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AB-2499 Organic products sector: Organic Transition Pilot Program.(2021-2022)

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Date Published: 06/23/2022 09:00 PM
AB2499:v95#DOCUMENT

Amended  IN  Senate  June 23, 2022
Amended  IN  Assembly  May 19, 2022
Amended  IN  Assembly  April 20, 2022
Amended  IN  Assembly  March 24, 2022

CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill
No. 2499

Introduced by Assembly Member Maienschein

February 17, 2022

An act to amend Section 512 of, and to add and repeal Section 515 of, the Food and Agricultural Code, and to add and repeal Section 12096.4.5 of the Government Code, relating to food and agriculture.


LEGISLATIVE COUNSEL'S DIGEST


AB 2499, as amended, Maienschein. Organic products sector: Organic Transition Pilot Program.
Existing law requires the Department of Food and Agriculture to promote and protect the agricultural industry of the state. Existing law requires the department to ensure the inclusion of socially disadvantaged farmers and ranchers, as defined, in the development, adoption, implementation, and enforcement of food and agriculture laws, regulations, and policies and programs.
This bill would require the department, on or before July 1, 2023, 2024, to develop and oversee, for a period of 5 years, the Organic Transition Pilot Program in order to support the economic viability of farmers and ranchers, prioritizing limited resource, as defined, and socially disadvantaged farmers or ranchers ranchers, by providing incentives, including, but not limited to, grants, research, technical assistance, and educational materials and outreach, to certain of those farmers or ranchers who intend to transition land to organic certification pursuant to federal law, as specified. The bill would require the department to first provide incentives to applicants who identify as socially disadvantaged farmers or ranchers before providing incentives to other applicants. farmer or rancher applicants, then, if there are moneys available, to limited resource farmer or rancher applicants, and lastly, if there are moneys available, to remaining farmer or rancher applicants. The bill would require the department, on or before January 1, 2024, 2025, and annually thereafter until a report has been submitted that covers the conclusion of the pilot program, to submit to the Legislature, and post on the department’s internet website, a report on the outcome of the pilot program. The bill would repeal these provisions on January 1, 2032.
Existing law establishes the Governor’s Office of Business and Economic Development (GO-Biz) to serve the Governor as the lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth.
This bill would require the office, on or before July 1, 2023, 2024, to conduct a comprehensive statewide market analysis of the total economic impacts of California’s organic products sector and to post that market analysis on its internet website, as specified.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

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


SECTION 1.

 Section 512 of the Food and Agricultural Code is amended to read:

512.
 For purposes of this article, the following terms have the following meanings:
(a) “Farmer Equity Advisor” means the person appointed pursuant to Section 513.
(b) “Limited resource farmer or rancher” has the same definition as in Section 760.107 of Title 7 of the Code of Federal Regulations.
(c) “Secretary” refers to the Secretary of Food and Agriculture.
(d) “Socially disadvantaged farmer or rancher” means a farmer or rancher who is a member of a socially disadvantaged group.
(e) “Socially disadvantaged group” means a group whose members have been subjected to racial, ethnic, or gender prejudice because of their identity as members of a group without regard to their individual qualities. These groups include all of the following:
(1) African Americans.
(2) Native Indians.
(3) Alaskan Natives.
(4) Hispanics.
(5) Asian Americans.
(6) Native Hawaiians and Pacific Islanders.
(f) “Urbanized area,” as used by the United States Census Bureau, refers to a population of at least 50,000 people.

SEC. 2.

 Section 515 is added to the Food and Agricultural Code, to read:

515.
 (a) On or before July 1, 2023, 2024, the department, in collaboration with the Black, Indigenous and People of Colour Farmer Advisory Committee and the Small Farmer Advisory Committee, shall develop and oversee, for a period of five years, the Organic Transition Pilot Program. The pilot program shall support the economic viability of farmers and ranchers, prioritizing limited resource and socially disadvantaged farmers or ranchers ranchers, by providing incentives, including, but not limited to, grants, research, technical assistance, and educational materials and outreach, to farmers or ranchers who intend to transition land to organic certification pursuant to the federal Organic Foods Production Act of 1990 (7 U.S.C. Sec. 6501 et seq.).
(b) The Farmer Equity Advisor shall ensure that the pilot program meets the objectives of this article.

(c)(1)Farmers and ranchers that meet either of the following conditions shall be eligible to participate in the pilot program:

(A)Limited resource or

(c) In providing incentives pursuant to the pilot program, the department shall do all of the following:
(1) Provide incentives to those socially disadvantaged farmers farmer or ranchers rancher applicants who self-certify their intent to farm or ranch organically.

(B)Limited resource or socially disadvantaged farmers or ranchers who are certified organic and self-certify their intent to expand organic acreage.

(2) If there are moneys available after providing incentives pursuant to paragraph (1), provide incentives to those limited resource farmer or rancher applicants who self-certify their intent to farm or ranch organically.
(3) If there are moneys available after providing incentives pursuant to paragraphs (1) and (2), provide incentives to any farmer or rancher applicants who self-certify their intent to farm or ranch organically.

(2)

(d) (1) Applicants with year-to-year leases are eligible to may participate in the pilot program.

(3)

(2) Repeat applicants are eligible to may participate in the pilot program.

(4)

(3) If selected to receive an incentive, an applicant shall be eligible for may receive advance payment of that incentive.

(d)(1)The department shall provide incentives to applicants who identify as socially disadvantaged farmers or ranchers before providing incentives to other applicants.

(2)

(4) The department shall prioritize the provision of incentives to new applicants.
(e) The following expenses shall be eligible for incentives pursuant to the pilot program:
(1) Organic seeds and starts.
(2) Organic livestock, poultry, and related expenses.
(3) Organic feed.
(4) Soil building supplies.
(5) Compost.
(6) Compost building or generating supplies.
(7) Compost structures supplies.
(8) Organic fertilizer and pest control.
(9) Organic integrated pest management supplies.
(10) Hedgerow and ecosystem enhancement planting and design.
(11) Hiring consultants for translation services, business planning, recordkeeping, agronomic practices, certification, and marketing. business planning, and agronomic practices as they pertain to organic farming and ranching certification.
(12) Inspection and certification fees.
(13) Educational materials on organic certification and production.
(14) Development of an organic system plan.
(15) Farm supplies and repair.

(16)On-farm processing and handling equipment.

(17)Farm improvements and construction.

(18)Rent.

(19)Labor.

(20)

(16) Other expenses deemed necessary by the secretary that further the pilot program.
(f) The secretary shall make available not less than 15 percent of the moneys appropriated to the department for purposes of the pilot program to technical service providers with organic expertise, including, but not limited to, the University of California Cooperative Extension, resource conservation districts, federally recognized tribal extension programs, tribal resource conservation districts, tribal organizations, and nonprofit organizations, for any of the following purposes:
(1) Providing organic-specific technical assistance, as defined in Section 570, training, organic certification support, financial and farm planning, communication support, program recruitment, recordkeeping support, support with the application process, and translation support to limited resource and socially disadvantaged farmers or ranchers.
(2) Establishing a mentorship program for organic farmers and ranchers to support transitioning farmers and ranchers.
(3) Supporting annual information sharing for the continuous improvement of program guidelines, application processes, and relevant organic research.
(4) Developing capacity and expertise of technical assistance providers to support limited resource and socially disadvantaged farmers or ranchers to transition to organic.
(g) (1) On or before January 1, 2024, 2025, and annually thereafter until a report has been submitted that covers the conclusion of the pilot program, the department shall submit a report to the Legislature on the outcome of the pilot program.
(2) The report shall include, but is not limited to, all of the following:
(A) The number of grants awarded, including the number of grants awarded to socially disadvantaged farmers or ranchers.
(B) The amount of funds awarded.
(C) The number of grant awardees who obtained organic certification.
(D) The names of the technical assistance providers that received grants, and a summary of the technical assistance they provided.
(3) The department shall post the reports submitted pursuant to paragraph (1) on the department’s internet website.
(4) A report to be submitted pursuant to this subdivision shall be submitted in compliance with Section 9795 of the Government Code.
(h) This section shall remain in effect only until January 1, 2032, and as of that date is repealed.

SEC. 3.

 Section 12096.4.5 is added to the Government Code, to read:

12096.4.5.
 (a) On or before July 1, 2023, 2024, the office shall conduct a comprehensive statewide market analysis of the total economic impacts of California’s organic products sector.
(b) The market analysis shall, at a minimum, do all of the following:
(1) Compile employment and wage data connected to production, distribution, and sales of organic products in California.
(2) Assess the economic impacts of California’s organic trade sectors.
(3) Evaluate revenues that the California state government derives from the California organic products sector.
(4) Identify and assess economic and growth opportunities related to California organic products and trade.
(c) The office shall post the market analysis on its internet website.
(d) This section shall remain in effect only until January 1, 2028, and as of that date is repealed.