Amended in Senate April 1, 2013

Senate Bill No. 245

Introduced by Senator Correa

(Principal coauthor: Senator Calderon)

February 12, 2013

An act begin insert to add Chapter 6 (commencing with Section 48800) to Part 7 of Division 30 of the Public Resources Code, end insert relating to recycling.

LEGISLATIVE COUNSEL’S DIGEST

SB 245, as amended, Correa. Recycling: mattresses.

Existing law requires a retailer of various specified products, such as rechargeable batteries and cell phones, sold in the state to have in place a system for the acceptance and collection of those products for reuse, recycling, or proper disposal.

This bill would begin delete declare the intention of the Legislature to enact subsequent legislation to establish a program for the management of used mattresses, with specified components end delete begin insert enact the “Used Mattress Recycling Act” and would define terms for purposes of the act end insert .

begin insert

The bill would require a qualified industry association, or a successor organization, to establish a mattress recycling organization by November 1, 2014, and would require each manufacturer and retailer to register with the mattress recycling organization by February 1, 2015. The bill would prohibit a manufacturer or a retailer from taking specified actions with regard to selling or distributing a mattress in the state after that date, unless the manufacturer or retailer is in compliance with the act, as specified.

end insert begin insert

The bill would require the organization, by July 1, 2015, to develop a state plan for recycling used mattresses that includes specified goals and elements and to submit the plan to the Department of Resources Recycling and Recovery. The bill would require the department to review the plan for consistency and to notify the organization of any inconsistences within 90 days after submittal of the plan. The bill would provide that if the department does not find any inconsistencies, the plan would be deemed approved by the department. The bill would require the organization to implement the approved plan by November 1, 2015.

end insert begin insert

The bill would require the organization to annually prepare and approve a proposed plan budget for the next calendar year and to submit the approved budget to the department. The department would be required to review the budget, as specified.

end insert begin insert

The department would be required to notify the organization of the department’s direct costs in implementing the act and the organization would be required to reimburse the department for those costs. The bill would require the department to deposit these amounts submitted by the organization into the Used Mattress Recycling Account, which the bill would establish in the Integrated Waste Management Fund. The bill would require the department to expend the moneys in the account, upon appropriation by the Legislature, to administer and enforce the act.

end insert begin insert

The bill would require the organization to annually set the amount of a state mattress recycling charge that would be added to the purchase price of a mattress, and would require a manufacturer, retailer, wholesaler, distributor, or other party that sells a mattress to add the charge to the purchase price for the mattress. This bill would constitute a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIII A of the California Constitution, and thus would require for passage the approval of 2⁄3 of the membership of each house of the Legislature.

end insert begin insert

The bill would specify procedures for the collection and disbursement of the charge by the organization. The bill would require the organization to be subject to an annual audit and to annually publish, and make publically available on its Internet Web site, a report regarding the implementation of the plan. The organization would be required to submit the annual report to the department, for review, as specified.

end insert begin insert

The bill would require the organization to post information regarding compliance with the act on its Internet Web site and would require a retailer that distributes or sells a mattress to monitor the organization’s Internet Web site.

end insert begin insert

The department would be authorized to impose an administrative civil penalty on a manufacturer or retailer who sells a mattress in violation of the act. The department would be required to deposit these penalties into the Mattress Recovery and Recycling Penalty Account, which the bill would create in the Integrated Waste Management Fund. The department would be authorized to expend the moneys in that account, upon appropriation by the Legislature, to implement the act.

end insert begin insert

The department would be required to annually review the organization’s compliance with the act and notify the organization, as specified. The department would also be required to periodically, but not less than once every 3 months, determine whether a federal statute has been enacted that requires a national used mattress recycling plan. If the department determines that this federal statute has been enacted, the department would be required to post this information on its Internet Web site and submit a notice to the Secretary of State and the Office of the Legislative Counsel and the act would become inoperative 30 days after the date that the department issues that notice.

end insert

Vote:  begin delete majority end delete begin insert ²⁄₃ end insert . Appropriation: no. Fiscal committee:  begin delete no end delete begin insert yes end insert . State-mandated local program: no.

The people of the State of California do enact as follows:

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Chapter 6 (commencing with Section 48800) is
added to Part 7 of Division 30 of the end insert begin insert Public Resources Code end insert begin insert , to
read: end insert

begin insert

 

Chapter   begin insert 6. end insert Used Mattress Recycling Act

 

Article begin insert 1. end insert   Findings and Declarations

 

begin insert 48800. end insert   

The Legislature finds and declares all of the following:

(a) At the end of their useful life, most mattresses and
foundations or box-springs are either discarded in landfills or are
renovated by companies, some of whom sell them to unsuspecting
consumers in an unhygienic, unsafe, or dishonest manner. Some
used mattresses are illegally dumped.

(b) Used mattresses contain materials or components that have
commercial value if reclaimed from the waste stream.

(c) Recycling used mattress materials and components can also
benefit the environment by conserving scarce resources, by
reducing the air and water pollution and greenhouse gases that
otherwise would be generated in producing new products from
virgin materials, and by conserving landfill capacity.

(d) The cost of collecting, dismantling, and reclaiming materials
or components from used mattresses in most cases exceeds the
recycling revenue generated from selling the reclaimed materials
and components.

(e) California encourages policies that divert recyclable
products and materials from the state’s landfills and that result
in those products and materials being recycled or used in a
commercially reasonable manner.

(f) California would benefit from a plan that would allow the
mattress industry to fund, develop, and publicize a program to
establish and sustain a network of facilities that will recycle used
mattress components and create recycling employment
opportunities.

(g) It is also critical that the plan minimize the expenditure of
resources and funds for the state government’s oversight
responsibilities.

(h) To increase recycling, reduce public agency costs for the
end-of-life management of used mattresses, and reduce illegal
dumping, the Used Mattress Recycling Act is hereby established
by this chapter to develop, finance, and implement a convenient
and cost-effective program to collect and recycle used mattresses
generated in this state.

begin insert 48801. end insert   

This chapter shall be known, and may be cited, as the
Used Mattress Recycling Act.

 

Article begin insert 2. end insert   Definitions

 

begin insert 48802. end insert   

For the purposes of this chapter, the following terms
have the following meanings:

(a) (1) “Consumer” means an owner of a mattress, including
a person, business, corporation, limited partnership, nonprofit
organization, or governmental entity, and including the ultimate
purchaser, owner, or lessee of a mattress.

(2) “Consumer” does not include a government organization
or other party that obtains one or more used mattresses in the
course of collecting used mattresses for recycling for purposes of
this chapter, or through the ordinary collection and handling of
municipal solid waste.

(b) “Distributor” means a company that has a contractual
relationship with one or more manufacturers to market and sell
mattresses to retailers.

(c) “Foundation” means a ticking covered structure used to
support a mattress or sleep surface. The structure may include
constructed frames, foam, box springs, or other materials, used
alone or in combination.

(d) “Importer” means a party qualifying as an “importer of
record” for purposes of Section 1484(a)(2)(B) of Title 19 of the
United States Code, with regard to the import of a finished mattress
sold in the state that was manufactured or assembled by a company
outside the United States.

(e) “Industry” means a person who manufactures mattresses
sold in the state.

(f) “Manufacturer” means a person that manufactures,
assembles, or imports a finished new mattress in this state that is
then sold, offered for sale, or distributed in the state.

(g) (1) “Mattress” means a resilient material or combination
of materials that is enclosed by a ticking, used alone or in
combination with other products, and that is intended for or
promoted for sleeping upon.

(2) “Mattress” includes a foundation and a renovated mattress
or renovated foundation.

(3) “Mattress” does not include any of the following:

(A) An unattached mattress pad or unattached mattress topper,
including items with resilient filling, with or without ticking,
intended to be used with or on top of a mattress.

(B) A sleeping bag or pillow.

(C) A car bed, crib, or bassinet mattress.

(D) A carriage, basket, dressing table, stroller, playpen, infant
carrier, lounge pad, or crib bumper.

(E) A product containing liquid and gaseous filled ticking,
including any water bed and air mattress that does not contain
upholstery material between the ticking and the mattress core.

(F) Upholstered furniture that does not otherwise contain a
detachable mattress.

(G) Juvenile product pads, including car bed pads, carriage
pads, basket pads, infant carrier and lounge pads, dressing table
pads, stroller pads, crib bumpers, and playpen pads.

(h) “Mattress recycling organization” or “organization” means
an organization exempt from tax under Section 501(c)(3) or Section
501(c)(6) of the Internal Revenue Code of 1986, that is established
by a qualified industry association, and that is composed of
manufacturers and retailers, to develop, implement, and administer
the mattress recycling program established by this chapter.

(i) “Plan” means the plan for recycling used mattresses that is
developed by the organization pursuant to Section 48804.

(j) “Program” or “used mattress recycling program” means
the program implemented by the mattress recycling organization
pursuant to an approved plan.

(k) “Qualified industry organization” means the International
Sleep Products Association, a successor of that organization, or
a group of mattress manufacturers that collectively represent at
least 35 percent of the volume of mattresses manufactured in the
United States.

(l) (1) “Recycle” or “recycling” has the same meaning as
defined in Section 40180.

(2) “Recycle” does not include the renovation or the reuse of
materials obtained from a used mattress in a renovated mattress,
except in the form of clean recycled material.

(m) “Recycling charge” or “charge” means the charge collected
by the organization to fund the recycling of used mattresses.

(n) “Renovate” or “renovation” means altering a used mattress
for the purpose of resale and includes any one, or a combination
of the following:

(1) Replacing the mattress ticking or filling.

(2) Adding additional filling.

(3) Rebuilding a used mattress.

(4) Replacing components with new or postconsumer materials,
unless the material is a clean recycled material, consists of used
electronic parts or controls, or is a used mattress base that is not
covered by ticking.

(o) (1) “Renovated mattress” means a mattress that has
undergone renovation for the purpose of resale.

(2) “Renovated mattress” does not include either of the
following:

(A) A product renovated by a person who intends to retain the
renovated mattress for the person’s own use.

(B) A product renovated by a renovator hired by the person
who intends to take back the renovated mattress for the person’s
own use.

(p) “Retailer” means a person who sells mattresses in the state
or offers to a consumer a mattress in the state through any means,
including, but not limited to, by remote offering, including sales
outlets or catalogs, electronically through the Internet, by
telephone, or through the mail.

(q) “Sale” or “sell” means the transfer of title of a mattress
for consideration, including by a manufacturer, a distributer, or
a retailer, for eventual consumption to a consumer in the state,
regardless of whether the mattress was made in or imported into
the state, including remote sales conducted through sales outlets,
catalogs or the Internet or through any other similar electronic
means. For purpose of this chapter, a long-term lease of not less
than 12 months is the same as a sale.

(r) “State mattress recycling charge” or “charge” means the
charge imposed upon the sale of a new mattress pursuant to Article
5 (commencing with Section 48810).

(s) (1) “Ticking” means the outermost layer of fabric or related
material of a mattress.

(2) “Ticking” does not include another layer of fabric or related
material that is quilted together with, or otherwise attached to,
the outermost layer of fabric or related material.

(t) “Used mattress” means a mattress that has been discarded
by a consumer.

 

Article begin insert 3. end insert   Mattress Recycling Plan

 

begin insert 48803. end insert   

(a) On or before November 1, 2014, a qualified industry
association or a successor organization shall establish a mattress
recycling organization, which shall be composed of manufacturers
and retailers, to develop, implement, and administer the mattress
recycling program established by this chapter.

(b) On or before February 1, 2015, each manufacturer and
retailer shall register with the mattress recycling organization, at
no charge to the manufacturer or retailer.

(c) On and after February 1, 2015, a retailer shall not sell,
distribute, or offer for sale a mattress in the state unless the retailer
is in compliance with this chapter and the manufacturer of the
mattress sold by the retailer is listed in compliance with this
chapter, as specified in Section 48820.

(d) On and after February 1, 2015, a manufacturer shall not
manufacture, assemble, or import a finished new mattress in this
state, or sell or distribute a mattress to a distributor or retailer,
unless the manufacturer is in compliance with this chapter.

begin insert 48804. end insert   

On or before July 1, 2015, the mattress recycling
organization shall develop and submit to the department a plan
for recycling used mattresses in the state in an economically
efficient and practical manner that includes all of the following
goals and elements:

(a) Methods to increase the number of used mattresses diverted
from landfills, reduce the number of illegally dumped used
mattresses, and increase the quantity of used materials recovered
through this process and recycled for other uses.

(b) The establishment and administration of a means for funding
the plan in a manner that distributes the organization’s costs
uniformly over all mattresses sold in the state and that includes
the charge set and collected pursuant to Article 5 (commencing
with Section 48810).

(c) The establishment of a financial incentive to encourage
parties to collect for recycling used mattresses discarded or
illegally dumped in the state.

(d) The publishing of an annual report for each calendar year
of operation, as specified in Section 48816.

(e) Conducting research, as needed, related to improving the
efficiency of used mattress collection, dismantling, and recycling
operations, including pilot programs to test new processes,
methods, or equipment on a local, regional, or otherwise limited
basis.

(f) Establishing the mattress recycling baseline amount in the
state as of July 1, 2016, and setting goals to increase the recycling
of used mattresses, as economically and programmatically
practical. The goals may be revised by the organization based on
the information collected for the annual report.

(g) Coordinating activities with existing used product collecting
and recycling plans operating in the state, or elsewhere, for
discarded mattresses or other products, and other relevant parties
as appropriate, to provide efficient delivery of services and avoid
unnecessary duplication of effort and expense.

(h) Providing outreach efforts and education to consumers,
manufacturers and retailers, for the purpose of promoting the
recycling of used mattresses. This element shall include providing
information to retailers that the organization determines will
promote implementation of its plan, including, but not limited to,
both of the following:

(1) Written materials to be provided to the consumer with the
mattress. These written materials shall include information on the
proper disposal of used mattresses by consumers.

(2) Advertising or other promotional materials, or both, that
includes references to mattress recycling opportunities.

(i) The promotion of consumer and public education about safety
and other issues associated with the use of renovated mattresses.

(j) Entering into contracts or agreements that are necessary
and proper for the organization to carry out these duties consistent
with the terms of this chapter, including, as the organization
considers necessary, contracts with agencies of the federal, state,
or political subdivisions of a state government to assist in the
collection of charges and the enforcement of this chapter.

(k) Annually evaluating the performance of the plan, taking into
consideration technical and economic feasibilities, in achieving
continuous, meaningful improvement in the rate of used mattress
recycling in the state.

begin insert 48805. end insert   

(a) The departments shall review the plan submitted
pursuant to Section 48804 for consistency with this chapter and
shall notify the organization of any inconsistences within 90 days
after submittal of the plan.

(b) If the department does not find any inconsistencies regarding
the plan, the plan shall be deemed approved by the department.

begin insert 48806. end insert   

On or before November 1, 2015, the mattress recycling
organization shall implement the approved plan.

 

Article begin insert 4. end insert   Budget

 

begin insert 48806.5. end insert   

On or before July 1, 2015, and on or before July 1
annually thereafter, the organization shall prepare a proposed
plan budget for the next calendar year that includes all of the
following:

(a) Proposed recycling goals and other goals for the next
calendar year.

(b) Anticipated costs of implementing the program, including
related programs, projects, contracts and administrative expenses.

(c) A recommended funding level sufficient to cover the
program’s costs and to operate the program over a multiyear
period in a prudent and responsible manner.

begin insert 48807. end insert   

(a) On or before October 1, 2015, and on or before
October 1 annually thereafter, the organization shall approve a
final plan budget.

(b) The organization shall submit the final plan budget to the
department.

(c) Within 90 days after receiving the final plan budget, the
department shall review that budget for consistency with this
chapter and notify the organization of any inconsistencies.

(d) If the department does not find any inconsistencies regarding
the plan budget, that budget shall be deemed approved by the
department.

begin insert 48808. end insert   

(a) The department shall notify the organization of the
department’s direct costs in implementing this chapter relating to
the organization’s activities pursuant to this chapter.

(b) Once every three months, the organization shall reimburse
the department for all direct costs the department incurs relating
to the organization’s activities pursuant to this chapter.

(c) The department shall deposit all moneys submitted by the
organization pursuant to this section into the Used Mattress
Recycling Account, which is hereby established in the Integrated
Waste Management Fund. Upon appropriation by the Legislature,
moneys in the account shall be expended by the department to
administer and enforce this chapter. The funds collected pursuant
to this section shall not be expended for any other purpose.

 

Article begin insert 5. end insert   State Mattress Recycling Charge

 

begin insert 48810. end insert   

(a) The organization shall annually set the amount of
the state mattress recycling charge that shall be added to the
purchase price of a mattress.

(b) The amount of the state mattress recycling charge shall be
sufficient to fund the revenue requirements set forth in an approved
budget determined pursuant to Section 48807.

(c) The organization may increase or decrease the charge more
frequently than annually if it determines that an increase or
decrease in the amount of the charge is needed to avoid funding
shortfalls or excesses. Any change in the charges shall be
announced 90 days before taking effect. The organization shall
inform the department of any changes in the amount of the charge.

begin insert 48811. end insert   

(a) Each manufacturer, retailer, distributor, or other
party that sells a mattress to a consumer or to the ultimate end
user of the mattress in the state shall add the charge determined
pursuant to Section 48810 to the purchase price of the mattress,
and shall remit the charge collected to the organization.

(b) In each transaction described in subdivision (a), the charge
shall be clearly visible on the invoice or functionally equivalent
billing document provided by the seller to the buyer as a separate
line item and shall be accompanied by a brief description of the
charge as the state mattress recycling charge.

(c) The organization may establish alternative or additional
means for collecting or remitting the charge if the other means
are practicable and do not compromise the objectives of this
chapter.

(d) The organization shall develop reimbursement criteria to
enable retailers to recover the administrative costs associated with
collecting the charge.

(e) The organization shall determine the rules and procedures
that are necessary and proper to implement the collection of the
charge in a fair, efficient, and lawful manner.

(f) (1) The organization may conduct an audit of those parties
that are required to remit the charge to the organization to verify
that the charges paid are proper and accurate, and to ensure all
parties required by this chapter to pay or collect the charge are
paying or collecting the proper amount.

(2) An audit conducted pursuant to this subdivision shall be
carried out in accordance with generally accepted auditing
practices and shall be limited in scope to confirming whether the
charge has been properly collected on all sales of mattresses to
consumers in the state.

(3) The audit shall be structured and conducted in a manner
that will minimize the cost and disruption to the party being
audited.

(4) For purposes of conducting audits pursuant to this section,
the organization shall hire independent third-party auditors that
will respect the confidential proprietary nature of commercial and
transactional information obtained in the course of the audit, and
that will not disclose the data to retailers, manufacturers, or other
parties that do not have a specific need for access to that
information.

begin insert 48812. end insert   

(a) The organization shall deposit the charges and
other sums collected by the organization pursuant to this chapter
in accounts that are maintained by the organization and are
disbursed only by the organization.

(b) A charge imposed pursuant to this section shall not be
subject to any sales tax, excise tax, and value added tax, income
tax, gross receipts tax, use tax, or any other type of tax, levy, duty,
or assessment imposed by the state or a political subdivision of
the state.

(c) Until the organization disburses the charges and other money
collected pursuant to this chapter, the organization may invest
those funds only in obligations of the United States or any agency
thereof, in an interest-bearing account or certificate of deposit of
a bank that is a member of the Federal Reserve System, or in an
obligation fully guaranteed as to principal and interest by the
United States.

(d) The organization may enter into a joint venture or
agreements and contracts with third parties, including, but not
limited to, corporations, partnerships, nonprofit entities, and
government agencies, to undertake activities on the organization’s
behalf that are consistent with this chapter.

(e) The organization may issue bonds, obtain loans, and obtain
other forms of debt financing, if the proceeds from those
transactions are used for purposes consistent with this chapter.

 

Article begin insert 6. end insert   Records, Audits, and Annual Report

 

begin insert 48815. end insert   

(a) The organization shall keep minutes, books, and
records that clearly reflect the activities and transactions of the
organization.

(b) The books of the organization shall be audited at the
organization’s expense by a certified public accountant retained
by the organization at least once each calendar year.

(c) The organization shall arrange for the audit to be delivered
to the department. The department shall review the audit for
consistency with the plan created pursuant to this chapter and
shall notify the organization of any inconsistencies. The
organization may also obtain copies of the audit upon request.
The audit of the organization shall not disclose confidential
proprietary information.

begin insert 48816. end insert   

Not less than once each calendar year, the organization
shall publish, and make publically available on its Internet Web
site, a report that describes for the preceding calendar year all of
the following:

(a) The organization’s costs and revenues,

(b) The quantity of mattresses disposed of in solid waste
landfills, which shall be provided by the department to interested
parties.

(c) The quantity of discarded used mattresses collected for
recycling in the program.

(d) The quantity of used mattresses collected for recycling from
different categories of sources.

(e) The quantity of each category of materials recycled.

(f) The uses for the recycled materials.

(g) The quantity of otherwise disposed of materials.

begin insert 48817. end insert   

The organization shall submit the annual report
published pursuant to Section 48816 to the department. The
department shall review the annual report for consistency with
Section 48816 and shall notify the organization of any
inconsistencies.

 

Article begin insert 7. end insert   Enforcement

 

begin insert 48820. end insert   

(a) On February 1, 2015, and, commencing with the
2016 calendar year, on or before July 1 annually thereafter, the
organization shall post on its Internet Web site a list of
manufacturers and retailers who are in compliance with this
chapter.

(b) A manufacturer or retailer that is not listed on the
organization’s Internet Web site pursuant to this section, but
demonstrates to the satisfaction of the organization that it is in
compliance with this chapter before the next notice is required to
be posted pursuant to this section, may request a certification letter
from the organization stating that the manufacturer or retailer is
in compliance. The manufacturer or retailer that receives that
letter shall be deemed to be in compliance with this chapter.

(c) A retailer that distributes or sells a mattress shall monitor
the organization’s Internet Web site to determine if a manufacturer
is in compliance with this chapter. A retailer otherwise in
compliance with this chapter shall be deemed in compliance with
this chapter if, on the date the retailer ordered or purchased a
mattress, or within 30 calendar days before or after that date, the
manufacturer was listed as covered or compliant on the
organization’s Internet Web site.

(d) A retailer may exhaust existing stock in its inventory through
sales to the public if the existing stock was purchased when the
manufacturer was in compliance with the requirements of this
chapter at the time of the existing stock’s initial purchase.

(e) A manufacturer that distributes or sells a mattress to a
retailer for resale in the state shall monitor the organization’s
Internet Web site to determine if the retailer is in compliance with
this chapter. A manufacturer otherwise in compliance with this
chapter shall be deemed in compliance with this chapter if, on the
date the retailer ordered or purchased a mattress, or within 30
calendar days before or after that date, the retailer was listed as
covered or compliant on the organization’s Internet Web site.

(f) If the organization determines that a manufacturer or retailer
is not in compliance with this chapter, it shall remove the name
of the manufacturer or retailer from the organization’s Internet
Web site pursuant to this section and the manufacturer or retailer
shall not sell a mattresses in the state until the organization
determines that the manufacturer or retailer is in compliance with
this chapter, except that a retailer may exhaust its existing stock
in its inventory consistent with the requirements of subdivision
(d).

begin insert 48821. end insert   

(a) The department may impose an administrative civil
penalty on a manufacturer or retailer who sells a mattress in
violation of this chapter. The amount of the civil penalty shall not
exceed five hundred dollars ($500) per mattress sold in violation
of this chapter.

(b) The department shall deposit all penalties collected pursuant
to this section into the Mattress Recovery and Recycling Penalty
Account, which is hereby created in the Integrated Waste
Management Fund. Upon appropriation by the Legislature, moneys
deposited into the Mattress Recovery and Recycling Penalty
Account may be expended by the department to enforce this
chapter.

begin insert 48822. end insert   

The department shall annually review the organization’s
compliance with this chapter, based on the results of the report
and an annual audit provided by the organization. If the
department determines the organization is not in compliance with
this chapter, the department shall identify any inconsistencies and
notify the organization of those inconsistencies.

 

Article begin insert 8. end insert   Antitrust Immunity

 

begin insert 48830. end insert   

(a) Except as provided in subdivision (b), an action
by the organization or its members that relates to any of the
following is not a violation of the Cartwright Act (Chapter 2
(commencing with Section 16700) of Part 2 of Division 7 of the
Business and Professions Code), the Unfair Practices Act (Chapter
4 (commencing with Section 17000) of Part 2 of Division 7 of the
Business and Professions Code), or the Unfair Competition Law
(Chapter 5 (commencing with Section 17200) of Part 2 of Division
7 of the Business and Professions Code):

(1) The development, implementation, or management by the
organization of a mattress recycling plan pursuant to this chapter
and the types or quantities of used mattress being recycled or
otherwise managed under that plan.

(2) The cost and structure of a mattress recycling plan approved
by the department.

(3) The organization’s establishment, administration, collection,
or disbursement of charges associated with funding the
implementation of this chapter.

(b) Subdivision (a) does not apply to an agreement that does
any of the following:

(1) Fixes a price of or for new mattresses, except for any action
related to fees or costs associated with participation in a mattress
recycling plan developed and implemented by the organization in
accordance with this chapter.

(2) Fixes the output of production of mattresses.

(3) Restricts the geographic area in which, or customers to
whom, new mattresses will be sold.

 

Article begin insert 9. end insert   Operation of Chapter

 

begin insert 48835. end insert   

(a) The department shall periodically, but not less than
once every three months, determine whether a federal statute has
been enacted that requires a national used mattress recycling plan.

(b) If the department determines that a federal statute has been
enacted that requires a national used mattress recycling plan, the
department shall post this determination on its Internet Web site
and shall submit a notice to the Secretary of State and the Office
of the Legislative Counsel.

(c) Thirty days after the date that the department issues the
notice required pursuant to subdivision (b), the requirements of
this chapter shall become inoperative.

end insert

begin delete

SECTION 1.  

The Legislature hereby declares its intention to
enact subsequent legislation to establish a program for the
management of used mattresses that would create an economically
practical system for recycling used mattresses, reduce the impact
of illegally dumped mattresses, harness existing infrastructure for
transporting used mattresses to recyclers, and minimize costs to
both governments and consumers.

end delete