AB 996

Bill Subjects

Abstract

(1) Existing law authorizes the use of the term "California grown" and similar terms for marketing, advertising, or promotional purposes only to identify food or agricultural products that have been produced in the state or harvested in its surface or coastal waters, and makes the fraudulent use of the term or a deliberately misleading or unwarranted use of the term a misdemeanor punishable by a fine of not less than $100 or more than $3,000, or by imprisonment in the county jail for not more than 6 months, or by both the fine and imprisonment. This bill would make it unlawful for any person or entity to intentionally make any statement, representation, or assertion relating to the sale or availability of agricultural products that is false, deceptive, or misleading, as specified, and would make a violation of those provisions a misdemeanor punishable by imprisonment in the county jail not exceeding 6 months, by a fine not exceeding $2,500, or both the fine and imprisonment. By creating a new crime, the bill would impose a state-mandated local program. The bill would also authorize the Secretary of Food and Agriculture or a county agricultural commissioner, in lieu of prosecution, to levy a civil penalty, as specified, or take action against a license, permit, registration, or certification issued pursuant to the Food and Agricultural Code. The bill would make those penalties applicable to the fraudulent use of the term "California grown," as specified above. The bill would require the civil penalties collected by a county agricultural commissioner to be paid to the county treasurer, and would require civil penalties collected by the secretary to be deposited in the Direct Agricultural Marketing Penalty Account, which would be created in the Department of Food and Agriculture Fund, as continuously appropriated funds to be used to conduct investigations and enforcement actions relating to false, deceptive, or misleading statements relating to agricultural products, and for other specified purposes. By establishing a continuously appropriated fund, the bill would make an appropriation. (2) Existing law regulates the direct marketing of agricultural products, and provides for various findings and declaration in that regard. Existing law authorizes the secretary to adopt regulations relating to the direct marketing of agricultural products, authorizes a county agricultural commissioner to issue a certified farmers' market certificate, and requires the county agricultural commissioner to inspect certified farmers' markets within his or her jurisdiction. Existing law authorizes a county agricultural commissioner to charge certification and inspection fees, and provides for the assessment of penalties and fines relating to the certification, inspection, and regulation of certified farmers' markets. These fees and penalties are deposited in the Department of Food and Agriculture Fund, and are required to be used, upon appropriation by the Legislature, for related administrative and regulatory purposes. This bill would define the terms "producer" and "agricultural product" for purposes of the provisions relating to direct marketing. The bill would authorize the secretary to contract with any county agricultural commissioner's office for purposes relating to the direct marketing of agricultural products, and would authorize compensation to be paid under those contracts from funds derived from assessments and fees collected pursuant to the provisions relating to direct marketing. The bill would authorize a certified farmers' market operator to contract with a county agricultural commissioner's office for verification inspections, as specified. (3) Existing law specifies that certified farmers' markets are locations established in accordance with local ordinances, and requires the governing board of a certified farmers' market with more than one participating certified producer to adopt written rules and procedures pertaining to the operation of the certified farmers' market. This bill would instead provide that certified farmers' markets are California agricultural product point of sale locations that are registered and operated in accordance with specified provisions. The bill would require vendors of agricultural products selling within a certified farmers' market to comply with specified signage and labeling requirements, and would make those representations subject to criminal, civil, and administrative penalties, as specified. By creating a new crime, the bill would impose a state-mandated local program. The bill would repeal provisions authorizing an aggrieved certified producer to submit a request to the department for an advisory opinion, and for the department to issue the advisory opinion, and would repeal provisions requiring the department to provide for an informal hearing process for grievances relating to certified farmers' markets. (4) Existing law requires the secretary to establish the Certified Farmers' Market Advisory Committee. This bill would specifically limit the duties of that committee to all matters relating to certified farmers' markets, as specified. The bill would decrease the number of members on the committee from 17 members to 14 members, as specified. The bill would repeal the provisions relating to the Certified Farmers' Market Advisory Committee on January 1, 2015. (5) Existing law requires a certified farmers' market certificate to be obtained from a county agricultural commissioner, and authorizes the county agricultural commissioner to assess a fee for the certificate and for inspections, as specified. This bill would repeal those provisions and instead would require an operator of a certified farmers' market to annually register with the department, and would require the county agricultural commissioner to issue a certified farmers' market certificate upon registration. The bill would require a California producer to register with the department and obtain a certified producer's certificate. The bill would require a California producer to submit specified information to the department, including, among other things, a list of facilities at which their product was processed, as specified, and would require, until January 1, 2016, each operator of a certified farmers' market to remit to the department an investigation and enforcement fee, as specified. The bill would require the investigation and enforcement fee to be deposited in the Department of Food and Agriculture Fund as a continuously appropriated fund to be used to pursue and conduct investigations and enforcement actions, as specified. By establishing a continuously appropriated fund, the bill would make an appropriation. (6) Existing law requires, until January 1, 2014, that every operator of a certified farmers' market remit to the department a fee equal to the number of certified producer certificates and other agricultural producers participating on each market day for the entire previous quarter, which shall be used by the department upon appropriation by the Legislature, as specified. This bill would instead require, until January 1, 2016, a program fee equal to the number of vendors participating and selling goods under the authority and management of the certified farmers' market operator on each market day for the entire previous quarter to be remitted to the department. (7) Because the bill would create new crimes, and by imposing new requirements on county agricultural commissioners, the bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason. With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.