1-1                                   AN ACT
 1-2     relating to the duties of the Department of Agriculture and certain
 1-3     agricultural boards.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Chapter 12, Agriculture Code, is amended by
 1-6     adding Section 12.0011 to read as follows:
 1-7           Sec. 12.0011.  AUTHORITY TO ENTER INTO COOPERATIVE
 1-8     AGREEMENTS.  To carry out its duties under this code, the
 1-9     department may enter into cooperative agreements with:
1-10                 (1)  private entities; and
1-11                 (2)  local, state, federal, and foreign governmental
1-12     entities.
1-13           SECTION 2.  Section 12.011, Agriculture Code, is amended to
1-14     read as follows:
1-15           Sec. 12.011.  AGRICULTURAL RESOURCE STATISTICS.  [(a)]  The
1-16     department shall collect and publish statistics and other
1-17     information relating to industries of this state and other states
1-18     that the department considers beneficial in developing the
1-19     agricultural resources of this state.
1-20           [(b)  The department shall annually collect agricultural
1-21     statistics.  For that purpose, before January 1 of each year it
1-22     shall furnish blank forms and instructions to the tax assessor of
1-23     each county, including forms to be completed by the taxpayer
1-24     relating to the taxpayer's acreage in cotton, grain, and other
1-25     leading products of the state.]
 2-1           [(c)  The head of each state agency or institution shall
 2-2     furnish information for the purposes of this section at the request
 2-3     of the department.]
 2-4           [(d)  In performing duties under this section, the department
 2-5     may enter any manufacturing establishment chartered or authorized
 2-6     to do business in this state.  Those establishments shall furnish
 2-7     appropriate information at the request of the department.]
 2-8           SECTION 3.  Section 12.0201, Agriculture Code, is amended to
 2-9     read as follows:
2-10           Sec. 12.0201.  LICENSE SANCTIONS.  (a)  In addition to other
2-11     sanctions provided by law, the [The] department may [shall] revoke,
2-12     modify, suspend, or refuse to issue or renew a license, assess an
2-13     administrative penalty, place on probation a person whose license
2-14     has been suspended, or reprimand a license holder if [for a
2-15     violation of this code or a rule of] the department finds that the
2-16     practitioner:
2-17                 (1)  violated a provision of this code;
2-18                 (2)  violated a rule adopted by the department under
2-19     this code; or
2-20                 (3)  after appropriate notice, failed to comply with an
2-21     order of the department.
2-22           (b)  In addition to any other actions permitted under this
2-23     code, if [If] a license suspension is probated, the department may
2-24     require the practitioner:
2-25                 (1)  to maintain additional information in the
2-26     practitioner's records;
 3-1                 (2)  to report regularly to the department on matters
 3-2     that are the basis of the probation;
 3-3                 (3) [(2)]  to limit practice to the areas prescribed by
 3-4     the department; or
 3-5                 (4) [(3)]  to continue or review professional education
 3-6     until the practitioner attains a degree of skill satisfactory to
 3-7     the department in those areas that are the basis of the probation.
 3-8           SECTION 4.  Section 12.021, Agriculture Code, is amended to
 3-9     read as follows:
3-10           Sec. 12.021.  FEE FOR PHYTOSANITATION [CERTIFICATE]
3-11     INSPECTION; ISSUANCE OF CERTIFICATE.  The department shall collect
3-12     an inspection fee, as provided by department rule, for a
3-13     phytosanitation inspection required by foreign countries or other
3-14     states for agricultural products, processed products, or equipment
3-15     exported from this state.  The department may issue a phytosanitary
3-16     certificate on completion of the inspection.
3-17           SECTION 5.  Subdivision (2), Section 18.001, Agriculture
3-18     Code, is amended to read as follows:
3-19                 (2)  "Logo" means the department's appropriately
3-20     registered [copyrighted] "Texas Department of Agriculture Certified
3-21     Organic" or "Texas Department of Agriculture Organic Certification
3-22     Pending--Transitional" logotype.
3-23           SECTION 6.  Subsection (a), Section 18.010, Agriculture Code,
3-24     is amended to read as follows:
3-25           (a)  If food or fiber is being sold in violation of this
3-26     subchapter or a rule adopted under this subchapter, the department
 4-1     may issue a written order to stop the sale of that item of food or
 4-2     fiber by a person in control of the item.  The person named in the
 4-3     order may not sell the item labeled, marketed, advertised, or
 4-4     otherwise represented as "organic" until:
 4-5                 (1)  permitted by a court under Subsection (b) of this
 4-6     section; or
 4-7                 (2)  the department determines that the sale of the
 4-8     item is in compliance with this subchapter and rules adopted under
 4-9     this subchapter.
4-10           SECTION 7.  Section 41.052, Agriculture Code, is amended to
4-11     read as follows:
4-12           Sec. 41.052.  STATE AGENCY.  (a)  Each board is a state
4-13     agency for [all] purposes of indemnification and is exempt from
4-14     taxation in the same manner and to the same extent as are other
4-15     agencies of the state.
4-16           (b)  Each board is a governmental unit for purposes of
4-17     Section 101.001, Civil Practice and Remedies Code, and is a
4-18     governmental body for purposes of Chapters 551 and 552, Government
4-19     Code.
4-20           SECTION 8.  Subsection (c), Section 45.006, Agriculture Code,
4-21     is amended to read as follows:
4-22           (c)  The board shall meet at least [twice] annually, and the
4-23     chairman may call additional meetings.  The board may meet with the
4-24     corresponding body established by Israel if a majority of the board
4-25     decides that such a joint meeting would help to meet the objectives
4-26     of this chapter.
 5-1           SECTION 9.  Subsections (a), (b), and (c), Section 62.008,
 5-2     Agriculture Code, are amended to read as follows:
 5-3           (a)  The department is the certifying agency in Texas for the
 5-4     certification of seed and plants.  The department shall employ a
 5-5     sufficient number of inspectors [from persons nominated by the
 5-6     board] to carry out the inspection provisions of this chapter.
 5-7     Inspectors must meet qualifications set by the board.
 5-8           (b)  A person who is licensed as a Foundation, Registered, or
 5-9     Certified seed or plant producer or[,] who is registered as a plant
5-10     breeder[, or who has a certificate of registration for a cotton
5-11     variety] is eligible to have seed or plants of an eligible class
5-12     and variety certified by the department.  On request by a licensed
5-13     producer or a[,] registered plant breeder[, or registrant of a
5-14     cotton variety] to have seed or plants certified, the department
5-15     shall inspect the producer's or registrant's fields, facilities,
5-16     and seed or plants.  Inspection may include tests approved by the
5-17     board and carried out by inspectors under the authority of the
5-18     department.
5-19           (c)  After inspection, if the department determines that the
5-20     production of seed or plants has met the standards and rules
5-21     prescribed by the board, it shall cause to be attached to each
5-22     container of the product a label identifying the seed or plant and
5-23     the certified class and including other information required by
5-24     statute or by rule of the board.  The department [board] shall
5-25     prescribe the format of the label.
5-26           SECTION 10.  Subdivision (4), Section 71.041, Agriculture
 6-1     Code, is amended to read as follows:
 6-2                 (4)  "Nursery grower" means a person who grows more
 6-3     than 50 percent of the nursery products or florist items that the
 6-4     person either sells or leases, regardless of the variety sold,
 6-5     leased, or grown.
 6-6           SECTION 11.  Section 71.044, Agriculture Code, is amended by
 6-7     adding Subsection (d) to read as follows:
 6-8           (d)  This section does not apply to a physical location
 6-9     maintained by a registrant under Section 71.043 who does not
6-10     maintain an inventory of nursery products or florist items at the
6-11     location.
6-12           SECTION 12.  Section 4, Chapter 1033, Acts of the 71st
6-13     Legislature, Regular Session, 1989 (Article 8614, Vernon's Texas
6-14     Civil Statutes), is amended to read as follows:
6-15           Sec. 4.  DOCUMENTATION OF MOTOR FUEL MIXTURE SALES.  (a)  A
6-16     distributor, supplier, wholesaler, or jobber of motor fuel, as
6-17     those persons are defined by Section 153.001, Tax Code, may not
6-18     make a delivery of motor fuel containing ethanol or methanol if the
6-19     ethanol or methanol in the motor fuel mixture exceeds one percent
6-20     by volume, other than a delivery made into the fuel supply tanks of
6-21     a motor vehicle, to any outlet in this state unless the person
6-22     delivers to the outlet receiving the delivery at the time of the
6-23     delivery of the mixture:
6-24                 (1)  the sign described in Section 3 of this Act in
6-25     sufficient quantities for the dealer receiving the motor fuel
6-26     mixture to comply with the requirements of this Act; and
 7-1                 (2)  a manifest, bill of sale, bill of lading, or any
 7-2     other document evidencing delivery of the motor fuel containing
 7-3     ethanol or methanol, which shall include a statement showing the
 7-4     percentage of ethanol or methanol contained in the mixture
 7-5     delivered, and the types and percentages of associated cosolvents,
 7-6     if any, contained in the mixture delivered.  The document shall
 7-7     also show delivery of the sign or signs, as applicable, required to
 7-8     be delivered by this subsection.
 7-9           (b)  On the request of any motor fuel user, a dealer must
7-10     reveal the percentage of ethanol contained in motor fuel being
7-11     sold, the percentage of methanol contained in motor fuel being
7-12     sold, and, if the motor fuel contains methanol, the types and
7-13     percentages of associated cosolvents contained in the motor fuel
7-14     being sold.
7-15           (c)  The commissioner of agriculture by rule may prescribe
7-16     the form of the statement required by Subsection (a)  of this
7-17     section.
7-18           (d)  [The signs required to be posted by a motor fuel dealer
7-19     under Section 3 of this Act and delivered to a motor fuel dealer
7-20     under this section shall be obtained from the commissioner of
7-21     agriculture.]
7-22           [(e)]  If the commissioner of agriculture determines that
7-23     certain types of motor fuel, such as diesel or liquefied petroleum
7-24     gas, are not sold in this state as mixtures with alcohol in
7-25     sufficient quantities to warrant regulation of those deliveries
7-26     under this Act, the commissioner may limit the application of
 8-1     Section 3 of this Act and this section to motor fuels sold in
 8-2     sufficient quantity to warrant regulation.
 8-3           SECTION 13.  Section 9, Chapter 1033, Acts of the 71st
 8-4     Legislature, Regular Session, 1989 (Article 8614, Vernon's Texas
 8-5     Civil Statutes), is amended to read as follows:
 8-6           Sec. 9.  RULES AND FEES.  (a)  The commissioner of
 8-7     agriculture may adopt rules not inconsistent with this Act for the
 8-8     regulation of the sale of motor fuels containing ethanol and
 8-9     methanol.
8-10           (b)  The commissioner of agriculture [comptroller by rule may
8-11     impose fees for testing, inspection, statement or record forms,
8-12     sale of signs, or the performance of other services provided as
8-13     determined necessary by the commissioner of agriculture in the
8-14     administration of this Act.]
8-15           [(c)  In addition to the fees authorized by Subsection (b) of
8-16     this section, the comptroller] by rule may impose a fee for
8-17     testing, inspection, or the performance of other services provided
8-18     as determined necessary by the commissioner of agriculture in the
8-19     administration of this Act, to be collected on a periodic basis
8-20     determined by the commissioner of agriculture [comptroller] from
8-21     each dealer as that term is defined in Section 1 of this Act
8-22     [distributor, supplier, wholesaler, and jobber who deals in a motor
8-23     fuel,] without regard to whether the motor fuel is subject to
8-24     regulation under this Act, as determined necessary by the
8-25     commissioner of agriculture.  The commissioner of agriculture
8-26     [comptroller] by rule shall prescribe the form for reporting and
 9-1     remitting the fees imposed by and under this section.
 9-2           (d)  [The fees and penalties imposed by this Act or by a rule
 9-3     of the comptroller made pursuant to this Act shall be subject to
 9-4     the provisions of Chapter 111 and Sections 153.006, 153.007, and
 9-5     153.401, Tax Code, except to the extent those sections are in
 9-6     conflict with this Act.]
 9-7           [(e)]  The total amount of the fees collected annually under
 9-8     this Act may not exceed the lesser of:
 9-9                 (1)  the costs of administering and enforcing the
9-10     provisions of this Act as determined necessary by the commissioner
9-11     of agriculture; or
9-12                 (2)  $500,000.
9-13           (e) [(f)]  The fees collected under this section may be used
9-14     only[:]
9-15                 [(1)  by the comptroller to defray the cost of
9-16     collecting the fees and penalties imposed by this Act but may not
9-17     exceed $25,000 annually; or]
9-18                 [(2)]  by the commissioner of agriculture to defray the
9-19     cost of collecting fees imposed by the commissioner under this Act
9-20     and for the administration and enforcement of this Act.
9-21           SECTION 14.  The following laws are repealed:
9-22                 (1)  Sections 12.012, 62.007, and 71.052 and Subsection
9-23     (d), Section 71.058, Agriculture Code; and
9-24                 (2)  Section 825.023, Health and Safety Code.
9-25           SECTION 15.  This Act takes effect immediately if it receives
9-26     a vote of two-thirds of all the members elected to each house, as
 10-1    provided by Section 39, Article III, Texas Constitution.  If this
 10-2    Act does not receive the vote necessary for immediate effect, this
 10-3    Act takes effect September 1, 2001.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I hereby certify that S.B. No. 938 passed the Senate on
         March 22, 2001, by the following vote:  Yeas 30, Nays 0, one
         present, not voting.
                                             _______________________________
                                                 Secretary of the Senate
               I hereby certify that S.B. No. 938 passed the House on
         April 24, 2001, by the following vote:  Yeas 146, Nays 0, two
         present, not voting.
                                             _______________________________
                                                Chief Clerk of the House
         Approved:
         _______________________________
                      Date
         _______________________________
                    Governor