The bill, S.B. No. 541, amends the Health and Safety Code to expand the definition and regulations surrounding cottage food production operations in Texas. It introduces the concept of a "cottage food vendor," which is defined as a person who has a contractual relationship with a cottage food production operation and sells certain foods on behalf of that operation. The bill also allows cottage food production operations to include nonprofit organizations in their definition and raises the annual gross income limit from $50,000 to $100,000 for these operations. Additionally, it specifies that local government authorities cannot regulate the production of food at these operations or require them to obtain licenses or permits for direct sales to consumers or vendors.

Furthermore, the bill establishes labeling requirements for cottage food products, including a statement indicating that the product was produced in a private residence and is not subject to governmental licensing or inspection. It also outlines specific requirements for the sale of time and temperature control for safety baked goods, including proper storage and labeling. The bill clarifies that cottage food production operations may sell certain foods at wholesale to cottage food vendors, except for baked goods. The provisions of this act will take effect on September 1, 2025.

Statutes affected:
Introduced: Health and Safety Code 437.001, Health and Safety Code 437.0192, Health and Safety Code 437.0193, Health and Safety Code 437.0194, Health and Safety Code 437.0196 (Health and Safety Code 437)