BILL ANALYSIS Ó SB 1014 SENATE COMMITTEE ON ENVIRONMENTAL QUALITY Senator Jerry Hill, Chair 2013-2014 Regular Session BILL NO: SB 1014 AUTHOR: Jackson AMENDED: As Introduced FISCAL: Yes HEARING DATE: March 26, 2014 URGENCY: No CONSULTANT: Karen Morrison SUBJECT : PHARMACEUTICAL WASTE: HOME-GENERATED SUMMARY : Existing federal law : 1) Under the Food, Drug, and Cosmetic Act, the Food and Drug Administration (FDA) is authorized to oversee the safety of food, drugs, and cosmetics. 2) Under the Resource Conservation and Recovery Act (RCRA) of 1976, the management of solid and hazardous wastes is regulated. In the context of pharmaceuticals, RCRA imposes strict protocols for the collection of controlled substances. 3) The Secure and Responsible Drug Act of 2010 eases the restrictions on the collection of controlled substances; final regulations are currently under development, and are expected to be published in March 2014. Existing state law : 1) Under the California Hazardous Substances Act, the Department of Toxic Substances Control (DTSC) is authorized to regulate hazardous materials and wastes in accordance with RCRA. 2) Under the California Integrated Waste Management Act: a) Requires the Department of Resources Recycling and Recovery (CalRecycle) to implement a statewide household hazardous waste substance information and collection program. b) Authorizes local jurisdictions to include in their SB 1014 Page 2 Household Hazardous Waste Elements a program for the safe management of sharps waste. c) Requires pharmaceutical manufacturers that sell or distribute a medication in California that is self-injected at home through the use of a hypodermic needle, pen needle, intravenous needle, or any other similar device to submit to CalRecycle a plan that describes what actions, if any, the manufacturer supports for the safe management of sharps waste. 3) Under the Medical Waste Management Act (MWMA): a) Requires the California Department of Public Health (DPH) to regulate the management and handling of medical waste. b) Defines "pharmaceuticals" as a prescription or over-the-counter human or veterinary drug. "Pharmaceutical" does not include any pharmaceutical that is regulated pursuant to either RCRA or the Radiation Control Law and certain items, such as household waste, are specifically excluded from the definition of medical waste. c) Defines "pharmaceutical waste" as any pharmaceutical that for any reason may no longer be sold or dispensed for use as a drug and excludes from this definition those pharmaceuticals that still have potential value to the generator because they are being returned to a reverse distributor for possible manufacturer credit. d) Specifies that waste comprised only of pharmaceuticals is biohazardous, and is considered "medical waste." This bill : 1) Establishes the Home-Generated Pharmaceutical Waste Collection and Disposal Act. Stewardship plan: 2) Requires a producer of a pharmaceutical sold in this state, individually or through a stewardship organization, to submit a stewardship plan to CalRecycle by July 1, 2015, which provides for the development of a program to collect, transport, and SB 1014 Page 3 dispose of home-generated pharmaceutical waste that includes information on tracking, education, placement in retail stores, and cost allocation. 3) Requires updated stewardship plans to be submitted to CalRecycle at least every three years; CalRecycle must review the plans and may set performance goals for the program. 4) Requires a producer or stewardship organization, on or before July 1, 2016, and every year thereafter, to prepare and submit to CalRecycle an annual report describing the activities carried out pursuant to the plan during the previous calendar year. 5) Requires CalRecycle to post on its Internet Web site a list of producers for which CalRecycle has approved a plan and a list of producers that CalRecycle has deemed to be noncompliant. Fees: 6) Requires the producer or stewardship organization to pay CalRecycle an administrative fee in an amount that is sufficient to cover CalRecycle's costs of administering and enforcing these provisions and deposits the fees in the Home-Generated Pharmaceutical Waste Program Account. Penalties: 7) Authorizes CalRecycle to impose an administrative order or an administrative civil penalty and fine on a producer who violates the requirements, and to deposit those fines and penalties into the Home-Generated Pharmaceutical Waste Program Penalty Account, and requires CalRecycle to enact regulations that describe these provisions. Collection facilities: 8) Authorizes pharmacies to accept home-generated pharmaceutical waste from a consumer but does not require a retailer to host a collection site. Definition of waste stream: 9) Defines "home-generated pharmaceutical waste" as specified drugs derived from a household. 10)Requires CalRecycle to adopt regulations for the appropriate management of home-generated pharmaceutical waste, including, SB 1014 Page 4 but not limited to, handling, storage, containment, tracking, transportation and disposal. COMMENTS : 1) Purpose of Bill . According to the author, "In response to the growing problem of prescription drug abuse, accidental poisonings, and the detection of pharmaceutical products in California waters, local governments throughout the state have struggled to establish safe and convenient medication take-back programs. The public demand and need for such programs has been tremendous - even limited programs have collected hundreds of pounds of drugs. Law enforcement, federal agencies, public health and environmental professionals agree that take-back programs are the safest way to dispose of unused medicines. "Establishing these disposal programs on a city by city (county) basis is haphazard, inefficient and expensive for local ratepayers. It also means that not all consumers have access to take-back locations, perpetuating a lack of harmonized messaging to the public about safe drug disposal. "In an effort to manage the clear societal and environmental impacts of unused medications, SB 1014 would require producers of pharmaceuticals, as defined, to create, finance and manage a collection system for California consumers to safely and conveniently take back unwanted pharmaceuticals - a system structured after an existing program in Canada which the industry has effectively operated for 15 years." 2) Background on environmental effects . a) Environmental contamination . A study conducted by the United States Geological Survey from 1999-2000 sampled 139 streams across 30 states and found that 80% had measurable concentrations of prescription and nonprescription drugs, steroids, and reproductive hormones. Since the USGS released its report in 2002, a number of studies have demonstrated the low-level presence of pharmaceutical agents throughout the environment and water supply. b) Sources of contamination . There are two general sources SB 1014 Page 5 of pharmaceutical contamination in the environment: human excretion and disposal. Estimates suggest that 3 to 50% of prescriptions become waste. United States hospitals and long-term care facilities annually flush approximately 250 million pounds of unused pharmaceuticals down the drain. It is unknown (if not impossible) to determine how much household pharmaceutical waste is flushed down the toilet. However, anecdotally waste water treatment facilities note that scraping pills off of water filtration systems is a problem, in addition to the removal of pharmaceutical agents from the water. c) Effects to environmental health . While the human effects of pharmaceutical agents in the environment are not fully understood, harm to aquatic organisms and ecosystems due to low levels of pharmaceutical agents are clearly established. Life-long exposure to ppb levels of an estrogen-based synthetic hormone resulted in complete population failure in fish due to the males failing to develop properly. Mood altering drugs, such as Prozac, lead to changes in the behavior of fish, making them easier prey. The presence of persistent antibiotics, particularly downstream from hospitals, has been partially credited for the rise in resistant bacterial strains, which may also have an indirect human impact. 3) Background on diversion . a) President Bush's Administration Recommendations . In February 2007, the White House Office of National Drug Control Policy, the Health and Human Services Agency, and the US Environmental Protection Agency released new Federal prescription drug disposal guidelines urging Americans to utilize pharmaceutical take-back locations because "improper drug disposal is a prescription for environmental and societal concern." b) Substance Abuse and Mental Health Services Administration's National Survey on Drug Use and Health SB 1014 Page 6 (NSDUH) . According to the 2011 NSDUH more than six million Americans abuse prescription drugs. That same study revealed more than 70% of people abusing prescription pain relievers got them through friends or relatives, a statistic that includes raiding the family medicine cabinet. c) President Obama's Administration's National Drug Control Strategy . In 2011, President Obama released a statement to Congress stating, "Every sector of our society is affected by drug use and the consequences of drug use. Drug use and its consequences hamper our Nation's ability to out-educate our global competitors and increase graduation rates. It lessens the ability of our workforce to be fully productive, and it takes the lives of too many fellow Americans. "Prescription drug abuse is America's fastest-growing drug problem, and one largely fed by an unlikely source-Americans' medicine cabinets. The passage of the Secure and Responsible Drug Disposal Act of 2010 will save lives by providing patients with safe, environmentally sound ways to dispose of unused or expired prescription drugs. "By taking a balanced approach to drug policy, one that emphasizes both public health and public safety, we can help make our neighborhoods and communities even stronger." d) National Strategy on Preventing Prescription Drug Abuse . The Obama administration has identified four major areas to reduce prescription drug abuse: education, monitoring, proper medication disposal, and enforcement. In particular, the national strategy includes action to "develop convenient and environmentally responsible prescription drug disposal programs to help decrease the supply of unused prescription drugs in the home." 4) Current federal guidelines for pharmaceutical disposal . The US FDA and the White House Office of National Drug Control Policy have developed the following guidelines for proper disposal of prescription drugs: Follow any specific disposal instructions on the drug label or patient information that accompanies the medication. Do not flush prescription drugs down the toilet unless this SB 1014 Page 7 information specifically instructs you to do so. Take advantage of community drug take-back programs that allow the public to bring unused drugs to a central location for proper disposal. Call your city or county government's household trash and recycling service (see blue pages in phone book) to see if a take-back program is available in your community. The Drug Enforcement Administration (DEA), working with state and local law enforcement agencies, is sponsoring National Prescription Drug Take Back Days ( www.deadiversion.usdoj.gov ) throughout the United States. IF no instructions are given on the drug label AND no take-back program is available in your area, throw the drugs in the household trash, but first: 1. Take them out of their original containers. 2. Mix them with an undesirable substance, such as used coffee grounds or kitty litter. (The medication will be less appealing to children and pets, and unrecognizable to people who may intentionally go through your trash.) 3. Put them in a sealable bag, empty can, or other container to prevent the medication from leaking or breaking out of a garbage bag. 4. Throw them in the trash can. 1) Background on take-back programs . a) DEA take-back programs . "Drug Take-Back Days," which are typically administered by law enforcement in conjunction with county health offices or other local government agencies, are one-time events that allow for individuals to dispose of prescription or non-prescription medications; following the collection, the pharmaceuticals are taken to a safe disposal site. The DEA's seventh National Take-Back Day in October 2013 collected 324 tons of expired and unwanted medications across all 50 states. Since the inception of the National Take-Back Day in 2010, the DEA has collected over 3.4 million pounds of medicine from circulation. The next national collection event is scheduled for April 26, 2014. SB 1014 Page 8 b) Disposal of controlled substances . RCRA sets up strict protocols for the collection of controlled substances to prevent their illegal diversion and abuse such that only law enforcement officials can handle certain pharmaceutical wastes; there is no equivalent law in any other country. The Secure and Responsible Drug Act of 2010 should make this process easier by allowing take-back disposal options for pharmaceutical waste. Regulations are currently in development by the DEA. The draft regulations allowed pharmacies to accept controlled substances for disposal, and final regulations are expected to be published in March 2014. c) International take-back programs . In 1999, British Columbia established the "Post-Consumer Pharmaceutical Stewardship Association" (PCPSA) to establish a pharmaceutical drug take-back program funded by manufacturers. Manufacturers are required to pay for the cost of collecting and managing the program; they are not required to pay for cost of agency oversight. Currently, over 100 companies participate in the PCPSA. Within British Columbia, 95% of pharmacies choose to participate in the program, accounting for over 1,000 collection sites. In 2009, the program diverted 112,000 pounds of medication from improper disposal or abuse for an estimated cost of $400,000. Australia established a national collection system in place since 1998. The European Union has required a national collection system for unused or expired medicines since 2004. d) Take-back programs in the US . Locally run take-back programs are prevalent throughout the US. A few states, such as Michigan and Maine, have enacted laws to facilitate the collection of pharmaceutical waste at locations such as pharmacies (MI) or to create mail-back programs for pharmaceutical waste (ME). In light of the new statute in Colorado, the Colorado Springs SB 1014 Page 9 Airport has installed two marijuana take-back bins, providing a location for travelers to safely and legally dispose of their marijuana. Although recreational marijuana is legal in Colorado, it is highly regulated at the federal level and has a high diversion potential. e) SB 966 Model Guidelines in CA . Under the California Integrated Waste Management Act (SB 966, Simitian, 2007), CalRecycle created a model collection program for household hazardous substances, such as pharmaceuticals, and evaluated how local programs implemented take-back programs. Programs that followed the model guidelines were released from any liability associated with collecting home-generated pharmaceuticals. The model program sunsetted on January 1, 2013. f) Local programs in CA . In 2010, CalRecycle identified 297 take-back programs in California. This includes one-time take-back events, continuous take-back programs, and mail-back programs. The majority of these programs are funded and run by local governments, although San Francisco has a program that is partially funded by PhRMA and Genetech. Recently, Alameda County passed a first in the nation Safe Drug Disposal Ordinance that requires producers of covered drugs to operate take-back programs, including the creation, administration, promotion, and payment of the program. The ordinance was challenged by Pharmaceutical Research and Manufacturers of America, Generic Pharmaceutical Association, and Biotechnology Industry Organization on the basis that the ordinance violates the dormant Commerce Clause for interstate commerce and discriminates against out-of-county producers. In August 2013, the U.S. District Court upheld the ordinance, although litigation is ongoing. Several other California counties are considering similar ordinances. g) Costs associated with take-back programs . CalRecycle reported in 2010 that the average cost of current take-back programs in California vary from $3-$7 a pound. Although a statewide program would lower the per-pound cost, estimates vary for the ultimate price. Costs associated with storage, training, processing, and disposal are all factors. SB 1014 Page 10 2) Home-generated pharmaceutical waste . Although home-generated pharmaceutical waste is not defined in statute or regulations, the California Department of Public Health views the consolidation and disposal of pharmaceutical waste as a public health necessity and regulates this waste stream as medical waste. 3) Regulatory agencies . Although CalRecycle has expertise handling solid wastes, pharmaceuticals have historically been regulated by DPH and DTSC. 4) Arguments in support . Supporters of the bill state that there have been inadequate programs to safely dispose of unused medications and that there is no cohesive statewide policy for collection and disposal of unused medications. This bill would provide a stewardship system, requiring producers of pharmaceuticals to develop and implement better, safer, and more convenient collection programs for household pharmaceutical wastes throughout the state. The support states that this bill is a free-market approach that allows manufacturers to design the program in whatever way is most cost effective - with minimal oversight from state regulators. 5) Arguments in opposition . The opposition states that several safe and secure ways already exist to dispose of unused medicines. The opposition argues that drug take-back programs do not address the issue of pharmaceuticals in the environment. The opposition also argues that research demonstrates that household trash disposal is effective for disposing of unused medicines. The opposition suggests that a statewide program would increase the cost of pharmaceuticals. Finally, the opposition suggests that this bill creates a rigid program with tight bureaucratic controls. SB 1014 Page 11 6) Technical amendments . A technical amendment is needed in Public Resources Code Section 47122 to correct a code reference to controlled substances. 7) Recommended amendments . a) Producer definition . The author may wish to work to clarify the definition of producer to ensure the bill includes the full universe of medication in need of disposal. b) Regulating the waste stream . The bill removes home-generated pharmaceutical waste from the Medical Waste Management Act and requires CalRecycle to develop an entirely new waste stream for its management while providing minimal guidelines for the regulation of that waste stream. The DEA has detailed specific procedures for the management of controlled substances (21 USC 801-971 and 21 CFR 1300-1321), and updates to the federal regulations are expected under the Secure and Responsible Drug Disposal Act of 2010 this year. An amendment would clarify the handling and tracking of waste under SB 1014 to be consistent with federal regulations. 8) Related bills . AB 333 (Wieckowski) of 2013 makes various changes to the Medical Waste Management Act. The bill is currently in the Senate Environmental Quality Committee. AB 467 (Stone) of 2013 creates a licensure category for a surplus medication collection and distribution intermediary. The bill is currently in the Assembly for concurrence of Senate amendments. AB 1727 (Rodriguez) of 2014 restricts certain pharmaceuticals from county operated prescription drug collection and redistribution programs. The bill is currently in the Assembly Health Committee. ACR 93 (Buchanan) of 2014 would declare March 2014 as Drug Abuse Awareness Month in California, and encourage all citizens to participate in prevention programs and activities and to pledge to "Spread the Word? One Pill Can Kill." The resolution is currently on the Assembly Floor. SB 1014 Page 12 9) Double Referral to Senate Business, Professions and Economic Development Committee . If this measure is approved by the Senate Environmental Quality Committee, the do pass motion must include the action to re-refer the bill to the Senate Business, Professions and Economic Development Committee. SOURCE : Alameda County California Product Stewardship Council California Alliance for Retired Americans City and County of San Francisco Clean Water Action SUPPORT : Alameda County Board of Supervisors (co-sponsor) Alameda County District Attorney's Office Alameda County Sheriff's Office Ashland Cherryland Together Breast Cancer Fund Butte County Public Health Department Butte County Sheriff's Office California Alliance for Retired Americans (co-sponsor) California Association of Sanitation Agencies California Nurses Association California Police Chiefs Association California Product Stewardship Council (co-sponsor) California Resource Recovery Association California Rural Legal Assistance Foundation California School Employees Association California State Association of Counties California State Sheriff's Association California Teamsters Public Affairs Council California Water Environment Association Californians Against Waste Center for Biological Diversity Central Contra Costa County Sanitary District Central Contra Costa Solid Waste Authority City and County of San Francisco (co-sponsor) City of Chula Vista Mayor Cheryl Cox City of Chula Vista Police Department City of Corona Mayor Karen Spiegel City of Fortuna City of Livermore SB 1014 Page 13 City of Los Altos City of Millbrae Mayor Wayne J. Lee City of Palo Alto Mayor Nancy Shepherd City of Porterville Mayor Cameron J. Hamilton City of Roseville Mayor Susan Rohan City of Sacramento City of San Diego Environmental Services Department City of San Jose City of San Mateo City of San Rafael City of San Rafael Fire Department City of Santa Maria Mayor Alice M. Patino City of Santa Monica Mayor Pam O'Connor City of Santa Rosa Mayor Scott P. Bartley City of Sunnyvale Mayor Jim Griffith City of Torrance Mayor Frank Scotto City of Ukiah Mayor Phil Baldwin Clean Water Action (co-sponsor) Clover Flat Resource Recovery Park Consumer Federation of California CommPre/Horizons, Inc. Community Prevention Partners of Santa Cruz County Community Water Center Contra Costa County Board of Supervisors Contra Costa County Prescription Drug Abuse Prevention Coalition County of Santa Barbara County of Santa Clara County of Santa Cruz Board of Supervisors - Supervisors Neal Coonery & Bruce McPherson Defenders of Wildlife Delta Diablo East Bay Municipal Utility District Eastern Municipal Water District Ecology Action Ecology Center El Dorado Irrigation District Environment California Environmental Working Group Goleta Sanitary District Goleta West Sanitary District Gray Panthers of San Francisco Heal the Bay SB 1014 Page 14 Horsnyder Pharmacy, Santa Cruz Hospice of Santa Cruz County Las Gallinas Valley Sanitary District Las Virgenes-Triunfo Joint Powers Authority League of California Cities League of Women Voters of California Leucadia Wastewater District Los Angeles County Sheriff's Department Los Angeles County Solid Waste Management Committee/ Integrated Waste Management Task Force Mammoth Community Water District Marin County Board of Supervisors Marin County Hazardous and Solid Waste Joint Powers Authority Mendocino Solid Waste Management Authority Metropolitan Water District of Southern California Midway City Sanitary District Monterey Regional Waste Management District Mt. View Sanitary District Napa County Board of Supervisors Napa Sanitation District National Coalition Against Prescription Drug Abuse Natural Resources Defense Council North American Hazardous Materials Management Association OWL, San Francisco Chapter Pajaro Valley Water Management Agency Pharamacists Planning Service, Inc. Physicians for Social Responsibility - Los Angeles Product Stewardship Institute Rural County Representatives of California Russian River Watershed Association Sacramento Regional County Sanitation District Sacramento State Student Health Services Pharmacy San Francisco Public Utilities Commission Santa Cruz Desal Alternatives Scotts Valley Police Department Seventh Generation Advisors Sierra Club California Silicon Valley Clean Water Action Sonoma County Waste Management Agency Sonoma County Water Agency Stege Sanitary District SB 1014 Page 15 StopWaste Tehama County Sanitary Landfill Agency Teleosis Foundation Town of Windsor Union Sanitary District Upper Valley Disposal & Recycling UPSTREAM Vallejo Sanitation & Flood Control District Victor Valley Wastewater Reclamation Authority Watsonville Pharmacy West County Wastewater District Women's Recovery Services 4 Individuals OPPOSITION : BayBio BIOCOM California Chamber of Commerce California Healthcare Institute Consumer Healthcare Products Association California Manufacturers and Technology Association Generic Pharmaceutical Association Healthcare Distribution Management Association Pharmaceutical Researchers and Manufacturers of America Silicon Valley Leadership Group TechNet