BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                              Senator Wieckowski, Chair
                                2015 - 2016  Regular 
           
          Bill No:            AB 45
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          |Author:    |Mullin                                               |
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          |Version:   |1/21/2016              |Hearing      |6/29/2016       |
          |           |                       |Date:        |                |
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          |Urgency:   |No                     |Fiscal:      |Yes             |
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          |Consultant:|Rachel Machi Wagoner                                 |
          |           |                                                     |
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          SUBJECT:  Household hazardous waste.

            ANALYSIS:
          
          Existing federal law:

          1) Under the Food, Drug, and Cosmetic Act, the Food and Drug  
             Administration (FDA) is authorized to oversee the safety of  
             food, drugs, and cosmetic products.

          2) Under the Resource Conservation and Recovery Act (RCRA) of  
             1976, the management of solid and hazardous wastes is  
             regulated.  In the context of pharmaceuticals, RCRA imposes  
             strict protocols for the collection of controlled substances.

          3) The Secure and Responsible Drug Act specifies handling for  
             controlled substances, amendments made in 2014 ease the  
             restrictions on the collection of controlled substances.

          Existing state law:

          1) Under the California Hazardous Waste Control Act (HWCA), the  
             Department of Toxic Substances Control (DTSC) is authorized to  
             regulate hazardous materials and wastes in accordance with  
             RCRA and HWCA.

          2) Under the California Integrated Waste Management Act:

             a)    Requires the Department of Resources Recycling and  
                Recovery (CalRecycle) to implement a statewide household  







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                hazardous waste substance information and collection  
                program.

             b)    Requires cities and counties to prepare, adopt, and  
                submit to CalRecycle a Household Hazardous Waste (HHW)  
                Element plan which identifies a program for the safe  
                collection, recycling, treatment, and disposal of hazardous  
                wastes that are generated by households within the  
                jurisdiction and provides a specific time frame for  
                achieving these objectives.  


             c)    Requires CalRecycle and DTSC to jointly maintain a  
                database of all HHW collection events, facilities, and  
                programs within the state and make that information  
                available to the public upon request.


             d)    Requires CalRecycle to coordinate with DTSC to develop  
                and implement a public information program to provide  
                uniform and consistent information on the proper disposal  
                of hazardous substances found in and around homes, and to  
                assist the efforts of counties required to provide HHW  
                collection, recycling, and disposal programs.  


             e)    Requires CalRecycle, upon appropriation by the  
                Legislature, to distribute grants to cities, counties, or  
                other local agencies with the responsibility for solid  
                waste management, and for local programs to help prevent  
                the disposal of hazardous wastes at disposal sites, which  
                include, but are not limited to, programs that expand or  
                implement HHW programs.  


             f)    Authorizes local jurisdictions to include in their HHW  
                Elements a program for the safe management of sharps waste.

             g)    Requires pharmaceutical manufacturers that sell or  
                distribute a medication in California that is self-injected  
                at home through the use of a hypodermic needle, pen needle,  
                intravenous needle, or any other similar device to submit  
                to CalRecycle a plan that describes what actions, if any,  
                the manufacturer supports for the safe management of sharps  








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                waste.

          3) Under the Medical Waste Management Act (MWMA):

             a)    Requires the California Department of Public Health  
                (DPH) to regulate the management and handling of medical  
                waste.

             b)    Defines "pharmaceuticals" as a prescription or  
                over-the-counter human or veterinary drug.   
                "Pharmaceutical" does not include any pharmaceutical that  
                is regulated pursuant to either RCRA or the Radiation  
                Control Law and certain items, such as household waste, are  
                specifically excluded from the definition of medical waste.

             c)    Defines "medical waste" as including waste generated  
                from the consolidation of home-generated sharps. 

             d)    Defines "pharmaceutical waste" as any pharmaceutical  
                that for any reason may no longer be sold or dispensed for  
                use as a drug and excludes from this definition those  
                pharmaceuticals that still have potential value to the  
                generator because they are being returned to a reverse  
                distributor for possible manufacturer credit.

             e)    Specifies that waste comprised only of pharmaceuticals  
                is biohazardous, and is considered "medical waste."

             f)    Defines "home-generated sharps waste" as hypodermic  
                needles, pen needles, intravenous needles, lancets, and  
                other devices that are used to penetrate the skin for the  
                delivery of medications derived from a household, including  
                a multifamily residence or household. 

             g)    Prohibits the disposal of home-generated sharps waste in  
                the trash or recycling containers, and requires that all  
                sharps waste be transported to a collection center in a  
                sharps container approved by the local enforcement agency. 

             h)    Authorizes a registered medical waste generator to  
                accept and consolidate home-generated sharps waste with the  
                facility's medical waste stream under specified conditions.  










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          This bill:

             1)   Requires CalRecycle, in consultation with affected  
               industries, to adopt one or more model ordinances for a  
               comprehensive program for the collection of HHW for adoption  
               by a local jurisdiction that provides for the residential  
               collection and disposal of solid waste.  

             2)   Local jurisdictions proposing to enact an ordinance to  
               govern the collection and diversion of HHW may adopt one of  
               the model ordinances after CalRecycle has posted the model  
               ordinances on its Internet Web site.

             3)   Expands the definition of HHW, for the purposes of this  
               section, to include sharps and pharmaceutical waste.

             4)   Requires CalRecycle to determine if an appropriate  
               nonprofit organization has been created and funded to make  
               grants to local governments for specified activities  
               relating to HHW programs.  

             5)   Requires CalRecycle to consider a list of factors in  
               making the determination about the nonprofit organization.  

             6)   The provisions of this bill will be repealed on January  
               1, 2019, if CalRecycle does not make the determination that  
               an appropriate nonprofit organization exists by December 31,  
               2018.


            Background
          
            Hazardous Waste.

          1)Hazardous waste.  Hazardous wastes are wastes with properties  
            that make them dangerous or potentially harmful to human health  
            or the environment. Hazardous wastes can be liquids, solids,  
            contained gases, or sludges. They can be by-products of  
            manufacturing processes or simply discarded commercial  
            products, like cleaning fluids or pesticides.












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          2)Household Hazardous Waste (HHW).  HHW is hazardous waste  
            commonly generated by households and includes such ubiquitous  
            items as batteries, pesticides, electronics, fluorescent lamps,  
            used oil, solvents, and house cleaners.  Because these wastes  
            can pose a threat to health and safety and the environment.  In  
            California, it is illegal to dispose of HHW in the trash, down  
            the drain, or by abandonment.  HHW needs to be disposed of  
            through an HHW program.  



            Cities and counties are required to prepare, adopt, and submit  
            to CalRecycle, an HHW Management Element Plan, which identifies  
            a program for the safe collection, recycling, treatment, and  
            disposal of HHW.  The Element Plan specifies how HHW generated  
            within the jurisdiction must be collected, treated, and  
            disposed.  Each jurisdiction is required to prepare and  
            implement plans to reduce and safely collect, recycle, treat,  
            and dispose of HHW and provides a specific time frame for  
            achieving these objectives.  While there are many different  
            approaches for the collection and management of HHW, all are  
            permitted by DTSC and most are operated by local jurisdictions.  
             Some private operators operate programs under contract with  
            local jurisdictions, including curbside and door-to-door  
            collection.  





            Pharmaceutical Waste.


          3) Pharmaceuticals.  According to the U.S. Centers for Medicare &  
             Medicaid Services, which publishes the National Health  
             Expenditure Projections 2012-2022, approximately $275.9  
             billion in prescription drugs were predicted to be prescribed  
             in the U.S. in 2014.   However, 2014 expenditures were almost  
             $100 billion more than predicted according to the IMS  
             Institute for Healthcare Informatics.  In an April 2015 study,  
             IMS stated that spending rose 13%, to a total of $374 billion.  
              After accounting for population growth and inflation, the  
             increase equaled 10%.  A record 4.3 billion prescriptions were  








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             filled in 2014."These numbers do not reflect the purchase of  
             over-the-counter medications (OTCs).

             a)    Pharmaceutical contamination.  There are two general  
                sources of pharmaceutical contamination in the environment:  
                human excretion and disposal.  Estimates suggest that 3 to  
                50% of prescriptions become waste.  United States hospitals  
                and long-term care facilities annually flush approximately  
                250 million pounds of unused pharmaceuticals down the  
                drain.

             It is unknown (if not impossible) to determine how much  
                household pharmaceutical waste is flushed down the toilet.   
                However, anecdotally waste water treatment facilities note  
                that scraping pills off of water filtration systems is a  
                problem, in addition to the removal of pharmaceutical  
                agents from the water.

                A study conducted by the United States Geological Survey  
                from 1999-2000 sampled 139 streams across 30 states and  
                found that 80% had measurable concentrations of  
                prescription and nonprescription drugs, steroids, and  
                reproductive hormones.  Since the USGS released its report  
                in 2002, a number of studies have demonstrated the  
                low-level presence of pharmaceutical agents throughout the  
                environment and water supply. 

                Recent studies have found a variety of drugs in crops, such  
                as cholesterol medications, caffeine, and triclosan.  In a  
                recent study, researchers found that the anticonvulsive  
                epilepsy drug, carbamazepine, can accumulate in crops  
                irrigated with recycled water and end up in the urine of  
                produce-eaters not on the drug.  The researchers found that  
                while the amounts of the drug in a produce-eater's urine  
                were four orders of magnitude lower than what is seen in  
                the urine of patients purposefully taking the drug, there  
                is a possibility that trace amounts could still have health  
                effects in some people, such as those with a genetic  
                sensitivity to the drugs, pregnant women, children, and  
                those who eat a lot of produce, such as vegetarians.  

                With the growing practice of reclaiming wastewater for crop  
                irrigation, the produce contamination could become more  
                common and more potent.  








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                California, which grows a large portion of US produce,  
                currently uses reclaimed water for 6% of its irrigation  
                needs.

                Additionally, as California's climate continues to change  
                and the state endures longer droughts, recycling and  
                reusing for groundwater and surface water recharge will  
                become more important and ensuring contamination prevention  
                and removal will be more crucial.

               While the human effects of pharmaceutical agents in the  
               environment are not fully understood, harm to aquatic  
               organisms and ecosystems due to low levels of pharmaceutical  
               agents are clearly established.

               Life-long exposure to ppb levels of an estrogen-based  
               synthetic hormone resulted in complete population failure in  
               fish due to the males failing to develop properly.

               Mood altering drugs, such as Prozac, lead to changes in the  
               behavior of fish, making them easier prey.

               The presence of persistent antibiotics, particularly  
               downstream from hospitals, has been partially credited for  
               the rise in resistant bacterial strains, which may also have  
               an indirect human impact.

             b)   Pharmaceutical Take-Back Programs.  

               i)     DEA Take-back programs.  The DEA's Take-Back events  
                 are a significant piece of the White House's prescription  
                 drug abuse prevention strategy released in 2011 by the  
                 Office of National Drug Control Policy. "Drug Take-Back  
                 Days," which are typically administered by law enforcement  
                 in conjunction with county health offices or other local  
                 government agencies, are one-time events that allow for  
                 individuals to dispose of prescription or non-prescription  
                 medications; following the collection, the pharmaceuticals  
                 are taken to a safe disposal site.

               The DEA's seventh National Take-Back Day in October 2013  
                 collected 324 tons of expired and unwanted medications  
                 across all 50 states.  Since the inception of the National  
                 Take-Back Day in 2010, the DEA has collected over 3.4  








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                 million pounds of medicine from circulation.  

               ii)    International take-back programs.  In 1999, British  
                 Columbia established the "Post-Consumer Pharmaceutical  
                 Stewardship Association" (PCPSA) to establish a  
                 pharmaceutical drug take-back program funded by  
                 manufacturers.  Manufacturers are required to pay for the  
                 cost of collecting and managing the program; they are not  
                 required to pay for cost of agency oversight.  Currently,  
                 over 100 companies participate in the PCPSA.

                 Within British Columbia, 95% of pharmacies choose to  
                 participate in the program, accounting for over 1,000  
                 collection sites.  In 2009, the program diverted 112,000  
                 pounds of medication from improper disposal or abuse for  
                 an estimated cost of $400,000. 

                 Australia established a national collection system in  
                place since 1998.

                 The European Union has required a national collection  
                 system for unused or expired medicines since 2004.

               iii)   Take-back programs in the US.  Locally run take-back  
                 programs are prevalent throughout the US.  A few states,  
                 such as Michigan and Maine, have enacted laws to  
                 facilitate the collection of pharmaceutical waste at  
                 locations such as pharmacies (MI) or to create mail-back  
                 programs for pharmaceutical waste (ME).

               In light of the new statute in Colorado, the Colorado  
                 Springs Airport has installed two marijuana take-back  
                 bins, providing a location for travelers to safely and  
                 legally dispose of their marijuana.  Although recreational  
                 marijuana is legal in Colorado, it is highly regulated at  
                 the federal level and has a high diversion potential.

               iv)    SB 966 Model Guidelines in CA.  Under the California  
                 Integrated Waste Management Act (SB 966, Simitian/Kuehl,  
                 Chapter 542, Statutes of 2007), CalRecycle created a model  
                 collection program for household hazardous substances,  
                 such as pharmaceuticals, and evaluated how local programs  
                 implemented take-back programs.  Programs that followed  
                 the model guidelines were released from any liability  








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                 associated with collecting home-generated pharmaceuticals.  
                  The model program sunsetted on January 1, 2013.   
                 CalRecycle's report to the Legislature on the pilot  
                 project, Recommendations for Home-Generated Pharmaceutical  
                 Collection Programs in California, recommends that proper  
                 drug disposal mechanisms be put in place on a statewide  
                 basis.  

               v)     Local programs in CA.  In 2010, CalRecycle identified  
                 297 take-back programs in California.  This includes  
                 one-time take-back events, continuous take-back programs,  
                 and mail-back programs.  The majority of these programs  
                 are funded and run by local governments, although San  
                 Francisco has a program that is partially funded by PhRMA  
                 and Genetech.

               Recently, Alameda County passed a first in the nation Safe  
                 Drug Disposal Ordinance that requires producers of covered  
                 drugs to operate take-back programs, including the  
                 creation, administration, promotion, and payment of the  
                 program.  The ordinance was challenged by Pharmaceutical  
                 Research and Manufacturers of America, Generic  
                 Pharmaceutical Association, and Biotechnology Industry  
                 Organization on the basis that the ordinance violates the  
                 dormant Commerce Clause for interstate commerce and  
                 discriminates against out-of-county producers.  In August  
                 2013, the U.S. District Court upheld the ordinance,  
                 although litigation is ongoing.  Several other California  
                 counties are considering or have enacted similar  
                 ordinances.

          Sharps waste.


          4)Medical sharps: An estimated one million Californians inject  
            medications outside traditional health care facilities, which  
            generate approximately 936 million sharps each year, and the  
            numbers of patients using injectable medications will continue  
            to grow because it is an effective delivery method for various  
            medications.  The most common home use of sharps is to manage  
            diabetes.  Other reasons to inject at home include hepatitis,  
            multiple sclerosis, infertility, migraines, allergies,  
            hemophilia, and medications for pets. 









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             a)   Sharps Waste.  According to statistics from CalRecycle,  
               43% of all self-injectors throw needles in the trash.  
               According to CalRecycle's 2014 waste characterization study,  
               2014 Disposal-Facility-Based Characterization of Solid Waste  
               in California, the composition of California's overall  
               disposed waste stream is dissected by material type. There  
               is not a line-item for home-generated sharps, but under the  
               category of HHW is the subcategory "Remainder/Composite  
               Household Hazardous," which includes household hazardous  
               material that, if improperly put in the solid waste stream,  
               may present handling problems or other hazards, such as  
               pesticides and caustic cleaners, sharps, medications, and  
               supplements. The 2014 report estimates that  
               remainder/composite household hazardous materials comprises  
               more than 94,000 lbs. (0.2%), of the total solid waste  
               stream. 

             b)   Sharps risk: Improper sharps disposal can affect  
               janitors, housekeepers, pest control workers,  
               groundskeepers, waste management workers, and children or  
               household pets among others. Roughly 25% to 45% of all  
               facilities processing household trash (besides recycling) in  
               California have workers hand-sorting recyclable material out  
               of that trash. A single worker's on-the-job needle stick can  
               mean weeks of taking drugs to prevent the spread of  
               infection, with side effects including nausea, depression,  
               and extreme fatigue as well as months waiting for expensive  
               periodic tests to reveal whether they contracted  
               life-threatening HIV/AIDs or hepatitis B or C. According to  
               CalRecycle, it costs between $154 to $2,411 for  
               testing/treatment for a single needlestick, and around $4.6  
               million is spent in California every year due to  
               needlesticks, primarily for testing for infection and work  
               loss while testing. 


             c)   In 2013, in connection with AB 1893 (Stone and Eggman)  
               and a related Senate Labor Committee hearing, the  
               Legislature requested that the Commission on Health and  
               Safety and Workers' Compensation review whether provisions  
               of current law offered sufficient protection against sharps  
               injuries for workers outside healthcare occupations. As a  
               result, the University of California, Berkeley (UC Berkeley)  
               released a March 2015, study, Infection Risk from "Sharps"  








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               Injuries for Non-healthcare Workers, which found a contrary  
               view. That study stated, "sharps injuries, outside the  
               healthcare setting are uncommon. About 1-in-10,000 workers  
               outside healthcare will experience a needlestick in a given  
               year. For specific industries (education, food &  
               hospitality, and waste management) and occupations  
               (custodial services and protective services), this risk is  
               substantially higher. However, even in these specific  
                                         industries and occupations, the risk of a sharps injury is  
               less than 1/1000 workers/year." 

             d)   Sharps collection: Home-generated sharps waste is  
               required to be put into an approved sharps container before  
               being transported out to an approved drop-off location or  
               via mail-back program.  CalRecycle maintains the Facility  
               Information Toolbox (FacIT) Website, which currently lists  
               more than 600 facilities where residents can take their  
               home-generated sharps such as hospitals, pharmacies, or HHW  
               facilities. 


               While disposal of sharps is illegal, there is no statutory  
               program in place to require the management of sharps by  
               manufacturers, pharmaceutical companies, pharmacies, or  
               others.  Current law allows for a streamlined oversight  
               structure for those that do wish to provide a voluntary  
               disposal for sharps to their customers or the general  
               public, but there is no mandate for them to do so.  Some  
               pharmacies and health care providers have developed programs  
               as a way to assist their customers and have reported some  
               success.  


               Currently, out of California's 58 counties, three counties  
               (Tulare, San Luis Obispo, and Santa Cruz) and two cities  
               (Galt and Santa Cruz) have an ordinance that has some level  
               of requirements on retail establishments that sell sharps to  
               accept the used sharps for proper disposal. Other  
               jurisdictions are considering a similar ordinance. According  
               to CalRecycle, approximately 50 counties provide free  
               disposal. At least eight counties and some cities provide  
               free sharps containers and one county provides free  
               mail-back containers to its residents as long as supplies  
               last.








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             e)   Sharps collection requirements under the Medical Waste  
               Management Act (MWMA):  DPH has the authority to approve  
               locations as points of consolidation for the collection of  
               home-generated sharps waste, which, after collection, is  
               transported and treated as medical waste. An approved  
               consolidation location is known as a "home-generated sharps  
               consolidation point."  A home-generated sharps consolidation  
               point must comply with all of the following requirements:  
               (1) All sharps waste shall be placed in sharps containers;  
               and (2) sharps containers ready for disposal shall not be  
               held for more than seven days without the written approval  
               of the enforcement agency.  


             f)   Current requirements for sharps manufacturers:  Pursuant  
               to SB 486 (Simitian, Chapter 591, Statutes of 2009), a  
               pharmaceutical manufacturer that sells or distributes a  
               medication in California that is intended to be  
               self-injected at home through the use of a hypodermic  
               needle, pen needle, intravenous needle, or any other similar  
               device, is required to submit a plan to CalRecycle that  
               describes the actions taken by the manufacturer to support  
               or provide for the safe collection and proper disposal of  
               the waste devices, and educate consumers about safe sharps  
               management and collection opportunities. To date, CalRecycle  
               has received sharps collection and disposal plans from 29  
               pharmaceutical manufacturers or distributors.


          According to the analysis of SB 486, "?with the prohibition of  
          disposal of sharps in the waste stream and no convenient, cost  
          effect [sic] method of management identified, it is time to take  
          steps to find a solution of the problem. The first step to that  
          is to identify what the companies that manufacture the medicines  
          that are dispensed through a 'sharp' are doing to help their  
          customers address the disposal ban issue? The author's office  
          believes that this bill represents a first step toward developing  
          an EPR [Extended Producer Responsibility] approach to the  
          management of sharps, and provides a way to determine what the  
          pharmaceutical industry is doing to assist with the effort to  
          manage sharps."

               In the opinion of the Monterey Regional Waste Management  








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               District, the voluntary provisions of SB 486 are not  
               working. As of July 1, 2012, there were 31 plans submitted  
               to CalRecycle, which were read and graded by a 9-person  
               evaluation team, scoring each plan based on published  
               consumer criteria. The Senate Bill 486 Evaluation Team  
               Consumer Report Card found that, of those 31 manufacturer  
               reports, 20, or nearly 65% of all submitted reports, were  
               graded an F. In addition, 8 other manufacturers were graded  
               "F/Incomplete" for not submitting plans by the legislatively  
               mandated deadline of July 1 and being in violation of state  
               law. 

            Waste Management.

          5)Waste management.  Managing the waste stream is a very  
            expensive and often burdensome task for local governments.   
            Cities and counties spend upwards of $500 million annually to  
            manage products prohibited from landfills as well as those  
            lawfully disposed of at the landfill -- a cost that local  
            governments ultimately pass along to the consumer in the form  
            of fees on solid waste services.  

            The environmental impacts of improper disposal are serious in  
            their own right, but they also serve as a warning and potential  
            threat on human health and safety.   This creates an incredible  
            public health and environmental burden for federal, state and  
            local governments to attempt to deal with difficult, cumbersome  
            or dangerous waste streams.

          In the last 3 decades, California has adopted and implemented a  
          multitude of policies and laws aimed at lessening the impacts of  
          waste, to reduce, reuse and recycle as much as possible.  As  
          California's waste management policies have evolved so has the  
          discussion of responsibility for the costs associated with waste  
          reduction and disposal.  Many policies developed today are aimed  
          at a shared responsibility between the consumer, private and  
          public sectors with the goal of creating a holistic understanding  
          and commitment to better design and products that do not harm  
          public health or the environment from the beginning to the end of  
          their lifecycle.

          Over the years, CalRecycle's predecessor, the California  
          Integrated Waste Management Board, engaged in a variety of  
          program activities concerning products and their impact on the  








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          environment. These efforts continue as CalRecycle seeks a  
          comprehensive approach for advancing efficient, effective shared  
          waste management solutions, building upon the efforts elsewhere  
          in the world.

          Most CalRecycle activities in the past have focused on better  
          managing the impacts of product discards, rather than focusing on  
          how to eliminate waste in the first place.  Extended producer  
          responsibility (EPR) is a waste reduction strategy. By shifting  
          costs and responsibilities of product discards to producers and  
          others who directly benefit, EPR provides an incentive to  
          eliminate waste and pollution through product design changes. It  
          allows CalRecycle to better carry out its mission for the  
          citizens of California.

          In February 2007, the California Integrated Waste Management  
          Board adopted a set of Strategic Directives that included  
          Strategic Directive 5: Producer Responsibility: This policy  
          directs staff to seek statutory authority to foster  
          "cradle-to-cradle" producer responsibility and develop  
          producer-financed and producer-managed systems for product  
          discards. 

          6)Waste-Management Theories.

             a)   Extended producer responsibility: CalRecycle defines EPR  
               as a strategy to place a shared responsibility for  
               end-of-life product management on the producers, and all  
               entities involved in the product chain, instead of the  
               general public; while encouraging product design changes  
               that minimize a negative impact on human health and the  
               environment at every stage of the product's lifecycle.  This  
               allows the costs of treatment and disposal to be  
               incorporated into the total cost of a product.  It places  
               primary responsibility on the producer, or brand owner, who  
               makes design and marketing decisions. It also creates a  
               setting for markets to emerge that truly reflect the  
               environmental impacts of a product, and to which producers  
               and consumers respond. 

               By shifting costs and responsibilities of product disposal  
               to producers and others who directly benefit, EPR provides  
               an incentive to eliminate waste and pollution through  
               product design changes. 








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               There are a number of existing, statewide EPR programs for  
               various products, including, but not limited to, paint, used  
               oil, and, most recently, mattresses.


               EPR, and take-back laws in particular, provides that  
               manufacturers should be forced to internalize disposal costs  
               and environmental externalities associated with their  
               products.  EPR involves: 1) the shifting of responsibility  
               (physically and/or economically; fully or partially)  
               upstream toward the producer and away from the  
               municipalities; and, 2) to provide incentives to producers  
               to incorporate environmental considerations in the design of  
               their products. 


             b)   Product Stewardship.  Product Stewardship is closely  
               related to EPR.  Product stewardship programs usually  
               involve voluntary approaches and multi-stakeholder dialogues  
               between state governments, industry, and consumer and  
               environmental groups to arrive at better management  
               practices for particular products.  Product stewardship  
               differs from EPR in that responsibility is shared across the  
               chain of custody.

             c)   Advance Recovery Fee (ARF).  A consumer-financed ARF is  
               an alternative to producer-financed systems.  Typically,  
               retailers forward the proceeds to a governmental authority  
               that would fund municipal collection centers and subsidize  
               private recycling operations to make recycling economical.   
               Tax incidence theory holds that some of the ARF would  
               actually be absorbed by manufacturers or retailers, so the  
               burden of funding the new recycling infrastructure would be  
               shared.  In California, e-waste is an example of an ARF  
               program.  

             From the perspective of state and local governments, ARFs may  
               be considered beneficial because they provide a steady  
               source of revenue to fund the recycling infrastructure  
               needed to manage waste, including "historic waste" which are  
               used products already on the market when an ARF is enacted.   
               In California, local governments are generally responsible  








          AB 45 (Mullin)                                          Page 16  
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               for dealing with the illegal dumping of mattresses, which  
               can be costly to the local governments.  For example, the  
               author notes that the City of Oakland currently picks up and  
               disposes of approximately 18 to 35 illegally dumped  
               mattresses per day, which annually costs the city $501,355.   
               Many manufacturers favor an ARF as well, because it leaves  
               producers out of the collection and recycling process and  
               may lead to a steady supply of subsidized secondary  
               materials.

             An ARF helps consumers understand that there is a real  
               environmental consequence and disposal cost for products  
               that they purchase.  Such a fee also helps provide consumer  
               awareness that pollution is not solely caused by industrial  
               firms, but by individual consumption decisions as well.  

            Comments
          
          Purpose of Bill.


          1)Purpose of the bill.  According to the author, disposal of  
            unused drugs and used sharps is a legitimate issue that the  
            Legislature has attempted to address without success.  The  
            author states that local jurisdictions have attempted to  
            address the issue as well, with mixed results.  Industries  
            within the medication and sharps supply chain believe they can  
            be helpful to local jurisdictions in their efforts to manage  
            these products, but believe the type of partnership set forth  
            in the bill will yield better results and foster a more  
            productive working relationship.  Industry proponents want to  
            place a moratorium on adoption of local ordinances mandating  
            industry responsibility for a five-year period to see if this  
            approach can be successful. 


            The author believes the effort to address the issue of  
            management of disposal of these products has become incredibly  
            contentious and has not resulted in effective mechanisms for  
            disposal.  The author further states that these products do not  
            fit neatly into that concept, which has resulted in management  
            approaches that can be very expensive and difficult to  
            implement and manage.  In addition, the author feels the  
            premises upon which many ordinances are based are not supported  








          AB 45 (Mullin)                                          Page 17  
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            by the facts.  The author believes that programs at the local  
            level that might well be effective would benefit from  
            assistance from industry that is principally focused on  
            consumer education and targeted support for disposal  
            infrastructure. 


          2)Bill in print.  AB 45 requires CalRecycle to adopt one or more  
            model ordinances for a comprehensive program for the collection  
            of household hazardous waste (as defined by this bill), and  
            allows a local jurisdiction to adopt one of the model  
            ordinances.  Requires CalRecycle to determine whether an  
            appropriate nonprofit organization has been created and funded  
            for the purpose of making grants to local governments to assist  
            with educating residents of communities on the existence of HHW  
            disposal programs and how to use them; and, defray the cost of  
            components of local government HHW programs.  


            There are numerous concerns that range from the construct of  
            how the bill is written to the specific policy provisions of  
            the current bill that would make it difficult, if not  
            impossible, to implement the legislation.  The most concerning  
            provisions are as follows:


                  a)        Model ordinances.  Over the last several  
                    decades CalRecycle, DTSC and local governments have  
                    been contemplating and developing model solutions for  
                    the different regions of the state for different waste  
                    streams that reflect the emerging needs of California  
                    communities.  While developing and making available a  
                    menu of model solutions is valuable to advise local  
                    jurisdictions in constructing their own solutions for  
                    safely and effectively executing their waste management  
                    mandates, it is not necessary or constructive to limit  
                    those solutions to new ordinances.  As stated, local  
                    governments are already required to create waste  
                    solutions and have been doing so for many decades, to  
                    limit the tools for integrating new solutions to  
                    ordinances as specified by CalRecycle does not provide  
                    local jurisdictions the needed flexibility to manage  
                    their programs.









          AB 45 (Mullin)                                          Page 18  
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                  b)        Non-profit. The bill contains a lack of  
                    specificity around what the non-profit identified in  
                    this bill would be and how it would be overseen by or  
                    accountable to the state for allocating grants.   
                    Additionally, the bill does not require that the  
                    non-profit be created.  If it is created but found by  
                    CalRecycle to be "inappropriately" created or  
                    insufficiently funded then the provisions of this bill  
                    cease to exist as of January 1, 2019.  


                    Legislation is not needed to create optional non-profit  
                    granting entities.  The industry could do this today.   
                    The only reason to put this provision in legislation is  
                    to make the non-profit grants contingent on a  
                    legislatively mandated prohibition on local governments  
                    adopting their own ordinances for the management of  
                    pharmaceutical and sharps waste.  


                    It would be inappropriate for the Legislature to trade  
                    local government control over how local jurisdictions  
                    comply with the mandate that they safely and  
                    effectively collect and dispatch these difficult waste  
                    streams in exchange for an optional grant program that  
                    would be controlled and implemented by the  
                    pharmaceutical industry.


                    Additionally, a grant program that focuses on an  
                    educational campaign does not help local governments  
                    develop effective new solutions for the waste.


                  c)        Grant Funding.  The bill specifies that $5  
                    million dollars would be made available to implement a  
                    grant program for educating residents of communities on  
                    the existence of HHW disposal programs and how to use  
                    them; and, defray the cost of components of local  
                    government HHW programs.  


                    As outlined in the background, one of the difficulties  








          AB 45 (Mullin)                                          Page 19  
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                    in successful collection and disposal of HHW,  
                    pharmaceutical waste and sharps waste is participation.  
                     Low consumer participation rates are not attributed to  
                    a lack of willingness or education on the part of the  
                    consumer.  Rather, the problem is the lack of resources  
                    to make the myriad solutions developed to date  
                    conveniently and readily available to consumers and to  
                    implement newly emerging solutions.  This is  
                    illustrated in the high participation and collection  
                    rates of the many take-back days conducted across the  
                    state as well as the solutions that have been in  
                    existence in other countries for many years.   
                    Additionally, defraying the current costs associated  
                    with HHW local programs does not help create expanded  
                    or new solutions to encourage greater and more success  
                    participation.


          3)Suggested Amendment.  The bill in its current form does not  
            reflect the direction that California and its local elected  
            governments have chosen to evolve waste management policy for  
            the best protection and service to the state and its  
            communities. 

               The bill should be amended to strike the current contents of  
               the bill and replace with language that will help  
               Californians develop successful and efficient solutions for  
               handling HHW, pharmaceutical and sharps waste streams that  
               result in increased successful collection of HHW,  
               pharmaceutical waste and sharps waste.

               Given the extensive amount of work done at both the state  
               and local levels to review, research and develop efficient,  
               effective and safe waste management strategies, what is  
               needed at this juncture is the opportunity to test new as  
               well as proven strategies in various types of communities to  
               inform future government policies for waste management of  
               HHW, pharmaceutical and sharps waste.


               The bill should be amended to create a pilot project in Los  
               Angeles 
               to develop and implement various strategies for different  
               communities for HHW, pharmaceutical waste and sharps waste  








          AB 45 (Mullin)                                          Page 20  
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               that are aimed at increasing participation and providing  
               safe and effective options for the appropriate handling of  
               these waste streams.  (Because of the sheer size and  
               demographic of the many communities in Los Angeles County,  
               this county is a good microcosm of the state to test  
               strategies.)

                           The pilot is to be created by CalRecycle in  
                    consultation with DTSC.  CalRecycle will create an  
                    advisory committee for the pilot that consists of  
                    CalRecycle, DTSC, County of Los Angeles, other local  
                    government representatives, industry representation and  
                    other entities that can advise on waste management  
                    strategies.

                           The pilot will be executed by the County of Los  
                    Angeles, if the county agrees, through a grant of $3 to  
                    5 million a year for 3 years from participating  
                    pharmaceutical companies.  

                           The pilot shall include periodic reports as  
                    well as a final report (as specified  by CalRecycle)  
                    that outlines the success of the various strategies  
                    implemented in the pilot including tracking of  
                    participation rates and other data as deemed  
                    appropriate by CalRecycle.

                           While Los Angeles County is conducting this  
                    pilot project, the county and the municipal  
                    jurisdictions within the county shall not adopt  
                    ordinances for the disposal of pharmaceutical waste  
                    that are paid for at the direct cost of the  
                    pharmaceutical industry.

            Related/Prior Legislation
          
            AB 2039 (Ting, 2016) proposes building on the models of the  
            aforementioned programs to develop EPR for home-generated  
            medical sharps.  This bill was referred to the Assembly  
            Committee on Environmental Safety and Toxic Materials.  Hearing  
            was cancelled at request of the author.


            SB 1229 (Jackson/Stone, 2016) would provide that an entity  








          AB 45 (Mullin)                                          Page 21  
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            registered with the federal Drug Enforcement Agency to receive  
            a controlled substance for the purpose of destruction is not  
            liable for civil damages, or subject to criminal prosecution,  
                                                  for maintaining a secure drug take-back bin on its premise.  SB  
            1229 passed out of the Senate Judiciary Committee on a vote  
            9-0. 





            AB 649 (Patterson, 2015) requires Department of Public Health  
            (DPH) to evaluate and approve an alternative medical waste  
            treatment method that is designed to treat pharmaceutical waste  
            by June 1, 2017, and would limit the use of such a technology  
            by a law enforcement agency.  AB 649 was held in the Senate  
            Appropriations Committee.


            AB 1159 (Gordon/Williams, 2015) proposed establishing a pilot  
            product stewardship program for the management of medical  
            sharps and household primary batteries. It was approved by the  
            Assembly Environmental Safety & Toxic Materials Committee on  
            April 28, 2015 by a 6-0 vote.  AB 1159 was held in the Assembly  
            Appropriations Committee. 


            SB 225 (Wieckowski, Chapter352, Statutes of 2015) makes various  
            technical changes to the Medical Waste Management Act (MWMA).

            AB 2371 (Mullin, 2014), as heard by the Assembly Local  
            Government Committee, would have required each jurisdiction, no  
            later than January 1, 2016, to review its HHW Element to  
            determine its effectiveness in the collection, recycling,  
            treatment, and disposal of HHW, and would have required  
            CalRecycle, on or before January 1, 2017, to submit a report to  
            the Legislature that analyzes the effectiveness of the state's  
            HHW management system.  AB 2371 was later amended to deal with  
            a different subject matter.  
            AB 1727 (Rodriguez, Chapter 155, Statutes of 2014) restricts  
            certain pharmaceuticals from county operated prescription drug  
            collection and redistribution programs.  










          AB 45 (Mullin)                                          Page 22  
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            AB 1893 (Stone/Eggman, 2014) proposed requiring customers be  
            given a free sharps disposal container with the sale of 50 or  
            more medical sharps for self-injection.  AB 1893 was pulled by  
            the author from the Assembly Floor. 


            ACR 93 (Buchanan, Chapter 23, Statutes of 2014) would declare  
            March 2014 as Drug Abuse Awareness Month in California, and  
            encourage all citizens to participate in prevention programs  
            and activities and to pledge to "Spread the Word? One Pill Can  
            Kill."  


            SB 1014 (Jackson, 2014) requires the Department of Resources  
            Recycling and Recovery (CalRecycle) and the California State  
            Board of Pharmacy to jointly develop regulations authorizing a  
            voluntary program to collect and properly dispose of  
            home-generated pharmaceutical waste.  SB 1014 was referred to  
            the Assembly Appropriations Committee.  Hearing was cancelled  
            at request of the author.

            AB 403 (Stone/Eggman, 2013) proposed requiring manufacturers  
            that sell medical sharps to establish a product stewardship  
            plan for home-generated medical waste.  AB 403 was held in the  
            Assembly Appropriations Committee.

            AB 333 (Wieckowski, Chapter 564, Statutes of 2013) makes  
            various changes to the Medical Waste Management Act.  

            AB 467 (Stone, Chapter 10, Statutes of 2013) creates a  
            licensure category for a surplus medication collection and  
            distribution intermediary.  

            SB 727 (Jackson, 2013) requires a producer of a pharmaceutical  
            sold in this state, individually or through a stewardship  
            organization, to submit a plan to CalRecycle by January 1,  
            2015.  This bill was referred to the Senate Environmental  
            Quality Committee.  Hearing was cancelled at request of the  
            author.

            AB 1442 (Wieckowski, Chapter 689, Statutes of 2012) defines  
            pharmaceutical waste, exempted the waste generator from certain  
            hauling requirements, and allowed the waste to be transported  
            by a common carrier in order to reduce costs for handling  








          AB 45 (Mullin)                                          Page 23  
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            expired pharmaceutical wastes.

            SB 966 (Simitian/Kuehl, Chapter 542, Statutes of 2007) requires  
            the Integrated Waste Management Board to identify and develop  
            model programs for the safe disposal of household generated  
            pharmaceutical waste.
            
            AB 2335 (Saldana, Chapter 166, Statutes of 2006) makes various  
            clarifying changes to the MWMA with the aim of reducing medical  
            waste management costs and clarifying the complex regulatory  
            framework.

            SB 1305 (Figueroa, Chapter 64, Statutes of 2006) prohibits a  
            person from knowingly placing home-generated sharps waste in  
            the commercial and residential solid waste collection  
            containers after September 1, 2008.  

            SB 1362 (Figueroa, Chapter 157, Statutes of 2004) allows a  
            household hazardous waste collection facility to operate as a  
            home-generated sharps consolidation point if certain conditions  
            are met.  The bill also allows a city or county HHW Element to  
            collect, treat, and dispose of household sharps.

            SB 407 (Alpert, Chapter 139, Statutes of 1999) authorizes the  
            use of chemical disinfection as a treatment method for certain  
            types of laboratory-generated medical waste if specified  
            requirements were met.

            SB 1966 (Wright, Chapter 536, Statutes of 1996) moved the  
            management and handling of waste pharmaceuticals under DPH and  
            the MWMA and reestablished fee authorities for DPH for small  
            quantity medical waste generators.

            SB 372 (Wright, Chapter 877, Statutes of 1995) makes various  
            changes to the MWMA, including revisions to the definition of  
            large quantity generator, medical waste exclusions, and  
            storage.  The bill also incorporated additional classes into  
            the definition of medical waste and authorized the use of high  
            temperatures to treat medical waste prior to disposal.

            SB 1360 (Committee on Health and Human Services, Chapter 415,  
            Statutes of 1995) moved the MWMA to the DPH during Governor  
            Wilson's reorganization of the Department of Health Services to  
            DPH and the California Environmental Protection Agency.








          AB 45 (Mullin)                                          Page 24  
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          SOURCE:    Author
          
          SUPPORT:                                   

          Advanced Medical Technology Association (AdvaMed)
          Biocom
          California Life Science Association
          California Pharmacists Association
          California Retailers Association
          Consumer Healthcare Products Association
          Generic Pharmaceutical Association
          National Association of Chain Drug Stores

          OPPOSE:                                   

          Alameda County Board of Supervisors
          Alameda County Hazardous Materials Facility
          Alameda County Meds Coalition
          Alameda StopWaste
          Butte County Board of Supervisors
          California Association of Environmental Health Administrators
          California Association of Retired Americans
          California Environmental Health Directors
          California Hepatitis C Task Force
          California League of Conservation Voters
          California Product Stewardship Council
          California Refuse Recycling Council
          California Resource Recovery Association
          California State Association of Counties
          Californian's Against Waste
          City and County of San Francisco
          City of Burbank
          City of Camarillo
          City of Chula Vista
          City of Claremont
          City of Clovis
          City of Commerce
          City of Culver City
          City of Cupertino
          City of Diamond Bar
          City of Lakewood
          City of Mountain View
          City of Palo Alto








          AB 45 (Mullin)                                          Page 25  
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          City of Pasadena
          City of Roseville
          City of Santa Monica
          City of Stockton
          City of Sunnyvale
          City of Thousand Oaks
          City of Torrance
          City of West Hollywood
          Clean Water Action
          Contra Costa County Board of Supervisors
          County of Sacramento
          Del Norte Solid Waste Management Authority
          Delta Diablo
          Goodwill Industries of San Francisco, San Mateo, and Marin
          Green Sangha of Marin
          Health Officers Association of California 
          Hope2gether Foundation
          Kern County Board of Supervisors
          Kern County Public Works Department
          League of California Cities
          League of Women Voters of California
          Los Angeles County Board of Supervisors
          Los Angeles County Department of Public Works
          Los Angeles County Solid Waste Management Committee/Integrated  
          Waste 
                  Management Task Force
          Marin County Board of Supervisors
          Marin County Pharmacist Association
          Marin Household Hazardous Waste Facility
          Marin Sanitary Service
          Mojave Desert and Mountain Recycling Authority
          Napa County Board of Supervisors
          Napa Recycling and Waste Services
          Napa Sanitation District
          Napa Upper Valley Waste Management Agency
          National Association of Hazardous Materials Managers, California  
          Chapter and 
          National Coalition Against Prescription Drug Abuse
          Peninsula Sanitary Service, Inc.
          Pharmacy Defense Fund
          Pharmacy Planning Service, Inc.
          Planning and Conservation League
          Recology
          Riverside County Department of Waste Resources








          AB 45 (Mullin)                                          Page 26  
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          Rural County Representatives of California
          Russian River Watershed Association
          Salinas Valley Recycles
          San Joaquin County Public Works
          San Luis Obispo County Integrated Waste Management Authority
          Sanitation Districts of Los Angeles County
          Santa Barbara County
          Santa Barbara County Board of Supervisors
          Santa Clara County Board of Supervisors
          Santa Clara County, Recycling and Waste Reduction Commission
          Santa Cruz County Board of Supervisors
          Santa Monica Mayor Tony Vazquez
          Seventh Generation Advisors
          Sierra Club California
          Solano County Board of Supervisors
          Solid Waste Association of North America
          Solid Waste Solutions, Inc.
          Sonoma County Board of Supervisors
          Sonoma County Waste Management Agency
          Sonoma County Water Agency
          Stanislaus County
          StopWaste
          Surfrider Foundation
          Teamsters Local 396
          Tulare County Board of Supervisors
          Upper Valley Waste Management Agency
          Urban Counties of California
          Waterkeeper
          Western Placer Waste Management Authority
          Yolo County Board of Supervisors
          Zero Waste Marin

          ARGUMENTS IN SUPPORT:
          
          Supporters believe that "it is critical that dialogue continues  
          on HHW disposal.  AB 45 is a critical piece of that conversation,  
          and its continued progress will allow those conversations to  
          continue within the framework and sense of urgency that active  
          legislation creates."

          ARGUMENTS IN OPPOSITION:

          Local jurisdictions throughout the state strongly oppose AB 45.   
          Dozens of letters from various sizes and types of jurisdictions  








          AB 45 (Mullin)                                          Page 27  
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          have been submitted to the committee which outline the successful  
          collection of hundreds of thousands of pounds of HHW,  
          pharmaceutical waste and sharps waste within those jurisdictions.  
           What appears as a constant frustration, is the lack of resources  
          to do more.

          "Local jurisdictions have historically been authorized to develop  
          and implement HHW collection, recycling, and educational programs  
          which reflect local needs.  AB 45 would instead create a  
          one-size-fits-all approach which may not reflect local conditions  
          and would do little to support efforts to reduce HHW generation.   
          AB 45 would discourage and undermine efforts by local governments  
          to implement extended producer responsibility (EPR) programs for  
          uniquely problematic wastes, such as HHW, pharmaceutical waste,  
          and sharps waste. Many jurisdictions in California have adopted  
          pharmaceutical take-back ordinances, and our Board is considering  
          the adoption of a pharmaceutical and sharps waste EPR ordinance,  
          in which manufacturers would provide safe, convenient and  
          sustainably financed take-back programs for their products at the  
          end of their useful life.

          AB 45 does not provide a source of funding to sustainably collect  
          and process waste, and limits the industry's role in managing HHW  
          to outreach only, which is contrary to Los Angeles County's  
          support for EPR policies that place shared responsibility for  
          end-of-life product management on all entities involved in a  
          product chain, including producers."
          
          
                                     --- END ---