BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2139
                                                                  Page 1

          Date of Hearing: April 13, 2010  

           ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY AND TOXIC MATERIALS
                                  Pardo Nava, Chair
                    AB 2139 (Chesbro) - As Amended:  April 6, 2010
           
          SUBJECT  :   Solid waste:  extended producer responsibility.

           SUMMARY  :  Enacts the California Product Stewardship Act (Act).   
          The Act requires California Department of Resources Recycling  
          and Recovery (CalRecycle) to administer a program to provide  
          environmentally sound extended producer responsibility (EPR)  
          protocols to foster producer responsibility.  Specifically,  this  
          bill  :  

          1)Establishes the EPR Program in CalRecycle.  The program is  
            intended to provide sound product stewardship protocols that  
            encourage producers to research alternatives during the  
            product design and packaging phases to foster producer  
            responsibility and reduce the end-of-life environmental  
            impacts.  

          2)Establishes three types of covered products to be included in  
            the ERP program including:

             a)   Home generated medical sharps, including hypodermic  
               needles, pen needles , intravenous needles, and lancets;  
               and,
             b)   Small non-reusable propane containers; and, 
             c)   Household pesticides intended for home use, except those  
               which are primarily intended or residential cleaning and  
               disinfection.

          3)Establishes requirements for the producers to create the  
            product stewardship plan and requires the plan to be submitted  
            by the producer to CalRecycle by September 30, 2011. 

          4)Clarifies that actions taken under the Act do not interfere  
            with existing efforts of the Department of Toxic Substances  
            Control (DTSC) relating to Green Chemistry.

          5)Beginning July 1, 2012, prohibits the sale of a covered  
            product unless the producer is in compliance with the Act.  To  
            be in compliance the producer must:









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             a)   Submit a product stewardship plan or participation in a  
               stewardship organization.  The product stewardship plan  
               must include:

               i)     A description of the covered product and associated  
                 brands covered by the plan,
               ii)    Performance goals, including a description of how  
                 the performance goals will be achieved and how results  
                 will be measured,
               iii)   A collection, reuse, and a recycling rate for the  
                 covered product,
               iv)    If the covered product is prohibited from being  
                 disposed of at a solid waste disposal facility, the  
                 performance goal shall include a schedule to accomplish a  
                 100 percent collection rate. 
               v)     Financing methods for the product stewardship plan, 
               vi)    Strategies for managing and reducing the life cycle  
                 impacts of the covered product; and
               vii)   Education and outreach activities.

             b)   Pay operational costs associated with the Act.  

          6)The product stewardship plan must be approved by CalRecycle.

          7)Beginning June 30, 2013 producers and stewardship  
            organizations operating under the Act to submit an annual  
            report to CalRecycle, which includes status of meeting  
            performance goals, a description of outreach and educational  
            activities, and actions undertaken to manage and reduce the  
            life-cycle impacts of the covered product.  

          8)Establishes the Extended Producer Responsibility Account  
            (Account) and the Extended Producer Responsibility Penalty  
            Subaccount (Subaccount) in the Integrated Waste Management  
            Fund.  

             a)   Requires producers subject to the Act to submit an  
               unspecified administrative fee to CalRecycle to cover  
               administrative costs to be deposited into the Account.  

             b)   Requires all penalties collected under the Act to be  
               deposited into the Subaccount, which may be expended by  
               CalRecycle to cover costs of implementing the Act.  

             c)   Specifies that the Account and Subaccount may be  








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               expended by CalRecycle for incentives to enhance  
               recyclability and redesign efforts and to reduce  
               environmental and safety impacts of covered products.  

          9)Establishes unspecified civil liability for violations of the  
            Act.  

           EXISTING LAW  :

          1)Pursuant to the California Integrated Waste Management Act of  
            1989, requires local governments to divert 50% of solid waste  
            generated from landfill disposal through source reduction,  
            reuse, and recycling.  

          2)Prohibits, pursuant to California Code of Regulations, Title  
            22, Division 4.5, Chapter 23, the disposal of some common or  
            "universal" wastes in solid waste landfills.  Universal wastes  
            are hazardous wastes that are generated by a wide variety of  
            sources that contain mercury, lead, cadmium, copper and other  
            substances hazardous to human and environmental health.   
            Examples of these wastes are household batteries, fluorescent  
            tubes, and some electronic devices.

          3)Defines "home-generated sharps waste" to mean hypodermic  
            needles, pen needles, intravenous needles, lancets, and other  
            devices that are used to penetrate the skin for the delivery  
            of medications derived from a household.  (Health and Safety  
            Code Section 117671)

          4)Prohibits the disposal of home-generated sharps waste in the  
            solid waste or recycling streams.  (Health and Safety Code  
            Section 118286)

          5)Requires a pharmaceutical manufacturer that sells or  
            distributes a medication that is self-injected at home through  
            the use of a hypodermic needle, pen needle, intravenous needle  
            to submit to the California Department of Resources Recycling  
            and Recovery (CalRecycle) a plan that describes how the  
            manufacturer supports the safe collection and destruction of  
            home-generated sharps waste.  (Public Resources Code Section  
            47115  et seq  ,).

           FISCAL EFFECT  . Unknown.

           COMMENTS  :








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           Need for the bill  : According to the author "The California  
          Product Stewardship Act requires manufacturers of hazardous  
          products to create products that are less toxic, more durable  
          and easier to recycle when they enter the waste stream.  AB 2139  
          proposes an Extended Producer Responsibility Framework which  
          would establish one law to address a wide range of toxic  
          products including medical waste like hypodermic needles,  
          household pesticides, small propane tanks, and other hazardous  
          waste found around the home.  These waste end up in California  
          landfills and make a significant impact on our environment.

          The EPR Framework is a strategy to share responsibility among  
          those who make, sell, use, and dispose of products, while  
          placing the primary responsibility on producers to reduce a  
          product's lifecycle impacts.  In other words, those who benefit  
          from a product would share in the costs associated with the  
          environmental impacts of the product.  By having producers share  
          in the costs of managing product discards, EPR harnesses the  
          power of the free market to drive environmental improvement. "

           Medical Sharps  :  An estimated one million Californians inject  
          medications outside traditional health care facilities, which  
          generate approximately 389 million sharps each year.  The  
          numbers of patients using injectable medications will continue  
          to grow because it is an effective delivery method.  The most  
          common home use of sharps is to manage diabetes.  Other reasons  
          to home-inject include multiple sclerosis, infertility,  
          migraines, allergies, hemophilia and medications for pets.

          The need to keep the growing number of sharps out of the  
          municipal waste stream has gained serious attention.  California  
          was one of the fore-runners in that policies shift with the  
          passage of SB 1305 (Figueroa), Chapter 64, Statutes of 2006 to  
          prohibit the disposal of medical sharps in California's  
          landfills.  Although illegal, most of these used needles still  
          end up in household trash and pose a significant risk of injury  
          and/or infection to children, custodial workers and solid waste  
          employees.

           Universal waste  :  Universal wastes are household hazardous  
          wastes that contain mercury, lead, cadmium, copper and other  
          substances hazardous to human and environmental health.  In  
          general, universal waste may not be discarded in solid waste  
          landfills.  Examples of these wastes are batteries, fluorescent  








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          tubes, and some electronic devices.  Universal Wastes in this  
          bill are non-empty aerosol cans - propane and pesticides. 

           Support:   Supporters of AB 2139, including the League of  
          California Cities, point out that " Cities and counties in  
          California spend upwards of $500 million annually to manage  
          products banned from landfill as well as those disposed of at  
          the landfill - a cost that local governments ultimately end up  
          passing on to the consumers in the form of fees on solid waste  
          services.  AB 2139 takes the important step of adopting the  
          California Product Stewardship Act, which will require product  
          producers to address end-of-life issues for their produce,  
          thereby keeping thousands of tons of waste out of the local  
          landfill and ultimately lowering the amount of waste that must  
          be disposed in California."

           Opponents:   Opponents of AB 2139, including a coalition of  
          pharmaceutical manufactures, object to the provisions of the  
          bill that effect home generated medical sharps waste.   
          Specifically they find that the bill only applies to certain  
          home-generated sharps waste.  Because it fails to address other  
          sources of home-generated sharps waste, it therefore also fails  
          the test of shared responsibility.  While this bill targets the  
          manufacturers of certain sharps, it does not impose the same  
          mandate on local governments, health care organizations, public  
          health officers, solid waste service providers and others  
          involved in the generation of medical sharps waste from the  
          solution.  Moreover, by assigning some manufacturers  
          responsibility for consumer behavior - something over which they  
          have next to no control, the bill also fails to address the real  
          problem inherent with current law - a lack of disposal resources  
          available to consumers."

           Prior and Related Legislation:

           1)AB 239 (Chesbro) 2009.  Proposed the California Product  
            Stewardship Act of 2009 (Act).  The Act requires the  
            California Integrated Waste Management Board (CIWMB) to  
            administer a program to provide environmentally sound product  
            stewardship protocols to foster "cradle-to-cradle" producer  
            responsibility.  (Held in the Assembly Appropriations  
            Committee)

          2)AB 1343 (Huffman).  Creates an architectural paint recovery  
            program to require manufacturers or designated stewardship  








                                                                  AB 2139
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            organizations to develop and submit an architectural paint  
            stewardship plan to reduce the generation of post consumer  
            paint, promote the reuse of post consumer architectural paint,  
            and manage the end-of-life of post consumer architectural  
            paint, in an environmentally sound fashion, including  
            collection, transportation, processing, and disposal.  (Held  
            in the Senate Appropriations Committee) 

          3)AB 2176 (Blumenfield).  Enacts the California Lighting Toxics  
            Reduction and Jobs in Recycling Act (Act) which establishes a  
            producer responsibility program for mercury-containing lamps  
            and a fee program for inefficient lamps.  (Set for hearing in  
            the Assembly Environmental Safety and Toxic Material Committee  
            on April 13, 2010)

          4)AB 2398 (J. Perez).  Requires, by September 30, 2011, a  
            producer or the product stewardship organization created by  
            one or more producers of carpet to submit a carpet stewardship  
            plan which would be required to include specified elements,  
            including performance goals.  (Set for hearing in the Assembly  
            Natural Resources Committee on April 12, 2010)

          5)SB 1100 (Corbett).  Creates a product stewardship program for  
            household batteries.  (In the Senate Appropriations Committee)
           
          Double Referral to Natural Resources Committee  :  Should this  
          measure be approved by this committee, the do pass motion must  
          include the action to re-refer the bill to the Assembly  
          Committee on Natural Resources.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support:
           CA Resource Recovery Association
          California Product Stewardship Council
          Californians Against Waste
          Central Contra Costa Solid Waste Authority
          City of San Francisco
          Del Norte County Solid Waste Management Authority
          Humboldt County Waste Management Authority
          League of California Cities
          Marin Sanitary Services
          Napa County

           Opposition:








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          BayBio 
          BIOCOM 
          The California Healthcare Institute  
          The Pharmaceutical Researchers and Manufacturers Association 
          AdvaMed
          Consumer Specialty Products Association 
          Soap and Detergent Association  
          American Chemistry Council 
          California Chamber of Commerce 
          California Grocers Association 
          California Manufacturers and Technology Association 
          Grocery Manufacturers Association  
          Monsanto 
          Responsible Industry for a Sound Environment 


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