SB 662: Recycling.
- Session Year: 2015-2016
- House: Senate
- Latest Version Date: 2015-10-02
(1)Existing law requires the Department of Resources Recycling and Recovery to develop a comprehensive market development plan that will stimulate market demand in the state for postconsumer waste material and secondary waste material generated in the state. Existing law authorizes a local governing body, as defined, to propose eligible property within its jurisdiction as a recycling market development zone, as defined, and authorizes the department to designate recycling market development zones.
Existing law creates the Recycling Market Development Revolving Loan Subaccount and continuously appropriates the funds deposited in the subaccount to the department for making loans to local governing bodies, private businesses, and nonprofit entities within the recycling market development zones and in other specified areas for purposes of the Recycling Market Development Revolving Loan Program. Existing law makes these provisions inoperative on July 1, 2021.
This bill would authorize the department to expend moneys in the subaccount to make payments to local governing bodies within recycling market development zones for services related to the promotion of the zone. By expanding the purposes of a continuously appropriated fund, the bill would make an appropriation.
(2)The California Integrated Waste Management Act of 1989 requires a manufacturer of architectural paint or the designated stewardship organization to submit to the Department of Resources Recycling and Recovery an architectural paint stewardship plan to develop and implement a recovery program to manage the end of life of postconsumer architectural paint. A manufacturer is required to submit a report to the department by September 1 of each year, describing its paint recovery efforts.
This bill would change the date when the report is due to November 1 of each year.
(1)Existing law requires the Department of Resources Recycling and Recovery to develop a comprehensive market development plan that will stimulate market demand in the state for postconsumer waste material and secondary waste material generated in the state. Existing law authorizes a local governing body, as defined, to propose eligible property within its jurisdiction as a recycling market development zone, as defined, and authorizes the department to designate recycling market development zones.
Existing law creates the Recycling Market Development Revolving Loan Subaccount and continuously appropriates the funds deposited in the subaccount to the department for making loans to local governing bodies, private businesses, and nonprofit entities within the recycling market development zones and in other specified areas for purposes of the Recycling Market Development Revolving Loan Program. Existing law makes these provisions inoperative on July 1, 2021.
This bill would authorize the department to expend moneys in the subaccount to make payments to local governing bodies within recycling market development zones for services related to the promotion of the zone. By expanding the purposes of a continuously appropriated fund, the bill would make an appropriation.
(2)The California Integrated Waste Management Act of 1989 requires a manufacturer of architectural paint or the designated stewardship organization to submit to the Department of Resources Recycling and Recovery an architectural paint stewardship plan to develop and implement a recovery program to manage the end of life of postconsumer architectural paint. A manufacturer is required to submit a report to the department by September 1 of each year, describing its paint recovery efforts.
This bill would change the date when the report is due to November 1 of each year.
(1)Existing law requires the Department of Resources Recycling and Recovery to develop a comprehensive market development plan that will stimulate market demand in the state for postconsumer waste material and secondary waste material generated in the state. Existing law authorizes a local governing body, as defined, to propose eligible property within its jurisdiction as a recycling market development zone, as defined, and authorizes the department to designate recycling market development zones.
Existing law creates the Recycling Market Development Revolving Loan Subaccount and continuously appropriates the funds deposited in the subaccount to the department for making loans to local governing bodies, private businesses, and nonprofit entities within the recycling market development zones and in other specified areas for purposes of the Recycling Market Development Revolving Loan Program. Existing law makes these provisions inoperative on July 1, 2021.
This bill would authorize the department to expend money in the subaccount to make payments to local governing bodies within recycling market development zones for services related to the promotion of the zone. By expanding the purposes of a continuously appropriated fund, the bill would make an appropriation.
(2)The California Integrated Waste Management Act of 1989 requires a manufacturer of architectural paint or the designated stewardship organization to submit to the Department of Resources Recycling and Recovery an architectural paint stewardship plan to develop and implement a recovery program to manage the end of life of postconsumer architectural paint. A manufacturer is required to submit a report to the department by September 1 of each year, describing its paint recovery efforts.
This bill would change the date when the report is due to November 1 of each year.
(a)The Recycling Market Development Revolving Loan Subaccount is hereby created in the account for the purpose of providing loans for purposes of the Recycling Market Development Revolving Loan Program established pursuant to this article and for making payments pursuant to subdivision (g).
(b)Notwithstanding Section 13340 of the Government Code, the funds deposited in the subaccount are hereby continuously appropriated to the department without regard to fiscal year for making loans pursuant to this article and for making payments pursuant to subdivision (g).
(c)The department may expend interest earnings on funds in the subaccount for administrative expenses incurred in carrying out the Recycling Market Development Revolving Loan Program, upon the appropriation of funds in the subaccount for that purpose in the annual Budget Act.
(d)The money from loan repayments and fees, including, but not limited to, principal and interest repayments, fees and points, recovery of collection costs, income earned on an asset recovered pursuant to a loan default, and funds collected through foreclosure actions shall be deposited in the subaccount.
(e)All interest accruing on interest payments from loan applicants shall be deposited in the subaccount.
(f)The department may expend the money in the subaccount to make loans to local governing bodies, private businesses, and nonprofit entities within recycling market development zones, or in areas outside zones where partnerships exist with other public entities to assist local jurisdictions to comply with Section 40051.
(g)The department may expend the money in the subaccount to make payments to local governing bodies within a recycling market zone for services related to the promotion of the zone. The services may include, but are not limited to, training, outreach, development of written promotional materials, and technical analyses of feedstock availability.
(h)The department shall not fund a loan until it determines that the applicant has obtained all significant applicable federal, state, and local permits. The department shall determine which applicable federal, state, and local permits are significant.
(i)The department shall establish and collect fees for applications for loans authorized by this section. The application fee shall be set at a level that is sufficient to fund the departments cost of processing applications for loans. In addition, the department shall establish a schedule of fees or points for loans that are entered into by the department, to fund the departments administration of the revolving loan program.
(j)The department may expend money in the subaccount for the administration of the Recycling Market Development Revolving Loan Program, upon the appropriation of funds in the subaccount for that purpose in the annual Budget Act. In addition, the department may expend money in the account to administer the revolving loan program, upon the appropriation of funds in the subaccount for that purpose in the annual Budget Act. However, funding for the administration of the revolving loan program from the account shall be provided only if there are not sufficient funds in the subaccount to fully fund the administration of the program.
(k)The department, pursuant to subdivision (a) of Section 47901, may set aside funds for the purposes of paying costs necessary to protect the states position as a lender-creditor. These costs shall be broadly construed to include, but not be limited to, foreclosure expenses, auction fees, title searches, appraisals, real estate brokerage fees, attorney fees, mortgage payments, insurance payments, utility costs, repair costs, removal and storage costs for repossessed equipment and inventory, and additional expenditures to purchase a senior lien in foreclosure or bankruptcy proceedings.
(l)(1)Except as provided in paragraph (2), this section shall become inoperative on July 1, 2021, and as of January 1, 2022, is repealed, unless a later enacted statute, which becomes effective on or before January 1, 2022, deletes or extends the date on which it becomes inoperative and is repealed.
(2)The repeal of this section pursuant to paragraph (1) shall not extinguish any loan obligation or the authority of the state to pursue appropriate actions for the collection of a loan.
SEC. 2.Section 48705 of the Public Resources Code is amended to read:48705.(a)On or before November 1, 2016, and each year thereafter, a manufacturer of architectural paint sold in this state shall, individually or through a representative stewardship organization, submit a report to the department describing its architectural paint recovery efforts. At a minimum, the report shall include all of the following:
(1)The total volume of architectural paint sold in this state during the preceding fiscal year.
(2)The total volume of postconsumer architectural paint recovered in this state during the preceding fiscal year.
(3)A description of methods used to collect, transport, and process postconsumer architectural paint in this state.
(4)The total cost of implementing the architectural paint stewardship program.
(5)An evaluation of how the architectural paint stewardship programs funding mechanism operated.
(6)An independent financial audit funded from the paint stewardship assessment.
(7)Examples of educational materials that were provided to consumers the first year and any changes to those materials in subsequent years.
(b)The department shall review the annual report required pursuant to this section and within 90 days of receipt shall adopt a finding of compliance or noncompliance with this chapter.
(a)The Recycling Market Development Revolving Loan Subaccount is hereby created in the account for the purpose of providing loans for purposes of the Recycling Market Development Revolving Loan Program established pursuant to this article and for making payments pursuant to subdivision (g).
(b)Notwithstanding Section 13340 of the Government Code, the funds deposited in the subaccount are hereby continuously appropriated to the department without regard to fiscal year for making loans pursuant to this article and for making payments pursuant to subdivision (g).
(c)The department may expend interest earnings on funds in the subaccount for administrative expenses incurred in carrying out the Recycling Market Development Revolving Loan Program, upon the appropriation of funds in the subaccount for that purpose in the annual Budget Act.
(d)The money from loan repayments and fees, including, but not limited to, principal and interest repayments, fees and points, recovery of collection costs, income earned on an asset recovered pursuant to a loan default, and funds collected through foreclosure actions shall be deposited in the subaccount.
(e)All interest accruing on interest payments from loan applicants shall be deposited in the subaccount.
(f)The department may expend the money in the subaccount to make loans to local governing bodies, private businesses, and nonprofit entities within recycling market development zones, or in areas outside zones where partnerships exist with other public entities to assist local jurisdictions to comply with Section 40051.
(g)The department may expend the money in the subaccount to make payments to local governing bodies within a recycling market zone for services related to the promotion of the zone. The services may include, but are not limited to, training, outreach, development of written promotional materials, and technical analyses of feedstock availability.
(h)The department shall not fund a loan until it determines that the applicant has obtained all significant applicable federal, state, and local permits. The department shall determine which applicable federal, state, and local permits are significant.
(i)The department shall establish and collect fees for applications for loans authorized by this section. The application fee shall be set at a level that is sufficient to fund the departments cost of processing applications for loans. In addition, the department shall establish a schedule of fees or points for loans that are entered into by the department, to fund the departments administration of the revolving loan program.
(j)The department may expend money in the subaccount for the administration of the Recycling Market Development Revolving Loan Program, upon the appropriation of funds in the subaccount for that purpose in the annual Budget Act. In addition, the department may expend money in the account to administer the revolving loan program, upon the appropriation of funds in the subaccount for that purpose in the annual Budget Act. However, funding for the administration of the revolving loan program from the account shall be provided only if there are not sufficient funds in the subaccount to fully fund the administration of the program.
(k)The department, pursuant to subdivision (a) of Section 47901, may set aside funds for the purposes of paying costs necessary to protect the states position as a lender-creditor. These costs shall be broadly construed to include, but not be limited to, foreclosure expenses, auction fees, title searches, appraisals, real estate brokerage fees, attorney fees, mortgage payments, insurance payments, utility costs, repair costs, removal and storage costs for repossessed equipment and inventory, and additional expenditures to purchase a senior lien in foreclosure or bankruptcy proceedings.
(l)(1)Except as provided in paragraph (2), this section shall become inoperative on July 1, 2021, and as of January 1, 2022, is repealed, unless a later enacted statute, which becomes effective on or before January 1, 2022, deletes or extends the date on which it becomes inoperative and is repealed.
(2)The repeal of this section pursuant to paragraph (1) shall not extinguish any loan obligation or the authority of the state to pursue appropriate actions for the collection of a loan.
SEC. 2.Section 48705 of the Public Resources Code is amended to read:48705.(a)On or before November 1, 2016, and each year thereafter, a manufacturer of architectural paint sold in this state shall, individually or through a representative stewardship organization, submit a report to the department describing its architectural paint recovery efforts. At a minimum, the report shall include all of the following:
(1)The total volume of architectural paint sold in this state during the preceding fiscal year.
(2)The total volume of postconsumer architectural paint recovered in this state during the preceding fiscal year.
(3)A description of methods used to collect, transport, and process postconsumer architectural paint in this state.
(4)The total cost of implementing the architectural paint stewardship program.
(5)An evaluation of how the architectural paint stewardship programs funding mechanism operated.
(6)An independent financial audit funded from the paint stewardship assessment.
(7)Examples of educational materials that were provided to consumers the first year and any changes to those materials in subsequent years.
(b)The department shall review the annual report required pursuant to this section and within 90 days of receipt shall adopt a finding of compliance or noncompliance with this chapter.
(a)The Recycling Market Development Revolving Loan Subaccount is hereby created in the account for the purpose of providing loans for purposes of the Recycling Market Development Revolving Loan Program established pursuant to this article. article and for making payments pursuant to subdivision (g).
(b)Notwithstanding Section 13340 of the Government Code, the funds deposited in the subaccount are hereby continuously appropriated to the department without regard to fiscal year for making loans pursuant to this article. article and for making payments pursuant to subdivision (g).
(c)The department may expend interest earnings on funds in the subaccount for administrative expenses incurred in carrying out the Recycling Market Development Revolving Loan Program, upon the appropriation of funds in the subaccount for that purpose in the annual Budget Act.
(d)The money from loan repayments and fees, including, but not limited to, principal and interest repayments, fees and points, recovery of collection costs, income earned on an asset recovered pursuant to a loan default, and funds collected through foreclosure actions shall be deposited in the subaccount.
(e)All interest accruing on interest payments from loan applicants shall be deposited in the subaccount.
(f)The department may expend the money in the subaccount to make loans to local governing bodies, private businesses, and nonprofit entities within recycling market development zones, or in areas outside zones where partnerships exist with other public entities to assist local jurisdictions to comply with Section 40051.
(g)The department may expend the money in the subaccount to make payments to local governing bodies within a recycling market zone for services related to the promotion of the zone. The services may include, but are not limited to, training, outreach, development of written promotional materials, and technical analyses of feedstock availability.
(g)
(h)The department shall not fund a loan until it determines that the applicant has obtained all significant applicable federal, state, and local permits. The department shall determine which applicable federal, state, and local permits are significant.
(h)
(i)The department shall establish and collect fees for applications for loans authorized by this section. The application fee shall be set at a level that is sufficient to fund the departments cost of processing applications for loans. In addition, the department shall establish a schedule of fees or points for loans that are entered into by the department, to fund the departments administration of the revolving loan program.
(i)
(j)The department may expend money in the subaccount for the administration of the Recycling Market Development Revolving Loan Program, upon the appropriation of funds in the subaccount for that purpose in the annual Budget Act. In addition, the department may expend money in the account to administer the revolving loan program, upon the appropriation of funds in the subaccount for that purpose in the annual Budget Act. However, funding for the administration of the revolving loan program from the account shall be provided only if there are not sufficient funds in the subaccount to fully fund the administration of the program.
(j)
(k)The department, pursuant to subdivision (a) of Section 47901, may set aside funds for the purposes of paying costs necessary to protect the states position as a lender-creditor. These costs shall be broadly construed to include, but not be limited to, foreclosure expenses, auction fees, title searches, appraisals, real estate brokerage fees, attorney fees, mortgage payments, insurance payments, utility costs, repair costs, removal and storage costs for repossessed equipment and inventory, and additional expenditures to purchase a senior lien in foreclosure or bankruptcy proceedings.
(k)
(l)(1)Except as provided in paragraph (2), this section shall become inoperative on July 1, 2021, and as of January 1, 2022, is repealed, unless a later enacted statute, which becomes effective on or before January 1, 2022, deletes or extends the date on which it becomes inoperative and is repealed.
(2)The repeal of this section pursuant to paragraph (1) shall not extinguish any loan obligation or the authority of the state to pursue appropriate actions for the collection of a loan.
SEC. 2.Section 48705 of the Public Resources Code is amended to read:48705.(a)On or before September 1, 2013, November 1, 2016, and each year thereafter, a manufacturer of architectural paint sold in this state shall, individually or through a representative stewardship organization, submit a report to the department describing its architectural paint recovery efforts. At a minimum, the report shall include all of the following:
(1)The total volume of architectural paint sold in this state during the preceding fiscal year.
(2)The total volume of postconsumer architectural paint recovered in this state during the preceding fiscal year.
(3)A description of methods used to collect, transport, and process postconsumer architectural paint in this state.
(4)The total cost of implementing the architectural paint stewardship program.
(5)An evaluation of how the architectural paint stewardship programs funding mechanism operated.
(6)An independent financial audit funded from the paint stewardship assessment.
(7)Examples of educational materials that were provided to consumers the first year and any changes to those materials in subsequent years.
(b)The department shall review the annual report required pursuant to this section and within 90 days of receipt shall adopt a finding of compliance or noncompliance with this chapter.
|
Date
|
Status
|
|---|---|
| May 22, 2015 | Referred to Com. on NAT. RES. |
| Oct 2, 2015 | Chaptered by Secretary of State. Chapter 453, Statutes of 2015. |
| Oct 2, 2015 | Approved by the Governor. |
| Sep 9, 2015 | Enrolled and presented to the Governor at 4:30 p.m. |
| Sep 3, 2015 | Read third time. Passed. (Ayes 80. Noes 0. Page 2850.) Ordered to the Senate. |
| Sep 3, 2015 | Read third time. Passed. Ordered to the Senate. |
| Sep 3, 2015 | In Senate. Ordered to engrossing and enrolling. |
| Aug 28, 2015 | Read second time. Ordered to third reading. |
| Aug 28, 2015 | From committee: Do pass. (Ayes 17. Noes 0.) (August 27). |
| Jul 8, 2015 | July 8 set for first hearing. Placed on APPR. suspense file. |
| Jul 8, 2015 | July 8 set for first hearing. Placed on suspense file. |
| Jun 23, 2015 | From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 7. Noes 0.) (June 22). Re-referred to Com. on APPR. |
| Feb 27, 2015 | Introduced. To Com. on RLS. for assignment. To print. |
| May 7, 2015 | Read third time. Passed. (Ayes 37. Noes 0.) Ordered to the Assembly. |
| May 7, 2015 | Read third time. Passed. (Ayes 37. Noes 0. Page 928.) Ordered to the Assembly. |
| May 7, 2015 | In Assembly. Read first time. Held at Desk. |
| Apr 28, 2015 | Read second time. Ordered to third reading. |
| Apr 27, 2015 | From committee: Do pass. (Ayes 7. Noes 0. Page 779.) (April 27). |
| Apr 17, 2015 | Set for hearing April 27. |
| Apr 16, 2015 | From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 7. Noes 0. Page 650.) (April 15). Re-referred to Com. on APPR. |
| Mar 17, 2015 | Set for hearing April 15. |
| Mar 12, 2015 | Referred to Com. on E.Q. |
| Mar 2, 2015 | Read first time. |
| Mar 2, 2015 | From printer. May be acted upon on or after April 1. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| Sep 3, 2015 | SB 662 E.Q. Senate Third Reading By GORDON | Assembly Floor |
Passed |
|
| Aug 27, 2015 | Do pass. | Assembly Standing Committee on Appropriations |
Passed |
|
| Jun 22, 2015 | Do pass and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar | Assembly Standing Committee on Natural Resources |
Passed |
|
| May 7, 2015 | Senate 3rd Reading SB662 Committee On E.Q. (Wieckowski) | Senate Floor |
Passed |
|
| Apr 27, 2015 | Do pass | Senate Standing Committee on Appropriations |
Passed |
|
| Apr 15, 2015 | Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent Calendar | Senate Standing Committee on Environmental Quality |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| American Coatings Association | ** Support | Sep 3, 2015 |
| American Planning Association, California Chapter | * Support | Apr 27, 2015 |
| California Paint Council | ** Support | Sep 3, 2015 |
| PaintCare | ** Support | Sep 3, 2015 |
| Torrance, City Of | ** Support | Sep 3, 2015 |
SB 662
Page 2
SENATE THIRD READING
SB 662
(Committee on Environmental Quality)
As Introduced February 27, 2015
Majority vote
SENATE VOTE: 37-0
Committee |
Votes |
Ayes |
Noes |
Natural Resources |
7-0 |
Williams, Cristina Garcia, Hadley, Harper, McCarty, Rendon, Mark Stone |
|
Appropriations |
17-0 |
Gomez, Bigelow, Bloom, Bonta, Calderon, Chang, Nazarian, Eggman, Gallagher, Eduardo Garcia, Holden, Jones, Quirk, Rendon, Wagner, Weber, Wood |
|
SUMMARY: Makes the following changes to the Public Resources Code relating to recycling:
Extends the use of the Recycling Market Development Revolving Loan Subaccount to include payments to local governments for the promotion of a recycling market development zone (RMDZ).
Changes the annual reporting date for the architectural paint extended producer responsibility collection program from September 1 to November 1, beginning in 2016.
FISCAL EFFECT: According to the Assembly Appropriations Committee, this bill has total costs of approximately $375,000 to $400,000 over three years from the Recycling Market Development Revolving Loan Subaccount for payments to RMDZ Zone Administrators for promotional activities.
COMMENTS: Under existing law, CalRecycle is required to develop a comprehensive market development plan to stimulate demand for waste materials generated in the state. As part of this effort, CalRecycle designates RMDZs to attract private sector recycling investment. Local governments, private businesses, and nonprofit organizations within a RMDZ are eligible to receive loans, technical assistance and free product marketing.
Loans and other RMDZ activities are funded by the subaccount, which received initial seed money from the Integrated Waste Management Account and receives ongoing funding from loan repayments and interest.
For the last 20 years, CalRecycle provided reimbursement payments to RMDZ Zone Administrators for outreach services to promote the RMDZ Loan program. It was recently determined that CalRecycle may not have sufficient authority to expend funds from the subaccount to reimburse Zone Administrators for outreach services.
This bill clarifies CalRecycle's statutory authority to provide reimbursement payments for RMDZ promotion activities.
PaintCare is California's extended producer responsibility collection system for left-over paint recovery. Existing law requires PaintCare to submit an annual report to CalRecycle by September 1 that describes the status of the program, including the volume of paint sold in the preceding fiscal year and the volume of paint recovered. When implementing the law, PaintCare has found that it needs a minimum of four months past the end of the fiscal year (June 30) to prepare the annual report to CalRecycle, which has resulted in PaintCare requesting an extension from CalRecycle for the last two years. This bill moves the date from September 1 to November 1 to provide a more realistic time frame for submitting the report.
Analysis Prepared by: Elizabeth MacMillan / NAT. RES. / (916) 319-2092 FN: 0001625
Date of Hearing: July 8, 2015
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Jimmy Gomez, Chair
SB 662
(Committee on Environmental Quality) – As Introduced February 27, 2015
Policy Committee: |
Natural Resources |
Vote: |
7 - 0 |
|
|
|
|
|
|
|
|
Urgency: No State Mandated Local Program: No Reimbursable: No
SUMMARY:
This committee bill makes the following changes to the Public Resources Code relating to recycling:
Extends the use of the Recycling Market Development Revolving Loan Subaccount (subaccount) to include payments to local governments for the promotion of a recycling market development zone (RMDZ).
Changes the annual reporting date for the architectural paint extended producer responsibility collection program from September 1 to November 1, beginning in 2016.
FISCAL EFFECT:
Total costs of approximately $375,000 to $400,000 over three years from the Recycling Market Development Revolving Loan Subaccount for payments to RMDZ Zone Administrators for promotional activities.
COMMENTS:
Recycled Material Market Development. Under existing law, CalRecyle is required to develop a comprehensive market development plan to stimulate demand for waste materials generated in the state. As part of this effort, CalRecyle designates RMDZs to attract private sector recycling investment. Local governments, private businesses, and nonprofit organizations within a RMDZ are eligible to receive loans, technical assistance and free product marketing.
Loans and other RMDZ activities are funded by the subaccount, which received initial seed money from the Integrated Waste Management Account and receives ongoing funding from loan repayments and interest.
For the last 20 years, CalRecycle provided reimbursement payments to RMDZ Zone Administrators for outreach services to promote the RMDZ Loan program. It was recently determined that CalRecyle may not have sufficient authority to expend funds from the subaccount to reimburse Zone Administrators for outreach services.
This bill clarifies CalRecyle's statutory authority to provide reimbursement payments for RMDZ promotion activities.
Paint Recovery. PaintCare is California's extended producer responsibility (EPR) collection system for left over paint recovery. Existing law requires PaintCare to submit an annual report by September 1 detailing the status of the program, including the volume of paint sold in the preceding fiscal year and the volume of paint recovered. For the last two years, PaintCare has requested an extension asserting it needs a minimum of four months after the end of the fiscal year (June 30) to prepare the report.
This bill provides PaintCare an additional two months to prepare the annual report.
Analysis Prepared by: Jennifer Galehouse / APPR. / (916) 319-2081
SB 662
Page 2
Date of Hearing: June 22, 2015
ASSEMBLY COMMITTEE ON NATURAL RESOURCES
Das Williams, Chair
SB 662
(Committee on Environmental Quality) – As Introduced February 27, 2015
SENATE VOTE: 37-0
SUBJECT: Recycling
SUMMARY: Committee omnibus bill that makes various changes to the Public Resources Code relating to recycling.
EXISTING LAW:
Declares the state’s policy goal that not less than 75% of solid waste generated be source reduced, recycled, or composted by 2020 and annually thereafter, and that market development is the key to increasing cost-effective recycling.
Requires the Department of Resources, Recycling and Recovery (CalRecycle) to develop a comprehensive market development plan to stimulate market demand in the state for waste material generated in the state, and requires the plan to include efforts to encourage and promote cooperative, regional programs to expand markets for recycled material.
Authorizes a local governing body to propose eligible property in its jurisdiction as a Recycling Market Development Zone (RMDZ), and authorizes CalRecycle to designate RMDZs that are necessary to assist in attracting private sector recycling investments to the area.
Creates the Recycling Market Development Revolving Loan Subaccount (Subaccount) and continuously appropriates the funds deposited in the Subaccount to CalRecycle for making loans to local governing bodies, private businesses, and non-profit entities within the RMDZ for the purposes of the RMDZ Loan Program.
Establishes the RMDZ Loan Program to provide low-interest loans for the purchase of equipment and other costs for California-based recycling businesses.
Establishes the Architectural Paint Recovery Program, which requires a manufacturer of architectural paint or the designated stewardship organization to submit an architectural paint stewardship plan to CalRecycle to develop and implement a recovery program to reduce, reuse, and manage postconsumer architectural paint.
Requires the manufacturer or designated organization to also submit an annual report on or before September 1 of each year describing its architectural paint recovery efforts.
THIS BILL:
Authorizes CalRecycle to expend money from the Subaccount to make payments to local governing bodies within RMDZs to reimburse them for activities promoting the zone.
Changes the annual report date of a manufacturer’s architectural paint recovery efforts to CalRecycle from September 1 to November 1 of each year.
FISCAL EFFECT: According to the Senate Appropriations Committee, this bill has ongoing costs of approximately $125,000 annually from the Recycling Market Development Revolving Loan Subaccount (special) for payments to RMDZ administrators for promotional activities.
COMMENTS: According to CalRecycle:
Developing [recycling] facilities is a critical component of CalRecycle’s efforts to achieving 75% recycling by 2020 and the state’s greenhouse gas reduction goals. Attracting, siting, and permitting such facilities, as well as finding appropriate recycled feedstock, requires the services of Zone Administrators. For the last 20 years, CalRecycle has provided reimbursement payments, primarily from the RMDZ Loan Subaccount, to the Zone Administrators for outreach services to promote the RMDZ Loan Program. However, a recent determination found that PRC 42023.1, which authorizes the RMDZ Loan Subaccount funds expenditures, does not give CalRecycle sufficient authority to expend funds from the RMDZ Loan Subaccount to reimburse Zone Administrators for outreach services.
This bill clarifies CalRecycle’s statutory authority to make reimbursement payments for RMDZ promotion activities.
PaintCare is
California’s extended producer responsibility collection system for
left-over paint recovery. Existing law requires PaintCare to submit
an annual report to CalRecycle by September 1 that describes the
status of the program, including the volume of paint sold in the
preceding fiscal year and the volume of paint recovered. When
implementing the law, PaintCare has found that it needs a minimum of
four months past the end of the fiscal year (June 30) to prepare the
annual report to CalRecycle, which has resulted in PaintCare
requesting an extension from CalRecycle for the last two years. This
bill moves the date from September 1 to November 1 to provide a more
realistic time frame for submitting the report.
REGISTERED
SUPPORT / OPPOSITION:
Support
American Coatings Association
California Paint Council
City of Torrance
PaintCare
Opposition
None on file
Analysis Prepared by: Elizabeth MacMillan / NAT. RES. / (916) 319-2092
SB 662
Page 3
|
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 |
THIRD READING
Bill No: SB 662
Author: Committee on Environmental Quality
Introduced: 2/27/15
SENATE ENVIRONMENTAL QUALITY COMMITTEE: 7-0, 4/15/15
AYES: Wieckowski, Gaines, Bates, Hill, Jackson, Leno, Pavley
SENATE APPROPRIATIONS COMMITTEE: 7-0, 4/27/15
AYES: Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen
DIGEST: This bill is the Senate Environmental Quality Committee’s annual omnibus bill that clarifies the Department of Resources, Recycling and Recovery’s (CalRecycle) authority to make reimbursement payments for promotion of the Recycling Market Development Zone (RMDZ) Program to stimulate recycling market development in California. This bill also makes a technical change to move the annual reporting due date for California’s architectural paint extended producer responsibility collection program.
Existing
law:
Declares the state’s policy goal that not less than 75% of solid waste generated be source reduced, recycled, or composted by 2020 and annually thereafter, and that market development is the key to increasing cost-effective recycling.
Requires CalRecycle to develop a comprehensive market development plan to stimulate market demand in the state for waste material generated in the state, and requires the plan to include efforts to encourage and promote cooperative, regional programs to expand markets for recycled material.
Authorizes a local governing body to propose eligible property in its jurisdiction as a RMDZ, and authorizes CalRecycle to designate RMDZs which are necessary to assist in attracting private sector recycling investments to the area.
Creates the Recycling Market Development Revolving Loan Subaccount and continuously appropriates the funds deposited in the subaccount to CalRecycle for making loans to local governing bodies, private businesses, and non-profit entities within the RMDZ for the purposes of the RMDZ Loan Program.
Requires a manufacturer of architectural paint or the designated stewardship organization, within the Architectural Paint Recovery Program, to submit an architectural paint stewardship plan to CalRecycle to develop and implement a recovery program to reduce, reuse, and manage postconsumer architectural paint.
Requires the manufacturer or designated organization to also submit an annual report on or before September 1 of each year describing its architectural paint recovery efforts.
This bill:
Authorizes CalRecycle to expend money from the Recycling Market Development Revolving Loan Subaccount to make payments to local governing bodies within RMDZs to reimburse them for activities promoting the zone development.
Changes the annual report date of a manufacturer’s architectural paint recovery efforts to CalRecycle from September 1 to November 1 of each year.
Comments
Purpose of this bill. This bill is the Senate Environmental Quality Committee’s annual omnibus bill and makes two technical changes regarding current programs.
According to CalRecycle, regarding the efforts of RMDZ Administrators to develop manufacturing facilities within the Zone, “Developing such facilities is a critical component of CalRecycle’s efforts to achieving 75 percent recycling by 2020 and the state’s greenhouse gas reduction goals. Attracting, siting, and permitting such facilities, as well as finding appropriate recycled feedstock, requires the services of Zone Administrators. For the last 20 years, CalRecycle has provided reimbursement payments, primarily from the RMDZ Loan Subaccount, to the Zone Administrators for outreach services to promote the RMDZ Loan Program. However, a recent determination found that PRC 42023.1, which authorizes the RMDZ Loan Subaccount funds expenditures, does not give CalRecycle sufficient authority to expend funds from the RMDZ Loan Subaccount to reimburse Zone Administrators for outreach services.” This bill clarifies CalRecycle’s statutory authority to make reimbursement payments for RMDZ promotion activities.
PaintCare is California’s extended producer responsibility collection system for left-over paint recovery, run by manufacturers. Over the past two years, PaintCare’s growth has led to the need for a minimum of four months past the end of the fiscal year (June 30) to prepare the annual report to CalRecycle, which necessitates continued deadline extension requests. Changing the date to November 1 would allow a more realistic time frame for submitting the report.
FISCAL EFFECT: Appropriation: Yes Fiscal Com.: Yes Local: No
According to the Senate Appropriations Committee:
Ongoing costs of approximately $125,000 annually from the Recycling Market Development Revolving Loan Subaccount (special) for payments to RMDZ administrators for promotional activities.
American Coatings Association
California Paint Council
PaintCare
OPPOSITION: (Verified 4/27/15)
None received
Prepared by: Laurie Harris / E.Q. / (916) 651-4108
4/29/15 16:07:26
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SB 662 (Committee on Environmental Quality) Page 2 of 2
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular
SB 662 (Committee on Environmental Quality) - Recycling
|
|
Version: February 27, 2015 |
Policy Vote: E.Q. 7 - 0 |
Urgency: No |
Mandate: No |
Hearing Date: April 27, 2015 |
Consultant: Marie Liu |
This bill does not meet the criteria for referral to the Suspense File.
Bill Summary:
SB 662 would extend the uses of the Recycling Market Development Revolving Loan Subaccount (subaccount) to include payments to local governments for services related to the promotion of a recycling market development zone (RMDZ). This bill would also change the annual reporting due date under the architectural paint extended producer responsibility collection program.
Fiscal Impact:
Ongoing costs of approximately $125,000 annually from the Recycling Market Development Revolving Loan Subaccount (special) for payments to RMDZ administrators for promotional activities.
Background:
Existing law requires the Department of Resources, Recycling and Recovery (CalRecycle) to develop a comprehensive market development plan to stimulate market demand in the state for waste material generated in the state, and requires the plan to include efforts to encourage and promote cooperative, regional programs to expand markets for recycled material. To this end, CalRecycle is authorized to designate Recycling Market Development Zones (RMDZs) to attract private sector recycling investments. Local governments, private businesses, and nonprofits within a RMDZ are eligible to receive loans, technical assistance, and free product marketing. Authorization for the RMDZs sunset on July 1, 2021.
Loans and other RMDZ activities are funded by the subaccount, which received seed money from the Integrated Waste Management Account, and receives ongoing revenues from loan repayments and interest. The subaccount is continuously appropriated to CalRecycle.
The Architectural Paint Recovery Program requires a manufacturer of architectural point or the designated stewardship organization to submit an architectural paint stewardship plan to CalRecycle which develops and implements a recovery program to reduce, reuse, and manage postconsumer architectural paint. Beginning September 1, 2013, a manufacturer or architectural paint sold in this state must submit an annual report to CalRecycle describing its architectural paint recovery efforts.
Proposed Law:
This bill would authorize CalRecycle to expend the subaccount to reimburse local governments for promotional activities for RMDZs, including training, outreach, development of written promotional materials, and technical analysis of feedstock availability.
This bill would also change the annual reporting due date for the architectural extended producer responsibility collection program from September 1 to November 1 beginning in 2016.
Staff Comments:
According to CalRecycle, regarding the efforts to develop manufacturing facilities within the RMDZs, “Developing such facilities is a critical component of CalRecycle’s efforts to achieving 75 percent recycling by 2020 and the state’s greenhouse gas reduction goals. Attracting, siting, and permitting such facilities, as well as finding appropriate recycled feedstock, requires the services of Zone Administrators. For the last 20 years, CalRecycle has provided reimbursement payments, primarily from the RMDZ Loan Subaccount, to the Zone Administrators for outreach services to promote the RMDZ Loan Program. However, a recent determination found that PRC 42023.1, which authorizes the RMDZ Loan Subaccount funds expenditures, does not give CalRecycle sufficient authority to expend funds from the RMDZ Loan Subaccount to reimburse Zone Administrators for outreach services.”
This bill clarifies CalRecycle’s statutory authority to make reimbursement payments for RMDZ promotion activities. In the past, the 36 zones have received between $3,500 and $10,000 annually for promotional activities. CalRecycle anticipates that future promotional activities will likely total between $370,000 and $400,000 over the next three years. As this bill expands the use of the subaccount, a continuously appropriated fund, this bill makes an appropriation.
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SB 662 (Committee on Environmental Quality) Page 3 of 3
SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
Senator Bob Wieckowski, Chair
2015 - 2016 Regular
Bill No: SB 662 Hearing Date: 4/15/2015
Author: |
Committee on Environmental Quality |
||
Version: |
2/27/2015 |
||
Urgency: |
No |
Fiscal: |
Yes |
Consultant: |
Laurie Harris |
||
Subject: Recycling
ANALYSIS:
Existing
law:
Declares the state’s policy goal that not less than 75% of solid waste generated be source reduced, recycled, or composted by 2020 and annually thereafter, and that market development is the key to increasing cost-effective recycling.
Requires the Department of Resources, Recycling and Recovery (CalRecycle) to develop a comprehensive market development plan to stimulate market demand in the state for waste material generated in the state, and requires the plan to include efforts to encourage and promote cooperative, regional programs to expand markets for recycled material.
Authorizes a local governing body to propose eligible property in its jurisdiction as a Recycling Market Development Zone (RMDZ), and authorizes CalRecycle to designate RMDZs which are necessary to assist in attracting private sector recycling investments to the area.
Creates the Recycling Market Development Revolving Loan Subaccount and continuously appropriates the funds deposited in the subaccount to CalRecycle for making loans to local governing bodies, private businesses, and non-profit entities within the RMDZ for the purposes of the RMDZ Loan Program.
Within the Architectural Paint Recovery Program, requires a manufacturer of architectural paint or the designated stewardship organization to submit an architectural paint stewardship plan to CalRecycle to develop and implement a recovery program to reduce, reuse, and manage postconsumer architectural paint.
Requires the manufacturer or designated organization to also submit an annual report on or before September 1 of each year describing its architectural paint recovery efforts.
This bill:
Authorizes CalRecycle to expend money from the Recycling Market Development Revolving Loan Subaccount to make payments to local governing bodies within RMDZs to reimburse them for activities promoting the zone development.
Changes the annual report date of a manufacturer’s architectural paint recovery efforts to CalRecycle from September 1 to November 1 of each year.
Comments
Purpose of Bill. This is the Environmental Quality Committee’s annual omnibus bill and makes two technical changes regarding current programs.
According to CalRecycle, regarding the efforts of RMDZ Administrators to develop manufacturing facilities within the Zone, “Developing such facilities is a critical component of CalRecycle’s efforts to achieving 75 percent recycling by 2020 and the state’s greenhouse gas reduction goals. Attracting, siting, and permitting such facilities, as well as finding appropriate recycled feedstock, requires the services of Zone Administrators. For the last 20 years, CalRecycle has provided reimbursement payments, primarily from the RMDZ Loan Subaccount, to the Zone Administrators for outreach services to promote the RMDZ Loan Program. However, a recent determination found that PRC 42023.1, which authorizes the RMDZ Loan Subaccount funds expenditures, does not give CalRecycle sufficient authority to expend funds from the RMDZ Loan Subaccount to reimburse Zone Administrators for outreach services.” This bill clarifies CalRecycle’s statutory authority to make reimbursement payments for RMDZ promotion activities.
PaintCare is California’s extended producer responsibility collection system for left-over paint recovery, run by manufacturers. Over the past two years, PaintCare’s growth has led to the need for a minimum of four months past the end of the fiscal year (June 30) to prepare the annual report to CalRecycle, which necessitates continued deadline extension requests. Changing the date to November 1 would allow a more realistic time frame for submitting the report.
SOURCE:
Committee on Environmental Quality
SUPPORT:
American Coatings Association (ACA)
California Paint Council (CPC)
PaintCare
OPPOSITION:
None on file
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Discussed in Hearing
1MIN
Assembly Floor
1MIN
Senate Floor
1MIN
Senate Standing Committee on Appropriations
Bill Author
Bill Co-Author(s):