BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 567
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          SENATE THIRD READING
          SB 567 (DeSaulnier)
          As Amended  August 16, 2011
          Majority vote 

           SENATE VOTE  :21-13  
           
           NATURAL RESOURCES   6-3         APPROPRIATIONS      10-5        
           
           ----------------------------------------------------------------- 
          |Ayes:|Chesbro, Brownley,        |Ayes:|Fuentes, Blumenfield,     |
          |     |Dickinson, Hill, Monning, |     |Bradford, Charles         |
          |     |Skinner                   |     |Calderon, Campos, Davis,  |
          |     |                          |     |Dickinson, Hill, Lara,    |
          |     |                          |     |Solorio                   |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Knight, Grove, Halderman  |Nays:|Harkey, Donnelly,         |
          |     |                          |     |Nielsen, Norby, Wagner    |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Requires plastic products sold in the state and 
          labeled as "compostable," "home compostable," or "marine 
          degradable" to meet specified standards.  Prohibits the sale of 
          plastic products labeled as "biodegradable," "degradable," or 
          "decomposable."  Specifically, this bill  :

          1)Prohibits a plastic product from being sold that is labeled 
            "compostable," "home compostable," or "marine biodegradable" 
            unless the plastic product meets certain American Society for 
            Testing Materials (ASTM) standards or the Vincotte OK Compost 
            Home certification.  

          2)Defines "plastic product" as a product made of plastic, alone 
            or in combination with other material.  A plastic product 
            includes, but is not limited to, any of the following:

             a)   A consumer product (i.e., a product or part of a product 
               that is used, bought, or leased for use by a person for any 
               purpose);

             b)   A package or a packaging component;

             c)   A bag, sack, wrap, or other thin plastic sheet film 








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               product; or,

             d)   A food or beverage container or a container component, 
               including, a straw, lid, or utensil.

          3)Prohibits a plastic product from being sold that is labeled 
            with the term "biodegradable," "degradable," or 
            "decomposable," or any form of those terms, or in any way 
            imply that the plastic product will break down, fragment, 
            biodegrade, or decompose in a landfill or other environment.  

          4)Imposes civil liability of $500 for the first violation of 
            these laws, $1,000 for the second violation, and $2,000 for 
            the third and any subsequent violation.

          5)Repeals the existing law referenced below.

           EXISTING LAW  prohibits the sale of plastic bags and plastic food 
          and beverage containers labeled "compostable" or "marine 
          biodegradable" unless the plastic bag meets the ASTM standard 
          specification for those definitions.  Prohibits sale of a 
          plastic bag that is labeled with the term "biodegradable," 
          "degradable," or decomposable," or any form of those terms, or 
          in any way imply that the bag will break down, fragment, 
          biodegrade, or decompose in a landfill or other environment.  
          Imposes civil liability of $500 for the first violation of these 
          laws, $1,000 for the second violation, and $2,000 for the third 
          and any subsequent violation.

           FISCAL EFFECT  :  According to the Assembly Appropriations 
          Committee:

          1)Minor, absorbable ongoing costs to the Department of Resources 
            Recycling and Recovery (DRRR) to review standards.  
            (Integrated Waste Management Fund (IWMF))

          2)Potential minor, absorbable ongoing costs to DRRR to adopt 
            standards and make recommendations to the Legislature.  (IWMF)

          3)Potential ongoing costs to DRRR of an unknown amount, but 
            possibly in the tens of thousands of dollars annually, to 
            enforce and oversee implementation of the bill's provisions. 
            (IWMF) 









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          4)Unknown ongoing General Fund (GF) costs, likely not 
            significant, to the Attorney General (AG) to enforce the 
            provisions of this bill.  (GF)

          5)Unknown ongoing revenue from imposition of civil penalties.  
            (GF)  

          COMMENTS  :  According to the author, under current law, a 
          manufacturer of plastic bags and food and beverage containers 
          cannot claim that their products are "biodegradable" and can 
          only claim their products are "compostable" if they meet the 
          ASTM scientific technical standard for compostability.  
          Currently the only restrictions on end-of-life claims for other 
          plastic products are bags and food and beverage containers.  
          Many plastic products currently sold in the state claim to be 
          biodegradable, though there is no technical standard for this 
          term.  Numerous studies have shown that even compostable plastic 
          that meets existing ASTM standards does not break down in the 
          environment as the label implies.  Some plastic products claim 
          to be "compostable" even though they do not meet the technical 
          standard for compostability, making the material unacceptable in 
          composting facilities. 

          The author notes that claiming that plastic is biodegradable is 
          inherently misleading, because the environmental conditions and 
          timeframe required for the supposed biodegradation are not 
          communicated to consumers.  Most consumers will assume that 
          "biodegradable" means a product will quickly break down if 
          littered, which is not true even for compostable plastics 
          designed to break down in composting facilities.  While a 
          scientific technical standard exists to verify that a product is 
          compostable, there is no such standard to verify if a product is 
          biodegradable.  
           
          This bill will expand the scope of the current labeling 
          restrictions for plastic bags and food packaging in Public 
          Resources Code Sections 42357-42359 to all plastic products.
           
           Misleading product labels damage composting facilities' ability 
          to ensure that their feedstock will break down properly and be 
          available for resale to end users.  This bill would help to 
          ensure that composting facilities receive useable material.  
          Furthermore, many California consumers intentionally purchase 
          products that have a minimal impact on the environment.  This 








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          bill protects such consumers by deterring misleading product 
          labeling.
           
          Federal Law  .  Unfair or deceptive acts or practices in or 
          affecting commerce are illegal under federal law.  15 U.S.C. 
          Section 45 (a)(1).  The Federal Trade Commission (FTC) published 
          guides that help to explain the effect the law has on 
          environmental labeling, advertising, and marketing. These 
          effects include the labeling of products or packages as 
          "degradable," "biodegradable," or "compostable." 
           
           
           Analysis Prepared by  :    Elizabeth MacMillan / NAT. RES. / (916) 
          319-2092


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