Bill Text: CA SB615 | 2023-2024 | Regular Session | Amended

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

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Bill Title: Vehicle traction batteries.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Vetoed) 2024-09-29 - In Senate. Consideration of Governor's veto pending. [SB615 Detail]

Download: California-2023-SB615-Amended.html

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Amended  IN  Assembly  August 19, 2024

Amended  IN  Assembly  July 03, 2024

Amended  IN  Assembly  June 11, 2024

Amended  IN  Senate  April 12, 2023

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Senate Bill

No. 615

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Introduced by Senators Allen and Min

February 15, 2023

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An act to repeal and add Article 3 (commencing with Section 42450.5) of Chapter 8 of Part 3 of Division 30 of the Public Resources Code, relating to solid waste.

LEGISLATIVE COUNSEL'S DIGEST

SB 615, as amended, Allen. Vehicle traction batteries.

Existing law requires the Secretary for Environmental Protection to convene the Lithium-Ion Car Battery Recycling Advisory Group to review, and advise the Legislature on, policies pertaining to the recovery and recycling of lithium-ion vehicle batteries sold with motor vehicles in the state. Existing law also requires the advisory group to submit policy recommendations to the Legislature aimed at ensuring that as close to 100% as possible of lithium-ion vehicle batteries in the state are reused or recycled at end-of-life in a safe and cost-effective manner.

This bill would repeal those requirements. The bill would instead require vehicle traction batteries, as defined, in the state to be recovered, when possible, reused, repaired, repurposed, or remanufactured and eventually recycled at the end of their useful life, as provided. The bill would also require a battery supplier, as defined, to be responsible for, among other duties, ensuring the responsible end-of-life management of a vehicle traction battery if it is removed from a vehicle that is still in service, as provided, or if the battery is offered or returned to the its battery supplier, reporting information regarding the sale, transfer, or receipt of a vehicle traction battery or module to the Department of Resources Recycling and Recovery (CalRecycle), Toxic Substances Control (DTSC), as provided, and developing and submitting to CalRecycle a battery management plan for the collection of a battery for which they were the battery supplier and fully funding the cost of collection. provided. The bill would impose related duties on a secondary user, as defined, and a secondary handler, as defined, including, among other duties, ensuring the responsible end-of-life management for a battery or returning a vehicle traction battery to the battery supplier, and reporting information regarding the sale, transfer, or receipt of a vehicle traction battery, module, or cell to CalRecycle, battery or module to the DTSC, as provided. The bill would also require an auctioneer, as defined, and salvage disposal auction, as defined, to report similar information regarding a vehicle traction battery to CalRecycle. The bill would require battery suppliers to develop and submit to CalRecycle and to the Department of Toxic Substances Control a battery management plan in a form and manner determined by CalRecycle, as specified. The bill would require the battery management plan to be designed to provide for battery suppliers to be responsible for the collection and management of the battery supplier’s vehicle traction batteries that are offered to the battery supplier for take back by the current battery owner or are under warranty, as provided. the DTSC.

This bill would require the battery supplier to review the plan at least every 5 years. The bill would require the battery supplier to pay CalRecycle’s pay the DTSC’s actual and reasonable regulatory costs to implement and enforce the provisions of the bill. The bill would establish the Vehicle Traction Battery Recovery Fund in the State Treasury and would require CalRecycle the DTSC to deposit all moneys received from the battery supplier into the fund, as specified. Moneys in the fund would be available, upon appropriation by the Legislature, to implement and enforce the provisions of the bill. The bill would require CalRecycle to post on its internet website, within 90 days after CalRecycle’s approval of a battery management plan, the plan and a list identifying the participating battery suppliers, as provided. The bill would require CalRecycle the DTSC to conduct a study to determine whether there is evidence of abandonment of orphaned batteries leading to environmental and health and safety hazards and, on or before January 1, 2026, 2030, and every 3 years thereafter, to post the results of its findings on its internet website. The bill would provide that all reports and records provided to CalRecycle the DTSC pursuant to these provisions be provided under penalty of perjury. By expanding the scope of crimes, the bill would impose a state-mandated local program. The bill would restrict public access to certain information collected for the purpose of administering this program.

This bill would authorize CalRecycle the DTSC to impose civil penalties of up to $50,000 per day for a violation of the requirements of the bill, or up to $100,000 per day if the violation is intentional or knowing. The bill would establish the Vehicle Traction Battery Recovery Penalty Account in the Vehicle Traction Battery Recovery Fund for the deposit of all penalties collected and make the moneys in the account available, upon appropriation by the Legislature, for specified purposes.

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.

 The Legislature hereby finds and declares all of the following:

(a) As the State of California continues its commitment to decarbonizing the on-road transportation sector and as electric vehicles become more cost-competitive and popular with consumers, the state will see an increase in the number of vehicle traction batteries.

(b) Vehicle traction batteries that are no longer useful in vehicles can be repurposed for another application, remanufactured, or recycled. Given the growth expected in California’s electric vehicle market, the value inherent in the material used to manufacture vehicle batteries, and the potential hazard posed by these batteries if handled improperly, California has an interest in creating a coherent state policy designed to ensure all vehicle traction batteries are reused, repaired, repurposed, remanufactured, and eventually recycled.

(c) In 2018, the Legislature passed and the Governor signed AB 2832, calling for the formation of an advisory group of experts to develop policy recommendations aimed at ensuring that as close to 100 percent as possible of electric vehicle traction batteries in the state are reused or recycled at end-of-life in a safe and cost-effective manner. The advisory group published a report in March of 2022 summarizing their work, detailing barriers and opportunities for improving management of these batteries, and presenting policies designed to further the already-developing circular economy, avoid adverse impacts to public health and the environment, and to keep these batteries out of the waste stream.

(d) One key recommendation of the advisory group was to create a program which would require those involved in the production and use of electric vehicle traction batteries to take responsibility for the end-of-life of the product. The report articulated different approaches to accomplishing this goal and underscored the need to define which entities should be responsible for coordinating and covering the costs associated with management of the batteries when those costs present a burden for the vehicle owner and the need to mitigate barriers that currently inhibit the reuse, repurposing, and recycling of these batteries.

SEC. 2.

 (a) It is the policy of the State of California that in situations when a vehicle traction battery reaches the end of its life and cannot be reused in another vehicle or repurposed, it shall be sent to a qualified repurposer, remanufacturer, recycler, or sorting facility to be recycled.

(b) It is further the policy of the State of California that any program designed to ensure proper end-of-life management of vehicle traction batteries first strives to reuse reuse, repair, or remanufacture batteries when possible. When that is not possible, the program shall strive to repurpose or remanufacture the battery for a different application. ensure that batteries are either repurposed or recycled. When neither is possible, a battery is no longer used in any application, the program shall ensure the batteries are recycled. Disposal of these batteries should be discouraged and ultimately eliminated in support of achieving a circular economy.

SEC. 3.

 Article 3 (commencing with Section 42450.5) of Chapter 8 of Part 3 of Division 30 of the Public Resources Code is repealed.

SEC. 4.

 Article 3 (commencing with Section 42450.5) is added to Chapter 8 of Part 3 of Division 30 of the Public Resources Code, to read:

Article  3. Vehicle Traction Batteries

42450.5.

 For purposes of this article, the following definitions apply:

(a) “Auctioneer” has the same definition as in subdivision (d) of Section 1812.601 of the Civil Code. Code, but includes a wholesale motor vehicle auction subject to regulation by the Department of Motor Vehicles. Auctioneer does not include a salvage disposal auction.

(b) “Automobile dismantler” has the same definition as in Section 220 of the Vehicle Code.

(c) “Automotive repair dealer” has the same definition as subdivision (a) of Section 9880.1 of the Business and Professions Code.

(d)  “Battery cell” means the basic electrochemical unit of a battery and that consists of a cathode, an anode, and an electrolyte and is used to store and release electrical energy.

(e)“Battery management plan” or “plan” means a plan developed by a battery supplier pursuant to paragraph (4) of subdivision (a) of Section 42450.7.

(e) “Battery management hierarchy” means a hierarchy of battery management wherein the entity in possession of the battery shall first strive to reuse, repair, or remanufacture batteries when possible and cost effective. When that is not possible or cost effective, that entity shall ensure that the battery is either repurposed or recycled. If a battery can no longer be cost-effectively used in any application, that entity shall ensure the batteries are recycled.

(f) “Battery supplier” means all of the following:

(1) A person who initially sells, offers for sale, or distributes a battery into the state, including a vehicle manufacturer licensed pursuant to Section 11701 of the Vehicle Code, a vehicle traction battery manufacturer, or a vehicle traction battery remanufacturer who manufactures a vehicle traction battery and who sells, offers for sale, or distributes a vehicle traction battery in or into the state under the person’s own name or brand. A vehicle manufacturer shall be considered a battery supplier with respect to vehicle traction batteries included in its vehicles that are sold by dealers in this state and with respect to replacement vehicle traction batteries provided, directly or indirectly, by the manufacturer to dealers in the state.

(2) If there is no vehicle manufacturer licensed pursuant to Section 11701 of the Vehicle Code, or no other person in the state who is the battery supplier for purposes of paragraph (1), the battery supplier is the owner or licensee of a brand or trademark under which the battery is sold or distributed into the state, whether or not the trademark is registered. For purposes of this subdivision, an exclusive licensee is a person holding the exclusive right to use a trademark or brand in the state in connection with the manufacture, sale, or distribution for sale in or into the state of the battery.

(3) If there is no person in the state who is the battery supplier for purposes of paragraph (1) or (2), the battery supplier is the person that imports the battery into the state for sale, distribution, or installation.

(4) If there is no other person in the state who is the battery supplier for the purpose of paragraph (1), (2), or (3), the battery supplier is the distributor, retailer, dealer, or wholesaler who sells the battery in or into the state.

(5) For purposes of this article, the sale of a battery shall be deemed to occur in the state if the battery, or the vehicle containing the battery, is delivered to a licensed dealer, as defined in Section 285 of the Vehicle Code, or to the consumer in the state.

(6) “Battery supplier” does not include a secondary handler who sells, offers for sale, or distributes a battery in or into the state in an unaltered condition. state.

(g) “Brand” means a name, symbol, word, or mark that identifies a vehicle traction battery rather than its components, and attributes the vehicle traction battery to the owner or licensee of the brand as the battery supplier.

(h) “Dealer” has the same definition as in Section 285 of the Vehicle Code.

(i) “Department” means the Department of Resources Recycling and Recovery. Toxic Substances Control.

(j)“DTSC” means the Department of Toxic Substances Control.

(k)

(j) “Motor vehicle” has the same definition as in Section 415 of the Vehicle Code.

(l)

(k) “Orphaned battery” means a battery for which the battery supplier, owner, or manufacturer cannot be identified or is no longer doing business.

(m)

(l) “Qualified facility” means a qualified battery recycler or secondary user of a battery.

(n)

(m) (1) “Qualified battery recycler” means an entity or facility that is certified by the department, abides by all applicable federal, state, and local laws, and does either of the following:

(A) Collects, sorts, separates, and refines the elemental components of end-of-life traction batteries or battery materials and refines the elemental components back to usable battery chemicals that include, but are not limited to, nickel sulfates, cobalt sulfate, and lithium salts.

(B) Extracts and separates a composition of elemental components that include, but are not limited to, lithium compounds, cobalt, nickel, copper, aluminum, iron, manganese, and graphite, and sends the material for further processing or refining to another qualified recycling facility.

(2) The term “qualified battery recycler” does not include entities or facilities that are only engaged in the collection or logistics of moving materials for recycling, facilities that are only shredding batteries for shipment to other recyclers or refiners, recycling or household hazardous waste collection facilities and solid waste enterprises that are only engaged in the collection and transportation of vehicle traction batteries for subsequent reuse, processing, recycling, or disposal.

(3) An entity or facility can be deemed a “qualified battery recycler” even if it relies on separate entities for the collection and sorting of batteries, provided it fulfills the requirements stated in subparagraphs (A) and (B) of paragraph (1).

(4) When determining the requirements for a qualified battery recycler, the department’s regulations shall encourage recycling that minimizes generation of hazardous waste, generation of greenhouse gases, environmental impacts, environmental justice impacts, and public health impacts. The regulations shall include criteria to exclude recycling technologies that produce significant amounts of hazardous waste.

(o)(1)

(n) “Recycle” or “recycling” means the process of collecting, sorting, cleansing, treating, and reconstituting materials that would otherwise ultimately be disposed of onto land or into water or the atmosphere, and returning them to, or maintaining them within, the economic mainstream in the form of recovered material for new, reused, or reconstituted products, that meet the quality standards necessary to be used in the marketplace.

(2)“Recycle” or “recycling” does not include any of the following:

(A)Combustion.

(B)Incineration.

(C)Energy generation.

(D)Fuel production.

(E)Other forms of disposal.

(F)Pyrometallurgical recycling.

(p)

(o) “Remanufacturing” means the process of refurbishing battery modules or packs through the replacement of worn or deteriorated components and recertifying them to relevant original manufacturer specifications.

(q)

(p) “Repurposing” means the process of refurbishing vehicle traction battery components or packs to fulfill a different use than what was originally intended, such as secondary use.

(r)

(q) “Repair” means the process of fixing or replacing components of the battery to restore the battery to operational condition.

(r) “Salvage disposal auction” has the same definition as in Section 24020 of the Vehicle Code.

(s) “Secondary handler” means any entity, other than the vehicle manufacturer or a secondary user, that takes possession of a battery permanently removed from a the vehicle or that permanently removes a battery from a the vehicle for purposes, including, but not limited to, repair, remanufacturing, and recycling.

(t) “Secondary user” means an entity that repurposes a battery to fulfill a different use than what was originally intended.

(u) “State of health” or “battery state of health” has the meaning set forth in Section 1962.5 (c)(4)(A)4. c. to e., inclusive, of Title 13 of the California Code of Regulations.

(u)

(v) “Stranded battery” means a vehicle traction battery in which the costs associated with recycling the battery present a burden for the owner of the vehicle or an entity that has removed the battery from the vehicle.

(v)

(w) “Vehicle manufacturer” has the same definition as in Section 672 of the Vehicle Code.

(w)

(x) “Vehicle traction battery” or “battery” means an advanced battery technology used as a traction battery to propel a motor vehicle that is required to be registered pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, including the individual components and cells that comprise a battery pack. This definition does not include a “lead-acid battery,” as defined in subdivision (f) of Section 25215.1 of the Health and Safety Code and does not include any battery less than 7 kWh.

42450.6.

 All vehicle traction batteries in the state shall be recovered and when possible, be reused, repaired, repurposed, or remanufactured and all vehicle traction batteries shall eventually be recycled at the end of their useful life, as provided in this article.

42450.7.

 (a) A battery supplier shall do the following:

(1) Ensure the responsible end-of-life management of a vehicle traction battery under the following circumstances:

(A) If a battery is removed from a vehicle that is still in service, while the battery is still under warranty, pursuant to state and federal laws.

(B) If a battery is offered or returned to the its battery supplier. “Returned to its battery supplier” for purposes of this section includes sending a battery to a qualified facility determined by the battery supplier.

(2) Adhere to the battery management hierarchy set forth in subdivision (b) of Section 42450.8 for any vehicle traction batteries in their possession to the extent feasible. possession.

(3) Report information regarding the sale, transfer, or receipt of a vehicle traction battery, module, or cell battery or module to the department pursuant to subdivision (d) (b) of Section 42450.8. This shall include the initial sale or delivery of a vehicle traction battery into the state, either within a vehicle or separately.

(4) Develop and submit to the department a battery management plan pursuant to subdivision (a) of Section 42450.10 for the collection of a battery for which they were the battery supplier and fully fund the cost of that collection. Fully fund the cost of collection of a battery for which they are required to ensure responsible end-of-life management pursuant to paragraph (1). A battery supplier may require a second handler in possession of a stranded battery and the vehicle from which the battery was removed toreplace the battery back into the vehicle and vehicle with the traction battery installed who wishes to return the battery to the battery supplier to send the vehicle back to the battery supplier or to a qualified facility determined by the battery supplier. The secondary handler sending back a vehicle is entitled to a payment payment, either from the battery supplier or the entity determined by the battery supplier, subject to the contractual relationship established between the two, that is equal to the price the secondary handler paid for the vehicle and any transportation costs associated with returning the vehicle. The battery supplier shall be responsible for the cost to transport the vehicle from the secondary handler to a qualified facility or to the battery supplier.

(5) Ensure battery state of health data that is easily interpretable is accessible to secondary handlers and secondary users, either while the battery is inside the vehicle or or, if feasible, pursuant to paragraph (4) of subdivision (b) of Section 42450.8, once it has been removed.

(b) A secondary user shall do all of the following:

(1) Adhere to the battery management hierarchy set forth insubdivision (b) of Section 42450.8 to the extent feasible. hierarchy.

(2) If the battery has been removed from the secondary application to which the vehicle traction battery has been used and is at the end of its useful life, do either of the following:

(A) Ensure the responsible end-of-life management for a battery.

(B) Return a vehicle traction battery to the battery supplier if both of the following apply: the secondary user is in a contractual relationship with the original battery supplier, which provides for the retention of responsibility for the end-of-life management of the battery by the primary battery supplier.

(i)The secondary user is in a contractual relationship with the original battery supplier, which provides for the retention of responsibility for the end-of-life management of the battery by the primary battery supplier.

(ii)The contract has been provided to the department as partof a battery management plan or through another means approvedby the department.

(3) Report information regarding the sale, transfer, or receipt of a vehicle traction battery, module, or cell battery or module to the department pursuant to subdivision (d) (b) of Section 42450.8.

(c) A secondary handler in possession of a battery that has been removed from the vehicle shall:

(1) Adhere to the battery management hierarchy set forth insubdivision (b) of Section 42450.8 to the extent feasible. hierarchy.

(2) Ensure the responsible end-of-life management of the battery or return the battery to a battery supplier. If the battery supplier requires a battery to be returned within the vehicle from which it was removed, the secondary handler shall return the vehicle and is entitled to reimbursement of the full cost of purchasing the vehicle and any transportation costs associated with returning the vehicle. compensation pursuant to paragraph (4) of subdivision (a).

(3) Report information regarding the sale, transfer, or receipt of a vehicle traction battery, module, or cell battery or module to the department pursuant to subdivision (d) (b) of Section 42450.8. If a secondary handler receives a vehicle from a salvage disposal auction that has not reported the unique identifier to the department pursuant to subdivision (b) of Section 42450.8, the secondary handler shall report the unique identifier, along with the vehicle identification number, within 30 days of receiving the vehicle.

(d) An auctioneer and salvage disposal auction shall report information regarding the sale, transfer, or receipt sale or transfer of a vehicle containing a vehicle traction battery to the department pursuant to subdivision (d) (b) of Section 42450.8.

(e) A qualified facility shall do both of the following:

(1) Be certified by the department pursuant to subdivision (f) (e) of Section 42450.8.

(2) Report to the department pursuant to subdivision (d) (b) of Section 42450.8 any battery it receives that has been removed from a vehicle.

(f) For the purposes of this section, “responsible end-of-life management” means ensuring a vehicle traction battery that cannot be repaired, reused, remanufactured, or repurposed is ultimately sent to a qualified battery recycler pursuant to the battery management hierarchy set forth in subdivision (b) of Section 42450.8. hierarchy. This may include initial processing by secondary handlers if the material is ultimately sent to a qualified battery recycler.

42450.8.

 (a) The department, acting in accordance with Article 1 (commencing with Section 11340) to Article 8 (commencing with Section 11350), inclusive, of the Administrative Procedure Act, as set forth in Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code, shall, in coordination with the Department of Toxic Substances Control where applicable, shall adopt regulations to implement and enforce this article with an effective date no later than July 1, 2027. 2028.

(b)The regulations developed pursuant to this section shall encourage adherence to a battery management hierarchy which prioritizes, in descending order, the following:

(1)The remanufacturing, repair, or reuse of batteries when possible.

(2)The repurposing of batteries, when reuse is not possible.

(3)The responsible recycling of batteries when remanufacturing, repairing, or repurposing is not possible.

(c)The department and the DTSC shall jointly determine a process for approving the battery management plans and any other information submitted in compliance with this article to ensure each department retains oversight commensurate with its jurisdiction and authority and minimizes the cost and burden to battery suppliers.

(d)The department, in coordination with the DTSC, shall establish

(b) The regulation shall include a method and form for battery suppliers, secondary users, secondary handlers, auctioneers, salvage disposal auctions, and qualified facilities to report the sale, transfer, or receipt of a vehicle traction battery, or the individual module or cell if these components are removed from a battery. battery prior to receipt by a qualified battery recycler. This shall include the initial sale or delivery of a vehicle traction battery into the state, either within a vehicle or separately, and when a vehicle containing a vehicle traction battery is sold by an auctioneer.

(1) The reporting system shall include vehicle traction batteries and any related components shipped out of the state and exported to other countries.

(2) The reporting system shall include a unique identifier for each battery. The unique identifier shall be consistent with and in addition to any applicable automotive battery labeling regulations adopted by the State Air Resources Board on or after January 1, 2023, that govern labeling requirements for batteries. August 1, 2022.

(3) The reports shall include the date the battery was sold, transferred, or received, the name of the entity selling or transferring the battery and the name of the entity receiving it, the battery’s unique identifier, and and, if the battery has been removed from the vehicle or is subject to paragraph (4) of subdivision (a) of Section 42450.7, whether the battery will be repaired, reused, remanufactured, repurposed, or recycled. The regulation shall include criteria for when a battery unique identifier is not required to be reported, including when it is not present or not possible to access.

(A) When a vehicle containing a vehicle traction battery is sold by a salvage disposal auction, the salvage disposal auction shall be required to report the unique identifier for each battery only if the battery identifier is present and reasonably accessible through visible inspection of the vehicle without removing parts or dismantling the vehicle.

(B) If the salvage disposal auction cannot access the unique identifier, the salvage disposal auction shall instead include the vehicle identification number and inform the buyer of the vehicle that this information was not reported to the department and of the buyers responsibility to report the unique identifier within 30 days of receiving the vehicle.

(4) For purposes of facilitating the potential reuse, repurpose, or remanufacture of a battery pursuant to subdivision (b), the battery management hierarchy, the department may consider requiring battery suppliers to report a battery’s state of health if it determines that there is a feasible, safe, and cost-effective way to do so and that there is adequate training and education among battery suppliers and secondary users to safely assess state of health. At least 12 months prior to doing so, the department shall conduct a public workshop and seek input from stakeholders. For the purposes of this section, “battery state of health” is defined as the remaining capacity measured in kW of a battery.

(5) The department may require qualified battery recyclers to report where treatment of batteries takes place along with the following information: data on recycling efficiency for waste batteries, recovery of materials from waste batteries, and the yield of the final output fractions of lithium, cobalt, nickel, and copper.

(A)The number of waste batteries received for treatment.

(B)The number of waste batteries that began to undergopreparation for reuse, repurposing, or recycling.

(C)Data on recycling efficiency for waste batteries, recovery of materials from waste batteries, and the destination and yield of the final output fractions of lithium, cobalt, nickel, and copper.

(c) The regulations shall include a process and criteria for determining how the department will assign costs for implementing this article to each battery supplier.

(e)

(d) Annually, the department shall publicly post on the department’s internet website aggregated data on the disposition of batteries removed from vehicles, including data on the number of batteries sold or distributed for reuse, remanufacturing, repurposing, and recycling. The department shall not disclose proprietary or confidential information.

(f)

(e) The department and the DTSC shall jointly determine regulations shall include a process for certifying qualified recyclers. battery recyclers, including an appeals process, a reasonable standard of review, and the ability for entities to cure identified deficiencies and be reevaluated for certification. The process may include, but not be limited to, the following:

(1) Requiring certified, qualified battery recyclers to demonstrate that employees undergo mandatory safety training to ensure the proper management and recycling of batteries. The department may require, develop, or select appropriate training modules for this purpose or may allow a recycler to submit its own safety training plan for approval.

(2) Establish criteria regarding benefits to the environment and minimization of risks to public health and worker health and safety.

(f) If the federal government creates a battery labeling requirement, the department shall review, evaluate, and compare the federal requirements to those established under this article. It shall, if necessary, revise the regulations pursuant to paragraph (2) of subdivision (b) to ensure consistency and achieve greater efficiency and feasibility. Any revisions shall continue to ensure batteries can be uniquely identified to meet the requirements of this article. If deemed necessary, the department may update the reporting system established under subdivision (b).

42450.9.

 (a) No later than 30 days after the effective date of the regulations adopted pursuant to subdivision (a) of Section 42450.8, each battery supplier shall provide to the department, in a form and manner established by the department, the battery supplier’s contact information, including their name, physical and mailing address, email address, and telephone number; and a list of vehicle traction batteries battery types and brands of vehicle traction batteries that the battery supplier sells, distributes for sale, imports for sale, or offers for sale in or into the state.

(b) A battery supplier shall update the list described in subdivision (a) and provide the updated list to the department on or before January 15 of each year, within 30 days of changes to the list, and upon request of the department.

(c) (1) Upon approval of a plan pursuant to subdivision (c) of Section 42450.8, a A battery supplier may not sell, offer for sale, import, or distribute a vehicle traction battery in the state unless the vehicle traction battery has been reported to the department pursuant to subdivision (d) (b) of Section 42450.8.

(2) If an entity does not meet the definition of a battery supplier and is not subject to this article but, at any point, meets the definition of a battery supplier, the entity shall comply with the requirements of this article prior to beginning to sell, offer for sale, import, or distribute vehicle traction batteries in the state.

(d) A battery supplier is not in compliance with this article and is subject to penalties pursuant to Section 42450.20 42450.16 if, commencing two years from the effective date of regulations adopted pursuant to Section 42450.8, a vehicle traction battery sold or offered for sale by the battery supplier is not accounted for in the reports to the department made pursuant to subdivision (d) (b) of Section 42450.8.

42450.10.

(a)Within 12 months of the effective date of the regulations adopted by the department pursuant to subdivision (a) of Section 42450.8, a battery supplier shall develop and submit to the department and to the DTSC a battery management plan in a form and manner determined by the department.

(b)The plan shall provide for battery suppliers to be responsible for the collection and management of the battery supplier’s batteries that are offered to the battery supplier for take back by the current battery owner or are under warranty.

(c)A battery management plan prepared and submitted pursuant to this section shall include, but is not limited to, the following:

(1)Methods that will be used to accept and transport the batteries or complete vehicles sent back to the battery supplier, including proposed collection services, and the role of qualified recyclers and qualified facilities.

(2)Processes and methods that will be used to remanufacture, repurpose, or recycle batteries, including, as applicable, the identity of qualified recyclers to be used pursuant to the plan and a plan for final disposal of those batteries, in accordance with environmentally sound management practices.

(3)A strategy for informing vehicle owners, vehicle repair facilities, and vehicle dismantlers in the state about the requirement to properly manage batteries, the environmental impact of the improper handling or disposal of batteries, and the mechanisms for the management of batteries that are available pursuant to the plan.

(4)A strategy for providing consumers with educational materials related to the battery supplier’s approved battery management plan and the collection services that are available. The educational materials shall include, but need not be limited to, information identifying the end-of-life management options that are available for batteries through the battery management plan, and a notice that the costs of the services will be covered by the battery supplier.

(5)Adherence to the battery hierarchy pursuant to subdivision (b) of Section 42450.8.

(6)The means that will be used to implement and finance the battery management plan.

(7)Any other information, policies, or procedures that the department deems appropriate.

42450.12.

(a)The battery supplier shall review its plan at least every five years after approval by the department and determine whether revisions to the plan are necessary.

(b)If the battery supplier determines that revisions to the plan are necessary, the battery supplier shall submit to the department and DTSC a revised plan for review and approval in accordance with the process determined by the regulations developed pursuant to Section 42450.8. The revised plan shall include a cover letter that summarizes the revisions to the plan.

(c)If the battery supplier determines that no revisions to the plan are necessary, the battery supplier shall send a letter to the department and DTSC explaining that the battery supplier has reviewed the plan and determined that no revisions are needed. The department and DTSC may disapprove the battery supplier’s determination within 30 days of receipt of the letter if either department concludes that the battery supplier cannot implement the objectives of this article without revising the plan. If either department disapproves the battery supplier’s determination, that department may indicate to the battery supplier which sections, at minimum, of the plan need to be revised. The battery supplier shall submit to the department and DTSC a revised plan, or plan sections, for review and approval. The battery supplier shall submit the revised plan pursuant to this subdivision within 60 days of receipt of disapproval.

(d)The department and DTSC may consult with or submit the revised plan to another state agency or department if it is deemed necessary. The duration of time the department or DTSC takes for this consultation is not included in the time allotted for review pursuant to this section.

42450.13.42450.10.

 (a) Within four months of the effective date of the regulations implementing this article, the department and DTSC shall notify the battery supplier of the estimated regulatory costs as the criteria for those costs are defined in the regulations adopted pursuant to Sections 42450.8 and 42450.17, 42450.13, which includes full personnel costs, related to implementing and enforcing this article. This shall include the costs associated with regulation development and other startup activities prior to plan submittal and approval. activities.

(b) Failure of a battery supplier, or its respective agent who holds records, to produce documents or data that is requested by the department and required to be collected or generated to implement the plan in the form and manner determined by the department, as part of a department audit, or review of a third-party audit, constitutes a violation of this article.

(c) The battery supplier shall, on a schedule determined by the department, pay the department’s actual and reasonable regulatory costs to implement and enforce this article.

(d) (1) The department shall deposit all moneys received from the battery supplier pursuant to this section into the Vehicle Traction Battery Recovery Fund, which is hereby established in the State Treasury.

(2) Upon appropriation by the Legislature, moneys in the Vehicle Traction Battery Recovery Fund shall be expended to implement and enforce this article, as well as to reimburse any standing loans made from other funds used to finance the regulation and startup costs of the department’s and DTSC activities pursuant to this article.

(3) The money in the Vehicle Traction Battery Recovery Fund shall not be expended for any other purpose.

42450.14.

Within 90 days after the department’s approval of a battery management plan, or any revisions thereto, the department shall post, at a publicly accessible location on its internet website, each battery management plan and a list identifying each of the battery suppliers participating in a battery management plan. A battery supplier may provide a redacted version of its battery management plan to the department for the purposes of its posting on the department’s internet website, which removes any proprietary or confidential information.

42450.15.42450.11.

 (a) A battery supplier, a secondary user, a secondary handler, or a qualified facility shall do both of the following:

(1) Upon request, provide the department with reasonable and timely access, as determined by the department, to its facilities and operations, as necessary to determine compliance with this article.

(2) Upon request, within 14 days, provide the department with relevant records, as determined by the department, necessary to determine compliance with this article.

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

(c) (1) The department may impose administrative civil penalties pursuant to Section 42450.20 42450.16 on a battery supplier, a secondary user, a secondary handler, or a qualified facility 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 that is maintained pursuant to Section 42450.14 that a battery supplier that fails to provide the department with access pursuant to this section is no longer in compliance with this article.

42450.16.42450.12.

 (a) A person seeking to discard a stranded battery may deliver the battery or the vehicle that contains the battery, or may otherwise arrange for the collection and delivery of the battery or vehicle as provided in the battery supplier’s battery management plan, to:

(1) A location designated by the battery supplier, as specifiedin the battery supplier’s battery management plan. supplier.

(2) A qualified battery recycler that has been certified by the department to handle, transport, and properly manage batteries, provided that the qualified recycler adheres to the battery management plan approved by the department for that battery. batteries.

(b) A battery supplier shall not refuse to recover a battery that it has manufactured, branded, imported, or embedded into a product in the state if the battery is collected from a location or using a mechanism designated by the battery supplier in its battery management plan. state. The battery supplier shall provide responsible end-of-life management of a battery returned pursuant to this article. This article does not apply to the original battery supplier of a battery that has been repurposed, branded, imported, retailed, or embedded into a product application by a secondary user, unless the secondary user is in a contractual relationship with the original battery supplier pursuant to Section 42450.7.

42450.17.42450.13.

 (a) (1) The department shall conduct a study to determine whether there is evidence of abandonment of orphaned batteries leading to environmental and health and safety hazards.

(2) The department shall revise the regulations adopted pursuant to Section 42450.8 in order to include requirements for battery suppliers and secondary users to address the issue of orphaned batteries if determined necessary by the department.

(b) On or before January 1, 2026, 2030, and every three years thereafter, the department shall post the results of its findings pursuant to subdivision (a) on its internet website.

42450.18.42450.14.

 This article does not exempt a secondary handler from applicable licensing and certification requirements of the Department of Motor Vehicles and the Bureau of Automotive Repair. This section is declaratory of existing law.

42450.19.42450.15.

 (a) Within 12 months of the effective date of the regulations and on or before July 1 of each year thereafter, the department shall publish on the department’s internet website, a list of the names of battery suppliers that are compliant with this article. The department shall list, as appropriate, the reported brands of vehicle traction batteries for each battery supplier.

(b) (1) A retailer, dealer, importer, or distributor shall monitor the department’s internet website to determine if a battery supplier, brand, or vehicle traction battery is in compliance with this article for that brand of battery.

(2) A retailer, dealer, importer, or distributor shall not sell, distribute, offer for sale, or import a vehicle traction battery battery, manufactured on or after the publishing of the most recent list, in or into the state unless the battery supplier of the vehicle traction battery is listed as a compliant battery supplier.

(3) This shall not apply to secondary handlers who return a battery to the vehicle from which it was removed and return that vehicle to its owner after repairs or other maintenance have been completed.

(4) If a vehicle manufacturer, or affiliate thereof, delivers to a dealer a vehicle or battery that cannot be sold pursuant to this article, upon request from the dealer, the vehicle manufacturer, or affiliate thereof, shall buy-back the vehicle or battery at the dealer’s cost. For this paragraph, “affiliate” shall have the same meaning as subdivision (z) of Section 11713.3 of the Vehicle Code.

(c) Notwithstanding any other provision of this article, upon identification of a battery supplier that is not participating in an approved battery management plan, noncompliant battery supplier, the department shall issue a notice of noncompliance to the battery supplier.

(d) If the department determines a battery supplier is not in compliance with this article, the department shall remove the battery supplier, along with its brands of vehicle traction batteries, from the compliance list.

(e) A battery supplier that is not listed on the department’s internet website that demonstrates compliance with this article before the next list is posted by the department may either shall be added to the internet website or provide a certification letter from thedepartment stating that the battery supplier of a vehicle tractionbattery is in compliance with this article. list within five business days of becoming compliant.

42450.20.42450.16.

 (a) A civil penalty up to the following amounts may be administratively imposed by the department on any person who is in violation of any provision of this article:

(1) Fifty thousand dollars ($50,000) per day.

(2) One hundred thousand dollars ($100,000) per day if the violation is intentional or knowing.

(b) In assessing or reviewing the amount of a civil penalty imposed pursuant to subdivision (a) for a violation of this article, the department or the court shall consider all of the following:

(1) The nature and extent of the violation.

(2) The number and severity of the violation or violations.

(3) The economic effect of the penalty on the violator.

(4) Whether the entity in violation took good faith measures to comply with this article and the period of time over which these measures were taken.

(5) The willfulness of the violator’s misconduct.

(6) The deterrent effect that the imposition of the penalty would have on both the violator and the regulated community.

(7) Any other factor that justice may require.

(c) Upon written finding that a person subject to the requirements of this article has not met a material requirement of this article, in addition to any other penalties authorized under this article, the department may take one or both of the following actions require additional reporting relating to compliance with the material requirements of this article that were not met to ensure compliance with the requirements of this article, after affording the person regulated, regulated an opportunity to respond to or rebut the finding: finding.

(1)Revoke the battery supplier’s battery management plan or require the battery supplier to resubmit the plan or plan section.

(2)Require additional reporting relating to compliance with the material requirements of this article that were not met.

(d) The department shall deposit all penalties collected pursuant to this section into the Vehicle Traction Battery Recovery Penalty Account, which is hereby established in the Vehicle Traction Battery Recovery Fund. Upon appropriation by the Legislature, moneys in the Vehicle Traction Battery Recovery Penalty Account shall be available for expenditure by the department on activities related to the collection, reuse, and recycling of vehicle traction batteries, grants for related purposes, and the administration and enforcement of this article.

(e) The Administrative Adjudication Bill of Rights, as set forth in Article 6 (commencing with Section 11425.10) of Chapter 4.5 of Part 1 of Division 3 of Title 2 of the Government Code, applies to hearings conducted under this article and mandates minimum due process.

42450.21.42450.17.

 (a) After the time for judicial review under Section 11523 of the Government Code has expired, the department may apply to the small claims court or superior court, depending on the jurisdictional amount and any other remedy sought, in the county where the penalties, restitution, or other remedy was imposed by the department, for a judgment to collect any unpaid civil penalties or restitution or to enforce any other remedy provided by this article. The application, which shall include a certified copy of the final agency order or decision, shall constitute a sufficient showing to warrant the issuance of the judgment. The court clerk shall enter the judgment immediately in conformity with the application. The judgment so entered shall have the same force and effect as, and shall be subject to, all the provisions of law relating to a judgment in a civil action and may be enforced in the same manner as any other judgment of the court. The court shall make enforcement of the judgment a priority.

(b) If, in the judgment of the director, a person has engaged in or is about to engage in an act, practice, or omission that constitutes, or will constitute, a violation of this article, the Attorney General may, at the request of the director, bring an action in the superior court for an order enjoining the act, practice, or omission. The order may require remedial measures and direct compliance with this article. Upon a showing by the director that the person has engaged in or is about to engage in that act, practice, or omission, the superior court may issue a permanent or temporary injunction, restraining order, or other order, as appropriate.

(c) An action brought by the Attorney General pursuant to this section shall have precedence in respect to the order of trial over all other civil actions not brought by or on behalf of the state, except actions regarding probate bonds.

SEC. 5.

 The Legislature finds and declares that Section 4 of this act, which adds Section 42450.8 to 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 vehicle traction batteries is not compromised, it is necessary that confidential or proprietary information collected for the purpose of administering a stewardship program be confidential.

SEC. 6.

 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.