BILL NUMBER: AB 2398 AMENDED
BILL TEXT
AMENDED IN SENATE JUNE 23, 2010
AMENDED IN ASSEMBLY MAY 28, 2010
AMENDED IN ASSEMBLY APRIL 14, 2010
INTRODUCED BY Assembly Member John A. Perez
FEBRUARY 19, 2010
An act to amend Section 12209 of the Public Contract Code, and to
add Chapter 20 (commencing with Section 42970) to Part 3 of Division
30 of the Public Resources Code, relating to recycling.
LEGISLATIVE COUNSEL'S DIGEST
AB 2398, as amended, John A. Perez. Product stewardship: carpet:
public procurement.
(1) The California Integrated Waste Management Act of 1989,
administered by the Department of Resources Recycling and Recovery,
is required to reduce, recycle, and reuse solid waste generated in
the state to the maximum extent feasible in an efficient
cost-effective manner to conserve water, energy, and other natural
resources.
The bill would require, by September 30, 2011, a manufacturer of
carpets sold in this state, individually or through a carpet
stewardship organization, to submit a carpet stewardship plan to the
department, which would be required to include specified elements,
including a funding mechanism that provides sufficient funding to
carry out the plan, including administrative, operational, and
capital costs of the plan. The department would be required to, among
other things, within 60 days after the department receives a plan,
review and determine whether the plan is complete and notify the
submitter of its determination. The bill would specify that any
plan not determined to be complete by March 31, 2012, is out of
compliance until determined to be complete by the department.
The bill would prohibit a manufacturer, wholesaler, or retailer,
on and after April 1, 2012, from selling a carpet unless the plan for
that carpet is in compliance with the act's requirements. The act
would also require the carpet stewardship organization to
meet specified targets in order to be in compliance.
Each manufacturer of carpet sold in the state, individually or
through a carpet stewardship organization, would be required to
prepare and submit to the department an annual report describing the
activities carried out pursuant to the carpet stewardship plan.
A manufacturer or carpet stewardship organization submitting a
carpet stewardship plan would be required to pay the department an
annual administrative fee when submitting the plan for review and
approval, as determined by the department. The bill would provide for
the imposition of administrative civil penalties upon a person who
sells carpet in violation of the bill.
(2) Existing law provides various procedures and requirements
pertaining to the purchase of recycled items by the state, including,
among other things, recycled paper products, plastic products, metal
products, and paint.
This bill would additionally provide requirements for the purchase
of carpet.
Vote: majority. Appropriation: no. Fiscal committee: 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) Discarded carpet is one of the 10 most prevalent waste
materials in California landfills, equaling 3.2 percent of waste by
volume disposed of in California in 2008. Because carpet is heavy and
bulky, it imposes a significant solid waste management cost on local
governments.
(b) In 2002 the carpet industry entered into a carpet memorandum
of understanding (MOU) with the State of California to achieve a goal
of diverting from landfills 40 percent of discarded carpet and
recycling 20 percent of discarded carpet by 2012. Since 2002,
however, the carpet recycling rate has never reached 5 percent and in
2008, the most recent year for which data are available, the state's
carpet recycling rate was 4.3 percent.
(c) As part of its fulfillment of the state's obligations under
the carpet MOU, the former Integrated Waste Management Board made
loans to various carpet recycling businesses in the state. Those
loans are now at risk, and employment in the carpet recycling sector
has dropped in recent years due to the continuing low carpet
recycling rate.
(d) Numerous products can be manufactured from recycled carpets,
including carpet, carpet underlayment, automobile parts, picnic
tables, park benches, and erosion control products.
(e) It is in the interest of the state to work with the carpet
industry to take additional steps to increase the collection and
recycling of discarded carpet into new products in order to reduce
the environmental and economic impacts of carpet as a waste material
and to create and sustain jobs in the state's carpet recycling
industry.
SEC. 2. Section 12209 of the Public Contract Code is amended to
read:
12209. For purposes of this article, the following minimum
content requirements apply:
(a) Recycled paper products shall consist of at least 30 percent,
by fiber weight, postconsumer fiber.
(b) (1) Recycled printing and writing paper shall consist of at
least 30 percent, by fiber weight, postconsumer fiber.
(2) Printed newspapers that meet the requirements of Chapter 15
(commencing with Section 42750) of Part 3 of Division 30 of the
Public Resources Code shall be considered in compliance with the
requirements of this section.
(c) For recycled compost, cocompost, and mulch, at least 80
percent of the product shall consist of materials, including, but not
limited to, the materials listed in subdivision (c) of Section
12207, that would otherwise be normally disposed of in landfills.
(d) For recycled glass, the total weight shall consist of at least
10 percent postconsumer material.
(e) Rerefined lubricating oil shall have a base oil content
consisting of at least 70 percent rerefined oil.
(f) (1) For recycled plastic products, other than printer or
duplication cartridges, the total weight shall consist of at least 10
percent postconsumer material.
(2) Recycled printer or duplication cartridges shall comply with
either the requirements set forth in subdivision (e) of Section 12156
or the general requirement for recycled plastic products set forth
in paragraph (1).
(g) Recycled paint shall have a recycled content consisting of at
least 50 percent postconsumer paint. Preconsumer or secondary paint
does not qualify as "recycled paint" pursuant to this subdivision. If
paint containing 50 percent postconsumer content is unavailable, or
is restricted by a local air quality management district, a state
agency may substitute paint with at least 10 percent postconsumer
content.
(h) Recycled antifreeze fluid shall have a recycled content of at
least 70 percent postconsumer materials.
(i) Retreaded tires shall use an existing casing that has
undergone an approved or accepted recapping or retreading process, in
accordance with Chapter 7 (commencing with Section 42400) of Part 3
of Division 30 of the Public Resources Code.
(j) For tire-derived products, the total content shall consist of
at least 50 percent recycled used tires.
(k) For recycled metal products, the total weight shall consist of
at least 10 percent postconsumer material.
(l) For reused or refurbished products, there is no minimum
content requirement.
(m) For recycled carpet, the total weight, including both fiber
and backing, shall consist of at least 25 percent postconsumer
carpet.
SEC. 3. Chapter 20 (commencing with Section 42970) is added to
Part 3 of Division 30 of the Public Resources Code, to read:
CHAPTER 20. PRODUCT STEWARDSHIP FOR CARPETS
42970. The purpose of the carpet stewardship program established
pursuant to this chapter is to require carpet manufacturers to
develop and implement a program to increase the diversion of
postconsumer carpet from landfills, increase the recyclability of
carpets, and promote the recycling of postconsumer carpet into
materials that are used to manufacture new products.
42970. The purpose of this chapter is to increase the recycling
of postconsumer carpet into secondary products that can compete
successfully in the market by increasing the diversion of
postconsumer carpet from landfills, increasing the recyclability of
carpets, and incentivizing the growth of secondary products made from
postconsumer carpet.
42971. For purposes of this chapter, and unless the context
otherwise requires, the definitions in this section govern the
construction of this chapter:
(a) "Brand" means a name, symbol, word, or mark that identifies
the carpet, rather than its components, and attributes the carpet to
the owner or licensee of the brand as the manufacturer.
(b) (1) "Carpet" means a manufactured article that is used in
commercial or residential buildings affixed or placed on the floor or
building walking surface as a decorative or functional building
interior feature and that is primarily constructed of a top visible
surface of synthetic face fibers or yarns or tufts attached to a
backing system derived from synthetic or natural materials.
(2) "Carpet" includes, but is not limited to, a commercial or a
residential broadloom carpet or modular carpet tiles.
(3) "Carpet" does not include a rug, pad, cushion, or underlayment
used in conjunction with, or separately from, a carpet.
(c) "Carpet stewardship organization" or "organization" means
either of the following:
(1) An organization appointed by one or more manufacturers to act
as an agent on behalf of the manufacturer to design, submit, and
administer a carpet stewardship plan pursuant to this chapter.
(2) A carpet manufacturer that complies with this chapter as an
individual manufacturer.
(d) "Carpet stewardship plan" or "plan" means a plan written by an
individual manufacturer or a carpet stewardship organization, on
behalf of one or more manufacturers, that includes all of the
information required by Section 42972.
(e) "Consumer" means a purchaser or owner of carpet, including a
person, business, corporation, limited partnership, nonprofit
organization, or governmental entity.
(e)
(f) "Department" means the Department of Resources
Recycling and Recovery.
(f)
(g) "Manufacturer" shall be determined
means , with regard to a carpet that is sold,
offered for sale, or distributed in the state, as meaning
one any of the following:
(1) The person who manufactures the carpet and who sells, offers
for sale, or distributes that carpet in the state under that person's
own name or brand.
(2) If there is no person who sells, offers for sale, or
distributes the carpet in the state under the person's own name or
brand, the manufacturer of the carpet is the owner or licensee of a
trademark or brand under which the carpet is sold or distributed in
the state, whether or not the trademark is registered.
(3) If there is no person who is a manufacturer of the carpet for
the purpose of paragraphs (1) and (2), the manufacturer of that
carpet is the person who imports the carpet into the state for sale
or distribution.
(h) "Postconsumer carpet" means carpet that is no longer used for
its manufactured purpose.
(g)
(i) "Program" means the system for the collection,
transportation, recycling, and disposal of carpets pursuant to a
completed carpet stewardship plan that is financed and managed or
provided by an individual manufacturer or collectively by one or more
manufacturers.
(j) "Recycling" means the process, consistent with Section 40180,
of converting postconsmer carpet into a useful product that meets the
quality standards necessary to be used in the marketplace.
(h)
(k) "Retailer" means a person who offers new carpet in
a retail sale, as defined in Section 6007 of the Revenue and Taxation
Code, including a retail sale at retail through
any means, including remote offerings such as sales outlets,
catalogs, or an Internet Web site or other similar electronic
means .
(i)
(l) "Sell" or "sales" means a transfer of title of a
carpet for consideration, including a remote sale conducted through a
sale sales outlet, catalog, or
Internet Web site or similar electronic means, but does not include a
lease.
(j)
(m) "Wholesaler" means a person who offers new
carpets carpet for sale in this state in a sale
that is not a retail sale, as defined in Section 6007 of the Revenue
and Taxation Code, and in which the carpet is intended to be resold.
42972. (a) On
(a) Carpet stewardship plans
prepared pursuant to this section shall achieve the purpose of the
act as described in Section 42970.
(b) On or before
September 30, 2011, a manufacturer of carpets sold in this state
shall, individually or through a carpet stewardship organization,
submit a carpet stewardship plan to the department that will do all
of the following:
(1) Develop and implement a program, including measurable goals
established by the stewardship organization, that will
increase the diversion of postconsumer carpet from landfills,
increase the recyclability of carpets, and promote the recycling of
postconsumer carpet into materials that are used to manufacture new
products. meet the purpose of the act as described in
subdivision (a).
(2) Meet the requirements of Section 42975.
(3) Include a funding mechanism, consistent with subdivision
(b) (c) , that provides sufficient
funding to carry out the program as described in the plan
, including the administrative, operational, and capital costs of
the plan.
(4) Include education and outreach efforts to consumers,
carpet installation contractors, and retailers , and
waste haulers to promote the segregated collection
and recycling of postconsumer carpet. their
participation in achieving the purpose of the carpet stewardship
program as described in subdivision (a). Education and outreach
materials may include, but are not limited to, the following:
(A) Signage that is prominently displayed and easily visible to
the consumer.
(B) Written materials and templates of materials for reproduction
by retailers to be provided to consumers at the time of purchase or
delivery or both.
(C) Written materials or templates of materials for reproduction
by retailers to be provided to carpet installation contractors.
(b)
(c) (1) The funding mechanism required pursuant to
paragraph (3) of subdivision (a) (b)
shall provide for an a carpet stewardship
assessment per unit of carpet sold by manufacturers
in the state, as determined in the plan, to be paid by each member of
the carpet stewardship organization in an amount that cumulatively
will adequately fund the program. The assessment shall be remitted to
the carpet stewardship organization to be used
and shall only be used by the organization to carry out
the program.
(2) The amount of the assessment and the anticipated revenues from
the assessment shall be specified in the plan and shall be approved
by the department as part of the plan. The assessment shall be
sufficient to meet, but not exceed, the anticipated cost of carrying
out the plan. Revenue from the assessment shall not be used
competitively by the organization or an individual manufactu
rer.
42973. Within 60 days after the department receives a plan
submitted pursuant to Section 42972, it shall review the plan,
determine whether it is complete, and notify the submitter of its
determination. If the department notifies the submitter that the plan
is not complete, the submitter shall revise and resubmit the plan
within 60 days after receiving the notification. Any plan not
determined to be complete by March 31, 2012, shall be out of
compliance with this chapter and subject to Section 42974 until the
plan is determined by the department to be complete.
42974. On (a) The
department shall enforce this chapter.
(b) On and after April 1, 2012, a
manufacturer, wholesaler, or retailer shall not offer a carpet for
sale in this state or offer a carpet for promotional purposes in this
state unless a plan submitted by an organization that includes the
manufacturer of that carpet is in compliance with this chapter.
(c) In order to enforce this chapter, the department shall, among
other activities, review the annual report prepared pursuant to
Section 42976 and within 90 days of receipt shall determine whether
the submitter of the plan is in compliance with the requirements of
the act.
42975. (a) In order to achieve compliance with this chapter, a
carpet stewardship organization shall demonstrate to the department
that the following targets have been met:
(1) The amount of postconsumer carpet recycled in the state shall
equal or exceed 25 percent by January 1, 2017.
(2) The amount of postconsumer carpet recycled in the state shall
equal or exceed 50 percent by January 1, 2022.
(b) The percentage of carpet that has been recycled shall be
calculated by a method adopted by the department after consulting
with carpet stewardship organizations and taking into account the
information provided to the department pursuant to Section 42976.
(c) If more than one organization submits a carpet stewardship
plan pursuant to this chapter, the department shall use information
submitted by the organization in its annual report pursuant to
Section 42976 to determine the recycling rate attributable to each
organization and shall determine compliance with this chapter
accordingly.
42976. On or before July 1, 2013, and each year thereafter, a
manufacturer of carpet sold in the state shall, individually or
through a carpet stewardship organization, submit to the department a
report describing its activities since the previous report.
The to achieve the purpose of the act as described in
Section 42970. At a minimum, the report shall include all of
the following:
(a) The total amount volume of
carpet sold and postconsumer carpet collected, by volume and
by square yards and weight, in the state during
the reporting period.
(b) The total amount volume of
postconsumer carpet recycled, by volume and
weight, in the state during the reporting period.
(c) The total volume of postconsumer carpet recovered but not
recycled, by weight, and its ultimate disposition.
(c)
(d) The total cost of implementing the carpet
stewardship program and other elements of the carpet stewardship
plan.
(d)
(e) An evaluation of the effectiveness of the program,
its funding mechanism, and other elements of the plan and anticipated
steps, if needed, to improve performance.
(f) Examples of educational materials that were provided to
consumers during the reporting period.
42977. (a) The carpet stewardship organization submitting a
carpet stewardship plan shall pay the department an annual
administrative fee. The department shall set the fee at an amount
that, when paid by every carpet stewardship organization that submits
a carpet stewardship plan, is adequate to cover the department's
full costs of administering and enforcing this chapter. The
department may establish a variable fee based on relevant factors,
including, but not limited to, the portion of carpets sold in the
state by members of the organization compared to the total amount of
carpet sold in the state by all organizations submitting a carpet
stewardship plan.
(b) The total amount of annual fees collected pursuant to this
section shall not exceed the amount necessary to recover costs
incurred by the department in connection with the administration and
enforcement of the requirements of this chapter.
42978. (a) A civil penalty up to the following amounts may be
administratively imposed by the department on any person who sells or
offers for sale a carpet that has been prohibited from sale pursuant
to Section 42974:
(1) One thousand dollars ($1,000) per violation.
(2) Ten thousand dollars ($10,000) per violation if the violation
is intentional, knowing, or negligent.
(b) Any penalties collected by the department shall be used to
offset the cost of administering and enforcing this chapter.
42979. This article chapter does
not limit, supersede, duplicate, or otherwise conflict with the
authority of the Department of Toxic Substances Control under Section
25257.1 of the Health and Safety Code to fully implement Article 14
(commencing with Section 25251) of Chapter 6.5 of Division 20 of the
Health and Safety Code, including the authority of the department to
include a carpet in its product registry.
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