By:  Lucio                                             S.B. No. 992
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to the handling and marketing of vegetables and fruit and
 1-2     to the payment of claims from the Produce Recovery Fund; providing
 1-3     penalties.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  The chapter heading for Chapter 101, Agriculture
 1-6     Code, is amended to read as follows:
 1-7       CHAPTER 101.  HANDLING AND MARKETING OF PERISHABLE COMMODITIES
 1-8                                [VEGETABLES]
 1-9           SECTION 2.  Section 101.001, Agriculture Code, is amended to
1-10     read as follows:
1-11           Sec. 101.001.  DEFINITIONS.  In this chapter:
1-12                 (1)  "Handle" means buy for resale, sell, offer to
1-13     sell, process, broker, or ship for the purpose of selling.
1-14                 (2)  "Packer" means a person who prepares or packs
1-15     perishable commodities [vegetables] for barter, sale, exchange, or
1-16     shipment.
1-17                 (3)  "Perishable commodity" means fresh produce grown
1-18     in Texas and generally considered a perishable vegetable or fruit.
1-19                 (4)  "Person" means an individual, partnership, group
1-20     of persons, corporation, or business unit.
1-21                 (5) [(4)]  "Producer" means a person who is engaged in
1-22     the business of growing or producing any perishable commodity
1-23     [vegetable].
1-24                 [(5)  "Vegetable" means fresh produce generally
 2-1     considered a perishable vegetable, nut, or fruit, but does not
 2-2     include a citrus fruit.]
 2-3                 (6)  "Warehouseman" means a person who receives and
 2-4     stores perishable commodities [vegetables] for compensation.
 2-5           SECTION 3.  Section 101.002, Agriculture Code, is amended to
 2-6     read as follows:
 2-7           Sec. 101.002.  PERISHABLE COMMODITIES [VEGETABLES].
 2-8     (a)  This chapter applies to perishable commodities [vegetables],
 2-9     whether or not packed in ice or held in cold storage [but only if
2-10     grown in this state], and does not apply to perishable commodities
2-11     [vegetables] that have been manufactured into an article of food of
2-12     a different kind or character.
2-13           (b)  For purposes of this section, the effects of the
2-14     following operations do not change a perishable commodity
2-15     [vegetable] into an article of food of a different kind or
2-16     character: freezing; water or steam blanching; shelling; chopping;
2-17     adding color; curing; cutting; dicing; drying for the removal of
2-18     surface moisture; fumigating; gassing; heating for necessary
2-19     control; ripening; coloring; removal of seeds, pits, stems,
2-20     calyxes, husks, pods, rinds, skins, peels, or similar items;
2-21     trimming; washing with or without chemicals; waxing; adding sugar
2-22     or other sweetening agents; adding ascorbic acids or other agents
2-23     used to retard oxidation; mixing with several kinds of sliced,
2-24     chopped, or diced perishable commodities [vegetables] for packaging
2-25     in any type of container; or any comparable method of preparation.
2-26           SECTION 4.  Section 101.003, Agriculture Code, is amended to
 3-1     read as follows:
 3-2           Sec. 101.003.  LICENSE REQUIRED.  (a)  Except as otherwise
 3-3     provided by this section, a person may not handle perishable
 3-4     commodities [vegetables grown in this state], as owner, agent, or
 3-5     otherwise, without a license or an identification card issued by
 3-6     the department.
 3-7           (b)  This section does not apply to:
 3-8                 (1)  a retailer, unless the retailer:
 3-9                       (A)  has annual sales of perishable commodities
3-10     [vegetables and citrus fruit] that comprise 50 [75] percent or more
3-11     of the retailer's total sales; or
3-12                       (B)  employs a buying agent who buys directly
3-13     from a producer; [or]
3-14                 (2)  a producer who handles or deals exclusively in the
3-15     producer's own products;
3-16                 (3)  a person shipping less than six standard boxes of
3-17     citrus fruit in any one separate shipment; or
3-18                 (4)  a person who ships a noncommercial shipment of
3-19     perishable commodities.
3-20           [(c)  A person who holds a license under this section is also
3-21     considered, without paying an additional fee, to hold a license or
3-22     be registered under Section 102.003 of this code.]
3-23           SECTION 5.  Section 101.004, Agriculture Code, is amended to
3-24     read as follows:
3-25           Sec. 101.004.  LICENSE OR REGISTRATION CATEGORIES.  (a)  [A
3-26     person who is required by Section 101.003 of this code to be
 4-1     licensed or registered shall apply to the department for the
 4-2     appropriate category described by this section that is appropriate
 4-3     to the actions of the person.]
 4-4           [(b)]  A person shall apply for a license if the person:
 4-5                 (1)  purchases perishable commodities [vegetables] on
 4-6     credit;
 4-7                 (2)  takes possession of perishable commodities
 4-8     [vegetables] for consignment or handling on behalf of the producer
 4-9     or owner of the perishable commodities [vegetables]; or
4-10                 (3)  takes possession of perishable commodities
4-11     [vegetables] for consignment or handling in a manner or under a
4-12     contract that does not require or result in payment to the
4-13     producer, seller, or consignor of the full amount of the purchase
4-14     price in United States currency at the time of delivery or at the
4-15     time that the perishable commodities [vegetables] pass from the
4-16     producer, seller, or consignor to the person.
4-17           (b) [(c)]  A person shall register as a cash dealer if the
4-18     person purchases perishable commodities [vegetables] and pays for
4-19     the perishable commodities [vegetables] in United States currency
4-20     before or at the time of delivery or taking possession.
4-21           SECTION 6.  Section 101.005, Agriculture Code, is amended to
4-22     read as follows:
4-23           Sec. 101.005.  APPLICATION FOR LICENSE.  (a)  A person
4-24     required under Section 101.003 of this code to be licensed or
4-25     registered shall apply to the department on a form furnished by the
4-26     department.  The applicant shall provide [application must be made
 5-1     under oath and contain] the following information and certify that
 5-2     the information provided is true and correct:
 5-3                 (1)  the full name of the applicant and whether the
 5-4     applicant is an individual, partnership, corporation, exchange, or
 5-5     association;
 5-6                 (2)  the full name and address of the principal
 5-7     business office of the applicant;
 5-8                 (3)  the address of the applicant's principal business
 5-9     office in this state;
5-10                 (4)  if the applicant is a foreign corporation, the
5-11     state in which the corporation is chartered and the name and
5-12     address of a registered [an] agent in this state for service of
5-13     legal process; and
5-14                 (5)  the length of time that the applicant has been
5-15     engaged in business in this state.
5-16           (b)  In addition to providing the information under
5-17     Subsection (a) of this section, each applicant shall answer the
5-18     following questions on the application:
5-19                 (1)  "Have you previously been licensed by [in] this
5-20     state or the United States Department of Agriculture to handle
5-21     perishable commodities [vegetables]?"
5-22                 (2)  "If you answered that you have been previously
5-23     licensed, has any license issued to you by [in] this state or the
5-24     United States Department of Agriculture ever been suspended or
5-25     revoked?"
5-26                 (3)  "If you have answered that a license issued to you
 6-1     by [in] this state or by the United States Department of
 6-2     Agriculture has been suspended or revoked, when, where, and for
 6-3     what reason was the license suspended or revoked?"
 6-4           (c)  An applicant's failure to truthfully and accurately
 6-5     provide the information required by Subsections (a) and (b) is a
 6-6     violation for purposes of administrative penalty action and may
 6-7     result in denial of an application.
 6-8           SECTION 7.  Section 101.006, Agriculture Code, as amended by
 6-9     Chapters 269 and 419, Acts of the 74th Legislature, Regular
6-10     Session, 1995, is reenacted and amended to read as follows:
6-11           Sec. 101.006.  LICENSE FEE.  (a)  Except as otherwise
6-12     provided by this section, a person applying for a license shall
6-13     include with the license application a refundable license fee, as
6-14     provided by department rule [of $75].
6-15           (b)  The department shall charge a registration [license] fee
6-16     for a cash dealer as provided by department rule [is $25].
6-17           [(c)  Except as otherwise provided by this section, a person
6-18     who applies for a license as a commission merchant or retailer
6-19     under both this chapter and Chapter 102 of this code is entitled to
6-20     pay a single license fee, as provided by department rule.  The
6-21     person's license shall reflect that the person is licensed to
6-22     handle both citrus fruit and vegetables.]
6-23           [(d)  A person who applies for a license under Subsection (b)
6-24     of this section and Subsection (b) of Section 102.006 of this code
6-25     is entitled to pay a single license fee, as provided by department
6-26     rule.  The person's license shall reflect that the person is
 7-1     licensed to handle both citrus fruit and vegetables.]
 7-2           SECTION 8.  Subsections (a) and (c), Section 101.007,
 7-3     Agriculture Code, are amended to read as follows:
 7-4           (a)  Except as otherwise provided by this section, the
 7-5     department shall [immediately] issue a license to an applicant who:
 7-6                 (1)  tenders an application;
 7-7                 (2)  pays the license fee, if required; and
 7-8                 (3)  pays the appropriate fee to the produce recovery
 7-9     fund under Chapter 103 of this code, if required.
7-10           (c)  The department may refuse to issue a license under this
7-11     section if the department determines that a license previously
7-12     issued [under this section] to the applicant was revoked or
7-13     suspended or that the applicant has engaged in conduct for which a
7-14     license could have been revoked or suspended.  In determining
7-15     whether to refuse to issue a license under this section, the
7-16     department may consider:
7-17                 (1)  the facts and circumstances pertaining to a prior
7-18     suspension or revocation;
7-19                 (2)  the financial condition of the applicant as of the
7-20     date of the application;
7-21                 (3)  any judgment by a court of this state that is
7-22     outstanding against the applicant and is due and owing to a
7-23     licensee, grower, or producer of perishable commodities
7-24     [vegetables]; and
7-25                 (4)  any certified claim against the applicant by a
7-26     licensee, grower, or producer of perishable commodities
 8-1     [vegetables] that is under consideration by the department.
 8-2           SECTION 9.  Subsection (a), Section 101.010, Agriculture
 8-3     Code, is amended to read as follows:
 8-4           (a)  In accordance with the rules of the department, a
 8-5     license holder may apply to the department for a reasonable number
 8-6     of identification cards for:
 8-7                 (1)  transporting agents to act for the license holder
 8-8     in the transporting of perishable commodities [vegetables]; and
 8-9                 (2)  buying agents to act for the license holder in any
8-10     act requiring licensing under Section 101.003 of this code.
8-11           SECTION 10.  Section 101.011, Agriculture Code, is amended to
8-12     read as follows:
8-13           Sec. 101.011.  LICENSE OR IDENTIFICATION CARD NOT ASSIGNABLE.
8-14     A license or identification card is not assignable[, and any
8-15     attempt to assign voids the license or card].
8-16           SECTION 11.  Subsections (a) and (c), Section 101.013,
8-17     Agriculture Code, are amended to read as follows:
8-18           (a)  If a licensee causes a producer, seller, or owner, or an
8-19     agent of a producer, seller, or owner, to part with control or
8-20     possession of all or any part of the person's perishable
8-21     commodities [vegetables] and agrees by contract of purchase to pay
8-22     the purchase price on demand following delivery, the licensee
8-23     [dealer] shall make payment immediately on demand.
8-24           (c)  If the producer, seller, owner, or agent waives the
8-25     right to payment of purchase price on demand, the contract for the
8-26     handling, purchase, or sale of the perishable commodities
 9-1     [vegetables] must be in writing.  The parties shall prepare the
 9-2     contract in duplicate and set out in the contract the full details
 9-3     of the transaction.  If the contract does not specify the time and
 9-4     manner of settlement, the licensee shall pay the full amount called
 9-5     for by the contract directly to the producer, seller, owner, or
 9-6     agent before the 31st day following the day of delivery of the
 9-7     perishable commodities [vegetables] into the licensee's control.
 9-8           SECTION 12.  Section 101.014, Agriculture Code, is amended to
 9-9     read as follows:
9-10           Sec. 101.014.  COMMISSION OR SERVICE CHARGE IN CONTRACT.  If
9-11     a licensee handles perishable commodities [vegetables] by
9-12     guaranteeing a producer or owner a minimum price and handles the
9-13     perishable commodities [vegetables]  on the account of the producer
9-14     or owner, the licensee shall include in the contract with the
9-15     producer or owner the maximum amount that the licensee will charge
9-16     for commission, service, or both, in connection with the perishable
9-17     commodities [vegetables] handled.
9-18           SECTION 13.  Section 101.015, Agriculture Code, is amended to
9-19     read as follows:
9-20           Sec. 101.015.  SETTLEMENT ON GRADE AND QUALITY.  (a)  Except
9-21     as otherwise provided by this section, a licensee shall settle with
9-22     the producer or seller of perishable commodities [vegetables] on
9-23     the basis of the grade and quality that is referred to in the
9-24     contract under which the licensee obtained possession or control of
9-25     the perishable commodities [vegetables].
9-26           (b)  If the perishable commodities [vegetables] have been
 10-1    inspected by a state or federal inspector in this state and found
 10-2    to be of a different grade or quality than that referred to in the
 10-3    contract, the licensee shall settle with the producer or seller of
 10-4    the perishable commodities [vegetables] on the basis of the grade
 10-5    and quality determined by the inspector.
 10-6          (c)  This section does not prevent parties, instead of an
 10-7    inspection, from agreeing in writing that the grade or quality of
 10-8    the perishable commodities [vegetables] were different from that
 10-9    referred to in the contract.
10-10          (d)  Failure of a licensee to settle with a producer or
10-11    seller on grade and quality in the manner provided by this section
10-12    is a ground for revocation of the licensee's license.
10-13          [(e)  This section does not apply to vegetables that are
10-14    obtained and handled by a licensee solely on a consignment basis
10-15    without a price guarantee.]
10-16          SECTION 14.  Chapter 101, Agriculture Code, is amended by
10-17    adding Section 101.0151 to read as follows:
10-18          Sec. 101.0151.  BUYING OR SELLING BY WEIGHT.  A licensee who
10-19    buys or sells perishable commodities by weight shall weigh or have
10-20    the perishable commodities weighed on scales that meet state
10-21    requirements.
10-22          SECTION 15.  Section 101.016, Agriculture Code, is amended to
10-23    read as follows:
10-24          Sec. 101.016.  RECORDS OF PURCHASE.  (a)  A licensee or a
10-25    packer, processor, or warehouseman may not receive or handle
10-26    perishable commodities [vegetables] without requiring the person
 11-1    from whom the perishable commodities [vegetables] are purchased or
 11-2    received to furnish a statement in writing showing:
 11-3                (1)  the owner of the perishable commodities
 11-4    [vegetables];
 11-5                (2)  the grower of the perishable commodities
 11-6    [vegetables];
 11-7                (3)  the approximate location of the land on which the
 11-8    perishable commodities [vegetables] were grown;
 11-9                (4)  the date the perishable commodities [vegetables]
11-10    were gathered; and
11-11                (5)  by whose authority the perishable commodities
11-12    [vegetables] were gathered.
11-13          (b)  The licensee, packer, processor, or warehouseman shall
11-14    keep records of statements furnished under Subsection (a) [of this
11-15    section] in a permanent book or folder for a minimum of three years
11-16    from the date of the transaction and shall make the records
11-17    available for [to] inspection by any interested party.
11-18          (c)  The licensee, packer, handler, or warehouseman shall:
11-19                (1)  prepare a receipt detailing the quantity of
11-20    perishable commodities received from the producer or owner at the
11-21    time of receipt of the commodities; and
11-22                (2)  on request, provide the receipt to the producer or
11-23    owner.
11-24          (d)  The department periodically may investigate licensees or
11-25    persons alleged to be selling perishable commodities in violation
11-26    of this chapter and, without notice, may require evidence of
 12-1    purchase of any perishable commodities in a person's possession.
 12-2          SECTION 16.  Section 101.017, Agriculture Code, is amended to
 12-3    read as follows:
 12-4          Sec. 101.017.  RECORD OF SALE.  (a)  Except for a retailer
 12-5    [Unless otherwise agreed to in writing by a licensee and the owner
 12-6    of the vegetables], a licensee [who handles vegetables on a
 12-7    consignment or commission basis] shall maintain for each sale[, on
 12-8    demand of the owner, seller, or agent of the owner or seller,
 12-9    furnish] a complete and accurate record showing:
12-10                (1)  the date of sale of the perishable commodities
12-11    [vegetables];
12-12                (2)  the person to whom the perishable commodities
12-13    [vegetables] were sold;
12-14                (3)  the grade and selling price of the perishable
12-15    commodities [vegetables]; and
12-16                (4)  an itemized statement of expenses of any kind or
12-17    character incurred in the sale or handling of the perishable
12-18    commodities [vegetables], including the amount of the commission to
12-19    the licensee.
12-20          (b)  On demand of the department or of an owner, seller, or
12-21    agent of the owner or seller, the [The] licensee shall furnish the
12-22    information demanded [under this section] before the 11th day
12-23    following the date of demand [by the owner, seller, or agent].
12-24          (c)  A licensee shall maintain the information required to be
12-25    kept by this section for at least three years after the date of
12-26    sale.
 13-1          SECTION 17.  Section 101.018, Agriculture Code, is amended by
 13-2    amending Subsection (b) and adding Subsection (d) to read as
 13-3    follows:
 13-4          (b)  For the purpose of conducting an investigation under
 13-5    this section, the department is entitled to free and unimpeded
 13-6    access at all times to all books, records, buildings, yards,
 13-7    warehouses, storage facilities, transportation facilities, and
 13-8    other facilities or places in which perishable commodities
 13-9    [vegetables] are kept, stored, handled, processed, or transported.
13-10          (d)  Failure to provide access to records for purposes of
13-11    examination, as required by Subsections (b) and (c), is a violation
13-12    for purposes of assessment of administrative penalties.
13-13          SECTION 18.  Section 101.019, Agriculture Code, is amended to
13-14    read as follows:
13-15          Sec. 101.019.  VENUE OF CIVIL OR CRIMINAL ACTION.  The venue
13-16    of a civil action or criminal prosecution instituted under this
13-17    chapter is in the county in which the violation occurred, is
13-18    occurring, or is threatened or in which the perishable commodities
13-19    [vegetables] were received by the licensee, packer, or
13-20    warehouseman.
13-21          SECTION 19.  Subsection (a), Section 101.020, Agriculture
13-22    Code, is amended to read as follows:
13-23          (a)  A person commits an offense if the person:
13-24                (1)  acts in violation of Section 101.003 [of this
13-25    code] by not obtaining a license or registration or after receiving
13-26    notice of cancellation of a license or registration;
 14-1                (2)  acts or assumes to act as a transporting agent or
 14-2    buying agent:
 14-3                      (A)  without first obtaining an identification
 14-4    card; or
 14-5                      (B)  after receiving notice of cancellation of an
 14-6    identification card;
 14-7                (3)  as a transporting agent or buying agent, fails and
 14-8    refuses to turn over to the department an identification card in
 14-9    accordance with Section 101.010(e) [of this code];
14-10                (4)  as a license holder, fails to furnish information
14-11    under Section 101.017 [of this code] before the 11th day following
14-12    the date of demand;
14-13                (5)  as a license holder, fails to settle with a
14-14    producer or seller on the grade and quality of perishable
14-15    commodities [vegetables] in the manner provided by Section 101.015
14-16    [of this code];
14-17                (6)  as a cash dealer, pays for perishable commodities
14-18    [vegetables] by a means other than United States currency;
14-19                (7)  as a license holder, transporting agent, or buying
14-20    agent, violates a provision of this chapter; [or]
14-21                (8)  acts or assumes to act as a cash dealer without
14-22    first registering as a cash dealer;
14-23                (9)  as a license holder, buys or sells perishable
14-24    commodities by weight and does not have the perishable commodities
14-25    weighed on scales that meet state requirements;
14-26                (10)  fails to prepare and maintain records required by
 15-1    Sections 101.016, 101.017, and 101.018; or
 15-2                (11)  fails to provide records as required by Sections
 15-3    101.016 and 101.018.
 15-4          SECTION 20.  Subsections (a), (b), and (c), Section 103.002,
 15-5    Agriculture Code, are amended to read as follows:
 15-6          (a)  The produce recovery fund is a special trust fund with
 15-7    the comptroller administered by the department, without
 15-8    appropriation, for the payment of claims against license holders
 15-9    [commission merchants] and retailers licensed under Chapter 101 [or
15-10    102 of this code].
15-11          (b)  Fees collected under Section 101.008[, 102.008,] or
15-12    103.011 [of this code] and 50 percent of the fines collected under
15-13    Section 101.020[, 102.021,] or 103.013 [of this code] shall be
15-14    deposited in the fund.
15-15          (c)  The clerk of the county court or county court-at-law and
15-16    the custodian of the county treasury funds shall keep separate
15-17    records of all fines collected under Section 101.020[, 102.021,] or
15-18    103.013 [of this code].  On the first day of each January, April,
15-19    July, and October, the custodian of the funds in the county
15-20    treasury shall remit 50 percent of the fines collected under those
15-21    sections to the comptroller of public accounts, and the comptroller
15-22    shall deposit that amount in the fund.
15-23          SECTION 21.  Subsection (a), Section 103.003, Agriculture
15-24    Code, is amended to read as follows:
15-25          (a)  The Produce Recovery Fund Board is composed of six
15-26    members appointed by the governor with the advice and consent of
 16-1    the senate.  Two members must be producers, two must be license
 16-2    holders [commission merchants or retailers] licensed under Chapter
 16-3    101 [or 102 of this code], and two must be members of the general
 16-4    public.
 16-5          SECTION 22.  Subsection (a), Section 103.005, Agriculture
 16-6    Code, is amended to read as follows:
 16-7          (a)  A person who deals with a license holder under Chapter
 16-8    101 [or 102 of this code] in the purchasing, handling, selling, and
 16-9    accounting for sales of vegetables or citrus fruit and who is
16-10    aggrieved by an action of the license holder as a result of a
16-11    violation of terms or conditions of a contract made by the license
16-12    holder for the sale of Texas-grown produce may initiate a claim
16-13    against the fund by filing with the department:
16-14                (1)  a sworn complaint against the license holder; and
16-15                (2)  a filing fee, as provided by department rule.
16-16          SECTION 23.  Subsections (a), (b), (c), (d), and (e), Section
16-17    103.008, Agriculture Code, are amended to read as follows:
16-18          (a)  In making payments from the fund the department can pay
16-19    the aggrieved party all of the first $2,000 [$1,000] of any claim
16-20    and no more than 70 [60] percent of the claim above $2,000
16-21    [$1,000].
16-22          (b)  The total payment of all claims arising from the same
16-23    contract with a license holder may not exceed $35,000 [$20,000].
16-24          (c)  The total payment of claims against a single license
16-25    holder may not exceed $85,000  [$50,000] in any one calendar year.
16-26          (d)  The department may not pay a claim against:
 17-1                (1)  a person who was not licensed on the date the
 17-2    contract on which the claim is based was entered into; or
 17-3                (2)  a cash dealer registered [licensed] under Chapter
 17-4    101 [or 102 of this code].
 17-5          (e)  Payments from the fund during a fiscal year may not
 17-6    exceed two times the average amount of money deposited into the
 17-7    fund during the previous three [that] fiscal years [year], except
 17-8    that surplus funds remaining at the end of each fiscal year are
 17-9    available for the payment of claims during any succeeding year. In
17-10    no case shall payment of claims cause the balance of the fund to
17-11    fall below $100,000.
17-12          SECTION 24.  Subsection (c), Section 103.009, Agriculture
17-13    Code, is amended to read as follows:
17-14          (c)  If the license holder does not reimburse the fund or pay
17-15    the aggrieved party, or does not agree to do so, in accordance with
17-16    this section, the department shall issue an order canceling the
17-17    license and may not issue a new license to that person for four
17-18    years from the date of cancellation.  If the license holder is a
17-19    corporation, an officer or director of the corporation or a person
17-20    owning more than 25 percent of the stock in the corporation  may
17-21    not be licensed under Chapter 101 [or 102 of this code] during the
17-22    four-year period in which the corporation is ineligible for
17-23    licensing.
17-24          SECTION 25.  Section 103.011, Agriculture Code, as amended by
17-25    Chapters 269 and 419, Acts of the 74th Legislature, Regular
17-26    Session, 1995, is reenacted and amended to read as follows:
 18-1          Sec. 103.011.  FEE.  (a)  Except as otherwise provided by
 18-2    this section, a license holder [commission merchant or retailer]
 18-3    licensed under Chapter 101 [or 102 of this code] shall pay an
 18-4    annual fee to the fund[,] as provided by department rule [of $200].
 18-5          (b)  [A retailer who is licensed under Chapter 101 or 102 of
 18-6    this code and whose annual purchases of vegetables and citrus fruit
 18-7    are less than $15,000 a year shall pay an annual fee, as provided
 18-8    by department rule.]
 18-9          [(c)  A person who is required by Subsection (a) of this
18-10    section to pay a fee and who is licensed in one of those
18-11    classifications under both Chapters 101 and 102 of this code may
18-12    pay a single fee, as provided by department rule.  A person who is
18-13    required by Subsection (b) of this section to pay a fee and who is
18-14    licensed in that classification under both Chapters 101 and 102 of
18-15    this code may pay a single fee, as provided by department rule.]
18-16          [(b)]  A person registered as a cash dealer or a marketing
18-17    association organized under Chapter 52 [of this code] that handles
18-18    citrus fruit only for its members is exempt from payment of the fee
18-19    under this section.
18-20          (c)  The fee required by Subsection (a) is in addition to any
18-21    licensing fee paid and is due at the time of making the license
18-22    application.  The department may not issue a license to a person
18-23    who fails to pay the fee.
18-24          SECTION 26.  Subsection (a), Section 103.013, Agriculture
18-25    Code, is amended to read as follows:
18-26          (a)  A person commits an offense if the person acts or
 19-1    assumes to act as a license holder under Chapter 101 [or 102 of
 19-2    this code] without first paying the fee required by this chapter.
 19-3          SECTION 27.  Subchapter A, Chapter 102, Agriculture Code, is
 19-4    repealed.
 19-5          SECTION 28.  (a)  This Act takes effect September 1, 1999.
 19-6          (b)  Section 101.005, Agriculture Code, as amended by this
 19-7    Act, applies only to an application made on or after the effective
 19-8    date of this Act.  An application that is made before the effective
 19-9    date of this Act is governed by the law as it existed immediately
19-10    before the effective date of this Act, and the former law is
19-11    continued in effect for that purpose.
19-12          (c)  Section 103.008, Agriculture Code, as amended by this
19-13    Act, applies only to a claim made on or after the effective date of
19-14    this Act.  A claim that is made before the effective date of this
19-15    Act is governed by the law as it existed immediately before the
19-16    effective date of this Act, and the former law is continued in
19-17    effect for that purpose.
19-18          SECTION 29.  The importance of this legislation and the
19-19    crowded condition of the calendars in both houses create an
19-20    emergency and an imperative public necessity that the
19-21    constitutional rule requiring bills to be read on three several
19-22    days in each house be suspended, and this rule is hereby suspended.