BILL NUMBER: SB 50	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JANUARY 16, 2004
	AMENDED IN SENATE  JANUARY 7, 2004

INTRODUCED BY   Senator Sher

                        JANUARY 9, 2003

   An act to amend Section 25214.10 of the Health and Safety Code,
and to amend Sections 42463, 42464, 42465.2, 42465.3,  42475,
 42475.2, 42476, 42476.5, 42476.6, 42477, and 42478 of  ,
and to repeal Section 42475.1 of,  the Public Resources Code,
relating to solid waste.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 50, as amended, Sher.  Solid waste:  hazardous electronic
waste. 
   The  
   (1) The  Electronic Waste Recycling Act of 2003 makes it
unlawful to sell, on or after July 1, 2004, a covered electronic
device, as defined, in this state to a consumer, as defined, unless
the California Integrated Waste Management Board or the Department of
Toxic Substances Control determines that the manufacturer of that
device is in compliance with the act.  The act requires a retailer
selling a covered electronic device in this state to collect a
covered electronic waste recycling fee from the consumer, as
specified.  The act requires a manufacturer, on or before April 1,
2004, to inform the retailer if a covered electronic device is
subject to the waste recycling fee.
   This bill would revise the act to, among other things, redefine
"covered electronic device," allow the board to reduce or eliminate
the covered electronic waste recycling fee under certain conditions,
prohibit the payment for covered electronic waste exported out of the
state in certain circumstances, and revise provisions for the
exportation of covered electronic waste.  This bill would require the
manufacturer to inform the retailer annually as to whether a waste
recycling fee is required.
   The bill would also make technical changes to the act.
   Because the act is incorporated into the hazardous waste control
laws, a violation of which is a crime, the bill would impose a
state-mandated local program by creating new crimes.  
  The  
  (2) The  California Constitution requires the state to
reimburse local agencies and school districts for certain costs
mandated by the state. Statutory provisions establish procedures for
making that reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 25214.10 of the Health and Safety Code is
amended to read:
   25214.10.  (a) For purposes of this section  , 
"electronic device" has the same meaning as a "covered electronic
device," as defined in subdivision (g) of Section 42463 of Public
Resources Code.
   (b) The department shall adopt regulations, in accordance with
this section, that prohibit an electronic device from being sold or
offered for sale in this state if the electronic device is prohibited
from being sold or offered for sale in the European Union on and
after its date of manufacture, to the extent that Directive
2002/95/EC, adopted by the European Parliament and the Council of the
European Union on January 27, 2003, prohibits that sale due to the
presence of certain heavy metals.
   (c) The regulations adopted pursuant to subdivision (b) shall take
effect January 1, 2007, or on or after the date  the
 Directive 2002/95/EC, adopted by the European Parliament
and the Council of the European Union on January 27, 2003, takes
effect, whichever date is later.
   (d) The department shall exclude, from the regulations adopted
pursuant to this section, the sale of an electronic device that
contains a substance that is used to comply with the consumer,
health, or safety requirements that are required by the Underwriters
Laboratories, the federal government, or the state.
   (e) In adopting regulations pursuant to this section, the
department may not require the manufacture or sale of an electronic
device that is different than, or otherwise not prohibited by, the
European Union under Directive 2002/95/EC, adopted by the European
Parliament and the Council of the European Union on January 27, 2003.

   (f) The department may not adopt any regulations pursuant to this
section that impose any requirements or conditions that are in
addition to, or more stringent than, the requirements and conditions
expressly authorized by this section.
  SEC. 2.  Section 42463 of the Public Resources Code is amended to
read:
   42463.  For the purposes of this chapter, the following terms have
the following meanings, unless the context clearly requires
otherwise:
   (a) "Account" means the Electronic Waste Recovery and Recycling
Account created in the Integrated Waste Management Fund under Section
42476.
   (b) "Authorized collector" means any of the following:
   (1) A city, county, or district that collects covered electronic
devices.
   (2) A person or entity that is required or authorized by a city,
county, or district to collect covered electronic devices pursuant to
the terms of a contract, license, permit, or other written
authorization.
   (3) A nonprofit organization that collects or accepts covered
electronic devices.
   (4) A manufacturer or agent of the manufacturer that collects,
consolidates, and transports covered electronic devices for recycling
from consumers, businesses, institutions, and other generators.
   (5)  An entity that collects, handles, consolidates, and
transports covered electronic devices and has filed a notification
with the department pursuant to Article 7 (commencing with Section
66273.80) of Chapter 23 of Division 4.5 of Title 22 of the California
Code of Regulations.
   (c) "Board" means the California Integrated Waste Management
Board.
   (d) (1) "Consumer" means a purchaser or owner of a covered
electronic device.  "Consumer" also includes a business, corporation,
limited partnership, nonprofit organization, or governmental entity,
but does not include an entity involved in a wholesale transaction
between a distributor and retailer.
   (2) (A) "Consumer" does not include a manufacturer who purchases
specialty or medical electronic equipment that is a covered
electronic device.
   (B) For purposes of this paragraph, "medical electronic equipment"
includes, but is not limited to, radiotherapy equipment, cardiology
equipment, dialysis equipment, pulmonary ventilators, nuclear
medicine equipment, laboratory equipment for in vitro diagnosis,
analyzers and freezers.
   (C) For purposes of this paragraph  ,  "specialty
electronic equipment" includes, but is not limited to, smoke
detectors, heating regulators, and thermostats.
   (e) "Department" means the Department of Toxic Substances Control.

   (f) (1) "Covered electronic device" means a cathode ray tube,
cathode ray tube device, flat panel screen, or any other similar
video display device with a screen size that is greater than four
inches in size measured diagonally  and which the department
determines, when discarded or disposed, would be a hazardous waste
pursuant to Chapter 6.5 (commencing with Section 25100) of Division
20 of the Health and Safety Code  .
   (2) "Covered electronic device" does not include an automobile or
any part of the automobile assembled by or for the automobile
manufacturer or franchised dealer including replacement parts for use
in an automobile, or a large piece of commercial or industrial
equipment, including, but not limited to, commercial medical
equipment, that contains a cathode ray tube, cathode ray tube device,
flat panel screen, or other similar video display device that is
contained within, and is not separate from, the larger piece of
industrial or commercial equipment.
   (g) "Covered electronic waste" or "covered e-waste" means a
covered electronic device that is discarded or disposed.
   (h) "Covered electronic waste recycling fee" or "covered e-waste
recycling fee" means the fee imposed pursuant to Article 3
(commencing with Section 42464).
   (i) "Covered electronic waste recycler" or "covered e-waste
recycler" means any of the following:
   (1) A person who engages in the manual or mechanical separation of
covered electronic devices to recover components and commodities
contained therein for the purpose of reuse or recycling.
   (2) A person who changes the physical or chemical composition of a
covered electronic device, in accordance with the requirements of
Chapter 6.5 (commencing with Section 25100) of Division 20 of the
Health and Safety Code and the regulations adopted pursuant to that
chapter, by deconstructing, size reduction, crushing, cutting,
sawing, compacting, shredding, or refining for purposes of
segregating components, for purposes of recovering or recycling those
components, and who arranges for the transport of those components
to an end user.
   (3) A manufacturer who meets any conditions established by this
chapter and Chapter 6.5 (commencing with Section 25100) of Division
20 of the Health and Safety Code for the collection or recycling of
covered electronic waste.
   (j) "Electronic waste recovery payment" means an amount
established and paid by the board pursuant to Section 42477.

   (k) "Electronic waste recycling payment" means a payment made by
the board to an authorized collector of covered electronic waste
pursuant to Section 42477.  
   (l)  
   (k)  "Electronic waste recycling payment" means an amount
established and paid by the board pursuant to Section 42478.

   (m)  
   (l)  "Hazardous material" has the same meaning as defined in
Section 25501 of the Health and Safety Code.  
   (n)  
   (m)  "Manufacturer" means any of the following:  
   (A)  
   (1)  A person who manufacturers a covered electronic device
sold in this state.  
   (B)  
   (2)  A person who sells a covered electronic device in this
state under a person's brand name.  
   (o)  
   (n)  "Retailer" means a person who sells a covered electronic
device in the state to a consumer but who did not manufacture the
device.  "Retailer" includes a manufacturer of a covered electronic
device who sells that covered electronic device directly to a
consumer through any means, including, but not limited to,
transactions conducted through sales outlets, catalogs, or the
Internet, or any other, similar electronic means, but does not
include a sale that is a wholesale transaction with a distributor or
retailer.  
   (p)  
   (o)  (1) "Sell" or "sale" means any transfer for
consideration of title or of the right to use, by lease or sales
contract, including, but not limited to, transactions conducted
through sales outlets, catalogs, or the Internet, or any other
 ,  similar electronic means, but does not include a
wholesale transaction with a distributor or a retailer.
   (2) For purposes of this subdivision and subdivision (n),
"distributor" means a person who sells a covered electronic device to
a retailer.
  SEC. 3.  Section 42464 of the Public Resources Code is amended to
read:
   42464.  (a)  Except as specified in subdivision (f), on and after
July 1, 2004, a covered electronic waste recycling fee is hereby
imposed upon the first sale in the state of a covered electronic
device to a consumer by a retailer.
   (b) A retailer that sells a covered electronic device to a
consumer shall collect the fee imposed under subdivision (a) for each
covered electronic device sold by the retailer in the following
amounts:
   (1) Six dollars ($6) for each covered electronic device with a
screen size of less than 15 inches measured diagonally.
   (2) Eight dollars ($8) for each covered electronic device with a
screen size greater than or equal to 15 inches but less than 35
inches measured diagonally.
   (3) Ten dollars ($10) for each covered electronic device with a
screen size greater than or equal to 35 inches measured diagonally.
   (c) The electronic waste recycling fee collected pursuant to this
section shall be transmitted to the board in accordance with a
schedule and procedure that the board shall establish pursuant to
Sections 42475 and 42475.2.  The covered electronic waste recycling
fees shall be deposited in the account pursuant to Section 42476.
   (d) A retailer selling a covered electronic device may retain 3
percent of the covered electronic waste recycling fee as
reimbursement for any costs associated with the collection of the
fee.
   (e) On and after July 1, 2005, and at least once every two years
thereafter, the board, in collaboration with the department, shall
review, at a public hearing, the covered electronic waste recycling
fee and shall make any adjustments to the fee to ensure that there
are sufficient revenues in the account to fund the covered electronic
waste recycling program established pursuant to this chapter.  The
board shall base any adjustment of the covered electronic waste
recycling fee on  the both of   both of the
 following factors:
   (1) The sufficiency, and any surplus, of revenues in the account
to fund the collection, consolidation, and recycling of 100 percent
of the covered electronic waste that is projected to be recycled in
the state.
   (2) The sufficiency of revenues in the account for the board and
the department to administer, enforce, and promote the program
established pursuant to this chapter, plus a prudent reserve not to
exceed 5 percent of the amount in the account.
   (f) (1) The board may reduce or eliminate the covered electronic
waste recycling fee on a device if the manufacturer of that device
demonstrates to the satisfaction of the department that the device
contains no toxic materials.
   (2) A determination that a device contains no toxic materials does
not obligate the board to refund electronic waste recycling fees
collected prior to that determination, and does not relieve a
retailer from paying an electronic waste recycling fee on a device
sold prior to that determination.
  SEC. 4.  Section 42465.2 of the Public Resources Code is amended to
read:
   42465.2.  (a) On or before July 1, 2005, and at least once
annually thereafter as determined by the board, each manufacturer of
a covered electronic device sold in this state shall do all of the
following:
   (1) Submit to the board a report that includes all of the
following information:
   (A) An estimate of the number of covered electronic devices sold
by the manufacturer in the state during the previous year.
   (B) A baseline or set of baselines that show the total estimated
amounts of mercury, cadmium, lead, hexavalent chromium, PBDE's, and
PBB's used in covered electronic devices manufactured by the
manufacturer in that year and the reduction in the use of those
hazardous materials from the previous year. The department may
specify a minimum threshold for specified materials requiring
reporting.
   (C) A baseline or set of baselines that show the total estimated
amount of recycled materials contained in covered electronic devices
sold by the manufacturer in that year and the increase in the use of
those recyclable materials from the previous year.
   (D) A baseline or a set of baselines that describe any efforts to
design covered electronic devices for recycling and goals and plans
for further increasing design for recycling.
   (2) Make information available to consumers, that describes where
and how to return, recycle, and dispose of the covered electronic
device and opportunities and locations for the collection or return
of the device, through the use of a toll-free telephone number,
Internet Web site, information labeled on the device, information
included in the packaging, or information accompanying the sale of
covered electronic device.
   (b) Any information submitted to the board pursuant to subdivision
(a) that is proprietary in nature or a trade secret shall be subject
to protection under state laws and regulations governing that
information.
  SEC. 5.  Section 42465.3 of the Public Resources Code is amended to
read:
   42465.3.  On or before April 1, 2004, and annually thereafter, a
manufacturer shall inform the retailer if a covered electronic device
sold by that manufacturer is subject to the covered electronic waste
recycling fee established pursuant to this chapter.
  SEC. 6.   Section 42475 of the Public Resources Code is amended
to read: 
   42475.  (a) The board shall administer this chapter in
consultation with the department.
   (b) The board  and the department  may adopt regulations
pursuant to Chapter 3.5 (commencing with Section 11340) of Part 1 of
Division 3 of Title 2 of the Government Code that are necessary to
implement this chapter  , and any other regulations that the
board and the department determines are necessary to implement the
provisions of this chapter in a manner that is enforceable  .
   (c) The board shall adopt regulations pursuant to Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2 of
the Government Code that ensure the protection of any proprietary
information submitted to the board by a manufacturer of covered
electronic devices.
   (d) The board and the department may prepare, publish, or issue
any materials that the board determines to be necessary for the
dissemination of information concerning the activities of the board
under this chapter.
   (e) In carrying out this chapter, the board and the department may
solicit and use any and all expertise available in other state
agencies, including, but not limited to, the department, the
Department of Conservation, and the State Board of Equalization.

  SEC. 7.  Section 42475.1 of the Public Resources Code is repealed.
 
   42475.1.  The board and department may adopt regulations pursuant
to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division
3 of Title 2 of the Government Code that are necessary to implement
this chapter, and any other regulations that the board and the
department determines are necessary to implement the provisions of
this chapter in a manner that is enforceable.   
  SEC. 8.   Section 42475.2 of the Public Resources Code is
amended to read:
   42475.2.  (a) The board and the department may adopt regulations
to implement this chapter as emergency regulations.
   (b) The emergency regulations adopted pursuant to this chapter
shall be adopted by the board and the department in accordance with
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code, and for the purposes of that
chapter, including Section 11349.6 of the Government Code, the
adoption of these regulations is an emergency and shall be considered
by the Office of Administrative Law as necessary for the immediate
preservation of the public peace, health,  and 
safety, and general welfare.  Notwithstanding Chapter 3.5 (commencing
with Section 11340) of Part 1 of Division 3 of Title 2 of the
Government Code, any emergency regulations adopted by the board and
the department pursuant to this section shall be filed with, but not
be repealed by, the Office of Administrative Law and shall remain in
effect for a period of two years or until revised by the department
or the board, whichever occurs sooner.   
  SEC. 7.   
  SEC. 9.   Section 42476 of the Public Resources Code is
amended to read:
   42476.  (a) The board and the department shall deposit all fees or
fines collected under this chapter into the Electronic Waste
Recovery and Recycling Account, which is hereby created in the
Integrated Waste Management Fund.  The funds in the Electronic Waste
Recovery and Recycling Account may be expended by the board and
department, upon appropriation by the Legislature, for the following
purposes:
   (1) To make electronic waste recovery payments to an authorized
collector of covered electronic waste pursuant to Section 42479.
   (2) To make electronic waste recycling payments to covered
electronic waste recyclers of covered electronic waste pursuant to
Section 42479.
   (3) To provide for costs of the board and the department to
administer this chapter.
   (4) To provide funding to the department to implement and enforce
Chapter 6.5 (commencing with Section 25100) of Division 20 of the
Health and Safety Code, as that chapter relates to covered electronic
devices, and any regulations adopted by the department pursuant to
that chapter.
   (b) Notwithstanding Section 16475 of the Government Code, any
interest earned upon funds in the Electronic Waste Recovery and
Recycling Account shall be deposited in that account for expenditure
pursuant to this chapter.
   (c) Not more than 1 percent of the funds annually deposited in the
Electronic Waste Recovery and Recycling Account shall be expended
for the purposes of establishing the public information program to
educate the public in the hazards of improper covered electronic
device storage and disposal and on the opportunities to recycle
covered electronic devices.
   (d) The board may not provide any payment for covered electronic
devices unless the materials will be handled in compliance with all
statutes and regulations regarding the export of hazardous wastes.
No payment may be made for covered electronic devices exported to any
country where the export  or  import of hazardous waste is
prohibited.
   (e) The board may not provide any payment for covered electronic
waste unless the materials are handled in compliance with all
statutes and regulations regarding the export of hazardous wastes,
including, but not limited to, Section 42476.5.
   (f) The board may not provide payment for covered electronic waste
exported out of state unless it can be demonstrated that the
materials are destined for reuse or recycling and managed in
compliance with all statutes and regulations regarding the handling
and export of hazardous wastes.   
  SEC. 8.   
  SEC. 10.   Section 42476.5 of the Public Resources Code is
amended to read:
   42476.5.  Except as provided in Section 42476.6, any person who
intends to export covered electronic waste to a foreign destination
shall comply with all of the following at least 60 days prior to
export:
   (a) Notify the department of the destination, contents, and volume
of covered electronic waste to be exported.
   (b) Demonstrate that the importation of covered electronic waste
is not prohibited by any applicable law or regulation of the country
of destination and that any import is conducted in accordance with
all applicable laws.  As part of this demonstration, required import
and operating licenses shall be forwarded to the department.
   (c) Demonstrate that the exportation of covered electronic waste
is conducted only in accordance with applicable international law,
including any treaty agreed to by either the United States or the
country of destination.
   (d) Demonstrate that the management of the exported covered
electronic waste will be handled within the country of destination in
accordance with applicable rules, standards, and guidelines adopted
by the Organization for Economic Co-operation and Development for the
environmentally sound management of  covered  electronic
waste.
   (e) Demonstrate that the covered electronic waste is being
exported for the purpose of reuse or recycling.   
  SEC. 9.   
  SEC. 11.   Section 42476.6 of the Public Resources Code is
amended to read:
   42476.6.  Section 42476.5 does not apply to a demanufactured or
processed component part of a covered electronic device that is
exported by an authorized collector or recycler and that is directly
reused in a new electronic component.   
  SEC. 10.   
  SEC. 12.   Section 42477 of the Public Resources Code is
amended to read:
   42477.  On July 1, 2004, and on July 1 every two years thereafter,
the board in collaboration with the department shall establish an
electronic waste recovery payment schedule for covered electronic
wastes generated in this state to cover the average net cost for an
authorized collector to operate a free and convenient system for
collecting, consolidating and transporting covered electronic wastes
generated in this state.  The board shall make the electronic waste
recovery payments either directly to an authorized collector or to a
covered electronic waste recycler for payment to an authorized
collector pursuant to this article.   
  SEC. 11.   
  SEC. 13.   Section 42478 of the Public Resources Code is
amended to read:
   42478.  On July 1, 2004, and on July 1 every two years thereafter,
the board, in collaboration with the department  ,  shall
establish a covered electronic waste recycling payment schedule for
covered electronic wastes generated in this state to cover the
average net cost for an electronic waste recycler to receive,
process, and recycle a covered electronic device from an authorized
collector.  The board shall make the electronic waste recycling
payments to a covered electronic waste recycler pursuant to this
article.
  SEC. 12.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.