BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 965
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          Date of Hearing:   June 29, 2005

                           ASSEMBLY COMMITTEE ON EDUCATION
                               Jackie Goldberg, Chair
                    SB 965 (Escutia) - As Amended:  June 23, 2005 
          
          [This bill has been referred to the Assembly Health Committee  
          and will be heard as it relates to the issues under its  
          jurisdiction.]
          
           SENATE VOTE  :   25-12
           
          SUBJECT  :   Pupil nutrition: beverages

           SUMMARY  : Revises, and extends to high schools, on a phased-in  
          basis beginning July 1, 2007, current restrictions imposed on  
          K-8 pupils relating to the sale of certain beverages.  
          Specifically,  this bill  :  

          1)Revises the definition of "milk" as an allowable beverage for  
            middle or junior high schools from, "milk, including chocolate  
            milk, soy milk, rice milk, and other similar dairy or nondairy  
            milk," to, "two percent-fat milk, one percent-fat milk, nonfat  
            milk, soy milk, rice milk, and other similar nondairy milk,"  
            and modifies the list of beverages to make the definitions  
            conform.

          2)Phases in, beginning July 1, 2007, the restriction on the sale  
            of certain beverages, specified under #3 below, to high school  
            pupils.

          3)Requires at least 50 percent of all beverages sold to a pupil  
            from one-half hour before the start of the school day until  
            one-half hour after the end of the school day to be one of the  
            following:

             a)   Fruit-based drinks with at least 50 percent fruit juice  
               and no added sweetener.
             b)   Vegetable-based drinks with at least 50 percent  
               vegetable juice and no added sweetener.
             c)   Drinking water with no added sweetener.
             d)   Two percent-fat milk, one percent-fat milk, non-fat  
               milk, soy milk, rice milk, and other similar non-dairy  
               milk.
             e)   An electrolyte replacement beverage with no more than 42  








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               grams of added sweetener per 20-ounce serving.

          4)Restricts, beginning July 1, 2009, the sale of all beverages  
            to a pupil from one-half hour before the start of the school  
            day until one-half hour after the end of the school day to  
            those beverages listed under #3 above. 

          5)Exempts from these restrictions beverages sold during a  
            school-sponsored pupil activity that takes place after the end  
            of the school day.

          6)Requires the sale of all beverages on each high school campus  
            to be approved for compliance with this bill by the person or  
            persons responsible for implementing these provisions as  
            designated by the school district.

          7)Defines "sale of beverages" as the exchange of a beverage for  
            money, coupons, or vouchers.

          8)States legislative intent that school district governing  
            boards annually review district compliance with these  
            restrictions on beverage sales.

           EXISTING LAW  

          1)Requires the governing board of a school district to give  
            diligent care to the health and physical development of  
            pupils.

          2)Restricts, as specified, the type of beverages that may be  
            sold to pupils at elementary and middle or junior high  
            schools, and exempts from this restriction the sale of certain  
            beverages at specified school events.

           FISCAL EFFECT  : According to the Senate Appropriations Committee,  
          no direct fiscal effect pursuant to Senate Rule 28.8.

           COMMENTS  :   Sponsor  . This bill is sponsored by Governor  
          Schwarzenegger and the Department of Health Services.

           Study on soft drink contracts  .  In 2002, the California  
          Endowment commissioned a report by the Public Health Institute  
          to examine the prevalence and specifics of district-wide soft  
          drink contracts in California's 25 largest public school  
          districts. The study found that soda is available to pupils in  








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          an overwhelming majority of California's largest school  
          districts through district and school contracting.  The study  
          found that these contracts provide opportunities for pupils to  
          purchase carbonated beverages from vending machines, cafeteria  
          lines, concession stands, and at booster club events.  The study  
          noted that beverage company products are advertised through  
          scoreboards, educational software, signage, clothing, school  
          supplies, and promotional events.  The study reports that,  
          because both the school district and soda company's income are  
          tied directly to the volume of beverages sold on campus, the  
          more beverages sold, the greater the revenue for the district  
          and soda company. The California Endowment study also found that  
          commission payments in the districts surveyed range from 39 to  
          56%, and that bonus payments provided upon the signing of  
          contracts ranged in value from $55,000 to $1 million.  Yearly  
          bonus payments ranged from $25,000 to $80,000.

           Prior legislation  .

          1)SB 677 (Ortiz), Chapter 415, Statutes of 2003 expanded  
            restrictions on the types of beverages allowed to be sold in  
            middle and junior high schools and eliminated, as a condition  
            for implementation of restrictions in elementary, middle and  
            junior high schools, a requirement that funds be appropriated  
            for certain programs.

          2)SB 19 (Escutia), Chapter 913, Statutes of 2001, provided that,  
            contingent upon funding for specified purposes, there be  
            limitations on the sale of beverages at elementary schools and  
            middle schools.  

           Arguments in support  . According to one of the sponsors, the  
          State Department of Health Services, "Currently there are no  
          restrictions on the types of beverages allowed for sale in  
          California high schools.  SB 677 established beverage standards  
          for elementary, middle and junior high schools, however high  
          schools were not included.  SB 965 would expand these beverage  
          standards to high schools. Addressing the abundance of highly  
          sweetened beverages on school campuses is an important strategy  
          in the effort to prevent the increasing number of overweight  
          children.  Among adolescents from 12 to 19 years old, the  
          prevalence of being overweight increased more than three-fold  
          between 1966 and 2000.  Significant savings in health and  
          medical costs can be realized through obesity prevention efforts  
          including limiting access to highly sweetened beverages during  








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          the school day.  SB 965 is a consistent and important step  
          towards improving the health of California youth.

           Arguments in opposition .  According to the California Nevada  
          Soft Drink Association, "We believe existing law provides  
          authority and control within schools and school districts to  
          exercise discretion over whether and under what conditions  
          various beverages are available.  We oppose the provisions that  
          would establish a total ban on carbonated soda drinks in high  
          schools.  High school students are young adults who are often  
          driving, working, and in many cases attending high schools with  
          open campuses.  We believe the better approach is to provide  
          nutrition education and make a variety of beverage choices  
          available.  Many of our member bottlers have had partnerships  
          with local schools and school districts for decades.  These  
          relationships have provided substantial resources to school  
          programs to fund a variety of activities. Removing soft drinks  
          from schools would eliminate funding for the very programs that  
          help provide physical activity for students at many schools in  
          California."

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           American Heart Association
          American Nurses Association of California
          American Sports Institute
          California Academy of Family Physicians
          California Association for Health, Physical Education,  
          Recreation and Dance
          California Center for Public Health Advocacy
          California Dental Association
          California Food Policy Advocates
          California Medical Association
          California Optometric Association
          California Pan-Ethnic Health Network
          California Police Activities League
          California School Nurses Organization
          California State Alliance of YMCA's
          California State PTA
          California Substitute Teachers for Budget Fairness
          Camino Medical Group
          Center for Science in the Public Interest
          Community Partnership for Youth
          County Health Executives Association of California








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          Department of Health Services
          Health Officers Association of California 
          Hill Physicians Medical Group
          Junior Leagues of California
          Kaiser Permanente
          Latino Health Alliance
          Latino Coalition for a Healthy California
          Local Health Plans of California
          Monterey County Board of Supervisors
          Marin County Department of Health & Human Services' Nutrition  
          Wellness Program
          Santa Clara County Office of Education
          Santa Cruz County Child Health and Disability Prevention Program
          Southern California Public Health Association
          Tri-City Health Center
          UC Cooperative Extension School Nutrition Education Program 
          Ukiah Unified School District Garden-Enhanced Nutrition  
          Education Program
          Many Individuals
           
            Opposition 
           
          California Nevada Soft Drink Association
          California Chamber of Commerce
          Grocery Manufacturers of America

           Analysis Prepared by  :    Misty Padilla / ED. / (916) 319-2087