On Friday, March 7, Governor Newsom withdrew CalRecycle’s long-anticipated SB 54 regulations, which were expected to be submitted to the Office of Administrative Law for final approval before the deadline to finalize regulations under the Administrative Procedure Act.
SB 54 (Allen) of 2022 requires manufacturers of single use packaging and food service ware to take responsibility for the management and recycling of the products they introduce into the stream of commerce. CalRecycle was required to determine which categories of covered materials are recyclable and compostable; SB 54 requires all local jurisdictions to include those materials identified by CalRecycle in their collection and recycling/composting programs (unless they receive an exemption or extension from CalRecycle). Those 19 counties with fewer than 70,000 residents (and cities within those counties) may exempt themselves from this requirement.
RCRC was involved in the crafting of SB 54 and provided extensive comments on several different versions of CalRecycle’s implementing regulations. The final regulations were much improved and incorporated many suggestions made by RCRC and other organizations; however, many aspects of the proposed regulations continued to be of concern to various stakeholder organizations.
The withdrawal of the regulations has created substantial uncertainty among local governments and regulated entities and will certainly frustrate the law’s implementation timeline. The regulations helpfully established clear deadlines and expectations outlining when local agencies were required to begin integrated covered materials into their collection and recycling programs. Governor Newsom cited costs as a factor in withdrawing the regulations; however, many stakeholders disagree with that characterization. SB 54 was intended to shift costs for managing and recycling packaging from residents to the entities who introduce those materials into the stream of commerce. Those manufacturers derive profit from those goods while avoiding the end-of-life management challenges they create.
CalRecycle must now reopen a new regulatory process; however, it is unclear how significantly the new regulations will depart from what had been proposed. RCRC will continue to engage in the regulatory process to ensure that local governments are not adversely impacted and are fully compensated for any implementation costs, as clearly intended in the law.
For more information, please contact RCRC Senior Policy Advocate, John Kennedy.