HBA-MPM H.B. 3598 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3598 By: Capelo Public Health 3/18/2001 Introduced BACKGROUND AND PURPOSE Currently, the Texas Department of Health (TDH) regulates distressed food, drugs, devices, and cosmetics for the purpose of reintroducing these goods into normal commerce. TDH regulates the goods using applicable provisions of the Texas Food, Drug, and Cosmetic Act and the Texas Food, Drug, Device, and Cosmetic Salvage Act. These two acts work in unison to protect consumers from unnecessary health risks associated with adulterated and misbranded products. House Bill 3598 clarifies the authority granted to TDH through the Texas Food, Drug, and Cosmetic Act as it applies to licensed salvagers. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 3598 amends the Health and Safety Code to provide that the Texas Food, Drug, and Cosmetic Act applies to a food, drug, device, or cosmetic that is distressed merchandise or has been subject to reconditioning in accordance with the Texas Food, Drug, Device, and Cosmetic Salvage Act. The bill provides that in relation to distressed merchandise, law prohibiting the introduction or delivery, receipt, or distribution in commerce of goods that are adulterated or misbranded does not prohibit the introduction or delivery or receipt in commerce for the purpose of reconditioning according to the Texas Food, Drug, Device, and Cosmetic Salvage Act. The bill prohibits the commissioner of health (commissioner) or an authorized agent from detaining or embargoing an article, including an article that is distressed merchandise, that is in the possession of a person licensed under the Texas Food, Drug, Device, and Cosmetic Salvage Act and that is being held for the purposes of reconditioning unless the commissioner or agent finds or has probable cause to believe that the article cannot be adequately and lawfully reconditioned. The bill provides an affirmative defense to prosecution under these provisions if the conduct charged is exempt because the actions were for the purposes of reconditioning. H.B. 3598 provides that a person licensed under the Texas Food, Drug, Device, and Cosmetic Salvage Act and who engages only in conduct within the scope of that license is not required to be licensed under the Texas Food, Drug, and Cosmetic Act. The bill stipulates that an exemption from licensing requirements under these provisions do not exempt a person from other provisions of law governing food manufacturers and food wholesalers or rules adopted by the Texas Board of Health. EFFECTIVE DATE On passage, of if the Act does not receive the necessary vote, the Act takes effect September 1, 2001.