BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   AB 702|
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                                 THIRD READING


          Bill No:  AB 702
          Author:   Salas (D)
          Amended:  8/9/10 in Senate 
          Vote:     27 - Urgency

           
           ALL PRIOR VOTES NOT RELEVANT
           
           SENATE TRANSPORTATION & HOUSING COMMITTEE  :  8-0, 6/29/10
          AYES:  Lowenthal, Huff, DeSaulnier, Harman, Kehoe, Pavley,  
            Simitian, Wolk
          NO VOTE RECORDED:  Ashburn


           SUBJECT  :    Farmworker housing

           SOURCE  :     California Coalition for Rural Housing


           DIGEST  :    This bill expands the universe of who may reside  
          in farmworker housing to include any person who works on or  
          off the farm in processing of any agricultural commodity  
          until it is shipped for distribution.

           Senate Floor Amendments  of 8/9/10 add an urgency clause.

           ANALYSIS  :     Under current law, the Department of Housing  
          and Community Development administers the Joe Serna Jr.,  
          Farmworker Housing Grant Program (FWHG), which funds the  
          development of ownership or rental homes for agricultural  
          employees and their families through grants to local  
          governments and non-profit organizations.

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          The statute defines "agricultural employees" as persons  
          engaged in agriculture as well as persons who work at a  
          packing shed for a labor contractor or other entity that  
          contract with an agricultural employer in order to perform  
          services in connection with handling, drying, packing, or  
          storing any agricultural commodity in its raw or natural  
          state.

          This bill, for purposes of the FWHG Program, expands the  
          definition of "agricultural employees" to include any  
          person who works on or off the farm in processing of any  
          agricultural commodity until it is shipped for  
          distribution.

           Background
           
          According to the California Coalition for Rural Housing,  
          the sponsor of this bill, in 2008 Congress, for purposes of  
          federal housing programs, expanded the definition of  
          domestic farm labor to include workers engaged not only in  
          the handling of agricultural commodities in the unprocessed  
          stage but also in the "processing of agricultural or  
          aquacultural commodities."  Moreover, the federal  
          legislation clarified that farm labor may be performed off  
          the farm, not just on the farm.  This bill more closely  
          conforms the state's definition of agricultural employee to  
          the analogous federal definition, which will:

          1. Allow operators of farmworker housing to rent out units  
             financed with both federal and state funding using one  
             set of eligibility rules rather than two.
           
          2. Increase the financial viability of state-financed  
             farmworker housing by expanding the eligible population  
             that may rent such units.  

          3. Eliminate confusion and instability among agricultural  
             workers who perform more than one kind of agricultural  
             activity (e.g., field work and processing). 

          4. Provide a stable and well-housed workforce for local  
             employers engaged in the cultivation, handling, drying,  
             packing, processing, or storing of agricultural  
             products.     







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           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

           SUPPORT  :   (Verified  8/2/10)

          California Coalition for Rural Housing (source)
          California Rural Legal Assistance


          JJA:do  8/10/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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