BILL NUMBER: SB 50	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 7, 2004
	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  , and to add Sections
25214.10.1 and 25214.10.2 to,  the Health and Safety Code, and
to amend Sections 42463, 42464,  42465, 42465.1,  42465.2,
42465.3, 42475, 42475.2, 42476, 42476.5,  42476.6, 42477, and
42478 of, and   42477, 42478, and 42485 of, to add
Section 42464.4 to,  to repeal Section 42475.1 of,  and to
repeal and add Section 42464.2 of,  the Public Resources Code,
relating to solid waste.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 50, as amended, Sher.  Solid waste:  hazardous electronic
waste.
   (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  (board)  or
the Department of Toxic Substances Control   
(department)  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  
require the department to adopt regulations to identify electronic
devices that are video display devices with a screen size of greater
than 4 inches that the department has determined are presumed to be,
when discarded, a hazardous waste pursuant to the hazardous waste
control laws.  The bill would require the department to adopt
regulations for determining whether an electronic device, when
discarded, is not a hazardous waste.
   The bill would require a manufacturer to inform a retailer by
August 1, 2004, and by April 1, annually thereafter whether a device
is a covered electronic device for purpose of the act and would
require a covered electronic device identified in the regulations
adopted by July 1, 2004, to be subject to the act on and after
November 1, 2004.  The bill would specify a procedure for a
manufacturer to obtain the determination of the department that an
electronic device is not subject to the act.  The bill would
authorize the department to adopt emergency regulations to implement
these requirements.
   (2) Existing law, the act, requires a retailer selling a covered
electronic device in this state to collect an electronic waste
recycling fee from the consumer on and after July 1, 2004, and to
transmit the fee to the board in accordance with a schedule and
procedures that the board is required to establish.  The act requires
the board, in collaboration with the department, on and after July
1, 2005, and at least once every 2 years thereafter, to review and
adjust the electronic waste recycling fee, based on specified
factors.
   The bill would revise the definitions of the terms "covered
electronic waste," "person," "retailer," and "retail sale," and would
define the terms "discarded" and "recycling," for purposes of the
act.
   The bill would revise the procedures for reviewing and adjusting
the covered electronic waste recycling fee.
   The bill would repeal the authorization for the board to collect
the fees and would require the board, on or before November 1, 2004,
in consultation with the State Board of Equalization, to issue a
specified notice and establish a call center for the purposes of
responding to any inquiries or complaints from retailers or from the
public concerning payment or collection of the fee.
   The bill would require the State Board of Equalization, on and
after January 1, 2005, to collect the electronic waste recycling fees
from retailers and to deposit those fees in the Electronic Waste
Recovering and Recycling Account.  The bill would require the covered
electronic waste recycling fee to be due and payable quarterly on or
before the last day of the month following each calendar quarter.
   (3) The act requires each manufacturer of an electronic device who
sells a covered electronic device in this state to submit an annual
report to the board on the number of electronic devices sold by the
manufacturer.
   This bill would authorize a manufacturer to report only on those
covered electronic devices that are not subject to Directive
2002/95/EC, as specified.
   (4) Under existing law, the Electronic Waste Recovery and
Recycling Account is created in the Integrated Waste Management Fund
and the board and the department are authorized to expend the moneys
deposited in the account, upon appropriation by the Legislature, for
specified purposes.
   This bill would continuously appropriate the money in the
Electronic Waste Recovery and Recycling Account, which the bill would
create in the State Treasury, to reimburse the State Board of
Equalization for its costs associated with registration, collection,
overpayment refunds, and auditing retailers, to make electronic waste
recovery payments and electronic waste recycling payments, and to
provide funding to the department to implement and enforce the
hazardous waste control law, with regard to covered electronic
devices.  The bill would authorize the board and the department to
expend the money in the account for the administration of the act
only upon appropriation by the Legislature in the annual Budget Act.

   The bill would also establish the Electronic Waste Penalty
Subaccount in the account, would require all fines or penalties
collected pursuant to the act to be deposited in the subaccount, and
would authorize the expenditure of the funds in the subaccount only
upon appropriation by the Legislature.
   (5) Existing law requires the board, in collaboration with the
department, to establish an electronic waste recovery payment
schedule to cover the net cost of an authorized collector in
operating a free and convenient system for collecting, consolidating
and transporting covered electronic wastes.  Existing law also
requires the board to establish an electronic waste recycling payment
schedule to cover an e-waste recycler's net cost of receiving,
processing, and recycling covered electronic waste.
   This bill would allow the board to make electronic waste recycling
payments or electronic waste recovery payments only for covered
electronic waste that is processed in this state according to a
cancellation procedure that the board would be required to adopt.
The bill would prohibit the board from providing any recycling
payment for covered electronic waste exported out-of-state.  The bill
would authorize the board to elect to pay an electronic waste
recycling payment or electronic waste recovery payment only for
covered electronic waste that is recycled within the state, if the
board declares that the state is a market participant in the business
of the recycling of covered electronic waste, as specified, and the
board pays the electronic waste recycling payment or electronic waste
recovery payment to a manufacturer who takes back and cancels
covered electronic waste from a consumer in this state, as specified.

   The bill would authorize the board to make supplemental electronic
waste recovery payment to an authorized collector who makes a
specified demonstration to the board.
   (6) Existing law requires a person who intends to export
electronic waste to a foreign destination to comply with specified
notification requirements and to demonstrate, among other things,
that the handling of the exported electronic waste within the country
of destination would meet certain standards adopted by the
Organization for Economic Co-operation and Development.
   This bill would instead require a person who intends to export
covered electronic waste, or a covered electronic device intended for
reuse to a foreign country, or to another state for ultimate export
to a foreign country, to comply with specified notification
requirements and make specified demonstrations, including, a
demonstration with regard to management of the waste in accordance
with the decisions and implementing guidelines of the Organization
for Economic Co-operation, notwithstanding that the country of
destination is not a member of the Organization for Economic
Co-operation and Development  .
    (7)  The bill would also make technical changes to the
act.
    (8)  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.

  (2)  
  (9)  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   yes
 .  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
  as defined in Section 42463 of the 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,  and as amended thereafter
by the Commission of European Communities,  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 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)  (1)  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.  
   (2) In complying with this subdivision, the department shall use,
in addition to any other information deemed relevant by the
department, the published decisions of the Technical Adaptation
Committee and European Union member states that interpret the
requirements of Directive 2002/95/EC. 
  SEC. 2.   Section 25214.10.1 is added to the Health and Safety
Code to read:
   25214.10.1.  (a) (1) For purposes of this section, "manufacturer"
and "retailer" have the same meaning as defined in Section 42463 of
the Public Resources Code.
   (2) The department shall adopt regulations that identify
electronic devices that are video display devices with a screen size
of greater than four inches and that the department determines are
presumed to be, when discarded, a hazardous waste pursuant to this
chapter.
   (3) The department shall adopt regulations for determining whether
an electric device, when discarded would not be a hazardous waste.
   (b) Except as provided in subdivision (d), on or before August 1,
2004, and on or before every April 1 of each year thereafter, a
manufacturer, shall inform a retailer that sells an electronic device
manufactured by that manufacture whether that electronic device is
listed in subparagraphs (A) to (C), inclusive, of paragraph (1) of
subdivision (f) of Section 42463 of the Public Resources Code, or is
identified in the regulations adopted by the department pursuant to
paragraph (2) of subdivision (a).  The manufacturer shall inform the
retailer that the electronic device is a covered electronic device
and is subject to a fee in accordance with subdivision (c).
   (c) (1) Except as provided in subdivision (d), each covered
electronic device that is listed in paragraph (1) of subdivision (f)
of Section 42463 of the Public Resources Code, or that is identified
in the regulations adopted, on or before July 1, 2004, by the
department, pursuant to paragraph (2) of subdivision (a), shall, on
and after November 1, 2004, be subject to Chapter 8.5 (commencing
with Section 42460) of Part 3 of Division 30 of the Public Resources
Code, including the fee imposed pursuant to Section 42464 of the
Public Resources Code.
   (2) Except as provided in subdivision (d), each covered electronic
device identified in the regulations adopted, on or after July 2,
2004, by the department, pursuant to paragraph (2) of subdivision
(a), shall, on and after the July 1 of the subsequent year in which
the device is first identified in the regulations, be subject to
Chapter 8.5 (commencing with Section 42460) of Part 3 of Division 30
of the Public Resources Code, including the fee imposed pursuant to
Section 42464 of the Public Resources Code.
   (d) The manufacturer of an electronic device that is listed in
paragraph (1) of subdivision (f) of Section 42463 of the Public
Resources Code, or is identified in the regulations adopted by the
department pursuant to paragraph (2) of subdivision (a), may apply to
the department for a determination that the device is nonhazardous,
in accordance with procedures set forth in regulations adopted by the
department pursuant to paragraph (3) of subdivision (a).  If the
department determines that the electronic device is nonhazardous, the
electronic device is not subject to Chapter 8.5 (commencing with
Section 42460) of Part 3 of Division 30 of the Public Resources Code
on the first day of the quarter that begins at least 30 days after
the last date of the following required actions have occurred:
   (1) The date when the department provides a written statement to
the manufacturer that the electronic device is nonhazardous.
   (2) The date when the manufacturer notifies all retailers selling
the electronic device of the department's determination.
  SEC. 3.  Section 25214.10.2 is added to the Health and Safety Code,
to read:
   25214.10.2.  A regulation adopted pursuant to this article may be
adopted as an emergency regulation 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.  An emergency
regulation adopted by 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, whichever occurs sooner.
  SEC. 4.   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. 
 person who purchases a new or refurbished covered electronic
device in a transaction that is a retail sale. 
   (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.  
   (2) If the manufacturer of an electronic device, obtains the
determination of the department that the electronic device is
nonhazardous, in accordance with subdivision (d) of Section
25214.10.1 of the Health and Safety Code, the electronic device is
not a covered electronic device for purposes of this chapter on the
first day the quarter that begins at least 30 days after the last
date of the required actions specified in paragraphs (1) and (2) of
subdivision (d) of Section 25214.10.1 of the Health and Safety Code.

   (3) "Covered electronic device" does not include any of the
following:
   (A) A video display device that is a part of a motor vehicle, as
defined in Section 415 of the Vehicle Code, or any component part of
a motor vehicle assembled by, or for, a vehicle manufacturer or
franchised dealer, including replacement parts for use in a motor
vehicle.
   (B) A video display device that is contained within, or a part of
a piece of industrial, commercial, or medical equipment, including
monitoring or control equipment, and that is not separate from that
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)  "Discarded" has the same meaning as defined in
subdivision (b) of Section 25124 of the Health and Safety Code.
   (k)  "Electronic waste recovery payment" means an amount
established and paid by the board pursuant to Section 42477.

   (k)  
   (l)  "Electronic waste recycling payment" means an amount
established and paid by the board pursuant to Section 42478.

   (l)  
   (m)  "Hazardous material" has the same meaning as defined in
Section 25501 of the Health and Safety Code.  
   (m)  
   (n)  "Manufacturer" means any of the following:
   (1) A person who manufacturers a covered electronic device sold in
this state.
   (2) A person who sells a covered electronic device in this state
under a person's brand name.  
   (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.
   (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.  
   (o) "Person" means an individual, trust firm, joint stock company,
business concern, corporation, including, but not limited to, a
government corporation, partnership, limited liability company, and
association. Notwithstanding Section 40170, "person" also includes a
city, county, city and county, district, commission, the state or a
department, agency, or political subdivision thereof, an interstate
body, and the United States and its agencies and instrumentalities to
the extent permitted by law.
   (p) "Recycling" has the same meaning as defined in subdivision (a)
of Section 25121.1 of the Health and Safety Code.
   (q) "Retailer" means a person who makes a retail sale of a new or
refurbished covered electronic device in the state directly to a
consumer through any means, including, but not limited to, a
transaction conducted through a sales outlet, catalog, or the
Internet or any other similar electronic means.  "Retailer" also
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, a transaction conducted through a
sales outlet, catalog, or the Internet, or any other similar
electronic means.
   (r) "Retail sale" has the same meaning as defined under Section
6007 of the Revenue and Taxation Code.   
  SEC. 3.   
  SEC. 5.   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 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.   
   (b) A retailer may retain 3 percent of the covered electronic
waste recycling fee as reimbursement for all costs associated with
the collection of the fee and shall transmit the fee payments in
accordance with Section 42464.4.
   (c) On or before May 1, 2005, and, thereafter, no more frequently
than annually, and no less frequently than biennially, the board, in
collaboration with the department, shall review, at a public hearing,
the covered electronic waste recycling fee and shall make
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.  Adjustments to the fee that
are made on or before May 1 of the current calendar year shall apply
for the 12-month period of July 1 of the current calendar year to
June 30 of the next succeeding calendar year.  The board shall base
an adjustment of the covered electronic waste recycling fee on both
of the following factors:
   (1) The sufficiency, and a surplus, of revenues in the account to
fund the collection, consolidation, and recycling of 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.
   (d) (1) The board may reduce or eliminate the covered electronic
waste recycling fee on an electronic device if the manufacturer of
that electronic device demonstrates to the satisfaction of the
department that the device is not hazardous pursuant to subdivision
(d) of Section 25214.10.1 of the Health and Safety Code.
   (2) A determination that a covered electronic device is not
hazardous does not require the board to refund the electronic waste
recycling fees collected prior to that determination, and does not
relieve a retailer from collecting and paying an electronic waste
recycling fee on a covered electronic device sold prior to that
determination.
  SEC. 6.  Section 42464.2 of the Public Resources Code is repealed.
 
   42464.2.  The board may collect the fees imposed pursuant to this
section pursuant to the Fee Collection Procedures Law (Part 30
(commencing with Section 55001) of Division 2 of the Revenue and
Taxation Code).  The board may contract with the State Board of
Equalization or another party for collection of fees due under this
section.   
  SEC. 7.  Section 42464.2 is added to the Public Resources Code, to
read:
   42464.2.  (a) The covered electronic waste recycling fee imposed
pursuant to this chapter shall be collected in the following manner:

   (1) On or before November 1, 2004, in consultation with the State
Board of Equalization, the board shall do all of the following:
   (A) Issue a notice to each retailer who sells a covered electronic
device that describes the retailer's obligations under this chapter
to register with, and collect and remit electronic waste recycling
fees to, the State Board of Equalization for the purposes of
complying with the chapter. The notice shall include all information
the State Board of Equalization deems necessary to ensure efficient
and enforceable collection of electronic waste recycling fees
consistent with this section.
   (B) Establish a call center for the purposes of responding to any
inquiries or complaints from retailers or from the public concerning
payment or collection of the electronic waste recycling fee.
   (2) On and after January 1, 2005, the State Board of Equalization
shall collect electronic waste recycling fees from retailers and
deposit those fees in the account.  The State Board of Equalization
may collect the fees pursuant to the Fee Collection Procedures Law
(Part 30 (commencing with Section 55001) of Division 2 of the Revenue
and Taxation Code, except that for purposes of the Fee Collection
Procedures Law, the retailer shall be deemed to be the feepayer, as
defined in Section 55004 of the Revenue and Taxation Code.
   (b) The board and the State Board of Equalization shall share data
and expertise to ensure the timely and efficient implementation of
this section.
  SEC. 8.  Section 42464.4 is added to the Public Resources Code, to
read:
   42464.4.  (a) The covered electronic waste recycling fee shall be
due and payable quarterly on or before the last day of the month
following each calendar quarter.  The payments shall be accompanied
by a return in the form as prescribed by the State Board of
Equalization or that person authorized to collect, including, but not
limited to, electronic media.
   (b) The State Board of Equalization may require the payment of the
fee and the filing of returns for other than quarterly periods.
  SEC. 9.  Section 42465 of the Public Resources Code is amended to
read: 
   42465.  On and after  July   November 
1, 2004,  or as specified otherwise in Section 25214.10.1 of the
Health and Safety Code  , it shall be unlawful to sell a covered
electronic device to a consumer in this state unless the board or
department determines that the manufacturer of that covered
electronic device demonstrates compliance with this chapter.   
  SEC. 10.  Section 42465.1 of the Public Resources Code is amended
to read: 
                                                 42465.1.  On and
after January 1, 2005,  or as specified otherwise in Section
25214.10.1 of the Health and Safety Code,  a person may not sell
or offer for sale in this state a covered electronic device unless
the device is labeled with the name of the manufacturer or the
manufacturer's brand label, so that it is readily visible.   
  SEC. 11.   Section 42465.2 of the Public Resources Code is
amended to read:
   42465.2.  (a) On or before July 1, 2005,  or as specified
otherwise in Section 25214.10.1 of the Health and Safety Code, 
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 
to the extent the department considers those substances to be a
hazardous material  , 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.  
   (E) A list of Internet and catalog retailers that sold, or offered
for sale, the covered electronic devices during the previous year.

   (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)  For the purposes of complying with paragraph (1) of
subdivision (a), a manufacturer may submit a report to the board that
includes only covered electronic devices that are not subject to
Directive 2002/95/EC adopted by the European Parliament and the
Council of the European Union on January 27, 2003, and any amendments
made to that directive, if both of the following conditions are met:

   (1) The manufacturer submits written verification to the
department that demonstrates, to the satisfaction of the department,
that the manufacturer is in compliance with Directive 2002/95/EC, and
any amendments to that directive, for those covered electronic
devices for which it is not submitting a report to the board pursuant
to this subdivision.
   (2) The department certifies that the manufacturer is in
compliance with Directive 2002/95/EC, and any amendments to that
directive, for those covered electronic devices for which the
manufacturer is not submitting a report to the board pursuant to this
subdivision.
   (c)  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.   
  SEC. 12.  Section 42465.3 of the Public Resources Code is
amended to read:
   42465.3.  On or before  April 1, 2004, and annually
thereafter,   August 1, 2004, and on or before every
April 1 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.   
  SEC. 13.   Section 42475 of the Public Resources Code is
amended to read:
   42475.  (a) The board shall administer  and enforce  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  or department  determines to
be necessary for the dissemination of information concerning the
activities of the board  or department  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.   
  SEC. 14.   Section 42475.1 of the Public Resources Code is
repealed.   
  SEC. 8.   
  SEC. 15.   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  and enforce  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, 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
  or  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. 9.   
  SEC. 16.   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)  
   42476.  (a) The Electronic Waste Recovery and Recycling Account is
hereby created in the State Treasury.  Notwithstanding Section 13340
of the Government Code, the funds in the account are hereby
continuously appropriated without regard to fiscal year, for the
following purposes:
   (1) To reimburse the State Board of Equalization for its costs
associated with registration, collection, overpayment refunds, and
auditing retailers in connection with the covered electronic waste
recycling fee imposed pursuant to Article 3.
   (2) To make electronic waste recovery payments to an authorized
collector of covered electronic waste pursuant to Section 42479.
   (3) To make electronic waste recycling payments to covered
electronic waste recyclers of covered electronic waste pursuant to
Section 42479.
   (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.
   (5) To establish the public information program specified in
subdivision (d).
   (b) (1) The board and the department may expend the money in the
account for the administration of this article only upon
appropriation by the Legislature in the annual Budget Act.
   (2) Any fines or penalties collected pursuant to this chapter
shall be deposited in the Electronic Waste Penalty Subaccount, which
is hereby established in the account.  The funds in the Electronic
Waste Penalty Subaccount may be expended by the board or department
only upon appropriation by the Legislature.
   (c)  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)  
   (d)  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.  
   (e) The board may not make a electronic waste recycling payment or
electronic waste recovery payment for covered electronic waste
unless that waste is handled in compliance with all statutes and
regulations governing the management, including the export, of that
waste.
   (f) (1) The board shall adopt regulations specifying the
cancellation methods for the recovery, processing, or recycling of
covered electronic waste.
   (2) The board may make electronic waste recycling payments or
electronic waste recovery payments only if the covered electronic
waste is processed in this state according to the cancellation method
authorized by the board.
   (3) The board may not pay an electronic waste recycling payment
for covered electronic waste that is exported out of state.
   (g) The board may elect to pay an electronic waste recycling
payment or electronic waste recovery payment only for covered
electronic waste that is recycled within the state, subject to all of
the following terms and conditions:
   (1) The board declares that the state is a market participant in
the business of the recycling of covered electronic waste for all of
the following reasons.
   (A) The fee is collected from the state's consumers for covered
electronic devices sold for use in the state.
   (B) The purpose of the fee and subsequent payments is to prevent
damage to the public health and the environment from waste generated
in the state.
   (C) The recycling system funded by the fee ensures that
economically viable and sustainable markets are developed and
supported for recovered materials and components in order to conserve
resources and maximize business and employment opportunities within
the state.
   (2) The board pays the electronic waste recycling payment or
electronic waste recovery payment to a manufacturer who takes back
and cancels covered electronic waste from a consumer in this state,
in accordance with the requirements of Section 42479.  The amount of
the electronic waste recycling payment paid by the board shall equal
the value of the covered electronic waste recycling fee for that
device.  To qualify for payment, the manufacturer shall demonstrate
to the board that the covered electronic device for which payment is
claimed was used in the state.   
  SEC. 10.   
  SEC. 17.   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. 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. 12.   
   42476.5.  A person who intends to export covered electronic waste,
or a covered electronic device intended for reuse to a foreign
country, or to another state for ultimate export to a foreign
country, shall do all of the following at least 60 days prior to
export:
   (a) Notify the department of the destination, disposition,
contents, and volume of the waste, or device intended for reuse to be
exported, and include with the notification the demonstrations
required pursuant to subdivisions (b) to (e), inclusive.
   (b) Demonstrate that the waste, or device is being exported for
the purposes of recycling.
   (c) Demonstrate that the importation of the waste or device is not
prohibited by an applicable law in the state or country of
destination and that any import will be conducted in accordance with
all applicable laws.  As part of this demonstration, required import
and operating licenses, permits, or other appropriate authorization
documents shall be forwarded to the department.
   (d) Demonstrate that the exportation of the waste, or device is
conducted in accordance with applicable United States or applicable
international law.
   (e) (1) Demonstrate that the waste or device will be managed
within the country of destination only at facilities whose operations
meet or exceed the binding decisions and implementing guidelines of
the Organization for Economic Co-operation and Development for the
environmentally sound management of the waste or device being
exported.
   (2) The demonstration required by this subdivision applies to any
country of destination, notwithstanding that the country is not a
member of the Organization for Economic Co-operation and Development.

  SEC. 18.   Section 42477 of the Public Resources Code is
amended to read:
   42477.  On July 1, 2004,  or as specified otherwise in Section
25214.10.1 of the Health and Safety Code,  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.  
The board may make supplemental electronic waste recovery payments to
an authorized collector who demonstrates to the satisfaction of the
board that the authorized collector's costs for collection,
consolidation, and transportation of covered electronic waste exceed
the payment allowed pursuant to this section.   
  SEC. 13.   
  SEC. 19.   Section 42478 of the Public Resources Code is
amended to read:
   42478.  On July 1, 2004,  or as specified otherwise in Section
25214.10.1 of the Health and Safety Code,  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 
received  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.   
  SEC. 20.  Section 42485 of the Public Resources Code is amended to
read: 
   42485.  The board  or   and  the
department shall not implement this chapter if either of the
following occur:
   (a) A federal law, or a combination of federal laws, takes effect
and does all of the following:
   (1) Establishes a program for the collection, recycling, and
proper disposal of covered electronic waste that is applicable to all
 cathode ray tube   covered electronic 
 devices  sold in the United States.
   (2) Provides revenues to the state to support the collection,
recycling, and proper disposal of covered electronic waste, in an
amount that is equal to, or greater than, the revenues that would be
generated by the fee imposed under Section 42464.
   (3) Requires covered electronic device manufacturers, retailers,
handlers, processors, and recyclers to dispose of those devices in a
manner that is in compliance with all applicable federal, state, and
local laws,  regulations, and ordinances,  and
prohibits the devices from being exported for disposal in a manner
that poses a significant risk to the public health or the
environment.
   (b) A trial court issues a judgment, which is not appealed, or an
appellate court issues an order affirming a judgment of a trial
court, holding that out-of-state manufacturers or retailers, or both,
may not be required to collect the fee authorized by this chapter.
 The order shall be stayed until all appeals are concluded.
 The out-of-state manufacturers or retailers, or both, shall
continue to collect the fee during the appellate process.   
  SEC. 21.   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.                                 ____ CORRECTIONS Title
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