BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                     SB 673


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          SENATE THIRD READING


          SB  
          673 (Lara)


          As Amended  July 8, 2015


          Majority vote


          SENATE VOTE:  21-14


           ------------------------------------------------------------------ 
          |Committee       |Votes|Ayes                  |Noes                |
          |                |     |                      |                    |
          |                |     |                      |                    |
          |                |     |                      |                    |
          |----------------+-----+----------------------+--------------------|
          |Environmental   |5-1  |Alejo, Gonzalez,      |Gallagher           |
          |Safety          |     |Gray, McCarty, Ting   |                    |
          |                |     |                      |                    |
          |----------------+-----+----------------------+--------------------|
          |Appropriations  |12-5 |Gomez, Bloom, Bonta,  |Bigelow, Chang,     |
          |                |     |Calderon, Nazarian,   |Gallagher, Jones,   |
          |                |     |Eggman, Eduardo       |Wagner              |
          |                |     |Garcia, Holden,       |                    |
          |                |     |Quirk, Rendon, Weber, |                    |
          |                |     |Wood                  |                    |
          |                |     |                      |                    |
          |                |     |                      |                    |
           ------------------------------------------------------------------ 


          SUMMARY:  Revises the Department of Toxic Substances Control's  
          (DTSC) permitting process and public participation requirements  








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          for hazardous waste facilities.  Specifically, this bill:  


          1)Establishes, until January 1, 2021, the DTSC Community  
            Oversight Committee within DTSC and requires it to make  
            recommendations to DTSC to increase public participation in,  
            and the transparency of, the department's decision making  
            process, and to serve as a resource and liaison for  
            communities and residents in communication with DTSC. 
          2)Requires the Community Oversight Committee is comprised of  
            thirteen members appointed by California Environmental  
            Protection Agency (five members), Senate Rules Committee (four  
            members), and Speaker of the Assembly (four members).   
            Provides that the members of the Community Oversight Committee  
            receive per diem and serve at the pleasure of the respective  
            appointing authorities.


          3)Requires DTSC, by July 1, 2018, to adopt additional criteria  
            for use in determining whether to issue a new or modified  
            hazardous waste facilities permit or a renewal of a hazardous  
            waste facilities permit, and to develop and implement  
            programmatic reforms designed to improve the protectiveness,  
            timeliness, legal defensibility, and enforceability of DTSC's  
            permitting program.


          4)Requires DTSC to consider vulnerable communities in making  
            permit decisions using the CalEnviro Screen tool, local and  
            regional health risk assessments, the region's federal Clean  
            Air Act attainment status, and other indicators of community  
            vulnerability, cumulative impact, and potential risks to  
            health and well-being.


          5)Requires DTSC to consider minimum facility setback distances  
            from sensitive receptors, such as schools, child care  
            facilities, residences, hospitals, elder care facilities, and  
            other sensitive locations when making permit decisions.








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          6)Requires DTSC to establish criteria of the completion of a  
            health risk assessment associated with facility permit  
            reviews.


          7)Requires a person to pay for oversight of any corrective  
            action required of the person with respect to hazardous waste.


          FISCAL EFFECT:  According to the Assembly Appropriations  
          Committee, this bill would have an increased one-time cost of  
          $600,000 for DTSC to revise permitting regulations as well as an  
          ongoing annual cost of $300,000 to staff the California  
          Communities Committee.


          COMMENTS:  


          Need for this bill:  According to the author, "Recent high  
          profile cases involving permitted facilities such as the Exide  
          Technologies battery recycling facility in Vernon, CA, and the  
          Kettleman Hills Hazardous Waste Facility in Kings County have  
          raised significant environmental justice concerns from the  
          communities surrounding the facilities and have led to criticism  
          of the department's permitting procedures and responsiveness to  
          community concerns.  


          An external peer review of permit reforms undertaken by DTSC  
          found that there has been significant dissatisfaction with the  
          performance of the department, and in particular a perception  
          that the office is not responsive to community concerns.  That  
          report also recommended that clear and objective permitting  
          criteria should be developed to establish when permits should be  
          revoked or not renewed." 









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          Permitting hazardous waste storage, treatment, and disposal  
          facilities:  DTSC is responsible for the review of Resource  
          Conservation and Recovery Act (RCRA) and non-RCRA hazardous  
          waste permit applications to ensure the safe design and  
          operation; for issuance/denial of operating permits; issuance of  
          post closure permits; approval/denial of permit modifications;  
          issuance/denial of emergency permits; review and approval of  
          closure plans; closure oversight of approved closure plans;  
          issuance/denial of variances;  assistance to regulated industry  
          on permitting matters;  public involvement.



          DTSC external peer review of permit reforms:  DTCS has  
          undertaken a review of permitting and enforcement processes for  
          hazardous waste facilities.  To do this, DTSC contracted for an  
          outside program evaluation by CPS HR Consulting that provided a  
          review of the DTSC permit process to develop a standardized  
          process with decision criteria and corresponding standards of  
          performance.  


          The program evaluation of the DTSC permitting process found that  
          there has been significant dissatisfaction with the performance  
          of the permitting office, directed at the cost and length of  
          time in completing the permit process and a perception that the  
          office does not deny or revoke permits as often as it should to  
          address community concerns.  


          DTSC Permitting Enhancement Work Plan (PEWP):  In 2014, DTSC  
          developed PEWP to improve DTSC's permitting program and to  
          ensure that the problems of the past do not resurface in the  
          future.  The PEWP will serve as a comprehensive work plan for  
          DTSC's efforts to improve the permitting program's ability to  
          issue protective, timely, and enforceable permits using more  
          transparent standards and consistent procedures.









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          Analysis Prepared by:                                             
                          Bob Fredenburg / E.S. & T.M. / (916) 319-3965     
                                                                  FN:  
          0001643