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  S.B. No. 1427
 
 
 
 
AN ACT
  relating to the administration of the citrus budwood certification
  program and the creation of the citrus nursery stock certification
  program; providing civil, criminal, and administrative penalties
  and authorizing fees.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  The heading to Chapter 19, Agriculture Code, is
  amended to read as follows:
  CHAPTER 19.  CITRUS BUDWOOD AND CITRUS NURSERY STOCK CERTIFICATION
  PROGRAMS [PROGRAM]
         SECTION 2.  Section 19.001, Agriculture Code, is amended to
  read as follows:
         Sec. 19.001.  PURPOSE. The purpose of this chapter is to:
               (1)  establish a certified citrus budwood program to
  produce citrus trees that are horticulturally sound, are free from
  virus and other recognizable bud-transmissible diseases, and are of
  an assured type of citrus variety;
               (2)  establish a certified citrus nursery program for
  citrus nursery stock sold in the citrus zone as part of an effort to
  produce citrus trees that are free from pathogens, including citrus
  greening disease, which is spread by the Asian citrus psyllid;
               (3)  provide standards for foundation groves,
  certified citrus nurseries, and certified citrus nursery trees; and
               (4) [(3)]  provide for an advisory council to make
  recommendations on the implementation of the programs [program].
         SECTION 3.  Section 19.002, Agriculture Code, is amended by
  adding Subdivisions (1-a), (2-a), (2-b), and (5-a) and amending
  Subdivisions (4) and (5) to read as follows:
               (1-a)  "Asian citrus psyllid" has the meaning assigned
  by Section 80.003.
               (2-a)  "Certified citrus nursery" means a nursery that
  meets standards required by the department for production of citrus
  nursery stock free from pests of citrus.
               (2-b)  "Certified citrus nursery stock" means citrus
  nursery stock propagated from cuttings or by budding, grafting, or
  air-layering and grown from certified citrus budwood that meets
  standards required by the department for assurance of type of
  citrus variety and for freedom from dangerous pathogens.
               (4)  "Citrus grower" means a citrus producer growing
  and producing citrus nursery stock for commercial or retail
  marketing purposes.
               (5)  "Citrus nursery" means a producer of citrus
  trees[,] propagated through the budding or grafting of citrus trees
  using certified citrus budwood.
               (5-a)  "Citrus nursery stock" means citrus plants to be
  used in a commercial or noncommercial setting.
         SECTION 4.  Section 19.003, Agriculture Code, is amended to
  read as follows:
         Sec. 19.003.  SCOPE.  Except as otherwise provided by this
  chapter, this [This] chapter applies to all citrus nurseries and
  citrus growers.
         SECTION 5.  Chapter 19, Agriculture Code, is amended by
  adding Sections 19.0031 and 19.0041 to read as follows:
         Sec. 19.0031.  CITRUS ZONE. The following counties are
  designated as the citrus zone of this state for the purpose of this
  chapter:  Brooks, Cameron, Hidalgo, Jim Hogg, Kenedy, Starr,
  Willacy, and Zapata.
         Sec. 19.0041.  CITRUS NURSERY STOCK CERTIFICATION PROGRAM.
  (a)  The citrus nursery stock certification program is
  established. The department administers the program.
         (b)  The department shall accomplish the purposes of the
  program through the certification of nurseries growing or selling
  citrus nursery stock in the citrus zone.
         (c)  All citrus nursery stock grown in or sold in the citrus
  zone must be grown in a certified citrus nursery.
         (d)  The department, in consultation with the advisory
  council, shall set standards for certified citrus nurseries and
  citrus nursery stock certification, and shall inspect citrus
  nurseries and the records of citrus nurseries to ensure that citrus
  nurseries comply with the provisions of the citrus nursery stock
  certification program.
         (e)  The department shall provide for an annual renewal of a
  certificate for a certified citrus nursery, including the
  imposition of applicable fees.  The department shall renew the
  certificate if the nursery maintains the standards set by the
  department under Subsection (d).
         SECTION 6.  Section 19.006, Agriculture Code, is amended to
  read as follows:
         Sec. 19.006.  RULES. The department, with the advice of the
  advisory council, shall adopt standards and rules:
               (1)  necessary to administer the citrus budwood
  certification program and the citrus nursery certification
  program; [and]
               (2)  to regulate the sale of citrus budwood and citrus
  nursery trees as supplies of certified citrus budwood and certified
  citrus nursery trees become available; and
               (3)  requiring citrus nursery stock sold in the citrus
  zone to be propagated:
                     (A)  using certified citrus budwood; and
                     (B)  in an enclosed structure that:
                           (i)  is built to specifications as
  determined by department rule; and
                           (ii)  has a top and sides that are built to
  exclude insects that may transmit citrus pathogens.
         SECTION 7.  Sections 19.007, 19.008, 19.009, 19.010, and
  19.011, Agriculture Code, are amended to read as follows:
         Sec. 19.007.  CERTIFICATION STANDARDS.  (a)  The department
  shall establish:
               (1)  the certification standards for genetic purity for
  varieties of citrus budwood by type;
               (2)  procedures that must be followed to prevent the
  introduction of dangerous citrus pathogens into budwood stock from
  and in foundation groves;
               (3)  procedures for certification of citrus budwood
  grown in foundation groves; and
               (4)  procedures for certification of citrus nurseries
  and citrus nursery trees.
         (b)  The department shall establish standards and procedures
  for:
               (1)  inspecting and testing for diseases, using current
  technologies in disease diagnosis, and for desirable horticultural
  characteristics of citrus budwood grown in designated foundation
  groves;
               (2)  certifying citrus budwood and citrus nurseries
  meeting requirements established under this chapter;
               (3)  maintaining a source of citrus budwood of superior
  tested varieties for distribution to the citrus industry;
               (4)  verifying propagation of citrus varieties and
  special rootstocks for growers on request, including an inspection
  of the citrus nursery's books and records; [and]
               (5)  maintaining appropriate records required for
  participation in the citrus budwood certification and citrus
  nursery stock certification programs;
               (6)  inspecting citrus nurseries to ensure that the
  structures in which citrus nursery stock is propagated meet
  standards set by the department, including standards for:
                     (A)  size;
                     (B)  construction;
                     (C)  insect resistance;
                     (D)  citrus nursery sanitation;
                     (E)  movement of the citrus nursery stock from one
  structure to another at the nursery;
                     (F)  proximity to nearby citrus groves; and
                     (G)  other standards for the operation of a
  certified nursery as may be required by the department; and
               (7)  requiring each citrus nursery to submit source
  tree bud cutting reports to the department not later than the 30th
  day after citrus trees are budded [program].
         Sec. 19.008.  APPLYING FOR FOUNDATION GROVE DESIGNATION,
  [AND] BUDWOOD CERTIFICATION, AND CITRUS NURSERY CERTIFICATION.
  (a)  A person who desires to operate a foundation grove and produce
  certified citrus budwood for sale to the citrus industry must 
  [shall] apply for foundation grove designation and citrus budwood
  certification in accordance with rules adopted by the department.
         (b)  A person who desires to operate a citrus nursery to
  propagate citrus nursery stock for sale in the citrus zone must
  apply for citrus nursery certification in accordance with rules
  adopted by the department.
         Sec. 19.009.  REVOCATION. The department shall establish
  rules regarding the revocation of foundation grove designation,
  [and] citrus budwood certification, and citrus nursery
  certification.
         Sec. 19.010.  PROGRAM COST; FEES; ACCOUNT. (a)  The
  department shall set and collect fees from persons applying for
  foundation grove designation, [or] citrus budwood certification,
  or citrus nursery certification. The department shall set the fees
  in an amount that recovers the department's costs in administering
  and enforcing the citrus budwood certification program and the
  citrus nursery certification program. The department may also
  accept funds from the citrus industry or other interested persons
  to cover the costs of administering the programs [program].
         (b)  All fees and funds collected or contributed under this
  section shall be deposited to the credit of an account in the
  general revenue fund. Money in the account may be appropriated only
  to the department for the purpose of administering and enforcing
  this chapter.
         Sec. 19.011.  STOP-SALE ORDER. (a)  If a person offers
  citrus budwood or a citrus nursery tree for sale falsely claiming
  that it is certified, [or] that it comes from a designated
  foundation grove, or that it comes from a certified citrus nursery,
  or offers citrus budwood, [or] a citrus nursery tree, or citrus
  nursery stock for sale in violation of rules adopted under this
  chapter, the department may issue a written order to stop the sale
  of that citrus budwood, [or] citrus nursery tree, or citrus nursery
  stock. A person may not sell citrus budwood, [or] a citrus nursery
  tree, or citrus nursery stock that is subject to a stop-sale order
  under this section until:
               (1)  the sale is permitted by a court under Subsection
  (b); or
               (2)  the department determines that the sale of the
  citrus budwood, [or] citrus nursery tree, or citrus nursery stock
  is in compliance with this chapter and rules adopted under this
  chapter.
         (a-1)  The department may issue a written order to stop the
  sale of citrus nursery stock from a citrus nursery or to stop the
  operation of all or part of a citrus nursery if a person propagates
  citrus nursery stock in a citrus nursery for sale in the citrus zone
  and:
               (1)  the person falsely claims that the citrus nursery
  is certified; or
               (2)  if the citrus nursery is certified, the person
  fails to comply with the rules adopted under this chapter.
         (a-2)  A person may not sell citrus nursery stock out of a
  citrus nursery, or operate a citrus nursery or a part of a citrus
  nursery, that is subject to a stop-sale order under this section
  until:
               (1)  the sale is permitted by a court under Subsection
  (b); or
               (2)  the department determines that the citrus nursery
  is in compliance with this chapter and rules adopted under this
  chapter.
         (b)  The person named in the order may bring suit in a court
  in the county where the citrus budwood, [or] citrus nursery tree, or
  citrus nursery subject to the stop-sale order is located. After a
  hearing, the court may, as applicable, permit the citrus budwood or
  citrus nursery tree to be sold, or permit the citrus nursery to
  continue operations, if the court finds, as applicable, the citrus
  budwood or citrus nursery tree is not being offered for sale or that
  the citrus nursery is not operating in violation of this chapter.
         (c)  This section does not limit the department's right to
  act under another section of this chapter.
         (d)  The department shall inspect each citrus nursery in the
  citrus zone not less than once every two months in order to enforce
  this section.
         SECTION 8.  Subsection (a), Section 19.012, Agriculture
  Code, is amended to read as follows:
         (a)  A person commits an offense if the person:
               (1)  sells or offers to sell citrus budwood, [or] a
  citrus nursery tree, or citrus nursery stock falsely claiming that
  it is certified or that it comes from a designated foundation grove
  or a certified citrus nursery;
               (2)  uses, for commercial purposes, citrus budwood that
  is required by department rule to be certified and is not certified
  or does not come from a designated foundation grove; [or]
               (3)  sells or offers to sell in the citrus zone citrus
  nursery stock that has not been propagated in a certified citrus
  nursery;
               (4)  operates, in the citrus zone for the propagation
  of citrus nursery stock, a citrus nursery that is not a certified
  citrus nursery or that is not in compliance with this chapter or a
  rule adopted under this chapter;
               (5)  operates, outside of the citrus zone for the
  propagation of citrus nursery stock for sale in the citrus zone, a
  citrus nursery that is not a certified citrus nursery or that is not
  in compliance with this chapter or a rule adopted under this
  chapter; or
               (6)  fails to comply with an order of the department
  issued under this chapter.
         SECTION 9.  Subsections (a) and (c), Section 19.013,
  Agriculture Code, are amended to read as follows:
         (a)  A person who violates this chapter, a rule adopted under
  this chapter, or an order adopted under this chapter is liable to
  the state for a civil penalty not to exceed $500 for each violation.
  Each day a violation continues is a separate violation for purposes
  of civil penalty assessment.
         (c)  A civil penalty collected under this section in a suit
  filed by the attorney general shall be deposited to the credit of an
  account in the general revenue fund. A civil penalty collected
  under this section in a suit filed by a county or district attorney
  shall be divided between the state and the county in which the
  county or district attorney brought suit, with 50 percent of the
  amount collected paid to the state for deposit to the credit of an
  account in the general revenue fund and 50 percent of the amount
  collected paid to the county.  Funds credited to the account in the
  general revenue fund may be appropriated only to the department for
  purposes of administering and enforcing this chapter and rules
  adopted under this chapter.
         SECTION 10.  Section 19.014, Agriculture Code, is amended to
  read as follows:
         Sec. 19.014.  ADMINISTRATIVE PENALTIES. The department may
  assess an administrative penalty under Chapter 12 for a violation
  of this chapter if the department finds that a person:
               (1)  sells or offers to sell citrus budwood, [or] a
  citrus nursery tree, or citrus nursery stock falsely claiming that
  it is certified or that it comes from a designated foundation grove
  or a certified citrus nursery under this chapter;
               (2)  uses citrus budwood in violation of rules adopted
  under this chapter;
               (3)  uses, for commercial purposes, citrus budwood that
  is required by department rule to be certified and is not certified
  or does not come from a designated foundation grove; [or]
               (4)  sells or offers to sell citrus nursery stock in the
  citrus zone falsely claiming that the citrus nursery stock was
  propagated in a certified citrus nursery;
               (5)  operates, in the citrus zone for the propagation
  of citrus nursery stock, a citrus nursery that is not a certified
  citrus nursery or that is not in compliance with this chapter or a
  rule adopted under this chapter;
               (6)  operates, outside of the citrus zone for the
  propagation of citrus nursery stock for sale in the citrus zone, a
  citrus nursery that is not a certified citrus nursery or that is not
  in compliance with this chapter or a rule adopted under this
  chapter; or
               (7)  fails to comply with an order of the department
  issued under this chapter.
         SECTION 11.  Not later than October 1, 2013, the Department
  of Agriculture shall adopt rules to administer Chapter 19,
  Agriculture Code, as amended by this Act.
         SECTION 12.  The changes in law made by this Act apply only
  to an offense committed on or after the effective date of this Act.
  An offense committed before the effective date of this Act is
  covered by the law in effect when the offense was committed, and the
  former law is continued in effect for that purpose. For purposes of
  this section, an offense was committed before the effective date of
  this Act if any element of the offense was committed before that
  date.
         SECTION 13.  The changes in law made by this Act apply only
  to a violation committed on or after the effective date of this Act.
  A violation committed before the effective date of this Act is
  covered by the law in effect when the violation was committed, and
  the former law is continued in effect for that purpose.
         SECTION 14.  This Act takes effect September 1, 2013.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1427 passed the Senate on
  May 1, 2013, by the following vote:  Yeas 30, Nays 1.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1427 passed the House on
  May 8, 2013, by the following vote:  Yeas 142, Nays 5, two present
  not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor