BILL ANALYSIS                                                                                                                                                                                                    






                             SENATE JUDICIARY COMMITTEE
                           Senator Ellen M. Corbett, Chair
                              2009-2010 Regular Session


          SB 757
          Senator Pavley
          As Introduced
          Hearing Date: April 28, 2009
          Health and Safety Code
          BCP:jd
                    

                                        SUBJECT
                                           
                                 Lead Wheel Weights

                                      DESCRIPTION 

          This bill would prohibit the manufacture, sale, or installation  
          in California of wheel weights that contain more than 0.1  
          percent lead.  

          This bill would provide that any person who violates that  
          prohibition shall be liable for an administrative or civil  
          penalty, as specified, and may be enjoined by a court.


                                      BACKGROUND  

          Wheel weights are commonly used on cars and trucks in order to  
          keep the wheels balanced.  If a wheel is unbalanced, it may  
          vibrate, cause difficulty in handling, and increase tire wear.   
          The weights, historically made mostly of lead (typically around  
          95percent), are commonly lost on city streets as a result of  
          wheels striking curbs, potholes, or other sharp impacts.  The  
          weights often fall onto roadways, are abraded by traffic, and  
          result in lead dust that spreads into the surrounding  
          environment.

          A report by the Center for Environmental Health (CEH) (a  
          cosponsor of the bill) entitled "Clean Highways and Water! An  
          End to Lead Wheel Balancing Weights in California" states that  
          CEH has "just finalized legal agreements with the three largest  
          wheel weight manufacturers and now with Chrysler."  Those  
          agreements generally call for parties to cease shipping lead  
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          weights into California by (at the latest) December 31, 2009,  
          and were part of a settlement of a Proposition 65 enforcement  
          action.  (Proposition 65, the Safe Drinking Water and Toxic  
          Enforcement Act of 1986, seeks to protect California citizens  
          and the State's drinking water sources from chemicals known to  
          cause cancer, birth defects or other reproductive harm, and to  
          inform citizens about exposures to such chemicals.)

          Accordingly, this bill seeks to codify that settlement by  
          prohibiting the manufacture, sale, or installation of wheel  
          weights that contain more than 0.1percent lead, and providing  
          injunctive relief as well as civil and administrative penalties  
          for non-compliance.  

          This bill was approved by the Senate Committee on Environmental  
          Quality on April 20, 2009.

                                CHANGES TO EXISTING LAW
           
           Existing law  authorizes the Department of Toxic Substances  
          Control (DTSC) to administer various programs to control the  
          release of toxic substances into the soil and groundwater.

           Existing law  prohibits the manufacturing, shipping, selling,  
          offering for sale, or offering for promotional purposes, of  
          jewelry, children's jewelry, and body piercing jewelry, as  
          defined, unless the jewelry is made entirely from specified  
          materials.  Those provisions include restrictions on the amount  
          of lead that may be present in certain jewelry materials.  
          (Health & Saf. Code Sec. 25214.1, et seq.) 

           Existing law  provides that persons who violate the above  
          prohibition are subject to civil penalties, as specified, and  
          require the court to consider various factors in assessing the  
          amount of civil penalties.  (Health & Saf. Code Sec. 25214.3.)

           This bill  would provide that no person shall manufacture or sell  
          at either the wholesale or retail level in California any wheel  
          weight that contains more than 0.1 percent lead by weight.  This  
          bill would additionally provide that no person engaged in the  
          business of selling or installing wheel weights shall sell or  
          install any wheel weight in California that contains more than  
          0.1 percent lead by weight.

           This bill  would provide that any person who violates or  
          threatens to violate the provisions of this bill may be enjoined  
                                                                      



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          by a court; and that, notwithstanding any other law, a person  
          shall not be subject to criminal penalties and shall only be  
          subject to administrative or civil penalties, as specified.

           This bill  would provide that a person who violates the above  
          prohibitions shall be liable for an administrative or civil  
          penalty up to $2,000 per day for each violation.  That penalty  
          may be assessed or recovered in an administrative or civil  
          action, as specified.

           This bill  would provide that in assessing the amount of an  
          administrative or civil penalty for a violation of the above  
          provisions, the presiding officer or court shall consider: (1)  
          the nature and extent of the violation; (2) the number and  
          severity of the violations; (3) the economic effect of the  
          penalty on the violator; (4) whether the violator took good  
          faith measures to comply; (5) the willfulness of the misconduct;  
          (6) the deterrent effect of the penalty; and (7) other factors  
          that justice may require.
           This bill  would provide that penalties collected pursuant to  
          this bill shall be deposited in the Hazardous Waste Control  
          Account for expenditure by DTSC.
           
                                       COMMENT
           
          1.   Stated need for the bill  

          According to the author,

            In August 2008, Chrysler, Perfect Equipment, Inc., Hennessy  
            Industries and Plombco Inc., which are all the lead wheel  
            weight manufacturers in California, agreed to phase-out lead  
            wheel weights in California by the end of 2009 as a result  
            of a settlement of a Proposition 65 enforcement lawsuit.   
            The agreement marks the first-ever legally binding statewide  
            rule phasing out lead wheel weights in the United States.   
            SB 757 seeks to codify this settlement.  SB 757 would  
            promote the use of non-toxic alternative metals for wheel  
            weights and prohibit the sale and installation of lead wheel  
            weights in California after December 31, 2009.

            There is strong precedent in California for banning lead  
            from many consumer products.  Much research has demonstrated  
            the toxicity of lead and the legislature has responded by  
            banning lead in a number of ways, including in plumbing  
            fixtures, jewelry, candy, packaging, glass beverage bottles,  
                                                                      



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            toys, and tableware.  Lead is known to be a highly toxic  
            metal and California has already taken great steps to  
            eliminate the use of lead in many consumer products.

            Moreover, aside from the public health reasons, banning lead  
            in wheel weights is a viable option for industry.  Already  
            all of California's wheel weight manufacturers are phasing  
            out lead wheel weights and are instead producing wheel  
            weights with safer metals, such as steel.  Many other  
            companies, such as General Motors, Ford, Chrysler, Toyota,  
            Costco, Bridgestone Firestone, and Wal-Mart are also joining  
            the current voluntary effort.  SB 757 would simply codify  
            existing practice and would further ensure that lead does  
            not make its way back into wheel weights in the state. 

          2.   Administrative penalty, civil penalty, and injunctive relief

           Pursuant to this bill, violators of the proposed prohibition on  
          manufacture, sale, or installation of lead wheel weights  
          containing more than 0.1 percent lead may be enjoined, or be  
          subject to an administrative or civil penalty, as specified.   
          Those penalties are substantially similar to those under  
          existing law for violations of prohibitions relating to lead  
          jewelry. (See Health & Saf. Code Sec. 25214.3.)

          Specifically, this bill would provide that any person who  
          violates or threatens to violate the bill's prohibition may be  
          enjoined.  Violators of the bill's prohibition would also be  
          liable for an administrative or civil penalty not to exceed  
          $2,500 per day for each violation.  In assessing that penalty,  
          the presiding officer or court is required to consider various  
          factors, including the nature and extent of the violation,  
          number and severity of the violation, whether good faith  
          measures were taken to comply, and the willfulness of the  
          misconduct.  Those factors are identical to the considerations  
          required under Section 25214.3 of the Health and Safety Code.

          3.    This bill seeks to codify a settlement  

          The author notes that SB 757 seeks to codify a settlement in a  
          recent case against lead wheel weight manufacturers under  
          Proposition 65.   The Los Angeles Times' August 21, 2008 article  
          entitled "Lead wheel weights to be phased out in California by  
          end of 2009" reported:

            The settlement ends a lawsuit filed in May by the  
                                                                      



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            Oakland-based Center for Environmental Health against  
            Chrysler and the three largest makers of lead wheel weights  
            for the U.S. market.  Some observers see the settlement as a  
            first step toward a broader ban on the products.

            In its suit, the group contended that wheel weights falling  
            off vehicles release 500,000 pounds of lead each year into  
            the environment in California.  Lost wheel weights are  
            ground down by passing vehicles and the lead can find its  
            way into drinking water supplies, according to the U.S.  
            Geological Survey. They also end up in landfills, where the  
            lead can leach into groundwater. . . .

            Under the settlement, approved by Alameda County Superior  
            Court Judge Barbara Miller, Chrysler will end the use of  
            factory-installed lead wheel weights in vehicles sold in  
            California by July 31, 2009.  In addition, wheel-weight  
            producer Plombco Inc. of Canada will end shipments of lead  
            wheel weights to California by the end of this year.   
            Producers Perfect Equipment Inc. and Hennessey Industries,  
            both based in LaVergne, Tenn., will stop shipments to  
            California by the end of 2009.

          Consistent with the above article, the sponsors note that as  
          this bill codifies a settlement, it would not interfere with any  
          pending litigation.

          4.    Author's amendments  

          The following technical, clarifying amendment was agreed to in  
          the Senate Committee on Environmental Quality but is to be taken  
          in this Committee due to procedural timing requirements:

            On page 2, strike out lines 3 through 8, inclusive, and  
            insert:

            25215.6.   No person shall manufacture, sell, or install any  
            wheel weight in California that contains more than 0.1 percent  
            lead by weight
           Support:   Perfect Equipment Inc.; Consumers Union

           Opposition  :  None Known

                                        HISTORY
           
           Source  :  Center for Environmental Health; Clean Water Action
                                                                      



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           Related Pending Legislation  :  None Known

          Prior Legislation  :

          AB 1681 (Pavely, Chapter 415, Statutes of 2006), prohibited the  
          manufacture, shipping, sale, or offering for sale of jewelry,  
          children's jewelry, or jewelry used in body piercing that is not  
          made entirely from certain specified materials.

          AB 2901 (Brownley, Chapter 575, Statutes of 2008), authorized  
          DTSC to take specified measures to enforce compliance with  
          existing prohibitions on lead in jewelry and on packaging  
          containing regulated metals, as specified.

           Prior Vote  : Senate Committee on Environmental Quality (Ayes 5,  
          Noes 2)

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