1 | 1 | | By: Kolkhorst, et al. S.B. No. 829 |
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2 | 2 | | (Goodwin, Gerdes, González of El Paso) |
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3 | 3 | | Substitute the following for S.B. No. 829: No. |
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4 | 4 | | |
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5 | 5 | | |
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6 | 6 | | A BILL TO BE ENTITLED |
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7 | 7 | | AN ACT |
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8 | 8 | | relating to cottage food production operations. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | SECTION 1. Section 437.001, Health and Safety Code, is |
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11 | 11 | | amended by amending Subdivision (2-b) and adding Subdivisions (3) |
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12 | 12 | | and (5-a) to read as follows: |
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13 | 13 | | (2-b) "Cottage food production operation" means an |
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14 | 14 | | individual, operating out of the individual's home, who or a |
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15 | 15 | | nonprofit organization that: |
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16 | 16 | | (A) produces at the individual's home or the home |
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17 | 17 | | of an individual who is a director or officer of the nonprofit |
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18 | 18 | | organization, as applicable, subject to Section 437.0196: |
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19 | 19 | | (i) a baked good, including a baked good |
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20 | 20 | | that is [not] a time and temperature control for safety food, as |
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21 | 21 | | defined by Section 437.0196, but that does not contain meat, |
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22 | 22 | | poultry, shellfish, or fish; |
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23 | 23 | | (ii) candy; |
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24 | 24 | | (iii) coated and uncoated nuts; |
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25 | 25 | | (iv) unroasted nut butters; |
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26 | 26 | | (v) fruit butters; |
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27 | 27 | | (vi) a canned jam or jelly; |
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28 | 28 | | (vii) a fruit pie; |
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29 | 29 | | (viii) dehydrated fruit or vegetables, |
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30 | 30 | | including dried beans; |
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31 | 31 | | (ix) popcorn and popcorn snacks; |
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32 | 32 | | (x) cereal, including granola; |
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33 | 33 | | (xi) dry mix; |
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34 | 34 | | (xii) vinegar; |
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35 | 35 | | (xiii) pickled fruit or vegetables, |
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36 | 36 | | including beets and carrots, that are preserved in vinegar, brine, |
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37 | 37 | | or a similar solution at an equilibrium pH value of 4.6 or less; |
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38 | 38 | | (xiv) mustard; |
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39 | 39 | | (xv) roasted coffee or dry tea; |
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40 | 40 | | (xvi) a dried herb or dried herb mix; |
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41 | 41 | | (xvii) plant-based acidified canned goods; |
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42 | 42 | | (xviii) fermented vegetable products, |
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43 | 43 | | including products that are refrigerated to preserve quality; |
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44 | 44 | | (xix) frozen raw and uncut fruit or |
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45 | 45 | | vegetables; or |
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46 | 46 | | (xx) any other food that is not a time and |
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47 | 47 | | temperature control for safety food, as defined by Section |
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48 | 48 | | 437.0196, subject to Subparagraph (i); |
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49 | 49 | | (B) has an annual gross income of $100,000 |
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50 | 50 | | [$50,000] or less from the sale of food described by Paragraph (A); |
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51 | 51 | | (C) sells the foods produced under Paragraph (A) |
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52 | 52 | | [only] directly to consumers or to a cottage food vendor; and |
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53 | 53 | | (D) delivers products to the consumer or cottage |
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54 | 54 | | food vendor at the point of sale or another location designated by |
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55 | 55 | | the consumer or cottage food vendor. |
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56 | 56 | | (3) "Cottage food vendor" means a person who: |
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57 | 57 | | (A) has a contractual relationship with a cottage |
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58 | 58 | | food production operation; and |
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59 | 59 | | (B) sells food described by Subdivision |
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60 | 60 | | (2-b)(A), except baked goods, on behalf of the cottage food |
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61 | 61 | | production operation directly to consumers. |
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62 | 62 | | (5-a) "Nonprofit organization" means an organization |
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63 | 63 | | exempt from federal income tax under Section 501(a), Internal |
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64 | 64 | | Revenue Code of 1986, as an organization described by Section |
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65 | 65 | | 501(c)(3) of that code. |
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66 | 66 | | SECTION 2. Section 437.0192, Health and Safety Code, is |
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67 | 67 | | amended by amending Subsection (a) and adding Subsection (c) to |
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68 | 68 | | read as follows: |
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69 | 69 | | (a) A local government authority, including a local health |
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70 | 70 | | department, may not: |
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71 | 71 | | (1) regulate the production of food at a cottage food |
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72 | 72 | | production operation; or |
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73 | 73 | | (2) require a cottage food production operation to |
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74 | 74 | | obtain any type of license or permit or pay any fee to sell food |
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75 | 75 | | described by Section 437.001(2-b)(A) directly to a consumer or |
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76 | 76 | | cottage food vendor. |
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77 | 77 | | (c) A local government authority, including a local health |
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78 | 78 | | department, may not employ or continue to employ a person who |
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79 | 79 | | knowingly requires or attempts to require a cottage food production |
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80 | 80 | | operation to obtain a license or permit in violation of Subsection |
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81 | 81 | | (a)(2). |
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82 | 82 | | SECTION 3. Section 437.0193, Health and Safety Code, is |
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83 | 83 | | amended by amending Subsection (b) and adding Subsections (b-1) and |
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84 | 84 | | (e) to read as follows: |
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85 | 85 | | (b) The executive commissioner shall adopt rules requiring |
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86 | 86 | | a cottage food production operation to label all of the foods |
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87 | 87 | | described in Section 437.001(2-b)(A) that the operation sells to |
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88 | 88 | | consumers. The label must include: |
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89 | 89 | | (1) the name and address of the cottage food |
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90 | 90 | | production operation; [and] |
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91 | 91 | | (2) the words "prepared on" immediately followed by |
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92 | 92 | | the date on which the food is prepared; and |
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93 | 93 | | (3) the following disclosure: |
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94 | 94 | | "THIS PRODUCT WAS PRODUCED IN A PRIVATE RESIDENCE AND IS NOT |
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95 | 95 | | SUBJECT TO GOVERNMENTAL LICENSING OR INSPECTION." [a statement that |
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96 | 96 | | the food is not inspected by the department or a local health |
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97 | 97 | | department.] |
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98 | 98 | | (b-1) Notwithstanding Subsection (b)(1), a cottage food |
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99 | 99 | | production operation is not required to include on a food label the |
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100 | 100 | | address of the operation if the operation registers with the |
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101 | 101 | | department in the form and manner prescribed by the department. The |
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102 | 102 | | executive commissioner may adopt rules to implement this |
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103 | 103 | | subsection. |
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104 | 104 | | (e) A cottage food production operation that sells time and |
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105 | 105 | | temperature control for safety baked goods must include on the |
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106 | 106 | | label of the food or on an invoice or receipt provided with the food |
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107 | 107 | | when sold the following statement in at least 12-point font: "SAFE |
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108 | 108 | | HANDLING INSTRUCTIONS: To prevent illness from bacteria, keep this |
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109 | 109 | | food refrigerated or frozen until the food is prepared for |
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110 | 110 | | consumption." |
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111 | 111 | | SECTION 4. Section 437.0194, Health and Safety Code, is |
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112 | 112 | | amended by amending Subsection (a) and adding Subsection (a-1) to |
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113 | 113 | | read as follows: |
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114 | 114 | | (a) Except as provided by Subsection (a-1), a [A] cottage |
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115 | 115 | | food production operation may not sell any of the foods described in |
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116 | 116 | | Section 437.001(2-b)(A) at wholesale. |
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117 | 117 | | (a-1) A cottage food production operation may sell food |
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118 | 118 | | described by Section 437.001(2-b)(A), except baked goods, to a |
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119 | 119 | | cottage food vendor at wholesale. |
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120 | 120 | | SECTION 5. Chapter 437, Health and Safety Code, is amended |
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121 | 121 | | by adding Section 437.01953 to read as follows: |
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122 | 122 | | Sec. 437.01953. REQUIREMENTS FOR SALE OF CERTAIN BAKED |
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123 | 123 | | GOODS. A cottage food production operation that sells to consumers |
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124 | 124 | | time and temperature control for safety baked goods shall: |
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125 | 125 | | (1) store and deliver the food at the air temperature |
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126 | 126 | | necessary to prevent the growth of bacteria that may cause human |
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127 | 127 | | illness; and |
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128 | 128 | | (2) label the food in accordance with Section |
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129 | 129 | | 437.0193(e). |
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130 | 130 | | SECTION 6. Section 437.0196(a), Health and Safety Code, is |
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131 | 131 | | amended to read as follows: |
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132 | 132 | | (a) In this section, "time and temperature control for |
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133 | 133 | | safety food" means a food that requires time and temperature |
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134 | 134 | | control for safety to limit pathogen growth or toxin production. |
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135 | 135 | | The term includes a food that must be held under proper temperature |
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136 | 136 | | controls, such as refrigeration, to prevent the growth of bacteria |
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137 | 137 | | that may cause human illness. A time and temperature control for |
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138 | 138 | | safety food may include a food that contains protein and moisture |
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139 | 139 | | and is neutral or slightly acidic, such as meat, poultry, fish, and |
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140 | 140 | | shellfish products, pasteurized and unpasteurized milk and dairy |
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141 | 141 | | products, raw seed sprouts, [baked goods that require |
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142 | 142 | | refrigeration, including cream or custard pies or cakes,] and ice |
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143 | 143 | | products. The term does not include a food that uses time and |
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144 | 144 | | temperature control for safety food as ingredients if the final |
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145 | 145 | | food product does not require time or temperature control for |
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146 | 146 | | safety to limit pathogen growth or toxin production. |
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147 | 147 | | SECTION 7. Chapter 437, Health and Safety Code, is amended |
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148 | 148 | | by adding Section 437.01965 to read as follows: |
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149 | 149 | | Sec. 437.01965. COTTAGE FOOD VENDOR. (a) A cottage food |
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150 | 150 | | vendor may sell food described by Section 437.001(2-b)(A), except |
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151 | 151 | | baked goods, directly to consumers at a farmers' market, farm |
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152 | 152 | | stand, food service establishment, or any retail store. |
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153 | 153 | | (b) A cottage food vendor who sells food described by |
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154 | 154 | | Section 437.001(2-b)(A) must display in a prominent place near the |
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155 | 155 | | location where the food is offered for sale a sign with the |
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156 | 156 | | following disclosure: |
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157 | 157 | | "THIS PRODUCT WAS PRODUCED IN A PRIVATE RESIDENCE AND IS NOT |
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158 | 158 | | SUBJECT TO GOVERNMENTAL LICENSING OR INSPECTION." |
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159 | 159 | | (c) A cottage food vendor that purchases food from a cottage |
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160 | 160 | | food production operation at wholesale shall register with the |
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161 | 161 | | department in the form and manner prescribed by the department. The |
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162 | 162 | | executive commissioner may adopt rules to implement this |
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163 | 163 | | subsection. |
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164 | 164 | | SECTION 8. This Act takes effect September 1, 2023. |
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