BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                            Senator Bob Wieckowski, Chair
                                2015 - 2016  Regular 

          Bill No:           SB 662           Hearing Date:    4/15/2015
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          |Author:   |Committee on Environmental Quality                    |
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          |Version:  |2/27/2015                                             |
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          |Urgency:  |No                     |Fiscal:      |Yes             |
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          |Consultant|Laurie Harris                                         |
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          Subject:  Recycling


            ANALYSIS:                                                     
          
          Existing law:

          1. Declares the state's policy goal that not less than 75% of  
             solid waste generated be source reduced, recycled, or  
             composted by 2020 and annually thereafter, and that market  
             development is the key to increasing cost-effective  
             recycling.

          2. Requires the Department of Resources, Recycling and Recovery  
             (CalRecycle) to develop a comprehensive market development  
             plan to stimulate market demand in the state for waste  
             material generated in the state, and requires the plan to  
             include efforts to encourage and promote cooperative,  
             regional programs to expand markets for recycled material.

          3. Authorizes a local governing body to propose eligible  
             property in its jurisdiction as a Recycling Market  
             Development Zone (RMDZ), and authorizes CalRecycle to  
             designate RMDZs which are necessary to assist in attracting  
             private sector recycling investments to the area.

          4. Creates the Recycling Market Development Revolving Loan  
             Subaccount and continuously appropriates the funds deposited  
             in the subaccount to CalRecycle for making loans to local  
             governing bodies, private businesses, and non-profit entities  
             within the RMDZ for the purposes of the RMDZ Loan Program.







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          5. Within the Architectural Paint Recovery Program, requires a  
             manufacturer of architectural paint or the designated  
             stewardship organization to submit an architectural paint  
             stewardship plan to CalRecycle to develop and implement a  
             recovery program to reduce, reuse, and manage postconsumer  
             architectural paint.

          6. Requires the manufacturer or designated organization to also  
             submit an annual report on or before September 1 of each year  
             describing its architectural paint recovery efforts.

          This bill: 

             1.   Authorizes CalRecycle to expend money from the Recycling  
               Market Development Revolving Loan Subaccount to make  
               payments to local governing bodies within RMDZs to  
               reimburse them for activities promoting the zone  
               development.

             2.   Changes the annual report date of a manufacturer's  
               architectural paint recovery efforts to CalRecycle from  
               September 1 to November 1 of each year.
             
            Comments
          
             1.   Purpose of Bill. This is the Environmental Quality  
               Committee's annual omnibus bill and makes two technical  
               changes regarding current programs.

          According to CalRecycle, regarding the efforts of RMDZ  
          Administrators to develop manufacturing facilities within the  
          Zone, "Developing such facilities is a critical component of  
          CalRecycle's efforts to achieving 75 percent recycling by 2020  
          and the state's greenhouse gas reduction goals.  Attracting,  
          siting, and permitting such facilities, as well as finding  
          appropriate recycled feedstock, requires the services of Zone  
          Administrators. For the last 20 years, CalRecycle has provided  
          reimbursement payments, primarily from the RMDZ Loan Subaccount,  
          to the Zone Administrators for outreach services to promote the  
          RMDZ Loan Program.  However, a recent determination found that  
          PRC 42023.1, which authorizes the RMDZ Loan Subaccount funds  
          expenditures, does not give CalRecycle sufficient authority to  
          expend funds from the RMDZ Loan Subaccount to reimburse Zone  








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          Administrators for outreach services."  This bill clarifies  
          CalRecycle's statutory authority to make reimbursement payments  
          for RMDZ promotion activities.

          PaintCare is California's extended producer responsibility  
          collection system for left-over paint recovery, run by  
          manufacturers.  Over the past two years, PaintCare's growth has  
          led to the need for a minimum of four months past the end of the  
          fiscal year (June 30) to prepare the annual report to  
          CalRecycle, which necessitates continued deadline extension  
          requests.  Changing the date to November 1 would allow a more  
          realistic time frame for submitting the report.
            
          SOURCE:                    Committee on Environmental Quality  

           SUPPORT:               
          American Coatings Association (ACA)
          California Paint Council (CPC)
          PaintCare
           
           OPPOSITION:    None on file  

           
                                          
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