BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 346
                                                                  Page  1

          Date of Hearing:   August 4, 2010

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                    SB 346 (Kehoe) - As Amended:  August 2, 2010  

          Policy Committee:                              Environmental  
          Safety and Toxic Materials                    Vote: 6-3

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              No

           SUMMARY  

          As amended, this bill bans the sale of brake pads containing  
          copper and other toxic materials.  (Summary continued below.)  

           FISCAL EFFECT  

          1)One-time costs to DTSC of approximately $200,000 during  
            2010-11 and 2011-12 for manufacturer outreach and education,  
            including development of website materials. (Hazardous Waste  
            Control Account (HWCA))

          2)One-time costs to DTSC of approximately $200,000 during  
            2010-11 and 2011-12 to develop certification and marking  
            criteria.  (HWCA)

          3)One-time cost to DTSC of approximately $100,000 during 2011-12  
            to initially certify third-party certifiers of brake pads.  
            (HWCA)

          4)Minor annual costs to DTSC in the tens of thousands of dollars  
            beginning in 2013-14 to accept filings by manufacturers of  
            brake pad certification, covered fully by filing fee.  (HWCA)

          5)Annual costs to DTSC of approximately $250,000 beginning in  
            2020-21 to accept and review requests for extension and  
            exemption withdrawal, fully covered by request fees.  (HWCA or  
            Brake Friction Materials Water Pollution Fund (BFMWPF))   

          6)Annual costs to DTSC ranging from $250,000 to $500,000  
            beginning in 2013-14 to enforce bans, including inspections of  
            brake manufacturers and third-party certifiers and laboratory  








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            analysis of brake pads.  (HWCA or BFMWPF)

          7)Minor annual costs to the Secretary for Environmental  
            Protection in the tens of dollars beginning in 2020-21 to  
            review extension and exemption requests.  (GF)

          8)Minor, absorbable annual costs to ARB and DTSC beginning in  
            2020-21 to consult with DTSC on extension and exemption  
            requests.

           SUMMARY (continued)

           Specifically, this bill:

          1)Bans, effective January 1, 2014, sale of brake pads containing  
            the following materials beyond minimal amounts: cadmium,  
            chromium (VI)-salts; lead, mercury and asbestiform fibers and,  
            effective January 1, 2025, sale of brake pads containing more  
            than 0.5% copper, with exception, until December 31, 2023, for  
            the depletion of existing inventories.

          2)Bans, effective January 1, 2021, sale of brake pads containing  
            more than 5% copper and, effective January 1, 2025, sale of  
            brake pads containing more than 0.5% copper.

          3)Exempts from these bans brakes used in certain motor vehicle  
            classes and brake systems, including military vehicles,  
            motorcycles and fully contained brake systems.

          4)Allows a brake pad manufacturer, effective January 1, 2021, to  
            apply to DTSC for a three-year extension of the 2025 ban and  
            for additional two-year extensions until January 1, 2030.   
            Heavy-duty brake pad manufacturers only will be able to apply  
            for two-year extensions beyond January 1, 2032.  

          5)Allows any person, effective January 1, 2021, to file a  
            request with DTSC to withdraw an exemption from brake pad  
            bans.

          6)Directs the secretary to grant or deny extension and exemption  
            withdraw requests. 

          7)Establishes a committee to publicly advise the secretary on  
            whether to grant copper ban extension requests and to withdraw  
            exemptions to the bill's bans.  








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          8)Requires DTSC to develop certification and marking criteria.

          9)Requires brake pad manufacturers to receive third-party  
            certification that their brake pads meet the bans described  
            above and to mark their brake pads with proof of  
            certification.

          10)Requires a manufacturer to file a copy of the certification  
            with DTSC and authorizes DTSC to charge a filing fee.

          11)Establishes fees, set and collected by DTSC, on applicants  
            for copper ban extensions, for withdrawal of exemptions from  
            the bill's bans, and for filing certifications.   

          12)Calls on DTSC to enforce bans and authorizes a $10,000 civil  
            fine for violation of the bans, to be placed in the BFMWPF.
           
          COMMENTS  

          1)Rationale  .  The author contends nearly eliminating copper from  
            brake pads is the most practical and effective way to reduce  
            the amount of copper entering the state's bodies of water,  
            which will be necessary to meet the requirements of the  
            Federal Clean Water Act.

           2)Background  .  

              a)   Brake Pads Contain Copper, Which is Toxic and  
               Accumulates in the Water  .  Automotive brake pads contain  
               copper.  The metal improves brake performance and extends  
               brake life.  Unfortunately, copper is toxic.  
             
                Studies have shown that brake pads are a major source of  
               waterborne copper.  Every time a driver brakes, dust-like  
               fragments of copper are shed onto the impervious road  
               surface.  Rain and wind carry this toxic copper dust into  
               the state's waterways.  Once there, it destroys certain  
               types of algae-a critical food source for marine life.  It  
               also interferes with salmon's ability to smell, making them  
               more susceptible to predators.  

              b)   Too Much Copper in the Water  .  In response to Federal  
               Clean Water Act lawsuits filed by environmental groups, the  
               regional water quality control boards in Los Angeles and  








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               San Diego imposed Total Maximum Daily Loads (TMDLs) that  
               severely limit the amount of copper entering waterways.   
               Municipalities subject to those TMDL must comply with them  
               by 2028.  Other regional water boards are expected to soon  
               issue similar TMDLs for copper in other regions of the  
               state.

           3)Related Legislation  .  Responding to concerns about copper  
            contamination of water, the State of Washington enacted  
            legislation earlier this year to limit the copper content of  
            brake pads.  The Washington bill requires, by January 1, 2015,  
            brake pads sold as replacement parts contain less than 5%  
            copper, by weight.  The bill further requires, by January 1,  
            2020, new vehicles brake pads have less than 5% copper.  The  
            law allows the state to limit the copper content of brake pads  
            to no greater than 0.5% if such limits are feasible.  

          4)Supporters  , including numerous local governments and  
            environmental groups, contend limiting the copper content of  
            brake pads represents the most effective and practical way to  
            reduce the amount of copper entering the state's bodies of  
            water.

           5)Opponents  include many industry groups, who support the need  
            to reduce the copper content of brake pads but who nonetheless  
            claim the bill provides unrealistic timeframes and inflexible  
            requirements that fail to consider the business needs of  
            research, development, safety and consumer expectations.  It  
            is not clear whether the latest amendments to the bill remove  
            industry opposition.

           Analysis Prepared by  :    Jay Dickenson / APPR. / (916) 319-2081