BILL ANALYSIS Ó
AB 315
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Date of Hearing: April 15, 2015
ASSEMBLY COMMITTEE ON AGRICULTURE
Henry T. Perea, Chair
AB 315
(Bigelow) - As Amended March 19, 2015
SUBJECT: Fairs: annual reports and expenditures.
SUMMARY: This bill repeals several requirements for fairs including:
an annual report to the Department of Food and Agriculture (CDFA)
related to free pass admissions by fairs; CDFA expenditures on
exhibits, as specified; and, an annual conference related to judging
exhibits. Specifically, this bill:
1)Repeals the requirement for fairs to make an annual report to CDFA
of the total number of free pass admissions issued and honored at
the fair.
2)Repeals the requirement that the director (Secretary) of CDFA expend
up to $100,000 in any fiscal year for exhibits at a state-supported
fair that shows the process of production and use of agricultural
products in the state.
3)Repeals the requirement that the Secretary annually arrange for a
conference of fair judges to help CDFA make regulations for the
judging of exhibits, and allows the Secretary to expend up to
$15,000 for the conference.
EXISTING LAW:
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1)Requires that each state, district, county, or citrus fruit fair
that receives state funds make an annual report to CDFA regarding
the total number of credential and courtesy pass admissions issued
and honored at the fair.
2)Requires the Secretary to expend up to $100,000 in any fiscal year
for exhibits at a state-supported fair that demonstrate the process
of production and use of food and fiber from the producer to the
consumer in the state.
3)Requires the Secretary to annually provide for a conference of fair
judges to aid CDFA in prescribing regulations for the judging of
exhibits and for the premiums paid for all classes, sections, and
types of exhibits, and authorizes the Secretary to expend up to
$15,000 in any fiscal year for these purposes.
FISCAL EFFECT: Unknown. This bill has been keyed fiscal by
Legislative Counsel.
COMMENTS: CDFA's Division of Fairs and Expositions is responsible for
overseeing the fairs throughout the state. Each fair operates with a
degree of autonomy, with a board of directors appointed by the
governor, and in accordance with state law governing the operation of
state agencies. Fairs contribute a great deal to the State of
California. They offer an opportunity for the local community to
highlight its achievements, and in many cases, they recognize the
agriculture of the local area.
Prior to 2010, the primary source of state funding for fairs was from
horse racing license fees. The steady decline in license fees prior
to 2010 had resulted in a deficiency in revenues generated to the Fair
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& Exposition Fund, which impacted fairs across the state.
SB 16 X2 (Ashburn), Chapter 12, Statutes of 2009, provided a stable
funding source to the fairs by allocating an annual appropriation of
$32 million from the state's general fund (GF) to support fairs. In
the 2011-12 State Budget, the GF support was eliminated, and for the
first time in 80 years, California fairs had to depend completely on
self-generated revenues to operate, beginning January 1, 2012.
According to the author, fairs have endured financial hardships since
the state cut their funding in 2010. Repealing the requirements for
an annual report on courtesy passes, an annual conference on exhibits,
and exhibit funding, would alleviate some of the cost pressure to
fairs up and down the state.
RELATED LEGISLATION:
AB 2490 (Eggman), Chapter 342, Statutes of 2014, modified District
Agricultural Association's (DAAs) requirements for activities needing
prior approval by CDFA and/or the Department of General Services;
recast language expanding duties; and, made technical conforming
changes.
AB 1647 (Bigelow) of 2014 would have repealed several requirements for
fairs including: an annual report to CDFA related to free pass
admissions by fairs; CDFA expenditures on exhibits, as specified; and,
an annual conference related to judging exhibits. This bill was passed
out of the Assembly on 78-0 vote, but was substantially amended in the
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Senate and was removed from the Agriculture Committee's jurisdiction.
SB 741 (Cannella) of 2013 would make several substantive and
clarifying changes to current law related to the operation, oversight,
and funding of the network of California fairs, and contains an
urgency clause. This bill was held in the Assembly Committee on
Appropriations.
AB 2345 (Ma) of 2012, would have established the California Fair
Network Commission as a nonprofit mutual-benefit corporation to assess
fees for services, managed funds, and provided administration and
oversight of California's fairs. This bill was held in the Assembly
Committee on Appropriations.
SB 1085 (Runner), Chapter 320, Statutes of 2010, allows the 50th DAA,
with the consent of the Secretary of CDFA, to enter into a joint
powers agreement with a nonprofit organization to operate, maintain,
and improve the 50th DAA.
REGISTERED SUPPORT / OPPOSITION:
Support
Rural County Representatives of California
Western Fairs Association
Opposition
AB 315
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None on file
Analysis Prepared by:Victor Francovich / AGRI. / (916) 319-2084