C.S.H.B. 2133 78(R)    BILL ANALYSIS


C.S.H.B. 2133
By: Campbell
Agriculture & Livestock
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

The purpose of this legislation is to amend four sections of the
Agriculture Code to address statutory issues of concern to the Texas
Department of Agriculture (TDA).  The four issues include fees charged by
TDA regulatory programs, insurance provisions governing public grain
warehouses, establishment of a voluntary certification program for
producers transitioning to organic production practices and maintenance of
phytosanitary certificates. 

RULEMAKING AUTHORITY

It is the committee's opinion that rulemaking authority is expressly
granted to the Texas Department of Agriculture in SECTION 1
(Sec.12.034)(Agriculture Code) and SECTION 4 (Sec. 71.051(a) and (c)
(Agriculture Code) of this bill. 

ANALYSIS

C.S.H.B.2133 allows the TDA to provide a waiver of a licensing,
registration, or certification fee collected by the department.  The bill
clarifies that only the grain placed by depositors is insured, as opposed
to coverage including both the depositor's grain and grain owned by the
grain storage company.  The bill clarifies that the grain is insured from
certain water and other fluid damages that are insurable.  Floods and
other rising waters resulting from natural disasters are exempted.  The
bill allows TDA to establish a voluntary transition organic program.
C.S.H.B. 2133 requires the shipper of a nursery or floral product to
obtain a phytosanitary certificate, but eliminates the requirement that
the certification be filed with TDA. 

EFFECTIVE DATE

September 1, 2003.

COMPARISON OF ORIGINAL TO SUBSTITUTE

The original bill as filed was unclear as to what grain was insured.  It
was also unclear to as the types of water and fluid disasters that were
insurable.  The substitute clarifies that only the depositor's grain is
insured, and that it is insured from insurable types of disasters.  The
substitute also places in statute current practices for the temporary
storage of grain.