BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | SB 411| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- CONSENT Bill No: SB 411 Author: Wolk (D) Amended: 4/1/13 Vote: 21 SENATE HEALTH COMMITTEE : 9-0, 4/24/13 AYES: Hernandez, Anderson, Beall, De León, DeSaulnier, Monning, Nielsen, Pavley, Wolk SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8 SUBJECT : Food labeling: olive oil SOURCE : Author DIGEST : This bill requires any olive oil produced, processed, sold or possessed in California, that indicates on its label that California is the source of the oil or that it is from an area that is one of the approved American Viticultural Areas (AVAs), to be made of oil derived solely from olives grown in that approved AVA, rather than the existing law requirement that at least 75% of the oil be derived from olives grown in the AVA. ANALYSIS : Existing federal regulations establish AVAs, which are defined as delimited grape-growing regions having distinguishing features, a name, and a delineated boundary. Existing state law: 1. Requires, under the Department of Public Health, enforcement CONTINUED SB 411 Page 2 of various provisions related to the manufacture, blending, production, and sale of olive oil. 2. Requires any olive oil produced, processed, sold, offered for sale, given away, or possessed, that indicates on its label that it is from an area that is one of the approved AVAs to be made of oil 75% of which is derived solely from olives grown in an approved AVA. 3. Makes the violation of these provisions a crime. This bill requires any olive oil produced, processed, sold or possessed in California, that indicates on its label that California is the source of the oil or that it is from an area that is one of the approved AVAs, to be made of oil derived solely from olives grown in that approved AVA, rather than the existing law requirement that at least 75% of the oil be derived from olives grown in the AVA. Prior Legislation SB 818 (Wolk, Chapter 567, Statutes of 2011) conforms California's olive labeling requirements to the United States labeling standards, as specified. SB 634 (Wiggins, Chapter 694, Statutes of 2008) clarifies the definition of olive oil, conforms olive oil definitions, grades, and labeling requirements to international standards, authorizes the addition of vitamin E to specified olive oil, and permits a consumer to re-use a clean olive oil container, can, or drum. SB 920 (Thompson, Chapter 543, Statutes of 1997) specifies that olive oil labeled as California olive oil must be made from California olives. The bill also requires olive oil labeled as coming from an AVA to have at least 75% of the oil made from olives grown in that AVA. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: Yes ARGUMENTS IN SUPPORT : In 2012, the University of California Davis Olive Center (Olive Center) issued their third study CONTINUED SB 411 Page 3 testing the quality and authenticity of extra virgin olive oil. According to the author's office, this study reaffirmed the existence of fraud, mislabeling and adulteration of extra virgin olive oil imported and sold in California. The author's office claims that consumers continue to be misled by deceiving and fraudulent labels, and as a result continue to pay premium prices for low-quality products that fail to provide the many health benefits of using genuine extra virgin olive oil. The author's office states this bill is one step to assuring the consumer that they are getting the pure product they are paying for by requiring that any olive oil that states an AVA on its label, is solely derived from olives grown in that jurisdiction. JL:k 5/7/13 Senate Floor Analyses SUPPORT/OPPOSITION: NONE RECEIVED **** END **** CONTINUED