S.B. No. 691
AN ACT
relating to an animal share exemption for certain meat and meat food
products; providing a civil penalty.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter A, Chapter 433, Health and Safety
Code, is amended by adding Section 433.0065 to read as follows:
Sec. 433.0065. ANIMAL SHARE EXEMPTION; CIVIL PENALTY. (a)
In this section, "animal share" means an ownership interest in one
or more identified livestock animals created by a contract between
a farmer or rancher who owns the livestock and a prospective
co-owner of the livestock.
(b) An animal share executed by a co-owner and a farmer or
rancher under this section must include:
(1) a bill of sale the farmer or rancher provides to
the co-owner conveying an ownership interest in the livestock;
(2) a provision authorizing the farmer or rancher to
board the livestock and arrange preparation of the livestock as
meat and meat food products for the co-owner; and
(3) a provision entitling the co-owner to a share of
meat and meat food products derived from the livestock.
(c) The provisions of this chapter requiring inspection of
livestock before slaughter and inspection of the preparation of
meat and meat food products do not apply to the slaughter of
livestock and preparation of meat and meat food products if:
(1) ownership of the livestock under an animal share
is established before the livestock is slaughtered and the meat and
meat food products are prepared;
(2) the meat and meat food products are:
(A) prepared from livestock subject to an animal
share and delivered to the establishment preparing the products by
the farmer or rancher boarding the livestock; and
(B) following preparation, delivered directly to
the co-owner;
(3) on delivery of the meat or meat food products to
the co-owner, the establishment provides to the co-owner notice
that the department has not inspected the meat or meat food products
in:
(A) a separate written statement that
prominently displays the warning; or
(B) a warning statement prominently displayed on
a label affixed to the meat or meat food product packaging;
(4) the label affixed to the meat or meat food product
clearly and conspicuously states "Not for Sale"; and
(5) the farmer or rancher provides to the co-owner
information describing the standards the farmer or rancher followed
in maintaining livestock health and preparing the meat and meat
food products derived from the livestock.
(d) A person may not sell, donate, or commercially
redistribute meat or meat food products produced in accordance with
this section. A person who violates this subsection is liable to
this state for a civil penalty in the amount of $10,000 for each
violation. The attorney general may bring an action to recover a
civil penalty authorized under this subsection and may recover
reasonable expenses incurred in obtaining the civil penalty,
including court costs, attorney's fees, investigative costs,
witness fees, and deposition expenses.
(e) A farmer or rancher may not publish a statement that
implies department approval or endorsement regarding meat or meat
food products delivered pursuant to an animal share.
(f) The adulteration and misbranding provisions of this
chapter, other than the requirement of an inspection legend, apply
to meat or meat food products prepared by a processing
establishment under this section.
(g) This section does not authorize the preparation of meat
or meat food products in violation of the Federal Meat Inspection
Act (21 U.S.C. Section 601 et seq.).
SECTION 2. Section 433.024(b), Health and Safety Code, is
amended to read as follows:
(b) The department shall inspect each slaughtering
establishment whose primary business is the selling of livestock to
be slaughtered by the purchaser on premises owned or operated by the
seller. This subsection does not nullify the provisions in Section
433.006 relating to exemptions or Section 433.0065 relating to an
animal share exemption.
SECTION 3. This Act takes effect September 1, 2023.
______________________________ ______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 691 passed the Senate on
April 3, 2023, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
I hereby certify that S.B. No. 691 passed the House on
May 19, 2023, by the following vote: Yeas 126, Nays 17,
two present not voting.
______________________________
Chief Clerk of the House
Approved:
______________________________
Date
______________________________
Governor