82R6721 TRH-F
By: Landtroop H.B. No. 1361
A BILL TO BE ENTITLED
AN ACT
relating to the regulation of public grain warehouse operators.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 14.066(a), Agriculture Code, is amended
to read as follows:
(a) A department action or order affecting a warehouse
operator under this chapter[, other than by rulemaking, assessment
of an administrative penalty, or imposition of a license sanction,
including a suspension under Section 14.083(c),] is appealable in
accordance with this section unless the action involves:
(1) rulemaking;
(2) the assessment of an administrative penalty;
(3) the imposition of a license sanction; or
(4) any other action for which a specific
administrative or judicial remedy is available under:
(A) this chapter;
(B) Chapter 12; or
(C) Chapter 2001, Government Code.
SECTION 2. Section 14.082, Agriculture Code, is amended by
amending Subsection (a) and adding Subsection (g) to read as
follows:
(a) If the department determines that a warehouse operator
does not possess sufficient grain to cover outstanding receipts and
outstanding scale weight tickets issued or assumed by the warehouse
operator, or if a warehouse operator refuses or is unable to submit
records or property for lawful inspection or the department is
unable to conduct an inspection of the warehouse due to the
condition of the warehouse or grain stored in the warehouse, the
department may seal the warehouse to prevent delivery or receipt of
grain except as authorized by the department, suspend the warehouse
operator's license, and give notice to the warehouse operator
requiring the warehouse operator to:
(1) submit records or property for inspection;
(2) correct any condition interfering with the
department's inspection of a warehouse or grain; or
(3) cover a shortage of a particular type of grain by:
(A) [(1)] storing to the credit of or delivering
to each depositor affected by the shortage grain of the same type
and quality that is stored at any of the warehouse operator's
licensed warehouses in this state and that has been designated as
company-owned grain by the warehouse operator;
(B) [(2)] purchasing and storing to the credit of
or delivering to each depositor affected by the shortage grain of
the same type and quality;
(C) [(3)] selling company-owned grain of a
different type and paying to each depositor affected by the
shortage, on a pro rata basis, the market value of the depositor's
grain as determined on the day the shortage was discovered by the
department; or
(D) [(4)] using any combination of the remedies
described by Paragraphs (A)-(C) [Subdivisions (1)-(3)] or another
fair and reasonable method for meeting the shortage approved by the
department.
(g) A suspension issued under this section remains in effect
until lifted by the department through written notice to the
warehouse operator or following an appeal under Section 14.066.
SECTION 3. Section 14.083, Agriculture Code, is amended by
amending Subsection (c) and adding Subsection (f) to read as
follows:
(c) In addition to or in lieu of a suspension authorized by
this chapter, if [If] the department considers it necessary, the
department may without a hearing suspend a license and prohibit the
movement of grain into or out of a warehouse [without a hearing] for
not more than 30 days. For good cause shown, the department may
extend a suspension issued under this subsection for one or more
additional periods of up to 30 days each but not to cumulatively
exceed 90 [30] days in one licensing period.
(f) A suspension issued under Subsection (c) remains in
effect until the suspension:
(1) is lifted by the department through written notice
to the warehouse operator;
(2) is lifted by the department following an appeal
under Section 14.066; or
(3) expires by operation of law in accordance with:
(A) the department's notice of suspension; or
(B) the ending of the period specified by
Subsection (c).
SECTION 4. Section 14.082(f), Agriculture Code, is
repealed.
SECTION 5. This Act takes effect September 1, 2011.