BILL ANALYSIS                                                                                                                                                                                                    
                                                                      SB 1291
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Date of Hearing: August 21, 1995

                  ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY
                              AND TOXIC MATERIALS
                             Bernie Richter, Chair

                 SB 1291 (Wright) - As Amended:  July 7, 1995

 SUBJECT

Hazardous Waste:  facility permits; tiered permitting; household hazardous  
waste collection facilities

 DIGEST

2/3 vote required.  

This bill impacts a number of code sections and major programs within the  
generic cover area of "toxic and hazardous substances."  The length of the  
measure and the number of areas covered gives the impression that this is a  
complicated and far-reaching measure.  In reality, this measure, although  
complex, is carefully crafted and very straight-forward (contrary to the  
programs themselves).
 
This bill is designed to facilitate the Department of Toxic Substances  
Control's (DTSC) Regulatory Structure Update (RSU) program.  The bill augments  
and clarifies the tiered permitting program established by AB 1772 (Polanco)  
Chapter 1345, Statutes of 1992, as well as other aspects of the non-RCRA  
program.

 Existing law:

1)  The Resource Conservation and Recovery Act (RCRA), enacted in 1976 as an  
    amendment to the Solid Waste Disposal Act, is the primary federal statute  
    regulating solid waste.  Subtitle (C) of RCRA established the nation's  
    basic hazardous waste management program.

    Under RCRA, persons which generate, transport, treat, store or dispose of  
    hazardous waste are subject to a number of regulatory requirements.  The  
    California Department of Toxic Substances Control (DTSC) has been  
    authorized by the US Environmental Protection Agency (EPA) to be the lead  
    agency for enforcing the provisions of RCRA.  As an authorized state,  










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    California's regulations must be consistent with, and at least as strict  
    as, the federal regulations.

2)  The Hazardous Waste Control Act,  Chapter 6.5 of Health and Safety Code  
    (HSC), requires any person who stores, treats or disposes of hazardous  
    waste in excess of specified limits to obtain a hazardous waste facility  
    permit from the DTSC.  Imposes a complex system of fees and a labyrinthine  
    set of regulations on persons who generate, store, treat, dispose of or  
    otherwise manage hazardous waste. 
 
    Requires the DTSC to adopt regulations that specify the criteria that 
    identify wastes which are hazardous wastes and to adopt a list of wastes 
    that have been determined to be hazardous. 
 
    Requires the DTSC to adopt analytic tests which must be used to determine  
    when a waste is a hazardous waste.  Because DTSC has adopted tests which 
    are, in some instances, more stringent than the equivalent federal tests,  
more types of wastes meet the definition of hazardous waste in California than  
meet the federal definition.  The result is that two classes of 
    hazardous waste have been created: 

    a)        RCRA  hazardous  wastes regulated by both federal and state  
         programs, and 
     
    b)    non-RCRA  hazardous  wastes regulated only by the state program.   
    Wastes in this category include most of the wastes subject to the  
    "Household Hazardous Waste program."

    Requires DTSC to adopt standards and regulations which specify the  
    financial assurances required to be provided by the owner or operator of a  
    hazardous waste facility for responding to third-party damage claims and  
    for the costs of closure and subsequent maintenance.

    Defines recyclable and recycled material and hazardous waste recycling.   
    Specifies, among other things, that specified recyclable materials, unless  
    granted a variance, are subject to the requirements of the hazardous waste  
    management program.

3)  The Wright-Polanco-Lempert Hazardous Waste Treatment Reform Act of 1992  
    established the "tiered permitting" system which is applicable to  
    facilities that treat only nonRCRA and/or non-regulated RCRA waste.  The  
    tiered permitting system consists of four levels of regulation that  










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    establish increasingly more stringent operating requirements and impose  
    significantly more costly permitting regimes.  The tiers in ascending  
    order of complexity and associated costs are:

    a)        Conditionally exempt.  This tier is applicable to small volume  
         treatment operations (less than 500 pounds or 55 gallons per month)  
         and very low hazard treatment activities such as silver recovery from  
         developing solutions, drum recycling, spent resin mixing and  
         neutralization of food processing wastes.  Persons treating hazardous  
         wastes under this tier are regulated basically like hazardous waste  
         generators; however, they must notify DTSC of their treatment  
         activities and pay an annual fee to the department.

    b)        Conditionally authorized.  This tier covers a wide variety of  
         treatment operations.  In general, if a waste solution meets specific  
         concentrations limits and acidic content (pH) limits, and the  
         treatment operation also meets specified volume limits it falls into  
         this tier.  Treatment operations may be used only for on-site wastes,  
         must be carried out in tanks and containers and must meet a number of  
         specified conditions.  The facility is subject to inspections and  
         must conduct an environmental assessment, and must carry out 
    corrective action if contamination is found on the site.

    c)        Permit-by-rule.  All on-site treatment activity of nonRCRA waste  
         that cannot otherwise be classified in the two lower tiers fall under  
         permit-by-rule.  Regulatory requirements applicable to this tier are  
         similar to those that apply to treatment in the conditionally  
         authorized tier; HOWEVER, the owner/operators must also provide  
         certification by a professional consultant that the secondary  
         containment, closure plan and corrective action requirements are  
         being met.

    d)        Standardized permit.  This tier applies to commercial off-site  
         facilities that treat nonRCRA wastes sent to them by hazardous waste  
         generators.  The standardized permit is similar and as costly to  
         obtain as a regular hazardous waste facilities permit issued by DTSC  
         under the hazardous waste management program.                        

    Exempts until December 31, 1994, a facility or transportable treatment  
    unit operating pursuant to permit-by-rule from standards and regulations  
    which specify the financial assurances required to be provided by the  
    owner or operator of a hazardous waste facility for responding to  










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    third-party damage claims and for the costs of closure and subsequent  
    maintenance (except as specified) until January 1, 1995.  A conditionally  
    authorized generator is exempt, until December 31, 1994, from those  
    standards.

4)  SB 1082 (Calderon), Chapter 418, Statutes of 1993, created the Unified  
    Hazardous Waste and Hazardous Materials Management Regulatory Program.   
    This program requires the Secretary for Environmental Protection to  
    implement this program in accordance with prescribed procedures and  
    requirements.  The program is commonly referred to as the "Certified  
    Unified Program Agency" or  CUPA. 

    a)       Requires every county to apply to the secretary to be certified  
         to implement the unified program.

    b)       Permits a local agency which meets specified requirements to  
         apply to the secretary to implement the unified program.

    c)       Requires the CUPA in each jurisdiction to, among other things,  
         develop and implement a program which consolidates all permits or  
         other grants of authorization to the maximum extent feasible within  
         statutory constraints to consolidate, coordinate and make consistent  
         any local or regional regulations, ordinances, requirements or  
         guidance documents with the provisions of the Hazardous Waste  
         Management Act and program.

    d)       Permits a CUPA to incorporate as part of the unified program  
         within its jurisdiction the implementation and enforcement of "law"  
         which the agency is authorized to implement and enforce other than  
         those specified in this program.

5)  The California Integrated Waste Management Act requires local governments  
    to prepare county-wide integrated waste management plans to handle and 
dispose of the solid waste generated in their respective counties.  Each  
county-wide plan must include, among other things, a program for the safe  
collection, recycling, treatment and disposal of hazardous waste that would  
otherwise be placed in the municipal solid waste stream by homeowners. 
 
    To meet the requirements of the household hazardous waste elements in  
    solid waste plans, cities and counties may use any of a variety of methods  
    for collecting household hazardous waste and keeping it out of the main  
    solid waste stream.  Among these are permanent household hazardous waste  










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    collection centers, curbside, door-to-door and residential pickup  
    services, centers for the collection of specified types of recyclable  
    materials (latex paints, used oil, batteries, etc.) and mobile and  
    temporary household hazardous waste collection facilities. 
 
    Curbside, door-to-door and residential pickup service vehicles are  
    authorized to haul the household hazardous wastes to a household hazardous  
    waste collection center.  The vehicles are also exempt from the normal  
    requirements that apply to hazardous waste transport.

    Exempts household hazardous waste collection centers from the requirement  
    to obtain a hazardous waste facilities permit if they accept only  
    specified types of household hazardous waste or manage specific wastes as  
    specified. 

    Exempts a person transporting household hazardous waste within specified  
    weight limits and conditionally exempts small quantity generators  
    transporting hazardous waste to an authorized waste collection facility  
    from certain requirements.

    Authorizes businesses that are small quantity generators to transport  
    waste to household hazardous waste collection facilities operated under  
    PBR or a standardized permit, but prohibits such business from using  
    registered hazardous waste transporters to take this waste to such  
    facilities.

    Prohibits landfill load-check programs and local agencies managing  
    abandoned wastes from delivering hazardous waste to a PBR or standardized  
    permit household collection facility because these facilities cannot  
    accepting waste from a registered waste hauler.

 This bill makes a number of changes to several major program elements within  
the Hazardous waste management program relative to California only wastes  
(non-RCRA): 

 Tiered Permitting Program

1)  Authorizes the DTSC to  administratively convert a hazardous waste  
    facilities permit or a grant of interim status into authorization under a  
    Permit-by-rule (PBR), conditional authorization, or conditional exemption,  
    if the facility is not required to obtain a permit under the federal act  
    and the unit(s) in question meet the applicable conditions for  










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    authorization under the specific tier of the tiered permitting regime.

2)  Establishes a process by which DTSC may, by regulation,  add new activities  
    to the list of activities eligible for operation under the tiered  
    permitting program and requires DTSC to conduct a risk assessment and a  
    risk management evaluation of the specific activity and waste stream prior  
    to making additions to the two lower tiers of the program.

3)  Delays the closure assurance requirement for persons operating under a PBR  
    or conditional authorization until January 1, 1996, and requires DTSC to  
    adopt emergency regulation by February 1, 1996, specifying closure  
    assurance requirements for these tiers.

4)  Exempts persons operating under a PBR from the requirement to obtain  
    third-party liability coverage.

5)  Deletes the requirement for generators conducting activities under more  
    than one of the three lower tiers in the tiered permitting program to pay  
    a separate fee for each tier.

6)  Permits DTSC to accelerate the commencement of operation of treatment  
    activities under the two lowest tiers of the program as specified.

7)  Permits persons subject to both tiered permitting and local publicly owned  
    treatment works (POTWs) requirements to operate pursuant only to the POTW  
    requirements, provided that those requirements are substantially similar  
    to those of the tiered permitting program and the POTW is included within  
    a CUPA.

8)  Expands the existing exemption from the hazardous waste facility  
    permitting requirements for certain low-risk elementary neutralization  
    activities to include the elementary neutralization of waste waters  
    resulting from the food processing industry and requires DTSC to "study  
    the safety of elementary neutralization of acids and alkalis and report  
    the results to the Legislature as specified."

 Standard Permitting Program

1)  Authorizes DTSC to issue "series C" standardized storage permits for  
    non-RCRA hazardous waste held in surface impoundments for not more than 30  
    days, subject to certain conditions.











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2)  Permits reactive, ignitable or extremely hazardous wastes to be managed  
    under the lowest level of standardized permitting (series C) if the other  
    criteria for series C are met.  

3)  Extends the date by which all standardized permit facilities currently  
    operating under interim status must obtain a final standardized permit.

 Household Hazardous Waste Collection Facilities

Allows mobile household hazardous waste collection facilities and registered  
hazardous waste transporters carrying certain types of hazardous waste to  
transport hazardous waste to household hazardous waste collection facilities  
(provided that they comply with manifesting and transporter registration  
requirements).

 Definition of Storage Facility

1)  Requires persons operating pursuant to the transfer facility exemption to  
    place hazardous waste in containers only.  

2)  Allows generators to accumulate hazardous waste generated on-site in drip  
    pads (which are used by the wood preserving industry) and containment  
    buildings (used for hazardous waste storage) for up to 90 days.  

 Variance Process

1)  Clarifies that DTSC may variance non-RCRA requirements which are  
    unimportant or insignificant in preventing or minimizing a potential  
    hazard to human health and safety and the environment.

2)  Clarifies that DTSC shall take into consideration the conditions,  
    limitations, and other requirements included in the variance when  
    evaluating potential impacts on human health and safety and the  
    environment.

3)  Clarifies that DTSC may modify or revoke a variance at any time.

 Modification Procedures for Inactive Interim Status Facilities

Allows inactive interim status facilities that have notified DTSC of their  
intent to close, to utilize the streamlined modification process allowed for  
interim status facilities under the federal regulations for implementing  










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changes at these inactive, closing facilities.

 Cleanup Amendments

Makes non-substantive cleanup amendments to a number of sections in Chapter  
6.5

 FISCAL EFFECT

Minor, absorbable cost to DTSC.  According to the bill analysis prepared by  
the State Board of Equalization, the revenue loss attributable to this bill  
would be approximately $1.6 million.

 COMMENTS

Background:  This bill is sponsored by the DTSC.  The tiered permitting  
program is now in its third year of implementation.  According to DTSC, many  
issues have been identified during its implementation that must be addressed  
to correct problems and to further develop the program.

The bill as amended provides needed clarification and augmentation to the  
tiered permitting program established by AB 1772, as well as to other aspects  
of the non-RCRA program.  Further, according to the sponsor, this measure will  
bring California's program into alignment with recent amendments to the  
federal RCRA program.  The bill also requires DTSC to study more controversial  
reforms and to report its findings to the Legislature.

Specifically, provision of the bill will among other things:

1)  Enable facilities that complied with hazardous waste facility permitting  
    requirements prior to the implementation of the tiered permitting program  
    to transfer to the on-site tiered permitting program without having to  
    close the facility or be subjected to fees.

2)  Enable DTSC to complete the development and adoption of regulations which  
    provide businesses with affordable, flexible options for providing  
    financial assurance to cover the cost of closing PBR and conditionally  
    authorized units.

3)  Delete unworkable requirements for owner/operators relative to specific  
    insurance requirements because (according to DTSC) there are no  
    environmental liability policies available which are affordable for  










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    persons operating under PBR (typically smaller businesses with limited  
    financial resources).
    
4)  Eliminate the duplicative permitting requirements between the Department  
    and the Publicly-Owned Treatment Works pretreatment program in  
    jurisdictions where a Certified Unified Program Agency has been formed.

5)  Eliminate duplicative requirements for short lived impoundment programs.   
    Currently, these surface impoundments must meet waste discharge and  
    groundwater monitoring requirements and are regulated by both the regional  
    water quality control boards and DTSC.  This amendment would give  
    generators that occasionally need to store large volumes of liquid  
    hazardous waste for short periods of time prior to treatment some  
    regulatory relief.  For example, it would allow utility companies, that  
    periodically generate large volumes of contaminated waste water when  
    cleaning their boilers, to be regulated by DTSC under a series C permit  
    rather than a full permit (i.e., series C permits is less expensive).   
    DTSC believes that a standardized permit provides an appropriate and  
    adequate level of regulation.

6)  Provides an extension to facilities currently operating under interim  
    status that is necessary to allow orderly completion, with adequate  
    review, of all standardized permits within the limited resources available  
    to DTSC.  Failure to extend this deadline will force businesses, who are  
    operating under interim status and who are not issued a final permit by  
    October 1, 1995, to close their hazardous waste operations.


























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7)  Permits specified small quantity generators to use registered hazardous  
    waste transporters to transport their waste to a household hazardous waste  
    collection facility and allows landfill load-check programs and local  
    agencies managing abandoned wastes to deliver hazardous waste to a  
    household hazardous waste collection facility.  

    The Department states that the existing prohibition is unnecessary, and  
    actually prevents these generators from using the safest method of  
    transportation.

8)  This bill also deals with a number of other aspects of the non-RCRA  
    program including standardized permitting, household hazardous waste  
    collection facilities, and variances.  

 Concern:

This bill, SB 1135 (Costa), and AB 1245 (Frusetta) modify Section 25123.3 of  
the Health and Safety Code.  AB 1245 specifically conforms California law to  
federal law relating to the temporary storage of hazardous waste in transfer  
facilities which are not permitted hazardous waste facilities (as specified)  
by increasing the time period permitted to store such waste from six days (144  
hours) to 10 days.  AB 1245 was approved by this Committee and passed the  
Senate Floor 40-0.  

Author's amendment is solicited to provide assurance that if SB 1291, and/or  
AB 1245 are signed into law, the provisions of SB 1135 relative to HSC section  
25123.3 are controlling and the pertinent provisions of SB 1291 and AB 1245  
are not to be chaptered out. 


SPONSOR:   Department of Toxic Substances Control

SUPPORT:   Norcal Waste Systems
           The Printed Circuit Alliance
           Northern California Association of Metal Finishers
           Anheuser-Busch Companies, Inc.
           The IT Corporation

OPPOSED:   Sierra Club (unless amended)

 Analysis prepared by:  David C. Nunenkamp / aestm / 445-0991       8/20/95











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