Core Overview

  • The Circular Action Alliance (CAA), the producer responsibility organization responsible for implementing California's packaging extended producer responsibility (EPR) law, submitted its program plan to the SB 54 advisory committee this Monday (June 15), ahead of a highly anticipated deadline.
  • According to the draft plan, CAA projects California's 2027 program budget could reach up to $1.87 billion. Looking ahead over the next five years, total program budgets could range between $9.35 billion and $17.2 billion.
  • The public comment period will remain open until August 14. CAA will review the comments before submitting the final program plan to CalRecycle in October.

In-Depth Analysis

This draft plan, exceeding 350 pages, provides a valuable roadmap for implementing the plastic waste reduction law signed in 2022. The document covers fee and funding sections, including budget development, fee setting, ecomodulation, and reimbursement and payment processes; it also addresses material topics such as source reduction, controlled materials, and compostable materials; and includes public participation elements like education and outreach, equitable access, and environmental justice.

The plan follows the release of the final SB 54 regulations, which were finalized in May, more than a year behind the original schedule, after Governor Gavin Newsom expressed concerns about costs. Around the same time, CAA published estimated schedule fees for packaging materials to assist producers in planning.

But overall, CAA previously had to prepare its program plan without the benefit of final regulations. Shane Buckingham, CAA's chief of staff, said in a statement Monday: "We worked closely with producers, local jurisdictions, service providers, and other stakeholders to develop a robust plan, taking decisive action even before final regulatory certainty arrived."

In its program plan, CAA again highlighted the challenges posed by regulatory delays. The organization wrote that adjustments may be necessary to address these delays, specifically postponing the timeline for achieving the law's mandated 10% source reduction goal.

The plan states: "CAA California is considering submitting a special challenge exemption request, seeking a three-year waiver from the requirement to achieve a 10% source reduction goal at the producer responsibility organization (PRO) level, with at least 2% achieved through reuse and refill."

Environmental groups have already expressed dissatisfaction with recent signs of weakened enforcement of the law. The Natural Resources Defense Council, Oceana, and the Californians Against Waste Foundation have filed petitions and complaints with the San Francisco Superior Court, alleging that CalRecycle's final regulations fail to meet the requirements of SB 54.

CAA leaders are expected to present the plan at a meeting of the state's packaging EPR advisory committee on June 26. Additionally, CAA will host an informational webinar on July 8 to discuss the plan.