BILL ANALYSIS
AB 281
Page 1
Date of Hearing: May 13, 2009
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Kevin De Leon, Chair
AB 281 (De Leon) - As Amended: May 4, 2009
Policy Committee: AgricultureVote:8
- 0
Urgency: No State Mandated Local Program:
Yes Reimbursable: No
SUMMARY
This bill creates the California Citrus Disease Prevention
Committee (CDPC) within the California Department of Food and
Agriculture (CDFA). Specifically, this bill:
1)Requires the secretary of the California Department of Food
and Agriculture (CDFA), within 30 days of the effective date
of this legislation, to appoint the initial members of the
committee.
2)Provides that the CDPC shall be composed of 14 producer
representatives, two nursery operators, one public member, and
various ex officio members, as appropriate.
3)Authorizes an additional industry assessment in the first
marketing season of up to one cent per carton (40 pounds) for
citrus handled, to be paid by producers. Thereafter, the
assessment will be a maximum of seven cents per carton.
4)Requires the funds collected through the assessment to be used
to purchase equipment for detecting, controlling, and testing
for citrus diseases, to cover any costs of the committee,
including workload costs associated with CDFA administering
the committee.
5)Requires the funds to be deposited in the Department of Food
and Agriculture Fund or in the Agriculture Trust Fund.
FISCAL EFFECT
AB 281
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The maximum assessment for the first marketing season will
generate approximately $1.6 million in revenue for the CDPC
based on a $0.01 per carton assessment for the first growing
season. Annually thereafter, the CDPC's operating revenue will
be approximately $11 million, based on a $0.07 per carton
maximum assessment.
COMMENTS
1)Purpose . According to the author, the $1.5 billion California
citrus industry is under threat from several destructive
citrus diseases, including Citrus Canker and Huanglongbing
(HLB). To date there are no known controls for these diseases
other than removing and destroying infected groves. After a
2005 discovery in Florida, it took only two years for HLB to
transmit to all 32 Florida citrus producing counties.
In September and October 2008, CDFA placed a quarantine on
southern San Diego County and southern Imperial County for the
Asian citrus psyllid, a known carrier of HLB. CDFA noted that
HLB has not been detected in California. However, the
quarantine highlights the threat facing the California citrus
industry.
2)California Citrus Industry . California's citrus industry ranks
second in the United States after Florida. California's total
citrus production averaged 3.2 million tons per season over
the past three seasons, about 24 % of the total. Oranges, on
average, accounted for 66% of the state's citrus crop, lemons
25%, grapefruits 6%, and tangerines/clementines 3%. While
California produces 24% of the nation's oranges, its crop
accounts for approximately 80% of those going to the
fresh-market.
3)California Citrus Advisory Committee . In 2005, the California
Citrus Industry sponsored legislation establishing a continued
inspection program pertaining to the standards for orange
maturity and citrus freeze damage. The legislation also allows
funding for the Department to provide the citrus industry with
a state crop estimating service and an acreage survey. The
citrus commodities that are affected by this legislation are
Navel oranges, Valencia oranges, lemons, and mandarin citrus
varieties. The new legislation amends the legislation
developed in 1994 that established the original program. (The
Navel and Valencia Program).
AB 281
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The purpose of this program is to protect the industry and the
general public from substandard product and to insure that the
established minimum maturity and quality standards are met, as
well as to provide the industry with current and accurate data
regarding the states citrus acreage and citrus crop
information.
The California Citrus Advisory Committee's purpose is to
oversee the implementation of the inspection program and
oversee crop and acreage survey work preformed through CASS
(California Agricultural Statistics Service). This committee
also makes recommendations to the Secretary on matters
pertaining to their industry. The committee is comprised of 12
voting members who are handlers and producers of citrus in
California.
Legislation specifies inspection programs are to be conducted
in nine counties by county agricultural commissioners. The
nine counties are: Fresno, Kern, Madera, Orange, Riverside,
San Bernardino, Santa Clara, Tulare, and Ventura.
Funding for this program is based on a fee (between $0.005 and
$0.011) assessed to every shipped carton of oranges, mandarin
citrus varieties and lemons. The assessments collected are
used to cover county agricultural commissioners' costs for the
inspection program, maintain a reserve to be used in the event
of a freeze and provide funding for CASS to perform acreage
and crop surveys.
4)Related Legislation . AB 443 (Galgiani) strengthens CDFA's
ability to identify pests and diseases that threaten the apple
industry, and establishes penalties for unlawful handling of
apples and failure to provide required records and reports.
This bill is currently on this committee's suspense file.
In this session, SB 140 (Corbett) directs CDFA to implement a
Citrus Nursery Stock Pest Cleanliness program, with the
purpose of protecting the California Citrus Nursery Stock
industry from pests and disease. That bill is currently
pending in the Senate Appropriations Committee.
In 2008, SB 1466 (Corbett) would have required CDFA to
establish by January 1, 2010, a Citrus Nursery Stock Pest
Cleanliness Program. That bill was held on this committee's
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suspense fill. It was removed from this committee pursuant to
the suspension of Assembly Rule 96. It subsequently died on
the Assembly's third reading file.
Analysis Prepared by : Julie Salley-Gray / APPR. / (916)
319-2081