BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 456
                                                                  Page  1

          Date of Hearing:   July 3, 2007

                            ASSEMBLY COMMITTEE ON HEALTH
                                Mervyn Dymally, Chair
                    SB 456 (Simitian) - As Amended:  April 9, 2007

           SENATE VOTE :   22-18
           
           SUBJECT:   Diacetyl.

           SUMMARY  :  Prohibits the manufacturing, processing, or  
          distributing in commerce a product containing diacetyl.   
          Specifically  this bill  : 

          1)Prohibits, on and after June 1, 2008, a person from  
            manufacturing, processing, or distributing in commerce a  
            product containing diacetyl.

          2)Exempts naturally-occurring diacetyl from the prohibition.

          3)Authorizes the director of the Office of Environmental Health  
            Hazards Assessment (OEHHA), with the concurrence of the  
            Secretary of the California Environmental Protection Agency  
            (Cal/EPA), to grant a temporary waiver from the prohibition of  
            two years with a renewal period of two additional years.  
            States that a waiver may be granted if:

             a)   The manufacturer submits a petition requesting a  
               deferral of the prohibition; and,
             b)   The director of OEHHA makes a written finding that: 
               i)     The prohibition would cause substantial economic  
                 hardship to users of diacetyl;
               ii)          There is no feasible alternative to diacetyl;  
                 and; 
               iii)         There would be appropriate mitigation to the  
                 greatest extent practicable.

          4)Makes related findings and declarations.

           EXISTING LAW  :

          1)Authorizes, under the federal Toxic Substances Control Act of  
            1976 (TSCA), the U.S. Environmental Protection Agency (EPA) to  
            regulate the manufacture, use, distribution in commerce, and  
            disposal of chemical substances produced or imported into the  








                                                                  SB 456
                                                                  Page  2

            U.S.

          2)Authorizes, under the U.S. Federal Food, Drug, and Cosmetic  
            Act, the Food and Drug Administration (FDA) to oversee the  
            safety of food, drugs, and cosmetics. 

          3)Creates, under the federal Occupational Safety and Health  
            (OSH) Act of 1970, the Occupational Safety and Health  
            Administration (OSHA) to "assure safe and healthful working  
            conditions for working men and women," and authorizes states  
            to create their own safety and health programs as long as  
            those programs are at least as effective as the federal  
            program.  

          4)Establishes and requires, under the California Labor Code, the  
            California Occupational Safety and Health Administration  
            Standards Board (Cal/OSHA) to adopt occupational safety and  
            health standards that are at least as effective as federal  
            standards promulgated under the Occupational Safety and Health  
            Act of 1970.

          5)Prohibits under the California Hazardous Substances Act, the  
            manufacture, production, preparation, compounding, packing,  
            selling, offering for sale, or keeping for sale within the  
            State of California of a misbranded hazardous substance or  
            banned hazardous substance.

           FISCAL EFFECT  :   According to the Senate Appropriations  
          Committee, costs associated with deferral reviews and approvals  
          would be about $175,000 annually for up to four years.  Actual  
          costs to OEHHA will depend on how many petitions are filed. 

           COMMENTS  :   

           1)PURPOSE OF THIS BILL  .  According to the author, this bill will  
            protect Californians from exposure to a known toxic chemical.   
            Exposure to diacetyl vapors has been associated with  
            constrictive bronchiolitis obliterans (also called "popcorn  
            worker lung"), a severe and potentially fatal lung disease  
            that causes inflammation and scarring in the small airways of  
            the lungs which leads to severe impairment of lung function.   
            Most cases do not respond to medical treatment and can only be  
            cured by lung transplant.  The author states that although  
            efforts to establish safe exposure levels are ongoing, no safe  
            exposure level has been determined by either state or federal  








                                                                  SB 456
                                                                  Page  3

            governmental entities by which mitigation measures can be  
            developed and implemented.  Thus to prevent further harm, the  
            author believes that diacetyl should be banned.

           2)BACKGROUND  .  Diacetyl is an artificial flavoring that is mixed  
            with other ingredients to produce a butter-like flavor in food  
            products.  It is an additive in hundreds of food products such  
            as microwave popcorn, pancake syrup, cakes, candies, and  
            frozen foods.  Diacetyl can also be produced as a byproduct of  
            many natural processes and is present in coffee, wine, beer,  
            and other such products.  However, ingestion of naturally  
            occurring diacetyl has not been proven to be a health threat.   
             

           3)DIACETYL STUDIES  .  In 2000, the National Institute for  
            Occupational Safety and Health (NIOSH) did a study  
            investigating the occurrence of fixed obstructive lung disease  
            in workers at six microwave popcorn plants and through rat  
            experiments.  Rats developed similar airway damage with  
            inhalation of vapors of pure diacetyl.  These findings  
            implicated butter-flavoring chemicals as a likely etiologic  
            agent for obstructive lung disease in workers. In 2002, a New  
            England Journal of Medicine study of 117 popcorn factory  
            workers concluded that overall workers had 3.3 times the  
            expected rate of an airway obstruction; those who had never  
            smoked had 10.8 times the expected rate.  To date there has  
            been no research done on the potential risk to consumers.   
            However, US/EPA is currently conducting an inhalation study  
            that was due to be published in the fall of 2006, but has yet  
            to be released.

           4)LITIGATION  .  More than 200 lawsuits have been filed nationwide  
            in the past four years by workers with obstructive lung  
            disease.  Four of five cases that have gone to trial were won  
            by plaintiffs, with awards ranging from $2.7 million to $20  
            million.

          5)CALIFORNIA WORKERS  .  Since 2004, eight workers in California  
            between the ages of 29 and 49 years old throughout California  
            have been identified and diagnosed with bronchiolitis  
            obliterans.  These workers all live in Southern California,  
            where the majority of flavor manufacturing plants are located.  
             Of the six for which smoking history is known, none have ever  
            been smokers.  Only one of the workers was known to have had  
            asthma as a child.  The Department of Public Health (DPH) is  








                                                                  SB 456
                                                                  Page  4

            currently conducting tests on employees at the 30 known  
            California manufacturers of diacetyl.  On March 21, 2007, DPH  
            stated that it has identified 22 new cases of potential  
            respiratory illnesses.

           6)CAL/OSHA  .  Cal/OSHA has formed an advisory committee to make  
            recommendations to the board on potential actions regarding  
            diacetyl.  At its March 21, 2007 meeting, the  advisory  
            committee circulated draft regulations that contained proposed  
            mitigation measures, but did not propose the adoption of a  
            Permissible Exposure Level (PEL).  At the same meeting, a  
            draft standard for discussion by the interested stakeholders  
            was circulated.  

           7)SUPPORT  .  Supporters contend that, with no known PEL for  
            diacetyl, the Legislature should ban acetyl, especially since  
            alternative flavorings that release less volatile chemicals  
            are available.  In fact, supporters report that some flavoring  
            manufacturers have already stopped using diacetyl.  Supporters  
            also argue that while opponents of this measure may argue that  
            the regulatory process should be allowed to run its course,  
            immediate legislative action is necessary to ensure that  
            additional workers do not fall to this debilitating and  
            sometimes deadly disease.

           8)OPPOSITION  .  Opponents state that while there is currently a  
            link between exposure to diacetyl and workplace exposure,  
            there is no evidence that diacetyl is a health concern for  
            consumers and the ban proposed in this bill is over broad.   
            They also argue that the concentration of most  
            diacetyl-containing flavors used by the food industry is quite  
            low-frequently below 1% in the flavoring mix, which is in  
            contrast to the 30% to 40% diacetyl content of butter  
            flavoring for some microwave popcorn.  Opponents also point to  
            the Cal/OSHA advisory committee that brings in members of  
            organized labor, affected industries, state agencies and other  
            concerned parties to examine the issues surrounding  
            occupational exposures.  Most opponents believe that the  
            advisory committee process should be allowed the opportunity  
            to develop guidelines and/or regulations on the use of  
            diacetyl in the workplace before the Legislature acts.

           9)RELATED LEGISLATION  .  AB 514 (Lieber) requires the Standards  
            Board, no later than January 30, 2008, to adopt a standard to  
            prohibit the use of diacetyl in the workplace by January 1,  








                                                                  SB 456
                                                                  Page  5

            2010.  AB 515 (Lieber), among other things, requires the board  
            to adopt standards, by specified, deadlines, establishing a  
            PEL for workplace hazardous substances.  AB 514 and AB 515 are  
            currently before the Senate Labor and Industrial Relations  
            Committee.

           10)   DOUBLE REFERRAL  .  This bill was previously heard in  
            Assembly Environmental Safety and Toxic Materials Committee,  
            and was approved on a 5-2 vote. 
           
          REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          American Federation of State, County, and Municipal Employees
          Breast Cancer Fund
          California Interfaith Partnership for Children's Health and the  
          Environment
          California Labor Federation, AFL-CIO
          California League of Conservation Voters
          California Teamsters Public Affairs Council
          Center for Environmental Health
          Commonweal
          Environment California
          Sierra Club California
          United Food and Commercial Workers' Union
          Worksafe
           
            Opposition 
           
          California Chamber of Commerce
          California Grocers Association
          California Manufacturers and Technology Association
          California Restaurant Association
          California Retailers Association
          Department of Finance
          Grocery Manufacturers/ Food Products Association


           Analysis Prepared by  :    John Gilman / HEALTH / (916) 319-2097