BILL ANALYSIS
AB 2695
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 2695 (Hernandez)
As Amended August 9, 2010
Majority vote
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|ASSEMBLY: |58-18|(June 1, 2010) |SENATE: |23-8 |(August 12, |
| | | | | |2010) |
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Original Committee Reference: AGRI.
SUMMARY : Creates, subject to approval by an industry
referendum, the 16-member California Nursery Producers
Commission (CNPC) within the Department of Food and Agriculture
(CDFA) to serve the marketing and research interests of the
nursery industry in the state.
The Senate amendments :
1)Lower, from $5 million to $2.5 million, the amount of gross
dollar value of nursery products produced in the definition of
producer.
2)Disallow the CNPC from changing the dollar amount in the
definition of producer.
3)Disallow the CNPC from changing the assessment rate by a vote
of CNCP.
4)Add definitions for three district's geographical boundaries
and the number of nursery producers from each district who may
be elected to CNPC.
5)Allow an assessment rate that is different for various classes
of nursery trade, but not exceeding the maximum assessment
rate of $0.006 per dollar of gross sales.
6)Make technical and clarifying changes.
EXISTING LAW authorizes various marketing and promotion
commissions (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
AB 2695
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standards and inspections. Commissions cover a variety of
commodities (Food and Agriculture Code Sections 64001-79304)
AS PASSED BY THE ASSEMBLY, this bill was substantially similar
to the version approved by the Senate.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, this bill would cost CDFA $25,000 to $30,000 per
year, paid for by CNPC.
COMMENTS : According to the author, California nurseries face
numerous regulatory, research and marketing issues in
California. The industry sees a need for a unified voice to
educate the public and regulatory entities about the role
California's nursery industry plays in a variety of areas,
including water use, reuse and conservation, pest exclusion,
economic development, land use and trade. A commission will
bring together this diverse industry under a common entity to
assist in accomplishing its goals. According to the sponsor,
there are roughly 600 producers in California, as defined by
this bill.
According to CDFA, the purpose of marketing programs is to
provide agricultural producers and handlers an organizational
structure, operating under government sanction, which allows
them to solve production and marketing problems collectively
that they could not address individually. Current marketing
programs' activities include commodity promotion, research, and
maintenance of quality standards. Commissions provide a
structure for solving problems and also provide a vehicle for
collecting funds to support activities.
Analysis Prepared by : Victor Francovich / AGRI. / (916)
319-2084
FN:
0005852