By KEVIN WALKER
Michigan Correspondent

SACRAMENTO, Calif. — On July 6, Gov. Arnold Schwarzenegger signed into law a bill designed to help level the playing field for California’s egg producers.

According to a statement issued by the governor’s office, A.B. 1437 will prohibit the sale in California of a shelled egg for human consumption if it violates the provisions of Proposition 2, which was passed by voters in November 2008.

Among other things, Prop 2 stipulates that egg-laying hens must be given enough room so they can flap their wings and turn around, which they can’t do in traditional battery cages. Prop 2 will take effect in 2015.

“The voters’ overwhelming approval of Proposition 2 demonstrated their strong support for the humane treatment of egg producing hens in California,” Schwarzenegger’s statement reads. “By ensuring that all eggs sold in California meet the requirements of Proposition 2, this bill is good for both California egg producers and animal welfare.”

Egg producers in California have been worried that Prop 2 would either drive them out of business or force them to leave the state because the new rules will not allow them to compete on a level playing field with out-of-state egg producers.

Their worries may have been well-founded. According to a study published in 2008, before the vote on Prop 2, passage of the measure would destroy the egg production business in California altogether.

“Our analysis indicates that the expected impact would be the almost complete elimination of egg production in California within the six-year adjustment period,” the paper states. It was written by Daniel Sumner, an economist at the University of California-Davis and several others.

“Non-cage production costs are simply too far above the costs of the cage systems used in other states to allow California producers to compete with imported eggs in the conventional egg market. The most likely outcome, therefore, is the elimination of almost all of the California egg industry over a few years.”

A.B. 1437 doesn’t solve California egg producers’ problems. First, it’s possible the measure will trigger a lawsuit based on a claim that it violates the commerce clause of the U.S. Constitution, which gives Congress the authority to regulate commerce between states.

Last year, a bill analysis prepared for the California assembly’s committee on agriculture stated that “the committee may wish to consider if this fits the Interstate Commerce Clause test; specifically, this is of compelling interest to California to protect public health.”

Kevin Vinchattle, executive director of the Iowa Egg Council, had some choice words for Schwarzenegger.

“Will it stand the interstate commerce test? I think that’s definitely a question that’s got to be resolved,” he said. “Basically (Schwarzenegger’s) making someone a criminal for selling a product that’s safe and effective.”

California’s egg producers are also worried about how they will comply with Proposition 2, given that it doesn’t specify the minimum required dimensions for confining hens. A.B. 1437 doesn’t solve or even address that problem.

“There’s real uncertainty about what would qualify under the terms of Proposition 2,” Vinchattle said. “California is still responsible for the referenda that it passes.”

For its part, the Humane Society of the United States (HSUS), the animal rights group that pushed hard to get Prop 2 on the ballot and passed into law, believes the measure forbids even a modified cage system, although it isn’t clear what would satisfy the group.

“Why some in the egg industry are flip-flopping on the issue now and arguing that they can continue to confine hens in cages is a mystery to us, but what’s still as clear as before is that California egg producers should start moving now toward a cage-free future,” said Paul Shapiro, director of HSUS’ livestock farm program.

Last year, the group reacted similarly to an announcement by a major egg producer in California that it would build a new facility that includes a modified cage system of hen confinement. Since then the company, J.S. West, has completed its new building; however, it has yet to be decided if the facility will be compliant with Prop 2.

“When it’s all said and done, the courts or somebody will have to define what the space specifications have to be,” said George House, executive director of the Michigan Allied Poultry Industries. “J.S. West has built new aviaries, but they aren’t sure if they meet the requirement.”