H.B. No. 274 proposes the establishment of an interstate compact for animal health initiatives, which will be developed and executed by the governor of Texas on behalf of the state. The bill introduces Chapter 795 to the Government Code, detailing the authority to create this compact and emphasizing that it does not require congressional approval. The compact aims to facilitate joint actions among participating states to enhance animal health through resource sharing, including the establishment of research centers, surveillance systems, and response plans for animal health outbreaks.

Additionally, the compact will allow for mutual support in terms of infrastructure and personnel necessary for effective animal health management. It may also include provisions for joint agreements with federal agencies to further protect and research animal health. The bill allows for the transfer of funds from other states to support these initiatives, with any received funds designated for expenses related to the planning and operation of the compact's activities. The act is set to take effect immediately upon receiving a two-thirds vote from both houses or on September 1, 2025, if that threshold is not met.

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