By:  Brown                                             S.B. No. 873
         Line and page numbers may not match official copy.
         Bill not drafted by TLC or Senate E&E.
                                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 only:
 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 in the [of this]
1-12     state.
1-13                 (3)  "Aquaculturist" or "fish farmer" means any person
1-14     [licensed under this chapter to engage] engaged in aquaculture or
1-15     fish farming.
1-16                 (4)  "Aquaculture" or "fish farming" means the business
1-17     of producing and selling cultured species raised in private
1-18     facilities. Aquaculture or fish farming is an agricultural
1-19     activity.
1-20                 (5)  "Private facility" means a pond, tank, cage, or
1-21     other structure capable of holding cultured species in confinement
1-22     wholly within or on private land or water or within or on permitted
 2-1     public land or water.
 2-2                 (6)  "Operator" means any person or entity in control
 2-3     of or having responsibility for the daily operation of an
 2-4     aquaculture facility ["Owner" means an aquaculturist operating a
 2-5     facility licensed by the department].
 2-6                 (7)  "Commercial aquaculture facility" means an
 2-7     aquaculture facility designed primarily for the production of
 2-8     cultured species for the purposes of sale, barter, or exchange.
 2-9                 (8)  "New aquaculture facility" means a commercial
2-10     aquaculture facility whose owner or operator initially sought waste
2-11     discharge authorization from the Texas Natural Resource
2-12     Conservation Commission after January 19, 1999.
2-13                 (9)  "Coastal zone" has the meaning assigned by Section
2-14     33.004, Natural Resources Code.
2-15           Sec. 134.002.  Aquaculture Program.  The department may
2-16     [shall establish an aquaculture program that]:
2-17                 (1)  promote [develops and conducts a plan for
2-18     promoting] aquaculture products;
2-19                 (2)  provide [licenses and regulates aquaculture
2-20     operations;]
2-21                 [(3)  provides] technical assistance, including
2-22     demonstrations, to aquaculturists;
2-23                 (3)  provide [(4)  provides] coordinated support
2-24     through colleges and universities and other governmental entities;
2-25                 (4)  solicit [(5)  solicits] financial support from the
2-26     federal government for the aquaculture industry;
 3-1                 (5)  develop [(6)  develops] and expand [expands] the
 3-2     aquaculture industry to:
 3-3                       (A)  stimulate the state's economy; and
 3-4                       (B)  offer alternative crop opportunities; and
 3-5                 (6)  perform [(7)  performs] other functions and
 3-6     activities as required by law.
 3-7           Sec. 134.003.  Program Administrator; Staff.  (a)  The
 3-8     department shall designate a person to administer the department's
 3-9     aquaculture program.
3-10           (b)  The department or the department's program administrator
3-11     may employ the necessary staff to carry out the functions and
3-12     duties of the department under this chapter.
3-13           Sec. 134.004.  Contracts.  The department, the Texas Natural
3-14     Resource Conservation Commission, the Texas Animal Health
3-15     Commission, and the Parks and Wildlife Department may contract with
3-16     state, federal, or private entities for assistance in carrying out
3-17     the purposes of this chapter.
3-18           Sec. 134.005.  Rules.  (a)  The department and the Parks and
3-19     Wildlife Commission shall adopt rules to carry out their respective
3-20     duties under this chapter [the aquaculture program].
3-21           (b)  The department by rule shall establish recordkeeping
3-22     requirements for a commercial aquaculture facility.
3-23           (c)  The rules may not conflict with rules issued under
3-24     Section 134.020 [of this code].
3-25           Sec. 134.006.  Aquaculture Fund.  (a)  The aquaculture fund
3-26     is established in the state treasury.
 4-1           (b)  The department shall deposit to the credit of the fund
 4-2     the fees received from licenses issued under this chapter.
 4-3           (c)  The aquaculture fund may be used only to administer this
 4-4     chapter.
 4-5           SECTION 2.  Sections 134.011, 134.012, 134.013, and 134.014,
 4-6     Agriculture Code, are amended to read as follows:
 4-7           Sec. 134.011.  LICENSING [AQUACULTURE LICENSE REQUIRED].
 4-8     (a)  A person may not operate an aquaculture facility without first
 4-9     having acquired from the department an aquaculture license.
4-10           (b)  The department shall:
4-11                 (1)  maintain an application process for an aquaculture
4-12     license;
4-13                 (2)  license aquaculture facilities; and
4-14                 (3)  regulate aquaculture operations.
4-15           (c)  The department shall provide a copy of each aquaculture
4-16     license application to the Parks and Wildlife Department and the
4-17     Texas Natural Resource Conservation Commission.
4-18           (d)  The department may not issue a license for a new
4-19     aquaculture facility unless the facility has been authorized by the
4-20     Texas Natural Resource Conservation Commission to dispose of
4-21     wastewater, or the facility will not dispose of wastewater into
4-22     waters in the state.
4-23           Sec. 134.012.  Fish Farm Vehicle License Required.
4-24     (a)  Except as provided by Subsection (b) [of this section], if a
4-25     vehicle is used to transport cultured species from a private
4-26     facility, and the cultured species are sold from the vehicle, the
 5-1     vehicle [a vehicle used to transport fish from a fish farm for sale
 5-2     from the vehicle] is required to have a fish farm vehicle license.
 5-3           (b)  A fish farm vehicle license is not required for a
 5-4     vehicle owned and operated by the holder of an aquaculture license.
 5-5           (c)  A person who operates a vehicle that is owned by the
 5-6     holder of an aquaculture license must keep a copy of the license in
 5-7     the vehicle when transporting cultured species from a private
 5-8     facility.
 5-9           Sec. 134.013.  ADDITIONAL REQUIREMENTS FOR SHRIMP PRODUCTION
5-10     WITHIN THE COASTAL ZONE.  (a)  A commercial aquaculture facility
5-11     located within the coastal zone engaged in the production of
5-12     shrimp:
5-13                 (1)  must obtain a site-specific wastewater discharge
5-14     permit from the Texas Natural Resource Conservation Commission
5-15     before the facility may discharge wastewater if the facility will
5-16     discharge wastewater or another substance into waters in the state;
5-17                 (2)  must provide the report described by Subsection
5-18     (b) and is subject to the review described in Section 134.031(c) if
5-19     the aquaculture facility applies for wastewater disposal
5-20     authorization after receiving exemption or registration by rule
5-21     from the Texas Natural Resource Conservation Commission; and
5-22                 (3)  must obtain an amendment to its site-specific
5-23     discharge permit from the Texas Natural Resource Conservation
5-24     Commission before the facility may increase the amount of
5-25     discharge, or change the nature of the discharge above levels
5-26     allowed by the wastewater discharge permit issued by the Texas
 6-1     Natural Resource Conservation Commission, except as otherwise
 6-2     provided by Chapter 26.0191, Water Code.
 6-3                 (4)  must provide the report described by Subsection
 6-4     (b) and is subject to the review described in Section 134.031(c)
 6-5     before the facility may increase the amount of discharge, or change
 6-6     the nature of the discharge above levels allowed by the wastewater
 6-7     discharge permit issued by the Texas Natural Resource Conservation
 6-8     Commission, except as otherwise provided by Chapter 26.0191, Water
 6-9     Code.
6-10           (b)  Before issuing a license to a new aquaculture facility
6-11     designed for the commercial production of shrimp that will
6-12     discharge wastewater into waters in the state within the coastal
6-13     zone, the department shall require the applicant to provide a
6-14     report describing the existing environmental conditions at the
6-15     proposed site, including aquatic habitat and the conditions of the
6-16     waters in the state into which a discharge is proposed.  The report
6-17     must provide an assessment of any potential impacts of wastewater
6-18     discharges on sensitive aquatic habitats in the areas of the
6-19     proposed site, significant impacts related to the construction or
6-20     operation of the facility, and any mitigation actions proposed by
6-21     the applicant.
6-22           (c)  The applicant must provide the report required under
6-23     Subsection (b) to the Texas Natural Resource Conservation
6-24     Commission and the Parks and Wildlife Department.  The Texas
6-25     Natural Resource Conservation Commission may not issue a wastewater
6-26     discharge permit to a new aquaculture facility designed for the
 7-1     commercial production of shrimp located within the coastal zone
 7-2     without consideration of the report described by Subsection (b).
 7-3     [BILL OF LADING REQUIRED.  A person operating a vehicle
 7-4     transporting fish regulated by a bag, possession, or size limit and
 7-5     prohibited from sale if taken from the public waters of this state
 7-6     shall carry a bill of lading that shows the number and species
 7-7     carried, the name of the owner and the location and license number
 7-8     of the aquaculture facility from which the species were
 7-9     transported, and the destination of the cargo.]
7-10           Sec. 134.014.  License Fees.  The department shall issue an
7-11     aquaculture license or a fish farm vehicle license on completion of
7-12     applicable license requirements and the payment of a fee by the
7-13     applicant, as provided by department rule.
7-14           SECTION 3.  Section 134.015(c), Agriculture Code, is amended
7-15     to read as follows:
7-16           (c)  The department may suspend an aquaculture license if it
7-17     is determined that the licensee has violated this chapter, [or] a
7-18     rule adopted under this chapter, or Section 66.007, Parks and
7-19     Wildlife Code.
7-20           SECTION 4.  Section 134.016, Agriculture Code, is amended to
7-21     read as follows:
7-22           Sec. 134.016.  Records.  The holder of an aquaculture license
7-23     shall maintain an invoice for each shipment of an aquatic product
7-24     shipped from a private facility for commercial purposes as provided
7-25     by Chapters 47 and 66, Parks and Wildlife Code, and rules adopted
7-26     by the Parks and Wildlife Commission [a record of sales of cultured
 8-1     species, regulated by a bag, possession, or size limit for a period
 8-2     of time of not less than one year. The record is open for
 8-3     inspection by designated employees of the department during normal
 8-4     business hours].
 8-5           SECTION 5.  Section 134.023(b), Agriculture Code, is amended
 8-6     to read as follows:
 8-7           (b)  A person who violates Section 134.019 or 134.020 [of
 8-8     this code] commits an offense that is a Class B misdemeanor.
 8-9           SECTION 6.  Chapter 134, Agriculture Code, is amended by
8-10     adding Subchapter C to read as follows:
8-11                   SUBCHAPTER C.  INTERAGENCY COOPERATION
8-12           Sec. 134.031.  MEMORANDUM OF UNDERSTANDING.  (a)  The
8-13     department, the Texas Natural Resource Conservation Commission, and
8-14     the Parks and Wildlife Department shall enter into a memorandum of
8-15     understanding for the regulation of matters related to aquaculture.
8-16           (b)  The Texas Natural Resource Conservation Commission,
8-17     after receiving an application for a wastewater discharge
8-18     authorization from an aquaculture facility, shall provide a copy of
8-19     the application to the department and the Parks and Wildlife
8-20     Department.
8-21           (c)  The department, the Texas Natural Resource Conservation
8-22     Commission, and the Parks and Wildlife Department shall each
8-23     appoint one member of a three-member application review committee
8-24     to review the wastewater discharge authorization application to
8-25     ensure that the proposed discharge will not adversely affect a bay,
8-26     an estuary, or other waters in the state.
 9-1           (d)  The Parks and Wildlife Department, in consultation with
 9-2     the Texas Natural Resource Conservation Commission, may establish
 9-3     general guidelines that identify sensitive aquatic habitat within
 9-4     the coastal zone.  The general guidelines must include factors such
 9-5     as presence of sea grass beds, depth of receiving waters, and
 9-6     amount of tidal exchange.
 9-7           (e)  If the Parks and Wildlife Department establishes the
 9-8     guidelines in Subsection (d), the Parks and Wildlife Department
 9-9     must provide the guidelines to the Texas Natural Resource
9-10     Conservation Commission, and the department.
9-11           (f)  If the Parks and Wildlife Department has established
9-12     guidelines described by Subsection (d), the Texas Natural Resource
9-13     Conservation Commission must consider the guidelines when reviewing
9-14     wastewater discharge authorization applications for new aquaculture
9-15     facilities located within the coastal zone, or expansion of
9-16     existing facilities located within the coastal zone if the
9-17     expansion will increase the amount of discharge, or change the
9-18     nature of the discharge, above levels allowed by the wastewater
9-19     discharge permit.
9-20           SECTION 7.  Section 66.007, Parks and Wildlife Code, is
9-21     amended by adding Subsections (g), (h), (i), (j), (k), and (l) to
9-22     read as follows:
9-23           (g)  The commission may adopt rules to control a disease or
9-24     agent of disease transmission that:
9-25                 (1)  may affect penaeid shrimp species; and
9-26                 (2)  has the potential to affect cultured species or
 10-1    other aquatic species.
 10-2          (h)  If one or more manifestations of disease is observed in
 10-3    any cultured marine penaeid shrimp species, the department shall
 10-4    immediately place the aquaculture facility under quarantine
 10-5    condition.  The department shall determine, by rule, the meaning of
 10-6    "manifestation of disease" and "quarantine condition" under this
 10-7    section.
 10-8          (i)  The department may coordinate with the Texas Animal
 10-9    Health Commission regarding testing for diseases.
10-10          (j)  If an aquaculture facility is under quarantine
10-11    condition, the owner may not discharge waste or another substance
10-12    from the facility except as allowed by commission rule.
10-13          (k)  In the event of a natural catastrophe, the owner may
10-14    discharge wastewater or another substance from an aquaculture
10-15    facility under quarantine condition in accordance with an emergency
10-16    plan that has been submitted to and approved by the department in
10-17    consultation with the Texas Natural Resource Conservation
10-18    Commission and the Texas Animal Health Commission.
10-19          (l)  On receiving notice from an owner of the observance of
10-20    manifestations of disease, the department shall immediately:
10-21                (1)  notify the Department of Agriculture, the Texas
10-22    Natural Resource Conservation Commission, and the Texas Animal
10-23    Health Commission; and
10-24                (2)  advise the Department of Agriculture, the Texas
10-25    Natural Resource Conservation Commission, and the Texas Animal
10-26    Health Commission regarding the appropriate action to be taken.
 11-1          SECTION 8.  Sections 66.020(f), Parks and Wildlife Code, is
 11-2    amended to read as follows:
 11-3          (f)  The commission by proclamation may require fish imported
 11-4    under this section to be tagged, packaged, and labeled and to be
 11-5    accompanied by an invoice.  The department [commission] may provide
 11-6    a prenumbered invoice to a person importing any of the fish
 11-7    described by Subsection (a) of this section into this state from
 11-8    another state or foreign country and may charge a fee for the
 11-9    invoice in an amount determined by the commission that is
11-10    reasonable to defray the administrative costs incurred under this
11-11    subsection.  The invoice shall be used to report shipments of any
11-12    of the fish described by Subsection (a) of this section.  A person
11-13    who receives invoices under this subsection must account to the
11-14    department for all invoices received as required by rules adopted
11-15    by the commission.  A person commits an offense if the person fails
11-16    or refuses to account for an invoice as required by commission
11-17    rules.
11-18          SECTION 9.  Subchapter B, Chapter 26, Water Code, is amended
11-19    by adding Section 26.0345 to read as follows:
11-20          Sec. 26.0345.  DISCHARGE FROM AQUACULTURE FACILITIES.
11-21    (a)  In addition to wastewater permit conditions established under
11-22    the authority of Sections 5.102, 5.103, 5.120, and 26.040, Water
11-23    Code, the Texas Natural Resource Conservation Commission, in
11-24    consultation with the Department of Agriculture and the Parks and
11-25    Wildlife Department, shall establish permit conditions relating to
11-26    suspended solids in a discharge permit for an aquaculture facility
 12-1    located within the coastal zone and engaged in shrimp production
 12-2    that are based on levels and measures adequate to prevent:
 12-3                (1)  potential significant adverse responses in aquatic
 12-4    organisms, changes in flow patterns of receiving waters, or
 12-5    untimely filling of bays with settled solids; or
 12-6                (2)  a potential significant adverse response in
 12-7    aquatic plants from attenuation of light by suspended solids in
 12-8    discharges.
 12-9          (b)  In this section, "coastal zone" has the meaning assigned
12-10    by Section 33.004, Natural Resources Code.
12-11          SECTION 10.  Effective September 1, 1999, Subchapter D,
12-12    Chapter 1, Parks and Wildlife Code, is repealed.  The aquaculture
12-13    executive committee is abolished on that date.
12-14          SECTION 11.  This Act takes effect September 1, 1999.
12-15          SECTION 12.  The Department of Agriculture, the Texas Natural
12-16    Resource Conservation Commission, and the Parks and Wildlife
12-17    Department shall, as soon as practicable on or after the effective
12-18    date of this Act, enter into the memorandum of understanding
12-19    required by Section 134.031, Agriculture Code, as added by this
12-20    Act.
12-21          SECTION 13.  The importance of this legislation and the
12-22    crowded condition of the calendars in both houses create an
12-23    emergency and an imperative public necessity that the
12-24    constitutional rule requiring bills to be read on three several
12-25    days in each house be suspended, and this rule is hereby suspended.