By:  Ogden                                             S.B. No. 705
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to providing aid, support, and assistance to agriculture;
 1-2     establishing the agricultural technology program.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  (a)  SHORT TITLE.  This Act may be cited as the
 1-5     Farm and Ranch Recovery Act.
 1-6           (b)  FINDINGS.  The legislature finds that:
 1-7                 (1)  agriculture is a vital component of a diversified
 1-8     state economy;
 1-9                 (2)  agriculture is more directly and substantially
1-10     affected by adverse weather conditions than other industries;
1-11                 (3)  limited availability of federal crop subsidies and
1-12     adverse weather conditions present a significant risk to the
1-13     economic vitality of agricultural enterprises; and
1-14                 (4)  a comprehensive state agricultural policy that
1-15     addresses changes in federal policy and recurrent adverse weather
1-16     conditions will promote the growth of agriculture in this state and
1-17     will avert a public calamity.
1-18           (c)  PURPOSES.  The purposes of this Act are to:
1-19                 (1)  promote economic development by ensuring a
1-20     diversified economy;
1-21                 (2)  foster the growth of agriculture in this state;
1-22     and
1-23                 (3)  avert the substantial risk of a public calamity
1-24     that will likely result if agricultural industries do not receive
 2-1     the benefit of state planning and assistance.
 2-2           SECTION 2.  Title 3, Agriculture Code, is amended by adding
 2-3     Chapter 48 to read as follows:
 2-4       CHAPTER 48.  INTERIM COMMITTEE ON STATEWIDE AGRICULTURAL POLICY
 2-5           Sec. 48.001.  ORGANIZATION.  (a)  The Interim Committee on
 2-6     Statewide Agricultural Policy is established to study statewide
 2-7     agricultural policy.
 2-8           (b)  The committee consists of 10 members, of whom:
 2-9                 (1)  five shall be appointed by the speaker of the
2-10     house of representatives from the members of the house of
2-11     representatives; and
2-12                 (2)  five shall be appointed by the lieutenant governor
2-13     from the members of the senate.
2-14           (c)  The lieutenant governor and the speaker of the house of
2-15     representatives each shall appoint a presiding officer from among
2-16     the members appointed to the committee.
2-17           (d)  The committee shall convene at the call of the two
2-18     presiding officers.
2-19           Sec. 48.002.  POWERS AND DUTIES.  The committee shall
2-20     investigate and study:
2-21                 (1)  regulatory reform affecting agriculture;
2-22                 (2)  market expansion alternatives for agricultural
2-23     products of this state;
2-24                 (3)  risk management alternatives for agricultural
2-25     production;
2-26                 (4)  initiatives to make crop insurance more effective
 3-1     and affordable; and
 3-2                 (5)  the creation of a comprehensive state agricultural
 3-3     policy.
 3-4           Sec. 48.003.  REPORT.  The committee shall develop a report,
 3-5     including a cost-benefit analysis of regulatory reform affecting
 3-6     agriculture, that analyzes the issues described in Section 48.002
 3-7     and that includes recommended rule or statutory changes to
 3-8     implement the statewide agricultural policy options.  Not later
 3-9     than November 1, 2000, the committee shall make a final report to
3-10     the lieutenant governor, the speaker of the house of
3-11     representatives, and the 77th Legislature.
3-12           Sec. 48.004.  ADMINISTRATION.  (a)  The committee has the
3-13     authority necessary to perform its duties and in connection with
3-14     those duties may call and hold hearings.
3-15           (b)  The committee may request the assistance of state
3-16     agencies, departments, or offices to carry out its duties.
3-17           (c)  The Senate Committee on Natural Resources and the House
3-18     Committee on Agriculture and Livestock shall provide staff to the
3-19     committee.
3-20           Sec. 48.005.  EXPENSES.  The committee shall submit a
3-21     proposed budget to the appropriate committee on administration in
3-22     each house of the legislature.  The administration committees shall
3-23     jointly approve the committee budget in an amount appropriate for
3-24     the committee to accomplish its duties under this chapter.
3-25           Sec. 48.006.  EXPIRATION.  This chapter expires and the
3-26     committee is abolished on the date the legislature convenes in
 4-1     regular session in 2001.
 4-2           SECTION 3.  Title 4, Agriculture Code, is amended by adding
 4-3     Chapter 60 to read as follows:
 4-4              CHAPTER 60.  COMMODITY CRISIS COUNCIL AND MANAGER
 4-5           Sec. 60.001.  DEFINITIONS.  In this chapter:
 4-6                 (1)  "Agricultural crisis" means an event or condition,
 4-7     including adverse weather conditions, water shortages, disruptions
 4-8     in transportation, low commodity prices, animal health issues, crop
 4-9     disease, or insect infestations, that could disrupt or jeopardize
4-10     an aspect of the agricultural industry.
4-11                 (2)  "Council" means the Commodity Crisis Council.
4-12                 (3)  "Manager" means the Commodity Crisis Manager.
4-13           Sec. 60.002.  MANAGER; DUTIES.  (a)  The commissioner shall
4-14     designate an employee of the department to serve as manager who is
4-15     charged with mitigating the impact of any agricultural crisis on
4-16     commodities and agricultural production.
4-17           (b)  The manager serves as:
4-18                 (1)  presiding officer of the council;
4-19                 (2)  the representative of the department on the
4-20     emergency management council established by Executive Order GWB
4-21     95-1b; and
4-22                 (3)  the representative of the department on the
4-23     drought response and monitoring committee under Section 16.055,
4-24     Water Code.
4-25           (c)  The manager shall:
4-26                 (1)  manage and coordinate department planning and
 5-1     response to any agricultural crisis, as identified by the
 5-2     commissioner;
 5-3                 (2)  develop a plan to prepare the state for recurring
 5-4     drought conditions in regard to agricultural commodities, including
 5-5     specific response actions, long-term solutions to minimize the
 5-6     effect of such conditions, and an assessment of which regions of
 5-7     the state and which agricultural products are vulnerable to a
 5-8     drought; and
 5-9                 (3)  manage the emergency hay program established by
5-10     Chapter 254.
5-11           Sec. 60.003.  COUNCIL COMPOSITION; DUTIES.  (a)  The council
5-12     is composed of the manager, the members appointed under Subsection
5-13     (b), and one representative from each of the following agencies
5-14     appointed by the administrative head of that agency:
5-15                 (1)  the Texas Agricultural Extension Service;
5-16                 (2)  the State Soil and Water Conservation Board; and
5-17                 (3)  the Texas Forest Service.
5-18           (b)  The commissioner shall appoint not more than five
5-19     representatives of agricultural industries to serve on the council.
5-20           (c)  The council shall:
5-21                 (1)  advise the manager in the development of a state
5-22     plan to address recurring drought conditions;
5-23                 (2)  prepare and submit an informational report to the
5-24     governor and the legislature for each agricultural crisis, as
5-25     identified by the commissioner, in this state;
5-26                 (3)  prepare and submit a report to the commissioner to
 6-1     recommend projects for the agri-tech program, as defined by Chapter
 6-2     46;
 6-3                 (4)  initiate a program through the Texas Agricultural
 6-4     Extension Service to educate agricultural producers and the public
 6-5     about each agricultural crisis, as identified by the commissioner,
 6-6     in this state; and
 6-7                 (5)  meet as necessary to carry out the provisions of
 6-8     this section.
 6-9           (d)  The commissioner's appointees serve without
6-10     compensation, but are entitled to reimbursement for actual expenses
6-11     incurred in the performance of official council duties, subject to
6-12     approval of the commissioner.  Other council members shall be
6-13     reimbursed for actual expenses by their representative agencies.
6-14           (e)  The commissioner shall provide the council with staff
6-15     necessary to assist the council in carrying out its duties under
6-16     this chapter.
6-17           SECTION 4.  Title 3, Agriculture Code, is amended by adding
6-18     Chapter 46 to read as follows:
6-19                CHAPTER 46.  AGRICULTURAL TECHNOLOGY PROGRAM
6-20           Sec. 46.001.  DEFINITIONS.  In this chapter:
6-21                 (1)  "Agricultural crisis" means an event or condition,
6-22     including adverse weather conditions, water shortages, disruptions
6-23     in transportation, low commodity prices, animal health issues, crop
6-24     disease, or insect infestations, that could disrupt or jeopardize
6-25     an aspect of the agricultural industry.
6-26                 (2)  "Agri-tech program" means the agricultural
 7-1     technology program established under this chapter.
 7-2                 (3)  "Applied research" means research directed at
 7-3     gaining the knowledge or understanding necessary to meet a specific
 7-4     and recognized need, including the discovery of new scientific
 7-5     knowledge that has specific objectives relating to products or
 7-6     processes.
 7-7                 (4)  "Eligible institution" means an institution of
 7-8     higher education as that term is defined by Section 61.003,
 7-9     Education Code, designated under Section 46.002(e).
7-10           Sec. 46.002.  ADMINISTRATION; GUIDELINES AND PROCEDURES.
7-11     (a)  The department shall develop, maintain, and administer the
7-12     agri-tech program to provide support at eligible institutions to
7-13     conduct research projects on methods to address agricultural crises
7-14     in this state.
7-15           (b)  In awarding funds to support projects under this
7-16     chapter, the department shall:
7-17                 (1)  give priority to applied research projects that
7-18     the commissioner determines to be necessary to address an immediate
7-19     agricultural crisis; and
7-20                 (2)  consider the recommendations of the Commodity
7-21     Crisis Council for specific projects.
7-22           (c)  The department shall award funds to support projects as
7-23     needed to address agricultural crises in this state.
7-24           (d)  The department shall develop and maintain guidelines and
7-25     procedures to provide awards under this chapter for specific
7-26     projects at eligible institutions on a competitive, peer-review
 8-1     basis.
 8-2           (e)  The department shall determine whether an institution of
 8-3     higher education qualifies as an eligible institution for the
 8-4     purposes of this chapter.  To be designated as an eligible
 8-5     institution, an institution of higher education must demonstrate an
 8-6     exceptional capability to attract federal, state, and private
 8-7     funding for scientific and technical research and have an
 8-8     exceptionally strong research staff and the necessary equipment and
 8-9     facilities.
8-10           (f)  In considering projects for selection, the commissioner
8-11     shall give special consideration to projects that:
8-12                 (1)  leverage funds from other sources; and
8-13                 (2)  propose innovative, collaborative efforts:
8-14                       (A)  across academic disciplines;
8-15                       (B)  involving two or more eligible institutions;
8-16     or
8-17                       (C)  involving eligible institutions, private
8-18     industry, and the federal government.
8-19           (g)  The commissioner may adopt rules necessary to accomplish
8-20     the purposes of this chapter.
8-21           Sec. 46.003.  AGRICULTURAL TECHNOLOGY ACCOUNT.  (a)  The
8-22     agricultural technology account is an account in the general
8-23     revenue fund.
8-24           (b)  The agricultural technology account consists of
8-25     legislative appropriations, gifts and grants received under
8-26     Subsection (c), and other money required by law to be deposited in
 9-1     the account.
 9-2           (c)  The department may solicit and accept gifts in kind and
 9-3     grants of money from the federal government, local governments,
 9-4     private corporations, or other persons to be used for the purposes
 9-5     of this chapter.
 9-6           (d)  Funds in the agricultural technology account may be used
 9-7     only as provided by this chapter.  The account is exempt from the
 9-8     application of Section 403.095, Government Code.
 9-9           (e)  Income from money in the account shall be credited to
9-10     the account.
9-11           Sec. 46.004.  USE OF FUNDS IN AGRICULTURAL TECHNOLOGY
9-12     ACCOUNT.  (a)  From funds appropriated for the agri-tech program,
9-13     the comptroller shall issue warrants to each eligible institution
9-14     in the amount certified by the department to the comptroller.
9-15           (b)  Funds awarded from the agricultural technology account
9-16     may be expended to support the particular research project for
9-17     which the award is made and may not be expended for the support of
9-18     general research and instruction at the institution conducting or
9-19     sponsoring the project or for the construction or remodeling of a
9-20     facility.
9-21           (c)  Funds in the agricultural technology account shall be
9-22     used, when practicable within the purposes of this chapter, to
9-23     match grants provided by the federal government or private industry
9-24     for specific collaborative research projects at eligible
9-25     institutions.
9-26           (d)  Supplies, materials, services, and equipment purchased
 10-1    with funds obtained under this section are not subject to General
 10-2    Services Commission authority.
 10-3          Sec. 46.005.  PROGRESS REPORTS.  An institution receiving
 10-4    funds under this chapter shall report on the progress of the funded
 10-5    research to the department not later than September 1 of each year.
 10-6          Sec. 46.006.  MERIT REVIEW.  The commissioner shall appoint a
 10-7    committee consisting of representatives of the agricultural
 10-8    industry and of private enterprise advanced technology research
 10-9    organizations to evaluate the agri-tech program's effectiveness.
10-10    The committee shall report its findings to the department not later
10-11    than September 1 of the second year of each biennium.
10-12          SECTION 5.  Title 3, Agriculture Code, is amended by adding
10-13    Chapter 47 to read as follows:
10-14            CHAPTER 47.  AGRICULTURE RISK MANAGEMENT EDUCATION
10-15          Sec. 47.001.  LEGISLATIVE FINDINGS; PURPOSE.  (a)  The
10-16    legislature finds that:
10-17                (1)  the increasingly global marketplace and the
10-18    increasing flexibility in agriculture production decisions expose
10-19    agricultural producers and agribusinesses to increased income risk;
10-20                (2)  managing these increased risks is critical to the
10-21    future economic competitiveness and success of agriculture in this
10-22    state; and
10-23                (3)  policymakers, lenders, agribusiness firms, rural
10-24    community leaders, and researchers will benefit from a better
10-25    understanding of how farmers and ranchers adapt to different
10-26    economic, regulatory, and political environments.
 11-1          (b)  The purposes of this chapter are to:
 11-2                (1)  increase risk management educational efforts to
 11-3    help agricultural producers and agribusinesses to:
 11-4                      (A)  understand risk and its consideration in
 11-5    decision-making;
 11-6                      (B)  understand the economic impacts on farms or
 11-7    ranches of adopting new production or information technologies;
 11-8                      (C)  understand the economic impacts on farms or
 11-9    ranches of changing agricultural, regulatory, monetary, and fiscal
11-10    policies; and
11-11                      (D)  measure the relative risk associated with
11-12    alternative production, marketing, and financial decisions;
11-13                (2)  establish a statewide educational program that
11-14    includes a risk management support system and a comprehensive
11-15    educational curriculum; and
11-16                (3)  foster the economic competitiveness and success of
11-17    agriculture in this state.
11-18          Sec. 47.002.  CREATION OF PROGRAMS.  (a)  The Texas
11-19    Agricultural Extension Service shall administer a statewide
11-20    financial and risk management assistance support system to help
11-21    farmers and ranchers make long-term strategic planning decisions
11-22    and adjust their operations to new production, marketing, and
11-23    financing situations.  The support system may include computer and
11-24    communications technology to provide agricultural producers and
11-25    agribusinesses with information needed for individual long-term
11-26    strategic farm or ranch planning.
 12-1          (b)  The Texas Agricultural Extension Service shall develop
 12-2    and implement a statewide comprehensive educational curriculum
 12-3    program to provide agricultural producers and agribusinesses with
 12-4    additional information about risk management and potential tools
 12-5    and options to consider in managing risks.  The curriculum may
 12-6    include instructional materials, instructors, and other resources
 12-7    in areas of agricultural, regulatory, monetary, and fiscal
 12-8    interest.
 12-9          (c)  The Texas Agricultural Extension Service may organize
12-10    and deliver the programs with the assistance of interested
12-11    agricultural groups.
12-12          Sec. 47.003.  ELIGIBILITY FOR EDUCATIONAL MATERIALS AND
12-13    SERVICES.  As a condition for educational assistance under this
12-14    chapter, the Texas Agricultural Extension Service shall require
12-15    that a person pay a subscription fee or other charge in exchange
12-16    for educational services and materials.
12-17          SECTION 6.  Title 8, Agriculture Code, is amended by adding
12-18    Chapter 254 to read as follows:
12-19                    CHAPTER 254.  EMERGENCY HAY PROGRAM
12-20          Sec. 254.001.  DEFINITIONS.  In this chapter, "manager" means
12-21    the Commodity Crisis Manager, as defined by Chapter 60.
12-22          Sec. 254.002.  EMERGENCY HAY PROGRAM.  (a)  The department
12-23    shall adopt rules and administer a program to provide assistance
12-24    for the transportation of hay for use by agricultural producers
12-25    whose production abilities are hindered during periods of natural
12-26    disaster or other emergencies due to a lack of forage.
 13-1          (b)  The manager shall oversee the program.
 13-2          Sec. 254.003.  EMERGENCY HAY ACCOUNT.  (a)  The emergency hay
 13-3    account is an account in the general revenue fund.
 13-4          (b)  The emergency hay account consists of legislative
 13-5    appropriations and other money required by law to be deposited in
 13-6    the account.
 13-7          (c)  The department may solicit and accept gifts in kind and
 13-8    grants of money from the federal government, local governments,
 13-9    private corporations, or other persons to be used for the purposes
13-10    of this chapter.
13-11          (d)  Money in the account may be used only for the purposes
13-12    of this chapter.  The account is exempt from the application of
13-13    Section 403.095, Government Code.
13-14          (e)  Income from money in the account shall be credited to
13-15    the account.
13-16          Sec. 254.004.  DUTIES OF DEPARTMENT.  (a)  To provide
13-17    assistance under this chapter, the department shall:
13-18                (1)  establish a reciprocal system of waivers to help
13-19    facilitate the interstate transportation of hay;
13-20                (2)  create a database of pre-identified public and
13-21    private haulers willing to provide donated transportation;
13-22                (3)  institute and promote a hay and grazing hotline
13-23    to:
13-24                      (A)  connect Texas hay buyers with Texas sellers;
13-25                      (B)  connect Texas hay buyers and out-of-state
13-26    sellers;
 14-1                      (C)  connect Texas livestock producers with their
 14-2    own transportation with out-of-state donations;
 14-3                      (D)  connect donated transportation with hay
 14-4    donors; and
 14-5                      (E)  connect livestock owners with grazing leases
 14-6    in and out of Texas; and
 14-7                (4)  formalize a plan, with periodic updates, to secure
 14-8    and manage actual transportation and local distribution of hay
 14-9    donations.
14-10          (b)  The department shall coordinate its efforts with other
14-11    emergency relief programs administered by the governor's division
14-12    of emergency management.
14-13          (c)  To the greatest extent possible, the department shall
14-14    maximize the resources of the Texas Agricultural Extension Service
14-15    and agricultural commodity associations when designing and
14-16    implementing its plan.
14-17          Sec. 254.005.  POWERS OF COMMISSIONER.  (a)  The commissioner
14-18    may authorize the use of available funds from the emergency hay
14-19    account to facilitate the transportation of hay to producers when
14-20    donated resources have been exhausted.
14-21          (b)  Under this section, the commissioner may:
14-22                (1)  negotiate contracts with commercial haulers; and
14-23                (2)  pre-certify commercial haulers for use during a
14-24    natural disaster or other emergency.
14-25          Sec. 254.006.  ELIGIBILITY FOR PROGRAM.  The assistance
14-26    provided under this chapter is available only for agricultural
 15-1    producers within a county that is declared a federal disaster area.
 15-2          Sec. 254.007.  ASSISTANCE FOR DEPARTMENT.  (a)  The Texas
 15-3    Agricultural Extension Service shall enter into a memorandum of
 15-4    understanding with the department to assist the department with the
 15-5    program.
 15-6          (b)  Assistance by the Texas Agricultural Extension Service
 15-7    may include:
 15-8                (1)  an assessment of local conditions within an
 15-9    eligible county, as described by Section 254.006;
15-10                (2)  the selection of hay distribution sites; and
15-11                (3)  the coordination of volunteer efforts.
15-12          (c)  The Texas Agricultural Extension Service shall develop
15-13    guidelines for county extension agents to implement this section.
15-14          (d)  Under this section, county extension agents may
15-15    establish an advisory committee of local producers or work with an
15-16    existing committee.
15-17          Sec. 254.008.  TERMINATION OF PROGRAM ASSISTANCE.  (a)  The
15-18    commissioner shall determine on a monthly basis if there is a
15-19    continuing need for assistance to each county under the program.
15-20          (b)  If the commissioner determines that assistance is no
15-21    longer necessary or that available state resources have been
15-22    expended, the commissioner shall suspend assistance for that county
15-23    under the program.
15-24          SECTION 7.  Subchapter F, Chapter 661, Government Code, is
15-25    amended by adding Section 661.152 to read as follows:
15-26          Sec. 661.152.  LEAVE FOR VOLUNTEER FIREFIGHTERS IN CERTAIN
 16-1    DISASTERS.  (a)  This section applies only to a state employee who:
 16-2                (1)  is trained as a volunteer firefighter; and
 16-3                (2)  volunteers for duty to prevent or fight fires in
 16-4    an area designated as a federal disaster area as the result of
 16-5    drought conditions.
 16-6          (b)  A person to whom this section applies is eligible for a
 16-7    leave of absence from work as a state employee without loss of
 16-8    compensation or risk of termination for the hours during which the
 16-9    employee serves as a volunteer firefighter in a situation described
16-10    by Subsection (a)(2).
16-11          (c)  The state agency that employs a person who requests
16-12    leave under this section shall verify the person's eligibility to
16-13    take the leave.
16-14          SECTION 8.  This Act takes effect September 1, 1999.
16-15          SECTION 9.  The importance of this legislation and the
16-16    crowded condition of the calendars in both houses create an
16-17    emergency and an imperative public necessity that the
16-18    constitutional rule requiring bills to be read on three several
16-19    days in each house be suspended, and this rule is hereby suspended.