BILL ANALYSIS Ó
SB 912
Page 1
Date of Hearing: June 24, 2014
ASSEMBLY COMMITTEE ON BUSINESS, PROFESSIONS AND CONSUMER
PROTECTION
Susan A. Bonilla, Chair
SB 912 (Mitchell) - As Amended: April 21, 2014
SENATE VOTE : 28-6
SUBJECT : State property: vending machines.
SUMMARY : Repeals the 2015 sunset date for existing law
requiring operators of vending machines on state property to
offer at least 35% of food, and approximately 66% of beverages,
in a vending machine to meet accepted nutritional guidelines and
other nutritional standards, as specified, and makes other
technical or nonsubstantive changes.
EXISTING LAW :
1)Defines "accepted nutritional guidelines" to mean:
a) Either the following specific beverages or those
meeting the following standards:
i) Water;
ii) Milk, including, but not limited to: soy milk, rice
milk, and other similar dairy or non-dairy milk;
iii) Electrolyte replacement beverages that do not
contain more than 42 grams of added sweetener per
20-ounce serving;
iv) One hundred percent fruit juice; and,
v) Fruit-based drinks that are composed of no less than
50% fruit juice and have no added sweeteners.
b) Food meeting the following standards:
i) Not more than 35% of its total calories from fat,
which does not apply to nuts, seeds or whole grain
products;
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ii) Not more than 10% of its total calories from
saturated fat; and,
iii) Not more than 35% of its total weight from sugar,
which does not apply to fruits and vegetables.
(Government Code (GOV) Section 11005.4)
2)Defines a "vending machine" to mean any mechanical device, the
operation of which depends upon the insertion of a coin or
other thing representative of value 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. (GOV 11005.4)
3)Requires vendors offering or maintaining vending machines on
state property to supply 35% of the products in a vending
machine with food meeting accepted nutritional guidelines.
(GOV 11005.4)
4)Requires vendors operating or maintaining vending machines on
state property to offer at least one-third of the beverages in
a vending machine meeting accepted nutritional guidelines, as
specified. (GOV 11005.4)
5)Requires a separate one-third of the beverages offered in the
vending machine to 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. (GOV 11005.4)
FISCAL EFFECT : Unknown
COMMENTS :
1)Purpose of this bill . This bill will permanently require food
and beverages offered for sale in a vending machine on state
property to meet specified nutritional standards. According
to those guidelines, 35% of food options must meet accepted
nutritional guidelines, at least one-third of beverages must
meet accepted nutritional guidelines, and a separate one-third
of the beverages must meet either accepted nutritional
guidelines or contain a specified number of calories. Without
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this change, these nutritional requirements would expire in
2015. This bill is sponsored by the California Pan-Ethnic
Health Network.
2)Author's statement . According to the author's office, "[This
bill] simply preserves current law by removing the sunset on
the required nutritional guidelines, thereby providing
consumers with the continued opportunity to make healthy
choices. California is in the midst of an obesity and
diabetes epidemic and now is not the time to abandon this
modest but important policy. More than half of adults and
teens in the state are either overweight or obese. The number
of people diagnosed with diabetes rose nearly 29% from 2003 to
2009. The treatment of obesity related diseases increases our
health care costs and has a profound impact on workplace
productivity. In California, lost productivity and medical
care costs of the consequences of obesity, overweight and
physical inactivity are estimated to be $52 billion annually;
employers and taxpayers bear much of these costs.
"Studies have shown a relationship between the physical and
social environments at the workplace and the health behaviors
of employees. Nearly half of our waking hours are spent at the
workplace, and the foods available in employee cafeterias,
vending machines, and work-sponsored events frequently
determine what people eat throughout the day. Healthier food
options in state buildings will help reduce the prevalence and
cost of diet-related diseases, while promoting the well-being
of state employees and the general public."
3)Nutritional guidelines . SB 441 (Torlakson), Chapter 597,
Statutes of 2008, required vendors who operate or maintain
vending machines on state property to offer food and beverages
that meet a specified percentage of state accepted nutritional
guidelines. According to statute, the percentage of compliant
foods required increased automatically in 2009 and 2011. This
bill simply extends the current food and beverage standards by
deleting the current sunset date for specified food and
beverage nutritional requirements. It does not change or
alter the current accepted nutritional guidelines.
4)Vending machine operations . Currently, a large portion of
vending machines operated in state-owned or state-leased
buildings are run by the Blind Enterprise Program (BEP),
administered by the California Department of Rehabilitation
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(DOR). In 1936, federal legislation titled the
Randolph-Sheppard Act was passed authorizing the BEP. This
program was intended to provide jobs for people who are
"legally" blind. Under federal and state guidelines those
individuals considered legally blind are given priority in
operating food services facilities within federal and state
buildings.
The BEP program trains these individuals to become potential
food service vendors. Upon completion of training, a new
vendor is provided with a license from the DOR. Once a
location becomes available, BEP solicits applications from
eligible vendors. The DOR supports vendors within the program
(e.g., financial assistance for equipment, counseling, and
fiscal oversight).
5)Federal Health and Sustainability Guidelines. The desire to
include healthier food options in vending facilities on
government property is not unique to California. In 2010, the
United States Department of Health and Human Services (USHHS)
and the United States General Services Administration's
(USGSA) began a collaboration to create the Health and
Sustainability Guidelines for Federal Concessions and Vending
Operations.
The goal of the guidelines is to assist federal contractors in
increasing healthy food and beverage choices and sustainable
practices at federal worksites. The Health and Sustainability
Guidelines for Federal Concessions and Vending Operations were
based on information from the 2010 Dietary Guidelines released
by the federal government's Department of Agriculture (USDA)
and USHHS. Those federal agencies are currently in the
process of revising and updating the 2010 guidelines for a
2015 edition.
6)Arguments in support . The California Pan-Ethnic Health
Network writes in support, "CPEHN is pleased to sponsor and
support [this bill], which preserves existing law by
eliminating the sunset on current nutritional standards for
food and beverages sold in vending machines in state
buildings. Healthy food options are critical to addressing
the obesity epidemic, which disproportionately impact
communities of color."
7)Previous legislation . AB 459 (Mitchell) of 2013 would have
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revised the current "accepted nutritional guidelines" for food
and beverages in a vending machine on designated state
property, and would have required the food and beverages to
reach 50% compliance with the revised guidelines beginning
January 1, 2015, 75% compliance on January 1, 2016, and 100%
compliance on and after January 1, 2017. AB 459 was held in
the Assembly Appropriations Committee.
AB 727 (Mitchell) of 2011 would have required at least 50% of
food and beverages offered by a vendor in a vending machine on
designated state property to meet accepted nutritional
guidelines, beginning January 1, 2014, with 100% of food and
beverages offered meeting those guidelines by January 1, 2016.
AB 727 bill was held in the Senate Appropriations Committee.
SB 441 (Torlakson), Chapter 597, Statutes of 2008, requires a
vendor that operates or maintains a vending machine on state
property to offer food and beverages that meet accepted
nutritional guidelines, as specified.
SB 522 (Torlakson) of 2006 would have required each vendor
that operates or maintains vending machines on designated
state property to satisfy phased-in nutritional requirements,
and to provide to users, upon request, information about the
nutritional value of food and beverages offered in the vending
machine and procedures for requesting a change in vending
machine offerings. SB 522 was held on the Senate Floor.
SB 74 (Torlakson) of 2004 would have required each vendor that
operates or maintains a vending machine on designated state
property to satisfy the requirement that at least 50% of the
food and beverages offered in the vending machine meets
accepted nutritional guidelines. SB 74 was held in the Senate
Governmental Organization Committee.
REGISTERED SUPPORT / OPPOSITION :
Support
California Pan-Ethnic Health Network (sponsor)
California Center for Public Health Advocacy (sponsor)
American Cancer Society Cancer Action Network
American Federation of State, County and Municipal Employees,
AFL-CIO
American Heart Association/American Stroke Association
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Asian Law Alliance
California Automatic Vendors Council
California Medical Association
CalPERS Board of Administration
Health Access California
Healthy House within a MATCH Coalition
Los Angeles County Board of Supervisors
Opposition
None on file.
Analysis Prepared by : Elissa Silva / B.,P. & C.P. / (916)
319-3301