BILL ANALYSIS
AB 1004
SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
Senator S. Joseph Simitian, Chairman
2009-2010 Regular Session
BILL NO: AB 1004
AUTHOR: Portantino
AMENDED: June 2, 2010
FISCAL: Yes HEARING DATE: June 28, 2010
URGENCY: No CONSULTANT: Caroll
Mortensen
SUBJECT : STATE SOLID WASTE POSTCLOSURE AND
CORRECTIVE ACTION TRUST FUND
SUMMARY :
Existing law :
1)Under the California Integrated Waste Management Act of
1989, requires an operator of a solid waste facility to pay
a quarterly fee (tipping fee) to the Board of Equalization
(BOE) of $1.40 per ton. Revenue from the fees must be
deposited in the Integrated Waste Management Account.
(Public Resources Code 48000).
2) Requires owners and operators of solid waste landfills to
plan and provide funds to properly close a facility
(closure) and manage the site after closure (postclosure).
(43500 et seq.).
3) Required the Integrated Waste Management Board (IWMB) to,
by January 1, 2008:
a) Study and define the conditions that potentially
affect solid waste landfills, including technologies and
engineering controls designed to mitigate potential
risks, in order to identify potential long-term threats
to public health and safety and the environment.
b) Study various financial assurance mechanisms that
would protect the state from long-term postclosure and
corrective action costs in the event that a landfill
owner or operator fails to meet its legal obligations to
fund postclosure maintenance or corrective action during
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the postclosure period. (43050).
4)Required the IWMB by July 1, 2009, to adopt regulations and
develop recommendations for needed legislation to implement
the findings of the study in #2 above. (43050). [Note:
Regulations were finalized on April 1, 2010 and take effect
on July 1, 2010].
5)Establishes, on and after January 1, 2012 , the State Solid
Waste Postclosure and Corrective Action Trust Fund, and
related program requirements if, on or before July 1, 2011,
letters of participation are received from landfill
operators representing at least 50% of the total volume of
waste disposed of in 2010 that indicate they wish to be part
of the program, and additionally:
a) Requires, if the mandated participation level trigger
of 50% is reached, then, on or after January 1, 2012, an
additional $0.12 per ton fee will be assessed for the
participating operators.
b) Creates a system of requirements for owners and
operators of existing landfills and new landfills to 'opt
in' to payment of the fee and states that once they elect
to pay in to the Fund, they may not 'opt out.
c) Specifies eligible uses for the Fund and establishes
related program requirements.
This bill :
1) Changes the 'trigger' for creation of the Fund from the 50%
threshold to a determination by Department of Resources
Recycling and Recovery (DRRR).
2) Extends for one year, the deadlines and timelines for
establishment and administration of the Program.
3) Imposes the participation notification requirements on the
owner of a landfill rather than the operator.
4) Requires that a landfill with multiple owners would be
authorized to participate only if all owners of that
landfill elect to participate, and participation of a
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landfill with multiple owners would not obligate a partial
owner of that landfill to include any other landfills at
which the owner has full or partial ownership.
COMMENTS :
1)Purpose of Bill . According to the author, this bill is
necessary to address the transition of the IWMB to DRRR and
anticipates the transition of a new Administration. More
time is required.
2)Background: Closure/Postclosure . This is an area of solid
waste management that is coming to the forefront as some of
the largest landfills in the state are getting close to
capacity and their closure is imminent. Thus, much activity
is occurring in this subject area. For background, closure
and postclosure refer to the process during which a landfill
or disposal site or a portion thereof, is no longer
receiving waste and is being prepared for postclosure
maintenance according to an approved plan and construction
schedule. When a site is closed, it has ceased accepting
waste and has been closed in accordance with applicable
statutes, regulations, and local ordinances in effect at the
time.
Closure and postclosure maintenance plans ensure that
landfill closure and postclosure maintenance and the
eventual reuse of disposal sites will conform to state
performance standards and minimum substantive requirements.
Approved closure and postclosure maintenance plans are a
prerequisite of a facility's operating permit. The owner
and operator of the disposal site, or landfill, are
responsible for developing and implementing the plans.
The operator must also provide demonstrations of financial
responsibility for both closure and postclosure maintenance.
Closure and postclosure plans are required for all solid
waste disposal sites operating after January 1, 1988. They
are subject to the review and approval of the enforcement
agency, the regional water quality control board and the
IWMB.
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3)Related Legislation/Policy Considerations . AB 274,
(Portantino) Chapter 318, Statutes of 2009 established the
State Solid Waste Postclosure and Corrective Action Trust
Fund and outlined requirements for establishment and
operation of the Fund and associated program. This bill was
heard and amended in the Committee on July 6, 2009 to
address concerns about the relationship with the regulation
development concerning closure (#3 and #4 under Existing Law
above). While the regulations have been developed and take
effect July 1, 2010, it is still important that AB 1004 be
consistent with AB 274. However, with the state agency
furloughs and loss of experienced staff at DRRR, the need
for a short-time extension to implement AB 274 is warranted.
4)Amendments Needed . To address the issues raised in #4 above
and to be consistent with previous Committee actions on AB
274, the bill should be amended to:
a) Change the extensions of the time frames in the bill
from one year to six months.
b) Restore the "trigger" for participation in the Fund to
existing law (50% participation).
SOURCE : Waste Management, Inc.
SUPPORT : None on file
OPPOSITION :None on file