BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 2695|
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                                 THIRD READING


          Bill No:  AB 2695
          Author:   Hernandez (D), et al
          Amended:  8/2/10 in Senate
          Vote:     21

           
           SENATE FOOD AND AGRICULTURE COMMITTEE  :  4-1, 6/15/10
          AYES:  Florez, Emmerson, Hancock, Wolk
          NOES:  Hollingsworth
           
          SENATE APPROPRIATIONS COMMITTEE  :  9-1, 6/28/10
          AYES:  Kehoe, Cox, Alquist, Corbett, Denham, Leno, Price,  
            Wolk, Yee
          NOES:  Walters
          NO VOTE RECORDED:  Wyland

           ASSEMBLY FLOOR  :  58-18, 6/1/10 - See last page for vote


           SUBJECT  :    California Nursery Producers Commission

           SOURCE  :     Author


           DIGEST  :    This bill creates, subject to approval by an  
          industry referendum, the 16-member California Nursery  
          Producers Commission, within the Department of Food and  
          Agriculture, to serve the marketing and research interests  
          of the nursery industry in the state.

           ANALYSIS  :    Existing law allows for the establishment of  
          commissions and councils to advance the interests of  
          California agriculture and seafood industries.  Commission  
                                                           CONTINUED





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          law declares that California agriculture and seafood  
          industries are vitally important elements of the state's  
          economy and are supported by state-established commissions  
          and councils mandated to enhance and preserve the economic  
          interests of California.  The Legislature finds and  
          declares that commissions and councils implement public  
          policy through their express conduct and these programs are  
          among the broad range of state-mandated regulatory programs  
          that are funded by industry, generally through user fees  
          assessed in accordance with each person's relationship to a  
          particular program.  The Legislature further declares that  
          these commissions and councils are established to reflect a  
          commitment to California agriculture and seafood  
          industries, represent a policy of support for self-help and  
          public-private partnerships, provide a benefit to the  
          entire industry and all Californians, and are intended to  
          enhance the image of California agriculture and seafood  
          products.  

          This bill:

          1. Creates the California Nursery Producers Commission and  
             specifies the powers, duties, and responsibilities of  
             the Commission.

          2. Authorizes the Commission to levy an annual assessment,  
             not to exceed $0.0006 per dollar of sales, on producers  
             of nursery products and authorizes the expenditure of  
             these funds for purposes of implementing and  
             administering the bill's provisions.

          3. Does not become effective until eligible producers, by  
             referendum, vote in favor of these provisions.

          4. Authorizes the Commission to levy a civil penalty not to  
             exceed $1,000 on a person who willfully renders or  
             furnishes false information, as specified, and also  
             authorizes the Commission to bring civil actions and  
             other remedies to enforce the bill's provisions and  
             regulations adopted pursuant to these provisions.

          5. Provides for the continuation and suspension of the  
             operation of its provisions and for concluding the  
             operations of the Commission. 







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           Comments
           
          Supporters state this bill creates the first nursery  
          commission in California to promote and represent the  
          interests of the second largest commodity in the state.   
          California nurseries provide $4 billion in farm gate value,  
          producing nursery crops in 55 of California's 58 counties.   
          The California nursery industry faces numerous regulatory,  
          research, and marketing challenges in California.  The  
          establishment of a commission would address the need within  
          the nursery industry for a unified voice from the nursery  
          industry to the public and regulatory agencies on the  
          importance of California's nursery industry.  A nursery  
          commission would help the industry with improved marketing  
          of California nursery products.  California nurseries are  
          under increasing pressure from invasive pests, causing  
          increased costs and challenges transporting nursery  
          products.  A commission would help the industry respond to  
          the pressures of invasive pests, help educate the public,  
          and be an industry asset in combating current and future  
          invasive pest threats.

           FISCAL EFFECT  :    Appropriation:  Yes   Fiscal Com.:  Yes    
          Local:  No

          According to the Senate Appropriations Committee:

                         Fiscal Impact (in thousands)

           Major Provisions      2010-11     2011-12     2012-13     Fund  

          New marketing commission
          - administration    Up to $40           $20-$30  
          ongoingSpecial*
          - revenues          Up to ($3,000**) annually      
          Special*

          * Industry assessment deposited in the Department of Food  
            and Agriculture Fund

          **Based on one-tenth of one cent ($0.001) assessment rate  
            which is capped at six-tenths of one cent








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           SUPPORT  :   (Verified  7/26/10)

          California Association of Nurseries and Garden Centers
          California Association of Pest Control Advisors


           ASSEMBLY FLOOR  : 
          AYES:  Ammiano, Arambula, Bass, Beall, Bill Berryhill,  
            Block, Blumenfield, Bradford, Brownley, Buchanan,  
            Caballero, Charles Calderon, Carter, Chesbro, Conway,  
            Coto, Davis, De La Torre, De Leon, Eng, Evans, Feuer,  
            Fong, Fuentes, Fuller, Furutani, Galgiani, Garrick,  
            Gilmore, Harkey, Hayashi, Hernandez, Hill, Huffman,  
            Jones, Lieu, Bonnie Lowenthal, Ma, Mendoza, Monning,  
            Nava, Nielsen, V. Manuel Perez, Portantino, Ruskin,  
            Salas, Saldana, Silva, Skinner, Solorio, Swanson,  
            Torlakson, Torres, Torrico, Tran, Villines, Yamada, John  
            A. Perez
          NOES:  Adams, Anderson, Blakeslee, Cook, DeVore, Emmerson,  
            Fletcher, Gaines, Hagman, Huber, Jeffries, Knight, Logue,  
            Miller, Nestande, Niello, Norby, Smyth
          NO VOTE RECORDED:  Tom Berryhill, Hall, Audra Strickland,  
            Vacancy


          TSM:mw  8/2/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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