BILL ANALYSIS Ó SB 162 Page 1 Date of Hearing: June 30, 2015 ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY AND TOXIC MATERIALS Luis Alejo, Chair SB 162 (Galgiani) - As Amended June 22, 2015 SENATE VOTE: 38-0 SUBJECT: Treated wood waste. SUMMARY: Extends the sunset date on treated wood waste (TWW) statute from June 1, 2017 to December 31, 2020, and requires the Department of Toxic Substances Control (DTSC) to prepare a comprehensive report on the implementation of TWW law. Specifically, this bill: 1)Deletes existing statute that prohibits DTSC from imposing additional requirements on, or from exceeding existing statutory requirements for, TWW disposal. 2)Requires DTSC, on or before January 1, 2018, to prepare, post on its website, and provide to the appropriate policy committees of the Legislature, a comprehensive report on the compliance with, and implementation of, TWW law. SB 162 Page 2 3)Requires the TWW report to include, but not be limited to, all of the following: a) Data, and evaluation of that data, on the rates of compliance with TWW law and injuries associated with handling TWW based on DTSC inspections of TWW generator sites and TWW disposal facilities; b) An evaluation of the adequacy of protective measures taken in tracking, handling, and disposing of TWW; c) Data regarding the unauthorized disposal of TWW at disposal facilities that have not been approved for that disposal; d) Conclusions regarding the handling of TWW; and, e) Recommendations for changes to the handling of TWW to ensure the protection of public health and the environment. 4)Requires DTSC, in order to gather data to perform the required TWW study, to do all of the following: a) Inspect representative TWW generator sites and TWW disposal facilities, which shall not to be less than 25 SB 162 Page 3 percent of each; b) Survey and otherwise seek information on how households are currently handling, transporting, and disposing of TWW, including available information from household hazardous waste collection facilities, solid waste transfer facilities, solid waste disposal facility load check programs, and certified unified program agencies; and, c) Seek data, by survey or otherwise, to determine whether sufficient information and convenient collection and disposal options are available to household generators of TWW. 5)Extends the sunset date on TWW statute from June 1, 2017 to December 31, 2020. 6)Makes other clarifying amendments. EXISTING LAW: 1)Prohibits the disposal of any hazardous waste when the disposal is at a facility that does not have a permit from DTSC. (Health & Safety Code (HSC) Chapter 6.5) SB 162 Page 4 2)Prohibits the owner or operator of a storage facility, treatment facility, transfer facility, resource recovery facility, or disposal site from accepting, treating, storing, or disposing of hazardous waste at the facility, area, or site, unless the owner or operator holds a hazardous waste facility permit or other grant of authorization from DTSC. (HSC Chapter 6.5) 3)Defines "treated wood" as wood that has been treated with a chemical preservative for purposes of protecting the wood against attacks from insects, microorganisms, fungi, and other environmental conditions that can lead to decay of the wood and the chemical preservative is registered pursuant to the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA). (HSC § 25150.7 (b)(1)) 4)Defines "wood preserving industry" as business concerns, other than retailers, that manufacture or sell treated wood products in the state. (HSC § 25150.7 (b)(2)) 5)Requires TWW to be disposed of in either a class I hazardous waste landfill, or in a composite-lined portion of a solid waste landfill unit that meets specified requirements. (HSC § 25150.7 (d)(1)) 6)Requires each wholesaler and retailer of treated wood and treated wood-like products to conspicuously post specified warning information at or near the point of display or customer selection of treated wood and treated wood-like products used for fencing, decking, retaining walls, landscaping, outdoor structures, and similar uses. (HSC § 25150.7 (e)(1)) 7)Requires DTSC, in consultation with the Department of Resources Recycling and Recovery, the State Water Resources Control Board, and the Office of Environmental Health Hazard Assessment, and after consideration of any known health hazards associated with treated wood waste, to adopt regulations, as specified, establishing alternative management SB 162 Page 5 standards (AMS) for TWW. Authorizes DTSC to subsequently revise these regulations as necessary. (HSC § 25150.7 (f)(1)) 8)Sunsets the TWW requirements on June 1, 2017. (HSC § 25150.7 (j)) 9)Specifies that DTSC is not authorized to adopt regulations that impose additional requirements on the disposal of TWW or exceed any of the statutory requirements for TWW disposal. (HSC § 25150.7 (f)(3)) FISCAL EFFECT: Unknown. COMMENTS: Need for the bill: According to the author, "Existing law (SB 909, Chapter 601, Statutes of 2011) includes a sunset provision due to expire on June 1, 2017. Failure to extend this authorization would cause chaos and illegal dumping of treated wood waste and default to hazardous waste landfills that are not readily available to the majority of Californians. This bill removes the sunset date to continue the current disposal of treated wood waste. " TWW: According to DTSC, treated wood is wood that has been treated with a chemical preservative for protection against pests or environmental conditions. Examples of treated wood uses include fence posts, sill plates, landscape timbers, pilings, guardrails, and decking. When the treated wood has reached the end of its useful life, it becomes TWW. DTSC reports that TWW contains hazardous chemicals, such as arsenic, chromium, copper, creosote, and pentachlorophenol, which pose a risk to human health and to the environment. These chemicals are known to be toxic or carcinogenic. Harmful SB 162 Page 6 exposure to these chemicals may result from dermal contact with TWW, or from inhalation or ingestion of TWW particulate (e.g., sawdust and smoke). If TWW is not properly disposed of, the chemicals the waste contains can contaminate surface water and groundwater. California's TWW program: Disposal guidelines and regulatory authority for TWW were created pursuant to AB 1353 (Matthews, Chapter 597, Statutes of 2004). HSC § 25150.7(f) requires DTSC to adopt regulations establishing AMS for TWW. In addition, HSC §25150 (d)(l) authorizes the disposal of TWW in either a class I hazardous waste landfill, or in a composite-lined portion of a solid waste landfill unit approved to accept TWW by the appropriate Regional Water Quality Control Board. Because TWW contains hazardous chemicals, it is subject to California's Hazardous Waste Control Law. However, California's hazardous waste facilities lack the capacity to accommodate the volume of TWW generated in the state every year. Therefore, AB 1353 provided DTSC with the statutory authority to develop, through regulations, AMS for TWW that are based upon hazardous waste requirements, but are adjusted for the unique circumstances associated with TWW. AMS lessen storage requirements, extend accumulation periods, allow shipments without a hazardous waste manifest and a hazardous waste hauler, and allow disposal at specific non-hazardous waste landfills. According to DTSC, the AMS simplify and facilitate the safe and economical disposal of TWW. Should this bill fail to become enacted, HSC § 25150.7, which directs DTSC to adopt the AMS regulations, will sunset on June 1, 2017. DTSC maintains, however, that, pursuant to the law, the AMS regulations will remain operative after that date. Since the regulations restate the statutory requirements for managing TWW, these requirements will remain in effect. DTSC argues, though, that absent legislative action, the requirement for wholesalers and retailers of treated wood products to post specified precautions for customers will SB 162 Page 7 sunset with the TWW statute. SB 162 extends the sunset for TWW law from June 1, 2017 to December 31, 2020. DTSC's TWW report: AB 1353 also required DTSC to "prepare and post on its Web site a report that makes a determination regarding the successful compliance with, and implementation of " TWW law. In June 2011, DTSC published "Treated Wood Waste Management in California; AB 1352 Implementation Report, June 2011." The report contained some alarming findings, including that, "Based on a very limited number of inspections, TWW generators inspected by DTSC were found to have more-and more serious-violations, some of which posed potential threats to the environment and/or public health." SB 162 requires a more comprehensive evaluation of the TWW program, including information on compliance and outreach efforts to household TWW generators. This evaluation should better inform a decision on whether the TWW program is sufficiently protective of public health and the environment and may be extended indefinitely. Previous related legislation: 1)SB 909 (La Malfa, Chapter 601, Statutes of 2011). Modified code relating to TWW disposal, including: extended the sunset of statute related to TWW disposal requirements from 2012 to 2017; deleted obsolete sections of code, including a reference to a required TWW report; and, specified the website and phone number that wholesalers and retailers of treated wood and treated wood-like products are required to post on warning signs so that consumers can access information about treated wood. 2)AB 1353 (Matthews, Chapter 597, Statutes of 2004). Required TWW to be disposed of in a Class I hazardous waste landfill SB 162 Page 8 or a composite-lined portion of a solid waste landfill unit (Class II or Class III); required DTSC to establish management standards for TWW; and, required DTSC, by June 1, 2011, to prepare and post on its website a report that makes a determination regarding the implementation and compliance rate for the generation and management of TWW. REGISTERED SUPPORT / OPPOSITION: Support Western Wood Preservers Institute (sponsor) Allweather Wood, LLC American Forest & Paper Association American Wood Council Bay Planning Coalition Brooks Manufacturing Company California Cattlemen's Association California Chamber of Commerce SB 162 Page 9 California Construction and Industrial Materials Association California Farm Bureau Federation California Forestry Association California Manufacturers & Technology Association Chemical Industry Council of California Exterior Wood, Inc. JH Baxter McFarland Cascade Natural Wood Solutions, LLC Osmose Railway Tie Association Republic Services, Inc. Rio Tinto Minerals SB 162 Page 10 Ruetgers Canada, Inc. Rural County Representatives of California Southeastern Lumber Manufacturers Association Southern Pressure Treaters Association Treated Wood Council Waste Management West Coast Lumber & Building Material Association Western Wood Preservers Institute Wine Institute Opposition None on file. Analysis Prepared by:Shannon McKinney / E.S. & T.M. / (916) 319-3965 SB 162 Page 11