BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Tom Torlakson, Chairman

                                           1879 (Feuer)
          
          Hearing Date:  7/14/08          Amended: 6/17/08
          Consultant:  Miriam Barcellona IngenitoPolicy Vote: EQ 5-2














































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          AB 1879 (Feuer)


          _________________________________________________________________ 
          ____
          BILL SUMMARY: AB 1879 would create a new article in the Health  
          and Safety code, entitled "Chemicals of Concern in Consumer  
          Products."  Under this article, the Department of Toxic  
          Substances Control (DTSC) would be authorized to regulate seven  
          chemicals in a consumer product or restrict the sale or use of a  
          product that contains a chemical of concern, as specified.
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2008-09      2009-10       2010-11     Fund
           Scoping/research/regulation                    
           >  $100-$200  > $100-$200   General
          Program implementation See staff comments (out-year  
          costs)General
          Support staff/equipmentunknown, potentially significant General
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: This bill meets the criteria for referral to the  
          Suspense File.
          
          AB 1879 would require DTSC to develop a comprehensive program to  
          identify the risks of the seven specified chemicals, design  
          approaches for removing these chemicals of concern from commerce  
          if warranted, and other actions necessary to prevent individuals  
          from being exposed to these chemicals.  

          DTSC estimates that in order to implement the provisions of AB  
          1879 and regulate the seven chemicals of concern listed in the  
          bill, it will need to adopt regulations, develop the program  
          (which includes performance measures, strategic planning,  
          education and outreach to public and industry), enforce, and  
          obtain technical support in the form of legal services,  
          equipment, laboratory resources, and laboratory methods.

          DTSC estimates that the first two years would be dedicated to  
          scoping the program and determining the amount of consumer  
          products that would be included. Manufacturers would also need  
          to be identified.  DTSC would need to develop strategic consumer  
          products to target (e.g., children's products, food packaging)  
          and identify laboratory testing needs.  In the first two years,  
          DTSC also estimates it would develop education and outreach  







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          efforts as well as analytical screening tools.  Finally, DTSC  
          would need to develop a website and start developing baseline.  
          DTSC estimates its costs to do this would be one to two position  
          years and $100,000 to $200,000.  Given the work that it  
          estimates needs to be done in that time, this estimate appears  
          to be low.

          In 2011-2012, DTSC estimates it would initiate program  
          implementation, which would require seven to nine position years  
          and between $700,000 and $900,000. DTSC estimates it would  
          continue research, development of baseline of information and  
          development of its strategic direction. DTSC estimates it would  
          begin the implementation with targeted pilot programs. 

          In 2012-12, DTSC estimates it would move into a broader  
          implementation and would require 13 to 16 position years and  
          $1.3 to $1.6 million. DTSC expects it would begin to fully  
          implement the provisions of AB 1879 in 2013-2014 with an  
          additional six to 10 position years, for a total of $1.9 million  
          to $2.3 million annually.

          DTSC did not provide an estimate for support staff, field or  
          analytical lab equipment needs, specialized staff needs (i.e.  
          peace officer equipment), lab method development, and lab staff  
          resources to conduct sample preparation and analysis.  These  
          costs could be significant.  

          Staff notes that while this new article is placed in the codes  
          in a location that may suggest the use of Hazardous Waste  
          Control Account (HWCA) monies could be used to fund its  
          provisions, the uses prescribed in this bill do not appear to be  
          consistent with that fund and there is not a clear nexus with  
          those fee payers. Hazardous waste fee payers fund the HWCA,  
          which is used by DTSC for hazardous waste administration and  
          enforcement. 

          Staff notes that the Toxic Substances Control Account (TSCA) is  
          used for the administration and implementation of the provisions  
          of law governing hazardous substance response actions, railroad  
          safety and emergency planning and response, unreimbursed removal  
          and remedial action costs, for allocation to the Office of  
          Environmental Health Hazard Assessment, for the purchase of  
          hazardous substance response equipment and other preparations  
          for response to a release of hazardous substances, for the costs  
          of health effects studies, and for the payment of the principal  







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          of bonds sold. Revenues in the fund are from fines, fees,  
          penalties and reimbursements from specified sections of law. The  
          use of TSCA to fund the provisions of this bill is not possible  
          since this activity is not included in statute as an authorized  
          use. Additionally, expenditures from TSCA are anticipated exceed  
          revenues in 2008-9 as they did in 2007-08  and the current  
          projected reserve for economic uncertainties in this account is  
          about $17.9 million, assuming all of the actions currently in  
          the budget bill are signed into law.