CA AB2106

Increases the maximum price premium for California-grown agricultural products purchased by state institutions from 5% to 10% above the lowest out-of-state bid, effective January 1, 2021.

Raises the maximum price premium for agricultural products grown outside California but packed or processed in-state from 5% to 10% above the lowest out-of-state packed or processed bid, effective January 1, 2021.

Applies to all California state-owned or state-run institutions except public universities, colleges, and school districts, provided quality is comparable.

School districts remain subject to the original rule requiring California-grown products at no price premium over the lowest out-of-state bid when quality is comparable.

Limits application to agricultural product contracts valued below California's World Trade Organization Government Procurement Agreement threshold.