CA AB240

Establishes the California Spay-Neuter Fund in the State Treasury to provide funding for spay and neuter services through grants and allocations to public animal shelters, private shelters with public contracts, and nonprofits focused on spay-neuter services.

Requires the Department of Food and Agriculture to collect an annual $200 charge from manufacturers of dog and cat food for each label submitted to the State Department of Public Health, with a reduced single $200 annual charge for manufacturers with less than $75,000 in gross annual sales.

Directs the Department of Food and Agriculture to target fund moneys toward cities and counties with the highest shelter overpopulation or euthanasia rates and requires eligible partners to report annually on how funds were used and surgery outcomes.

Limits the Department of Food and Agriculture's administrative expenses to no more than 5 percent of annual fund deposits.

Requires a two-thirds vote for passage due to constituting a change in state tax that results in taxpayers paying a higher tax.