BILL ANALYSIS Ó AB 2504 Page 1 Date of Hearing: April 13, 2016 ASSEMBLY COMMITTEE ON AGRICULTURE Bill Dodd, Chair AB 2504 (Committee on Agriculture) - As Amended March 31, 2016 SUBJECT: Seed Advisory Board: assessments: alfalfa seed producers. SUMMARY: This bill would allow the Seed Advisory Board (SA Board) to advise and make recommendations on assessments to fund research to benefit the alfalfa seed industry to the Secretary of the Department of Food and Agriculture (CDFA). EXISTING LAW: The SA Board advises CDFA and makes recommendations on matters pertaining to the California Seed Law. The SA Board is required to advise on the scope of the program funded by the seed industry and recommend the dollar volume assessments that, when combined with registration fees, provide adequate funds to support the program. FISCAL EFFECT: Unknown. COMMENTS: Alfalfa is California's tenth largest commodity with a farm gate value in 2014 of $1.4 billion. Alfalfa hay is planted on approximately 875,000 acres in the state. Currently in California there is less than $25,000 dedicated to alfalfa seed research by the Alfalfa Seed Production Research Board. AB 2504 Page 2 Nationally, alfalfa ranks third in value at $10.7 billion, behind only corn and soybeans. There is only $2.1 million allocated for alfalfa research by the federal government. The University of California (UC) is a leader in alfalfa and forage research. UC Davis is currently researching deficit irrigation systems and their effect on alfalfa production. Supporters state a dedicated funding stream is necessary to continue important investigations into alfalfa production and that funding source should be dictated and recommended by representatives of the alfalfa seed industry. AB 2504 does not prescribe an assessment. It allows the SA Board, which is made up of labelers and sellers of seed, to make recommendations to CDFA, if the SA Board decides there is a need to fund alfalfa seed research REGISTERED SUPPORT / OPPOSITION: Support California Farm Bureau Federation (sponsor) AB 2504 Page 3 Opposition None on file. Analysis Prepared by:Victor Francovich / AGRI. / (916) 319-2084