BILL NUMBER: AB 2891	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MAY 25, 2016

INTRODUCED BY   Committee on Environmental Safety and Toxic Materials
(Assembly Members Alejo (Chair),  Gonzalez, McCarty, and
Ting   Arambula, Lopez, and McCarty  ))

                        FEBRUARY 29, 2016

   An act to amend Sections  47104, 47105, and 47106
  25173.7 and 25205.6  of the  Public
Resources   Health and Safety  Code, relating to
hazardous waste.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2891, as amended, Committee on Environmental Safety and Toxic
Materials.  Household hazardous   Hazardous
 waste:  guidelines.   funding.  
   Existing law, the Carpenter-Presley-Tanner Hazardous Substance
Account Act (California Superfund Act), imposes liability for
hazardous substance removal or remedial actions and authorizes moneys
in the Toxic Substances Control Account in the General Fund to be
expended by the Department of Toxic Substances Control to pay, among
other things, all costs of removal or remedial actions incurred by
the state and for the state's share of the costs of removal or
remedial actions mandated by the federal Comprehensive Environmental
Response Compensation, and Liability Act of 1980, commonly known as
the Federal Superfund Act. Existing law expresses the intent of the
Legislature that the funds deposited in the account be appropriated
in the annual Budget Act each year in a specified manner, including,
but not limited to, not less than $6,750,000 to the Site Remediation
Account in the General Fund for direct site remediation costs, as
defined.  
   This bill would instead express the intent of the Legislature that
the funds deposited in the account be appropriated in the annual
Budget Act each year to the Site Remediation Account in an amount
sufficient to pay for estimated costs for direct site remediation,
including, but not limited to, at both federal Superfund orphan sites
and at state-only orphan sites. Existing law defines orphan sites as
those with no reasonably identifiable responsible parties. The bill
would require the department to include those estimated costs in a
report submitted to the Legislature with the Governor's Budget each
year.  
    Existing law requires the department to provide the State Board
of Equalization with a schedule of codes identifying the types of
organizations that use, generate, store, or conduct activities in
this state related to hazardous materials. Each organization type
identified in the schedule is required to pay an annual fee, which is
deposited in the Toxic Substances Control Account. Existing law
expresses the intent that those organization fee rates are intended
to provide sufficient revenue to fund, among other things,
appropriations in any given fiscal year of $3,300,000 to fund the
state's clean-up obligation under the Federal Superfund Act. If the
department determines that the state's obligation under the Federal
Superfund Act will exceed $3,300,000 in any fiscal year, existing law
requires the department to report that determination to the
Legislature in the Governor's Budget.  
   This bill would repeal that expression of legislative intent and a
related requirement that the Legislature specify in the annual
Budget Act changes to those rates necessary to fund the state's
increased obligation under the Federal Superfund Act. The bill would
instead express the intent of the Legislature that those rates are
intended to provide sufficient revenue to fund appropriations in any
given fiscal year to fund the state's obligation under the Federal
Superfund Act. The bill would require the department to determine the
state's obligation under the Federal Superfund Act and to annually
include the determination in the report described above that is
submitted to the Legislature with the Governor's Budget.  
   This bill would also make conforming changes and delete obsolete
provisions.  
   (1) Existing law authorizes public agencies to operate household
hazardous waste collection facilities, as defined, and specifies
conditions for the transportation of household hazardous waste.
 
   Existing law requires the Department of Resources Recycling and
Recovery to prepare, in consultation with the Department of Toxic
Substances Control, guidelines and a state policy to guide the
efforts of local agencies to provide household hazardous waste
collection, recycling, and disposal programs pursuant to this
article.  
   This bill would require the department to additionally consult
with the State Water Resources Control Board in preparing the
guidelines and state policy.  
   (2) Existing law requires the Department of Resources Recycling
and Recovery, in establishing guidelines on which products should be
disposed of as hazardous waste, to consider specified factors.
 
   This bill would require the department to consider those factors
in consultation with the Department of Toxic Substances Control and
the State Water Resources Control Board.  
   (3) This bill would require the Department of Resources Recycling
and Recovery, beginning January 1, 2019, to annually update and post
the guidelines referenced in paragraphs (1) and (2) on its Internet
Web site. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

   SECTION 1.    Section 25173.7 of the  
Health and Safety Code   is amended to read: 
   25173.7.  (a) It is the intent of the Legislature that funds
deposited in the Toxic Substances Control Account shall be
appropriated in the annual Budget Act each year in the following
manner:
   (1)  Not less than six million seven hundred fifty
thousand dollars ($6,750,000)   An amount sufficient to
pay for the estimated costs identified by the department in the
report submitted pursuant to subdivision (c)  to the Site
Remediation Account in the General Fund for direct site remediation
costs, as defined in Section 25337.  The amount specified in
this paragraph shall be increased in any fiscal year by the amount of
increased revenues specified by the Legislature in the Budget Act
for that fiscal year pursuant to subdivision (g) of Section 25205.6.

   (2) Not less than four hundred thousand dollars ($400,000) to the
Expedited Site Remediation Trust Fund in the State Treasury, created
pursuant to subdivision (a) of  former  Section 25399.1, for
purposes of paying the orphan share of response costs pursuant to
former Chapter 6.85 (commencing with Section 25396).
   (3) An amount that does not exceed the costs incurred by the State
Board of Equalization, a private party, or other public agency, to
administer and collect the fees imposed pursuant to Article 9.1
(commencing with Section 25205.1) and deposited into the Toxic
Substances Control Account, for the purpose of reimbursing the State
Board of Equalization, public agency, or private party, for those
costs.
   (4)  Commencing with the 1999-2000 fiscal year and
annually thereafter, not   Not    less
than one million fifty thousand dollars ($1,050,000) for purposes of
establishing and implementing a program pursuant to Sections
25244.15.1, 25244.17.1, 25244.17.2,  25244.22, and 25244.24
  and 25244.22  to encourage hazardous waste
generators to implement pollution prevention measures.
   (5) Funds not appropriated as specified in paragraphs (1) to (4),
inclusive, may be appropriated for any of the purposes specified in
subdivision (b) of Section 25173.6, except the purposes specified in
subparagraph (C) of paragraph (1) of, and paragraph (13) of,
subdivision (b) of Section 25173.6.
   (b) (1) The  amounts specified in paragraphs (1) to (3),
inclusive, of subdivision (a) are the amounts that the Legislature
intends to appropriate for the 1998-99 fiscal year for the purposes
specified in those paragraphs, and the amount specified in paragraph
(4) of subdivision (a) is the amount the Legislature intends to
appropriate for the 1999-2000 fiscal year for the purposes specified
in that paragraph. Beginning with the 1999-2000 fiscal year, and for
each fiscal year thereafter, the  amounts specified in
paragraphs  (1)   (2)  to  (3),
  (4),  inclusive, of subdivision  (a), and
beginning with the 2000-01 fiscal year, and for each fiscal year
thereafter, the amount specified in paragraph (4) of subdivision
 (a) shall be adjusted annually to reflect increases or
decreases in the cost of living during the prior fiscal year, as
measured by the Consumer Price Index issued by the Department of
Industrial Relations or by a successor agency.
   (2) Notwithstanding paragraph (1), the department may, upon the
approval of the Legislature in a statute or the annual Budget Act,
take either of the following actions:
   (A) Reduce the amounts specified in paragraphs (1) to (4),
inclusive, of subdivision (a), if there are insufficient funds in the
Toxic Substances Control Account.
   (B) Suspend the transfer specified in paragraph (2) of subdivision
(a), if there are no orphan shares pending payment pursuant to
former Chapter 6.85 (commencing with Section 25396). 
   (c) (1) The department shall submit to the Legislature with the
Governor's Budget each year a report that includes an estimate of the
funding needed to meet the state's obligation to pay for direct site
remediation costs, including, but not limited to, at federal
Superfund orphan sites and at state-only orphan sites. The estimate
shall include projected current budget year and out-year costs,
including, but not limited to, at federal Superfund orphan sites and
at state-only orphan sites, for new and ongoing operations and
maintenance, new and ongoing remediation, and any other related
costs.  
   (2) For purposes of this section, "orphan site" shall have the
same meaning as defined in Section 25385.1. 
   SEC. 2.   Section 25205.6 of the   Health
and Safety Code   is amended to read: 
   25205.6.  (a) For purposes of this section, "organization" means a
corporation, limited liability company, limited partnership, limited
liability partnership, general partnership, and sole proprietorship.

   (b) On or before November 1 of each year, the department shall
provide the board with a schedule of codes, that consists of the
types of organizations that use, generate, store, or conduct
activities in this state related to hazardous materials, as defined
in Section 25501, including, but not limited to, hazardous waste. The
schedule shall consist of identification codes from one of the
following classification systems, as deemed suitable by the
department:
   (1) The Standard Industrial Classification (SIC) system
established by the United States Department of Commerce.
   (2) The North American Industry Classification System (NAICS)
adopted by the United States Census Bureau.
   (c) Each organization of a type identified in the schedule adopted
pursuant to subdivision (a) shall pay an annual fee, which shall be
set in the following amounts:
   (1) Two hundred dollars ($200) for those organizations with 50 or
more employees, but  less   fewer  than 75
employees.
   (2) Three hundred fifty dollars ($350) for those organizations
with 75 or more employees, but  less   fewer
 than 100 employees.
   (3) Seven hundred dollars ($700) for those organizations with 100
or more employees, but  less   fewer  than
250 employees.
   (4) One thousand five hundred dollars ($1,500) for those
organizations with 250 or more employees, but  less 
 fewer  than 500 employees.
   (5) Two thousand eight hundred dollars ($2,800) for those
organizations with 500 or more employees, but  less 
 fewer  than 1,000 employees.
   (6) Nine thousand five hundred dollars ($9,500) for those
organizations with 1,000 or more employees.
   (d) The fee imposed pursuant to this section shall be paid by each
organization that is identified in the schedule adopted pursuant to
subdivision (a) in accordance with Part 22 (commencing with Section
43001) of Division 2 of the Revenue and Taxation Code and shall be
deposited in the Toxic Substances Control Account. The revenues shall
be available, upon appropriation by the Legislature, for the
purposes specified in subdivision (b) of Section 25173.6.
   (e) For purposes of this section, the number of employees employed
by an organization is the number of persons employed in this state
for more than 500 hours during the calendar year preceding the
calendar year in which the fee is due.
   (f) The fee rates specified in subdivision (c) are the rates for
the 1998 calendar year. Beginning with the 1999 calendar year, and
for each calendar year thereafter, the State Board of Equalization
shall adjust the rates annually to reflect increases or decreases in
the cost of living during the prior fiscal year, as measured by the
Consumer Price Index issued by the Department of Industrial Relations
or by a successor agency.
   (g) (1) Pursuant to paragraph (3) of subsection (c) of Section 104
of the federal Comprehensive Environmental Response, Compensation,
and Liability Act of 1980, as amended (42 U.S.C. Sec. 9604(c)(3)),
the state is obligated to pay specified costs of removal and remedial
actions carried out pursuant to the federal Comprehensive
Environmental Response, Compensation, and Liability Act of 1980, as
amended (42 U.S.C. Sec. 9601 et seq.).
   (2) The fee rates specified in subdivision (c) are intended to
provide sufficient revenues to fund the purposes of subdivision (b)
of Section 25173.6, including appropriations in any given fiscal year
 of three million three hundred thousand dollars
($3,300,000)  to fund the state's obligation pursuant to
paragraph (3) of subsection (c) of Section 104 of the federal
Comprehensive Environmental Response, Compensation, and Liability Act
of 1980, as amended (42 U.S.C. Sec. 9604(c)(3)). 
   (3) If the department determines that the state's obligation under
paragraph (3) of subsection (c) of Section 104 of the federal
Comprehensive Environmental Response, Compensation, and Liability Act
of 1980, as amended (42 U.S.C. Sec. 9604(c)(3)) will exceed three
million three hundred thousand dollars ($3,300,000) in any fiscal
year, the department shall report that determination to the
Legislature in the Governor's Budget. If, as part of the Budget Act
deliberations, the Legislature concurs with the department's
determination, the Legislature shall specify in the annual Budget Act
those pro rata changes to the fee rates specified in subdivision (c)
that will increase revenues in the next calendar year as necessary
to fund the state's increased obligations. However, the Legislature
shall not specify fee rates in the annual Budget Act that increase
revenues in an amount greater than eight million two hundred thousand
dollars ($8,200,000) above the revenues provided by the fee rates
specified in subdivision (c).  
   (3) The department shall annually determine the state's obligation
under paragraph (3) of subsection (c) of Section 104 of the federal
Comprehensive Environmental Response, Compensation, and Liability Act
of 1980, as amended (42 U.S.C. Sec. 9604(c)(3)), and shall include
the determination in the annual report submitted to the Legislature
with the Governor's Budget specified in subdivision (c) of Section
25173.7. 
   (4) Any changes in the fee rates approved by the Legislature in
the annual Budget Act pursuant to this subdivision shall have effect
only on the fee payment that is due and payable by the end of
February in the fiscal year for which that annual Budget Act is
enacted.
   (h) This section does not apply to a nonprofit corporation
primarily engaged in the provision of residential social and personal
care for children, the aged, and special categories of persons with
some limits on their ability for self-care, as described in SIC Code
8361 of the Standard Industrial Classification (SIC) Manual published
by the United States Office of Management and Budget, 1987 edition.
   (i) The changes made to this section by the act of the 2005-06
Regular Session of the Legislature amending this section shall not
increase fee revenues in the 2006-07 fiscal year. 
  SECTION 1.    Section 47104 of the Public
Resources Code is amended to read:
   47104.  The department shall prepare, in consultation with the
Department of Toxic Substances Control and the State Water Resources
Control Board, guidelines and a state policy to guide the efforts of
local agencies to provide household hazardous waste collection,
recycling, and disposal programs pursuant to this article. The
guidelines required by this section shall allow adequate flexibility
to local agencies in meeting their individual needs, to the extent
that the local agency's program does not conflict with the state
policy prepared pursuant to this section.  
  SEC. 2.    Section 47105 of the Public Resources
Code is amended to read:
   47105.  (a) The guidelines required by this article shall include
both of the following elements:
   (1) Development of a model operation plan for community household
hazardous waste collection, recycling, and disposal programs required
to be identified pursuant to this article. The model operation plan
shall include a description of proper procedures for hazardous waste
handling, storage, transportation, and personnel training.
   (2) The establishment of guidelines on the generic types of
household hazardous substances that should be disposed of as
hazardous waste, and guidelines on the safe management of hazardous
wastes generated by households that may be excluded from household
hazardous waste collection programs but may require some special
handling.
   (b) Beginning January 1, 2019, the department shall annually
update and shall post on its Internet Web site the guidelines
required by this article.  
  SEC. 3.    Section 47106 of the Public Resources
Code is amended to read:
   47106.  In establishing guidelines on which products should be
disposed of as hazardous waste, the department, in consultation with
the Department of Toxic Substances Control and the State Water
Resources Control Board, shall consider such factors as toxicity,
concentration of toxic ingredients in a product, and other
appropriate factors. The department shall also consider the
appropriateness of excluding from any listing of household hazardous
wastes specific categories of household products, such as products
intended for human consumption, personal hygiene products, and other
categories of household products intended for general consumer use.