1. (a) The Department may refuse to issue, or may deny, suspend or revoke a registration certificate for a period not to exceed three years based upon the severity of the violations as set forth in Table “A” Denial, Suspension or Revocation of an Egg Handler Registration Certificate.

2. (b) For the purposes of this section, violations are designated as “serious” or “moderate.” Repeat violations may result in an escalation of the designation of the violation. Designation of violations may be downgraded based upon the evidence, the factual circumstances, mitigating factors, and the cooperation of the violator.

   1. (1) “Serious.” Violations that resulted, or reasonably could have resulted, in the creation of a hazard to human health or the environment, or in the disruption of the marketing of shell eggs in California intended for human consumption; repetitive failure to comply with statutes and/or regulations pertaining to shell egg food safety or the marketing of shell eggs in California; misrepresenting eggs not produced in California; and/or unregistered persons marketing shell eggs in California.
   2. (2) “Moderate.” Violations in which there is a potential for harm to human health or the environment or disruption of the marketing of shell eggs in California intended for human consumption.
3. (c) The Department may refuse to issue, or may deny, suspend or revoke a registration certificate for a period of two or three years for a “Serious” violation. It may refuse to issue, or may deny, suspend or revoke a registration certificate for a period of one year for a “Moderate” violation.
4. (d) A party may appeal the Department's decision to refuse to issue, or to deny, suspend or revoke a registration certificate by requesting a hearing in writing within twenty (20) days of being served with notice of the Department's decision.
5. (e) Hearing requests shall be submitted to the California Department of Food and Agriculture, Legal Office, 1220 “N” Street, Suite 400, Sacramento, California 95814.

6. (f) Informal hearings shall be conducted pursuant to Chapter 4.5 (commencing with section 11400), Part 1, Division 3, Title 2 of the Government Code.

   1. (1) The informal hearing shall be presided over and conducted by a hearing officer designated by the Department.
   2. (2) The standard of proof to be applied by the hearing officer shall be preponderance of the evidence unless statutes or regulations applicable to the determination provide a higher standard.
   3. (3) Hearings may be conducted by telephone at the discretion of the hearing officer subject to Government Code section 11440.30.
   4. (4) Hearings may be tape recorded with either a transcript of the recording, or a copy of the recording, provided to any interested party upon request.
   5. (5) Subject to the provisions of Government Code section 11425.50, the decision of the hearing officer shall be in writing with a brief statement of the conclusion and findings to support the conclusion.
   6. (6) The decision shall be issued within 30 days after the conclusion of the hearing.
   7. (7) The decision shall be served on the respondent either by personal service, or a method requested by the respondent.
   8. (8) The hearing officer's decision shall be effective immediately upon service on the respondent.
   9. (9) The respondent may appeal the hearing officer's decision by filing a petition for a writ of administrative mandamus in accordance with the provisions of the Code of Civil Procedure section 1094.5.

   10. (10) The Department shall provide a copy of the decision to any interested party upon written request.

       Table “A” Denial, Suspension or Revocation of an Egg Handler Registration Certificate

       Food and Agricultural Code

       Title 3, Cal. Code Reg.

       Description of Section Violated

       Moderate [One year]

       Serious [Two or three years]

       27541

       1358.3

       Any person engaged in business in this state as an egg producer or egg handler, or any out-of-state egg handler or egg producer selling eggs into California, shall register with the secretary. A new registration shall be submitted if any current information changes.

       2^nd violation

       3^rd violation

       27551

       Failure to pay assessment fees.

       2^nd violation

       3^rd violation

       27553

       Payment of assessments, procedures for payment, the procedures for refunds of payment, and penalties for late payment. The Department may triple the assessment for any eggs for which the required payment has not been made by the established due date. If a triple assessment is less than five hundred dollars ($500), the assessment shall be five hundred dollars ($500).

       2^nd violation

       3^rd violation

       27561.5

       Applicant fails to pay in full by the due date a fine, fee, assessment, or penalty levied by the Department for violations of the chapter, including a violation that occurred before January 1, 2016.

       2^nd violation

       3^rd violation

       27621

       Person forwarding company, or common carrier willfully fails or refuses to stop the transportation of the eggs with reasonable dispatch after being notified in writing by an enforcing officer of this chapter or regulation adopted pursuant to this chapter that such eggs are found to be delivered for shipment in violation of this chapter or regulation adopted pursuant to this chapter.

       1^st violation

       27632

       Misrepresenting eggs to be product of this state.

       1^st violation

       27634

       Unauthorized use of name, trademark, or trade name.

       2^nd violation

       3^rd violation

       27635

       Misrepresentation as chicken eggs.

       2^nd violation

       3^rd violation

       27636

       It is unlawful for any person to sell as “fresh eggs,” “ranch eggs,” or “farm eggs,” or to represent as being fresh, any eggs which are below the quality of grade A or which have been held in cold storage more than 30 days.

       1^st violation

       2^nd violation

       27638

       It is unlawful for any person to fail to comply with any lawful order of an enforcement officer, or of any court, in any proceeding pursuant to this chapter or any regulation adopted pursuant to this chapter.

       1^st violation

       27639

       Refusal to submit to inspections; refusal to stop vehicle.

       1^st violation

       27640

       1335

       Unauthorized moving of eggs or container having warning tag affixed; Removal of tag.

       1^st violation

       1350

       Failure to meet Shell Egg Food Safety requirements.

       1^st violation

       27643

       1358.5

       Temperature requirements for eggs.

       1^st violation

       2^nd violation

       1352.4

       Regraded and Repacked Eggs.

       2^nd violation

       3^rd violation

       27644

       1356.2

       Signs and labels on eggs.

       1^st violation

       2^nd violation

       27651

       1352; 1353; 1353.2; 1353.4

       Unlawful sale of ungraded eggs absence of finding and proclamation of emergency.

       3^rd violation

       4^th violation

       1357

       Failure to meet Registered Brand requirements.

       2^nd violation

       3^rd violation

       1358.4

       Failure to meet records, invoices, and premises inspection requirements.

       1^st violation

       2^nd violation

       27671(a)(3)

       Any person whose intentional violation of this chapter, or regulations adopted pursuant to this chapter, resulted, or reasonably could have resulted, in the creation of a hazard to human health or the environment, or in the disruption of the marketing of eggs.

       1^st violation

       27690

       Itemization of all eggs brokered into California.

       1^st violation

Note: Authority cited: Sections 407 and 27531, Food and Agricultural Code. Reference: Sections 27541, 27542, 27561 and 27561.5, Food and Agricultural Code.

History

1. New section filed 6-6-2016; operative 6-6-2016. Submitted to OAL for filing and printing only pursuant to Food and Agricultural Code section 27561.5 (Register 2016, No. 24).

2. Amendment of subsection (f) filed 8-24-2016; operative 8-24-2016 pursuant to agency's request pursuant to Food and Agricultural Code section 27561.5 and Government Code section 11343.8 (Register 2016, No. 35).

3. Amendment of subsections (b)-(b)(2) and (d)-(e), repealer and new subsection (f), new subsections (f)(1)-(f)(10) and amendment of Table A filed 6-28-2017; operative 6-28-2017. Submitted to OAL for filing and printing only pursuant to Food and Agricultural Code section 27561.5 (Register 2017, No. 26).