NOTICE OF PROPOSED ACTION  
SB 54 PLASTIC POLLUTION PREVENTION AND PACKAGING 
PRODUCER RESPONSIBILITY ACT REGULATIONS  
DEPARTMENT OF RESOURCES RECYCLING AND RECOVERY  
TITLE 14. NATURAL RESOURCES  
DIVISION 7, CHAPTERS 11.1 AND 11 .5, TITLE 14.  
 
NOTICE IS HEREBY GIVEN that the Department of Resources Recycling and 
Recovery (CalRecycle) proposes to add to the California Code of Regulations, Title 14, 
Division  7, Chapter 11.1 (commencing with section 18980.1) and Chapter 11.5 
(commencing with section 1898 1). The proposed regulations interpret , make specific, 
and implement the requirements of Senate Bill No. 54 (2021 -2022 Reg. Sess.) , the 
Plastic Pollution Prevention and Packaging Producer Responsibility Act ( Stats. 2022, 
ch.75) , (the Act ) and establish various elements of CalRecycle’s oversight and 
enforcement responsibili ties under the Act. The proposed regulations will also establish 
the criteria and procedures necessary to implement the requirement  established by 
Assembly Bill No. 1201 (2021- 2022 Reg. Sess.)  (Stats. 2021, ch.504) (AB 1201) that 
products labeled “compostable” must be certified by third- party entities according to 
certain technical standards . 
After considering all comments, objections, and recommendations regarding the 
proposed action, CalRecycle may adopt the proposals substantially as described in the 
below Informative Digest or may modify such proposals if such modifications are 
sufficiently related to the original text.  
PUBLIC HEARING  
CalRecycle will hold a hybrid public hearing starting at 9 :00 AM (P DT) on April 23, 2024,  
and concluding upon submission of any public hearing comments. The public hearing will 
be accessible in person in the Coastal Hearing Room  located on the 2nd floor of the 
CalRecycle headquarters at 1001 I Street, Sacramento, California, 95812. The Coastal 
Hearing Room  is wheelchair accessible. The public hearing will also be accessible 
virtually via Zoom  for direct participation and via Webcast for observation only . 
Instructions for how to access the Zoom public hearing (registration required) or Webcast 
(no registration required), can be found on CalRecycle’s website at https://calrecycle.ca.gov/Laws/Rulemaking/
.  
Please note that Webcast participants will not be able to provide comments during the 
public hearing. To participate remotely and provide comments, it is recommended to 
join via Zoom. No registration is necessary to view the Webcast.  At the public hearing, any person may present statements or arguments, orally  or in 
writing , relevant to the proposed action. CalRecycle requests, but does not require, that 
any person who makes oral comments also submit a written copy of their testimony at 
the hearing. All comments  at the public  hearing will be collected and recorded.  
Simultaneous Spanish interpretation will be available in -person at the public hearing 
and remotely via Zoom or Webcast. For in- person interpretation services, headsets will 
be available and can be provided by CalRecycle staff prior to or during the hearing. If 
interpretation services  are needed in a language other than Spanish, please notify 
CalRecycle at regulations@calrecycle.ca.gov  by April 12, 2024, and CalRecycle staff 
will do their best to accommodate this request.  
WRITTEN COMMENT PERIOD 
The written comment period permits any interested person, or their authorized 
representative, to submit written comments addressing the proposed amendments to CalRecycle. Written comments, which offer a recommendation and/or objection, or 
support the proposed regulations , should indicate the section to which the comment or 
comments are directed. CalRecycle  will only consider written comments sent to 
CalRecycle and received during the written comment period, which begins on March 8 , 
2024, and ends on  April 23, 2024 . Written comments received by CalRecycle after the 
close of the public comment period are considered untimely. CalRecycle may, but is not required to, respond to untimely comments, including thos e raising significant 
environmental issues . Comments submitted in writing must be addressed to one of the 
following:  
Postal mail:  
Claire Derksen  
SB 54 Plastic Pollution Prevention and Packaging Producer Responsibility Act 
Regulations  
Department of Resources Recycling and Recovery, Regulations Unit  
1001 “I” St., MS -24B, Sacramento, CA 95814  
Electronic submittal  via CalRecycle’s Public Comment Portal : 
SB 54 Plastic Pollution Prevention & Packaging Producer Responsibility Act 
Regulations (45 -Day Comment Period)  
AUTHORITY AND REFERENCES  
Authority: Public Resources Code Sections  40401, 40502, 42041, 42052, 42053, 
42057, 42060, 42061.5, 42063, 42064, 42080, 42081, and Government Code Sections 
11415.10 and 11440.20 provide authority for this regulation.   Reference: These proposed regulations implement, interpret, and make specific the 
following provisions of the law:  Public Resources Code Sections 40062, 40120.1, 
40121, 40192, 42040,  42041,  42050,  42051,  42051.1, 42051.2, 42051.3,  42052,  42053, 
42054, 42056,  42057, 42060, 42060.5,  42061, 42061.5,  42063, 42064,  42067, 42070 , 
42080, 42081, 42355.51,  42356, 42356.1, 42356.2, and 42357, Government Code 
Sections 7921.500, 7922.530, 11440.20, 11505, 11506, 11520, Code of Civil Procedure 
413.10, 413.20, 413.30, 413.40, 416.40 and Civil Code 3426.1.   
INFORMATIVE DIGEST  
Summary of Existing Laws  
The California Integrated Waste Management Act of 1989  (Pub. Res ources Code, 
section 40000  et seq.) ), administered by CalRecycle , regulates the disposal, 
management, and recycling of, among other solid waste, plastic packaging containers 
and single -use food ware . It also imposes various reporting requirements on disposal 
facility operators, solid waste handlers, and transfer station operators regarding the 
types and quantities of materials disposed of, sold, or transferred to other entities .  
Pursuant to Assembly Bill No. 341 ( 2011 -2012 Reg. Sess.) (Stats. 2011, ch. 476), the 
state’s policy goal was that at least 75 percent of solid waste generated would be 
source- reduced, recycled, or composted by 2020.  That goal has not yet been met.  
Senate Bill No.  1335 ( 2017 -2018 Reg. Sess.),  the Sustainable Packaging for the State 
of California Act of 2018 (Stats. 2018 , ch. 510 ) (SB 1335), restricts certain types of food 
service packaging that may be used by food service facilit ies located in a state- owned 
facility, operating on,  or acting as a concessionaire on state property , or under contract 
to provide food service to a state agency . The food service packaging must be on the 
list published by CalRecycle identifying it as reusable, recyclable, or compostable.  
Senate Bill No. 343 ( 2021- 2022 Reg.Sess.)  (Stats. 2021, ch. 507)  (SB 343 ), establishes 
specific standards for what constitutes deceptive labeling concerning recyclability. Products can only be labeled “recyclable” or with the “chasing arrows” logo if they are 
regularly collected and processed for recycling and meet certain design and 
composition characteristics affecting recyclability , or satisfy other criteria related to 
recycling rates, alternative collection programs, or government programs governing recyclability. The law requires CalRecycle to conduct and publish a material 
characterization study examining the material types and forms that are collected, sorted, sold, or transferred by solid waste facilities in the state. Determinations of whether items can be considered recyclable in Califor nia must be based on the information that 
CalRecycle publishes.  
Effect of The Proposed Action  By interpreting, making specific, and implementing the Act, the proposed regulations will 
establish the various substantive and procedural requirements applicable to the 
extended producer responsibility (EPR) program that the Act requires producers of 
single- use packaging and single -use plastic food service ware (covered materials) to 
administer. The proposed regulations will also establish how CalRecycle will exercise its 
oversight and enforcement responsibilities.  
The proposed regulations will also implement the AB 1201 requirement that products must be certified by third parties to meet a technical standard established under chapter 
5.7 of part 3 of division 30 of the Public Resources Code (commencing with section 42355). By implementing this requirement of AB 1201, the proposed regulations will 
cause the requirement to take effect generally, not just with respect to covered 
materials.  
These proposed regulations do not s ubstantial ly differ from a comparable federal 
regulation or statute because there are no existing comparable federal regulations or statutes.  
Policy Statement Overview  and Anticipated Benefits of the Proposed Regulations  
The broad objective of the proposed regulations is to implement the Act to ensure that it 
achieves its goals: source reduction of plastic covered material, elimination of covered material that is not recyclable or compostable, and significant improvements in recycling 
rates for covered material. The proposed regulations also serve the objective of 
improving the integrity of product labeling by implementing requirements for when 
covered material can lawfully be labeled “compostable.”  
These objectives are consistent with the more general policy goals of shifting California to a circular econom y and shifting responsibility for end- of-life management of various 
materials onto the producers of them, thereby lessening the materials’ effects on the 
environment and public health and easing the burdens on local jurisdictions and 
consumers. Shifting res ponsibility through EPR statutes like the Act will benefit solid 
waste handling in the state by requiring producers to address the costs of such 
management and incentivizing the development of infrastructure, technological innovation, and increased usage of reusable and refillable products.  
By giving effect to the certification requirement of AB 1201, the proposed regulations will reduce deception of consumers regarding whether products are compostable. Consumers will be able to make more informed purchasing choices and better 
understand what  materials are appropriate to discard with materials collected for 
composting. In turn, this will enhance the technical and economic viability of composting 
programs statewide.  
By implementing the Act, t he proposed regulations will also spur improvements in 
recycling and composting infrastructure, which will lead to decreased  pollution and environmental harm associated with disposal of covered materials. These effects will, in 
turn, have positive effects on human health. Decreased disposal of covered material will 
also decrease greenhouse gas emissions associated with such disposal . 
Specific anticipated benefits of the proposed regulations’ implementation and enforcement of the Act include:  
• Reduction of plastic pollution and litter  
• Reduction of greenhouse gas emissions  
• Decreased material disposal burdens  
• Decreased raw material extraction and virgin material usage  
• Greater use of reusable and refillable items and expansion of reuse and refill systems  
• Reduced presence of toxins and other chemicals that would render products 
non-compostable or interfere with recycling  
• Increased access to recycling and composting  
• Investments in communities disproportionately impacted by the effects of plastic 
pollution  
• Supporting a stable circular economy  
• Supporting consistent recycling systems state -wide 
• Increased revenue for businesses from the sale of recycled material product  
• Decreased public health concerns such as cancer, asthma, and birth defects  
• Encouragement of packaging innovation  
• Reduced  exposure to chemicals and microplastics from use of reusable 
materials  
• Ensuring that refillable or reusable materials can be used and washed safely 
and hygienically  
• Promoting openness and transparency in business and government through creation and implementation of Producer Responsibility Organization ( PRO ) 
plans and plans created by individual businesses  
• Reduced deception of consumers and increased  transparency in business by 
imposing certification requirements for labeling products as “compostable.”  
Consistency with State Regulations  
Pursuant to Government Code Section 11346.5(a)(3)(D), CalRecycle conduct ed an 
evaluation of existing state regulations.  CalRecycle determined that the proposed 
regulations are neither inconsistent nor incompatible with existing state regulations and 
that CalRecycle  is the only agency that can implement this proposed regulation.  
INCORPORATION BY REFERENCE  
The following documents are incorporated by reference in the proposed regulation:  • ISO/IEC FDIS  17025:2017, “General requirements for the competence of testing 
and calibration laboratories,” International Organization for Standardization/ 
International Electrotechnical Commission, November  2017  
• ISO/IEC 17065:2012, “Conformity assessment —Requirements for bodies 
certifying products, processes and services,” International Organization for Standardization/International Electrotechnical Commission, September 2012.  
OTHER STATUTORY REQUIREMENTS ( GOVERNMENT  CODE SECTION 
11346.5( a)(4)) 
CalRecycle has determined that no other matters, as prescribed by statute, need to be addressed.   
MANDATES ON LOCAL AGENCIES OR  SCHOOL DISTRICTS  
CalRecycle has made the following initial determinations : 
Mandate Imposed on Local Agencies: Yes  
Costs to any  local agency which requires reimbursement in accordance with P art 7 of 
Division 4 of T itle 2 the Government Code: No ne 
The proposed regulations mandate local  agencies  to include covered material  contained 
on the covered material categories list published by CalRecycle  in their collection and 
recycling programs. Implementation involves collaboration between the producer 
responsibility organization (PRO ), producers complying independently from a PRO , and 
local authorities for various activities, such as education and outreach, material 
collection and processing, and infrastructure improvement. Costs, influenced by factors 
like population density and market proximity, encompass both curbside and non-
curbside programs. While the costs associated with these activities are initially borne by 
local agencies , they are not reimbursable by the State.  The PRO is responsible for 
reimbursing  the expenses incurred by local jurisdictions  to meet the s tatutory and 
regulatory requirements of SB 54. Additionally, potential funding from the California 
Plastic Pollution Mitigation Fund can be directed towards supporting relevant entities.  
Mandate Imposed on School Districts: None  
 
FISCAL IMPACT   
Costs to Any Local Agencies or School Districts Requir ing Reimbursement  
CalRecycle has determined there are no costs  to local agencies or school districts  
subject to reimbursement by the State required by  Part 7 of D ivision 4 of T itle 2  the 
Government Code.  Cost or Savings to Any State Agency  
CalRecycle has determined t he total annual cost to the state is estimated to be $76.75 
million which will be incurred by  CalRecycle  and funded by the PRO through the 
Circular Economy Fund. CalRecycle also anticipates a $4 million reduction in revenue 
to the state from a decrease in disposal stream tipping fees.  
Other Non–Discretionary Cost or Savings Imposed Upon Local Agencies 
CalRecycle has determined that the proposed regulations do result in costs to local 
agencies.  These costs are not required to be reimbursed by the State. Rather, the PRO 
is responsible for fully reimbursing these costs. CalRecycle expects local agencies to 
improve and expand their recycling collection services to meet the requirements of the 
Act and estimates that the average cost per Fiscal Year for these activities is anticipated 
to be $22.2 million through 2023- 24, 2024- 25, and 2025- 2026. Additionally, costs to 
local authorities may include education and outreach, material processing, and 
additional infrastructure improvements. In circumstances where communities have been 
disproportionately affected by plastic pollution and environmental justice related issues, funding from the California Plastic Pollution Mitigation Fund can be directed to local 
authorities for these costs.  
Cost or Savings in Federal Funding to the State  
CalRecycle  has determined that adoption of these regulations  will not have an impact 
on costs or savings in federal funding to the State.  
HOUSING COSTS  
CalRecycle has determined that adoption of these regulations  will not have a significant 
effect on housing costs.   
SIGNIFICANT STATEWIDE ADVERSE ECONOMIC IMPACT DIRECTLY 
AFFECTING BUSINESS  
CalRecycle has made an initial determination that the adoption of these regulations may 
have a significant, statewide adverse economic impact directly affecting business, 
including the ability of California businesses to compete with businesses in other st ates. 
CalRecycle has considered proposed alternatives that would lessen any adverse 
economic impact on business and invites interested parties  to submit proposals. 
Submissions may include the following considerations:  
(i) The establishment of differing compliance or reporting requirements or 
timetables that take into account the resources available to businesses.  
(ii) Consolidation or simplification of compliance and reporting requirements for 
businesses.  
(iii) The use of performance standards rather than prescriptive standards.  (iv) Exemption or partial exemption from the regulatory requirements for 
businesses.   
The businesses most directly affected by these regulations are  referred to in the A ct as 
“producers”  of single- use packaging and plastic single- use food service ware:  
manufacturers, brand or trademark owners , brand or trademark licensees , and 
businesses that sell, offer for sale, or distribute such materials in the state.  
As of 2032, the Act will require that all single- use packaging and plastic single- use food 
service ware be recyclable or compostable. It also requires that plastic single- use 
packaging and food service ware achieve certain recycling rates. T hese regulations 
require producers to maintain records that demonstrate their compliance with those 
overall requirement s and to report data related to such compliance to CalRecycle.  
Producers will also be required to reduce the overall amount of such materials  that they 
create.  
These regulations will require producers to comply with their obligations under the Act 
by participat ing in a program operated by an organization acting on their behalf  
pursuant to a plan approved by CalRecycle.  Alternatively, producers can create their 
own plan.  Producers, either through such an organization or individually, will be required 
to prepare and submit plans addressing all requirements stat ed in the Act, submit 
annual budgets and reports  concerning their plans , and maintain records documenting 
their compliance with the Act . The reporting and recordkeeping requirements 
encompass the following: the amount  and types  of single -use pack aging and plastic 
single- use food service ware that producers sell, distribute, or import ; the amount and 
types of such materials that producers collect for recycling; the basis asserted for 
certain materials to be considered recyclable; estimations of recycling rates for 
particular types of materials;  calculations of source reduction with respect to plastic 
single- use packaging and food service ware ; and records demonstrating that entities 
that collect and process materials subject to the Act do so in a manner that satisfies certain criteria . 
These regulations will also impose compliance requirements on businesses that assert they are not “producer s” of covered material because some other entity is the producer  
or because the packaging or plastic food service ware at issue  is reusable or refillable. 
Such businesses may be required to support their claim that they are not the producer, 
such as by demonstrating that  that such items satisfy the criteria in the regulations to be 
considered not “single -use.”  
Solid waste enterprises that provide solid waste handling services on behalf of a local jurisdiction will also be affected because the Act may require them to add certain types 
of materials to their collection and recycling programs.  
RESULTS OF STANDARDIZED REGULATORY IMPACT ASSESSMENT  Creation or Elimination of Jobs within the State of California  
CalRecycle has determined that the proposed action will not  eliminate jobs within 
California. Over the course of implementation, i t is projected that 102,564 jobs may be 
created in the manufacturing industries specializing in  recyclable plastics, paper, glass , 
and metal products,  as well as within  the construction, wholesale, retail , and food 
service industries.   
Creation of New Businesses or Elimination of Existing Businesses within 
California  
CalRecycle  has determined that the proposed action will create new business es within 
California . It is anticipated that at least 31 business es will be created statewide. These 
businesses include at least one PRO , a non -profit organization, and several  material 
recovery facilities  (MRFs) . 
Competitive Advantages or Disadvantages for Businesses Currently Doing 
Business within the State  
CalRecycle has determined that the proposed action will not have competitive 
advantages  or disadvantages  for businesses currently doing business  within California . 
Increase or Decrease of I nvestment in the State  
CalRecycle has determined that the proposed action will increase investment in 
California . Private investment will experience an initial increase of $172 million in 2024 
and peak  in 2030 at  $1.2 billion. There is no indication that there will be a net decrease 
in investment in the state because of the proposed regulations.  
Incentives for I nnovation in P roducts, Materials or Processes  
CalRecycle has determined that the proposed regulations  will provide incentives for 
innovation in products, materials , and manufacturing and waste management  processes  
that ensure cost-effective approaches for  producers to be in compliance with the A ct. 
The proposed regulations establish material packaging standards  that will incentivize 
manufacturers to develop innovative and new  packaging with covered material , 
increase the utilization of reuse and refill infrastructure , and develop new processes for 
recycling  in order to  meet the requirements of the Act . 
Benefits of the Regulation, Including But Not Limited To, Benefits to the Health, 
Safety,  and Welfare of California Residents, Worker Safety, the State’s 
Environ ment , and Quality of Life  
CalRecycle has determined that the proposed action will have benefits , including but not 
limited  to, benefits  to the health and welfare of California residents, worker safety, the state’s environment , and quality of life . In addition to generating less packaging waste  
through plastic source reduction and shifting to reusable and refillable material, r educing 
plastic pollution through the funds from the California Plastic Pollution Mitigation Fund 
will lead to a decrease in negative  human health and environmental impacts  especially 
in disadvantaged and low -income communities disproportionately affected by plastic 
pollution.  Additionally, California residents will also benefit from greater accessibility to 
recycling and composting due to the increase in infrastructure for collection, sortation,  
and processing of such materials. C reating recyclable and compostable packaging will  
lead to harmonization with our recycling infrastructure that will lead to less disposal and 
prolong  our landf ill capacity and use. It will also lead to a decrease in greenhouse gas 
(GHG)  emissions,  and a decrease of fossil fuels  used in the production of virgin plastic.  
There is no indication that worker safety will be negatively impacted due to the 
proposed regulations.  
Summary  of the Department of Finance’s Comments on the Proposed 
Regulations  and the Standardized Regulatory Impact Assessment  
DOF Comment #1:  
First, the SRIA must identify any changes in the amount of operating income received by state and local agencies. The SRIA estimates that the impact on personal income 
will exceed $1 billion in several years with the highest impact being $5.2 billion in 2030. 
State income tax revenue is typically equal to about 4 percent of state personal income, thus, a $1 billion change in income could cause income tax revenue to change by about 
$40 million unless the affected population has unusually high or low incomes.  The SRIA 
should provide estimates for the regulation’s expected impact on tax revenue for each 
year of the analysis.  
CalRecycle Response:  
CalRecycle has revised the “State Government” section of the SRIA to include a calculation of the expected change in state income tax revenue for each year of the 
implementation period. CalRecycle estimates that an additional $766 million in state 
income t ax revenue is likely to be generated over the implementation period as a result 
of increased personal income, resulting in an overall benefit to California.  
 
DOF Comment #2:  
Second, the baseline should include the number and description of affected producers 
and individuals and/or households. The SRIA indicates the number and type of affected 
producers in the direct costs to businesses section but does not include this estimate and description in the economic baseline. The number of individuals and/or households 
affected should also be reflected in the economic baseline.  
CalRecycle Response:  
CalRecycle has revised the “Baseline” and “Inputs and Assumptions of the Assessment” sections of the SRIA to include the number and type of businesses, producers, 
individuals, and households expected to be impacted by the Proposed Regulations.   
DOF Comment #3:  
Finally, while the SRIA states that the direct cost per household after full implementation 
could be as high as $329 per year, the total direct costs to all affected individuals and/or 
households throughout the regulation’s implementation period must be quantified.  
CalRecycle Response:  
For purposes  of this analysis, CalRecycle assumes that the cost of implementation to 
producers will be passed down to individuals. The “Direct Cost on Individuals” section of 
the SRIA has been revised to include the total cost of implementation, representing the 
total estimated cost to individuals within California over the implementation period. 
Additionally, CalRecycle has added a discussion of the increase in personal income and 
environmental benefits, which are expected to offset the costs to individual s, to this 
section.  
COST IMPACTS TO REPRESENTATIVE PRIVATE PERSON OR BUSINESS  
Compliance with the proposed regulations will increase costs for producers because 
packaging and food service ware will be required to use materials that are recyclable, 
compostable, or reusable and may be more expensive than the traditional , very 
inexpensive materials  widely used currently. The need to avoid design characteristics, 
such as those related to component sizes,  inks, or adhesives , that make sorting and 
recycling more difficult may also result in increased manufacturing costs.  
Producers and non- producers may incur costs related to documenting that certain 
materials  comply with the Act’s requirements. For example, producers of covered 
material claim ed to be recyclable or compostable may incur costs to establish that the 
material meet s applicable technical standards. Manufacturers, distributors, and sellers 
of packaging or food service ware claimed to be reusable or refillable may incur costs to 
establish that their products satisfy the criteria for being  considered not “single -use.”  
Producers may incur costs related to source reduction, such as the cost of obtaining 
validation from a third party of postconsumer recycled content  or the cost of shifting to 
non-plastic materials . Producers , through a PRO or otherwise, may also incur costs 
related to establishing alternative collection systems , establishing,  and expanding 
recycling infrastructure,  developing new materials and technologies , and establishing 
infrast ructure  for the convenient and safe reuse and refill of packaging or food service 
ware .  
Producers that participate in a PRO plan will pay fees directly to the PRO according to 
the fee schedule established by the PRO , and the PRO will pay the circular economy 
administrative fee to CalRecycle . Producers, through the PRO or otherwise, will also 
pay annual environmental mitigation surcharges  to the California Department of Tax 
and Fee Administration . Producers and the PRO will also  incur costs related to 
developing and maintaining plans , record keeping,  and annual reporting.   Local jurisdictions or recycling service providers may incur costs related to expanding 
the types of covered material included in their collection and recycling programs.  
CalRecycle estimates the direct cost per household after full implementation  of these 
regulations  could potentially reach $329 annually , the direct cost  for a large producer to 
potentially reach $646,866 annually, and the direct cost for businesses that are not 
producers but sell covered material to potentially reach $8,311 annually.  The estimated 
costs to individuals in this analysis includes many assumptions regarding factors that 
will affect the actual, realized impacts to individuals, most notably decisions by the PRO 
and producers regarding their compliance pathways, as well as individual consumer decisions. These decisions may result in the actual impacts on individuals potentially 
being different from the estimates presented her e.  
BUSINESS REPORT  
The proposed regulations address reporting requirements that are authorized by 
sections 42051.3, 42052, and 42057 of the PRC and direct CalRecycle to adopt a 
reporting system to enable producers and the PRO to report specific information to CalRecycle . The report requirement applies to business es. The proposed regulations 
specify  the data that the PRO, producers participating in the PRO or producers 
complying independently of a PRO are required to report.  By specifying the reporting 
requirements,  the proposed regulations allow for producers to be in compliance with the 
Act and for CalRecycle to provide necessary program oversight to ensure progress 
towards meeting statutory goals.  The proposed regulations satisfy the requirement 
stated in Gov ernment  Code Section 11346.3(d) that it is  necessary for the health, 
safety , and welfare of the people of the state that the regulations apply to businesses.  
DETERMINATION OF EFFECT ON SMALL BUSINESS  
CalRecycle has determined that the proposed regulations will affect small businesses.  
CalRecycle has estimated that 58% of businesses impacted by the proposed 
regulations are considered small businesses.  Small businesses that meet the definition 
of producer pursuant to section 42041( w) of the PRC, m ay be considered small 
producers, wholesalers , or retailers  by the Act if in the most recent calendar year they 
had gross sales of less than one million dollars ($1,000,000) in the state.  The Act 
authorizes CalRecycle to develop a process to exempt  these entities from the majority 
of requirements of the Act. Producers of covered material  granted an exemption from 
this process would be considered “small producers” and would be exempt from the 
requirements of the A ct [excluding section 42050(b) of the PRC ] and would  incur an 
annual cost of approximately  $309 for record keeping and exemption application 
preparation  costs.  Those small businesses that meet the definition of producer per  
section 42041(w) of the PRC and that are denied an exemption based on a  
determination by CalRecycle would need to join an approved PRO or comply with the requirements independently .  CalRecycle  expects small businesses to benefit from increased revenue from the sal e 
of products made from recycled material . Additionally , less effort will be  needed to 
review recy clability claims of packaging, and there will be  an increased ease of  
providing product packaging  to fit consumer demand. There will also be a reduction in 
the cost of disposal services  as more recyclable material is generated. However, the 
reduction in disposal costs may shift to  recycling services as materials shift to recycling 
and composting collection streams.  
CONSIDERATION OF ALTERNATIVES   
In accordance with Government Code section 11346.5(a)(13) , CalRecycle must 
determine that no reasonable alternative considered by the agency  or that has 
otherwise been identified and brought to the attention of the agency would be more 
effective in carrying out the purpose for which the action is proposed, would be as 
effective and less burdensome to affected private persons than the proposed actio n, or 
would be more cost -effective to affected private persons and equally effective in 
implementing the statutory policy or other provision of law.  
CalRecycle  invites interested parties  to present statements or arguments with respect to 
alternatives to the proposed regulations during the written comment period, or at the 
scheduled public hearing. 
CONTACT PERSON S 
Inquiries or comments concerning the proposed rulemaking action may be addressed to: 
Claire Derksen  
SB 54 Plastic Pollution Prevention and Packaging Producer Responsibility Act 
Regulations  
Department of Resources Recycling and Recover y, Regulations Unit  
1001 “I” St., MS -24B, Sacramento, CA 95814 
Phone:  (916) 327-0089  
Email: regulations@calrecycle.ca.gov
 
The backup contact person is:  
Craig Castleton  
Regulations Unit Supervisor  
Department of Resources Recycling and Recover y, Regulations Unit  
1001 “I” St., MS -24B, Sacramento, CA 95814 
Phone:  (916) 327 -0089  
Email: regulations@calrecycle.ca.gov  
AVAILABILITY  STATEMENTS  Availability of Initial Statement of Reasons, Text of Proposed Regulations, 
Information Upon Which this Proposal is Based, and Rulemaking File  
CalRecycle will have the entire rulemaking file, the express terms of the proposed 
regulations, and all information that provides the basis for the proposed action, available for public  inspection and copying  during normal business hours  at the address provided 
above. As of the date this Notice is published in the Notice Register, the rulemaking file 
consists of this Notice, the text of the proposed regulations, the Initial Statement of Reasons, the documents relied upon for the proposed action,  the economic and fiscal 
impact statement, and standardized regulatory  impact assessment. Copies may be 
obtained by contacting the contact persons  at the address, email, or phone number 
listed above.  
Availability of Modified Text  
CalRecycle  may adopt the proposed regulations substantially as described in this 
Notice . If CalRecycle  makes modifications that are sufficiently related to the originally 
proposed text, it will make the modified text , with the changes clearly indicated , 
available to the public for at least fifteen (15) days before CalRecycle  adopts the 
regulations as revised. Requests for the modified text should be made to the contact persons named above. CalRecycle  will transmit any modified text to all persons who 
testify at the  scheduled public  hearing, all persons  who submit a written comment at the 
scheduled public hearing, all persons whose comments are received during the comment period, and all persons who request notification of the availability of such changes. CalRecycle will accept written comments on the modified regulations for 
fifteen (15) days after the date on which they are made available.  
Availability of the Final Statement of Reasons  
Upon its completion, copies of the Final Statement of Reasons may be obtained by request from the contact persons identified in this Notice or accessed through CalRecycle’s website at  www.calrecycle.ca.gov/Laws/Rulemaking
. 
INTERNET ACCESS  
For more timely access to the rulemaking file, and in the interest of waste prevention, interested parties are encouraged to access CalRecycle’s Internet webpage for the 
rulemaking at www.calrecycle.ca.gov/Laws/Rulemaking
. All rulemaking files published 
through CalRecyc le’s internet  website will be available on that page.