BILL ANALYSIS                                                                                                                                                                                                    



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          Date of Hearing:  May 20, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          1159 (Gordon) - As Amended April 21, 2015


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          |Policy       |Natural Resources              |Vote:|9 - 0        |
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          |             |Environmental Safety and Toxic |     |6 - 0        |
          |             |Materials                      |     |             |
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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill establishes a product stewardship program for  
          home-generated medical sharps and household batteries until  
          January 1, 2024, and requires CalRecycle to adopt regulations by  








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          January 1, 2017, as specified.  Specifically, this bill:  


             1)   Requires CalRecycle, by March 1, 2017, to appoint a  
               stakeholder advisory committee for each to provide  
               technical feedback, and requires the stakeholder advisory  
               committee to report to CalRecycle as specified. 


             2)   Requires a product stewardship organization to submit a  
               product stewardship plan to CalRecycle by July 1, 2017.   
               Provides time limits and specified requirements of  
               CalRecycles' review and approval process.  Provides any  
               product stewardship plan not approved by January 1, 2018 is  
               not in compliance. 


             3)   Requires a product stewardship organization submitting a  
               product stewardship plan to pay CalRecycle an annual  
               administrative fee, which shall be set at an appropriate  
               amount to cover CalRecycle's administrative costs.    
               Creates the Product Stewardship Account and Product  
               Stewardship Penalty Subaccount.


             4)   Allows CalRecycle or a court to assess a civil penalty  
               on any person in violation of the provisions of this bill.


             5)   Requires each product stewardship organization to  
               annually report to CalRecycle on the activities carried out  
               pursuant to the product stewardship plan.   Requires  
               CalRecycle, by July 1, 2023, to report to the Legislature  
               with evaluations of the product stewardship organizations,  
               financial information and overall cost savings. 


             6)   Sunsets the provisions of this bill on January 1, 2024. 









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          FISCAL EFFECT:


          Ongoing CalRecycle staffing costs of $385,000 and one-time costs  
          of $8,000 (Product Stewardship Account/ Waste Management  
          Account).


          COMMENTS:


          1)Rationale.  According to the author, this bill establishes the  
            Product Stewardship Pilot Program, to require producers and  
            product stewardship organizations of home-generated sharps  
            waste or household batteries to develop and implement a  
            product stewardship plan.  

          The author further states, both of these products are widely  
            used, lack convenient disposal and recycling opportunities for  
            consumers, and have significant and indisputable end-of-life  
            impacts.  

            This bill sets performance goals for the disposal and  
            recycling of both products.

          2)Background.  In California, household batteries are classified  
            as universal waste, which include materials that DTSC has  
            determined are hazardous waste that are ubiquitous and contain  
            mercury, lead, cadmium, copper, or other substances hazardous  
            to human and environmental health. Since 2006, universal waste  
            has been prohibited from disposal in solid waste landfills.
             
             Currently, local household hazardous waste collection programs  
            are the primary outlet for proper management of universal  
            waste and other hazardous wastes generated by households,  
            including batteries.  Cost estimates to manage waste batteries  
            average around $800 per ton (with some costing up to $2,700  
            per ton), amounting to tens of millions of dollars each year.   








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            An estimated one million Californians inject medications  
            outside traditional health care facilities, which generate  
            approximately 389 million sharps each year.  The numbers of  
            patients using injectable medications will continue to grow  
            because it is an effective delivery method.  The most common  
            home use of sharps is to manage diabetes.  Other reasons to  
            home-inject include multiple sclerosis, infertility,  
            migraines, allergies, hemophilia, and medications for pets.



            California was one of the first states to address the problems  
            of sharps with the passage of  SB 1305 (Figueroa), Chapter 64,  
            Statutes of 2006 to prohibit the disposal of medical sharps in  
            California's landfills.  Although illegal, most used needles  
            still end up in household trash and pose a significant risk of  
            injury and/or infection to custodial workers and solid waste  
            employees.
          3)Product Stewardship/Expanded Producer Responsibility (EPR).   
            Product stewardship refers to a policy model that includes  
            manufacturers in the end-of-life management for products that  
            they produce.  



            According to the California Product Stewardship Council, EPR  
            is a strategy to place a shared responsibility for end-of-life  
            product management on all entities involved in the product  
            chain.  Successful EPR programs result in products that are  
            better designed for reuse and recycling, make recycling more  
            convenient for consumers, reduce illegal disposal of hazardous  
            materials, and encourage the use of recycled materials in new  
            products.  



            In 2007, CalRecycle adopted strategic directives to guide  








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            solid waste management in California.  Strategic Directive 5:   
            Producer Responsibility states that "it is a core value of  
            [CalRecycle] that producers assume the responsibility for the  
            safe stewardship of their materials in order to promote  
            environmental sustainability."  
             
           4)Previous Legislation.  Similar legislation, AB 2284  
            (Williams), would have required producers of non-rechargable  
            household batteries to develop and implement a plan to collect  
            and manage batteries sold in the state.  This bill was  
            significantly amended in this committee to create three  
            battery recycling pilot projects and moved to the Senate but  
            was never heard in the Senate Environmental Quality Committee.
            AB 403 (Stone, 2013) would have required businesses that sell  
            medical sharps to establish a product stewardship plan for the  
            end of life management of home-generated medical sharps.  At  
            the request of the author, his bill remained in this Committee  
            without a hearing.

          5)Related Legislation.  AB 45 (Mullin), also on today's agenda,  
            requires jurisdictions that provide for residential collection  
            and disposal of solid waste to increase the collection and  
            diversion of household hazardous waste. 
                 


          Analysis Prepared by:Jennifer Galehouse / APPR. / (916)  
          319-2081



















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