BILL NUMBER: AB 1795	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 3, 2010
	AMENDED IN SENATE  JUNE 3, 2010

INTRODUCED BY   Committee on Agriculture (Galgiani (Chair), Tom
Berryhill (Vice Chair), Conway, Ma, Mendoza, and Yamada)

                        FEBRUARY 10, 2010

   An act to amend Sections 48001, 48002, 48002.5, 48003, 
and 76750   76750, 79222, 79271, and 79292  of, and
to repeal Section 75540 of, the Food and Agricultural Code, relating
to agriculture.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1795, as amended, Committee on Agriculture. Agriculture:
California Citrus Advisory Committee: California Apple Commission:
California Salmon  Council.  Council: California
Blueberry Commission. 
   (1) Existing law provides that there is in the Department of Food
and Agriculture the California Citrus Advisory Committee, comprised
as specified. The committee is required to develop and make
recommendations to the Secretary of Food and Agriculture on all
matters regarding the implementation of certain provisions of law
relating to citrus fruit crops, including certain specified matters.
Existing law requires producers of navel oranges, Valencia oranges,
lemons, or mandarin citrus varieties grown in this state and prepared
for fresh market in certain counties of the state to pay an
assessment, as provided, based on the number of cartons shipped. The
assessment is for the purpose of conducting an inspection program in
certain counties in the state and funding a crop survey program.
   This bill would  also  require the committee to
annually recommend to the secretary the assessment rate and would
instead provide that the assessment be based on the number of
40-pound carton equivalents produced. The bill would also define
"carton" to mean a unit equivalent to 40 pounds of citrus fruit.
   Existing law authorizes the committee to recommend to the
secretary that no assessment, as described above, be collected from
these growers of navel oranges, Valencia oranges, lemons, or mandarin
citrus varieties if no inspection program or crop survey exists for
that particular orange or citrus variety.
   This bill would also authorize the committee to recommend to the
secretary an assessment less than the amount specified in existing
law.
   This bill would provide that the adoption, amendment, or repeal of
assessment rates shall not be subject to certain rulemaking
provisions. The bill would authorize the secretary to issue an order
to adopt, amend, or repeal the regulations concerning assessment
rates. This order, which the bill would require to contain specified
information and to be transmitted within 30 days by the secretary to
the Office of Administrative Law, would be required to be filed
promptly with the Secretary of State by the Office of Administrative
Law without further review.
   Existing law requires the assessment to be collected from the
producer by the first handler, as defined, and remitted to the
department by that handler, along with an assessment form, at the end
of each month during the marketing season. Under existing law, it is
unlawful, upon the establishment of an inspection program, for any
handler to refuse to collect the assessments or remit the assessments
and the proper forms.
   This bill would prohibit a handler from charging a producer an
administrative fee for collecting or remitting an assessment. The
bill would authorize a producer who disputes the assessment amount to
file a claim with the secretary and would provide that a producer
may not bring a claim against a handler for damages, or otherwise, in
connection with the assessment or the required deduction by the
handler of the moneys owed to the producer. By imposing new
requirements on handlers and producers, the violation of which would
be a crime, the bill would create new crimes and would thereby impose
a state-mandated local program.
   (2) Existing law establishes in state government the California
Apple Commission, which consists of 12 apple producer and handler
members and one public member. Existing law specifies that the term
of office of each member of the commission, except ex officio
members, is 4 years, and limits the number of terms of office of each
member to 4 consecutive terms.
   This bill would delete the limitation on the number of terms of
office.
   (3) Existing law establishes in state government the California
Salmon Council and provides that the council may, subject to the
approval of the Secretary of Food and Agriculture, exercise specified
powers which may be delegated to the council by the secretary,
including, among others, the power to make contracts and other
agreements to promote the sale of salmon and salmon products on
either a local, state, national, or international basis.
   This bill would also authorize the council to present facts to,
and negotiate with, state, federal, and foreign agencies on matters
that affect the provisions relating to the council. 
   (4) Existing law establishes in state government the California
Blueberry Commission and requires the commission, by March 1 of each
year, or as soon thereafter as possible, to establish an annual
assessment to be paid by producers and handlers of blueberries for
the marketing season, which is defined to mean the period beginning
March 1 of any year, and extending through the last day of February
of the following year.  
    This bill would instead require the commission to establish the
assessment by March 1, 2010, or as soon thereafter as possible, and,
thereafter, by October 1 of each year, or as soon thereafter as
possible. The bill would revise the definition of "marketing season"
to mean the period beginning March 1, 2010, to September 30, 2011,
and, thereafter, beginning October 1 of any year and extending
through September 30 of the following year.  
   Existing law requires the Secretary of Food and Agriculture to
hold a public hearing 5 years after implementation of the provisions
establishing the commission to determine whether the commission
should be continued, and every 5 years thereafter between March 1 and
February 28.  
   This bill would change the dates between which this public hearing
must be conducted and this determination made every 5 years to
October 1 and September 30.  
   (4) 
    (5)  This bill would also make various technical and
clarifying changes. 
   (5) 
    (6)  The California Constitution requires the state to
reimburse local agencies and school districts for certain costs
mandated by the state. Statutory provisions establish procedures for
making that reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 48001 of the Food and Agricultural Code is
amended to read:
   48001.  (a) There is in the department the California Citrus
Advisory Committee.
   (b) The committee shall be comprised as follows:
   (1) Eight producers.
   (A) Five producer members shall be engaged in the production of
navel or Valencia oranges; four of which shall be engaged in the
production of navel or Valencia oranges in the San Joaquin Valley,
and two of the four members shall be engaged in the production of
navel or Valencia oranges in Tulare County.
   (B) Two producer members shall be engaged in the production of
lemons, one of which is engaged in the production of lemons in
Ventura County.
   (C) One of the members shall be engaged in the production of
mandarin citrus.
   (2) Four handlers, which have their principal place of business
located in one of the following counties: Fresno, Kern, Madera,
Orange, Riverside, San Bernardino, Santa Clara, Tulare, and Ventura.
   (A) Two handler members shall be located in the San Joaquin
Valley.
   (B) One handler member shall be engaged in the handling of lemons
in Ventura County.
   (c) The committee shall be appointed by the secretary from
nominations submitted to the secretary by members of the navel
orange, Valencia orange, lemon, and mandarin citrus industries group.

   (d) Committee members may be compensated for reasonable expenses
actually incurred in the performance of their duties, as determined
by the committee and concurred in by the secretary.
   (e) The committee shall meet at the request of the secretary, the
committee chairperson, or upon the request of three committee
members.
   (f) The committee shall appoint a chairperson, one or more vice
chairpersons, and any other officers it deems necessary.
   (g) The committee shall develop and make recommendations to the
secretary on all matters regarding the implementation of this chapter
including:
   (1) The assessment rate as specified in Section 48002.
   (2) Procedures for implementing an inspection program that shall
include, but not be limited to, the following:
   (A) Mandatory hold for inspection prior to shipping, following a
citrus freeze.
   (B) The minimum number of inspections to be conducted, and the
duration of each inspection period.
   (C) The minimum number of samples to be taken.
   (D) Statistical analysis of compliance levels and determination of
an acceptable level of compliance.
   (E) Documentation of inspection data including the number of
inspectors, number of inspections performed, and budget information
relating to expenses of personnel, mileage, and overhead costs.
   (F) Monitoring and postevaluation of program effectiveness by the
secretary.
   (G) Development of a single memorandum of understanding between
the department and all county agricultural commissioners for the
counties specified in subdivision (b).
   (3) Determinations as to which counties have met the inspection
requirements.
   (4) Procedures for implementing a state crop estimating and
acreage survey.
   (h) The secretary shall accept the recommendations of the
committee if he or she determines that the recommendations are
practicable and in the interest of the industry and the public. The
secretary shall provide the committee within 30 days of receipt of
the recommendations with a written statement of reasons if he or she
does not accept any of the recommendations.
  SEC. 2.  Section 48002 of the Food and Agricultural Code is amended
to read:
   48002.  (a) In addition to any other assessment, fees, or charges
that may be required pursuant to this code, producers of navel
oranges, Valencia oranges, lemons, or mandarin citrus varieties grown
in this state and prepared for fresh market in the Counties of
Fresno, Kern, Madera, Orange, Riverside, San Bernardino, Santa Clara,
Tulare, and Ventura shall pay an assessment that shall not exceed 11
mills ($0.011) per carton for navel oranges, 5 mills ($0.005) per
carton for lemons, and 6 mills ($0.006) per carton for Valencia
oranges and mandarin citrus. The assessment shall be:
   (1) Commencing April 1, 2011, recommended annually by the
committee and submitted to the secretary for approval in amounts not
to exceed those specified above.
   (2) Based on the number of 40-pound carton equivalents produced.
   (3) Used to reimburse agricultural commissioners, pursuant to a
contract between the department and the commissioners, in the
counties specified in this section, who meet the requirements of the
inspection program as determined by the committee and concurred in by
the secretary.
   (4) Used to establish a reserve to fund the frost inspection
program. The reserve amount shall be determined by the committee.
   (5) Used to fund a program within the department to provide the
industry with a state crop estimating service and an acreage survey.
   (6) Collected from the producer by the first handler. For the
purposes of this chapter, "producer" means a grower of navel oranges,
Valencia oranges, lemons, or mandarin citrus and "handler" means a
person or entity who receives navel oranges, Valencia oranges,
lemons, or mandarin citrus from a producer and who prepares the
oranges, lemons, or mandarin citrus for fresh market. If a producer
prepares the oranges, lemons, or mandarin citrus for market, the
producer shall be deemed the handler.
   (7) Remitted to the department by the first handler, along with an
assessment form, at the end of each month during the marketing
season.
   (8) Deposited in the Department of Food and Agriculture Fund or,
upon the recommendation of the committee, deposited in accordance
with Section 227 or Article 2.5 (commencing with Section 230) of
Chapter 2 of Part 1 of Division 1.
   (b) In no case shall:
   (1) The total amount reimbursed to all counties exceed the total
amount collected from the producers in all counties, unless reserve
moneys are required for the frost inspection program. However, the
authorized expenditures shall not exceed the combined total of
reserve moneys and revenue received in that fiscal year.
   (2) The reimbursement to any county exceed the amount approved by
the committee and concurred in by the secretary.
   (c) If the inspection program is terminated and there are
insufficient funds to cover the cost of terminating the inspection
program, the assessment shall continue until all those costs are
recovered.
   (d) The committee may recommend to the secretary an assessment
less than the amount specified in subdivision (a) or that no
assessment be collected from growers of navel oranges, Valencia
oranges, lemons, or mandarin citrus varieties if no inspection
program or crop survey exists for that particular orange or citrus
variety. If no assessment is collected from an orange or citrus
variety that has a representative on the committee, the secretary may
designate a representative to the committee from an orange or citrus
variety that is assessed.
   (e) The adoption, amendment, or repeal of assessment rates
pursuant to this section shall not be subject to the requirements of
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code. An order to adopt, amend, or
repeal the regulations concerning assessment rates pursuant to this
section shall be transmitted within 30 days by the secretary to the
Office of Administrative Law. The Office of Administrative Law shall
file the order promptly with the Secretary of State without further
review pursuant to Article 6 (commencing with Section 11349) of
Chapter 3.5 of Part 1 of Division 3 of Title 2 of the Government
Code. The order shall do all of the following:
   (1) Indicate that the regulations are being adopted, amended, or
repealed pursuant to this chapter.
   (2) State that the order is being transmitted for filing.
   (3) Request that the Office of Administrative Law publish a notice
of the filing of the order and print an appropriate reference in
Title 3 of the California Code of Regulations.
  SEC. 3.  Section 48002.5 of the Food and Agricultural Code is
amended to read:
   48002.5.  For purposes of this chapter, the following definitions
apply:
   (a) "Carton" means a unit equivalent to 40 pounds of citrus fruit.

   (b) "Mandarin citrus" means mandarins, including tangerines and
mandarin hybrids.
  SEC. 4.  Section 48003 of the Food and Agricultural Code is amended
to read:
   48003.  (a) Upon establishment of an inspection program, any
handler who does not file the required assessment report and
assessments by the 10th day of the month following the month for
which the assessment is payable shall pay a penalty of 10 percent of
the assessment owed and, in addition, 1.5 percent interest per month
on the unpaid balance.
   (b) Upon establishment of an inspection program, it shall be
unlawful for any handler to refuse to collect the assessments or
remit the assessments and the proper forms required by this chapter.
   (c) A handler shall not charge a producer an administrative fee
for collecting or remitting an assessment.
   (d) A producer who disputes the amount of the assessment may file
a claim with the secretary. The producer shall prove his or her claim
by a preponderance of the evidence.
   (e) A producer may not bring a claim against a handler for
damages, or otherwise, in connection with the assessment or the
required deduction by the handler of the moneys owed to the producer.

  SEC. 5.  Section 75540 of the Food and Agricultural Code is
repealed.
  SEC. 6.  Section 76750 of the Food and Agricultural Code is amended
to read:
   76750.  The duties of the council shall be advisory, except as to
those duties that may be delegated to it by the secretary or as
otherwise designated in this chapter. The council may, subject to the
approval of the secretary, exercise any of the following powers that
may be delegated to the council by the secretary:
   (a) To recommend to the secretary administrative regulations that
relate to the administration and enforcement of this chapter.
   (b) To investigate all matters that affect the administration of
this chapter, and to report violations of this chapter to the
secretary.
   (c) To employ and, at its pleasure, discharge a manager and such
clerical help and other employees as it deems necessary, and to
prescribe their duties and powers and fix their compensation.
   (d) To contract with, or employ, and at its pleasure, discharge
any other persons that it deems necessary, and in the cases of those
persons it shall employ, to outline their powers and duties and fix
their compensation.
   (e) To establish offices and incur expenses incidental thereto.
   (f) To make contracts and other agreements that may be proper to
promote the sale of salmon and salmon products on either a local,
state, national, or international basis.
   (g) (1) To cooperate with any other local, state, or national
commission, organization, or agency, whether voluntary or created by
state or federal law, including, but not limited to, the Oregon
Salmon Commission, the West Coast Fisheries Development Foundation,
the Coastal Fisheries Foundation, and the National Fish and Seafood
Promotion Council, that is engaged in work or activities similar to
the work and activities of the council, and to recommend to the
secretary the making of contracts and agreements with those
organizations or agencies for carrying on joint programs of
education, research, publicity, and advertising.
   (2) To recommend to the secretary the making of contracts and
agreements with other councils, commodity commissions, or producer
organizations for joint programs of publicity and advertising where
those products are compatible with the promotion of salmon and salmon
products.
   (3) In matters of research, to cooperate with organizations of
recognized professional standing that are adequately equipped with
facilities for the research that is contemplated.
   (h) To recommend to the secretary the institution and promotion of
scientific research to develop or discover, or both, the health,
food, therapeutic, dietetic, and other uses of salmon.
   (i) (1) To receive, invest, and disburse funds pursuant to Article
8 (commencing with Section 76900).
   (2) To allocate funds to agencies not specifically or solely
engaged in carrying on research or promotion for salmon, if the
council and the secretary are satisfied that those allocations will
be beneficial to the California salmon fishery and will tend to
effectuate the declared purposes of this chapter.
   (j) To present facts to, and negotiate with, state, federal, and
foreign agencies on matters that affect this chapter.
   SEC. 7.    Section 79222 of the   Food and
Agricultural Code   is amended to read: 
   79222.  "Marketing season" or "fiscal year" are synonymous terms
and mean the period beginning March 1  , 2010, to September 30,
2011, and, thereafter, October 1  of any year and extending
through  the last day of February   September 30
 of the following year.
   SEC. 8.    Section 79271 of the   Food and
Agricultural Code   is amended to read: 
   79271.  (a) The commission shall, not later than March 1 
of each year   , 2010  , or as soon thereafter as
possible, establish the assessment to be paid by the producers and
handlers for the marketing season.  Thereafter, the commission
shall, not later than October 1 of each year, or as soon thereafter
as possible, establish the assessment to be paid by the producers and
handlers for the marketing season.  The assessment shall not be
more than two and one-half cents ($0.025) per pound for blueberries
handled. Of the assessment one-half shall be assessed to producers,
and one-half shall be assessed to handlers.
   (b) An assessment greater than the amounts in this section may not
be charged unless it is approved in accordance with the voting
requirements of Section 79262.
   SEC. 9.    Section 79292 of the   Food and
Agricultural Code   is amended to read: 
   79292.  Following a hearing, and favorable referendum if required,
the process specified in Section 79291 shall be conducted by the
secretary every five years thereafter between  March
  October  1 and  February 28 
 September 30 , unless a referendum is conducted as the
result of a petition pursuant to Section 79293. In that case, the
hearing, and referendum if required, shall be conducted every five
years following the industry petitioned referendum.
   SEC. 7.  SEC. 10.   No reimbursement is
required by this act pursuant to Section 6 of Article XIII B of the
California Constitution because the only costs that may be incurred
by a local agency or school district will be incurred because this
act creates a new crime or infraction, eliminates a crime or
infraction, or changes the penalty for a crime or infraction, within
the meaning of Section 17556 of the Government Code, or changes the
definition of a crime within the meaning of Section 6 of Article XIII
B of the California Constitution.