AB 482: California Table Grape Commission.

65500.

The Legislature finds and declares all of the following:

(a) Grapes produced in California for fresh human consumption compose one of the major agricultural crops of California, and the production and marketing of these grapes affects the economy, welfare, standard of living, and health of a large number of citizens residing in this state.

(b) Increased plantings of vineyards and improved cultural practices for the production of California grapes for fresh human consumption have increased and will continue to increase the production of California grapes, and unless the fresh human consumption of California grapes is increased by the expansion of existing markets and the development of new markets, the interests of the fresh grape industry of California, and the public interest of the people of this state, will be adversely affected. The expansion of the table grape industry also provides an important source of jobs for many people in this state, a high proportion of whom reside in historically depressed areas of the state, and serves to ensure the preservation of an agrarian society.

(c) The inability of individual producers to maintain or expand present markets or to develop new or larger markets for these grapes results in an unreasonable and unnecessary economic waste of the agricultural wealth of this state.

(d) These conditions and the accompanying waste jeopardize the future continued production of adequate supplies of fresh grapes for human consumption for the people of this and other states, and prevent producers from obtaining a fair return for their labor, their farms, and their production. As a consequence, the purchasing power of these producers and their workforce has been in the past, and may continue to be in the future unless these conditions are remedied, low in relation to that of other people engaged in other gainful occupations within the state, and they are thereby prevented from maintaining a proper standard of living and from contributing their fair share to the support of the necessary governmental and education functions, thus tending to increase unfairly the tax burden of other citizens of the state.

(e) These conditions vitally concern the health, peace, safety, and general welfare of the people of this state. It is therefore necessary and expedient in the public interest to protect and enhance the reputation of California fresh grapes for human consumption in intrastate, interstate, and foreign markets, and to otherwise act so to eliminate unreasonable and unnecessary economic waste of the agricultural wealth of this state.

(f) The promotion of the sale of fresh grapes for human consumption by means of advertising, dissemination of information on the manner and means of production, and the care and effort required in the production of these grapes, the methods and care required in preparing and transporting these grapes to market, and the handling of the same in consuming markets, research respecting the health, food, and dietetic value of California fresh grapes and the production, handling, transportation, and marketing of California fresh grapes, the dissemination of information respecting the results of that research, instruction of the wholesale and retail trade with respect to handling thereof, and the education and instruction of the general public with reference to the various varieties of California fresh grapes for human consumption, the time to use and consume each variety and the uses to which each variety should be put, the dietetic and health value of fresh grapes, all serve to increase the consumption of fresh grapes and to expand existing markets and create new markets for fresh grapes, and prevent agricultural waste, and is therefore in the interests of the welfare, public economy, and health of the people of this state.

(g) It is hereby declared to be the policy of this state to aid producers of California fresh grapes in preventing economic waste in the production and marketing of their commodity, to develop more efficient and equitable methods in that production and marketing, and to aid these producers in restoring and maintaining their purchasing power at a more adequate, equitable, and reasonable level.

(h) The production and marketing of grapes produced in California for fresh human consumption is declared to be affected with a public interest; this chapter is enacted in the exercise of the police power of this state for the purpose of protecting the health, peace, safety, and general welfare of the people of this state.

65524.

“Producer” means a person engaged within this state in the business of producing or causing to be produced for market “fresh grapes.”

65527.

“Person” means an individual, firm, corporation, association, or any other business entity, and includes a state agency that engages in any of the commercial activities regulated pursuant to this chapter.

65528.

“Secretary” means the Secretary of Food and Agriculture.

65530.

“State” means the State of California.

65532.

“Commissioner” means a person appointed by the secretary pursuant to Section 65550.

65533.

“Districts” means and includes:

(a) District 1, which includes all that area of California south of a line described as beginning at the point of intersection of the shoreline of the Pacific Ocean with the northern boundary line of the County of San Diego; thence northeasterly along the northern boundary of the County of San Diego to the point of intersection with the western boundary of the County of Riverside; thence northerly along the western boundary of the County of Riverside to the northern boundary of the County of Riverside; thence easterly along the northern boundary of the County of Riverside to the point of intersection with the California-Arizona state boundary.

(b) District 2, which includes all that area of California north of the northern boundary of District No. 1 and south of a line described as beginning at the intersection of the shoreline of the Pacific Ocean with a line projected due west from the intersection of U.S. Highway No. 466 and California State Highway No. 1; thence easterly along U.S. Highway No. 466 to the town of Famoso; thence from Famoso northeasterly along the Famoso to Woody County Road to the town of Woody; thence along a line due north to a point on the northern boundary of the County of Kern; thence easterly along the northern boundary of the County of Kern and along the northern boundary of the County of San Bernardino to the point of intersection with the California-Nevada state boundary.

(c) District 3, which includes all that area of California north of the northern boundary of District No. 2 and south of a line described as beginning at the point of intersection of the shoreline of the Pacific Ocean with the westerly projection of the north line of Township 23 south, M.D. B. & M.; thence easterly along the north line of Township 23 south projected to the point of intersection with the Principal San Bernardino Meridian; thence due east along a line to the point of intersection with the California-Nevada state boundary.

(d) District 4, which includes all that area of California north of the northern boundary of District No. 3 and south of a line described as beginning at the point of intersection of the shoreline of the Pacific Ocean with the westerly projection of the north line of Township 18 south, M.D. B. & M.; thence easterly along the north line of Township 18 south projected to the point of intersection with the Principal San Bernardino Meridian; thence southerly along the Principal San Bernardino Meridian to the Fifth Standard Parallel north, S.B. B. & M.; thence easterly along the Fifth Standard Parallel north to the point of intersection with the California-Nevada state boundary.

(e) District 5, which includes all that area of California north of the northern boundary of District No. 4 and south of a line described as beginning at the point of intersection of the shoreline of the Pacific Ocean with the Fourth Standard Parallel south M. D. B. & M.; thence easterly along the Fourth Standard Parallel south to the point of intersection with the southerly projection of McCall Road in the County of Fresno; thence northerly along McCall Road to the point of intersection with Rose Avenue in the County of Fresno; thence easterly along Rose Avenue and along the easterly projection of Rose Avenue to the point of intersection with the main channel of Kings River; thence northerly along Kings River to the point of intersection with California State Highway Sign Route No. 180; thence easterly along California State Highway Sign Route No. 180 to the point of intersection with the County of Fresno boundary; thence due east along a line to the point of intersection with the California-Nevada state boundary.

(f) District 6, which includes all that area of California north of the northern boundary of District No. 5 and south of a line described as beginning at the point of intersection of the shoreline of the Pacific Ocean with the northern boundary of the County of Monterey; thence easterly along the northern boundary of the County of Monterey to the northern boundary of the County of San Benito; thence easterly along the northern boundary of the County of San Benito to a point on the western boundary of the County of Merced; thence northeasterly along the western boundary of the County of Merced to the northern boundary of the County of Merced; thence easterly along the northern boundary of the County of Merced to a point on the northern boundary of the County of Mariposa; thence easterly along the northern boundary of the County of Mariposa to the eastern boundary of the County of Madera; thence southerly along the eastern boundary of the County of Madera to a point on the western boundary of the County of Mono; and also including all of the area in the County of Mono, California.

(g) District 7, which includes all that area of California not included in any other district.

(h) The commission may change the district boundaries by a two-thirds vote of the commission.

65550.

There is in the state government the California Table Grape Commission. The commission shall comprise three producers from each district appointed by the secretary from the nominees selected pursuant to this article and one public member appointed pursuant to Section 65575.1.

65552.

The commission may employ a president, a treasurer, and a secretary. The compensation of each officer shall be fixed by the commission and they shall serve at the pleasure of the commission with powers and duties that may be delegated to them by the commission. An officer employed pursuant to this section shall not be a commissioner.

65553.

A commissioner shall be an individual producer, or a partner or employee of a producer, who is actively engaged in growing fresh grapes within this state for a period of at least five years and is producing grapes subject to this chapter at the time of the election. No more than two members shall be persons employed by, or connected in a proprietary capacity with, the same corporation, firm, partnership, association, or business entity, provided that not more than one member in any district shall be so employed or connected. A commissioner shall maintain these qualifications during their term of office in order to remain on the commission.

65555.

The regular terms of office of the commissioners shall be three years from the date of appointment by the secretary and until their successors are appointed.

65556.

Each commissioner for each district shall be elected by a plurality of votes cast by producers in the district. Each producer who has grown fresh grapes in a district in the year preceding an election shall be entitled to one vote in the district.

65559.

The commission shall annually compile and maintain a list of eligible producers and certify the list to the secretary at least 30 days before the date set for a meeting to nominate commissioners to office. The list shall constitute the list of producers qualified to vote in the election of commissioners.

65559.5.

(a) The commission, in preparing a list of producers to be used under this chapter, may omit from the list any person who makes only casual sales or sales as a result of activities other than a commercial farm business venture, as determined by the commission. A person who is omitted from the list is not subject to this chapter, including the payment of any assessments, and is not qualified as a producer under this chapter.

(b) A person omitted from a list pursuant to this section may be included on any subsequent list if the person is found to be qualified as a producer at the time of preparing the list.

65562.

Upon establishment of the lists of producers, the secretary shall call meetings of producers in each district, for the purpose of nominating persons to be appointed to the office of commissioner. At each district meeting for the nomination of commissioners, the secretary or a representative authorized by the secretary shall preside, and receive nominations, and at the conclusion of the meeting shall announce the names of the persons nominated at the meetings and the time, the manner, and instructions for voting by mail. Thereafter, within 10 days after the meeting, the secretary shall mail to all producers ballots for the election of commissioners in the respective districts, with instructions for voting by mail. All votes shall be required to be delivered to the secretary or mailed for delivery within 10 days after issuance of ballots by the secretary.

65563.

Upon expiration of the voting period, the secretary shall tabulate all votes and appoint a commissioner for each district. If all nominees are unsatisfactory to the secretary, the commission shall continue to submit lists of nominees to the secretary until the secretary has made a selection.

65566.

A person appointed to the office of commissioner by the secretary shall be selected pursuant to the nomination, election, and appointment procedures established by the commission in accordance with this chapter and approved by the secretary.

65569.

A commissioner shall not receive a salary. A commissioner may receive necessary traveling expenses and meal allowances, as approved by the commission.

65570.

All moneys received by a person from the assessments levied under the authority of this chapter or otherwise received by the commission shall be paid to the commission, shall be deposited into such banks as the commission may designate, and shall be disbursed by order of the commission.

65572.

The powers and duties of the commission shall include, but are not limited to, all of the following:

(a) To elect a chairperson, and from time to time other officers as it may deem advisable, and delegate duties to the officers as may appear advisable.

(b) To adopt and from time to time alter, rescind, modify, and amend all proper and necessary rules, regulations, procedures, and orders for the exercise of its powers and the performance of its duties, including rules for regulation of appeals from any rule, regulation, procedure, or order of the commission.

(c) To administer and enforce this chapter, and do and perform all acts and exercise all powers incidental to or in connection with effectuating, or deemed reasonably necessary, proper, or advisable to effectuate, the purposes of this chapter.

(d) To employ, and at its pleasure discharge, a president, a treasurer, a secretary, employees, and necessary personnel, including attorneys engaged in the private practice of the law, fix their compensation and terms of employment, prescribe their duties, and incur expenses as it may deem reasonably necessary and proper to properly perform its duties as authorized by this chapter. The Attorney General shall aid and assist the commission on its request and shall undertake judicial proceedings as requested by the commission to undertake on its behalf.

(e) To establish offices, incur expenses, enter into any and all contracts and agreements, and create liabilities and borrow funds in advance of receipt of assessments as may be necessary, in the opinion of the commission, for the proper administration and enforcement of this chapter and the performance of its duties.

(f) To keep accurate books, records, and accounts of all of its dealings, which shall be open to inspection and audit by the department, as directed by the secretary.

(g) In the discretion of the commission, to investigate and prosecute civil violations of this chapter and file complaints with appropriate law enforcement agencies or officers for criminal violations of this chapter.

(h) To promote the sale of fresh grapes by advertising and other similar means for the purpose of maintaining and expanding present markets and creating new and larger intrastate, interstate, and foreign markets for fresh grapes, and to educate and instruct the public with respect to fresh grapes, the uses and time to use the several varieties, and the healthful properties and dietetic value of fresh grapes.

(i) In the discretion of the commission, to educate and instruct the wholesale and retail trade with respect to proper methods of handling and selling fresh grapes; arrange for the performance of dealer service work providing display and other promotional materials; make market surveys and analyses; present facts to, and negotiate with, state, federal, and foreign agencies on matters that affect the marketing, production, and distribution of fresh grapes; and undertake any other similar activities that the commission may determine appropriate for the maintenance and expansion of present markets and the creation of new and larger markets for fresh grapes.

(j) In the discretion of the commission, to make in the name of the commission contracts to render service in formulating and conducting plans and programs, and other contracts or agreements as the commission may deem necessary for the promotion of the sale of fresh grapes.

(k) In the discretion of the commission, to conduct, and contract with others to conduct, scientific research, including the study, analysis, dissemination, and accumulation of information obtained from that research or elsewhere with respect to the marketing and distribution of fresh grapes, the production, storage, refrigeration, inspection, and transportation of fresh grapes, develop and discover the dietetic value of fresh grapes, develop and expand markets, and improve cultural practices and product handling so that the various varieties may be placed in the hands of the ultimate consumer in the best possible condition. In connection with that research, the commission may accept contributions of, or may match, private, state, or federal funds that may be available for these purposes, and may employ or make contributions of funds to other persons or state or federal agencies conducting that research.

(l) In the discretion of the commission, to accept and match contributions of private, local, state, or federal funds and make contributions of commission funds to other persons or local, state, or federal agencies for purposes of promoting, enhancing, and maintaining the California fresh grape industry.

(m) In the discretion of the commission, to cooperate with other private or governmental entities in the resolution of emergencies arising in the industry and impacting the health and safety of the public or the continued stability of the table grape industry.

(n) To determine, subject to the limitations provided in Section 65600, not later than May 1 of each year, the assessment for the following 12-month period beginning on May 1 and ending on April 30.

(o) In the discretion of the commission, to publish and distribute without charge a bulletin or other communication for dissemination of information relating to the fresh grape industry to producers and shippers.

(p) In the discretion of the commission, to administer any program related to the table grape industry.

65573.

(a) The commission shall continue to operate if, in a referendum conducted by the commission in which at least 40 percent of the total number of producers certified as marketing 40 percent of the total volume marketed by all producers on the list during the last completed marketing season participate, the secretary finds that either the following occurs:

(1) Sixty-five percent or more of the producers who voted in the referendum voted in favor of continuing the operation of the commission, and that the producers voting in favor marketed 51 percent or more of the total quantity of table grapes marketed in the preceding marketing season by all of the producers who voted in the referendum.

(2) Fifty-one percent or more of the producers who voted in the referendum voted in favor of continuing the operation of the commission and that the producers voting in favor marketed 65 percent or more of the total quantity of table grapes marketed in the preceding marketing season by all of the producers who voted in the referendum.

(b) The commission shall establish a period in which to conduct the referendum that shall not be less than 10 days or more than 60 days, and may prescribe additional procedures as may be necessary to conduct the referendum.

(c) Nonreceipt of a ballot shall not invalidate the referendum. If the commission finds that a vote in favor of the continuing the operation of the commission has been given as provided in this section, it shall so certify to the secretary and give notice of the favorable vote by publication in a newspaper of general circulation in each district in accordance with Section 6066 of the Government Code and mail a copy of the notice to all producers and shippers whose names and addresses may be on file with the commission. The operation of the commission shall become effective upon completion of publication and 15 days after the certification to the secretary.

(d) If the commission finds that a vote in favor of the operation of the commission has not been given as provided in this section, it shall certify that finding to the secretary, who shall declare the suspension of the operation of the commission upon the expiration of the current marketing season. Upon the declaration, the operations of the commission shall be wound up and funds shall be distributed in the manner provided in Sections 65662 and 65663.

65574.

The commission shall appoint a shipper advisory committee of five members appointed from shippers at large to advise the commission on the exercise of its powers and duties under this chapter. Each member shall be an individual shipper, or a partner or employee of a shipper, who is actively engaged in shipping fresh grapes in this state for a period of at least five years. A member of the shipper advisory committee shall maintain these qualifications during their appointment to the committee in order to remain on the committee.

65575.

Members of the shipper advisory committee shall not receive a salary. Members of the shipper advisory committee may receive necessary traveling expenses and meal allowances, as approved by the commission.

65575.1.

The public member of the commission shall be appointed by the secretary from nominees recommended by the commission. If all nominees are unsatisfactory to the secretary, the commission shall continue to submit lists of nominees to the secretary until the secretary has made a selection.

65575.2.

The public member of the commission shall represent the interests of the general public in all matters coming before the commission and shall have the same voting and other rights and immunities as other members of the commission. The public member shall have no financial interest in the table grape industry.

65600.

(a) There is hereby levied and imposed upon all fresh grapes shipped during each marketing season an assessment as fixed by the commission at that amount determined by the commission as reasonably necessary to pay all obligations incurred or to be incurred in accordance with this chapter and as reasonably necessary to carry out the objects and purposes of this chapter. However, during any marketing season, the assessment shall not exceed $0.02 per pound, computed on net weight when shipped, whether in bulk or loose in boxes or in any other container or packed in any style package.

(b) All shipments of 150 pounds or less of fresh grapes sold or shipped by a producer direct to the consumer are exempt from the assessments.

65601.

A shipper shall keep a complete and accurate record of all fresh grapes shipped by the shipper and the producer. The records shall be in simple form and contain the information prescribed by the commission. The records shall be preserved for a period of two years and shall be offered and submitted for inspection at any reasonable time upon written demand of the commission or its duly authorized agent.

65603.

All information obtained by the commission from shippers shall be confidential and shall not be disclosed, except when required by a court order in a judicial proceeding involving this chapter.

65650.5.

(a) A person aggrieved by an action of the commission may file a grievance with the commission or a duly authorized committee of the commission designated for that purpose. An appeal from a decision of the commission may be made to the secretary. The secretary shall review the record of the proceedings before the commission. If the secretary finds that the record shows by substantial evidence that the commission’s action was not an abuse of discretion or illegal, the secretary shall dismiss the appeal.

(b) If the secretary finds that the action is not substantially sustained by the record, was an abuse of discretion, or illegal, the secretary may reverse the action of the commission.

(c) A decision of the secretary is subject to judicial review upon petition of the commission or any party aggrieved by the decision.

65651.5.

An action by the commission for a violation of this chapter shall be commenced within two years from the date of discovery of the alleged violation. An action against the commission by a person shall be commenced within two years from the date of the act of which the person complains.

65652.

Venue for actions commenced by the commission may be established at the domicile or place of business of the defendant or in the county of the principal office of the commission. The commission may be sued only in the county of its principal office.

65660.

(a) Before the initiation of a referendum for the continuation of the operation of the commission, as described in Section 65573, and upon a finding by a two-thirds vote of the commissioners that the commission has effectuated the purposes of this chapter, the commission may file a petition with the secretary recommending that the commission continue to operate.

(b) The secretary may, upon receipt of the recommendation, grant the petition or hold a public hearing to review the petition. Upon conclusion of the hearing, the secretary may grant the petition or require a referendum to be conducted among producers in accordance with Section 65573 to determine if the commission will continue to operate. The secretary may prescribe additional procedures as may be necessary to conduct the referendum.

65661.

At the close of the referendum period established for any referendum required by Section 65660, the secretary shall tabulate the ballots filed during that period. The secretary shall declare the suspension of the operation of the commission, effective upon expiration of the current marketing season, if at least 40 percent of the total number of producers, as established by the secretary as marketing 40 percent of the total volume marketed by all producers on the list established by the commission during the last completed marketing season, participate in the referendum and the secretary finds that either of the following occurs:

(a) Sixty-five percent or more of the producers who voted in the referendum voted in favor of the suspension, and the producers voting in favor marketed 51 percent or more of the total quantity of table grapes marketed in the preceding marketing season by all of the producers who voted in the referendum.

(b) Fifty-one percent or more of the producers who voted in the referendum voted in favor of the suspension, and the producers voting in favor marketed 65 percent or more of the total quantity of table grapes marketed in the preceding season by all of the producers who voted in the referendum.

65662.

Upon and after the effective date of suspension of the operation of the commission, the operations of the commission shall be wound up and any and all moneys remaining held by the commission, collected by assessment in the prior marketing year and not required to defray the expenses of winding up and terminating operations of the commission, shall be returned upon a pro rata basis to all persons from whom assessments were collected in the immediately preceding current marketing season; provided further, however, that if the commission finds that the amounts so returnable are so small as to make impractical the computation and remitting of that pro rata refund to those persons, any moneys remaining from assessments collected in the prior marketing year after payment of all expenses of winding up and terminating operations shall be paid to a state or federal program benefiting the California table grape industry, or to a private organization that has received tax-exempt status from the Internal Revenue Service and that benefits the California table grape industry. Moneys from prior assessment years, investments, investment income, and remaining grant funds shall be paid to a state or federal program benefiting the California table grape industry, or to a private organization that has received tax-exempt stats from the Internal Revenue Service and benefits the California table grape industry.

65663.

Upon suspension of the operation of the commission, a notice of the suspension shall be posted on the department’s website. The commission shall mail a copy of the notice of suspension to all producers and shippers affected by the suspension whose names and addresses are on file with the commission.

65673.

The commission shall reimburse to the secretary all expenses incurred by them in the supervision of elections.

65675.

(a) Between January 1 and March 31 of each fifth calendar year commencing with the year 1972, unless the commission has filed a petition for recommending the continuance of the operation of the commission pursuant to Section 65660, the secretary shall cause a referendum to be conducted by the commission among producers in the manner prescribed in Section 65573 to determine whether the operation of the commission shall be reapproved and remain effective.

(b) If the commission finds that a favorable vote has been given, it shall so certify to the secretary and the operation of the commission shall remain effective. If the commission finds that a favorable vote has not been given, it shall certify that finding to the secretary who shall declare the operation of the commission suspended upon the expiration of the current marketing season ending April 30. Upon that declaration, the operations of the commission shall be wound up and funds distributed in the manner provided in Sections 65662 and 65663. A bond or security shall not be required for any referendum.