1-1 AN ACT 1-2 relating to the promotion of Texas agricultural products; providing 1-3 a penalty. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Section 12.020(c), Agriculture Code, is amended 1-6 to read as follows: 1-7 (c) The provisions of this code subject to this section and 1-8 the applicable penalty amounts are as follows: 1-9 Provision Maximum Penalty 1-10 Chapters 13, 14, 18, 46, 61, 94, 1-11 95, 101, 102, 103, 121, 125, 1-12 132, and 134 $500 1-13 Subchapter B, Chapter 71 1-14 Chapter 19 1-15 Chapters 75 and 76 $2,000 1-16 Subchapters A and C, Chapter 71 1-17 Chapters 72, 73, and 74 $5,000. 1-18 SECTION 2. Title 3, Agriculture Code, is amended by adding 1-19 Chapter 46 to read as follows: 1-20 CHAPTER 46. "GO TEXAN" PARTNER PROGRAM 1-21 Sec. 46.001. FINDINGS. The legislature finds that this 1-22 state needs a Texas agricultural product promotion program to 1-23 increase consumer awareness of Texas agricultural products and 1-24 expand the markets for Texas agricultural products. The legislature 1-25 further finds that the Texas Department of Agriculture, through the 1-26 establishment of the "Go Texan" Partner Program and use of program 2-1 grants and matching funds, is the proper department to promote and 2-2 advertise these products. 2-3 Sec. 46.002. DEFINITION. In this chapter "Texas 2-4 agricultural product" means an agricultural, horticultural, 2-5 viticultural, or vegetable product, either in its natural or 2-6 processed state, that has been produced, processed, or otherwise 2-7 had value added to the product in this state, including: 2-8 (1) bees; 2-9 (2) honey; 2-10 (3) fish or other seafood; 2-11 (4) a forestry product; 2-12 (5) livestock or a livestock product; 2-13 (6) planting seed; or 2-14 (7) poultry or a poultry product. 2-15 Sec. 46.003. GENERAL AUTHORITY. The Texas Department of 2-16 Agriculture shall establish and maintain the "Go Texan" Partner 2-17 Program to encourage the development and expansion of markets for 2-18 Texas agricultural products through participation of eligible 2-19 applicants who provide funds to be matched for promotional 2-20 marketing programs implemented by the department. 2-21 Sec. 46.004. ELIGIBLE APPLICANT. An eligible applicant must 2-22 be: 2-23 (1) a state or regional organization or board that 2-24 promotes the marketing and sale of Texas agricultural products and 2-25 does not stand to profit directly from specific sales of 2-26 agricultural commodities; 2-27 (2) a cooperative organization, as defined by 3-1 department rule; 3-2 (3) a state agency or board that promotes the 3-3 marketing and sale of agricultural commodities; 3-4 (4) a national organization or board that represents 3-5 Texas producers and promotes the marketing and sale of Texas 3-6 agricultural products; 3-7 (5) an eligible small business, as defined by 3-8 department rule; or 3-9 (6) any other entity that promotes the marketing and 3-10 sale of Texas agricultural products, as determined by the 3-11 department. 3-12 Sec. 46.005. DEPARTMENT POWERS AND DUTIES. The department 3-13 shall administer the "Go Texan" Partner Program. The duties of the 3-14 department in administering the program include: 3-15 (1) developing procedures for acceptance and 3-16 administration of funds received to administer the program, 3-17 including appropriations, gifts, license plate revenue, and 3-18 matching funds; 3-19 (2) developing application and selection procedures 3-20 including procedures for soliciting and accepting applications and 3-21 screening applications for review by the "Go Texan" Partner Program 3-22 Advisory Board; 3-23 (3) developing a general promotional campaign for 3-24 Texas agricultural products and advertising campaigns for specific 3-25 Texas agricultural products based on project requests submitted by 3-26 successful applicants; 3-27 (4) developing advertising programs and promotional 4-1 materials for use by program participants and establishing 4-2 guidelines on advertising activities by participants; 4-3 (5) contracting with media representatives for the 4-4 purpose of dispersing promotional materials; and 4-5 (6) receiving matching funds from program participants 4-6 and donations or grants from any source, and establishing internal 4-7 reporting requirements for use of funds. 4-8 Sec. 46.006. REQUIREMENTS FOR PARTICIPATION. To be eligible 4-9 for participation in the program through the use of matching funds 4-10 under this chapter, an organization must: 4-11 (1) be an eligible applicant under Section 46.004 of 4-12 this chapter; 4-13 (2) prepare and submit a project request and 4-14 application as provided by department rule; and 4-15 (3) meet any other requirement established by 4-16 department rule. 4-17 Sec. 46.007. PROJECT REQUESTS. (a) A project request 4-18 submitted by an eligible participant must describe the advertising 4-19 or other market-oriented promotional activities to be carried out 4-20 by the department using matching funds. 4-21 (b) The department may not approve a project request 4-22 submitted under this section unless the request includes: 4-23 (1) a specific description of the project and how 4-24 assistance received under this chapter could be expended in 4-25 implementing the request; 4-26 (2) a description of anticipated benefits to be 4-27 achieved as a result of the marketing promotional program; and 5-1 (3) additional information as required by the 5-2 department. 5-3 Sec. 46.008. "GO TEXAN" PARTNER PROGRAM ACCOUNT. (a) The 5-4 "Go Texan" partner program account is an account in the general 5-5 revenue fund. The account is composed of: 5-6 (1) legislative appropriations; 5-7 (2) gifts, grants, and matching funds received under 5-8 Subsection (b); 5-9 (3) money required to be deposited in the account 5-10 under Section 502.2761, Transportation Code; and 5-11 (4) other money required by law to be deposited in the 5-12 account. 5-13 (b) The department may solicit and accept gifts in kind and 5-14 grants of money from the federal government, local governments, 5-15 private corporations, or other persons to be used for the purposes 5-16 of this chapter. 5-17 (c) Money in the account may be appropriated to the 5-18 department only for the purpose of implementing and maintaining the 5-19 "Go Texan" Partner Program. 5-20 (d) Income from money in the account shall be credited to 5-21 the account. 5-22 (e) The account is exempt from the application of Section 5-23 403.095, Government Code. 5-24 Sec. 46.009. USE OF FUNDS. (a) Funds received under this 5-25 chapter may only be used for activities promoting the sale of Texas 5-26 agricultural products. The department by rule may allocate funds 5-27 to categories of eligible participants and to general or 6-1 product-specific promotional activities. 6-2 (b) The department shall adopt rules to ensure that money in 6-3 the "Go Texan" partner program account is used only for the 6-4 purposes prescribed under this section. 6-5 (c) The payment of the administrative expenses under the 6-6 program may not exceed seven percent of the average account 6-7 balance for the fiscal year. 6-8 Sec. 46.010. "GO TEXAN" PARTNER PROGRAM ADVISORY BOARD. (a) 6-9 The "Go Texan" Partner Program Advisory Board is composed of at 6-10 least eight members appointed by the commissioner to assist the 6-11 department in the implementation of the "Go Texan" Partner Program. 6-12 (b) The board shall include: 6-13 (1) two representatives from the department; 6-14 (2) one representative from the United States 6-15 Department of Agriculture (USDA) Commodity Credit Corporation, 6-16 involved in the promotion of agricultural commodities; 6-17 (3) one representative each from the radio, print, and 6-18 television advertising media; 6-19 (4) one representative from the advertising 6-20 profession; 6-21 (5) one consumer representative; and 6-22 (6) other members the commissioner determines as 6-23 necessary for the purposes of this chapter. 6-24 (c) A member of the advisory board serves at the pleasure of 6-25 the commissioner. 6-26 (d) A member serves without compensation but is entitled to 6-27 reimbursement for actual expenses incurred in the performance of 7-1 official board duties, subject to approval of the commissioner. 7-2 Money for expense reimbursement shall be deducted from the "Go 7-3 Texan" partner program account. 7-4 (e) Except as provided by Subsection (d), Chapter 2110, 7-5 Government Code, does not apply to the board. 7-6 (f) An eligible applicant is not ineligible to participate 7-7 in the program established under this chapter solely because a 7-8 board member is also an officer, director, or employee of the 7-9 applicant organization, provided that the board member shall be 7-10 recused from an action taken by the board on an application 7-11 involving an applicant organization with which the board member 7-12 serves as an officer, director, or employee. 7-13 (g) The board shall: 7-14 (1) review applications of eligible participants and 7-15 approve or deny funding under this chapter; 7-16 (2) advise the department on matters related to the 7-17 administration of the account; and 7-18 (3) advise the department on the adoption of rules 7-19 relating to the administration of the "Go Texan" Partner Program. 7-20 (h) The commissioner shall provide the board with staff 7-21 necessary to assist the board in carrying out its duties under this 7-22 chapter. 7-23 Sec. 46.011. CRITERIA FOR ALLOCATION OF FUNDS. The 7-24 department shall by rule and with the advice of the board establish 7-25 criteria for allocation of funds to participant projects. Rules 7-26 adopted under this section must include: 7-27 (1) the factors to be considered in evaluating 8-1 projects; and 8-2 (2) a maximum funding amount for each project. 8-3 Sec. 46.012. RULEMAKING AUTHORITY. The department shall 8-4 adopt rules to administer this chapter including rules for the use 8-5 of the "Go Texan" logo. 8-6 Sec. 46.013. ADMINISTRATIVE PENALTIES; CIVIL PENALTIES; 8-7 INJUNCTIVE RELIEF. (a) In addition to the other provisions of 8-8 this chapter, a person violates this chapter if the person: 8-9 (1) uses, reproduces, or distributes the logo of the 8-10 "Go Texan" Partner Program without registering with the department; 8-11 or 8-12 (2) violates a rule adopted by the department under 8-13 this chapter. 8-14 (b) A person who violates this chapter: 8-15 (1) forfeits the person's ability to use the logo of 8-16 the "Go Texan" Partner Program; and 8-17 (2) is ineligible for a grant of funds under this 8-18 chapter. 8-19 (c) The department may assess an administrative penalty as 8-20 provided by Section 12.020 against a person who violates this 8-21 chapter. 8-22 (d) A person who violates this chapter is subject to a civil 8-23 penalty not to exceed $500 for each violation. Each day that a 8-24 violation continues may be considered a separate violation for 8-25 purposes of a civil penalty assessed under this chapter. 8-26 (e) At the request of the department, the attorney general 8-27 or the county attorney or district attorney of the county in which 9-1 the violation is alleged to have occurred shall file suit to 9-2 collect the civil penalty. 9-3 (f) A civil penalty collected under this section shall be 9-4 deposited to the credit of the general revenue fund. 9-5 (g) At the request of the department, the attorney general 9-6 or the county or district attorney of the county in which the 9-7 alleged violation is threatened to occur or is occurring shall file 9-8 suit for the appropriate injunctive relief to prevent or abate a 9-9 violation of this chapter. Venue for an action brought under this 9-10 subsection is in Travis County. 9-11 SECTION 3. Subchapter F, Chapter 502, Transportation Code, 9-12 is amended by adding Section 502.2761 to read as follows: 9-13 Sec. 502.2761. TEXAS AGRICULTURAL PRODUCTS LICENSE PLATES. 9-14 (a) The department shall issue specially designed license plates 9-15 for passenger cars and light trucks to support the promotion of 9-16 Texas agricultural products. 9-17 (b) The license plates must include the words "Go Texan" and 9-18 the "Go Texan" logo of the Department of Agriculture and must be of 9-19 a color, quality, and design approved by the commissioner of 9-20 agriculture. 9-21 (c) The department shall issue license plates under this 9-22 section to a person who: 9-23 (1) applies to the county assessor-collector of the 9-24 county in which the person resides on the form provided by the 9-25 department; and 9-26 (2) pays an annual fee of $30, in addition to the fee 9-27 prescribed by Section 502.161 or Section 502.162 and, if 10-1 personalized prestige license plates are issued, in addition to the 10-2 fee prescribed by Section 502.251. 10-3 (d) The department shall deposit $25 of each fee collected 10-4 under Subsection (c) to the credit of the "Go Texan" partner 10-5 program account established by Section 46.008, Agriculture Code. 10-6 (e) The remainder of each fee collected under this section, 10-7 after deposit as provided by Subsection (d), shall be deposited to 10-8 the credit of the state highway fund and may be used only to defray 10-9 the cost of administering this section. 10-10 (f) If the owner of a vehicle registered under this section 10-11 disposes of the vehicle during the registration year, the owner 10-12 shall return the special license plates to the department. 10-13 SECTION 4. Title 3, Agriculture Code, is amended by adding 10-14 Chapter 47 to read as follows: 10-15 CHAPTER 47. TEXAS OYSTER PROGRAM 10-16 Sec. 47.001. PROMOTION AND ADVERTISEMENT. (a) The 10-17 department may promote and advertise the Texas oyster industry by: 10-18 (1) using current market research to develop an oyster 10-19 marketing plan to increase consumption of Texas oysters; 10-20 (2) conducting a public relations campaign to create a 10-21 responsible and accurate image of the Texas oyster industry; 10-22 (3) providing information, education, and training to 10-23 consumers on safe and proper handling of oysters; and 10-24 (4) using other methods the department considers 10-25 appropriate. 10-26 (b) The department, following guidance of the oyster 10-27 advisory committee established under Section 47.002, may use a 11-1 portion of the oyster sales fee funds provided for administrative 11-2 purposes. 11-3 Sec. 47.002. OYSTER ADVISORY COMMITTEE. (a) The 11-4 commissioner shall appoint an oyster advisory committee to provide 11-5 guidance and direction on the programs and activities established 11-6 under this chapter and expenditures of the funds appropriated for 11-7 the purposes of this chapter. 11-8 (b) Members of the advisory committee serve without 11-9 compensation or reimbursement of expenses. 11-10 (c) The advisory committee shall meet and elect a 11-11 chairperson from its members and shall conduct other meetings it 11-12 considers necessary to provide guidance and direction to the 11-13 department. 11-14 (d) The advisory committee consists of the following nine 11-15 members: 11-16 (1) six members appointed by the commissioner from a 11-17 list of nominations submitted individually by oyster dealers who 11-18 have been certified in Texas for at least 12 months of each year of 11-19 the three years preceding the nomination; 11-20 (2) two members appointed by the commissioner from a 11-21 list of nominations submitted individually by oyster dealers who 11-22 have been certified in Texas for at least six months of each year 11-23 of the three years preceding the nomination; and 11-24 (3) one member appointed by the commissioner 11-25 representing consumer interests. 11-26 (e) The advisory committee shall develop its own bylaws 11-27 under which it shall operate. The bylaws shall stipulate that five 12-1 members constitute a quorum sufficient to conduct meetings and 12-2 business of the advisory committee. 12-3 (f) An advisory committee member serves a three-year term, 12-4 with the terms of three members expiring August 31 of each year. 12-5 (g) A member of the advisory committee may be reappointed to 12-6 the advisory committee. 12-7 SECTION 5. For the first appointment to the oyster advisory 12-8 committee created under Chapter 47, Agriculture Code, as added by 12-9 this Act, the commissioner of agriculture shall appoint two members 12-10 from the list submitted under Section 47.002(d)(1), Agriculture 12-11 Code, as added by this Act, and one member from the list submitted 12-12 under Section 47.002(d)(2), Agriculture Code, as added by this Act, 12-13 or the consumer representative, to serve terms of one year, two 12-14 years, and three years, respectively, to establish the rotation. 12-15 SECTION 6. This Act takes effect only if a specific 12-16 appropriation for the implementation of this Act is provided in 12-17 H.B. No. 1 (General Appropriations Act), Acts of the 76th 12-18 Legislature, Regular Session, 1999. If no specific appropriation 12-19 is provided in H.B. No. 1, the General Appropriations Act, this Act 12-20 has no effect. 12-21 SECTION 7. This Act takes effect September 1, 1999. 12-22 SECTION 8. The importance of this legislation and the 12-23 crowded condition of the calendars in both houses create an 12-24 emergency and an imperative public necessity that the 12-25 constitutional rule requiring bills to be read on three several 12-26 days in each house be suspended, and this rule is hereby suspended. _______________________________ _______________________________ President of the Senate Speaker of the House I certify that H.B. No. 2719 was passed by the House on April 15, 1999, by a non-record vote; and that the House concurred in Senate amendments to H.B. No. 2719 on May 8, 1999, by a non-record vote. _______________________________ Chief Clerk of the House I certify that H.B. No. 2719 was passed by the Senate, with amendments, on May 6, 1999, by a viva-voce vote. _______________________________ Secretary of the Senate APPROVED: _____________________ Date _____________________ Governor