BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2168
                                                                  Page  1

          Date of Hearing:   May 14, 2008

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mark Leno, Chair

                    AB 2168 (Jones) - As Amended:  April 23, 2008 

          Policy Committee:                              AgricultureVote:8  
          - 0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill makes various changes regarding the sale of food at  
          farm stands and farmers' markets. Specifically, this bill: 

          1)Authorizes the California Department of Food And Agriculture  
            (CDFA) Secretary to adopt regulations that encourage the  
            direct sale by farmers to the public and specifies that  
            selling activities must be conducted without fraud, deception,  
            or misrepresentation.

          2)Adds farm stands to the list of food facilities in the health  
            and safety code as it pertains to the California Retail Food  
            Code (CRFC) for enforcement and permitting purposes only, thus  
            requiring farm stands to conform to the same standards as  
            farmer's markets, but exempting them from broader health and  
            safety standards. 

          3)Defines point of production outlets and farm stands and  
            requires that they follow similar guidelines as farmers'  
            markets.

          4)Provides that farm stands may sell bottled water, containers  
            of soft drinks, and certain prepackaged foods. 

           FISCAL EFFECT  

          1)Costs for CDFA to change their regulations would be absorbable  
            within existing resources.

          2)Unknown enforcement costs for local health inspectors to  
            oversee farm stands, potentially in excess of $100,000. Those  








                                                                 AB 2168
                                                                  Page  2

            costs would be fully offset by permitting fees charged to farm  
            stand owners.

           COMMENTS  

           1)Purpose  . This bill is intended to expand opportunities for  
            farmer's markets and farm stands to sell to members of the  
            public that intend to resell the products (i.e. restaurants).   
            In addition, this bill allows farmers to extend their  
            marketing season by allowing them to sell bottled water and  
            sodas in addition to processed foods such as dried fruits,  
            pickles, relishes, jams, and jellies.

            Examples provided by the author to illustrate the problem  
            being addressed include a small strawberry grower who would be  
            allowed to sell strawberries during the growing season at his  
            or her farm stand without having to meet any CRFC  
            requirements.  However, if he or she wants to extend the  
            marketing season by having strawberries turned into jam to  
            sell at the farm stand, the farmer would be required to put in  
            a plumbing system and overhaul the farm stand to meet all of  
            the requirements of the CRFC.  The author argues that it is  
            unlikely that the sale of the jam would be enough to cover the  
            cost of the upgrades. This bill would allow that strawberry  
            farmer to apply for a permit and meet minimal health and  
            safety requirements that would allow him or her to sell the  
            jam without having to upgrade the farm stand. 

           2)California Retail Food Code  .  Each year in the United States,  
            food borne illnesses cause an estimated 76 million illnesses,  
            324,000 hospitalizations and 5,000 deaths.  In California,  
            retail food establishments (such as restaurants, food trucks,  
            food booths are fairs) are regulated under the California  
            Retail Food Code (CRFC).  CRFC is administered by DPH and  
            enforced by local health agencies, typically environmental  
            health agencies.  Farmers' markets need to obtain a permit and  
            follow basic sanitation guidelines governing the storage of  
            fruit, the distribution of food samples, and the disposal of  
            garbage. 


           Analysis Prepared by  :    Julie Salley-Gray / APPR. / (916)  
          319-2081