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A BILL TO BE ENTITLED
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AN ACT
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relating to foods produced by a cottage food production operation |
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and a cottage food industry study. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 437.001(2-b), Health and Safety Code, is |
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amended to read as follows: |
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(2-b) "Cottage food production operation" means an |
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individual, operating out of the individual's home, who: |
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(A) produces at the individual's home, subject to |
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Section 437.0196: |
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(i) a baked good that is not a potentially |
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hazardous food, as defined by Section 437.0196; |
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(ii) candy; |
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(iii) coated and uncoated nuts; |
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(iv) unroasted nut butters; |
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(v) fruit butters; |
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(vi) a canned jam or jelly; |
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(vii) a fruit pie; |
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(viii) dehydrated fruit or vegetables, |
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including dried beans; |
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(ix) popcorn and popcorn snacks; |
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(x) cereal, including granola; |
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(xi) dry mix; |
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(xii) vinegar; |
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(xiii) pickled vegetables, including |
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pickled beets and carrots [pickles]; |
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(xiv) mustard; |
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(xv) roasted coffee or dry tea; [or] |
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(xvi) a dried herb or dried herb mix; or |
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(xvii) subject to Section 437.01951: |
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(a) fermented products; or |
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(b) canned goods that are acidified or |
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low acid; |
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(B) has an annual gross income of $50,000 or less |
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from the sale of food described by Paragraph (A); |
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(C) sells the foods produced under Paragraph (A) |
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only directly to consumers at the individual's home, a farmers' |
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market, a farm stand, or a municipal, county, or nonprofit fair, |
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festival, or event; and |
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(D) delivers products to the consumer at the |
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point of sale or another location designated by the consumer. |
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SECTION 2. Chapter 437, Health and Safety Code, is amended |
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by adding Sections 437.01951 and 437.01952 to read as follows: |
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Sec. 437.01951. APPROVAL REQUIRED FOR CERTAIN COTTAGE FOOD |
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PRODUCTS. (a) A cottage food production operation producing a |
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fermented product or a canned good that is acidified or low acid |
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shall, before making the product or good available for sale: |
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(1) submit to the department the recipe and a |
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description of the process used to produce the product or good; and |
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(2) obtain department approval to sell the product or |
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good. |
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(b) A recipe submitted to the department under this section |
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is a trade secret for purposes of Section 552.110, Government Code, |
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and is exempt from disclosure under Chapter 552, Government Code. |
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Sec. 437.01952. STUDY ON COMPETITIVENESS OF STATE'S COTTAGE |
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FOOD INDUSTRY. (a) The department, using existing resources, |
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shall study the competitiveness of this state's cottage food |
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industry. The study must: |
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(1) compare this state's cottage food industry laws to |
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the industry-related laws enacted by each state of the United |
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States; and |
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(2) determine: |
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(A) the specific areas in which this state's |
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cottage food industry laws are more or less restrictive than other |
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states' laws; and |
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(B) the effect of this state's laws on the |
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competitiveness of this state's cottage food industry. |
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(b) Not later than December 1, 2020, the department shall |
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submit to the legislature a report that includes the findings of the |
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study conducted under this section and the department's |
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recommendations for increasing the competitiveness of this state's |
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cottage food industry. |
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(c) This section expires September 1, 2021. |
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SECTION 3. Not later than January 1, 2020, the executive |
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commissioner of the Health and Human Services Commission shall |
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adopt rules to implement Section 437.01951, Health and Safety Code, |
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as added by this Act. |
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SECTION 4. This Act takes effect September 1, 2019. |