BILL ANALYSIS                                                                                                                                                                                                    



                                                                    AB 1419


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          Date of Hearing:  May 13, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          1419 (Eggman) - As Amended May 5, 2015


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill authorizes CalRecyle to revoke the certification of a  
          recycling center found to be abandoned if the center is not open  
          during its posted hours on two consecutive inspections and has  
          not reported any received volumes of California Redemption Value  








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          (CRV) containers for a period of 30 consecutive days.   


          Additionally, this bill provides an opportunity for a hearing on  
          the revocation to be conducted in the same manner as a hearing  
          for an application that was denied.


          FISCAL EFFECT:


          Minor cost savings for CalRecyle (Beverage Container Recycling  
          Fund) resulting from the modification of the existing revocation  
          process.


          COMMENTS:


          1)Purpose.  According to the author, the current process to  
            determine a certified recycling center is abandoned is  
            unnecessarily cumbersome and negatively impacts already  
            limited CalRecycle staffing resources.   This bill streamlines  
            CalRecyle's authority by creating a rebuttable presumption  
            that a recycling center is abandoned while preserving due  
            process if the owner of a certified recycling center wishes to  
            resume operation.  
          
          2)Background.  The California Beverage Container Recycling and  
            Litter Reduction Act (Bottle Bill) requires beverage  
            containers sold in this state to have a California refund  
            value (CRV) of 5 cents for containers that hold fewer than 24  
            ounces and 10 cents for containers that hold 24 ounces or  
            more.  


            
            California's Bottle Bill has achieved an overall recycling  
            rate over 80 percent - higher than any other bottle bill  








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            program in North America.  According to Californians Against  
            Waste, since its inception 25 years ago, the program has  
            resulted in the recycling of over 11.9 million tons of glass;  
            3 million tons of aluminum; and, more than 2 million tons of  
            plastic.  In addition to the diversion from landfill disposal,  
            this recycling has avoided an estimated 2 million metric tons  
            of CO2 equivalent greenhouse gas emissions over the last four  
            years.  

            The Bottle Bill is designed to provide consumers with a  
            financial incentive for recycling and to make recycling  
            convenient to consumers.  The centerpiece of the Bottle Bill  
            is the CRV.  Consumers pay a deposit, the CRV, on each  
            beverage container they purchase.  Retailers collect the CRV  
            from consumers when they buy beverages.  The dealer retains a  
            small percentage of the deposit for administration and remits  
            the remainder to the distributor, who also retains a small  
            portion for administration before remitting the balance to  
            CalRecycle.  When consumers return their empty beverage  
            containers to a recycler (or donate them to a curbside or  
            other program), the deposit is paid back as a refund.  

          3)Revoking certification.  The process for revoking the  
            certification of an abandoned recycling center takes a minimum  
            of 60 days, following an inspection process that takes six to  
            eight weeks.  While certified recycling centers are required  
            to notify CalRecycle if they close or change ownership,  
            revoking the certification of a closed recycling center only  
            occurs if CalRecycle receives a complaint that the center is  
            not operating or if a center is closed when CalRecycle  
            conducts an inspection. 


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












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