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Minutes for HB2437 - Committee on Agriculture
Short Title
Prohibiting the use of identifiable meat terms on labels or in advertisements of meat analogs without either an accompanying disclaimer that the product does not contain meat or the inclusion of the word “imitation” before the name of the meat food product being imitated.
Minutes Content for Thu, Jan 23, 2020
Chair Highland opened the hearing on HB2437 at 3:31pm.
Kyle Hamilton, Assistant Revisor, Office of The Revisor of Statutes, provided an overview of HB2437 and the statutes that it affects. (Attachment 1) Mr Hamilton stood for questions from the Committee.
There is a Fiscal Note for HB2437.
PROPONENTS
Aaron Popelka, Vice President - Legal & Government Affairs, Kansas Livestock Association (KLA) appeared before the Committee in support of HB2437. (Attachment 2) KLA strongly supports HB2437 and believes that manufacturers of meat analogs, also known as fake meat, should be required to accurately label and advertise their products.
Although meat substitutes have been in existence for decades, it was not until recently that certain companies began to engage in deceptive marketing practices. KLA would like to make clear that it does not oppose businesses who want to develop a novel product and sell it on the free market, even if the product is a competitor. KLA believes that real meat products, especially beef, are superior in taste, quality, experience, and nutrition, and given a level playing field, will be the choice of consumers. KLA, however, opposes companies who try to disguise the true nature of their product by deceptively labeling and advertising their products, and who do so at the expense of livestock producers' reputations.
It is also important for the Committee to understand that meat labels are regulated by the U.S. Department of Agriculture (USDA). Meat labels must comply with the regulations set forth by the USDA Food Safety Inspection Service, and as a general matter, require agency approval before entering interstate commerce. Meat analogs, however, are under the regulatory purview of the U.S. Food and Drug Administration (FDA). Unlike USDA, FDA does not have rigid requirements in place and does not require prior label approval.
KLA is aware that some groups may seek to dilute the disclaimer in HB2437. KLA opposes such amendments. First, it is clear from their own admission that fake meat companies cannot be trusted to develop their own disclaimer. These companies are likely to develop confusing and deceptive disclaimers and hide the disclaimers using inconvenient locations and tiny font. Disclaimers like "vegetarian", "veggie", or "plant-based" are insufficient to allow consumers to identify the ingredients of the product.
Mr Popelka responded to questions from the Committee.
Tim Stroda, President-CEO, Kansas Pork Association (KPA) appeared before the Committee in support of HB2437. (Attachment 3) KPA is supportive of HB2437 because it will require truthful marketing tactics to be utilized when companies are marketing "analog meat products". Plant-based and cell-cultured meat products have recently begun utilizing marketing tactics that can often confuse consumers regarding what product they are actually purchasing.
Plant-based products have been around for many years. So why are we talking about them now? Because companies are now beginning to label and market these products by blurring the distinction between their products and traditional meat products. Packages are utilizing words such as HAM or BACON in much larger type than any indication that the product is plant-based. Many of the products are trying to occupy the best of both worlds, with their manufacturers making broad claims about sustainability and taking issue with animal agriculture while trying to mimic meat on store shelves.
Mr Stroda responded to questions from the Committee.
Written testimony in support of HB2437 was received from:
- John Donley, Kansas Farm Bureau (Attachment 4)
- Tucker Stewart. KS Corn, Dairy, Soybean, and Grain Sorghum Associations (Attachment 5)
- Donn Teske, Kansas Farmers Union (Attachment 6)
OPPONENTS
Samuel MacRoberts, General Counsel, Kansas Justice Institute (KJI), appeared before the Committee in opposition of HB2437. (Attachment 7) The predominant focus of this testimony is centered on the HB2437 attempt to compel the use of certain words in labels and advertisements. Compelled speech requirements such as here "are, for all practical purposes, requirements that commercial actors communicate value-laden messages about inherently political questions." These government speech-mandates burden the speech of others in order to tilt public debate in a preferred direction. As such, KJI opposes HB2437.
Setting aside the constitutional questions for a moment, this government-mandate, if enacted, will be costly for producers and consumers alike. Plant-based businesses will be forced to immediately make wholesale changes to their packaging and advertisements, the cost of which will assuredly be passed through to the consumer. Further, it's not inconceivable some plant-based businesses will simply leave Kansas for a state more inclined to support all types of food production. This bill impacts the overall agricultural economy at a time when more jobs are needed, not less. For a state that also heavily relies on corn, wheat, and soybean production, this could pose serious economic issues perhaps not previously considered. Finally, it stands to reason that if this bill passes, other self-interested lobbying groups will take the same tack as here and demand labels, disclaimers, or disclosures that target and injure their competitors. Kansas does not need agricultural in-fighting.
Mr MacRoberts responded to questions from the Committee.
Scott Weathers, Senior Policy Specialist, The Good Food Institute, appeared before the Committee in opposition of HB2437. (Attachment 8) This bill compels producers to create new Kansas-specific labels for products that use meat-related terms, like 'veggie burger' and 'plant-based' bacon, forcing producers to include unnecessary, confusing, and burdensome wording dictated by the state on the product label. We oppose this bill for three main reasons. In short, it's unnecessary, it's unconstitutional, and it's bad for businesses here in Kansas.
Mr Weathers responded to questions from the Committee.
Scott Schneider, Attorney, Kansas Restaurant and Hospitality Association (KRHA), appeared before the Committee in opposition of HB2437. (Attachment 9) The Kansas Restaurant and Hospitality Association has a long history opposing the accompanying costs of new regulations. Most of our members are the smallest of businesses and are often impacted the most by any new rule. HB 2437 attempts to place into state law a requirement to label packaged products of plant based foods, served as meat replacements, as not containing meat.
The KRHA believes the intent of the proponents is to not increase regulation on the defined food establishments and that is an approach with which we agree. However, KRHA would request an amendment clearly stating the requirement is not extended to "Food Establishments" as defined in Section 1 (v).
The reason we request this is directly related to the structure of the Federal Nutrition Labeling and Education Act (NLEA) of 1990, and subsequent amendments made to the NLEA in the Affordable Care Act.
Mr Schneider stood for questions from the Committee.
Written testimony in opposition of HB2437 was received from John Hewitt, Consumer Brands Association. (Attachment 10)
NEUTRALS
Kelsey Olson, Deputy Secretary, Kansas Department of Agriculture (KDA), appeared before the Committee as a neutral of HB2437. (Attachment 11) KDA has reviewed the proposed legislation and was consulted by the Kansas Livestock Association throughout the draft process. KDA believes that this bill will have a minimal impact on the agency.
Any action or enforcement required by HB2437 will be conducted by the Food Safety and Lodging Program within KDA as the program tasked with enforcing the Food, Drug and Cosmetic Act. This act requires the routine inspection of restaurant and grocery facilities and requires the proper labeling of food products. KDA expects that it can continue current operations and add this label verification into the existing inspection process without adding a significant burden to the activities of our inspectors.
In summary, we believe the overall result of this bill will have minimal impact to KDA.
Ms Olson responded to questions from the Committee.
Written testimony as a neutral of HB2437 was received from Elizabeth Patton, Americans for Prosperity-Kansas. (Attachment 12)
The hearing on HB2437 was closed at 4:46pm.
