BILL NUMBER: SB 1019	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MARCH 24, 2014

INTRODUCED BY   Senator Leno

                        FEBRUARY 14, 2014

    An act to amend Section 71113 of the Public Resources
Code, relating to the environment.   An act to add
Section 19094 to the Business and Professions Code, relating to
business. 



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1019, as amended, Leno.  Environmental Justice: Working
Group.   Upholstered furniture: flame retardant
chemicals.  
   Existing federal law requires the Consumer Product Safety
Commission to institute proceedings for the determination of an
appropriate flammability standard if the commission finds that such a
standard, including labeling, for a fabric, related material, or
product, may be needed to protect the public. Existing federal law
authorizes a state to establish a flammability standard if, among
other things, it provides a higher degree of protection from the risk
of fire.  
   Existing state law, the Home Furnishings and Thermal Insulation
Act, provides for the licensure and regulation of upholstered
furniture manufacturers by the Bureau of Electronic and Appliance
Repair, Home Furnishings, and Thermal Insulation. Existing state law
requires every upholstered-furniture manufacturer to hold a furniture
and bedding manufacturer's license. Existing state law also requires
every upholstered-furniture retailer to hold a retail furniture
dealer's license. A violation of the act is a crime.  
   Existing state law requires upholstered furniture and bedding to
contain a specified label that is securely fastened in a manner
approved by the bureau in an area open to visible view. Existing
state law establishes a standard to produce upholstered furniture
which is safer from the hazards associated with smoldering ignition.
This standard provides methods for smolder resistance of cover
fabrics, barrier materials, resilient filling materials, and decking
materials for use in upholstered furniture.  
   This bill would require an upholstered-furniture manufacturer of
covered products, as defined, to indicate whether or not the product
contains added flame retardant chemicals, as defined, by including a
specified statement on that label. The bill would also require the
upholstered-furniture manufacturer of any covered product sold in
California to provide point-of-sale signs containing the
aforementioned statement to the upholstered-furniture retailer for
each product shipped to California. For in-store sales in California
and for Internet and paper catalog sales to California, the bill
would require the upholstered-furniture retailer in California to
display the point-of-sale sign in a specified manner.  
   If flame retardant chemicals are added to covered products sold in
California, the bill would require the upholstered-furniture
manufacturer to make good faith efforts to determine the various
flame retardant chemicals used in its products and report this
information to the bureau. The bill would require the bureau to make
this information publicly available on its Internet Web site. 

   The bill would require the upholstered-furniture manufacturer of
the covered product to retain sufficient documentation to show the
chemicals added to a covered product or component. If no flame
retardant chemicals were added to the covered product sold in
California, the bill would require the upholstered-furniture
manufacturer of the covered product sold in California to retain
documentation that no flame retardant chemicals were added. The bill
would provide that a written statement by the supplier of each
component of the furniture, attesting under penalty of perjury that
no flame retardant chemicals were added, is sufficient to make this
showing. By expanding the crime of perjury, the bill would impose a
state-mandated local program.  
   Upon request, the bill would require an upholstered-furniture
manufacturer of a covered product sold in California to provide to
the bureau, within 30 days of the request, documentation establishing
the accuracy of the flame retardant chemical statement on the label
and sign. The bill would require the bureau to provide the Department
of Toxic Substances Control with samples of the covered product or
components thereof sold in California from products marked "contains
NO added flame retardant chemicals" for testing for the presence of
added flame retardant chemicals. If the department's testing shows
that a covered product labeled as "contains NO added flame retardant
chemicals" is mislabeled because it contains added flame retardant
chemicals, the bill would authorize the bureau to assess fines for
violations against upholstered-furniture manufacturers of the covered
product and component manufacturers. The bill would also authorize
the bureau to assess fines for failure to maintain the required chain
of custody documentation.  
   The bill would require the bureau to assess fines for certain
violations and would additionally authorize the bureau to issue a
citation including a citation with a fine for certain violations, as
specified. The bill would authorize the bureau to make this citation
information available to the public. The bill would also make it the
duty of the bureau to receive consumer complaints.  
   The bill would authorize the bureau to adopt regulations in order
to carry out these provisions.  
   Because a violation of the bill's requirements would be a crime,
the bill would impose a state-mandated local program.  
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.  
   This bill would provide that no reimbursement is required by this
act for a specified reason.  
   Existing law requires the Secretary for Environmental Protection,
on or before January 1, 2002, to convene a Working Group on
Environmental Justice, composed of various representatives, as
specified, to assist the California Environmental Protection Agency,
to develop, by July 1, 2002, an agencywide environmental justice
strategy, and requires the working group to examine existing data and
studies on environmental justice, make recommendations to various
entities, and hold public meetings, among other things. 

   This bill would require the secretary to reconvene the working
group by January 1, 2016, to redevelop, by July 1, 2016, that
agencywide strategy and to review and update or revisit actions by
April 1, 2016, that were required to be undertaken by the original
working group. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program:  no   yes  .


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    The Legislature finds and declares all
of the following:  
   (a) In 1975, California implemented Technical Bulletin 117, which
requires that materials, such as polyurethane foam, used to fill
furniture be able to withstand a small open flame for at least 12
seconds.  
   (b) Flame retardant chemicals are used widely in upholstered
furniture to meet the flame retardant standards of California Bureau
of Electronic and Appliance Repair, Home Furnishings, and Thermal
Insulation Technical Bulletin 117.  
   (c) People are exposed to flame retardant chemicals in multiple
ways, including when the chemicals migrate from furniture and other
consumer products into air and dust in the home or workplace. 

   (d) Some of these chemicals can persist in the environment,
bioaccumulate in people and animals, and have been shown to cause
adverse developmental effects in animals and humans.  
   (e) A study by the California Environmental Protection Agency
found that women in California have much higher levels of toxic flame
retardants in their breast tissue than women in other states and
countries. Studies published in the journal of Environmental Research
show that children in California have much higher levels of flame
retardant chemicals than children elsewhere in the country. 

   (f) A study published in the Journal of Occupational and
Environmental Medicine concluded that firefighters have a
significantly elevated risk of cancer that may be attributed to toxic
chemicals they inhale, including flame retardants.  
   (g) California consumers have become increasingly concerned about
the potential adverse human health impacts due to exposure to certain
chemical flame retardants. Various studies have linked exposure to
flame retardants to cancer, lower IQs and attention problems, male
infertility, male birth defects, and early puberty in girls. 

   (h) In 2012, the Chair of the Federal Consumer Product Safety
Commission, testified to Congress that "the fire-retardant foams did
not offer a practically significant greater level of open flame
safety than the untreated foams."  
   (i) In 2012, the Chicago Tribune published a series of
investigative reports that showed that the claims of the efficacy of
flame retardants in furniture misrepresent the science.  
   (j) In 2012, Governor Brown asked of the Bureau of Electronic and
Appliance Repair, Home Furnishings, and Thermal Insulation to review
the state's four-decade-old flammability standards and recommend
changes to reduce toxic flame retardants while continuing to ensure
fire safety.  
   (k) The Bureau concluded that the presence of flame retardant
chemicals in furniture does not provide a meaningful fire safety
benefit. In 2013, the Bureau of Electronic and Appliance Repair, Home
Furnishings, and Thermal Insulation promulgated regulations,
revising Technical Bulletin 117 to allow furniture manufacturers to
meet a smoldering standard. The revised Technical Bulletin 117-2013
provides improved fire safety standards without the use of flame
retardant chemicals.  
   (l) California consumers have voiced a desire to purchase
furniture that complies with Technical Bulletin 117-2013 but does not
contain flame retardant chemicals.  
   (m) Technical Bulletin 117-2013 can be met with or without the use
of flame retardant chemicals, but consumers currently have no way to
know whether flame retardant chemicals have been added to the
product.  
   (n) It is, therefore, the intent of the Legislature in enacting
this measure to provide California consumers clear information about
the furniture products they are purchasing, specifically concerning
compliance with fire safety standards and the absence or presence of
added flame retardant chemicals. 
   SEC. 2.    Section 19094 is added to the  
Business and Professions Code   , to read:  
   19094.  (a) For the purposes of this section, the following
definitions shall apply:
   (1) "Component" means the separate constituent parts of
upholstered furniture sold in California, including, but not limited
to, cover fabrics, barrier materials, resilient filling materials,
and decking materials.
   (2) "Covered products" means any flexible polyurethane foam or
upholstered or reupholstered furniture sold in California that is
required to meet the test requirements set forth in Technical
Bulletin 117-2013, entitled "Requirements, Test Procedure and
Apparatus for Testing the Smolder Resistance of Materials Used in
Upholstered Furniture."
   (3) "Added flame retardant chemicals" means flame retardant
chemicals that are present in any covered product or component
thereof at levels above 500 parts per million.
   (4) "Department" means the Department of Toxic Substances Control.

   (5) "Consumer Price Index" means the Consumer Price Index for All
Urban Consumers published by the Bureau of Labor Statistics.
   (b) (1) (A) An upholstered-furniture manufacturer of covered
products shall indicate whether or not the product contains added
flame retardant chemicals by including the following statement on the
label described in Section 1126 of Title 4 of the California Code of
Regulations for covered products:

   "This product meets California's furniture fire safety standard
and:
   _____contains added flame retardant chemicals
   _____contains NO added flame retardant chemicals
   The Bureau of Electronic and Appliance Repair, Home Furnishings,
and Thermal Insulation found that flame retardant chemicals in
furniture do not provide a meaningful fire safety benefit. According
to the Centers for Disease Control and Prevention (CDC), such flame
retardant chemicals can migrate into air and house dust where people
can be exposed to them."

   An upholstered-furniture manufacturer shall indicate the absence
or presence of added flame retardant chemicals by placing an "X" in
one of the appropriate blanks.
   (B) This statement shall be in included in the label described in
Section 1126 of Title 4 of the California Code of Regulations in
accordance with the bureau's regulations for that label.
   (C) Notwithstanding any other law, the bureau shall assess fines
for violations of this paragraph pursuant to Section 1383.2 of Title
4 of the California Code of Regulations.
   (2) (A) The upholstered-furniture manufacturer of any covered
product sold in California shall provide point-of-sale signs
containing the flame retardant chemical statement to the
upholstered-furniture retailer for each product shipped to
California. For in-store sales in California, the
upholstered-furniture retailer in California shall display the
point-of-sale sign next to the price or description of the covered
product. The point-of-sale sign shall be sized and placed so as to
remain clear and conspicuous to consumers, and the minimum size of
type shall be at least 0.2 inches in height.
   (i) For sales of covered products sold in California via an
Internet Web site, the upholstered-furniture retailer in California
shall place the point-of-sale sign containing the flame retardant
chemical statement clearly and conspicuously, and in close proximity
to the covered product's price, on each Internet Web site page that
contains a detailed description of the covered product and its price.
The point-of-sale sign shall be sized and placed so as to remain
clear and conspicuous to a consumer viewing the page.
   (ii) For sales of covered products sold in California through
paper catalogs, the upholstered-furniture retailer in California
shall place the point-of-sale sign containing the flame retardant
chemical statement clearly and conspicuously, and in close proximity
to the covered product's price, on each page that contains a detailed
description of the covered product and its price. The point-of-sale
sign shall be sized and placed so as to remain clear and conspicuous
to consumers.
   (B) The bureau shall assess fines for violations of this paragraph
in accordance with the factors described in subdivision (e) and the
following schedule:
   (i) The fine for the first violation shall be not less than one
thousand dollars ($1,000) but not more than two thousand five hundred
dollars ($2,500).
   (ii) The fine for the second violation shall be not less than two
thousand five hundred dollars ($2,500) but not more than five
thousand dollars ($5,000).
   (iii) The fine for the third violation shall be not less than five
thousand dollars ($5,000) but not more than seven thousand five
hundred dollars ($7,500).
   (iv) The fine for any subsequent violation shall be not less than
seven thousand five hundred dollars ($7,500) but not more than ten
thousand dollars ($10,000).
   (c) If flame retardant chemicals are added to a covered product
sold in California, the upholstered-furniture manufacturer shall make
good faith efforts to determine the various flame retardant
chemicals used in its products and report this information
semi-annually to the bureau. The bureau shall make this information
publicly available on its Internet Web site. If information on the
specific flame retardant chemicals used in the covered product is not
known to the upholstered-furniture manufacturer, the
upholstered-furniture manufacturer may report the trade name of the
chemical mixture used.
   (d) (1) (A) If any flame retardant chemical was added to the
covered product or any component thereof sold in California, the
upholstered-furniture manufacturer of the covered product shall
retain sufficient documentation to show the chemicals and the amounts
of the chemicals that were added.
   (B) If no flame retardant chemicals were added to the covered
product sold in California, the upholstered-furniture manufacturer of
the covered product sold in California shall retain documentation
that no flame retardant chemicals were added. A written statement by
the supplier of each component of the furniture attesting under
penalty of perjury that no flame retardant chemicals were added shall
be sufficient documentation.
   (2) The bureau shall ensure compliance with labeling and
documentation of chain of custody requirements in this section.
   (3) (A) Upon request, an upholstered-furniture manufacturer of a
covered product sold in California shall provide to the bureau,
within 30 days of the request, documentation establishing the
accuracy of the flame retardant chemical statement on the label and
sign required by subdivision (b).
   (B) The bureau shall assess fines of not less than two thousand
five hundred dollars ($2,500) but not more than fifteen thousand
dollars ($15,000) in accordance with the factors described in
subdivision (e) for the failure of the upholstered-furniture
manufacturer to maintain the required chain of custody documentation.

   (C) The bureau shall provide the Department of Toxic Substances
Control with samples of the covered product or components thereof
sold in California from products marked "contains NO added flame
retardant chemicals" for testing for the presence of added flame
retardant chemicals. The department shall provide the results of all
testing to the bureau.
   (D) (i) If the department's testing shows that a covered product
labeled as "contains NO added flame retardant chemicals" is
mislabeled because it contains added flame retardant chemicals, the
bureau may assess fines for violations against upholstered-furniture
manufacturers of the covered product and component manufacturers to
be held jointly and severally liable for the violation.
   (ii) A fine for a violation of this subparagraph relating to
mislabeling shall be assessed in accordance with factors described in
subdivision (e) and the following schedule:
   (I) The fine for the first violation shall be not less than one
thousand dollars ($1,000) but not more than two thousand five hundred
dollars ($2,500).
   (II) The fine for the second violation shall be not less than two
thousand five hundred dollars ($2,500) but not more than five
thousand dollars ($5,000).
   (III) The fine for the third violation shall be not less than five
thousand dollars ($5,000) but not more than seven thousand five
hundred dollars ($7,500).
   (IV) The fine for any subsequent violation shall be not less than
seven thousand five hundred dollars ($7,500) but not more than ten
thousand dollars ($10,000).
   (iii) If the department's testing shows that a covered product
labeled as "contains NO added flame retardant chemicals" is
mislabeled because it contains added flame retardant chemicals, in
addition to a fine or any other request, the bureau may request that
the labels and signs required by subdivision (b) for covered products
that belong to the same stock keeping unit (SKU) currently produced
by the manufacturer be corrected to reflect that flame retardant
chemicals are added to the covered product.
   (iv) If the department's testing shows that a covered product
labeled as "contains NO added flame retardant chemicals" is
mislabeled because it contains added flame retardant chemicals, in
addition to a fine or any other request, the bureau may request
additional testing of more products belonging to the same stock
keeping unit (SKU) at the manufacturer's expense to verify the
accuracy of the label or sign required by subdivision (b) for covered
products if the manufacturer wishes to retain the "contains NO added
flame retardant chemicals" designation on the label or sign required
by subdivision (b).
   (E) An upholstered-furniture manufacturer of covered products and
component suppliers shall be jointly and severally liable for
violations of chain of custody requirements in this subdivision.
   (e) (1) Notwithstanding any other law, the bureau may issue a
citation, including a citation with a fine, for a violation of this
section, and shall make citation information available to the public.

   (2) In determining the amount of the fine associated with a
citation, the bureau shall consider the following factors:
   (A) The nature and severity of the violation.
   (B) The good or bad faith of the cited person.
   (C) The history of previous violations.
   (D) Evidence that the violation was willful.
   (E) The extent to which the cited person or entity has cooperated
with the bureau.
   (3) (A) The bureau shall adjust all minimum and maximum fines
imposed by this section for inflation every five years.
   (B) The adjustment shall be equivalent to the percentage, if any,
that the Consumer Price Index at the time of adjustment exceeds the
Consumer Price Index at the time this section goes into effect. Any
increase determined under this paragraph shall be rounded as follows:

   (i) In multiples of ten dollars ($10) in the case of penalties
less than or equal to one hundred dollars ($100).
   (ii) In multiples of one hundred dollars ($100) in the case of
penalties greater than one hundred dollars ($100) but less than or
equal to one thousand dollars ($1,000).
   (iii) In multiples of one thousand dollars ($1,000) in the case of
penalties greater than one thousand dollars ($1,000).
   (4) It shall be the duty of the bureau to receive complaints from
consumers concerning covered products sold in California.
   (f) The bureau shall establish requirements for providing
translations of the flame retardant chemical statement in other
languages on the sign required by subdivision (b) as may be needed.
   (g) The bureau may adopt regulations pursuant to the
Administrative Procedure Act (Chapter 3.5 (Commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code) in
order to carry out the provisions of this section. 
   SEC.   3.    No reimbursement is required by
this act pursuant to Section 6 of Article XIII B of the California
Constitution because the only costs that may be incurred by a local
agency or school district will be incurred because this act creates a
new crime or infraction, eliminates a crime or infraction, or
changes the penalty for a crime or infraction, within the meaning of
Section 17556 of the Government Code, or changes the definition of a
crime within the meaning of Section 6 of Article XIII B of the
California Constitution.  
  SECTION 1.    Section 71113 of the Public
Resources Code is amended to read:
   71113.  (a) On or before January 1, 2016, the Secretary for
Environmental Protection shall reconvene the Working Group on
Environmental Justice that is established pursuant to this section to
assist the California Environmental Protection Agency to redevelop,
on or before July 1, 2016, an agencywide strategy for identifying and
addressing any gaps in existing programs, policies, or activities
that may impede the achievement of environmental justice.
   (b) The working group shall be composed of the Secretary for
Environmental Protection, the Chairs of the State Air Resources Board
and the State Water Resources Control Board, the Director of Toxic
Substances Control, the Director of Pesticide Regulation, the
Director of Environmental Health Hazard Assessment, the Director of
Planning and Research, and the Director of Resources Recycling and
Recovery.
   (c) The working group shall review the actions taken pursuant to
this subdivision before January 1, 2015, and do all of the following
with regard to updating or revisiting those actions on or before
April 1, 2016:
   (1) Examine existing data and studies on environmental justice,
and consult with state, federal, and local agencies and affected
communities.
   (2) Recommend criteria to the Secretary for Environmental
Protection for identifying and addressing any gaps in existing
programs, policies, or activities that may impede the achievement of
environmental justice.
   (3) Recommend procedures and provide guidance to the California
Environmental Protection Agency for the coordination and
implementation of intraagency environmental justice strategies.
   (4) Recommend procedures for collecting, maintaining, analyzing,
and coordinating information relating to an environmental justice
strategy.
   (5) Recommend procedures to ensure that public documents, notices,
and public hearings relating to human health or the environment are
concise, understandable, and readily accessible to the public. The
recommendation shall include guidance for determining when it is
appropriate for the California Environmental Protection Agency to
translate crucial public documents, notices, and hearings relating to
human health or the environment for limited-English-speaking
populations.
   (6) Hold public meetings to receive and respond to public comments
regarding recommendations required pursuant to this section, prior
to the finalization of the recommendations. The California
Environmental Protection Agency shall provide public notice of the
availability of draft recommendations at least one month prior to the
public meetings.
   (7) Make recommendations on other matters needed to assist the
agency in developing an intraagency environmental justice strategy.