BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1960
                                                                  Page  1

          Date of Hearing:   April 21, 2010

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                  AB 1960 (Ma) - As Introduced:  February 17, 2010 

          Policy Committee:                              AgricultureVote:8  
          - 0 

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill requires that every state agency purchase California  
          Grown fruit, nuts and vegetables whenever possible if the  
          quality is comparable to other produce and the price is equal to  
          or less than the imported alternative.

           FISCAL EFFECT  

          Given all of the state agencies that purchase food, including  
          the California Department of Corrections and Rehabilitation,  
          University of California, California State Universities and  
          various state hospitals, workload costs associated with  
          monitoring the purchase of food, finding vendors that provide  
          local produce, and ensuring that the quality is comparable to  
          imported produce and equal to or less than the cost of imported  
          produce would likely cost in excess of $3 million per year. 

           COMMENTS  

           1)Purpose  . The author notes that California farmers compete with  
            farmers in other states and countries to provide fresh produce  
            paid for by state and federal funds.  According to the author,  
            giving California grown produce a preference in state  
            purchasing will help California farmers stay in business,  
            helping to ensure Californians have access to fresh and  
            healthy foods, while reducing green house gasses associated  
            with the transportation of agricultural products into  
            California.

            Supporters of this bill state that California farmers are  
            faced with a competitive disadvantage due to subsidized  








                                                                  AB 1960
                                                                  Page  2

            imported produce and regulations that are more restrictive  
            than other states' and countries' regulations.  Supporters  
            believe this bill will help with the competitive disadvantages  
            farmers contend with and reinvest tax dollars back into the  
            state's economy.

           2)CSU Experience  . Because of the volume of produce purchased by  
            the CSU system, they work with several large food service  
            establishments across the state. A cursory review of the  
            produce purchased by CSU shows that most of the produce  
            purchased by the university is not only from out of state, but  
            also outside of the country.  California grown produce tends  
            to be limited to lettuce, broccoli, and oranges. Given the  
            amount of produce purchased, the workload associated with  
            implementing the provisions of this bill within the CSU system  
            alone would be significant. 

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