Bill Text: CA AB1401 | 2009-2010 | Regular Session | Amended

California Assembly Bill 1401 (Prior Session Legislation)

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: Transition to Organics Act.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Vetoed) 2010-01-14 - Consideration of Governor's veto stricken from file. [AB1401 Detail]

Download: California-2009-AB1401-Amended.html

BILL NUMBER: AB 1401	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 20, 2009

INTRODUCED BY   Assembly Member Ma
   (Principal coauthor: Senator Leno)

                        FEBRUARY 27, 2009

   An act to add Chapter 10.1 (commencing with Section 46100) to
Division 17 of the Food and Agricultural Code, relating to organic
foods.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1401, as amended, Ma. Transition to Organics Act.
   Existing law prohibits a food from being sold as organic unless it
meets certain criteria, and accurate and specific records are kept
detailing its production, handling, and sale.
   This bill would enact the California Transition to Organics Act of
2009. The bill would establish the Transition to Organics Fund,
 and would specify the uses for which the money in the fund
could be expended   which would consist of moneys from
federal, industry, and citizen sources. The bill would limit the
expenditure of moneys from the fund to providing financial assistance
to farmers who transition from conventional farms to certified
organic farms and to covering administrative and operational expenses
incurred in administering the act, as specified  . The fund
would be administered by the Secretary of Food and Agriculture, and
the secretary would be authorized to adopt regulations to carry out
the provisions of the act. 
   The bill would also require the secretary to establish a general
account within the fund and separate accounts for each county, for
specified purposes related to providing financial assistance to farms
transitioning from conventional farm to certified organic farms.

   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Chapter 10.1 (commencing with Section 46100) is added
to Division 17 of the Food and Agricultural Code, to read:
      CHAPTER 10.1.  TRANSITION TO ORGANICS ACT


   46100.  This chapter shall be known and may be cited as the
"California Transition to Organics Act of 2009."
   46101.  This act shall be shall be interpreted in conjunction with
the National Organic Program (7 U.S.C. Sec. 6501 et seq.), the
California Organic Products Act of 2003 (Chapter 10 (commencing with
Section 46000) of this code, and Article 7 (commencing with Section
110810) of Chapter 5 of Part 5 of Division 104 of the Health and
Safety Code), and the regulations adopted pursuant to the National
Organic Program and the California Organic Products Act of 2003.
   46102.  For purposes of this chapter, the following definitions
apply:
   (a) "Act" means this chapter.
   (b) "Agricultural product" means any agricultural commodity or
product, whether raw or processed that is marketed in the United
States for human or livestock consumption.
   (c) "Certified organic farm" means a farm, or portion of a farm,
or site where agricultural products are produced, that is certified
by  the   a  certifying agent  on or
after January 1, 2010,  pursuant to the National Organic Program
and the California Organic Products Act of 2003 as utilizing a
system of organic farming.
   (d) "Conventional farm" means any farm, or portion of a farm, that
is not a certified organic farm, and has  as of the date of
the passage of this act,  submitted a pesticide use report
for that farm pursuant to Section 12979  , prior to January 1,
2010  .
   (e) "Organically produced" means an agricultural product that is
produced and handled in accordance with the National Organic Program
and the California Organic Products Act.
   (f) "Person" means an individual, group of individuals,
corporation, association, organization, cooperative, or other entity.

   (g) "Pesticide" means any substance that alone, in chemical
combination, or in any formulation with one or more substances, is
defined as a pesticide in the Federal Insecticide, Fungicide, and
Rodenticide Act (7 U.S.C. 136 et seq.).
   (h) "Secretary" means the Secretary of Food and Agriculture.
   46103.  The Transition To Organics Fund is hereby created. The
Transition To Organics Fund is not a fund of the State Treasury.
Transfers to the Transition To Organics Fund may be deposited in the
State Treasury, or in a bank or other depository approved by the
Department of Finance.  Funds that are so transferred are
exempt from Sections 11270 and 11272 of the Government Code.
  Notwithstanding any other provision of law, the moneys
in the Transition to Organics Fund shall not be transferred to any
other fund or encumbered or expended for any purpose other than as
provided in this act. 
   46104.  The Transition To Organics fund shall consist of moneys
deposited into the fund from federal, industry, and citizen sources.
 The Transition To Organics Fund may additionally receive
moneys from the General Fund.   No moneys from the
General Fund shall be deposited into the Transition to Organic 
 s Fund. 
   46105.  The Transition To Organics Fund shall be administered by
the secretary. The secretary may adopt regulations as needed to carry
out the provisions of this act.
   46106.  Expenditure of funds by the secretary pursuant to this act
shall be limited to the following:
   (a) Providing financial assistance to farmers who are
transitioning from conventional farms to certified organic farms
 .   pursuant to the following procedure: 

   (1) Upon obtaining organic certification to sell organically
produced products, for the first year of the organic certification, a
farmer transitioning from a conventional farm to a certified organic
farm may apply for and receive a reimbursement of 25 percent of the
costs associated with obtaining organic certification, including
inspection fees, application fees, and annual fees.  
   (2) The maximum amount of payment made for any farm transitioning
from a conventional farm to a certified organic farm shall be two
hundred fifty dollars ($250). Reimbursement shall be made on a
first-come-first-served basis, and shall be contingent upon
sufficient funds being available in the Transition to Organics Fund.

   (b)  Reasonable administrative  
Administrative  and operational expenses incurred in the
administration of this act  not to exceed 10 percent of the total
moneys deposited into this fund  . 
   46107.  The secretary shall establish separate accounts within the
Transition to Organics Fund. The secretary shall establish a general
account. The secretary shall additionally establish separate county
accounts, with one county account for each county in the state.
 
   46108.  Subject to Section 46113, moneys deposited within a county
account shall only be expended by the secretary for providing
financial assistance to farmers who are transitioning farms located
within that county from conventional farming to certified organic
farms.  
   46109.  Moneys deposited into the general account may be used to
provide financial assistance to any farmer in the state who is
transitioning from a conventional farm to a certified organic farm,
as well as for reasonable administrative expenses pursuant to Section
46106.  
   46107.  The secretary may administer the disbursement of moneys
from the Transition to Organics Fund in coordination with the
procedures associated with the federal Organic Certification
Cost-Share program authorized under Section 6523 of Title 7 of the
United States Code. 
    46110.   46108.   The secretary shall
receive and accept on behalf of the Transition to Organics Fund, any
contribution of money from any person, or any agency of this state or
the  Unites   United  States to the
Transition to Organics Fund, and shall deposit those contributions in
the Transition to Organics Fund. 
   46111.  Any contribution specifically directed by a contributor
toward a particular county account shall be deposited in that
specified county account.  
   46112.  Any contribution specifically directed by a contributor
toward the general account, shall be deposited in the general
account. Any contribution that is not specifically directed by the
contributor toward a particular account within the Transition To
Organics Fund, shall be deposited in the general account. 

   46113.  In the event that a county account has funds within it,
and no moneys within that county account have been distributed
pursuant to this act to farmers within that county for a total of
three years, the secretary may transfer some, or all, of the funds
within that county account to the general account, and these
transferred funds will no longer be limited to distribution within
that county.  
   46114.  The secretary shall specify the procedures to be used by
farmers seeking financial assistance pursuant to this act, as well as
the standards to be utilized by the secretary in determining
eligibility for this assistance.  
   46115.  In the disbursement of funds from both the general account
and the county accounts, the secretary shall seek to maximize the
acreage of farm land transitioning each year from conventional farms
to certified organic farms. To accomplish this objective, the rules
or regulations adopted pursuant to this act shall include all of the
following:
   (a) Prescribing the minimum and maximum amount of assistance to be
provided to each qualifying farmer.
   (b) Providing for financial assistance pursuant to this act based
upon the acreage of a farm, with at least some measure of greater
financial assistance being provided for farms of greater size.

    46116.   46109.   The secretary shall
keep records of the contributions to, and disbursements from, the
Transition to Organics Fund. These records shall be publicly
available  upon request. These records shall be made available
annually to the California Organic Products Advisory Committee
established pursuant to Section 46003  .