Article 4.5 - Assessments

California Food and Agricultural Code — §§ 12841-12847

Sections (11)

Amended by Stats. 2024, Ch. 60, Sec. 17. (AB 2113) Effective July 2, 2024.

(a)A person shall not sell for use in this state any pesticide products that have been registered by the director for which the mill assessment established by this article, and the regulations adopted pursuant to it, is not paid at the times specified in Section 12843.
(b)Except as provided in subdivision (d), every person who sells for use in this state a pesticide product that has been registered by the director shall pay to the director the applicable assessment. Those sales expressly include all sales made electronically, telephonically, or by any other means that result in a pesticide product being shipped to or used in this state. There is a

rebuttable presumption that pesticide products that are sold or distributed into or within this state by any person are sold or distributed for use in this state.

(c)Upon application of a registrant, the director shall determine whether a fertilizer or paper product is used as a carrier for a pesticide, and is sold in combination, and whether the mill assessment under this article shall be on the pesticide value only, when the product is designed, developed, and manufactured, and sold primarily for other than a pesticide use. If the director finds that the combination product has such a major component and is designed, developed, manufactured, and sold primarily for other than a pesticide use, the assessment provided by this article shall be paid on the equivalent percentage of the sales price of the active ingredients of the

pesticide product. The director shall establish this percentage of the sales price. The percentage shall be the ratio of that portion of the sales price attributable to the pesticide portion to the total sales price of the combination product.

(d)Assessments provided for in this article for sales of registered pesticides that are sold for use in this state shall be paid by the person or entity that first sold the pesticide for use in this state.
(e)It has been and continues to be the intent of the Legislature that this division requires the department to register all pesticides before their sale for use in this state and, except as otherwise provided by law, requires the department to regulate and control the use of pesticides in accordance with this division. Except as provided in

Section 12841.1, the department shall continue to collect the assessment as provided in this article at the same rate on all registered agricultural and registered nonagricultural pesticides.

(f)(1) The mill assessment shall be paid at the following rates per dollar of sales for all sales of pesticides for use in this state:

(A) From July 1, 2024, to June 30, 2025, inclusive, the rate shall be 24.5 mills

($0.0245) per dollar sales of all sales of registered pesticides for use in this state plus any additional assessment authorized by Section 12841.1.

(B) From July 1, 2025, to June 30, 2026, inclusive, the rate shall be 27 mills ($0.027) per dollar sales of all sales of registered pesticides for use in this state plus any additional assessment authorized by Section 12841.1.

(C) From July 1, 2026, to June 30, 2027, inclusive, the rate shall be 29 mills ($0.029) per dollar sales of all sales of registered pesticides for use in this state plus any additional

assessment authorized by Section 12841.1.

(D) On and after July 1, 2027, the rate shall be 30 mills ($0.030) per dollar sales of all sales of registered pesticides for use in this state plus any additional assessment authorized by Section 12841.1.

(2)The regulations adopted pursuant to this section, or any amendment thereto, shall be adopted by the director in accordance with Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code. However, the adoption, amendment, readoption, or repeal of these regulations shall be considered by the Office of Administrative Law as an emergency, and necessary for the immediate preservation of the public peace,

health, safety, and general welfare. Notwithstanding any other law, the regulations shall remain in effect until amended by the director. The director shall make available to the public, upon the adoption of an emergency regulation establishing a new rate, the information on which the director has calculated, based, or determined the new rate.

(g)The revenue collected pursuant to this section shall be deposited into the Department of Pesticide Regulation Fund and distributed as follows:
(1)Notwithstanding Sections 2282 and 12784, the director shall pay, in accordance with the criteria set forth in Section 12844, the following amounts to the counties as reimbursement for costs incurred by the counties in the administration and enforcement of Division 6 (commencing with Section

11401), this chapter, Chapter 3 (commencing with Section 14001), Chapter 3.4 (commencing with Section 14090), and Chapter 3.5 (commencing with Section 14101):

(A)From January 1, 1998, to March 31, 1998, inclusive, five-eighths of the money received during that period pursuant to this section.
(B)From April 1, 1998, to June 30, 2004, an amount equal to the revenue derived from 6 mills ($0.006) per dollar of sales for all pesticide sales for use in this state.
(C)Beginning July 1, 2004, an amount equal to the revenue derived from 7.6 mills ($0.0076) per dollar of sales for all pesticide sales for use in this state.
(2)All funds not otherwise

distributed pursuant to this subdivision shall remain in the Department of Pesticide Regulation Fund and shall be available for expenditure, upon appropriation by the Legislature, to support the department’s

operations.

(h)For purposes of this section, “active ingredient” means any active ingredient that is required to be stated on the label on any registered pesticide under Section 12883.

Amended by Stats. 2024, Ch. 60, Sec. 18. (AB 2113) Effective July 2, 2024.

(a)The director may collect an assessment, in addition to the mill assessment collected pursuant to Section 12841, for all pesticide sales for use in this state except for sales for use in this state of pesticides labeled solely for home, industrial, or institutional use. The director may only collect up to an additional 1.04 mills ($0.00104) per dollar of sales, in addition to the rate established pursuant to Section 12841, if necessary to fund, or augment the funding for, an appropriation to the Department of Food and Agriculture to provide pesticide consultation to the department pursuant to Section 11454.2. The necessity of this additional assessment shall be determined by the Secretary of Food and

Agriculture, in consultation with the director, on an annual basis after consideration of all other revenue sources, including any reserves, that may be appropriated for this purpose. The secretary’s written determination, including a request for a specified additional assessment and the basis for that request, shall be provided to the director by a time and in a manner prescribed by the director.

(b)The revenue collected pursuant to this section shall be deposited monthly into a separate account in the Department of Food and Agriculture Fund. These revenues shall be expended only by the Department of Food and Agriculture, upon appropriation by the Legislature, to provide consultation to the department pursuant to Section 11454.2. Funds shall not be expended before the execution of a memorandum of understanding pursuant to

subdivision (b) of Section 11454.2. The consultation activities to be undertaken by the Department of Food and Agriculture are limited solely to those specifically authorized in the memorandum of understanding executed pursuant to Section 11454.2. These funds shall not be expended for scientific risk assessment activities. The department shall be reimbursed from the Department of Food and Agriculture Fund for the department’s revenue collection activities. If the director determines that a person is entitled to a refund of mill assessment funds that were collected pursuant to this section, the director shall inform the Secretary of Food and Agriculture of the amount of the refund due, which shall be reimbursed from the Department of Food and Agriculture Fund.

Added by Stats. 2003, Ch. 741, Sec. 67. Effective January 1, 2004.

(a)The Department of Pesticide Regulation shall create a program to conduct outreach and education activities for worker safety, environmental safety, school safety, and proper pesticide handling and use, to include, but not be limited to, the following issues and criteria:
(1)The program shall encompass all communities, including urban, rural, and suburban communities.
(2)All potential exposure opportunities, including household, industrial, and agricultural uses.
(3)Rights and procedures of workers and those potentially exposed to pesticides and how to file confidential complaints.
(b)The program shall be conducted in accordance with the department’s environmental justice guidelines.
(c)The director shall appoint an advisory committee of interested stakeholders to provide input on the development and implementation of the program.
(d)This program shall compliment and not replace other outreach efforts currently in place not dealing with the issues addressed within this program.

Added by Stats. 2008, Ch. 760, Sec. 1. Effective September 30, 2008.

(a)Notwithstanding Sections 2282, 12784, and 12841, the director shall pay from the revenue collected from the mill assessment in the Department of Pesticide Regulation Fund an amount not to exceed the revenue derived from 0.5 mill ($0.0005) per dollar of sales for all pesticide sales for use in this state to counties in nonattainment areas to assist those counties in the administration and enforcement of restrictions on the use of field fumigants pursuant to Chapter 3 (commencing with Section 14001) and the regulations issued pursuant to it. These funds shall be in addition to the funds distributed pursuant to Section 12841 and shall be distributed to the counties in accordance with the criteria set forth in subdivisions (c) and (d).
(b)As used in this section, “nonattainment area” means an area designated in Section 81.305 of Title 40 of the Code of Federal Regulations for the purpose of air quality planning within the chart titled “California - Ozone (1-Hour Standard).”
(c)The funds available for payment pursuant to subdivision (a) shall be apportioned based on the following criteria:
(1)A minimum of fifty thousand dollars ($50,000) shall be apportioned to each county in a nonattainment area.
(2)The remaining amount shall be apportioned to the counties based on fumigant related workload, which may include, but is not limited to, both of the following:
(3)The number of restricted use material permits issued for fumigants.
(4)The number of field fumigant applications in each county to the total for all counties within all nonattainment areas during the previous fiscal year.
(d)Only counties within a nonattainment area for which the Department of Pesticide Regulation has established a fumigant emission limit pursuant to Chapter 3 (commencing with Section 14001), and the regulations issued pursuant to it, in the current or the previous fiscal year shall receive payment of the amount apportioned pursuant to the criteria set forth in subdivision (c).

Amended by Stats. 2024, Ch. 60, Sec. 19. (AB 2113) Effective July 2, 2024.

(a)Every registrant of any production agricultural- or structural-use pesticide product sold for use in this state that is packaged in rigid, nonrefillable, high-density polyethylene (HDPE) containers of 55 gallons or less shall establish a recycling program, or demonstrate participation in a recycling program to ensure HDPE containers are recycled. Container recycling shall comply with the American National Standards Institute American Society of Agriculture and Biological Engineers Standard S596, entitled Recycling Plastic Containers from Pesticides and Pesticide-Related Products, as published in February 2006. The records required by these standards shall be maintained for four years and shall be subject to audit by the director.
(b)A registrant who is required to establish or participate in a recycling program pursuant to this section shall provide to the director, at least annually, a document certifying that this requirement has been met.
(c)(1) The director may adopt regulations to carry out the purposes of this section. Upon a federal pesticide container recycling program being adopted, the director may adopt regulations to conform to the federal program.
(2)It is the intent of the Legislature in enacting this section that any regulatory standards adopted by the department shall be at least as stringent as those standards referred to in subdivision (a).
(d)The department shall estimate a recycling rate for pesticide containers and propose suggestions for program improvements and post this information annually on its internet website.

Amended by Stats. 2024, Ch. 60, Sec. 20. (AB 2113) Effective July 2, 2024.

Every person who sells for use in this state any pesticide products that have been registered by the director shall maintain in this state, or with the director’s permission at another location, an accurate record of all pesticide transactions for four years. The records are subject to audit by the director and shall clearly demonstrate proof of payment of all applicable assessments for each registered pesticide product sold for use in this state.

Amended by Stats. 1997, Ch. 695, Sec. 24. Effective January 1, 1998.

The payments required by this article, together with a return in a form prescribed by the director, shall be made quarterly one calendar month after March 31, June 30, September 30, and December 31 of each year. For any delinquency in making a return, or any deficiency in payment, the director shall add to the delinquent payment a penalty of 10 percent of the amount that is due.

Repealed and added by Stats. 1997, Ch. 695, Sec. 26. Effective January 1, 1998.

The director and the county agricultural commissioners shall jointly develop regulations specifying the criteria to be used in allocating pesticide mill assessment funds to the counties based upon each county’s pest control activities, costs, workload, and performance. After providing public notice, the director shall adopt those regulations. The criteria to be used in allocating the funds to counties shall include, but not be limited to, all of the following:

(a)The effectiveness of the pesticide use enforcement program in each county.
(b)The number, comprehensiveness, and effectiveness of pest control inspections performed in each county.
(c)The number of licensed pest control dealers located in each county. The number of licensed agricultural pest control advisers, pest control businesses, and pest control aircraft pilots registered in each county. The number of structural pest control operators providing notice of work to each county.
(d)The work hours expended in each county by county personnel who are licensed, or working under the supervision of county personnel licensed, in pesticide regulation or environmental monitoring and investigation.
(e)The total amount of dollars expended by each county relating to pesticide regulatory activities.
(f)The total number of private applicator certificate holders in each county.
(g)The total pounds of pesticides reported used in each county.

Added by renumbering Section 12845 (as added by Stats. 1984, Ch. 766) by Stats. 1986, Ch. 1266, Sec. 14.

Notwithstanding Section 12784, the funds paid to the counties under Section 12844 shall also be considered as reimbursement for costs incurred by the counties in the administration and enforcement of Chapter 7 (commencing with Section 15201).

Amended by Stats. 1997, Ch. 695, Sec. 27. Effective January 1, 1998.

(a)The director may adopt regulations that require persons subject to this article to provide information determined by the director to be necessary to enable the director to perform the audit authorized pursuant to Section 12842 and to carry out other powers or duties under this division.
(b)The regulations adopted pursuant to this section may include, but are not limited to, a requirement that a person subject to this article provide the director with information on the quarterly dollar sales of each registered pesticide sold for use in this state and the quarterly volume of each registered pesticide sold for use in this state.

Amended by Stats. 2024, Ch. 60, Sec. 21. (AB 2113) Effective July 2, 2024.

Sales invoices for pesticides first sold into or within this state shall show that the assessments specified in Sections 12841 and 12841.1 will be paid by the person or entity that first sold the pesticide for use in the state. All other sales invoices for pesticides sold into or within this state, except retail sales of those nonagricultural pesticides labeled only for home, industrial, or institutional use, shall show as a comment on the invoice that the assessment will be paid, and may show an amount or rate that represents the assessment. However, only the person who actually will pay the assessment may show the amount or rate of the assessment as a line item on the sales invoice.