AGRICULTURE CODE
TITLE 3. AGRICULTURAL RESEARCH AND PROMOTION
CHAPTER 41. COMMODITY PRODUCERS BOARDS
SUBCHAPTER A. GENERAL PROVISIONS
§ 41.001. POLICY. It is in the interest of the public
welfare of the State of Texas that the producers of any agricultural
commodity be permitted and encouraged to develop, carry out, and
participate in programs of research, disease and insect control,
predator control, education, and promotion designed to encourage
the production, marketing, and use of the agricultural commodity.
The purpose of this chapter is to authorize and prescribe the
necessary procedures by which the producers of an agricultural
commodity grown in this state may finance those programs. The
programs may be devised to alleviate any circumstance or condition
that serves to impede the production, marketing, or use of any
agricultural commodity.
Acts 1981, 67th Leg., p. 1081, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.002. DEFINITIONS. In this chapter:
(1) "Agricultural commodity" means an agricultural,
horticultural, viticultural, or vegetable product, bees and honey,
planting seed, rice, livestock or livestock product, or poultry or
poultry product, produced in this state, either in its natural
state or as processed by the producer. The term does not include
flax.
(2) "Board" means a commodity producers board.
(3) "Commissioner" means the commissioner of
agriculture.
(4) "District" means a geographical area within the
jurisdiction of a board.
(5) "Processor" means a person within this state who:
(A) is a purchaser, warehouseman, processor, or
other commercial handler of an agricultural commodity;
(B) processes planting seeds; or
(C) is the mortgagee of an agricultural commodity
if the mortgage did not cover the commodity in its state as a
growing crop and if the mortgage was executed at a time when the
commodity was ready for marketing.
(6) "Producer" means a person engaged in the business
of producing or causing to be produced for commercial purposes an
agricultural commodity. The term includes the owner of a farm on
which the commodity is produced and the owner's tenant or
sharecropper.
(7) "Person" means an individual, firm, corporation,
association, or any other business unit.
(8) "Secretary-treasurer" means the
secretary-treasurer of a board.
Acts 1981, 67th Leg., p. 1082, ch. 388, § 1, eff. Sept. 1, 1981.
Amended by Acts 1983, 68th Leg., p. 3184, ch. 545, § 1; Acts
1987, 70th Leg., ch. 109, § 1, eff. May 18, 1987; Acts 2003, 78th
Leg., 3rd C.S., ch. 3, § 25.02, eff. Jan. 11, 2004.
SUBCHAPTER B. CERTIFICATION OF ORGANIZATIONS TO CONDUCT REFERENDUM
AND ELECTION
§ 41.011. PETITION FOR CERTIFICATION. (a) Any
nonprofit organization authorized under the laws of this state
representing the producers of an agricultural commodity may
petition the commissioner for certification as the organization
authorized to conduct an assessment referendum and an election of a
commodity producers board.
(b) If the referendum and election are to be conducted in a
limited area of the state, the petition must describe the
boundaries of the area to be included.
(c) The petition must propose a board with an odd number of
five to 15 members.
Acts 1981, 67th Leg., p. 1082, ch. 388, § 1, eff. Sept. 1, 1981.
Amended by Acts 2003, 78th Leg., ch. 1170, § 7.01, eff. Sept. 1,
2003.
§ 41.012. CERTIFICATION BY COMMISSIONER. (a) Within
30 days following the day on which a petition for certification is
received, the commissioner shall hold a public hearing to consider
the petition.
(b) If the commissioner determines that, on the basis of
testimony presented at the public hearing, the petitioning
organization is representative of the producers of the agricultural
commodity within the boundaries described in the petition and that
the petition conforms to the purposes and provisions of this
chapter, the commissioner shall certify that the organization is
representative of the producers of the commodity within the
described area and is authorized to conduct the assessment
referendum and board election.
Acts 1981, 67th Leg., p. 1083, ch. 388, § 1, eff. Sept. 1, 1981.
SUBCHAPTER C. REFERENDA AND ELECTIONS
§ 41.021. CERTIFIED ORGANIZATION TO CONDUCT REFERENDUM
AND ELECTION. In accordance with this subchapter and the rules of
the commissioner, a certified organization may conduct a referendum
of the producers of an agricultural commodity on the proposition of
whether or not the producers shall levy an assessment on themselves
to finance programs of research, disease and insect control,
predator control, education, and promotion designed to encourage
the production, marketing, and use of the commodity. At the same
time, the certified organization may conduct an election of members
to a commodity producers board for the commodity.
Acts 1981, 67th Leg., p. 1083, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.022. RULES OF COMMISSIONER. In order to ensure
efficient and honest elections and efficient canvassing and
reporting of returns, the commissioner shall adopt rules regulating
the form of the ballot, the conduct of the election, and the canvass
and reporting of returns.
Acts 1981, 67th Leg., p. 1083, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.023. NOTICE OF REFERENDUM AND ELECTION. (a) The
certified organization shall give public notice of:
(1) the date, hours, and polling places for voting in
the referendum and election;
(2) the estimated amount and basis of the assessment
proposed to be collected;
(3) whether a producer exemption is to be allowed in
accordance with Section 41.082; and
(4) a description of the manner in which the
assessment is to be collected and the proceeds administered and
used.
(b) The notice under Subsection (a) of this section shall be
published in one or more newspapers published and distributed
within the boundaries described in the petition. The notice shall
be published for not less than once a week for three consecutive
weeks, beginning at least 60 days before the date of the election.
In addition, at least 60 days before the date of the election the
certified organization shall give direct written notice to each
county agent in any county within the boundaries described in the
petition.
Acts 1981, 67th Leg., p. 1083, ch. 388, § 1, eff. Sept. 1, 1981.
Amended by Acts 1983, 68th Leg., p. 3184, ch. 545, § 2.
§ 41.024. BASIS OF REFERENDUM AND ELECTION; ELIGIBLE
VOTERS. (a) Subject to the approval of the commissioner, the
certified organization may conduct the referendum and election
under this chapter either on an area or statewide basis, as
determined by the organization in its petition for certification.
(b) A producer of the agricultural commodity is eligible to
vote in the referendum and election if:
(1) the producer's production occurs within the area
described in the organization's petition; and
(2) the producer would be required under the
referendum to pay the assessment.
Acts 1981, 67th Leg., p. 1083, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.025. CANDIDATES FOR BOARD; WRITE-IN
VOTES. (a) Any producer who is eligible to vote at the referendum
and election is eligible to be a member or a candidate for
membership on the commodity producers board.
(b) A potential candidate must file with the certified
organization an application to have his or her name printed on the
ballot. The application must be signed by the candidate and by at
least 10 producers who are eligible to vote at the election. The
application must be filed at least 30 days before the date set for
the election.
(c) A voter may vote for board members by writing in the name
of any eligible person whose name is not printed on the ballot.
Acts 1981, 67th Leg., p. 1084, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.026. PREPARATION AND DISTRIBUTION OF
BALLOT. (a) The certified organization shall prepare and
distribute all necessary ballots in advance of the referendum and
election.
(b) The referendum provisions of the ballot shall specify a
maximum rate for the authorized assessment.
(c) The election provisions of the ballot may be printed
only with the names of candidates who have filed valid petitions
under Section 41.025 of this code, but the ballot shall provide a
space for write-in votes.
(d) The ballot shall provide a space for the voter to
certify the volume of the voter's production of the commodity
within the area described in the petition during the preceding year
or other relevant production period, as designated on the ballot.
Acts 1981, 67th Leg., p. 1084, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.027. EXPENSES OF ELECTION. The certified
organization is responsible for all expenses incurred in connection
with the referendum and election, but it may be reimbursed for
actual and necessary expenses out of funds deposited in the
treasury of the board if the assessment is levied and collected.
Acts 1981, 67th Leg., p. 1084, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.028. EXEMPTIONS FOR PRODUCERS. The original
referendum and subsequent biennial board elections may provide
exemptions for producers within the boundaries described in the
petition if the exemptions are included in full written form on the
election ballot and are approved by two-thirds or more of those
voting in the election.
Acts 1981, 67th Leg., p. 1084, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.029. VOID BALLOTS. (a) In any contest of an
election, a ballot is void if the voter overstated his or her volume
of production by more than 10 percent. Any other error in stating
volume of production is not grounds for invalidating the ballot.
(b) If a ballot is void or if any other error is made in
stating production volume, the returns shall be corrected and the
results adjusted accordingly.
Acts 1981, 67th Leg., p. 1084, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.030. FINDINGS OF COMMISSIONER. On receiving the
report of the returns of a referendum and election, the
commissioner shall determine:
(1) the number of votes cast for and against the
referendum proposition;
(2) the total volume of production of the commodity
during the relevant production period in the area described in the
petition;
(3) the percentage of the total volume of production
of the commodity that was produced by those voting in favor of the
referendum proposition; and
(4) the appropriate number of candidates receiving the
highest number of votes for membership on the commodity producers
board.
Acts 1981, 67th Leg., p. 1085, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.031. CERTIFICATION OF RESULTS. If the
commissioner finds that two-thirds or more of those voting in the
election voted in favor of the referendum proposition or that those
voting in favor of the proposition produced at least 50 percent of
the volume of production of the commodity during the relevant
production period, the commissioner shall publicly certify the
adoption of the referendum proposition and issue certificates of
election to those persons elected to the board. Otherwise, the
commissioner shall publicly certify that the referendum
proposition was defeated.
Acts 1981, 67th Leg., p. 1085, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.032. SUBSEQUENT BOARD ELECTIONS. A commodity
producers board shall conduct biennial elections for the purpose of
electing members to the board. The board shall give notice and hold
the election in accordance with the applicable provisions of this
subchapter relating to the initial election and, to the extent
necessary, in accordance with the rules of the commissioner.
Acts 1981, 67th Leg., p. 1085, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.033. ELECTION OF BOARD FROM DISTRICTS. (a) In
accordance with the rules of the commissioner, a certified
organization or established board may provide for election of all
or any number of the members of the board from districts. Each plan
must be submitted to the commissioner for approval.
(b) In order to represent a district on the board, a person
must reside within that district. Only voters residing in a
district may vote for candidates for the position representing the
district.
(c) With the approval of the commissioner, a district
representation plan may be modified.
Acts 1981, 67th Leg., p. 1085, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.034. ELECTIONS TO ADD NEW
TERRITORY. (a) Producers of an agricultural commodity in an area
not within the jurisdiction of a board for that commodity may
petition the commissioner to authorize a referendum within an area
specified in the petition on the issue of whether or not the area is
to be included within the jurisdiction of that board. The petition
must be submitted to the commissioner at least 105 days before the
date of the election at which the referendum is to be conducted.
(b) If the commissioner determines that in the area
described there exists among the producers of the commodity an
interest in becoming subject to the jurisdiction of the board that
is substantial enough to justify a referendum, the commissioner may
transmit the petition to the board with an order authorizing the
board in its discretion to conduct the election at its own expense.
The petition and order must be transmitted to the board at least 75
days before the date of the election.
(c) The referendum shall be held on the date of the biennial
election of board members. The board shall give public notice of:
(1) the date of the election;
(2) the amount and basis of the assessment collected
by the board;
(3) a description of the manner in which the
assessment is collected and the proceeds administered and used;
and
(4) any other proposition the board proposes to
include on the ballot as authorized or required by this chapter.
(d) The notice under Subsection (c) of this section shall be
published in one or more newspapers published and distributed, or
generally circulated, within the boundaries described in the
petition. The notice shall be published at least once a week for
three consecutive weeks, beginning at least 60 days before the date
of the election. In addition, at least 60 days before the date of
the election the board shall give direct written notice to each
county agent in any county within the described boundaries.
(e) A person is qualified to vote in the referendum if he or
she is or, for at least one production period during the three years
preceding the date of the referendum, has been a producer of the
commodity whose production occurs within the area described in the
petition.
(f) A producer who is qualified to vote in the referendum is
eligible to be a member of or a candidate for membership on the
board. If the board is elected from districts, a producer within
the described boundaries may be a candidate only for at-large
positions on the board, if any. In order to qualify as a candidate,
the producer must comply with Section 41.025 of this code, except
that the application shall be filed with the board and may not be
filed before the first publication of notice under Subsection (d)
of this section.
(g) In the area described in the petition, the ballot shall
be prepared and distributed and the election shall be conducted in
accordance with the rules of the commissioner under Section 41.022
of this code.
(h) Except as otherwise provided in this subsection, voters
qualified to vote in the referendum are entitled to vote for
candidates for membership on the board and for any other
proposition printed on the ballot for the regular election. If
board members are elected from districts, voters in the area
described in the petition may vote only for at-large positions, if
any.
(i) The ballots cast in the area described in the petition
shall be canvassed, and the returns reported, separately from the
ballots cast in other areas. On those returns, the board shall
perform the functions of the commissioner described in Section
41.030 of this code, except that the board shall certify whether the
referendum proposition carried or was defeated in the area
described in the petition. If the referendum proposition is
defeated, the ballots cast in the area described in the petition may
not be counted for any other purpose. If the proposition carries,
the returns shall be included in determining the election of board
members and the outcome of other propositions. The area described
in the petition becomes subject to the jurisdiction of the board on
the day following the date that the result is certified.
Acts 1981, 67th Leg., p. 1085, ch. 388, § 1, eff. Sept. 1, 1981.
SUBCHAPTER D. ORGANIZATION, POWERS, AND DUTIES OF BOARDS
§ 41.051. BOARD ESTABLISHED. If the commissioner
certifies adoption of a referendum proposition under Section 41.031
of this code, the board is established and has the powers and duties
prescribed by this chapter.
Acts 1981, 67th Leg., p. 1087, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.052. STATE AGENCY. (a) Each board is a state
agency for purposes of indemnification and is exempt from taxation
in the same manner and to the same extent as are other agencies of
the state.
(b) Each board is a governmental unit for purposes of
Section 101.001, Civil Practice and Remedies Code, and is a
governmental body for purposes of Chapters 551 and 552, Government
Code.
Acts 1981, 67th Leg., p. 1087, ch. 388, § 1, eff. Sept. 1, 1981.
Amended by Acts 2001, 77th Leg., ch. 52, § 7, eff. May 7, 2001.
§ 41.053. ORGANIZATIONAL MEETING; TERMS OF
OFFICE. (a) On receiving certificates of election from the
commissioner, the members of the commodity producers board shall
meet and organize.
(b) Members of the initial board shall draw lots so that
one-third, or as near one-third as possible, of the members shall
hold office for two years, one-third, or as near one-third as
possible, for four years, and one-third, or as near one-third as
possible, for six years. Thereafter, members of the board serve for
terms of six years.
(c) Each member holds office until a successor is elected
and has qualified.
Acts 1981, 67th Leg., p. 1087, ch. 388, § 1, eff. Sept. 1, 1981.
Amended by Acts 2003, 78th Leg., ch. 1170, § 7.02, eff. Sept. 1,
2003.
§ 41.054. OFFICERS; BOND. (a) The board shall elect
from its number a chairman, a secretary-treasurer, and other
officers that it considers necessary.
(b) The secretary-treasurer shall execute a corporate
surety bond in an amount required by the board. The bond shall be
conditioned on the secretary-treasurer faithfully accounting for
all money that comes into the custody of the officer. The bond
shall be filed with the commissioner.
Acts 1981, 67th Leg., p. 1087, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.055. VACANCY. The board shall fill any vacancy on
the board by appointment for the unexpired term.
Acts 1981, 67th Leg., p. 1087, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.056. MAJORITY VOTE REQUIREMENT. A majority vote of
all members present is necessary for an action of the board to be
valid.
Acts 1981, 67th Leg., p. 1087, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.057. COMPENSATION. Members of the board serve
without compensation but are entitled to reimbursement for
reasonable and necessary expenses incurred in the discharge of
their duties.
Acts 1981, 67th Leg., p. 1087, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.058. POWERS AND DUTIES. (a) The board may employ
necessary personnel, fix the amount and manner of their
compensation, and incur other expenses that are necessary and
proper to enable the board to effectively carry out the purposes of
this chapter.
(b) The board may adopt rules consistent with the purposes
of this chapter.
(c) The board shall keep minutes of its meetings and other
books and records that clearly reflect all acts and transactions of
the board. The board shall open its records to examination by any
participating producer during regular business hours.
(d) The board shall set the rate of the assessment. The rate
may not exceed the maximum established in the election authorizing
the assessment or a subsequent election establishing a maximum
rate.
(e) The board may act separately or in cooperation with any
person in developing, carrying out, and participating in programs
of research, disease and insect control, predator control,
education, and promotion designed to encourage the production,
marketing, and use of the commodity on which the assessment is
levied.
Acts 1981, 67th Leg., p. 1087, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.059. BUDGET; ANNUAL REPORT; AUDITS. (a) The
board shall file with the commissioner a proposed budget and may
expend funds only after the commissioner has approved the budget.
If after thorough review the commissioner disapproves the proposed
budget, the commissioner shall return the proposed budget to the
submitting board not later than the 45th day after the date on which
the proposed budget is submitted with a statement of reasons for
disapproval.
(b) Accounts of the board are subject to audit by the state
auditor.
(c) Within 30 days following the end of each fiscal year of
the board, the board shall submit to the commissioner a report
itemizing all income and expenditures and describing all activities
of the board during the previous fiscal year.
Acts 1981, 67th Leg., p. 1088, ch. 388, § 1, eff. Sept. 1, 1981.
Amended by Acts 1989, 71st Leg., ch. 230, § 35, eff. Sept. 1,
1989.
§ 41.060. DEPOSITORY BANK; EXPENDITURE OF
FUNDS. (a) The secretary-treasurer shall deposit all money
received by the board under this chapter, including assessments,
donations from persons, and grants from governmental agencies, in a
bank selected by the board.
(b) Money received by the board may be expended for any
purpose under this chapter.
(c) Funds assessed and collected under this chapter may not
be expended for use directly or indirectly to promote or oppose the
election of any candidate for public office or to influence
legislation.
Acts 1981, 67th Leg., p. 1088, ch. 388, § 1, eff. Sept. 1, 1981.
SUBCHAPTER E. ASSESSMENTS
§ 41.081. COLLECTION OF ASSESSMENT. (a) The processor
at a commodity process point determined by the board shall collect
the assessment. Except as provided by Subsection (b) of this
section, the processor at that point shall collect the assessment
by deducting the appropriate amount from the purchase price of the
commodity or from any funds advanced for that purpose.
(b) If the producer and processor are the same legal entity,
or if the producer retains ownership after processing, the
processor shall collect the assessment directly from the producer
at the time of processing.
(c) The secretary-treasurer of the board, by registered or
certified mail, shall notify each processor of the duty to collect
the assessment, the manner in which the assessment is to be
collected, and the date on or after which the processor is to begin
collecting the assessment.
(d) The amount of the assessment collected shall be clearly
shown on the sales invoice or other document evidencing the
transaction. The processor shall furnish a copy of the document to
the producer.
(e) Unless otherwise provided by the original referendum,
no later than the 10th day of each month the processor shall remit
the amount collected during the previous month to the
secretary-treasurer of the board.
Acts 1981, 67th Leg., p. 1088, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.082. PRODUCER EXEMPTION. (a) A producer may
exempt his or her product sales from assessment by filing a signed
request for exemption with the processor at the time of each sale
unless the notice of referendum to authorize the assessment or to
add new territory stated that such an exemption would not be allowed
or unless any board established prior to September 1, 1983, adopts a
rule denying such an exemption. The processor shall include copies
of the exemption request with the remittance of collected
assessments to the secretary-treasurer.
(b) The commissioner shall prescribe the form of the request
for exemption. The board shall furnish the prescribed form to each
processor within the board's jurisdiction.
Acts 1981, 67th Leg., p. 1088, ch. 388, § 1, eff. Sept. 1, 1981.
Amended by Acts 1983, 68th Leg., p. 3185, ch. 545, § 3.
§ 41.083. PRODUCER REFUNDS. (a) A producer who has
paid an assessment may obtain a refund of the amount paid by filing
an application for refund with the secretary-treasurer within 60
days after the date of payment. The application must be in writing,
on a form prescribed by the board for that purpose, and accompanied
by proof of payment of the assessment.
(b) The secretary-treasurer shall pay the refund to the
producer before the 11th day of the month following the month in
which the application for refund and proof of payment are received.
Acts 1981, 67th Leg., p. 1089, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.084. INCREASE OF ASSESSMENT. At any biennial board
election, the board may submit to the voters a proposition to
increase the maximum rate of assessment. The proposition is
approved and the new maximum rate is in effect if two-thirds or more
of those voting vote in favor of the proposition or if those voting
in favor of the proposition produced at least 50 percent of the
volume of production of the commodity during the relevant
production period.
Acts 1981, 67th Leg., p. 1089, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.085. DISCONTINUANCE OF ASSESSMENT. (a) If 10
percent or more of the producers participating in the program
present to the secretary-treasurer a petition calling for a
referendum of the qualified voters on the proposition of
discontinuing the assessment, the board shall conduct a referendum
for that purpose.
(b) The board shall give notice of the referendum, the
referendum shall be conducted, and the results shall be declared in
the manner provided by law for the original referendum and
election, with any necessary exceptions provided by rule of the
commissioner.
(c) The board shall conduct the referendum within 90 days of
the date of filing of the petition.
(d) Approval of the proposition is by majority vote of those
voting. If the proposition is approved, the assessment is
abolished.
Acts 1981, 67th Leg., p. 1089, ch. 388, § 1, eff. Sept. 1, 1981.
SUBCHAPTER F. REMEDIES AND PENALTIES
§ 41.101. FAILURE TO REMIT ASSESSMENT. (a) The board
may investigate conditions that relate to the prompt remittance of
the assessment by any producer or processor. If the board has
probable cause to believe that a person has failed to collect an
assessment or failed to remit to the board an assessment as required
by this chapter, the board may:
(1) independently institute proceedings for recovery
of the amount due to the board or for injunctive or other
appropriate relief;
(2) request the attorney general, or the county or
district attorney having jurisdiction, or both, to institute
proceedings in the board's behalf; or
(3) forward to the department for action under Section
41.1011 a complaint and any original evidence or other information
establishing probable cause.
(b) Suit under this section may be brought in Travis County
or a county in which the person who is alleged to have failed to
collect or remit an assessment conducts business related to the
commodity subject to the uncollected or unpaid assessment.
(c) The remedies provided by this section are cumulative of
other remedies provided by law.
Acts 1981, 67th Leg., p. 1089, ch. 388, § 1, eff. Sept. 1, 1981.
Amended by Acts 2001, 77th Leg., ch. 374, § 2, eff. May 25, 2001.
§ 41.1011. ACTION BY DEPARTMENT. (a) On receipt of a
complaint from the board under Section 41.101(a)(3), the department
may investigate, audit, and inspect the records of the person who is
the subject of the complaint, provided that any audit or inspection
must take place during normal business hours.
(b) On determination by the department that a person has
failed to collect an assessment or failed to remit to the board an
assessment collected from a producer or processor, the department
may:
(1) request a hearing under Section 12.032 to
determine the amount of payment due to the board, including
interest at an annual rate of 10 percent, and issue an order that
the person pay the required amount to the board;
(2) impose an appropriate administrative penalty; and
(3) request the attorney general or a county or
district attorney having jurisdiction to bring an action for
appropriate civil or criminal penalties or injunctive relief.
(c) The attorney general may bring a civil action to enforce
an order of the department and collect any amounts owed under the
order, including costs and fees under Subsection (d).
(d) On prevailing in an action commenced by the department
through the attorney general or a county or district attorney under
this section, the department and the attorney general or county or
district attorney are each entitled to recover, in addition to
other relief available:
(1) investigation costs and fees;
(2) reasonable attorney's fees; and
(3) court costs.
(e) Suit under this section may be brought in Travis County
or a county in which the person who failed to collect or remit an
assessment conducts business related to the commodity subject to
the uncollected or unpaid assessment.
(f) An assessment and any interest collected under this
section shall be deposited in the account of the board that levied
the assessment.
(g) The remedies provided by this section are cumulative of
other remedies provided by law.
Added by Acts 2001, 77th Leg., ch. 374, § 3, eff. May 25, 2001.
§ 41.102. SUSPENSION OR REVOCATION OF LICENSE. In
addition to other remedies provided by law, a violation of any
provision of Subchapters B-E of this chapter is grounds for
suspension or revocation of any license or permit issued by the
commissioner. The suspension or revocation shall be conducted in
accordance with the procedures provided by law for suspension or
revocation on the basis of other grounds.
Acts 1981, 67th Leg., p. 1090, ch. 388, § 1, eff. Sept. 1, 1981.
§ 41.103. GENERAL PENALTY. (a) A person commits an
offense if the person violates any provision of Subchapters B-E of
this chapter.
(b) An offense under this section is a Class C misdemeanor.
Acts 1981, 67th Leg., p. 1090, ch. 388, § 1, eff. Sept. 1, 1981.
Amended by Acts 1989, 71st Leg., ch. 230, § 36, eff. Sept. 1,
1989.
§ 41.104. USE OF FUNDS FOR POLITICAL ACTIVITY. (a) A
member of a board commits an offense if the member:
(1) wilfully spends or assists in spending money in
violation of Section 41.060(c) of this code; or
(2) without causing or attempting to cause his or her
dissent to be entered in the records or minutes of the board,
participates in a meeting or session of the board in which money is
authorized or directed to be expended in violation of Section
41.060(c) of this code.
(b) An offense under this section is a misdemeanor
punishable by a fine of not less than $100 nor more than $1,000.
Acts 1981, 67th Leg., p. 1090, ch. 388, § 1, eff. Sept. 1, 1981.
SUBCHAPTER G. SUSPENSION OF ACTIVITIES OF CERTAIN BOARDS
§ 41.125. INACTIVE STATUS. (a) The Texas Mohair
Producers Board and the Texas Pork Producers Board are inactive as
provided by Section 41.126 of this code until reactivated under
Section 41.127 of this code. Neither board is abolished, and a
referendum election under Subchapter C of this chapter is not
required to reactivate either board.
(b) The Southern Rolling Plains Cotton Producers Board and
the Texas Soybean Producers Board are inactive as provided by
Section 41.126 of this code until reactivated under Section 41.127
of this code. Neither board is abolished, and a referendum election
under Subchapter C of this chapter is not required to reactivate
either board.
Added by Acts 1989, 71st Leg., ch. 94, § 1, eff. May 15, 1989.
Amended by Acts 1993, 73rd Leg., ch. 93, § 1, eff. Aug. 30, 1993;
Acts 1997, 75th Leg., ch. 243, § 1, eff. May 23, 1997.
§ 41.126. POWERS AND DUTIES. (a) A board listed in
Subsection (a) of Section 41.125 of this code may not exercise any
powers under this chapter after the end of the board's 1989 fiscal
year other than preparing and submitting the fiscal year 1989
report required by Subsection (c) of Section 41.059 of this code.
(b) The Southern Rolling Plains Cotton Producers Board may
not exercise any powers under this chapter after the end of the
board's 1993 fiscal year other than preparing and submitting the
fiscal year 1993 report required by Subsection (c) of Section
41.059 of this code.
(c) The Texas Soybean Producers Board may not exercise any
powers under this chapter after the end of the board's 1997 fiscal
year other than preparing and submitting the fiscal year 1997
report required by Subsection (c) of Section 41.059 of this code.
(d) After submitting the report required by Subsection (a),
(b), or (c) of this section, the board may not conduct biennial
elections under Section 41.032 of this code or submit the report
required by Subsection (c) of Section 41.059 of this code.
(e) The board may collect the assessment only during the
fiscal year for which a report is required by Subsection (a), (b),
or (c) of this section.
(f) The board shall disburse funds as provided in the budget
of the fiscal year for which a report is required by Subsection (a),
(b), or (c) of this section. Money of the board remaining on the
first day after that fiscal year shall remain in the board's
depository bank until the board is reactivated or the department by
rule provides for the disposition of the funds.
(g) Members of the board serving on the date the final
report is submitted continue to serve until their successors are
elected and qualify for office.
Added by Acts 1989, 71st Leg., ch. 94, § 1, eff. May 15, 1989.
Amended by Acts 1993, 73rd Leg., ch. 93, § 2, eff. Aug. 30, 1993;
Acts 1997, 75th Leg., ch. 243, § 2, eff. May 23, 1997.
§ 41.127. REACTIVATION. (a) The commissioner shall
order the reactivation of a board listed in Subsection (a) or (b) of
Section 41.125 of this code if:
(1) a majority of the members of the board petition the
commissioner to reactivate the board and the commissioner
determines that reactivation of the board is in the best interest of
the producers subject to assessment by the board; or
(2) for a board listed in Subsection (a) of Section
41.125 of this code, a federal assessment is not assessed on mohair
or pork, as applicable.
(b) If a board is reactivated, the board will consist of:
(1) members of the board whose terms have not expired;
and
(2) persons elected at an election held as provided by
Subsection (c) of this section.
(c) An election shall be held after reactivation to fill any
vacancies on the board. The election shall be held in the manner
provided for the biennial election of members by Section 41.032 of
this code. Persons elected shall draw lots to determine the length
of each person's term.
Added by Acts 1989, 71st Leg., ch. 94, § 1, eff. May 15, 1989.
Amended by Acts 1993, 73rd Leg., ch. 93, § 3, eff. Aug. 30, 1993.
SUBCHAPTER H. TEXAS BEEF MARKETING, EDUCATION, RESEARCH, AND
PROMOTION
§ 41.151. DEFINITIONS. In this subchapter:
(1) "Beef products" means products produced in whole
or in part from beef. The term does not include milk or products
made from milk.
(2) "Board" means the board of directors of the Texas
Beef Council.
(3) "Council" means the Texas Beef Council.
(4) "Producer" means a person who owns or acquires
ownership of cattle, except that a person is not a producer if the
person's only share in the proceeds of a sale of cattle or beef is a
sales commission, handling fee, or other service fee.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.152. DECLARATION OF POLICY. (a) The legislature
intends that the promotion, marketing, research, and educational
efforts regarding beef and beef products under this subchapter use
existing cattle industry infrastructure to the extent possible.
(b) The council shall be recognized as the entity to plan,
implement, and operate research, education, promotion, and
marketing programs under this subchapter.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.153. ADMINISTRATIVE COSTS. The department may
recover costs for administration of this subchapter.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.154. ANNUAL REPORT. The council shall deliver to
the commissioner and the appropriate oversight committee in the
senate and house of representatives an annual report giving details
of its efforts to carry out the purposes of this subchapter.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.155. CONFLICT WITH GENERAL COMMODITY LAW
PROVISIONS. To the extent that the provisions of this subchapter
conflict with other provisions of this chapter, the provisions of
this subchapter prevail.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.156. BOARD MEMBERS. (a) The board is composed of
21 members appointed by the commissioner as follows:
(1) three representatives of the Texas and
Southwestern Cattle Raisers Association;
(2) three representatives of the Texas Cattle Feeders
Association;
(3) three representatives of the Texas Farm Bureau;
(4) two representatives of the Independent Cattlemen's
Association;
(5) two representatives of the Texas purebred cattle
industry;
(6) two representatives of the Texas dairy industry;
(7) two representatives of the Livestock Marketing
Association of Texas;
(8) one representative of meat packer and exporter
associations;
(9) one representative of Texas CattleWomen; and
(10) two at-large directors.
(b) A board member serves a one-year term.
(c) The commissioner shall fill a vacancy on the board by
appointment for the unexpired term.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.157. GENERAL POWERS OF COUNCIL. The council may
take action or exercise other authority as necessary to execute any
act authorized by this subchapter or the Texas Non-Profit
Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil
Statutes).
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.158. DONATIONS. The council may accept gifts,
donations, and grants of money, including appropriated funds, from
state government, federal government, local governments, private
corporations, or other persons, to be used for the purposes of this
subchapter.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.159. BORROWING. The council may borrow money on
approval of the commissioner.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.160. ASSESSMENTS; APPLICABILITY OF OTHER
LAW. (a) The commissioner, on the recommendation of the council,
shall propose the maximum assessment in a referendum under Section
41.162.
(b) If an assessment referendum is approved, the council
shall collect the assessment.
(c) An assessment levied on producers may be applied to
efforts relating to the marketing, education, research, and
promotion of beef and beef products in Texas, the United States, and
international markets.
(d) Assessments collected by the council are not state funds
and are not required to be deposited in the state treasury.
(e) Section 41.083 applies to an assessment collected by the
council under this subchapter. Section 41.082 does not apply to an
assessment collected under this subchapter.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.161. FINANCIAL OVERSIGHT. (a) The commissioner
shall annually review and approve the council's operating budget.
(b) The commissioner and the state auditor at any time may
inspect the financial records of the council.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.162. CONDUCT OF REFERENDUM; BALLOTING. (a) On
the recommendation of the council, the commissioner shall conduct a
referendum authorized under this subchapter.
(b) Only a producer who has owned cattle in the last 12
months before the date of the referendum is eligible to vote in the
referendum.
(c) An eligible producer may vote only once in a referendum.
(d) Each producer's vote is entitled to equal weight
regardless of the producer's volume of production.
(e) A referendum is approved if a simple majority of votes
are cast in favor of the referendum.
(f) Individual voter information, including an individual's
vote in a referendum conducted under this section, is confidential
and not subject to disclosure under Chapter 552, Government Code.
(g) The council shall pay all expenses incurred in
conducting a referendum.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.163. RULES. The commissioner may adopt rules as
necessary to implement this subchapter, including rules relating
to:
(1) the auditing of the financial records of the
council;
(2) fidelity bonds required for certain council
employees;
(3) conflicts of interest;
(4) penalties; and
(5) a statewide referendum under Section 41.156.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
§ 41.164. PENALTIES. (a) A person who violates this
subchapter or a rule adopted under this subchapter commits an
offense.
(b) An offense under this section is a Class C misdemeanor.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, § 25.03, eff.
Jan. 11, 2004.
