BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1269
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          SENATE THIRD READING
          SB 1269 (Oropeza)
          As Amended May 13, 2010
          Majority vote 

           SENATE VOTE  :23-6  
           
           JUDICIARY           7-3         APPROPRIATIONS      12-5        
           
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          |Ayes:|Feuer, Brownley, Evans,   |Ayes:|Fuentes, Bradford,        |
          |     |Jones, Monning, Nava,     |     |Charles Calderon, Coto,   |
          |     |Huffman                   |     |Davis, De Leon, Gatto,    |
          |     |                          |     |Hall, Skinner, Solorio,   |
          |     |                          |     |Torlakson, Torrico        |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Tran, Hagman, Knight      |Nays:|Conway, Harkey, Miller,   |
          |     |                          |     |Nielsen, Norby            |
           ----------------------------------------------------------------- 
           SUMMARY  :  Requires the California Department of Food and  
          Agriculture and California Department of Public Health to post  
          on their Internet Web sites, and when possible disseminate  
          through existing publications, information about state and  
          federal laws that provide tax deductions and liability  
          exemptions relating to the donation of food for charitable  
          purposes. 
           
           EXISTING LAW  :

          1)Provides, under federal law, that neither a person who donates  
            food to a nonprofit organization, nor a nonprofit organization  
            that provides the food to needy individuals, shall be civilly  
            or criminally liable for harms arising from the nature, age,  
            packaging, or condition of apparently wholesome food or an  
            apparently fit grocery product unless the harm results from an  
            act or omission of the person or organization that constitutes  
            gross negligence or intentional misconduct.  

          2)Provides, under the federal tax code, tax deductions for  
            charitable contributions of food inventory, as specified.  

          3)Provides that no food facility that donates any food that is  
            fit for human consumption at the time it was donated to a  








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            nonprofit charitable organization or a food bank shall be  
            liable for any damage or injury resulting from the consumption  
            of the donated food, unless the injury is caused by negligence  
            or a willful act in the preparation or handling of the food.  

          4)Provides that a nonprofit charitable organization or a food  
            bank that, in good faith, receives and distributes food  
            without charge that is fit for human consumption at the time  
            it was distributed is not liable for harm caused by the  
            consumption of the food unless the harm is the direct result  
            of negligence, recklessness, or intentional misconduct of the  
            organization.  

          5)Provides that a food facility that donates food to a  
            charitable organization or food bank shall not be subject to  
            civil or criminal liability or penalty for violation of any  
            laws, regulations, or ordinances regulating the labeling or  
            packaging of the donated product or, with respect to any other  
            laws, regulations, or ordinances, for violation occurring  
             after  the time of the donation.  

          6)Provides that no person that donates an agricultural product,  
            and no county or county agency that establishes a surplus food  
            collection and distribution center, shall be liable for any  
            injury, including, but not limited to, injury resulting from  
            the ingesting of such agricultural product, as a result of any  
            act or omission in connection with donating the agricultural  
            product.  

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          analysis, costs associated with posting information on  
          department websites would be minor and absorbable within  
          existing resources.
           
          COMMENTS  :  This bill seeks to address a seeming paradox:  
          discarded food is the single biggest item taking up space in our  
          state's landfills at the same time that about 3 million  
          Californians go hungry.  Although it is impossible to know for  
          sure, a significant portion of the discarded food is apparently  
          still fit for human consumption at the time that it is  
          discarded.  In an effort to address this situation, several  
          existing laws seek to encourage the donation of wholesome and  
          edible food that would otherwise end up in a landfill.  For  
          example, provisions of the Food and Agriculture Code authorize  








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          counties to set up distribution centers to direct surplus  
          agricultural products to food banks.  The federal tax code  
          grants tax deductions for food donations.  Most notably, for  
          purposes of this bill, both state and federal law grant limited  
          immunity from liability to persons and organizations that donate  
          or distribute food for charitable purposes.  Apparently these  
          immunities were enacted based on the assumption that many  
          persons who would otherwise donate food are sometimes reluctant  
          to do so for fear of liability should the food subsequently -  
          due to someone else's negligence, perhaps - cause an injury to  
          the ultimate consumer of the food.  Several provisions of state  
          law, therefore, as well as federal laws like the Bill Emerson  
          Good Samaritan Food Donation Act, provide immunity for harm  
          caused by the donated food, unless, of course, the injury is the  
          result of negligence, recklessness, or willful misconduct.  The  
          exact scope of liability differs as between federal and state  
          law.  For example, the federal immunity statute does not grant  
          immunity for acts that constitute gross negligence or willful  
          misconduct, while state law does not grant immunity to acts that  
          are negligent, reckless, or willful.  In addition to these  
          various immunity provisions, the federal tax code permits tax  
          deductions of food donations to charitable organizations or food  
          banks. 

          This non-controversial bill would not add any new immunity or  
          create any new tax breaks; rather, this measure would simply  
          require the California Department of Food and Agriculture and  
          the California Department of Public Health to post information  
          about all of the tax advantages and immunities relating to food  
          donation on their respective Internet Web sites.  In addition,  
          when possible, the bill would require those departments to  
          disseminate such information through any existing department or  
          agency publications. 

          According to the author, although state and federal laws  
          appropriately grant limited immunity and tax incentives to  
          persons and organizations that donate food for charitable  
          purposes, many organizations and businesses remain reluctant to  
          donate edible surplus food out of fear that they might, through  
          no fault of their own, become liable for any harms that might  
          result from the consumption of the food.  The author contends  
          that if businesses and organizations were better informed about  
          existing immunity and tax incentives, that they would be more  
          likely to make donations. 








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           Analysis Prepared by  :    Thomas Clark / JUD. / (916) 319-2334 


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