AB 863

Bill Subjects

Abstract

The California Integrated Waste Management Act of 1989, administered by the Department of Resources Recycling and Recovery, generally regulates the disposal, management, and recycling of solid waste. The act establishes stewardship programs for various products, including, among others, carpet. The act requires a manufacturer of carpets sold in this state, individually or through a carpet stewardship organization, to submit a carpet stewardship plan to the department, which is required to include specified elements, including achieving specified carpet recycling rates and a funding mechanism that provides sufficient funding to carry out the plan. The act requires the funding mechanism to establish and provide for a carpet stewardship assessment to be added to the purchase price of carpet sold in the state by a manufacturer to a California retailer or wholesaler or otherwise sold for use in the state and requires each retailer and wholesaler to add the assessment to the purchase price of all carpet sold in the state. The act requires a manufacturer or carpet stewardship organization submitting a carpet stewardship plan to pay the department an administrative fee, as determined by the department, and imposes administrative civil penalties upon a person who violates these provisions. The act requires the carpet stewardship organization to provide various reports to ensure compliance with these provisions. This bill would require a carpet stewardship organization to include nonvoting board members, as specified, and would require the carpet stewardship organization to pay the travel costs and other expenses for those nonvoting members to participate in all board meetings. The bill would require a carpet stewardship organization to be responsible for, and make decisions regarding, a carpet stewardship plan, as specified. The bill would prohibit a carpet stewardship organization from delegating any responsibility of its board of directors or any decisionmaking responsibility to a person who is not a member of its board of directors. The bill would require a carpet stewardship organization to allocate 8% of the assessments it collects for grants to apprenticeship programs, as provided. The bill would authorize the department to audit a carpet stewardship organization and a manufacturer annually. The bill would authorize the department to adopt regulations to bring a carpet stewardship organization or manufacturer into compliance with the product stewardship for carpet program, as specified. The bill would increase the penalties for a violation of the program from $5,000 per day to $10,000 per day, and from $10,000 per day to $25,000 per day if the violation is intentional, knowing, or negligent. This bill would make the above-discussed product stewardship for carpet program, as amended by this bill, inoperative upon the completion of specified conditions, including that the department submits a letter to the relevant committees of the Legislature indicating that specified conditions have been met and that the department is prepared to implement a carpet producer responsibility program as discussed below. This bill would establish a carpet producer responsibility program that would require producers of covered products to form and join a single producer responsibility organization (PRO) for the collection and recycling of a covered product. This bill would define a "covered product" as carpet, as defined. The bill would require the PRO to develop a producer responsibility plan for the collection, transportation, recycling, and the safe and proper management of covered products in the state. The bill would require the PRO to perform specified public outreach regarding the plan before submitting it to the department for approval. The bill would require the PRO to review the plan at least every 5 years after approval. The bill would also require the PRO to submit an annual report to the department. The bill would require all reports and records provided to the department to be provided under penalty of perjury. By expanding the scope of the crime of perjury, the bill would impose a state-mandated local program. The bill would restrict public access to certain information collected for the purpose of administering this program. This bill would require the department to post on its internet website a list of producers that are in compliance with the requirements of the program. The bill would require the department to adopt regulations governing the program. The bill would require the PRO to establish and provide for a covered product assessment to be added to the purchase price of covered product sold in the state by a producer to a California retailer or wholesaler or otherwise sold for use in the state and would require each retailer and wholesaler to add the assessment to the purchase price of all covered product sold in the state. The bill would require the PRO to pay fees to the department, not to exceed the department's actual and reasonable regulatory costs to implement and enforce the program. The bill would rename the Carpet Stewardship Account to be the Carpet Responsibility Fund and would rename the Carpet Stewardship Penalty Subaccount to be the Carpet Responsibility Penalty Account. The bill would require the deposit of all moneys received from the PRO into the Carpet Responsibility Fund and would make the moneys in that fund available to the department, upon appropriation by the Legislature, for purposes of the program. The bill would also authorize the department to impose administrative penalties for a violation of the program's requirements, not to exceed $10,000 per day, or not to exceed $25,000 per day for an intentional or knowing violation, as specified. Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest. This bill would make legislative findings to that effect. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.