BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 928
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          Date of Hearing:   August 4, 2010

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                   SB 928 (Simitian) - As Amended:  August 2, 2010 

          Policy Committee:                              Environmental  
          Safety and Toxic Materials                    Vote: 5-3

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              No

           SUMMARY  

          This bill requires a manufacturer of a cleaning or a maintenance  
          product to disclose the product's ingredients on the  
          manufacturer's Web site.  Specifically, this bill:

          1)Prohibits a manufacturer, effective July 1, 2011, from  
            manufacturing, selling or distributing a "consumer product" in  
            California unless the manufacturer discloses each product  
            ingredient on the manufacturer's Web site, as described on the  
            label of the product.

          2)Defines a "consumer product" as an air care product, an  
            automotive appearance maintenance product, a cleaning product,  
            or a polish or floor maintenance product.

          3)Exempts "trade secrets" from the Internet disclosure  
            requirement, but requires the manufacturer to disclose the  
            product's ingredients, along with justification, to the  
            Department of Toxic Substances Control (DTSC).

          4)Requires DTSC to determine if a trade secret exemption is  
            justified, to maintain the confidentiality of legitimate trade  
            secrets for six years, and to publicize ingredients it  
            determines do not qualify as trade secrets.

           FISCAL EFFECT  

          1)Annual costs to DTSC beginning in 2011-12 of approximately  
            $150,000 to $450,000 (equivalent to one to three science  
            positions) to review trade secret exemption requests, the  
            number of which DTSC will receive is unknown.  (Toxic  








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            Substances Control Account (TSCA)).

          2)Annual costs to DTSC beginning in 2011-12 of approximately  
            $120,000 to $360,000 (equivalent to two to three employees) to  
            respond to public records act requests, the number of which  
            DTSC will receive is unknown.  (TSCA)

          3)Annual costs to DTSC beginning in 2011-12 of approximately  
            $500,000 to $800,000 to enforce provisions of this bill,  
            including auditing, outreach, testing and analysis.  (TSCA)   
            (The bill does not require DTSC to enforce its provisions.   
            DTSC, however, assumes it is required to enforce the bill  
            because of the section of Health and Safety Code in which the  
            bill is placed, which includes enforcement authority for DTSC,  
            and the because of the department's responsibility to protect  
            Californians by working with businesses to reduce their  
            production of hazardous waste and toxic materials.)

           COMMENTS  

           1)Rationale  .  The author notes consumers are increasingly aware  
            of and concerned by the potential dangers to health of  
            chemicals commonly used at home and at work.  The author  
            contends that most consumers assume that some governmental  
            entity ensures that products meet safety standards. Aside from  
            food and pharmaceutical products, however, this generally is  
            not the case.  The author intends this bill to make  
            information about the ingredients included in common consumer  
            products readily available to consumers to enable them to make  
            decisions about the products they regularly use and come in  
            contact with. 

           2)Background  .  The federal Toxic Safety Control Act authorizes  
            the U.S. Environmental Protection Agency to require reporting,  
            record-keeping and testing requirements, and set restrictions  
            relating to chemical substances and/or mixtures.  The act  
            requires the submission of health and safety studies which are  
            known or available to those who manufacture, process, or  
            distribute in commerce specified chemicals.  It also allows  
            USEPA to gather information from manufacturers and processors  
            about production and import volumes, chemical uses and methods  
            of disposal, and the extent to which people and the  
            environment are exposed.   

            Despite these provisions, there are concerns that the act is  








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            insufficient to protect the public and the environment.  In  
            2006, authors from UC Berkeley released a report commissioned  
            by the state Senate, entitled Green Chemistry in California:   
            A Framework for Leadership in Chemicals Policy and Innovation.  
             The report found three areas of concern with the act, which  
            the authors described as gaps-the data gap, the safety gap,  
            and the technology gap.  

            This bill is one of a number of California efforts to address  
            these gaps.  In 2008, the Legislature passed AB 1879 (Feuer  
            and Huffman, Chapter 559), which requires DTSC to adopt  
            regulations by January 1, 2011, to identify and prioritize  
            chemicals of concern, to evaluate alternatives, and to specify  
            regulatory responses where chemicals of concern are found in  
            consumer products.  SB 509 (Simitian and Feuer, Chapter 560)  
            requires DTSC to establish an online, public Toxics  
            Information Clearinghouse of science-based information on the  
            toxicity and hazard traits of chemicals as identified by the  
            Office of Environmental Health Hazard Assessment (OEHHA).

           3)Support  .  This bill is supported by numerous public health,  
            environmental and labor organizations, who contend the bill  
            completes a circle: Green Chemistry identifies chemicals of  
            concern; the Toxic Information Clearinghouse publicizes the  
            toxicity of dangerous chemicals; and this bill allows members  
            of the public to inform themselves of the chemicals in  
            products they use or have contact with and to take action as  
            they see fit.

           4)Opposition  .  The bill is opposed by a long list of industry  
            groups, who contend it will obligate them to share trade  
            secrets vital to their product's success, even for ingredients  
            that pose no threat to consumers.

           Analysis Prepared by  :    Jay Dickenson / APPR. / (916) 319-2081