BILL ANALYSIS �
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|SENATE RULES COMMITTEE | SB 1118|
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UNFINISHED BUSINESS
Bill No: SB 1118
Author: Hancock (D)
Amended: 8/31/12
Vote: 21
SENATE ENVIRONMENTAL QUALITY COMMITTEE : 5-1, 4/23/12
AYES: Simitian, Hancock, Kehoe, Lowenthal, Pavley
NOES: Strickland
NO VOTE RECORDED: Blakeslee
SENATE APPROPRIATIONS COMMITTEE : 5-2, 5/24/12
AYES: Kehoe, Alquist, Lieu, Price, Steinberg
NOES: Walters, Dutton
SENATE FLOOR : 21-17, 5/31/12
AYES: Alquist, Corbett, De Le�n, DeSaulnier, Evans,
Hancock, Hernandez, Kehoe, Leno, Lieu, Liu, Lowenthal,
Padilla, Pavley, Price, Rubio, Simitian, Steinberg,
Vargas, Wolk, Yee
NOES: Anderson, Berryhill, Blakeslee, Calderon, Cannella,
Correa, Dutton, Emmerson, Fuller, Gaines, Harman, Huff,
La Malfa, Negrete McLeod, Walters, Wright, Wyland
NO VOTE RECORDED: Runner, Strickland
SUBJECT : Solid waste: used mattresses
SOURCE : Author
DIGEST : This bill establishes the Mattress Recovery and
Recycling Act (Act), which requires manufacturers of
CONTINUED
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mattresses sold in California to submit a mattress recovery
and recycling plan (plan) to the Department of Resources
Recovery and Recycling (CalRecycle) by April 1, 2013, and
to implement the plan by July 1, 2013.
Assembly Amendments rewrites the Senate version of the bill
providing for some specific language covering the subject
matter.
ANALYSIS : Existing law requires a retailer of various
specified products, such as rechargeable batteries and cell
phones, sold in the state to have in place a system for the
acceptance and collection of those products for reuse,
recycling, or proper disposal.
1. Defines terms used in the Act.
2. On or before April 1, 2013, requires a manufacturer
individually, collectively, or through a stewardship
organization, to electronically submit an interim plan
to CalRecycle. Requires that the interim plan include
provisions to ensure that when new mattresses are
delivered to a consumer, the consumer is given the
option to have a waste mattress picked up for recovery
at the time of delivery at no additional cost to the
consumer or retailer; ensure that when a new mattress is
purchased and picked up, that a voucher be provided to
the consumer that covers the costs of taking a waste
mattress to a solid waste or recycling facility; and,
otherwise provide consumers with convenient
opportunities to properly dispose of their waste
mattress. Requires the manufacturer to implement the
initial plan by July 1, 2013, and until the stewardship
plan is implemented.
3. On or before April 1, 2014, requires a manufacturer
individually, collectively, or through a stewardship
organization, to submit a mattress stewardship plan to
CalRecycle. Requires that the stewardship plan include
all of the following:
A. Existing and planned used mattress take-back
sites or collection locations, including estimated
timelines for any planned expansion;
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B. Program objectives consistent with the state's
solid waste management hierarchy, and a description
of activities to achieve program objectives;
C. Ensure that local governments and solid waste
facilities are provided with a mechanism for the
recovery of illegally dumped used mattresses at no
additional cost;
D. Arrangements for the pickup of used mattresses
that have been accepted at solid waste facilities
and for the delivery of those used mattresses to a
recycling or refurbishment facility;
E. A program performance measurement system;
F. Education and outreach efforts and a
consultation process with affected stakeholders;
G. The names of manufacturers and brands covered by
the plan;
H. Procedures to ensure implementation of the plan
if the manufacturer or the stewardship organization
no longer exists due to bankruptcy, dissolution, or
similar processes;
I. Reimbursement of solid waste facilities for the
reasonable costs of collecting, storing, and
processing used mattresses in the implementation of
the plan;
J. Policies to ensure there are adequate and
convenient opportunities for the collection,
acceptance, and recovery for recycling of used
mattresses in low-income communities, as specified;
K. A program to ensure that used mattresses
recovered by a retailer are delivered to a
recycling facility or solid waste facility for
recycling. As an alternative to this requirement,
allow a manufacturer to provide a retailer with
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extra vouchers to provide to a consumer if, when
picking up a consumer's mattress, the mattress is
infested with a pest or contaminated so that it
poses a contamination risk. Policies to give
priority to facilities that are closest to the
consumer or retailers; and,
L Provisions designed to meet the following
recycling rates:
(1) By January 1, 2015, recycling not less
than 25% of mattresses generated in the state;
(2) By January 1, 2017, recycling not less
than 50% of used mattresses generated in the
state; and,
(3) On and after January 1, 2020, recycling
not less than 75% of used mattresses generated
in the state.
4. Specifies that the stewardship plan may not be funded by
collecting a fee from a consumer at the point of sale.
5. Establishes requirements for CalRecycle relating review
and approval of the stewardship plan.
6. Requires retailers of mattresses sold in the state, as
defined, to offer a consumer the option to have a used
mattress picked up for recovery at the time of delivery,
at no additional cost. However, the retailer may charge
a delivery fee.
7. On and after August 1, 2014, prohibits a manufacturer or
retailer from selling or offering for sale a mattress to
any person unless the manufacturer is in compliance with
the Act.
8. Requires CalRecycle to maintain a list on its Web site
of manufacturers that are in compliance with the Act.
9. Requires a manufacturer that submits a final plan to pay
a quarterly administrative fee, as determined by
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CalRecycle, for the reasonable regulatory costs incident
to performing any audits and inspections necessary to
enforce this provisions of the Act and for the
administrative enforcement costs and adjudication
thereof. Establishes the Mattress Recovery and
Recycling Account, into which the fees shall be
deposited.
10.By April 1, 2015, and annually thereafter, requires
manufacturers to submit a report to CalRecycle relating
to the implementation of the plan, as specified.
11.Authorizes CalRecycle to impose administrative civil
penalties for violations of the Act. The penalty is not
to exceed $500 per day, unless the violation is
intentional, knowing, or negligent, in which case the
fee is not to exceed $5,000 per day. Penalty revenues
shall be deposited into the Mattress Recovery and
Recycling Penalty Account
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Assembly Appropriations Committee, this
bill has one-time costs of approximately $100,000 to
develop and adopt the administrative fee amount, develop a
database of mattress manufacturers and retailers, and
establish other implementation procedures and systems.
This bill will result in ongoing costs of approximately
$300,000 to $400,000 to CalRecycle to review plans and
determine and their compliance with the bill's requirements
and to enforce the Act. This bill will results in fee
revenue to CalRecycle roughly equivalent to these costs.
This bill additionally results in penalty revenue of an
unknown amount.
SUPPORT : (Verified 8/31/12)
Alameda City Waste Management Authority
California Product Stewardship Council
California Retailers Association
Californians Against Waste
City and County of San Francisco
City of Oakland
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City of Richmond
City of Roseville
City of Thousand Oaks
CR&R Environmental Services (Orange County)
CSAC
DR3 Mattress Recycling
Environment California
Goodwill Industries of San Joaquin Valley
Hope Services (Salinas)
League of Cities
LFP Mattress Recycling
Los Angeles City Board of Supervisors
Marin County Hazardous and Solid Waste Mgmt. Joint Powers
Authority Napa Recycling & Waste Services
National Resources Defense Council
RCRC
Recology
Republic Services, Inc.
Sierra Club
Sunset Waste Systems (Fresno)
Tuolumne Ct. Solid Waste Division
Waste Management
OPPOSITION : (Verified 8/31/12) (unknown with the latest
version)
American Cleaning Institute
California Chamber of Commerce
California Independent Oil Marketers Association
California Manufacturers & Technology Association
California Taxpayers Association
Consumer Specialty Products Association
Grocery Manufacturers Association
International Sleep Products Association
Los Angeles City, Integrated Waste Management Committee
National Federation of Independent Business
Solid Waste Association
ARGUMENTS IN SUPPORT : According to the author, "In
recent years, the problem of illegally dumped mattresses
has become more and more serious, especially in the parts
of the state that have been hardest hit by the recent
recession. The accumulation of these used mattresses in
public spaces, especially if left for �a] long period of
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time, can pose a serious public health problem. Used
mattresses can be a breeding ground for mold and pests.
The scope of the problem is real and growing. In Oakland,
for example, between 18 and 35 mattresses are recovered by
the City per day. The City estimates that municipal
operations devoted to recovering these mattresses costs
approximately $500,000 annually. The City of Richmond
estimates that it has recovered approximately 5,000
illegally dumped mattresses from December 2010 to March
2012. The City of Los Angeles estimates that it recovers
120-150 illegally dumped mattresses per day. The City and
County of San Francisco recovers approximately 75 to 80
mattresses per day." The author states that this bill
provides a method to recover and recycle used mattresses to
minimize illegal disposal.
Californians Against Waste (CAW) supports this bill and
writes, "In recent years, the problem of illegally dumped
mattresses has become more and more serious, especially in
the parts of the state that have been hardest hit by the
recent recession." CAW notes that this bill "will reduce
the financial burden on local governments and protect the
environment by requiring manufacturers to take
responsibility for establishing and implementing a
collection and recycling program for used mattresses. An
industry-run program using a market based approach will be
more efficient and cost effective than multiple
county-level programs."
ARGUMENTS IN OPPOSITION : The International Sleep
Products Association (ISPA) opposes this bill and writes,
"The Extended Producer Responsibility system it imposes
would require the mattress industry to develop a costly and
inefficient system for collecting and processing used
mattresses that will hurt California consumers, retailers,
mattress manufacturing industry and state tax revenues."
ISPA notes that this is "nothing more than a direct cost
shift from local agencies to manufacturers who ultimately
would have to pass these costs on to new buyers through
higher prices under the guise of environmental law."
The opposition states, "Mattresses are already collected in
a responsible manner. Most retailers offer a collection
service when a new mattress is purchased. Retailers then
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dispose of these mattresses through the proper channels and
established mattress recycling centers. SB 1118 would
disrupt this process. In fact, California has 8 of the
approximately 30 mattress recycling facilities currently
operating in the United States. However, SB 1118 requires
manufacturers to establish and implement a new program to
pick up and recycle used mattresses. Further, it would
require manufacturers and retailers to pick up abandoned
mattresses at the request of any public agency in the
state. It is unclear how this very costly new requirement
would actually work. It appears to be a direct cost shift
from local agencies to manufacturers who ultimately would
have to pass these costs on to new buyers through higher
prices under the guise of an environmental law. Finally,
the mattress industry was hit hard by the recession. Sales
dropped by over 20%, bankrupting large and small
manufacturers and retailers in California and across the
country. Now is not the time to impose substantial new
costs on vulnerable businesses or impede their ability to
sell new products. Higher costs will jeopardize businesses
and jobs. Historically, the vast majority of mattresses
sold in the United States are made here. California still
has multiple manufacturing facilities in the state. But
laws like SB 1118 will be a step backward for the industry
by significantly increasing costs, reducing demand for new
product and killing jobs."
DLW:do 8/31/12 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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