Amended in Senate June 15, 2016

Amended in Assembly April 26, 2016

Amended in Assembly April 21, 2016

Amended in Assembly April 5, 2016

Amended in Assembly March 17, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 1826


Introduced by Assembly Member Mark Stone

February 8, 2016


An act to amend Sections 46000, 46001, 46002, 46003, 46004.1, 46007, 46010.5, 46012, 46013.1, 46013.2, 46014.1, 46014.2, 46014.4, 46014.6, 46016.4, 46016.5, 46021, and 46028 of, and to add Section 46003.2 to, the Food and Agricultural Code, relating to organic products.

LEGISLATIVE COUNSEL’S DIGEST

AB 1826, as amended, Mark Stone. Organic products.

Existing law, the California Organic Products Act of 2003 (the act), requires the Secretary of Food and Agriculture, county agricultural commissioners, and the Director of the State Department of Public Health to enforce state and federal laws governing the production, labeling, and marketing of organic products, as specified. Existing federal law establishes the National Organic Program which requires operations that produce or handle organic agricultural products to comply with federal organic standards and be certified by a certifying agent, as specified.

This bill would revise and recast the California Organic Products Act of 2003 as the California Organic Food and Farming Act and would set forth the purposes of the act.

Existing law establishes the California Organic Products Advisory Committee, comprised of 15 members, to advise the secretary on his or her responsibilities under the act.

The bill would revise the composition of the advisory committee and would expand the scope of the advisory committee’s duties to include advising the secretary on education, outreach, and technical assistance for producers. The bill would authorize the secretary, in consultation with the advisory committee, to establish procedures for and conduct certain activities, includingbegin delete providing technical assistance, education, outreach, and guidance to the organic industry.end deletebegin insert supporting organic agriculture through education, outreach, and other programmatic activities.end insert The bill would specify that penalties collected by the secretary and fees collected by county agricultural commissioners pursuant to the act’s provisions shall be expended to fulfill the responsibilities authorized under the act, and would exempt from the Administrative Procedure Act the adoption, amendment, or repeal of a registration fee.

Existing law requires every person engaged in the state in the production or handling of raw agricultural products sold as organic to register with the county agricultural commissioner and specifies the information required on the registration form.

This bill would require those persons to instead register with the Secretary of Food and Agriculture, would revise the registration fees required to be paid by certain registrants, and would revise the information required on the registration form. The bill would also revise the type of information and records that persons who produce, handle, or retail products sold as organic are required to keep or make available.

The bill would define certain terms for purposes of the act’s provisions and would make technical and conforming changes to various code sections. To the extent the bill would impose additional duties on county agricultural commissioners, the bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

P3    1

SECTION 1.  

The Legislature finds and declares both of the
2following:

3(a) The state organic program was first established under the
4California Organic Products Act of 1990 and amended in the
5California Organic Products Act of 2003. The state organic
6program was developed before and during the development of
7federal organic standards. Today, a robust federal organic
8certification and enforcement program exists.

9(b) The purpose of amending the existing law governing the
10state organic program is to reform fees and paperwork and to create
11a framework whereby state organic program enforcement activities
12 are designed to supplement National Organic Program-funded
13enforcement in California.

14

SEC. 2.  

Section 46000 of the Food and Agricultural Code is
15amended to read:

16

46000.  

(a) This chapter and Article 7 (commencing with
17Section 110810) of Chapter 5 of Part 5 of Division 104 of the
18Health and Safety Code shall be known and may be cited as the
19California Organic Food and Farming Act.

20(b) The secretary and county agricultural commissioners under
21the supervision and direction of the secretary shall enforce
22regulations adopted by the National Organic Program (NOP)
23(Section 6517 of the federal Organic Foods Production Act of 1990
24(7 U.S.C. Sec. 6501 et seq.)), and Article 7 (commencing with
25Section 110810) of Chapter 5 of Part 5 of Division 104 of the
26Health and Safety Code and this act applicable to any person selling
27products as organic.

28

SEC. 3.  

Section 46001 of the Food and Agricultural Code is
29amended to read:

30

46001.  

This chapter shall be interpreted in conjunction with
31Article 7 (commencing with Section 110810) of Chapter 5 of Part
325 of Division 104 of the Health and Safety Code and regulations
33adopted by the National Organic Program (Section 6517 of the
P4    1federal Organic Foods Production Act of 1990 (7 U.S.C. Sec. 6501
2et seq.)).

3

SEC. 4.  

Section 46002 of the Food and Agricultural Code is
4amended to read:

5

46002.  

(a) All organic food or product regulations and any
6amendments to those regulations adopted pursuant to the federal
7Organic Foods Production Act of 1990 (7 U.S.C. Sec. 6501 et
8seq.), that are in effect on the date this bill is enacted or that are
9adopted after that date, shall be the organic food and product
10regulations of this state.

11(b) The secretary may, by regulation, prescribe conditions under
12which organic foods or other products not addressed by the
13National Organic Program may be sold in this state.

14(c) The purpose of the act shall be to dobegin delete allend deletebegin insert bothend insert of the following:

15(1) Promote coordination of federal, state, and local agencies
16in implementing the National Organic Program.

begin delete

17(2) Expand, improve, and protect the production of organic
18products.

end delete
begin delete

19(3) Provide technical assistance, education, outreach, and
20guidance to the organic industry.

end delete
begin insert

21
(2) Support organic agriculture through education, outreach,
22 and other programmatic activities.

end insert

23(d) The secretary may receive and expend state and federal
24funds for activities authorized under this act.

25

SEC. 5.  

Section 46003 of the Food and Agricultural Code is
26amended to read:

27

46003.  

(a) The secretary shall establish an advisory committee,
28which shall be known as the California Organic Products Advisory
29Committee, for the purpose of advising the secretary with respect
30to his or her responsibilities under this act.

31(b) The advisory committee shall advise the secretary on
32education, outreach, and technical assistance for producers.

33(c) The advisory committee shall be comprised of 15 members.
34Each member may have an alternate. Six members and their
35alternates shall be producers, at least one of whom shall be a
36producer of meat, fowl, fish, dairy products, or eggs. Two members
37and their alternates shall be processors, one member and his or her
38alternate shall be wholesale distributors, one member and his or
39her alternate shall be representatives of an accredited certifying
40agency operating in the state, one member and his or her alternate
P5    1shall be consumer representatives, one member and his or her
2alternate shall be environmental representatives, two members and
3their alternates shall be technical representatives with scientific
4credentials related to agricultural chemicals, toxicology, or food
5science, and one member and his or her alternate shall be retail
6representatives. Except for the consumer, environmental, and
7technical representatives, the members of the advisory committee
8and their alternates shall have derived a substantial portion of their
9business income, wages, or salary as a result of services they
10provide that directly result in the production, handling, processing,
11or retailing of products sold as organic for at least three years
12preceding their appointment to the advisory committee. The
13consumer and environmental representatives and their alternates
14shall not have a financial interest in the direct sales or marketing
15of the organic product industry and shall be members or employees
16of representatives of recognized nonprofit organizations whose
17principal purpose is the protection of consumer health or protection
18of the environment. The technical representatives and their
19alternates shall not have a financial interest in the production,
20handling, processing, or marketing of the organic products industry.
21The technical representatives may be involved in organic research
22or technical review providing they have no financial benefit from
23results of the research project or technical review.

24(d) An alternate member shall serve at an advisory committee
25meeting only in the absence of, and shall have the same powers
26and duties as, the category whom he or she is representing as
27alternate, except for duties and powers as an officer of the
28committee. The number of alternates present who are not serving
29in the capacity of a member shall not be considered in determining
30a quorum.

31(e) An alternate member may serve at an advisory committee
32subcommittee meeting only in the absence of, and shall have the
33same powers and duties as, the member whom he or she is
34designated as alternate, except for duties and powers as a
35subcommittee chairperson.

36(f) The members of the advisory committee and their alternates
37shall be reimbursed for the reasonable expenses actually incurred
38in the performance of their duties, as determined by the advisory
39committee and approved by the secretary.

P6    1(g) The secretary or his or her representative, the State Public
2Health Officer or his or her representative, and a county agricultural
3commissioner may serve as ex officio members of the advisory
4committee.

5

SEC. 6.  

Section 46003.2 is added to the Food and Agricultural
6Code
, to read:

7

46003.2.  

(a) To the extent that funds are available, the
8secretary, in consultation with the California Organic Products
9Advisory Committee, may establish procedures for and conduct
10all of the following activities:

11(1) Receive and investigate complaints filed by any person
12concerning suspected acts of noncompliance with this act or federal
13organic standards.

14(2) Conduct periodic spot inspections.

15(3) Conduct periodic prohibited substance testing on products
16labeled as organic.

17(4) Conduct farmers’ market inspections.

begin delete

18(5) Expand, improve, and protect the production of organic
19products.

end delete
begin delete

20(6) Assist operations in achieving organic certification, including
21transition to organic.

end delete
begin delete

22(7) Provide technical assistance, education, outreach, and
23guidance to the organic industry.

end delete
begin insert

24
(5) Support organic agriculture through education, outreach,
25and other programmatic activities.

end insert
begin delete

26(8) Reimbursement of

end delete

27begin insert(6)end insertbegin insertend insertbegin insertReimburseend insert investigation, enforcement, and market
28surveillance expenses, including expenses incurred by any county
29agricultural commissioner for actions conducted pursuant to this
30chapter.

begin delete

31(9)

end delete

32begin insert(7)end insert Conduct hearings, appeals, mediation, or settlement
33conferences from actions taken to enforce this chapter.

34(b) Investigation, inspection, and prohibited material testing
35reports shall be forwarded to the secretary for any required
36enforcement action.

37(c) The secretary shall coordinate activities authorized under
38this section with other county and state licensing, registration,
39inspection, and fee collection procedures applicable to registrants.

P7    1

SEC. 7.  

Section 46004.1 of the Food and Agricultural Code is
2amended to read:

3

46004.1.  

Unless defined pursuant to the National Organic
4Program (NOP), the following words and phrases, when used in
5this act, shall have the following meanings:

6(a) “Accredited certification agency” means an entity accredited
7by the United States Department of Agriculture to certify
8operations as compliant with the federal organic standards.

9(b) “Act” means the California Organic Food and Farming Act.
10It also means the federal Organic Foods Production Act of 1990
11(7 U.S.C. Sec. 6501 et seq.) and the regulations adopted pursuant
12to the federal Organic Foods Production Act of 1990 (7 U.S.C.
13Sec. 6501 et seq.).

14(c) “Categorical products” means categories of products of like
15begin delete commodityend deletebegin insert commodity,end insert such as apples, salad products,begin delete etc.end deletebegin insert etc.,end insert
16 and does not require variety specific information.

17(d) “Certified operation” means a producer, handler, or retail
18food establishment that is certified organic by an accredited
19certification agency as authorized by the federal Organic Foods
20Production Act of 1990 (7 U.S.C. Sec. 6501 et seq.) and
21implemented pursuant to the National Organic Program.

22(e) “Data” means the information provided annually by persons
23registered under the act, including certified organic acreage and
24gross sales of certified organic products.

25(f) “Department” means the State Department of Public Health.

26(g) “Director” means the director and State Public Health Officer
27for the State Department of Public Health.

28(h) “Enforcement authority” means the governmental unit with
29primary enforcement jurisdiction, as provided in Section 46008.

30(i) “Exempt handler” means a handling operation that sells
31agricultural products as “organic” but whose gross agricultural
32income from organic sales totals five thousand dollars ($5,000) or
33less annually.

34(j) “Exempt operation” means a production or handling operation
35that sells agricultural products but is exempt from certification
36under federal organic standards.

37(k) “Exempt producer” means a production operation that sells
38agricultural products as “organic” but whose gross agricultural
39income from organic sales totals five thousand dollars ($5,000) or
40less annually.

P8    1(l) “Federal organic standards” means the federal regulations
2governing production, labeling, and marketing of organic products
3as authorized by the federal Organic Foods Production Act of 1990
4(7 U.S.C. Sec. 6501 et seq.) and implemented pursuant to the
5National Organic Program (7 C.F.R.begin delete Sec.end delete 205 et seq.), and any
6amendments to the federal act or regulations made subsequent to
7the enactment of this chapter.

8(m) “Handle” means to sell, process, or package agricultural
9products.

10(n) “Handler” means any person engaged in the business of
11handling agricultural products, but does not include final retailers
12of agricultural products that do not process agricultural products.

13(o) “Handling operation” means any operation or portion of an
14operation, except final retailers of agricultural products that do not
15process agricultural products that (1) receives or otherwise acquires
16agricultural products, and (2) processes, packages, or stores
17agricultural products.

18(p) “Inspection” means the act of examining and evaluating
19production or handling operation to determine compliance with
20state and federal law.

21(q) “National Organic Program” or “NOP” means the National
22Organic Program established pursuant to the federal Organic Foods
23Production Act of 1990 (7 U.S.C. Sec. 6501 et seq.) and the
24regulations adopted for implementation.

25(r) “Person” means any individual, firm, partnership, trust,
26corporation, limited liability company, company, estate, public or
27private institution, association, organization, group, city, county,
28city and county, political subdivision of this state, other
29governmental agency within the state, and any representative,
30agent, or agency of any of the foregoing.

31(s) “Processing” means cooking, baking, heating, drying, mixing,
32grinding, churning, separating, extracting, cutting, fermenting,
33eviscerating, preserving, dehydrating, freezing, or otherwise
34manufacturing, and includes packaging, canning, jarring, or
35otherwise enclosing food in a container.

36(t) “Producer” means a person who engages in the business of
37growing or producing food, fiber, feed, and other agricultural-based
38consumer products.

P9    1(u) “Prohibited substance” means a substance the use of which
2in any aspect of organic production or handling is prohibited or
3not provided for in state or federal law.

4(v) “Residue testing” means an official or validated analytical
5procedure that detects, identifies, and measures the presence of
6chemical substances, their metabolites, or degradation products in
7or on raw or processed agricultural products.

8(w) “Retail food establishment” means a restaurant, delicatessen,
9bakery, grocery store, or any retail outlet with an in-store restaurant,
10delicatessen, bakery, salad bar, or other eat-in or carry-out service
11of processed or prepared raw and ready-to-eat-food.

12(x) “Secretary” means the Secretary of Food and Agriculture.

13(y) “State Organic Program” or “SOP” means a state program
14that meets the requirements of Section 6506 of the federal Organic
15Foods Production Act of 1990 (7 U.S.C. Sec. 6501 et seq.), is
16approved by the Secretary of the United States Department of
17Agriculture, and is designed to ensure that a product that is sold
18or labeled as organically produced under the federal Organic Foods
19Production Act of 1990 (7 U.S.C. Sec. 6501 et seq.) is produced
20and handled using organic methods.

21(z) “USDA” means the United States Department of Agriculture.

22

SEC. 8.  

Section 46007 of the Food and Agricultural Code is
23amended to read:

24

46007.  

(a) Any penalties collected by the secretary and any
25fees collected by a county agricultural commissioner pursuant to
26this chapter shall be deposited in the Department of Food and
27Agriculture Fund and, upon appropriation by the Legislature, shall
28be expended solely to fulfill the responsibilities authorized under
29this chapter.

30(b) Any fees and penalties collected by a county agricultural
31 commissioner pursuant to Section 46017 and any other penalties
32collected by a county agricultural commissioner pursuant to this
33chapter shall be paid directly to the county agricultural
34commissioner and expended to fulfill the responsibilities of the
35county agricultural commissioner, as specified in this chapter.

36(c) The secretary shall establish a specific minimum amount to
37be reimbursed to each county agricultural commissioner per
38registrant in that county. This reimbursement shall not limit the
39amount of the reimbursement otherwise made to county
40commissioners for their enforcement activities.

P10   1

SEC. 9.  

Section 46010.5 of the Food and Agricultural Code is
2amended to read:

3

46010.5.  

(a) No fee established and collected pursuant to this
4chapter shall exceed the secretary’s costs or the county agricultural
5commissioner’s costs, as the case may be, of regulating and
6enforcing the provisions of this chapter related to the function for
7which the fee is established.

8(b) The fees established and collected pursuant to this chapter
9may be expended, under the advisement of the California Organic
10Products Advisory Committee, for activities authorized under this
11chapter, including assisting operations in achieving certification,
12conducting education and outreach, entering research and
13development partnerships, and addressing production or marketing
14obstacles to the growth of the organic sector.

15

SEC. 10.  

Section 46012 of the Food and Agricultural Code is
16amended to read:

17

46012.  

Article 14 (commencing with Section 43031) of Chapter
182 applies to any food product that is represented as organically
19produced by any person who is not registered as required by this
20chapter or any product that is not in compliance with this chapter
21or Article 7 (commencing with Section 110810) of Chapter 5 of
22Part 5 of Division 104 of the Health and Safety Code. The
23secretary, agricultural commissioners, and the director shall be
24considered enforcing officers for purposes of those provisions of
25law under their respective jurisdiction.

26

SEC. 11.  

Section 46013.1 of the Food and Agricultural Code
27 is amended to read:

28

46013.1.  

(a) Every person engaged in this state in the
29production or handling of raw agricultural products sold as organic
30shall register with the secretary before the first sale of the product.
31All processors of organic agriculturally derived products that are
32not required to be registered as outlined in subdivision (b) shall
33register with the secretary. Each registrant shall annually renew
34the registration with the secretary unless no longer engaged in the
35activities requiring the registration.

36(b) Every person engaged in this state in the processing or
37handling of processed products pursuant to Section 110460 of the
38Health and Safety Code, and pet food pursuant to Section 18653,
39and cosmetics pursuant to Section 111795 of the Health and Safety
P11   1Code, including processors of alcoholic beverages,begin delete fishend deletebegin insert fish,end insert and
2seafood, shall register with the State Public Health Officer.

3(c) Registration pursuant to this section shall be on a form either
4provided by the secretary or approved by the secretary and shall
5be valid for a period of one calendar year from the date of
6validation by the secretarybegin delete or county agricultural commissionerend delete
7 of the completed registration form.

8(d) The information provided on the registration form shall
9include all of the following:

10(1) The nature of the registrant’s business, including the
11categorical products produced, handled, or processed that are sold
12as organic. For the purposes of registration, organic products shall
13be categorized as follows:

14(A) Citrus.

15(B) Fruit and vegetable row crops.

16(C) Livestock and dairy.

17(D) Stone fruit.

18(E) Tree fruit.

19(F) Tree nuts.

20(G) Other, which includes, but is not limited to, organic fallow
21ground, herbs and mushrooms, cut flowers, nursery, and apiaries.

22(2) The address or assessor’s parcel number of the precise
23location or locations where the products are produced, processed,
24or handled.

25(3) Sufficient information, under penalty of perjury, to enable
26the secretary to verify the amount of the registration fee to be paid
27in accordance with this act.

28(4) The names of all certification organizations or governmental
29entities, if any, providing organic certification to them.

30(e) (1) A registration form shall be accompanied by payment
31of a nonrefundable registration fee by producers, handlers, and
32processors, which shall be based on total gross sales by the
33registrant of product sold as organic in the calendar year that
34precedes the date of registration or, if no sales were made in the
35preceding year, then based on the expected sales during the 12
36calendar months following the date of registration in accordance
37with the following fee schedule. The secretary, in consultation
38with the California Organic Products Advisory Committee, may
39lower the amounts specified in the following fee schedule by
40regulation.


P12  13

 

 

  Gross Sales

Registration Fee

$

0 -

4,999

$

25

$

5,000 -

10,000

$

50

$

10,001 -

50,000

$

75

$

50,001 -

250,000

$

100

$

250,001 -

500,000

$

450

$

500,001 -

1,000,000

$

750

$

1,000,001 -

2,500,000

$

1,000

$

2,500,001 -

5,000,000

$

1,500

$

5,000,001 -

15,000,000

$

2,000

$

15,000,001 -

25,000,000

$

2,500

$

25,000,001 -

and above

$

3,000

 

14(2) Producers that sell processed product shall pay fees based
15on the value of raw product before being processed and the value
16of any product sold as unprocessed.

17(3) Any person that packs, repacks, labels, sorts, or otherwise
18handles any organic product that is outside the jurisdiction of the
19State Public Health Officer and that does not take title or manage
20the sale of the product, but provides only handling services for
21organic product, shall register and pay one hundred dollars ($100)
22per year.

23(4) Any person that provides temporary storage or transportation
24for organic product and does not handle the raw unpackaged
25product does not have to register.

26(5) Any person required to register pursuant to this section that
27fits the description of more than one of the persons described above
28 shall pay the greater of the multiple amounts.

29(6) The secretary may require any producer, handler, processor,
30or other organic registrant to provide the exact dollar amount of
31gross sales of twenty-five million one dollars ($25,000,001) or
32more in lieu of the range specified in paragraph (1).

33(f) The secretary may adopt regulations that supersede the terms
34of this section to the extent reasonably necessary to provide an
35online system of registration for those required to register pursuant
36to this section.

37(g) The adoption, amendment, or repeal of any fee pursuant to
38this section shall not be subject to the requirements of Chapter 3.5
39(commencing with Section 11340) of Part 1 of Division 3 of Title
402 of the Government Code. An order to adopt, amend, or repeal
P13   1the regulations concerning assessment rates pursuant to this section
2shall be transmitted within 30 days by the secretary to the Office
3of Administrative Law. The Office of Administrative Law shall
4file the order promptly with the Secretary of State without further
5review pursuant to Article 6 (commencing with Section 11349) of
6Chapter 3.5 of Part 1 of Division 3 of Title 2 of the Government
7Code. The order shall do all of the following:

8(1) Indicate that the regulations are being adopted, amended,
9or repealed pursuant to this chapter.

10(2) State that the order is being transmitted for filing.

11(3) Request that the Office of Administrative Law publish a
12notice of the filing of the order and print an appropriate reference
13in Title 3 of the California Code of Regulations.

14

SEC. 12.  

Section 46013.2 of the Food and Agricultural Code
15 is amended to read:

16

46013.2.  

(a) To the extent feasible, the secretary, in
17consultation with the director, shall coordinate the registration and
18annual fee collection procedures of this section with similar
19licensing or registration procedures applicable to registrants.

20(b) The secretarybegin delete or county agricultural commissionerend delete shall
21deny a registration submission that is incomplete or not in
22compliance with this act.

23(c) A registrant shall, within a reasonable time, notify the
24secretary of any change in the information reported on the
25registration form and shall pay any additional fee owed if that
26change results in a higher fee owed than that previously paid.

27(d) (1) At the request of any person, the secretary or county
28agricultural commissioner shall provide the following:

29(A) The name and address of the registrant.

30(B) The nature of the registrant’s business.

31(C) The names of all certification organizations or governmental
32entities, if any, providing certification pursuant to the NOP and
33this act.

34(2) The secretary or county agricultural commissioner may
35charge a reasonable fee for the cost of reproducing this information.
36Except as provided in this subdivision, a registration form is
37exempt from Chapter 3.5 (commencing with Section 6250) of
38Division 7 of Title 1 of the Government Code.

39(e) The secretary, in consultation with the California Organic
40Products Advisory Committee, may suspend the registration
P14   1program set forth in this section if the secretary determines that
2income derived from registration fees is insufficient to support a
3registration enforcement program.

4(f) A registration is considered legal and valid until revoked,
5suspended, or until the expiration of the registration.

6(g) The registration revocation process shall be in conjunction
7with other provisions of this act. The secretary or county
8agricultural commissioner’s office may initiate the revocation
9process for failure to comply with the NOP or this act. Any person
10against whom the action is being taken shall have the opportunity
11to appeal the action and be afforded the opportunity to be heard
12in an administrative appeal. This appeal shall be administered by
13either the state or county agricultural commissioner’s office.

14(h) When the registration fee is not paid within 60 days from
15the expiration date, the account shall be considered closed and the
16registration voided. A notification shall be sent to the registrant
17and the certifier, if applicable, notifying them the registrant is no
18longer able to market products as organic until the account is paid
19in full.

20(i) Any producer, handler, processor, or certification agency
21subject to this chapter that does not pay the fee within 10 days of
22the date on which the fee is due and payable shall pay a penalty
23of 10 percent of the total amount determined to be due plus interest
24at the rate of 1.5 percent per month on the unpaid balance.

25

SEC. 13.  

Section 46014.1 of the Food and Agricultural Code
26 is amended to read:

27

46014.1.  

(a) Any certification agency that certifies product in
28this state sold as organic shall register with the secretary and shall
29thereafter annually renew the registration, unless the organization
30is no longer engaged in the activities requiring the registration.
31Registration shall be on a form provided by the secretary, shall
32include a copy of accreditation by the USDA or proof of
33application if applicable. The secretary, in consultation with the
34California Organic Products Advisory Committee, shall establish
35a registration fee not to exceed five hundred dollars ($500) annually
36for certifying agencies operating within the state.

37(b) Each certification agency shall pay to the secretary an annual
38registration fee of twenty-five dollars ($25) for each client they
39have certified in this state up to a maximum of two hundred fifty
40dollars ($250). Any registration submitted by a certification agency
P15   1shall be made available to the public for inspection and copying.
2The secretary may audit the agency’s certification procedures and
3records at any time, but any records of the certification agency not
4otherwise required to be disclosed shall be kept confidential by
5the secretary.

6(c) An accredited certifying agency may submit an annual
7registration fee and application on behalf of their client provided
8that all of the information required under Section 46013.1 is
9included when remitting applicable fees to the secretary.

10(d) The secretary and the county agricultural commissioners
11under the supervision of the secretary shall, if requested by a
12sufficient number of persons to cover the costs of the program in
13a county as determined by the secretary, establish a certification
14program. This program shall meet all of the requirements of this
15act. In addition, this program shall meet all of the requirements of
16the federal certification program, including federal accreditation.
17The secretary shall establish a fee schedule for participants in this
18program that covers all of the secretary’s reasonable costs of the
19program. A county agricultural commissioner that conducts a
20voluntary certification program pursuant to this section shall
21establish a fee schedule for participants in this program that covers
22all of the county’s reasonable costs of the program. The secretary
23shall not expend funds obtained from registration fees collected
24under this chapter for the purposes of adopting or administering
25this program. The certification fee authorized by this subdivision
26is due and payable on January 1 or may be prorated before the
2710th day of the month following the month in which the decision
28to grant the certification is issued. Any person who does not pay
29the amount that is due within the required period shall pay the
30enforcement authority providing the certificate a penalty of 10
31percent of the total amount determined to be due, plus interest at
32the rate of 1.5 percent interest per month on the unpaid balance.

33(e) Notwithstanding any other law, any certification agency that
34certifies product in this state sold as organic shall immediately
35make the following records available for inspection by, and shall
36upon request within three business days of the request provide a
37copy to, the secretary or county agricultural commissioner:

38(1) Records obtained from applicants for certification and
39certified operations.

P16   1(2) Records created by the certifying agent regarding applicants
2for certification and certified operations.

3(3) Any record required to be kept under the National Organic
4Program (Section 6517 of the federal Organic Foods Production
5Act of 1990 (7 U.S.C. Sec. 6501 et seq.) and 7 C.F.R. 205 et seq.),
6Article 7 (commencing with Section 110810) of Chapter 5 of Part
75 of Division 104 of the Health and Safety Code, and this act
8applicable to any person selling products as organic.

9(f) Records acquired pursuant to this section shall not be public
10records as that term is defined in Section 6252 of the Government
11Code and shall not be subject to Chapter 3.5 (commencing with
12Section 6250) of Division 7 of Title 1 of the Government Code.

13

SEC. 14.  

Section 46014.2 of the Food and Agricultural Code
14 is amended to read:

15

46014.2.  

(a) All products sold as organic in California shall
16be certified by an accredited certifying agent if they are required
17to be certified under the federal act.

18(b) Product shall be sold as organic only in accordance with this
19act.

20(c) A certification agency shall be accredited by the USDA as
21provided in the NOP.

22

SEC. 15.  

Section 46014.4 of the Food and Agricultural Code
23 is amended to read:

24

46014.4.  

A registered certification agency shall submit to the
25secretary every January and June a list of all persons whose
26production or processing of product in California is certified. The
27list shall be publicly available within 30 days after the end of each
28filing period. A certifier that keeps a current list on an Internet
29Web site available to the public may be deemed to meet this
30requirement.

31

SEC. 16.  

Section 46014.6 of the Food and Agricultural Code
32 is amended to read:

33

46014.6.  

Only products that have been produced and handled
34in accordance with this act may be certified by a registered
35certification agency.

36

SEC. 17.  

Section 46016.4 of the Food and Agricultural Code
37 is amended to read:

38

46016.4.  

The appeal shall be submitted to the secretary in
39writing within 30 days of the datebegin insert ofend insert thebegin delete action,end deletebegin insert actionend insert or the letter
40proposing the action. The secretary’s proceeding shall, insofar as
P17   1practicable, comply with the provisions of the Administrative
2Procedure Act, Chapter 5 (commencing with Section 11500) of
3Part 1 of Division 3 of Title 2 of the Government Code, except
4that a Department of Food and Agriculture hearing officer may be
5 used.

6

SEC. 18.  

Section 46016.5 of the Food and Agricultural Code
7 is amended to read:

8

46016.5.  

As provided for in regulations adopted by the NOP,
9the action proposed bybegin delete aend deletebegin insert anend insert NOP accredited certification agency
10against a client may be appealed to the secretary for mediation.

11

SEC. 19.  

Section 46021 of the Food and Agricultural Code is
12amended to read:

13

46021.  

(a) It is unlawful for any person to certify any product
14in violation of this act.

15(b) It is unlawful for any person to certify a product or company
16as organic unless duly registered as a certification agency pursuant
17to this act.

18(c) It is unlawful for any person to willfully make a false
19statement or representation, or knowingly fail to disclose a fact
20required to be disclosed, in registration for a certification agency
21pursuant to this act.

22

SEC. 20.  

Section 46028 of the Food and Agricultural Code is
23amended to read:

24

46028.  

All persons who produce, handle, or retail products that
25are sold as organic shall keep accurate and specific records as
26required by the secretary in consultation with the California
27Organic Products Advisory Committee.

28

SEC. 21.  

If the Commission on State Mandates determines
29that this act contains costs mandated by the state, reimbursement
30to local agencies and school districts for those costs shall be made
31pursuant to Part 7 (commencing with Section 17500) of Division
324 of Title 2 of the Government Code.



O

    94