California Assembly Bill AB1063 Amended / Bill

 BILL NUMBER: AB 1063AMENDED BILL TEXT AMENDED IN SENATE JULY 15, 2015 AMENDED IN ASSEMBLY APRIL 20, 2015 INTRODUCED BY Assembly Member Williams FEBRUARY 26, 2015 An act to  amend Sections 48001 and 48004 of, to amend, repeal, and add Section 48000 of, and to  add  and repeal  Section 48000.1  to   of,  the Public Resources Code, relating to solid  waste.   waste, and declaring the urgency thereof, to take effect immediately.  LEGISLATIVE COUNSEL'S DIGEST AB 1063, as amended, Williams. Solid waste:  disposal facility: fees.   charges.   Existing   (1)     Existing  law requires the operator of a disposal facility to pay to the State Board of Equalization a fee based on the amount of all solid waste disposed of at each disposal site. The act requires the Department of Resources Recycling and Recovery to establish the amount of the fee, as specified, and limits the fee to a maximum of $1.40 per ton.  Existing law requires the moneys collected from the fee to be deposited in the   Integrated Waste Management Account and to be used by the department, upon appropriation, for specified purposes.   This bill would raise the fee imposed on an operator of a disposal facility from a maximum of $1.40 per ton to $5 per ton between January 1, 2017, and January 1, 2022, inclusive, and to $3.50 per ton on and after January 1, 2022. The bill would require a minimum of $1 per ton of the fee collected from each operator between January 1, 2017, and January 1, 2022, and would authorize some or all of the fee collected thereafter, to be allocated to activities that promote recycling and the highest and best use of materials, as specified.   The bill additionally would require the department, commencing January 1, 2019, to establish, as provided, and impose a charge on all solid waste generators to be collected by a city, county, or city and county and remitted to the state board, as specified. The bill would require that the moneys collected from each solid waste generator between January 1, 2019, and January 1, 2022, be allocated by the department to activities that promote recycling and the highest and best use of materials, as specified. By adding to the duties of local governments, this bill would impose a state-mandated local program.   (2) 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, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.   (3) This bill would declare that it is to take effect immediately as an urgency statute.   This bill would require, on or before July 1, 2016, the Department of Resources Recycling and Recovery, to hold a public hearing and workshop to develop a proposal for the Legislature regarding a new solid waste management fee which would provide the department with the revenue necessary to carry out certain actions. The bill would require the department, within 6 months of the public hearing and workshop, to propose a new solid waste management fee to the Legislature.  Vote:  majority   2/3  . Appropriation: no. Fiscal committee: yes. State-mandated local program:  no   yes  . THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:  SECTION 1.   Section 48000 of the   Public Resources Code   is amended to read:  48000. (a) Each operator of a disposal facility shall pay a fee quarterly to the  State Board of Equalization,   state board,  which is based on the amount, by weight or volumetric equivalent, as determined by the  Department of Resources Recycling and Recovery,   department,  of all solid waste disposed of at each disposal site. (b) (1) The fee for solid waste disposed of shall be one dollar and thirty-four cents ($1.34) per ton. Commencing with the 1995-96 fiscal year, the amount of the fee shall be established by the  Department of Resources Recycling and Recovery   department  at an amount that is sufficient to generate revenues equivalent to the approved budget for that fiscal year, including a prudent reserve, but shall not exceed one dollar and forty cents ($1.40) per ton. (2) On and after July 1, 2012, the amount of the fee established by the  Department of Resources Recycling and Recovery   department  pursuant to paragraph (1) shall be increased by twelve cents ($0.12) per ton for each operator of a solid waste landfill whose owner has notified the department that it elects to participate in the State Solid Waste Postclosure and Corrective Action Trust Fund pursuant to Article 2.1 (commencing with Section 48010). (c) The  Department of Resources Recycling and Recovery   department  shall notify the state board on the first day of the period in which the rate shall take effect of any rate change adopted pursuant to paragraphs (1) and (2) of subdivision (b). (d) The  Department of Resources Recycling and Recovery   department  and the state board shall ensure that all of the fees for solid waste imposed pursuant to this section that are collected at a transfer station are paid to the state board in accordance with this article. (e) (1) The fee imposed by paragraph (2) of subdivision (b) shall not be operative on or after July 1, 2012, unless the  Department of Resources Recycling and Recovery   department  receives, on or before January 1, 2012, letters of participation in the State Solid Waste Postclosure and Corrective Action Trust Fund from landfill owners representing at least 50 percent of the total volume of waste disposed of in 2010. (2) The  Department of Resources Recycling and Recovery   department  shall notify the state board, on or before February 29, 2012, if the fee imposed by paragraph (2) of subdivision (b) shall become operative pursuant to paragraph (1).  (f) This section shall remain in effect only until January 1, 2017, and as of that date is repealed, unless a later enacted statute, that is enacted before January 1, 2017, deletes or extends that date.   SEC. 2.   Section 48000 is added to the   Public Resources Code   , to read:   48000. (a) (1) Each operator of a disposal facility shall quarterly pay a fee that is based on the amount, by weight or volumetric equivalent as determined by the department, of all solid waste disposed at each disposal site. The fee shall be five dollars ($5.00) per ton. (2) The fee imposed by this subdivision shall be remitted to the state board. (b) (1) Notwithstanding Section 48004, no less than one dollar ($1.00) per ton collected pursuant to subdivision (a) shall be allocated by the department, upon appropriation by the Legislature, to fund activities that promote recycling and the highest and best use of materials through any of the following: (A) Market incentive payments for recycling infrastructure and activities. (B) Grants to local governments to implement programs that increase recycling and reduce disposal. (C) Grants and loans to develop recycling infrastructure. (2) When implementing paragraph (1), if the department determines there are sufficient moneys collected pursuant to this section, it shall prioritize the funding of market incentive payments. (c) This section shall become operative on January 1, 2017. (d) This section shall remain in effect only until January 1, 2022, and as of that date is repealed, unless a later enacted statute, that is enacted before January 1, 2022, deletes or extends that date.   SEC. 3.   Section 48000 is added to the   Public Resources Code   , to read:   48000. (a) (1) Each operator of a disposal facility shall quarterly pay a fee that is based on the amount, by weight or volumetric equivalent as determined by the department, of all solid waste disposed at each disposal site. The fee shall be three dollars and fifty cents ($3.50) per ton. (2) The fee imposed by this subdivision shall be remitted to the state board. (b) Notwithstanding Section 48004, moneys collected pursuant to subdivision (a) may be allocated by the department, upon appropriation by the Legislature, to fund activities that promote recycling and the highest and best use of materials through any of the following: (1) Market incentive payments for recycling infrastructure and activities. (2) Grants to local governments to implement programs that increase recycling and reduce disposal. (3) Grants and loans to develop recycling infrastructure. (c) This section shall become operative on January 1, 2022.   SEC. 4.   Section 48000.1 is added to the   Public Resources Code   , to read:   48000.1. (a) (1) The department shall establish and impose a quarterly charge on solid waste generators in an amount sufficient to ensure fifteen million dollars ($15,000,000) per calendar year is available to be used pursuant to subdivision (c). (2) To the extent possible, the charge shall apply to all solid waste generators, including residential entities, commercial entities, public entities, and self-haulers. (b) (1) The charge shall be collected by a city, county, or a city and county or up to two designees per city or county or city and county. (2) The charge imposed by this section shall be remitted to the state board. (c) (1) Notwithstanding Section 48004, the moneys collected pursuant to this section shall be allocated by the department, upon appropriation by the Legislature, to fund activities that promote recycling and the highest and best use of materials through any of the following: (A) Market incentive payments for recycling infrastructure and activities. (B) Grants to local governments to implement programs that increase recycling and reduce disposal. (C) Grants and loans to develop recycling infrastructure. (2) When implementing paragraph (1), if the department determines there are sufficient moneys collected pursuant to this section, it shall prioritize the funding of market incentive payments. (d) This section shall become operative on January 1, 2019. (e) This section shall remain in effect only until January 1, 2022, and as of that date is repealed, unless a later enacted statute, that is enacted before January 1, 2022, deletes or extends that date.   SEC. 5.   Section 48000.1 is added to the   Public Resources Code   , to read:   48000.1. (a) (1) The department shall establish and impose a quarterly charge on solid waste generators as follows: (A) Commencing January 1, 2022, and every three years thereafter, the charge on solid waste generators shall be calculated to collect moneys sufficient to recover the department's costs to implement this division that are not covered by the moneys annually collected pursuant to Section 48000 during the prior three fiscal years. (B) In determining the amount of moneys required to implement this division, the department shall set the charge based on the moneys deposited in the account for the 2018-19 fiscal year less the amount set to fund activities pursuant to subdivision (b) of Section 48000 plus any additional or reduced collected moneys necessary to implement any additional or reduced allocations and transfers approved by the Legislature. (2) To the extent possible, the charge shall apply to all solid waste generators, including residential entities, commercial entities, public entities, and self-haulers. (b) (1) The charge shall be collected by a city, county, or a city and county or up to two designees per city or county or city and county. (2) The charge imposed by this section shall be remitted to the state board. (c) This section shall become operative on January 1, 2022.   SEC. 6.   Section 48001 of the   Public Resources Code   is amended to read:  48001.  (a)    The revenue from the fees paid pursuant to  paragraph (1) of subdivision (b) of Section 48000 shall, after payment of refunds and administrative costs of collection, be deposited   this chapter shall be deposited, after payment of refunds and administrative costs of collection,  in the Integrated Waste Management Account, which is hereby created in the fund.  (b) The department and the state board shall ensure all of the fees for solid waste imposed pursuant to this chapter, including, but not limited to, fees on solid waste that is exported for disposal, are remitted to the state board in accordance with this article.   SEC. 7.   Section 48004 of the   Public Resources Code   is amended to read:  48004. (a) The money in the account shall be used by the  Department of Resources Recycling and Recovery   department  , upon appropriation by the Legislature, for the following purposes: (1) The administration and implementation of this division by the  Department of Resources Recycling and Recovery.   department, including a prudent reserve.  (2) The state water board's and regional water boards' administration and implementation of Division 7 (commencing with Section 13000) of the Water Code at solid waste disposal sites. (b) It is the intent of the Legislature that an amount that is sufficient to fund state water board and regional water board regulatory activities for solid waste landfills be appropriated from the account by the Legislature in the annual Budget Act. Those persons who are required to pay the fee imposed pursuant to Section 48000 shall not be required to pay the annual fee imposed pursuant to subdivision (d) of Section 13260 of the Water Code with regard to the same discharge if the requirements for the waiver of that fee set forth in paragraph (3) of subdivision (d) of Section 13260 of the Water Code are met. (c) Notwithstanding subdivisions (a) and (b), if the fee established pursuant to Section 48000 does not generate revenues sufficient to fund the programs specified in this  section,   section or if the amount appropriated by the Legislature for these purposes is reduced, those reductions shall be equally and proportionally distributed between funding for the solid waste programs of the state water board and the regional water boards and the  Department of Resources Recycling and Recovery.   department.   SEC. 8.   If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.   SEC. 9.   This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the Constitution and shall go into immediate effect. The facts constituting the necessity are:   To ensure the Department of Resources Recycling and Recovery has sufficient resources to efficiently and effectively regulate the generation and disposal of solid waste for the protection of public health and safety, it is necessary for this measure to take effect immediately.   SECTION 1.   Section 48000.1 is added to the Public Resources Code, to read: 48000.1. (a) On or before July 1, 2016, the department shall hold a public hearing and workshop to develop a proposal for the Legislature regarding a new solid waste management fee which would provide the department with the revenue necessary to carry out all of the following: (1) Develop financial incentives to promote the recycling of organic material through activities, including, but not limited to, composting and anaerobic digestion. (2) Provide resources to develop infrastructure and incentives necessary to achieve the statewide policy goal pursuant to Section 41780.01. (3) Provide a sustainable funding structure that ensures the department's ability to carry out its responsibilities under this division. (b) For the public hearing and workshop, the department shall seek public input from interested groups, including, but not limited to, representatives of the solid waste industry, local government, disadvantaged communities, and environmental groups. (c) Within six months of the public hearing and workshop held pursuant to subdivision (a), the department shall propose a new solid waste management fee to the Legislature pursuant to Section 9795 of the Government Code.