promoting] aquaculture products;

 2-8                 (2)  provide [licenses and regulates aquaculture

 2-9     operations;]

2-10                 [(3)  provides] technical assistance, including

2-11     demonstrations, to aquaculturists;

2-12                 (3)  provide [(4)  provides] coordinated support

2-13     through colleges and universities and other governmental entities;

2-14                 (4)  solicit [(5)  solicits] financial support from the

2-15     federal government for the aquaculture industry;

2-16                 (5)  develop [(6)  develops] and expand [expands] the

2-17     aquaculture industry to:

2-18                       (A)  stimulate the state's economy; and

2-19                       (B)  offer alternative crop opportunities; and

2-20                 (6)  perform [(7)  performs] other functions and

2-21     activities as required by law.

2-22           Sec. 134.0025.  LICENSING.

2-23           (a)  The commission shall:

2-24                 (1)  license aquaculture facilities;

2-25                 (2)  develop an application process for an aquaculture

 3-1     license;

 3-2           (b)  the commission may:

 3-3                 (1)  set fees for an aquaculture license;

 3-4                 (2)  reserve the authority to deny an aquaculture

 3-5     license.

 3-6           Sec. 134.003.  Program Administrator; Staff.  (a)  The

 3-7     department shall designate a person to administer the department's

 3-8     aquaculture program.

 3-9           (b)  The department or the department's program administrator

3-10     may employ the necessary staff to carry out the functions and

3-11     duties of the department under this chapter.

3-12           Sec. 134.0035.  LICENSING ADMINISTRATOR; STAFF.  (a)  The

3-13     commission shall designate a person to administer the commission's

3-14     aquaculture licensing program.

3-15           (b)  The commission or the commission's program administrator

3-16     may employ the necessary staff to carry out the functions and

3-17     duties of the commission under this chapter.

3-18           Sec. 134.004.  Contracts.  The department and the commission

3-19     may contract with state, federal, or private entities for

3-20     assistance in carrying out the purposes of this chapter.

3-21           Sec. 134.005.  Rules.  (a)  The department, the commission,

3-22     and the Parks and Wildlife Commission may [shall] adopt rules to

3-23     carry out their respective duties under this chapter [the

3-24     aquaculture program].

3-25           (b)  The commission may adopt rules to control any disease or

 4-1     agent of transmission for any disease that affects, or has

 4-2     potential to affect, cultured species, or native wild aquatic

 4-3     species.

 4-4           (c)  The commission may establish, by rule, record keeping

 4-5     requirements for aquaculture facilities.

 4-6           (d)  The rules may not conflict with rules issued as

 4-7     otherwise provided by [under Section 134.020 of] this code.

 4-8           Sec. 134.006.  Aquaculture Fund.  (a)  The aquaculture fund

 4-9     is established in the state treasury.

4-10           (b)  The commission [department] shall deposit to the credit

4-11     of the fund the fees received from licenses issued under this

4-12     chapter.

4-13           (c)  The aquaculture fund may be used only to administer this

4-14     chapter.

4-15           SECTION 2.  Sections 134.011, 134.012, 134.014, 134.015, and

4-16     134.016, Agriculture Code, are amended to read as follows:

4-17           Sec. 134.011.  Aquaculture License Required.  A person may

4-18     not operate [an] a Texas aquaculture facility without first having

4-19     acquired from the commission [department] an aquaculture license.

4-20           Sec. 134.012.  Fish Farm Vehicle License Required.

4-21     (a)  Except as provided by Subsection (b) of this section, a person

4-22     [vehicle used to transport] transporting cultured species [fish]

4-23     from a private facility [fish farm] for sale must have [from the

4-24     vehicle is required to] a fish farm vehicle license.

4-25           (b)  A fish farm vehicle license is not required for a

 5-1     vehicle owned and operated by the holder of an aquaculture license.

 5-2           Sec. 134.014.  License Fees.  The commission [department]

 5-3     shall issue an aquaculture license or a fish farm vehicle license

 5-4     on the payment of a fee, as provided by commission [department]

 5-5     rule.

 5-6           Sec. 134.015.  Form, Duration, and Renewal of License.

 5-7     (a)  An aquaculture license must be on a numbered form provided by

 5-8     the commission [department].

 5-9           (b)  A license is valid for two years after the date of

5-10     issuance.  The commission [department] shall renew a license on

5-11     submission by the licensee of a completed application and a renewal

5-12     fee, as provided by commission [department] rule, unless the

5-13     commission [department] determines that the licensee has violated

5-14     this chapter or a rule adopted under this chapter.

5-15           (c)  The commission [department] may suspend an aquaculture

5-16     license if it is determined that the licensee has violated this

5-17     chapter or a rule adopted under this chapter.

5-18           Sec. 134.016.  Records.  The holder of an aquaculture license

5-19     shall maintain a record of the shipment [sales] of [cultured]

5-20     aquatic species raised in an aquaculture facility as prescribed by

5-21     Chapters 47 and 66, Parks and Wildlife Code, and rules adopted by

5-22     the Parks and Wildlife Commission under authority of the Parks and

5-23     Wildlife Code[, regulated by a bag, possession, or size limit for a

5-24     period of time of not less than one year. The record is open for

5-25     inspection by designated employees of the department during normal

 6-1     business hours].

 6-2           SECTION 3.  Chapter 134, Agriculture Code, is amended by

 6-3     adding Subchapter C to read as follows:

 6-4                   SUBCHAPTER C.  INTERAGENCY COOPERATION

 6-5           Sec. 134.031.  MEMORANDUM OF AGREEMENT.  (a)  The Texas

 6-6     Natural Resource Conservation Commission, the Parks and Wildlife

 6-7     Department, and the commission shall enter into a memorandum of

 6-8     agreement for the regulation of matters related to aquaculture.

 6-9           (b)  The memorandum of agreement must require that:

6-10                 (1)  the Texas Natural Resource Conservation

6-11     Commission, after receiving an application for a discharge permit

6-12     from an aquaculture facility, shall provide a copy of the

6-13     application to the Parks and Wildlife Department and the

6-14     commission;

6-15                 (2)  the Texas Natural Resource Conservation

6-16     Commission, the Parks and Wildlife Department, and the commission

6-17     shall each appoint one member of a three-member application review

6-18     committee to review the aquaculture discharge permit application to

6-19     ensure that the proposed discharge will not adversely affect bays,

6-20     estuaries, or other waters of this state;

6-21                 (3)  the Texas Natural Resource Conservation

6-22     Commission, the Parks and Wildlife Department, and the commission

6-23     shall:

6-24                             (A)  expeditiously enforce all aquaculture

6-25     regulations under the authority of each; and

 7-1                             (B)  coordinate their regulatory

 7-2     enforcement efforts with regard to aquaculture-related activities;

 7-3                 (4)  upon discovery of observable mortality, or other

 7-4     evidence of disease, in an aquaculture facility, the facility owner

 7-5     shall immediately notify the commission, and the commission shall

 7-6     immediately notify the Parks and Wildlife Department and the Texas

 7-7     Natural Resource Conservation Commission;

 7-8                 (5)  after receiving a notice from the commission under

 7-9     Subdivision (5), the executive director of the Texas Natural

7-10     Resource Conservation Commission shall immediately order a halt to

7-11     all wastewater discharges emanating from the reporting aquaculture

7-12     facility, or take other appropriate action; and

7-13                 (6)  the commission, after receiving an application for

7-14     an aquaculture license, as provided under Subchapter A, shall

7-15     provide a copy of the application to the Parks and Wildlife

7-16     Department.  The Parks and Wildlife Department shall assess the

7-17     possible adverse environmental impacts of the proposed aquaculture

7-18     facility, and advise the commission; and

7-19                 (7)  the Texas Natural Resource Conservation

7-20     Commission, the Parks and Wildlife Department, and the commission

7-21     shall conduct a study regarding wastewater discharges from

7-22     aquaculture facilities that:

7-23                       (A)  generates scientific information regarding

7-24     waste discharge permitting, with particular attention to the

7-25     environmental impact of suspended solids;

 8-1                       (B)  establishes standards for waste discharge

 8-2     permitting;

 8-3                       (C)  contains a plan for the aquaculture industry

 8-4     to pay for conducting the study and publishing the report required

 8-5     by this subdivision; and

 8-6                       (D)  serves as the basis of a joint report to be

 8-7     made available to the public.

 8-8           (c)  Representatives of the aquaculture industry, educational

 8-9     institutions, and interested governmental agencies are entitled to

8-10     participate in the study required by Subsection(b)(7).

8-11           (d)  The report required by Subsection(b)(7) shall be made

8-12     available to the public before December 31, 1998.  This subsection

8-13     expires December 31, 1998.

8-14           SECTION 4.  Sections 66.020(b) and (f), Parks and Wildlife

8-15     Code, are amended to read as follows:

8-16           (b)  This section applies to the possession, transportation,

8-17     sale, or purchase of any fish described by Subsection (a) of this

8-18     section without regard to where the fish was taken, caught, or

8-19     raised, but does not apply to:

8-20                 (1)  the transportation or possession of fish taken,

8-21     caught, or raised outside this state and transported by common

8-22     carrier without being unloaded from outside this state to a point

8-23     of delivery outside this state;

8-24                 (2)  fish raised by being continuously fed a prepared

8-25     feed and sold by a licensed Texas fish farmer [if marked and

 9-1     identified as required under Chapter 134, Agriculture Code]; or

 9-2                 (3)  the lawful importation by the holder of a Texas

 9-3     finfish import license into this state from another state or

 9-4     foreign country of farm-raised red drum, bass of the genus

 9-5     Micropterus, crappie, flathead catfish, striped bass, white bass,

 9-6     or a hybrid of any of those fish that have been continuously fed a

 9-7     prepared feed as a primary food source or lawfully taken, caught,

 9-8     or raised blue marlin, jewfish, longbill spearfish, muskellunge,

 9-9     northern pike, sailfish, sauger, snook, spotted sea trout, tarpon,

9-10     walleye, white marlin, yellow bass, or a hybrid of any of those

9-11     fish, if the fish are transported or sold when not alive and are

9-12     tagged, invoiced, packaged, and labeled under regulations of the

9-13     commission and if the license holder complies with any requirements

9-14     the commission may establish by proclamation that the fish enter

9-15     the stream of commerce for sale in this state in a condition

9-16     allowing ready identification of the species, including a

9-17     requirement that the fish come into the state with the head and

9-18     tail intact and tagged and a requirement that an invoice accompany

9-19     all imported fish regulated by this section through each sales

9-20     transaction, including transactions at the place of the final sale

9-21     to the consumer.

9-22           (f)  The commission by proclamation may require fish imported

9-23     under this section, fish raised and sold by a fish farmer licensed

9-24     by this state, or fish shipped by a fish farmer licensed by this

9-25     state to be tagged, packaged, and labeled and to be accompanied by

 10-1    an invoice.  The commission may provide a prenumbered invoice to a

 10-2    person importing any of the fish described by Subsection (a) of

 10-3    this section into this state from another state or foreign country

 10-4    and may charge a fee for the invoice in an amount determined by the

 10-5    commission that is reasonable to defray the administrative costs

 10-6    incurred under this subsection.  The invoice shall be used to

 10-7    report shipments of any of the fish described by Subsection (a) of

 10-8    this section.  A person who receives invoices under this subsection

 10-9    must account to the department for all invoices received as

10-10    required by rules adopted by the commission.  A person commits an

10-11    offense if the person fails or refuses to account for an invoice as

10-12    required by commission rules.

10-13          SECTION 5.  Sections 134.013 and 134.019, Agriculture Code,

10-14    are repealed.

10-15          SECTION 6.  Subchapter D, Chapter 1, Parks and Wildlife Code,

10-16    is repealed.

10-17          SECTION 7.  (a)  The Texas Animal Health Commission, the

10-18    Texas Natural Resource Conservation Commission, and the Parks and

10-19    Wildlife Department shall enter into a memorandum of agreement to

10-20    conduct a joint study.

10-21          (b)  The memorandum of agreement must:

10-22                (1)  require that the joint study be completed and a

10-23    report made public before January 1, 1999;

10-24                (2)  require that the joint study focus on the

10-25    occurrence of disease in discarded seafood and seafood processing

 11-1    plant waste and the possibility of transmission of disease to

 11-2    aquaculture facilities, or to native wild aquatic species, as a

 11-3    result of direct or indirect exposure to infected waste; and

 11-4                (3)  provide a strategy for the Texas Animal Health

 11-5    Commission to ensure that a seafood processing plant disposes of

 11-6    its waste in a manner that will minimize the transmission of

 11-7    disease from the seafood processing plant to an aquaculture

 11-8    facility, or to native wild aquatic species.

 11-9          (c)  The Texas Natural Resource Conservation Commission, the

11-10    Parks and Wildlife Department, and the Texas Animal Health

11-11    Commission shall enter into the memorandum of agreement required by

11-12    this section as soon as practicable on or after the effective date

11-13    of this Act.

11-14          SECTION 8.  (a)  This Act takes effect September 1, 1997.

11-15          (b)  The aquaculture executive committee is abolished

11-16    September 1, 1998.

11-17          SECTION 9.  (a)  The Department of Agriculture, the Parks and

11-18    Wildlife Department, and the Texas Animal Health Commission shall

11-19    coordinate any necessary transfer of files, personnel, equipment,

11-20    or related materials as soon as practicable on or after the

11-21    effective date of this Act.

11-22          (b)  A rule adopted by the Department of Agriculture with

11-23    regard to aquaculture licensing or regulation in effect immediately

11-24    before September 1, 1997, becomes a rule of the Texas Animal Health

11-25    Commission and remains in effect until amended or repealed by the

 12-1    commission or the department, as applicable.

 12-2          (c)  The validity of any action taken before September 1,

 12-3    1997, by the Department of Agriculture with regard to an

 12-4    aquaculture license or fish farm vehicle license is not affected by

 12-5    this Act.  To the extent an action of the department continues to

 12-6    have any effect on or after September 1, 1997, the action is

 12-7    considered to be an action of the Texas Animal Health Commission.

 12-8          (d)  The Texas Natural Resource Conservation Commission, the

 12-9    Parks and Wildlife Department, and the Texas Animal Health

12-10    Commission shall, as soon as practicable on or after the effective

12-11    date of this Act, enter into the memorandum of agreement required

12-12    by Section 134.031, Agriculture Code, as added by this Act.

12-13          (e)  The aquaculture executive committee and the application

12-14    review committee shall coordinate any necessary transfer of files,

12-15    personnel, equipment, or related material as soon as practicable on

12-16    or after the effective date of this Act.

12-17          SECTION 10.  The importance of this legislation and the

12-18    crowded condition of the calendars in both houses create an

12-19    emergency and an imperative public necessity that the

12-20    constitutional rule requiring bills to be read on three several

12-21    days in each house be suspended, and this rule is hereby suspended.