BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                            Senator Kevin de Le�n, Chair


          AB 371 (Salas) - Sewage sludge: Kern County.
          
          Amended: June 23, 2014          Policy Vote: EQ 7-0
          Urgency: No                     Mandate: No
          Hearing Date: August 4, 2014                      Consultant:  
          Marie Liu     
          
          This bill meets the criteria for referral to the Suspense File.
          
          
          Bill Summary: AB 371 would require the State Water Resources  
          Control Board (board) to require additional testing for  
          specified substances in sewage sludge applied on properties in  
          Kern County.

          Fiscal Impact: 
              Annual costs of at least $70,000 from the Waste Discharge  
              Permit Fund (special) in 2015 and 2016 to the board to  
              require testing of permitees and review results
              One-time costs of $60,000 from the General Fund in 2015 to  
              the California Department of Corrections and Rehabilitation  
              (CDCR) to drill groundwater testing wells.
              Annual costs of at least $36,000 from the General Fund in  
              2015 and 2016 to CDCR for required groundwater testing.

          Background: Sewage sludge refers to the solids separated during  
          the treatment of municipal wastewater. "Biosolids" refer to  
          treated sewage sludge, which may be used for other purposes,  
          depending on its quality, including as a fertilizer through land  
          application, as alternative daily cover at landfills, and as a  
          fuel. Existing federal regulations (40 CFR Part 503) governs the  
          land application of biosolids and generally classifies biosolids  
          into two classes- "Class A" and "Class B." Both these two  
          classes must meet the same minimum standards on metal  
          concentrations, though they differ on pathogen levels. 

          Federal regulations also specify testing procedures, including  
          frequencies, based on the amount of biosolids applied annually. 

          Existing state law, requires the board or regional board to  
          prescribe general waste discharge requirements for dewatered,  
          treated, or chemically fixed sewage sludge and other biological  








          AB 371 (Salas)
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          solids including minimum standards for agronomic application of  
          sewage sludge (Water Code �13274). The requirements are required  
          to mitigate significant environmental impacts, potential soil  
          erosion, odors, degradation of surface water quality or fish or  
          wildlife habitat, the accidental release of hazardous  
          substances, and any potential hazard to the public health or  
          safety. The board is authorized to charge a reasonable fee to  
          cover the cost related to administering the general waste  
          discharge requirements.

          Proposed Law: This bill would require the board to require  
          additional testing of sewage sludge land applied in Kern County  
          for pathogens, endotoxins, and other chemicals of concern for an  
          additional two times a year from January 1, 2015 to December 31,  
          2016. This bill specifies the additional "pathogens and  
          endotoxins" to be tested, such as chlorphyrifos, E. coli, DDT,  
          iron, manganese, PCBs, and tin, although the board may identify  
          additional hazards for testing based on the potential for  
          groundwater contamination or adverse effects on human health.

          The board would be required to review the test results and to  
          submit a report to the Legislature after each test conducted  
          regarding the results.

          The board would also be required to monitor shallow groundwater  
          that is beneath or downgradient from a biological solids  
          application site in Kern County that have applied sewage sludge.  
          The monitoring would be required to occur at least once in the  
          spring and once in the fall. 

          Staff Comments: This bill would require additional testing of  
          biosolids, presumably at the site of land application (see  
          comment below regarding technical and clarifying amendments),  
          and groundwater for a number of listed constituents. The testing  
          costs would be borne by the entity which is land applying the  
          substances, however, the board would incur costs to communicate  
          this requirement to that entity, likely through a modification  
          to the entity's waste discharge permit. The board could incur  
          cost should it identify additional constituents that should be  
          tested. The board would be required to submit the testing  
          results to the Legislature and the Kern County Board of  
          Supervisors. While the board is not explicitly required to  
          analyze the results, it is reasonable to assume that the board  
          would at least have to do a rough analysis of the testing  








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          results to give context to the numbers for the Legislature and  
          the county. The annual costs for this responsibility would be  
          $70,000 per year for 2015 and 2016. 

          The board notes that are four constituents that will be  
          difficult or impossible to test for reliably. They are: estrogen  
          (no US lab performs this test on biosolids), Chlorphyrifos  
          (difficult sampling method), C. perfringens (no standardized  
          method for biosolids), and ethanol (difficult sampling method).  
          Should this bill be enacted with any of these four constituents,  
          there will likely be significant additional costs to the board  
          to determine how to comply with the testing requirement. 

          There are two CDCR facilities in Kern County which store  
          biosolids (Tehachapi and Kern Valley). As this bill applies to  
          biosolids that "occur" on lands in Kern County, it is unclear  
          whether biosolids stored on land in Kern County are affected. If  
          so, CDCR would incur approximately $35,000 in testing costs  
          annually in 2015 and 2016. Additionally, CDCR would need to  
          drill groundwater testing wells as none currently exist at a  
          one-time cost of $60,000.

          Staff notes that there are a number of technical and clarifying  
          amendments that the author may wish to consider:
           This bill should clarify that this bill is requiring the  
            testing of specific substances, not "the effects of sewage  
            sludge."
           This bill refers to biosolids that "occurs" on properties. The  
            bill should be clarified as to whether it only applies to  
            biosolids that are land applied. 
           This bill should also clarify if the additional testing is to  
            occur at the site of land application or at the source.  
            Different tests are currently required at both points of the  
            process.
           The list of constituents that are required to be tested are  
            identified in the bill as "pathogens and endotoxins." However,  
            most of the constituents listed are neither pathogens nor  
            endotoxins.