LEGISLATIVE COUNSEL'S DIGEST


SB 390, as amended, Kehoe. Solid waste: recycling market
development.
(1) The California Integrated Waste Management Act of 1989, which
is administered by the California Integrated Waste Management Board,
establishes an integrated waste management program. The act creates
the Recycling Market Development Revolving Loan Subaccount in the
Integrated Waste Management Account and continuously appropriates the
funds deposited in the subaccount to the board for making loans for
the purposes of the Recycling Market Development Revolving Loan
Program (program). Existing law makes the provisions regarding the
loan program, the creation of the subaccount, and expenditures
therefrom inoperative on July 1, 2011, and repeals them as of January
1, 2012, and provides for disposition of funds remaining after
inoperation and repeal.
This bill would prohibit the board from funding a loan under the
program until it determines that the applicant has obtained all
significantly, as determined by the board, applicable federal,
state, and local permits and would extend the program and the
continuous appropriation to July 1, 2021, and the repeal date to
January 1, 2022, thereby making an appropriation.
(2) The act requires, upon authorization by the Legislature in the
annual Budget Act, the Controller to transfer a sum that does not
exceed $5,000,000 from the account to the subaccount as necessary to
meet anticipated loan demand under the program. The act provides that
the transferred amount is a loan to the subaccount, repayable with
interest to the account.
This bill would delete the limitation of the transfer to
$5,000,000 and the requirement that the amount transferred be a loan
to the subaccount, repayable with interest. The bill would
retroactively delete the requirement that the amount transferred from
the account to the subaccount be repaid with interest.
(3) The act requires the board under the program to finance by a
recycling market development loan not more than 3/4 of the cost of
each project, or not more than $2,000,000 for each project, whichever
is less.
This bill would authorize the board, until July 1, 2016, and if
the money in the subaccount is in excess of $5,000,000, to provide
loans that do not exceed the lesser of $5,000,000 or 3/4 of the cost
of the project.
(4) The act requires the board to give highest priority for
funding to certain projects and to approve only those loan
applications demonstrating loan repayment ability.
This bill would delete this requirement.