BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2720
                                                                  Page  1

           REPLACE - 08/26/2010 Changes per consultant.
           
          CONCURRENCE IN SENATE AMENDMENTS
          AB 2720 (John A. Perez and Bass)
          As Amended  August 20, 2010
          Majority vote
           
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          |ASSEMBLY:  |53-22|(June 2, 2010)  |SENATE: |21-11|(August 25,    |
          |           |     |                |        |     |2010)          |
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           Original Committee Reference:   AGRI. 

          SUMMARY  :  Creates the California Healthy Food Financing  
          Initiative (CHFFI) and fund for the purpose of expanding access  
          to healthy foods in underserved communities by leveraging  
          non-state funding options.  Requires, by July 1, 2011, the  
          California Department of Food and Agriculture (CDFA), in  
          consultation with the State Department of Public Health (DPH)  
          and State Department of Social Services (DSS), to prepare  
          recommended actions to be taken to promote food access within  
          California and permits CDFA to coordinate efforts to implement  
          the federal Healthy Food Financing Initiative (HFFI) and  
          maximize its funding.  This authority remains in effect until  
          January 1, 2014.

           The Senate amendments  name the program CHFFI and create its  
          fund; delete the extension of the Healthy Food Purchase pilot  
          program's extension to January 1, 2015; limit implementation of  
          the program to the extent federal funds are available; make  
          funds available upon appropriation of the Legislature; and,  
          reduce authority's sunset by one year to January 1, 2014.

           AS PASSED BY THE ASSEMBLY  , this bill was substantially similar  
          to the version approved by the Senate.

           FISCAL EFFECT  :  This bill's implementation is contingent upon  
          receipt of federal funds.  There is no General Fund cost to  
          create the CHFFI Fund; potential minor costs, to CDFA for  
          consulting with DPH and DSS, and to respond if Legislature  
          request recommendations.  

           COMMENTS  :  There has been an increasing problem within urban and  
          rural communities in California, and nation-wide, to maintain  








                                                                  AB 2720
                                                                  Page  2

          the access to grocery stores and the availability of fresh  
          produce, creating what is called "food deserts."  To this end,  
          the Obama Administration announced an effort to develop HFFI,  
          funded with over $400 million, which will help bring grocery  
          stores and other healthy food retailers to underserved urban and  
          rural communities across the nation.  HFFI will promote a range  
          of interventions that expand access to nutritious foods,  
          including developing and equipping grocery stores and other  
          small businesses and retailers selling healthy food in  
          communities that currently lack these options.

          AB 2720 creates the CHFFI program and permits CDFA to coordinate  
          the effort to develop a program, and provides a head start for  
          obtaining federal HFFI funds, thereby providing nutritious foods  
          to underserved areas and eliminating food deserts within  
          California.


           Analysis Prepared by  :    Jim Collin / AGRI. / (916) 319-2084 

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