Bill Text: CA AB2440 | 2021-2022 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Responsible Battery Recycling Act of 2022.

Spectrum: Partisan Bill (Democrat 13-0)

Status: (Passed) 2022-09-16 - Chaptered by Secretary of State - Chapter 351, Statutes of 2022. [AB2440 Detail]

Download: California-2021-AB2440-Amended.html

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Amended  IN  Assembly  August 11, 2022

Amended  IN  Senate  June 08, 2022

Amended  IN  Senate  June 06, 2022

Amended  IN  Assembly  April 27, 2022

Amended  IN  Assembly  March 28, 2022

CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill

No. 2440

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Introduced by Assembly Member Irwin
(Principal coauthor: Senator Newman)
(Coauthors: Assembly Members Lee, Mullin, Petrie-Norris, Stone, Ting, and Wicks)
(Coauthors: Senators Archuleta, Becker, Eggman, Wieckowski, and Wiener)

February 17, 2022

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An act to add Article 5 (commencing with Section 42457) to Chapter 8.4 of, Article 7 (commencing with Section 42499.5) to Chapter 8.6 of, and Chapter 7.5 (commencing with Section 42420) to, and to repeal Chapter 8.4 (commencing with Section 42451) and Chapter 8.6 (commencing with Section 42490) of, Part 3 of Division 30 of the Public Resources Code, relating to recycling.

LEGISLATIVE COUNSEL'S DIGEST

AB 2440, as amended, Irwin. Responsible Battery Recycling Act of 2022.

The Rechargeable Battery Recycling Act of 2006 requires every retailer, as defined, to have in place a system for the acceptance and collection of used rechargeable batteries for reuse, recycling, or proper disposal. The Cell Phone Recycling Act of 2004 prohibits the sale of a cell phone in this state to a consumer unless the retailer of that cell phone has in place a take-back system for the acceptance and collection of used cell phones for reuse, recycling, or proper disposal.

This bill would make the Rechargeable Battery Recycling Act of 2006 and the Cell Phone Recycling Act of 2004 inoperative as of September 30, 2026, and would repeal those acts as of January 1, 2027.

This bill would enact the Responsible Battery Recycling Act of 2022, which would require producers, as defined, either individually or through the creation of one or more stewardship organizations, to establish a stewardship program for the collection and recycling of covered batteries and covered battery-embedded products, batteries, as defined. The bill would require a producer or stewardship organization to develop, and to submit to the department and the Department of Toxic Substances Control for review and approval as specified, a stewardship plan and would prescribe the standards and elements required to be contained in a stewardship plan for covered batteries and in a stewardship plan for covered battery-embedded products. batteries. The bill would require the department, on or before January 1, 2025, and in consultation with the Department of Toxic Substances Control, to adopt regulations to implement the act. The bill would require a stewardship organization or producer to have a complete stewardship plan approved by the department no later than 18 months after the effective date of the regulations adopted by the department in order for the stewardship organization or producer to be in compliance with the act.

This bill would require a stewardship organization or producer to be audited annually, and submit a report and budget to the department, as prescribed, and would require a stewardship organization, producer, manufacturer, distributor, retailer, importer, recycler, or collection site to, among other things, provide the department and the Department of Toxic Substances Control with relevant records necessary to determine compliance with the act. The bill would require reports and records provided to the department to be provided under penalty of perjury, thereby creating a state-mandated local program by expanding the crime of perjury. The bill would restrict public access to certain information collected for the purpose of administering a stewardship program. The bill would preempt all rules, regulations, codes, ordinances, or other laws adopted by a city, county, city and county, municipality, or a local agency on or after January 1, 2023, regarding stewardship programs for covered batteries, covered battery-embedded products, or both covered batteries and covered battery-embedded products. batteries.

This bill would require the department, on or before July 1, 2027, and each year thereafter, to post on its internet website a list of producers that are in compliance with the act, including the reported brands and names of covered batteries and covered battery-embedded products of each producer. The bill would require the department to remove from the list any producer, including its brands and covered batteries or covered battery-embedded products, batteries, that is not in compliance with the act. The bill would prohibit, on and after the date that a stewardship plan is approved by the department, a retailer or distributor from selling, distributing, offering for sale, or importing a covered battery or covered battery-embedded product in or into the state unless the producer of the covered battery or covered battery-embedded product is listed on that list as in compliance on the act, except as specified. The bill would require the department to relist on its internet website a producer, along with its brands and covered batteries or covered battery-embedded products, batteries, if the department subsequently determines that the producer is in compliance with the act.

This bill would require a stewardship organization or producer to reimburse the department and the Department of Toxic Substances Control for their respective actual and reasonable regulatory costs that are directly related to implementing and enforcing the act in relation to the stewardship organization’s or producer’s activities. The bill would require the department and the Department of Toxic Substances Control to deposit those moneys into the Covered Battery and Covered Battery-Embedded Product Recycling Fund, which the bill would establish, and would authorize the department and any other relevant state agency to expend those moneys, upon appropriation by the Legislature, to implement and enforce the act.

This bill would provide for enforcement of the act, including authorizing the department to impose an administrative civil penalty on a stewardship organization, producer, manufacturer, distributor, retailer, importer, recycler, or collection site in violation of the act not to exceed $10,000 per day, unless the violation is intentional, knowing, or reckless, then in that case not to exceed $50,000 per day. The bill would require the department to deposit those moneys into the Covered Battery and Covered Battery-Embedded Product Recycling Penalty Account, which the bill would establish in the fund, and would require the department to expend those moneys, upon appropriation by the Legislature, to implement and enforce the act.

The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.

Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.

This bill would make legislative findings to that effect.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Digest Key

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YES  

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Bill Text

The people of the State of California do enact as follows:

SECTION 1.

 Chapter 7.5 (commencing with Section 42420) is added to Part 3 of Division 30 of the Public Resources Code, to read:

CHAPTER  7.5. Responsible Battery Recycling Act of 2022

Article  1. General Provisions

42420.

 This chapter shall be known, and may be cited, as the Responsible Battery Recycling Act of 2022.

42420.2.

 For purposes of this chapter, the following terms have the following meanings:

(a) “Brand” means a trademark, including both a registered trademark and an unregistered trademark, a logo, a name, a symbol, a word, an identifier, or a traceable mark that identifies a covered battery or a covered battery-embedded product and identifies the owner or licensee of the brand.

(b) “Button cell battery” means a small, round cell or battery where the overall height is less than the diameter, containing aqueous electrolyte.

(c) “Coin cell battery” means a small, round cell or battery where the overall height is less than the diameter, containing nonaqueous electrolyte.

(d) “Collection site” means a permanent or temporary location at which covered batteries or covered battery-embedded products are collected and prepared for transport in accordance with the requirements of this chapter.

(e) “Consumer” means an owner of a covered battery or covered battery-embedded product, battery, including a person, business, corporation, limited partnership, nonprofit organization, or governmental entity, and includes the ultimate purchaser, owner, or lessee of a covered battery or a covered battery-embedded product. battery.

(f) (1) “Covered battery” means a device consisting of one or more electrically connected electrochemical cells designed to receive, store, and deliver electric energy. A covered battery includes a battery that is either of the following:

(A) A battery that is intended to be easily removable from the product with household tools or tools provided by the manufacturer of the battery.

(B) A battery that is packed with, but not installed in, the product that the battery is intended to power, when the product is offered for sale by the producer.

(2) “Covered battery” does not include any of the following:

(A) A primary battery weighing over two kilograms. For purposes of this subparagraph, “primary battery” means a nonrechargeable battery, including, but not limited to, alkaline, carbon-zinc, and lithium metal batteries.

(B) A rechargeable battery weighing over five kilograms and having a Watt-hour rating of more than 300 Watt-hours.

(C) A lead-acid battery, as defined in Section 42440.

(D) (i) A battery contained in a motor vehicle. For purposes of this subparagraph, “motor vehicle” has the same meaning as set forth in Section 415 of the Vehicle Code.

(ii) Notwithstanding any other law, the exclusion in clause (i) does not apply to a battery contained in any of the following:

(I) A motorized scooter.

(II) A motorized skateboard.

(III) A motorized hoverboard.

(IV) A device intended to propel or move upon a highway only one individual person or property.

(E) A fuel cell electrical generating facility. For purposes of this subparagraph, “fuel cell electrical generating facility” has the same meaning as “eligible fuel cell electrical generating facility,” as defined in Section 2827.10 of the Public Utilities Code.

(g)(1)“Covered battery-embedded product” means a product containing a battery or battery pack that is not designed to be easily removed from the product by the consumer with household tools or tools provided by the manufacturer.

(2)“Covered battery-embedded product” does not include any of the following:

(A)A medical device, as defined in Section 321(h) of Title 21 of the United States Code, if the medical device is not designed and marketed for sale or resale principally to consumers for personal use.

(B)A covered electronic device, as defined in Section 42463.

(C)An energy storage system, as defined in Section 2835 of the Public Utilities Code.

(h)

(g) “Department” means the Department of Resources Recycling and Recovery or a successor agency.

(i)

(h) “Distributor” means a company that has a contractual relationship with one or more producers to market and sell covered batteries or covered battery-embedded products to retailers.

(j)

(i) “Electrochemical cell” means a system consisting of an anode, a cathode, and an electrolyte, plus electrical or mechanical connections needed to allow the cell to deliver or receive electric energy.

(k)

(j) “Importer” means either of the following:

(1) A person qualifying as an importer of record for purposes of Section 1484(a)(2)(B) of Title 19 of the United States Code with regard to the import of a covered battery or a covered battery-embedded product sold in or into the state that was manufactured or assembled by a company outside of the United States.

(2) A person importing into the state for sale in the state a covered battery or covered battery-embedded product that was manufactured or assembled by a company outside of the state.

(l)

(k) “Person” has the same meaning as set forth in Section 40170.

(m)

(l) (1) (A)  “Producer” means the person who manufactures the covered battery or covered battery-embedded product and who sells, offers for sale, or distributes the covered battery or covered battery-embedded product in or into the state.

(B) If there is no person who is the producer of the covered battery or covered battery-embedded product for purposes of subparagraph (A), the producer of the covered battery or covered battery-embedded product is the person who imports the covered battery or covered battery-embedded product in or into the state for sale or distribution.

(C) If there is no person who is the producer for purposes of subparagraphs (A) and (B), the producer is the person who sells the covered battery or the covered battery-embedded product in or into the state.

(2) “Producer” does not include an admitted insurer possessing a certificate of authority from the Insurance Commissioner pursuant to Section 700 of the Insurance Code.

(n)

(m) (1) “Rechargeable battery” means a battery that contains one or more voltaic or galvanic cells, electrically connected to produce electric energy, and that is designed to be recharged.

(2) “Rechargeable battery” does not include either of the following:

(A) A battery that contains electrolytes as a free liquid.

(B) A battery that employs lead-acid technology, unless that battery is sealed and contains no free liquid electrolytes.

(o)“Recycler” means either of the following:

(1)A person who dismantles or otherwise handles covered battery-embedded products to recover components and residuals contained in the covered battery-embedded products for the purpose of recycling.

(2)A

(n) “Recycler” means a person who changes the physical or chemical composition of covered batteries or covered battery-embedded products and who is subject to the requirements of Chapter 6.5 (commencing with Section 25100) of Division 20 of the Health and Safety Code and the regulations adopted pursuant to that chapter for purposes of recycling.

(p)

(o) “Recycling” has the same meaning as set forth in Section 40180. “Recycling” does not include the production of fuel or energy.

(q)

(p) “Recycling efficiency rate” means the ratio of the weight of resources recovered from covered batteries and covered battery-embedded products received by a stewardship organization to the weight of covered batteries and covered battery-embedded products collected by the producer or stewardship organization.

(r)

(q) “Retailer” means a person who sells covered batteries or covered battery-embedded products in or into the state to a person through any means, including, but not limited to, sales outlets, catalogs, the telephone, the internet, or any electronic means.

(s)

(r) “Stewardship organization” means an organization exempt from taxation under Section 501(c)(3) of the federal Internal Revenue Code of 1986 (26 U.S.C. Sec. 501(c)(3)) that is established by a group of producers in accordance with this chapter to develop and implement a stewardship program.

(t)

(s) “Stewardship plan” or “plan” means a plan developed by a stewardship organization or producer pursuant to this chapter for the collection, transportation, and recycling, and the safe and proper management, of covered batteries or covered battery-embedded products. batteries.

(u)

(t) “Stewardship program” means a program established by a producer or stewardship organization pursuant to this chapter for the free and convenient collection, transportation, and recycling, and the safe and proper management, of covered batteries, covered battery-embedded products, or covered batteries and covered battery-embedded products batteries pursuant to a stewardship plan approved by the department in accordance with this chapter.

42420.4.

 On or before January 1, 2025, the department, in consultation with the Department of Toxic Substances Control, shall adopt regulations to implement this chapter.

Article  2. Producers and Stewardship Organizations for Covered Batteries and Covered Battery-Embedded Products

42421.

 (a) No later than 180 days after the effective date of this chapter, a producer shall provide to the department a list of covered batteries, covered battery-embedded products, batteries and brands of covered batteries and covered battery-embedded products that the producer sells or offers for sale in the state.

(b) A producer, or a stewardship organization on behalf of a group of producers, shall update the list described in subdivision (a) and provide the updated list to the department on or before January 15 of each year or upon request of the department.

42421.2.

 (a) Producers may establish one or more stewardship organizations composed of producers to develop and implement the covered battery and covered battery-embedded product recycling program established pursuant to this chapter.

(b) (1) A producer shall comply with this chapter either individually or through a stewardship organization established pursuant to subdivision (a).

(2) A producer shall not sell, distribute, offer for sale, or import a covered battery or a covered battery-embedded product in or into this state unless the producer is in compliance with this chapter.

(3) Every producer shall, no later than 180 days after the effective date of this chapter, notify all persons through which it is distributing a covered battery or covered battery-embedded product in the state of that fact.

(c) Each producer covered under a stewardship organization shall register with that stewardship organization in accordance with the procedures and requirements established by that stewardship organization and shall comply with those procedures and requirements.

Article  3. Stewardship Plans for Covered Batteries and Covered Battery-Embedded Products

42422.

 Within nine months of the effective date of the regulations adopted by the department pursuant to Section 42420.4, a producer or stewardship organization shall develop and submit to the department a complete stewardship plan for the collection, transportation, and recycling, and the safe and proper management, of covered batteries, covered battery-embedded products, or covered batteries and covered battery-embedded products batteries in the state in an economically efficient and practical manner.

42422.1.

 A stewardship plan for covered batteries shall include all of the following standards and elements:

(a) The names of producers, brands, and covered batteries covered under the stewardship plan.

(b) An explanation of the process by which the stewardship organization or producer consulted with the advisory body created pursuant to Section 42422.4 to receive advice on the development and implementation of the stewardship plan.

(c) Provide for a free and convenient collection system for covered batteries in each county of the state that meets all of the following requirements:

(1) A minimum of 10 collection sites per county or one collection site per 15,000 people, whichever is greater.

(2) Allows the department to adjust, through regulations adopted by the department pursuant to Section 42420.4, the minimum required collection sites applicable to plans addressing collection of covered batteries, covered battery-embedded products, or both covered batteries and covered battery-embedded products batteries to ensure that consumers have sufficient convenient access to collection sites, if the department has evidence that allowing for this adjustment will increase the collection of products covered by the plans.

(3) The collection sites in each county shall be spread throughout the county to facilitate widespread access and convenience. This paragraph does not authorize the department to require more than the minimum number of collection sites required pursuant to paragraph (2) or the regulations adopted by the department pursuant to Section 42420.4.

(4) The department may establish a limit on the number of covered batteries or covered battery-embedded products to be deposited at a single collection site by a single consumer in a single day.

(d) An explanation of the stewardship organization’s or producer’s plans to meet the minimum recycling efficiency rate for each battery chemistry type established by the department pursuant to the regulations adopted under Section 42420.4.

(e) An explanation of how collection sites will be authorized and managed, including all of the following:

(1) A producer or stewardship organization shall include as a collection site under its stewardship program any entity that offers in writing to participate in the stewardship program and comply with all applicable state and federal laws and regulations and the rules and conditions imposed by the stewardship organization or producer pursuant to paragraph (7), even if the minimum thresholds described in subdivision (c) have been achieved.

(2) A producer or stewardship organization shall include the offering entity as a collection site in the program within 90 days of receiving the written offer to participate and confirming that the offering entity will agree to comply with the rules and conditions of the stewardship plan. The producer or stewardship organization shall not be required to respond to offers pursuant to this paragraph until the producer’s or stewardship organization’s stewardship plan has been approved by the department.

(3) A producer or stewardship organization may suspend or terminate a collection site or service that does not comply with all applicable state and federal laws and regulations or adhere to the rules and conditions imposed by the stewardship organization or producer pursuant to paragraph (7).

(4) A collection site shall be operated to ensure that covered batteries are collected safely and handled in accordance with all applicable state and federal laws and regulations and the rules and conditions of the stewardship plan.

(5) An explanation of the process by which damaged, defective, or recalled covered batteries will be accepted by collection sites and the safety equipment that will be provided to collection sites to facilitate the safe collection of damaged, defective, or recalled covered batteries.

(6) An explanation of the process by which the stewardship organization or producer will provide for the collection and transport of covered batteries from the collection sites to a recycler and how shipments will be documented. A stewardship organization or producer shall maintain these records and make them available to the department upon request.

(7) A list of all rules or conditions imposed by the stewardship organization or producer as a condition of participation in the program for collection sites.

(8) A producer or stewardship organization shall evaluate and consider the implementation of an incentive structure for collection sites to achieve the purposes of this chapter.

(f) A producer or stewardship organization shall allow a consumer to drop off, at no charge, covered batteries at a collection site.

(g) Provide collection sites with appropriate containers, training, signage, safety guidance, and educational materials.

(h) (1) The establishment and administration of a means for fully funding the stewardship program in a manner that equitably distributes the stewardship program’s costs.

(2) The funding mechanism shall provide sufficient funding for the producer or stewardship organization to implement the plan, including the administrative, operational, and capital costs of the plan and the department’s and the Department of Toxic Substances Control’s actual regulatory costs incurred to implement and enforce this chapter.

(i) A description of the process by which covered batteries will be processed and recycled following collection at collection sites, including all of the following:

(1) A description of how covered batteries will be handled and recycled, including how covered batteries will not be disposed of by the stewardship organization, an agent of the stewardship organization, or a service provider contracted with the stewardship organization, and how all covered batteries will enter a recycling process.

(2) A description of how discarded covered battery residual materials will, to the extent economically and technically feasible, be recycled.

(3) A description of how the stewardship organization will prioritize the use of recycling facilities located closer to the point of generation to minimize transportation emissions and increase accountability.

(j) Coordination with, and a description of the efforts and methods used to coordinate activities with, all of the following:

(1) Other stewardship programs for covered batteries.

(2) Existing battery collection and recycling programs, including electronic waste recyclers and dismantlers.

(3) Community-based organizations that contact the stewardship organization and that are qualified to run or support collection events.

(4) Other relevant stakeholders, as appropriate.

(k) Consultation with the California Environmental Protection Agency’s Environmental Justice Task Force regarding methods to supplement those of the stewardship organization to collect covered batteries for recycling in areas and communities that face unique challenges associated with proper waste management, such as poverty, language barriers, and illegal disposal.

(l) A comprehensive statewide education and outreach program designed to educate consumers and promote participation in the collection and recycling program offered by the stewardship organization. At a minimum, the comprehensive statewide education and outreach program shall include all of the following:

(1) A detailed description of the education and communications strategy being implemented to effectively promote participation in the stewardship program and provide the information necessary for effective participation of consumers, retailers, and others.

(2) An internet website that publicizes the location of collection sites and provides detailed information to consumers on the free and convenient network of collection sites offered by the stewardship program and any other information reasonably necessary to safely and conveniently access the collection and recycling services offered as part of the stewardship plan.

(3) All signage and materials required for collection sites by the stewardship organization or producer, and the method by which collection sites can access replacement materials.

(4) A description of efforts to support participation by all California communities, including a description of efforts to communicate with consumers in languages other than English, as described in subdivision (k).

(5) A description of goals and metrics used to determine the success of the statewide education and outreach program.

(6) The statewide education and outreach program shall promote the safe and proper management of used covered batteries.

(7) The statewide education and outreach program shall not promote the disposal of covered batteries in a manner inconsistent with the services offered by the stewardship plan.

(8) The statewide education and outreach plan shall include information for consumers about how to avoid improper disposal of covered batteries.

(9) A description of how the stewardship organization will periodically assess and evaluate the efficacy of the comprehensive statewide education and outreach program and adjust strategies to maximize participation in the stewardship program.

(10) The department may allow producers and stewardship organizations operating stewardship programs under separately approved plans to coordinate activities and share costs related to the comprehensive statewide education and outreach program if the stewardship organization or producer determines that the coordination and cost sharing serves to more effectively educate the public and improve participation in the stewardship programs.

(m) Developing strategies in coordination with other stewardship programs to implement proper labeling of covered batteries to ensure proper collection and recycling, including, but not limited to, a uniform color, design, and labeling scheme for batteries.

(n) A contingency plan in the event the stewardship plan expires, is disapproved, or is revoked. The contingency plan shall describe how the stewardship plan objectives can be carried out in the absence of a plan, either by the stewardship organization or producer, or through an entity such as an escrow company.

42422.2.

A stewardship plan for covered battery-embedded products shall include all of the following standards and elements:

(a)The names of producers, distributors, importers, manufacturers, brands, and covered battery-embedded products covered under the stewardship plan.

(b)An explanation of the process by which the stewardship organization or producer consulted with the advisory body created pursuant to Section 42422.4 to receive advice on the development and implementation of the plan.

(c)Provide for a free and convenient collection system for covered battery-embedded products in each county of the state that meets all of the following requirements:

(1)A minimum of ____ collection sites per county or one collection site per ____ people, whichever is greater.

(2)The department may adjust the minimum required collection sites to ensure that consumers have sufficient convenient access to collection sites.

(3)The collection sites in each county shall be reasonably spread throughout the county to facilitate widespread access and convenience.

(d)An explanation of the stewardship organization’s or producer’s plans to meet the minimum recycling efficiency rate for each battery chemistry type established by the department pursuant to the regulations adopted under Section 42420.4.

(e)An explanation of how collection sites will be authorized and managed, including all of the following:

(1)A producer or stewardship organization shall include as a collection site under its stewardship program any entity that offers in writing to participate in the stewardship program and comply with all applicable state and federal laws and regulations and the rules and conditions imposed by the stewardship organization or producer pursuant to paragraph (6), even if the minimum thresholds described in subdivision (c) have been achieved.

(2)A producer or stewardship organization shall include the offering entity as a collection site in the program within 90 days of receiving the written offer to participate. The producer or stewardship organization shall not be required to respond to offers pursuant to this paragraph until the producer’s or the stewardship organization’s stewardship plan has been approved by the department.

(3)A producer or stewardship organization may suspend or terminate a collection site or service that does not comply with all applicable state and federal laws and regulations or adhere to the rules and conditions imposed by the stewardship organization or producer pursuant to paragraph (6).

(4)A collection site shall be operated to ensure that covered battery-embedded products are collected safely and handled in accordance with all applicable state and federal laws and regulations.

(5)An explanation of the process by which the stewardship organization or producer will provide for collection and transport of covered battery-embedded products from the collection sites to a recycler. A receipt or collection manifest shall be provided to the collection site by the stewardship organization or producer. A collection site and stewardship organization or producer shall each maintain these records and make them available to the department upon request.

(6)A list of all rules or conditions imposed by the stewardship organization or producer as a condition of participation in the program for collection sites.

(7)A producer or stewardship organization shall evaluate and consider the implementation of an incentive structure for collection sites to achieve the purposes of this chapter.

(f)A producer or stewardship organization shall allow a consumer to drop off, at no charge, covered battery-embedded products at a collection site.

(g)Provide collection sites with the necessary equipment, training, signage, safety guidance, and educational materials.

(h)(1)The establishment and administration of a means for fully funding the stewardship program in a manner that equitably distributes the stewardship program’s costs among the producers that are part of the stewardship organization.

(2)The funding mechanism shall provide sufficient funding for the producer or stewardship organization to implement the plan, including the administrative, operational, and capital costs of the plan and the department’s and the Department of Toxic Substances Control’s actual and reasonable regulatory costs incurred to implement and enforce this chapter.

(i)A description of the process by which covered battery-embedded products will be processed and recycled following collection at collection sites, including both of the following:

(1)A description of how covered battery-embedded products will not be landfilled and how all covered battery-embedded products will enter a recycling process.

(2)A description of how discarded covered battery-embedded product residual materials will, to the extent economically and technically feasible, be recycled.

(j)Coordination with, and a description of methods used to coordinate activities with, all of the following:

(1)Other stewardship programs for covered battery-embedded products.

(2)Existing battery collection and recycling programs, including electronic waste recyclers and dismantlers.

(3)Community-based organizations qualified to run collection events to support regions with low rates of recycling.

(4)Other relevant stakeholders, as appropriate.

(k)Developing strategies, in consultation with the California Environmental Protection Agency’s Environmental Justice Task Force and other relevant stakeholders, for collecting covered battery-embedded products for recycling in areas and communities that face unique challenges associated with proper waste management, such as poverty, language barriers, and illegal disposal.

(l)A comprehensive statewide education and outreach program designed to promote participation in the collection and recycling program offered by the stewardship organization. At a minimum, the comprehensive statewide education and outreach program shall include all of the following:

(1)A detailed description of the education and communications strategy being implemented to effectively promote participation in the program and provide the information necessary for effective participation of consumers, retailers, and others.

(2)An internet website that publicizes the location of collection sites and provides detailed information to consumers on the free and convenient network of collection sites and any other information reasonably necessary to safely and conveniently access the collection and recycling services offered as part of this plan.

(3)All signage and materials required for collection sites by the stewardship organization or producer, and the method by which collection sites can access replacement materials.

(4)A description of efforts to support participation by all California communities, including a description of efforts to communicate with consumers in languages other than English, as described in subdivision (k).

(5)A description of goals and metrics used to determine the success of the statewide education and outreach program.

(6)The statewide education and outreach program shall promote the safe and proper management of used covered battery-embedded products.

(7)The statewide education and outreach program shall not promote the disposal of covered battery-embedded products in a manner inconsistent with the services offered by the stewardship plan.

(8)The statewide education and outreach plan shall include information for consumers about how to avoid improper disposal of covered battery-embedded products.

(m)Developing strategies in coordination with other stewardship programs to implement proper labeling of covered battery-embedded products to ensure proper collection and recycling, including, but not limited to, a uniform color, design, and labeling scheme for batteries.

(n)A contingency plan in the event the stewardship plan expires, is disapproved, or is revoked. The contingency plan shall describe how the stewardship plan objectives can be carried out in the absence of a plan, either by the stewardship organization or producer, or through an entity such as an escrow company.

42422.3.

 (a) A producer or stewardship organization shall review its stewardship plan no less than every five years and determine whether revisions to the plan are necessary.

(b) If a producer or stewardship organization determines that revisions to the plan are necessary, the producer or stewardship organization shall submit to the department a revised plan for review and approval in accordance with Section 42422.6.

(c) If a producer or stewardship organization determines that no revisions to the plan are necessary, the producer or stewardship organization shall send a letter to the department explaining that the producer or stewardship organization has reviewed the plan and determined that no revisions are needed. The department may disapprove the producer’s or stewardship organization’s determination within 30 days of receipt of that determination if the department concludes that the producer or stewardship organization cannot implement the objectives of this chapter without revising the stewardship plan.

42422.4.

 (a) In preparing a stewardship plan pursuant to Section 42422.1 or 42422.2, 42422.1, and any updates to the plan pursuant to Section 42422.3, a producer or a stewardship organization shall engage in a consultative process with the advisory body created by the department pursuant to subdivision (b). The producer or stewardship organization shall consider any written recommendations from the advisory body during the plan development process.

(b) (1) On or before January 1, 2025, the department shall create an advisory body for covered battery and covered battery-embedded product stewardship that includes, but is not limited to, representatives from local governments, recyclers, retailers, the household hazardous waste industry, nongovernmental organizations, environmental organizations, community-based justice and public health organizations, and the solid waste industry.

(2) Participation on the advisory body shall be voluntary.

(3) The advisory body is not a state body for purposes of Section 11121 of the Government Code.

(c) A producer or stewardship organization shall consider the advisory body’s recommendations.   If the producer or stewardship organization decides not to incorporate the advisory body’s recommendations, the producer or stewardship organization shall provide a written explanation to the department and the advisory body that explains the basis for the decision and also indicates whether the producer or stewardship organization plans to incorporate the recommendations into a subsequent stewardship plan, subsequent amendments to the plan, or a subsequent annual report.

42422.6.

 (a) (1) At least 90 days before submitting a stewardship plan to the department, a producer or stewardship organization shall submit a draft of its entire proposed stewardship plan to the Department of Toxic Substances Control for review.

(2) The Department of Toxic Substances Control shall review the plan only for compliance with state and federal laws and regulations within its jurisdiction. The Department of Toxic Substances Control shall identify any elements of the draft plan that would, if implemented, violate state or federal laws or regulations within its jurisdiction, and provide to the producer or stewardship organization, and the department, that determination and an explanation for any finding of noncompliance within 60 days of receipt of the plan. The producer or stewardship organization shall resolve all findings by the Department of Toxic Substances Control prior to submitting the stewardship plan to the department.

(3) If, 90 days after submitting a plan to the Department of Toxic Substances Control, a producer or stewardship organization has not received a response, the producer or stewardship organization may submit a certification to the department that the stewardship plan was submitted to the Department of Toxic Substances Control, as required, and a timely response was not received.

(4) A producer or stewardship organization shall submit to the department all determinations received from the Department of Toxic Substances Control when the producer or stewardship organization submits its stewardship plan to the department. If a stewardship organization disputes any of the Department of Toxic Substances Control’s determinations, the stewardship organization shall provide to the department an explanation of the basis for its dispute.

(b) The department shall review the stewardship plan for compliance with this chapter and shall approve, disapprove, or conditionally approve the plan within 90 days of receipt of the plan.

(c) If the department disapproves a stewardship plan submitted by a producer or stewardship organization, the department shall explain how the stewardship plan does not comply with this chapter and provide written notice to the stewardship organization within 30 days of disapproval. The producer or stewardship organization may resubmit to the department a revised stewardship plan within 60 days of the disapproval date the written notice was issued, and the department shall review the revised stewardship plan within 90 days of resubmittal. If a revised stewardship plan is disapproved by the department, the producers operating under the stewardship plan shall not be in compliance with this chapter until the department approves a stewardship plan submitted by the producer or stewardship organization.

(d) Within 18 months of the effective date of the regulations adopted by the department pursuant to Section 42420.4, a producer or a stewardship organization shall have a complete stewardship plan approved by the department in order to be in compliance with this chapter.

(e) The approved plan shall be a public record, except that financial, production, or sales data reported to the department by the producer or stewardship organization is not a public record for purposes of the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code) and shall not be open to public inspection. The department may release financial, production, or sales data in summary form only so the information cannot be attributable to a specific producer or distributor or to any other entity.

42422.8.

 (a) Within 24 months of the effective date of the regulations adopted by the department pursuant to Section 42420.4, a producer or stewardship organization shall fully implement its stewardship program.

(b) All handling, collection, transport, and recycling of covered batteries or covered battery-embedded products undertaken as part of a stewardship program under this chapter shall comply with all applicable state and federal laws and regulations.

(c) A retailer with five or more locations in the state shall make all locations available to serve as a collection site for covered batteries and covered battery-embedded products smaller than ____ kilograms as part of a stewardship program in the county in which it is located.

(d) A producer or stewardship organization may petition the department to investigate a noncompliant producer, and the department shall respond to the petition in a timely manner.

Article  4. Financial Provisions

42423.

 A stewardship organization or producer shall prepare and submit to the department, with the submission of a proposed stewardship plan, a proposed stewardship program budget for the next two calendar years that includes all of the following:

(a) Anticipated revenues and costs of implementing the stewardship program, including related programs, projects, contracts, and administrative expenses. Administrative expenses shall include the department’s and the Department of Toxic Substances Control’s actual regulatory costs incurred to implement and enforce this chapter consistent with the criteria for these costs, as established in the regulations adopted by the department pursuant to Section 42420.4. For purposes of this subdivision, stewardship program implementation begins once the department approves a stewardship organization’s or producer’s stewardship plan.

(b) A recommended funding level sufficient to cover the stewardship plan’s budgeted costs and to operate the stewardship program in a prudent and responsible manner over a multiyear period. For purposes of this subdivision, stewardship program operation begins once the department approves a stewardship organization’s or producer’s stewardship plan.

42423.2.

 (a) Within 90 days of receipt, the department shall conditionally approve, approve, or disapprove a stewardship program budget. If the department fails to act or does not disapprove a final stewardship program budget within those 90 days, the budget shall be deemed approved.

(b) (1) If the department conditionally approves or disapproves the budget, the stewardship organization or producer may resubmit a revised budget addressing the department’s written reasons for the department’s decision within 30 days of the conditional approval or disapproval or may notify the department of the stewardship organization’s or producer’s intention not to do so and withdraw its application.

(2) The department, within 60 days from the date the stewardship organization or producer resubmits a revised budget, shall approve or disapprove a final stewardship program budget. If the department fails to act or does not disapprove a final stewardship program budget within those 60 days, the budget shall be deemed approved.

(c) If the department disapproves a revised budget submitted pursuant to paragraph (1) of subdivision (b), the producer or stewardship organization may submit only one additional revised budget, subject to review in accordance with paragraph (2) of subdivision (b).

(d) Until a budget has been approved or deemed approved pursuant to this section, a stewardship organization or producer shall make expenditures consistent with the most recent department-approved budget.

42423.4.

 (a) No later than 90 days before a budget is submitted to the department, the department and the Department of Toxic Substances Control shall notify each stewardship organization, and each producer that is not part of a stewardship organization, of the agency’s respective actual and reasonable regulatory costs that are anticipated to be directly related to implementing and enforcing this chapter in relation to the stewardship organization’s or producer’s activities. This may include a share of the direct costs associated with regulatory development pursuant to Section 42420.4.

(b) Producers and stewardship organizations shall, on a schedule determined by the department, reimburse the department and the Department of Toxic Substances Control for incurred costs as described in subdivision (a). The reimbursement shall not exceed the department’s or the Department of Toxic Substances Control’s actual and reasonable regulatory costs to implement and enforce this chapter.

(c) (1) The department and the Department of Toxic Substances Control shall deposit all moneys received from a stewardship organization or producer pursuant to this section into the Covered Battery and Covered Battery-Embedded Product Recycling Fund, which is hereby established in the State Treasury.

(2) Upon appropriation by the Legislature, moneys in the Covered Battery and Covered Battery-Embedded Product Recycling Fund shall be expended by the department and any other state agency with jurisdiction relevant to this chapter to implement and enforce this chapter, as well as to reimburse any outstanding loans made from other funds used to finance startup costs of the department’s and any other state agency’s activities pursuant to this chapter.

(3) The moneys in the Covered Battery and Covered Battery-Embedded Product Recycling Fund shall not be expended for any other purpose.

Article  5. Records, Audits, and Reports for Covered Batteries and Covered Battery-Embedded Products

42424.

 (a) A stewardship organization or producer shall keep minutes, books, and records that clearly reflect the activities and transactions of the stewardship organization or producer.

(b) A stewardship organization or producer shall retain, at the stewardship organization’s or producer’s expense, an independent public accountant, certified in the United States, to annually audit the accounting books of the stewardship organization or producer.

(c) The stewardship organization or producer shall arrange for the audit to be delivered to the department with the following year’s annual report, commencing with the first year after the stewardship organization’s or producer’s stewardship plan is approved by the department. The department shall review the audit for compliance with this chapter and consistency with the stewardship organization’s or producer’s stewardship plan. The department shall notify the stewardship organization or producer of any compliance issues or inconsistencies.

(d) The department may conduct its own audit if it determines that an audit is necessary to enforce the requirements of this chapter and that the audit conducted pursuant to subdivision (b) is not adequate for this purpose. The stewardship organization or producer may obtain copies of the department’s audit upon request.

(e) The department shall not publicly disclose any confidential proprietary information in an audit conducted pursuant to this section.

42424.2.

 A stewardship organization or producer shall annually submit to the department, in the form and manner determined by the department, an annual report, which the department shall make publicly available on its internet website, that includes all of the following information for the preceding calendar year:

(a) The stewardship organization’s or producer’s costs and revenues.

(b) An estimate of the quantity of covered batteries and covered battery-embedded products sold in the state by the producer or producers covered by the stewardship organization, as calculated by the best available commercial information, and the discarded covered batteries or covered battery-embedded products collected for recycling through the stewardship program.

(c) A list of the stewardship program’s collection sites, by name, location, and type.

(d) The total weight of each battery chemistry type that was collected.

(e) A list of each battery recycling facility used by the stewardship program, by name and location.

(f)A list of each battery-embedded product recycling facility used by the stewardship program, by name and location.

(g)

(f) An updated list of the names and locations of producers, manufacturers, distributors, importers, brands, and covered batteries and covered battery-embedded products covered under the stewardship plan.

(h)

(g) The total weight and number of covered batteries and covered battery-embedded products collected and recycled in the state by the stewardship organization or producer during the preceding calendar year, including a description of the methodology used to determine or calculate these values.

(i)

(h) The recycling efficiency rate of each battery chemistry type that was recycled.

(j)The total weight of residual materials from covered battery-embedded products.

(k)The uses for the recycled residual materials from covered battery-embedded products.

(l)The weight of residual materials from covered battery-embedded products by material type that were recycled and not recycled.

(m)

(i) A description of methods used to collect, transport, and recycle covered batteries or covered battery-embedded products by the stewardship organization, an agent of the stewardship organization, or a service provider contracted with the stewardship organization.

(n)

(j) A description of outreach efforts and education to consumers, manufacturers, distributors, and retailers by the stewardship organization, an agent of the stewardship organization, or a service provider contracted with the stewardship organization for the purpose of promoting the collection and recycling of covered batteries or covered battery-embedded products. batteries.

(o)

(k) (1) A report on coordination activities with other stewardship programs, including covered battery or covered battery-embedded product collection and recycling programs and electronic waste recyclers, with regard to the proper management or recycling of discarded covered batteries or covered battery-embedded products, batteries, for purposes of providing the efficient delivery of services and avoiding unnecessary duplication of effort and expense.

(2) A description of strategies in coordination with other stewardship programs to implement proper labeling of covered batteries and covered battery-embedded products to ensure proper collection and recycling.

(p)

(l) Findings from the periodic evaluation of the comprehensive statewide education and outreach program required by paragraph (9) of subdivision (l) of Section 42422.1.

(q)

(m) A description of any consultation with the California Environmental Protection Agency’s Environmental Justice Task Force and other relevant stakeholders for collecting covered batteries or covered battery-embedded products for recycling in areas and communities that face unique challenges.

(r)

(n) A demonstration of actions taken by the stewardship organization or producer to comply with the requirements established pursuant to Section 42422.1 or 42422.2. 42422.1.

(s)

(o) (1) A report on activities the stewardship organization or producer has undertaken in relation to all of the following:

(A) Meeting the requirements established pursuant to Section 42422.1 or 42422.2. 42422.1.

(B) Making progress on meeting the requirements established pursuant to Section 42422.1 or 42422.2. 42422.1.

(C) Making progress on planned efforts to meet the requirements established pursuant to Section 42422.1 or 42422.2. 42422.1.

(2) Factors to be considered for purposes of paragraph (1) may include, but are not limited to, availability of takeback options and no-cost local curbside collections services, proximity to recyclers and no-cost collection points and events, and the state of current recycling technology.

(t)

(p) A report on activities the stewardship organization or producer has undertaken to prioritize the use of recycling facilities located closer to the point of generation to minimize transportation emissions and increase accountability.

(u)

(q) If the producer or stewardship organization determines during a particular year that any of the activities undertaken to implement subdivision (t) (p) were unsuccessful, the stewardship organization or producer shall identify the problems with the current activities, and report on other activities undertaken and progress made, in the following year’s annual report. These modifications shall be made pursuant to the requirements of Section 42422.3.

(v)

(r) An electronic copy in the form and manner determined by the department, and specified in the regulations adopted by the department pursuant to Section 42420.4, of any report completed by the stewardship organization or producer during the period covered by the annual report and a brief explanation of how the stewardship organization or producer anticipates the activities may benefit the stewardship program. The stewardship organization or producer shall make these reports publicly available free of charge. If the report contains trade secret or confidential information protected under existing law, the stewardship organization or producer shall only be required to provide a description of the information and its relevance to the stewardship program that omits any of the trade secret or confidential information.

(w)

(s) The progress toward attaining the goals included in the stewardship organization’s or producer’s stewardship plan.

(x)

(t) Any modifications or revisions to the stewardship plan, including those required pursuant to Section 42422.3, which are subject to review under Section 42422.6, intended to achieve the requirements established pursuant to Section 42422.1 or 42422.2. 42422.1.

(y)

(u) Any other information deemed relevant by the producer or stewardship organization for the department to determine compliance with the approved stewardship plan.

42424.4.

 (a) No later than 90 days after the date the department receives the annual report submitted by a stewardship organization or producer pursuant to Section 42424.2, the department shall notify the stewardship organization or producer of any deficiencies in the annual report. No later than 60 days after receiving this notice from the department, the stewardship organization or producer shall provide additional information, modifications, or corrections in response to the department’s notification, or shall notify the department that the stewardship organization or producer intends to terminate its stewardship program.

(b) Any proposed activities in the annual report shall be evaluated by the department for progress and shall be taken into consideration when approving, disapproving, or conditionally approving the report.

(c) Within 90 days of receipt of an annual report deemed complete pursuant to subdivision (a), the department shall review the report for compliance with this chapter and shall approve, disapprove, or conditionally approve the annual report. If the department fails to act within 90 days of receipt of the report, the report shall be deemed approved.

(d) (1) If the department conditionally approves or disapproves the annual report, the stewardship organization or producer shall resubmit a revised annual report addressing the department’s written reasons for its decision or notify the department of its intent to terminate its participation in the program within 30 days of the conditional approval or disapproval.

(2) The department, within 60 days from the date a stewardship organization or producer resubmits a revised annual report, shall approve or disapprove a final annual report. If the department fails to act or does not disapprove a final annual report within those 60 days, the annual report shall be deemed approved.

(3) If the department disapproves a revised annual report submitted pursuant to paragraph (1), the stewardship organization or producer may submit only one additional revised annual report, subject to review in accordance with paragraph (2).

Article  6. Enforcement

42425.

 (a) On or before July 1, 2027, and on or before July 1 of each year thereafter, the department shall post on its internet website a list of producers that are in compliance with this chapter. The department shall list, as appropriate, the reported brands and names of covered batteries and covered battery-embedded products for each producer.

(b) A producer that is not listed on the department’s internet website pursuant to subdivision (a) that demonstrates compliance with this chapter before the next list is posted by the department may request a certification letter from the department stating that the producer, brand, or a covered battery or covered battery-embedded product is in compliance with this chapter. A producer that receives this letter shall be deemed to be listed as compliant on the department’s internet website.

(c) (1) A retailer or distributor shall monitor the department’s internet website to determine if a producer, brand, or covered battery or covered battery-embedded product is in compliance with this chapter for that brand or covered battery or covered battery-embedded product. battery.

(2) Except as provided in subdivision (d), on and after the date a stewardship plan is approved by the department pursuant to Section 42422.4, a retailer or distributor shall not sell, distribute, offer for sale, or import a covered battery or covered battery-embedded product in or into the state unless the producer of the covered battery or covered battery-embedded product is listed as in compliance pursuant to subdivision (a) for that brand and covered battery or covered battery-embedded product. battery.

(d) (1) Notwithstanding paragraph (2) of subdivision (c), a retailer or distributor may sell or distribute a covered battery or covered battery-embedded product if, on the date the retailer or distributor ordered or purchased the covered battery or covered battery-embedded product, battery, the producer, brand, or covered battery or covered battery-embedded product was listed as compliant on the department’s internet website.

(2) Notwithstanding paragraph (2) of subdivision (c), a retailer or distributor may, for any existing inventory in stock before the initial list was posted by the department pursuant to subdivision (a), sell or distribute that inventory.

(e) (1) If the department determines a producer is not in compliance with this chapter, the department shall remove the producer, along with its brands and covered batteries or covered battery-embedded products, batteries, from the list of compliant producers posted on the department’s internet website pursuant to subdivision (a).

(2) The department shall relist on its internet website a producer, along with its brands and covered batteries or covered battery-embedded products, batteries, if the department subsequently determines that the producer is in compliance with this chapter.

42425.2.

 (a) The department may impose an administrative civil penalty on a producer, stewardship organization, manufacturer, distributor, retailer, importer, recycler, or collection site that is in violation of this chapter. The amount of the administrative civil penalty shall not exceed ten thousand dollars ($10,000) per day, but, if the violation is intentional, knowing, or reckless, the department may impose an administrative civil penalty of not more than fifty thousand dollars ($50,000) per day.

(b) The department shall deposit all penalties collected pursuant to this section into the Covered Battery and Covered Battery-Embedded Product Recycling Penalty Account, which is hereby created in the Covered Battery and Covered Battery-Embedded Product Recycling Fund. Upon appropriation by the Legislature, these moneys shall be available for expenditure pursuant to paragraph (2) of subdivision (c) of Section 42423.4.

(c) Nothing in this chapter shall This chapter does not limit or restrict the Department of Toxic Substances Control’s enforcement authority pursuant to Chapter 6.5 (commencing with Section 25100) of Division 20 of the Health and Safety Code and its implementing regulations.

42425.4.

 (a) Upon a written finding that a producer, stewardship organization, manufacturer, distributor, retailer, importer, recycler, or collection site has not met a material requirement of this chapter, in addition to any other penalties authorized under this chapter, the department may, after affording the entity a reasonable opportunity to respond to, or rebut, the finding, take any of the following actions to ensure compliance with the requirements of this chapter:

(1) Revoke the stewardship organization’s or producer’s stewardship plan approval or require the stewardship organization or producer to resubmit the plan.

(2) Remove the producer, along with its brands and covered batteries or covered battery-embedded products, batteries, from the department’s list of compliant producers, as specified in Section 42425.

(3) Impose additional compliance reporting requirements.

(b) If a stewardship plan is revoked pursuant to paragraph (1) of subdivision (a) or terminated by the stewardship organization or producer that submitted the plan, a producer no longer subject to that plan may, without being subject to administrative civil penalties pursuant to Section 42425.2, sell or offer for sale covered batteries or covered battery-embedded products in the state for a period of up to one year after the stewardship plan was terminated or revoked if the producer continues to operate under the most recent approved stewardship plan to which the producer was subject.

42425.6.

 (a) A producer, stewardship organization, manufacturer, distributor, retailer, importer, recycler, or collection site shall do both of the following:

(1) Upon request, provide the department with reasonable and timely access, as determined by the department and as authorized pursuant to Title 13 (commencing with Section 1822.50) of Part 3 of the Code of Civil Procedure, to its facilities and operations, as necessary to determine compliance with this chapter.

(2) Upon request, provide the department and the Department of Toxic Substances Control with relevant records necessary to determine compliance with this chapter.

(b) The records required by this chapter shall be maintained and accessible for three years. All reports and records provided to the department pursuant to this chapter shall be provided under penalty of perjury.

(c) (1) The department may impose administrative civil penalties pursuant to Section 42425.2 on a producer, stewardship organization, manufacturer, distributor, retailer, importer, recycler, or collection site that fails to provide the department with the access required pursuant to this section.

(2) The department may post a notice on the department’s internet website pursuant to Section 42425 that a producer that fails to provide the department with access pursuant to this section, along with the producer’s brands and covered batteries or covered battery-embedded products, batteries, is no longer in compliance with this chapter.

Article  7. Antitrust Immunity

42426.

 (a) Except as provided in subdivision (c), an action specified in subdivision (b) that is taken by a stewardship organization or producer that relates to any of the following is not a violation of the Cartwright Act (Chapter 2 (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code), the Unfair Practices Act (Chapter 4 (commencing with Section 17000) of Part 2 of Division 7 of the Business and Professions Code), or the Unfair Competition Law (Chapter 5 (commencing with Section 17200) of Part 2 of Division 7 of the Business and Professions Code).

(b) Subdivision (a) applies to all of the following actions taken by a stewardship organization or producer:

(1) The creation, implementation, or management of a stewardship plan approved or conditionally approved by the department pursuant to Article 3 (commencing with Section 42422) and the determination of the types or quantities of covered batteries or covered battery-embedded products recycled or otherwise managed pursuant to a stewardship plan.

(2) The determination of the cost and structure of an approved stewardship plan.

(3) The establishment, administration, collection, or disbursement of a charge associated with funding the implementation of this chapter.

(c) Subdivision (a) does not apply to an agreement that does any of the following:

(1) Fixes a price of or for covered batteries or covered battery-embedded products, batteries, except for an agreement related to costs or charges associated with participation in a stewardship plan approved or conditionally approved by the department and otherwise in accordance with this chapter.

(2) Fixes the output or production of covered batteries or covered battery-embedded products. batteries.

(3) Restricts the geographic area in which, or customers to whom, covered batteries or covered battery-embedded products will be sold.

Article  8. Preemption and Interstate Collaboration

42427.

 (a) This chapter preempts all rules, regulations, codes, ordinances, and other laws adopted by a city, county, city and county, municipality, or local agency on or after January 1, 2023, regarding stewardship programs for covered batteries, covered battery-embedded products, or both covered batteries and covered battery-embedded products. batteries.

(b) The Legislature finds and declares that the recycling of covered batteries and covered battery-embedded products is a matter of statewide concern and is not a municipal affair as that term is used in Section 5 of Article XI of the California Constitution. Therefore, this chapter applies to all cities, including charter cities.

42428.

 If another state implements a covered battery or covered battery-embedded products recycling program, a stewardship organization or producer may, consistent with the requirements of this chapter, collaborate with that state to conserve resources necessary to efficiently manage and implement the stewardship organization’s or producer’s stewardship program in this state.

SEC. 2.

 Article 5 (commencing with Section 42457) is added to Chapter 8.4 of Part 3 of Division 30 of the Public Resources Code, to read:

Article  5. Repeal

42457.

 This chapter shall become inoperative on September 30, 2026, and, as of January 1, 2027, is repealed.

SEC. 3.

 Article 7 (commencing with Section 42499.5) is added to Chapter 8.6 of Part 3 of Division 30 of the Public Resources Code, to read:

Article  7. Repeal

42499.5.

 This chapter shall become inoperative on September 30, 2026, and, as of January 1, 2027, is repealed.

SEC. 4.

 The Legislature finds and declares that Section 1 of this act, which adds Chapter 7.5 (commencing with Section 42420) to Part 3 of Division 30 of the Public Resources Code, imposes a limitation on the public’s right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:

In order to ensure that the competitive market in the state for the manufacture and sale of batteries and battery-embedded products is not compromised, it is necessary that financial, production, and sales data and confidential proprietary information collected for the purpose of administering a stewardship program be confidential.

SEC. 5.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.