BILL ANALYSIS                                                                                                                                                                                                    Ó




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          |SENATE RULES COMMITTEE            |                        SB 162|
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                                UNFINISHED BUSINESS 


          Bill No:  SB 162
          Author:   Galgiani (D)
          Amended:  6/22/15  
          Vote:     21  

           SENATE ENVIRONMENTAL QUALITY COMMITTEE:  3-3, 4/15/15 (FAIL)
           AYES:  Gaines, Bates, Pavley
           NOES:  Wieckowski, Hill, Leno
           NO VOTE RECORDED:  Jackson

           SENATE ENVIRONMENTAL QUALITY COMMITTEE:  7-0, 4/29/15
           AYES:  Wieckowski, Gaines, Bates, Hill, Jackson, Leno, Pavley

           SENATE APPROPRIATIONS COMMITTEE:  7-0, 5/28/15
           AYES:  Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen

           SENATE FLOOR:  38-0, 6/1/15
           AYES:  Allen, Anderson, Bates, Beall, Berryhill, Block,  
            Cannella, De León, Fuller, Gaines, Galgiani, Glazer, Hall,  
            Hancock, Hertzberg, Hill, Hueso, Huff, Jackson, Lara, Leno,  
            Leyva, Liu, McGuire, Mendoza, Mitchell, Monning, Moorlach,  
            Nguyen, Nielsen, Pan, Pavley, Roth, Runner, Stone, Vidak,  
            Wieckowski, Wolk
           NO VOTE RECORDED:  Hernandez, Morrell

           ASSEMBLY FLOOR:  80-0, 9/01/15 - See last page for vote

           SUBJECT:   Treated wood waste


          SOURCE:    Author

          DIGEST:   This bill extends the sunset date that allows treated  
          wood waste (TWW) to be disposed of in a Class II or III landfill  
          so long as alternative management standards, established by the  








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          Department of Toxic Substances Control (DTSC) are maintained to  
          January 1, 2020.
          Assembly Amendments update the information required to be posted  
          by wholesalers and retailers of treated wood and treated  
          wood-like products and require the DTSC to conduct a survey and  
          otherwise seek information on how households are currently  
          handling, transporting, and disposing of treated wood waste,  
          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.

          ANALYSIS:

          Existing law:

          1)Under the Hazardous Waste Control Act (HWCA), provides for the  
            registration, licensure and permitting of hazardous waste  
            generators, transporters and storage, transfer and disposal  
            facilities.  HWCA requires DTSC to implement and enforce the  
            HWCA.

          2)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.

          3)Defines "wood preserving industry" as business concerns, other  
            than retailers, that manufacture or sell treated wood products  
            in the state.

          4)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.

          5)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,  








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            landscaping, outdoor structures, and similar uses.

          6)Requires the DTSC to adopt regulations, as specified,  
            establishing alternative management standards (AMS) for TWW.   
            Authorizes DTSC to subsequently revise these regulations as  
            necessary.

          7)Requires DTSC, on or before June 1, 2011, to prepare and post  
            on its Internet web site a report that makes a determination  
            regarding the successful compliance with, and implementation  
            of, TWW laws and regulations.

          8)Sunsets the TWW requirements on June 1, 2017.

          This bill extends the sunset date on TWW statute from June 1,  
          2017, to December 31, 2020, and requires DTSC to prepare a  
          comprehensive report on the implementation of TWW law.    
          Specifically, this bill:  

          1)Deletes existing statute that prohibits the DTSC from imposing  
            additional requirements on, or from exceeding existing  
            statutory requirements for, TWW disposal.

          2)Requires the 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.

          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 the 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;








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             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 the 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  
               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.

          Background
          
          1)California's TWW Program.  During the 1980s, the DTSC issued a  
            number of variances authorizing the disposal of wood waste  
            treated with wood preservatives at lined municipal landfills  
            rather than at Class I facilities if the water quality permits  
            allow for such disposal.  

            In the late 1990s, the variances were scrutinized as not  
            providing sufficient protection to public health and the  
            environment and the DTSC opined that the variances were  
            illegal and intended to rescind them in the early 2000s.  The  








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            treated wood industry pursued legislation essentially  
            codifying the variances previously granted and proposed to be  
            rescinded by the DTSC.  AB 1353 (Matthews, Chapter 597,  
            Statutes of 2004), was enacted, creating disposal guidelines  
            and regulatory authority for TWW, requiring the DTSC to adopt  
            regulations establishing AMS for TWW and authorizing the  
            disposal of TWW in either a Class I hazardous waste landfill,  
            or in a composite-lined portion of a solid waste landfill unit  
            that meets specified requirements.

          2)What is Treated Wood, TWW and Why is It a Hazardous Waste?   
            Treated wood contains hazardous chemicals that pose a risk to  
            human health and the environment.  Arsenic, chromium, copper,  
            creosote, chromated copper arsenate (CCA) and  
            pentachlorophenol are among the chemicals used to preserve  
            wood and are known to be toxic or carcinogenic. 

            Treated wood is commonly used to build telephone poles, road  
            signs and marine pilings as well as decks, play structures and  
            raised garden beds. Insects and mold can damage wood over  
            time. To prevent that damage, wood is often treated with these  
            pesticides and preservatives.  

            Precautions have been taken by both the federal and state  
            governments in concert with the treated wood industry to limit  
            exposure to these harmful chemicals, especially in residential  
            settings.  As of January 1, 2004, United States Environmental  
            Protection Agency does not allow CCA products to be used to  
            treat wood intended for any of these residential uses such as:  
            wood used in play-structures, decks, picnic tables,  
            landscaping timbers, residential fencing, patios and  
            walkways/boardwalks.

            Wood preservatives help to extend the life of wood, however as  
            the product degrades in the environment, preservatives can  
            slowly leach into the surrounding soil or water.   
            Additionally, touching the wood can leave residue on exposed  
            skin.  While the product is in use it is important to keep the  
            wood sealed, providing a protective barrier, in order to  
            prevent human exposure and leaching into surrounding soil and  
            groundwater.









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            At end of life, the wood and its sealant are degraded  
            providing opportunity for the pesticides and preservatives to  
            more easily leach out, presenting health and environmental  
            risks.  Proper handling is essential to protecting human  
            health and the environment.

            Harmful exposure to these chemicals may result from exposure  
            to both treated wood and TWW.  The exposure pathways are  
            touching, inhaling or ingesting the chemicals (e.g., handling  
            of wood, especially wood with degraded sealant or degraded  
            wood, inhaling sawdust and smoke or putting one's hand to  
            one's mouth after touching degraded wood or wood with degraded  
            sealant).

          3)What is Hazardous Waste and What Are the Statutory Protections  
            of the HWCA?  A hazardous waste is a waste with a chemical  
            composition or other properties that make it capable of  
            causing illness, death, or some other harm to humans and other  
            life forms when mismanaged or released into the environment.

            Among the risks associated with hazardous waste are ground  
            water contamination, air pollution, soil contamination and  
            human health risks associated with direct exposure.

            In California, the HWCA provides for registration, training  
            and/or permitting of hazardous waste generators,  
            transporters/haulers, collection, storage or transfer  
            facilities and disposal facilities.  

            Additionally, HWCA provides for tracking of hazardous waste by  
            all parties who handle the waste through a universal manifest  
            system and ultimately requires that those manifests are  
            provided to the DTSC in order to track, account for all  
            hazardous waste in California, and enforce HWCA and the  
            regulations implementing HWCA.  

            This system creates accountability and when followed protects  
            the environment and public health from release of, or exposure  
            to, the hazards of the waste.

          4)DTSC AMS for TWW.  TWW has its own statute directing the DTSC  
            to develop regulations for AMS (separate from universal  








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            waste).  The AMS for TWW provide much less stringent storage  
            requirements, extend accumulation periods, allow shipments  
            without a hazardous waste manifest or a hazardous waste  
            hauler, and allow disposal at specific non-hazardous waste  
            landfills.

            The AMS for TWW provide for much less stringent requirements  
            from HWCA but they are also considerably less stringent than  
            universal requirements.  For example, the AMS allow a shipping  
            document, bill of lading, or invoice as documentation of the  
            TWW and allows anyone to transport TWW.  AMS require the waste  
            to be labeled and a report to be sent by disposal facilities  
            semi-annually to the DTSC.  However, AMS do not require any  
            sort of documentation to travel with this waste, like a  
            manifest tracking the waste (unlike HWCA or universal waste  
            regulation) that would allow for any accountability and  
            enforcement.  It appears that these regulations were written  
            to be completed self-enforced by the generator with no way to  
            actually track the waste, generators, or haulers that are not  
            complying with the proper handling requirements. 

          5)The DTSC report.  AB 1353 required the DTSC to conduct an  
            evaluation of TWW statute and regulations and report back to  
            the Legislature.  In 2011, the DTSC issued a 12-page report  
            that contained vague language and insufficient information to  
            evaluate the program.  

            The intent of the Legislature in asking for this report from  
            the DTSC was to gain insight and information to evaluate the  
            efficacy of allowing AMS for this wastestream, assuming that a  
            scientific regulatory agency, such as the DTSC, would have  
            provided a report with specific data to allow that evaluation.  
             These vague statements raise significant concerns about what  
            type of risks are actually occurring in the mishandling of  
            this wastestream.

          6)Lack of Funding. The DTSC's HWCA implementation and  
            enforcement activities are funded through fees on the  
            regulated community (i.e., the generators, transporters and  
            /storage/transfer/disposal facilities).  When a waste, like  
            TWW, is provided an alternative management scheme for the  
            waste, which does not include the registration, licensure or  








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            permitting of the parties noted above, no fee is collected.   
            Therefore, the DTSC does not have the needed resources to  
            enforce the AMS.  

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




          According to the Assembly Appropriations Committee, this bill  
          has increased annual special fund costs of $600,000 for two  
          years from the HWCA for the required inspections and reporting  
          requirements.  According to DTSC, there are approximately 430  
          generators of TWW, 200 transfer stations, and 45 landfills.   
          This bill requires DTSC to inspect 108, 50, and 45 of these  
          facilities respectively.


          SUPPORT:   (Verified9/1/15)


          Allweather Wood, LLC
          American Forest & Paper Association
          American Wood Council 
          Bay Planning Coalition
          Brooks Manufacturing Company
          California Cattlemen's Association
          California Chamber of Commerce
          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.
          Fontana Wood Preserving, Inc.
          Humboldt Waste Management Authority
          JH Baxter
          McFarland Cascade
          Natural Wood Solutions, LLC
          Osmose
          Railway Tie Association








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          Republic Services, Inc.
          Rio Tinto Minerals
          Rural County Representatives of California
          Rutgers Canada, Inc.
          Solid Waste Association of North America
          Southeastern Lumber Manufacturers Assn.
          Southern Pressure Treaters Association
          Treated Wood Council
          Waste Management
          West Coast Lumber & Building Materials Association
          Western Wood Preservers Institute
          Wine Institute


          OPPOSITION:   (Verified9/1/15)


          None received

           ASSEMBLY FLOOR:  80-0, 9/01/15
           AYES: Achadjian, Alejo, 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, Jones-Sawyer, Kim, Lackey, Levine, Linder,  
            Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina,  
            Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen,  
            Patterson, Perea, Quirk, Rendon, Ridley-Thomas, Rodriguez,  
            Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting,  
            Wagner, Waldron, Weber, Wilk, Williams, Wood, Atkins


          Prepared by:Rachel Machi Wagoner / E.Q. / (916) 651-4108
          9/1/15 21:35:19


                                   ****  END  ****


          








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