BILL ANALYSIS Ó AB 1810 Page 1 Date of Hearing: March 30, 2016 ASSEMBLY COMMITTEE ON AGRICULTURE Bill Dodd, Chair AB 1810 (Levine) - As Amended March 29, 2016 REVISED ANALYSIS SUBJECT: California Seed Law: exclusions: noncommercial seed sharing. SUMMARY: Adds new legislative findings, definitions and exemptions to the California Seed Law (CSL), pertaining to seed libraries; and makes technical changes. Specifically, this bill: 1)Defines "sell" to mean to offer, expose, or possess for sale, and to commercially exchange, barter, or trade. 2)Adds to the legislative findings that the California Seed Law (CSL) is not intended to regulate noncommercial seed sharing, including through seed libraries, seed exchanges, or other informal or formal noncommercial seed sharing activities. 3)Adds penalty exemptions for the collecting, storing, or distributing any labeled or unlabeled agricultural, flower, or vegetable seed for noncommercial purposes. AB 1810 Page 2 4)Adds to activities exempt from CSL to include seed distributed through formal or informal noncommercial seed sharing activities, including, but not limited to, seed libraries and seed exchanges. 5)Adds an exemption for noncommercial seed sharing for the following violations of CSL: a) The shipping or sale of seed without a germination test; b) The shipping or sale of mislabeled seed or seed containing excessive weed seed; and, c) The shipping of unlabeled seed. 6)Makes various technical and non-substantial changes. EXISTING LAW: CSL requires every labeler of specified seeds for sale or that is sold in this state, or persons receiving or possessing seeds for sale or that sells in this state, to annually register with CDFA, except as provided, and to pay an annual assessment that funds the activities of this law. Specifies labeling requirements for seed sold, except to neighbors within three miles of production, and requires that regulations be adopted for germination standards, enforcement tolerances and examination procedures, sampling methods, schedule of fees, and other such regulations that assist in carrying out the provisions of this law. These regulations are required to be as near as practicable to the Federal Seed Act. AB 1810 Page 3 CDFA, on March 1, 2016, published a SEED ADVISORY No. 01-2016, further clarifying existing law. It states that bona fide seed libraries that do not meet the definition of "sell" are exempt from labeling requirements of CSL, and seeds loaned to patrons are exempt from CSL labeling requirements; flower seed is not regulated by CSL; there are no labeling requirements for seed banks that only deposit without other transactions; and, small seed packets (1/2 pound or less) of vegetable seed only need label to state the kind of seed, variety name, seller or organization name and year it is to be planted. FISCAL EFFECT: Unknown. COMMENTS: According to the author, seed libraries provide communities with free heirloom seeds, thereby empowering people to grow affordable healthy food, preserve culturally significant seed and adapt seed to local conditions. There are 450 seed libraries in the United States with 38 of those in California. Further, the author believes CSL is intended to regulate seed sold to large scale agri-business, and that the testing and labeling requirements are burdensome and not feasible for community based seed sharing. CSL was enacted in 1967 to ensure that agricultural seed is properly and accurately identified on the product label. Seed is analyzed through the Seed Services program, and administered by CDFA. Purity of seed is a critical factor in preventing the unwanted spread of diseases, noxious and invasive weeds. The CSL is locally enforced by county agricultural commissioners and agree to maintain a statewide compliance level on all seed sold in the county. AB 1810 Page 4 Funding for this program is through industry seed assessments and registration fees, and is administered by CDFA. Every labeler of agricultural seed offered for sale in California, or any person who sells that seed in this state, must annually register as a seed labeler and pay an annual fee of $40. In addition, those who are registered seed labelers must also pay an assessment capped at 40 cents per $100 gross annual dollar volume sales. CDFA determines the rate of assessment, not to exceed CDFA's cost of carrying out these provisions. Supporters of AB 1810 state that CSL stands in the way of community based initiatives working toward developing sustainable local food sources and that the outdated CSL language is creating a legal barrier for these efforts; primarily that CSL's definition of "sell" is too broad and capturers the sharing of seed. This issue has been a problem in other states as well. Opponents state that this bill's noncommercial seed exchange language creates a loophole for potential spread of disease and invasive weeds. They can support relief from some of the provisions of CSL for bona fide seed libraries and exchanges, but believe all should register with CDFA, as there is value in communicating with them regarding diseases, invasive weeds and law updates. AB 1810 Page 5 The committee may wish to consider if this exemption from CSL creates an exposure to the introduction of disease and/or invasive pests, thereby exposing our agricultural industry and our ecosystem to potential harm. Further, CDFA's seed advisory clarifies that less than pound of seed only needs minimal labeling requirements. RELATED LEGISLATION: AB 2504 (Agriculture) of the 2016 Session, would authorize the Seed Advisory Board to advise the Secretary and make recommendations on assessments to fund research to benefit the alfalfa seed industry. AB 264 (Dahle), Chapter 294, Statutes of 2015, removed seed from the definition of "farm product" under market enforcement provisions regarding produce dealers, thereby removing seed dealers from these provisions; retained one market enforcement provision pertaining to the use of product liens for seed owned and grown by a seed producer and sold to a seed dealer under contract; and, added to CSL the authority for the CDFA to establish methods and procedures to settle disputes regarding financial terms and lack of payment by a seed dealer to a seed grower. SB 1399 (Galgiani), Chapter 277, Statutes of 2014, extended the dates CSL would become inoperable to July 1, 2019, and changed the methodology for county subventions. SB 348 (Galgiani), Chapter 385, Statutes of 2013, extended the provisions and repeal dates of CSL and county subventions, until July 1, 2016, and January 1, 2017, respectfully. AB 1810 Page 6 AB 2470 (Salas), Chapter 294, Statutes of 2013, added "corporation" to the definition of a "person"; defined "neighbor", for the purposes of this section, to mean a person living in close proximity, not to exceed three miles, to another; prohibited specified authorities, after January 1, 2015, from adopting or enforcing ordinances over plants, crops, or seeds, as specified; and, made technical wording changes to CSL. AB 120 (Budget), Chapter 133, Statutes of 2011, among other changes, deleted specified exemption from CSL. REGISTERED SUPPORT / OPPOSITION: Support Ashland Cherryland Food Policy Council California Farm Link California State Guild Center for Food Safety City of El Cerrito AB 1810 Page 7 Community Alliance with Family Farmers Earthshed Solutions Ecology center Foothill Collaborative for Sustainability Livermore Amador Valley Garden Club Occidental Arts & Ecology Center Orange Home Grown Orange County Food Access Coalition Pesticide Action Network, North America Richmond Grows Seed.Org Riverbank Heirloom Garden Club Santa Barbara Food Alliance Seed Savers Exchange AB 1810 Page 8 Sustainable Economies Law Center The Farmers Guild 15 individuals 21 4th Grade Students from Olive Elementary School, Novato Unified School District Opposition None on file. Analysis Prepared by:Jim Collin / AGRI. / (916) 319-2084