BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 746|
|Office of Senate Floor Analyses | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
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UNFINISHED BUSINESS
Bill No: SB 746
Author: Wolk (D), et al.
Amended: 6/6/16
Vote: 21
PRIOR VOTES NOT RELEVANT
SENATE AGRICULTURE COMMITTEE: 5-0, 8/17/16 (Pursuant to Senate
Rule 29.10)
AYES: Galgiani, Cannella, Berryhill, Pan, Wolk
ASSEMBLY FLOOR: 78-0, 8/11/16 (Consent) - See last page for
vote
SUBJECT: Olive Oil Commission of California: voting members:
chair of advisory committee
SOURCE: Olive Oil Commission of California
DIGEST: This bill changes the chair of the advisory committee
from an ex-officio member to a voting member on the Olive Oil
Commission of California Board of Directors. This bill also
requires the chair of the advisory committee to designate an
alternate to serve in the chair's absence.
Assembly Amendments delete the Senate version of this bill
relating to food safety and instead add the current language.
ANALYSIS:
Existing law:
SB 746
Page 2
1)Establishes the Olive Oil Commission of California (OOCC) to
engage in olive oil research and to recommend grades and
labeling standards. The OOCC is comprised of six producers,
three handlers, a public member, and ex-officio members which
include the chair of the OOCC Advisory Committee, the
secretary of CDFA, and other appropriate persons as determined
by the OOCC Board of Directors.
2)Establishes the OOCC Advisory Committee to review issues
affecting California olive oil and to advise the OOCC Board of
Directors.
3)Prescribes OOCC membership, board of directors, powers and
duties, implementing and voting procedures, assessments and
recordkeeping, penalties, continuation or termination of the
commission, and creation of quality standards.
4)Authorizes the OOCC to levy an annual assessment, not to
exceed $0.25 per gallon of olive oil, on producers processing
more than 5,000 gallons in one marketing season, as defined.
This bill:
1)Changes the chair of the OOCC Advisory Committee from an
ex-officio member to a full voting member of the OOCC Board of
Directors.
2)Requires the chair of the OOCC Advisory Committee to designate
an alternate member to serve as Chair in the chair's absence.
Background
The OOCC was created in 2013 to engage in olive oil research and
to recommend grading and labeling standards to the California
Department of Food and Agriculture (CDFA). After a successful
producer referendum, the OOCC developed California olive oil
grading and labeling standards that would apply only to
California producers processing over 5,000 gallons of olive oil,
refined-olive oil, or olive-pomace oil, per year. CDFA approved
these recommendations, and they became effective on September
26, 2014.
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The OOCC Advisory Committee was created to provide an
opportunity for smaller olive oil producers (processing less
than 5,000 gallons a year and, therefore, not eligible to
participate as "producers" within the OOCC) to advise the OOCC
on issues affecting California olive oil.
California produces 99% of the olives grown within the United
States. According to the California Olive Oil Council, there
are over 400 growers and approximately 38,000 acres dedicated to
the production of extra virgin olive oil. With over 75 olive
varieties grown in California, it is estimated that the 2015-16
harvest produced over 4 million gallons of extra virgin olive
oil.
Comments
Need for this bill. This bill ratifies the action taken by the
OOCC board on September 9, 2015. At this meeting, board member
participation was discussed, and it was suggested that the
advisory committee chair be made a voting member of the OOCC so
that small producers effectively will be stakeholders in OOCC
activities. The board unanimously approved a motion to begin
the process to have "ex-officio" removed from law.
Commissions and Councils. There are approximately 16 active
commissions and councils, all of which are governed by boards of
directors and overseen by the CDFA. These entities were created
to enhance their industries by investing in promotion,
advertising, education, marketing research, scientific research,
and/or the creation and regulation of quality standards.
Generally, commissions and councils are initiated by the
industry and go into effect following an affirmative industry
referendum vote and, at times, a periodic vote to reaffirm their
existence. Once in effect, every member of the industry, as
specified, is required to follow all laws and regulations
including, but not limited to, the payment of assessment fees.
Unlike marketing orders and marketing agreements, commissions
and councils are created through commodity-specific legislation.
Generally, councils are advisory to CDFA and all actions are
subject to CDFA approval. Commissions have greater autonomy and
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do not serve an advisory purpose; however, CDFA must concur with
their annual budget and activities statement, and CDFA has the
authority to issue cease and desist orders for commission
actions that CDFA deems to not be in the public interest.
FISCAL EFFECT: Appropriation: No Fiscal
Com.:YesLocal: No
According to the Assembly Appropriations Committee, negligible
fiscal impact.
SUPPORT: (Verified8/17/16)
Olive Oil Commission of California (source)
California Olive Oil Council
Cal Athena
California Olive Ranch
Dickson Napa Ranch
Lodi Farming, Inc.
Olio Nuevo
The Groves on 41
Santa Cruz Olive Tree Nursery
Yocha Dehe Wintun Nation
OPPOSITION: (Verified8/17/16)
None received
ARGUMENTS IN SUPPORT: According to the author, "The Olive Oil
Commission of California desire[s] to include representation
from the small and artisan olive oil producers, as well as large
olive oil producers, [and] will promote unity and strength of
the California industry as it continues to grow and produce high
quality extra virgin olive oil."
According to those in support, this bill is part of an ongoing
effort by the OOCC to give small and artisan producers full
participation in policymaking and activities of the commission.
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Although the OOCC is made up only of larger producers, the
decisions of the commission affect the entire industry;
therefore, it is fair that smaller producers be represented.
ASSEMBLY FLOOR: 78-0, 8/11/16
AYES: Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker,
Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke,
Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley,
Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth
Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto,
Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper,
Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine,
Linder, Lopez, Maienschein, Mathis, Mayes, McCarty, Medina,
Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen,
Patterson, Quirk, Ridley-Thomas, Rodriguez, Salas, Santiago,
Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber,
Wilk, Williams, Wood, Rendon
NO VOTE RECORDED: Roger Hernández, Low
Prepared by:Anne Megaro / AGRI. / (916) 651-1508
8/17/16 15:42:39
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