BILL ANALYSIS
AB 606
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 606 (Ma)
As Amended August 26, 2009
Majority vote
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|ASSEMBLY: |75-1 |(June 1, 2009) |SENATE: |25-13|(September 1, |
| | | | | |2009) |
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Original Committee Reference: AGRI.
SUMMARY : Creates the California Blueberry Commission (CBC) with
prescribed membership, powers, duties and responsibilities, and
requires a positive referendum vote by blueberry producers and
handlers, as specified, to activate.
The Senate amendments make technical corrections; redefine
"producers/growers" to be those producing blueberries on land
totaling five acres or more; direct the development and
promotion of good agricultural and other practices to provide
safe food production for blueberries; delete the misdemeanor
crime and add a civil penalty authorization; and, reduce from 20
% to 15 % the signatures needed to trigger a referendum.
EXISTING LAW has no statutes specifically for blueberry
production, research or marketing. Statutes do authorize over
20 different commissions for other commodities with
authorizations for promotion, advertising, education, production
or post-harvest research, quality standards, and inspections.
Not all commissions have all the same authority, and several
commissions are not operating due to a negative referendum vote
or due to termination by referendum. Additionally, there is
authority for a commodity group, through petitioning the
Secretary of the Department of Food and Agriculture (CDFA), to
create a Marketing Order and implement many of the same
authorities as a commission, under the California Marketing Act
of 1937 or the Federal Marketing Act.
AS PASSED BY THE ASSEMBLY , this bill was substantially similar
to the version passed by the Senate.
FISCAL EFFECT : According to the Senate Appropriations
Committee, this legislation authorizes an industry assessment of
AB 606
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up to $0.025 per pound in order to fund the CBC; if the maximum
assessment is levied on 50 million pounds of blueberries each
year, the CBC would receive $1.25 million in operating revenue.
COMMENTS : According to the author, blueberries became a
commercial commodity in California in 1996 and are currently
commercially produced in an estimated 12 states and several
foreign countries. Including California, today there are an
estimated 100 growers (producers) with roughly 4,000 producing
acreage and another 500 acres coming into production. Current
annual production is thought to be near 30 million pounds and is
estimated to grow to 50 million pounds as additional acreage
comes into production. It is estimated that there are 25
handlers processing and marketing this production which includes
about 8% organic product. This industry has grown rapidly in
the United States and in South America.
Due to this growth, California producers are interested in
equipping themselves with more effective marketing knowledge and
options for their product(s), thereby remaining competitive with
producers in other states and countries. They understand that
management of production costs and the product's quality is an
important element to being competitive, as well.
A commission can be an appropriate entity for accomplishing the
purposes stated by the author for this industry. Many of the
current commissions and marketing orders have been successful in
expanding markets domestically and offshore, improving handling
and storage of their commodity, thereby improving the quality of
the commodity, and providing research on pests and diseases for
improving prevention. AB 606 does provide authority for CDFA to
audit the CB on fiscal and administrative performance, if such a
need is determined.
Analysis Prepared by : Jim Collin / AGRI. / (916) 319-2084
FN: 0002343