(a) General. Except as provided by §229.574 of this title (relating to Exemptions and Applicability), it shall be unlawful for any person to operate a salvage establishment or operate as a salvage broker within the State of Texas, who does not possess a current and valid license issued by the department.     
      (b) Licensing of out-of-state salvage establishments and brokers. A person who operates a salvage establishment or acts as a salvage broker outside this state may not sell, distribute, or otherwise traffic in distressed or salvaged food, drugs, devices, or cosmetics within this state unless the person holds a license from the department.     
      (c) Reports from other jurisdictions. The department may accept reports from authorities in other jurisdictions to determine the extent of compliance with these sections and with the provisions of the Act.     
      (d) New place of business. Each person acquiring or establishing a place of business for the purpose of operating a salvage establishment or operating as a salvage broker shall apply for and obtain a license of such business prior to beginning operations.     
      (e) Two or more places of business. If the salvage establishment or salvage broker operates more than one place of business, the salvage establishment or salvage broker shall license each place of business separately.     
      (f) License application. License application forms may be obtained from the department, 1100 West 49th Street, Austin, Texas 78756 or online at http://www.dshs.state.tx.us/license.shtm.     
      (g) Contents of license application. The salvage establishment or salvage broker license application shall be signed and verified, submitted on a license application form furnished by the department, and shall include the following information:      
        (1) the name of the legal entity to be licensed, including the name under which the business is conducted;       
        (2) the address of the place of business to be licensed and the mailing address if different;       
        (3) the address of any salvage warehouse used by a salvage establishment or salvage broker;       
        (4) if a sole proprietorship, the name of the proprietor; if a partnership, the names of all partners; if a corporation, the names and titles of all officers; in any other association, those in a managerial capacity; and       
        (5) a statement signed and verified by the sole proprietor, managing partner, corporate officer, or person in a managerial capacity for an association that acknowledges the applicant has read, understood, and agrees to abide by the provisions of these sections and those of the Act.       
      (h) Issuance of license. In accordance with §229.281 of this title (relating to Processing License/Permit Applications Relating to Food and Drug Operations), the department may license a salvage establishment or salvage broker who meets the requirements of these sections and pays all fees in compliance with §229.276 of this title (Licensing Fees).     
      (i) Transfer of license. Licenses shall not be transferable from one person to another or from one place of business to another.     
      (j) Display of license. The license shall be displayed in an open public area at each place of business and each salvage operator shall have a copy of a valid license in each vehicle used by the salvage operator to transport distressed drugs.     
      (k) License term. Unless a license is amended as provided in subsection (o) of this section, or is revoked or suspended as provided in §229.584 of this title (relating to Enforcement and Penalties), the license is valid for one or two years as determined by the department.     
      (l) Renewal of license.      
        (1) The license application as outlined in subsection (g) of this section and nonrefundable licensing fees as outlined in §229.576 of this title (relating to Licensing Fees) for each place of business shall be submitted to the department prior to the expiration date of the current license. A person who files a renewal application after the expiration date shall pay an additional $100 as a delinquency fee.       
        (2) The department shall renew the license for a one or two-year term as determined by the department if the licensee is in compliance with these sections and has paid all required fees, including any past due and delinquency fees.       
      (m) Completeness of license applications. Failure to complete the initial or renewal license application form may result in the denial of a license.     
      (n) Report of changes. The license holder shall notify the department in writing within ten days of any change, including change in location, name, or ownership of a salvage establishment or salvage broker, which would render the information contained in the initial license application no longer accurate. Failure to inform the department within ten days of a change in information required in the initial license application may result in enforcement action as described in §229.584 of this title.     
      (o) Amendment of license. A license that is amended, including a change of name, ownership, or a notification of a change in the location of a licensed place of business will require submission of fees as outlined in §229.576 of this title (relating to Licensing Fees).     
      (p) Return of license. A license issued under these sections shall be returned to the department if the place of business:      
        (1) ceases business or otherwise ceases operation on a permanent basis;       
        (2) relocates;       
        (3) changes the name of the business under which the salvage establishment or salvage broker operates; or       
        (4) changes ownership.       
     Source Note:        The provisions of this §229.575 adopted to be effective December 17, 2002, 27 TexReg 11751; amended to be effective January 1, 2005, 29 TexReg 11984