BILL ANALYSIS Ó
SENATE AGRICULTURE COMMITTEE
Senator Anthony Cannella, Chairman
BILL NO: AB 2378 HEARING: 06/19/12
AUTHOR: Huber FISCAL: Yes
VERSION: 03/29/12 CONSULTANT: Anne Megaro
Rendering: enforcement.
SUMMARY:
Existing law pursuant to the Food and Agriculture Code:
1. Defines 'rendering' as the recycling, processing and
conversion of animal and fish materials and carcasses and
inedible kitchen grease into fats, oils and proteins used
primarily as feed for the animal and pet food industries.
2. Provides for the licensure and regulation of renderers,
operators of collection centers, and transporters of
inedible kitchen grease.
3. Requires renderers, collection center operators, and
transporters to retain specified written records reflecting
sales and transport of inedible kitchen grease for one
year.
4. Specifies fines and jail, or both, for misdemeanor
violations of the recordkeeping requirements, including
escalating fines for repeat offenses.
5. Authorizes the secretary of CDFA, in lieu of seeking
civil prosecution, to levy civil penalties for violations
in an amount not to exceed $1,000 for each violation.
Provides administrative hearing process for persons upon
whom a civil penalty has been levied to appeal the penalty.
6. Conforms the Vehicle Code to the above Food and
Agriculture Code regulations for renderers and transporters
of inedible kitchen grease.
This bill:
1. Adds fines or county jail, or both fines and county
jail, for any licensed renderer or collection center who
fails to keep records in accordance with existing
requirements.
2. Expands, from one year to two years, the period of time
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that renderers, collection center operators, and
transporters, must retain, and are prohibited from
destroying, specified transaction records reflecting sales
and transport of inedible kitchen grease.
3. Increases the maximum fines (up to $5,000) for specified
violations of existing law, but authorizes even greater
maximum penalties (up to $15,000) for any violation that
occurs after a previous conviction or that was committed
with the intent to defraud or mislead.
4. Increases the maximum civil penalty, as assessed by the
secretary of CDFA, from $1,000 to $5,000, for specified
violations of the licensing and transport statutes relating
to rendering and transport of inedible kitchen grease.
5. Increases the appeal period for any person, upon
receiving notification of a civil penalty, from 10 days to
20 days.
6. Provides that, should any penalized person not file a
petition for a writ of administrative mandamus, the court,
upon receiving a certified copy of CDFA's final decision
that directs payment of a civil penalty, shall enter a
judgment in favor of CDFA.
7. Authorizes the secretary of CDFA, upon completion of the
appeal procedure provided in this section, to file with
the court a copy of the department's final decision and, if
applicable, an order denying a petition for writ of
administrative mandamus. Prohibits a clerk of the superior
court from charging any fees for the performance of entry
of such judgment.
8. Makes conforming changes to the Vehicle Code relating to
similar requirements that apply to licensed renderers and
transporters of inedible kitchen grease.
COMMENTS:
1.Purpose of Bill: According to the author, "With the increase
in demand for inedible kitchen grease to use as biofuel and
animal feed as well as the rising prices for all commodities,
there has been a significant increase in the cases of theft.
When reviewing enforcement procedures and penalties with
California Department of Food and Agriculture and local law
enforcement representatives, it was recognized that the
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current penalty structure for violating the law is too low and
has become a 'cost of doing business' for some offenders."
2.Grease is Gold: Inedible (used) kitchen grease has become a
valuable commodity in the last decade, especially in light of
rising gasoline prices and corresponding growth in the
biodiesel fuel industry. Recycling an otherwise 'grimy waste
product' into a valuable feed or biofuel resource is
attractive and profitable. According to a recent article,
inedible kitchen grease is traded in commodity markets and its
value has skyrocketed from $0.66 per gallon in April 2001 to
$3.68 per gallon in April 2011 ("Grease is gold; thieves get
bold." News & Observer, NC. June 1, 2011)
3.Manpower: In recognition of the limited enforcement
capabilities of CDFA and the low priority that law enforcement
officers understandably may assign to theft of inedible
kitchen grease, the proposed increased penalties have been
argued necessary to deter theft and future offenses.
4.Committee Referrals: The Senate Rules Committee has double
referred this bill to the Senate Public Safety Committee as
the second committee of referral. Therefore, if this measure
is approved by this committee, the motion should include an
action to re-refer the bill to the Senate Committee on Public
Safety.
RELATED LEGISLATION:
SB 513 (Cannella), Chapter 393, Statutes of 2011, created the
Rendering Industry Advisory Board, including membership and
duties, and reauthorized the licensing of renderers and the
collection of fees to sunset January 1, 2016.
AB 2612 (Committee on Agriculture), Chapter 393, Statutes of
2010, the Committee Omnibus bill included, among other
provisions, expanded rendering definitions of a "collection
center," changed the collection centers' licensure expiration
date, and exempted collection centers from specified fees.
AB 1249 (Galgiani), Chapter 280, Statutes of 2009, created an
exception, upon the declaration of a state of emergency or a
local emergency, to the rules governing the transportation of
dead animals by licensed dead animal haulers, and extended the
sunset date to January 1, 2016, for the CDFA administration fee
for the Inedible Kitchen Grease Program.
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AB 1846 (Adams), Chapter 321, Statutes of 2008, exempted
individuals that collect and haul inedible kitchen grease for
their sole personal use as vehicle fuel for non-commercial
purposes in loads limited to no more than 50 gallons, from the
additional per vehicle fee authorized to fund the administrative
costs for the program, while requiring them to meet all other
current requirements.
PRIOR ACTIONS:
Assembly Floor 75-0
Assembly Appropriations17-0
Assembly Judiciary 10-0
Assembly Agriculture 9-0
SUPPORT:
California Grain and Feed Association (Co-Sponsor)
Pacific Coast Renderers Association (Co-Sponsor)
OPPOSITION:
None received