CHAPTER 70. PORT OF CORPUS CHRISTI PILOTS LICENSING AND REGULATORY ACT

TRANSPORTATION CODE

TITLE 4. NAVIGATION

SUBTITLE B. PILOTS

CHAPTER 70. PORT OF CORPUS CHRISTI PILOTS LICENSING AND

REGULATORY ACT

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 70.001. SHORT TITLE. This chapter may be cited as the Port

of Corpus Christi Pilots Licensing and Regulatory Act.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.002. DEFINITIONS. In this chapter:

(1) "Board" means the board of pilot commissioners for the Port

of Corpus Christi Authority.

(2) "Consignee" means a person, including a master, owner,

agent, subagent, person, firm or corporation, or any combination

of those persons, who enters or clears a vessel at the Office of

United States Customs.

(3) "Port of Corpus Christi" means a place into which a vessel

enters or from which a vessel departs and the waterway leading to

that place from the Gulf of Mexico under the jurisdiction of the

Port of Corpus Christi Authority.

(4) "Pilot" means a person who is licensed as a branch pilot or

certified as a deputy branch pilot under this chapter.

(5) "Pilotage rate" means the remuneration a pilot may lawfully

charge a vessel for pilot services.

(6) "Pilot services" means acts of a pilot in conducting a

vessel through navigable water in this state and the ports in

which the pilot is licensed or certified as a pilot.

(7) "Vessel" means an oceangoing vessel.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.003. APPLICATION OF ACT. (a) This chapter applies only

to the Port of Corpus Christi.

(b) This chapter does not affect the existing laws for ports in

other counties, and those laws do not apply to the Port of Corpus

Christi.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

SUBCHAPTER B. BOARD OF PILOT COMMISSIONERS

Sec. 70.011. COMPOSITION OF BOARD. The board of pilot

commissioners for the Port of Corpus Christi is composed of the

seven port commissioners for the Port of Corpus Christi

Authority.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.012. PROHIBITED INTEREST. A person may not be a member

of the board if the person has a conflict of interest or a direct

or indirect interest in any business affected by or connected

with the performance of the person's duties as a pilot

commissioner.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.013. OATH. Before beginning service as a board member,

each board member must take and sign before a person authorized

to administer oaths an oath to faithfully and impartially

discharge the duties of the office.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.014. TERM OF OFFICE. (a) The term of office of a

commissioner of pilots coincides with a person's term as a port

commissioner for the Port of Corpus Christi Authority.

(b) A member holds office until the member's successor is

appointed and qualified.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.015. JURISDICTION. The board has exclusive jurisdiction

over the piloting of vessels in the Port of Corpus Christi,

including intermediate stops and landing places for vessels on

navigable streams wholly or partially located in the board's

jurisdiction.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.016. ADMINISTRATION AND RULES. (a) The board shall

administer this chapter and may perform any act or function

necessary to carry out its powers and duties under this chapter.

(b) The board may adopt rules to carry out this chapter.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.017. DUTIES. The board shall:

(1) recommend to the governor the number of pilots necessary to

provide adequate pilot services for the Port of Corpus Christi;

(2) examine and determine the qualifications of each applicant

for branch pilot;

(3) submit to the governor the names of persons who have

qualified under this chapter to be appointed as branch pilots;

(4) establish pilotage rates;

(5) approve any changes of the locations of pilot stations;

(6) establish times during which pilot services will be

available;

(7) hear and determine complaints relating to the conduct of

pilots;

(8) make recommendations to the governor concerning any pilot

whose license or certificate should not be renewed or should be

revoked;

(9) adopt rules and issue orders to pilots and vessels when

necessary to secure efficient pilot services; and

(10) institute investigations or hearings or both to consider

casualties, accidents, or other actions that violate this

chapter.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.018. PILOT REVIEW BOARD. The board shall establish a

pilot review board consisting of two active state-commissioned

pilots serving the Port of Corpus Christi, two members of the

marine industry, and a chairperson, who, or whose designee, shall

be the secretary of the board, to hear and review complaints

against pilots and to make recommendations to the board

concerning the complaints.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.019. UNFAIR DISCRIMINATION PROHIBITED. (a) In all its

duties, including rulemaking, the board may not sanction

discriminatory practices nor discriminate against a pilot or

pilot applicant because of race, religion, sex, ethnic origin, or

national origin.

(b) A person seeking a remedy for a violation of this section

must bring suit in a district court in Nueces County.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.020. OPEN MEETINGS LAW. Chapter 551, Government Code,

applies to actions and proceedings under this chapter.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.021. RULE OR RATE CHANGE. (a) The board shall give at

least 10 days' notice as provided by this section before the

board adopts a rule or changes a pilotage rate.

(b) The board shall mail the notice and a copy of the proposed

rule or change by registered mail to:

(1) the designated office of the Aransas-Corpus Christi Pilots;

and

(2) all known consignees and all known associations of

consignees operating in Nueces County.

(c) The board shall post a copy of the proposed rule or change

at the Nueces County courthouse for public inspection.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.022. JUDICIAL REVIEW. Proceedings for judicial review

of a board decision shall be brought in a district court in

Nueces County.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

SUBCHAPTER C. PILOTS' LICENSES OR CERTIFICATES

Sec. 70.031. LICENSES OR CERTIFICATE REQUIRED. A person may not

provide pilot services unless the person has a license or

certificate issued under this chapter for the Port of Corpus

Christi.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.032. QUALIFICATIONS FOR LICENSE. To be eligible for a

license as a branch pilot, a person must:

(1) be at least 25 years of age;

(2) be a United States citizen;

(3) as of the date the license is issued, have resided

continuously in the state for at least two years;

(4) have at least two years' service as a deputy branch pilot

under the supervision of a state-commissioned pilot serving the

Port of Corpus Christi;

(5) have controlled the navigation of vessels such as the person

would pilot;

(6) have extensive experience in the docking and undocking of

vessels;

(7) be in good mental and physical health;

(8) have good moral character; and

(9) possess the requisite skill as a navigator and pilot to

perform competently and safely the duties of a branch pilot.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.033. QUALIFICATIONS FOR CERTIFICATE. To be eligible for

a certificate as a deputy branch pilot, a person must:

(1) be at least 25 years of age;

(2) be a United States citizen;

(3) be appointed by a branch pilot;

(4) be in good mental and physical health;

(5) have good moral character; and

(6) possess the requisite skill as a navigator and pilot to

perform competently and safely the duties of a deputy branch

pilot.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.034. APPLICATION FOR LICENSE OR CERTIFICATE. To apply

for a branch pilot's license or a deputy branch pilot's

certificate, a person must give the board a written application

in the form and manner required by board rule.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.035. CONSIDERATION OF APPLICATION. As part of its

consideration of applications for licenses, the board may examine

and decide on the qualifications of an applicant for the position

of branch pilot.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.036. BRANCH PILOT APPOINTMENT BY GOVERNOR. (a) On

filing of the bond and oath required by Section 70.038, the board

shall certify to the governor that a person licensed as a branch

pilot has qualified.

(b) On receipt of the board's certification, the governor shall

issue to the person, in the name of the state and under the state

seal, a commission to serve as a branch pilot to and from the

Port of Corpus Christi.

(c) The governor shall appoint the number of branch pilots

necessary to provide adequate pilot services for the Port of

Corpus Christi.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.037. DEPUTY BRANCH PILOT APPOINTMENT BY BRANCH PILOT.

(a) Each branch pilot, subject to examination and approval of

the board, may appoint two deputy branch pilots.

(b) A branch pilot may appoint an additional deputy branch pilot

if the board considers the appointment advisable.

(c) A branch pilot who appoints a deputy branch pilot without

the approval of the board forfeits the pilot's appointment as a

branch pilot.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.038. OATH AND BOND. (a) A person appointed as a pilot

must take the official oath before entering service as a pilot.

The oath shall be endorsed on the bond required by Subsection

(b).

(b) Each pilot must execute a $25,000 bond payable to the

governor and conditioned on compliance with the laws, rules, and

orders relating to pilots and on the faithful performance of the

pilot's duties.

(c) Each bond must be approved by the board.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.039. TERMS OF LICENSES AND CERTIFICATES. (a) A branch

pilot's license expires on the fourth anniversary of the date it

is issued or renewed.

(b) A deputy branch pilot's certificate expires on the second

anniversary of the date it is issued and may not be renewed.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.040. BRANCH PILOT'S LICENSE RENEWAL. (a) The governor

shall renew a branch pilot's expiring license if the board

recommends renewal.

(b) If a pilot applies in writing and qualifies, the board shall

recommend renewal unless the board determines there is probable

cause not to renew the license.

(c) Probable cause not to renew a license exists if the board

finds that the license holder:

(1) does not possess a qualification required by this chapter

for pilots; or

(2) has a disability that will affect the license holder's

ability to serve as a pilot.

(d) If the board determines that it has probable cause not to

renew a license, the board shall notify the license holder not

later than the 60th day before the date the license expires. On

request, the board shall provide a hearing after proper notice to

consider whether the board has cause not to recommend renewal of

the license.

(e) If the board finds at the conclusion of the hearing that the

board lacks probable cause for nonrenewal of the license, the

board shall recommend that the governor renew the license.

(f) The board shall issue a written order recommending that the

governor not renew a license and the governor may not renew the

license if:

(1) the pilot does not contest the board's decision not to renew

the license; or

(2) the board after a hearing finds that it has probable cause

not to renew the license.

(g) The denial of renewal of a pilot's license does not prohibit

the pilot from applying for a new license and being reappointed.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.041. DEPUTY BRANCH PILOT. A person who has been issued

a deputy branch pilot's certificate may not be issued a deputy

branch pilot's certificate before the fifth anniversary of the

date the person was previously issued a deputy branch pilot's

certificate.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.042. SUSPENSION OR REVOCATION OF BRANCH PILOT'S LICENSE.

(a) On complaint or on its own motion, and after notice and

hearing, the board may suspend a branch pilot's license for not

more than six months or recommend that the governor revoke a

branch pilot's license if the board finds that the pilot has:

(1) failed to demonstrate and maintain the qualifications for a

license required by this chapter;

(2) used narcotics or other types of drugs, chemicals, or

controlled substances as defined by law that impair the pilot's

ability to perform his duties skillfully and efficiently;

(3) used alcohol to an extent that impairs the pilot's ability

to perform his duties skillfully and efficiently;

(4) violated a provision of this chapter or rules adopted by the

board under this chapter that were material to the performance of

the pilot's duties at the time of the violation;

(5) made a material misstatement in the application for a

license;

(6) obtained or attempted to obtain a license under this chapter

by fraud or misrepresentation;

(7) charged a pilotage rate other than that approved by the

board;

(8) intentionally refused to pilot a vessel when requested to do

so by the master or person responsible for navigation of the

vessel except when, in the judgment of the pilot, movement of the

vessel would have constituted a hazard to life or property or

when pilotage charges that are due and owing are unpaid by the

person ordering the pilot services;

(9) been absent from duty in violation of board rules and

without authorization;

(10) aided or abetted another pilot in failing to perform the

other pilot's duties; or

(11) been guilty of carelessness, neglect of duty, intentional

unavailability for normal performance of duties, refusal to

perform duties, misconduct, or incompetence while on duty.

(b) On determining that a license should be suspended or

revoked, the board shall adopt a written order that states its

findings and:

(1) suspends the license for a stated period; or

(2) recommends to the governor revocation of the license.

(c) The governor, on receipt of a board order recommending

revocation of a license, shall revoke the license. If the board's

order is appealed, the governor may not revoke the license until

the order is upheld on appeal.

(d) A suspension of a license on the recommendation of a pilot

review board takes effect on adoption of the board's order. A

revocation of a branch pilot's license takes effect on issuance

of the governor's decision.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.043. SUSPENSION OR REVOCATION OF DEPUTY BRANCH PILOT'S

CERTIFICATE. A deputy branch pilot certificate may be suspended

or revoked by the board in the same manner and for the same

reasons as provided for the suspension or revocation of a branch

pilot's license by Section 70.042.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.044. LIABILITY TO PILOT. (a) A person who is not a

pilot and who, in violation of this chapter, pilots a vessel and

the consignee of the vessel are liable to the pilot, on written

demand, for the amount of the applicable pilotage rate.

(b) In an action to recover compensation under Subsection (a),

the court may include in a judgment in favor of a pilot an award

of court costs and reasonable attorney's fees.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

SUBCHAPTER D. PILOTAGE RATES

Sec. 70.061. PILOTAGE RATE CHANGE. (a) The board may not

change pilotage rates before the first anniversary of the

preceding rate change.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.062. PILOTAGE RATE CHANGE APPLICATION. (a) An

application for a change in a pilotage rate may be filed with

each commissioner of the board by:

(1) one or more pilots; or

(2) the owner, agent, or consignee of a vessel navigating to or

from the Port of Corpus Christi.

(b) The application must contain:

(1) a brief statement of the circumstances that warrant the

change; and

(2) a certification that the applicant has submitted copies of

the application to all known pilots, consignees, and associations

of consignees operating in the Port of Corpus Christi at the time

of the application.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.063. OBJECTION; HEARING. (a) If, not later than the

20th day after the date notice is sent, a commissioner receives a

written objection to the application from any person who appears

to have a legitimate interest in the application, the board shall

hold a hearing as provided by this section.

(b) The board shall hold the hearing not later than the 20th day

after the date the 20-day period provided by Subsection (a)

expires.

(c) The board shall give notice of the hearing to:

(1) each applicant;

(2) each person objecting to the application; and

(3) any other person the board determines is interested in the

proceedings.

(d) The hearing shall be open to the public and held at a

convenient time and place in one of the ports that would be

affected by the change. Each party who demonstrates a legitimate

interest in the application is entitled to be heard, to present

evidence, and, to the extent the board considers practical, to

cross-examine testifying witnesses.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.064. BOARD ACTION ON APPLICATION. (a) If an objection

to an application for a rate change is not received by any

commissioner within the period provided by Section 70.063(a), the

board shall act on the application without further proceedings.

(b) If a hearing is held as provided by Section 70.063, the

board shall grant, deny, or modify the application after receipt

of the evidence offered by the parties and arguments and briefs

requested by the board.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.065. PILOT FINANCIAL REPORT. (a) Not later than the

10th day before the date set for a pilotage rate hearing, the

pilots who are licensed or certified to serve the port for which

the rates are being considered shall submit in writing to the

board and to any party designated by the board complete accounts

of:

(1) all amounts received from performing pilot services within

the board's jurisdiction;

(2) all earnings from capital assets devoted to providing pilot

services;

(3) all expenses incurred in connection with pilotage activities

for which amounts described were received and earned; and

(4) estimates of receipts and expenses anticipated to result

from the requested changes in pilotage rates.

(b) The pilots shall provide the information for:

(1) the calendar or fiscal year preceding the date of the

pilotage rate change application; and

(2) the subsequent period to within 60 days of the date of the

application.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.066. FACTORS FOR BOARD CONSIDERATION. In acting on a

pilotage rate change application, the board shall consider:

(1) characteristics of vessels to be piloted including but not

limited to the size of the vessel and the degree of difficulty to

maneuver;

(2) costs to pilots to provide the required pilot services;

(3) the effect, including economic factors affecting the

shipping industry in the area, that the granting, refusal, or

modification of the application would have on the Port of Corpus

Christi and the persons residing in the board's jurisdiction;

(4) an adequate and reasonable compensation for the pilots and a

fair return on the equipment and vessels that the pilots employ

in connection with pilot duties; and

(5) the relationship between the pilotage rates in the Port of

Corpus Christi and the rates applicable in other ports of this

state and in competitive ports in other states.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.067. BOARD ACTION. (a) A board order granting,

denying, or modifying an application for a rate change must state

its effective date. The order is final, except as provided by

Subsection (b).

(b) Any party aggrieved by the board's order may, after

exhausting all administrative remedies, appeal the order to a

court.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.068. REPORTING AND STENOGRAPHIC COSTS. (a) The board

may assess the actual costs the board considers fair and just for

reporting and stenographic services necessarily incurred in

connection with a hearing against one or more of the applicants

and objecting parties.

(b) The board may require that an applicant or objecting party

deposit an amount against those costs as a condition of

presenting an application or objection.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.069. ORDER FILED. (a) The board shall file a copy of

its order with the Nueces County clerk.

(b) The board shall file the order not later than the 20th day

after:

(1) the closing date of a hearing held as provided by Section

70.063(b); or

(2) if the hearing is not held, the expiration of the period

provided by Section 70.063(a).

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.070. EMERGENCY PILOTAGE RATES. (a) The board may

establish emergency pilotage rates for the period of an

emergency, not to exceed 90 days, if the board finds that:

(1) a natural or man-made disaster has created a substantial

hazard to piloting vessels into and out of a port; and

(2) the existence of the hazard overrides the necessity to

comply with normal pilotage rate-setting procedures.

(b) In adopting emergency pilotage rates, the board is not

required to comply with the procedures in this chapter or in its

rules relating to the adoption of pilotage rates.

(c) Emergency pilotage rates may not be appealed.

(d) The board shall adopt rules to carry out this section.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.071. PILOT SERVICES REQUIRED. The consignee of a vessel

under the consignee's control shall obtain pilot services for the

vessel and shall pay the pilot who pilots the vessel into and out

of the port area compensation according to the pilotage rates

filed by the board.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.072. LIABILITY. (a) A pilot who charges a pilotage

rate for pilot services different from the pilotage rates

established under this chapter for the port in which the pilot

serves is liable to each person who was charged the different

rate for double the amount of pilotage.

(b) A court may include in a judgment in favor of a person who

files suit to collect an amount owed under this chapter an award

to cover court costs and reasonable attorney's fees.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

SUBCHAPTER E. PILOT LIABILITY

Sec. 70.081. PURPOSE. The purpose of this subchapter is to:

(1) in the public interest, stimulate and preserve maritime

commerce on the pilotage grounds of this state by limiting and

regulating the liability of pilots; and

(2) maintain pilotage fees at reasonable levels.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.082. PILOT LIABILITY. A pilot is not liable directly or

as a member of an organization of pilots for a claim that:

(1) arises from an act or omission of another pilot or

organization of pilots; and

(2) relates directly or indirectly to pilot services.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.

Sec. 70.083. PILOTS LIABILITY LIMITED. (a) A pilot providing

pilot services is not liable for more than $1,000 for damage or

loss caused by the pilot's error, omission, fault, or neglect in

the performance of the pilot services, except as provided by

Subsection (b).

(b) Subsection (a) does not apply to:

(1) damage or loss that arises because of the wilful misconduct

or gross negligence of the pilot;

(2) liability for exemplary damages for gross negligence of the

pilot and for which no other person is jointly or severally

liable; or

(3) an act or omission related to the ownership and operation of

a pilot boat unless the pilot boat is directly involved in pilot

services other than the transportation of pilots.

(c) This section does not exempt the vessel or its owner or

operator from liability for damage or loss caused by the vessel

to a person or property on the grounds that:

(1) the vessel was piloted by a pilot; or

(2) the damage or loss was caused by the error, omission, fault,

or neglect of a pilot.

(d) In an action brought against a pilot for an act or omission

for which liability is limited as provided by this section and in

which other claims are made or anticipated with respect to the

same act or omission, the court shall dismiss the proceedings as

to the pilot to the extent the pleadings allege pilot liability

that exceeds $1,000.

Added by Acts 1997, 75th Leg., ch. 359, Sec. 4, eff. Sept. 1,

1997.