Amends TCA Title 4; Title 43 and Title 44.

As of October 1, 2024, this bill requires the department of commerce and insurance ("department") to create a commercial breeder licensure application form, which must include all necessary information as determined by the commissioner of commerce and insurance ("commissioner") and be maintained on the department's website. The department may charge a licensure application fee of not more than $15 per adult female dog or cat in the possession or immediate control of the applicant for the purpose of selling the offspring. The application fee must be processed prior to inspection of the property where the female dogs or cats are located. The application fee is nonrefundable and must not be reimbursed under any circumstances. Prior to the issuance of a license, this bill requires the department to investigate the premises to determine if the facility is suitable for inhabitation by the possessed animals and for the purpose of commercial breeding. The premises must provide, at a minimum, adequate shelter, including sufficient coverage or protection from the rain and sun, and operable climate control or heating devices with the ability to accommodate every dog or cat. This bill provides that it is a Class A misdemeanor, punishable only by fine, for a person to knowingly operate as a commercial breeder without a license. REQUIREMENTS FOR LICENSURE This bill requires a licensure applicant to meet the following criteria: (1) Have a valid tax registration number and be in good standing with the department of revenue; (2) Be at least 18; (3) Not have been convicted of or plead guilty to a violation of cruelty to animals, or another offense related to an animal, or reside in the same household as a person who has been convicted of or pled guilty to a violation of cruelty to animals, or another offense related to an animal; (4) Not operate or maintain a controlling interest in a public or private animal shelter, humane society, animal welfare organization, society for the prevention of cruelty to dogs, or other similar entity or home base rescue operation that releases companion dogs for adoption, or reside in the same household with a person that operates or maintains a controlling interest in such an entity; and (5) Possess valid documentation signed by a veterinarian evidencing that the applicant completed a program of veterinary care. This documentation must be dated within two years of the application submission or application for licensure renewal. This bill provides that a person who has been convicted of or pled guilty to a violation of cruelty to animals, or another criminal offense involving an animal is permanently ineligible to receive a license pursuant to this bill. Additionally, a person who resides in the same household as a person who has been so convicted or pled guilty is ineligible to receive a license pursuant to this bill. This bill provides that a license is not transferable and is only applicable to the premises for which the license was issued. If a license holder relocates breeding operations to another location or premises, then the current license is inapplicable and an application for a new license must be submitted. This bill requires a license to be posted in a conspicuous location on the commercial breeding premises and a copy of the license number must be featured on all physical and digital advertisements, and on all of the licensee's invoices and paperwork. LICENSE RENEWALS This bill requires a license to be renewed annually. The commissioner may charge a renewal fee of no more than $150. However, if a licensee applies to renew the licensee's license after the applicable renewal date, then the commissioner may also charge a late fee of $250 for each month that a renewal is overdue. INSPECTIONS This bill requires the department to conduct an inspection of the premises annually and determine if the licensee is in compliance with this bill. The department may perform more frequent inspections upon receipt of a complaint or at the discretion of the commissioner. All inspections must be completed during regular business hours and by department employees. VIOLATIONS If an inspection results in a violation of this bill, then the commissioner must issue a written notice detailing the violations. The licensee must take corrective action on the violations within 30 days. If the licensee fails to take such corrective action within 30 days, then (i) a penalty of $1,500 may be imposed for each violation and (ii) the commissioner may revoke the commercial breeder's license, and (iii) the commercial breeder may be charged with a violation of cruelty to animals, if appropriate. If all violations contained in the written notice have been corrected and no other violations found, then the department must not take any further action against the commercial breeder with regard to those violations. This bill provides that a person whose license has been revoked is permanently prohibited from operating as a commercial breeder in this state. As used in this bill, a "commercial breeder" means a person possessing or maintaining under the person's immediate control, 10 or more dogs or cats for the purpose of selling the offspring as companion animals, and does not include a person possessing or maintaining under the person's immediate control dogs or cats for the purpose of practicing veterinary medicine, hunting, training or handling, boarding, or grooming. NOTIFICATION TO LAW ENFORCEMENT This bill requires the commissioner to notify the applicable law enforcement agency if an inspection reveals, or there is credible evidence to believe, a violation of cruelty to animals has occurred. However, the commissioner must not confiscate any dog or cat in the possession of the commercial breeder. Any costs incurred in the transport or relocation of the dogs or cats in the possession of the commercial breeder found to have violated cruelty to animals must be reimbursed by the breeder to the county or municipality responsible for the relocation. ANNUAL REPORT This bill requires the department to publish a report to the speaker of the house of representatives, the speaker of the senate, members of the house of representatives, and members of the senate by October 1 of each year containing a list of all licensees in the state, number of rejected licenses, number of violators, number of suspended licenses, and total of all fees collected by the department pursuant to this bill and the use of those collections. CONFLICTS WITH OTHER LAWS This bill does not preempt or limit the powers of any county, municipality, or other unit of local government from adopting ordinances that are more stringent than the requirements of this bill. RULEMAKING This bill authorizes the department to promulgate rules to effectuate this bill.