BILL ANALYSIS ------------------------------------------------------------ |SENATE RULES COMMITTEE | SB 579| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ UNFINISHED BUSINESS Bill No: SB 579 Author: Lowenthal (D) Amended: 8/20/10 Vote: 21 SENATE VOTES NOT RELEVANT ASSEMBLY FLOOR : 76-1, 8/23/10 - See last page for vote SUBJECT : Used Oil SOURCE : Author DIGEST : As it left the Senate, this bill allowed the South Coast Air Quality Management District to issue permits, notwithstanding the Superior Court decision in Natural Resources Defense Council v. South Coast Air Quality Management District . This bill now makes technical clean-up changes to the California Oil Recycling Enhancement Act. ANALYSIS : Existing law establishes the Department of Resources Recycling and Recovery (DRRR), which administers various recycling and resource programs for the state including but not limited to the recycling of used oil. Existing law establishes the California Oil Recycling Enhancement Act (Act) which authorizes DRRR to award grants to and work with local governments, non-profit entities and private companies in order to develop and advance certain CONTINUED SB 579 Page 2 developments in lubricating oil including but not limited to oil recycling, collection, research, testing, and rerefining. The Act is administered by DRRR and is meant to discourage illegal disposal of used oil. Oil manufacturers are charged a fee on all oil sold in California to fund local curbside oil pickup programs, local collection facilities, and rebates to oil manufacturers among other activities. Comments This bill corrects references to the California Integrated Waste Management Board (CIWMB) within SB 63 (Strickland), Chapter 21, Statutes of 2009 which abolished the CIWMB and transferred all of its duties and responsibilities to DRRR, which was created within the Natural Resources Agency, under the direction of an executive officer appointed by the Governor. SB 546 (Lowenthal), Chapter 353, Statutes of 2009, made broad changes to the Act in order to encourage the best re-use of used oil and reduce air pollution from the use of used oil. These changes and updates included raising the fee paid by lubricating oil manufacturers from 16 cents to 24 cents per gallon, increasing the incentives paid for the proper recycling of used oil, and increasing the testing requirements for used oil transporters, including an annual inspection. The changes to the Act made by SB 546 were also aimed at increasing revenue to the state. Funds associated with the Act provide funding for a variety of purposes including establishment and maintenance of local collection and recycling programs, research and development for oil management, development of low-environmental impact products associated with oil recycling, manufacturing, and rerefining. Also funded are programs aimed at increasing oil efficiency and at the production of biofuels and synthetic oil products. Since the abolishment of the CIWMB, language in the used oil management program needs to be updated to reflect the new administrative structure from the previous board to the current department and to make various technical and clarifying changes to the program. FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes Local: Yes SB 579 Page 3 ASSEMBLY FLOOR : AYES: Adams, Ammiano, Arambula, Bass, Beall, Bill Berryhill, Tom Berryhill, Block, Blumenfield, Bradford, Brownley, Buchanan, Caballero, Charles Calderon, Carter, Chesbro, Conway, Cook, Coto, Davis, De La Torre, De Leon, DeVore, Eng, Evans, Feuer, Fletcher, Fong, Fuentes, Fuller, Gaines, Galgiani, Garrick, Gatto, Gilmore, Hagman, Hall, Harkey, Hayashi, Hernandez, Hill, Huber, Huffman, Jeffries, Jones, Knight, Lieu, Logue, Bonnie Lowenthal, Ma, Mendoza, Miller, Monning, Nava, Nestande, Niello, Nielsen, Norby, V. Manuel Perez, Portantino, Ruskin, Salas, Saldana, Silva, Skinner, Smyth, Solorio, Audra Strickland, Swanson, Torlakson, Torres, Torrico, Tran, Villines, Yamada, John A. Perez NOES: Anderson NO VOTE RECORDED: Furutani, Vacancy, Vacancy DLW:kc 8/24/10 Senate Floor Analyses SUPPORT/OPPOSITION: NONE RECEIVED **** END ****