BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 2355
                                                                  Page  1

          Date of Hearing:   April 28, 2014

                        ASSEMBLY COMMITTEE ON TRANSPORTATION
                               Bonnie Lowenthal, Chair
                    AB 2355 (Levine) - As Amended:  April 1, 2014
           
          SUBJECT  :  Local agencies:  recycled materials

           SUMMARY  :  Encourages local agencies to adopt standards for  
          recycled materials.  Specifically,  this bill  :  

          1)Requires, by January 1, 2017, local agencies with jurisdiction  
            over streets or highways to do either of the following:

             a)   Adopt the California Department of Transportation  
               (Caltrans) standards for recycled paving materials and for  
               recycled base, sub-base, and previous backfill materials;  
               or,

             b)   Discuss why the standards are not being adopted at a  
               regularly scheduled public hearing of the local agency's  
               legislative or other governing body.  

          2)Authorizes local agencies to adopt standards that require even  
            more recycled materials than the Caltrans standards.  

           EXISTING LAW  :  

          1)Requires state agencies to make maximum use of recycled  
            products.  

          2)Requires Caltrans, upon consultation with the Department of  
            Resources Recycling and Recovery, to review and update its bid  
            standards related to the purchase of recycled paving materials  
            and recycled base, sub-base, and previous backfill materials.   


          3)Defines "recycled materials" to include, but not be limited  
            to, recycled asphalt, crushed concrete sub-base, foundry slag,  
            ash, glass, glassy aggregates, and paving materials utilizing  
            crumb rubber from automobile tires.  

          4)Requires that the standards provide for the use of recycled  
            materials and prohibits them from reducing the quality of  
            standards for highway and road construction.  








                                                                  AB 2355
                                                                  Page  2


          5)Allows Caltrans to establish standards for the use of up to,  
            and possibly in excess of, 40% reclaimed asphalt pavement for  
            hot asphalt mixes on or before January 1, 2014, and requires  
            Caltrans to report to the Legislature regarding the progress  
            toward developing and implementing the standards on or before  
            March 1, 2016.  

           FISCAL EFFECT  :   This bill has been identified as imposing a  
          state-mandated local program for which the state could be liable  
          for costs to implement.  

           COMMENTS  :  According to the California Integrated Waste  
          Management Board, recycling asphalt pavement can save money for  
          local governments and other purchasers, create additional  
          business opportunities, save energy when recycling is done on  
          site, conserve diminishing resources of aggregates and petroleum  
          products, and help local governments meet the state's waste  
          diversion goals.  Furthermore, the use of recycled aggregates  
          reduces demands for virgin aggregates and, therefore, minimizes  
          the environmental impacts of aggregate mining.  

          According to the Federal Highway Administration, "The same  
          materials used to build the original highway system can be  
          reused to repair, reconstruct, and maintain it.  Where  
          appropriate, recycling of aggregates and other highway  
          construction materials makes sound economic, environmental, and  
          engineering sense.  The economic benefits from the reuse of  
          nonrenewable highway materials can provide a great boost to the  
          highway industry.  Recycling highway construction materials can  
          be a cost-saving measure, freeing funds for additional highway  
          construction, rehabilitation, preservation, or maintenance."  

          Caltrans has policies and procedures in place to promote the use  
          of recycled material whenever and wherever it is cost-effective  
          to do so.  Caltrans' standards enable contractors to use up to  
          100% recycled aggregate in road base, up to 25% reclaimed  
          asphalt pavement in asphalt pavement, and recycled aggregates in  
          concrete, provided they meet performance standards.  Since  
          recycled materials generally are less costly, contractors have a  
          strong incentive to use as much recycled material possible.  

          Many California cities and counties already use Caltrans's  
          recycled materials standards, although some more rural counties  
          have not adopted the standards because recycled materials are  








                                                                  AB 2355
                                                                  Page  3

          not readily available.  In addition, despite the many benefits  
          of using recycled materials, they are not always the best  
          material for specific projects where material characteristics  
          must be tightly controlled.  

          By encouraging local agencies to adopt Caltrans recycled  
          materials standards related to recycled materials and, where  
          appropriate, allow them to opt not to adopt the standards, this  
          bill provides flexibility for local agencies to decide upon  
          standards that work best for them after a public hearing.  

          The author's intent in introducing AB 2355 is to get more cities  
          and counties using more recycled road materials in road  
          construction.  The author believes that if cities and counties  
          have to formally consider adopting Caltrans recycled materials  
          standards or not, the discussion itself will necessarily include  
          the benefits of using recycled material, and thus, the bill will  
          lead to a greater use of recycled materials.  

          Supporters of this bill explain that when cities and counties  
          use standards other than Caltrans general standards, their costs  
          increase because they have to stop production and restart with  
          an entirely different mix.  Increasing the number of agencies  
          that use identical standards will lower production costs for the  
          supplier.  

           Previous legislation:   
           
           AB 812 (Ma), Chapter 230, Statutes of 2012, allows Caltrans to  
          establish standards for the use of 40% reclaimed asphalt  
          pavement (RAP) for hot asphalt mixes on or before January 1,  
          2014, and requires Caltrans to report to the Legislature  
          regarding the progress toward developing and implementing the  
          standards on or before March 1, 2016.  

          AB 484 (Nava) of 2007 would have prohibited Caltrans and its  
          contractors from dumping recyclable materials in landfills.   
          That bill was vetoed by then Governor Schwarzenegger on the  
          grounds that the bill was duplicative.  

          AB 735 (Wiggins) of 2007 would have required Caltrans and its  
          contractors to track information regarding the use of recycled  
          and virgin materials used for sub-base, base, and lean concrete  
          base.  That bill was vetoed by then Governor Schwarzenegger  
          based on cost implications.  








                                                                  AB 2355
                                                                  Page  4


          AB 574 (Wolk), Chapter 693, Statutes 2005, defined recycled  
          concrete and exempted Caltrans and DGS from purchasing recycled  
          concrete unless it is specifically requested and approved by  
          Caltrans or DGS.  

          SB 403 (Machado) of 2001 would have authorized the use of  
          recycled concrete, as defined, if the end user had been fully  
          informed that the concrete was recycled concrete.  That bill was  
          vetoed by then Governor Davis on the grounds that the bill would  
          have circumvented the process by which standards for  
          construction and building materials are appropriately developed  
          and that it would pose a substantial risk to public safety.  

           Double-referred:   The bill was heard in the Local Government  
          Committee were it was approved 9-0.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Argent Materials
          California Asphalt Pavement Association
          California Chapter of American Fence Association 
          California Construction and Industrial Materials Association
          California Construction Trucking Association
          California Fence Contractors' Association 
          California Municipal Utilities Association
          California Resource Recovery Association
          Californians Against Waste
          Canyon Rock Co., Inc.
          Cemex Construction Materials Pacific LLC.
          Chandler's Sand and Gravel, LLC
          Flasher Barricade Association 
          George Reed Inc. General Engineering Contractor
          Granite Construction Incorporated
          Granite Rock Company
          Hanson
          Lehigh Hanson
          Livingston's Concrete Service, Inc.
          Marin Builders Association 
          Marin County Hazardous and Solid Waste Management Joint Powers  
          Authority
          P.W. Gillibrand Co. Inc. Specialty Aggregates
          Specialty Minerals Inc.








                                                                  AB 2355
                                                                  Page  5

          Teichert Materials
          Union Roofing Contractors Association
          Vulcan Materials

          Opposition 
           
          None on file
           

          Analysis Prepared by  :   Janet Dawson / TRANS. / (916) 319-2093