BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1811


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          Date of Hearing:  March 30, 2016


                          ASSEMBLY COMMITTEE ON AGRICULTURE


                                  Bill Dodd, Chair


          AB 1811  
          (Dodd) - As Amended February 25, 2016


          SUBJECT:  Fertilizer:  organic input material:  inspections.


          SUMMARY:  Deletes requirement for organic input material (OIM)  
          manufacturers to be inspected annually and makes other technical  
          changes.  Specifically, this bill: 


          1)Deletes the requirement that OIM manufacturers be inspected at  
            least once per year.


          2)Expands the California Department of Food and Agriculture's  
            (CDFA) ability to do site inspections by deleting language  
            that inspections are done during registration process.


          3)Changes the approval of third party inspections from the  
            National Organic Program (NOP) to the Secretary (Secretary) of  
            CDFA and expands that approval to all OIM manufacturers to  
            both in-state or out-of-state.


          4)Makes technical, non-substantive changes.










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          EXISTING LAW:  Existing law regulates fertilizing materials, as  
          defined, and which includes OIM, and provides for the licensure  
          of individuals who manufacture or distribute fertilizing  
          materials; requires OIM manufacturers to be inspected at least  
          once per year; authorizes CDFA to perform site inspections of  
          OIM manufacturing processes used to validate label nutrient  
          guarantees, claims, and compliance with specified federal  
          standards during the registration process, and to accept  
          inspections performed by a third-party organization recognized  
          by NOP for out-of-state OIM manufacturers; and, requires all  
          inspection records obtained by the third-party organization to  
          be made available to the Secretary upon request.


          FISCAL EFFECT:  Unknown.  


          COMMENTS:  AB 856 (Caballero), Chapter 257, Statutes of 2009,  
          established the OIM manufacturers' licensure program, with a new  
          fee structure and authorized inspections of OIM manufacturers.   
          This was in response to an incident of a OIM manufacturer  
          adulterating their product with non-organic substances and  
          putting organic growers at risk of decertification.


          In order to accommodate the cost of annual inspections of all  
          OIM manufacturing facilities, CDFA has used alternative funding  
          sources derived from non-organic fertilizer production.  This  
          has created an inequality in the marketplace.  If CDFA were to  
          raise the fee structure levied on OIM manufacturers to  
          supplement the high inspection costs, fees would be unbearable  
          for small manufacturers.  This proposal seeks to relieve the  
          fiscal burden borne by non-organic fertilizer producers and  
          establish a sustainable OIM inspection protocol that is  
          cost-effective and while maintaining oversight of OIM  
          manufacturers.











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          The U.S. Department of Agriculture's NOP only requires  
          facilities that produce liquid high-nitrogen products (greater  
          than 3% nitrogen) to be inspected annually.  No other state,  
          which regulates OIM manufacturing facilities, inspects every  
          facility annually.  


          REGISTERED SUPPORT / OPPOSITION:




          Support


          California Certified Organic Farmers


          La Rocca Vineyards




          Opposition


          None on file.




          Analysis Prepared by:Jim Collin / AGRI. / (916) 319-2084













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