BILL ANALYSIS AB 2138 Page 1 Date of Hearing: April 28, 2010 ASSEMBLY COMMITTEE ON APPROPRIATIONS Felipe Fuentes, Chair AB 2138 (Chesbro) - As Amended: April 14, 2010 Policy Committee: Natural ResourcesVote:6-3 Urgency: No State Mandated Local Program: No Reimbursable: No SUMMARY This bill prohibits a food provider from distributing disposable food packaging (including take-out bags) unless the packaging is compostable or recyclable. Specifically, this bill: 1)Clarifies various definitions, including: a) Compostable Packaging-meets the compostability standard established by the American Society for Testing Materials; distributed with food for in-store consumption; accepted back for composting by the food provider; accepted for composting in a residential collection program available to at least 75% of households in the jurisdiction, as determined by the Department of Resources Recycling and Recover (DRRR); and recovered for composting at a rate of 25% or more. b) Recyclable Packaging-distributed with food for in-store consumption; accepted back for recycling by the food provider; and accepted for recycling in a residential collection program available to at least 75 %of the households in the jurisdiction, as determined by DRRR. 2)Prohibits, from July 1, 2011 to July 1, 2013, a food provider from distributing disposable food service packaging, including bags, to a consumer unless it is either compostable or recyclable, as defined. 3)Prohibits, effective July 1, 2013, a food provider from distributing disposable food service packaging, including bags, to a consumer, unless DRRR determines the disposable AB 2138 Page 2 food service packaging is recovered for composting or recycling at a rate of 25% or more. FISCAL EFFECT Annual costs to DRRR, ranging from $300,00 to $750,000, to conduct additional reviews of areas eligible for exemption from convenience zone recycling requirements; identify jurisdictions with recycling and/or composting; and determine statewide recycling and composting rates for products affected by this bill (Integrated Waste Management Account or other special fund). AB 2138 Page 3 COMMENTS 1)Rationale . The author contends this bill will reduce the amount of waste reaching the state's landfills and the amount of plastic marine debris littering our oceans, both of which are in keeping with established state policy. 2)Background . a) An Ocean Full of Plastic . Numerous studies find the world's oceans are becoming increasingly polluted, the biggest single source of that pollution is mainland runoff, and most of this pollution is plastic. The state has several programs to encourage more responsible management of waste, including programs for recycling, toxic waste disposal, and stormwater management. In addition, state law requires cities and counties to divert 50% of their solid waste from landfills by 2000. However, there is no state agency charged with responsibility and authority for reduction of marine debris, plastic ocean pollution, and its sources. b) Fast Food a Significant Source of Plastic Waste . According to the California Integrated Waste Management Board (CIWMB) 2006 report, Waste Disposal and Diversion Findings for Selected Industry Groups, fast food restaurant waste is comprised of 50% paper, 39% food, and 8% plastic. While these facilities recycle nearly 80% of the paper, they diverted from landfill only 13.5% of food and 0.5% of plastic they produced. 3)Related Legislation. a) AB 1998 (Brownley) , also before this committee, seeks to prohibit supermarkets, pharmacies and convenience stores from distributing disposable plastic or paper bags. The bill passed Assembly Natural Resources on a party-line vote of 6-3. b) AB 68 (Brownley, 2009) and AB 87 (Davis, 2009) both sought to place a 25-cent fee on the distribution of single-use carry-out bags. Both bills were held by this committee. c) AB 2058 (Levine, 2007) would have prohibited the free AB 2138 Page 4 dispensing of carryout plastic bags by a store to its customers, unless the store can demonstrate to the CIWMB that 35% and 70% of the plastic bags it dispensed in 2007 have been diverted from the waste stream by July 1, 2011 and July 1, 2012, respectively. AB 2058 died in Senate Appropriations. d) AB 2449 (Levine) - Chapter 845, Statutes of 2006 requires supermarkets and drug stores to establish plastic bag recycling programs. AB 2449 also pre-empted local governments from enacting fees on plastic bag use. 4)Support . This bill is supported by some conservation groups and the City and County of San Francisco. 5)Opposition. The bill is opposed by numerous industry groups and some businesses involved in making materials affected by this bill. Analysis Prepared by : Jay Dickenson / APPR. / (916) 319-2081