SRC-JJJ S.B. 631 76(R)BILL ANALYSIS


Senate Research CenterS.B. 631
By: Duncan
Natural Resources
6/23/1999
Enrolled


DIGEST 

Currently, certain aspects of the Texas Boll Weevil Eradication Foundation
(the foundation) with respect to its operation are acting within changes
made by the 75th Legislature.  There is a need for certain revisions to the
boll weevil eradication statute.  S.B. 631 will make it clear that the
commissioner of agriculture is authorized to inspect the books and records
of the foundation at any time, provide for re-enactment and modification of
applicator liability provisions set to expire September 1, 1999, enable the
foundation to consider best value purchasing criteria in contracting for
services, create a compliance certificate program in areas where growers
have established eradication programs, and provide mandatory venue in
Travis County for disputes arising. 

PURPOSE

As enrolled, S.B. 631 establishes modifications of the official cotton
growers' boll weevil eradication program. 

RULEMAKING AUTHORITY

Rulemaking authority is granted to the commissioner of agriculture in
SECTION 4 (Section 74.115(c), Agriculture Code) of this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 74.108, Agriculture Code, by adding Subsection
(d), to require the commissioner of agriculture (commissioner) to have the
power to inspect the books and other financial records of the Texas Boll
Weevil Eradication Foundation (foundation) at any time. 

SECTION 2.  Amends Section 74.1101, Agriculture Code, to delete text
regarding the foundations maintenance of required liability coverage with
respect to an applicator.  Deletes existing Subsections (d) and (e)
authorizing the commissioner to provide that the foundation include the
applicator on an insurance policy, and deleting the effective date for the
section. 

SECTION 3.  Amends Chapter 74D, Agriculture Code, by adding Section
74.1102, as follows: 

Sec. 74.1102.  CONTRACTING.  Authorizes the foundation to purchase goods
and services that provide the best value for the foundation, for a purchase
of goods and servicesunder this chapter.  Provides that in determining the
best value for the foundation, the purchase price and whether the goods or
services meet specifications are the most important considerations. Sets
forth other relevant factors that the foundation may consider.   

SECTION 4.  Amends Section 74.115, Agriculture Code, as follows:

Sec. 74.115.  New heading:  PAYMENT OF ASSESSMENTS; ASSESSMENT LIENS.
Authorizes the foundation to develop a compliance certificate program to
manage the payment and collection of an assessment levied under this
subchapter.  Authorizes the foundation, subject to certain rules, to issue
a compliance certificate for cotton for which an assessment has been paid.
Authorizes the commissioner to adopt rules relating to the compliance
certificate program for eradication assessments.  Authorizes the rules to
include certain provisions.  Provides that an assessment lien in favor of
the foundation attaches and  is perfected 60 days after the date the
foundation mails notice of assessment on certain cotton.  Sets forth
conditions under which a buyer of cotton takes free of the assessment lien.
Authorizes the foundation to assign with, with approval of the
commissioner, assessments or liens in favor of the foundation only if the
proceeds of the loan are designated for use in the eradication zone from
which the assessments or liens originated. 
  
SECTION 5.  Amends Chapter 74D, Agriculture Code, by adding Section 74.131,
as follows: 

Sec. 74.131. VENUE.  Provides that the venue for an action arising out of
this subchapter in which the foundation is a party is in Travis County.
Establishes that this section does not expand the liability of the
foundation provided under Section 74.129. 
  
SECTION 6.  Emergency clause.
            Effective date: upon passage.