BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 1912|
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                                 THIRD READING


          Bill No:  AB 1912
          Author:   Evans (D), et al
          Amended:  8/2/10 in Senate
          Vote:     21

           
           SENATE FOOD AND AGRICULTURE COMMITTEE  :  4-1, 6/15/10
          AYES:  Florez, Emmerson, Hancock, Wolk
          NOES:  Hollingsworth

           SENATE APPROPRIATIONS COMMITTEE  :  9-1, 6/28/10
          AYES:  Kehoe, Cox, Alquist, Corbett, Denham, Leno, Price,  
            Wolk, Yee
          NOES:  Walters
          NO VOTE RECORDED:  Wyland

           ASSEMBLY FLOOR  :  61-15, 6/1/10 - See last page for vote



           SUBJECT  :    California Apiary Research Commission

           SOURCE  :     California Beekeeper Association


           DIGEST  :    This bill creates the California Apriary  
          Research Commission (Commission) in state government with a  
          prescribed membership, and specifies the powers, duties,  
          and responsibilities of the Commission.  This bill  
          authorizes the Commission to conduct research and education  
          programs relating to honeybees, and the beekeeping  
          industry.  This bill authorizes the Commission to levy an  
          assessment, on bee producers, and authorizes the  
                                                           CONTINUED





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          expenditure of those funds for purposes of implementing and  
          administering the bill's provisions.  

           Senate Floor Amendments  of 8/2/10 attempt to ensure that  
          all beekeepers are included in the implementation of the  
          Commission by requiring the Department of Food and  
          Agriculture (DFA) to provide public notice of its  
          registration of beekeepers for the implementation vote for  
          the Commission.  The amendments eliminate the Commission's  
          option whether to collect assessments from small  
          beekeepers.  The DFA established list of eligible  
          beekeepers, includes the number of hives each beekeeper  
          owns which address the economic concerns of seeking unpaid  
          assessments from small beekeepers.  Further, the amendments  
          change the penalties from a misdemeanor to a civil penalty  
          which is consistent with the recently authorized Blueberry  
          Commission.

           ANALYSIS  :    Existing law authorizes various marketing and  
          promotion commissions to promote the production and  
          marketing of California agricultural commodities.   
          Commissions have a variety of powers covering promotion,  
          advertising, education, production or post-harvest  
          research, and quality standards and inspections.   
          Commissions cover a variety of commodities.  

          This bill:

          1. Creates the California Apiary Research Commission  
             (CARC), in state government.

          2. Provides declarations and general provisions for CARC,  
             including stating that CARC is necessary for efficient  
             management and creation of research programs relating to  
             honeybee health, pest and disease management, colony  
             management practices, and education programs.

          3. Provides definitions, including defining a producer as  
             an individual beekeeper or business that owns and/or  
             operates more than 50 bee colonies in California, and  
             defining an out-of-state beekeeper as a producer whose  
             principal residence is in an area outside of California,  
             and defines four CARC districts as follows:








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             A.    District 1 consists of the counties of Marin,  
                Sonoma, Napa, Solano, Sacramento, El Dorado, and  
                all counties north of these counties.

             B.    District 2 consists of the Counties of San Luis  
                Obispo, Kern, Inyo and all counties north of these  
                counties up to the southern boundary of District 1.

             C.    District 3 consists of all counties south of  
                District 2.

             D.    District 4 consists of all areas not in  
                California.

          4. Establishes CARC, composed of six producers, one public  
             member, and ex officio members.  Each district shall  
             have at least one producer member whose principal  
             residence is in that district. The public member is to  
             be appointed by the Secretary of DFA from nominees  
             recommended by CARC.

          5. Provides that the secretary and other appropriate  
             members, as determined by CARC, shall be ex officio  
             members.

          6. Permits the secretary to correct or cease the activities  
             or functions of CARC when it is determined they are not  
             in the public interest or are in violation of this  
             chapter, by specified procedures.

          7. Requires CARC to reimburse the secretary for all  
             expenditures incurred in carrying out this chapter.

          8. Provides that each member, except for ex officio  
             members, shall have an alternate elected in the same  
             fashion as the member.  Vacancies are to be filled by  
             appointment for the unexpired portion of the term of  
             office, by a majority vote of CARC board.  

          9. Designates a quorum as a majority of CARC board members,  
             while a majority vote of members present at a meeting at  
             which a quorum is present constitutes an act of CARC. 

          10.Requires the secretary, on decisions needing  







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             concurrence, to respond within 15 working days of  
             notification.

          11.Requires that all proceeds from assessments be deposited  
             in designated banks and that disbursements ordered by  
             CARC be by designated agents of CARC.

          12.Establishes that the state is not liable for acts of  
             CARC or its agents, and that no CARC member, alternate  
             member, or employees of CARC shall be personally liable  
             or individually responsible for errors, omissions, or  
             acts of CARC, except for their own individual acts of  
             dishonesty or crime.

          13.Establishes CARC's duties and powers to include, but not  
             be limited to, the following:

             A.    Adopt, alter, rescind, modify and amend bylaws,  
                rules, regulations and orders to carryout this  
                chapter, including rules for appeals.

             B.    Administer, enforce, and perform all acts and  
                exercise all powers incidental to the purpose of  
                this chapter.

             C.    Appoint officers with powers and duties  
                delegated to them by CARC.

             D.    Hire personnel to manage and carry out the  
                functions of CARC, including compensation.

             E.    Appoint committees of CARC members and  
                non-members to advise CARC.

             F.    Establish offices; enter into contracts and  
                agreements, create liabilities, borrow funds; and  
                keep accurate books, records, and accounts subject  
                to annual audits, which are to be part of the  
                annual report and be submitted to the legislature.

             G.    Further, permit the secretary to conduct a  
                fiscal and compliance audit when determined to be  
                necessary.








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             H.    Authorize, in regard to  matters affecting the  
                health and welfare of honey bees and the beekeeping  
                industry, the education and instruction of  
                beekeepers and the public; market surveys;  
                negotiations with state, federal, and foreign  
                agencies; scientific research; acceptance of  
                private, state, and federal funds for such.

             I.    Establish an assessment to defray operating  
                costs and an annual budget, concurred in by the  
                secretary, plus an annual statement of contemplated  
                activities.

          14.Requires within 30 days after the effective date of the  
             bill, the secretary shall issue a public notice that DFA  
             is preparing a list of beekeepers who are eligible to  
             vote on the implementation of this bill.  The notice  
             shall indicate that beekeepers eligible to vote in the  
             implementation referendum must register with DFA.  The  
             notice shall be placed in appropriate publications and  
             shall include instructions on how to register.

          15.Requires the secretary, within 180 days of the effective  
             date of this bill, to establish a list of local and  
             out-of-state producers eligible for a referendum vote,  
             but the bill is not operative except for the referendum  
             vote.  For the referendum to pass, it must meet the  
             following criteria:

             A.    At least 30 percent of the total number of  
                producers from the list must participate in the  
                vote and either of the following must occur:

                (1)                                                  
                      65 percent of the producers who voted in the  
                   referendum voted in favor of this chapter, and  
                   the producers so voting owned or operated a  
                   majority of the total quantity of colonies  
                   maintained in the preceding marketing season by  
                   all of the producers voting in the referendum.

                (2)                                                  
                      A majority of the producers who voted in the  
                   referendum voted in favor of this chapter, and  







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                   the producers so voting owned or operated 65  
                   percent or more of the total quantity of  
                   colonies maintained in the preceding marketing  
                   season by all of the producers voting in the  
                   referendum.

          16.Provides that, prior to the referendum, the proponents  
             of the referendum shall deposit with the secretary funds  
             to cover the cost of the referendum. 

          17.Requires CARC to establish an assessment for the  
             following marketing season no later than March 1 of each  
             year for all producers of 50 colonies or more.   The  
             annual assessment may not be greater than one dollar per  
             colony.  Establishes procedures for collection, payment,  
             tracking and reporting, including penalties of 10  
             percent for failure to pay with an interest rate of 1.5  
             percent per month on unpaid balances.

          18.Requires every producer, including beekeepers exempt  
             from the payment of the assessment, to keep records of  
             their total number of colonies used for commercial use.   
             Requires the records to be kept for five years and made  
             available to CARC upon written demand.  Proprietary  
             information collected shall be confidential and not made  
             public unless under court order.  Provides that  
             information required for reports to governments,  
             financial reports to CARC, or aggregate sales and  
             inventory information, if stripped of an individual's  
             information, may be disclosed by CARC.

          19.Allows a civil penalty not to exceed $1000 upon to be  
             levied by the Commissioner upon a person who willfully  
             does buy of the following:

             A.    Renders or furnishes a false report, statement, or  
                record required by CARC.

             B.    Fails to render or furnish a report, statement, or  
                record required by CARC.

             C.    Conducts oneself in any way to affect the shipment  
                of pollination units, bees, honey, or hive products  
                in order to avoid payment of assessments. 







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             D.    Secreting, destroying, or altering records  
                required to be kept under the bill.

          20.Authorizes CARC to commence civil action for collection  
             of assessments, and civil penalties and for obtaining  
             injunctive relief or specific performance.

          21.Provides methods for continuation or suspension or  
             termination of CARC, including requiring the secretary,  
             after five years of implementation and every five years  
             thereafter, between January and December, to hold a  
             hearing to determine whether it should continue, which  
             may prompt another referendum, or CARC, with a 2/3-vote  
             of the board, may recommend suspension of CARC to the  
             secretary.

          22.Makes a legislative declaration that information  
             required to be submitted to CARC that is personal or  
             sensitive business information is protected as  
             confidential information.

           Comments
           
          This bill addresses the need for organized research to  
          protect honeybee health with the creation of the California  
          Apiary Research Commission.  Honeybees are critical to  
          California agriculture and the entire United States,  
          pollinating approximately $6 billion in California  
          specialty crops.  Recent years have proven challenging for  
          the honeybee industry, battling pests and diseases such as  
          the damaging Varroa mite and Colony Collapse Disorder.   
          Within the past three years alone Colony Collapse Disorder  
          has reduced the nation's honeybee population by 25 percent.  
           The loss of a quarter of the national bee population puts  
          stress on other agricultural sectors that rely on healthy  
          bee populations for pollination of their crops.  This bill  
          provides the needed tools for California's bee industry to  
          find solutions to today's and tomorrow's threats to  
          honeybees and ensure a healthy beekeeping industry.

           FISCAL EFFECT  :    Appropriation:  Yes   Fiscal Com.:  Yes    
          Local:  Yes








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                          Fiscal Impact (in thousands)

           Major Provisions                     2010-11     2011-12     
           2012-13          Fund
           New research commission
            - administration                 Up to $40$20 to $30  
          ongoing      Special*

            - revenues                  Up to ($500 to $2,000**)  
          annually  Special*                 likely the lower amount  
          initially

          *Industry assessment deposited in the Department of Food  
          and Agriculture Fund
          **Based on $1.00 per colony and two million colonies  
          operating in the state annually

           SUPPORT  :   (Verified  8/3/10)

          California Beekeeper Association (source)


           ASSEMBLY FLOOR  : 
          AYES: Ammiano, Arambula, Bass, Beall, Bill Berryhill,  
            Block, Blumenfield, Bradford, Brownley, Buchanan,  
            Caballero, Charles Calderon, Carter, Chesbro, Conway,  
            Cook, Coto, Davis, De La Torre, De Leon, Emmerson, Eng,  
            Evans, Feuer, Fong, Fuentes, Fuller, Furutani, Galgiani,  
            Garrick, Gilmore, Hall, Hayashi, Hernandez, Hill, Huber,  
            Huffman, Jones, Lieu, Bonnie Lowenthal, Ma, Mendoza,  
            Monning, Nava, Nielsen, V. Manuel Perez, Portantino,  
            Ruskin, Salas, Saldana, Skinner, Smyth, Solorio, Swanson,  
            Torlakson, Torres, Torrico, Tran, Villines, Yamada, John  
            A. Perez
          NOES: Adams, Anderson, Blakeslee, DeVore, Fletcher, Gaines,  
            Hagman, Harkey, Jeffries, Knight, Logue, Miller,  
            Nestande, Niello, Norby
          NO VOTE RECORDED: Tom Berryhill, Silva, Audra Strickland,  
            Vacancy


          TSM:DLW:do  8/10/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE







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