BILL NUMBER: AB 2769	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 22, 2008
	AMENDED IN SENATE  JUNE 18, 2008
	AMENDED IN ASSEMBLY  APRIL 21, 2008

INTRODUCED BY   Assembly  Member   Levine
  Members   Levine,   Brownley, 
 and Davis 

                        FEBRUARY 22, 2008

    An act to add and repeal Section 1724 of the Civil Code,
relating to digital television.   An act to add Chapter
5.3 (commencing with Section 42280) to Part 3 of Division 30 of the
Public Resources Code, relating to single-use carryout bags. 


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2769, as amended, Levine.  Digital television.
  Single-use carryout bags.  
   Existing law requires an operator of a store, as defined, to
establish an at-store recycling program that provides to customers
the opportunity to return clean plastic carryout bags to that store.
Existing law imposes various requirements on at-store recycling
programs, including requiring a store to maintain records describing
the collection, transport, and recycling of plastic carryout bags
collected by the store.  
   Under existing law, the California Integrated Waste Management
Board administers laws related to waste management. Existing law
establishes in the Resources Agency the Department of Conservation,
which, among other things, administers laws related to beverage
container recycling.  
   This bill would, on and after January 1, 2010, prohibit a store,
as defined, from providing a single-use carryout bag to a customer
unless the store charges a fee of not less than $0.25 per bag at the
point of purchase. The bill would exempt certain customers from
paying the fee. The bill would establish the Bag Pollution Fund in
the State Treasury and would require a store to remit the single-use
carryout bag fees, less a specified amount, to the State Board of
Equalization for deposit in that fund.  
   The bill would require the Resources Agency and the Department of
Conservation to administer and enforce the single-use carryout bag
provisions and would require the State Board of Equalization to
administer the collection of the fees imposed on those bags. 

   The moneys in the fund would be required to be expended, upon
appropriation by the Legislature, in a specified order of priority,
by the State Board of Equalization to reimburse its costs associated
with collecting the fees, by the Resources Agency and Department of
Conservation for purposes of providing financial assistance for
projects and activities related to mitigating the effects of
single-use carryout bags, and by the California Integrated Waste
Management Board for grants to cities and counties for programs that
encourage and support recycling of single-use carryout bags and
single-use carryout bag pollution prevention and outreach programs.
 
   Existing federal law requires full-power television broadcast
stations in the United States to broadcast only in digital after
February 17, 2009.  
   This bill would require, until January 1, 2010, retailers who sell
televisions to post a notice regarding the transition to digital
television broadcasts near the entrance to the store and to make
available to consumers a brochure containing specified information
regarding the transition to digital broadcasts. 
   Vote: majority. Appropriation: no. Fiscal committee:  no
  yes  . State-mandated local program: no.


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

   SECTION 1.    The Legislature finds and declares all
of the following:  
   (a) Single-use carryout bags provided by stores impose hidden
costs on consumers, local governments, the state, taxpayers, and the
environment.  
   (b) Requiring stores to end the subsidy of single-use carryout
bags and charge their full economic and environmental costs will
provide consumers with an appropriate market signal to make informed
decisions regarding carryout bag reduction and reuse options. 

   (c) Requiring stores to charge and remit a fee for the
distribution of single-use carryout bags will help the state and
local governments to offset the environmental and social costs of
single-use carryout bags.  
   (d) The imposition of the fees pursuant to Section 42281 of the
Public Resources Code would not result in the imposition of a tax
within the meaning of Article XIII A of the California Constitution
because the amount and nature of the fee have a fair and reasonable
relationship to the environmental, public health, and societal
burdens imposed by the use of single-use carryout bags, and there is
a sufficient nexus between the fees imposed and the use of those fees
to support programs to prevent the litter of single-use carryout
bags, cleaning up the litter caused by single-use carryout bags, and
encouraging the reduction of the use of single-use carryout bags.
 
   (e) (1) There is a clear nexus between the type and amount of the
fees imposed pursuant to this act and the environmental, public
health, and societal costs resulting from single-use carryout bags.
 
   (2) It is the intent of the Legislature that the fees that are
imposed pursuant to Section 42281 of the Public Resources Code be
consistent with Sinclair Paint Co. v. State Bd. of Equalization
(1997) 15 Cal.4th 866. 
   SEC. 2.    Chapter 5.3 (commencing with Section
42280) is added to Part 3 of Division 30 of the   Public
Resources Code  , to read:  
      CHAPTER 5.3.  SINGLE-USE CARRYOUT BAGS



      Article 1.  Definitions


   42280.  For purposes of this chapter, the following definitions
shall apply:
   (a) "Agency" means the Resources Agency.
   (b) "Bag Pollution Cleanup Fee" means the fee imposed pursuant to
Section 42281.
   (c) "Board" means the California Integrated Waste Management
Board.
   (d) "Department" means the Department of Conservation.
   (e) "Fund" means the Bag Pollution Fund, established pursuant to
subdivision (a) of Section 42285.
   (f) (1) "Green carryout bag" means a single-use carryout bag that
is provided by a store to a customer at the point of sale and meets
all of the following requirements:
   (A) Is composed of at least 40 percent post-consumer recycled
content material.
   (B) Is accepted in curbside recycling programs serving at least 80
percent of households in the state.
   (C) Is capable of composting within 180 days, as determined by the
board.
   (2) "Green carryout bag" does not include a reusable bag, as
defined in subdivision (d) of Section 42250.
   (g) "Reusable bag" means a reusable bag as defined in subdivision
(d) of Section 42250.
   (h) "Single-use carryout bag" means a single-use carryout bag that
is provided by a store to a customer at the point of sale and that
is not a reusable bag, as defined in subdivision (d) of Section
42250.
   (i) "State board" means the State Board of Equalization.
   (j) "Store" means a retail establishment that provides single-use
carryout bags or green carryout bags to its customers as a result of
the sale of a product and that meets either of the following
requirements:
   (1) Meets the definition of a "supermarket" in Section 14526.5.
   (2) Has over 10,000 square feet of retail space that generates
sales or use tax pursuant to the Bradley-Burns Uniform Local Sales
and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division
2 of the Revenue and Taxation Code) and has a pharmacy licensed
pursuant to Chapter 9 (commencing with Section 4000) of Division 2 of
the Business and Professions Code.

      Article 2.  Bag Pollution Cleanup Fee


   42281.  (a) (1) Except as provided in Section 42283, on and after
January 1, 2010, a store shall not provide a single-use carryout bag,
including a green carryout bag, to a customer at the point of sale,
unless the store charges the customer not less than twenty-five cents
($0.25) per bag.
   (2) Before January 1, 2014, the total amount charged to a customer
pursuant to paragraph (1) shall not exceed two dollars ($2.00) per
transaction and on and after January 1, 2014, this restriction shall
not apply.
   (b) The amount charged pursuant to paragraph (1) of subdivision
(a) shall not be subject to sales tax, shall be separately stated on
the receipt provided to the customer at the time of sale, and shall
be identified as the Bag Pollution Cleanup Fee.
   (c) (1) A store charging a fee pursuant to subdivision (a) may
retain a portion of the fee, as specified in paragraph (2), in an
amount necessary to reimburse the store's costs associated with
complying with this chapter, in accordance with Section 42284.5. The
store shall remit the remainder of the fee to the state board
pursuant to Section 42284.
   (2) (A) Before January 1, 2013, a store may retain not more than
five cents ($0.05) of the fee for each single-use carryout bag that
is not a green carryout bag. For a single-use carryout bag that is a
green carryout bag, a store may retain not more than ten cents
($0.10) of the fee for each bag.
   (B) On and after January 1, 2013, a store may retain an amount
established by the department, based on the department's
determination of the costs of complying with Section 42284.5.
   (d) Any other transaction fee charged by a store in relation to
providing a single-use carryout bag shall be identified separately
from the Bag Pollution Cleanup Fee.
   42283.  The fee imposed pursuant to Section 42281 shall not be
charged to either of the following:
   (a) A customer participating in the Special Supplemental Food
Program for Women, Infants, and Children (Article 2 (commencing with
Section 123275) of Chapter 1 of Part 2 of Division 106 of the Health
and Safety Code).
   (b) A customer participating in the State Department of Social
Services Food Stamp Program.
   42284.  A store that collects the Bag Pollution Cleanup Fee
pursuant to Section 42281 shall calculate the amount of money
collected and, after deducting the amount specified in subdivision
(c) of Section 42281, shall, in accordance with Section 42288, remit
the remainder to the state board for deposit into the fund.
   42284.5.  A store charging a fee pursuant to Section 42281 shall
use the amount of the fee retained pursuant to subdivision (c) of
Section 42281 for all of the following:
   (a) Reimbursement of the store's costs associated with the
collection and remittance of the fee pursuant to Sections 42281 and
42284.
   (b) The development of in-store educational materials encouraging
the use of reusable bags for distribution to customers.
   (c) The development and implementation of an educational campaign
encouraging the use of reusable bags, including, but not limited to,
public service announcements.
   (d) Reimbursement of the store's costs associated with providing
reusable bags to customers participating in programs described in
subdivisions (a) and (b) of Section 42283.
   (e) Reimbursement of the store's costs associated with providing
reusable bags as donations to community organizations, nonprofit
organizations, and other similar entities.
   (f) Reimbursement of the store's costs associated with the use of
single-use carryout bags.
   42285.  (a) The Bag Pollution Fund is hereby established in the
State Treasury. All fees collected by the state board pursuant to
this chapter shall be deposited in the fund.
   (b) The moneys in the fund shall be expended, upon appropriation
by the Legislature in the annual Budget Act, in the manner and in the
order of priority as follows:
   (1) By the state board, to reimburse the state board's costs of
implementing Section 42288.
   (2) (A) By the board, 50 percent of the moneys in the fund, for
grants to cities and counties, on a per capita basis, for purposes of
programs that encourage and support recycling of single-use carryout
bags and single-use carryout bag pollution prevention and outreach
programs. Except as provided in subparagraphs (B) and (C), the amount
for which each city or county is eligible shall be based on the
total population of the incorporated area of the city or the total
unincorporated area of the county, whichever is applicable.
   (B) If a city or a county prohibits the use of all single-use
carryout bags and no fees are collected pursuant to Section 42281
within that jurisdiction, that city or county shall not be eligible
for grant funds pursuant to this paragraph.
   (C) If a city or a county prohibits the use of plastic single-use
carryout bags, but not all single-use carryout bags, that city or
county shall be eligible for 75 percent of its per capita share of
grant funds pursuant to this paragraph.
   (3) By the agency and the department, the remainder of the moneys
in the fund, for purposes of Section 42287.
   42286.  (a) The Legislature finds and declares that imposing a
single-use carryout bag fee upon a store is a matter of statewide
interest and concern.
   (b) Unless expressly authorized by this chapter, a city, county,
or other public agency shall not adopt, implement, or enforce an
ordinance, resolution, regulation, or rule to impose a single-use
carryout bag fee upon a store that is in compliance with this
chapter.

      Article 3.  Financial Assistance Program


   42287.  (a) The agency and the department shall develop and
implement a financial assistance program to provide financial
assistance for projects that encourage and support recycling of
single-use carryout bags, activities for the cleanup and restoration
of waterways to mitigate the effects of single-use carryout bags, and
pollution prevention and outreach related to single-use carryout
bags. At a minimum, the financial assistance program shall do all of
the following:
   (1) Provide guidelines for providing financial assistance,
including criteria for eligibility and additional consideration.
   (2) Provide criteria for determining the amount of financial
assistance to be awarded.
   (3) Provide technical assistance for preparation of applications
for financial assistance.
   (b) The development and adoption of guidelines and selection
criteria for the financial assistance program shall not be subject to
the requirements of Chapter 3.5 (commencing with Section 11340) of
Part 1 of Division 3 of Title 2 of the Government Code.
   (c) Prior to adopting the guidelines or providing financial
assistance pursuant to subdivision (a), the agency shall hold two
public hearings to consider public comments. One public hearing shall
be conducted at a location in northern California and one public
hearing shall be conducted at a location in southern California. The
agency shall publish draft guidelines on its Internet Web site at
least 30 days before the first public hearing. Upon adoption, the
agency shall transmit copies of the guidelines to the fiscal
committees and the appropriate policy committees of the Legislature.
   (d) Activities and projects financed pursuant to this section
shall be in compliance with the California Environmental Quality Act
(Division 13 (commencing with Section 21000)).
   (e) Not more than 5 percent of the funds allocated to the
financial assistance program may be used to pay the agency's and the
department's costs of administering the program.
   (f) The Secretary of the Resources Agency shall provide for an
independent audit of expenditures pursuant to this chapter every
three years to ensure that all moneys appropriated for purposes of
the financial assistance program are expended in accordance with this
chapter. The Secretary of the Resources Agency shall annually
publish a list of all projects receiving financial assistance
pursuant to this section on the agency's Internet Web site.

      Article 4.  Administration and Enforcement


   42288.  (a) The state board shall administer and collect the Bag
Pollution Cleanup Fee pursuant to the Fee Collection Procedures Law
(Part 30 (commencing with Section 55001) of Division 2 of the Revenue
and Taxation Code).
   (b) The state board may adopt rules and regulations to carry out
this article, including, but not limited to, provisions governing
collections, reporting, refunds, and appeals.
   (c) The Bag Pollution Cleanup Fee shall be due and payable
quarterly on or before the 25th day of the month following each
calendar quarter. Payments shall be accompanied by a form, as
prescribed by the state board, including, but not limited to,
electronic media.
   (d) The state board may require the payment of the fee for other
than quarterly periods.
   42288.5.  Except as otherwise provided by this chapter, the agency
and the department shall administer and enforce this chapter.

      Article 5.  Operative Date


   42289.  This chapter shall become operative on January 1, 2010.
 
  SECTION 1.    The Legislature finds and declares
all of the following:
   (a) On February 17, 2009, all full-power broadcast television
stations in the United States will begin to broadcast only in
digital. For people who already own a digital television or subscribe
to cable, satellite, or other pay service, the transition will have
little or no impact.
   (b) However, more than 13 million United States households rely on
over-the-air broadcast on their analog television sets exclusively.
These people tend to rely heavily on television to keep them informed
in times of emergency and cannot afford to lose their connection to
broadcast television.
   (c) It is the responsibility of the Legislature to ensure that
households that rely solely on over-the-air analog television
broadcast for their television viewing understand that the transition
will occur on February 17, 2009.  
  SEC. 2.    Section 1724 is added to the Civil
Code, to read:
   1724.  (a) For purposes of this section, "retailer" means an
establishment that sells televisions to a consumer.
   (b) Each retailer in the state of California shall post a notice
near the store entrance that is clear, conspicuous, and in legible
type from a distance of 10 feet containing the following information:

(1) Will Your TV Work After February 17, 2009? Prepare for the
digital transition.
(2) Know Your Options.
(A) Buy a converter box that will plug into your analog TV.
(B) Buy a TV with a digital tuner.
(C) Connect your analog TV to cable, satellite, or other pay
service.
(3) For more information call 1-888-DTV-2009 (1-888-388-2009) or
1-877-530-2634 (TTY) or visit www.DTV2009.gov.

    (c) Each retailer shall make available to the consumer upon
request a brochure that at a minimum contains the following
information:

(1) An important change in broadcasting is coming in February 2009.
Television broadcasting is moving from an old standard, known as
"analog," to a new standard, called "digital." After February 17,
2009, all television broadcasts will be digital. After February 17,
2009, all analog televisions getting programming "over the air"
through an antenna will need to be plugged into a special television
converter to receive digital broadcasts. Before you buy a new TV,
consider these options:
(A) Keep your TV and buy a converter. If you have an analog
television, you will need a digital-to-analog converter box to
continue to watch broadcast television on that set. This converter
box will also enable you to see any additional multicast programming
that your local stations are offering.
(B) Buy a digital television.
(C) Hook up your television to cable, satellite, or other pay
television service.
(2) After February 17, 2009, all television broadcasts will be
digital. Prepare for the digital transition. For more information,
call the FCC at 1-888-225-5322 (TTY: 1-888-835-5322) or visit their
DTV Internet Web site at www.dtv.gov.

   (d) This section shall remain in effect only until January 1,
2010, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2010, deletes or extends
that date.