BILL ANALYSIS                                                                                                                                                                                                    Ó




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          |SENATE RULES COMMITTEE            |                       AB 1419|
          |Office of Senate Floor Analyses   |                              |
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                                   THIRD READING 


          Bill No:  AB 1419
          Author:   Eggman (D), et al.
          Amended:  8/19/16 in Senate
          Vote:     21 

           SENATE ENVIRONMENTAL QUALITY COMMITTEE:  7-0, 6/29/16
           AYES:  Wieckowski, Gaines, Bates, Hill, Jackson, Leno, Pavley

           SENATE APPROPRIATIONS COMMITTEE:  7-0, 8/1/16
           AYES:  Lara, Bates, Beall, Hill, McGuire, Mendoza, Nielsen

           ASSEMBLY FLOOR:  74-0, 5/22/15 (Consent) - See last page for  
            vote

           SUBJECT:   Hazardous waste:  cathode ray tube glass


          SOURCE:    Californians Against Waste
          
          DIGEST:   This bill provides that certain cathode ray tube (CRT)  
          panel glass is not subject to Department of Toxic Substances  
          Control (DTSC) regulation as hazardous waste if it meets certain  
          requirements.  This bill also permits the use of that CRT panel  
          glass for specified end uses, and allows DTSC to designate  
          additional end uses or to prohibit a previously designated end  
          use if it poses potential environmental or public health harm.


          Senate Floor Amendments of 8/19/16 remove automotive glass,  
          reflective glass beads and foam glass insulation as specified  
          allowed uses of recycled CRT glass that exceed state thresholds  
          for barium and add Senator Leyva as a coauthor.


          ANALYSIS:  








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          Existing law:  


          1)Prohibits the disposal of hazardous waste in a solid waste  
            landfill and specifies requirements for the proper handling,  
            transportation, treatment and disposal of hazardous waste,  
            except as exempted or otherwise classified by regulation.


          2)Requires DTSC to regulate and enforce federal and state  
            hazardous waste laws.


          3)Requires the Department of Resources, Recovery and Recycling  
            (CalRecycle) to regulate and enforce California laws relating  
            to solid waste including disposal, recycling and composting. 


          4)Establishes the Electronic Waste Recycling Act of 2003 (EWRA)  
            to provide a cost-free and convenient means for consumers to  
            return, recycle, and ensure the safe and environmentally sound  
            disposal of covered electronic devices (CEDs).  CEDs that are  
            discarded are considered covered electronic waste (CEW).  As  
            defined by EWRA, a CED is a video display device containing a  
            screen greater than four inches, measured diagonally  
            including:


             a)   CRT containing devices (CRT devices).
             b)   CRTs.
             c)   Computer monitors containing cathode ray tubes.
             d)   Laptop computers with liquid crystal display (LCD).
             e)   LCD containing desktop monitors.
             f)   Televisions containing cathode ray tubes.
             g)   Televisions containing LCD screens.
             h)   Plasma televisions.
             i)   Portable DVD players with LCD screens.


          5)Requires a consumer to pay a CEW recycling fee upon the  








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            purchase of a new or refurbished CED at the time of the retail  
            sale.  The CEW recycling fee ranges from $3 to $5, depending  
            on the screen size, and is used primarily to pay CEW  
            collectors and recyclers.


          6)Provides for payments to CEW collectors and recyclers for  
            costs associated with collecting and recycling CEW that has  
            been generated in the state.  


          7)Requires DTSC and CalRecycle to jointly establish and  
            implement an electronics waste (e-waste) recycling program  
            pursuant to EWRA.


          This bill:  


          1)Provides that used broken CRT panel glass and processed CRT  
            panel glass that exceeds the total threshold limit  
            concentration (TTLC) only for barium is not a waste and is not  
            subject to regulation by DTSC as a hazardous waste if that  
            panel glass meets certain requirements. 


          2)Permits the use of that CRT panel glass that exceeds the TTLC  
            only for barium for specified end uses.


          3)Authorizes DTSC to designate additional end uses or to  
            prohibit a previously designated end use if it poses potential  
            environmental or public health harm.


          Background



          1)E-waste.  The term "e-waste" is loosely applied to consumer  
            and business electronic equipment that is near or at the end  
            of its useful life.  There is no clear definition for e-waste;  








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            for instance whether or not items like microwave ovens and  
            other similar "appliances" should be grouped into the category  
            has not been established.  Certain components of some  
            electronic products contain materials that render them  
            hazardous, depending on their condition and density. For  
            instance, California law currently views nonfunctioning CRTs  
            from televisions and monitors as hazardous.


          2)EWRA.  In 2001, DTSC determined that CRT screens are  
            hazardous, and as such, must be managed as hazardous waste  
            when disposed.  In response to this determination, the  
            Legislature enacted SB 20 (Sher, Chapter 526, Statutes of  
            2003) and amended by SB 50 (Sher, Chapter 863, Statutes of  
            2004), establishing EWRA to create a cost-free and convenient  
            way for consumers to return, recycle, and ensure the safe and  
            environmentally sound disposal of hazardous video display  
            devices.  EWRA imposes a fee on every consumer at the point of  
            sale.  The Board of Equalization deposits the fee revenue into  
            the Electronic Waste and Recovery and Recycling Account, which  
            may be spent solely for activities that relate to reuse,  
            recycling, and proper disposal. 


            Today, over a dozen years later, new CRT devices are no longer  
            being consumed in any appreciable amount in the developed  
            world. In fact, it is unclear where and in what quantity new  
            CRTs are being fabricated for assembly into video devices.  
            Processed CRT glass from the West is being shipped to India at  
            a cost ranging from $100 and $200 per ton. Reportedly only  
            three large metal smelters in North America will accept leaded  
            CRT glass, though their capacity and demand for CRT glass is  
            limited. Long-promised new lead extraction technologies for  
            high-lead content funnel glass are still being developed, with  
            questions remaining about throughput and longevity. 


            A viable alternative large-scale application for low-leaded  
            residual panel glass (which contains barium oxide for optical  
            properties and radiation shielding) that conforms to  
            California's hazardous waste management rules has not been  
            identified. 








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            For the past several years, California's CEW recycling program  
            has generated approximately 100 million pounds of residual CRT  
            glass annually, though volumes appear to be beginning to  
            decline.  A key component of the CEW recycling program has  
            been a requirement that the derived residual CRTs and/or CRT  
            glass be "shipped" to a destination authorized to further  
            treat that material, under the assumption (and universal waste  
            management requirement) that the material would eventually  
            reach an appropriate recycling application. With the use of  
            intermediate facilities and foreign destinations, it is  
            becoming increasingly difficult to ensure when, where, and  
            whether residual CRT glass has achieved an appropriate  
            disposition.


            Universal waste management rules applicable to residual CRT  
            glass handling and treatment have generally recognized new CRT  
            manufacturing and lead smelting as the only appropriate  
            ultimate recycling dispositions for CRT glass. 


            However, neither of these end-uses currently occurs within the  
            state of California. Early program participants generally  
            shipped glass to North American smelters or to glass  
            processors for beneficiation prior to its subsequent marketing  
            to overseas CRT manufacturers. As more volume of CEW was  
            recovered and processed, a larger proportion of derived CRT  
            glass was ostensibly sent toward the so-called  
            "glass-to-glass" market (e.g., CRT manufacturing), either  
            directly or through processors. This practice was influenced  
            by accessibility and price, even as the global production and  
            sale of CRT devices rapidly declined. 


            By mid-2009, approximately 75% of residual CRTs and/or CRT  
            glass was being shipped to Mexican processors. However, in the  
            fourth quarter of 2009, access to Mexican CRT glass processors  
            was interrupted for nearly a year. Because CEW recyclers are  
            required to ship CRT glass to a destination "authorized to  
            receive and further treat" the glass prior to filing CEW  








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            recycling claims, this interruption caused the volume of  
            claimed CEW to decrease dramatically while recyclers searched  
            for alternative outlets for CRT glass. A couple of recyclers  
            pursued establishing their own in-state CRT processing  
            capabilities, while other enterprises started or offered  
            capacities out-of-state.


            The requirement to "ship" CRT glass has been interpreted by  
            CalRecycle as meaning that the glass be moved off-site from  
            the facility where the CEW was cancelled and the treatment  
            residual generated. This interpretation has been supportive of  
            universal waste accumulation time limits by discouraging  
            onsite storage. As ready access to ultimate disposition  
            options became more uncertain, and as the price charged by  
            out-of-state processors increased, more recyclers pursued  
            interest in establishing their own in-state, off-site  
            processing capabilities (or at least authorizations) to  
            fulfill treatment residual shipping criteria. While this would  
            allow CEW recycling payment claims to be submitted with  
            regularity, it did not create new end markets for CRT glass. 


            Current markets for residual CRTs and CRT glass are limited.   
            Access to traditional lead smelting is reportedly difficult,  
            with only one facility in the U.S. (Doe Run, Missouri).


          3)Future CRT Management.  CRT glass can be loosely categorized  
            into leaded glass and non-leaded glass. Sometimes this is  
            referred to as "funnel glass" and "panel glass" respectively,  
            but such classification can be misleading since the panel  
            glass of some CRTs also contains lead.  And even so-called  
            non-leaded glass contains other toxic metals, such as barium,  
            at levels that create environmental and regulatory concern,  
            particularly under current California hazardous waste law.   
            The ability to effectively identify, separate, characterize,  
            process, and test residual CRT glass will be critical to  
            future management options.


            New lead extraction technologies reportedly are emerging that  








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            may be more efficient than traditional smelting. Facilities in  
            AZ, OH, TX, NY, and VA utilizing these new technologies are in  
            differing stages of development but not in production-scale  
            operation.  Alternative applications also have been reported  
            for non-leaded CRT glass, such as in building materials, tile,  
            insulation, aggregate, proppant, industrial abrasives,  
            reflective coatings, and fill.  


            However CalRecycle is not aware of any alternative  
            production-scale applications in the United States that have  
            been demonstrated to and evaluated by DTSC and found to  
            constitute an ultimate disposition that would warrant  
            inclusion in the list of uses allowed under universal waste  
            rules. Nor is CalRecycle aware of any proposed use for  
            non-leaded CRT glass that has secured formal concurrence from  
            DTSC as an excluded recyclable material.



          4)Barium Oxide.  Barium is a silvery white metal that is used in  
            CRTs to provide radiation protection in the neck and funnel. 


            Barium oxide is an irritant.  If it contacts the skin or the  
            eyes or is inhaled it causes pain and redness. However, it is  
            more dangerous when ingested. It can cause nausea and  
            diarrhea, muscle paralysis, cardiac arrhythmia, and can cause  
            death. If ingested, medical attention should be sought  
            immediately.  Barium oxide should not be released  
            environmentally; it is harmful to aquatic organisms.  In  
            California barium oxide is a hazardous waste because of its  
            toxic characteristics.


          Comments


          1) Purpose of Bill.  According to the author, new LCD and LED  
             technology for televisions and monitor screens has taken over  
             and demand for old-fashioned CRT devices has dropped  
             dramatically.  The end-use market for CRT glass generated  








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             from recycling scrap CRT's has dried up and recyclers across  
             the nation are struggling with what to do with the glass.  
             Many have even resorted to stockpiling this material in hopes  
             of finding new outlets in the future.


             The author states that in response to this impending crisis,  
             DTSC adopted Emergency Regulations that allowed this material  
             to be recycled or disposed of under certain conditions in  
             2012. However, this regulatory scheme has proven difficult  
             for recyclers to implement, and hasn't created sufficient  
             viable pathways for this material.  


             The process of recycling scrap CRT monitors and televisions  
             produces three different types of glass:  funnel glass, which  
             contains high levels of lead, and low and non-leaded panel  
             glass which contains very low concentrations of lead, or no  
             lead at all.  The current regulations limit the options for  
             recycling leaded funnel glass to smelting, glass to glass  
             recycling for the production of new CRTs (currently only done  
             by one company in India), or landfill disposal.  Although  
             non-leaded panel glass should be available for many other  
             uses, the regulatory pathway for using these end markets has  
             not been clearly developed.


             The authors argues, complicating the issue even further is  
             that the world's last CRT manufacturer, which recycled as  
             much as 57% of the funnel and panel glass generated in the  
             country, announced that it would discontinue CRT production  
             in the coming months, eliminating one of the last outlets for  
             this material.


          2) CalRecycle.  CalRecycle published a paper in May, 2015,  
             entitled, "Electronic Waste Recycling Stakeholder Workshop"  
             stating "As the CEW recycling system moves forward,  
             consideration must be given to the availability of viable CRT  
             glass markets and alternatives, the anticipated lifespan of  
             those markets and the available supply of feedstock, and the  
             environmental impacts associated with moving the glass to  








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             those markets versus other management options. Furthermore,  
             while markets in far-off geographic areas may exist today,  
             the economic ripples resulting from use of those markets  
             should be a factor in any policy assessment.  Does the fact  
             that California recyclers pay to send CRT glass to certain  
             downstream recipients artificially subsidize the continued  
             consumption of hazardous inputs, prolonging the use of that  
             material in products that will ultimately be disposed  
             elsewhere, while potentially and simultaneously suppressing  
             the development of local recycling infrastructure in certain  
             destination countries? 


             "The fact that the ultimate disposition of essentially all  
             residual CRT glass currently occurs beyond California's  
             borders, and in a timeframe that makes the effective  
             monitoring of that disposition problematic, suggests policies  
             that ensure more certain fates closer to home should be  
             considered."


          Prior Legislation


          SB 20 (Sher, Chapter 526, Statutes of 2003) enacts the  
          Electronic Waste Recycling Act of 2003 to provide for the  
          convenient recycling of CEDs in California: requiring every  
          retailer or manufacturer that sells covered devices collect a  
          fee on each which was to be used for the regulation and proper  
          handling and recycling or disposal of covered devices.


          SB 50 (Sher, Chapter 863, Statutes of 2004) makes clarifying  
          changes to SB 20.




          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:YesLocal:   Yes










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          According to the Senate Appropriations Committee, this bill will  
          cost approximately $85,000 (Electronic Waste Recovery and  
          Recycling Account) for two years for DTSC to develop regulations  
          and has minor, if any, costs to CalRecycle.


          SUPPORT:   (Verified 8/3/16)


          Californians Against Waste (source)
          All eWaste, Inc.
          Association of California Recycling Industries
          Cali Resources, Inc.
          California Association of Local Conservation Corps
          California Electronic Asset Recovery
          California League of Conservation Voters
          Ecology Action
          ECS Refining
          Electronic Recyclers International, Inc.
          Environmental Working Group
          Fireclay Tile
          Institute of Scrap Recycling Industries, West Coast Chapter
          Kleen Blast Abrasives 
          Marin County Hazardous and Solid Waste Management Joint Powers  
                         Authority
          Napa Recycling and Waste Services
          Northern California Recycling Association
          Rural Counties Representatives of California
          Sonoma County AB 939 Local Task Force
          Sonoma County Waste Management Agency
          StopWaste
          Technologies Displays Americas, LLC.
          Tycoon Materials, Inc. DBA Happy Recyclers


          OPPOSITION:   (Verified8/3/16)


          None received


          ASSEMBLY FLOOR:  74-0, 5/22/15








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          AYES:  Achadjian, Travis Allen, Baker, Bigelow, Bloom, Bonilla,  
            Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau,  
            Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly,  
            Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina  
            Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez,  
            Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden,  
            Irwin, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low,  
            Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin,  
            Nazarian, Obernolte, Patterson, Perea, Quirk, Rendon,  
            Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark  
            Stone, Thurmond, Ting, Wagner, Wilk, Williams, Wood, Atkins
          NO VOTE RECORDED:  Alejo, Jones, O'Donnell, Olsen, Waldron,  
            Weber

          Prepared by:Rachel Machi Wagoner / E.Q. / (916) 651-4108
          8/22/16 22:58:08


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