Legislative Update
Photo of the California State Assembly chamber. Capitol Public Radio/file photo.
With over 2,000 new bills introduced in the California State Legislature since the beginning of the year, the State Capitol is bustling with activity and the measures will soon be considered during the policy committee hearing process in the spring.
Though the Legislature continues to struggle to address widely reported harassment issues, legislators have also paid close attention to actions by President Donald Trump and Congress, and state legislation reflects the continued desire by some legislators to push back against federal government efforts. One particular policy area where this is evident is taxes. After passage of the federal tax package, a state bill to increase corporate taxes was introduced, in addition to a bill to implement a tax on business services, such as accounting and legal services.
Labor issues are also at the forefront. Newly introduced measures include: 1) expanding sick leave from three to five days in California, 2) prohibiting employment discrimination against medicinal cannabis users, and 3) allowing a person who is not harmed by sexual harassment to file a harassment claim against a defendant for failure to prevent discrimination and harassment.
In the area of transportation, legislation was introduced to mandate that all new vehicles sold in California be zero emissions vehicles by January 1, 2040. Ag Council and others are participating in a coalition opposing this measure.
On the encouraging side, legislation to authorize $500 million in each of the next three budget years for career technical education grants was introduced with bipartisan support. Ag Council supports this effort given that such funds go toward Future Farmers of America and other noteworthy programs.
Ag Council is active in these and many critical public policy areas impacting our members in 2018. Click the Learn More link below for a more extensive overview of bills recently introduced in the California State Legislature that may affect agriculture and our members.
The measures listed below are primarily bills introduced since the beginning of 2018 and submitted prior to the February 16 bill introduction deadline. The list is not comprehensive of all measures pending before the Legislature. Keep in mind that the legislative process in Sacramento is fast-paced, and bills are frequently amended during the legislative process.
Energy
AB 2208 (Aguiar-Curry) Renewables Portfolio Standard
Requires that the criteria for the selection of renewable energy resources at the Public Utilities Commission take into account jobs retained associated with contracting for existing eligible renewable energy resources as part of the California Renewables Portfolio Standard (RPS) Program.
Environment
AB 2975 (Friedman) Wild and scenic rivers
If the federal government removes or delists any river or segment of a California river included in the national wild and scenic rivers system—and not included in the state wild and scenic rivers system—the state shall hold a public hearing and take any necessary action to add the river or segment to the state wild and scenic rivers system. Also, if the state determines the federal government is exempting a river from federal provisions restricting water resources projects, the state shall take any needed action to add the river or segment to the state wild and scenic rivers system once a public hearing is held.
Farm Bill
AB 2166 (Caballero) California Farm Bill
The bill establishes the following, among other provisions:
- Creates the Growth Council Initiative to assist farmers and producers with regulatory compliance, reduce costs to the agriculture industry, and protect the environment
- Requires agricultural commissioners to conduct a survey of Internet access on farms and in rural communities to identify gaps in accessibility on farms that create hurdles to the adoption of agricultural technology
- Allows a tax credit, amount not yet specified, for farmers for costs incurred to implement agricultural technology
Food Packaging
AB 2632 (Santiago) Food packaging/slack fill
Existing law, the Sherman Food, Drug, and Cosmetic Law, specifies 14 reasons a container may contain slack fill without violating the prohibition against nonfunctional slack fill. AB 2632 specifies three additional reasons containers subject to any of these provisions may contain slack fill without violating the nonfunctional slack fill prohibition. Supporters of the bill include the Grocery Manufacturers Association, General Mills and others.
Labor
AB 2069 (Bonta) Medicinal cannabis: employment discrimination
Prohibits an employer from discriminating against a person on the basis as a qualified person with a cannabis identification card or by a positive drug test for cannabis. Under the bill, employers can terminate or take corrective action against an employee who is impaired during employment due to cannabis.
AB 2841 (Gonzalez Fletcher) Sick leave: accrual and use
Requires employers to allow no less than 40 hours/five days of accrued sick leave or paid time off by the 200th calendar day of employment, an increase from the current 24 hours/three days. AB 2841 also increases the limitation on sick leave that can be carried over to the next year of employment to 40 hours/five days.
AB 3080 (Gonzalez Fletcher) E-Verify
Makes it unlawful for an employer to use E-Verify to check the employment authorization status of an existing employee or an applicant who has not been offered employment, except as required by federal law.
AB 2875 (Mathis) Ag workers: wages and hours
Codifies the definition of an agricultural occupation. This measure is a spot bill, which amends a code section in a non-substantive manner and must be amended prior to committee referral.
SB 1428 (McGuire) Minors; employment and work permits
Allows a minor to work during summer vacation without a work permit, if the minor is not required to attend summer school. All other applicable laws apply for the minor.
SB 1300 (Jackson) Unlawful employment practices: discrimination and harassment
A plaintiff—who is not harmed/injured by sexual harassment—can file a harassment claim against a defendant for failure to take reasonable steps necessary to prevent discrimination and harassment from taking place against others.
AB 2016 (Fong) Private Attorneys General Act: civil actions
Closes loopholes and restrains abuse of the Private Attorneys General Act (PAGA) against small businesses. Trial attorneys use PAGA to pursue frivolous lawsuits to garner settlements from small businesses. AB 2016 allows employers to cure violations to protect jobs and save time and money. In addition, the bill boosts transparency in the PAGA process by ensuring employers receive a detailed account of violations.
Education
AB 1743 (O’Donnell) Career Technical Education Incentive Grant Program
Upon appropriation by the Legislature, AB 1743 authorizes $500 million for the Career Technical Education Incentive Grant Program each year for the 2018-2019, 2019-2020 and 2020-2021 fiscal years. AB 1743 requires applicants to provide a dollar-for-dollar match for grant awards. Agricultural programs, such as Future Farmers of America, benefit from career technical education funds.
Immigration
AB 1885 (E. Garcia) Work permits for undocumented individuals
Requires the Employment Development Department and the Department of Food and Agriculture to convene a working group to address the issues relating to a work permit program for undocumented individuals who are agricultural or service industry employees to work and live in the state and to ensure the state is not taking on responsibilities in matters dealing with immigration policy that are the jurisdiction of the federal government.
Taxes
ACA 22 (McCarty) Middle Class Fiscal Relief Act
Imposes a 10 percent tax surcharge on corporations with annual net revenue over $1 million in California. This tax is in addition to the existing 8.84 percent corporate tax rate in California. Funds raised would support middle class tax rebates, in addition to other programs, such as: education, healthcare, childcare and preschool and the Earned Income Tax Credit. The measure requires a two-thirds vote and then a ballot measure would go before voters for approval.
SB 993 (Hertzberg) Service tax
Adds a service tax on business services, such as legal, accounting, and consulting services, for corporations and other businesses. The exact amount of the service tax has not yet been determined. Revenue collected under SB 993 will be used to provide tax relief to middle-income and low-income Californians. It will also be used for California infrastructure, workforce development and education. SB 993 requires a two-thirds vote to pass in the Assembly and State Senate.
Transportation
Audit of the High Speed Rail Project
In January, the Joint Legislative Audit Committee approved an audit of California’s High Speed Rail project to be conducted by the California State Auditor. The audit will review cost containment, the project timeline, and environmental and economic impacts. Conclusion of the audit is anticipated within six to nine months.
AB 2006 (Eggman) Ag Worker Vanpool
Currently, the Air Resources Board (ARB) administers a pilot project that provides funding to vanpool programs for agricultural workers in the San Joaquin Valley. AB 2006 codifies the pilot project into statute as a statewide grant program to capture more low-income and disadvantaged communities that want to participate. The bill is intended to ensure the program is available to agricultural communities seeking clean, reliable transportation.
AB 1745 (Ting) Zero Emissions Vehicle Mandate
Mandates all new vehicles sold in California to be zero emissions vehicles by January 1, 2040. The bill exempts commercial vehicles with a gross vehicle weight rating of 10,001 pounds or more and vehicles brought into the state from outside of the state for original registration.
Water
SB 623 (Monning) Drinking water fund
Establishes the Safe and Affordable Drinking Water Fund within the State Water Resources Control Board to assist those without access to safe and affordable drinking water through grants, loans, contracts or services. Gov. Brown supports SB 623. The governor’s 2018-2019 budget includes an initial $4.7 million for clean drinking water. In addition, legislative text is part of a budget trailer bill, which is a policy measure accompanying the state budget. Hearings on the trailer bill take place in the spring. Ag Council is working to build support for passage of the bill this year.
AB 2828 (Friedman) Produced water
AB 2828 permits a regional water quality control board to issue a waste discharge requirement only if the State Water Resources Control Board determines that using produced water (water produced as a byproduct during oil and gas production) for a particular use would not pose a hazard and would be safe for the public, employees that regularly interact with the produced water, and the environment.