Bill Text: CA AB2143 | 2023-2024 | Regular Session | Introduced
Bill Title: Fairs.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed) 2024-05-22 - Referred to Com. on AGRI. [AB2143 Detail]
Download: California-2023-AB2143-Introduced.html
| Introduced by Assembly Member Connolly |
February 06, 2024 |
LEGISLATIVE COUNSEL'S DIGEST
Digest Key
Vote: 2/3 Appropriation: YES Fiscal Committee: YES Local Program: YESBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 19418 of the Business and Professions Code is repealed.(a)“State designated fairs,” referred to in this chapter as fairs, means the California Exposition and State Fair in the City of Sacramento and those fairs specified in Sections 19418.1, 19418.2, and 19418.3 that may receive financial support or are otherwise governed pursuant to this chapter. These fairs may also be referred to as part of the “network of California fairs.”
(b)A nonprofit organization that holds an annual fair pursuant to Section 4163 of the Food and Agricultural Code may elect to be a member of the network of California fairs on terms and conditions mutually agreed upon by the Department of Food and Agriculture and the nonprofit organization.
(c)A joint powers agency that holds an annual fair pursuant to Section 4171 of the Food and Agricultural Code may elect to be a member of the network of California fairs on terms and conditions mutually agreed upon by the Department of Food and Agriculture and the joint powers agency.
SEC. 2.
Section 19418 is added to the Business and Professions Code, to read:19418.
(a) “Fair” for purposes of this chapter means the California Exposition and State Fair in the City of Sacramento, an organization described in subdivision (b) or (c), and those fairs specified in Sections 3102, 3103, and 3104 of the Food and Agricultural Code that are engaged now or in the future as associations in the conduct of a recognized horse racing meeting or otherwise participate in horse racing activities licensed or approved by the board.SEC. 3.
Section 19418.1 of the Business and Professions Code is repealed.The district agricultural associations and their locations are as follows:
(1)District 1, held in the City of Oakland.
(2)District 1-A, held in the City of San Francisco.
(3)District 2, held in the City of Stockton.
(4)District 3, held in the City of Chico.
(5)District 4, held in the City of Petaluma.
(6)District 5, held in the City of San Francisco.
(7)District 7, held in the City of Monterey.
(8)District 9, held in the City of Eureka.
(9)District 10, held in the City of Yreka.
(10)District 10-A, held in the City of Tulelake.
(11)District 12, held in the City of Ukiah.
(12)District 13, held in the City of Yuba City.
(13)District 14, held in the City of Watsonville.
(14)District 15, held in the City of Bakersfield.
(15)District 16, held in the City of Paso Robles.
(16)District 17, held in the City of Grass Valley.
(17)District 18, held in the City of Bishop.
(18)District 19, held in the City of Santa Barbara.
(19)District 20, held in the City of Auburn.
(20)District 21, held in the City of Fresno.
(21)District 21-A, held in the City of Madera.
(22)District 22, held in the City of Del Mar.
(23)District 23, held in the City of Antioch.
(24)District 24, held in the City of Tulare.
(25)District 24-A, held in the City of Hanford.
(26)District 25, held in the City of Napa.
(27)District 26, held in the City of Plymouth.
(28)District 27, held in the City of Anderson.
(29)District 28, held in the City of Victorville.
(30)District 29, held in the City of Sonora.
(31)District 30, held in the City of Red Bluff.
(32)District 31, held in the Town of Ventura.
(33)District 32, held in the City of Costa Mesa.
(34)District 33, held in the City of Hollister.
(35)District 34, held in the Town of Cedarville.
(36)District 35, held in the City of Merced.
(37)District 35-A, held in the Town of Mariposa.
(38)District 36, held in the City of Dixon.
(39)District 37, held in the City of Santa Maria.
(40)District 38, held in the City of Turlock.
(41)District 39, held in the Town of Angels Camp.
(42)District 40, held in the City of Woodland.
(43)District 41, held in the City of Crescent City.
(44)District 42, held in the City of Orland.
(45)District 44, held in the City of Colusa.
(46)District 45, held in the City of Imperial.
(47)District 46, held in the City of Perris.
(48)District 48, held in the City of City of Industry.
(49)District 49, held in the City of Lakeport.
(50)District 50, held in the City of Lancaster.
(51)District 51, held in the San Fernando Valley.
(52)District 52, held in the City of Sacramento.
(53)District 53, held in the City of Ridgecrest.
(54)District 54, held in the City of Blythe.
SEC. 4.
Section 19418.2 of the Business and Professions Code is repealed.The county fairs and their locations are as follows:
(1)The Alameda County Fair, held in the City of Pleasanton.
(2)The Butte County Fair, held in the City of Gridley.
(3)The El Dorado County Fair, held in the City of Placerville.
(4)The Humboldt County Fair, held in the City of Ferndale.
(5)The Lassen County Fair, held in the City of Susanville.
(6)The Los Angeles County Fair, held in the City of Pomona.
(7)The Madera County Fair, held in the City of Chowchilla.
(8)The Marin County Fair, held in the City of San Rafael.
(9)The Mendocino County Fair, held in the Town of Boonville.
(10)The Merced County Fair, held in the City of Los Banos.
(11)The Monterey County Fair, held in the City of King City.
(12)The Napa County Fair, held in the City of Calistoga.
(13)The Placer County Fair, held in the City of Roseville.
(14)The Plumas County Fair, held in the Town of Quincy.
(15)The Riverside County Fair, held in the City of Indio.
(16)The San Benito County Fair, held in the City of Hollister.
(17)The San Francisco County Fair, held in the City of San Francisco.
(18)The San Joaquin County Fair, held in the City of Lodi.
(19)The San Mateo County Fair, held in the City of San Mateo.
(20)The Santa Clara County Fair, held in the City of San Jose.
(21)The Shasta County Fair, held in the Town of McArthur.
(22)The Solano County Fair, held in the City of Vallejo.
(23)The Sonoma County Fair, held in the City of Santa Rosa.
(24)The Trinity County Fair, held in the Town of Hayfork.
SEC. 5.
Section 19418.3 of the Business and Professions Code is repealed.The citrus fruit fairs and their locations are as follows:
(1)The Cloverdale Citrus Fair, held in the City of Cloverdale.
(2)The National Orange Show, held in the City of San Bernardino.
SEC. 6.
Section 19418.5 of the Business and Professions Code is repealed.(a)The Legislature finds and declares that district agricultural associations, county fairs, citrus fruit fairs, and the California Exposition and State Fair, collectively known as state-designated fairs pursuant to Section 19418, are a valuable community resource, and recognizes that local businesses and local communities make valuable contributions to state-designated fairs that include direct and indirect support of fair programs. The Legislature further finds and declares that local businesses often provide opportunity purchases to local state-designated fairs that, for similar things available through the state purchasing program, may be purchased locally at a price equivalent to or less than that available through the state
purchasing program.
(b)In order to make opportunity purchases, a state-designated fair shall develop applicable policies and procedures.
(c)As used in this section, “opportunity purchases” means purchases made locally, either individually or cooperatively, at a price equal to or less than the price available through the state purchasing program on or off state contract.
SEC. 7.
Section 19542 of the Business and Professions Code is amended to read:19542.
Notwithstanding any otherSEC. 8.
Section 19547 of the Business and Professions Code is amended to read:19547.
Notwithstanding Section 19490, no deposit shall be required for any horse racing meeting conducted by aSEC. 9.
Section 19601.4 of the Business and Professions Code is amended to read:19601.4.
(a) Notwithstanding any otherSEC. 10.
Section 19606.1 of the Business and Professions Code is amended to read:19606.1.
(a) All license fees from satellite wagering that are depositedSEC. 11.
Section 19614 of the Business and Professions Code is amended to read:19614.
(a) Notwithstanding Sections 19611 and 19612, and except for an association that qualifies pursuant to Section 19612.6, for a fair conducting a live racing meeting, 1 percent of the total amount handled on live races, excluding wagering at a satellite facility, shall be retained by the fair association for payment to the state as a license fee.SEC. 12.
Section 19616.52 of the Business and Professions Code is repealed.Notwithstanding Section 19616.51, in lieu of all amounts payable prior to July 1, 2009, pursuant to Section 19616.51, as that section existed prior to July 1, 2009, from amounts generated by parimutuel wagering on horse races, the sum of five million five hundred thousand dollars ($5,500,000) shall be paid by racing associations and fairs from the amount available for commissions, purses, and breeder awards, as determined by the board, into the State Treasury to the credit of the Fair and Exposition Fund over a period of six years. Commencing with the 2009–10
fiscal year, one-sixth of the sum shall be payable equally for six successive fiscal years. The proportionate share to be paid by each racing association and fair and the method of payment shall be determined by a formula approved by the board in consultation with the industry.
SEC. 13.
Section 19620 of the Business and Professions Code is repealed.(a)The Legislature finds and declares that the Department of Food and Agriculture is responsible for ensuring the integrity of the Fair and Exposition Fund, administering allocations from the fund to the network of California fairs, as defined in Sections 19418 to 19418.3, inclusive, and providing oversight of activities carried out by each California fair.
(b)Oversight shall include, but not be limited to, the following:
(1)Monitoring the solvency of the Fair and Exposition Fund.
(2)Distributing available state resources to the network of California fairs based on criteria for state allocations approved by the Secretary of Food and Agriculture. The criteria for the distribution of available state resources to the network of California fairs shall not include a consideration of the structure that governs the fair.
(3)Creating a framework for administration of the network of California fairs allowing for maximum autonomy and local decisionmaking authority, and conducting, or causing to be conducted, annual fiscal audits and periodic compliance audits.
(4)Conducting fiscal and performance audits of county fairs and citrus fruit fairs that are requested by the fair that is the subject of the audit, and that the Department of Food and Agriculture deems to be necessary.
(5)Guiding and providing incentives to fairs to seek matching funds and generate new revenue from a variety of sources.
(6)Supporting continuous improvement of fair programming to ensure that California fairs remain highly relevant community institutions.
SEC. 14.
Section 19620.1 of the Business and Professions Code is repealed.From the total revenue received by the department, exclusive of money received pursuant to Sections 19640 and 19641, the Legislature shall annually appropriate to the department those sums as it deems necessary for the following purposes:
(a)For the oversight of the network of California fairs receiving money from the fund.
(b)For the auditing of all district agricultural association fairs, county fairs, and citrus fruit fairs.
SEC. 15.
Section 19620.15 of the Business and Professions Code is repealed.(a)Notwithstanding any other law, a return filed with the California Department of Tax and Fee Administration (CDTFA) to report gross receipts for sales and use tax purposes shall segregate the gross receipts of the seller and the sales price of the property on a line or a separate form as prescribed by the CDTFA when the place of sale in this state or for use in this state is on or within the real property of a state-designated fair or any real property of a state-designated fair that is leased to another party.
(b)For purposes of this section, “state-designated fair” means a state-designated fair as defined in Sections 19418, 19418.1, 19418.2, and 19418.3.
(c)The CDTFA shall add a line to a current return form, or develop a separate form for purposes of this section.
(d)(1)The CDTFA shall report the amount of the total gross receipts segregated on the returns filed for the prior fiscal year pursuant to subdivision (a) to the Department of Finance on or before November 1 of each year.
(2)The total gross receipts shall be subject to review by the CDTFA for errors. The review may be a review of a sample of returns. The CDTFA shall note any errors identified in the review and the approximate impact of those errors on the total gross receipts in its report to the Department of Finance to allow an adjusted total gross receipt amount to be determined.
(e)An amount equal to three-quarters of 1 percent of the total amount of gross receipts, or adjusted gross receipts, for the prior fiscal year reported to the Department of Finance by the CDTFA as specified in subdivision (d) shall be included in the next annual Governor’s Budget for the Department of Food and Agriculture for allocation to fairs pursuant to Section 19620.2. No later than 30 days after the enactment of the annual Budget Act, the amount appropriated by the Legislature to the
Department of Food and Agriculture pursuant to this section shall be transferred by the Controller to the Fair and Exposition Fund in the State Treasury and shall be continuously appropriated and available to be allocated pursuant to Section 19620.2.
(f)The CDTFA shall be paid the actual cost for administering the provisions of this section from the funds appropriated pursuant to subdivision (e) before any allocation is made to fairs in accordance with Section 19620.2.
(g)(1)Any revenues deposited into the Fair and Exposition Fund pursuant to this section shall only be allocated to a state-designated fair if nonmanagement employees at that state-designated fair, or nonmanagement employees at any real property of that state-designated fair that is leased to
another party, are provided the following working conditions:
(A)The employee receives a meal period of not less than 30 minutes for a work period of more than five hours per day, unless the work period per day of the employee is less than six hours and the meal period is waived by mutual consent of both the employer and the employee.
(B)The employee receives a second meal period of not less than 30 minutes for a work period of more than 10 hours per day, unless the work period per day of the employee is less than 12 hours, the second meal period is waived by mutual consent of both the employer and the employee, and the first meal period was not waived.
(C)Any work in excess of eight hours in one workday, any work in excess of 40 hours in any one workweek, and the first eight hours worked on the seventh day of work in any one workweek is compensated at the rate of no less than one and one-half times the regular rate of pay for an employee.
(D)Any work in excess of 12 hours in one day is compensated at the rate of no less than twice the regular rate of pay for an employee.
(E)Any work in excess of eight hours on any seventh day of a workweek is compensated at the rate of no less than twice the regular rate of pay for an employee.
(2)This subdivision shall not apply to full-time carnival ride operators employed by a traveling carnival.
(3)For purposes of this subdivision, an employee shall not include an employee covered by a valid collective bargaining agreement if that agreement expressly provides for all of the following:
(A)Wages, hours of work, and working conditions of the employees.
(B)Meal periods for the employees, including final and binding arbitration of disputes concerning application of its meal period provisions.
(C)Premium wage rates for all overtime hours worked, and a regular hourly rate of pay of not less than 30 percent more than the state minimum wage.
SEC. 16.
Section 19620.2 of the Business and Professions Code is repealed.(a)Any unallocated balance from Sections 19606.1 and 19620.1, revenue deposited into the Fair and Exposition Fund pursuant to Section 19614, and funding appropriated by the Legislature or otherwise designated for California fairs pursuant to this chapter or any other law is hereby appropriated without regard to fiscal years for allocation by the Secretary of Food and Agriculture for capital outlay to California fairs for fair projects involving public health and safety, for fair projects involving major and deferred maintenance, for fair projects necessary due to any emergency, for projects that are required by physical changes to the fair site, for projects that are required to protect the fair property or installation, such as fencing and flood
protection, and for the acquisition or improvement of any property or facility that will serve to enhance the operation of the fair.
(b)A portion of the funds subject to allocation pursuant to subdivision (a) may be allocated to California fairs for general operational support. It is the intent of the Legislature that these moneys be used primarily for those fairs whose sources of revenue may be limited for purposes specified in this section.
SEC. 17.
Section 19621 of the Business and Professions Code is repealed.Notwithstanding any other law, neither the state nor the Department of Food and Agriculture is liable for any contract or tort of, or any action taken or any failure to act by, any fair in the network of California fairs that does not comply with the requirements of Section 19622.2.
No member of the fair board, or any employee or agent thereof, is personally liable for the contracts or actions of the fair board, and no member of the fair board or employee or agent thereof is responsible individually in any way to any other person for error in judgment, mistakes, or other acts, either of commission or omission, as principal, agent, or employee, except for his or her own individual acts of dishonesty or crime. No member of the
fair board shall be held responsible individually for any act or omission of any other member of the fair board. The liability of the members of the fair board is several and not joint, and no member is liable for the default of any other member.
SEC. 18.
Section 19621.1 of the Business and Professions Code is repealed.(a)The Secretary of Food and Agriculture shall prepare and submit to the Department of Finance an estimate of revenue to be deposited in the fund and allocations to be made from the fund for each fiscal year.
The Director of Finance may authorize short-term, cashflow loans from the unappropriated surplus of the General Fund to the Fair and Exposition Fund if all of the following conditions are met:
(1)The loan will be repaid during the same fiscal year in which it is made.
(2)No loan exceeds the amount remaining to be allocated in any fiscal year or 75 percent of the revenue estimated to be deposited in the Fair and Exposition Fund during the remainder of the fiscal year.
(b)The Secretary of Food and Agriculture shall notify the Controller when loans under this section are no longer required and any unnecessary loan funds shall be returned to the General Fund.
SEC. 19.
Section 19622 of the Business and Professions Code is repealed.(a)In order to maintain their eligibility to receive funds or to utilize state assets, the fairs specified in Section 19418 shall do all of the following:
(1)File an annual statement of operations with the Department of Food and Agriculture.
(2)Conduct an annual fair that includes agriculture and other community-relevant exhibits and competitions.
(b)The Department of Food and Agriculture may withhold or restrict allocations to fairs that do not comply with this section or the fiscal standards or administrative standards established by the department.
The department shall establish an appeal process for fairs regarding funds that are withheld or restricted.
SEC. 20.
Section 19622.1 of the Business and Professions Code is repealed.(a)The authority of the Department of Food and Agriculture shall include, but is not limited to, requiring the California Exposition and State Fair to meet all applicable standards prescribed by the department.
(b)The department may delegate approval authority for such matters as the department may determine to the Board of Directors of the California Exposition and State Fair if the fair complies with this section.
(c)Notwithstanding any other law, the department may assume all rights, duties, and powers of the Board of Directors of the California Exposition and State Fair if the department determines there is
insufficient fiscal or administrative control. The board of directors shall again exercise these rights, duties, and powers when the department determines that the fair has been restored to solvency and is in compliance with this section.
(d)The department may petition a court of competent jurisdiction for an order appointing the department, or a person designated by the department, as a receiver if it determines that the California Exposition and State Fair is insolvent, or is in imminent danger of insolvency. The court shall appoint a receiver upon showing that the fair is insolvent, or is in imminent danger of insolvency.
(e)For the purposes of this section, “insolvency” means that the California Exposition and State Fair is unable to discharge its debts as they become due in the usual course of business.
(f)The General Fund and the Fairs and Exposition Fund shall be held harmless from any debts, liabilities, settlements, judgments, or liens incurred by the California Exposition and State Fair, including any deficiency in operating funds.
SEC. 21.
Section 19622.2 of the Business and Professions Code is repealed.(a)The authority of the Department of Food and Agriculture shall include, but is not limited to, requiring district agricultural associations to meet all applicable standards prescribed by the Department of Food and Agriculture.
(b)The department may delegate approval authority for such matters as the department may determine to the board of directors if the board complies with this section.
(c)Notwithstanding any other law, and in order to protect the integrity of the Fair and Exposition Fund, the department may assume any or all rights, duties, and powers of the board of directors of a district agricultural association if the department reasonably
determines that there is insufficient fiscal or administrative control. The board of directors shall again exercise these rights, duties, and powers when the department determines that the fair is in compliance with this section.
(d)The department may petition a court of competent jurisdiction for an order appointing the department, or a person designated by the department, as a receiver if it determines that the fair is insolvent, or is in imminent danger of insolvency. The court shall appoint a receiver upon a showing that the fair is insolvent, or is in imminent danger of insolvency.
(e)For the purposes of this section, “insolvency” means that the district agricultural association is unable to discharge its debts as they become due in the usual course of business.
SEC. 22.
Section 19622.3 of the Business and Professions Code is repealed.The authority of the Department of Food and Agriculture shall include, but is not limited to, requiring county fairs and citrus fruit fairs to do all of the following:
(a)Meet all applicable standards prescribed by the Department of Food and Agriculture.
(b)Submit to the department for review and approval every five years a written agreement specifying the operational, financial, and administrative responsibilities between the entity producing the fair and the host county, or the host agency.
SEC. 23.
Section 19623 of the Business and Professions Code is repealed.Funds appropriated from the Fair and Exposition Fund may be expended for the payment of premiums, for capital outlay purposes, including the purchase of land and equipment for construction and improvements, and for the general support and maintenance of the network of California fairs and for the department’s oversight of the network of California fairs.
SEC. 24.
Section 19627.5 of the Business and Professions Code is repealed.Notwithstanding Section 19623, any unanticipated revenues, other than any allocation from the state, which are in excess of the approved budget for any fiscal or calendar year of any California fair shall be retained by that fair.
These funds may be expended, without regard to any fiscal year, by any fair to which Section 19623 applies, upon approval by the board of directors of that fair, which shall be recorded in the official minutes of the fair approving a plan of expenditure.
SEC. 25.
Section 19628 of the Business and Professions Code is repealed.If any California fair does not hold a fair in any year because of war conditions, or because the grounds or buildings of the fair have been taken over and occupied by the United States or its armed forces, or that fair is not held due to an act of God, or any unavoidable catastrophe, natural or human made, the fair shall nevertheless submit an annual statement of operations and shall not resume operations without a budget that has been approved by the Department of Food and Agriculture.
SEC. 26.
Section 19629 of the Business and Professions Code is repealed.The Department of Food and Agriculture may make and may administer loans from the Fair and Exposition Fund to any fair in the network of California fairs according to agreements that are specific to the circumstances that gave rise to a receiving fair’s need for a loan, subject to the fair’s demonstrated ability to repay the loan.
SEC. 27.
Section 19630 of the Business and Professions Code is repealed.Notwithstanding any other law, any fair qualified to receive an allocation that has complied with the requirements set forth in subdivision (b) of Section 19622, with the approval of the Department of Food and Agriculture, may expend available funds for the construction or operation of recreational and cultural facilities of general public interest.
SEC. 28.
Section 19631 of the Business and Professions Code is repealed.Notwithstanding any other provision of law, the 1-A District Agricultural Association may, with the approval of the Department of Food and Agriculture, expend any money available for expenditure by it, for construction, repairs, and equipment.
SEC. 29.
Section 19632 of the Business and Professions Code is repealed.All license fees for conducting horseracing meetings, other than those attributable to breakage, not payable into the Fair and Exposition Fund shall be paid as follows:
(a)During each fiscal year there shall be paid into the Wildlife Restoration Fund, which fund is hereby continued in existence, to carry out the provisions of the Wildlife Conservation Act of 1947, the sum of seven hundred fifty thousand dollars ($750,000).
(b)During each fiscal year there is appropriated to the Department of Education the sum of five hundred thousand dollars ($500,000), or so much thereof as may be requested by the Superintendent of Public Instruction, to maintain and strengthen statewide secondary vocational student organizations authorized and sponsored by the Department of Education in agriculture, business, home economics, and industrial education. The Superintendent of Public Instruction shall develop a budget procedure for the disbursement of funds appropriated under this section to ensure equal treatment of participating students and to further ensure that such funds do not supplant existing money currently provided from other public sources. The appropriated money shall be used for the following purposes:
(1)Improving the ability of the Department of Education to equip vocational education students with competencies necessary to enter the labor market and to assume successful roles in society by conducting leadership development programs for student officers; preparing instructional materials for teacher advisors; maintaining student membership and financial records; giving in-service training to the vocational teachers who advise the student organizations; maintaining affiliation with national vocational student organizations; and supplying support services necessary to carry out these activities.
(2)Training and preparing new and future vocational education teachers to organize, manage, and conduct vocational education student organization activities as an instructional strategy in the vocational curriculum by providing an opportunity for their involvement in actual participatory experiences in vocational student organization activities and by conducting college and university workshops to accomplish this purpose.
(3)Training and preparing vocational students to take an active part in developing and participating in vocational fairs and other activities related to fairs for the purpose specified in Section 51004 of the Education Code by cooperating with the Department of Food and Agriculture to conduct annually a statewide workshop for this purpose.
The Department of Education shall include within the report required pursuant to subdivision (a) of Section 8007.5 of the Education Code, a report on the activities funded pursuant to this subdivision.
(c)Except as otherwise provided by this article, the remainder shall be paid into the General Fund in the State Treasury.
SEC. 30.
Section 19636 of the Business and Professions Code is repealed.All money appropriated pursuant to this article to the California Exposition and State Fair, the Los Angeles County Fair, the Sixth District Agricultural Association, known and designated as Exposition Park, the citrus fruit fairs defined in Section 4603 of the Food and Agricultural Code, and the 1-A District Agricultural Association, is exempt from Section 16304 of the Government Code, and shall remain available for expenditure from year to year until expended.
SEC. 31.
Section 19637 of the Business and Professions Code is repealed.Appropriations and allocations from the Fair and Exposition Fund made pursuant to this article, other than those made under subdivision (b) of Section 19620 are exempt from the provisions of Section 16304 of the Government Code. The date of such executive order is deemed to be the date when the appropriation becomes available for expenditure.
All appropriations and allocations made by this article which are not exempted by this section from the provisions of Section 16304 of the Government Code are subject to those provisions.
SEC. 32.
Section 19638 of the Business and Professions Code is repealed.The books and records of any county or citrus fruit fair or exposition receiving an appropriation or an allocation from the Fair and Exposition Fund, insofar as they relate to revenues and expenditures for fair or exposition purposes, may be audited by the Department of Finance.
When any county or citrus fruit fair or exposition receiving an appropriation or allocation from the Fair and Exposition Fund contracts with an association to conduct such fair or exposition, the contract shall include a provision that the books and records of such association shall be subject to audit by the Department of Finance at the discretion of the department.
SEC. 33.
Section 1352 of the Fish and Game Code is amended to read:1352.
(a) The money in the Wildlife Restoration Fund, as provided for by Section 19632 of the Business and Professions Code, as that section read on January 1, 2024, is available for expenditure underSEC. 34.
Chapter 2 (commencing with Section 3101) of Part 1 of Division 3 of the Food and Agricultural Code is repealed.SEC. 35.
Chapter 2 (commencing with Section 3101) is added to Part 1 of Division 3 of the Food and Agricultural Code, to read:CHAPTER 2. Fairs and District Agricultural Associations
3101.
(a) “Fair,” referred to in this division, means the California Exposition and State Fair in the City of Sacramento and those fairs specified in Sections 3102, 3103, and 3104 that may receive financial support or are otherwise governed pursuant to this chapter. These fairs may also be referred to as part of the “network of California fairs.”3102.
The district agricultural associations and their locations are as follows:3103.
The county fairs and their locations are as follows:3104.
The citrus fruit fairs and their locations are as follows:3105.
(a) The Legislature finds and declares that district agricultural associations, county fairs, citrus fruit fairs, and the California Exposition and State Fair, collectively known as the network of California fairs, are a valuable community resource, and recognizes that local businesses and local communities make valuable contributions to fairs that include direct and indirect support of fair programs. The Legislature further finds and declares that local businesses often provide opportunity purchases to local fairs that, for similar things available through the state purchasing program, may be purchased locally at a price equivalent to or less than that available through the state purchasing program.3106.
The provisions of this chapter, insofar as they are substantially the same as existing code provisions relating to the same subject matter, shall be construed as restatements and continuations thereof, and not as new enactments.SEC. 36.
The heading of Chapter 3 (commencing with Section 3200) of Part 1 of Division 3 of the Food and Agricultural Code is amended to read:CHAPTER 3. Revenue and Fiscal Provisions
SEC. 37.
Section 3200 of the Food and Agricultural Code is amended to read:3200.
All funds appropriated by the Legislature or designated for California fairs and expositions pursuant to this chapter or any other law shall be deposited into the Fair and Exposition Fund and be continuously appropriatedSEC. 38.
Section 3201 is added to the Food and Agricultural Code, to read:3201.
(a) The Legislature finds and declares that the Department of Food and Agriculture is responsible for ensuring the integrity of the Fair and Exposition Fund, administering allocations from the fund to the network of California fairs, as defined in Sections 3101 to 3104, inclusive, and providing oversight of activities carried out by each California fair.SEC. 39.
Section 3202 is added to the Food and Agricultural Code, to read:3202.
From the total revenue received by the department, the Legislature shall annually appropriate to the department those sums as it deems necessary for the following purposes:SEC. 40.
Section 3203 is added to the Food and Agricultural Code, to read:3203.
(a) Notwithstanding any other law, a return filed with the California Department of Tax and Fee Administration (CDTFA) to report gross receipts for sales and use tax purposes shall segregate the gross receipts of the seller and the sales price of the property on a line or a separate form as prescribed by the CDTFA when the place of sale in this state or for use in this state is on or within the real property of a fair or any real property of a fair that is leased to another party.SEC. 41.
Section 3204 is added to the Food and Agricultural Code, to read:3204.
(a) Any unallocated balance from Section 3202, 3203, or 3205, revenue deposited into the Fair and Exposition Fund pursuant to Section 19614 of the Business and Professions Code, and funding appropriated by the Legislature or otherwise designated for California fairs pursuant to this chapter or any other law is hereby appropriated without regard to fiscal years for allocation by the Secretary of Food and Agriculture for capital outlay to California fairs for fair projects involving public health and safety, for fair projects involving major and deferred maintenance, for fair projects necessary due to any emergency, for projects that are required by physical changes to the fair site, for projects that are required to protect the fair property or installation, such as fencing and flood protection, and for the acquisition or improvement of any property or facility that will serve to enhance the operation of the fair.SEC. 42.
Section 3205 is added to the Food and Agricultural Code, to read:3205.
(a) Notwithstanding any other law, at the direction of the secretary with the concurrence of the Director of Finance, all revenues that are deposited into the Fair and Exposition Fund pursuant to Section 3203 may first be deposited into a separate account in the fund to be known as the California Fairs Trust Account and, notwithstanding Section 13340 of the Government Code, are continuously appropriated from that account to the Department of Food and Agriculture, for allocation by the secretary, at their discretion, for the purposes set forth in paragraphs (1) to (4), inclusive. The concurrence of the Director of Finance shall be required for allocations pursuant to paragraph (1). Allocations pursuant to paragraphs (2) to (4), inclusive, shall be made with the concurrence of the Joint Committee on Fairs Allocation and Classification.SEC. 43.
Section 3206 is added to the Food and Agricultural Code, to read:3206.
All revenues payable to the state and deposited in a separate account in the fund pursuant to Section 3205 that are allocated by the secretary for the purposes of paragraph (1) of subdivision (a) of Section 3205 are hereby pledged for the repayment of the principal of, and interest on, bonds issued by a joint powers agency, or of other debt service or expense incurred for the purposes described in that paragraph.SEC. 44.
Section 3207 is added to the Food and Agricultural Code, to read:3207.
(a) Any joint powers agency requesting money in connection with the issuance of bonds for the purposes described in paragraph (1) of subdivision (a) of Section 3205 shall file an application with the secretary, in the form required by the secretary.SEC. 45.
Section 3208 is added to the Food and Agricultural Code, to read:3208.
It is the intent of the Legislature in enacting Sections 3206, 3207, and 3209 to provide the revenues necessary for the financing by joint powers agencies of the described facilities and projects, which shall be deemed to be public capital improvements within the meaning of Article 4 (commencing with Section 6584) of Chapter 5 of Division 7 of Title 1 of the Government Code. Deposits into the account in the fund in accordance with paragraph (1) of subdivision (a) of Section 3205 shall continue through and including either the 20th year after the initial calendar year in which the revenues are collected, or whatever period of time is necessary to repay any borrowings of the joint powers funding mechanism, including, but not limited to, retirement of bonded indebtedness, loan repayments, and monthly payments involving lease-purchase programs made by a joint powers agency to finance described facilities and projects, whichever time is longer.SEC. 46.
Section 3209 is added to the Food and Agricultural Code, to read:3209.
(a) The State of California does hereby pledge to and agree with the holders of any bonds or other indebtedness issued, and with those joint powers agencies that may enter into project agreements with fairs or other third parties or authorize bonds or other indebtedness to be issued, in reliance on the revenue and deposits set forth in Section 3203 or the allocations set forth in subdivision (a) of Section 3205, that the state will not alter or change the structure of funding and deposits set forth in, or the pledge of funds for, debt service, security, including any coverage factors, and expenses, pursuant to those sections until the bonds and other indebtedness are fully paid or discharged and the project is fully performed or discharged. However, nothing precludes any alteration or change if and when adequate provision has been made by law for the protection from impairment of the contracts represented by the bonds, other indebtedness and projects, and the right to so alter or change is hereby reserved. Joint powers agencies may include this pledge and undertaking of the state in the bonds, agreements evidencing other indebtedness, and project agreements.SEC. 47.
Section 3210 is added to the Food and Agricultural Code, to read:3210.
(a) Notwithstanding any other law, neither the state nor the department is liable for any contract or tort of, or any action taken or any failure to act by, any fair in the network of California fairs that does not comply with the requirements of Section 3214.SEC. 48.
Section 3211 is added to the Food and Agricultural Code, to read:3211.
(a) (1) The secretary shall prepare and submit to the Department of Finance an estimate of revenue to be deposited into the fund and allocations to be made from the fund for each fiscal year.SEC. 49.
Section 3212 is added to the Food and Agricultural Code, to read:3212.
(a) In order to maintain their eligibility to receive funds or to utilize state assets, the fairs specified in Section 3101 shall do all of the following:SEC. 50.
Section 3213 is added to the Food and Agricultural Code, to read:3213.
(a) The authority of the department shall include, but is not limited to, requiring the California Exposition and State Fair to meet all applicable standards prescribed by the department.SEC. 51.
Section 3214 is added to the Food and Agricultural Code, to read:3214.
(a) The authority of the department shall include, but is not limited to, requiring district agricultural associations to meet all applicable standards prescribed by the department.SEC. 52.
Section 3215 is added to the Food and Agricultural Code, to read:3215.
The authority of the department shall include, but is not limited to, requiring county fairs and citrus fruit fairs to do all of the following:SEC. 53.
Section 3216 is added to the Food and Agricultural Code, to read:3216.
Funds appropriated from the Fair and Exposition Fund may be expended for the payment of premiums, for capital outlay purposes, including the purchase of land and equipment for construction and improvements, and for the general support and maintenance of the network of California fairs and for the department’s oversight of the network of California fairs.SEC. 54.
Section 3217 is added to the Food and Agricultural Code, to read:3217.
(a) Notwithstanding Section 3216, any unanticipated revenues, other than any allocation from the state, that are in excess of the approved budget for any fiscal or calendar year of any California fair shall be retained by that fair.SEC. 55.
Section 3218 is added to the Food and Agricultural Code, to read:3218.
If any California fair does not hold a fair in any year because of war conditions, or because the grounds or buildings of the fair have been taken over and occupied by the United States or its armed forces, or that fair is not held due to an act of God, or any unavoidable catastrophe, natural or human made, the fair shall nevertheless submit an annual statement of operations and shall not resume operations without a budget that has been approved by the department.SEC. 56.
Section 3219 is added to the Food and Agricultural Code, to read:3219.
The department may make and may administer loans from the Fair and Exposition Fund to any fair in the network of California fairs according to agreements that are specific to the circumstances that gave rise to a receiving fair’s need for a loan, subject to the fair’s demonstrated ability to repay the loan.SEC. 57.
Section 3220 is added to the Food and Agricultural Code, to read:3220.
Notwithstanding any other law, any fair qualified to receive an allocation that has complied with the requirements set forth in subdivision (b) of Section 3212, with the approval of the department, may expend available funds for the construction or operation of recreational and cultural facilities of general public interest.SEC. 58.
Section 3221 is added to the Food and Agricultural Code, to read:3221.
Notwithstanding any other law, the 1-A District Agricultural Association may, with the approval of the department, expend any money available for expenditure by the association, for construction, repairs, and equipment.SEC. 59.
Section 3222 is added to the Food and Agricultural Code, to read:3222.
All money appropriated pursuant to this chapter to the California Exposition and State Fair, the Los Angeles County Fair, the Sixth District Agricultural Association, known and designated as Exposition Park, the citrus fruit fairs, as defined in Section 4603, and the 1-A District Agricultural Association, is exempt from Section 16304 of the Government Code, and shall remain available for expenditure from year to year until expended.SEC. 60.
Section 3223 is added to the Food and Agricultural Code, to read:3223.
(a) Appropriations and allocations from the Fair and Exposition Fund made pursuant to this chapter, other than those made under subdivision (b) of Section 3201, are exempt from Section 16304 of the Government Code. The date of the executive order is deemed to be the date when the appropriation becomes available for expenditure.SEC. 61.
Section 3224 is added to the Food and Agricultural Code, to read:3224.
(a) The books and records of any county or citrus fruit fair or exposition receiving an appropriation or an allocation from the Fair and Exposition Fund, insofar as they relate to revenues and expenditures for fair or exposition purposes, may be audited by the Department of Finance.SEC. 62.
Chapter 2 (commencing with Section 3851) of Part 3 of Division 3 of the Food and Agricultural Code is repealed.SEC. 63.
Section 4003 of the Food and Agricultural Code is amended to read:4003.
Any moneySEC. 64.
Article 3.7 (commencing with Section 4165) is added to Chapter 6 of Part 3 of Division 3 of the Food and Agricultural Code, to read:Article 3.7. 48th District Agricultural Association
4165.
Notwithstanding any other law, the directors of the 48th District Agricultural Association may not serve concurrently on another fair board.SEC. 65.
Section 4210 of the Food and Agricultural Code is repealed.Notwithstanding any other provision of law, the directors of the 48th District Agricultural Association may not serve concurrently on another fair board.
SEC. 66.
Section 4651 of the Food and Agricultural Code is repealed.The fair shall be deemed to be a fair and association within the meaning of Chapter 1 (commencing with Section 4401), Part 4 of this division and the association so conducting and holding such citrus fruit fair shall be entitled to participate in the benefits and appropriations provided for in and by Chapter 1 (commencing with Section 4401), Part 4 of this division and shall receive aid, as provided therein and as otherwise provided by law for citrus fruit fairs, in the same manner as if such citrus fruit fair was being conducted and carried on in the manner provided in and under the previous provisions of Chapter 1 (commencing with Section 4401), Part 4 of this division.
SEC. 67.
Section 4652 of the Food and Agricultural Code is repealed.An association conducting a citrus fruit fair may receive and use, for the citrus fruit fair, any money which is appropriated for use of a “citrus fruit fair”.
SEC. 68.
Section 4701 of the Food and Agricultural Code is amended to read:4701.
An association that conducts and carries on any citrus fruit fairSEC. 69.
Section 6546 of the Government Code is amended to read:6546.
In addition to other powers, any agency, commission, or board provided for by a joint powers agreement pursuant to Article 1 (commencing with Section 6500) may issue revenue bonds pursuant to this article to pay the cost and expenses of acquiring or constructing a project or conducting a program for any or all of the following purposes:“ Programs,”
Bonds
SEC. 70.
Section 13083 of the Government Code is repealed.The State Agricultural Society has control of the real property in the City of Sacramento, described as Lots 62, 63, 64 and 65 on Fifth Avenue and Fifty-seventh Street, and now merged with the land comprising the State Fair Grounds, for use for State Fair purposes.
