Section § 49010

Explanation

This law is called the California Nutrition Incentives Act.

This chapter shall be known, and may be cited, as the California Nutrition Incentives Act.

Section § 49011

Explanation

This law sets up the Nutrition Incentive Matching Grant Program to promote the purchase and eating of fresh fruits, nuts, and vegetables grown in California. The program connects local farmers with people who receive nutrition benefits, making it easier for these clients to access and buy fresh produce.

The Nutrition Incentive Matching Grant Program is hereby established in the Office of Farm to Fork for purposes of encouraging the purchase and consumption of California fresh fruits, nuts, and vegetables by directly linking California fresh fruit, nut, and vegetable producers with nutrition benefit clients.

Section § 49012

Explanation

This section defines key terms for programs that enhance the value of food assistance benefits when used to buy fresh produce grown in California. A 'consumer incentive program' boosts the purchasing power of these benefits. A 'nutrition benefit client' can be anyone using services like WIC, CalWORKs, CalFresh, and others. A 'qualified entity' refers to certified farmers' markets, certain small businesses, or nonprofits that can accept these benefits for fresh fruit, nuts, and vegetables.

For purposes of this chapter, the following definitions shall apply:
(a)CA Food and Agriculture Code § 49012(a) “Consumer incentive program” means a program administered by a qualified entity that increases the purchasing value of a nutrition benefit client’s benefits when the benefits are used to purchase California fresh fruits, nuts, and vegetables.
(b)CA Food and Agriculture Code § 49012(b) “Nutrition benefit client” means a person who receives services or payments through any of the following:
(1)CA Food and Agriculture Code § 49012(b)(1) California Special Supplemental Nutrition Program for Women, Infants, and Children, as described in Section 123280 of the Health and Safety Code.
(2)CA Food and Agriculture Code § 49012(b)(2) CalWORKs program, as described in Chapter 2 (commencing with Section 11200) of Part 3 of Division 9 of the Welfare and Institutions Code.
(3)CA Food and Agriculture Code § 49012(b)(3) CalFresh, as described in Section 18900.2 of the Welfare and Institutions Code.
(4)CA Food and Agriculture Code § 49012(b)(4) Implementation of the federal WIC Farmers’ Market Nutrition Act of 1992 (Public Law 102-314).
(5)CA Food and Agriculture Code § 49012(b)(5) The Senior Farmers’ Market Nutrition Program, as described in Section 3007 of Title 7 of the United States Code.
(6)CA Food and Agriculture Code § 49012(b)(6) Supplemental Security Income or State Supplementary Payment, as described in Section 1381 and following of Title 42 of the United States Code.
(c)CA Food and Agriculture Code § 49012(c) “Qualified entity” means either of the following:
(1)CA Food and Agriculture Code § 49012(c)(1) A certified farmers’ market, as described in Section 47004, an association of certified producers, a community-supported agriculture program, as defined in Section 47060, a farm stand, as defined in Section 47050, or a nonprofit organization representing a collective or association of certified producers that is authorized by the United States Department of Agriculture to accept federal Supplemental Nutrition Assistance Program (Chapter 51 (commencing with Section 2011) of Title 7 of the United States Code) benefits from recipient purchasers at a farmers’ market. Certified producers shall be certified by the county agricultural commissioner pursuant to Section 47020.
(2)CA Food and Agriculture Code § 49012(c)(2) A small business, as defined in Section 14837 of the Government Code, that sells California grown fresh fruits, nuts, and vegetables and that is authorized to accept nutrition benefits from any of the programs listed in paragraphs (1) to (6), inclusive, of subdivision (b).

Section § 49013

Explanation

This law establishes a special account to collect funds from various sources, including federal grants and donations, to support the Nutrition Incentive Matching Grant Program. The program offers grants to organizations to help implement food assistance initiatives.

The Department of Food and Agriculture can provide up to 50% of a grant in advance to organizations with an operating budget of $500,000 or less, but only if the organization shows that advance payment is necessary for the program's success due to financial hardship.

(a)CA Food and Agriculture Code § 49013(a) The Nutrition Incentive Matching Grant Account is hereby created in the Department of Food and Agriculture Fund to collect matching funds from the federal Food Insecurity Nutrition Incentive Grant Program (7 U.S.C. Sec. 7517), if available, and from other public and private sources, to provide grants under the Nutrition Incentive Matching Grant Program. The Nutrition Incentive Matching Grant Program shall provide grants upon the deposit of sufficient funds, including from a successful application of federal grant funding, if available, into the Nutrition Incentive Matching Grant Account.
(b)CA Food and Agriculture Code § 49013(b) Notwithstanding any other law, the department may provide grant funds to a grantee in advance of the expenditure of funds by the grantee for implementation of the Nutrition Incentive Matching Grant Program, instead of in the form of a reimbursement after the expenditure of funds for that program, in an amount equal to or less than 50 percent of the grant amount provided in the grantee’s grant agreement pursuant to subdivision (a) and Section 49014, if both of the following conditions are met:
(1)CA Food and Agriculture Code § 49013(b)(1) The grantee has declared an operating budget of no more than five hundred thousand dollars ($500,000).
(2)CA Food and Agriculture Code § 49013(b)(2) The department makes a determination, based upon a request submitted by the grantee declaring hardship, that an advance payment is essential for the effective implementation of the Nutrition Incentive Matching Grant Program by the grantee.

Section § 49014

Explanation

The Nutrition Incentive Matching Grant Program provides grants to organizations that run consumer incentive programs, encouraging the purchase of fresh, California-grown produce. The program has specific rules and priorities for awarding these grants, such as serving areas lacking current consumer incentive programs and focusing on communities with high needs like those with high rates of diet-related illnesses. Grants are prioritized for organizations that can demonstrate efficient program administration. The program must also comply with federal agricultural regulations, and only a portion of the funds can go to certain types of organizations.

The Nutrition Incentive Matching Grant Program shall be administered in accordance with all of the following:
(a)CA Food and Agriculture Code § 49014(a) Subject to the regulations adopted by the National Institute of Food and Agriculture in the United States Department of Agriculture in accordance with the federal Agricultural Act of 2014 (Public Law 113-79), or any subsequent federal agricultural act, moneys in the Nutrition Incentive Matching Grant Account shall be awarded in the form of grants to qualified entities for consumer incentive programs.
(b)Copy CA Food and Agriculture Code § 49014(b)
(1)Copy CA Food and Agriculture Code § 49014(b)(1) The Office of Farm to Fork shall establish minimum standards, funding schedules, and procedures for awarding grants in consultation with the United States Department of Agriculture and other interested stakeholders, including, but not limited to, the State Department of Public Health, State Department of Social Services, organizations with expertise in nutrition benefit programs or consumer incentive programs, small business owners that may qualify as a qualified entity, and certified farmers’ market operators.
(2)CA Food and Agriculture Code § 49014(b)(2) The department shall not use more than one-third of the Nutrition Incentive Matching Grant Program funds for consumer incentive programs with qualified entities described in paragraph (2) of subdivision (c) of Section 49012 that are not otherwise qualified pursuant to paragraph (1) of that subdivision.
(c)CA Food and Agriculture Code § 49014(c) The department shall give priority in awarding grants to qualified entities based on, but not limited to, the following:
(1)CA Food and Agriculture Code § 49014(c)(1) The service of an area of population currently not being served by a consumer incentive program.
(2)CA Food and Agriculture Code § 49014(c)(2) The degree of the existence of the following demographic conditions and the character of the communities in which sales of California grown fresh fruits, nuts, and vegetables are made to the public by authorized vendors operating in conjunction with a qualified entity:
(A)CA Food and Agriculture Code § 49014(c)(2)(A) The number of people who are eligible for, or receiving, nutrition benefit program services.
(B)CA Food and Agriculture Code § 49014(c)(2)(B) The prevalence of diabetes, obesity, and other diet-related illnesses.
(C)CA Food and Agriculture Code § 49014(c)(2)(C) The availability of access to fresh fruits, nuts, and vegetables.
(3)CA Food and Agriculture Code § 49014(c)(3) Demonstrated efficiency in the administration of a consumer incentive program.

Section § 49015

Explanation

This section outlines the California Healthy Refrigeration Grant Program, which provides grants to help corner stores and small businesses in low-income or low-access areas acquire refrigeration equipment. These stores, often in areas where access to fresh foods is limited, can use the funds to stock healthy, California-grown fresh produce and minimally processed foods. Qualified entities, such as small businesses, tribal governments, and nonprofits, can apply for grants to support these efforts. Grant recipients are required to use funds for energy-efficient refrigeration units and prioritize stocking them with fresh, local produce. Cities, counties, and other entities involved must report their use of the funds and can allocate a portion of their grant to technical assistance. When awarding grants, priority is given to areas with limited access to fresh foods, those with a high prevalence of diet-related illnesses, and populations receiving nutrition benefits.

(a)CA Food and Agriculture Code § 49015(a) For purposes of this section, the following definitions shall apply:
(1)CA Food and Agriculture Code § 49015(a)(1) “Corner store” means a small-scale store or grocery store, either an independent store or a chain store, that sells a limited selection of foods and other products, and that is located in a low-income area or low-access area in a rural, urban, or suburban area or tribal community. “Corner store” includes, among others, stores that are not located on a corner and stores commonly referred to as convenience stores or neighborhood stores.
(2)CA Food and Agriculture Code § 49015(a)(2) “Low-access area” means a census tract in which there are significant barriers to accessing a supermarket or large grocery store, which may include, but is not limited to, a census tract with at least 500 persons or 33 percent of the population that lives more than one mile, for nonrural areas, or more than 10 miles, for rural areas, from a supermarket or large grocery store.
(3)CA Food and Agriculture Code § 49015(a)(3) “Low-income area” means a census tract in which the income of at least 20 percent of the population is at or below the federal poverty level by family size, or if the median family income of the population is at or below 80 percent of the median family income of surrounding census tracts.
(4)CA Food and Agriculture Code § 49015(a)(4) “Minimally processed prepared food” may include any food prepared using either of the following processes:
(A)CA Food and Agriculture Code § 49015(a)(4)(A) Traditional processes used to make food edible or to preserve it or to make it safe for human consumption, for example, smoking, roasting, freezing, drying, and fermenting.
(B)CA Food and Agriculture Code § 49015(a)(4)(B) Physical processes that do not fundamentally alter the raw product or that only separate a whole, intact food into component parts, for example, grinding meat, separating eggs into albumen and yolk, and pressing fruits to produce juices.
(5)CA Food and Agriculture Code § 49015(a)(5) “Qualified entity” means any of the following:
(A)CA Food and Agriculture Code § 49015(a)(5)(A) A small business or corner store.
(B)CA Food and Agriculture Code § 49015(a)(5)(B) A city, county, or city and county, or tribal government or tribal organization with representative low-income areas that contain small businesses or corner stores or that is qualified to provide technical assistance to applicant small businesses or corner stores.
(C)CA Food and Agriculture Code § 49015(a)(5)(C) A nonprofit entity or tribal government that works with low-income populations or in low-income areas or low-access areas, and that would do any of the following:
(i)CA Food and Agriculture Code § 49015(a)(5)(C)(i) Apply for grants on behalf of a small business, corner store, or tribal members, or a collection of small businesses, corner stores, or tribal members.
(ii)CA Food and Agriculture Code § 49015(a)(5)(C)(ii) Sell or donate California-grown fresh fruits, nuts, vegetables, and minimally processed prepared foods directly in low-income areas or low-access areas.
(iii)CA Food and Agriculture Code § 49015(a)(5)(C)(iii) Provide technical assistance to applicant small businesses or corner stores.
(6)CA Food and Agriculture Code § 49015(a)(6) “Recipient” means a small business, corner store, city, county, city and county, tribal government or tribal organization, or other nonprofit entity that is provided funds pursuant to subdivision (c).
(7)CA Food and Agriculture Code § 49015(a)(7) “Small business” means a small business, as defined in Section 14837 of the Government Code, that is authorized to accept nutrition benefits from any of the programs listed in paragraphs (1) to (6), inclusive, of subdivision (b) of Section 49012, and is located in a low-income area or low-access area.
(b)CA Food and Agriculture Code § 49015(b) The Healthy Refrigeration Grant Program shall be created in the department upon the appropriation of funds, including from a successful application of federal grant funding, if available, by the Legislature for purposes of the Healthy Refrigeration Grant Program.
(c)Copy CA Food and Agriculture Code § 49015(c)
(1)Copy CA Food and Agriculture Code § 49015(c)(1) Upon an appropriation of funds as specified in subdivision (b), the department shall administer the Healthy Refrigeration Grant Program and, pursuant to the program, award grants to qualified entities. If a city, county, or city and county is awarded a grant pursuant to this subdivision, it shall provide grant funds or provide technical assistance, or both, to applicant small businesses and corner stores that are located in low-income areas or low-access areas. Notwithstanding any other law, the department may pay funds to a recipient in advance of the expenditure of funds by the recipient for implementation of the Healthy Refrigeration Grant Program, instead of in the form of a reimbursement after the expenditure of funds for that program, in an amount equal to or less than 90 percent of the grant amount provided in the recipient’s grant agreement.
(2)CA Food and Agriculture Code § 49015(c)(2) The department shall award funds to qualified technical assistance providers to provide assistance with grant implementation for program applicants who are not receiving assistance from another recipient. The department shall allocate at least 3 percent of the total amount appropriated to the department in each fiscal year pursuant to subdivision (b) to qualified technical assistance providers pursuant to this paragraph.
(3)CA Food and Agriculture Code § 49015(c)(3) When awarding grants, the department shall give priority based on, but not limited to, the prevalence of any of the following in the communities that would be served by the qualified entity:
(A)CA Food and Agriculture Code § 49015(c)(3)(A) People who are eligible for, or are receiving, nutrition benefits from any of the programs listed in paragraphs (1) to (6), inclusive, of subdivision (b) of Section 49012.
(B)CA Food and Agriculture Code § 49015(c)(3)(B) People with diabetes, obesity, or other diet-related illnesses.
(C)CA Food and Agriculture Code § 49015(c)(3)(C) Low availability of and access to fresh fruits, nuts, and vegetables.
(4)CA Food and Agriculture Code § 49015(c)(4) When awarding grants, the department shall consider giving priority to qualified entities based on, but not limited to, demonstrated efficiency and capability in the administration of a consumer incentive program, as defined in subdivision (a) of Section 49012.
(5)CA Food and Agriculture Code § 49015(c)(5) The department may establish regulations, minimum standards, funding schedules, and procedures for awarding grants to qualified entities, and may adopt any other regulations to implement and administer the Healthy Refrigeration Grant Program.
(d)CA Food and Agriculture Code § 49015(d) A recipient shall be required to do all of the following:
(1)CA Food and Agriculture Code § 49015(d)(1) Use the grant funds provided pursuant to subdivision (c) to purchase an energy-efficient refrigeration or cold storage unit or units or to provide technical assistance, or both.
(2)CA Food and Agriculture Code § 49015(d)(2) Prioritize stocking the refrigeration unit or units purchased with Healthy Refrigeration Grant Program grant funds with California-grown fresh fruits, nuts, vegetables, dairy products, meat, eggs, and minimally processed prepared foods.
(3)CA Food and Agriculture Code § 49015(d)(3) Offer for sale fresh fruits, nuts, vegetables, and minimally processed prepared foods, including culturally appropriate foods, grown in California to the extent that is possible.
(e)CA Food and Agriculture Code § 49015(e) A recipient shall be subject to reporting and auditing requirements, as determined by the department.
(f)CA Food and Agriculture Code § 49015(f) A city, county, city and county, tribal government, tribal organization, or nonprofit entity that is awarded a grant pursuant to paragraph (1) of subdivision (c) and is providing grant funds to corner stores or small businesses to purchase refrigeration equipment may use up to 20 percent of Healthy Refrigeration Grant Program grant funds for technical assistance.
(g)CA Food and Agriculture Code § 49015(g) Sections 9 and 42971 do not apply for a violation of this section or any regulation adopted pursuant to paragraph (5) of subdivision (c).

Section § 49016

Explanation

If an organization receives a grant from one program mentioned in this chapter, it can still qualify for a grant from the other program. Receiving a grant from one doesn't make an entity ineligible for the other.

The receipt of a grant under either program established in this chapter shall not preclude an entity from being eligible to receive a grant under the other program.