SENATE COMMITTEE ON ENVIRONMENTAL QUALITY Senator Wieckowski, Chair 2015 - 2016 Regular Bill No: AB 1045 Irwin Author: 4/20/2015 Version: No Urgency: Consultant: Joanne Roy Hearing Date: 7/1/2015 Yes Fiscal: SUBJECT: Organic waste: composting. ANALYSIS: Existing law: 1) Requires pursuant to the Integrated Waste Management Act of 1989 (Act) (Public Resources Code §40000 et seq.): a) Establishes a statewide diversion goal of 75% by 2020. b) Requires local agencies to divert, through source reduction, recycling, and composting, 50% of solid waste disposed by their jurisdictions. c) Requires a commercial waste generator, including multi-family dwellings, to arrange for recycling services and requires local governments to implement commercial solid waste recycling programs designed to divert solid waste from businesses. d) Requires generators of specified amounts of organic waste (i.e., food waste and yard waste) to arrange for recycling services for that material. 2) Under the California Global Warming Solutions Act of 2006 (commonly referred to as AB 32), requires the Air Resources Board (ARB) to determine the 1990 statewide greenhouse gas (GHG) emissions level and approve a statewide GHG emissions limit that is equivalent to that level, to be achieved by 2020, and to adopt GHG emissions reductions measures by regulation. ARB is authorized to include the use of market-based mechanisms to comply with these regulations. (Health and Safety Code §38500 et seq.). AB 1045 (Irwin) Page 2 of 6 This bill: 1) States legislative findings and declarations regarding the state’s recycling and composting policies and the environmental and agricultural benefits of compost development and application. 2) Requires the California Environmental Protection Agency (CalEPA), in coordination with the Department of Resources Recycling and Recovery (CalRecycle) to develop and implement policies to aid in diverting organic waste from landfills by promoting composting, as specified. 3) Requires CalEPA, in developing these policies, to work with the California Department of Food and Agriculture (CDFA) to promote a goal of 5 million metric tons of greenhouse gas (GHG) emissions reductions through development and application of compost on working lands. 4) Requires CalEPA to convene CalRecycle, the State Water Resources Control Board (SWRCB), and the Air Resource Board (ARB) to ensure coordination of goals and policies. 5) Requires CalRecycle, in coordination with the ARB and SWRCB, to develop a policy to promote streamlined permitting and regulation of composting facilities while protecting air and water quality. Background 1) Statewide waste diversion goals. CalRecycle is tasked with diverting at least 75% of solid waste statewide by 2020. Currently, an estimated 35 million tons of waste are disposed of in California’s landfills annually, of which 32% is compostable organic materials, 29% is construction and demolition debris, and 17% is paper. In addition, CalRecycle is charged with implementing Strategic Directive 6.1, which calls for reducing organic waste disposal by 50% by 2020. According to CalRecycle, significant gains in organic waste diversion (through recycling technologies or organic waste, including composting and anaerobic digestion) are necessary to meet the 75% goal and to implement Strategic Directive 6.1. 2) Recycling organic waste. For purposes of recycling, “organic waste” is defined as food waste, green waste, landscape and pruning waste, nonhazardous wood waste, and food-soiled paper waste that is mixed in with food waste. Organic material, like food waste and yard waste, represents about one-third of the solid AB 1045 (Irwin) Page 3 of 6 waste sent to landfills even though a large percentage can be recycled or composted. Recycling technologies for organic waste include composting, anaerobic digestion, and other types of processing that generate renewable fuels, energy, soil amendments, and mulch. Anaerobic digestion, which produces biogas that can be processed into biomethane fuel, is particularly suited to handle food waste. Green waste is more efficiently processed through composting. 3) What is compost? According to CalRecycle, compost is the controlled decomposition of organic material such as leaves, twigs, grass clippings and food scraps. A wide range of materials may be composted, but they must consist of principally organic components (i.e. carbon-containing remnants or residues of life processes). Compost products may vary since the properties of any given compost depend on the nature of the original feedstock and the conditions under which it was decomposed. However, mature compost is normally dark brown in color and should have an even texture and a pleasant, earthy aroma. Composting is a means of controlling and accelerating the decomposition process. An overabundance of soil organisms is responsible for transforming the organic matter in compost into carbon dioxide, water, humic substances (components of soil that affect physical and chemical properties and improve soil fertility) and energy in the form of heat. Most composting facilities use a thermophilic process, which breaks down the waste with heat-loving bacteria, and rely on high temperatures to meet pathogen reduction standards. Composting diverts organic materials out of landfills and turns it into a product that is useful for soil restoration. In addition to improving the quality of soil, compost prevents soil erosion, reduces the need for chemical fertilizers, herbicides, and pesticides, and enables better soil water retention. 4) Composting in California. According to CalRecycle, there are 181 composting facilities in the state. However, some of these facilities may not be involved in waste diversion (e.g. agricultural residuals, manure, and other material not destined for disposal). CalRecycle estimates that the top 30 compost facilities that take organics out of the waste stream handle approximately 80% of the material. Comments 1) Purpose of Bill. According to the author, “AB 1045 establishes a statewide policy to promote the use of compost by requiring state entities to work together AB 1045 (Irwin) Page 4 of 6 to establish a coordinated effort for the development and deployment of compost in order to achieve multiple state goals.” 2) Coordinating efforts. Multiple state agencies are involved with regulating composting. CalRecycle permits compostable material handling operations and facilities. ARB is the state agency charged with monitoring and regulating sources of emissions of GHGs that cause global warming in order to reduce emissions of GHGs. CDFA annually inspects compost facilities selling to organic food producers for adherence to National Organic Program regulations. SWRCB and the regional water quality control boards issue individual waste discharge requirements for larger composting facilities. This bill proposes to provide for improved state agency coordination of composting efforts and development. 3) Amendments Needed. This bill requires CalRecycle, in coordination with the ARB and SWRCB, to develop a policy to promote streamlined permitting and regulation of composting facilities while protecting air and water quality. a) Streamlined. “Streamlined” is a term that may connote cutting corners or favoring speed to the potential detriment of what has been forsaken. Streamlining permitting and regulatory processes may more expeditiously get a facility up and running, but it also may result in long-term, unintended consequences. For example, a streamlined permitting process to authorize a new composting facility may be on a fast track for approval because of various factors such as location in an area zoned for industrial use – However, was that location analyzed to consider potential environmental impacts, such as whether the location is upwind to a residential area? Depending on how the permitting process was expedited, was the public provided an opportunity to participate; was the process transparent? Permitting and regulatory requirements exist to protect public health and safety as well as the environment; and such purposes should not be compromised for the sake of speed. On the other hand, “coordination” of permitting and regulatory requirements would serve to increase efficiency and ensure that efforts do not overlap unnecessarily, while preserving the goal of protecting the public and environment. It would be prudent for the agencies to coordinate permitting and regulatory requirements rather than streamline them. An amendment is needed on page 4, line 31, to delete “streamlined” and AB 1045 (Irwin) Page 5 of 6 replace with “coordinated.” b) “Protecting air and water quality.” Although air and water quality are certainly worth protecting, they are not the only environmental impacts that should be considered. For example, other impacts in permitting and regulating composting facilities may include land use planning, natural resources, agricultural resources, biological resources, noise, transportation/traffic, cultural resources, and utilities. It would be prudent to broaden the spectrum of protection beyond air and water only, and include the environment as a whole. An amendment is needed on page 4, lines 32-33, to delete “air and water quality,” and replace the term with “the environment.” Related/Prior Legislation AB 876 (McCarty) would require a county or regional agency to include in its annual report to CalRecycle specified information regarding organic waste recycling. AB 876 is scheduled to be heard in the Senate Environmental Quality Committee on July 1, 2015. AB 1826 (Chesbro, Chapter 727, Statutes of 2014) phased in requirements for generators of specified amounts of organic waste to arrange recycling services for that material beginning January 1, 2016, through January 1, 2019. AB 341 (Chesbro, Chapter 476, Statutes of 2011) required local businesses and multifamily residential dwellings of five or more units that generate more than four cubic yards of solid waste per week to separate recyclable materials from solid waste and subscribe to a basic level of recycling service that included collection, self-hauling, or other arrangements for the pickup of the recyclable materials or subscribe to a recycling service that may include mixed waste processing that yields diversion results comparable to source separation. SOURCE: Author SUPPORT: American Federation of State, County and Municipal Employees (AFSCME), AFL-CIO California Compost Coalition California League of Conservation Voters California Organics Recycling Council Californians Against Waste Carbon Cycle Institute AB 1045 (Irwin) Page 6 of 6 City and County of San Francisco Department of the Environment City of Thousand Oaks Community Alliance with Family Farmers Planning and Conservation League Republic Services, Inc. Rural County Representatives of California San Francisco Department of the Environment Stop Waste West Marin Compost Coalition 1 Individual OPPOSITION: None received -- END –