BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2658
                                                                  Page  1

          Date of Hearing:   May 7, 2014

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                  AB 2658 (Bocanegra) - As Amended:  April 21, 2014 

          Policy Committee:                              Natural  
          ResourcesVote:5-1

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

           This bill extends a sunset date relating to the use of  
          rubberized asphalt concrete (RAC) and requires CalRecycle to  
          prioritize projects in disadvantaged communities when awarding  
          specified grants.  Specifically, this bill:

          1)Extends the requirement that 50% of asphalt paving materials  
            used by Caltrans be RAC from January 1, 2015 to January 1,  
            2020.  

          2)Clarifies that parklets and greenways are eligible for grants  
            awarded by CalRecycle for public works projects that use  
            tire-derived products (TDP).  

          3)Requires CalRecycle, when awarding grants for parklets and  
            greenways that use TDP, to give priority to give priority to  
            projects located in disadvantaged communities.  

          4)Defines disadvantaged community as a community with an annual  
            median household income that is less than 80% of the statewide  
            median household income.  

          5)Defines greenway as a travel corridor for pedestrians,  
            bicycles, nonmotorized vehicle transportation, recreation, or  
            a combination thereof, located along natural landscape  
            features, such as an urban watercourse.  

          6)Defines parklet as a small urban park that provides amenities  
            including, but not limited to, seating, tables, bike racks,  
            and landscaping.  









                                                                  AB 2658
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           FISCAL EFFECT  

          1)Negligible, if any costs to Caltrans.

          2)Potential grant funding shifts in the TDP due to prioritizing  
            projects in disadvantaged communities and expanding funding  
            authorization.  

          3)No additional costs for CalRecyle to administer the TDP.

           COMMENTS  

           1)Rationale.   AB 338 (Levine), Chapter 709, Statutes of 2005  
            established the requirement that Caltrans use a minimum amount  
            of recycled tires in paving projects, including the  
            requirement that 50% of asphalt containing crumb rubber be  
            RAC.  This bill extends this requirement for an additional  
            five years, until 2020.   

             When AB 338 was enacted, it was expected that there would be  
            an American Society for Testing and Materials (ASTM) standard  
            specification for other types of asphalt containing crumb  
            rubber before the sunset date of 2015.  However, ASTM has not  
            yet developed additional standards.   
             The TDP grant program provides funding for recycled-content  
            products that contain waste tires generated in California.  AB  
            2658 will ensure that parklets and greenways receive due  
            consideration for TDP grants, and will ensure that preference  
            is given to projects in disadvantaged communities, which are  
            often "park poor," offering little relief from the urban  
            environment.  
             
          2)Background.    RAC is a road paving material made by blending  
            ground-up recycled tires with asphalt to produce a binder,  
            which is then mixed with conventional aggregate materals.   
            While there are a number of recycling technologies for waste  
            tires, RAC continues to be among the highest and best uses.  

            RAC has a number of benefits, both environmental and economic.  
             RAC does not require as thick an application as conventional  
            asphalt and has a longer life-span due to its resistance to  
            cutting and cracking.  Some studies suggest that RAC lasts up  
            to 50% longer.  RAC also provides significant noise reduction  
            over conventional asphalt and concrete roads.  Moreover, RAC  
            uses a lot of tires.  A two-inch thick resurfacing project  








                                                                  AB 2658
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            uses about 2,000 waste tires per lane mile.  
             
             A person who purchases a new tire in California is required to  
            pay a tire fee of $1.75 for each new tire purchased in the  
            state.  One dollar of  the fee is deposited into the Tire  
            Recycling Fund for oversight, enforcement, and market  
            development grants relating to waste tire management and  
            recycling.   The remaining $0.75 is deposited into the Air  
            Pollution Control Fund for programs and projects that mitigate  
            or remediate air pollution caused by tires.  


           Analysis Prepared by  :    Jennifer Galehouse / APPR. / (916)  
          319-2081