BILL ANALYSIS Ó
SENATE COMMITTEE ON AGRICULTURE
Senator Cathleen Galgiani, Chair
2015 - 2016 Regular
Bill No: AB 2635 Hearing Date: 6/21/16
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|Author: |Committee on Agriculture |
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|Version: |2/19/16 |
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|Urgency: |No |Fiscal: |Yes |
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|Consultant:|Anne Megaro |
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Subject: Public health: food access
SUMMARY :
This bill would extend the operation and repeal dates for
provisions of the California Healthy Food Financing Initiative
until July 1, 2023 and January 1, 2024, respectively.
BACKGROUND AND EXISTING
LAW :
Existing law establishes the California Healthy Food Financing
Initiative (CHFFI) for the purpose of promoting healthy food
access to underserved communities. The CHFFI Council is
required to develop program parameters and financing options to
accomplish this goal (Health and Safety Code §104660 et seq.).
Existing law directs the California Department of Food and
Agriculture (CDFA) to develop recommendations for actions to be
taken to promote food access. In a 2012 report titled
"Improving Food Access in California," recommendations include:
Improving the distribution of fresh produce
Expanding retail options for healthy food
Helping low-income consumers purchase food
Supporting nutritious school meals
According to this report, the state can use existing
infrastructure and relationships with farmers and food
distributors to increase food access, and the state can
coordinate existing state and federal resources to target them
AB 2635 (Committee on Agriculture) Page 2 of ?
toward use in underserved communities.
( http://www.cdfa.ca.gov/exec/public_affairs/pdf/ImprovingFoodAcce
ssInCalifornia.pdf )
Existing law:
1) Establishes the CHFFI to expand access to nutritious
foods in underserved urban and rural communities and to
eliminate food deserts in California.
2) Establishes the CHFFI Council to develop financing
options and program parameters to accomplish the purpose of
the initiative.
3) Requires CDFA, by July 1, 2012, to prepare
recommendations regarding actions that need to be taken to
promote food access in California.
4) Establishes the CHFFI Fund which is comprised of
federal, state, philanthropic, and private funds, for the
purpose of expanding access to healthy foods in underserved
communities.
PROPOSED
LAW :
This bill:
1) Extends the operation and repeal dates for provisions of
the California Healthy Food Financing Initiative until July
1, 2023 and January 1, 2024, respectively.
ARGUMENTS IN SUPPORT:
According to the author, "CHFFI is intended to increase access
to healthy and nutritious foods. The law is mirrored after
successful HFF Programs in the states of Pennsylvania and New
York and addresses the issue by encouraging the active pursuit
of opportunities to increase the number of grocery stores, farm
stands, farmers' markets, direct farm to institutions and
consumer markets, and community gardens in underserved urban and
rural communities. As CHFFI is set to expire in July of 2017,
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this bill extends it till July 2023."
COMMENTS :
Need for this bill. Current efforts are underway by a variety
of public and private entities to achieve the goal of increasing
food access. It has been argued that CDFA has the expertise,
relationships, and infrastructure to further these efforts
through a collaborative statewide program. According to the
2012 CDFA report previously referenced, "Government and private
efforts to increase food access are already underway at the
federal, state, and local levels. In order to harmonize these
efforts and avoid duplication, the state can take an active role
in coordinating efforts and sharing information among the
various entities working to increase food access. CHFFI can
serve to facilitate this coordination and make sure communities
have partners at the table and that they are connected to the
appropriate funding sources."
Food deserts. Food deserts are generally defined as poor
inner-city neighborhoods and rural communities where residents
live far from the closest grocery store or supermarket. USDA
defines this distance as greater than a mile for urban
communities and greater than 10 miles for rural communities,
with exceptions for physical barriers (e.g. highways,
waterways). Residents within a food desert do not have access to
healthy foods and are limited to less-healthy, and sometimes
more expensive, alternatives available at the nearest
convenience store or fast-food restaurant. Additionally,
research shows that residents of underserved communities have
higher rates of diet-related diseases, such as obesity and
diabetes.
Federal and State HFFI: In 2010, the Obama Administration
established the Healthy Food Financing Initiative (HFFI) to
support projects that increase access to healthy, affordable
food for communities located within food deserts. With over
$400 million in funding, the initiative will work to eliminate
food deserts within seven years. With coordination among the US
Departments of Agriculture (USDA), Health and Human Services
(HHS), and the Treasury, HFFI increases healthy food access by
developing and supporting grocery stores, small retailers,
corner stores, and farmers markets that provide healthy foods.
As of 2015, the total amount of funding awarded under the
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Community Economic Development Program within HHS is over $44.5
million. The 2014 Farm Bill also provided $125 million for
HFFI, and the Treasury awarded $22 million in HFFI financial
assistance to Community Development Financial Institutions that
finance businesses providing healthy food options. Other
assistance includes federal tax credits ($250 million),
below-market-rate loans, and grants.
Additionally, HFFI programs have been successful in
Pennsylvania, where the initiative first originated, and in New
York.
State funding. To date, California has not provided state funds
to support CHFFI. This bill would extend the sunset date for
this initiative, allowing more time for financial support to be
identified and for the program to have a significant impact in
California.
RELATED
LEGISLATION :
AB 2413 (Pérez), Chapter 583, Statutes of 2014. Creates the
Office of Farm to Fork within CDFA to, among other things,
promote food access and increase the amount of agricultural
products available to underserved communities and schools within
California.
AB 38 (Pérez) of 2013. Would have created the Office of Farm to
Fork within CDFA to, among other things, promote food access and
increase the amount of agricultural products available to
underserved communities and schools within California. Held
under submission in the Assembly Committee on Appropriations.
AB 1321 (Ting), Chapter 442, Statutes of 2015. Establishes the
Nutrition Incentive Matching Grant Program in the Office of Farm
to Fork within CDFA to encourage the consumption and purchase of
fresh fruits, nuts, and vegetables by connecting farmers with
food assistance recipients.
AB 2385 (Ting) of 2014. Would have created the Market Match
Nutrition Incentive Program within CDFA. Held in Assembly
Appropriations.
AB 581 (Pérez), Chapter 505, Statutes of 2011. Creates the
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California Healthy Food Financing Initiative for the purpose of
promoting healthy food access to underserved communities.
PRIOR
ACTIONS :
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|Assembly Floor: |79 - 0 |
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|Assembly Appropriations Committee: |19 - 0 |
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|Assembly Agriculture Committee: |10 - 0 |
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SUPPORT :
California Food Policy Advocates
California Retailers Association
OPPOSITION :
None received
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