BILL ANALYSIS ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 1795| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: AB 1795 Author: Assembly Agriculture Committee Amended: 8/3/10 in Senate Vote: 21 SENATE FOOD AND AGRICULTURE COMMITTEE : 5-0, 6/15/10 AYES: Florez, Emmerson, Hancock, Hollingsworth, Wolk SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8 ASSEMBLY FLOOR : 74-0, 4/22/10 (Consent) - See last page for vote SUBJECT : California Citrus Advisory Committee: California Apple Commission: California Salmon Council: California Blueberry Commission SOURCE : Author DIGEST : This bill (1) eliminates term limits for members of the California Apple Commission, (2) permits the California Salmon Council to present facts to and negotiate with state, federal, and foreign agencies on matters that affect the California Salmon Marketing and Development Act, (3) requires an annual assessment to be imposed by the California Blueberry Commission, and (4) makes other CONTINUED AB 1795 Page 2 changes to provisions of law relating to the California Citrus Advisory Committee. ANALYSIS : Existing law provides that there is in the Department of Food and Agriculture (DFA) the California Citrus Advisory Committee (Committee), comprised as specified. The Committee is required to develop and make recommendations to the Secretary of DFA 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 requires the Committee to annually recommend to the secretary the assessment rate and instead provides that the assessment be based on the number of 40-pound carton equivalents produced. This bill also defines "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 also authorizes the Committee to recommend to the Secretary an assessment less than the amount specified in existing law. This bill provides that the adoption, amendment, or repeal of assessment rates shall not be subject to certain rulemaking provisions. This bill authorizes the Secretary to issue an order to adopt, amend, or repeal the regulations concerning assessment rates. This order, which this bill requires 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 CONTINUED AB 1795 Page 3 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 prohibits a handler from charging a producer an administrative fee for collecting or remitting an assessment. This bill authorizes a producer who disputes the assessment amount to file a claim with the Secretary and provides 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, this bill creates new crimes and thereby imposes a state-mandated local program. Existing law establishes in state government the California Apple Commission (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 four years, and limits the number of terms of office of each member to four consecutive terms. This bill deletes the limitation on the number of terms of office. Existing law establishes in state government the California Salmon Council (Council) and provides that the Council may, subject to the approval of the Secretary of DFA, 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. CONTINUED AB 1795 Page 4 This bill also authorizes the Council to present facts to, and negotiate with, state, federal, and foreign agencies on matters that affect the provisions relating to the Council. Existing law establishes in state government the California Blueberry Commission (CBC) and requires the CBC, 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 instead requires the CBC 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. This bill revises 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 DFA to hold a public hearing five years after implementation of the provisions establishing the CBC to determine whether the CBC should be continued, and every five years thereafter between March 1 and February 28. This bill changes the dates between which this public hearing must be conducted and this determination made every five years to October 1 and September 30. This bill also makes various technical and clarifying changes. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: Yes SUPPORT : (Verified 8/2/10) California Apple Commission California Citrus Mutual California Salmon Council CONTINUED AB 1795 Page 5 ARGUMENTS IN SUPPORT : Proponents state that this bill updates the Commission and the Council to reflect the needs of their industries. California's apple industry has changed significantly over the last 15 years, shrinking from 40 apple handlers packing, shipping, and marketing California apples to only 11 remaining apple handlers. With the smaller pool of available handlers able and willing to serve on the Commission, the current term limit on the board hinders the Commission's ability to meet a quorum to conduct business and continue functioning for the future of the industry. The Council is the only marketing order representing California salmon fishermen. In recent years, the California salmon seasons were closed due to reasons beyond the control of the industry and the government. As a result, state and federal agencies increased there need to work on salmon management issues while seeking input from the California salmon industry through the Council. This bill allows the Council to participate in discussions and provide advice to state and federal agencies regarding issues relevant to California salmon. This bill makes changes to the California Citrus Advisory Committee to conform the committees handling of assessment to AB 281 (De Leon) from 2009. Further, this bill allows the assessment rate to be adjusted more efficiently to meet the demands of the industry. ASSEMBLY FLOOR : AYES: Adams, Ammiano, Anderson, Arambula, Bass, Beall, Bill Berryhill, Tom Berryhill, Blakeslee, Block, Bradford, Brownley, Buchanan, Charles Calderon, Carter, Chesbro, Conway, Cook, Coto, Davis, De La Torre, De Leon, DeVore, Emmerson, Eng, Evans, Feuer, Fletcher, Fong, Fuentes, Fuller, Furutani, Gaines, Galgiani, Garrick, Gilmore, Hagman, Hall, Harkey, Hayashi, Hernandez, Hill, Jeffries, Jones, Knight, Lieu, Logue, Bonnie Lowenthal, Ma, Mendoza, Miller, Monning, Nava, Nestande, Niello, Nielsen, V. Manuel Perez, Portantino, Ruskin, Salas, Saldana, Silva, Skinner, Smyth, Solorio, Audra Strickland, Swanson, Torlakson, Torres, Torrico, Tran, CONTINUED AB 1795 Page 6 Villines, Yamada, John A. Perez NO VOTE RECORDED: Blumenfield, Caballero, Huber, Huffman, Norby, Vacancy TSM:mw 8/4/10 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** CONTINUED