HB 501-FN - AS AMENDED BY THE HOUSE

8Jan2020... 2856h

11Mar2020... 0675h

2019 SESSION

19-0088

08/04

HOUSE BILL 501-FN

AN ACT using fees from registration of commercial animal food sellers to fund the cost of care program in the department of agriculture, markets, and food and establishing a commission to study the identification of unregistered animal feed products being sold remotely in New Hampshire.

SPONSORS: Rep. O'Connor, Rock. 6; Rep. Bixby, Straf. 17

COMMITTEE: Environment and Agriculture

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AMENDED ANALYSIS

This bill uses fees from registration of commercial animal food sellers to fund the cost of care program.

This bill also establishes the remote sellers of unregistered animal feed products study commission.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

8Jan2020... 2856h

11Mar2020... 0675h 19-0088

08/04

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Nineteen

AN ACT using fees from registration of commercial animal food sellers to fund the cost of care program in the department of agriculture, markets, and food and establishing a commission to study the identification of unregistered animal feed products being sold remotely in New Hampshire.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1  Registration of Commercial Animal Food Sellers.  Amend RSA 435:20, IV to read as follows:

IV.  One-half of the fees collected under this section shall be deposited with the state treasurer into a separate, nonlapsing account to be known as the agricultural product and scale testing fund.  The remainder of the fees collected under this section shall be deposited in the general fund, provided that for each biennium, the commissioner of agriculture, markets, and food shall include in the department's biennial request for appropriations pursuant to RSA 9:4 an amount sufficient to fund an adequate cost of care fund as provided in RSA 437-B:1.  

2  Cost of Care Fund.  Amend RSA 437-B:1, II to read as follows:

II.  The treasurer shall deposit in the cost of care fund court-ordered restitution for care in animal cruelty cases under RSA 644:8 or RSA 644:8-a as specified in paragraph VI and moneys received from RSA 435:20, IV provided the balance in the cost of care fund shall not exceed $2,000,000.  

3  New Subparagraph; Cost of Care Fund.  Amend RSA 6:12, I(b) by inserting after subparagraph (358) the following new subparagraph:

(359)  Moneys deposited in the cost of care fund established in RSA 437-B:1.

4  New Section; Remote Sellers of Unregistered Animal Feed Products; Study Commission.  Amend RSA 435 by inserting after section 31 the following new section:

435:31-a  Commission to Study Remote Sellers of Unregistered Animal Feed Products.

I.  There is established a commission to study the identification of unregistered animal feed products being sold remotely in New Hampshire.

II.  The members of the commission shall be as follows:

(a)  Three members of the house of representatives, appointed by the speaker of the house of representatives, 2 of whom shall be members of the ways and means committee and one of whom shall be a member of the environment and agriculture committee.

(b)  The commissioner of the department of agriculture, markets, and food, or designee.

(c)  The commissioner of the department of revenue administration, or designee.

(d)  The attorney general, or designee.

III.  Legislative members of the commission shall receive mileage at the legislative rate when attending to the duties of the commission.

IV.  The commission shall study the feasibility and criteria for setting up a system of identification of remote sellers into New Hampshire of unregistered products required to be registered under RSA 435:20 and the collection of registration fees due.

V.  The members of the commission shall elect a chairperson from among the members.  The first meeting of the commission shall be called by the first-named house member.  The first meeting of the commission shall be held within 45 days of the effective date of this section.  Four members of the commission shall constitute a quorum.

VI.  The commission shall report its findings and any recommendations for proposed legislation to the speaker of the house of representatives, the president of the senate, the house clerk, the senate clerk, the governor, and the state library on or before November 1, 2020.

5  Repeal.  RSA 435:31-a, relative to the commission on the identification of unregistered animal feed products being sold remotely in New Hampshire, is repealed.

6  Effective Date.  

I.  Sections 1-3 of this act shall take effect July 1, 2020.

II.  Section 5 of this act shall take effect November 1, 2020.

III.  The remainder of this act shall take effect upon its passage.

LBAO

19-0088

12/31/18

HB 501-FN- FISCAL NOTE

AS INTRODUCED

AN ACT establishing a cost of care fund to assist municipalities caring for animals during animal cruelty cases.

FISCAL IMPACT:      [ X ] State              [    ] County               [ X ] Local              [    ] None

METHODOLOGY:

This bill would establish a cost of care fund to assist municipalities with caring for animals during animal cruelty cases.  Revenue to the fund would be from $0.50 of every dog license fee paid, one-half of the fees collected from registration for distribution of commercial animal feed, and court-ordered restitution for care in animal cruelty cases.  

The Department of Agriculture, Markets and Foods provided the following assumptions about the fiscal impact of this bill:

• One-half of commercial animal feed registrations would generate estimated annual revenue of $490,000, and $0.50 from each dog license fee would generate estimated annual revenue of $95,000, for a total $585,000.  Based on accounts from shelters involved in such cases, restitution from convicted parties almost never occurs therefore no revenue from this source is assumed.  
• The funds used from commercial animal feed registrations would reduce revenue deposited in the general fund by $490,000.  
• The $0.50 from dog license fees would reduce the amount retained by cities and towns by $95,000.
• Based on discourse about how prevalent these cases are, the fund would be fully expended each year.
• The maximum daily reimbursement per animal would be $25.  On average, animals would spend 180 days (6 months) in custody as the trial progresses.  Miscellaneous expenses of $500 per animal would be incurred for such things as the initial veterinary exam, medications and treatments.  The total per animal would be $5,000.
• Based on the estimates of available funding and costs per animal, the fund would be able to provide reimbursements for 12 cases per year:

      [$585,000 available / $5000 per animal = 117 animals / 10 animals / case = 12 cases]

• If an animal needs emergency veterinary treatment estimated to cost $1,000 or more, a municipality may apply for an emergency disbursement within 24 hours of such treatment and the Commissioner and State Veterinarian would be required to respond within 24 hours.
• The bill does not provide additional resources but creates additional responsibilities for the Department.  The Department indicated there is no unused time in current schedules so new work would  supplant work that is currently being done.  

• The commissioner would promulgate rules to: create an application, an application for emergency veterinary treatment, establish the application process, define reimbursable expenses, clarify when applications may be submitted,  and set forth various other parts of this process.  The Department assumes it would take 200 hours of labor to promulgate new rules in the first year from drafting and public interaction, through the Joint Legislative Committee on Administrative Rules process.
• Each of the 12 cases would involve two applications for reimbursement; one midway through the case and one upon conclusion of the case.  Each application would require 4 hours time to review the background, gather necessary information, consider application, and discuss with the applicant as necessary for a total of 96 hours.

[2 hours Commissioner + 2 hours State Veterinarian X 24 applications]

• It is assumed there will be some provision to prevents towns from applying for reimbursement retroactively for historical cases.
• Grants would be capped at no more than $1 million per application.

AGENCIES CONTACTED:

Department of Agriculture