New laws passed for the food truck and cottage food industries

TYLER – The Texas Special Session has passed over 800 new laws. Many of them effecting the food industry- in particular, food truck and cottage food vendors.

KTBB spoke with Net Health’s Ginger Points to elaborate on a few of these laws.

House Bill 2844 the “Food Truck Freedom” Act

This law aims to create an even playing field for the food truck industry. Before this bill, Texas mobile food vendors may have been required to hold multiple permits for both the state and the local area they were operating in.

” There’s about …200 different health departments across Texas that conduct retail food service in some capacity.” Ginger Points said,”… You can imagine, as a home-rule state, the variation in permit fees and restrictions. This bill is intended to alleviate the burden on the mobile food industry.”

The act creates new provisions that prevent local governments from requiring additional permits or fees for small-scale food businesses that already hold a state permit, or are licensed through the state as food manufacturers. It also simplifies the licensing system in terms of what is required to obtain a state license, pass health inspections, and comply with specific operational standards. Local governments are limited in their authority to impose additional restrictions on mobile food vendors, such as constraining their operating hours, requiring GPS tracing, or mandating constant vehicle movement.

Mobile food vendors must still display their license, pass health inspections, comply with food safety regulations, and comply with rules from local fire marshals. The new regulations are slated to be implemented gradually, giving businesses time to adapt to the new requirements, with full enforcement starting on July 1, 2026.

Senate Bill 541 – Fewer restrictions for the Cottage Food Industry

The cottage food industry consists of small-scale food producers who make and sell specific foods from their homes, rather than commercial kitchens. This bill expands the definition and regulations of the Texas cottage food productions in the state of Texas. Individuals and certain nonprofit organizations will now be allowed to produce and sell specific types of foods from their homes with fewer regulatory burdens.

The bill broadens the types of foods that are allowed to be produced, as well as who can sell the products at farmers markets and retail stores. It does, however, specifically exclude some perishable and temperature sensitive foods like meats, seafood, dairy products, and any foods containing cannabinoids. In addition, foods made by a “cottage food vendor” and sold to a larger retailer must be appropriately labeled – including a mandatory disclosure for buyers saying that the product was made in a private residence that wasn’t subject to government licensing or permits.

The allowed annual gross income for cottage food producers has also been increased, and adjusted for inflation, from $50,000 to $150,000. Under the provisions of this bill, local authorities will also be prevented from requiring licenses or permits for cottage food businesses, and allows the operations to provide samples and donate foods to events.

Texas state regulations do still apply for the sale of temperature controlled foods, or those vendors interested in wholesaling their products, such as registration with the department and proper storage and labeling – all to maintain standards of consumer safety.

“…This is a pretty significant expansion in the cottage food production…” said Points.