Existing law establishes milk standards for market milk and cream. Existing law authorizes the Secretary of Food and Agriculture, upon the request of any interested person, to grant a temporary standard for a new milk product or a new product resembling a milk product for an initial period of one year, as provided. Existing law makes a violation of these provisions or the regulations for its enforcement a misdemeanor.

This bill would define ultra-filtered milk products and would authorize the secretary to establish milk standards for ultra-filtered milk products sold in California. The bill would require ultra-filtered milk products to meet all standards and requirements for market milk, except as provided, and would require ultra-filtered milk products to be labeled in accordance with applicable federal laws. The bill would require that the term ultra-filtered be included in the product name on the product label. By expanding the scope of a crime, this bill would create a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Existing law establishes milk standards for market milk and cream. Existing law authorizes the Secretary of Food and Agriculture, upon the request of any interested person, to grant a temporary standard for a new milk product or a new product resembling a milk product for an initial period of one year, as provided. Existing law makes a violation of these provisions or the regulations for its enforcement a misdemeanor.

This bill would define ultra-filtered milk products and would authorize the secretary to establish milk standards for ultra-filtered milk products sold in California. The bill would require ultra-filtered milk products to meet all standards and requirements for market milk, except as provided, and would require ultra-filtered milk products to be labeled in accordance with applicable federal laws. The bill would require that the term ultra-filtered be included in the product name on the product label. By expanding the scope of a crime, this bill would create a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Existing law establishes milk standards for market milk and cream. Existing law authorizes the Secretary of Food and Agriculture, upon the request of any interested person, to grant a temporary standard for a new milk product or a new product resembling a milk product for an initial period of one year, as provided. Existing law makes a violation of these provisions or the regulations for its enforcement a misdemeanor.

This bill would define ultra-filtered milk products and would authorize the secretary to establish milk standards for ultra-filtered milk products sold in California. The bill would require ultra-filtered milk products to meet all standards and requirements for market milk, except as provided, and would require ultra-filtered milk products to be labeled in accordance with applicable federal laws. The bill would require that the term ultra-filtered be included with in the product name on the product label. By expanding the scope of a crime, this bill would create a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Existing law establishes milk standards for market milk and cream. Existing law authorizes the Secretary of Food and Agriculture, upon the request of any interested person, to grant a temporary standard for a new milk product or a new product resembling a milk product for an initial period of one year, as provided. Existing law makes a violation of these provisions or the regulations for its enforcement a misdemeanor.

This bill would define ultra-filtered milk products and would authorize the secretary to establish milk standards for ultra-filtered milk products sold in California. The bill would require ultra-filtered milk products to meet all standards and requirements for market milk, except as provided, and would require ultra-filtered milk products to be labeled in accordance with applicable federal laws. The bill would require that the term ultra-filtered be included with the product name on the product label. By expanding the scope of a crime, this bill would create a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Existing law establishes milk standards for market milk and cream. Existing law authorizes the Secretary of Food and Agriculture, upon the request of any interested person, to grant a temporary standard for a new milk product or a new product resembling a milk product for an initial period of one year, as provided. Existing law makes a violation of these provisions or the regulations for its enforcement a misdemeanor.

This bill would define ultra-filtered milk products and would authorize the secretary to establish milk standards for ultra-filtered milk products sold in California. The bill would require ultra-filtered milk products to meet all standards and requirements for market milk and would require ultra-filtered milk products to be labeled in accordance with applicable federal laws. By expanding the scope of a crime, this bill would create a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Date of Hearing: August 8, 2018

ASSEMBLY COMMITTEE ON APPROPRIATIONS

Lorena Gonzalez Fletcher, Chair

SBPCA Bill Id:SB 1039

Author:(Pan) – As Amended Ver:May 9, 2018

Urgency: No State Mandated Local Program: Yes Reimbursable: No

SUMMARY:

This bill defines ultra-filtered milk (UF milk) products and authorizes the Secretary of the California Department of Food and Agriculture (CDFA) to establish milk standards for UF milk products sold in California.

FISCAL EFFECT:

Negligible state costs.

COMMENTS:

1. Background. Ultrafiltration of milk is an additional step in milk processing used to increase protein concentration and remove lactose. The milk is run through a series of membranes, or filters, to separate components. This process modifies certain components in such a way that the UF milk cannot meet all of the current standards for market milk.
2. CDFA standards. In 2015, Fairlife, a company that makes UF milk products distributed by The Coca-Cola Company, petitioned CDFA to allow the company to market UF milk in California to meet consumer demand for higher-protein and lactose-free milk products. The company’s products could not meet the “solids not fat” (substances in milk other than butterfat and water) standard in market milk. As a result of the petition, CDFA developed temporary standards for UF milk. CDFA’s emergency regulations adopted sections 450, 450.1, 450.2, 450.3, 450.4, 451, and 452 of Article 7, Chapter 1, Division 2 of Title 3 of the California Code of Regulations. Those regulations do the following:
3. Section 450 (UF Milk Products) defines UF milk products and states the standards and requirements that are to be met, as well as indicating that products shall be labeled in accordance with Title 21 of the Code of Federal Regulations.
4. Section 450.1 (UF milk) specifies the milkfat, milk solids not fat and total milk solids requirements for UF milk, and specifies to what degree the milk solids not fat and total milk solids may be reduced if lactose is removed by filtration.
5. Section 450.2 (Reduced Fat UF Milk) specifies the milkfat and milk solids not fat requirements for reduced fat UF milk, and specifies to what degree the milk solids not fat may be reduced if lactose is removed by filtration.
6. Section 450.3 (Lowfat UF Milk) specifies the milkfat and milk solids not fat requirements for lowfat UF milk, and specifies to what degree the milk solids not fat may be reduced if lactose is removed by filtration.
7. Section 450.4 (Nonfat UF Milk) specifies the milkfat and milk solids not fat requirements for nonfat UF milk, and specifies to what degree the milk solids not fat may be reduced if lactose is removed by filtration.
8. Section 451 (Flavored UF Milk Products) specifies the standards and requirements for flavored UF milk, and specifies to what degree the milk solids not fat may be reduced if lactose is removed by filtration.
9. Section 452 (UHT UF Milk Products) specifies the standards and requirements for UHT UF milk and UHT flavored UF milk, and specifies to what degree the milk solids not fat or total milk solids may be reduced if lactose is removed by filtration.
10. Purpose. According to the author, UF milk provides another option for consumers that value milk but want it lactose-free and with additional protein. The author argues that SB 1039 will help create additional interest in dairy products as conventional milk consumption declines.

Analysis Prepared by: Luke Reidenbach / APPR. / (916) 319-2081

Date of Hearing: June 27, 2018

ASSEMBLY COMMITTEE ON AGRICULTURE

Anna Caballero, Chair

SBPCA Bill Id:SB 1039

Author:(Pan) – As Amended Ver:May 9, 2018

SENATE VOTE: 39-0

SUBJECT: Market milk: ultra-filtered milk products

SUMMARY: This bill defines ultra-filtered milk products (UFMP) and authorizes the Secretary of the California Department of Food and Agriculture (CDFA) to establish milk standards for ultra-filtered milk products sold in California. Specifically, this bill:

1. Defines UFMP as a market milk product resulting from the filtration of milk to alter the relative quantities of milk solids, including proteins, lactose, and minerals, but excluding fat components, as specified.
2. Requires CDFA to establish milk standards for UFMP sold in the state.
3. Requires UFMP to meet all standards and requirements for California market milk, as specified.
4. Requires UFMP to be labeled in accordance with federal regulation and include term “ultra-filtered” in the product name on the product label.

EXISTING LAW:

1. Establishes milk standards for market milk and cream.
2. Authorizes the Secretary of CDFA, upon the request of any interested person, to grant a temporary standard for a new milk product or a new product resembling a milk product for an initial period of one year, as provided.

FISCAL EFFECT: Unknown

COMMENTS: Ultrafiltration of milk is an additional step in milk processing used to increase protein concentration and remove lactose. The milk is run through a series of membranes, or filters, to separate components. This process modifies certain components in such a way that the ultra-filtered milk cannot meet all of the current standards for market milk.

In 2015, Fairlife, a company that makes UFMP products, petitioned CDFA to allow them to market ultra-filtered milk in California to meet consumer demand for higher-protein and lactose-free milk products. The company’s products could not meet the “solids not fat” (substances in milk other than butterfat and water) standard in market milk.

As a result of the petition, CDFA granted the temporary standard of “2% fat ‘ultra-filtered milk’” until the end of 2018. In their decision, CDFA stated, “Encouraging innovation by allowing novel dairy products that are safe and wholesome, benefits the dairy industry and consumers as a whole.”

According to the author, “Conventional milk consumption has been declining over several decades. Ultra-filtered milk provides another option for consumers that value milk but want the additional protein and lactose free. This creates additional interest in the dairy case from consumers that may be looking for alternatives to traditional milk from nondairy substitutes.”

REGISTERED SUPPORT / OPPOSITION:

Support

None on file

Opposition

None on file

Analysis Prepared by: Victor Francovich / AGRI. / (916) 319-2084

 THIRD READING  

Bill No: SB 1039

Author:

: 5/9/18

Vote:

SENATE AGRICULTURE COMMITTEE: 4-0, 4/3/18

AYES: Galgiani, Wilk, Dodd, Pan

NO VOTE RECORDED: Berryhill

SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8

SUBJECT: Market milk: ultra-filtered milk products

SOURCE: Fairlife

DIGEST:

This bill defines “ultra-filtered milk products” and authorizes the Secretary of the California Department of Food and Agriculture (CDFA) to establish milk standards for ultra-filtered milk products sold in California. This bill requires ultra-filtered milk products to meet all standards and requirements for market milk, except as provided, and requires ultra-filtered milk products to be labeled in accordance with applicable federal laws. This bill requires that the term “ultra-filtered” be included in the product name on the product label.

Senate Floor Amendments of 5/9/18 make technical and clarifying changes.

ANALYSIS:

Existing law:

1. Establishes milk standards for market milk and cream.
2. Authorizes the Secretary of CDFA, upon the request of any interested person, to grant a temporary standard for a new milk product or a new product resembling a milk product for an initial period of one year, as provided.

This bill:

1. Allows the Secretary of CDFA to make the temporary standard for ultra-filtered milk permanent.
2. Clarifies that ultra-filtered milk must meet all standards for market milk except for components modified by the ultrafiltration process, clarifies the allowable modification of total nonfat milk solids relative to the removal of lactose, and specifies required labeling to ensure the consumer is aware the product they are purchasing is ultra-filtered.
3. Requires the term “ultra-filtered” to be included in the product name on the product’s label.

Background

In 2015, Fairlife, a company that provides ultra-filtered milk products, petitioned CDFA to allow them to market ultra-filtered milk in California to meet consumer demand for higher-protein and lactose-free milk products (Food and Agriculture Code, Sections 36631-36638). The company’s products could not meet the “solids not fat” (substances in milk other than butterfat and water) standard in market milk. As a result of Fairlife’s petition, CDFA granted the temporary standard of “2% fat ‘ultra-filtered milk’” until the end of 2018.

FISCAL EFFECT: Appropriation: Fiscal Com.: Local:

SUPPORT: (Verified 5/10/18)

Fairlife (source)

OPPOSITION: (Verified 5/10/18)

None received

ARGUMENTS IN SUPPORT: According to the author, “Conventional milk consumption has been declining over several decades. Ultra-filtered milk provides another option for consumers that value milk but want the additional protein and lactose free. This creates additional consumer interest in the dairy case from consumers that may be looking for alternatives to traditional milk from nondairy substitutes.”

Prepared by:

5/11/18 9:31:42

**** END ****

 THIRD READING  

Bill No: SB 1039

Author:

:

Vote:

SENATE AGRICULTURE COMMITTEE: 4-0, 4/3/18

AYES: Galgiani, Wilk, Dodd, Pan

NO VOTE RECORDED: Berryhill

SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8

SUBJECT:

SOURCE: Fairlife

DIGEST:

This bill defines “ultra-filtered milk products” and authorizes the secretary of the California Department of Food and Agriculture (CDFA) to make the existing temporary “ultra-filtered milk” standard permanent.

ANALYSIS:

Existing law:

1. Establishes milk standards for market milk and cream.
2. Authorizes the Secretary of Food and Agriculture, upon the request of any interested person, to grant a temporary standard for a new milk product or a new product resembling a milk product for an initial period of one year, as provided.

This bill:

1. Allows the Secretary of CDFA to make the temporary standard for ultra-filtered milk permanent.
2. Clarifies, further, that ultra-filtered milk must meet all standards for market milk except for components modified by the ultrafiltration process, clarifies the allowable modification of total nonfat milk solids relative to the removal of lactose, and specifies required labeling to ensure the consumer is aware the product they are purchasing is ultra-filtered.

Background

In 2015, Fairlife, a company that provides ultra-filtered milk products, petitioned CDFA to allow them to market ultra-filtered milk in California to meet consumer demand for higher-protein and lactose-free milk products (Food and Agriculture Code, Sections 36631-36638). The company’s products could not meet the “solids not fat” (substances in milk other than butterfat and water) standard in market milk. As a result of Fairlife’s petition, CDFA granted the temporary standard of “2% fat ‘ultra-filtered milk’” until the end of 2018.

FISCAL EFFECT: Appropriation: Fiscal Com.: Local:

SUPPORT: (Verified 4/17/18)

Fairlife (source)

OPPOSITION: (Verified 4/17/18)

None received

ARGUMENTS IN SUPPORT: According to the author, “Conventional milk consumption has been declining over several decades. Ultra-filtered milk provides another option for consumers that value milk but want the additional protein and lactose free. This creates additional consumer interest in the dairy case from consumers that may be looking for alternatives to traditional milk from nondairy substitutes.”

Prepared by:

4/18/18 14:29:42

**** END ****

SENATE COMMITTEE ON AGRICULTURE

Senator Cathleen Galgiani, Chair

2017 - 2018 Regular

Bill No: SB 1039 Hearing Date: 4/3/18

Subject: Market milk: ultra-filtered milk products

SUMMARY

: This bill defines “ultra-filtered milk products” and authorizes the secretary of the California Department of Food and Agriculture (CDFA) to make the existing temporary “ultra-filtered milk” standard permanent.

BACKGROUND AND EXISTING LAW

: Ultrafiltration of milk is an additional step in milk processing used to increase protein concentration and remove lactose. The milk is run through a series of membranes, or filters, to separate components. This process modifies certain components in such a way that the ultra-filtered milk cannot meet all of the standards for market milk.

The Milk and Milk Products Act of 1947 established market milk standards and grades. The act regulates the preparation, production, manufacture, distribution, and sale of milk and specified milk products (Food and Agriculture Code, Sections 35781-35788).

In 2015, Fairlife, a company that provides ultra-filtered milk products, petitioned CDFA to allow them to market ultra-filtered milk in California to meet consumer demand for higher-protein and lactose-free milk products (Food and Agriculture Code, Sections 36631-36638). The company’s products could not meet the “solids not fat” (substances in milk other than butterfat and water) standard in market milk.

As a result of Fairlife’s petition, CDFA granted the temporary standard of “2% fat ‘ultra-filtered milk’” until the end of 2018. In their decision, CDFA stated, “Encouraging innovation by allowing novel dairy products that are safe and wholesome, benefits the dairy industry and consumers as a whole.”

PROPOSED LAW

: This bill allows the secretary of CDFA to make the temporary standard for ultra-filtered milk permanent. This bill further clarifies that ultra-filtered milk must meet all standards for market milk except for components modified by the ultrafiltration process, clarifies the allowable modification of total nonfat milk solids relative to the removal of lactose, and specifies required labeling to ensure the consumer is aware the product they are purchasing is ultra-filtered.

COMMENTS

: According to the author, “Conventional milk consumption has been declining over several decades. Ultra-filtered milk provides another option for consumers that value milk but want the additional protein and lactose free. This creates additional consumer interest in the dairy case from consumers that may be looking for alternatives to traditional milk from nondairy substitutes.”

RELATED LEGISLATION

:

AB 486 (Mathis) of 2017 (Died in the Assembly Agriculture Committee). Would have defined “ultra-filtered milk products” and would have authorized the secretary of CDFA to establish milk standards for ultra-filtered milk products sold in California. The bill would have required ultra-filtered milk products to meet all standards and requirements for market milk and would have required ultra-filtered milk products to be labeled in accordance with applicable federal laws.

SUPPORT

:

Fairlife (Sponsor)

OPPOSITION

:

None received

-- END --