BILL NUMBER: AB 727	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 27, 2011
	AMENDED IN ASSEMBLY  APRIL 25, 2011
	AMENDED IN ASSEMBLY  MARCH 25, 2011

INTRODUCED BY   Assembly Member Mitchell

                        FEBRUARY 17, 2011

   An act to amend Section 11005.4 of, and to add Section 11005.8 to,
the Government Code, and to amend Section 12401 of, and to add
Section 10300.1 to, the Public Contract Code, relating to public
contracts.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 727, as amended, Mitchell. Public contracts: healthy and
sustainable food.
   Existing law regulates various aspects of the provision of food
and beverages in vending machines, including requiring a vendor that
operates or maintains a vending machine on designated state property
to offer food and beverages in the vending machine that meet accepted
nutritional guidelines, as defined, in accordance with certain
percentages. Existing law governing contracting between state
agencies and private contractors sets forth requirements for the
procurement of supplies, materials, equipment, and services by state
agencies and sets forth the various responsibilities of the
Department of General Services and other state agencies in overseeing
and implementing state contracting procedures and policies.
   This bill would require, beginning January 1, 2014, at least 50%
of food and beverages offered by a vendor in a vending machine on
state property, as defined, to meet accepted nutritional guidelines
 , and by January 1, 2016, 100% of the food and beverages
offered by such a vendor to meet those nutritional guidelines
 . The bill also would revise the definition of accepted
nutritional guidelines for this purpose.
   This bill would additionally require, beginning January 1, 2014,
 or upon expiration of an existing contract, whichever occurs
later,  any food sold in a state-owned or state-leased building
to meet the standard criteria for food and nutrition guidelines for
concessions as determined under the federal Health and Sustainability
Guidelines for Federal Concessions and Vending Operations.
   This bill would also require the Department of General Services,
when approving contracts for the purchase of food sold in any
state-owned or state-leased building, to give preference to, and not
include disincentives for, food which meets certain criteria, as
specified, and would require the Department of General Services to
provide state agencies with the federal Health and Sustainability
Guidelines for Federal Concessions and Vending Operations. The bill
would make related legislative findings regarding its purpose.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  (a) The Legislature finds and declares all of the
following:
   (1) More than six million California adults, 23 percent of the
state's population, are obese and an additional 9.3 million adults,
34 percent of the state's population, are overweight, resulting in
$21 billion in estimated health care costs for California in 2006.
Therefore, offering healthy and sustainable food and beverage options
at state workplaces would help increase the consumption of foods
that are low in fat, sodium, and sugars, thereby reducing the
instances of obesity, diabetes, heart disease, and other preventable
health conditions.
   (2) Buying local and sustainable food and beverage options reduces
vehicle miles traveled, which positively impacts the environment. In
2008, the agriculture sector contributed 6.1 percent of the total
United States greenhouse gas emissions. Further, 11 percent of the
total  of  agriculture sector  the 
greenhouse gas emissions are a result of "food miles," while
wholesaling and retailing food contribute 5 percent, and food
production practices account for the majority, 83 percent, of
greenhouse gas emissions from the food system.
   (3) The federal Centers for Disease Control and Prevention has
published a guide entitled "Improving the Food Environment Through
Nutrition Standards: A Guide for Government Procurement," which finds
that states and localities can develop, adopt, and implement food
procurement policies in order to model healthier food environments to
positively impact government settings, including employee
cafeterias, correctional facilities, schools, child care centers,
public hospitals, senior centers, and parks.
   (b) It is the intent of the Legislature to amend existing law
regarding nutritional guidelines in order to further assist vendors
and contractors that provide food and beverages through vending
operations in increasing well-balanced and healthy food and snack
items.
  SEC. 2.  Section 11005.4 of the Government Code is amended to read:

   11005.4.  (a) For purposes of this section, the following terms
have the following meanings:
   (1) "Accepted nutritional guidelines" as used in this section
means the following:
   (A) Beverages that are the following or meet the following
standards:
   (i) Drinking water, including carbonated water products without
added sweeteners.
   (ii) Milk products, including, but not limited to, 2 percent, 1
percent, or nonfat milk, soy milk, rice milk, and other similar
nondairy milk without added sweeteners. This clause shall not apply
to nuts, seeds, eggs, and cheese packaged for individual sale.
   (iii) Sugar sweetened or artificially sweetened beverages that do
not exceed 25 calories per 8 ounces.
   (iv) One hundred-percent fruit juice.
   (v) Fruit-based drinks that are composed of no less than
50-percent fruit juice and that have no added sweeteners.
   (B) Food that meets the following standards:
   (i) Not more than 35 percent of its total calories are from fat.
This clause shall not apply to legumes, nuts, nut butters, seeds,
eggs, vegetables, and cheese packaged for individual sale and without
added fats or oils.
   (ii) Not more than 10 percent of its total calories are from
saturated fats. This clause shall not apply to nuts, nut butters,
seeds, eggs, and cheese.
   (iii) Not more than 35 percent of its total weight is from sugar.
This clause does not apply to fruits and vegetables.
   (iv) Individual snack items shall not exceed 250 calories.
   (v) Individual snack items shall not exceed 230 milligrams of
sodium per serving. This clause shall not apply to refrigerated
meals.
   (vi) Individual entrée items shall not exceed 480 milligrams of
sodium per serving. 
   (c) 
    (C)  The accepted nutritional guidelines described in
this paragraph shall be assessed when the Center for Nutrition Policy
and Promotion within the United States Department of Agriculture
revises the Federal Dietary Guidelines for Americans for the purpose
of ensuring that the accepted nutritional guidelines meet the
guidelines of the United States Department of Agriculture.
   (2) "Added sweetener" means any additive that enhances the
sweetness of a beverage, including, but not limited to, added sugar,
but does not include the natural sugar or sugars that are contained
within the fruit juice that is a component of the beverage.
   (3) "State property" as used in this section means all real
property, or part thereof, used for state purposes and either owned,
leased, rented, or otherwise controlled by, and occupied by, any
state agency.
   (4) "Vending machine" means any mechanical device, the operation
of which depends upon the insertion of a coin or other thing
representative of value and that dispenses or vends a food product or
beverage, but does not include any mechanical device that is unable
to dispense any food or beverage meeting accepted nutritional
guidelines without physical alteration or any mechanical device that
solely dispenses or vends hot beverages or ice cream.
   (5) "Individual entrée item" means food generally regarded as the
primary food in a meal and which contains either:
   (A) Two or more of the following groups: meat or meat alternatives
such as tofu or other similar alternatives, grain or bread,
vegetable or fruit that are eaten together, including, but not
limited to, sandwiches, pizza, hamburger on a bun, bean burrito, chef'
s salad, fruit and cheese platter, baked potato with chili, chicken
vegetable stir-fry, or vegetable sandwich.
   (B) A meat or meat alternative alone, including, but not limited
to, sausage patty, egg, and chicken nuggets. Nuts, nut butters,
seeds, cheese, and yogurt served alone shall not be included for
purposes of this subparagraph.
   (6) "Individual snack item" means an item that does not meet the
definition of an "individual entrée item."
   (b) A vendor that operates or maintains a vending machine on state
property shall do all of the following:
   (1) Until January 1, 2014, offer in the vending machine at least
35 percent of food that meets accepted nutritional guidelines.

   (A) 
    (2)  Beginning January 1, 2014, offer in the vending
machine at least 50 percent of food that meets accepted nutritional
guidelines. 
   (B) Beginning January 1, 2016, offer in the vending machine 100
percent of food that meets accepted nutritional guidelines. 

   (2) 
    (3)  Until January 1, 2014, offer in the vending machine
at least one-third of the beverages that meet accepted nutritional
guidelines. At least one beverage option shall be drinking water and
the price of the drinking water shall not be higher than the other
beverage options. A separate one-third of the beverages offered in
the vending machine shall either meet accepted nutritional guidelines
or be flavored milk, beverages containing less than 20 calories per
12 ounce serving, or beverages that are composed of at least
50-percent fruit juice that may contain noncaloric sweetener. The
remaining one-third of the beverages offered in the vending machine
may be any beverage allowed by law. 
   (A) 
    (4)  Beginning January 1, 2014, offer in the vending
machine at least 50 percent of beverages that meet accepted
nutritional guidelines. 
   (B) Beginning January 1, 2016, offer in the vending machine 100
percent of beverages that meet accepted nutritional guidelines.

   (c) A vendor may meet the requirements in subdivision (b) by
offering 25 percent of the food in a vending machine that meets
accepted nutritional guidelines by January 1, 2009, by offering the
total 35 percent of the food required to meet accepted nutritional
guidelines by January 1, 2011,  and  by offering 50 percent
of the food required to meet accepted nutritional guidelines by
January 1,  2014, and by offering the total 100 percent of
the food required to meet accepted nutritional guidelines by January
1, 2016.   2014. 
   (d) If a vendor operates or maintains two or more vending machines
that are located next to each other, the provisions of subdivisions
(b) and (c) may be met by calculating the percentage of the total
food and beverages offered in all of the adjacent machines.
  SEC. 3.  Section 11005.8 is added to the Government Code, to read:
   11005.8.  Beginning January 1, 2014,  or upon expiration of an
existing contract, wh   ichever occurs later,  food
sold in any state-owned or state-leased building at food concessions
and cafeterias shall meet at least the standard criteria for food and
nutrition guidelines for concessions as determined by the federal
Department of Health and Human Services and the United States General
Services Administration's Health and Sustainability Guidelines for
Federal Concessions and Vending Operations.
  SEC. 4.  Section 10300.1 is added to the Public Contract Code, to
read:
   10300.1.  (a) When approving contracts for the purchase of food to
be sold in any state-owned or state-leased building at food
concessions, cafeterias, or vending operations, the Department of
General Services shall give preference to purchasing food items
grown, packaged, or produced within the State of California.
   (b) When approving contracts for the purchase of food to be sold
in any state-owned or  leased  state-leased
 building for food concessions, cafeterias, or vending
operations, the Department of General Services shall give preference
to purchasing food items that meet the sustainability guidelines for
general food as determined by the federal Department of Health and
Human Services and the United States General Services Administration'
s Health and Sustainability Guidelines for Federal Concessions and
Vending Operations.
   (c) When approving contracts for the purchase of food to be sold
in any state-owned or state-leased building at food concessions,
cafeterias, or vending operations, the Department of General Services
shall not include provisions that provide a disincentive for the
purchase of food items that are grown, packaged, or produced within
the State of California or for food items that meet the
sustainability guidelines in subdivision (b).
  SEC. 5.  Section 12401 of the Public Contract Code is amended to
read:
   12401.  The Department of General Services, in consultation with
the California Environmental Protection Agency, members of the
public, industry, and public health and environmental organizations,
shall provide state agencies with information and assistance
regarding environmentally preferable purchasing, including, but not
limited to, the following:
   (a) The promotion of environmentally preferable purchasing.
   (b) The development and implementation of a strategy to increase
environmentally preferable purchasing. This may include the
development of statewide policies, guidelines, programs, and
regulations.
   (c) The coordination with other state and federal agencies, task
forces, workgroups, regulatory efforts, research and data collection
efforts, and other programs and services relating to environmentally
preferable purchasing.
   (d) The development and implementation, to the extent fiscally
feasible, of training programs designed to instill the importance and
value of environmentally preferable purchasing.
   (e) The development, to the extent fiscally feasible, of an
environmentally preferable purchasing best practices manual for state
purchasing employees.
   (f) The federal Department of Health and Human Services and the
United States General Services Administration's Health and
Sustainability Guidelines for Federal Concessions and Vending
Operations to assist in developing practices to promote the
acquisition of healthy, sustainable, and environmentally preferable
purchasing.