Article 3 - Producer Responsibility Organizations (PROs)

California Public Resources Code — §§ 42984.6-42984.7

Sections (2)

Added by Stats. 2024, Ch. 864, Sec. 1. (SB 707) Effective January 1, 2025.

(a)(1) A PRO shall prepare the initial statewide needs assessment designed to determine the necessary steps and investment needed for covered products, to achieve the requirements of this chapter. Needs assessments, or components thereof, shall be updated every five years or as necessary to ensure the requirements of this chapter are met. An initial needs assessment for covered products shall be completed before the completion and approval of any producer responsibility plan for covered products. The PRO may select an independent third-party contractor to complete the needs assessment.
(2)A PRO shall cover the cost of developing any needs assessment and any update to a needs assessment.
(3)A PRO may prepare more than one needs assessment, with each assessment specific to one or more covered products subject to this chapter, or may prepare one comprehensive needs assessment that includes all covered products subject to this chapter.
(4)A PRO shall consult with the department and local jurisdictions when preparing the needs assessment.
(5)The initial needs assessment, and any updates, shall be submitted to the department by March 1, 2027. The department shall review and approve, conditionally approve, or disapprove the needs assessment as meeting the requirements of this chapter within 90 days of submission.
(6)If there is more than one PRO approved by the department at the time updated needs assessments are completed, then the approved

PROs may collaborate on a single needs assessment.

(b)A needs assessment shall comply with all of the following:
(1)Be designed to inform the program budget and PRO plan.
(2)Include an evaluation of all of the following with respect to covered products and covered product categories:
(A)Existing scope and scale of annual covered products diverted to landfill in the state by type of covered product, material composition, and volume and annual covered product recovery diverted to reuse, repair, or recycling in the state or from the state by type of covered product, material composition, and volume.
(B)The current repair, reuse, recycling, collection, sorting, and hauling system in the

state and the expanded access and additional repair, reuse, recycling, collection, sorting, disassembly, and hauling options needed to meet the requirements of this chapter.

(C)Current market conditions and the need to create responsible and economically viable end markets in the state, regionally, and globally.
(D)Existing state statutory provisions and funding sources related to market development and financial incentives to help achieve the state’s goals related to repair, reuse, recycling, collection, sorting, disassembly, and hauling.
(E)Consumer education needs and the methods by which the PRO can best reach consumers with educational messaging.
(F)Consumer behaviors to drive repair, reuse, and recycling and to achieve the requirements of this

chapter.

(G)Funding needs and incentive mechanisms necessary to achieve the requirements of this chapter, including coverage of the operation of the stewardship program.
(H)Fee reduction or redistribution mechanisms necessary to achieve the requirements of this chapter, in a manner that equitably distributes the costs among participating producers that reflects production and sales volumes relevant to the California market. Fee reduction or redistribution mechanisms may consider existing producer collection, repair, reuse, and recycling programs that help achieve the purpose of this chapter.
(I)Actions and investments necessary to provide sufficient access to collection, recycling, composting, processing, and transportation to responsible and economically viable end markets.
(J)An evaluation of the availability or lack of availability of responsible end markets for recycled covered products, the need to incentivize reused products or recycled material market development, and the associated investments and actions needed to ensure that the covered products are reused or recycled and have responsible and economically viable and sufficient end markets.
(K)The needs assessment shall include an evaluation of the factors contributing to the presence of perfluoroalkyl and polyfluoroalkyl substances (PFAS) and other chemicals regulated under Chapter 6.6 (commencing with Section 25249.5) of Division 20 of the Health and Safety Code and Chapter 12.5 (commencing with Section 108945) of, and Chapter 13.5 (commencing with Section 108970) of, Part 3 of Division 104 of the Health and Safety Code, and the actions and investments needed to avoid contamination related

to recycling. This shall include available environmental and public health data and an evaluation of the available end markets for recycled material that cannot be remanufactured into textiles or textile articles in California.

(L)Whether allowing more than one PRO would be beneficial in meeting the requirements of the chapter.
(M)Evaluate what factors will be important to successfully implement the eco-modulated fee structure required by subdivision (b) of Section 42984.10, and what associated data collection will be necessary as part of the plan.
(c)The department shall guide development of a needs assessment, which shall be developed by a PRO in consultation with a broad diversity of local jurisdictions, recycling service providers, and processors that reflect the different needs and challenges presented by

managing different covered products through final disposition.

Added by Stats. 2024, Ch. 864, Sec. 1. (SB 707) Effective January 1, 2025.

(a)A PRO shall approve collection sites under its stewardship program that agree to comply with all applicable state, federal, or municipal laws, regulations, and rules and conditions adopted by the PRO.
(b)A PRO shall include as a collection site under its stewardship program any local jurisdiction that offers in writing to participate in the stewardship program and agrees to comply with any PRO requirements that are consistent with that PRO’s approved plan even if the minimum thresholds described in subdivision (d) of Section 42984.10, as applicable, have been achieved.
(1)A PRO shall include the local jurisdiction as a collection site in the stewardship program within 90

days of receiving the written offer to participate, confirming that the local jurisdiction will comply with any PRO requirements that are consistent with an approved plan, even if the minimum thresholds described in subdivision (d) of Section 42984.10, as applicable, have been achieved.

(2)The PRO shall not be required to respond to offers pursuant to this paragraph until the PRO’s plan has been approved by the department.
(c)A PRO may suspend or terminate a collection site that does not comply with all applicable state, federal, or municipal laws and regulations or adhere to the rules and conditions imposed by the PRO.
(d)A collection site shall be operated and managed to ensure that covered products are collected safely and handled in accordance with all applicable state, federal, and municipal laws and

regulations and the rules and conditions of the plan. Authorized collectors and authorized sorters may divert reusable covered products for sale in secondhand markets.

(e)A PRO shall require all contractors to pay at least the state minimum wage.
(f)Each participant of a PRO with an approved plan shall comply with the requirements of this chapter. The PRO shall notify the department within 30 calendar days of any the following:
(1)The end of any three-month period in which the PRO unsuccessfully attempted to obtain a fee, records, or information from a participant producer, or received incomplete or incorrect records or information.
(2)The date a producer no longer participates in the PRO’s approved plan.
(3)Any instance of noncompliance by a participant producer.