AN ACT
 1-1     relating to the authority of the Parks and Wildlife Department to
 1-2     establish a limited entry license management program.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Subdivisions (1) and (2), Section 47.001, Parks
 1-5     and Wildlife Code, are amended to read as follows:
 1-6                 (1)  "Commercial fisherman" means a person who for pay
 1-7     or for the purpose of sale, barter, or exchange or any other
 1-8     commercial purpose:
 1-9                       (A)  catches aquatic products from the water of
1-10     this state except finfish from the tidal waters of this state; or
1-11                       (B)  unloads in this state aquatic products that:
1-12                             (i)  were taken from water outside this
1-13     state; and
1-14                             (ii)  have not been previously unloaded in
1-15     another state or a foreign country.
1-16                 (2)  "Commercial finfish fisherman" means a person who
1-17     catches finfish from the tidal waters of this state for pay or for
1-18     the purpose of sale, barter, exchange, or any other commercial
1-19     purpose.  The term does not include a person who:
1-20                       (A)  holds an individual bait dealer's license
1-21     issued under this chapter;
1-22                       (B)  is in a vessel licensed under this chapter
1-23     as a menhaden boat and who takes menhaden; or
1-24                       (C)  takes minnows for bait only.
 2-1           SECTION 2.  Section 47.002, Parks and Wildlife Code, is
 2-2     amended by adding Subsection (i) to read as follows:
 2-3           (i)  A person who engages in commercial finfish fishing under
 2-4     Subchapter D and who holds a commercial finfish fisherman's license
 2-5     issued under Subchapter D in their immediate possession is not
 2-6     required to obtain or possess a general commercial fisherman's
 2-7     license.
 2-8           SECTION 3.  Section 47.007, Parks and Wildlife Code, is
 2-9     amended by adding Subsection (f) to read as follows:
2-10           (f)  A person who engages in commercial finfish fishing under
2-11     Subchapter D and who holds a commercial finfish fisherman's license
2-12     issued under Subchapter D in their immediate possession is not
2-13     required to obtain or possess a commercial fishing boat license.
2-14           SECTION 4.  Section 47.0091, Parks and Wildlife Code, is
2-15     amended to read as follows:
2-16           Sec. 47.0091.  PURCHASE OF AQUATIC PRODUCTS BY WHOLESALE FISH
2-17     DEALERS.  No wholesale fish dealer may purchase for resale or
2-18     receive for sale, barter, exchange, or any other commercial purpose
2-19     any aquatic product from any person or entity in this state unless
2-20     he purchases the product from the holder of:
2-21                 (1)  a general commercial fisherman's license;
2-22                 (2)  a commercial oyster fisherman's license;
2-23                 (3)  a commercial oyster boat license;
2-24                 (4)  a wholesale fish dealer's license;
2-25                 (5)  a fish farmer's license;
2-26                 (6)  a commercial shrimp boat license;
 3-1                 (7)  a commercial oyster boat captain's license; [or]
 3-2                 (8)  a commercial shrimp boat captain's license;
 3-3                 (9)  a commercial crab fisherman's license; or
 3-4                 (10)  a commercial finfish fisherman's license.
 3-5           SECTION 5.  Section 47.0111, Parks and Wildlife Code, is
 3-6     amended to read as follows:
 3-7           Sec. 47.0111.  PURCHASE OF AQUATIC PRODUCTS BY RETAIL FISH
 3-8     DEALERS.  No retail fish dealer may purchase for resale or receive
 3-9     for sale, barter, exchange, or any other commercial purposes any
3-10     aquatic products from any person or entity in this state unless he
3-11     purchases the product from the holder of:
3-12                 (1)  a wholesale fish dealer's license;
3-13                 (2)  a general commercial fisherman's license, a
3-14     commercial shrimp boat license, [or] a commercial shrimp boat
3-15     captain's license, a commercial crab fisherman's license, or a
3-16     commercial finfish fisherman's license when the retail fish dealer
3-17     has given  written notification to the director or his designee of
3-18     the dealer's intent to purchase aquatic products from the holder of
3-19     a general commercial fisherman's license, a commercial shrimp boat
3-20     license, [or] a commercial shrimp boat captain's license, a
3-21     commercial crab fisherman's license, or a commercial finfish
3-22     fisherman's license; or
3-23                 (3)  a fish farmer's license.
3-24           SECTION 6.  Section 47.012, Parks and Wildlife Code, is
3-25     amended to read as follows:
3-26           Sec. 47.012.  PURCHASE OF AQUATIC PRODUCTS BY RESTAURANT
 4-1     OWNER, OPERATOR, OR EMPLOYEE.  No restaurant owner, operator, or
 4-2     employee may purchase for consumption by the restaurant's patrons
 4-3     on the restaurant's premises any aquatic product from any person or
 4-4     entity in this state unless the person purchases the aquatic
 4-5     product from the holder of:
 4-6                 (1)  a wholesale fish dealer's license;
 4-7                 (2)  a general commercial fisherman's license;
 4-8                 (3)  a fish farmer's license;
 4-9                 (4)  a commercial shrimp boat license; [or]
4-10                 (5)  a commercial shrimp boat captain's license;
4-11                 (6)  a commercial crab fisherman's license; or
4-12                 (7)  a commercial finfish fisherman's license.
4-13           SECTION 7.  Chapter 47, Parks and Wildlife Code, is amended
4-14     by adding Subchapter D to read as follows:
4-15                  SUBCHAPTER D.  FINFISH LICENSE MANAGEMENT
4-16           Sec. 47.071.  FINFISH LICENSE MANAGEMENT PROGRAM.  To promote
4-17     efficiency and economic stability in the commercial finfish
4-18     industry and to conserve economically important finfish resources,
4-19     the department shall implement a finfish license management program
4-20     in accordance with proclamations adopted by the commission under
4-21     Chapter 61 and this subchapter.
4-22           Sec. 47.072.  DEFINITION.  In this subchapter, "license"
4-23     means a commercial license issued in accordance with a proclamation
4-24     under this subchapter that authorizes a person to engage in
4-25     business as a commercial finfish fisherman.
4-26           Sec. 47.073.  FINFISH LICENSE MANAGEMENT REVIEW BOARD.
 5-1     (a)  The license holders under this subchapter shall elect a
 5-2     finfish license management review board of nine members.
 5-3           (b)  A majority of the members of the review board may not be
 5-4     residents of the same county.
 5-5           (c)  The review board shall advise the commission and
 5-6     department and make recommendations concerning the administrative
 5-7     aspects of the finfish licensing program, including hardship appeal
 5-8     cases concerning eligibility, license transfer, license renewal,
 5-9     license suspension, and license revocation.
5-10           (d)  The executive director shall adopt procedures for the
5-11     operation of the review board and the election and terms of board
5-12     members.  The executive director shall solicit and consider
5-13     recommendations regarding these procedures from persons who
5-14     purchased commercial finfish fisherman's licenses  after September
5-15     1, 1997, and through April 20, 1999.
5-16           (e)  A member of the review board must:
5-17                 (1)  qualify to obtain a commercial finfish fisherman's
5-18     license under this subchapter; or
5-19                 (2)  be a person who has knowledge of the commercial
5-20     finfish industry.
5-21           (f)  The review board is not subject to Chapter 2110,
5-22     Government Code.
5-23           (g)  A member of the review board serves without compensation
5-24     or a per diem allowance.
5-25           Sec. 47.074.  LICENSING.  (a)  No person may engage in
5-26     business as a commercial finfish fisherman unless the person has
 6-1     obtained a commercial finfish fisherman's license.
 6-2           (b)  No person may engage in commercial finfish fishing
 6-3     unless:
 6-4                 (1)  the person has in their immediate possession:
 6-5                       (A)  a commercial finfish fisherman's license
 6-6     issued to the person; or
 6-7                       (B)  a general commercial fisherman's license
 6-8     issued to the person, a commercial finfish fisherman's license
 6-9     issued to another person, and a copy of an affidavit that:
6-10                             (i)  authorizes the person to use
6-11     commercial finfish fishing devices owned by the person to whom the
6-12     commercial finfish fisherman's license was issued; and
6-13                             (ii)  contains the date, the original
6-14     signature of the  person to whom the commercial finfish fisherman's
6-15     license was issued, and the commercial finfish fisherman's license
6-16     number that matches the commercial finfish fisherman's license
6-17     plate number on the boat, if the department requires a license
6-18     plate; or
6-19                 (2)  the person has in their immediate possession a
6-20     commercial finfish fisherman's license or a  general commercial
6-21     fisherman's license, and another person has in their immediate
6-22     possession the documentation described by Subdivision (1).
6-23           (c)  Beginning September 1, 2000, the department shall issue
6-24     a commercial finfish fisherman's license only to a person who
6-25     documents in a manner acceptable to the department that the person
6-26     held a commercial finfish fisherman's license during the period
 7-1     after September 1, 1997, through April 20, 1999.
 7-2           (d)  A proclamation issued under this section shall establish
 7-3     a commercial finfish fisherman's license in accordance with the
 7-4     provisions of this subchapter.
 7-5           Sec. 47.075.  LICENSE FEE.  The fee for a commercial finfish
 7-6     fisherman's license issued under this subchapter is $300 or an
 7-7     amount set by the commission, whichever amount is more.  All fees
 7-8     generated by the issuance of a license under this subchapter are to
 7-9     be sent to the comptroller for deposit to the credit of the game,
7-10     fish, and water safety account subject to Section 47.081(d).
7-11           Sec. 47.076.  LICENSE RENEWAL.  A person seeking to renew a
7-12     license established by this subchapter must have held the license
7-13     during the preceding license year.
7-14           Sec. 47.077.  LIMIT ON NUMBER OF LICENSES HELD.  (a)  A
7-15     person may not hold or directly or indirectly control more than
7-16     three licenses issued under this subchapter.
7-17           (b)  A license issued to a person other than an individual
7-18     must designate an individual in whose name the license is issued.
7-19           Sec. 47.078.  EXPIRATION OF LICENSE.  A license required by
7-20     this subchapter is valid only during the period for which it is
7-21     issued without regard to the date on which the license is acquired.
7-22     Each period is one year beginning on September 1 or another date
7-23     set by the commission.
7-24           Sec. 47.079.  LICENSE TRANSFER.  (a)  The commission by rule
7-25     may set a fee for the transfer of a license.  The amount of the
7-26     transfer fee may not exceed the amount of the license fee.
 8-1           (b)  The commission shall send all license transfer fees to
 8-2     the comptroller for deposit to the credit of the game, fish, and
 8-3     water safety account subject to Section 47.081(d).
 8-4           (c)  The commission by proclamation shall allow a license to
 8-5     be transferred at any time.
 8-6           Sec. 47.080.  LICENSE SUSPENSION AND REVOCATION.  (a)  The
 8-7     executive director, after notice to a license holder and the
 8-8     opportunity for a hearing, may suspend a commercial finfish
 8-9     fisherman's license if:
8-10                 (1)  the license holder or any other authorized
8-11     operator of the licensed vessel is convicted of one or more
8-12     flagrant offenses totaling three flagrant offenses involving the
8-13     licensed vessel; or
8-14                 (2)  the license holder is convicted of theft of
8-15     fishing gear or product associated with this subchapter.
8-16           (b)  A suspension under this section may be for:
8-17                 (1)  six months, if:
8-18                       (A)  each of the three flagrant offenses occurred
8-19     within a 24-consecutive-month period beginning not earlier than
8-20     September 1, 2000; and
8-21                       (B)  the license holder has not previously had a
8-22     license suspended under this section;
8-23                 (2)  12 months, if each of the three flagrant offenses
8-24     occurred within a 24-consecutive-month period and the license
8-25     holder has previously had a license suspended under this section;
8-26     or
 9-1                 (3)  six months, if the license holder is convicted of
 9-2     theft of fishing gear or product associated with this subchapter.
 9-3           (c)  The executive director, after notice and the opportunity
 9-4     for a hearing, may permanently revoke a license issued under this
 9-5     subchapter if:
 9-6                 (1)  the license holder has previously had a license
 9-7     suspended twice under this section, and the license holder or any
 9-8     other authorized operator of the licensed vessel is convicted of
 9-9     three flagrant offenses involving the licensed vessel in a
9-10     24-consecutive-month period; or
9-11                 (2)  the license holder is convicted of theft of
9-12     fishing gear or product associated with this subchapter, and the
9-13     license holder has had a license suspended previously under this
9-14     section.
9-15           (d)  The same flagrant offense may not be counted for more
9-16     than one suspension under this section.
9-17           (e)  For purposes of this section, a flagrant offense
9-18     includes:
9-19                 (1)  theft of trotlines or finfish, or any other
9-20     fishing gear or product associated with this subchapter;
9-21                 (2)  exceeding daily bag and possession limits in
9-22     violation of this code or of a proclamation of the commission
9-23     issued under this code;
9-24                 (3)  exceeding trotline length limits by a length
9-25     greater than 10 percent in violation of this code or of a
9-26     proclamation of the commission issued under this code;
 10-1                (4)  selling crabs in violation of this code;
 10-2                (5)  exceeding the number of trotlines the holder of a
 10-3    commercial finfish fisherman's license may use in violation of this
 10-4    code or of a proclamation of the commission issued under this code;
 10-5    or
 10-6                (6)  taking, attempting to take, or possessing fish
 10-7    caught in public waters of this state by any device, means, or
 10-8    method other than as authorized under this code or by a
 10-9    proclamation of the commission issued under this code.
10-10          Sec. 47.081.  LICENSE BUYBACK.  (a)  The department may
10-11    implement a license buyback program for licenses issued under this
10-12    subchapter as part of the finfish license management program
10-13    established by this subchapter.
10-14          (b)  The commission by rule may establish criteria, using
10-15    reasonable classifications, by which the department selects
10-16    licenses to be purchased.  The commission may delegate to the
10-17    executive director, for purposes of this section only, the
10-18    authority to develop the criteria through rulemaking procedures,
10-19    but the commission by order must finally adopt the rules
10-20    establishing the criteria.  The commission or executive director
10-21    must consult with the finfish license management review board
10-22    concerning establishment of the criteria.
10-23          (c)  The commission must retire each license purchased under
10-24    the license buyback program until the commission finds that
10-25    management of the finfish fishery allows reissue of those licenses
10-26    through auction or lottery.
 11-1          (d)  The department shall set aside at least 20 percent of
 11-2    the fees from licenses issued and license transfers approved under
 11-3    this subchapter to be used only for the purpose of buying back
 11-4    those licenses from a willing license holder.  That money shall be
 11-5    sent to the comptroller for deposit to the credit of the game,
 11-6    fish, and water safety account.
 11-7          (e)  The department may solicit and accept grants and
 11-8    donations of money or materials from private or public sources for
 11-9    the purpose of buying back licenses issued under this subchapter
11-10    from a willing license holder.
11-11          (f)  Money to be used for the purpose of buying back licenses
11-12    issued under this subchapter is not subject to Section 403.095,
11-13    Government Code.
11-14          (g)  The commission shall consider the social and economic
11-15    viability of the finfish industry and input from the finfish
11-16    license management review board regarding the reissue of finfish
11-17    licenses through auction or lottery.
11-18          Sec. 47.082.  LINE LIMITS.  (a)  Not later than September 1,
11-19    2000, the commission by proclamation issued under this code shall
11-20    authorize the holder of a commercial finfish fisherman's license to
11-21    use up to 20 trotlines not more than 600 feet long, or another
11-22    number and length of line  authorized by commission proclamation,
11-23    to take or attempt to take finfish.
11-24          (b)  No holder of a commercial finfish fisherman's license
11-25    may possess on board more than the number of lines prescribed by
11-26    this code or by commission proclamation issued under this code.
 12-1          Sec. 47.083.  CRAB TRAPS.  (a)  Not later than September 1,
 12-2    2000, the commission by proclamation issued under this code  shall
 12-3    authorize the holder of a commercial finfish fisherman's license to
 12-4    use up to 20 crab traps, or a number of traps authorized by
 12-5    commission proclamation, for use in commercial fishing for bait
 12-6    purposes only.
 12-7          (b)  This section does not authorize the taking of any
 12-8    product for pay or for the purpose of sale, barter, or exchange.
 12-9          Sec. 47.084.  PROGRAM ADMINISTRATION; RULES.  (a)  The
12-10    executive director shall establish administrative procedures to
12-11    carry out the requirements of this subchapter.
12-12          (b)  The commission shall adopt any rules necessary for the
12-13    administration of the program established under this subchapter.
12-14          (c)  The commission shall prescribe all gear marking
12-15    requirements for trotlines and crab traps under this subchapter in
12-16    accordance with Chapter 66.
12-17          Sec. 47.085.  DISPOSITION OF FUNDS.  Money received for a
12-18    license issued under this subchapter and fines for violations of
12-19    this subchapter shall be remitted to the department by the 10th day
12-20    of the month following the date of collection.
12-21          Sec. 47.086.   PROCLAMATION; PROCEDURES.  Subchapter D,
12-22    Chapter 61, and Sections 61.054 and 61.055 apply to the adoption of
12-23    proclamations under this subchapter.
12-24          SECTION 8.  Section 66.016, Parks and Wildlife Code, is
12-25    amended to read as follows:
12-26          Sec. 66.016.  COMMERCIAL FISHING REGULATIONS APPLICABLE IF
 13-1    COMMERCIAL PLATES ON BOARD.  (a)  A person on board a boat licensed
 13-2    or required to be licensed for a commercial fishing activity under
 13-3    Chapter 47, 76, [or] 77, or 78, or any other chapter of this code
 13-4    may not catch and retain any fish species whose sale is prohibited
 13-5    when taken from Texas waters.  While commercial fishing plates are
 13-6    on board, all commercial fishing regulations, size limits, bag
 13-7    limits, possession limits, and the prohibited possession of
 13-8    noncommercial fish species apply.
 13-9          (b)  Subsection (a) of this section does not apply to a
13-10    person on board a boat licensed under Chapter 47, 76, [or] 77, or
13-11    78 of this code if no commercial fishing plates are on board.
13-12    While no commercial fishing plates are on board, all recreational
13-13    fishing regulations, size limits, bag limits, and possession limits
13-14    apply.
13-15          SECTION 9.  Subsection (f), Section 66.019, Parks and
13-16    Wildlife Code, is amended to read as follows:
13-17          (f)  A cash sale ticket must include:
13-18                (1)  the name of the seller;
13-19                (2)  the general commercial fisherman's license number
13-20    and the commercial finfish fisherman's license number or the
13-21    general commercial fisherman's license number and the commercial
13-22    crab fisherman's license number, as applicable, if the holder of
13-23    the general commercial fisherman's license is selling finfish or
13-24    crabs;
13-25                (3)  the general commercial fisherman's license number,
13-26    the commercial crab fisherman's license number, the commercial
 14-1    finfish fisherman's license number, the commercial shrimp boat
 14-2    captain's license number, the commercial shrimp boat license
 14-3    number, or the commercial fishing boat license number of the seller
 14-4    or of the vessel used to take the aquatic product, as applicable;
 14-5                (4) [(3)]  the number of pounds sold by species;
 14-6                (5) [(4)]  the date of sale;
 14-7                (6) [(5)]  the water body or bay system from which the
 14-8    aquatic products were taken; and
 14-9                (7) [(6)]  price paid per pound per species.
14-10          SECTION 10.  Effective September 1, 2000, Section 66.206,
14-11    Parks and Wildlife Code, is amended by adding Subsection (e) to
14-12    read as follows:
14-13          (e)  This section does not apply to a person fishing
14-14    trotlines under a commercial finfish fisherman's license.
14-15          SECTION 11.  Not later than September 1, 2000, the Parks and
14-16    Wildlife Department shall implement a finfish license management
14-17    program as provided by Section 47.071, Parks and Wildlife Code, as
14-18    added by this Act.  On the effective date of a proclamation issued
14-19    by the Parks and Wildlife Commission under Subchapter D, Chapter
14-20    47, Parks and Wildlife Code, as added by this Act, establishing
14-21    requirements for a commercial finfish fisherman's license under
14-22    that subchapter, Section 47.003, Parks and Wildlife Code, is
14-23    repealed.
14-24          SECTION 12.  The Parks and Wildlife Department shall issue a
14-25    written report to the governor and the legislature not later than
14-26    the beginning of the second regular legislative session to convene
 15-1    following the implementation of a finfish license management
 15-2    program under Subchapter D, Chapter 47, Parks and Wildlife Code, as
 15-3    added by this Act.  The report shall include an overview of the
 15-4    administration and status of the license management program,
 15-5    including the biological, social, and economic effects of the
 15-6    program.
 15-7          SECTION 13.  This Act takes effect September 1, 1999.
 15-8          SECTION 14.  The importance of this legislation and the
 15-9    crowded condition of the calendars in both houses create an
15-10    emergency and an imperative public necessity that the
15-11    constitutional rule requiring bills to be read on three several
15-12    days in each house be suspended, and this rule is hereby suspended.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I hereby certify that S.B. No. 1303 passed the Senate on
         April 9, 1999, by a viva-voce vote; and that the Senate concurred
         in House amendments on May 20, 1999, by a viva-voce vote.
                                             _______________________________
                                                 Secretary of the Senate
               I hereby certify that S.B. No. 1303 passed the House, with
         amendments, on May 13, 1999, by a non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
         Approved:
         _______________________________
                     Date
         _______________________________
                   Governor