BILL ANALYSIS                                                                                                                                                                                                    



                                                               SB 1100
                                                                       

                      SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                        Senator S. Joseph Simitian, Chairman
                              2009-2010 Regular Session
                                           
           BILL NO:    SB 1100
           AUTHOR:     Corbett           
           AMENDED:    March 25, 2010
           FISCAL:     Yes               HEARING DATE:     April 5, 2010
           URGENCY:    No                CONSULTANT:       Caroll  
           Mortensen
            
           SUBJECT  :    EXTENDED PRODUCER RESPONSIBILITY:
                       HOUSEHOLD BATTERIES

            SUMMARY  :    
           
            Existing law  :

           1)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.

           2)Pursuant to the Dry Cell Battery Management Act (Public  
             Resources Code 15000 et seq.) establishes requirements for  
             the production and labeling of consumer products with dry  
             cell batteries and sets limits for the amount of mercury in  
             those batteries. 

           3)Pursuant to the Rechargeable Battery Recycling Act (PRC  
             42451 et seq.) establishes a mandatory take-back program  
             for rechargeable batteries at retail locations.

           4)Pursuant to the  Mercury Thermostat Collection Act of 2008  
             (Health and Safety Code  25214.8.10 et seq.) requires  
             manufacturers of mercury-added thermostats sold in this  
             state before January 1, 2006, to establish and maintain a  
             collection, transportation, recycling, and disposal program  
             for out-of-service mercury-added thermostats.








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            This bill  : 

           1)Requires, by September 30, 2011, a producer or the product  
             stewardship organization created by one or more producers of  
             household batteries to develop and submit, in consultation  
             with stakeholders, a product stewardship plan (plan) to the  
             Department of Resources Recycling and Recovery (DRRR).

           2)Establishes requirements for the elements of the plan that  
             describe how it will institute, implement, finance, and  
             oversee a program to manage household batteries to achieve  
             the collection rates below.

           3)Establishes collection rates for household batteries of 50%  
             by January 1, 2014 and 70% by January 1, 2017 with a program  
             target of 95%.

           4)Requires DRRR to review the plans and deem them complete or  
             incomplete within 45 days and establishes a procedure for  
             addressing deficiencies.

           5)Requires producers, on or before April 1, 2013, to submit an  
             annual report describing implementation of the plan  
             including sales data from the previous calendar year.

           6)Requires DRRR, on or before July 1, 2012, and annually  
             thereafter to list on its website a list of the brands of  
             household batteries that are in compliance.

           7)Prohibits the sale of household batteries in California  
             unless the producer has submitted a plan that has been  
             deemed complete.

           8)Requires producers to pay to DRRR yet undetermined  
             administrative fees to cover expenses for review of the  
             initial plan and review of the subsequent annual reports but  
             specifies that the fees can not exceed costs to recover  
             costs incurred to administer and enforce the article.

           9)Establishes the Household Battery Stewardship Account and  
             the Household Battery Stewardship Penalty Subaccount to  
             receive the administrative fees and penalties and specifies  
             that these funds are available for program implementation  








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             upon appropriation by the Legislature.

           10)Establishes a process to determine compliance with the  
             article and issuance of related penalties.

           11)Makes extensive findings and declarations related to the  
             management of household batteries. 
            
           COMMENTS  :
             
           1)Purpose of Bill  .  According to the author, SB 1100 will help  
             local governments' bottom lines by saving taxpayer money  
             used to manage toxic battery waste.  It will also create  
             green jobs recycling and collecting batteries.  In addition,  
             battery stewardship will help California's environment by  
             ensuring that battery waste is properly managed.  According  
             to a California report, more than 500 million batteries are  
             sold each year in California and that number is expected to  
             rise.  Today, it is estimated that only one-half of one  
             percent of used batteries are recycled through local  
             government household hazardous waste programs. 

            2)Background  .

              a)   Universal Waste:  Universal wastes are hazardous  
                wastes that are ubiquitous and 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 tubes, and  
                most electronic devices.  Under California's Universal  
                Waste Rule households were allowed to dispose fluorescent  
                lamps, batteries, mercury thermostats, and electronic  
                devices in the trash through February 8, 2006.  This is  
                no longer the case and they are banned from landfill  
                disposal.  Hazardous waste law describes hazardous waste  
                characteristics and generally states that wastes that  
                demonstrate hazardous characteristics can not be disposed  
                in a solid waste landfill.  These rules are based upon  
                the hazard traits of waste, not necessarily their  
                behavior in the landfill. 

              b)   Impact on Local Goverments:  Currently, local  
                household hazaardous waste collection programs are the  








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                outlet for proper management of household batteries.   
                According to the author, to manage this toxic waste,  
                local governments and taxpayers pay an average of $800  
                per ton, which amounts to tens of millions of dollars  
                each year.  Local governments are also the default to  
                manage the other universal wastes such as electronics and  
                fluorescent light tubes.  This is in addition to the  
                other hazardous wastes such as pesticides, paint, and  
                chemicals that can't be disposed in a solid waste  
                landfill.  With revenues decreasing and responsibilities  
                increasing another solution is necessary to manage these  
                products that are problematic at the end-of-life. 

              c)   Product Stewardship:  This is a rapidly expanding  
                concept that addresses the challenges of managing  
                consumer products, like household batteries, that pose  
                costly and problematic issues at end-of-life.  According  
                to the California Product Stewardship Council, "Product  
                stewardship involves consumers, government agencies and  
                product manufacturers sharing the responsibility of  
                reducing the impact of product waste on public health,  
                the environment, and the economy.  Extended Producer  
                Responsibility (EPR) is a strategy to place a shared  
                responsibility for end-of-life product management on the  
                producers, and all entities involved in the product  
                chain, instead of the general public; while encouraging  
                product design changes that minimize a negative impact on  
                human health and the environment at every stage of the  
                product's lifecycle.  This allows the costs of treatment  
                and disposal to be incorporated into the total cost of a  
                product.  It places primary responsibility on the  
                producer, or brand owner, who makes design and marketing  
                decisions.  It also creates a setting for markets to  
                emerge that truly reflect the environmental impacts of a  
                product, and to which producers and consumers respond."

                According to the California Product Stewardship Council,  
                87 local goverments have passed ordinances supporting  
                product stewardship efforts.  The National League of  
                Cities also adopted a resolution supporting product  
                stewardship.  Dozens of other states as well as other  
                countries are implementing product stewardship concepts  
                and principles to manage a wide range of consumer  
                products.








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                SB 1100 takes a product stewardship approach to dealing  
                with an ubiquitous waste that is banned from landfill  
                disposal and costing local goverments millions of dollars  
                to manage.  Other than mandating basic program  
                requirements, it allows maximum flexibility to producers  
                of household batteries to develop a program they deem  
                appropriate.

                The Rechargable Battery Act requires retailers who sell  
                rechargable batteries to take them back for proper  
                management.  This bill would also address those  
                batteries, but in a way that puts the requirement not on  
                the retailer as currently in law, but on the producer of  
                the household battery.

            3)Support and Oppostion Arguments  :  In general, opponents to  
             the measure state that there is no need for a program to  
             manage household batteries because of their relatively small  
             volume compared to the total amount of solid waste disposed  
             as well as the lack of enviromental justification that they  
             cause problems when disposed.  They also cite the high costs  
             for end-of-life management that would be paid by consumers.

             Supporters generally contend that a product stewardship  
             approach to managing household batteries provides the best  
             option as costs would be shifted from local governments and  
             taxpayers and be internalized in the price of the product  
             and, in turn drive improvements in product design. 

            4)Related Legislation  .  There are several bills that propose  
             to use a product stewardship approach for various consumer  
             products including:
            
               a)   AB 283 (Chesbro) - Creates the California Product  
                Stewardship Act of 2009, and requires regulations to be  
                developed by July 1, 2011, to implement the program to  
                create a framework for environmentally sound product  
                stewardship protocols that encourage producers to  
                research alternatives during the product design and  
                packaging phases, to foster cradle-to-cradle producer  
                responsibility and reduce the end-of-life environmental  
                impacts of the product.  (Held in the Assembly  
                Appropriation Committee.)








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              b)   AB 1343 (Huffman) - Creates an architectural paint  
                recovery program to require manufacturers or designated  
                stewardship organizations to develop and submit an  
                architectural paint stewardship plan to reduce the  
                generation of postconsumer paint, promote the reuse of  
                postconsumer architectural  paint, and manage the  
                end-of-life of postconsumer architectural paint, in an  
                environmentally sound fashion, including collection,  
                transportation, processing, and disposal.  (Held in  
                Senate Appropriations Committee.) 

              c)   AB 2139 (Chesbro) - California Product Stewardship  
                Act.  Develops a product stewardship program to address  
                medical sharps, containers used to contain pesticides  
                intended for residential use, small personal use propane  
                tanks, personal butane lighters, and single-use food  
                packaging.  (This bill is in Assembly Natural Resources  
                Committee awaiting hearing.) 

              d)   AB 2176 (Blumenfield) - Establishes legislative intent  
                to to enact legislation for the California Lighting  
                Toxics Reduction and Recycling Act.

              e)   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 Assembly Natural Resources Committee on  
                April 12, 2010.)

            SOURCE  :        Stop Waste. Org (Alameda County)  

           SUPPORT :       California Association of Environmental Health  
                          Administrators, California Product Stewardship  
                          Association, California State Association of  
                          Counties, Californians Against Waste, Central  
                          Costa County Sanitary District, Central Contra  
                          Costa Solid Waste Authority, Humboldt Waste  
                          Management Authority, League of California  
                          Cities, Marin County Board of Supervisors,   
                          Napa County, Napa Recycling and Waste Services,  
                          City of Needles, Raw Materials Company, City of  








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                          Riverside, Regional Council of Rural Counties,  
                          City and County of San Francisco, City of San  
                          Joaquin, Santa Clara Board of Supervisors,  
                          Sierra Club California, City of Ventura
                           
           OPPOSITION  :    CalTax, California Chamber of Commerce,  
           California
                          Manufacturers and Technology Association,  
           Consumer                                                     
           Specialty Products Association, Grocery Manufacturers of  
           America, National Electrical Manufacturers Association,      
           Advanced Medical Technology Association, PhRMA,              
           TechAmerica.