BILL ANALYSIS Ó
SENATE COMMITTEE on AGRICULTURE
Senator Cathleen Galgiani, Chair
BILL NO: SB 1018 HEARING: 04/01/14
AUTHOR: De León FISCAL: Yes
VERSION: 03/26/14 CONSULTANT: Anne Megaro
Pest control: citrus disease prevention.
SUMMARY :
This bill would specify that only reasonable, rather than all,
expenditures incurred by the California Department of Food and
Agriculture be reimbursed from the Citrus Disease Management
Account for responsibilities related to the Citrus Pest and
Disease Prevention Program. This bill would require the
secretary to obtain approval from the California Citrus Pest and
Disease Prevention Committee for any changes to program
activities or increases in expenditures.
BACKGROUND AND EXISTING LAW :
California is the top-producing agricultural state in the nation
with $44.7 billion in agricultural commodity value in 2012.
California is also a top producer of citrus fruits and is ranked
second only to Florida in citrus production and first in citrus
product sold fresh to market. The $2.1 billion California
citrus industry grew nearly 4 million tons of citrus on 270,000
acres in 2012 and provided more than 14,000 jobs.
Existing law establishes the California Citrus Pest and Disease
Prevention Committee (CCPDPC) within the California Department
of Food and Agriculture (CDFA) to advise the secretary of CDFA
on efforts to prevent and manage citrus pests and diseases. An
assessment is levied on citrus producers and deposited into the
Citrus Disease Management Account for the sole purpose of
combating citrus-specific pests and diseases. This account may
also contain funds from federal and other non-General Fund
sources. The current assessment rate is 8 cents per 40 pound
carton, which amounts to $16 million annually and represents 64%
of the total budget for this program (Food and Agricultural Code
§5911 et seq.).
Existing law authorizes CCPDPC to develop, under the approval of
the secretary, a statewide citrus-specific pest and disease work
plan and recommend an annual assessment rate and budget. The
CCPDPC shall reimburse the secretary for all expenditures
SB 1018 - Page 2
incurred in carrying out, implementing, and administering the
statewide work plan.
Asian citrus psyllid (ACP) is an invasive pest that feeds on
citrus plants' leaves and stems and causes shoot deformation and
plant stunting. More importantly, ACP may transmit
Huanglongbing (HLB), a bacterial plant disease that causes
citrus trees to produce unpalatable/inedible fruit before
ultimately killing the tree.
According to the University of California Division of
Agriculture and Natural Resources (UCANR), the citrus industry,
the University of California, and both the state and federal
governments are working to eliminate and prevent the
establishment of ACP and HLB in California. Much of the
research is conducted with funding from the citrus industry
through the Citrus Research Board; UCANR; CDFA Specialty Crops
Block Grants; and the United States Department of Agriculture,
National Institute of Food and Agriculture (USDA-NIFA).
The Agricultural Act of 2014 (H.R. 2642) was signed into law on
February 7, 2014, and directs $125 million of the USDA Specialty
Crop Research Initiative funding toward citrus disease research
over the next 5 years. The federal 2014 budget includes an
additional $20 million to combat the spread of citrus pests and
diseases.
PROPOSED LAW :
This bill:
1. Specifies that only reasonable, rather than all,
expenditures incurred by CDFA in carrying out
responsibilities pursuant to the Citrus Pest and Disease
Prevention Program be reimbursed by the California Citrus
Pest and Disease Prevention Committee.
2. Requires the secretary of CDFA to obtain approval from
the CCPDPC before making any changes to program activities.
3. Requires the secretary of CDFA to obtain approval from
the CCPDPC before seeking reimbursement for additional
expenditures not previously developed by CCPDPC.
COMMENTS :
SB 1018 - Page 3
Need for this bill: According to those in support, this bill
would "strengthen the Program by setting clear guidelines for
the Committee and the Department. Currently, no such guidelines
exist and as such the efficacy of the program has suffered as a
result. Establishing a clear directive for the Program will
streamline work by the Committee and the Department, now and in
the future." Furthermore, although previous issues have been
resolved, this bill would prevent similar issues in the future.
Committee Authority: Current law states that the CCPDPC makes
recommendations to the secretary of CDFA and has the authority
to develop work plans under the approval of the secretary.
CCPDPC does not have the authority to require CDFA to obtain
committee approval for any action. This is concerning to the
sponsors of this bill, given recent incidences when the CCPDPC
was not consulted before programmatic changes were made, when
budgetary spending authority was increased, or when additional
funds were requested by CDFA to cover costs related to citrus
pest control and prevention.
The committee may wish to consider whether or not it is
appropriate public policy to give committees budgetary authority
over state programs. Budgetary authority is held by the
secretary of CDFA for most, if not all, similar agricultural
committees and commissions in California.
The committee may wish to consider whether or not the bill
should be amended so that CDFA must consult with CCPDPC rather
than obtain approval from CCPDPC for the actions specified in
the bill. This amendment would address the sponsor's concerns
while retaining authority with CDFA.
RELATED LEGISLATION :
AB 571 (Gatto). Vetoed, 2013. This bill would have appropriated
$5 million from the General Fund to the Citrus Disease
Management Account within the California Department of Food and
Agriculture Fund for the purposes of combating citrus disease or
its vectors.
AB 604 (De Leon and Fuller) Chapter 17, Statutes of 2010.
Authorizes CDFA to spend any monies it had collected in the
Citrus Disease Management Account on citrus specific pest and
disease programs through June 30, 2010.
SB 1018 - Page 4
AB 281 (De Leon) Chapter 426, Statutes of 2009. Establishes the
California Citrus Pest and Disease Prevention Committee and the
Citrus Disease Management Account within CDFA to prevent and
manage citrus pests and diseases, and allows the committee to
levy fees on citrus producers to pay for citrus disease
detection and control programs.
SUPPORT :
California Citrus Mutual (Sponsor)
OPPOSITION :
None received