Western Growers Joins Effort to Protect Step-Up in Basis

May 11th, 2021

The Biden Administration has signaled an intent to offset costs for the infrastructure plan in part through increased tax liabilities on America’s farming operations. While it is perhaps now more important than ever to maintain estate tax exemptions for farmers to keep family farms in business to keep feeding this nation, we cannot reduce the protections provided through the step-up in basis.

This has not yet been embodied in legislative text, so we have yet to see the details but to require family farm heirs to come up with the liquid resources to pay for this drastic increase in capital gains would leave many with no choice but to sell the farm. This would be devastating to individual farmers and the American agriculture community at large. While we applaud the goal of modernizing our nation’s infrastructure, particularly as it relates to Western water security, it cannot come at the cost of American agriculture.

Western Growers is working with allies to apply pressure to prevent the repeal of the step-up in basis. In a letter to top congressional leaders, WG and a coalition of 41 industry organizations expressed concern over elements of President Biden’s tax proposal that would jeopardize the viability of family-owned agricultural businesses. The letter calls out several principals to ensure that financial harm is not caused to multi-generational farms and ranches across the U.S.: 

  1. Preserve tax provisions that support multi-generational operations, including maintaining the current estate tax exclusion limits and the step in basis.
  2. Safeguard the viability of family-owned agricultural business entities, including the continuation of the Sec. 199A business income deduction and retaining like kind exchanges.

The letter concludes: “As Congress works to enact a comprehensive infrastructure package, we appreciate your consideration of these important issues. We look forward to working with you on legislation that ultimately preserves the long-term sustainability and vibrancy of family-owned farms, ranches, and agribusinesses.” See the text of the Tax Agriculture Coalition letter here.

Our Congressional champions have been working on this issue as well and have sent a letter to leadership with the same goal in mind, led by Rep. Jim Costa (CA). See the Congressional letter here.

Additional Resources:

For questions, contact Dennis Nuxoll or Jonathan Sarager at (202) 296-0191.

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Bruce Talbott Named as New CFVGA President

May 5th, 2021

Bruce Talbott, co-owner/operator of Talbott’s Mountain Gold, has been elected president of the Colorado Fruit and Vegetable Growers Association (CFVGA) Board of Directors. He succeeds long-time president Robert Sakata of Sakata Farms.

“I am honored by my fellow board members to be elected to this position,” said Talbott in the CFVGA press release. “We have a great foundation as an organization that is relatively young. I hope we can build on this foundation, and successfully represent the interests and concerns of the Colorado produce industry. I don’t believe there has been a time in Colorado history when agricultural producers have been under the level of political siege currently experienced. The urban/suburban consumer and voters have very little understanding of the extent of the agricultural infrastructure and what it takes to successfully and sustainably produce fruit and vegetables in Colorado, whether conventional or organic. Our ability to survive and thrive is linked to our success in communicating and winning the public’s understanding and support for the tools we need to continue operating in Colorado and to minimize unnecessary rules, regulations and requirements.”

Talbott has been a member of the CFVGA board since the first slate of board members was seated in February 2015 and served a term as secretary. His farm, which is located in Palisade, Colorado, grows various products including apples, pears, wine grapes and its world-renowned Palisade Peaches.

Western Growers congratulates Mr. Talbott on his well-deserved new position.

In 2015, Western Growers and the CFVGA formed a strategic collaboration that allows the two associations to work together on federal policy issues, food safety and other issues of mutual interest. The memorandum of understanding between the two organizations also gives Colorado growers access to select WG association services but does not include Colorado state advocacy or other state activities.

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In or Out with Defects

May 12th, 2021

Shippers often call me to discuss the results of their timely USDA inspection and for help determining if it meets contract specifications. There are two distinct types of defects listed on the inspection that can help you determine that. When reading a USDA inspection certificate, the inspector will list two types of defects: Quality (or permanent) and Condition. Under the terms of an FOB or Delivered no-grade contract, you should only focus on the condition defects. Quality defects, unless in excess of 33%, are not scoreable against meeting Good Delivery. Condition defects, on the other hand, affect the merchantability of the product, which determines whether your shipment makes contract.   

What’s the difference? 
 
A quality defect is permanent and does not continue to worsen over time, meaning you would have the same amount of permanent defect(s) at shipping point that you would have at destination. Examples include hollow stem in broccoli, seed stem in lettuce or celery, misshapen bell peppers and scarring in citrus.  

In contrast, condition defects progress with age, such as decay, live insects, bruising and discoloration of your product.   

The Perishable Agricultural Commodities Act (PACA) has developed guidelines to help determine if product sold on a “No Grade Contract” meets contract specifications as shown in the FOB Good Arrival Guidelines Table. 

When reviewing a USDA inspection, if you require clarification on the type of defects listed (quality or condition), please do not hesitate to contact me at 949-885-2392 or [email protected] to discuss. 

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Digital Edition of May/June 2021 WG&S Magazine is Now Live

May 18th, 2021

The latest edition of Western Grower & Shipper Magazine, May/June 2021, is now available for viewing and download here: https://online.flippingbook.com/view/87761863/

This edition features many of the industry’s behind-the-scenes champions who are driving agricultural evolution. Below is a preview of the stories, columns and profiles featured in the May/June edition:

Loren Booth: Ag Leadership Program Alters Career Path
Booth Ranches continues to expand and grow, and the owner continues to try new things. The company now raises show horses of the reining horse variety, and Booth is working with university researchers on trying to use the byproduct of the horse operation to create a compost that will improve the soil for the citrus groves.

Shop Talk: The Behind-the-Scenes Champions Driving Ag Evolution
When thinking of successful companies, their logos, taglines, owners’ names and key products are the first to spring to mind. Often understated, however, are the hardworking individuals who quietly work backstage to innovate new products, cultivate relationships with customers and develop streamlined procedures to ensure that the business runs efficiently day in and day out.

Varietal Research: Still a Laborious Effort…Albeit on a Faster Track
Building that better variety is a time-consuming endeavor, but over the years seed breeders have developed techniques to target desirable traits and speed up the process.

Inside Western Growers: Pat Collins, Kenny Le, Nina Rangel
Whether it is securing healthcare benefits for agricultural businesses and their employees or advocating for growers and shippers in the produce industry, WG employees are fully committed to helping ensure the future viability of farmers across the West.

Meet You Future Volunteer Leaders: Colby Pereira and Rocky Hampton
Colby and Rocky are two of nine individuals selected to be in Class 6 of the Future Volunteer Leaders, a program that guides the next generation of leaders within Western Growers member companies interested in becoming more informed and effective advocates for the fresh produce industry.

Columns:

  • President’s Notes: Big Leagues for California Ballot Initiatives
  • Trade Practices: Best Practices to Avoid Running Afoul of Walmart’s OTIF Policy
  • Federal Advocacy: COVID-19 Wanes but Relief Efforts Continue
  • Arizona Advocacy: Arizona Legislative Session Results in Wins for Ag Community
  • WG Assurance Trust: Convenient Access to Health Care
  • WG Insurance Services: The Next Generation of Employee Benefits is Here
  • WG Financial Services: RSP Now Offers Alternatives to Traditional 401(k) Plans
  • Ag & the Law: The Supreme Court Can Protect the Rights of California Farmers
  • Science: 6 W’s of Groundbreaking Food Safety Data Sharing Project
  • Tech: Accelerating Harvest Automation – Platforms, Systems Integration and Roadmaps
  • What’s Trending: Leveraging Current Events, Holidays for Massive Wins

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Voices of the Valley Podcast Returns with New Episodes

May 25th, 2021

After a short hiatus, the Voices of the Valley Podcast marks its return with new episodes featuring technologists, entrepreneurs and farmers on how agricultural technology has evolved in 2020 and 2021.

The latest episode, which aired yesterday, featured Candace Wilson on CRISPR gene editing and the incremental gains in both traditional and new breeding. Wilson, who led operations at Seminis/Monsanto/Bayer for the past 15 years and now serves as Vice President of Business Development at GreenVenus, also speaks about the importance of developing technology as a “team sport” and taking a global approach to solving problems and moving agriculture forward.

FUTURE PODCAST EPISODES

New episodes of Voices of the Valley will be released weekly. The next episode airs Monday (May 31) with Concentric Power’s Amy Tomlinson who will speak about her experience as the first female Blue Angel and provide insight on how her career in the Navy has played a role in her agtech journey. Last year, Tomlinson also participated in the Veteran’s Day Salute, a virtual event where agtech innovators discussed how the military prepared them for their current roles.

Upcoming podcast episodes will feature Dennis Donohue, Voices of the Valley Host and Director of Western Growers Center for Innovation & Technology, interviewing agtech pioneers such as Turlock Fruit Company’s Neill Callis, California Leafy Greens Marketing Agreement’s Tim York, and Western Growers’ Walt Duflock, among other industry leaders.

HOW TO LISTEN AND SUBSCRIBE TO THE PODCAST

Voice of the Valley is produced by Western Growers and its Center for Innovation & Technology, and available on Apple Podcasts and Google Podcasts. Episodes of the podcast are also aired regularly on the AgNet West Radio Network and available on SoundCloud here.

Directions for subscribing to the podcast are as follows:

On Apple:

  • Download the Apple Podcasts App
  • Open the Apple Podcasts App
  • Search for Voices of the Valley
  • Click the show’s icon
  • Click Subscribe

On Android:

  • Download the Google Podcast App
  • Open the Google Podcasts App
  • Search for Voices of the Valley
  • Click the show’s icon
  • Click Subscribe

For questions on the podcast or issues downloading the podcast, contact Stephanie Metzinger at (949) 885-2256.

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Learn How to Jumpstart Your Mentor/Protégé Relationship During Upcoming Workshop

May 27th, 2021

On June 23, the WG Women Program will be hosting a mentorship workshop, where attendees will learn best practices, tips and tactics on how to create a meaningful mentor/protégé relationship. During the event, you will hear examples of progress from other relationships and receive guidance on how to start, re-start and re-invigorate your relationship with either your protégé or mentor. Additionally, you will have the opportunity to ask all speakers and WG staff questions on how to move your relationship forward.

WHAT YOU’LL LEARN:

  • Strategies and tactics for setting the foundation for a strong relationship
  • Tips on overcoming challenges
  • Expectations of protégé/mentors
  • Requirements of WG Women Mentor Program
  • How to use the MentorCity platform

This mentoring workshop will feature 3 case studies, where you will hear about the experiences and learn from the following WG Women Mentor Program participants:

  • Mentor (Carol Chandler, Chandler Farms)
  • Protégé (Sarah McClarty, HMC Farms)
  • Both Protégé/Mentor (Heather Mulholland, Mulholland Citrus)

This event will be offered virtually and free of charge to participants of the WG Women Program. Content will be geared toward both mentors and protégés as well as ALL WG Women, regardless if they are officially paired with a mentor/protégé yet.

EVENT DETAILS:

Mentoring Workshop
Date: Wednesday, June 23, 2021
Time: 8:30 AM – 9:30 PM PT
Register: CLICK HERE TO REGISTER

This event is only available to participants of the WG Women Program and is completely FREE. Please note that you MUST be a participant of the WG Women Program to register for this event. To apply for the program, fill out the application here.

For questions, contact Stephanie Metzinger at (949) 529-8781.

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Adjacent Land Use/Production Locations Comment Period Now Open

May 4th, 2021

The comment period for issues related to Adjacent Land Use/Production Locations (Issues # 14 and # 15 in the guidelines) is now open. All submissions are due on Thursday, May 27, 2021.

If you are interested in submitting a revision to the Adjacent Land Use/Production Locations section, please visit leafygreenguidance.com.

BACKGROUND ON GUIDELINE REVISIONS

Since the inception of the California and Arizona Leafy Green Marketing Agreements, Western Growers has been at the forefront of developing and revising the written “Commodity Specific Food Safety Guidelines for the Production and Harvest of Lettuce and Leafy Greens” for the leafy greens industry in both states.

Western Growers supports the continuous improvement of the LGMA-approved leafy green food safety guidelines and maintains a Master Calendar to facilitate a systematic amendment process.

For more information, contact Western Growers’ Science department at [email protected].

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Upcoming Web Discussion on Proposed Changes to the LGMA-approved Metrics

May 4th, 2021

On May 20, 2021, Western Growers is hosting a web discussion surrounding all submissions received during the Soil Amendments/Non-Synthetic Crop Treatments comment period.

During this web discussion, proposed changes to the LGMA-approved metrics will be publicly presented by the corresponding submitter with open dialogue allowed for all attendees. We encourage all stakeholders to register today for this important web discussion.

EVENT DETAILS:

Web Discussion – Soil Amendments/Non-Synthetic Crop Treatments

Date: Thursday, May 20, 2021

Time: 11:00 a.m. – 12:00 p.m. PT

RSVP: CLICK HERE TO REGISTER

For more information, contact Western Growers’ Science department at [email protected].

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Leafy Greens Industry’s Ongoing Efforts Discussed During May 10 Webinar

May 4th, 2021

The leafy green sector continues to address challenges associated with the current leafy greens food safety landscape. Industry-wide collaborative efforts across government entities, trade associations, universities, and individual companies are imperative to address produce safety challenges.

In this webinar, Western Growers, Arizona and California Leafy Greens Marketing Agreements, Monterey County Farm Bureau, Yuma Safe Produce Council, and University of California at Davis will discuss current food safety initiatives and activities.

This webinar will contain valuable insight regarding:

  1. Western Growers’ Initiatives
  2. California and Arizona LGMA’s Activities 
  3. Local Initiatives
  4. California Longitudinal Study Overview

This webinar will allow an opportunity to ask questions and provide feedback on current work and initiatives. Register today!

EVENT DETAILS

Webinar – Leafy Greens Industry Ongoing Efforts

Date: Monday, May 10, 2021

Time: 10:00AM – 11:00AM (PT)

Speakers:

  • Amanda Brooks, Executive Board Member, Yuma Safe Produce Council
  • De Ann Davis, SVP Science, Western Growers
  • Norm Groot, Executive Director, Monterey County Farm Bureau Greg Komar, Technical Director, CA LGMA
  • Michele Jay-Russell, WIFSS Liaison and Program Manager, Western Center for Food Safety/UC Davis
  • Greg Komar, Technical Director, CA LGMA
  • Teressa Lopez, Food Safety Committee Administrator, AZ LGMA
  • Sonia Salas, AVP Science, Western Growers
  • Vicki Scott, Technical Assistant, AZ LGMA
  • Tim York, CEO, CA LGMA

RSVP: CLICK HERE TO REGISTER

This webinar is part 2 of the’ “Government and Industry Responses to Leafy Green Outbreaks Two-Part Webinar Series.” Western Growers, in collaboration with the California and Arizona LGMAs, created this webinar series to provide an opportunity for the leafy greens industry and government to discuss the latest investigative report on the fall 2020 outbreak of E.coli O157:H7 illnesses linked to leafy greens’ consumption and the updated Leafy Greens Shiga-toxin producing E.coli Action Plan.

Part 1—Latest Outbreak Investigation Webinar: Highlights, Findings, Recommendations, and Future Government Activities—was held on April 21, 2021, and featured speakers from the U.S. Food & Drug Administration, California Department of Food and Agriculture, and California Department of Public Health.

For more information about this two-part webinar series, contact Western Growers’ Science department at [email protected].

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New Webinar Time: Proposed Changes to LGMA-approved Metrics Discussion

May 13th, 2021

On May 20, 2021, Western Growers is hosting a web discussion surrounding all submissions received during the Soil Amendments/Non-Synthetic Crop Treatments comment period. Please note that this webinar will now be from 9:30 a.m. – 11:30 a.m. PT (not the 11:00 a.m. – 12:00 p.m. timeframe previously advertised).

During this web discussion, proposed changes to the LGMA-approved metrics will be publicly presented by the corresponding submitter with open dialogue allowed for all attendees. We encourage all stakeholders to register today for this important web discussion.

EVENT DETAILS:

Web Discussion – Soil Amendments/Non-Synthetic Crop Treatments

Date: Thursday, May 20, 2021

Time: 9:30 a.m. – 11:30 a.m. PT

RSVP: CLICK HERE TO REGISTER

For more information, contact Western Growers’ Science department at [email protected].

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New Webinar Time: Proposed Changes to LGMA-approved Metrics Discussion

May 13th, 2021

On May 20, 2021, Western Growers is hosting a web discussion surrounding all submissions received during the Soil Amendments/Non-Synthetic Crop Treatments comment period. Please note that this webinar will now be from 9:30 a.m. – 11:30 a.m. PT (not the 11:00 a.m. – 12:00 p.m. timeframe previously advertised).

During this web discussion, proposed changes to the LGMA-approved metrics will be publicly presented by the corresponding submitter with open dialogue allowed for all attendees. We encourage all stakeholders to register today for this important web discussion.

EVENT DETAILS:

Web Discussion – Soil Amendments/Non-Synthetic Crop Treatments

Date: Thursday, May 20, 2021

Time: 9:30 a.m. – 11:30 a.m. PT

RSVP: CLICK HERE TO REGISTER

To view all proposed changes and comments submitted during the comment period, visit: https://www.leafygreenguidance.com/. For more information, contact Western Growers’ Science department at [email protected].

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FDA Releases Report Highlighting 2020 Salmonella Outbreak in Red Onions

May 13th, 2021

Today, the U.S. Food and Drug Administration (FDA) issued a report on its investigation of the Salmonella Newport outbreak that caused more than 1,600 reported illnesses in the United States and Canada between June and October 2020.

The FDA worked with the U.S. Centers for Disease Control and Prevention, state partners and Canadian officials to investigate the outbreak, which was linked through epidemiology and traceback to whole red onions.

The report includes an overview of the following:

  • traceback investigation;
  • subsequent on-site interviews;
  • visual observations of the growing fields;
  • environmental sampling; and
  • various factors that potentially contributed to the contamination of red onions with Salmonella.

Click here to read and download the full report. For more information about the report, click here to read FDA’s constituent update.

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Industry Calls for Water Infrastructure Investment in The Hill Op-Ed

May 20th, 2021

Western Growers President/CEO Dave Puglia, Family Farm Alliance Executive Director Dan Keppen and State Water Contractors General Manager Jennifer Pierre authored an op-ed yesterday calling on Congress to recognize one of the “great needs” of the 21st century and invest in our Western water infrastructure. The op-ed was featured in The Hill and is available to read by clicking here.

“An infrastructure package working its way through Congress has the potential to promote drought resiliency in the West, protect our food supply and ensure communities have the water they need to run their homes and power their businesses,” said the op-ed.

“There is a solution to help us moderate the inevitable swings between dry and wet years, to make our water supply more reliable in the face of climate change and changing hydrology. But it will require massive, long-overdue investments in our aging water infrastructure.”

Click here to read the full op-ed in The Hill.

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Web Discussion Tomorrow: Proposed Changes to LGMA-approved Metrics Discussion

May 25th, 2021

Tomorrow, from 1:30 p.m. – 3:30 p.m. PT, Western Growers is hosting the second part of the web discussion surrounding all submissions received during the Soil Amendments/Non-Synthetic Crop Treatments comment period.

During this web discussion, proposed changes to the LGMA-approved metrics will be publicly presented by the corresponding submitter with open dialogue allowed for all attendees. To access the current LGMA-Approved Metrics Working Draft, click here.

EVENT DETAILS

Web Discussion – Soil Amendments/Non-Synthetic Crop Treatments (Part 2)

Date: Wednesday, May 26, 2021

Time: 1:30 p.m. – 3:30 p.m.  PT

RSVP: CLICK HERE TO REGISTER

To view all proposed changes and comments submitted during the comment period, visit: https://www.leafygreenguidance.com/. For more information, contact Western Growers’ Science department at [email protected].

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Adjacent Land Use/Production Locations Comment Period Closes Today

May 27th, 2021

On May 27, 2021, at 11:59 p.m. PT, the comment period for issues related to Adjacent Land Use/Production Locations (Issues # 14 and # 15 in the guidelines) closes. Only submissions following the proper format and submitted before the deadline will be accepted.

If you are interested in submitting a revision to the Adjacent Land Use/Production Locations section, visit https://www.leafygreenguidance.com/. WG invites all stakeholders interested in enhancing the safety of leafy greens to engage in this process.

BACKGROUND ON GUIDELINE REVISIONS

Since the inception of the California and Arizona Leafy Green Marketing Agreements, Western Growers has been at the forefront of developing and revising the written “Commodity Specific Food Safety Guidelines for the Production and Harvest of Lettuce and Leafy Greens” for the leafy greens industry in both states.

Western Growers supports the continuous improvement of the LGMA-approved leafy green food safety guidelines and maintains a Master Calendar to facilitate a systematic amendment process.

For more information, contact Western Growers’ Science department at [email protected].

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New Surveillance Sampling Guidance and Updated Q&A Document

May 27th, 2021

Western Growers (WG) has developed an industry guidance document, “Grower/Shipper/Handler Guide to Food and Drug Administration Assignment Sampling Visits,” which is available to WG members online here. This document is intended to provide information and suggested guidelines for WG members to follow during FDA sampling visits.

Additionally, WG has revised the Salinas Valley Surveillance Sampling Assignment Q&A Document, which answers immediate questions WG members may have during FDA’s current ongoing assignment.

If you have any specific questions or concerns regarding surveillance sampling, contact WG’s Science staff at [email protected].

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CA Bill That Changes Law for H-2A Workers Heads to Senate

May 6th, 2021

AB 857, a California bill that would change the law by expanding the definition of “voluntary” and “mandated” travel time, passed off the Assembly Floor today and now heads to the Senate.

AB 857 attempts to:

  • add new situations whereby travel time would be required to be paid to H-2A employees;
  • go well beyond existing court decisions by requiring that the travel time be paid at the regular rate of pay; and
  • require employers to provide redundant information to employees, creating potential liability when the employer provides the information in one notice, but not another.

This bill significantly mirrors SB 1102 (Monning) which was vetoed by Governor Newsom late last year. In his veto message, the Governor directed the California Labor and Workforce Development Agency to develop and maintain the employee notification template contemplated in SB 1102 since it is a process that can more readily take into consideration changes in H-2A governing law and any future court decisions. Western Growers strongly believes that the Governor’s direction outlined in the veto message should proceed without the interference of AB 857.

Though AB 857 passed the Assembly Floor, it was only confirmed by a narrow margin thanks in large part to the WG members and other industry partners who took action by reaching out to their respective legislators and voicing their opposition to the bill.

Stay tuned to our Spotlight newsletter for additional updates about AB 857. For more information, contact Matthew Allen at (916) 446-1435.

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AB 616 Passes Off Assembly Floor, Now Heads to CA Senate

May 11th, 2021

Yesterday, the latest UFW bill that erodes employees’ free choice and threatens employers’ due process rights (AB 616), passed out of the California State Assembly. AB 616 now heads to the Senate.

AB 616 (Stone) is the latest incarnation of card check legislation, which undermines the secret ballot election process that has been at the core of the Agricultural Labor Relations Act (ALRA) since its inception. ALRA guarantees that employees have the opportunity to express their choice with respect to union representation through a secret ballot election held at a time and place convenient to those employees under the supervision of the Agricultural Labor Relations Board (ALRB).

AB 616 erodes this guarantee and raises the risk that union representation and the economic consequences for employees of being required to pay dues and obey union rules could be imposed on employees who do not wish to have union representation.

If AB 616 were to become law:

  • farm employees will be forever stripped of their right to express their choice for union representation or not by a secret ballot election supervised by the ALRB;
  • union organizers will go to great lengths to influence farm employees in order to force a card check certification and avoid secret ballot elections;
  • employers will be in perpetual legal defense mode at the ALRB, as AB 616 has harsh penalties against employers but not the unions; and
  • the bonding requirement present in the bill represents a direct threat to an employer’s due process rights.

AB 616 passed by a vote of 50-17, with 11 abstentions. Below is how each legislator voted yesterday:

  • Ayes: Aguiar-Curry, Arambula, Bauer-Kahan, Bennett, Berman, Bloom, Boerner Horvath, Burke, Calderon, Carrillo, Cervantes, Chau, Chiu, Friedman, Gabriel, Cristina Garcia, Gipson, Lorena Gonzalez, Holden, Irwin, Jones-Sawyer, Kalra, Lee, Levine, Low, Maienschein, McCarty, Medina, Mullin, Muratsuchi, Nazarian, O’Donnell, Petrie-Norris, Quirk, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Salas, Santiago, Stone, Ting, Villapudua, Ward, Akilah Weber, Wicks, Wood, Rendon
  • Noes: Bigelow, Choi, Cunningham, Megan Dahle, Davies, Flora, Fong, Gallagher, Kiley, Lackey, Mathis, Nguyen, Seyarto, Smith, Valladares, Voepel, Waldron
  • Abstentions: Chen, Cooley, Cooper, Daly, Frazier, Eduardo Garcia, Gray, Grayson, Mayes, Patterson, Blanca Rubio

Thank you to all the Western Growers members and other industry partners who took action by reaching out to their respective legislators and voicing their opposition to the bill. Our fight now heads to the Senate.

Stay tuned to our Spotlight newsletter for additional updates about AB 616. For more information, contact Matthew Allen at (916) 446-1435.

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Ag Labor Legislative Update

May 27th, 2021

The California Legislature is currently in peak season as the Assembly and Senate rush to complete consideration of bills that were introduced in their respective houses. As a general rule, bills have to move out of their house of origin by June 4th in order for them to survive and continue through the legislative process. WG is actively lobbying many of these bills that affect the environment, labor, and water. Two bills that we are heavily opposing are AB 616 and AB 857. Unfortunately, both of these bills have passed out of the Assembly and will soon be heard in the Senate Labor Committee. WG will continue advocating against these proposals.

AB 616 is being authored by Assembly Member Mark Stone. The bill is sponsored by the United Farm Workers and would undermine the secret ballot election process that lies at the heart of the Agricultural Labor Relations Act. If AB 616 were to become law, farm employees will be essentially be stripped of their right to express their choice for union representation or not by a secret ballot election supervised by the ALRB. Union organizers will go to great lengths to influence farm employees in order to force a card check certification and avoid secret ballot elections in favor of the ballot card election process which is heavily weighted in favor of a union seeking representation rights. Finally, with AB 616’s harsh penalties against employers but not the unions, employers will be in perpetual legal defense mode at the ALRB.

AB 857 is being authored by Assembly Member Ash Kalra. The bill is sponsored by the California Rural Legal Assistance Foundation, Inc. AB 857 is essentially a reintroduction of SB 1102 (Monning) which was vetoed by Governor Newsom last year largely due to its provisions on travel time. WG is opposed to AB 857 for the same reasons. AB 857 creates a new right on travel time being compensable that is contrary to long established judicial precedence.  The bill falsely states that it “is declaratory of existing law.” In reality, this bill attempts to change the law by expanding the definition of “voluntary” and “mandated” travel time, as decided by the California Supreme Court in Morillion v. Royal Packing (2000).  Therefore, AB 857 adds new situations whereby travel time would be required to be paid to H-2A employees.

Additionally, this bill goes well beyond existing court decisions by requiring that the travel time be paid at the regular rate of pay. This is not a notice of existing rights since current law requires that travel time pay be compensated at no less than the minimum wage, which for H-2A workers is $16.05 per hour in 2021.  For H-2A employees earning on a piece rate basis, the regular rate of pay could easily exceed $16.05 per hour – for voluntarily sitting on a bus.

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Court of Appeals Rules California’s Independent Contractor Law Applies to Truckers

May 6th, 2021

The U.S. Court of Appeals for the Ninth Circuit has overturned an injunction that blocked the application of AB 5, California’s law governing the use of independent contractors (as to independent truckers).

The lawsuit was brought by the California Truckers Association (CTA) in December 2019, just before AB 5 went into effect. It persuaded a lower court to issue an injunction on the grounds that the Federal Aviation Administration Authorization Act (FAAAA) preempted implementation of AB 5. That injunction has kept the state from enforcing AB 5 against the state’s trucking industry since the law went into effect on Jan. 1, 2020. 

But the appellate court ruled in a 2-1 decision that the FAAAA does not preempt the full implementation of AB 5. 

The CTA had argued that its members would suffer irreparable harm if AB 5 were to be applied to independent truckers, and Judge Mark Bennett agreed with that position in his dissent.

“California will now be free to enforce its preempted law,” Bennett said. “CTA’s members will now suffer irreparable injury. And the damage to the policies mandated by Congress will likely be profound.”

Port truck drivers have been particularly vocal in attempting to secure employee status, backed by the Teamsters union, who have alleged that many port drivers are misclassified as contractors.

The CTA has filed a motion seeking an en banc hearing, or review of the 3-judge panel’s decision, which if granted, would be heard by an 11-judge panel of the Ninth Circuit.

If the en banc petition is denied, the CTA could appeal to the U.S. Supreme Court, which could then result in the injunction remaining in place while the Supreme Court decides whether to take the case.

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