BILL ANALYSIS                                                                                                                                                                                                    






                                 SENATE HEALTH
                               COMMITTEE ANALYSIS
                         Senator Sheila J. Kuehl, Chair


          BILL NO:       SB 120                                       
          S
          AUTHOR:        Padilla                                      
          B
          AMENDED:       March 8, 2007 
          HEARING DATE:  March 14, 2007                               
          1
          FISCAL:        Appropriations                               
          2
                                                                      
          0
          CONSULTANT:                                                
          Park/
                                        

                                     SUBJECT
                                         
                   Food facilities:  nutritional information.

                                     SUMMARY  


          This bill requires food facilities, as defined, to make  
          specified nutritional information available to customers. 

                            CHANGES TO EXISTING LAW  

          Existing federal law establishes the Nutrition Labeling and  
          Education Act, which requires all packaged foods sold  
          outside of restaurants to include nutritional content  
          information on the packaging. Existing federal law also  
          requires restaurants to provide nutritional content  
          information on food items for which a nutrient or  
          health-related claim is made by the restaurant.

          Existing state law establishes the California Uniform  
          Retail Food Facilities Law (CURFFL), which imposes various  
          health and safety requirements on restaurants, and makes  
          violations of these requirements subject to criminal  
          penalties. CURFFL establishes the authority of local  
          environmental health jurisdictions to adopt a food safety  
                                                         Continued---



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          inspection program with oversight by the DHS Food and Drug  
          Branch. As of July 1st, 2007, CURFFL will be superseded by  
          the California Retail Food Code and oversight duties will  
          be transferred to the State Department of Public Health.

          This bill requires each food facility that shares the same  
          trade name with at least nine other food facilities in the  
          state, regardless of ownership, to make nutritional  
          information available to consumers for all standard menu  
          items, defined as items that are on a menu for six months  
          or longer. The information provided shall include total  
          calories, saturated fat, carbohydrates and sodium. Food  
          facilities that use only a menu board may post calorie  
          information only, provided the additional information is  
          made available in writing upon request. The bill also  
          requires a conspicuous statement regarding recommended  
          limits for saturated fat and sodium in a 2,000 calorie  
          daily diet on each page of a menu and provides for  
          enforcement and penalties.  


                                  FISCAL IMPACT  

          Unknown

                            BACKGROUND AND DISCUSSION  

          Need for the bill
          The author states that people are eating out more and eat  
          more when they eat out. The author points to increasing  
          rates of obesity in adults and children, and states that  
          the current system of voluntary labeling at restaurants is  
          inadequate given the large role that restaurant food plays  
          in our diets. The author intends for the bill to provide  
          consumers with reliable information at the point of sale to  
          help them make more informed and healthy food choices.
          
          Eating out
          Studies have shown that eating out more frequently is  
          associated with obesity, higher body fat or higher BMI, and  
          that eating more fast-food meals is linked to eating more  
          calories, more saturated fat, fewer fruits and vegetables  
          and less milk. 
          
          According to a report issued by the Center for Science in  




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          the Public Interest (CSPI) in 2003, Americans spend about  
          46 percent of food dollars at restaurants (source: National  
          Restaurant Association), compared with 26 percent in 1970.   
          According to the USDA, calories consumed at restaurants (or  
          away-from-home foods) as a part of the diet had doubled  
          from 18 percent to 34 percent by 1995. 

          Obesity epidemic 
          Obesity has reached epidemic proportions in the United  
          States, affecting one-third of all adults, 27% of children,  
          and 21% of adolescents.  Former Surgeon General David  
          Satcher stated that, "Overweight and obesity may soon cause  
          as much preventable disease and death as cigarette  
          smoking."
          
          A recent RAND study (March, 2002) reported that, "The  
          health risks of obesity [are] worse than smoking, drinking  
          or poverty."  The study reports that obesity is linked to  
          higher medical costs and very high rates of chronic  
          illnesses, higher than living in poverty, and much higher  
          than smoking or drinking.

          In some school districts in California, 50 percent of the  
          students are overweight. Overweight youth face increased  
          risks of many serious health problems that, traditionally,  
          have not commonly occurred during childhood, including type  
          2 diabetes, high blood pressure, arthritis, and  
          osteoporosis.  More than 80 percent of obese adolescents  
          remain obese as adults, with even more severe consequences,  
          including higher risks of heart disease and cancer.



















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          Related legislation
          SB 180 (Migden, 2007) would have required a food facility  
          to make nutritional information available to the consumer  
          upon request. This bill has been held at the author's  
          request.

          Prior legislation
          SB 679 (Ortiz, 2003) would have required restaurants to  
          make nutritional information immediately available to  
          customers, upon request, in a take-away form, and post a  
          sign stating that the information is available. This bill  
          failed passage in the Assembly Health Committee.

          SB 1171 (Ortiz, 2004) would have required restaurants to  
          make nutritional information immediately available to  
          customers, upon request, in a take-away form, and post a  
          sign stating that the information is available. The bill  
          was never heard.

          Arguments in support
          The American Cancer Society writes that any strategy for  
          addressing obesity and improving public health through diet  
          must begin with informed choices about what we eat,  
          including those meals we eat out. The American Diabetes  
          Association points out that at least one recent study has  
          shown that people significantly underestimate the number of  
          calories in food items, further highlighting the need for  
          better access to such information. The American Heart  
          Association underscores that basic nutritional information  
          is extremely important to consumers who are dealing with  
          chronic diseases like cardiovascular disease and diabetes.

          Arguments in opposition
          The California Alliance For Consumer Protection, while in  
          agreement with the intent, opposes the bill stating that  
          the measure doesn't go far enough. The group believes the  
          measure should apply to every restaurant in California. 

          The California Restaurant Association (CRA) writes that  
          market realities in the foodservice market make  
          implementation of this bill impractical, if not impossible.  
          CRA cites difficulties such as customization of orders by  
          the consumer, differing nutritional content on a similarly  
          sized portion (example of fat in steak or how it is  
          cooked), or even variation of portion size, such as the  




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          size of a baked potato. CRA also expresses concern that  
          creativity in the kitchen, especially in fine dining  
          establishments, will be discouraged under this bill. CRA  
          also believes that the cost of compliance will be  
          significant and that the bill opens food service  
          establishments to potential liability. The California  
          Grocers Association is concerned with the penalty regarding  
          inaccuracy of information and expects the nutritional  
          analysis to cost several hundred dollars per item.

          

                              COMMENTS AND QUESTIONS
           
             1.   In order to clarify what information must be  
               supplied on menu boards versus printed menus, the  
               committee staff recommend the following clarifying  
               amendments on page 3 of the bill:

               114375.  (a)  Except as provided in subdivision (e),  
               each food facility in this state that shares the same  
               trade name with at least nine other food facilities in  
               the state, regardless of whether the food facilities  
               are subject  to the same ownership or type of  
               ownership, that offer for sale substantially the same  
               menu items shall make nutritional information  
               available to consumers for all standard menu items.
               This information shall include, but not be limited to,  
               all of the following, per item, as usually prepared  
               and offered for sale:
                    (1)  Total number of calories.
                    (2)  Total number of grams of saturated fat  plus  
                           (3) Total number of grams of trans fats.
                    (  3  4)  Total number of carbohydrates.
                    (  4  5)  Total number of milligrams of sodium.
                          (b)  Each food facility that uses a  
               standard menu shall provide
               the nutritional information next to each item on the  
               menu in a size
               and typeface similar to other information about each  
               menu item.
                          (c)  Each food facility that uses  only  a  
               menu board may limit
               the nutritional information listed on the menu board  
               to the total




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               number of calories per item in a size and typeface  
               similar to other
               information about the item. For food facilities that  
               use only a menu board, the    facility shall make  
               available to consumers the additional nutritional  
               information in writing upon request at the  
               point-of-sale.  if the additional nutritional  
               information  is made available to consumers in writing  
               upon request.
                           (d)  The bottom of each page of a menu  
               shall include, in a clear
               and conspicuous manner, the following statement:  
               "Recommended
               limits for a 2,000 calorie daily diet are 20 grams of  
               saturated fat
               and 2,300 milligrams of sodium.  Saturated fat numbers  
               include
               trans fat." If no items on the menu contain more than  
               0.5 grams
               of trans fat from partially hydrogenated oil per item,  
               the statement,
               "saturated fat numbers include trans fat," can be  
               omitted.
           
             2.   On page 4, lines 11-15 (subdivision (f)), it is  
               unclear whether the author intends for erroneous or  
               false nutritional information (stated claim is more  
               than 20 percent lower than outside nutrient analysis)  
               to be subject to the penalties outlined in 114376 for  
               any violation, a single violation or a pattern of  
               violation. It is also unclear if there is a prescribed  
               method for determining average content and whose  
               responsibility it would be to determine average  
               content. As of this writing, the author and sponsors  
               have not clarified these points.


                                    POSITIONS  

          Support:   American Cancer Association (co-sponsor)
                 American Heart Association (co-sponsor)
                   California Center for Public Health Advocacy  
                 (co-sponsor)
                 California Optometric Association (co-sponsor)
                 American Diabetes Association




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                 American Federation of State, County and Municipal  
                 Employees, AFL-CIO 
                 California Adolescent Nutrition and Fitness Program
                 California Chapter of the American College of  
                 Cardiology
                 California Chiropractic Association 
                 California Food Policy Advocates
                    Contra Costa Healthy Services, Public and  
                    Environmental Health Advisory Board 
                 Gray Panthers
                 Latino Health Access
                 Lucile Packard Children's Hospital, Center for  
                 Healthy Weight
                 Stanford School of Medicine
                 Three individuals

          Oppose:    The California Alliance For Consumer Protection
                 California Grocers Association
                 California Independent Grocers Association
                 California Restaurant Association
                 One individual



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