BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 945
                                                                  Page  1

          Date of Hearing:   April 29, 2009

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Kevin De Leon, Chair

           AB 945 (Committee on Agriculture) - As Amended:  April 13, 2009  


          Policy Committee:                              AgricultureVote:8  
          - 0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill deletes an exemption from provisions of law relating  
          to the drugging of horses at shows, competitions, or sales, and  
          extends the sunset date for fruit and vegetable standardization.  
          Specifically, this bill: 

          1)Eliminates the Secretary of Food and Agriculture's authority  
            to exempt certain horse shows, competitions, or sales from  
            prohibitions against the drugging of horses, if a  
            certification is requested in writing, a public hearing is  
            held with a 30-day written notice, and other provisions are  
            met.

          2)Extends the sunset date from January 1, 2010, to January 1,  
            2015, for the California Department of Food and Agriculture's  
            (CDFA) authority to create standardization programs for  
            fruits, nuts and vegetables using industry funds. 

           FISCAL EFFECT  

          1)There are no costs associated with the changes to the Equine  
            Medication Monitoring Program (EMMP).

          2)The standardization programs cost $1.9 million per year and  
            are fully funded using industry assessments.  Extending the  
            sunset date would continue those costs and assessments on the  
            fruits, nuts, and vegetable industries.

           COMMENTS  









                                                                  AB 945
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           1)Purpose  . The EMMP Advisory Committee is made up of various  
            appointed members whose organizations or events are affected  
            by this program. At their October 16, 2008 annual meeting,  
            they proposed elimination of this alternative certification  
            program because they found it to be unnecessary.  

            The purpose of the state's standardization programs is to  
            remove from the channels of trade fruits, nuts, and vegetables  
            not complying to minimum standards for quality, size,  
            maturity, consistency in packaging, labeling and packing.   
            This protects the consumers from having products that are not  
            mature in the marketplace or that could have animal or packing  
            damage causing the product to prematurely rot or spoil.  This  
            is funded by a container fee assessed per container and  
            established by CDFA through regulation.

           2)The Equine Medication Monitoring Program  .  The EMMP was  
            established in 1971, under the jurisdiction of the California  
            Department of Food and Agriculture.  The purpose of the  
            program was to prevent the abuse of medications in show and  
            sale horses. Each year, approximately 1,800 events register  
            with the EMMP drug testing program. Blood and urine samples  
            taken at events are submitted for chemical analysis to the  
            Kenneth L. Maddy Equine Analytical Chemistry Laboratory at  
            U.C. Davis. Horses are randomly selected for drug sampling  
            with the emphasis placed on class winners at shows. 

            The EMMP is overseen by an advisory committee made up of 19  
            members representing the horse show industry, academia,  
            veterinary professionals, and one public member. All of the  
            members of the advisory committee are appointed by the  
            Secretary of the California Department of Food and  
            Agriculture. 

            Funding for the program comes from a $5 per event fee charged  
            to the owner of every horse entered in a horse show in the  
            state. In the prior year, $817,905 was collected to fund the  
            EMMP.

           3)Fruit and Vegetable Standardization Programs  . In 1915, the  
            Legislature established minimum standards for all fresh  
            fruits, nuts and vegetables, marking the beginning of  
            standardization. Standardization came at the behest of the  
            fresh fruit and vegetable industry to protect consumers and  
            industry from substandard products. Under the Standardization  








                                                                  AB 945
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            program today, over 30 major commodities must meet specific  
            standards, while all other commodities must meet at least  
            minimum standards established by the Food and Agriculture  
            Code. 

            The goals of standardization are to remove from the channels  
            of trade, fruits, vegetables and honey not complying with  
            minimum standards, to assure consumers that they are  
            purchasing commodities at a level of acceptable quality, and  
            to protect and promote the fruit, nut, vegetable and honey  
            industries of California. 

            In 1992, an advisory committee was established to provide  
            recommendations and advice to CDFA on all matters pertaining  
            to standardization. The Committee is comprised of 13 voting  
            members who have a financial interest in a commodity  
            represented.  Prior to 1992, the standardization program was  
            entirely funded by the state General Fund. Today, the program  
            is funded entirely by industry. Funding is derived from a set  
            container fee assessment. 

            Standardization laws establish minimum standards for maturity,  
            quality, size, standard container and pack, and container  
            markings. County agricultural commissioners and their staff  
            enforce standards at the local level. Inspections take place  
            in fields and packinghouses, at wholesale markets and retail  
            distribution centers, retail outlets, and highway inspection  
            stations. 


           Analysis Prepared by  :    Julie Salley-Gray / APPR. / (916)  
          319-2081