BILL ANALYSIS �
AB 2284
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Date of Hearing: April 7, 2014
ASSEMBLY COMMITTEE ON NATURAL RESOURCES
Wesley Chesbro, Chair
AB 2284 (Williams) - As Amended: March 27, 2014
SUBJECT : Recycling household batteries
SUMMARY : Requires producers of non-rechargeable household
batteries to develop and implement a plan to collect and manage
batteries sold in the state.
EXISTING LAW:
1)Under the California Integrated Waste Management Act of 1989,
requires each city or county to divert 50 percent of solid
waste from landfill disposal or transformation on and after
January 1, 2000. Establishes a statewide policy goal that not
less than 75 percent of solid waste be source reduced,
recycled, or composted on and after January 1, 2020.
2)Establishes the California Oil Recycling Enhancement Act,
which requires manufacturers of used oil to pay a fee of 4
cents per quart (16 cents per gallon) to the Department of
Resources Recycling and Recovery (CalRecycle), which then pays
a recycling incentive of 4 cents per quart to industrial
generators, curbside collection program operators, and
certified used oil collection centers for used oil collected
from the public and transported for recycling.
3)Establishes the Electronic Waste Recycling Act of 2003, which
requires a retailer selling a covered electronic device (CED)
in California to collect a recycling fee (between $3 and $5)
from the consumer. Fees are deposited into the Electronic
Waste Recovery and Recycling Account, which is continuously
appropriated to CalRecycle and the Department of Toxic
Substances Control (DTSC) to make electronic waste recovery
payments to cover the net cost of an authorized collector in
operating a "free and convenient" system for collecting,
consolidating, and transporting CEDs, and to make electronic
waste recycling payments to cover an electronic waste
recycler's average net cost of receiving, processing, and
recycling CEDs. Defines CED as a product that contains a
video display device 4 inches and larger.
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4)Establishes the Cell Phone Recycling Act, which requires every
retailer of cell phones to have in place a system for the
acceptance and collection of used cell phones for reuse,
recycling, or proper disposal.
5)Establishes the Rechargeable Battery Recycling Act, which
requires every retailer of rechargeable batteries to have in
place a system for the acceptance and collection of used
rechargeable batteries for reuse, recycling, or proper
disposal.
6)Establishes the Dry Cell Battery Management Act, which
establishes requirements for the production and labeling of
consumer products with dry cell batteries and sets limits on
the amount of mercury in those batteries.
7)Establishes the Mercury Thermostat Collection Act, which
requires manufacturers to establish and maintain a program for
mercury-added thermostats. Requires the program to include
collection, handling, and arranging for appropriate management
of mercury-added thermostats.
8)Requires pharmaceutical manufacturers that sell or distribute
a medication in California that is usually self-injected at
home with a hypodermic needle to submit to CalRecycle a plan
that describes any actions taken by the manufacturer for the
safe collection and proper disposal of the waste devices.
9)Establishes the Product Stewardship for Carpets Program, which
requires manufacturers of carpet sold in California to submit
a carpet product stewardship plan to CalRecycle that
demonstrates how waste carpet will be collected and properly
managed.
10)Establishes the Architectural Paint Recovery Program, which
requires architectural paint manufacturers to develop and
implement a program to manage waste latex paint.
11)Establishes the Used Mattress Recovery and Recycling Act,
which requires mattress manufacturers and retailers to develop
a mattress stewardships program to increase the recovery and
recycling of used mattresses.
12)Under the Unfair Business Practices Act, imposes civil
liability and criminal penalties for any unlawful, unfair, or
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fraudulent business act.
THIS BILL establishes the Primary Battery Stewardship Act (Act),
which:
1)Defines the terms used in the Act, including:
a) "Collection rate" means the percentage of primary
batteries, by weight, that are collected during a calendar
year by a producer or organization.
b) "Primary battery" means a non-rechargeable battery that
weighs 2 kilograms or less.
c) "Primary battery containing product" means a product
that contains, or is packed with, a primary battery that is
intended to be replaced by the consumer.
d) "Primary battery stewardship organization"
(organization) means an organization appointed by one or
more producers to design and administer a primary battery
stewardship plan.
e) "Primary battery stewardship plan" (plan) means the plan
submitted to CalRecycle pursuant to the Act.
f) "Producer" means one of the following:
i) The person who manufactures a primary battery or the
primary battery-containing product and who sells the
product in the state under the person's own name or
brand;
ii) If there is no person to whom the above definition
applies, the person who owns or licenses a trademark or
brand under which a primary battery or primary
battery-containing product is sold in the state; or,
iii) If there is no person to whom the above definitions
apply, the person who imports that primary battery or
primary battery-containing product into the state for
sale or distribution.
2)On or before January 1, 2016, requires each producer or
organization to submit a product stewardship plan to
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CalRecycle.
3)Requires that any organization formed to develop and implement
a plan must establish an advisory committee, as specified, to
provide input during the development of the plan.
4)Requires the producer or organization to consult with
stakeholders, solicit stakeholder comments, and make
stakeholder meetings available via telecommunication.
5)Requires that the plan include the following:
a) Provide for a program that achieves a 10 percent
collection rate within two years and a 20 percent
collection rate within five years of implementation.
b) Contact information for the producers and a description
of all brands included in the plan.
c) The number and type of "convenient collection
opportunities provided by the program free of charge" for
consumers in all counties of the state, and ways that the
existing collection infrastructure can be maximized to
achieve the goals of the program, as specified. Collection
points must be designed to accept not more than 100
batteries per visit by a consumer.
d) A description of the methods that will be used to
responsibly manage discarded batteries and to recycle as
many of the battery components as technically feasible.
e) Outreach and education efforts.
f) The financing method selected to sustainably fund the
program.
g) If the organization elects to work with local
governments, provisions for the implementation of the
program in conjunction with the appropriate local entities,
as specified.
6)Allows a producer or organization to petition CalRecycle to
adjust the collection rate. Authorizes CalRecycle to adjust
the rate if it determines that there are documented
technological, ecological, cultural, economic, or other
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impediments or circumstances that are beyond the control of
the producer or organization.
7)Specifies that a person who manufactures, sells, offers for
sale, or imports a primary battery-containing product in the
state is not a producer for purposes of the Act if the person:
a) Affirms to CalRecycle that the person only uses primary
batteries supplied by a producer participating in the Act;
and,
b) Reports to the producer or organization specified
information relating to the use and number of products sold
in the state.
8)Requires CalRecycle to act on a plan submitted within 30 days,
as specified, and establishes a procedure if a plan is
rejected. Requires CalRecycle to post all approved plans on
its website.
9)Within six months after the approval of a plan, requires a
producer or organization to implement the plan.
10)Within 30 days of the approval of a plan, and March 1
annually thereafter, requires CalRecycle to post a list of all
brands of batteries covered by the plan.
11)On and after July 1, 2016, prohibits a producer, wholesaler,
or retailer from offering a battery for sale that is not
covered by an approved plan. Allows the sale of remaining
stock of non-covered batteries through October 1, 2016.
12)Requires producers of primary batteries or primary battery
containing products sold or offered for sale after July 1,
2016 to notify CalRecycle and requires the producer to submit
a plan to CalRecycle or join an existing organization.
13)Requires a producer or an organization to submit an annual
report to CalRecycle that includes specified information
relating to program implementation and collection rates.
Allows reports to be submitted biannually once a producer or
organization has achieved the collection rates required by the
Act.
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14)Requires a producer or organization to pay an administrative
fee at the time the plan is submitted and specifies that
CalRecycle establish the fee at an amount to cover, but not
exceed, its costs associated with reviewing, approving, and
enforcing the plan. Specifies that the fee cannot exceed
$5,000.
15)Authorizes CalRecycle to assess administrative civil
penalties not to exceed $1,000 per day against a wholesaler or
retailer that violates the requirements of the Act, as
specified.
16)Authorizes a producer or organization that implements a plan
in compliance with the bill and incurs costs in excess of
$3,000 in collecting, handling, recycling, or properly
disposing batteries to bring a civil action to recover costs,
damages, and fees from another producer for failure to comply
with the Act, as specified.
17)Preempts a city, county, or district from adopting or
enforcing any ordinance that regulates the disposal,
collection, and recycling of primary batteries.
FISCAL EFFECT : Unknown
COMMENTS : According to the author:
More than 150 million household batteries are sold in the
state annually, yet only about five percent are currently
collected for recycling. To manage this universal waste,
local governments and taxpayers pay up to $2,700 per ton;
this amounts to tens of millions of dollars each year. Low
recycling rates result in valuable metals entering our
landfills or stockpiled in the home; neither of which is
optimal. AB 2284 would place recycling in the hands of the
private sector where competition drives down cost and
reduces costs to local governments.
Background on batteries . In California, household batteries are
classified as universal waste, which includes materials that
DTSC has determined are hazardous waste that are ubiquitous and
contain mercury, lead, cadmium, copper, or other substances
hazardous to human and environmental health. Since 2006,
universal waste has been prohibited from disposal in solid waste
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landfills.
Product stewardship/expanded producer responsibility (EPR) :
Product stewardship refers to a policy model that includes
manufacturers in the end-of-life management for products that
they produce. The California Product Stewardship Council states
that EPR is a strategy to place a shared responsibility for
end-of-life product management on all entities involved in the
product chain, instead of the local governments and taxpayers,
while encouraging product design changes that minimize a
negative impact on human health and the environment at every
stage of a product's lifecycle. Ideally, EPR allows the costs
of management and disposal to be incorporated into the total
cost of a product. Good EPR programs result in products that
are better designed for reuse and recycling, make recycling more
convenient for consumers, reduce illegal disposal of hazardous
materials, and encourage the use of recycled materials in new
products.
Local government impacts : Currently, local household hazardous
waste collection programs are the primary outlet for proper
management of universal waste and other hazardous wastes
generated by households, including batteries. Cost estimates to
manage waste batteries average around $800 per ton (with some
costing up to $2,700 per ton), amounting to tens of millions of
dollars each year. With decreasing revenues and increasing
responsibilities on local governments, another solution is
necessary to manage these products. Many local governments have
greatly decreased their household hazardous waste programs,
leaving few management options for the public. To date, 133
local resolutions have been adopted in California supporting the
EPR model.
Current battery recycling efforts : The non-profit organization
Call2Recycle is working in North America to collect and recycle
rechargeable batteries. Call2Recycle operates under the
Rechargeable Battery Recycling Corporation to promote
"environmental sustainability by providing free battery and cell
phone recycling in North America." The Call2Recycle program for
rechargeable battery and cell phone recycling is available to
residents, retailers, businesses, communities, municipalities,
and public agencies in the US and Canada. The program was
created in 1994 and is funded by battery and product
manufacturers to raise awareness about the importance of battery
recycling and to promote product stewardship initiatives.
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In 2006, the European Commission adopted the Batteries Directive
2006/66/EC, which requires member states of the European Union
to reach a 25 percent collection rate by 2012 and 45 percent by
2016. The directive also establishes toxicity limits for
batteries.
Previous legislation : AB 488 (Williams) was similar to AB 2284
and would have required producers of non-rechargeable household
batteries to develop and implement a plan to collect and manage
batteries sold in the state. This bill was held in the Assembly
Appropriations Committee.
SB 515 (Corbett, 2011) would have required a producer of
batteries sold in California to develop and implement a
household battery stewardship plan describing how it would
achieve collection of household batteries and the maximum
feasible recovery of materials from the collected batteries.
This bill was held in the Senate Appropriations Committee.
SB 1100 (Corbett, 2010) was substantially similar to SB 515.
This bill was held in the Assembly Rules Committee.
Suggested amendments :
1)Last year, this committee made several amendments to AB 488,
including exempting medical devices. AB 2284 limits this
exemption to medical devices "that are implanted." Most, if
not all, implanted devices are already exempt from the
requirements of the bill because they do not contain batteries
that are intended to be replaced by the consumer. The
committee may wish to amend the bill to clarify that the bill
does not apply to medical devices.
2)This bill requires that the plan submitted to CalRecycle
include "the number and type of convenient collection points
that shall be provided by the program free of charge for
consumers in all counties of the state?" Paragraph 2 of
subdivision (d) of Section 42445.3 qualifies this requirement
by exempting "single retailers" from the specific collection
requirements; requiring "at least one" collection point in
non-rural counties; and, requiring at least one collection
point per 10,000 residents by 2018 and one collection point
per 5,000 residents by 2021 in rural counties. These
qualifiers appear to weaken the "free and convenient"
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collection requirement. The committee may wish to amend the
bill to strike out this paragraph (page 8, lines 16 to 30) to
ensure that free and convenient collection is available to all
consumers throughout the state.
3)This bill states that it is the intent of the Legislature that
any actions undertaken by a producer or organization pursuant
to the bill are exempt from federal and state antitrust laws;
however, the state has no authority to exempt entities from
federal law. The committee may wish to amend the bill to
remove "federal" from this provision (42445.17).
REGISTERED SUPPORT / OPPOSITION :
Support
California Product Stewardship Council (sponsor)
City of Sacramento
Solid Waste Association of North America
Opposition
Advanced Medical Technology Association
California Cable & Telecommunications Association
Toy Industry Association
Analysis Prepared by : Elizabeth MacMillan / NAT. RES. / (916)
319-2092