Bill Text: CA AB1025 | 2021-2022 | Regular Session | Amended


Bill Title: Institutional purchasers: purchase of domestic agricultural food products.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced) 2021-04-14 - In committee: Set, first hearing. Hearing canceled at the request of author. [AB1025 Detail]

Download: California-2021-AB1025-Amended.html

Amended  IN  Assembly  March 18, 2021

CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill
No. 1025


Introduced by Assembly Member Members Robert Rivas and Eduardo Garcia

February 18, 2021


An act to amend Section 3001 58595 of the Food and Agricultural Code, relating to expositions and fairs. agricultural products.


LEGISLATIVE COUNSEL'S DIGEST


AB 1025, as amended, Robert Rivas. Expositions and fairs: free admission. Institutional purchasers: purchase of domestic agricultural food products.
Existing law requires all California state-owned or state-run institutions, except public universities and colleges and school districts, to purchase an agricultural product grown in California when the bid or price of the California-grown agricultural product does not exceed by more than 5% the lowest bid or price for an agricultural product produced outside the state and the quality of the California-grown agricultural product is comparable. Existing law also requires the institutions, when they solicit or intend to accept a bid or price for agricultural products grown outside the state, to accept the bid or price from a vendor that packs or processes these agricultural products in the state before accepting a bid or price from a vendor that packs or processes these agricultural products outside of the state when specified conditions are met, including that the bid or price of the agricultural product grown outside the state and packed or processed in the state does not exceed by more than 5% the lowest bid or price for the agricultural product packed or processed outside the state. Existing law requires a school district that solicits bids for the purchase of an agricultural product to accept a bid or price for that agricultural product when it is grown in California before accepting a bid or price for an agricultural product that is grown outside the state when the bid or price of the California-grown agricultural product does not exceed the lowest bid or price for an agricultural product produced outside the state and the quality of the California-grown agricultural product is comparable. Under existing law, these provisions only apply to a contract to purchase agricultural products for a value that is less than the value of the threshold for supplies and services for which California has obligated itself under the Agreement on Government Procurement of the World Trade Organization.
This bill would instead require all California state-owned or state-run institutions, all segments of public postsecondary education, and all local educational agencies that solicit bids for the purchase of an agricultural food product to purchase agricultural food products grown, packed, or processed domestically, unless either the bid or price of the nondomestic agricultural food product is more than 25% lower than the bid or price of the domestic agricultural food product or the quality of the domestic agricultural food product is inferior to the quality of the agricultural food product grown, packed, or produced nondomestically. The bill would provide that the bill’s provisions neither limit nor expand California’s obligations under the Agreement on Government Procurement of the World Trade Organization. The bill would define “agricultural food product” for these purposes. By creating new duties for school districts and community colleges, this 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, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

Existing law governs fairs and expositions in this state. Existing law authorizes certain persons to be admitted to those fairs and expositions without the payment of an admission charge and provides definitions for specified categories of free admission.

This bill would make a nonsubstantive change to the latter provision.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NOYES   Local Program: NOYES  

The people of the State of California do enact as follows:


SECTION 1.

 The Legislature finds and declares all of the following:
(a) Over one-third of the country’s vegetables and two-thirds of the country’s fruits and nuts are grown in California. California’s agricultural abundance includes more than 400 commodities. California is the leading state in the nation for cash farm receipts, accounting for over 13 percent of the nation’s total agricultural value.
(b) California is the sole producer (99 percent or more) in the nation of the following crops: almonds, artichokes, dates, figs, garlic, grapes, raisins, kiwi, melons, olives, clingstone peaches, pistachios, rice, and walnuts, and a lead producer in many more agricultural products.
(c) On January 25, 2021, President Joe Biden issued an Executive Order on “Ensuring the Future Is Made in All of America by All of America’s Workers” that stated that “It is the policy of my Administration that the United States Government should, consistent with applicable law, use terms and conditions of Federal financial assistance awards and Federal procurements to maximize the use of goods, products, and materials produced in, and services offered in, the United States. The United States Government should, whenever possible, procure goods, products, materials, and services from sources that will help American businesses compete in strategic industries and help America’s workers thrive.”
(d) The Buy American Provision requiring the purchase of domestic commodities by participants in the National School Lunch Program has been in place for 30 years. However, the law allows waivers where the domestic product is priced significantly higher than a nondomestic product. This loophole has resulted in widespread noncompliance with Buy America requirements.
(e) According to figures from the National Council of Farmer Cooperatives, 81 percent of the apple juice served in the school lunch program is imported, and 50 to 60 percent of the fish served in schools is “caught by Russian ships and processed in China.”
(f) Competition from nondomestic producers hurts California agriculture and threatens to eliminate the jobs that workers depend on to feed their own families.
(g) Those who rely on publicly purchased nutrition programs, including school nutrition programs, are often among the most vulnerable children and families. They should have access to high-quality, healthy meals, such as those grown, packed, and produced in California.
(h) Purchasing domestic products reduces the carbon footprint and results in lower greenhouse gas emissions. California companies are subject to more rigorous environmental standards, resulting in enhanced food safety and public safety.

SEC. 2.

 Section 58595 of the Food and Agricultural Code is amended to read:

58595.
 (a) All California state-owned or state-run institutions, except public universities and colleges and school districts, all segments of public postsecondary education as described in Section 66010 of the Education Code, and all local educational agencies as defined in Section 49557.5 of the Education Code that solicit bids for the purchase of an agricultural food product shall accept a bid or price for that agricultural product when it is grown in California before accepting a bid or price for an agricultural product that is grown outside the state, when both of the following are met: not purchase agricultural food products grown, packed, or processed nondomestically, unless one of the following applies:

(1)The bid or price of the California-grown agricultural product does not exceed by more than 5 percent the lowest bid or price for an agricultural product produced outside the state.

(2)The quality of the California-grown agricultural product is comparable to that agricultural produce produced outside the state.

(b)All California state-owned or state-run institutions, except public universities and colleges and school districts, that intend to accept a bid or price for agricultural products grown outside the state shall accept the bid or price from a vendor that packs or processes these agricultural products in the state before accepting a bid or price from a vendor that packs or processes these agricultural products outside of the state, when both of the following are met:

(1)The bid or price of the agricultural product grown outside the state and packed or processed in the state does not exceed by more than 5 percent the lowest bid or price for the agricultural product packed or processed outside the state.

(2)The quality of the agricultural product packed or processed in the state is comparable to those packed or processed outside the state.

(c)A school district that solicits bids for the purchase of an agricultural product shall accept a bid or price for that agricultural product when it is grown in California before accepting a bid or price for an agricultural product that is grown outside the state, when both of the following are met:

(1)The bid or price of the California-grown agricultural product does not exceed the lowest bid or price for an agricultural product produced outside the state.

(2)The quality of the California-grown agricultural product is comparable to that agricultural produce produced outside the state.

(1) The bid or price of the nondomestic agricultural food product is more than 25 percent lower than the bid or price of the domestic agricultural food product.
(2)  The quality of the domestic agricultural food product is inferior to the quality of the agricultural food product grown, packed, or produced nondomestically.

(d)

(b) This section shall only apply to a contract to purchase agricultural products for a value that is less than the value of the threshold for supplies and services for which California has obligated itself neither limit nor expand California’s obligations under the Agreement on Government Procurement of the World Trade Organization.
(c) For purposes of this section, “agricultural food product” means a fresh or processed product, including fruits, nuts, vegetables, herbs, mushrooms, dairy, shell eggs, honey, pollen, unprocessed bees wax, propolis, royal jelly, flowers, grains, nursery stock, raw sheared wool, livestock meats, poultry meats, rabbit meats, and fish, including shellfish.

SEC. 3.

 If the Commission on State Mandates determines that this act contains 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.
SECTION 1.Section 3001 of the Food and Agricultural Code is amended to read:
3001.

Unless the context otherwise requires, the definitions in this article govern the construction of this chapter.

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