BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair


          AB 1442 (Wieckowski) - Pharmaceutical waste.
          
          Amended: August 6, 2012         Policy Vote: EQ 7-0
          Urgency: No                     Mandate: Yes
          Hearing Date: August 16, 2012                     Consultant: 
          Bob Franzoia  
          
          SUSPENSE FILE.  AS PROPOSED TO BE AMENDED.


          Bill Summary: AB 1442 would exempt a pharmaceutical waste 
          generator or parent organization from medical waste hauling 
          requirements if the generator or parent organization meets 
          documentation and other requirements.  This bill would authorize 
          pharmaceutical waste to be transported by the generator or 
          parent organization

          Fiscal Impact: $280,000 from the Medical Waste Management Fund 
          in 2013-14 and 2014-15 for two full time and one limited term 
          Department of Public Health staff to coordinate with 
          stakeholders statewide, oversee rulemaking process and develop 
          regulations.
              $160,000 annually thereafter to review exemption requests 
              and ensure compliance with documentation requirements.

          Background: As noted by the policy committee, some 
          pharmaceutical wastes are classified as hazardous wastes.  
          Others are medical waste, and still others are nonhazardous 
          wastes.  Which category a discarded pharmaceutical falls into 
          depends on its chemical, physical, and toxicological properties 
          and who generates the waste.  The California Code of Regulations 
          dictates that the generator of the waste is ultimately 
          responsible for proper classification of waste streams and 
          subsequently managing and disposing of the waste according to 
          the appropriate rule governing each waste classification. 

          The Department of Toxic Substances Control (DTSC) regulates 
          pharmaceutical wastes that are considered hazardous under 
          federal Resource Conservation and Recovery Act (RCRA) law.  Some 
          pharmaceutical waste that is not identified under the RCRA may 
          be deemed hazardous under California standards, and subsequently 
          classified as medical waste and therefore subject to the Medical 








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          Waste Management Act (MWMA).  The department oversees the MWMA 
          and regulates medical waste.  

          The MWMA specifies that medical waste, including pharmaceutical 
          waste comprised of nonsalable and outdated prescription and 
          over-the-counter drugs must be transported by a licensed 
          hazardous waste hauler.  If they meet certain requirements, 
          medical waste generators can apply for a limited-quantity waste 
          hauling exemption, and the generator of the medical waste may 
          transfer the waste themselves to a medical waste treatment 
          facility.  These exemptions last one year, and do not allow the 
          medical waste transporter to contract with a common carrier.

          Proposed Law: This bill would define pharmaceutical waste for 
          the purposes of the MWMA and would exempt a pharmaceutical waste 
          generator or parent organization that employs health care 
          professionals who generate pharmaceutical waste from some waste 
          hauling requirements if (1) the generator, health care 
          professional, or parent organization retains tracking 
          documentation and meets requirements intended to ensure secure 
          transportation and shipping and (2) if the facility receiving 
          the medical waste retains notification and tracking 
          documentation and meets records maintenance and reporting 
          requirements.  

          This bill would authorize pharmaceutical waste to be transported 
          by the generator or health care professional who generated the 
          pharmaceutical waste, a staff member of the generator or health 
          care professional, or common carrier.

          By expanding the definition of a crime, this bill imposes a 
          state mandated local program. No reimbursement is required.

          Staff Comments: Haulers transporting medical waste must first 
          apply to DTSC to obtain a hazardous waste transporter 
          registration, including submitting the required transporter fees 
          to DTSC.  After the haulers obtain the hazardous waste 
          transporter registration, the department will issue a medical 
          waste transporter registration.

          The proposed amendment would revise Health and Safety Code 
          117748, as added by this bill, to read:

              117748. (a) "Pharmaceutical waste" means any pharmaceutical, 








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          as defined in Section 117747, that  for any reason may no longer 
          be sold or dispensed for use as a drug  is a waste, as defined in 
          Section 25124.

            (b) For purposes of this part, "pharmaceutical waste" does not 
          include any pharmaceutical that meets either of the following 
          criteria:  is outdated or nonsalable and is being returned to a 
          reverse distributor, as defined in Section 4040.5 of the 
          Business and Professions Code, that is licensed both as a 
          wholesaler of dangerous drugs by the California State Board of 
          Pharmacy pursuant to Section 4160 of the Business and 
          Professions Code and as a permitted transfer station pursuant to 
          Section 117775, for possible manufacturer credit. 

             (1) The pharmaceutical is being sent out of the state of 
          California to a reverse distributor, as defined in Section 
          4040.5 of the Business and Professions Code, that is licensed as 
          a wholesaler of dangerous drugs by the California State Board of 
          Pharmacy pursuant to Section 4161 of the Business and 
          Professions Code.
             (2) The pharmaceutical is being sent by a reverse 
          distributor, as defined in Section 4040.5 of the Business and 
          Professions Code, offsite for treatment and disposal, or to 
          reserve distributor that is licensed as a wholesaler of 
          dangerous drugs by the California State Board of Pharmacy 
          pursuant to Section 4160 of the Business and Professions Code 
          and as a permitted transfer station if such reverse distributor 
          is located within the state of California.

             (c) Notwithstanding any other provision of law, 
          pharmaceuticals transferred as described in paragraph (b), are 
          exempt from the requirements of this part and Chapter 6.5 
          (commencing with Section 25100) of Division 20.