Bill Text: CA AB2891 | 2015-2016 | Regular Session | Chaptered


Bill Title: Hazardous waste: funding.

Spectrum: Partisan Bill (Democrat 4-0)

Status: (Passed) 2016-09-27 - Chaptered by Secretary of State - Chapter 704, Statutes of 2016. [AB2891 Detail]

Download: California-2015-AB2891-Chaptered.html
BILL NUMBER: AB 2891	CHAPTERED
	BILL TEXT

	CHAPTER  704
	FILED WITH SECRETARY OF STATE  SEPTEMBER 27, 2016
	APPROVED BY GOVERNOR  SEPTEMBER 27, 2016
	PASSED THE SENATE  AUGUST 23, 2016
	PASSED THE ASSEMBLY  AUGUST 30, 2016
	AMENDED IN SENATE  AUGUST 19, 2016
	AMENDED IN SENATE  MAY 25, 2016

INTRODUCED BY   Committee on Environmental Safety and Toxic Materials
(Assembly Members Alejo (Chair), Arambula, Lopez, and McCarty)

                        FEBRUARY 29, 2016

   An act to amend Sections 25173.7 and 25205.6 of the Health and
Safety Code, relating to hazardous waste.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2891, Committee on Environmental Safety and Toxic Materials.
Hazardous waste: funding.
   Existing law, the Carpenter-Presley-Tanner Hazardous Substance
Account Act (California Superfund Act), imposes liability for
hazardous substance removal or remedial actions and authorizes moneys
in the Toxic Substances Control Account in the General Fund to be
expended by the Department of Toxic Substances Control to pay, among
other things, all costs of removal or remedial actions incurred by
the state and for the state's share of the costs of removal or
remedial actions mandated by the federal Comprehensive Environmental
Response, Compensation, and Liability Act of 1980, commonly known as
the Federal Superfund Act. Existing law expresses the intent of the
Legislature that the funds deposited in the account be appropriated
in the annual Budget Act each year in a specified manner, including
not less than $6,750,000 to the Site Remediation Account in the
General Fund for direct site remediation costs, as defined. Existing
law defines orphan sites as those with no reasonably identifiable
responsible parties.
   This bill would instead express the intent of the Legislature that
the funds deposited in the account be appropriated in the annual
Budget Act each year to the Site Remediation Account in an amount
that is sufficient to pay for estimated costs for direct site
remediation at both federal Superfund orphan sites and at state
orphan sites, and that not less than $10,750,000 be appropriated in
the annual Budget Act each year to the Site Remediation Account for
direct site remediation costs. The bill would require the department
to include those estimated costs in a report submitted to the
Legislature with the Governor's Budget each year.
    Existing law requires the department to provide the State Board
of Equalization with a schedule of codes identifying the types of
organizations that use, generate, store, or conduct activities in
this state related to hazardous materials. Each organization type
identified in the schedule is required to pay an annual fee, which is
deposited in the Toxic Substances Control Account. Existing law
expresses the intent that those organization fee rates are intended
to provide sufficient revenue to fund, among other things,
appropriations in any given fiscal year of $3,300,000 to fund the
state's clean-up obligation under the Federal Superfund Act. If the
department determines that the state's obligation under the Federal
Superfund Act will exceed $3,300,000 in any fiscal year, existing law
requires the department to report that determination to the
Legislature in the Governor's Budget.
   This bill would repeal that expression of legislative intent and a
related requirement that the Legislature specify in the annual
Budget Act changes to those rates necessary to fund the state's
increased obligation under the Federal Superfund Act. The bill would
instead express the intent of the Legislature that those rates are
intended to provide sufficient revenue to fund appropriations in any
given fiscal year to fund the state's obligation under the Federal
Superfund Act.
   This bill would also make conforming changes and delete obsolete
provisions.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 25173.7 of the Health and Safety Code is
amended to read:
   25173.7.  (a) It is the intent of the Legislature that funds
deposited in the Toxic Substances Control Account shall be
appropriated in the annual Budget Act each year in the following
manner:
   (1) An amount sufficient to pay for the estimated costs identified
by the department in the report submitted pursuant to subdivision
(c) to the Site Remediation Account in the General Fund for direct
site remediation costs, as defined in Section 25337.
   (2) Not less than ten million seven hundred fifty thousand dollars
($10,750,000) to the Site Remediation Account in the General Fund
for direct site remediation costs, as defined in Section 25337.
   (3) Not less than four hundred thousand dollars ($400,000) to the
Expedited Site Remediation Trust Fund in the State Treasury, created
pursuant to subdivision (a) of former Section 25399.1, for purposes
of paying the orphan share of response costs pursuant to former
Chapter 6.85 (commencing with Section 25396).
   (4) An amount that does not exceed the costs incurred by the State
Board of Equalization, a private party, or other public agency, to
administer and collect the fees imposed pursuant to Article 9.1
(commencing with Section 25205.1) and deposited into the Toxic
Substances Control Account, for the purpose of reimbursing the State
Board of Equalization, public agency, or private party, for those
costs.
   (5) Not less than one million fifty thousand dollars ($1,050,000)
for purposes of establishing and implementing a program pursuant to
Sections 25244.15.1, 25244.17.1, 25244.17.2, and 25244.22 to
encourage hazardous waste generators to implement pollution
prevention measures.
   (6) Funds not appropriated as specified in paragraphs (1) to (5),
inclusive, may be appropriated for any of the purposes specified in
subdivision (b) of Section 25173.6, except the purposes specified in
subparagraph (C) of paragraph (1) of, and paragraph (13) of,
subdivision (b) of Section 25173.6.
   (b) (1) The amounts specified in paragraphs (2) to (5), inclusive,
of subdivision (a) shall be adjusted annually to reflect increases
or decreases in the cost of living during the prior fiscal year, as
measured by the Consumer Price Index issued by the Department of
Industrial Relations or by a successor agency.
   (2) Notwithstanding paragraph (1), the department may, upon the
approval of the Legislature in a statute or the annual Budget Act,
take either of the following actions:
   (A) Reduce the amounts specified in paragraphs (1) to (5),
inclusive, of subdivision (a), if there are insufficient funds in the
Toxic Substances Control Account.
   (B) Suspend the transfer specified in paragraph (3) of subdivision
(a), if there are no orphan shares pending payment pursuant to
former Chapter 6.85 (commencing with Section 25396).
   (c) The department shall submit to the Legislature with the
Governor's Budget each year a report that includes an estimate of the
funding needed to fund direct site remediation costs at state orphan
sites and meet the state's obligation to pay for direct site
remediation costs at federal Superfund orphan sites pursuant to
paragraph (3) of subsection (c) of Section 104 of the federal
Comprehensive Environmental Response, Compensation, and Liability Act
of 1980, as amended (42 U.S.C. Sec. 9604(c)(3)). The estimate shall
include projected costs for the current budget year and the two
following budget years, including, but not limited to, the state's
10-percent funding obligation for remedial actions at federal
Superfund orphan sites, the state's 100-percent funding obligation
for ongoing operation and maintenance at federal Superfund orphan
sites, and ongoing operation and maintenance costs at state orphan
sites.
  SEC. 2.  Section 25205.6 of the Health and Safety Code is amended
to read:
   25205.6.  (a) For purposes of this section, "organization" means a
corporation, limited liability company, limited partnership, limited
liability partnership, general partnership, and sole proprietorship.

   (b) On or before November 1 of each year, the department shall
provide the board with a schedule of codes, that consists of the
types of organizations that use, generate, store, or conduct
activities in this state related to hazardous materials, as defined
in Section 25501, including, but not limited to, hazardous waste. The
schedule shall consist of identification codes from one of the
following classification systems, as deemed suitable by the
department:
   (1) The Standard Industrial Classification (SIC) system
established by the United States Department of Commerce.
   (2) The North American Industry Classification System (NAICS)
adopted by the United States Census Bureau.
   (c) Each organization of a type identified in the schedule adopted
pursuant to subdivision (a) shall pay an annual fee, which shall be
set in the following amounts:
   (1) Two hundred dollars ($200) for those organizations with 50 or
more employees, but fewer than 75 employees.
   (2) Three hundred fifty dollars ($350) for those organizations
with 75 or more employees, but fewer than 100 employees.
   (3) Seven hundred dollars ($700) for those organizations with 100
or more employees, but fewer than 250 employees.
   (4) One thousand five hundred dollars ($1,500) for those
organizations with 250 or more employees, but fewer than 500
employees.
   (5) Two thousand eight hundred dollars ($2,800) for those
organizations with 500 or more employees, but fewer than 1,000
employees.
   (6) Nine thousand five hundred dollars ($9,500) for those
organizations with 1,000 or more employees.
   (d) The fee imposed pursuant to this section shall be paid by each
organization that is identified in the schedule adopted pursuant to
subdivision (a) in accordance with Part 22 (commencing with Section
43001) of Division 2 of the Revenue and Taxation Code and shall be
deposited in the Toxic Substances Control Account. The revenues shall
be available, upon appropriation by the Legislature, for the
purposes specified in subdivision (b) of Section 25173.6.
   (e) For purposes of this section, the number of employees employed
by an organization is the number of persons employed in this state
for more than 500 hours during the calendar year preceding the
calendar year in which the fee is due.
   (f) The fee rates specified in subdivision (c) are the rates for
the 1998 calendar year. Beginning with the 1999 calendar year, and
for each calendar year thereafter, the State Board of Equalization
shall adjust the rates annually to reflect increases or decreases in
the cost of living during the prior fiscal year, as measured by the
Consumer Price Index issued by the Department of Industrial Relations
or by a successor agency.
   (g) (1) Pursuant to paragraph (3) of subsection (c) of Section 104
of the federal Comprehensive Environmental Response, Compensation,
and Liability Act of 1980, as amended (42 U.S.C. Sec. 9604(c)(3)),
the state is obligated to pay specified costs of removal and remedial
actions carried out pursuant to the federal Comprehensive
Environmental Response, Compensation, and Liability Act of 1980, as
amended (42 U.S.C. Sec. 9601 et seq.).
   (2) The fee rates specified in subdivision (c) are intended to
provide sufficient revenues to fund the purposes of subdivision (b)
of Section 25173.6, including appropriations in any given fiscal year
to fund the state's obligation pursuant to paragraph (3) of
subsection (c) of Section 104 of the federal Comprehensive
Environmental Response, Compensation, and Liability Act of 1980, as
amended (42 U.S.C. Sec. 9604(c)(3)).
   (h) This section does not apply to a nonprofit corporation
primarily engaged in the provision of residential social and personal
care for children, the aged, and special categories of persons with
some limits on their ability for self-care, as described in SIC Code
8361 of the Standard Industrial Classification (SIC) Manual published
by the United States Office of Management and Budget, 1987 edition.
   (i) The changes made to this section by the act of the 2005-06
Regular Session of the Legislature amending this section shall not
increase fee revenues in the 2006-07 fiscal year.

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