BILL NUMBER: AB 1401	AMENDED
	BILL TEXT

	AMENDED IN SENATE  SEPTEMBER 4, 2009
	AMENDED IN SENATE  AUGUST 18, 2009
	AMENDED IN ASSEMBLY  MAY 5, 2009
	AMENDED IN ASSEMBLY  APRIL 20, 2009

INTRODUCED BY   Assembly Member Ma
   (Principal coauthor: Senator Leno)
    (   Coauthor:   Assembly Member  
Huffman   ) 

                        FEBRUARY 27, 2009

   An act to add Chapter 10.1 (commencing with Section 46100) to
Division 17 of the Food and Agricultural Code, relating to organic
foods.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1401, as amended, Ma. Transition to Organics Act.
   Existing law prohibits a food from being sold as organic unless it
meets certain criteria, and accurate and specific records are kept
detailing its production, handling, and sale.
   This bill would enact the California Transition to Organics Act of
2009. The bill would establish the Transition to Organics Fund in
the State Treasury, which would consist of moneys from federal,
industry, and citizen sources. The bill would limit the expenditure
of moneys from the fund to providing financial assistance to persons
who transition their uncertified farms to certified organic farms and
to covering administrative and operational expenses incurred in
administering the act, as specified. The fund would be administered
by the Secretary of Food and Agriculture,  as provided,  and
the secretary would be authorized to adopt regulations to carry out
the provisions of the act.  The bill would also authorize the
secretary to levy a civil penalty, as provided, upon a person who
renders or furnishes false in   formation to the secretary
under the act. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Chapter 10.1 (commencing with Section 46100) is added
to Division 17 of the Food and Agricultural Code, to read:
      CHAPTER 10.1.  TRANSITION TO ORGANICS ACT


   46100.  This chapter shall be known and may be cited as the
"California Transition to Organics Act of 2009."
   46101.  This act shall be interpreted in conjunction with the
National Organic Program (7 U.S.C. Sec. 6501 et seq.), the California
Organic Products Act of 2003 (Chapter 10 (commencing with Section
46000) of this code, and Article 7 (commencing with Section 110810)
of Chapter 5 of Part 5 of Division 104 of the Health and Safety
Code), and the regulations adopted pursuant to the National Organic
Program and the California Organic Products Act of 2003.
   46102.  For purposes of this chapter, the following definitions
apply:
   (a) "Act" means this chapter.
   (b) "Uncertified farm" means any farm, or portion of a farm, that
is not a certified organic farm, and has submitted a pesticide use
report for that farm pursuant to Section 12979, prior to January 1,
2010.
   (c) "Person" means an individual, group of individuals,
corporation, association, organization, cooperative, or other entity.

   46103.  The Transition to Organics Fund is hereby created in the
State Treasury. Transfers to the Transition to Organics Fund shall be
deposited in the State Treasury, or in a state depository bank
approved by the Treasurer. These funds shall be available upon
appropriation by the Legislature.
   46104.  The Transition to Organics Fund shall consist of moneys
deposited into the fund from federal, industry, and citizen sources.
No moneys from the General Fund shall be deposited into the
Transition to Organics Fund.
   46105.  The Transition to Organics Fund shall be administered by
the secretary. The secretary may adopt regulations as needed to carry
out the provisions of this act.
   46106.  Expenditure of funds by the secretary pursuant to this act
shall be limited to the following:
   (a) Providing financial assistance to persons who are
transitioning their farms from uncertified farms to certified organic
farms pursuant to the following procedure:
   (1) Upon obtaining organic certification on or after January 1,
2010, to sell organically produced products, for the first year of
the organic certification, a person transitioning an uncertified farm
to a certified organic farm may apply for and receive a
reimbursement of 25 percent of the costs associated with obtaining
organic certification for that farm, including inspection fees,
application fees, and annual fees.
   (2) The maximum amount of payment made for any farm transitioning
from an uncertified farm to a certified organic farm shall be two
hundred fifty dollars ($250).  The maximum total payments made to
a person per year shall be one thousand dollars ($1,000).
Reimbursement shall be made on a first-come-first-served basis, and
shall be contingent upon sufficient funds being available in the
Transition to Organics Fund.
   (b) Administrative and operational expenses incurred by the
secretary in the administration of this act  shall not exceed
10 percent of the total moneys deposited into this fund  ,
provided that sufficient moneys are available to cover these
expenses, as determined annually by the Director of Finance.
   46107.  The secretary may administer the disbursement of moneys
from the Transition to Organics Fund in coordination with the
procedures associated with the federal Organic Certification
Cost-Share program authorized under Section 6523 of Title 7 of the
United States Code.
   46108.  The secretary shall receive and accept on behalf of the
Transition to Organics Fund, any contribution of money from any
person, or any agency of this state or the United States to the
Transition to Organics Fund, and shall deposit those contributions in
the Transition to Organics Fund. 
   46109.  Persons seeking moneys from the Transition to Organics
Fund shall be solely responsible for the accuracy and truthfulness of
the information provided in the application for assistance,
including, but not limited to, description of the qualifying
property, prior land use, and certification costs. A civil penalty
may be levied by the secretary, utilizing the provisions and
procedures described in Section 46017, upon a person who renders or
furnishes false information to the secretary under this act. 
    46109.   46110.   The secretary shall
keep records of the contributions to, and disbursements from, the
Transition to Organics Fund. These records shall be publicly
available upon request. These records shall be made available
annually to the California Organic Products Advisory Committee
established pursuant to Section 46003.
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