BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 333 
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          CONCURRENCE IN SENATE AMENDMENTS
          AB 333 (Wieckowski)
          As Amended August 22, 2014
          Majority vote
           
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          |ASSEMBLY:  |67-6 |(May 23, 2013)  |SENATE: |33-0 |(August 27,    |
          |           |     |                |        |     |2014)          |
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           Original Committee Reference:   E.S. & T.M.  

           SUMMARY  :  Makes numerous changes to the Medical Waste Management  
          Act (MWMA) including, among other things, codifying federal  
          requirements, modifying definitions, creating procedures for the  
          generation of medical waste from a temporary event, and  
          modifying contracts with medical waste transporters for the  
          collection of fees.
           
          The Senate amendments  : 

          1)Recognize that the MWMA governs medical waste at the facility  
            where the waste is generated, transfer stations and treatment  
            facilities, and governs tracking medical waste beyond federal  
            transportation documentation requirements. 

          2)Recognize that the United States Department of Transportation  
            (US DOT) imposes standards for transporting medical waste on  
            public roads and highways while in transit, and the United  
            States Postal Service (USPS) imposes standards for the  
            transportation of medical waste through the mail. 

          3)Require the California Department of Public Health (CDPH) to  
            submit to the Legislature, by January 1, 2016, a report  
            describing the interaction of federal and state law for the  
            transport of regulated medical waste, and require CDPH to  
            convene a stakeholder group, including small and large  
            quantity generators, haulers, transfer station and treatment  
            facility operators, local enforcement agencies (LEA), and  
            retailers in its effort to develop the report. 

          4)Authorize CDPH to update standards related to the  
            transportation of medical waste through a guidance document  
            provided to MWMA stakeholders and posted on CDPH's website,  
            and exempt CDPH from the Administrative Procedures Act if  








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            those standards are consistent with the US DOT requirements. 

          5)Authorize CDPH to temporarily waive the state transportation  
            requirements in the event that a person, including CDPH, seeks  
            a preemption determination under federal law, and determine  
            that the federal requirements are the law of this state for  
            transporting medical waste during the temporary waiver and/or  
            if preemption is found. 

          6)Reference US DOT and USPS regulations in various provisions  
            related to the transport of medical waste. 

          7)Revise and consolidate definitions for "biohazardous waste,"  
            "pharmaceutical waste," "sharps waste," "trace  
            chemotherapeutic waste," and "trauma scene waste," under a  
            single revised definition for "medical waste." 

          8)Revise additional various definitions used throughout the  
            MWMA, including: 
             a)   The definition of "biohazard bag" and specify color  
               coding requirements for the purpose of segregating waste;

             b)   The definition of "highly communicable diseases" to  
               update categorization to reference the appropriate Centers  
               for Disease Control and Prevention risk group;

             c)   The definition of "medical waste treatment facility" to  
               specify over which land the facility has control; 

             d)   The definition of "pharmaceutical" to reference the  
               Department of Toxic Substances Control's authority over  
               hazardous waste;

             e)   The definition of "sharps container" to specify that  
               trace chemotherapeutic wastes are not required to be lined  
               with a plastic liner; and, 

             f)   The definition of "transfer station" to clarify defined  
               locations are permitted by CDPH. 

          9)Clarify the reference to existing law for treating medical  
            waste as permitted by an LEA.

          10)Require small quantity generators (SQG) to include additional  
            information in the medical waste management plan ("plan"),  








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            including:

             a)   Steps taken to categorize generated pharmaceutical waste  
               and how those wastes are disposed; and, 

             b)   A closure plan for the termination of the treatment  
               facility. 

          11)Require registered medical waste generators to additionally  
            provide to LEA shipping documents of all untreated medical  
            waste shipped offsite.

          12)Delete requirements for medical waste generators to apply for  
            a limited quantity hauling exemption, and authorize SQGs and  
            large quantity generators (LQG) to transport limited  
            quantities of medical waste up to 35.2 pounds to the central  
            location of accumulation as long as specific conditions are  
            met, including that the transport is in accordance with the  
            requirements of the US DOT Material of Trade Exception, and  
            the person transporting medical waste provides a log to the  
            receiving facility with specified information. 

          13)Reference the applicable federal transportation requirements  
            for transporting medical waste from adjacent properties.

          14)Require LQGs to include additional information in the plan,  
            including:

             a)   Steps taken to categorize generated pharmaceutical waste  
               and how those wastes are disposed; and, 

             b)   A closure plan for the termination of the treatment  
               facility. 

            15) Require medical waste generators to update their plan  
              within 30 days from when any relevant information in the  
              plan changes, and require the plan be maintained on file for  
              review.      

            16) Clarify further that "medical waste" does not include  
              waste generated in biotechnology that does not contain a  
              highly communicable disease.     
                 
            17) Authorize registered LQGs to generate medical waste at  
              temporary events, and require LQGs to notify LEA within 72  








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              hours of an event, unless the sponsor of the temporary event  
              previously notified the LEA of the event.

            18) Authorize SQGs to generate medical waste at temporary  
              events, and require SQGs to notify LEA within 72 hours of  
              event, unless the sponsor of the temporary event previously  
              notified the LEA of the event.

            19) Increase the percentage of administrative fee medical  
              waste transporters may retain from 5% to 7.5% to cover  
              administrative costs.

            20) Limit administrative fees paid by medical waste generators  
              to be paid no more than once per year. 

            21) Require operators of onsite sterilization equipment used  
              at SQGs to receive annual training that complies with  
              federal Occupational Safety and Health Administration (OSHA)  
              standards and records of training to be maintained for two  
              years. 

            22) Require LQGs to annually train operators of onsite  
              sterilization equipment consistent with federal OSHA  
              standards, and records of training to be maintained for two  
              years.

            23) Require medical waste transported out of state to be  
              consigned to a permitted medical waste treatment facility  
              out of state and refer to state law for treating medical  
              waste crossing an international border. 

            24) Authorize solid waste facility operators to arrange for  
              proper treatment and disposal of erroneously disposed  
              medical waste at a solid waste facility. 

            25) Require a person applying for a permit for an offsite  
              medical waste treatment facility to additionally include  
              information regarding a plan for closure describing  
              decontamination methods. 

            26) Clarify that heat sensitive tape or another acceptable  
              method only need to be placed on liner bags when biohazard  
              bags or sharps containers are contained in a larger lined  
              bag for autoclave treatment. 









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            27) Require human anatomical parts, excluding teeth, to be  
              disposed of by interment, incineration, or appropriate  
              alternative treatment technologies. 

            28) Specify that the containerization and storage requirements  
              currently in the MWMA only apply at the point of generation  
              and when the waste is collected in the room.  

            29) Specify additional labeling and containerization  
              requirements.

            30) Revise the usage of biohazardous bags in certain health  
              care settings, establish weight limits for medical waste  
              placed in biohazardous bags at three pounds or one gallon,  
              and change the biohazardous waste storage requirements at  
              transfer stations.

            31) Delete outdated implementation and sunset dates. 

            32) Delete confusing statutory cross-references.

           EXISTING LAW  :

            1)  Authorizes the US DOT to enforce rules on the  
              transportation of medical waste on public roads and highways  
              (Title 49 United States (U.S.) Code of Federal Regulations).  


            2)  Authorizes a person, including a state or Indian tribe,  
              directly affected by a requirement of a state to apply to  
              the Secretary of the US DOT for a decision on whether the  
              requirement is preempted by the federal regulations pursuant  
              to Title 49 (Section 5125 (d) of Title 49 U.S. Code of  
              Federal Regulations).

            3)  Authorizes the USPS to regulate medical waste and sharps  
              waste containers that are transported through the mail  
              (Domestic Mail Manual 601.10.17.5).

            4)  Pursuant to the MWMA, requires CDPH to regulate the  
              management and handling of medical waste and authorizes  
              off-site medical waste treatment facilities, oversees  
              transfer stations, approves alternative treatment  
              technologies, and acts as the local enforcement agency in 25  
              jurisdictions where local agencies have elected not to  








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              conduct their own enforcement (Health and Safety Code  
              Sections 117600, et seq.).

           AS PASSED BY THE ASSEMBLY  , this bill made technical and  
          conforming changes to the MWMA.  Specifically, this bill:

            1)  Deleted the existing definition of "biohazard bag," and  
              instead replaced it with the definition in the Code of  
              Federal Regulations.

            2)  Amended the definition of "medical waste management plan"  
              to specify that the document that is completed by generators  
              of medical waste describes how the medical waste generated  
              at their facility shall be segregated, handled, stored,  
              packaged, treated, or shipped for treatment, as applicable.   
              Specifies that the medical waste management plan is to be  
              completed on forms prepared by the enforcement agency, only  
              if those forms are provided by the enforcement agency.

            3)  Required a solid waste transporter who discovers that he  
              or she has (unknowingly) hauled untreated medical waste to a  
              landfill or materials recovery facility to contact the  
              originating generator of the medical waste to respond to the  
              landfill or recovery facility to provide ultimate proper  
              disposal of the medical waste.

            4)  Clarified that the statutory requirements for treatment of  
              carcasses of animals that die of infectious diseases  
              includes those that are euthanized because they are  
              suspected of having been exposed to infectious disease.
           
            FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, enactment of [a prior version of] this bill would  
          likely result in costs of $340,000 annually from the Medical  
          Waste Management Fund (special) for Fiscal Year (FY) 2015-16 and  
          FY 2016-17 to assist with compliance with the changes to the  
          MWMA.  Initial costs of $166,000 for FY 2015-16 and FY 2016-17,  
          then $145,000 thereafter from the Medical Waste Management Fund  
          to CDPH to review and approve treatment technologies.  Minor  
          revenue losses to the Medical Waste Management Fund  (special)  
          by allowing medical waste transporters to keep an additional  
          2.5% of the small generator annual fee for administrative costs.  
           Unknown, possibly minor, cost pressures to the Medical Waste  
          Management Fund (special) by deleting the ability for CDPH to  
          adjust multiple fees through regulation.  That analysis does not  








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          reflect the current version of this bill. 

           COMMENTS  :


          Medical Waste Management Act:  The MWMA was created in response  
          to several incidents of medical waste washing up on San Diego  
          County beaches, as well as several reports of medical waste  
          being disposed of in dumpsters and trash bins.  AB 109 (Hayden),  
          Chapter 1613, Statutes of 1990, and AB 1641 (Mojonnier), Chapter  
          1614, Statutes of 1990, were ultimately combined to form the  
          MWMA to, according to the original Legislative intent, "comprise  
          a single, integrated, and complementary approach to the storage,  
          treatment, transportation, and disposal of medical waste."


          The MWMA allows any local ordinance regulating infectious waste  
          that was in existence before 1990 and regulated both large and  
          small quantity generators to continue.


          Enforcement, by the numbers:  The MWMA allows local governments  
          to elect to be the enforcement agency of the MWMA and to assess  
          appropriate fees for their enforcement activities.  Currently,  
          CDPH is the enforcement authority for 25 counties, and as part  
          of those duties issues permits to generators in those counties.   
          CDPH also issues permits to transfer stations.  Under CDPH's  
          jurisdiction, there are:

          1)118 transfer stations in California.

          2)Roughly 6,500 SQGs registered with CDPH (defined as generating  
            less than 200 pounds per month of medical waste).  These can  
            be doctor's offices, veterinary offices, dental offices,  
            laboratories, research labs, pharmacies.

          3)Approximately 800 LQGs registered with CDPH.  These are  
            typically hospitals, skilled nursing facilities, psychiatric  
            facilities, veterinary hospitals, or any of the examples  
            above.

          Data is not maintained for the number of small and large  
          quantity generators in the counties that serve as their own  
          enforcement agencies and issue permits for the generators in  
          their counties.  








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          Purpose for reform:  According to the author, "[t]he Medical  
          Waste Management Act was signed in to law in 1990 by Governor  
          George Deukmejian.  The MWMA made California one of the leading  
          states in the nation in governing this waste stream.  Many  
          changes during the intervening 23 years in medical waste  
          treatment, transportation oversight, and new requirements by  
          landfill and waste water treatment operators regarding  
          acceptance of portions of this waste stream necessitate an  
          update of the Act.


          "Since enactment of the Medical Waste Management Act (MWMA), the  
          federal Department of Transportation (DOT) has increased its  
          regulatory oversight of transportation of medical waste which  
          preempts state law.  Similarly, the United States Postal Service  
          (USPS) requirements for the mail back of medical waste also  
          preempt state law.  When the Act was initially implemented it  
          was common practice to dispose of pharmaceutical wastes into  
          landfills or through sewer systems.  Heightened regulation of  
          receiving waters of waste water treatment plants and the  
          potential of runoff from landfills has resulted in these  
          facilities tightening requirements for acceptance of  
          pharmaceutical wastes for disposal.

          "The current Medical Waste Management Act (Sections  
          117600-118360 Health & Safety Code) was implemented in 1991 and  
          federal agencies (Department of Transportation and US Postal  
          Service) now regulate transportation of medical waste and  
          pre-empt the state requirements.  This creates conflict for  
          California healthcare facilities and places them at risk of  
          non-compliance with federal statutes.  Administrative solutions  
          cannot fix the problem as there is a conflict in the statutes  
          governing medical waste treatment and transportation."

          Clarifying the role of federal requirements:  Since this bill  
          was amended to recognize the US DOT and USPS's requirements for  
          transporting medical waste, confusion between stakeholders and  
          CDPH has lingered over where federal law preempts state law, and  
          where state law is permitted to be enforced over federal law.  
           
          Supporters contend that clarification in the MWMA over which  
          laws govern the transportation of medical waste - federal or  
          state - will remove confusion from the industry over compliance  
          requirements, and reduce risk for non-compliance with federal  








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          requirements. 

          As reflected in the current version of this bill, negotiations  
          have achieved consensus between stakeholders and CDPH on  
          addressing the blurred lines between state and federal laws.   
          This bill requires CDPH, in coordination with MWMA stakeholders,  
          to develop a report regarding the implementation and interaction  
          of federal and state law for the transport of regulated medical  
          waste, and to provide that report to the legislature by January  
          1, 2016. 

          While differences of opinion may remain on state versus federal  
          authority for transporting regulated medical waste, this bill  
          gives MWMA stakeholders clearer guidance on which rules to  
          follow and which documentation forms to submit and maintain, and  
          gives CDPH time to identify precise state jurisdiction and  
          federal preemption where ambiguities from a regulator's  
          perspective may remain. 
           

          Analysis prepared by  :    Paige Brokaw / E.S. & T.M. / (916)  
          319-3965


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