BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 258
                                                                  Page  1

          Date of Hearing:   May 16, 2007 

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mark Leno, Chair

                   AB 258 (Krekorian) - As Amended:  April 9, 2007 

          Policy Committee:                              Natural Resources  
                       Vote:                            6-3

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               

           SUMMARY  

          This bill establishes a comprehensive regulatory process to be  
          implemented by the State Water Resources Control Board (SWRCB)  
          for controlling the discharge of pre-production plastics (P3)  
          from manufacturing facilities and facilities at which these  
          plastics are transferred in order to reduce these plastics'  
          contribution to marine debris.  

           FISCAL EFFECT  

          1)Substantial one-time GF costs, in the range of $1.3 million in  
            2008-09, to the SWRCB to develop and implement the P3  
            discharge control procedures for affected facilities.

          2)Moderate ongoing GF costs, in the range of $1 million starting  
            in 2008-09, to the SWRCB and regional water boards to  
            administer and enforce the P3 discharge control requirements.   
            These costs may be covered by revenue generated by fees the  
            board is authorized to impose.

           SUMMARY CONTINUED

           Specifically, this bill:

          1)Requires the SWRCB and regional water boards, by January 1,  
            2009, to implement a program to control discharges of P3  
            (plastic pellets, plastic resin products, powdered coloring  
            for plastics, plastic additives and plastic fragments).

          2)Requires control measures to include P3 waste discharge,  
            monitoring and reporting requirements at source facilities and  








                                                                  AB 258
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            transfer facilities.

          3)Requires manufacturers, handlers, and transportation  
            facilities to implement best management practices to control  
            P3 discharges that include:

             a)   Zero loss containment systems on all down-gradient storm  
               drains.
             b)   P3 transferred only in sealed watertight containers.
             c)   P3 stored in a manner that prevents discharge.
             d)   Capture devices must be installed under all loading and  
               unloading points.
             e)   A vacuum system for recapturing fugitive P3.

          4)Requires the SWRCB to establish criteria for a "no exposure"  
            certification requirement for facilities operated under a  
            federal national pollutant discharge elimination system permit  
            that would allow these facilities to operate without  
            satisfying the requirements of #3 above.  

          COMMENTS  

           1)Rationale  .  The author contends that a large portion of marine  
            debris on the water and on coastal beaches is comprised of  
            plastic resin pellets, commonly known as "nurdles," plastic  
            powders, and production scrap.  Since nurdles and other P3 are  
            items used in the production of other products, the author  
            contends P3 showing up in the marine environment and on  
            beaches is originating from facilities that produce P3 and  
            facilities that use P3 as a production component.  By  
            establishing an SWRCB process to control and reduce the  
            discharge of P3 into storm drains at these facilities, the  
            author hopes to significantly reduce P3's contribution to  
            marine debris.

           2)Operation Clean Sweep  is a voluntary program developed by the  
            Society of the Plastics Industry and the American Plastics  
            Council to address problems associated with the release of P3  
            into the marine environment.  The program developed best  
            management practices designed to reduce P3 discharges through  
            proper handling and cleanup.  Facilities that have implemented  
            Operation Clean Sweep have significantly reduced P3 discharges  
            but, because the program is voluntary, many plastics  
            manufacturers and processors have chosen not to implement the  
            program  








                                                                 AB 258
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           Analysis Prepared by  :    Steve Archibald / APPR. / (916)  
          319-2081