BILL ANALYSIS �
AB 2174
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CONCURRENCE IN SENATE AMENDMENTS
AB 2174 (Alejo)
As Amended June 14, 2012
Majority vote
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|ASSEMBLY: |77-0 |(May 29, 2012) |SENATE: |36-0 |(July 6, 2012) |
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Original Committee Reference: AGRI.
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SUMMARY : Prioritizes the funding for the Fertilizer Research
and Education Program (FREP), and identifies specific entities
to develop specialized technical education and research
programs, resulting in more agronomically sound uses of
fertilizer materials, including, but not limited to, reducing
nitrates in groundwater, minimizing environmental impacts, and
limiting emissions of greenhouse gases as stated.
The Senate amendments add to the technical education and
research programs, the emission of greenhouse gases resulting
from fertilizer use, and make technical conforming changes.
AS PASSED BY THE ASSEMBLY , this bill was substantially similar
to the version passed by the Senate.
EXISTING LAW establishes an assessment level not to exceed two
mils ($0.002) per dollar of sales of fertilizer materials to
fund the FREP and permits an assessment not to exceed one mil
($0.001) per dollar of sales of fertilizer materials, to provide
funding for research and education regarding the use and
handling of fertilizing material, including, but not limited to,
any environmental effects.
FISCAL EFFECT : Unknown. This bill is keyed non-fiscal by the
Legislative Counsel.
Alternatively, the Secretary of the California Department of
Food and Agriculture (CDFA) may determine that rather than
shifting existing funding to this new activity, this bill may
require an increase in the assessment on fertilizer licensees.
Currently, the FREP mil assessment is at 0.5 mil ($0.0005) per
dollar of sales, resulting in $1 million in funding for FREP.
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Current law gives CDFA the authority to increase the assessment
up to one mil ($0.001) per dollar of sales.
COMMENTS : The author states that the Salinas Valley and Tulare
Lake Basin lead the state in nitrate contamination in ground
water. On March 13, 2012, the University of California (UC) at
Davis' Center for Watershed Sciences released a report to the
Legislature detailing nitrate contamination in groundwater in
the state's two leading agricultural regions. It finds that
contamination is currently threatening a quarter million
people's drinking water safety, with millions more Californians
to be affected in the future. The report found that
agricultural activities are responsible for 96% of the
pollution, with chemical fertilizer making up 54% of the
sources.
This bill would use existing FREP funds for implementation
projects to assist farmers and ranchers with best management
practices for fertilizer use. Giving technical assistance to
agricultural producers would lead to more efficient application
of fertilizers, resulting in cost savings to farmers who would
use less fertilizer, resulting in less contamination of the
state's watersheds.
Supporters of this bill cite that declining state funding for
technical assistance has undermined the exchange of needed
information between our best science advisors and farmers. Now,
more than ever, is the need to reinvest in technical assistance
for our growers, as the natural resource and stewardship issues
facing farmers have grown more complex.
FREP was established in 1990 when California Food and
Agricultural Code Section 14611(b) authorized a mil assessment
on the sale of fertilizing materials, "to provide funding for
research and education regarding the use and handling of
commercial and organic fertilizers, including, but not limited
to, any environmental effects." The mil assessment currently
generates close to $1 million per year going into the FREP fund.
Since 1990, FREP's focus has expanded to include research on
many of California's important and environmentally sensitive
cropping systems, including almonds, tomatoes, cotton, citrus,
wine grapes, horticulture, lettuce, and other cool-season
vegetables. To date, 40% of FREP's projects have been related
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to developing, testing, and demonstrating various nutrient
issues and/or soil testing procedures.
According to CDFA's FREP FACTS SHEET posted to their Web site,
"Over 20 years of FREP research projects have focused on
agronomic efficiency in the management of nutrients, precision
irrigation and fertigation practices �fertilization trough
irrigation], and soil and fertilizer interaction. Over this
period of time, FREP has funded $12 million for 160 technical,
research, and education projects. A number of FREP projects
have resulted in practical applications and guides for growers
and crop consultants, including a nitrogen fertilization model
for almond growers, a nitrogen and water management production
guide for coastal vegetables and best management practices for
nitrogen fertilizer and water use in irrigated agriculture."
It should be noted that FREP is funded by products and materials
that make a label claim, such as percentage values of nitrogen
(N), phosphorus (P), potassium (K), or other nutrients. Manures
and compost typically do not make nutrient value claims so they
do not pay the fertilizer mils or the FREP mil.
According to the UC Davis report cited by the author, the
impacts to nitrogen contaminated groundwaters vary widely, due
to the fact that travel times of nitrate from source to wells
range from a few years to decades in domestic wells, and from
years to many decades and even centuries in deeper production
wells. This means that nitrate source reduction actions made
today may not affect sources of drinking water for years to many
decades to come. The scientific advances over this period of
time have improved the use of fertilizers and manures. This
said, it is most important that new knowledge of improved
methods of fertilizer use is delivered to farmers in a timely
manner, which may help reduce the legacy of contamination in the
future.
Analysis Prepared by : Jim Collin / AGRI. / (916) 319-2084
FN:
0004422
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