Gov. Newsom Signs and Vetoes Legislation

Governor Newsom has signed two bills supported by Wine Institute and vetoed a major labor bill opposed by Wine Institute. Wine Institute staff has been leading advocacy efforts on these bills and thanks the governor for his actions.

AB 616 (Stone) – Labor Unionization Card Check – Opposed and Vetoed: This bill would have eliminated the voting procedures for agricultural unionization and created a card check system in its place. As proposed by AB 616, a union would have needed only to submit representation ballot cards signed by a majority of employees in the bargaining unit to become the authorized representative of the employees. Wine Institute and others advocated that such a system subverts the foundational principle of a secret ballot and would open up the process to the use of intimidation tactics. Existing law has long required a secret ballot vote after ballot cards are collected, with oversight by the Agricultural Labor Relations Board. Here is a link to the Governor’s veto message.

AB 1267 (Cunningham) – Donations to Nonprofits – Supported and Signed: This bill allows wineries (and other alcohol beverage manufacturers) to advertise and promote donations made to nonprofit organizations in connection with the sale of an alcohol beverage. Wine Institute supported this legislation due to the California Department of Alcohol Beverage Control taking a position ​that they considered such donations an unlawful giving of “a premium, gift, or free goods in connection with the sale and distribution of any alcoholic beverage.” AB 1267 makes clear this practice will be allowed moving forward. This bill will go into effect on January 1, 2022.

AB 239 (Villapudua) – Refillable Containers – Supported and Signed: AB 239 will allow winery customers to bring their wine bottles to be refilled at a participating winery’s offsite tasting room. Wineries are currently limited to refilling containers only at their production facility. By allowing for this practice to be extended to offsite tasting rooms, AB 239 brings greater parity to the marketplace, allowing wineries to refill wine containers in locations that are more accessible to customers. Additionally, expanding the ability for customers to refill containers at offsite tasting rooms will further enhance the sustainable practices of the California wine community. This bill will go into effect on January 1, 2022.

Governor Newsom also signed legislation outlining an over $15 billion climate package, The package includes investments to support immediate drought response and long-term water resilience, reduce the risk of catastrophic wildfires and increase climate smart practices on farms. The funding package includes specific funding for the State Water Efficiency and Enhancement Program (SWEEP) to help farmers implement water efficiency measures, Sustainable Groundwater Management Act Implementation, the Healthy Soils Program, on-farm diesel engine replacement and pollinator habitat. This final budget agreement builds on over $100 billion of funding allocated earlier this summer. Wine Institute will provide further details as they become available.