82R14389 T
 
  By: Miller of Comal H.B. No. 3289
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to expenditure of certain wine related revenue
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 205.03, Alcoholic Beverage Code, is
  amended to read as follows:
         Sec. 205.03.  EXCEPTION FOR CERTAIN WINE-RELATED REVENUE.
  (a) In this section, "institution of higher education" has the
  meaning assigned by Section 61.003, Education Code.
         (b)  Notwithstanding Section 205.02, the following revenue
  may be appropriated for each state fiscal year only as specified by
  this section:
               (1)  the lesser of:
                     (A)  the amount, if any, by which the amount of
  revenue derived from excise taxes on wine produced in a state other
  than Texas and any sales taxes collected from holders of
  out-of-state winery direct shipper's permits as a result of the
  passage of Senate Bill No. 877 by the 79th Legislature, Regular
  Session, 2005, according to the most recent projection, as of
  the011beginning of the fiscal year, by the comptroller for the
  fiscal year exceeds the amount of revenue from those sources for
  fiscal year 2004 2010, compounded annually for fiscal years
  2005-2015 2011-2021. by the average percentage by which revenue
  from those sources increased from one fiscal year to the next
  between September 1, 1999, and August 31, 2003; or
                     (B)  $1 million $500,000; and
               (2)  the lesser of:
                     (A)  the amount, if any, by which revenue derived
  from excise taxes on wine produced in this state and sales taxes
  remitted by holders of winery permits in this state, according to
  the most recent projection, as of the beginning of the fiscal year,
  by the comptroller for the fiscal year exceeds the amount of revenue
  from those sources for fiscal year 2004, 2010 compounded annually
  for fiscal years 2005-2015 2011-2021 by the average percentage by
  which revenue from those sources increased from one fiscal year to
  the next between September 1, 1999, and August 31, 2003; or
                     (B)  $1 million $500,000.
         (c)  Out of the amounts available under Subsections (b)(1)
  and (2) for a fiscal year, the lesser of $50,000 25,000 or the total
  amount available under those subdivisions may be appropriated only
  to the Texas Cooperative Extension for extension viticulture
  operations.
         (d)  If the amount available for a fiscal year under
  Subsections (b)(1) and (2) exceeds $50,000 25,000, the lesser of
  $50,000 25,000 or the total amount available under those
  subdivisions may be appropriated only to the Texas Agricultural
  Experiment Station for viticulture research.
         (e)  If the amount available for a fiscal year under
  Subsections (b)(1) and (2) exceeds $100,000, 50,000 the lesser of
  the amount remaining under Subsection (b)(2) or $65,000 $32,500 may
  be appropriated only to the Texas Wine Marketing Research Institute
  at Texas Tech University.
         (f)  If the amount available for a fiscal year under
  Subsections (b)(1) and (2) exceeds the amounts that may be
  appropriated under Subsections (c), (d), and (e), the lesser of the
  amount remaining under Subsections (b)(1) and (2) or $280,000
  $140,000 may be appropriated only to the Department of Agriculture
  for distribution as provided by Subsections (g), (h), and (i).
         (g)  Except as provided by Subsections (h) and (i), money
  appropriated to the Department of Agriculture under Subsection (f)
  may be distributed only as follows:
               (1)  the lesser of the total amount appropriated to the
  department under Subsection (f) or $50,000 $25,000 shall be
  distributed to an appropriate institution of higher education to
  fund a new part-time extension faculty position in enology;
               (2)  if the amount appropriated under Subsection (f)
  exceeds $50,000, $25,000 the lesser of the remaining amount or
  $50,000 $25,000 shall be distributed to an appropriate institution
  of higher education for extension enology operations;
               (3)  if the amount appropriated under Subsection (f)
  exceeds $100,000, $50,000 the lesser of the remaining amount or
  $50,000 $50,000 shall be distributed to the institution of higher
  education designated under Subdivision (1) to fund a new part-time
  faculty position in enology research;
               (4)  if the amount appropriated under Subsection (f)
  exceeds $150,000, $75,000 the lesser of the remaining amount or
  $50,000 $25,000 shall be distributed to an appropriate institution
  of higher education to fund enology research program operations;
               (5)  if the amount appropriated under Subsection (f)
  exceeds $200,000, $100,000 the lesser of the remaining amount or
  $30,000 $15,000 shall be distributed to an appropriate institution
  of higher education for technical support personnel for enology
  research; and
               (6)  if the amount appropriated under Subsection (f)
  exceeds $230,000, $115,000 the lesser of the remaining amount or
  $50,000 $25,000 shall be distributed to an appropriate institution
  of higher education to fund two graduate internships in enology.
         (h)  If the maximum amount that may be distributed for a
  purpose provided by Subsection (g) is not available and the
  commissioner of agriculture determines that the amount available
  for that purpose is insufficient to achieve that purpose, the
  commissioner of agriculture may deposit the lesser amount into the
  wine industry development fund to be used for a purpose described by
  Subsection (l).
         (i)  Money appropriated under Subsection (f) derived from
  Subsection (b)(1) may be used only for a purpose described by
  Subsection (m).
         (j)  If the amount available for a fiscal year under
  Subsections (b)(1) and (2) exceeds the amount that may be
  appropriated under Subsections (c)-(g), the lesser of the amount
  remaining under Subsections (b)(1) and (2) or $50,000 $25,000 may
  be appropriated only for distribution to the T. V. Munson
  Viticulture and Enology Center at Grayson Community College to fund
  the associate degree program at the center.
         (k)  If the amount available for a fiscal year under
  Subsections (b)(1) and (2) exceeds the amount that may be
  appropriated under Subsections (c)-(j):
               (1)  the lesser of the amount remaining under
  Subsection (b)(2) or $250,000 $125,000 may be appropriated only to
  the commission; and
               (2)  the commission shall reduce the amount of the
  surcharge imposed during the following fiscal year under Section
  5.55, as added by Chapter 101, Acts of the 78th Legislature, Regular
  Session, 2003, on permit and license holders who are not authorized
  to sell wine by an amount that will reduce the total amount
  collected under that section by the amount appropriated to the
  commission under Subdivision (1).
         (l)  If the amount available for a fiscal year under
  Subsections (b)(1) and (2) exceeds the amounts that may be
  appropriated under Subsections (c)-(k), the remaining amount shall
  be deposited in the general revenue fund to the credit of the wine
  industry development fund and may be appropriated only to the
  Department of Agriculture. Money appropriated under this
  subsection may be used only for the purpose of providing funding to
  public or private entities to conduct surveys, research, and other
  projects related to a purpose described by Subsection (m) or (n).
         (m)  Revenue derived under Subsection (b)(1) and not
  otherwise appropriated under Subsections (c)-(k) may be
  appropriated only for the purpose of:
               (1)  developing viticulture-related and
  enology-related education programs;
               (2)  eliminating and eradicating Pierce's disease, the
  glassy-winged sharpshooter, and other diseases and pests that
  negatively impact the production of grapes and wine in the United
  States; or
               (3)  developing technologies, strategies, or practices
  that could benefit the production of grapes and wine in the United
  States.
         (n)  Revenue derived under Subsection (b)(2) and not
  otherwise appropriated under Subsections (c)-(k) may be
  appropriated only for the purposes of increasing the economic
  impact of the Texas wine producing industry on the state.
         (o)  The comptroller shall provide the Department of
  Agriculture information necessary to allow the department to
  identify the amount of revenue appropriated to the department that
  is derived under Subsection (b)(1) and the amount of that revenue
  that is derived under Subsection (b)(2) so that the department may
  distribute the revenue in accordance with this section.
         (p)  This section expires September 1, 2015 2021.
         SECTION 2.  This Act takes effect September 1, 2011.