BILL ANALYSIS Ó SENATE COMMITTEE ON HEALTH Senator Ed Hernandez, O.D., Chair BILL NO: SB 65 --------------------------------------------------------------- |AUTHOR: |Wolk | |---------------+-----------------------------------------------| |VERSION: |March 9, 2015 | --------------------------------------------------------------- --------------------------------------------------------------- |HEARING DATE: |April 22, 2015 | | | --------------------------------------------------------------- --------------------------------------------------------------- |CONSULTANT: |Vince Marchand | --------------------------------------------------------------- SUBJECT : Food labeling: olive oil SUMMARY : Revises olive oil labeling requirements by deleting language that requires labels referring to approved American Viticultural Areas (AVAs) be at least 75 percent from that AVA, and instead requiring olive oils labeled as coming from a specific region in California to be made from at least 85 percent of olives grown in that specific region. Also requires olive oils labeled as coming from a specific estate in California to be 95 percent from olives grown on that specified estate. Existing law: 1.Requires any olive oil produced, processed, sold or possessed in California, that indicates on its label "California Olive Oil," or uses words that indicate that California is the source of the oil, to be made of oil derived solely from olives grown in California. 2.Requires any olive oil produced, processed, sold or possessed in California that indicates on its label that is from one of the approved AVAs, as defined in federal regulations, to be made of oil of which at least 75 percent is derived solely from olives grown in that approved AVA. This bill: 1.Deletes the requirement that at least 75 percent of olive oil that is labeled as coming from an approved AVA be derived from olives grown in that AVA, and instead requires 85 percent, by weight, of the olive oil that is labeled as coming from a specific region in California to be made from olives grown in the specified region. 2.Requires olive oil produced, processed, sold or possessed in SB 65 (Wolk) Page 2 of ? California, that indicates on its label that it is from a specific estate in California, to be made of oil at least 95 percent of which, by weight, is derived from olives grown on the specified estate. 3.Makes other technical, clarifying changes to olive oil labeling requirements. FISCAL EFFECT : This bill has not been analyzed by a fiscal committee. COMMENTS : 1.Author's statement. According to the author, California law contains outdated language relating to utilizing California and its regions in the labeling of olive oil by referencing AVAs established by the federal Alcohol and Tobacco Tax and Trade Bureau, which regulates wine. This bill will replace the outdated language with language that incorporates the Olive Oil Commission of California standards for 'California' labeling and applies it to all California olive oil producers. 2.Olive Oil Commission of California standards. SB 250 (Wolk), Chapter 344, Statutes of 2013, created the Olive Oil Commission of California (OOCC) to engage in olive oil quality and nutritional research and to recommend grading and labeling standards to the California Department of Food and Agriculture (CDFA). The OOCC developed California olive oil grading and labeling standards to apply only to those producing more than 5,000 gallons of olive oil, refined-olive oil, or olive-pomace oil, per year. In pertinent part, the regulations require: 100 percent of the oil to be from olives grown in the state of California; if reference is made to a specific region in California, then at least 85 percent of the oil (by weight) to be from olives grown in that region; and, if reference is made to a specific estate within California, then at least 95 percent of the oil (by weight) to be from olives grown on that estate. CDFA approved these recommendations, and they became effective on September 26, 2014. 3.Double referral. This bill was heard in the Senate Agriculture Committee on April 7, 2015, and passed with a 5-0 vote. 4.Prior legislation. SB 250 (Wolk), Chapter 344, Statutes of 2013, created an Olive Oil Commission of California to engage SB 65 (Wolk) Page 3 of ? in olive oil quality and nutritional research and to recommend grades and labeling standards. SB 411 (Wolk), of 2013, would have required any olive oil produced, processed, sold or possessed in California, that indicates on its label that it is from an area that is one of the approved American Viticultural Areas (AVAs) established pursuant to federal regulations, to be made of oil derived solely from olives grown in that approved AVA, rather than the existing law requirement that at least 75 percent of the oil be derived from olives grown in the AVA. SB 411 was approved by this committee, but was later amended in the Assembly to address a different subject matter. SB 818 (Wolk), Chapter 567, Statutes of 2011, redefined California's olive labeling requirements to conform to the United States labeling standards as outlined in the U.S. Standards for Grades of Olive Oil and Olive-Pomace Oil published in the Federal Register, as specified. SB 634 (Wiggins), Chapter 694, Statutes of 2008, clarified the definition of olive oil, conformed olive oil definitions, grades, and labeling requirements to international standards, authorized the addition of vitamin E to specified olive oil, and permitted a consumer to re-use a clean olive oil container, can, or drum. SB 920 (Thompson), Chapter 543, Statutes of 1997, specified that olive oil labeled as California olive oil must be made from California olives. SB 920 also required olive oil labeled as coming from an AVA to have at least 75 percent of the oil made from olives grown in that AVA. SUPPORT AND OPPOSITION : Support: None received. Oppose: None received. -- END -- SB 65 (Wolk) Page 4 of ?