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A BILL TO BE ENTITLED
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AN ACT
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relating to the establishment of a program for marketing, |
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promotion, research, and education efforts regarding Texas wine; |
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authorizing assessments. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 41, Agriculture Code, is amended by |
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adding Subchapter J to read as follows: |
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SUBCHAPTER J. TEXAS WINE MARKETING, PROMOTION, RESEARCH, AND |
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EDUCATION |
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Sec. 41.251. DEFINITIONS. In this subchapter: |
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(1) "Board" means the commodity producers board |
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elected under Section 41.254. |
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(2) "Foundation" means the Texas Wine Foundation. |
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(3) "Vineyard grower" means the owner, landlord, |
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tenant, or sharecropper who is entitled to wine grapes from a |
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vineyard. |
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(4) "Wine grapes" means grapes grown for the purpose |
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of producing wine. |
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(5) "Winery" means a person who annually produces not |
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less than 200 gallons of wine from grapes grown by the person or a |
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vineyard grower. |
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Sec. 41.252. DECLARATION OF POLICY. (a) The legislature |
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intends that the marketing, promotion, research, and education |
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efforts regarding Texas wine under this subchapter use existing |
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wine industry infrastructure to the extent possible. |
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(b) The foundation shall be the certified organization to |
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plan, implement, and operate marketing, promotion, research, and |
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education programs under this subchapter. If the board establishes |
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a state wine check off program under Section 41.255, the foundation |
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shall administer that program. |
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Sec. 41.253. CONFLICT WITH GENERAL COMMODITY LAW |
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PROVISIONS. To the extent that the provisions of this subchapter |
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conflict with other provisions of this chapter, the provisions of |
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this subchapter prevail. |
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Sec. 41.254. BOARD. (a) The foundation may petition the |
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commissioner for the election of a commodity producers board under |
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this subchapter. |
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(b) The board shall be composed of 11 members elected as |
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follows: |
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(1) three vineyard growers from the Texas High Plains |
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American Viticultural Area elected by vineyard growers in that |
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region; |
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(2) one vineyard grower from the Texas Hill Country |
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American Viticultural Area elected by vineyard growers in that |
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region; |
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(3) one vineyard grower from a region other than the |
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regions described by Subdivisions (1) and (2) elected by vineyard |
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growers from regions other than the regions described by |
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Subdivisions (1) and (2); |
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(4) one winery from the region described by |
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Subdivision (2) elected by wineries in that region that purchase |
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wine grapes grown in this state; |
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(5) four wineries from regions other than the region |
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described by Subdivision (2) elected by wineries in regions other |
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than the region described by Subdivision (2) that purchase wine |
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grapes grown in this state; and |
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(6) the immediate past president of the Texas Wine and |
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Grape Growers Association. |
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(c) Board members serve staggered terms of four years with |
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five or six members' terms expiring every two years, as |
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appropriate. The initial members elected under Subsection (a) |
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shall establish the staggered terms of each initial director by lot |
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such that the positions of two or three vineyard growers and two or |
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three wineries expire at the same time. |
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Sec. 41.255. STATE WINE CHECK OFF PROGRAM. The board may |
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establish and the foundation on the board's behalf may operate a |
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state wine check off program that is separate from any wine check |
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off program established by federal law. |
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Sec. 41.256. DONATIONS. The foundation may accept gifts, |
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donations, and grants of money, including appropriated funds, from |
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the state government, the federal government, local governments, |
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private corporations, or other persons, to be used for the purposes |
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of this subchapter. |
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Sec. 41.257. ASSESSMENTS. (a) The commissioner, on the |
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recommendation of the foundation, shall propose a maximum |
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assessment amount on vineyard growers and wineries in a referendum |
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under Section 41.258. |
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(b) If an assessment referendum is approved, the foundation |
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shall recommend to the commissioner an assessment amount not |
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greater than the maximum amount approved in the referendum. After |
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the assessment is approved by the commissioner, the foundation |
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shall collect the assessment. |
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(c) An assessment levied on vineyard growers and wineries |
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shall be applied by the foundation to the marketing, promotion, |
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research, and education efforts regarding Texas wine in this state, |
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the United States, and international markets, including the |
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foundation's administrative costs and the cost of conducting an |
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assessment referendum. |
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(d) Assessments collected by the foundation are not state |
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funds and are not required to be deposited in the state treasury. |
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Sec. 41.258. CONDUCT OF REFERENDUM; BALLOTING. (a) On the |
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recommendation of the foundation, the commissioner shall conduct a |
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referendum on a maximum assessment amount proposed under Section |
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41.257. |
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(b) Only a vineyard grower or winery who has sold or |
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processed wine grapes in the last 12 months before the date of the |
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referendum is eligible to vote in the referendum. |
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(c) Except as provided by Subsection (d), an eligible |
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vineyard grower or winery may vote only once in a referendum. |
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(d) A person who is both a vineyard grower and a winery may |
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vote twice with each vote weighted accordingly under Subsection |
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(e). |
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(e) Each vineyard grower's vote is weighted according to the |
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weight of the wine grapes produced by the grower. Each winery's |
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vote is weighted according to the weight of the grapes processed by |
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the winery. In calculating the weight of wine grapes produced by a |
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vineyard grower, wine grapes sold outside this state may not be |
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considered. |
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(f) A referendum is approved if votes associated with a |
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majority of the weight of grapes grown and processed are cast in |
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favor of the referendum. |
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(g) Individual voter information, including an individual's |
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vote in a referendum conducted under this section, is confidential |
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and not subject to disclosure under Chapter 552, Government Code. |
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(h) The foundation shall pay all expenses incurred in |
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conducting a referendum with funds collected from the wine |
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industry. The foundation may recoup those expenses from |
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assessments if the referendum is approved. |
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Sec. 41.259. EXEMPTIONS. A referendum conducted under |
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Section 41.258 may provide for exemptions from the assessment for: |
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(1) a vineyard with less than three acres that produce |
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wine grapes; and |
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(2) a winery that processes less than 20,000 pounds of |
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wine grapes grown in this state. |
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SECTION 2. This Act takes effect September 1, 2017. |