By:  Ogden, Wentworth, Bernsen                         S.B. No. 706
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to providing disaster relief to agriculture; providing
 1-2     penalties.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Title 8, Agriculture Code, is amended by adding
 1-5     Chapter 255 to read as follows:
 1-6                       CHAPTER 255.  DISASTER RELIEF PROGRAM
 1-7           Sec. 255.001.  DEFINITIONS.  For the purposes of this
 1-8     chapter, the following terms have the following meanings:
 1-9                 (1)  "Agriculture" means:
1-10                       (A)  the cultivation of the soil to produce
1-11     crops;
1-12                       (B)  horticulture, floriculture, or viticulture;
1-13                       (C)  forestry; or
1-14                       (D)  the raising or keeping of livestock or
1-15     poultry.
1-16                 (2)  "Commissioner" means the commissioner of
1-17     agriculture.
1-18                 (3)  "Department" means the Department of Agriculture.
1-19           Sec. 255.002.  FINDINGS.  The legislature finds that:
1-20                 (1)  agriculture is a vital component of a diversified
1-21     state economy;
1-22                 (2)  agriculture is more directly and substantially
1-23     affected by adverse weather conditions than other industries; and
1-24                 (3)  limited availability of federal crop subsidies and
 2-1     adverse weather conditions present a significant risk to the
 2-2     economic vitality of agricultural enterprises.
 2-3           Sec. 255.003.  PURPOSES.  The purposes of this chapter are
 2-4     to:
 2-5                 (1)  promote economic development by ensuring a
 2-6     diversified economy;
 2-7                 (2)  foster the growth of agriculture in this state;
 2-8                 (3)  encourage agricultural producers to return to
 2-9     production following a year of economic losses; and
2-10                 (4)  avert the substantial risk of a public calamity
2-11     that will likely result if agricultural industries do not receive
2-12     the benefit of state assistance.
2-13           Sec. 255.004.  AGRICULTURAL DISASTER RELIEF PROGRAM.  The
2-14     department shall adopt rules and administer an agricultural
2-15     disaster relief program to be implemented by order of the governor
2-16     in a county which has been declared a federal disaster area.
2-17           Sec. 255.005.  IMPLEMENTATION OF PROGRAM.  (a)  This chapter
2-18     is implemented only by order of the governor and is subject to
2-19     specific appropriation by the legislature.
2-20           (b)  The legislature may appropriate funds to provide
2-21     assistance for one or more of the agricultural sciences as
2-22     described by Section 255.001(1).
2-23           (c)  Any unexpended funds appropriated for the purposes of
2-24     this chapter are subject to Section 403.095, Government Code.
2-25           Sec. 255.006.  DISASTER RELIEF REIMBURSEMENT.  (a)  Subject
2-26     to Section 255.005, a person eligible for reimbursement under this
 3-1     chapter may apply for reimbursement of a portion of the person's
 3-2     feed, seed, seedling, and fertilizer costs incurred in the year
 3-3     following a federal disaster declaration on the land described by
 3-4     Section 255.007.
 3-5           (b)  The maximum reimbursement allowed to a person under this
 3-6     chapter is the least of:
 3-7                 (1)  30 percent of the costs described by Subsection
 3-8     (a);
 3-9                 (2)  $15,000; or
3-10                 (3)  two times the amount of property taxes paid on the
3-11     land described by Section 255.007 for the year during which the
3-12     disaster occurred.
3-13           Sec. 255.007.  ELIGIBILITY FOR REIMBURSEMENT.  A person
3-14     engaged in agriculture as a commercial endeavor who has suffered
3-15     uninsurable economic loss as a result of a disaster and has not
3-16     received federal relief funds to address that loss is eligible to
3-17     receive reimbursement under this chapter on land that:
3-18                 (1)  the person owned or leased for agricultural
3-19     purposes;
3-20                 (2)  was appraised in the year in which the disaster
3-21     occurred for property tax purposes under Subchapter C or D, Chapter
3-22     23, Tax Code; and
3-23                 (3)  is located in a county that has been declared a
3-24     disaster area by the federal government.
3-25           Sec. 255.008.  APPLICATION REQUIREMENTS.  (a)  The department
3-26     shall make application forms for reimbursement available through
 4-1     the county offices of the Texas Agricultural Extension Service.
 4-2           (b)  An applicant must submit with the application:
 4-3                 (1)  receipts for the expenditures eligible for
 4-4     reimbursement under Section 255.006(a);
 4-5                 (2)  property tax records for the land on which the
 4-6     economic loss occurred or, if the person is a tenant, documentation
 4-7     from the landowner indicating that the land was appraised in the
 4-8     year in which the disaster occurred as provided by Section
 4-9     255.007(2) and the amount of property taxes paid for that year; and
4-10                 (3)  other information required by the department to
4-11     assist the department in determining the applicant's eligibility
4-12     for reimbursement.
4-13           Sec. 255.009.  APPROVAL OF APPLICATION.  (a)  To the greatest
4-14     extent possible, the department shall institute an application
4-15     period not to exceed 90 days.
4-16           (b)  The department has sole authority to approve
4-17     applications under this chapter.
4-18           (c)  If the department approves an application, the
4-19     department shall pay the person the appropriate amount of
4-20     reimbursement under Section 255.006.
4-21           (d)  If insufficient funds are available to pay in full all
4-22     claims for reimbursement approved in any year, the department shall
4-23     pay the claims on a pro rata basis.
4-24           Sec. 255.010.  FRAUD.  (a)  A person commits the offense of
4-25     fraud if the person intentionally or knowingly makes a false
4-26     statement or supplies false information or directs another person
 5-1     to make a false statement or supply false information in an
 5-2     application, receipt, or record required under this chapter.
 5-3           (b)  An offense under this section is a state jail felony.
 5-4           Sec. 255.011.  ADMINISTRATION.  The department shall
 5-5     administer this chapter and may adopt rules for that purpose,
 5-6     including rules for the verification of eligibility for
 5-7     reimbursement and rules for application for reimbursement.  The
 5-8     department may contract with a state or federal agency to assist
 5-9     the department in administering this chapter.
5-10           SECTION 2.  Except as provided by Section 3 of this Act, this
5-11     Act takes effect September 1, 1999.
5-12           SECTION 3.  This Act takes effect only if a specific
5-13     appropriation for the implementation of this Act is provided in
5-14     H.B. No. 1 (General Appropriations Act), Acts of the 76th
5-15     Legislature, Regular Session, 1999.  If no specific appropriation
5-16     is provided in H.B. No. 1, the General Appropriations Act, this Act
5-17     has no effect.
5-18           SECTION 4.  The importance of this legislation and the
5-19     crowded condition of the calendars in both houses create an
5-20     emergency and an imperative public necessity that the
5-21     constitutional rule requiring bills to be read on three several
5-22     days in each house be suspended, and this rule is hereby suspended.