BILL ANALYSIS
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|SENATE RULES COMMITTEE | SB 20|
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THIRD READING
Bill No: SB 20
Author: Sher (D), et al
Amended: 6/2/03
Vote: 21
SENATE ENV. QUALITY COMMITTEE : 5-1, 5/12/03
AYES: Sher, Chesbro, Figueroa, Kuehl, Romero
NOES: Denham
SENATE APPROPRIATIONS COMMITTEE : 8-5, 5/29/03
AYES: Alpert, Bowen, Burton, Escutia, Karnette, Machado,
Murray, Speier
NOES: Battin, Aanestad, Ashburn, Johnson, Poochigian
SENATE FLOOR : 26-13, 6/2/03
AYES: Alarcon, Alpert, Bowen, Burton, Cedillo, Chesbro,
Ducheny, Dunn, Escutia, Figueroa, Florez, Karnette,
Kuehl, Machado, McPherson, Murray, Ortiz, Perata, Romero,
Scott, Sher, Soto, Speier, Torlakson, Vasconcellos,
Vincent
NOES: Aanestad, Ackerman, Ashburn, Battin, Brulte, Denham,
Hollingsworth, Knight, Margett, McClintock, Morrow,
Oller, Poochigian
SUBJECT : Solid waste: hazardous electronic waste
recovery, reuse,
and recycling
SOURCE : Author
DIGEST : This bill enacts the Hazardous Electronic Waste
CONTINUED
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Recovery, Reuse, and Recycling Act of 2003. (See Analysis
section below.)
Senate Floor amendments of 6/2/03 delete the urgency
measure.
ANALYSIS : This bill:
1. Defines "hazardous electronic device" to be a consumer
product, component or device that uses an electric
current and which the State Department of Toxic
Substances Control (DTSC) determines is hazardous
material or hazardous waste. Hazardous electronic
devices include, but are not limited to computer
monitors, televisions and other devices containing lead.
2. On or before January 1, 2007, and modeled on the Product
Stewardship Initiative adopted by the European Union,
requires DTSC to adopt regulations establishing dates
and procedures for the phase out of hazardous materials
used in the manufacture of hazardous electronic devices
by the earliest feasible date.
3. On or before January 1, 2005, requires DTSC to adopt
regulations prohibiting the use of devices that prevents
or impedes the recycling of hazardous electronic
devices.
4. Prohibits the sale of hazardous electronic devices in
the state by a manufacturer unless that manufacturer
demonstrates to the California Integrated Waste
Management Board (CIWMB):
A. That it has prepared and implemented a hazardous
electronic waste recovery plan that demonstrates that
it will provide a cost-free and convenient opportunity
for consumers to recycle such devices.
B. That it complies with other requirements of the
bill such as placing its brand label on each device it
sells in the state, meeting specified targets for the
recycling of the waste, reporting its actions and
making specified information available to the board,
and ensuring that the waste is not improperly exported
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and disposed in other countries.
1. Establishes procedures and deadlines for the CIWMB to
review, amend, approve or disapprove hazardous
electronic waste recovery plans and authorizes the board
to impose a fee to cover the board's reasonable costs in
implementing the program.
2. As an alternative to filing a hazardous electronic waste
recovery plan, authorizes a manufacturer to remit to the
board a fee that is calculated to pay the net average
cost of collecting, processing, and recycling hazardous
electronic waste.
3. Provides that the imposition of the fee is a matter of
statewide importance and preempts local agencies from
enacting similar fees.
4. Authorizes the CIWMB to impose administrative civil
penalties of $2,500 per violation for violations of the
aforementioned provisions, and to seek civil penalties
of up to $5,000 per violation in court.
5. Establishes procedures for the CIWMB to administer the
program, establishes a special fund in the state
treasury into which fee and fine or penalty revenues
shall be deposited, and specifies how those funds may be
spent by the board.
6. Prohibits state agencies from procuring hazardous
electronic devices unless the manufacturer demonstrates
compliance with the aforementioned provisions.
7. Provides that the board shall not implement the bill's
provisions if a federal law is enacted that meets
similar standards to those provided under the bill, or
if a court enters a final judgement that holds that the
fee imposed on manufacturers under the bill is not
applicable to out-of-state manufacturers.
8. Makes findings and declarations relative to electronic
waste products, and defines specified terms used in the
bill.
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9. Provides that these provisions are severable.
Comments
According to information from the CIWMB and DTSC websites:
"E-waste is a popular, informal name for electronic
products nearing the end of their 'useful life.'
Computers, televisions, VCRs, stereos, copiers, and fax
machines are common electronic products. Many of these
products can be reused, refurbished, or recycled.
Unfortunately, electronic discards is one of the fastest
growing segments of our nation's waste stream. In
addition, some researchers estimate that nearly 75 percent
of old electronics are in storage, in part because of the
uncertainty over how to manage the materials. Combine this
with increasing advances in technology and new products
headed towards the market and it is no wonder that
"E-waste" is a popular topic.
"The term "E-waste" is loosely applied to consumer and
business electronic equipment that is near or at the end of
its useful life. There is no clear definition for E-waste;
for instance, whether or not items like microwave ovens and
other similar "appliances" should be grouped into the
category have not yet been determined. Certain components
of some electronic products contain materials that render
them hazardous, depending on their condition and density.
For instance, California regulation currently views
nonfunctioning CRTs (cathode ray tubes) from televisions
and monitors as hazardous.
"CRTs, often called "picture tubes," convert an electronic
signal into a visual image. A typical CRT contains between
two and five pounds of lead. Lead is a toxic substance
which may cause lead poisoning and can be especially
harmful to young children. If products containing lead are
disposed of to the trash, the lead can potentially
contaminate the soil and our water supplies. When tested,
most CRT's exceed the regulatory threshold for lead and are
identified as hazardous waste when discarded. Waste CRTs
are subject to hazardous waste regulations which went into
effect August 3, 2001. The regulations protect the
environment by promoting the safe collection and recycling
of waste CRT's. Disposing of CRTs to the trash or to a
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municipal landfill is prohibited."
Prior legislation vetoed . Last year, the Legislature
passed SB 1523 (Sher and Romero) that sought to enact into
law a CRT recovery program and impose a ten dollar per unit
advance recycling fee. That measure was vetoed by the
Governor whose message is reprinted herein:
"I am returning Senate Bill 1523 without my signature.
However, I am willing to sign legislation that challenges
industry to assume greater responsibility for the
recycling and disposal of electronic waste.
"I am very troubled by an increasing electronic waste
pollution problem in California, as well as across our
nation. Local governments report increasing costs to
handle, transport and recycle discarded electronic
equipment. The amassing stockpile of obsolete and broken
computer monitors and televisions grows daily. I am
equally disturbed that this dangerous cargo is being sent
to underdeveloped nations exposing children to hazardous
waste materials.
"I applaud the author's effort to address these problems.
However, I am concerned that this program is not the
most efficient or cost effective approach for California.
This bill requires the state to hire 64 new people, at a
time when the Legislature has directed the Administration
to cut 7,000 positions. Moreover, I believe that
building a state bureaucracy to address this problem is
not the best solution for managing electronic waste.
"We should compel industry to solve this problem.
"California has always been a global leader in the
electronics industry. I challenge the industry to lead
the way and devise an innovative solution for the source
reduction, recycling, and safe disposal of electronic
waste. Industry already has initiated several successful
incentive programs that create a partnership between the
consumer and the manufacturer. I believe this would be a
better model for California and would foster the concept
of an environmentally sustainable electronic and
technology industry and provides incentives to design
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products that are less toxic and more recyclable.
"Moreover, we simply must demonstrate our leadership and
compassion by making sure that California's electronic
waste is not irresponsibly sent to underdeveloped
nations. The European Union is working on a program to
assure that manufacturers maintain responsibility for the
safe recycling of the products they produce. I am
encouraged by the product stewardship approach and
believe this model, tailored to fit California's
recycling and disposal infrastructure is worth pursuing.
"California needs a comprehensive and innovative state
law that partners with product manufacturers, establishes
recycling targets, and provides for the safe recycling
and disposal of electronic waste. Setting environmental
standards and providing manufacturers flexibility to meet
them is the cornerstone of California's air quality laws
and has generated a new generation of car emission
reduction technologies and improved air quality for the
public.
"I am convinced we can do the same for electronic waste.
I strongly urge industry and other interested parties to
rapidly devise a solution, in keeping with the goals I've
articulated in this message. There is no time to waste.
I believe California should have a new law next year.
"I am asking my Secretary of the California Environmental
Protection Agency to take a leadership role in working
with the Legislature, government, industry, and
stakeholders to create a successful California electronic
waste program. I am directing the State Department of
General Services to take steps to assure that the state
purchases electronic products that minimize environmental
impacts and that state electronic equipment is recycled
using best available practices."
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
According to Senate Appropriations Committee:
DTSC has provided preliminary estimates of about $400,000
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(and four positions) to develop the two sets of
regulations, determine what is a hazardous electronic
device, conduct inspections and enforcement activities,
consult with CIWMB, and maintain the information provided
by exporters of hazardous waste. CIWMB has provided
preliminary estimates of about $1.6 million (and 16
positions) to implement the bill. While all of its costs
to administer the Act would be reimbursed and recouped
through fees authorized in the bill, CIWMB would incur
significant costs to develop regulations, develop the
required content of the plans to be submitted by the
manufacturers, and establish the fee schedule up front.
CIWMB was not able to provide a preliminary estimate for
these up-front costs, but staff estimates that these costs
would likely exceed $200,000 (at least two positions).
Staff notes that in light of the hiring freeze, it is not
likely that DTSC and CIWMB would be able to hire these
additional positions.
SUPPORT : (Verified 6/2/03)
Alameda County Board of Supervisors
Allied Waste, Inc.
As You Sow
Californians Against Waste
California State Association of Counties
Environmental Entrepreneurs (E2)
City and County of San Francisco
City of Cupertino
City of Sunnyvale
League of California Cities
HMR: Los Angeles and San Francisco
Humboldt Waste Management Authority Board of Directors
Marin County Hazardous and Solid Waste Management Joint
Powers Authority
Natural Resources Defense Council
Norcal Waste Systems, Inc.
Planning and Conservation League
Sierra Club
SoCal Computer Recyclers, Inc.
Sonoma County Waste Management Agency
Urban Corps of San Diego
Waste Management
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OPPOSITION : (Verified 6/2/03)
American Electronics Association
California Manufacturers and Technology Association
Electronic Industries Alliance
ARGUMENTS IN SUPPORT : According to the author and
supporters of the bill, this measure is intended to ensure
that so-called electronic or "E" wastes, are properly
collected, recycled, refurbished, or disposed. The author
notes that, in recent months, E-waste has become a
significant environmental hazard and concern to
environmental groups, the press, and the general public.
Yet, state government has no program which addresses this
segment of the waste stream. The purpose of this measure
is to establish a program to promote the efficient and
cost-effective collection and processing of e-waste to
ensure that they do not pose a threat to public health and
the environment.
ARGUMENTS IN OPPOSITION : The opponents state that the
bill undermines efficient and equitable environmental
approach of shared responsibility, and that the scope of
regulated products is overly broad and ignores critical
product category distinctions. They contend that the bill
creates a new mandate that overburdens state and local
governments, and harms consumer and California's economy by
increasing prices for electronic products. The opponents
assert that the phase out of materials should be based on
sound science, feasibility and safety and that material
bans are not based on sound risk assessment or evaluation
of alternatives and conflict with provisions of SB 20's
European "model". They assert that the rates and dates are
unrealistic and unworkable.
Finally, the opponents encourage California to pursue
non-legislative options to reduce the number of electronics
disposed of in landfills and solid waste management
facilities. Such market-based options include, but are not
limited to, tax incentives, financial grants, and other
cooperative initiatives between industry and states. They
state that this bill fails to recognize the core competence
and efficiencies of the various stakeholders involved. The
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bill places the burdens entirely on the high-tech industry,
rather than spreading costs across all parties who benefit
from the product.
CP:sl 6/3/03 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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