Plastic
 Pollution Prevention and 
Packaging Producer Responsibility 
Act Regulations 
Proposed Draft Regulatory Text  
   
 
 
  
PROPOSED DRAFT  REGULATION TEXT  (Rev: Dec. 2023 ) 
 
Plastic Pollution Prevention and Packaging Producer Responsibility Act Regulations  
Division of Circular Economy  
DEPARTMENT OF RESOURCES RECYCLING AND RECOVERY  
 CALIFORNIA CODE OF REGULATIONS   
TITLE 14   
DIVISION 7  
 
CHAPTER 11 .1 Plastic Pollution Prevention and Packaging Producer Responsibility  
Article 1 – Definitions  
Article 2 – Covered Materials and Covered Material Categories  
Article 3 – Evaluations for Covered Material and Covered Material Categories  
Article 4 – Responsible End Markets  
Article 5 – Requirements for Producers  
Article 6 – Requirements for the Producer Responsibility Organization  
Article 7 – Requirements for Independent Producer s 
Article 8 – Producer Responsibility Plan Requirements  
Article 9 – Annual Report and Program Budget  
Article 10 – Data Reporting Requirements  
Article 11 – Requirements for Local Jurisdictions and Recycling Service Providers  
Article 12 – Requirements for the Advisory Board  
Article 13 – Enforcement Oversight by the Department and Administrative Civil 
Penalties  
Article 14 – Additional PROs  
Article 15 – Public Records  
 
CHAPTER 11.5 Environmental Marketing and Labeling  
Article 1 – Approval of Certification Entities       
 
 
 CHAPTER 11.1 Plastic Pollution Prevention and Packaging Producer Responsibility  .... 1 
Article 1: Definitions  ......................................................................................................... 1 
§ 18980.1. Definitions  ................................................................................................... 1 
Article 2: Covered Material and Covered Material Categories  ..................................... 15 
§ 18980.2. Categorically Excluded Materials  ............................................................ 15 
§ 18980.2.1. Exemptions for Long- Term Storage Materials  ..................................... 16 
§ 18980.2.2. Exemptions for Product -Specific Material  ............................................ 18 
§ 18980.2.3. Exemptions for Certain Covered Materials  .......................................... 21 
§ 18980.2.4. Covered Material Category List Updates     ........................................... 28 
§ 18980.2.5. Covered Material Category List Recommendations  ............................ 29 
§ 18980.2.6. Effective Scope of Exemptions  ............................................................. 30 
Article 3: Evaluations of Covered Material and Covered Material Categories ............. 32 
§ 18980.3. Recyclability  ............................................................................................. 32 
§ 18980.3.1. Recyclability of Certain Covered Material Categories Identified by the 
Department  ................................................................................................................. 34 
§ 18980.3.2. Methodology for Recycling Rate Determination  .................................. 37 
§ 18980.3.3. Eligibility to be Labeled Compostable .................................................. 39 
§ 18980.3.4. Independent Third -Party Validation for Postconsumer Recycled 
Content ........................................................................................................................ 42 
§ 18980.3.5. Disposal of Covered Material  ............................................................... 44 
Article 4: Responsible End Markets  .............................................................................. 46 
§ 18980.4. Responsible End Market Determination Criteria  ..................................... 46 
§ 18980.4.1. End Market Identification  ...................................................................... 49 
§ 18980.4.2. End Market Verification  ......................................................................... 50 
§ 18980.4.3. End Market Audits and Investigations  .................................................. 50 
§ 18980.4.4. End Market Viability  .............................................................................. 51 
Article 5: Requirements for Producers  .......................................................................... 54 
§ 18980.5. Producer Compliance  .............................................................................. 54 
§ 18980.5.1. Application for Independent Producer Compliance  ............................. 54 
§ 18980.5.2. Exemptions for Small Producers  .......................................................... 55 
Article 6: Requirements for the Producer Responsibility Organization  ........................ 57 
§ 18980.6. General Requirements  ............................................................................. 57    
 
 
 § 18980.6.1. Producer Responsibility Plan Submission  ........................................... 58 
§ 18980.6.2. Producer Responsibility Plan Approval  ................................................ 59 
§ 18980.6.3. Review of Updated Producer Responsibility Plan  ............................... 59 
§ 18980.6.4. Producer Responsibility Plan Amendments  ......................................... 60 
§ 18980.6.5. Annual Report and Program Budget  .................................................... 61 
§ 18980.6.6. Document Submittals  ............................................................................ 61 
§ 18980.6.7. Eco- modulated Fee and Fee Schedule................................................ 62 
§ 18980.6.8. Recordkeeping and Reporting Requirements  ...................................... 66 
Article 7: Requirements for Independent Producers ..................................................... 69 
§ 18980.7. Independent Producer Responsibility Plan Submission ......................... 69 
§ 18980.7.1. Independent Producer Responsibility Plan Approval  .......................... 70 
§ 18980.7.2. Review of Updated Independent Producer Responsibility Plan  .......... 70 
§ 18980.7.3. Independent Producer Responsibility Plan Amendments  ................... 71 
§ 18980.7.4. Independent Producer Annual Report and Program Budget  .............. 71 
§ 18980.7.5. Independent Producer Document Submittals  ...................................... 72 
§ 18980.7.6. Independent Producer Environmental Mitigation Fee  ......................... 73 
§ 18980.7.7. Independent Producer Recordkeeping and Reporting Requirements  74 
Article 8: Producer Responsibility Plan Requirements  ................................................. 76 
§ 18980.8. Producer Responsibility Plan  ................................................................... 76 
§ 18980.8.1. Plan Requirements Specific to a PRO  ................................................. 78 
§ 18980.8.2. Closure and Transfer Plan Requirements  ............................................ 78 
§ 18980.8.3. Source Reduction Adjustments  ............................................................ 85 
Article 9: Annual Report and Program Budget .............................................................. 88 
§ 18980.9. Source Reduction Baseline Reporting  .................................................... 88 
§ 18980.9.1. Annual Report and Program Budget  .................................................... 88 
Article 10: Data Reporting Requirements  ..................................................................... 90 
§ 18980.10. Registration and Maintaining Address on File  ...................................... 90 
§ 18980.10.1. Data Reporting Submission ................................................................ 92 
§ 18980.10.2. Data Report Contents  ......................................................................... 93 
Article 11: Requirements for Local Jurisdictions and Recycling Service Providers  .... 95 
§ 18980.11. Exemption for Local Jurisdictions and Recycling Service Providers  ... 95 
§ 18980.11.1. Exemption for Rural Counties and Rural Jurisdictions  ...................... 97    
 
 
 Article 12: Requirements for the Advisory Board  .......................................................... 98 
§ 18980.12. Membership Terms and Appointments  ................................................. 98 
Article 13: Enforcement Oversight by the Department and Administrative Civil 
Penalties  ......................................................................................................................... 99 
§ 18980.13. Compliance Evaluation and Determination  ........................................... 99 
§ 18980.13.1. Corrective Action Plan  ...................................................................... 102  
§ 18980.13.2.  Administrative  Civil Penalties  ........................................................... 105  
§ 18980.13.3. Notices ............................................................................................... 106  
§ 18980.13.4. Procedure for a Hearing  ................................................................... 108  
§ 18980.13.5. Disciplinary Actions  ........................................................................... 108  
Article 14: Additional Producer Responsibility Organizations  .................................... 110  
§ 18980.14. Approval of Additional Producer Responsibility Organizations  .......... 110  
Article 15: Public Records  ........................................................................................... 111  
§18980.15. Designation of Trade Secrets and other Non-Disclosable Information
................................................................................................................................... 111  
CHAPTER 11.5 Environmental Marketing and Labeling  ............................................... 113  
Article 1. Approval of Certification Entities  .................................................................. 113  
§ 18981. Third-Party Certification Entity Criteria and Approval Process  ................ 113  
    
 
1 
 CHAPTER 11. 1 Plastic Pollution Prevention and Packaging Producer Responsibility  
 
Article 1: D efinitions  
 
§ 18980.1 . Definitions  
(a) Except as otherwise noted, the following definitions shall govern the provisions of 
this Chapter and supplement the definitions set forth in Chapter 3 (commencing with 
section 42041), Part 3, Division 30 of the Public Resources Code:  
(1) “Act” means the Plastic Pollution Prevention and Packaging Producer 
Responsibility Act, Chapter 3 of Part 3 of Division 30 of the Public Resources 
Code (sections 42040 through 42084).  
(2) “ Alternative collection” means a program that  collect s covered materials 
regardless of  whether the covered material is  discarded or considered solid 
waste and is not “curbside collection” as defined in section 42041(g) of the 
Public Resources Code . 
(3) “Anaerobic Digestion” means the controlled biological decomposition of 
organic material in the absence of oxygen or in an oxygen-starved 
environment. Anaerobic digestion produces biogas and a residual digestate.  
(4) “Biogas” has the same meaning as defined in section 17896.2(a)(3) of this 
division.   
(5) “Brand or trademark” means a trademark, service mark, or trade name, as 
those terms are defined in section 14202(a) through section 14202(c) of the 
Business and Professions Code . For purposes of section 42041(w)(1) and 
section 42041(w)(2) of the Public Resources code, the sale, offer for sale, 
distribution, or other use of a product in a commercial enterprise is deemed to 
be under a brand or trademark when the brand or trademark is used on such 
goods or services in a manner described in  section 14202(h) of the Business 
and Professions Code. A product may be used in a commercial enterprise 
under a brand or trademark without the brand or trademark being used 
directly on the product itself.     
 
2 
 (6)  
(A) “Component ,” with respect to covered material,  means a piece or 
subpart that is  readily distinguishable from other pieces or subparts 
with respect to its composition or function.  
(B) For purposes of categorizing components into covered material 
categories, each detachable component and shall be considered 
individually, and not necessarily categorized in the same category as 
the components from which it was detached. A “detachable 
compo nent” is one that is either:  
(i) designed such that it may be readily mechanically detached 
from all other components; or  
(ii) commonly detached, or intended to be detached, from all other 
components by the consumer before being discarded.  
(C) The term “separable and distinct component,” as stated in the 
definition of “packaging” in section 42041(s) of the Public Resources 
Code, means a component, as defined in this subdivision, that is not 
the good being packaged but rather is the covered material serving the 
functions of packaging, as set forth in that definition.    
(7) “Compost” means the product resulting from the controlled biological 
decomposition of organic solid wastes that are source separated from the 
municipal solid waste stream, or which are separated at a centralized facility, 
and meets the following standards:   
(A) The material has undergone the Process to Further Reduce 
Pathogens, as described in section 17868.3 of this division, and has 
reached a stage of  reduced biological activity as indicated by reduced 
temperature and rate of respiration below that of active compost.  
(B) “Active compost,” for the purposes of this definition, has the same 
meaning as section 17852(a)(1)  of this division.  
(C) The material complies with the maximum metal concentration limits 
specified in s ection 17868.2  of this division .     
 
3 
 (D) The material complies with the physical contamination limits specified 
in section 17868.3.1  of this division . 
(8) “Covered material category list” or “CMC list” means the list established 
pursuant to s ection 42061  of the Public Resources Code,  which contains 
elements evaluating compliance, recycling rates, recyclability and 
compostability, by covered material category.  
(9) “Digestate for land application” means  digestate, as defined in s ection 
17852(a)(13.5)  of this division , that meets the meet the requirements of 
section 17852(a)( 24.5)  of this division . 
(10) “Discrete” means, with respect to covered material, a product, or any other 
physical good, a single physical instantiation of a unique item or material, 
rather than embodiments of such good generally or the good’s generic name, 
type, or category. Goods used to refill or reuse packaging are discrete items 
distinct from the previous goods with which the packaging was originally  
associated.  
(11) “Food”  has the same meaning as defined in s ection 113781 of the Health 
and Safety Code.  
(12) “Food packaging”  means packaging, as defined in s ection 42041(s)  of the 
Public Resources Code , used for the containment, protection, handling, 
delivery, or presentation of food, and may come in direct contact with food, 
which includes but is not limited to, clamshells, hinged or lidded containers, 
wraps or wrappers, and bags.  
(13) “Food service ware” means an item that is intended to be used to contain, 
serve, store, handle, protect, or market food and facilitate the consumption of 
food, and is either intended to, or necessarily will, directly contact a food 
product when used for such purposes  or is described in subparagraph (A) or 
(B). Without limitation, the following items are examples of food service ware:   
(A) Trays, plates, bowls, clamshells, lids, cups, utensils, stirrers, hinged or 
lidded containers, straws.     
 
4 
 (B) Wraps , wrappers, and bags used in the packaging of food offered to 
customers by food service establishments.  For purposes of this 
definition:  
(i) A food service establishment is a retail operation, including any 
permanent or nonpermanent locations used in conjunction with 
the operation, that stores, prepares, packages, serves, vends, 
or otherwise handles food for human consumption, regardless 
of whether the food is consumed on or off the operation’s 
premises, and regardless of whether there is a charge for the 
food.  
(ii) Packaged food items that were not packaged by the operation and are not removed from their packaging by the operation shall 
not be considered food offered for sale or provided to customers  
by a food service establishment .  
(iii) Notwithstanding the foregoing, bags provided to customers by a 
business that is a “store” pursuant to Chapter 5.3 of Part 3 of 
Division 30 of the Public Resources Code (commencing with 
section 42280)  shall not be considered bags used in the 
packaging of food, provided such bags are precheckout bags (as defined in that chapter) or are provided to customers at the 
point of sale.  
(14) “Incompatible material” means material that a receiving responsible end 
market is not designed, permitted, or authorized to recycle, as defined in 
section 42041(aa)  of the Public Resources Code.  
(15) “Independent Producer” means a producer that is approved by the 
Department to comply with the requirements of this chapter independently 
from an approved P RO pursuant to s ection 18980.5.1.  
(16) “Intermediate product” means a material that meets all of the following 
characteristics:  
(A) Derived entirely from postconsumer covered material that was 
recovered.     
 
5 
 (B) Physically altered from its original state.  
(C) Includes any form of postconsumer recovered material up to the point 
where the material is accepted at a responsible end market.  
(17) “Intermediate supply chain entity” means an entity that takes custody of 
materials  at the end of their life , including intermediate products,  and is within 
the supply chain that exists between collection, processing, and transfer of 
material to end markets. “Intermediate supply chain entity” includes, but is not 
limited to, recycling service providers, processors, brokers, or materials 
recovery  facilities.  
(18) “In the state,” as that term is used in section 42040 to section 42084  of the 
Public Resources Code  with respect to a person, means that service of 
process, excluding service by publication and any other manner of service 
requiring a court order, on the person may be completed in the state pursuant 
to sections 413.10 to  417.40 of the Code of Civil Producers  (Article 1 of 
Chapter 4 of Title 5 of Part 2 of the Code of Civil Procedure) or section  2110  
of the Corporations Code, and the person is subject to jurisdiction of 
California courts pursuant to section  410.10  of the Code of Civil Procedures  
based on the manufacture, sale, offer of sale, or distribution in the state of 
products using covered material.    
(19) “Mixed material” has the same meaning as defined in s ection 
17852(a)(26)  of this division .  
(20) “Nonplastic ,” when used in these regulations to describe a component of 
covered material or other physical good, means the component or good is not 
considered plastic as set forth in paragraph  (24). 
(21) “Organic waste” has the same meaning as defined in s ection 18982(a)(46)  
of this division .  
(22) “Participant,” “participant producer,” “participant of the PRO,” and 
“producer who participates in the PRO’s approved plan” all mean a producer, 
as defined in s ection 42041(w)  of the Public Resources Code, who joins a 
PRO.     
 
6 
 (23) “Person” means an individual, firm, limited liability company, association, 
partnership, public or private corporation, or any other legal entity and, for 
purposes of whether a person other than a natural person is in the state 
pursuant to section  42041(w)  of the Public Resources Code, any entity 
owning, directly or indirectly, a majority or controlling interest in such entity.  
(24) “Plastic,” when used to describe a component of covered material or other 
physical good, means the component or good contains or is made partially or 
entirely of plastic, as defined in section 42041(t) of the Public Resources 
Code, excluding plastic present in components or goods that otherwise do not 
contain plastic as a result of contamination not caused by the producer, a 
person acting on behalf of the producer, or a third party responsible for the 
manufacture or handling of suc h components or goods.  
(25) “Plastic or polymers” means , for purposes of determining whether section  
42356.1(d) of the Public Resources Code  exempts a fiber product from 
having to comply with an ASTM standard specification to be eligible to be 
labeled “compostable” pursuant to section  42050(b)  of the Public Resources 
Code, material  comprising chemical compounds that did not occur naturally 
and that are plastic or other chemical  compounds comprising molecules 
bonded together in long, repeating chains . 
(26) “Processor” means an entity or entities that is processing or will process 
covered material.  
(27) “Product” means a physical good and all covered material used for or by it. 
Covered material is used for or by a product if the product is wholly or partially  
composed of covered material.  
(A) For a product that is physically provided to the consumer on the 
premises of a retail seller or other distributor, the product’s packaging 
does not include materials caused to be associated with the product at the point of sale or distribution or after initial physical display of the 
product to the consumer.   
(B) For purposes of determining whether a particular person is the 
producer , pursuant to s ection 42041(w)(3)  of the Public Resources    
 
7 
 Code, of covered material used by a product, what constitutes such 
covered material shall be evaluated as of the time the person sells, 
offers for sale, or distributes the product, and the person is the 
producer only with respect to covered material for which there was not 
otherwise a producer before such time. For example, for a branded 
product that is packaged using covered material and is distributed by a 
single other person in the state:  
(i) If the brand owner is in the state, it is the producer of all covered 
material used by the goods in connection with the brand, such 
as the sales packaging or primary packaging described in 
section 42041(s)(1) of the Public Resources Code, and any 
additional covered material, such as transport or tertiary 
packaging, used by the product before it is received by the 
distributor. If the distributor utilizes additional covered material 
packaging (e.g., transport or tertiary packaging) in its distribution 
of that  product, it is the producer of the covered material used 
by the product at that time, except for the covered material 
packaging for which the brand owner was already the producer 
prior to receipt by the distributor.  
(ii) If the brand owner is not in the state, the distributor is the 
producer of all covered material, including any covered material 
added by the distributor, used by the product at time of 
distribution.  
(iii) If a wholesaler or retailer in the state subsequently obtains the 
good from the distributor and causes the product to use 
additional covered material packaging, it is the producer of such 
additional covered material, and either the brand owner or 
distribut or is the producer of the other covered material used by 
the product, as described in clauses (i) and ( ii).     
 
8 
 (C) When a product is offered for sale, sold, distributed, or imported, the 
covered material used by the product is also considered to be offered 
for sale, sold, distributed, or imported.  
(28) “Ratepayer” means a member of the public or business whose method of 
paying to prepare and sort covered material, though ultimately covered under 
PRO funding as required under this article, includes, but is not limited to: 
(A) User fees or rates  
(B) Franchise fees on solid waste service providers  
(C) Solid waste facility gate or tipping fees  
(D) Mitigation or host fees on disposal facilities  
(E) Excise tax, parcel tax, property tax, or respective fee  
(F) Voter -approved surcharge or fee  
(29)  “Recycled organic product” means  raw organic material that is produced 
through composting, anaerobic digestion, or another process  consistent with 
the definition of recycling pursuant to section 42041(aa) of the Public 
Resources Code and is not disposed. Only materials proposed to be 
considered a recycled organic product in a plan that is approved by the 
Department may be considered recycled organic products.  “Recycled organic 
product” includes , but is not limited to, compost, digestate for land application, 
or biogas.  
(30) “Recycling rate” has the meaning set forth in section 42041(ab) of the 
Public Resources Code, except that  recycling rate shall be calculated as 
described in section 18980.3.2.  
(31) “Reporting entity” means a PRO, which shall report all reportable activities 
by its participating producers on their behalf, or a producer identified pursuant 
to paragraph (A) that conducts any reportable activities not reported on their 
behalf by the PRO.  Reportable activities are those required to be reported to 
the Department pursuant to Article 9 and Article 10  of this chapter, as 
applicable.  
(A) Independent Producers are reporting entities and must report all of their reportable activities pursuant to this chapter . Producers    
 
9 
 participating in a PRO plan are also reporting entities i f they choose to 
report any of their reportable activities directly to the Department or fail 
to provide data to the PRO regarding their reportable activities.  
(B) A participant producer shall notify the PRO of any reportable activities that it has reported or will report to the Department. Notwithstanding 
the other provisions of this paragraph, a PRO is not required to report 
such activities.  
(C) All reporting entities shall register with the D epartment as set forth in 
section 18980.10.  
(32) “Responsible End Market” has the same meaning as s ection 42041(ad) of 
the Public Resources Code and meets the criteria specified in s ection 
18980.4.  
(33) "Retailer" or "wholesaler" has the same meaning as s ection 42041(ae) of 
the Public Resources Code. A "retailer" or "wholesaler" shall be considered a 
producer only for covered materials for which a "retailer" or "wholesaler" 
meets the definition of producer, as defined in section 42041(w) of the Public 
Resources Code. 
(34) “Reusable,” “refillable,” “reuse,” and “refill,” have the same definition as 
provided in section 42041( af) of the Public Resources Code. Determinations 
of whether packaging or food service ware satisfies the requirements of that 
definition shall be subject to the provisions of this paragraph.  
(A) T he terms “reuse” and “refill” refer to usage packaging or food service 
ware that is reusable or refillable pursuant to section 42041(a)(1)(A) 
through (a)(1)(D) and ( a)(2)(A) through (C),  subsequent to the initial 
use of the packaging or food service ware for its original purpose.  
(B) To be considered reusable or refillable, packaging or food service ware must not constitute single- use packaging or food service ware 
pursuant to paragraph (35 ) and  section 42041(ai) of the Public 
Resources Code. 
(C) T
o be “designed for durability” as required by section 42041(af )(1)(B) 
or (2)(B) of the Public Resources Code, the packaging or food service    
 
10 
 ware must remain usable for its original intended purpose when used 
multiple times.  
(D) To be considered capable of being conveniently and safely reused or 
refilled:  
(i) For purposes of section 42041(af)(1)(C) of the Public Resources Code, packaging or food service ware must, at a minimum, be 
sufficiently washable, as set forth in section 18980.1(a)( 35)(C), 
retains its form and function during reuse and washing  by the 
producer , without posing environmental or public health risks, 
such as chemical leaching and microplastic shedding.  
(ii) For purposes of section 42041(af)(2)(C) of the Public Resources Code, packaging or food service ware must, at a minimum, be 
sufficiently washable, as set forth in section 18980.1(a)(3 5)(C), 
and retains its form and function during reuse and washing by 
the consumer , without posing environmental or public health 
risks, such as chemical leaching and microplastic shedding.  
(E) For purposes of this section and section 42041(af) of the Public 
Resources Code, “multiple times,” “multiple cycles,” and “multiple 
uses” have the same meaning. For packaging or food service ware to 
be considered used or refilled multiple times or for multiple cycles, or 
for use to be considered multiple uses , usage must occur more than 
once, rather than being a single use prior to disposal as described in 
subparagraph (A)(i) (for packaging) or ( A)(ii) (for food service ware) of 
paragraph ( 35), and shall satisfy the following conditions , as 
demonstrated  according to procedures  and methods set forth in the 
PRO’s approved plan, or, for entities that are not participants in a PRO 
plan, those in  their plans (for Independent Producers) or the PRO’s 
approved plan.   
(i) The item is more likely than not to be used on more than one 
occasion or the item is, on average, used on more than one 
occasion  without being discarded or disposed within five  years    
 
11 
 after commencement of its initial use . Reusable f ood service  
ware or food packaging . For food service ware and food 
packaging whose usage can be shown to occur , on average,  
over a period of shorter than five years before it has been 
subject to at least 780 cycles in a cleaning and sanitization 
process as set forth in (C)(ii), this requirement shall be reduced 
to such shorter period.   
(ii) The observed average number of uses or refills will result in the 
item having lower environmental impact than the item’s 
equivalent single -use counterparts.  The PRO plan shall include 
a procedure, including specific methods , for establishing 
estimates of the average number of uses or refills for particular 
products or  types of products, and those estimates may be used 
as the observed average number of uses for purposes of this 
clause . Independent Producers’ plans may  include their own 
procedure or incorporate one from an approved plan by 
reference. Environmental impact must consider, at a minimum, 
the resources used throughout the  lifecycle of the product, 
including, but not limited to, those related to:  
(I) Raw material extraction  
(II) Manufacturing   
(III)Transportation  
(IV) End- of-life management   
(F) Participants in a PRO plan shall, as required by the PRO plan or otherwise by the PRO, demonstrate that packaging and food service 
ware is reusable or refillable according to this section and section 
42041(af) of the Public Resources Code.  
(G) Producers, retailers, wholesalers and PROs are responsible for 
establishing, upon demand by the Department in a notice of violation 
issued pursuant to sections 42080 and 42081(a) of the Public 
Resources Code and section 18980.13.4, that packaging or food    
 
12 
 service ware that it claims to be reusable or refillable satisfy the 
requirements of this section and section 42041(af) of the Public 
Resources Code.  
(35) “Single use” and “single- use” are defined as provided in section  42041(ai) 
of the Public Resources Code for “single use.” As used in that definition, the 
following terms shall be further defined as indicated below.  
(A) “Conventionally disposed of after a single use” means either of the 
following:   
(i) With respect to packaging, the packaging is commonly 
discarded, or is designed to be discarded, by the average 
consumer after it has served one or more of the purposes 
identified in section 42041(s) of the Public Resources Code  with 
respect to the discrete physical good originally associated with 
the packaging, or otherwise not subsequently reused for such 
purposes with respect to additional discrete physical goods. 
Where packaging intermittently or continuously continues to 
serve such purposes with respect to the discrete physical good 
originally associated with the packaging, that usage remains a 
single use of the packaging.  
(ii) With respect to food service ware, the item is commonly 
discarded, or is designed to be discarded, by the average 
consumer after serving one or more of the purposes identified in 
subparagraph ( 14) once with respect to discrete food goods, 
rather than being subsequently washed and used again for such 
purposes with respect to additional food goods.  
(B) “Sufficiently durable” means, with respect to packaging or food service 
ware, that it is designed for durability pursuant to s ection 
18980.1(a)( 34)(C), for purposes of being reused and, if applicable, 
refilled.     
 
13 
 (C) “W ashable” or “sufficiently washable” means, with respect to 
packaging or food service ware, that it can be washed as follows for 
purposes of being reused and, if applicable, refilled:  
(i) for packaging other than food packaging, the good can be 
sufficiently cleaned as necessary to be safely and hygienically 
refilled or reused, as applicable; or  
(ii) for food service ware and food packaging, the good maintains 
its shape, structure, and function after 780 cycles in a cleaning 
and sanitizing process that complies with the requirements of 
chapter 5 of part 7 of division 104 of the Health and Safety Code 
(commencing with section 113700), as demonstrated by test 
results from a laboratory hav ing an ISO/IEC 17025:2017 
accreditation issued by a body described in section 
18981(b)(1) .  
(36) “ Small producer” means a producer as defined in s ection 42041(w)  of the 
Public Resources Code  that has a current exemption on file with the 
Department pursuant to section 18980.5. 2.. 
(37) “Ton” or “tons” means a unit of weight equal to 2,000 pounds.  
(38) “Viable responsible end market” means a responsible end market that is 
feasible and capable of being economically successful.  
(b) W hen referred to in this chapter, the following documents are incorporated by 
reference in their entirety:  
(1) “ISO/IEC 17025:2017” refers to the publication titled “General requirements 
for the competence of testing and calibration laboratories,” International 
Organization for Standardization/International Electrotechnical Commission, 
November  2017. 
(2) “ISO/IEC 17065:2012” refers to the publication titled “ Conformity 
assessment —Requirements for bodies certifying products, processes and 
services,” International Organization for Standardization/International Electrotechnical Commission, September 2012.  
    
 
14 
 Authority: Sections 40401, 40502, 42041(aa)(4)(A) and (5), 42041(ad), 42052(a)(4), 
42057(j), 42060, Public Resources Code . 
Reference: Sections 4 1780.01, 420051,  42040(a), 42041(e), (f), (s), (t), (u), (y), (aa), 
(ab), (ad), (ae), (af), and (ai), 42050(b), 42051, 42051.1(j)(1)(B), 42051.1(j)(2)(D), 
42051.2, 42052, 42053(d), 42057, 42060(a)(1), 42060.5, 42061, 42063, 42064, 42067, 
42080, 42081(a) , 42280, 42281.5,  42356.1(d), Public Resources Code;  section 20, title 
1, California Code of Regulations . 
     
 
15 
 Article 2: Covered Material and Covered Material Categories  
 
§ 18980.2 . Categorically Excluded Materials  
(a) Except as provided otherwise in this Chapter, the materials listed below categorically 
do not constitute covered material, and are not required to meet the requirements 
set forth herein:  
(1) Packaging used for products described in section 42041(e)(2)(A)(i) of the Public Resources Code as “medical products and products defined as 
devices or prescription drugs,” which means the following products:  
(A) “Drugs,” as defined under section 321(g) of Title 21 of the United 
States Code.  
(B) “Medical devices,” as defined by section 321(h) of Title 21 of the 
United States Code.  
(C) “Prescription drugs,” as defined by section 353(b)(1) of Title 21 of the 
United States Code.  
(2) Materials that meet the definition of “reusable” or “refillable .” If the D epartment 
determines that any product or material is covered material because it does 
not fulfill the criteria to be reusable or refillable,  the producer, as identified by 
the Department, of the product or material shall produce evidence 
demonstrating otherwise upon the Department’s issuance of a notice of 
violation pursuant to section 18980.13.4 and sections 42080 and 42081(a) of the Public Resources Code. 
(A) Producers and PROs are responsible for establishing, upon demand 
by the Department in a notice of violation issued pursuant to sections 
42080 and 42081(a) of the Public Resources Code and section 
18980.13.4., that packaging or food service ware that it claims to be 
reusable or r efillable , satisfy the requirements of this section and 
section 42041(af) of the Public Resources Code. The producer may, at 
its option, do so using criteria and methodology contained in an 
approved PRO plan.      
 
16 
 (3) Materials  listed in s ection 42041(e)(2)  of the Public Resources Code, 
excluding sections 42041(e)(2)(F) and 42041(e)(2)(H).  
(b) Nothing in this section precludes the Department from inspecting to verify if a 
material qualifies to meet this exclusion or from taking any appropriate enforcement 
action.  
 Authority: Sections 40401, 40502, 42060, 42080, 42081, Public Resources Code . 
Reference: Section 42040, 42041(e)  and (af), 42080 , 42081(a ), Public Resources 
Code; sections 321(g), 321(h), 353(b)(1), Title 21  of the United States Code. 
 
§ 18980.2.1. Exemptions for Long-Term Storage Materials  
(a) For packaging to be exempt from being considered covered material pursuant to section  42041(e)(2)(F)  of the Public Resources Code, it must be determined by the 
Department to qualify for the exemption as prescribed in this section.  
(b) To be eligible for the exemption, the packaging must be associated with a product 
that is a  non-consumable good that , through use for their intended purpose,  is 
typically used for at least five years  in association with the packaging and not 
partially or wholly discarded  within five years of being sold or distributed.  A non-
consumable good is one that, when subject to ordinary usage, is not ingested, 
irreversibly used, destroyed, or expended.  
(c) A producer may request a determination that packaging associated with a particular 
product qualifies for the exemption by submitting an application to the Department. 
The application shall be submitted electronically and shall include, but not be limited to, the following:  
(1) Contact Information  
(A) Name and title of the person submitting the application  
(B) Company or organization name  
(C) Company or organization mailing and physical addresses  
(D) Phone number  
(E) Email address     
 
17 
 (2) Name, description, and other information sufficient to uniquely identify the 
particular product. Such identification may be achieved, for example, with 
respect to unique physical characteristics, such as the product’s form, 
materials, and dimensions, or identifying information such as a unique stock 
keeping unit (SKU) or global tra de item number, such as a universal product 
code (UPC).  
(3) Physical description of the packaging, including its combination of form and material, size, and other information sufficient to demonstrate that the 
packaging has a life span at least as long as the claimed life span of the 
product.  
(4) Description of the following information and evidence supporting such information:  
(A) The lifespan and intended use of the product . In lieu of other 
supporting evidence, an express, written warranty by the producer 
covering the product shall be sufficient to establish a particular lifespan 
for the product . Such warranty shall guarantee that the product  will 
remain usable for its intended purpose for at least that period, when 
subject to ordinary or foreseeable use by the consumer, or else the 
producer will take back and replace the item at the applicant’s 
expense.  
(B) The actual or expected typical usage, including the typical duration of such usage, by consumers of such packaging in association with the 
product  or similar products . 
(C) How the packaging is designed for protection or storage of the product , 
as typically used by the consumer, for the entire lifespan of the 
product . 
(D) The number of years the packaging is capable of storing or protecting the product  under typical usage conditions.  
(d) The application shall be a public document subject to mandatory disclosure under the California Public Records Act (Division 10 of Title 1 of the Government Code 
(commencing with section 792.000)) unless an exemption from such disclosure    
 
18 
 applies. The Department shall withhold from public disclosure portions of the 
application that the producer appropriately identifies as trade secrets, subject to the 
requirements and limitations set forth in s ection 18980.15 . 
(e) For any producer that is a participant of a Producer Responsibility Organization, the 
PRO may submit the application on behalf of the producer.  
(f) Except as otherwise provided in section 18980.2.5, i f an application is approved by 
the Department, the exemption shall apply only to the packaging, as described in the 
application, associated with the particular product identified in the application. When approving the exemption, the D epartment may, in its sole discretion, supplement or 
modify the producer’s description of the packaging and associated product.  The 
exemption shall be  effective on the date the application is approved and is valid for 
one year from the approval date.  
(g) To maintain an exemption, the producer shall conduct either of the following:  
(1) If the information within the producer’s initial application has not changed, the 
producer shall file a certification electronically in the form of a letter to the 
Department, signed by the producer under penalty of perjury. The certification 
shall state t hat the information provided in the application for the exemption 
currently on file with the Department has not changed. The producer shall file the letter at least 90 days  prior to the expiration date. If approved, the 
exemption shall be extended for one additional year with the new expiration 
date being one year from the original expiration date.  
(2) If the information within the producer’s initial application has changed, the 
producer shall file a new application pursuant to subdivision ( c). 
 
Authority: Sections 40401, 40502, 42060, Public Resources Code.   
Reference: Sections 40062,  42040, 42041(e)(2)(F), Public Resources Code; Sections 
7921.500 and 7922.530, Government Code.  
 
§ 18980.2.2. Exemptions for Product -Specific Material  
(a) A producer seeking an exemption for a type of material from being considered covered material, pursuant to section  42041(e)(2)(H)  of the Public Resources Code,    
 
19 
 shall submit an application to the D epartment. The application shall include but not 
be limited to the following and must be submitted electronically:  
(1) Contact Information:  
(A) Name and title of the person submitting the application  
(B) Company or organization name  
(C) Company or organization mailing and physical addresses  
(D) Phone number  
(E) Email address  
(2) Name and description of the material.  
(3) Description of how the material is collected,  processed, and recycled 
including:  
(A) List of entities that collect the material  
(B) List of entities that process the material  
(C) A description of how the treatment of the material  is consistent with 
article 4 of this chapter  
(4) A list of responsible end markets where the covered material is recycled at 
and d ocumentation  that demonstrates that the material has been recycled at 
the specified responsible end market s. For the purposes of this article, 
“recycled ” has the same meaning as section 18980.3. 2(a)(1).   
(5) Recycling data substantiating the achievement of the goals set forth in section 
42041(e)(2)(H)(i)(IV). Any consecutive three-year period of attainment prior to 
January 1, 2027,  can substantiate achievement of the pre-2027 goal.  The 
recycling rate shall be calculated using the methodology specified in s ection 
18980.3. 2. 
(b) The application shall be a public document subject to mandatory disclosure under the California Public Records Act (Division 10 of Title 1 of the Government Code 
(commencing with section 792.000)) unless an exemption from such disclosure 
applies. The Depar tment shall withhold from public disclosure portions of the 
application that the producer appropriately identifies as trade secrets, subject to the requirements and limitations set forth in s ection 18980. 15.    
 
20 
 (c) For any producer that is a participant of a Producer Responsibility Organization, the 
PRO may submit the application on behalf of the producer.  
(d) The Department shall review and evaluate an application  to determine  if it meets the 
requirements of this section.  
(e) Except as otherwise provided in section 18980.2.5, i f granted, the exemption shall 
apply only to the packaging, as described in the application, associated with the 
particular product identified in the application. When approving the exemption, the 
Department may, in its sole discretion, supplement or modify the producer’s 
descriptions of the packaging and associated product.  The exemption is effective on 
the date the application is approved and is valid for two years from the approval 
date.  
(f) To maintain an exemption, the producer shall, at least 90 days prior to two years 
from the  effective date of the exemption:  
(1) File a  certification electronically in the form of a letter to the Department, 
signed by the producer under penalty of perjury, stating that the information 
provided in the application for the exemption currently on file with the 
Department pursuant to subsectio ns (a)(1) through (a)(4) has not changed.  
(2) Provide recycling data substantiating the achievement of the goals set forth in 
section 42041(e)(2)(H)(i)(IV) of the Public Resources Code for all complete 
and previously unreported years subsequent to January 1, 2027. The 
recycling rate shall be calculated using the methodology specified in s ection 
18980.3 .2. 
(g) If the producer cannot provide certification pursuant to subsection (f)(1), the 
producer shall submit a new application pursuant to subdivision  (a).  
 Authority: Sections 40401, 40502, 42060, Public Resources Code.  
Reference: Sections 40062, 42040, 42041(e)(2)(H), Public Resources Code; Sections 
7921.500 and 7922.530, Government Code.     
 
21 
 § 18980.2.3. Exemptions for Certain Covered  Materials  
(a) Pursuant to section 42060(a)(3) and 42060(a)(4) of the Public Resources Code, the 
Department may, in its sole discretion, exempt particular covered materi al from 
requirements of the Act and this chapter.  
(b) A PRO, participating producer, or Independent Producer  may submit an application 
to the D epartment to request that covered material be deemed exempt pursuant to 
this section . An application shall only be considered if it contains all the elements 
prescribed in this section.  
(c) The application shall be submitted electronically and shall include, but not be limited 
to, the following:  
(1) Contact Information: 
(A) Name and title of the person submitting the application  
(B) Company or organization name  
(C) Company or organization mailing and physical addresses  
(D) Phone number  
(E) Email address  
(2) Name, description, and other information sufficient to uniquely identify the covered material for which an exemption is sought .  
(3) Identification of the exemption sought. A single application can be submitted cover ing both exemptions, provided that the application contains the elements 
prescribed in this section.  
(4) Except as otherwise provided with respect to entire classes of products or 
covered materials under section 18980.2.6, identification of all product s or 
potential product s that use or potentially would use the covered material and 
be covered by the exemption, if granted. Products may be identified by the information described in section 18980.2.1(c)(2).   
(5) Description of the following information and evidence supporting such information. 
(A) For an application requesting an exemption pursuant to section 
42060(a) (3) of the Public Resources Code  based on unique challenges 
in complying with the Act or this chapter,  the description shall include:     
 
22 
 (i) Identification of which requirements of the Act for which the 
covered material presents unique challenges for compliance 
with the Act an d this chapter.  
(ii) The nature of the unique challenges and how the characteristics 
of the covered material causes them.  
(iii) The practical necessity of the covered material that justifies 
exempting the covered material from the Act despite it not 
complying with the requirements identified in clause (i). Without 
limitation, such justification shall address whether and to what 
extent that risks  would arise or be exacerbated with respect to  
public health, the environment, economic development, burdens on vulnerable populations, disproportionate effects on 
identifiable classes of persons or industries, and conflicting 
obligations und er any other laws.  
(iv) Potential alternatives to the covered material and a description of why they are not feasible for technological or financial 
reasons, would present greater compliance challenges than those identified described pursuant to clauses (i) through (i ii), or 
would pose greater risks than those identified pursuant to 
clause (i ii). 
(v) To the extent not otherwise addressed, potential impacts of the covered material on environmental justice communities from 
exempting or not exempting the covered material.  
(vi) Impacts of the covered material on the existing processing and recycling infrastructure.  
(vii) If applica ble, a description of why the covered material 
cannot be recycled or source reduced.  
(viii) A proposed plan pursuant to section 42060(a)(3)(B) of the 
Public Resources Code to phase the covered material into the 
requirements of the Act , unless the nature of the unique 
challenges makes such a plan unfeasible or unnecessary , in    
 
23 
 which event the applicant shall explain why a plan is unfeasible 
or unnecessary.  Such a proposal shall addres s, at a minimum, 
the requirements of the Act that the covered material currently 
satisfies , a timeline  for when the covered material is anticipated 
to satisfy all requirements of the Act , and goals for each year of 
that timeline with respect  to address ing the challenges  
described in the application and otherwise progressing toward 
full compliance with the Act.  
(B) An application for an exemption pursuant to section 42060(a)(3)  of the 
Public Resources Code may be based on the challenges involved in 
establishing an alternative collection program  that satisfies the 
requirements of section 42355.51(d)(5)  of the Public Resources Code. 
Such an exemption shall not be granted unless  the application includes 
a proposed phase-in plan, as described in clause (viii) of subparagraph 
(A). In addition to satisfying the requirements of subparagraph (A), 
such an application  shall include the following elements:  
(i) Explanation, information, and evidence concerning the nature of 
the challenges, generally and with respect to the specific 
covered material at issue,  affecting the establishment of an 
alternative collection system that satisfie s the applicable 
requirements  (those of section 42355.51(d)(3) of the Public 
Resources Code) .   
(ii) Explanation, information, and evidence demonstrating how the 
challenges will be overcome to satisfy the applicable 
requirements , the efforts to overcome them to date, and the 
extent to which such efforts have been successful . 
(iii) If the applicant has already created a n alternative collection 
program  for the covered material already exists, a complete 
description of the program, its current status , and plan s for 
further development. Such description shall include, but not necessarily be limited to :     
 
24 
 (I) on an annual basis, since the program’s inception, the 
volume of the covered material to be exempted being 
collected and its percentage of the total such covered 
material sold or distributed;  
(II) other covered material, if any, also collected by the 
program;   
(III) efforts undertaken to ensure that covered material being 
collected is ultimately recycled , and demonstration of the 
efficacy of such efforts ; 
(IV) details regarding consumer convenience and efforts 
to facilitate  and incentivize participation;  
(V) educational outreach and marketing activities to raise 
awareness of the program;  
(VI) names of entities that will operate or partner with the 
program, including recycling service providers, if any;  
(VII) the infrastructure, technology,  and methods  
established to facilitate collection of the covered material ; 
and  
(VIII)  the financial investment made in the program  to date . 
(iv) If there is no current collection program, a description of the 
anticipated program, including its planned start date and 
anticipated features, including with respect to the elements 
listed in clause (iii) . 
(v) Projections of the current or anticipated program’s progress 
toward meeting the applicable requirements . Such projections 
shall address all known and anticipated financial, technical, and 
other assumptions on which such projections are based and 
shall identify the date by which the program is expected to 
satisfy the applicable requirements .    
 
25 
 (vi) Information, if available, similar to the information required 
under clauses (iii)  through (v),  regarding comparable takeback 
programs, such as those that collect similar covered material.  
(C) For an application requesting an exemption  pursuant to section 
42060(a)( 4) of the Public Resources Code  based on health and safety 
reasons , the description shall include:  
(i) Identification of which requirements of the Act and this chapter 
for which health and safety concerns prevent compliance.  
(ii) The nature of the health and safety concerns, including how the characteristics of the covered material relate to the concerns 
and how the concerns prevent compliance with the Act and this 
chapter.  
(iii) The information described in clauses (i ii) through (vi ii) of 
subparagraph (A) , except with respect to the health and safety 
concerns  asserted in the request and the challenges related to 
them . 
(D) For an  application requesting an exemption pursuant to section 
42060(a)(4) of the Public Resources Code  because the covered 
material is unsafe to recycle, the description shall include:  
(i) Identification of which requirements of the Act and this chapter 
with which the covered material cannot comply due to it being 
unsafe to recycle.  
(ii) Characteristics of the covered material that render recycling unsafe.  
(iii) Explanation of the nature of the safety risks , why they cannot 
reasonably be mitigated without an exemption, and how 
granting the exemption would mitigate or avoid them . The 
explanation shall , at a minimum,  address the extent to which 
such risks relate to the environment, health and safety, and 
worker health and safety.  The explanation shall also explain the 
extent to which recycling the covered material creates  or    
 
26 
 exacerbates  risks, including  contamination of equipment by a 
toxic or hazardous substance, to end markets, processors, and 
intermediate supply chain entities.  
(iv) The information described in clauses (iii) to (v iii) of 
subparagraph (A). 
(v) To the extent not otherwise addressed, the risk that recycling 
the covered material would result in the manufacture of new 
products that would expose consumers to toxic or hazardous 
substances.  
(d) The application shall be a public document subject to mandatory disclosure under the California Public Records Act (Division 10 of Title 1 of the Government Code 
(commencing with section 792.000)) unless an exemption from such disclosure 
applies. The Depar tment shall withhold from public disclosure portions of the 
application that the producer appropriately identifies as trade secrets, subject to the 
requirements and limitations set forth in s ection 18980.15.  
(e) A PRO may submit an  application on behalf of a participant producer.  
(f) Except as otherwise provided in section 18980.2.5, i f an application is approved by 
the Department, the exemption for covered material shall apply only to the products, 
as described in the application, that use the covered material. When approving the 
exemption, the Department may, in its sole discretion, supplement or modify the 
application’s descriptions of the covered material and products. Unless the Department, in its sole discretion, deems the basis for an exemption to warrant a 
longer duration, t he exemption shall be  effective on the date the application is 
approved and is valid for one year from the approval date.  
(g) Except as provided in subdivision (h), to maintain an exemption, the producer shall 
conduct either of the following:  
(1) If the information within the producer’s initial application has not changed, the producer shall file a certification electronically in the form of a letter to the 
Department, signed by the producer under penalty of perjury. The certification 
shall state t hat the information provided in the application for the exemption 
currently on file with the Department has not changed. The producer shall file    
 
27 
 the letter at least 90 days prior  to the expiration date. If approved, the 
effective period of the renewed exemption shall be determined as provided in 
subdivision (f) for initial approvals , with the new expiration date being one 
year after the original expiration date.  
(2) If the information within the producer’s initial application is no longer accurate 
in its entirety , the producer shall file a new application pursuant to subdivision 
(a). 
(h) Regarding approval and maintenance of an exemption requested pursuant to 
subparagraphs (A) or (B) of paragraph (5) of subdivision (c) : 
(1) Approval  may be conditioned upon the approval of and es tablishment of a 
phase-in plan pursuant to section 42060(a)(3)(B)  of the Public Resources 
Code. The phase-in plan may be the plan proposed by the applicant , as may 
be modified by the Department, or another plan developed by the 
Department , as it deems appropriate. The exemption and the plan shall only 
be approved if , as determined by the Department in its sole discretion,  they 
are reasonably expected to further the successful implementation and enforcement of the Act  and have an effect  consistent with the intent of the 
Act, as described in section 42040 of the Public Resources Code.  
(2) To maintain the exemption,  the applicant shall annually update all information 
required to be included in the initial application  and, if applicable, report to the 
Department  the extent to which it has achieved the goals of its phase -in plan . 
If the phase- in plan has not been complied with, the applicant shall explain 
the reasons for such noncompliance . The Department shall terminate the 
exemption unless it determines, in its sole discretion,  that such 
noncompliance was justified  and does not negate the basis for granting the 
exemption and that such basis , including that it is reasonably expected to 
further the successful implementation and enforcement of the Act  and have 
an effect consistent with  the intent of the Act, remains valid.   
(i) Notwithstanding any other provision of this section, the Department may terminate or 
modify  the terms of  an exemption upon its determination of any of the following:     
 
28 
 (1) the information provided in the application for the exemption was incomplete, 
false, or the relevant circumstances have materially changed  such that the 
information is no longer accurate;  
(2) the exemption does not further the successful implementation and 
enforcement of the Act , has an effect in consistent with the intent of the Act , or 
the basis for granting the exemption otherwise no longer applies ; or 
(3) conditions or requirements of a phase-in plan established pursuant to section 
42060(a)(3)(B)  of the Public Resources Code have failed or not been 
satisfied.  
 
Authority: Sections 40401, 40502, 42060(a), 42060(a)(6)(A), 42060(a)(6)(C),  Public 
Resources Code.   
Reference: Sections  42040,  42041(aa)(5), 42041(e)(1)(A), 42041(af), 42041(ai), 
42041(aj), 42050(a), 42051(b)(2)(A)(i), 42051.1(c)(7), 42051.1(e)(2- 3), 42051(i)(3)(H), 
42053(e)(5)-( 6), 42057(a)(2), 42057(c)(2), 42057(c)(5), 42057(d)(2)(A), 42057(d)(2)(D), 
42057(f)(3), 42057(h)(1)(C -D), 42060(a)( 3)-(4), 42060(d),  42067(e)(3)(C), 
42067(e)(5)(I), Public Resources Code.  
 
§ 18980.2.4 . Covered Material Category List Updates      
(a) The Department shall periodically review the covered material category elements 
within the timeframe specified by section  42061 of the Public Resources Code and, 
as appropriate, update the CMC l ist after its review.     
(b) As appropriate for the respective element, sources of information for the review may 
include, but are not limited to, those identified in section  42061(b)(2) of the Public 
Resources Code and information submitted pursuant to section  42061(f)(3) of the 
Public Resources Code  in a timely manner.     
(1) The Department may deem information received after August 1 of each year 
to be untimely. Information deemed untimely by the Department may be 
ineligible for evaluation during the current calendar year.    
(2) Information intended to inform the Department’s review of the CMC List shall be sent electronically in a form and manner approved by the D epartment.      
 
29 
  
Authority: Sections 40401, 40502, 42060, 42061,  Public Resources Code.   
Reference: Sections42041(f), 42061, Public Resources Code.  
 
§ 18980.2.5. Covered Material Category List Recommendation s  
(a) A PRO, participant producer or Independent Producer  may recommend changes to 
the current CMC list.  
(b) All recommendations shall be submitted electronically and include the following:     
(1) A description of the recommended changes, specifying which elements of the CMC list are impacted by the recommended changes.      
(2) CMCs affected by the recommended change, including those suggested for addition or removal.  
(3) All data, analysis, forecasting, or projections pertaining to the 
recommendation and a description of the methodologies on which they rely.   
(4) How the CMC recommendations will meet requirements pursuant to Section 
42050 as applicable and how the producer responsibility plan may be 
impacted and adapted accordingly.  
(5) A list of producers, responsible end markets, or other entities recommending the change, including contact information for each.  
(6) Documentation demonstrating circumstances requiring the recommended change, including but not limited to, data not considered in the existing 
evaluations, changes in infrastructure, updated acceptance rates at 
responsible end markets, new innovations in ma terials, products, or 
technologies.      
(7) Financial implications and impact of recommended changes on affected 
entities including but not limited to, responsible end markets, and intermediate 
supply chain entities, and, where applicable, include information concerning 
the necessity of expanding or  creating new facilities and viability of 
responsible end markets  pursuant to section 18980.4.4 if the change is made.  
(8) A PRO shall additionally include financial implications for the fee schedule for 
participant producers and eco-modulated  formulas.     
 
30 
 (c) Participant producers that submit recommendations to the D epartment shall 
additionally submit a copy to the PRO (s), and Independent Producer s shall submit 
recommendations to the D epartment.  
(d) The Department may request additional information from a PRO, participant 
producer or Independent Producer  when evaluating recommendations.     
 
Authority: Sections 40401, 40502, 42060,  42061, Public Resources Code.   
Reference: Sections 42041(f ), 42061, Public Resources Code.   
 
§ 18980.2. 6. Effective Scope of Exemptions   
 
(a) The Department may, in its sole discretion, deem any exemption granted under 
this article to apply to products and covered materials not specifically identified in 
an application for an exemption if the exemption necessarily applies to, or is 
necessarily justified with respect to,  additional, similar products or covered 
materials . Such exemptions shall be based on the same factors that would be 
considered through applications for the exemptions under this Article . The 
exemption may, for example, be deemed to apply to an entire class of products 
or covered material . Exemptions that apply to classes of covered materials may 
not necessarily cover all covered materials in a particular covered material category.  
(b) The Department may issue an exemption to a class of products or covered 
materials regardless of whether the exemption was requested in any application. 
The Department shall  base its decision to grant an exemption without having 
received an application pursuant to this article on information and evidence that 
would have been required to be provided to the Department in an application for 
such an exemption.  Decisions under this subdivision shall be based on the same 
factors that would be considered through ap plications for the exemptions under 
this Article.  
(c) In addition to satisfying all other requirements under this Article applicable to the exemption sought, applications for exemptions  may identify , as precisely as    
 
31 
 possible,  a class of products or covered materials and provide information and 
evidence t o demonstrate why the justification for the exemption necessarily 
applies to such general class . Regardless of whether an application includes  
such optional information and evidence, the Department may deem the 
exemption granted in response to the application to apply to a class of products 
or covered materials , as described in subdivision ( b). 
(d) The Department shall publish on its website all issued exemptions that apply to 
classes of products or covered materials.  
(e) The provisions of this article concerning expiration  or termination of exemptions 
and the requirements for maintaining an applied -for exemption shall apply 
regardless of whether the Department deems the exemption to apply to products 
or covered materials not identified in an application. The Department may, 
however , deem an exemption to apply  for more than one year or to be extended 
without any additional action by a PRO or producer if it determines, in its sole 
discretion, that the basis for the exemption continues to justify the exemption 
pursuant to the standards set forth in this article.   
Authority: Sections 40401, 40502, 42060, Public Resources Code.   
Reference: Sections  42040, 42041(e),  42041(f), 42041(aa), 42041(af) ,42041(aj),  
42050(a), 42051(b)(2)(A)(i), 42051.1(c)(7), 42051.1(e)(2- 3), 42051(i)(3)(H), 
42053(e)(5) -(6), 42057(a)(2), 42057(c)(2), 42057(c)(5), 42057(d)(2)(A), 42057(d)(2)(D), 
42057(f)(3), 42057(h)(1)(C )-(D),  42060( a)(3),  42060(d),  42061, 42067(e)(3)(C), 
42067(e)(5)(l), Public Resources Code.        
 
32 
 Article 3: Evaluations of Covered Material  and Covered Material Categories  
 
§ 18980.3. Recyclability  
(a) For purposes  of this chapter, as further described in section 18980.3.2(a)(1),  
covered material shall not be considered recycled before it has been accepted by a 
responsible end market.  
(b) For the purposes of this chapter  and the Act , a covered material category shall be 
considered recyclable only if all materials within the category necessarily satisfy the 
categorical basis for being considered recyclable, as set forth in section 
42355.51(d)(2)  of the Public Resources Code. 
(c) To be considered recyclable for purposes of 42050(b)  of the Public Resources 
Code, covered material must either : 
(1)  be within one of the covered material categories on the list maintained by the 
Department pursuant to subdivisions (c) and (e) of section 42061 of the 
Public Resources Code and, subject to subdivision ( e), satisf y the additional 
criteria listed in section 42355.51(d)(3) of the Public Resources Code; or  
(2) be excepted from the requirements of sections 42355.51 (d)(2) and 
42355.51(d)(3) of  the Public Resources Code pursuant to sections 
42355.51(d)(4), 42355.51( d)(5), or 42355.51 (d)(6)  of the Public Resources 
Code. 
(d) For purposes of determining compliance with the criteri on identified in section 
42355.51(d)(3) (A) of the Public Resources Code, plastic packaging includes 
components, inks, adhesives, or labels that prevent recyclability pursuant to the 
design guide incorporated in the plan pursuant to section 18980.8(e) if , according to 
the design gu ide, either  
(1)  any component, ink, adhesive, or label renders the packaging “non-
recyclable” ; or 
(2) Any component, ink, adhesive, or label “requires test results,” unless the 
producer has obtained the required test results  described in the design guide  
from a  laboratory having an ISO/IEC 17025:2017 accreditation (issued by a 
body described in section 18981(b)(1))  and provided such results to the PRO    
 
33 
 (for PRO plan participants) or  to the Department (upon request by the 
Department ). 
(e) In addition to meeting the requirements of subdivision (d), covered material that is 
food packaging or food service ware  must  compl y with the material composition 
restrictions set forth in section 17 989.2(a)(1) and section 17989.2(a)(3) of this 
division  as that section existed on January 1, 2023. Upon demand, a producer shall 
provide the Department test results from a  laboratory having an ISO/I EC 
17025:2017 accreditation (issued by a body described in section 18981(b)(1)) 
verifying compliance with section 17989.2(a)(3) of this division. A PRO may provide 
such test results on behalf of a producer.  
(f) For covered material to be considered recyclable pursuant to section 42355.51(d)(4) 
or section 42355.51(d)(5) of the Public Resources Code, the following requirements 
apply : 
(1) Participant producer s shall demonstrate to their PRO how the  materials  meet 
the requirements  of section 42355.51(d)( 4) or section 42355.51(d)(5) 
(A) A PRO  shall establish a process to evaluate whether a particular 
covered material meets the requirements.  The process  shall  be 
describe d in their plan.  
(B) A PRO shall specify in their annual report  which covered materials are 
considered recyclable pursuant to section 42355.51(d)(4) or section 42355.51(d)(5) and which participants use the covered materials.  
(C) A PRO shall conduct periodic audits and investigations of the identified covered materials and participant producers to ensure the covered 
materials continue to meet the requirements specified in section 
42355.51(d)(4) or section 42355.51(d)(5) of the Public Resources 
Code. The results of any audits and investigations shall be included in 
a PRO’s annual report. All investigations and audits shall be conducted 
by an independent third- party, with all financial audits being conducted 
by an independent public accountant certified in the United States. The Department shall have full access to any results of an audit or 
investigation.     
 
34 
 (2) Independent Producer s shall:  
(A) Specify in their plan any covered materials that meet the requirements 
of section 42355.51(d)(4) or section 42355.51(d)(5) of the Public 
Resources Code and shall include data to support their claims.  
(B) Annually demonstrate to the Department that the covered material continues to the meet the requirements of section 42355.51(d)(4) or 
section 42355.51(d)(5) of the Public Resources Code by including in 
their annual report a verification that the requirement s are continuing to 
be met and data to support their claims.  
 
Authority: Sections 40401, 40502, 42041(aa)(5) and (ad), 42060, Public Resources 
Code. 
Reference: Sections 42040(b)(2)(B), 42041(aa), 42050, 42061(c ) and  (e), 42355.51, 
Public Resources Code . 
 
§ 18980.3. 1. Recyclability of Certain Covered Material Categories Identified by the 
Department  
 (a) Pursuant to section 42061(a)(3)(B)  of the Public Resources Code , the Department 
may identify covered material categories exempted from section 42355.51(d)(2)  of 
the Public Resources Code for the purposes of this Act, provided they comply with 
all other restrictions on being considered recyclable set forth in section 42355.51 of 
the Public Resources Code. Subject to the requirements of this section, the 
Department shall add such covered material categories to the list of covered 
material categories maintained by the Department under section 42061(c) and 
42061(e)  of the Public Resources Code.  
(b) To be considered recyclable under this section, a covered material category must first be preliminarily identified by the Department when the Department publishes the 
update mandated by section 42355.51(d)(1)(B)(ii) of the Public Resources Code to 
the material characterization study initially published pursuant to section 
42355.51(d)(1)(B)(i)  of the Public Resources Code. The Department may    
 
35 
 preliminarily identify a covered material category only if it preliminarily concludes, in 
its sole discretion, that the following conditions are met:  
(1) The update to the material characterization study or other available information demonstrates an increase in the collection and sorting,  of 
materials.  
(2) Such increase is more likely than not to continue.  
(3) Such increase is more likely than not to result in the covered material category satisfying the requirements of section 42355.51(d)(2) of the Public 
Resources Code before the next mandatory update to the material 
characterization study.  
(c) If the Department preliminarily identifies a covered material category  pursuant to 
subdivision (b) , it shall publish the basis for its determination  on its website. The 
Department shall provide an opportunity for public engagement and allow public 
comment and submission of relevant information and evidence. The Department 
shall consider comments and submissions only to the extent that they address the 
following with respec t to the covered material category:  
(1) The likelihood that the covered material category will satisfy the requirements of section 42355.51(d)(2)(A) and section  42355.51(d)(2) (B) of the Public 
Resources Code within the subsequent five years.  
(2) The extent to which statewide recycling programs or alternative programs, 
such as take- back systems, have contributed to the increases in statewide 
collection and sorting recognized by the Department.  
(3) How designation of the covered material category as recyclable on the list 
maintained pursuant to sections  42061(c) and 42061(e)  of the Public 
Resources Code is necessary to avoid disruption of ongoing increases in 
collection, sorting, and viable responsible end markets.  
(4) For assertions that such disruption would be caused by the inability to lawfully 
label particular covered material as “recyclable” or with the chasing arrows 
symbol, submissions must address, in addition to the factors identified in 
subdivision (c) :    
 
36 
 (A) How, and to what extent, absence of the covered material category 
from the recyclable covered material category list inhibits particular 
covered materials from being considered recyclable pursuant to 
paragraphs of section 42355.51 of the Public Resources Code other 
than paragraph (2), such as paragraph (4), (5), or (6).  
(B) How labeling the covered material as “recyclable” or with the chasing 
arrows symbol affects consumer behavior, including with respect to 
disposal for collection by local recycling programs, in a way that will 
affect whether collection, sorting, and develop ment of viable 
responsible end markets will increase.  
(C) How, if at all, use of the term “recyclable” or the chasing arrows symbol 
on labels otherwise will affect collection and sorting operations of 
recycling programs and development of responsible end markets . 
(D) How, if at all, the ability to label items as “recyclable” or with the 
chasing arrows symbol affects existing alternative programs, such as 
takeback systems, or will affect anticipated alternative programs.  
(d) The Department shall review available information and evidence and confirm or withdraw its preliminary identification of covered material categories. The preliminary 
identification shall be deemed confirmed when the Department either adds the covered material category to the list maintained pursuant to sections 42061(c) and 
42061(e) of the Public Resources Code or publishes on its internet website its decision to do so.  The preliminary identification shall be deemed withdrawn unless it 
is confirmed within one year  after the Department publishes it pursuant to 
subdivision (c) .  
(e) The Department may only finalize the identification of a covered material category pursuant to subdivision (b)  if, in its sole discretion, it determines  the following:  
(1) The comments and submissions received pursuant to this section clearly demonstrate that:  
(A) Improvements in statewide recycling programs or alternative programs, 
such as takeback systems, are responsible for the increase in    
 
37 
 statewide collection and sorting rates underlying the Department’s 
preliminary identification of the covered material category.  
(B) Not adding the covered material category to the list published pursuant to section 42061(c) of the Public Resources Code will result in 
disruption of increasing collection, sorting, and development of responsible end markets.  
(2) The comments and submissions received pursuant to this section do not clearly invalidate the Department’s preliminary conclusion that the conditions 
described in subdivision (b) have been satisfied.  
(f) An exemption established pursuant to this section shall be reconsidered by the 
Department according to the process set forth in this section  upon each updat e to 
the information pursuant to Public Resources Code section 42355.51(d)(1)(B)(ii) , 
unless the Department determines, based on such update, information and evidence 
previously submitted, and other information and evidence in its possession, that 
such process is unnecessary for it to determine that the covered material category 
continues to satisfy the requirements of section 42060(a)(3)(B).  
 
Authority: Sections 40401, 40502, 42060, Public Resources Code.  
Reference: Sections 42041(aa), 42050(b), 42061, and 42355. 51 Public Resources 
Code.    
 
§ 18980.3. 2. Methodology for Recycling Rate Determination   
  
(a) Recycling rate shall be calculated using data and methodology as described below:   
(1) Material shall be considered recycled when it has been accepted by a 
responsible end market and is not incompatible material removed by the 
responsible end market.  
(2) The Department may use sources of data [to ascertain the amount of covered material sold, distributed, or imported in the state,] including, but not limited 
to:     
 
38 
 (A) Data from a PRO regarding recycling and generation of covered 
materials pursuant to section 42052 of the Public Resources Code.  
(B) Data reported by facilities registered with the Recycling and Disposal Reporting System pursuant to s ection 18815.1 through 18815.13 of 
this division .  
(C) Data provided by jurisdictions, producers, or other entities.    
(D) Data from other sources, including data submitted voluntarily by producers, that the Department deems relevant.  
(b) Recycling rate shall be calculated using data from the most recent calendar year for 
which data are available.  
(c) Recycling rate shall be calculated based on the weight of materials, rather than volume or number.   
(d) Recycling rate shall be calculated for each covered material category.   
(1) If a covered material comprises multiple components  that are not  detachable, 
the covered material category applicable  to the covered material  as a whole  
shall be used to calculate a single recycling rate, rather than calculating a 
recycling rate for each component.   
(2) If a covered material comprises components that are detachable  and not all 
within a single  covered material categor y, then a recycling rate shall be 
calculated for each detachable component using the covered material 
category applicable to the component.   
(3) If a recycling rate can be calculated for a group of materials representing 
more than one covered material category, and if a recycling rate cannot be 
calculated separately for a covered material category in such group, then the 
recycling rate of the group shall be used for each covered material category in 
the group for which an individual recycling rate cannot be calculated.   
(4) Except as described in subdivision  (e), if there is  insufficient information for 
the Department  to calculate recycling rate for a covered material category  as 
described in this subdivision, then the recycling rate shall be specifie d to be 
“unknown.”     
 
39 
 (5) For a new covered material category created after 2024 for which insufficient 
information exists to calculate recycling rate, the recycling rate shall be 
assumed to achieve the required rate under section 42050(c) of the Public 
resources Code, as may be adjusted pursuant to section  42062  of the Public 
Resources Code, until one year of data is available for the covered material 
category, at which point the recycling rate shall be calculated based on 
available data.   
(e) When a PRO or Independent Producer  calculates an estimated recycling rate and 
reports it to the Department, the same methodology shall be used as described in 
subdivision  (a)(1), (b), (c), and (d ) or an alternative methodology specified in a PRO 
or Independent Producer ’s approved plan. If a PRO or Independent Producer  uses 
an alternative methodology approved by the Department, then the D epartment may 
require the PRO or Independent Producer  to provide the inputs and assumptions 
used in the calculation.   
 
Authority: Sections 40401, 40502, 42060, Public Resources Code.   
References: Sections 42041(ab), 42050, 42051, 42051.3, 42052, 42060(a)(8), 42061, 4206 2, Public Resources Code . 
 
§ 18980.3. 3. Eligibility to be Labeled Compostable  
(a) To be considered “eligible for being labeled ‘compostable’” pursuant to section 42050(b) of the Public Resource Code, covered material must satisfy the criteria set 
forth in Chapter 5.7 of Part 3 of Division 30 of the Public Resources Code (sections 
42355 through 42358.5) for whether products can potentially be labeled 
“compostable.” The criteria concerning the lawfulness of discrete labels themselves, 
such as restrictions on the manner of labeling pursuant to section 42357(g)(1)(D) or 
(g)(2) of the Public Resources Code, shall not be construed to concern eligibility.  
(b) Each covered material categor y on the list published by the Department pursuant to 
section 42061( d) of the Public Resources Code shall include each the categor y that 
encompass es discrete covered material that, provided it meets the requirements 
applicable to discrete covered materials set forth in subdivision (c), is eligible to be    
 
40 
 labeled compostable. To be listed, a covered material category must satisfy the 
criteria set forth in section 42357 of the Public Resources Code that are applicable 
on a category -by-category basis. In particular:  
(c)  
(1) Materials within the covered material category must satisfy the requirements 
set forth in section 42357(g)(1)(B) of the Public Resources Code  or 
regulations adopted pursuant to it, whichever are applicable.  
(2) Materials within the covered material category satisfy t he requirement set 
forth in section 42357(g)(1)(E)  of the Public Resources Code, as it may apply  
according to its terms, concerning association with the recovery of desirable 
organic wastes. The Department’s evaluation of whether covered material 
categories satisfy this requirement may consider evidence of acceptance 
rates submitted with a recommendation for an update to the covered material 
category list pursuant to s ection 18980.2. 5. To be considered  designed to be 
associated with the recovery of desirable organic wastes collected for 
composting, the material must be within a covered material category that 
satisfies following collection and acceptance thresholds:  
(A) Prior to January 1, 2026, the covered material category is composed of materials that are regularly collected for composting by at least 50 
percent of organic waste recycling programs statewide and accepted 
by at least 50 percent of the compost facilities in the state that are 
permitted to accept mixed materials.  
(B) Effective January 1, 2026, the covered material category is composed 
of materials that are regularly collected for composting by at least 75 
percent of organic waste recycling programs statewide and accepted 
by at least 75 percent of the compost facilities  in the state that are 
permitted to accept mixed materials.  
(d) To be eligible to be labeled compostable, discrete covered material must satisfy the 
following criteria, as applicable:  
(1) It must be within one of the covered material categories listed pursuant to 
section 42061(c) of the Public Resources Code.     
 
41 
 (2) It must not have characteristics that cause it not to comply with the 
requirements stated in subdivision (b).  
(3) It must be certified as required by section 42357(g)(1)(A)  of the Public 
Resources Code, if made effective according to its terms, including the 
condition that the Department shall have approved at least one third -party 
certification entity  pursuant to section  18981 . This requirement shall not apply 
to covered materials  that are exempt from this paragraph according to 
paragraph (4).  
(4) If it does not satisfy  the requirements of  paragraph (3) , the covered material 
must be exempt from the certification requirement  pursuant to section 
42356.1(d) of the Public Resources Code  because it com prises  fiber and 
does  not incorporate any plastics or polymers, as defined in section 
18980. 1(a)( 27). Applicability of this exemption shall  be demonstrated as 
follows:  
(A) A complete listing of all substances, none of which may be plastic, 
present in the covered material,  used as an ingredient to produce the 
covered material , adhered to, or that is  otherwise a component of the 
covered material  regardless of whether the materials were added 
intentionally  or the  means by which they were added .  
(B) The absence of plastic other than plastic  present due to contamination 
present in the product that was not caused by equipment or processes used in manufacturing. Satisfaction of this criterion must be confirmed 
by a laboratory having an ISO/IEC 17025:2017 accreditation issued by 
a body described in s ection 18981(b)(1) . The laboratory shall utilize a 
methodology determined by the laboratory to be appropriate for 
confirming compliance with this subparagraph. The laboratory shall be 
provided with the information required in paragraph (A) and information 
regarding the manufacturing process necessary for the laboratory to 
make such determination.  
(C) If the produc er of the covered material  is a participant in a PRO, the 
producer shall demonstrat e compliance with subparagraphs (A) and    
 
42 
 (B) to the PRO. The PRO shall establish a process for accepting 
documentation proving compliance and for protecting confidential 
information contained therein.  
(D) Upon request by the Department, the producer shall demonstrate 
compliance with subparagraphs (A) and (B)  directly  to the Department.  
(E) A single demonstration of compliance as described in subparagraphs 
(A) and (B) shall apply to  all products certified  in writing  by the 
producer to have an identical material type, contain identical 
substances, and have identical composition.  
(e) Satisfying the requirements of this section or any other provision of this a rticle shall 
not be construed as necessarily satisfying any requirement of section  42357 of the 
Public Resources Code  for any purpose other than deeming covered material 
compliant with section 42050(b)  of the Public Resources Code.  
(f) The provisions of this article shall not be construed as setting forth all the 
requirements for a particular label or labeling practice to comply with applicable 
requirements of sections 42355 through 4235 8.5 of the Public Resources Code or 
any other law . 
 Authority: Sections 40401, 40502, 42060, Public Resources Code.   
Reference: Sections 42041(aa)(5), 42050, 42061, 4235 5 through 42358.5, Public 
Resources Code.  
 
§ 18980.3. 4. Independent Third- Party Validation for Postconsumer Recycled 
Content  
 
(a) To be approved by the D epartment  as an independent third party for purposes of 
validating postconsumer recycled content pursuant to section 42053(e)(1)  or 
42057(a)(2)(B)(i) of the Public Resources Code , an entity must satisfy the following 
criteria:  
(1) Has 17065:2012  ISO/IEC accreditation issued by an accrediting body that is a 
signatory member of either the International Accreditation Forum or the    
 
43 
 International Laboratory Accreditation Cooperation, or both, or is a signatory 
to a mutual recognition arrangement established by either organization.  
(2) Must be independent, impartial, and not have any conflict of interest with respect to issuing the validation s. Without limitation, the entity shall be 
deemed not to satisfy this requirement if any of the following are true:  
(A) It holds any financial interest, whether direct or indirect, in any entity 
that is the producer of any product having the required validation ;  
(B) Other than for its services as a testing lab, transact s business with any 
producer of a product subject to the validation requirement, whether 
such business is with the person directly or indirectly, such as through 
affiliates of the person.  
(C) Is party to any agreement under which any other entity agrees to refer persons to it.  
(b) A third -party v alidation  entity shall request approval, or renewal of a prior approval, 
by submitting the following in the manner prescribed by the Department:  
(1) Contact information.  
(2) Documentation of the accreditation required pursuant to subdivision (a)(1). 
Identifying an accrediting body’s directory or other publication.  
(3) Identifying the entity as holding the accreditation required under this section shall be deemed sufficient documentation.  
(4) An affidavit, subject to the penalty of perjury, that the entity satisfies the requirements for approval pursuant to paragraph (a)(4).  
(c) The Department’s approval of a third- party v alidation entity shall expire on January 1 
of the fifth calendar year following the calendar year in which the D epartment 
approved the entity or as of the date the entity’s accreditation expires or otherwise becomes invalid.  
(d) No earlier than two  years before expiration of the D epartment’s approval, the entity 
may request renewal. Renewed approvals shall expire in the same manner as initial 
approvals, as described in subdivision (c).  
(e) The Department shall maintain on its website a list of currently approved third-party 
validation entities for postconsumer recycled content validation . Notwithstanding a    
 
44 
 third-party v alidation’s presence on such list, it shall be deemed not approved as of 
the date it no longer holds a valid, unexpired accreditation pursuant to subdivision 
(a)(1). A person seek ing adjustment of eco- modulated fees pursuant to section  
42053(e)(1)  of the Public Resources Code  or alternative source reduction credit 
pursuant to section 42057(a)(2)(B)(i) shall be responsible for ensuring that a third-
party validation entity held a valid accreditation as of the date it issued a v alidation . 
(f) Regardless of when a third-party v alidation  entity is added to the list of approved 
entities published pursuant to subdivision (e), the Department’s  approval shall be 
retroactive as of the effective date of the accreditation satisfying the requirements of 
subdivision  (a)(1). 
 Authority: Sections 40401, 40502, 42053(e)(1),  42060, Public Resources Code.   
Reference: Section 42053(e)(1), 42057, Public Resources Code.  
 
§ 18980.3. 5. Disposal of Covered Material  
For the purposes of this chapter, covered material sent to one of the following facilities, 
operations, or used for one of the following activities in or outside of the state, shall be 
deemed to constitute disposal of covered material:  
(a) Final deposition  at a landfill . 
(b) Used as alternative daily cover as specified in section 20690 of Title 27 of the 
California Code of Regulations or intermediate cover as specified in s ection 20700 of 
Title 27 of the California Code of Regulations . 
(c) Energy generation or fuel production, except for anaerobic digestion of source 
separated organic materials.  
(d) Other operations, facilities, or activities with processes that results in the final 
deposition of covered material onto land, into the atmosphere, or into the waters of 
the state or out of the state, including but not limited to, littering, open burning , or 
illegal dumping.   
 
Authority: Sections 40401, 40502, 42060, Public Resources Code.      
 
45 
 Reference: Sections  40120.1, 40192, 40121, 42041(e), (aa), (ab), (ad), and (ai), 42061, 
Public Resources Code . 
    
 
46 
 Article 4: Responsible End Markets  
 
§ 18980.4 . Responsible End Market Determination Criteria   
(a) For an entity to be considered a responsible end market as defined in s ection 
42041(ad) of the Public Resources Code, that entity shall meet the following criteria:   
(1) The entity shall be compliant, which means the entity operates with all 
required permits, licenses, and other clearances that may be required by 
local, state, or federal regulatory agencies including, but not limited to, local 
health and local land use aut horities.   
(2) The entity shall be transparent, which means the entity shall:    
(A) Document the chain of custody of materials transported from 
origination to the end market.   
(B) Maintain any relevant records pertaining to the chain of custody.   
(C) Document any complaints, penalties, violations, or other forms of 
enforcement action taken against the entity.   
(D) Maintain any relevant records pertaining to any permits, licenses, or other clearances required by local, state, or federal regulatory 
agencies.   
(E) Be willing to be named, audited, and/or inspected by a PRO or an 
Independent Producer  pursuant to s ection 18980. 4.3.  
(F) Provide any records identified in subparagraph (A) through ( D) to a 
PRO or Independent Producer. The PRO or Independent Producer  
shall produce these records to the D epartment upon the request of the 
Department.   
(G) Specify to the PRO, the D epartment, and any Independent Producer s 
the types of covered materials and covered material categories the end 
market will collect.    
(3) The entity shall maximize benefits to the environment and minimize risks to public health and safety, which means:   
(A) The entity shall recycle covered material consistent with this chapter.   
(B) The entity shall handle incompatible materials in the following manner:      
 
47 
 (i) For incompatible materials that can be further processed and 
recycled, the end market shall send materials to entities that are 
authorized to further process and recycle the material.   
(ii) For incompatible materials that cannot be further processed and 
recycled, the end market shall dispose of the material in a way 
that prevents environmental , public health,  and safety risks .  
(C) The entity shall provide documentation to a PRO or Independent 
Producer  that describes how it recycles covered materials and how the 
entity works to minimize and manage emissions, effluents, and 
residuals.   
(4) The entity shall achieve adequate recycling yields for recyclable covered materials, as specified in sub paragraph (A), or fully convert compostable 
covered materials or covered material made of wood or organic material into 
a recycled organic product, specified in sub paragraph (B):  
(A) Adequate recycling  yield means:   
(i) An entity shall achieve yields of recycling pursuant to the 
percentage identified in the most recent  statewide needs 
assessment . 
(ii) Yield shall be calculated by taking the total weight of material 
that is successfully remanufactured and dividing by the total 
weight of the recyclable material that is accepted by the end 
market.  
(B) Fully convert compostable covered material or covered material made of wood or organic material into a recycled organic product means 100 
percent of the covered material is converted into a recycled organic 
product. If the end market does not fully con vert the covered material 
into a recycled organic product and disposes the unconverted portion, 
the end market shall not be deemed responsible.   
(b) For the purposes of this article, “end market” means the following:   
(1) For covered material made of glass, “end market” means the entity that first 
uses the glass in lieu of a virgin material downstream of the beneficiation    
 
48 
 plant, including, but not limited to, a bottle manufacturer, a fiberglass 
manufacturer, a pozzolan producer, or a producer of any other packaging or 
product made of glass.   
(2) For covered material made of metal, “end market” includes but is not limited 
to, the entity that smelts metal and produces ingots, sheets, coils, or other 
materials that are subsequently refabricated into a packaging or product made of metal.   
(3) For covered material made of paper or fiber:   
(A) “End market” includes but is not limited to, the entity that re-pulps the 
material into a pulp product that is sold to paper manufacturers or used 
to produce paper, paperboard products, or molded pulp products.   
(B) If material is processed without repulping, the “end market” includes but is not limited to, the entity that uses the beneficiation waste paper  
to produce a product that is sold without further processing or 
manufacturing.   
(4) For covered material made of plastic, the end market includes but is not limited to, an entity that creates a new product by molding, extruding, or 
thermoforming processed material.   
(5) For compostable covered material or covered material made of wood or organic materials, the end market includes but is not limited to, an entity that 
converts the material into a recycled organic product.   
(6) For covered material that  comprise s multiple material types and ha s a 
combination of components that are not detachable, the end market for that 
covered material shall be an end market, as defined in paragraph s (1) 
through (5), for the dominant material type. Dominant material type is the 
material type that the covered material is predominant ly made of  by weight . 
(7) For covered material that is  comprised of multiple material types and have 
detachable components , the end market for the covered material shall be the 
end markets of each respective material type for each detachable component.  
(8) For covered material that is eligible for different types of end markets, any of 
the eligible end markets shall be deemed valid.      
 
49 
  
 Authority: Sections 40401, 40502, 42041(aa)(5) and (ad), 42060, 42057(j), Public 
Resources Code.   
Reference: Sections 42041(e), (aa)(5), and (ad), 42051, 42051.1(c), 42057(f)(3) and (j), 
42061(a)(3), Public Resources Code.  
 
§ 18980.4.1 . End Market Identification   
(a) A PRO or Independent Producer  shall include in their plan the method by which they 
intend to identify and verify  responsible end markets. The method shall:   
(1) Describe how end markets will be identified.   
(2) Describe the process by which a PRO or Independent Producer  will evaluate 
how each end market meets the standards defined in s ection 18980.4(a).   
(b) A PRO or Independent Producer  shall ensure that any intermediate supply chain 
entity operates with all required permits, licenses, or other clearances that may be 
required by local, state, or federal regulatory agencies including, but not limited, to 
local health, local land use, and transportation authorities.   
(c) For any independent supply chain entity that manages covered material, the end 
market or independent supply chain entity shall agree to:   
(1) Maintain chain of custody information for any collected covered material or intermediate product.   
(2) Supply the information to a  PRO or Independent Producer  upon request.   
(d) If a PRO or Independent Producer  receives information pertaining to subdivision (c), 
the PRO or Independent Producer  shall:   
(1) Provide the information to the D epartment upon request.   
(2) Keep all information confidential to all entities other than the D epartment.   
(e) A PRO  or Independent Producer  shall maintain records of any contracts or 
agreements established with end markets  and intermediate supply chain entities.   
  
Authority: Sections 40401, 40502, 42041(aa)(5) and (ad), 42060, 42057(j), Public 
Resources Code.   
Reference: Sections 42041(aa)(5) and (ad), 42051, 42051.1, 42057(j), Public 
Resources Code.     
 
50 
  
§ 18980.4.2 . End Market Verification   
(a) A PRO or Independent Producer  shall conduct an annual verification of each end 
market it uses. The verification shall include:   
(1) Records of noncompliance by an end market.   
(2) Descriptions of any corrective actions that were taken to ensure an end 
market became compliant.   
(3) Descriptions of any instances where a  PRO or Independent Producer  
prohibits sending materials to an end market  due to that entity’s 
noncompliance.   
(4) Records of complaints made against the end market.  
(b) A summary of  the verification shall be included in the annual report.   
  
Authority: Sections 40401, 40502, 42041(ad), 42060, Public Resources Code.   
Reference: Sections 42051, 42051.1(m), 42051.3, Public Resources Code.  
 
§ 18980.4.3 . End Market Audits and Investigations   
(a) A PRO or Independent Producer  shall have annual audits and investigations of 
responsible end markets conducted and completed. All investigations and audits shall be conducted by an independent third-party, with all financial audits being 
conducted by an independent public accountant c ertified in the United States.   
(b) While investigating or auditing a responsible end market, a PRO or Independent 
Producer  may employ randomized material tracking. Material tracking may include 
but not limited to bale tracking and tracking of intermediate products.   
(c) A PRO or Independent Producer  shall include the results of an investigation and 
copies of any audits conducted in the annual report. The D epartment shall have full 
access to any results of an investigation or audit.   
(d) If the D epartment deems necessary, the Department may require a  PRO or 
Independent Producer  to initiate an audit or investigation of a responsible end 
market.   
(e) The Department may request a  PRO or Independent Producer  to provide any 
records pertaining to responsible end markets. All requested records shall be    
 
51 
 unredacted. A PRO or Independent Producer  may specify what information should 
be kept confidential and explain why that information should be kept confidential.   
(f) If the D epartment finds that a responsible end market identified by a PRO or 
Independent Producer  fails to meet the standards specified in s ection 18980.4(a), 
the end market is no longer a responsible end market and any covered material sent 
to that end market shall not be considered recycled or composted for purposes of 
compliance with the Act.  
(g) The Department may deem the information contained in investigation records 
provided by a PRO or Independent Producer  to be sufficient to establish violations of 
the requirements of this Article and chapter.   
 
Authority: Sections 40401, 40502, 42041(ad), 42060, Public Resources Code.   
Reference: Sections 42041(aa)(3), (e)(2)(H) and (ad), 42051, 42051.1, 42053, Public 
Resources Code.  
 
§ 18980.4.4 . End Market Viability   
(a) To ensure viability of responsible end markets, a  PRO or Independent Producer  
shall:   
(1) Provide financial support to help existing end markets that do not meet the 
standards specified in s ection 18980.4(a) to meet those standards.   
(2) Provide financial support to help divert materials from an end market that 
does not meet the standards specified in s ection 18980.4(a) . 
(3) Develop new responsible end markets for covered materials and explore alternatives for covered materials that do not have a responsible end market. 
Alternatives include, but are not limited to, investing in refill and reuse 
infrastructure to facilitate the phasing out of covered materials lacking 
responsible end markets.   
(4) If the covered material is made of a material type that does not have a 
responsible  end market, as described in s ection 18980.4(b),  that is also 
viable,  a PRO or Independent Producer  shall:   
(A) Conduct a study, within a two -year period, that:      
 
52 
 (i) Evaluates technology that could be used to recycle the covered 
material and ensure that the technology can constitute 
recycling, as defined in section 42041(aa)  of the Public 
Resources Code.  
(ii) Evaluates the feasibility of collecting, transporting, processing, 
and recycling the covered material.  
(iii) Evaluates how the end market can meet the standards specified 
in section 18980.4(a).  
(iv) May also include pilot programs to test components specified in clauses  (i), (ii), or (iii).  
(B) If a PRO or Independent Producer  believes a viable responsible end 
market exists for such covered material, a PRO or Independent 
Producer  shall include in the plan or a plan amendment:   
(i) Description of the end market.  
(ii) Justification of how the end market meets the standards specified in s ection 18980.4(a).  
(iii) Description of the viability of the end market.  
(iv) Budget and investment strategy that describes how a PRO or 
Independent Producer  will fund the development of the end 
market, along with any necessary development of collection, 
transportation, and processing infrastructure.  
(v) Timeline detailing proposed end market development.  
(C) If a PRO or Independent Producer  believes a viable responsible end 
market does not exist for such covered material, a  PRO or 
Independent Producer  shall invest in alternatives to that covered 
material to facilitate the phasing out of the covered material. 
Alternatives may include, but not be limited to, investing in refill and 
reuse infrastructure that reduces reliance on the covered material.   
(5) When a PRO or Independent Producer  decides to conduct a study pursuant 
to paragraph (4), a PRO or Independent Producer  shall notify the D epartment 
and disclose the date in which the study was initiated.      
 
53 
  
Authority: Sections 40401, 40502, 42041(ad), 42060, Public Resources Code.   
Reference: Sections 42041(aa)(3), (e)(2)(H) and (ad), 42051, 42051.1, 42053, Public Resources Code.  
     
 
54 
 Article 5: Requirements for Producers  
 
§ 18980.5. Producer Compliance  
(a) Pursuant to s ection 42051(b)  of the Public Resources Code, producers shall join an 
approved PRO  as a participant producer  or apply to become an Independent 
Producer  pursuant to section 18980.5.1.   
(b) Entities  that become producers after January 1, 2027, shall , within six months of 
becoming a producer, join an approved Producer Responsibility Organization as a 
participant producer or apply to become an Independent Producer  pursuant to 
section 18980.5.1 .  
(c) Participant producers  that no longer participate in a PRO , shall within six months 
from the date of dismissal, or voluntary dissolution, apply to become an Independent 
Producer  pursuant to section 18980.5.1, or shall cease selling, offering for sale, 
importing, or distributing covered materials in the state.    
 
Authority: Sections 40401, 40502, 42060, Public Resources Code,  
Reference: Section 42051, Public Resources Code,  
 
§ 18980.5. 1. Application for Independent Producer  Compliance  
(a) A producer seeking to comply with the Act  without joining a PRO  shall submit an 
application for individual compliance to the Department  and register with the 
Department pursuant to section 18980.10( a). The application shall be submitted 
electronically and shall, at minimum, include the following:  
(1) Producer information : 
(A) Legal entity name (a fictitious business name is not sufficient)  
(B) Business mailing address  
(C) Primary business address (physical address; must not be a post office 
box) 
(D) Business phone number  
(E) Business email address     
 
55 
 (2) Types of covered material  the producer is selling, offering for sale, importing, 
or distributing in or into the state .  
(3) Information that demonstrates compliance with the requirements of s ection 
42051(b) (2)(A) of the Public Resources Code.   
(b) The Department shall approve or deny an application.    
(c) Upon denial of  the application , the producer shall, within six months, join a PRO as a 
participant producer,  or shall cease selling, offering for sale, importing, or distributing 
covered materials in the state.    
(d) Upon approval  of the application , the producer shall comply with the requirements of 
this chapter as an Independent Producer .   
 
Authority: Sections 40401, 40502, 42060,  Public Resources Code.   
Reference: Sections 42041(y), 42051, Public Resources Code.  
 
§ 18980.5. 2. Exemptions for Small Producers  
(a) A producer seeking an exemption pursuant to s ection 42060(a)(5)  of the Public 
Resources Code shall submit an application  electronically  to the D epartment . The 
application shall include but not be limited to the following:  
(1) Producer Information:  
(A) Legal entity name (a fictitious business name is not sufficient)  
(B) Business mailing address  
(C) Primary business address (physical address; must not be a post office 
box) 
(D) Business phone number  
(E) Business email address  
(2) Proof showing the producer in the most recent calendar year, had gross sales 
of less than one million dollars ($1,000,000) in the state.  
(3) Nature of the producer ’s sales, distribution, or imports, including but not 
limite d to storefront , internet website,  or other online presence.      
 
56 
 (4) Records of each of the covered materials by  covered material categories 
sold, offered for sale,  distributed, or imported into the state, including, but not 
limited to:  
(A) Name and description  
(B) Number and weight sold, offered for sale, distributed, or imported 
annually  
(b) The Department shall review and evaluate an application. The Department may  
approve an application if,  in the Department’s discretion, it meets the requirements 
of this section.  If the application is approved, t he exemption is effective on the date 
the application is approved and is valid for one year from the approval date.  
(c) To maintain an exemption, the small  producer  shall, up to 90 days prior to  the 
expiration date, s ubmit updated information to the Department as specified in 
subdivision  (a)(1)(A). If approved, the exemption shall be extended for one additional 
year with the new expiration date being a year later from the original expiration date.  
(d) A producer no longer exempt pursuant to this section  shall be subject to the 
requirements of t he Act pursuant to s ection 18980.5 . 
 Authority: Sections 40401, 40502, 42060, Public Resources Code.   
Reference: Section 42052(d) and (e), 42060(a)(5), Public Resources Code.  
 
     
 
57 
 Article 6: Requirements for the Producer Responsibility Organization  
 
§ 18980.6 . General Requirements  
(a) In notifying the Department of information required by  section 42051(d ) of the Public 
Resources Code, a PRO shall inclu de the following information, as applicable: 
(1) For an instance of  producer non -compliance, including producers that are 
non-compliant because they are the producer of covered material within a 
non-compliant covered material category, delineated by covered material 
category : 
(A) The name of the producer . 
(B) Name, description, and other information sufficient to uniquely identify 
each  particular product  using the involved covered material . Such 
identification may be achieved, for example, with respect to unique 
physical characteristics, such as the product’s form, materials, and 
dimensions, or identifying information such as a unique stock keeping 
unit (SKU) or global trade item number, such as a universal product 
code (UPC).  
(C) W hat covered material and covered material category was associated 
with that producer.  
(D) The effects of PRO -identified producer non-compliance on the PRO's 
implementation and ability to implement this chapter, including how the 
PRO’s approved plan is affected.  
(E) W hat actions the PRO  has taken or will take to ensure compliance with 
this chapter.  
(2) For a producer that no longer participates in the PRO’s plan, including 
producers that are non-compliant because they are the producer of covered 
material within a non-compliant covered material category, delineated by 
covered material category : 
(A) Information specified in subparagraphs (1)(A) through (C).  
(B) The r eason  provided, if any, by  the producer for ceasing to participate 
in the PRO’s approved  plan.     
 
58 
 (C) If the producer was dismissed by the PRO, provide reasons  for 
dismissal along with any supporting documentation.  
(D) The effects of PRO -identified producer non-compliance or non -
participation on the PRO's implementation and ability to implement this 
chapter, including how the PRO’s approved plan is affected.  
 Authority: Sections 40401, 40502, 42060, 42063, Public Resources Code.   
Reference: Sections 42051, 42051.1(a) and (m), Public Resources Code.  
 
§ 18980.6.1 . Producer Responsibility Plan Submission  
(a) A PRO approved by the D epartment pursuant to section 42061.5 of the Public 
Resources Code shall on or before April 1, 2026 , prepare and submit a producer 
responsibility plan pursuant to s ection 42051.2 of the Public Resources Code.  
(b) A successor or additional  PRO approved by the Department pursuant to s ection 
18980. 14, shall prepare and submit a producer responsibility plan pursuant to 
section 42051.2.  of the Public Resources Code within  six months  of approval . 
(c) A producer responsibility plan shall meet all applicable requirements specified in 
section 18980.8 and section 18980.8.1.  
(d) Upon submittal of the producer responsibility plan to the Advisory Board, the PRO shall make the plan available for review and public comment by, at minimum, 
posting the plan to its internet website.  
(e) Upon submittal of the producer responsibility plan to the D epartment, the PRO shall 
include in the revised plan a summary of the comments received from  the advisory 
board and from the  members of the public, responses to any public comments , and 
any other steps taken by the PRO relative to those comments. Additionally, the PRO 
shall make the plan available for public re view by, at minimum, posting the plan to its 
internet website  until an approved plan is posted pursuant to s ection 42051.2( c) of 
the Public Resources Code.    
 
Authority: Sections 40401, 40502, 42057(j), 42060, Public Resources Code.   
Reference: Sections 42051.1, 42051.2, 42061.5, Public Resources Code.     
 
59 
  
§ 18980.6.2 . Producer Responsibility Plan Approval  
(a) If the plan is conditionally approved by the Department, the PRO shall, on or before 
the last day of each following m onth from the date of conditional approval, provide 
the Department the following:  
(1) Estimated date for resubmittal of revised plan.  
(2) Status updates of each condition specified by the D epartment and how it is 
being addressed.  
(b) For purposes of this section, conditional approval is a preliminary determination that 
certain elements of the plan do not meet  applicable requirements but that, if  certain 
conditions are met, final approval will be warranted. Such conditions may include, 
without limitation, clarification to remove ambiguities or addition of information or 
data demonstrat ing that particular requirements have been met.  
(c) A plan approved by the D epartment is valid for five years and the expiration date of 
the PRO’s approved plan shall be five years from the date of approval by the 
Department.     
 Authority: Sections 40401, 40502, 42060, 42063, Public Resources Code.  
Reference: Sections 42051.2(d), 42063, Public Resources Code. 
 
§ 18980.6.3 . Review of Updated Producer Responsibility Plan  
(a) A PRO shall submit a proposed updated plan at least one (1) year before the 
expiration date of their producer responsibility plan to the advisory board.  
(b) An updated plan shall meet all applicable requirements specified in s ection 18980.8, 
section 18980.8.1, and s ection 42051.2(d)(2) of the Public Resources Code.  
(c) Upon submittal of the producer responsibility plan to the Advisory Board, the PRO shall make the proposed updated plan available for review and public comment by, 
at minimum, posting the plan to its internet website. No later than 60 calendar  days 
after the PRO’s submission of the proposed updated plan, the advisory board shall 
provide any written comments to the PRO.     
 
60 
 (d) No later than 120 calendar  days after receiving comments from the advisory board,  
the PRO shall provide their revised plan update proposal to the Department along 
with a summary of comments received by the advisory  board and any steps taken by 
the PRO relative to those comments.  In its submission, the PRO shall include in the 
revised, updated plan a summary of the comments received from the advisory board 
and from the members of the public, responses to any public comments, and any 
other steps taken by the PRO relative to those c omments. Additionally, the PRO 
shall make the plan available for public review by, at minimum, posting the plan to its 
internet website until an approved updated plan is posted.   
(e) An updated plan approved by the Department is valid for an additional five years, 
and the expiration date of the PRO’s revised plan shall be five years from the date of 
approval by the D epartment.   
(f) The PRO shall post the updated approved plan on the PRO’s internet website within 
five calendar  days of approval by the D epartment.  
 
Authority: Sections 40401, 40502, 42060, 42063, Public Resources Code.   
Reference: Sections 42051.2, 42063, 42070(h), Public Resources Code.  
 
§ 18980.6.4 . Producer Responsibility Plan Amendments  
(a) A proposed plan amendment that the PRO is required by section 42051.2(e)(1) of 
the Public Resources Code to submit  to the advisory board shall not be considered 
by the Department until at least 60 calendar days  after it was provided to the 
advisory board for review and comment . 
(b) The PRO shall include with the revised plan submitted to the D epartment a summary 
of the comments received by the advisory board and any steps taken by the PRO relative to those comments.  
(c) The PRO shall post the amended  plan on the PRO’s internet website within five  
calendar days of approval by the D epartment.  
 
Authority: Sections 40401, 40502, 42060, 42063, Public Resources Code.   
Reference: Sections 42051.1, 42051.2, 42070(h), Public Resources Code.     
 
61 
  
§ 18980.6.5 . Annual Report and Program Budget   
(a) On or before April 1 of each year, a PRO shall submit to the D epartment an annual 
report and budget pursuant to section 42051.3 of the Public Resources Code.  
(b) Upon submittal of annual report and annual budget to the D epartment, the PRO 
shall make the report and budget available for the public by, at minimum, posting it  
to its internet website until an approved annual report and annual budget is posted 
pursuant to subdivision ( d).    
(c) The annual report and program budget shall meet the requirements of s ection 
18980.9.  
(d) Within five calendar days after approval of the annual report and annual budget by 
the Department, the PRO shall post  the approved annual report and annual budget 
on the PRO’s internet website.   
  
Authority: Sections 40401, 40502, 42060, 42063, 42057(j), Public Resources Code.   
Reference: Section 42051.3, Public Resources Code.  
 
§ 18980.6.6. Document Submittals   
(a) A producer responsibility plan, updated producer responsibility plan, plan 
amendments, initial program budget, annual report, annual budget, or any document 
associated with the preceding that is submitted to the D epartment by the PRO, shall 
meet all the requirements outlined in paragraphs (1) through ( 4) of this subdivision :  
(1) The document shall be submitted electronically. The date of electronic 
submittal will be considered the date of receipt by the D epartment.   
(2) Submittals are public documents subject to mandatory disclosure under the 
California Public Records Act (Division 10 of Title 1 of the Government Code 
(commencing with section 792.000)) unless an exemption from such 
disclosure applies. The Department shall  withhold from public disclosure 
records that the PRO appropriately identifies as trade secrets, subject to the requirements and limitations set forth in Article 15 . In addition to identifying    
 
62 
 the particular content, as prescribed in Article 15,  claimed to contain trade 
secrets and thus be non-disclosable, the PRO shall identify any portions of 
plans  submitted to the Department that it claim s to be non- disclosable 
because they contain financial, production, or sales data, and shall include 
with the submission a cover letter setting forth its basis for all such claims.   
(3) The document shall be complete and correct.   
(A) The Department shall consider a document to be complete if it 
contains provisions intended to meet all requirements in s ections 
18980. 6.1, 18980.6. 3, 18980.6.4, and 18980.6.5, as  applicable to each 
document, and if it contains sufficient detail for the Department to 
determine if the requirements in the referenced sections have been 
met.  
(B) A document is correct if all information provided is accurate, exact, and 
is certified as specified in subdivision (a)( 4).   
(4) The document shall be provided to the D epartment under penalty of perjury. 
A party, with signatory authority, who is responsible for the contents of the 
document, shall sign the document and provide the following certification 
statement: “I hereby declare, under penalty of perjury, that the inf ormation 
provided in this document is true and correct, to the best of my knowledge.”  
 
Authority: Sections 40401, 40502, 42060, 42063, Public Resources Code.   
Reference: Sections 40062, 42051.1, 42051.3, 42063, Public Resources Code; 
Sections 7921.500,  7922.530, Government Code . 
 
§ 18980.6. 7. Eco-modulated Fee and Fee Schedule  
(a) Prior to approval of a plan, a PRO shall charge all participant producers a fee based 
on the following items as set forth in s ection 42053 (b) of the Public Resources Code:  
(1) Estimated costs of implementing the plan.   
(2) Operating costs of the PRO.   
(3) Costs of completing the needs assessment.      
 
63 
 (4) Costs to cover the environmental mitigation requirements of s ection 42064 of 
the Public Resources Code.   
(5) Costs to reimburse the D epartment.  
(b) Upon approval of a PRO’s plan, the PRO shall charge each participant producer 
annual fees that are eco-modulated as described in the plan. A  PRO shall account 
for the costs to ensure each covered material and covered material category meet 
the requirements of the chapter, including minimization of environmental and public 
health impacts along the entire supply chain of covered materials and/or  covered 
material category.   
(c) If a PRO, pursuant to section 42053(f)  of the Public Resources Code, charges a 
participant producer a special assessment, the PRO shall include the special 
assessment in the fee schedule for participant producers.   
(d) In setting the individual assessments pursuant to section 42053(c)(1)  of the Public 
Resources Code, a  PRO shall:   
(1) Determine the base fee rate for each covered material category.  
(A) In setting the base fee rates, a  PRO shall include a justification of each 
rate. The justification shall address each factor specified in s ection 
42053(d) of the Public Resources Code. The justification for fees shall 
be informed by the data contained in the most recent needs 
assessment, the most recent material characterization studies, source 
reduction data, data pertaining to recycling rates, data pertaining to the 
biodegradation or  disintegration rates of compostable covered 
materials, and other verifia ble data.   
(B) If a PRO’s justification is in contradiction with the results of the most 
recent needs assessment or material characterization studies, the 
PRO in its justification shall provide an explanation of the discrepancy. 
The PRO shall provide supporting documentation and/or data to justify 
the discrepancy.   
(C) A PRO shall set higher base fee rates for covered material categories 
that lack a responsible end market. Moneys collected from this fee will 
be used to fund the necessary investments to develop viable    
 
64 
 responsible end markets for such covered material categories, 
implement source reduction measures for such covered material 
categories, and/or transition to reuse and refill systems to replace such 
covered material categories.  
(D) A PRO may set an alternative reduced base fee rate for a select covered material category if an alternative collection program is 
utilized. The alternative reduced base fee rate shall consider the 
measurable performance of the alternative collection program relative 
to the statewide performance of curbside collection for those same 
materials. Measurable performance factors to consider include, but are 
not limited to, recovery rate, contamination rate, recycling rate, and 
environmental impacts. The alternative reduced base fee rate shall 
only apply to producers who utilize an alternative collection program for 
a specific covered material category. If a PRO sets an alternative 
reduced base fee rate, the PRO shall in their justification, pursuant to 
subparagraph (A), explain how the alternative collection program’s 
measurable performance warrants a reduced base fee rate.   
(2) Calculate the total individual assessment.   
(A) A PRO shall first calculate the base fee for each covered material 
category applicable to the producer. The base fee for a covered material category shall be equal to the [base fee rate of a covered 
material category (B FRCMC)] times the [amount of covered material of 
that covered material category sold, distributed, or imported in or into 
the state within the previous calendar year (ACMSDI)]:   BFRCMC x 
ACMSDI = Base Fee.   
(B) The total individual assessment shall be the sum of the base fees of 
each covered material category.  
(e) In setting any adjustments pursuant to section 42053(c)(2) of the Public Resources 
Code, which includes malus fees charged to a producer and credits awarded to a 
producer, a PRO shall include a justification.      
 
65 
 (1) The justification shall be done by covered material category and shall address 
each factor specified in s ection 42053(e) of the Public Resources Code. The 
justification for malus fees and credits shall be informed by the data contained in the most recent needs assessment, the most recent material 
characterization studies, source reduction data, data pertaining to recycling rates, data pertaining to biodegradation or disintegration rates of compostable 
covered materials, and other verifiable data.   
(2) If a PRO’s justification for malus fees or credits is in contradiction with the 
results of the most recent  needs assessment or material characterization 
studies, the PRO in its justification shall provide an explanation of the 
discrepancy. A PRO shall provide supporting documentation and/or data to 
justify the discrepancy.   
(f) In assessing fees pursuant to section 42053(c)(5) of the Public Resources Code, a  
PRO shall develop a formula to calculate the amount a producer should be 
assessed. Pursuant to section 42064(f)  of the Public Resources Code, the formula 
shall be based on the number of plastic components and weight of plastic covered 
material a producer offers for sale, sells, distributes, or imports in or into the 
state. The PRO shall provide the formula to the Department.  
(g) For purposes of accounting for specific elements that are detrimental to recycling or composting pursuant to section 42053(d)(2) of the Public Resources Code, the 
publications incorporated into a plan pursuant to section 18980.8(e) shall apply. An 
element shall be considered detrimental to recycling according to the design guide 
incorporated pursuant to section 18980.8(e)(1) if, as described in the design guide, 
the element prevents covered material from being considered “preferred,” is 
“detrimental,” renders the covered material “non-recyclable,” or “requires test 
results.”  
(h) Pursuant to section 42053(e)(4) of the Public Resources Code, a PRO shall charge 
a malus fee to producers who use covered material that contains a chemical listed 
on the list established pursuant to section 25249.8 of the Health and Safety Code.   
(i) In awarding credits pursuant to section 42053(e)(6)  of the Public Resources Code, a 
PRO shall:      
 
66 
 (1) Adjust credits based on the number of times a reusable or refillable 
alternative material is used in the supply chain prior to the end of life of the 
alternative material.   
(2) If a material characterization study finds that a refillable or reusable alternative to a covered material  is being frequently disposed for a product, 
the PRO shall stop providing credits to producers who use that alternative material.   
(j) Pursuant to section 42053(e)(7) of the Public Resources Code, a PRO shall provide 
a credit for producers who use plastic covered material derived from renewable 
materials.   
(1) “Renewable materials,” for the purposes of section 42053(e)(7) of the Public Resources Code, means a material that is made of a natural resource that 
can be replenished and is not of petroleum origin. “Renewable material” 
includes but is not limited to materials derived from wood, mycelium, algae, or 
plants such as cotton, corn, sugar cane, or w heat.   
(2) When awarding a credit to participant producers, the PRO shall in its justification specify the feedstocks used to produce the covered material.   
 Authority: Sections 40401, 40502, 42060, Public Resources Code.  
Reference: Sections 42053, 42064(f), Public Resources Code . 
 
§ 18980.6. 8. Recordkeeping and Reporting Requirements  
(a) A PRO shall keep the following records , disaggregated by each participant producer  
where applicable: 
(1) Total weight of covered material, by covered material category sold, distributed, or imported in or into the state.  
(2) Total number of plastic components, by covered material category sold, distributed, or imported in or into the state.  
(3) Total weight of covered material, by covered material category recycled.  
(4) Total number of plastic components, by covered material category recycled.     
 
67 
 (5) Total weight of covered material not recycled, including but not limited to, 
covered material disposed by processors and end markets.  
(6) Total weight of expanded polystyrene food service ware, by covered material category, sold, distributed, or imported in or into the state.  
(7) For each take-back, dropoff, or alternative collection program:  
(A) The total weight of covered material, by covered material category that 
is collected by the program.  
(B) The total number of plastic components, by covered material category that is collected by the program.  
(C) The total weight of covered material, by covered material category collected by the program that is recycled.  
(D) The total number of plastic components, by covered material category collected by the program that is recycled.  
(8) Information pursuant to s ection 42054(a)  of the Public Resources Code. 
(9) All contracts or agreements established with entities including but not limited 
to end markets , recycling service providers and intermediate supply chain 
entities . 
(10) Copies of supporting records that were used in creating those reports  
pursuant to s ection 18980.10. 1. 
(11) Records of information obtained pursuant to s ection 18980.4. 2. 
(12) Copies of audits and investigations pursuant to section 18980.4. 3. 
(13) Records of information obtained pursuant to s ection 18980.3. 3(c)(4)(C) . 
(b) All weights recorded pursuant to this article shall be recorded in tons.  
(c) All records required by this article or by the PRO’s record maintenance protocol shall be maintained for at least three (3) years. An entity subject to requirements under 
this Article or the Act shall, upon written request, immediately provide to the 
Department records necessary to determine compliance with such requirements.  At 
the Department’s option, records shall be provided either by allowing physical 
access during normal business hours to the D epartment or other duly authorized 
regulatory agency or by  submitting them to the D epartment by electronic means.  
    
 
68 
 Authority: Sections 40401, 40502, 42057(j), 42060, Public Resources Code.   
Reference: Sections 42051.1(m), 42052, 42054(a), Public Resources Code.      
 
69 
 Article 7: Requirements for Independent Producer s  
 
§ 18980. 7. Independent Producer  Responsibility Plan Submission 
(a) An Independent Producer  approved by the D epartment pursuant to s ection 
18980.5.1 shall, within six months , prepare and submit a producer responsibility plan 
pursuant to s ection 42051.2  of the Public Resources Code.  
(b) A producer responsibility plan shall meet all applicable requirements specified in 
section 18980.8.   
(c) Upon submittal of the producer responsibility plan to the Advisory Board, the Independent Producer  shall make the plan available for review and public comment 
by, at minimum, posting the plan to its internet website.  
(d) Upon submittal of the producer responsibility plan to the D epartment, the 
Independent Producer  shall include in the revised plan, a summary of the comments 
received from the advisory board and from  members of the public, responses to any 
public comments, and any other steps taken by the Independent Producer  relative to 
those comments. The Independent Producer  shall  also make the revised plan 
available to the public  by, at minimum, posting the plan to its internet website until an 
approved plan is posted pursuant to s ection 42051.2(c)  of the Public Resources 
Code.  
(e) In the event of the termination of a plan by an Independent Producer , the entity shall 
submit a written notice of intent to terminate a plan to the Department. The effective 
date of the termination shall be the date the Department receives such written 
notice, except that, if the written notice indicates that the termination of the plan is 
conditioned upon the Independent Producer becoming a PRO participant , the 
termination shall only become effective as of  the date the D epartment receives 
written notice  that the entity has officially joined a PRO .   
 Authority: Sections 40401, 40502, 42057(j), 42060, Public Resources Code.  
Reference: Sections 42051(b), 42051.1, 42051.2, Public Resources Code. 
    
 
70 
 § 18980. 7.1. Independent Producer  Responsibility Plan Approval  
(a) If the plan is conditionally approved by the Department,  the Independent Producer  
shall, on or before the last day of each following month from the date of conditional 
approval, provide the D epartment the following: 
(1) Estimated date for resubmittal of revised plan.  
(2) Status updates of each condition specified by the D epartment and how it is 
being addressed.  
(b) For purposes of this section, conditional approval is a preliminary determination that 
certain elements of  the plan do not  meet applicable requirements but that, if certain 
conditions are met, final approval will be warranted. Such conditions may include, 
without limitation, clarification to remove ambiguities or addition of information or data demonstrating  that particular requirements have been met.  
(c) A plan approved by the D epartment is valid for five years and the expiration date of 
the Independent Producer ’s approved plan shall be five years from the date of 
approval by the D epartment.     
 
Authority: Sections 40401, 40502, 42060, 42063, Public Resources Code.  
Reference: Sections 42051(b), 42051.2(d), 42063, Public Resources Code. 
 
§ 18980. 7.2. Review of Updated Independent Producer  Responsibility Plan  
(a) An Independent Producer  shall submit a proposed updated plan at least one (1) year 
before the expiration date of their producer responsibility plan to the advisory board.  
(b) No later than 60 calendar  days after the Independent Producer ’s submission of the 
proposed updated plan, the advisory board shall provide any written comments to the Independent Producer .   
(c) No later than 120 calendar  days after receiving comments from the advisory board, 
the Independent Producer  shall provide their revised plan update proposal to the 
Department along with a summary of comments received by the advisory board and any steps taken by the Independent Producer  relative to those comments . 
(d) An updated plan shall meet all applicable requirements specified in s ection 18980.8, 
and section 42051.2(d)(2)  of the Public Resources Code.     
 
71 
 (e) An updated plan approved by the Department is valid for an additional five years, 
and the expiration date of the Independent Producer ’s revised plan shall be five 
years from the date of approval by the D epartment.   
(f) The Independent Producer  shall post the updated approved plan on the Independent 
Producer ’s internet website within five calendar  days of approval by the D epartment.  
 
Authority: Sections 40401, 40502, 42060, 42063, Public Resources Code.   
Reference: Sections 42051(b), 42051.2, 42063, 42070(h), Public Resources Code.  
 
§ 18980. 7.3. Independent Producer  Responsibility Plan Amendments  
(a) A plan amendment that is required by section 42051.2(e)(1) of the Public Resources 
Code to be submitted to the advisory board shall not be considered by the 
Department until at least 60 calendar days after it was provided to the advisory 
board for review and comment . 
(b) The Independent Producer  shall include , with the revised plan submitted to the 
Department, a summary of the comments received by the advisory board and any 
steps taken by the Independent Producer  relative to those comments.  
(c) The Independent Producer  shall  post the updated plan on the Independent 
Producer’s  internet website within five calendar  days of approval by the D epartment.  
 
Authority: Sections 40401, 40502, 42060, 42063, Public Resources Code.   
Reference: Sections 42051, 42051.1, 42051.2, 42070(h), Public Resources Code.  
 
§ 18980. 7.4. Independent Producer  Annual Report and Program Budget   
(a) On or before April 1 of each year, an  Independent Producer  shall submit to the 
Department an annual report and budget pursuant to section 42051.3  of the Public 
Resources Code.  
(b) Upon submittal of annual report and annual budget to the D epartment, the 
Independent Producer  shall make the annual report and annual budget  available to 
the public by, at minimum, posting the documents  to its internet website until an 
approved annual report and annual budget is posted pursuant to subdivision ( d).     
 
72 
 (c) The annual report and program budget shall meet the requirements of s ection 
18980.9.  
(d) Within five calendar days after approval of the annual report and annual budget by 
the Department, the Independent Producer  shall post  the approved annual report 
and annual budget on the Independent Producer ’s internet website.   
 
Authority: Sections 40401, 40502, 42060, 42063, 42057(j), Public Resources Code.   
Reference: Sections 42051, 42051.3, Public Resources Code.  
  
§ 18980. 7.5. Independent Producer  Document Submittals    
(a) A producer responsibility plan, updated producer responsibility plan, plan amendments, initial program budget, annual report, annual budget, or any document 
associated with the preceding that is submitted to the D epartment by an 
Independent Producer , shall meet all the requirements outlined in subsections (1) 
through ( 4) of this section:   
(1) The document shall be submitted electronically. The date of electronic 
submittal will be considered the date of receipt by the D epartment.   
(2) Submittals are public documents subject to mandatory disclosure under the 
California Public Records Act (Division 10 of Title 1 of the Government Code 
(commencing with section 792.000)) unless an exemption from such 
disclosure applies. The Department shall  withhold from public disclosure 
records that the Independent Producer  appropriately identifies as trade 
secrets, subject to the requirements and limitations set forth in Article 15 . In 
addition to identifying the particular content, as prescribed in Artic le 15, 
claimed to contain trade secrets and thus be non-disclosable, the producer  
shall identify any portions of plans  submitted to the Department that it claim s 
to be non- disclosable because they contain financial, production, or sales 
data, and shall include with the submission a cover letter setting forth its basis 
for all such claims . 
(3) The document shall be complete and correct.      
 
73 
 (A) The Department shall consider a document to be complete if it 
contains provisions intended to meet all requirements in s ections 
18980. 7, 18980.7. 2, 18980.7.3, and 18980.7.4, as  applicable to each 
document, and if it contains sufficient detail for the Department to 
determine if the requirements in the referenced sections have been 
met.  
(B) A document is correct if all information provided is accurate, exact, and is certified as specified in subdivision (a)( 4).   
(4) The document shall be provided to the D epartment under penalty of perjury. 
A party, with signatory authority, who is responsible for the contents of the 
document, shall sign the document and provide the following certification 
statement: “I hereby declare, under penalty of perjury, that the inf ormation 
provided in this document is true and correct, to the best of my knowledge.”  
 
Authority: Sections 40401, 40502, 42060, 42063, Public Resources Code.   
Reference: Sections 40062, 42051, 42051.1, 42051.3, 42063, Public Resources Code; Sections 7921.500 and 7922.530, Government Code.  
 
§ 18980. 7.6. Independent Producer  Environmental  Mitigation Fee  
(a) To determine the amount an Independent Producer  shall pay towards the California 
Plastic Pollution Mitigation Fund, pursuant to s ection 42064 (h) of the Public 
Resources Code, the D epartment shall calculate the amount using the formula 
provided to the D epartment by a PRO pursuant to s ection 18980. 6.8(f). 
(b) The Department shall use information reported to the D epartment from an 
Independent Producer  to calculate the amount. The D epartment may request 
additional information from an Independent Producer  if necessary.  
 
Authority: Sections 40401, 40502, 42060, 42064(h), Public Resources Code  
Reference: Sections 42051, 42064(h), Public Resources Code  
    
 
74 
 § 18980. 7.7. Independent Producer  Recordkeeping and Reporting Requirements  
(a) An Independent Producer  shall keep the following records:  
(1) Total weight of covered material, by covered material category sold, 
distributed, or imported in or into the state.  
(2) Total number of plastic components, by covered material category sold, distributed, or imported in or into the state.  
(3) Total weight of covered material, by covered material category recycled.  
(4) Total number of plastic components, by covered material category recycled.  
(5) Total weight of covered material not recycled, including but not limited to, covered material disposed by processors and end markets.  
(6) Total weight of expanded polystyrene food service ware, by covered material category, sold, distributed, or imported in or into the state.  
(7) For each take-back, dropoff, or alternative collection program:  
(A) The total weight of covered material, by covered material category that 
is collected by the program.  
(B) The total number of plastic components, by covered material category that is collected by the program.  
(C) The total weight of covered material, by covered material category collected by the program that is recycled.  
(D) The total number of plastic components, by covered material category collected by the program that is recycled.  
(8) Information pursuant to s ection 42054(a)  of the Public Resources Code. 
(9) All contracts or agreements established with entities including but not limited 
to end markets, recycling service providers and intermediate supply chain 
entities.  
(10) Copies of supporting records that were used in creating those reports 
pursuant to s ection 18980.10.1.  
(11) Records of information obtained pursuant to s ection 18980.4.2.  
(12) Copies of audits and investigations pursuant to section 18980.4. 3. 
(13) Records of information required to be maintained pursuant to s ection 
18980.3. 3(c)(4)(D), as applicable.    
 
75 
 (b) All weights recorded pursuant to this article shall be recorded in tons.  
(c) All records required by this article or by the Independent Producer ’s record  
maintenance protocol  shall be maintained for at least  three (3) years.  
(d) An entity subject to requirements under this Article or the Act shall, upon written 
request, immediately provide to the D epartment records necessary to determine 
compliance with this such requirements.  At the D epartment’s option, records shall be 
provided either by allowing physical access during normal business hours to the 
Department or other duly authorized regulatory agency or by submitting them to the 
Department by electronic means.  
 
Authority: Sections 40401, 40502, 42057(j), 42060, Public Resources Code.  
Reference: Sections 42051, 42051.1(m), 42052, Public Resources Code. 
      
 
76 
 Article 8: Producer Responsibility Plan Requirements  
 
§ 18980.8 . Producer Responsibility Plan  
(a) A producer responsibility plan shall meet all of  the requirements outlined in s ection 
42051.1. of the Public Resources Code. Notwithstanding subsection (a), an 
Independent Producer  shall only include applicable requirements specified in s ection 
42051.1  of the Public Resources Code.  
(b) Pursuant to s ection 42051.1(b)(3)  of the Public Resources Code, for each 
technology, the plan shall additionally include:  
(1) An explanation of how the technology is employed in recycling.  
(2) A specification of the covered materials that are recycled by utilizing the 
technology.   
(3) A description of the level of contamination the technology is able to tolerate.   
(4) A list of overall inputs, including chemicals, if applicable.   
(5) An account of end products, including quantities of by -products or residuals 
produced by the technology, along with their disposition (i.e., further 
processing, landfill disposal).  
(6) Current operational status, including location of current and proposed sites.   
(7) An assessment of potential environmental impacts to disadvantaged, low -
income or rural communities.   
(8) An evaluation of the efficiency of the technology in achieving recycling rates.   
(9) Information on financial viability, capacity, and cost -effectiveness.   
(10) A d emonstration that the means and technologies meet the conditions 
specified in the definition of “recycle” or “recycling” pursuant to s ection 
42041(aa)  of the Public Resources Code.  
(c) Pursuant to s ection 42051.1(e)  of the Public Resources Code, those efforts may 
additionally include:  
(1) A description of performance measures, which shall evaluate performance of 
the comprehensive education and outreach program including, but not limited 
to, ultimate user awareness, program usage, and accessibility.      
 
77 
 (2) Provision of educational and outreach materials for consumers that are 
accessible in languages suited to local demographics, consistent with s ection 
7295 of the Government Code.   
(d) All information specified in section 18980.4.1.  
(e) If applicable, the process described pursuant to s ection 18980.3(e)(1)(A) or  section 
18980.3( e)(2)(A).  
(f) The plan shall additionally  include : 
(1) The then-current version of the design guide referenced in section 
42355.51(d)(3)(A) and include it in its entirety. Such version shall apply to 
determinations of recyclability of covered materials, as set forth in section 
18980.3(e) , and to the requirement under section 42053(d)(2) of the Public 
Resources Code that the PRO’s fees account for the difficulty of recycling 
covered material caused by  elements that are detrimental to recycling , as set 
forth in section 18980.6.7(d)(1)(E).  
(2) Any other publications , in their entirety , that the PRO may rely on  pursuant to 
section 42053(d)(2) to account for the difficulty of recycling or composting 
covered material caused  by elements that are detrimental to recycling or 
composting .  
(g) If the Department determines that the plan fails to comply with the Act, the 
Department shall disapprove the plan and issue a notice of violation to the PRO or 
Independent Producer  pursuant to section 18980.13. 4. explaining how the plan does 
not comply with the Act. The PRO or Independent Producer  shall submit a revised 
plan with any additional information, modifications, or corrections to the 
Department.  Penalties shall begin accruing 30 days after the issuance of the notice 
of violation pursuant to section 18980.13. 5. until the PRO or Independent Producer  
submits a revised plan that is approved by the Department.   
 
Authority: Sections 40401, 40502, 42041(ad), 42060, 42063,  Public Resources Code.  
Reference: Sections 42041(ad), 42051, 42051.1, 42051.2, 42063, 42080, 42081,  Public 
Resources Code.  
    
 
78 
 § 18980.8.1 . Plan Requirements Specific to a  PRO  
(a) A PRO shall in addition to the requirements specified in section 18980.8:  
(1) Pursuant to section 42051.1(f)  of the Public Resources Code, the plan shall 
additionally include:  
(A) A closure and transfer plan, as specified in s ection 1898 0.8.2. 
(2) Pursuant to s ection 42051.1(d) and section  42053(c)  of the Public Resources 
Code, the plan shall additionally include a fee schedule . The fee schedule 
shall be developed using the requirements  specified in section 18980. 6.7. 
(3) Pursuant to s ection 42051.1(m)  of the Public Resources Code, the plan shall 
additionally include a set of criteria and methodology for producers to 
demonstrate that items considered reusable or refillable by the producers 
meet the specifications outlined in section 42041(af)  of the Public Resources 
Code and section 18980.2(a)(2)(A).   
 
Authority: Sections 40401, 40502, 42060,  Public Resources Code.  
Reference: Sections 42051.1, 42053, 42057(c), Public Resources Code.  
 
§ 18980.8. 2. Closure and Transfer Plan Requirements  
(a) The Closure and Transfer Plan shall:  
(1) Identify the following persons or entities:  
(A) The Initial Trustee or Agent who will implement the Closure and 
Transfer Plan if the plan is activated.  
(B) The Successor Trustee or Agent who will implement the Closure and 
Transfer Plan if the Initial Trustee or Agent is unable to serve.     
(C) The Department as the Trust Protector or Escrow Account Protector, 
which may provide direction to the Trustee or Agent and may remove 
and replace a Trustee or Agent at its discretion.  
(D) The Department as the Beneficiary of the Trust or Escrow Account.  
(E) Key Closure and Transfer  Entities who may be affected by or have 
responsibilities pursuant to the initiation of the Closure and Transfer 
Plan, including but not limited to participant producers, intermediate    
 
79 
 supply chain entities, local jurisdictions, recycling service providers and 
responsible end markets.  
(2) Be capable of being fully executed through a Trustee or Agent according to the requirements of this Chapter, with the direction  of the Department.  
(3) Empower the Trustee or Agent to satisfy the obligations of the PRO and implement the Closure and Transfer Plan. 
(4) Facilitate the Trustee’s or Agent’s transfer of administration to the successor PRO or PROs.    
(5) Ensure that all contracts are fully assignable to the Trustee or Agent and fully assignable by the Trustee or Agent to the successor PRO or PROs.  
(6) Create and maintain the Closure Fund, a trust fund or escrow account established pursuant to section  42056  of the Public Resources Code: 
(A) Providing at all times for the full funding of the activities necessary to perform the PRO’s obligations during at, minimum, a twelve -month 
period in which the Closure and Transfer Plan may be active.  
(B) Existing continuously from the time at which the PRO Plan is first 
approved to the transfer to the Trustee or Agent in an account 
dedicated solely to satisfying the obligations of the PRO during the 
closure period and maintained separately from the PRO’s o ther 
accounts.  
(C) Supplemented by the deposit of additional unexpended funds in order 
to ensure that the requirements of sub- paragraph (A) of this paragraph 
are met.  
(D) Into which all other unexpended funds shall be deposited in the event 
that closure is initiated.  
(7) Explain the following:  
(A) How the PRO will provide the Department and Trustee or Agent with 
all necessary documents and information pursuant to subdivision (b) of 
this section.     
 
80 
 (B) The PRO’s methodology for its financial computation and modeling 
assuring fund solvency, including how it calculates the cost of 
satisfying its obligations over a twelve- month period.  
(C) The PRO’s plans for communicating with Producers, responsible end markets , MRFs, contractors, local jurisdictions, and other Key Closure 
and Transfer Entities about the activation and carrying out of the Closure and Transfer Plan and directing communications to the 
Department.  
(8) Describe how the Trustee or Agent will perform its tasks and receive payment 
for its services. The description shall include:  
(A) The Trustee or Agent’s statement of work.  
(B) The process for revising a Trustee or Agent’s statement of work.  
(C) How the PRO and Trustee or Agent will independently confirm 
payment of the Trustee or Agent.  
(9) Self-execute no more than 30 business days  following notice of pending 
termination or revocation of the PRO Plan, or no more than five business 
days after actual termination or revocation of the PRO Plan, whichever is 
earlier.  
(b) The PRO shall:  
(1) Ensure that all its contracts and other agreements are assignable to and 
assumable by the Trustee or Agent, assignable by the Trustee or Agent to the 
successor PRO or PROs, and assumable by the successor PRO or PROs.   
(2) Provide evidence that, at any given time, the current contents of the Closure 
Fund can fully satisfy the PRO’s obligations during a twelve- month period in 
which the Closure and Transfer Plan may be active. Such evidence shall:  
(A) Include financial modeling that assures fund solvency through twelve 
months  of Closure and Transfer Plan implementation, based on current 
program activity levels and most recent cost data.  
(B) Be provided to the Department on a quarterly basis and at any time 
upon the request of the Department.     
 
81 
 (3) Notify the Department of any proposed changes to its scope of work and seek 
the approval of the Department.  
(4) Notify the Department when changes to the scope of work are finalized.  
(5) Notify the Department of any of the following circumstances at the time 
specified:  
(A) Immediately upon discovery that the current contents of the Closure 
Fund are insufficient to support the estimated cost to fulfill the PRO’s obligations over the next twelve months . 
(B)  N o more than five business days after t he PRO determines  that the 
Trustee or Agent has breached its contract . 
(6) Immediately cease spending and deposit an amount that will establish 
Closure Fund solvency if the PRO believes that the Closure Fund is 
under funded or if the Department notifies the PRO that it lacks sufficient 
information to verify the Closure Fund is solvent . 
(7) In the event of the dissolution of a PRO, submit a written notice of intent to 
dissolve a PRO which shall include, at a minimum, a detailed description of 
how the entity shall meet the requirements pursuant to s ection 42051.1(f) of 
the Public Resources Code and provide the Department with progress 
updates of the implementation of the closure and transfer plan at a frequency 
approved by the Department. The effective date shall be the postmarked date 
that the Department responds in writing to the notice of intent to dissolve a 
PRO.  
(8) T he PRO shall  notify the Department immediately in any of the following 
circumstances:  
(A)  The governing board or members of the organization  serving as the 
PRO , by vote , consent,  adoption of resolution,  or any other method,  
take affirmative steps  to dissolve the organization. 
(B) In pursuit of dissolution, a n organization  serving as the PRO seeks a 
waiver  concerning dissolution  from the California State Attorney 
General or the Attorney General of the state in which the organization  
is incorporated  or organized.    
 
82 
 (C) In pursuit of dissolution, a n organization  serving as the PRO files 
documents related to dissolution with the California Secretary of State 
or any other  governmental agency , including  tax a uthorities  providing 
tax clearances and governmental agencies in the state in which the 
organization is incorporated  or organized.  
(9) Upon closure, carry out all actions assigned to it under the Closure and Transfer Plan, unless directed otherwise in writing by the Department.  
(10) No later than five working days of notice of pending termination or 
revocation of the PRO plan, or no later than five working days of actual 
termination or revocation of the PRO plan, whichever is earlier, provide the 
Department and the Trustee or Agent with all records necessary to implement 
the Closure and Transfer Plan, including contract records.  
(11) Immediately cease spending upon notification of revocation or termination.  
(12) Provide the Department and Trustee or Agent  with a preliminary 
accounting of the Closure Fund, including its balance and status, and any 
other PRO accounts and assets no later than five working days of notice of 
pending termination or revocation of the PRO plan, or no later than five 
working days o f actual termination or revocation of the PRO plan, whichever 
is earlier.  
(13) Immediately upon self -execution of the Closure and Transfer Plan:  
(A) Deliver all necessary contact information for Producers, responsible end markets , MRFs, contractors, local jurisdictions, and other K ey 
Closure and Transfer Entities  to the Department, to allow the 
Department to effectively communicate with stakeholders.  
(B) Transfer the Closure Fund, complete with all unexpended funds, on the execution date of the Closure and Transfer Plan and provide a 
complete accounting of the fund balance, along with accounts payable 
and receivable. Thereafter, the PRO shall provide to the Department  
any additional financial information concerning the plan received by the 
PRO.     
 
83 
 (C) Assign all third-party contracts to the Trustee or Agent 
contemporaneously with the transfer of the Closure Fund.  
(c) Prior to the adoption of the Closure and Transfer Plan, the PRO shall propose an 
Initial Trustee or Agent and Successor Trustee or Agent to the Department for its 
approval.   
(1) Proposed Trustees or Agents shall have the requisite industry knowledge, 
financial experience, and skill in contract administration to carry out the 
Closure and Transfer Plan.   
(2) At the time of the Closure and Transfer Plan’s proposal, the PRO shall furnish 
the credentials of its proposed Initial Trustee or Agent and Successor Trustee 
or Agent and sufficient evidence of their willingness and ability to carry out all 
duties required  by the Act, these regulations, and the Closure and Transfer 
Plan if approved by the Department.  
(3) The Closure and Transfer Plan shall not be deemed complete until the 
Trustees or Agents and their scope of work  have been approved by the 
Department.    
(d) Annually and as otherwise directed by the Department, the PRO shall confirm the 
credentials of the Initial Trustee or Agent and Successor Trustee or Agent and their 
willingness and ability to carry out all duties required by the Act, these regulations, 
and the Closure and Transfer Plan.  The PRO shall furnish the Department with this 
information. The PRO shall immediately notify the Department if the Initial Trustee or Agent or Successor Trustee or Agent becomes unwilling or unable to serve.  
(e) The Trustee or Agent shall:  
(1) Notify the Department within five business days if it believes that the PRO has 
breached its contract.  
(2) Notify the Department of any proposed changes to its scope of work and seek 
the approval of the Department.  
(3) Receive the Closure Fund on the effective date of closure and administer it thereafter.   
(4) As appropriate, assume or accept the assignment of all PRO contracts and agreements.     
 
84 
 (5) Implement the PRO’s most recent PRO Plan, as modified by the Department.  
(6) Make changes to the fee schedule and all appropriate components thereof to 
ensure that the plan operates as written and further modified by the 
Department .  
(7) Make all records requested by the Department immediately available for review.  
(8) Meet weekly, or more frequently as may be required by the Department, to receive advice on the administration of the Closure and Transfer Plan.  
(9) At least monthly, or more frequently as may be required by the Department, 
submit a written report on the Trustee or Agent’s implementation of the 
Closure and Transfer Plan to the Department.  
(10) Oversee the dissolution of the trust or escrow account and settle the 
obligations of the trust or escrow account if the Trustee or Agent and the 
Department concur that funds are insufficient to continue the implementation 
of the Closure and Transfer Plan o r if the Department exercises its discretion 
not to continue the Closure and Transfer Plan beyond the initial twelve-month period.  
(11) Transfer all responsibilities to the Successor PRO or PROs if they are 
approved prior to the end of the Closure and Transfer Plan and assign all 
contracts and agreements to the appropriate entity.  
(f) The Department may:  
(1) Direct  the Trustee or Agent.  
(2) Dismiss a Trustee or Agent.  
(3) Appoint a Trustee or Agent upon its dismissal of a Trustee or Agent or the 
Trustee’s or Agent’s inability to serve.  
(4) Concur with or dispute the Trustee or Agent’s preliminary finding that the 
Closure Fund is insufficient to continue implementation of the Closure and 
Transfer Plan.  
(5) During the period from the self -execution of the C losure and Transfer Plan 
through the approval of a Successor PRO’s plan, modify the PRO Plan.     
 
85 
 (6) Extend or extinguish the Closure and Transfer Plan pursuant to subdivision 
(c) of section  42056 of the Public Resources Code.   
 
Authority: Sections 40401, 40502, 42056, 42060,  Public Resources Code.   
Reference: Sections 42051.1(f), 42056, Public Resources Code.  
 
§ 18980.8.3 . Source Reduction Adjustments  
(a) Subject to the limitations of this section, a source reduction plan developed pursuant 
to section  42057  of the Public Resources Code may utilize adjustment factors and 
methods to account for fluctuations in economic conditions  and the increase or 
decrease in the number of producers participating in the PRO plan for determining 
whether the PRO has met its source reduction obligation relative to the baseline 
established by the Department under section 42057(b)  of the Public Resources 
Code.   
(b) All adjustment factors and methods must meet the following requirements:   
(1) The adjustment factors and methods shall not result in bias with respect to 
their effect on the measurement of source reduction. For example, whether 
applying the factors has the effect of increasing or decreasing the amount of 
covered material considered to be sold, offered for sale, or distributed in the 
state shall not be considered by the factors, affect the magnitude of their 
effect, or otherwise affect their application.   
(2) Once an adjustment factor and method are included as an element of an 
approved source reduction plan, the factor and method must continue to be 
used according to that plan and may only be modified or removed as part of a 
newly approved producer responsibility plan.   
(3) Previous applications of adjustment factors and methods since the most 
recent plan approval shall be reviewed every year to determine whether any 
information or data on which they were based is no longer accurate or has 
changed or been updated for any reason. If such changes affect the source 
reduction information and assessments included in previous annual reports,    
 
86 
 subsequent a nnual reports shall note such effect and provide updated 
information and assessments concerning the affected years.   
(4) In the event the PRO or the Department identifies any error made in the 
PRO’s methods of calculating or applying adjustment factors, all previous 
source reduction measurements where the error occurred shall be updated accordingly and noted in the next annual report.   
(c) Adjustment factors and methods accounting for fluctuations in economic conditions must meet the following requirements:  
(1) They must have the effect of controlling for the effect of economic factors on 
the amount of covered material sold, offered for sale, or distributed in the 
state in a calendar year compared to the effect of the same economic factors 
on the amount of covered material in the 2023 calendar year.  
(2) They may not rely on economic indicators other than those published by 
California or federal government agencies, such as the State of California 
Department of Finance, the State of California Department of Industrial 
Relations, the Bureau of Economic Anal ysis of the United States Department 
of Commerce, or the United States Department of Labor.  
(3) The source reduction plan shall demonstrate how such indicators reflect 
market conditions, such as consumer demand, that affect the amount of 
covered material sold, offered for sale, or distributed in the state, and the extent of such effect . 
(4) Factors involving dollar amounts shall account for inflation.   
(d) Adjustment factors and methods accounting for the increase or decrease in the 
number of producers participating in the PRO plan must meet the following 
requirements:  
(1) Applying the factors and methods shall not have the effect of merely adjusting 
the PRO’s source reduction burden in proportion to changes in the number of 
participating producers.  
(2) The factors and methods shall have the effect of controlling for changes in the overall amount of covered material sold, offered for sale, or distributed across 
all PRO participants caused solely by increases or decreases in the number    
 
87 
 of participating producers, such that the PRO more accurately measures 
source reduction resulting from the measures described in section 42057(d) 
of the Public Resources Code.  
(3) Factors involving dollar amounts shall account for inflation.   
(e) Subject to the limitations of this section, an Independent Producer  may, at its option, 
incorporate adjustment factors adopted under a then-effective PRO plan pursuant to  
this section  into the plans they develop pursuant to section 42051.1 (b)(2)(B)(i) of the 
Public Resources Code . 
 
Authority: Sections 40401, 40502, 42057(j), 42060, Public Resources Code.    
Reference: Sections 42041(aj) and (ak), 42050, 42051, 42051.1(b)(2), 42057,  
42060(a)(6), Public Resources Code.  
     
 
88 
 Article 9: Annual Report and Program Budget  
 
§ 18980.9 . Source Reduction Baseline Reporting  
(a) All reporting entities must include in their annual reports for 2027 , the total amount of 
plastic covered material by weight and number of plastic components produced in 
California in the 2023 calendar year.  
(b) The PRO must disaggregate the amounts specified in subdivision (a) by participant producer .  
(c) The Department shall use the information reported pursuant to this section to update 
the source reduction baseline pursuant to section 42057(b)  of the Public Resources 
Code. 
 
Authority: Sections 40401, 40502, 42041(aj), 42057(j), 42060, Public Resources Code.  
Reference: Sections 42041(aj), 42051, 42052(a), 42057  Public Resources Code . 
 
§ 18980.9. 1. Annual Report and Program Budget  
(a) An annual report and program budget shall include information specified in s ection 
42051.3(a)(2) and (a)(3) of the Public Resources Code. For Independent Producer s, 
however, the annual report and budget are not required to address the information 
specified in section  42051.3(a)(2) (A) and (a)(3) (B). 
(b) The annual report shall additionally include:  
(1) For the PRO, fee schedule amendments p ursuant to section 42053(e) of the 
Public Resources Code as a result of adjustments  including calculations for 
malus fees or credits.  
(2) Pursuant to  section  42057(i)  of the Public Resources Code, provide the 
recycling rate for all expanded polystyrene  by covered material category .  
(3) Information required p ursuant to section 18980.4. 2(b). 
(4) For the PRO, with respect to source reduction, the annual report  shall 
additionally include:      
 
89 
 (A) Percentage of reduction across  all participant producers , including, if 
applicable, the application of the adjustment factors and methods , 
pursuant to section 18980.3.  
(B) A qualitative assessment of the successes and challenges achieving 
source reduction goals, delineated by plastic covered material 
category, which ranks the relative frequency of  use of each source 
reduction strategy.  
(5) For the PRO, information pursuant to 18980.3( g)(1)(B).  
(6) For Independent Producers, information pursuant to 18980.3( g)(2)(B).  
(c) Within 90 calendar days of receiving an annual report submitted pursuant to section 
42051.3(a)  of the Public Resources Code , the Department shall review the annual 
report to determine if it is complete or incomplete.  
(1) If the annual report is deemed incomplete, the Department shall issue a 
notice of violation to the PRO or Independent Producer  for failure to comply 
with the Act. The violation shall be deemed to occur  each day following the 
submission of the incomplete report , until the submission of an annual report 
that has been deemed complete by the Department.  
(2) After the annual report has been deemed complete, the Department shall 
review the annual report for compliance with applicable requirements of the 
Act and this Article,  as set forth in section 42051(b)( 2) through (5) .  
 Authority: Sections 40401, 40502, 42060,  Public Resources Code.   
Reference: Sections 42051, 42051.3, 42053(e), 42057(c)  and(i ), 42080, 42081, Public 
Resources Code.  
 
     
 
90 
 Article 10: Data Reporting  Requirements  
 
§ 18980.10. Registration and Maintaining Address on File   
(a) Pursuant to section  42051(c)  of the Public Resources Code , all producer s shall 
register electronically in a manner established by the D epartment and maintain its 
most current address on file with the D epartment.   
(1) To register, a producer shall file at least the following information:   
(A) Point of contact, including name, title, email, and phone number   
(B) Legal entity name (a fictitious business name is not sufficient)   
(C) Business mailing address   
(D) Primary business address (physical address; must not be a post office 
box)  
(E) Business phone number   
(F) Business email address   
(2) A PRO shall register on behalf of each of its participant producers, except for 
those participant producers who choose to be reporting entities.   
(3) A producer shall ensure that the contact information on file with the Department is current and accurate .  
(A) Upon request by the Department, a producer shall resubmit the information required pursuant to paragraph (1) or (2) or verify that the 
information previously submitted remains accurate. Not complying with 
such a request or otherwise not cooperating with the Department’s 
exercise of its investigatory authority under section 42080  of the Public 
Resources Code is a violation of the Act.   
(B) The failure to notify the Department of a change in its primary business 
address within 30 days is a violation of section 42051(c)  of the Public 
Resources Code regardless of whether the Department requests 
resubmittal or verification pursuant to subparagraph (A).    
(C) A PRO may satisfy the requirement in subparagraph (B) on a producer’s behalf by including the producer’s primary business 
address in its PRO plan, plan update, annual report, or other written    
 
91 
 notification to the D epartment. The submission of a primary business 
address or other contact information by a PRO on behalf of a producer 
shall not relieve the producer of its obligation to ensure that the 
producer’s contact information, including its primary address, on file 
with the Department is current and accurate.   
(4) If an entity becomes a producer after January 1, 2027 , and joins a PRO within 
six months, as required by s ection 42051(b)(1) of the Public Resources Code, 
the PRO shall register the producer with the D epartment within 30 days of the 
producer joining the PRO.   
(5) If an entity becomes a producer after January 1, 2027 , and seeks to become 
an Independent Producer, the entity shall register with the D epartment when 
they apply to become an Independent Producer  pursuant to Article 5.    
(b) A producer whose registration status was inactivated pursuant to subdivision (d) or 
(e) shall request the D epartment to reactivate their registration status within 30 days 
of their activities changing such that they are subject to the reporting requirements of this chapter and shall resume reporting in the following reporting cycle.   
(c) If a participant producer’s activities have changed such that they are no longer subject to the registration and reporting requirements:   
(1) If a participant producer is a reporting entity, the producer shall submit a request to the Department to inactivate their reporting system registration 
within 30 days. The request shall demonstrate to the D epartment why their 
registration should be inactivated .   
(2) If a participant producer is not a reporting entity:   
(A) The participant shall notify the PRO within 30 days.   
(B) The PRO shall submit a request to the D epartment to inactivate their 
reporting system registration for the participant within 30 days of 
receiving notification from the participant producer. The request shall 
demonstrate to the D epartment why they should no longer be 
registered.  
(d) If an Independent Producer ’s activities have changed such that they are no longer 
subject to the registration and reporting requirements, the Independent Producer     
 
92 
 shall submit a request to the Department to inactivate their reporting system 
registration within 30 days. The request shall demonstrate to the D epartment why 
they should no longer be registered.   
(e) The effective date of inactivation shall be no earlier than the date on which the 
Department receives the request from the producer.  
(f) The Department may withhold complete inactivation of a registration until all reports 
for when the producer was required to report have been submitted.   
(g) No exemption from any other requirement of the Act or this chapter shall be 
construed as an exemption from the requirements of this section. In particular, the 
registration requirements and the requirement that producers maintain an address 
on file with the Department apply to all producers, even if they are granted an 
exempt ion from all other requirements of the Act and this chapter.  
 
Authority: Sections 40401, 40502, 42051(c), 42060,  Public Resources Code.    
Reference: Sections 42051(c), 42052, 42060(a)(2), Public Resources Code.  
  
§ 18980.10. 1. Data Reporting Submission  
(a) Reporting entities shall submit data reports to the D epartment annually starting in 
2026. The reporting entity shall certify that the information they submit is accurate and complete.   
(1) A reporting entity shall use the most current information available at the time 
the report is due.   
(2) If a reporting entity identifies an error in a previously submitted report, they shall notify the D epartment and correct the error within 10 business days.   
(3) If the D epartment notifies a reporting entity in writing of an error in a 
previously submitted report, the reporting entity shall revise the report to 
correct the error within 10 business days.   
(b) Reports shall:   
(1) Be due on April 1.   
(2) Be submitted electronically using the Department’s online reporting system or in another manner established by the D epartment.       
 
93 
 (3) Report data pertaining to the previous calendar year. The reporting entity 
shall use the covered material category list that was current as of December 
31 of the previous calendar year for purposes of reporting.   
(c) If a producer that conducts reportable activities that are not reported by a PRO on its 
behalf is approved to be inactivated from the reporting system, the producer is still 
required to submit a report for such activities covering the partial year preceding the 
effective date of the inactivation. If a participant producer  conducts reportable 
activities that are reported on its behalf becomes no longer subject to registration 
and reporting requirements , and the Department grants a request  by the PRO to 
have the registration for the participant producer  to be inactivated pursuant to 
section 18980.10(c)(2)(B) , the producer shall provide the PRO all information 
necessary for the PRO to report such activities data on behalf of  the participant 
covering the partial year preceding the effective date of the inactivation.  
(d) The data report shall contain the elements specified in s ection 18980.10. 2. 
  
Authority: Sections 40401, 40502, 42051(c), 42060,  Public Resources Code.  
Reference: Sections 42051(c), 42052, 42060(a)(2), Public Resources Code.  
  
§ 18980.10. 2. Data Report Contents   
(a) Pursuant to section  42052(a)(1)  of the Public Resources Code, a reporting entity 
shall register with the D epartment ’s [INSERT REPORTING SYSTEM NAME]  and 
submit a data report which shall contain the following for all covered material for 
which the reporting entity is the producer and that was first sold, distributed, or 
imported in or into the state during the previous calendar year:  
(1) The total weight of covered material, by covered material category . 
(2) Total number of plastic components, by covered material category.   
(b) Pursuant to s ection 42052(a)(2)  of the Public Resources Code, the data report shall 
contain the total weight of covered material recycled by covered material category 
and the total number of plastic components recycled by covered material category.   
(c) Pursuant to section  42052(a)(3) and section  42052(a)(4)  of the Public Resources 
Code, the reporting entity shall report the following information pertaining to covered    
 
94 
 material collected and recycled through a program other than curbside collection 
programs.   
(1) The report shall identify the take- back, dropoff, or alternative collection 
program for each covered material category.   
(2) For each take-back, dropoff, or alternative collection program, the report shall include the following data, reported by covered material category:   
(A) The total weight of covered material that is collected by the program.   
(B) The total number of plastic components that is collected by the 
program.   
(C) The total weight of covered material collected by the program that is recycled.   
(D) The total number of plastic components collected by the program that is recycled.   
(d) Pursuant to s ection 42052(a)(4)  of the Public Resources Code, the data report shall 
include the total weight of covered material not recycled, including but not limited to 
covered material disposed by processors and end markets.    
(e) Producers of expanded polystyrene food service ware shall provide the total weight 
of expanded polystyrene food service ware sold, distributed, or imported in or into 
the state by covered material category.   
(f) All weights reported pursuant to this Chapter shall be reported in tons . 
(g) All data reported pursuant to this Chapter shall be reported in monthly increments.   
(h) For the purposes of this article, “recycled” has the same meaning as 
18980.3. 2.(a)(1).   
 
Authority: Sections 42041(ab), 42057(j), 42060(a)(8),  Public Resources Code.  
Reference: Sections 42041(ab), 42052, 42060(a)(8), Public Resources Code.  
 
 
     
 
95 
  
Article 11: Requirements for Local Jurisdictions and Recycling Service Providers  
 
§ 18980. 11. Exemption for Local Jurisdictions and Recycling Service Providers  
(a) A local jurisdiction or recycling service provider seeking an exemption pursuant to 
section 42060.5(b)  of the Public Resources Code, shall submit an application to the 
Department. The application shall include but not be limited to the following, and 
shall be submitted electronically:  
(1) The specific identified covered materials, which may be expressed as a covered material category or categories.  
(2) A description, with any available supporting documentation, of the specific local conditions, circumstances, or challenges, that make it impracticable for 
the local jurisdiction or recycling service provider to include the specified 
covered material or covered material categories  in their existing collection and 
recycling programs. Specifically, explain why the plan requirements in section  
42051.1(l)(1)  of the Public Resources Code for the identified material cannot 
be met in terms of program efficacy but also considering any applicable environmental, environmental justice, worker health, or public health impacts; 
generation of hazardous waste or greenhouse gasses; and transportation 
safety standards.  
(3) The contact information for the person(s) who represent the local jurisdiction and recycling service provider, if designated by the local jurisdiction, to whom 
the Department shall direct future communication relating to the extension or 
exemption, shall include but not be limited to the following:  
(A) For the person responsible for signing and submitting the request:  
(i) Name   
(ii) Title   
(iii) Phone number    
(iv) Email address   
(B)   For the entity or entities represented:   
(i) Name     
 
96 
 (ii) Mailing Address  
(iii) Physical Address  
(b) Prior to submitting the application to the D epartment, the local jurisdiction or 
recycling service provider shall send the application to the PRO(s) and all 
Independent Producer s for review and comment.   
(1) The PRO(s) and any Independent Producer s shall have 90 calendar days to:  
(A) Confer with the applicant as necessary  
(B) Respond in writing to the applicant  
(C) Mutually agree with the applicant on an extended timeline, if necessary  
(2) The application to the Department, pursuant to subsection (a), shall 
additionally include:  
(A) Any comments received by a PRO or Independent Producer    
(B) How those comments were addressed or considered  
(c) The Department shall review  and evaluate whether  an application meets the 
requirements of this section. If the Department approves the application, t he 
exemption is effective on the date the application is approved and is valid for two 
years.  
(d) A local jurisdiction or recycling service provider may extend their exemption pursuant 
to section 42060.5(b)  of the Public Resources Code  by conducting the following:  
(1) Notify the PRO(s) and all Independent Producer s of the intent to apply for an 
exemption extension.  
(2) If the information pursuant to (a)(1) and (a)(2), within the applicant’s previous 
request has not changed, the applicant shall submit a request electronically in 
the form of a letter to the D epartment, signed by the applicant under penalty 
of perjury. The letter shall state that the information provided in the request 
currently on file with the D epartment has not changed and explain why the 
information has not changed. The request letter shall be submitted between 120 and 90 calendar days before the expirati on date. If approved, the 
exemption shall be extended for another two years, with the new expiration date being two years later from the previous two-year expiration date.     
 
97 
 (3) If the information pursuant to (a)(1) and (a)(2), within the applicant’s previous 
request has changed, the applicant shall submit a new request pursuant to 
subdivision (a).  
 
Authority: Sections 42060(a), 42060(d), Public Resources Code .  
Reference: Section 42060.5(b), Public Resources Code.  
 
§ 18980.11.1. Exemption for Rural Counties  and Rural  Jurisdictions  
(a) A rural county or rural jurisdiction that has adopted a resolution pursuant to s ection 
42060.5( c) of the Public Resources Code shall notify the Department and provide a 
copy of the resolution within 14 calendar days of the adoption date.    
(b) If the Department finds that the rural county or rural jurisdiction  that has adopted a 
resolution does not meet the definition of “rural county” or “rural jurisdiction” pursuant 
to section 42649.8 of Public Resources Code, the rural county or rural jurisdiction  
shall not be exempt from the requirements of s ection 42060.5(a) of the Public 
Resources Code pursuant to section 42060.5(c) of the Public Resources Code.   
  
Authority: Sections 40401, 40502, 42060(a) and (d), Public Resources Code.   
Reference: Sections 42041, 42060(d), 42060.5 (a) and (c), Public Resources Code.  
 
 
     
 
98 
 Article 12: Requirements for the Advisory Board  
 
§ 18980.12. Membership Terms and Appointments  
(a) Membership on the advisory board shall commence upon notice to the Department 
that an individual accepts appointment by the director. The director may revoke the 
appointment of any member. Upon sending of written notice that the appointment 
has been revoke d, the individual shall no longer be a member of the advisory board.  
(b) Each member’s term shall be as prescribed in section 42070 of the Public Resources Code. An appointee’s  term shall be deemed to have commenced as of 
the beginning of the then-current fiscal year ( i.e., the most recent July 1), and shall 
terminate upon expiration of the term.  
(c) Pursuant to section 42070(b) of the Public Resources Code, subject to the discretion 
of the director, a member may be reappointed for additional terms.  Each such 
additional term shall be deemed to commence upon expiration of the previous term.  
 
Authority: Sections 40401, 40502, 42060, Public Resources Code.  
Reference: Sections 42060(d), 42070, Public Resources Code.  
     
 
99 
 Article 13: Enforcement Oversight by the Department and Administrative Civil  
Penalties  
 
§ 18980.13. Compliance Evaluation and Determination   
(a) The Department may conduct investigations in order to examine operation activities 
and records to determine compliance with this c hapter or the Act pursuant to section 
42080(a) of the Public Resources Code. The investigation may require, for example, entities subject to this Article and the Act to produce to the Department  records and 
information regarding compliance. The investigation may also require cooperation 
with onsite inspections by the Department.  An authorized Department employee or 
agent shall be allowed to enter the premises of any entity subject to this Article and the Act during normal working hours to conduct inspections. Methods may include, 
but are not limited to, the review and copying of any records required by this 
chapter.  Notices of violation issued by the Department may identify additional 
records and information that the entity must  produce regard ing such noncompliance.   
(b) For purposes of assessing administrative civil penalties pursuant to section 
42081(a)(1) of the Public Resources Code, the Department shall determine the 
number of violations committed and the number of days on which the violations 
occurred as set forth in this section.    
(c) Except as specifically set forth in this section, for each discrete requirement of the Act, this chapter , or a PRO plan, each distinct condition, action, or course of action 
constituting or resulting in a violation of the requirement shall constitute a single violation of the Act.    
(d) Except as otherwise provided in this Article, for purposes of assessing penalties, penalties shall accru e as follows:   
(1) For violations committed through discrete actions, such as an action prohibited under the act, penalties shall accrue on each day on which the 
actions are committed following the thirtieth day after the D epartment issues  a 
notice of violation for the previous violations.    
(2) For continuous violations based on the persistence of a particular condition or 
course of action,  such as an ongoing failure to satisfy reporting, plan    
 
100 
 implementation, source reduction, or other obligations under the Act,  the 
violation shall be deemed to occur each day such conditions or courses of 
action persist after the thirtieth day after the D epartment issues a notice of 
violation.    
(e) If a producer fails to maintain records or other evidence sufficient to demonstrate 
compliance with any requirement of the Act or fails to provide such records upon 
demand by the D epartment, penalties for the absence of or failure to provide records 
shall accrue as follows:    
(1) Violations based on the failure to maintain records shall be deemed to have 
occurred on each day for which a PRO or producer failed to maintain 
sufficient evidence to demonstrate compliance. Each such day is subject to the per -day penalties set forth in section 42081 in the Public Resources 
Code, and such penalties shall not further accrue until the thirty -first day 
following issuance  of a notice of violation.   
(2) Violations based on the failure to provide records to the Department upon 
request shall be deemed to begin on the date of the request. Penalties shall 
begin accruing as of the thirty -first day following issuance of a notice of 
violation, such that no penalties shall be imposed if the records demanded are provided before such date.   
(f) Except as provided in subdivision (g), if a PRO violates the Act or this Article, such as by not implementing a discrete requirement of its plan, in a manner that results in 
particular producers being out of compliance with a discrete requirement of the Ac t 
or this Article that the PRO otherwise would have satisfied on their behalf, each discrete instance a producer is out of compliance is a violation of the Act by the 
PRO, except for violations for which the Department has issued a notice of violation 
directly to such producers.     
(g) For requirements of the Act or this Article that apply to all participants in a PRO plan, such as the requirement to ensure that covered material sold, offered for sale, 
imported, or distributed in the state achieves the goals set forth in section 42050  of 
the Public Resources Code, the failure to meet such requirements is a violation by the PRO for each plan participant that is a producer of the covered material at issue,    
 
101 
 except those to which the Department has issued an individual notices of violation 
for such failure. For example, if participating producers continue offering for sale 
products using material in a particular covered material category that does not meet 
the recycling rate requirements of section 42050(c) of the Public Resources Code, 
all producers of products in that category have violated their obligation under that 
section, and either the PRO or the individual producers may be penalized pursuant 
to section 42080 of the Public Resources Code for each such violation.   
(h) For purposes of assessing penalties for violations of section 42050 of the Public 
Resources Code by a producer or PRO relating to a non-compliant product:    
(1) Each non-compliant product, without regard to the distribution or sales of discrete instances of the product, shall constitute a distinct violation. The non-
compliant product shall be identified according to the characteristics listed in 
section 42081(a)(2) of the Public Resources Code, using as many 
characteristics as necessary to uniquely identify it. Where appropriate, the 
Department may deem a unique stock keeping unit (SKU) or a global trade 
item number, such as a universal product code (UPC), to uniquely identify the 
noncompliant product according to such characteristics. If the D epartment 
determines characteristics listed in section 42081(a)(2) of the Public Resources Code are not sufficient to uniquely identify a product, other 
characteristics may be considered. Multiple variations of a product, such as those identified by multiple SKUs or UPCs, may constitute the same no n-
compliant product, provided that they use the same amounts and types of 
covered material but differ in trivial ways not affecting their end-of -life 
management.      
(2) The violation shall be deemed to occur on each day that the non-compliant 
product is in distribution or offered for sale in the state, except that the 
violation shall be deemed to end as of the date the producer of the product 
ceases further manufacture an d distribution of the non -compliant product.   
(3) A producer shall not be considered to be in violation of section 42050 (c) of 
the Public Resources Code based solely on a product that has achieved the 
applicable recycling rate stated in that subdivision. To be considered not in    
 
102 
 violation pursuant to this paragraph, the producer shall demonstrate in an 
annual report to the D epartment that the product has achieved such recycling 
rate, as calculated using the methods consistent with those described in section 18980.3. 2 applied solely to the product.   
(i) For violations of section 42060.5 of the Public Resources Code by a local 
jurisdiction:    
(1) The number of violations shall be the number of covered material categories contained on the list published pursuant to section 42060.5(a) of the Public 
Resources Code that are not included in their collection and recycling 
programs.     
(2) Penalties for each violation shall accrue on each day any covered material category is not included, regardless of the reason, in their collection and 
recycling programs, except in the case that the Department has granted an 
extension or exemption from the requirements pursuant to 42060.5(b)  of the 
Public Resources Code .  
(j) The number of violations of section 42060.5 of the Public Resources Code by a 
recycling service provider and the days on which each violation occur shall be 
calculated in the same manner as would apply under subdivision ( i) for local 
jurisdictions committing the same violations. .    
 
Authority: Sections 40401, 40502, 42057(j), 42060, 42080, Public Resources Code.  
Reference: Sections 42050, 42057, 42060.5, 42080, 42081, Public Resources Code.  
 
§ 18980.13. 1. Corrective Action Plan  
(a) The Department may, in a notice of violation issued pursuant to section 42081(a)  of 
the Public Resources Code or in response to a written request submitted to the 
Department,  grant permission for an entity to propose a corrective action plan 
pursuant to section 42081(b).  The Department may require proposals to satisfy 
certain conditions, such as addressing specific matters related to compliance with 
the Act, additional reporting requirements,  consent to the imposition of certain 
penalties  if the corrective action plan fails to result in compliance, disclosure of    
 
103 
 information related to noncompliance with the Act, including noncompliance not 
identified in the notice of violation , or implementation of particular elements of the 
plan regardless of whether the Department approves the plan. T he Department may 
refuse to review a proposed action plan unless it satisfies those conditions and all 
the requirements of this section.   
(1) A corrective action plan submission shall, at a minimum, satisfy the following 
requirements:   
(A) The requester shall provide the contact information described in 
section 18980 .10(a)(1) .  
(B) The requester shall indicate which of the violations cited in the notice 
of violation the entity will  correct through the corrective action plan.    
(C) The requester shall provide a description of the actions the entity will take to correct the violations and how the actions will facilitate 
resolution of the violations, including  a proposed timeline, milestones, 
and a specific end date for the corrective action plan.  
(D) Explanation of w hether the requester consent s to the imposition of 
penalties , and if so, the amount of such penalties,  for past violations or 
for violations that may persist despite approval of the corrective action 
plan and full compliance with it, such as violations that the corrective 
action plan does not address or that potentially require more than 24 
months to fully correct . 
(E) Additional requirements as identified by the Department.   
(2) The Department shall approve or deny the corrective action plan and provide 
written notice of such decision. If the Department denies the plan, it may specify conditions, such as proposal of a more detailed plan, mitigation of 
ongoing noncompliance, or implementation of particular elements of the plan 
regardless of whether the Department approves the plan, under which it will 
consider a modified proposal .  
(3) The Department’s granting of permission to submit a corrective action plan proposal, t he submission of such a proposal, and the Department’s 
consideration of it , including the denial of it with permission to submit  a    
 
104 
 modified one, shall not be construed as excusing any violation, pausing 
accrual of penalties, or otherwise affecting the Department’s authority to 
enforce penalties  for violations addressed in the proposed plan . 
(4) By submitting a corrective action plan, the entity acknowledges that the 
Department may , when approving the plan or any other time, impose 
reasonable conditions concerning demonstrati on of adherence to the plan, 
such as document submittals or reporting related to the effectiveness of the 
plan, and that such conditions shall be considered part of the plan, and 
consents to be bound by the plan upon approval by the Department .  
(5) The Department shall include a copy of the approved corrective action plan 
with written notification of approval.  The copy included with the notice shall be 
the official governing document  for the plan. 
(6) The approval of a corrective action plan does not in any way relieve a 
producer or PRO from meeting the requirements of this Chapter  or the Act , 
except to the extent an approved  corrective action plan may enable the 
avoidance of penalties  under section 42081(b) of the P ublic Resources Code 
for the particular violations covered by the plan.  
(b) If an entity  was unable to comply with an approved correction action plan, such that 
the plan failed to result in compliance with the Act and this chapter, it may submit a 
written request  for an extension demonstrating that the requirements of section 
42081(b)(2) have been met.  The Department may, in its sole discretion, either 
consider such a request or initiate enforcement proceedings for the outstanding violations as described in this article. If the Department approves the request, the 
corrective action plan shall be modified to incorporate the timeline and additional requirements imposed by the Department in its approval of the request. Extensions 
shall be subject to the same conditions and limitations set forth in paragraphs (2) 
through (6) of subdivision (a) with respect to the initial submission and approval of 
the plan  and shall include, at a minimum:  
(1) A description of the substantial effort made to comply with the corrective 
action plan’s requirements  and the extent to which such efforts will be 
modified to comply with the corrective action plan.     
 
105 
 (2) Explanation of extenuating circumstances , including how they were beyond 
the control of the entity, and how they prevented compliance with the 
corrective action plan or otherwise prevented the plan from resulting in full 
compliance with the Act and this chapter.  
(3) Any updates, if any, to the content included in the original proposal for the 
corrective action plan pursuant to paragraph (1) of subdivision (a).  
(c) Each corrective action plan shall identify the specific  violations , cited in a notice of 
violation , that it will address . If the D epartment approves a corrective action plan, 
accrual of penalties for the violations to be corrected shall be tolled for as long as the 
corrective action plan remains in effect and is complied with .  
(d) Failing to comply with a corrective action plan is a violation of the Act subject to the 
penalty provisions of section 42081 of the Public Resources Code, and the 
Department may issue a notice of violation for any such violation, including during 
pendency of the corrective action plan.    
(e) The Department may issue notices of violation for failure to comply with the plan, 
and penalty accrual for the violations cited in the notice of violation shall resume  as 
described in section 42081(a)(3) , and the Department may initiate enforcement 
proceedings for such violations as described in this article . The Department may , 
upon demonstration by the entity that it has remedied the violations cited in the 
notice, reinstate tolling  of penalties  and deem the corrective action plan still in effect.  
 Authority: Sections 40401, 40502, 42060, 42081(b), Public Resources Code.  
Reference: Sections 42040(b), 42080, 42081, Public Resources Code.  
 
§ 18980.13. 2. Administrative  Civil  Penalties  
(a) Any entity, including, but not limited to, a PRO, producer, local jurisdiction, recycling 
service provider, retailer, or wholesaler, not in compliance with the Act or this 
chapter is subject to penalties pursuant to section 42081(a) of the Public Resources 
Code. If a PRO acting on behalf of its participants causes participants to be in 
violation in the Act or this Chapter , such participants shall not be exempt from    
 
106 
 penalties on the grounds that their noncompliance was caused by  the PRO’s 
conduct.   
(b) A penalty order  shall be served in the manner as provided for accusations in  section 
18980.13. 3(c). 
(c) Subject to the procedural requirements in this Article, and except as otherwise 
permitted pursuant to s ection 11520 of the Government Code, penalty 
determinations shall be made by the director or the director’s designee based on 
evidence presented in hearings  conducted pursuant to section 18980.13.4 
addressing, at a minimum, the factual factors identified in section 42081(c) of the Public Resources Code.    
 Authority: Sections 40401, 40502, 42060, 42081(a)(1), 42081(c)(3), Public Resources 
Code; Sections 11415.10, 11440.20, Government Code.  
Reference: Sections 42080, 42081, Public Resources Code; Sections 11415.10, 11440.20, 11505,  , Government Code.  
 
§ 18980.13. 3. Notices   
(a) Notices of violation, notices of a disciplinary action, and all accompanying documents shall be delivered to the address on file with the Department pursuant to 
section 42051(c) of the Public Resources Code by one of the following means:    
(1) First-class mail, registered mail, or certified mail;    
(2) Commercial carrier;    
(3) Personal delivery;    
(4) Email, with written consent or written acknowledgement  of receipt.     
(b) For persons not required to file a primary business address with the Department pursuant to section 42051(c) of the Public Resources Code or that have failed to do 
so, notices of violation and all accompanying documents shall be delivered using  
any of the methods described in subdivision (a) to at least one of the following 
addresses:   
(1) The person’s mailing address on file with the Secretary of State;    
(2) The person’s last known business or mailing address.       
 
107 
 (3) The business or mailing address of the attorney, if any, who acknowledges in 
writing their representation of the person with respect to the Department’s 
allegations, or any other party authorized in writing to receive notices on 
behalf of the person;    
(4) The person’s email address, with written consent of written acknowledgment of receipt.    
(c) An accusation commencing an administrative proceeding to impose administrative 
civil penalties shall be served on the person to be penalized using any of the 
following means:  
(1) For persons required to have an address on file with the Department pursuant 
to section 42051(c) of the Public Resources Code, by registered or certified 
mail;    
(2) By personal service in any manner as provided for service of summons pursuant to sections 413.10 through 416.40 of the Code of Civil Procedure;     
(3) By any of the means provided in subdivisions (a) and (b) for delivery of 
notices, provided that the respondent subsequently files a notice of defense 
or otherwise appears in the administrative proceeding.    
(d) For purposes of imposing penalties pursuant to section 42081 of the Public 
Resources Code, notices of violation are deemed to be issued on the fifth calendar 
day or, for notices delivered outside the State of California, the 10th calendar day,  
after the date on which the D epartment deposits it with the United States Postal 
Service for delivery via certified mail, unless a notice is delivered by another method 
permitted pursuant to this section, in which case the notice is deemed to be issued 
upon delivery.   
 
Authority: Sections 40401, 40502, 42060, 42080, 42081, Public Resources Code; 
Sections 11415.10, 11440.20, Government Code.   
Reference: Sections 42080, 42081, Public Resources Code; Sections 413.10, 413.20, 413.30, 413.40, 416.40, Code of Civil Procedure; Sections 11415.10 , 11440.20, 11505, 
Government Code.  
    
 
108 
 § 18980.13. 4. Procedure for a Hearing  
(a) Subject to the specific additional requirements provided in this section, the 
procedures and requirements set forth in section 11505 and section 11506 of the 
Government Code  shall apply to the commencement of administrative proceedings.    
(b) A respondent may submit to the D epartment a request for a hearing to contest the 
proposed action within thirty (30) days of receipt of the notice issued pursuant to subdivision (a).  Failure to submit a timely hearing request shall waive the right to a 
hearing.  
(c)  After conducting a hearing on the merits, or if no hearing is requested , the 
Department may  take any disciplinary or remedial action authorized under the Act, 
including those  described in section 18980.13.5.  Civil penalties  and other 
disciplinary actions  may be administratively imposed in accordance with the 
procedures outlined in Article 10 of Chapter 4.5 (commencing with section 11445.10) 
of Part 1 of Division 3 of Title 2 of the Government Code.   
 Authority: Sections 40401, 40502, 42060, Public Resources Code; Section 11415.10, 
Government Code.  
Reference: Sections 42041, 42080, 42081, Public Resources Code; Sections 11505, 11506, Government Code.  
 
§ 18980.13. 5. Disciplinary Actions  
(a) If the Department finds that a PRO or IP has failed to meet a requirement of this 
Article or Chapter, the D epartment may, in addition to imposing any civil penalties or 
taking any other action authorized under the Act , take one or more of the following 
actions:   
(1) Revoke a previously approved plan,   
(2) Revoke its approval of the PRO,    
(3) Require additional reporting relating to compliance with the requirements of this Act  or this chap ter that were not met.   
(b) Upon the decision to revok e a previously approved plan or revoking approval of the 
PRO, or as of a later effective date specified in the decision , the entity shall    
 
109 
 implement the transfer and closure plans in the previously approved plan and 
pursuant to section 42051.1(f) of the Public Resources Code.    
 
Authority: Sections 40401, 40502, 42060(a), 42061.5(c), 42080(a), Public Resources 
Code; section 11445.20, Government Code.  
Reference: Sections 42051.1(f), 42051.2(e)(2), 42051.3, 42056(b), 42061.5(c), 42080, 
42081(b)(3), Public Resources Code.  
 
 
     
 
110 
 Article 14: Additional P roducer Responsibility Organization s 
 
§ 18980. 14. Approval of Additional P roducer Responsibility Organizations 
(a) If the director of the D epartment determines that an additional PRO or additional 
PROs is beneficial, pursuant to s ection 42061.5(b) of the Public Resources Code , 
the Department shall develop an application and accept  applications from 
prospective PROs  for consideration. The application shall demonstrate that  the 
organization can effectively implement this chapter  and must address at least the 
following elements : 
(1) The organization’s minimum qualifications to serve as a PRO, including, but 
not limited to, the  requirements specified in section  42041(x) and section 
42061.5(a)  of the Public Resources Code .  
(2) The requirements specified in section 42061.5(b)(1) through section  
42061.5(b)(4)  of the Public Resources Code. 
(b) If the D epartment is required to appoint a new PRO because it has revoked approval 
of an existing PRO , the Department shall open an application for prospective PROs 
and appoint a new PRO  or PROs  pursuant to section 42061.5(c)  of the Public 
Resources Code. The Department shall employ the same application described in 
subdivisio n (a), except that the requirements identified in paragraph (2) of that 
subdivision shall not apply . 
 
Authority: Sections 40401, 40502, 42060, 42061.5(b), 42061.5(c), Public Resources 
Code.   
Reference: Sections 42061.5(b), 42061.5(c), Public Resources Code.  
     
 
111 
 Article 15: Public Records  
 
§18980.15 . Designation of Trade Secrets  and other Non -Disclosable Information  
(a) All records submitted to the Department pursuant to the Act or this chapter are 
subject to mandatory disclosure under the Public Records Act (Division 10 
(commencing with s ection 7920.000) of Title 1 of the Government Code) unless an 
express exemption from mandatory disclosure applies under the Act, the Public Records Act, or any other law.  
(b) The Department shall not disclose information that constitutes a trade secret, as defined in subdivision (d) of section 3426.1 of the Civil Code, in response to public 
records requests, or are exempt from mandatory disclosure under the Public 
Records Act as described in section 42051.2(b)(5) of the Public Records Code, as 
demonstrated pursuant to section 18980.6.6(a)(2).  
(c) For any information submitted to the Department that is claimed by the person submitting it to constitute a trade secret, the person shall:  
(1) Specifically designate as “trade secret” each portion of the submission containing such information. Such designation may be made by directly 
labeling the portion as such or, if direct labeling is impractical, by submitting 
written explanation clearly explaining what portions of the submission contain 
trade secrets.  
(2) At the time of submission, provide the name, address, and telephone number of the individual to be contacted regarding requests received by the 
Department for disclosure of the information, unless such individual’s contact 
details are already on file with the Department pursuant to section 18980.10 
of this chapter.  
(d) Any portions of submissions that are not specifically designated as containing a 
trade secret shall be considered not to contain trade secrets and, unless some other 
express exemption or prohibition applies, shall be deemed subject to mandatory 
disclosure under the Public Records Act.     
 
112 
 (e) The Department shall follow the procedures set forth in section 40062 of the Public 
Resources Code when determining whether information has been properly identified 
a trade secret.  
(f) Data submitted to the Department shall be considered information subject to section 
40062 of the Public Resources Code, regardless of the form in which it is maintained 
by the Department, and sections 17044 through 17047 of Title 14 of the California 
Code of Regulations shall not apply to such information.   
 
Authority: Sections 40401, 40502, 42060, Public Resources Code.  
Reference: Sections 40062, 42060(a)(2)(F), 42080(e), Public Resources Code; Sections 7921.500, 7922.530, Government Code; Section 3426.1, Civil Code.  
     
 
113 
 CHAPTER 11. 5 Environmental Marketing and Labeling  
 
Article 1. Approval of Certification Entities  
 
§ 18981 . Third- Party Certification Entity Criteria and Approval Process  
(a) For purposes of this section:  
(1) “The Department” means the California Department of Resources Recycling 
and Recovery.  
(2) “ISO/IEC 17025:2017” refers to the publication, which is incorporated by 
reference in its entirety, titled “General requirements for the competence of 
testing and calibration laboratories,” International Organization for 
Standardization/ International Electrotechnical Commission, November 2917.  
(b) For purposes of approval pursuant to section  42357(g)(1)(A)  of the Public 
Resources Code, a third -party certification entity must satisfy the following criteria:  
(1) Has an ISO/IEC 17025:2017  accreditation issued by an accrediting body that 
is a signatory member of either the International Accreditation Forum or the 
International Laboratory Accreditation Cooperation, or both, or is a signatory 
to a mutual recognition arrangement established by  either organization.  
(2) Must be independent, impartial, and not have any conflict of interest with respect to granting the certification  required by section  42357(g)(1)(A) or 
42053(e)(1)  Public Resources Code. Without limitation, the entity shall be 
deemed not to satisfy this requirement if any of the following are true:  
(A) It holds any financial interest, whether direct or indirect, in any entity that is the producer of any product having the required certification.   
(B) Other than for its services as a testing lab, transacts business with any producer of a product subject to the certification requirement, whether 
such business is with the person directly or indirectly, such as through 
affiliates of the person.  
(C) Is party to any agreement under which any other entity agrees to refer persons to it, whether specifically or as one of a subset of the    
 
114 
 accredited entities on the list published pursuant to list  section, for 
purposes of the required certification.  
(c) A third -party certification  entity shall request approval, or renewal of a prior approval, 
by submitting the following in the manner prescribed by the Department :  
(1) Contact information.  
(2) Documentation of the accreditation required pursuant to subdivision ( b)(1). 
Identifying an accrediting body’s directory or other publication.  
(3) Identifying the entity as holding the accreditation required under this section 
shall be deemed sufficient documentation.  
(4) An affidavit, subject to the penalty of perjury, that the entity satisfies the requirements for approval pursuant to subdivision ( b)(2).  
(d) The Department’s approval of a third- party certification entity shall expire on 
January  1 of the fifth calendar year following the calendar year in which the 
Department approved the entity or as of the date the entity’s accreditation expires or 
otherwise becomes invalid.  
(e) No earlier than one year before expiration of the D epartment’s approval, the entity 
may request renewal. Renewed approvals shall expire in the same manner as initial 
approvals, as described in subdivision ( d).  
(f) The Department shall maintain on its website a list of currently approved third-party 
certification entities. Notwithstanding a third- party certification  entity ’s presence on 
the list, it shall be deemed not approved as of the date it no longer holds a valid, 
unexpired accreditation as prescribed in subdivision ( b)(1). A person selling or 
offering for sale products labeled with terms restricted pursuant to section  42357  of 
the Public Resources Code shall be responsible for ensuring that a third- party 
certification entity held a valid accreditation as of the date it issued a certification.  
(g) For the purpose of determining whether there has been an approved third-party 
certification entity for at least one year pursuant to section 42357(g)(1)(A)  Public 
Resources Code, a third -party certification entity shall be deemed to have been 
approved as of the date it was added to the list. For all other purposes, however, 
regardless  of when a third-party certification  entity is added to that list, the    
 
115 
 Department’s  approval shall be retroactive as of the date the entity satisfied the 
requirements of subdivision ( b) of this section . 
 
Authority: Sections 40401, 40502, 42060, Public Resources Code  
Reference: Sections 42041(aa)(5), 42050, 42061, 42355, 42355.5, 42356, 42356.1, 
42356.2, 42357, Public Resources Code.