BILL ANALYSIS                                                                                                                                                                                                    



                            SENATE AGRICULTURE COMMITTEE
                          Senator Abel Maldonado, Chairman

          BILL NO:  AB 771                      HEARING:  7/3/07
          AUTHOR:  De Leon                      FISCAL:  Yes
          VERSION:  6/28/07                     CONSULTANT:  John Chandler
          
                             Citrus: seedless mandarins.

          BACKGROUND AND EXISTING LAW

          California has been growing citrus for over 50 years, starting  
          in southern California and slowly moving into the San Joaquin  
          Valley.  As citrus production has moved from the urbanizing  
          southern California regions, the varieties of citrus produced  
          changed with the tastes of consumers.  The standards of the  
          citrus industry, the seeded Valencia orange and seedless Navel  
          Orange, are slowly losing ground to the demands of consumers for  
          easily pealable seedless mandarin citrus varieties.  Mandarins  
          have grown in acreage; the San Joaquin Valley alone has over  
          25,000 acres of mandarins accounting for 20% of valley citrus  
          production in 2005.  

          The California bee industry provides essential pollination  
          services to California agriculture.  Bees pollinate over 130  
          different fruit, vegetable, nut, ornamental, and fiber crops in  
          California.  While bees pollinate many of these crops, the  
          forage for nectar and pollen is used to feed their colony and  
          produce honey.  With the rise in almond production in  
          California, the number of bee hives in the state has also grown  
          substantially.  Following the almond bloom period, beekeepers  
          will move their bees in the vicinity of citrus groves to allow  
          their bees to forage on the citrus.  It is estimated that during  
          the citrus bloom period, approximately 250,000 to 300,000 bee  
          colonies are located within the citrus belt.  

          The most popular seedless mandarin varieties grown in California  
          include the Clementine and the Murcott.  Both of these varieties  
          produce seedless fruit that is easy to peel meeting the changing  
          demands of citrus consumers.  When Clementine or Murcott flowers  
          are cross pollinated with other citrus varieties, their fruit  
          will set seeds.  The most effective means of cross pollination  
          is by foraging bees which carry pollen from flower to flower.   
          Bees' pollination effectiveness is why they are so essential to  
          the success of so many other California crops which require  
          cross pollination to be productive.  

          PROPOSED LAW





          AB 771 - Page 2


          AB 771 would do the following:

                 Establish Coexistence Working Groups of no more than ten  
               individuals primarily affected stakeholders that may be  
               established by CDFA to address conflicts between sectors of  
               agriculture.  These working groups would develop, review,  
               and provide findings and recommendations to CDFA regarding  
               coexistence of various sectors of agriculture that may be  
               in conflict.  
                  o         Coexistence Working Groups may develop best  
                    management practices to foster coexistence between  
                    agriculture groups, identify means of coordination and  
                    communication among involved agriculture sectors to  
                    develop consensus on voluntary production practices,  
                    and work with the State Board of Food and Agriculture  
                    to provide a forum for dialogue on agriculture  
                    coexistence.
                 Establish the Mandarin and Honeybee Coexistence Working  
               Group Act that shall be established by January 15, 2008, to  
               address coexistence issues and develop best management  
               practices for Fresno, Kern, Madera, and Tulare counties.
                 Require CDFA to adopt emergency regulations for Fresno,  
               Kern, Madera, and Tulare counties to address coexistence  
               issues with seedless mandarin producers to ensure seedless  
               fruit and give bees' access to citrus for the 2008 citrus  
               bloom if the coexistence working group fails to reach  
               consensus by February 15, 2008.  CDFA may also adopt  
               similar regulations at anytime.
                 Specify that regulations adopted by CDFA may include  
               fees paid by persons subject to and benefiting from adopted  
               regulations.

          COMMENTS

          1.Supporters of AB 771 state that this bill would enable the  
            growing seedless mandarin industry to protect their industry  
            from the quality damage caused due to bee cross pollination.   
            Further, most bees found in the California citrus belt are  
            stored there to feed off of the citrus bloom between  
            pollinating services around the nation.  While the bee  
            industry utilizes citrus bloom, the citrus industry ends up  
            with undesirable seeds in their fruit.  The establishment of a  
            coexistence working group would enable stakeholders to work on  
            finding a mutually beneficial solution to the seedless  
            mandarin and bee dispute.  The February 15, 2008, requirement  
            for CDFA emergency regulations would provide the needed hammer  
            to focus the working group to establish best management  





          AB 771 - Page 3


            practices in a timely manner.

          2.This bill would require the establishment of the Seedless  
            Mandarin and Honeybee Coexistence Working Group by January 15,  
            2008, and by February 15, 2008, require CDFA to adopt  
            emergency regulations.  Thus allowing the working group only  
            about one month after forming to establish best management  
            practices.  This timeframe seems entirely too short for a  
            workable solution to be developed by the working group.  The  
            committee may want to consider extending the timeframe of the  
            workgroup to address coexistence issues between seedless  
            mandarins and honeybees.

          3.The bill would authorize CDFA to adopt regulations and  
            establish fees to address coexistence issues related to  
            seedless mandarins and honeybees, notwithstanding other  
            avenues to resolve the conflict outlined in the bill.  This  
            would mean that CDFA could adopt regulations at any time  
            without regard to any efforts by the Seedless Mandarin and  
            Honeybee Coexistence Working Group.  The committee may want to  
            consider providing an opportunity for the working group to  
            perform its duty and allow any recommended best management  
            practices to take effect before authorizing CDFA regulations.

          4.This bill establishes the authority of CDFA to establish  
            coexistence working groups to address conflict between sectors  
            of the agriculture industry.  In the same bill, separate  
            language defines the establishment of a different coexistence  
            working group, specifically for seedless mandarins and  
            honeybees.  It would seem that the general language for a  
            coexistence working group should be sufficient to address  
            seedless mandarin and honeybee conflict without requiring  
            separate language.  The committee may want to consider what is  
            the value of having a separate act just for the seedless  
            mandarin and honeybee conflict if the bill already establishes  
            authority for CDFA to form coexistence working groups. 

          5.Should regulations be adopted by CDFA, they will be authorized  
            to establish a fee paid by persons CDFA feels are subject to  
            the regulations and benefit from the regulations.  The  
            benefiting party from regulations could theoretically include  
            both seedless mandarin growers for protection of the crop, bee  
            keepers maintaining access to citrus for honey production, or  
            any pollinator that would benefit from healthy bee hives  
            nourished on citrus pollen.  The committee may want to  
            consider if the fee should be capped and the payee further  
            defined.





          AB 771 - Page 4



          6.When this bill was heard on our June 19th hearing, it was held  
            by the author with the understanding that all parties would  
            work together to try and develop a more reasonable bill for  
            all parties.  While the author and sponsors have made an  
            effort to address concerns expressed by opponents as evidenced  
            by the amended language, major opponents have not changed  
            their position on this bill.  The committee may want to  
            consider if this bill meets the charge of this committee from  
            the June 19th hearing.

          PRIOR ACTIONS

          Irrelevant to the current version of the bill

          SUPPORT
          
          California Citrus Mutual
          Carman Family Farms 
          Griffith Farms
          Nisei Farmers League
          Paramount Citrus
          California Grocers Association
          Three Individuals

          OPPOSITION
          
          California Farm Bureau Federation
          California Minnesota Honey Farms
          California State Beekeepers Association
          Fresno County Farm Bureau
          Strachan Apiaries, Inc. 
          SueBee
          Terra Bella Honey Company
          Tulare County Farm Bureau
          California Seed Association
          Miller Honey Farms
          Eight Individuals