Bill Text: CA AB996 | 2013-2014 | Regular Session | Amended
Bill Title: Agricultural products: direct marketing: certified farmers' markets.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2014-02-03 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB996 Detail]
Download: California-2013-AB996-Amended.html
BILL NUMBER: AB 996 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 6, 2013
AMENDED IN ASSEMBLY APRIL 25, 2013
INTRODUCED BY Assembly Member Dickinson
FEBRUARY 22, 2013
An act to amend Sections 43100, 47000, 47001, 47002, 47010, 47011,
and 47021 of, to add Sections 47000.5 , 47001.5,
and 47014 to, to add Chapter 9 (commencing with Section 890) to Part
1 of Division 1 of, to add and repeal Section 47021.5 of, to repeal
Sections 47004.1 and 47012 of, to repeal Article 2 (commencing with
Section 47010) of Chapter 10.5 of Division 17 of, and to repeal and
add Sections 47004 and 47020 of, the Food and Agricultural Code,
relating to food and agriculture, and making an appropriation
therefor.
LEGISLATIVE COUNSEL'S DIGEST
AB 996, as amended, Dickinson. Agricultural products: direct
marketing: certified farmers' markets.
(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 provides for the issuance of a certified producer'
s certificate by a county agricultural commission, and authorizes the
county agricultural commission to charge a certificate and
inspection fee, which is deposited into the Food and Agriculture
Fund, as specified.
This bill would require direct marketing producers to register
with the Department of Food and Agriculture and attest compliance
with specified practices, and would impose a registration fee, to be
set by regulation, but not to exceed $50 annually, to be deposited in
the Department of Food and Agriculture Fund and used by the
department for related administrative purposes.
(4)
(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.
(5)
(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.
(6)
(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.
(7)
(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.
(8)
(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.
Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Chapter 9 (commencing with Section 890) is added to
Part 1 of Division 1 of the Food and Agricultural Code, to read:
CHAPTER 9. INTENTIONALLY FALSE, DECEPTIVE, OR MISLEADING
MARKETING
890. (a) It is unlawful for any person or entity to intentionally
make any statement, representation, or assertion orally, by public
statement, advertisement, or signage, or by any other means that
relates to the sale or availability of agricultural products that is
false, deceptive, or misleading regarding any of the following:
(1) The area of production of the agricultural product.
(2) The identity of the producer of the agricultural product.
(3) The manner and method of production of the agricultural
product.
(b) A violation of the provisions of this section is a misdemeanor
punishable by imprisonment in the county jail not exceeding six
months, or by a fine not exceeding two thousand five hundred dollars
($2,500), or by both that imprisonment and fine.
891. In lieu of prosecution, the secretary, or a county
agricultural commissioner under the authority of the secretary, may
levy a civil penalty against a person or entity that violates this
section in an amount not less than five hundred dollars
($500) , nor and not more than five
thousand dollars ($5,000) for each violation. The amount of the
penalty assessed for each violation shall be based upon the scope of
the violation, the seriousness of the deception, and the impact of
the penalty on the violator, including the deterrent effect on future
violations. Subdivision (e) of Section 43003 shall apply to any fine
or civil penalty levied pursuant to this section.
892. (a) In addition to, or in lieu of, any action taken against
a person by the secretary or a county agricultural commissioner
under the provisions of pursuant to
Section 890 or 891, the secretary or a county agricultural
commissioner may modify, suspend, revoke, or refuse or condition the
issuance of a license, permit, registration, or certification issued
under the provisions of this code.
(b) Any action taken pursuant to this section shall be based upon
the scope of the violation, the seriousness of the deception, and the
corrective or deterrent effect on future violations.
(c) Any action taken pursuant to this section shall be subject to
the due process and applicable civil remedy provisions of this code
that govern the issuance of the license, permit, registration, or
certification.
893. (a) All civil penalties collected pursuant to this chapter
by the secretary shall be deposited in the Direct Agricultural
Marketing Penalty Account, which is hereby created in the Department
of Food and Agriculture Fund, and shall be used to conduct
investigations and enforcement actions upon complaints filed or
pursuant to information received that results in the investigation of
a violation of Section 890. Money deposited pursuant to this chapter
may also be used to contract with county agricultural commissioners
for services that further the purposes of this chapter, and may be
used for expenses incurred by county agricultural commissioners for
investigative and enforcement actions conducted pursuant to this
chapter. Notwithstanding Section 13340 of the Government Code, all
money deposited pursuant to this chapter shall be continuously
appropriated to the department without regard to fiscal year for
purposes of this chapter.
(b) All civil penalties collected pursuant to enforcement actions
by a county agricultural commissioner under the provisions of this
chapter shall be paid to the county treasurer.
894. A proceeding brought by the state or a county for an act
that violates the provisions of Section 890 shall preclude any
concurrent or subsequent proceeding by the state or a county for the
same act, or a proceeding brought by a governmental agency under the
provisions of Section 17500 of the Business and Professions Code for
the same act.
SEC. 2. Section 43100 of the Food and Agricultural Code is amended
to read:
43100. (a) The terms "California grown," "California-grown," and
similar terms with identical connotations shall be used in the
labeling or advertising of agricultural products as follows:
(1) The terms "California grown," "California-grown," and similar
terms with identical connotations may be used 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.
(2) The secretary may adopt guidelines, rules, and regulations to
further define acceptable uses of the terms "California grown,"
"California-grown," and similar terms with identical connotations,
and to prevent any misleading use of the terms.
(b) Any intentionally false, deceptive, or misleading use of the
terms "California grown," "California-grown," and similar terms with
identical connotations, or of any seals or other identities
officially adopted by the department in connection with these terms,
or a deliberately unwarranted use of these items or terms shall be
subject to the provisions and penalties set forth in Chapter 9
(commencing with Section 890) of Part 1 of Division 1.
SEC. 3. Section 47000 of the Food and Agricultural Code is amended
to read:
47000. The Legislature finds and declares all of the following
with regard to the direct marketing of agricultural products:
(a) Direct marketing of agricultural products benefits the
agricultural community and the consumer by, among other things,
providing an alternative method for growers to sell their products
while benefiting the consumer by supplying quality produce at
reasonable prices.
(b) Direct marketing is a good public relations tool for the
agricultural industry that brings the farmer face-to-face with
consumers and other end users.
(c) The direct marketing potential of a wide variety of
California-produced agricultural products should be maximized and
encouraged.
(d) Farm stands allow farmers to sell fresh produce and eggs grown
on their farm as well as other food products made with ingredients
produced on or near the farm, thus enhancing their income and the
local economy.
(e) The permitting, regulating, and operating of certified farmers'
markets provide the essential core and foundation for the creation
and operation of additional nonagricultural vending activities that
are ancillary but contiguous to the certified farmers' market,
thereby providing a larger community event amenity for business
districts and additional revenue for the operators of certified
farmers' markets.
(f) The department should maintain a direct marketing program and
encourage the sale and purchase of California-grown fresh produce and
other California-produced agricultural products.
(g) It is the intent of the state to promote the purchase and
consumption of California-grown produce and to promote access to
California-produced agricultural products. Restaurants and nonprofit
organizations can provide assistance assist
in bringing California-grown products to all Californians.
(h) A regulatory scheme should be developed that provides the
flexibility that will make direct marketing a viable marketing
system.
(i) The department should assist producers in organizing certified
farmers' markets, field retail stands, farm stands,
community-supported agriculture, and other forms of direct
marketing by providing technical advice on marketing methods and in
complying with the regulations that affect direct marketing programs.
(j) The department is encouraged to establish an ad hoc advisory
committee to assist the department in establishing regulations
affecting direct marketing of products and to advise the secretary in
all matters pertaining to direct marketing.
SEC. 4. Section 47000.5 is added to the Food and Agricultural
Code, to read:
47000.5. The following definitions apply to this chapter, unless
otherwise specified:
(a) "Agricultural product" means a fresh or processed product
produced in California, including fruits, nuts, vegetables, herbs,
mushrooms, dairy, shell eggs, honey, flowers, grains, nursery stock,
livestock meats, poultry meats, rabbit meats, and fish, including
shellfish that is produced under controlled conditions in waters
located in California. Products that are characterized as arts,
crafts, bakery, candies, soaps, balms, perfumes, cosmetics, clothing,
fabrics, pastas, compost, fertilizers, and types of wares are not
agricultural products for purposes of this chapter.
(b) "Practice of the agricultural arts" means the undertaking of
being predominantly responsible for the decisions and actions
encompassing the various phases of producing an agricultural product.
The practice of the agricultural arts for fruit, floral,
nut, vegetable, and other plant products includes directive or actual
responsibility for all the actions of planting, growing,
fertilizing, irrigating, cultivating, pest control, and harvesting.
The practice of the agricultural arts for agricultural
animal products includes directive or actual responsibility for a
substantial time of the raising, feeding, veterinary care, and
product harvesting.
(c) "Producer" means a person, partnership, corporation, or an
otherwise legally formed farm or ranch that produces agricultural
products by the practice of the agricultural arts upon land that the
person or entity owns, rents, leases, sharecrops, or otherwise
controls and has the documented legal right to possession. A person
or entity that rents, leases, or otherwise acquires the right to
possession of property essentially only for or limited to the period
of the harvest season of the agricultural products produced on that
property shall not be considered a producer under the provisions of
this chapter.
SEC. 5. Section 47001 of the Food and Agricultural Code is amended
to read:
47001. (a) The secretary may adopt regulations to encourage the
direct sale by farmers to the public of all types of agricultural
products. Those regulations also shall include the authority of the
secretary to create or recognize any legal mechanism, relationship,
or entity that would allow direct marketing producers to jointly, in
a cooperative, labor-sharing, and cost-sharing manner, sell to the
public the agricultural products produced by them, exempt from size,
standard pack, container, and labeling requirements, and any
applicable provision of Chapter 7 (commencing with Section 56101) of
Division 20.
(b) These regulations may include provisions to ensure and
maintain quality and wholesomeness of the products, and to ensure
that the selling activities are conducted without fraud, deception,
or misrepresentation.
(c) The secretary may contract with any county agricultural
commissioner to carry out the provisions of this chapter, including
contracts for administration, investigations, inspections,
registrations, and assistance pertaining to direct marketing
producers and outlets. The secretary may enact regulations to
categorize the contracts and set compensation, fees, and rates for
each contract. Compensation under the contracts shall be paid from
assessments and fees collected and deposited under
pursuant to the provisions of this chapter.
(d) A certified farmers' market operator may contract with a
county agricultural commissioner for a special onsite field or
storage verification inspection of a direct marketing producer
selling in a certified farmers' market operated and controlled by the
operator. A contract for a verification inspection shall be
authorized only pursuant to a reasonable suspicion of a violation of
this chapter. All contracts and contract fees are subject to the
discretion of the county agricultural commissioner in the county
where the verification inspections are being requested.
SEC. 6. Section 47001.5 is added to the Food and
Agricultural Code, to read:
47001.5. (a) A producer, not otherwise registered or certified
pursuant to the provisions of this chapter, intending to sell
directly to the California public shall annually register with the
department as a direct marketing producer. Registration shall include
the direct marketing producer's contact information, a general list
of agricultural products the direct marketing producer intends to
direct market, and the categories of direct marketing methods the
direct marketing producer intends to use. The registration also shall
include the methods and outlets to be used that are recognized and
regulated by this chapter.
(b) Each registration shall include the signed statement that the
producer is in compliance with any applicable on-farm, food-safety,
good-agricultural practices, as defined by the department, in
cooperation with the direct marketing producer industry. A producer
registered, certified, and in compliance with this section shall be
deemed an approved source, as defined in Section 113735 of the Health
and Safety Code.
(c) The annual registration fee for a direct marketing producer
shall be set by regulation, as enacted by the secretary, that is
reflective of the actual cost of the processing of the registration
and shall not exceed fifty dollars ($50) annually. Fees collected
shall be deposited in the Department of Food and Agriculture Fund and
shall be used by the department for the administration of this
section. Administration shall include creating and maintaining an
online process and producer data filing system for registration, any
reimbursement for expenses incurred by county agricultural
commissioners for implementing or aiding in the registration process,
or any coordination expenses incurred relative to meetings and
actions of any ad hoc direct marketing advisory committee established
by the secretary.
(d) The annual fee shall be waived when the direct marketing
producer registration is combined with other annual registration or
certification processes, pursuant to this division, where a fee is
exacted from the producer for registration or processing. The
registration provisions of this section shall be complied with
regardless of any waiver of fees granted.
SEC. 7. SEC. 6. Section 47002 of the
Food and Agricultural Code is amended to read:
47002. California farmers registered or certified pursuant to
this chapter as direct marketing producers in accordance
with Section 47001.5 may transport for sale and sell
California-grown fresh fruits, nuts, and vegetables that they produce
directly to the public, and shall be exempt from size, standard
pack, container, and labeling requirements at an outlet or location
operated by an individual, organization, or entity that is regulated
under pursuant to this chapter or is
recognized by a regulation adopted pursuant to Section 47001 and is
otherwise authorized by local laws, subject to the following
conditions:
(a) All fresh fruits, nuts, and vegetables sold shall comply with
the California Code of Regulations governing maturity and quality.
(b) No exemption granted by this section supersedes the provisions
of federal marketing orders, state marketing orders, or any health
and safety laws, regulations, or ordinances.
(c) All fresh fruits, nuts, and vegetables sold in closed consumer
containers shall be labeled with the name, address, and ZIP Code of
the producer, and a declaration of identity and net quantity of the
commodity in the package.
(d) If a farmer selling produce pursuant to this section
implements any exemption to size, standard pack, container, or
labeling requirements as provided by this section, those sales may
only be conducted as direct sales to any of the following:
(1) Consumers who are end users.
(2) Individuals, organizations, or entities that subsequently sell
the produce directly to end users.
(3) Individuals, organizations, or entities that distribute the
produce directly to end users at no cost to those end users.
(e) A farmer selling produce pursuant to paragraph (2) or (3) of
subdivision (d) shall provide the individual, organization, or entity
a memorandum that lists the identity of the producer, the address of
the producer, and the identity and quantity of the produce
purchased. A bill of sale or a container label including this
information shall meet the requirements of this subdivision.
SEC. 8. SEC. 7. Section 47004 of the
Food and Agricultural Code is repealed.
SEC. 9. SEC. 8. Section 47004 is
added to the Food and Agricultural Code, to read:
47004. (a) Certified farmers' markets are California agricultural
product point of sale locations that are registered under the
provisions of Section 47020 and operated in accordance with this
chapter and regulations adopted pursuant to this chapter.
(b) The operator of a certified farmers' market shall establish a
clearly defined marketing area where only agricultural products may
be sold. Only the producer or the lawful authorized representative of
the producer may sell agricultural products within the area defined
as a certified farmers' market. Sales of agricultural products
purchased from another individual or entity shall not occur within a
certified farmers' market, and an agricultural product producer or
product dealer shall not sell his or her agricultural products to
another individual or entity with the understanding or knowledge that
the products are intended to be resold in a certified farmers'
market in violation of the provisions of this chapter or the
regulations adopted pursuant thereto. Every producer selling within a
certified farmers' market shall comply with Section 47020.
(c) All vendors of agricultural products selling within a
certified farmers' market shall do all of the following:
(1) Post conspicuous signs or banners that state the name of the
farm or ranch, the city where the farm or ranch is located, and the
county where the farm or ranch is located.
(2) Post conspicuous signs or banners that state, "We Grew What We
Are Selling" or "We Raised What We Are Selling" or "We Grow What We
Sell" or similar phrases that shall represent that the farm or ranch
is only selling agricultural products that they themselves have grown
or raised on California land that they possess or control.
(3) Ensure that all processed agricultural products that they
offer for sale state in a clear manner by package label or container
label or bulk sales signage that they consist only, with the
exception of incidental flavorings and necessary preservatives, of
agricultural products grown or raised by the farm or ranch selling
them, and the farm or ranch name and the city where the farm or ranch
is located. In addition, every processed product shall identify on a
package label or container label or on bulk sales signage the
registration number or other identity reference of the facility where
the food was processed, or any other required labeling statements or
information, in accordance with Sections 110460, 114365, and
114365.2 of the Health and Safety Code or, in the case of meat
products, the identity of the facility where the meat products were
cut and wrapped in accordance with the United States Department of
Agriculture or State of California inspection standards or, in the
case of dairy products, the identity of the facility where the dairy
products were manufactured or processed.
(4) Ensure all products being represented or offered for sale as
organic are clearly labeled or have conspicuous and posted
point-of-sale signage identifying the products as organic.
(d) The representations required pursuant to subdivision (c) shall
be subject to the provisions and penalties specified in Section 890.
(e) An operator of a certified farmers' market that also operates,
manages, or otherwise controls a separate sales activity or vending
event or marketing area in close proximity, adjacent, or contiguous
to the operator's certified farmers' market, shall not allow the sale
or distribution of fresh whole produce by vendors selling within
those sales activity or vending event or marketing areas .
(f) The operator of a certified farmers' market shall keep an
accurate participation record of the individual direct marketing
producers whose agricultural products were presented for sale in
their market each market day. The operators shall submit to the
department a quarterly report of the registration numbers and
participation frequency of the direct marketing producers whose
agricultural products were presented for sale in the operator's
market during that past quarter. The department shall create and
maintain online capability for reporting.
(g) Operators of certified farmers' markets may establish rules
and procedures that are more restrictive and stringent than state
laws or regulations governing or implementing this chapter, so long
as the rules and procedures are not in conflict with state laws or
regulations.
(h) Except for certified farmers' markets operated by government
agencies, nonprofit entities and other qualified operators of
certified farmers' markets shall be considered private entities and
may take actions, adopt rules, and impose requirements they deem
necessary for the proper and honest operation of their market,
subject to the application of any state or other laws. Government
agency operators of certified farmers' markets are subject to
applicable state laws, the laws of the governing agency, and any
other laws governing the conduct and actions they may take as a
governmental entity.
SEC. 10. SEC. 9. Section 47004.1 of
the Food and Agricultural Code is repealed.
SEC. 11. SEC. 10. Section 47010 of
the Food and Agricultural Code is amended to read:
47010. (a) The secretary shall establish a committee that shall
be known as the Certified Farmers' Market Advisory Committee. The
primary goals of the committee shall be all of the following:
(1) Promote the demand and consumption of agricultural products
purchased directly from California producers at certified farmers'
markets.
(2) Ensure that existing and future certified farmers' markets are
primarily maintained for the benefit of the California producers
selling their products within those markets.
(3) Ensure that honest and fair marketing of products occur within
certified farmers' markets and within any ancillary vending
activities under the operation and control of a certified farmers'
market operator.
(b) The committee shall be composed of 14 members and their
alternates. The secretary shall endeavor to appoint six members and
their alternates who shall be producers or representatives of
agricultural organizations that represent producers, six members and
their alternates who shall be certified farmers' market operators or
representatives of the operator, one public member, and one member
and his or her alternate who shall be a county agricultural
commissioner. An alternate member shall serve at a committee meeting
only in the absence of, and shall have the same powers and duties as,
the member for whom he or she is designated as alternate. All
appointees shall serve two-year terms or at the pleasure of the
secretary. Members appointed to fill vacancies shall serve the
remainder of the term.
(c) The secretary shall make an effort to include members who
represent a diverse state geographical and agricultural product.
(d) The committee shall meet at the request of the secretary and
the committee chairperson, or upon the request of eight committee
members. It shall meet at least once each year.
(e) The committee may appoint its own officers, including a
chairperson, a vice chairperson, a secretary, and any other officers
it deems necessary. The committee may adopt rules that it deems are
necessary for the conduct of its meetings and functions to carry out
the objectives of this chapter.
SEC. 12. SEC. 11. Section 47011 of
the Food and Agricultural Code is amended to read:
47011. The Certified Farmers' Market Advisory Committee shall be
advisory to the secretary on matters pertaining to direct marketing
of agricultural products at certified farmers' markets and may make
recommendations including, but not limited to, the following:
(a) The amendment, repeal, or adoption of legislation and
regulations that relate to the primary goals stated in subdivision
(a) of Section 47010.
(b) Administrative policies and procedures that relate to the
primary goals stated in subdivision (a) of Section 47010, including
the inspection of certified producers and certified farmers' markets.
(c) Administrative civil penalties for violations of certified
farmers' market laws and regulations.
(d) Program and enforcement fees collected pursuant to Sections
47021 and 47021.5.
(e) Statewide review of certified farmers' market promotion and
enforcement actions.
(f) The annual budget of the department's certified farmers'
market program to carry out the goals and purposes of this chapter.
(g) Alternative strategies for certification and investigation
methodology, and methods for industry self-regulation and committee
formation.
SEC. 13. SEC. 12. Section 47012 of
the Food and Agricultural Code is repealed.
SEC. 14. SEC. 13. Section 47014 is
added to the Food and Agricultural Code, to read:
47014. This article shall remain in effect only until January 1,
2015, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2015, deletes or extends
that date.
SEC. 15. SEC. 14. Section 47020 of
the Food and Agricultural Code is repealed.
SEC. 16. SEC. 15. Section 47020 is
added to the Food and Agricultural Code, to read:
47020. (a) An operator of a certified farmers' market shall
annually register with the department the times and location of the
market, the name and contact information for the operator of the
market, and the agent for service of process for the operator. Upon
completion of a proper application, the agricultural commissioner
shall issue to the operator a certified farmers' market certificate.
(b) A certified farmers' market certificate issued by a county
agricultural commissioner shall be valid for 12 months from the date
of issue and may be renewed annually thereafter. The county
agricultural commissioner shall inspect every certified farmers'
market within his or her jurisdiction at least once for every six
months of operation. The
county agricultural commissioner shall provide an estimate of
expenses for inspections at the time of application or renewal and
may charge a certification and inspection fee reflecting or equal to
the actual expenses incurred.
(c) (1) Any California producer wishing to sell at a certified
farmers' market shall apply and register with the department and
obtain a certified producer's certificate. Each registration shall
include the signed statement that the producer is in compliance with
any applicable on-farm, food safety, good agricultural practices, as
defined by the department, in cooperation with the direct marketing
producer industry. All certified producer certificates will be
assigned one or more permanent registration numbers representing the
farm or ranch for each county where the farm or ranch is located. A
producer registered, certified, and in compliance with this section
shall be deemed an approved source, as defined in Section 113735 of
the Health and Safety Code.
(2) In addition to business contact information for the producer,
the certificate shall also include the Global Positioning System
(GPS) convertible physical addresses and acreage for the locations in
each county where they produce or raise the agricultural product
they sell or intend to sell directly to the public, and the
GPS-convertible physical addresses of any off-farm locations where
the products are or will be stored before they are sold directly to
the public.
(3) Each certified producer farming fruit, vegetables, nuts,
herbs, and similar crops shall annually submit to the department
pertinent information about the specific crops that they will harvest
or intend to harvest for sales directly to the public.
(4) Each certified producer that sells or intends to sell any
processed agricultural product that they produced directly to the
public shall submit to the department a list of each facility where
their production was canned, dried, flavored, preserved, fermented,
juiced, or otherwise processed into the product that they intend to
sell to the public, and the registration number or other pertinent
information of each facility where the food was processed in
accordance with Sections 110460, 114365, and 114365.2 of the Health
and Safety Code.
(5) Each certified producer that raises animals for meat, cheese,
eggs, honey, or similar products for sale directly to the public
shall annually submit to the department pertinent general information
about the products produced for sale directly to the public. In the
case of meat products, the producer shall also list the facilities
where their products will be slaughtered, cut, and wrapped in
accordance with United States Department of Agriculture or State of
California inspection standards in preparation for sale to the
public. In the case of any dairy product, the producer shall also
list the facilities where their product is manufactured and
processed.
(6) All certified producers shall keep general records of
agricultural product sales directly to the end users and memorandum
records of product sales to parties intending to resell or distribute
the product to the public or end users under the provisions of
Section 47002.
(7) A certified producer's certificate issued by a county
agricultural commissioner shall be valid for up to 12 months from the
date of issue and may be renewed annually thereafter. The county
agricultural commissioner in each county shall perform at least one
onsite inspection for all new certified producer certificate
applicants and may perform additional inspections as needed of the
property or properties listed on the certified producer's certificate
issued in his or her county to verify production of the commodities
being sold at a certified farmers' market or the existence in storage
of the producer's actual harvested production, or both, of any
product being sold at a certified farmers' market. Where practical or
purposeful, verification inspections should
shall be made when the actual harvest or sale of the commodity
in question is occurring. The county agricultural commissioner shall
furnish the producer an estimate of expenses for certification or
inspection at the time of application or renewal or before any needed
additional verification inspection, and may charge a certification
and inspection fee reflecting or equal to the actual expenses
incurred.
(d) Renewal of a certified farmers' market certificate or
certified producer's certificate may be denied by either the
department or a county agricultural commissioner if a certified
farmers' market or a certified producer is delinquent in the payment
of the required state fee or any county certification and inspection
fee or administrative civil penalty authorized pursuant to this
chapter. The certificate shall be eligible for renewal when all
outstanding balances and associated penalties or administrative fines
have been paid to the department or the respective county or
counties.
SEC. 17. SEC. 16. Section 47021 of
the Food and Agricultural Code is amended to read:
47021. (a) Every operator of a certified farmers' market shall
remit to the department, within 30 days after the end of each
quarter, 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. The fee shall be fifty cents ($0.50) for each vendor whose
products were presented for sale on each market day. A certified
farmers' market operator may directly recover all or part of the fee
from the participating vendors.
(b) Any operator of a certified farmers' market who fails to pay
the required fee within 30 days after the end of the quarter in which
it is due shall pay to the department a monthly interest charge on
the unpaid balance and a late penalty charge, to be determined by the
department and not to exceed the maximum amount permitted by law.
(c) All fees collected pursuant to this section shall be deposited
in the Department of Food and Agriculture Fund. The money generated
by the imposition of the fees shall be used, upon appropriation by
the Legislature, by the department, to cover the reasonable costs to
carry out this chapter, including all of the following actions
undertaken by the department:
(1) The coordination of the Certified Farmers' Market Advisory
Committee or any ad hoc direct marketing advisory committee.
(2) The evaluation of county enforcement actions and assistance
with regard to multiple county enforcement problems.
(3) The adoption of regulations to carry out the provisions of
this chapter pertaining to certified farmers' markets.
(4) Hearings from actions taken to enforce this chapter.
(5) The maintenance of a current statewide listing of certified
farmers' markets locations.
(6) The maintenance of a current statewide listing of certified
producers.
(7) The dissemination to all certified farmers' markets
information regarding the suspension or revocation of any producer's
certificate and the imposition of administrative penalties.
(8) Other actions, including the maintenance of special fund
reserves, that are recommended by the Certified Farmers' Market
Advisory Committee or an ad hoc direct marketing advisory committee
and approved by the department for the purposes of carrying out the
provisions of this chapter pertaining to certified farmers' markets.
(d) This section shall remain in effect only until January 1,
2016, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2016, deletes or extends
that date.
(e) If this section is no longer in effect, any residual funds
collected and deposited pursuant to subdivision (c) shall be
transferred within the Department of Food and Agriculture Fund and
shall be used in accordance with the provisions of subdivision (c).
SEC. 18. SEC. 17. Section 47021.5 is
added to the Food and Agricultural Code, to read:
47021.5. (a) Every operator of a certified farmers' market shall
remit to the department, within 30 days after the end of each
quarter, an investigation and enforcement 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. The fee shall be one dollar ($1)
for each vendor whose products were presented for sale on each
market day except as provided for in subdivision (b).
(b) For certified farmers' market operators located in counties
that in the previous year issued less than five certified farmers'
market certificates, or for operators of a certified farmers' market
where only the sale of agricultural products that were produced
within the same county as the location of that certified farmers'
market occurred during the previous quarter, the fee shall be fifty
cents ($0.50) for each vendor whose products were presented for sale
at that market on each market day.
(c) All Notwithstanding Section
13340 of the Government Code, all fees collected pursuant to
this section shall be deposited in the Department of Food and
Agriculture Fund and shall be continuously appropriated to the
departmen t without regard to fiscal year . The
money moneys generated by the
imposition of the fees assessed under
pursuant to this section shall be used exclusively to pursue
and conduct investigations and enforcement actions upon properly
filed complaints or pursuant to information received or detected
creating the necessity for the investigation of any violation of
Section 890 and for any contractual or reimbursement expenses
incurred by a county agricultural commissioner for investigating the
initial or subsequent verification inspections required by this
chapter and not otherwise adequately funded pursuant to Section
47020.
(d) (1) This section shall remain in effect only until January 1,
2016, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2016, deletes or extends
that date.
(2) If this section is no longer in effect or is repealed or is
not extended by a later enacted statute that is enacted before
January 1, 2016, pursuant to paragraph (1), any residual funds
collected and deposited pursuant to subdivision (d) above shall be
transferred within the Department of Food and Agriculture Fund and
used in accordance with the provisions of subdivision (c) of Section
47021.
SEC. 19. SEC. 18. No reimbursement
is required by this act pursuant to Section 6 of Article XIII B of
the California Constitution for certain costs that may be incurred by
a local agency or school district because, in that regard, this act
creates a new crime or infraction, eliminates a crime or infraction,
or changes the penalty for a crime or infraction, within the meaning
of Section 17556 of the Government Code, or changes the definition of
a crime within the meaning of Section 6 of Article XIII B of the
California Constitution.
However, if the Commission on State Mandates determines that this
act contains other costs mandated by the state, reimbursement to
local agencies and school districts for those costs shall be made
pursuant to Part 7 (commencing with Section 17500) of Division 4 of
Title 2 of the Government Code.
