COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Environmental Services Agency

Agricultural Commissioner/Sealer Division

DATE:

October 11, 2005

BOARD MEETING DATE:

November 8, 2005

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

Marcia Raines, Environmental Services Agency Director

Gail Raabe, Agricultural Commissioner/Sealer

SUBJECT:

Agreement (#05-0291) with the California Department of Food and Agriculture for Combined Pest Exclusion Program Services Including High Risk Pest Exclusion, Sudden Oak Death/Oak Mortality Disease Regulation, Nursery Stock Inspection and Seed Services for the Term of July 1, 2005 through June 30, 2006 in an Amount Not to Exceed $317,704.51

RECOMMENDATION:

Adopt a Resolution authorizing the execution of an agreement (#05-0291) with the California Department of Food and Agriculture for Combined Pest Exclusion Program services including High Risk Pest Exclusion, Sudden Oak Death/Oak Mortality Disease Regulation, Nursery Stock Inspection and Seed Services for the term of July 1, 2005 through June 30, 2006 in an amount not to exceed $317,704.51

VISION ALIGNMENT:

Commitment: Preserve and Provide People Access to Our Natural Environment

Goal 14: Important natural resources are preserved and enhanced through environmental stewardship

The agreement contributes to this commitment and goal by reimbursing the County for pest exclusion work activities that protect the agricultural industry and the environment from harmful exotic pests that may be introduced into California.

BACKGROUND:

California Department of Food and Agriculture (CDFA) has combined several annual state agreements into a single contractual agreement for pest exclusion program services. The FY 2005-06 agreement will cover reimbursements for County activities in the following program areas: High Risk Pest Exclusion (HRPE), Sudden Oak Death/Oak Mortality Disease Regulation (SOD), Nursery Stock Inspections and Seed Services. In past years, the Board has approved separate HRPE and SOD contracts. The Nursery Stock Inspection and Seed Services agreements have not come before the Board in recent years because the Board has authorized the Agricultural Commissioner to enter into state contractual agreements with CDFA in amounts under $50,000 (Resolution 066688).

AB 2283, the legislation which authorized funding for the implementation of a statewide High Risk Pest Exclusion Program, was signed into law by Governor Wilson in September 1998. This legislation addressed the need for augmentation of county plant inspection activities to prevent the introduction of exotic insects and diseases through identified high-risk pest pathways. In January 1999, the Board approved a partial year contract to initiate the High Risk Pest Exclusion (HRPE) Program. The Board approved full year contracts for fiscal years 1999-2000 through 2004-05.

CDFA cut HRPE contract funding to all county agricultural commissioners for FY 2004-05. The Division’s HRPE revenue decreased by 82%. Four Biologist/Standards Specialist positions were eliminated and major reductions were made in staff hours spent on pest prevention inspections of agricultural shipments, particularly at San Francisco International Airport (SFO).

Sudden Oak Death (SOD) is a plant disease that has attacked oaks as well as other trees and plants in 14 California counties including San Mateo County. SOD poses a significant threat to oak trees and their habitats/ecosystems. State, federal and Canadian quarantines imposed on all infested counties have impacted the ability of the County’s nursery industry to ship plants. Nursery stock cannot move outside the quarantine area without certification from the local Agricultural Commissioner.

The California Department of Food and Agriculture (CDFA) is the lead agency for the California Oak Mortality Task Force (COMTF). This multi-agency task force was formed under the Board of Forestry and Fire Protection to help develop a

coordinated effort to address SOD. Agencies involved in the task force include the Departments of Forestry and Fire Protection, Food and Agriculture, CalTrans, State Parks, State Fish and Game, The Resources Agency, UC Cooperative Extension, UC Berkeley, UC Davis, U.S. Forest Service, National Park Service, and County

Boards of Supervisors and Agricultural Commissioners from all the affected and interested or concerned counties. The Board approved contracts which reimbursed

the County for SOD regulatory activities performed by Agricultural Commissioner/Sealer staff in fiscal years 2001-02 through 2004-05.

Under Section 6901 of the California Food and Agricultural Code (FAC) and Section 3060.1 of the California Code of Regulations (CCR), the County Agricultural Commissioner is directed to inspect all wholesale nurseries to assure compliance with pest cleanliness standards. The Nursery Stock Inspection Program portion of this combined pest exclusion contract is a continuing agreement with CDFA in which the state agrees to partially subsidize the cost of the Agricultural Commissioner’s nursery inspection activities.

The Commissioner has had an annual agreement with CDFA for seed law enforcement for a number of years in the form of an annual subvention for mandated work. Food and Agricultural Code Sections 52323 and 52325 authorize CDFA to pay a subvention to counties towards the cost incurred in the enforcement of California Seed Law. Seed labeling companies statewide pay a mill fee to CDFA. CDFA then distributes these funds to counties based on the total amount collected statewide each year and the level of seed labeling activity in each county.

DISCUSSION:

Under the FY 2005-06 annual agreement, the Agricultural Commissioner will receive funding in the amount of $317,704.51 for cost reimbursement for pest exclusion program activities from July 1, 2005 through June 30, 2006. This single contract combines program reimbursements which were set forth in four separate agreements in previous fiscal years: High Risk Pest Exclusion, Sudden Oak Death, Nursery Stock Inspection and Seed Services.

The Agricultural Commissioner will receive funding in the amount of $229,643 as reimbursement for the costs associated with 3,933 personnel hours to be expended on HRPE activities. The FY 2005-06 HRPE State funding includes the reinstatement of $118,430 specifically for agricultural shipment inspections at San Francisco International Airport. Division staff will resume the inspection of agricultural shipments destined to other counties.

This combined contractual agreement will also reimburse the Agricultural Commissioner up to $80,000 for costs associated with SOD pest prevention and regulatory activities. County activities will include detection surveys, agricultural quarantine inspections, certification of plant material and the issuance of compliance

agreements to affected parties such as nurseries, green waste producers and processors, cut green dealers, firewood dealers, unprocessed wood product dealers and harvesters. Frequency of inspections, regulatory visits, compliance enforcement and survey work may vary depending on the geographic area, host plant availability and disease risk assessment.

CDFA will provide partial reimbursement to the County for costs incurred in the Nursery Stock Inspection Program during fiscal year 2005-06. The reimbursement will be based on various formulas depending on the type of nursery stock and acreage inspected, with the maximum reimbursement not to exceed $8,061. The Agricultural Commissioner will also receive $50.00 for each new nursery stock license obtained through the Division’s enforcement efforts. This agreement provides that the Agricultural Commissioner performs inspection of nursery stock at all county producer/wholesale locations. These inspections are designed to ensure compliance with pest cleanliness standards such as freedom from pests that are subject to state quarantine regulations. The Division will also investigate complaints regarding nursery products sold within the county and enforce nursery stock licensing requirements for all new nursery operations. Annual inspections by the Agricultural Commissioner are required to enable county nursery businesses to maintain their nursery licenses and nursery stock certification.

Under the Seed Services Program portion of this annual contract, the Commissioner agrees to enforce California Seed Law and perform enforcement activities necessary to maintain a statewide compliance level on all agricultural and vegetable seeds in the County. The fiscal year 2005-06 agreement does not include a dollar amount for San Mateo County’s seed subvention. The seed subvention amount shall be annually apportioned as provided in FAC Section 52324 and as outlined in the annual memorandum of understanding. In the past three years, San Mateo County’s share of the statewide seed subvention has been approximately $475.

The revenue authorized by this contractual agreement has already been included in the Division’s FY 2005-06 Adopted Budget. This agreement and resolution has been reviewed by County Counsel.

FISCAL IMPACT:

This FY 2005-06 contractual agreement totaling $317,704.51 will reimburse the County for pest exclusion expenses related to the High Risk Pest Exclusion program ($229,643), Sudden Oak Death regulatory program ($80,000.14), Nursery Stock Inspection ($8,061.37) and Seed Services (apportioned statewide per FAC 52323-52352). The revenue authorized by this agreement has already been included in the Division’s FY 2005-06 Adopted Budget for the Environmental Protection Program. There is no Net County Cost associated with this agreement.