AB 70 directs the California Department of Resources Recycling and Recovery (CalRecycle), working with the State Air Resources Board, to adopt regulations aimed at meeting the state’s organic waste reduction goals established elsewhere in law. The bill frames both programmatic priorities—like recovering edible food for people and exploring carbon-farming incentives—and compliance architecture, including when jurisdictions can be penalized and how localities may recover costs.
The measure also changes what jurisdictions may count toward recovered organic waste procurement targets: it clarifies small-scale composting and mulch counting, allows certain direct expenditures to be credited (subject to conversion factors), and requires CalRecycle to add pipeline biomethane produced exclusively from organic waste diverted from landfills to the eligible product list by January 1, 2027. The result is a mix of new counting rules, transitional compliance paths, and targeted exemptions intended to balance diversion goals with regional capacity differences.
At a Glance
What It Does
Requires CalRecycle, in consultation with CARB, to adopt regulations to meet the state’s 2020 and 2025 organic waste reduction goals and to design procurement counting rules for recovered organic waste products. It sets procedural options for penalties, phased requirements, and allows CalRecycle to include pipeline biomethane from diverted organic waste in procurement compliance as of 2027.
Who It Affects
Directly affects local jurisdictions (counties and cities) responsible for meeting procurement targets; municipal waste programs and compost/mulch operations; providers of recovery services (food recovery, compost, anaerobic digestion); and state agencies that verify and enforce procurement and diversion compliance.
Why It Matters
The bill changes which materials and activities jurisdictions can count toward procurement and diversion targets, creates compliance schedules and waivers for rural areas, and opens procurement pathways to pipeline biomethane—shifting market demand and verification needs for organic waste-derived products.
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What This Bill Actually Does
AB 70 requires CalRecycle to write regulations that implement the state’s organic waste reduction goals and to design the rules so local governments can be assigned different requirements or phased schedules based on measured progress. The bill emphasizes edible food recovery—directing CalRecycle to include measures to hit a goal that at least 20 percent of currently disposed edible food be redirected to people—and asks the agency to study how recovered food can best serve local needs or, where appropriate, be used for animal feed.
On procurement and counting, the bill is detailed. It allows jurisdictions to count compost from small-scale operations and specific materials (vermcomposting, mushroom compost, small feedstock compost sites) toward procurement targets if jurisdictions adopt enforceable procurement standards and comply with pathogen and contamination limits.
It authorizes up to 10 percent of a jurisdiction’s procurement target to be met through certain recovered products like mulch from tree trimming or edible food recovered from local commercial generators, subject to documentation and local ordinances. The statute also permits jurisdictions to count certain direct expenditures—capital and equipment investments for community composting or compost application—toward targets until December 31, 2035, subject to conversion factors that the department will set.AB 70 builds in flexibility and transitional relief.
Local jurisdictions that were noncompliant in 2022 could submit a formal notification of intent to comply, and CalRecycle can waive penalties for 2022 if the jurisdiction implements the approved corrective steps. The bill preserves special treatment for rural jurisdictions by extending an existing rural exemption from collection-service and procurement rules through January 1, 2037, with a regulatory renewal process thereafter.Two provisions change market signals: bear bins are explicitly exempted from lid-color requirements under CalRecycle’s rules, and CalRecycle must add pipeline biomethane converted exclusively from organic waste diverted from landfills to the list of products jurisdictions may procure by January 1, 2027, provided it aligns with Public Utilities Code requirements.
The department also gains limited administrative discretion to adopt adjusted procurement schedules (exempt from the Administrative Procedure Act) and to use emergency regulations in narrow circumstances.
The Five Things You Need to Know
The bill directs CalRecycle to include a 20% edible-food recovery objective in its regulations to divert edible food from disposal.
CalRecycle must allow jurisdictions to count pipeline biomethane converted exclusively from organic waste diverted from landfills toward procurement targets no later than January 1, 2027.
A penalty schedule for jurisdictions’ recovered organic waste procurement requires 30% of a target by Jan 1, 2023; 65% by Jan 1, 2024; and 100% by Jan 1, 2025, with penalties authorized under existing statutory limits.
Rural jurisdictions holding a specified rural exemption remain exempt from collection-service and procurement rules until January 1, 2037, with a regulatory process to renew exemptions in up to five‑year increments.
Local jurisdictions may count small-scale compost operations, certain mulch and recovered edible food, and up to 10% of procurement targets via specified direct expenditures (conversion factor initially set at $21.38/ton) subject to departmental regulations.
Section-by-Section Breakdown
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Regulatory mandate, edible food goal, penalties and phased requirements
CalRecycle must adopt regulations—consulting CARB—to reach the organic waste reduction goals referenced in Health and Safety Code section 39730.6. The bill requires inclusion of program elements focused on edible food recovery and gives CalRecycle authority to require local jurisdictions to impose requirements on generators and to authorize local penalties for noncompliance. The statute allows phased requirements and differing levels of obligation depending on a jurisdiction’s progress, as measured by disposal baselines, per-capita rates, statutory reviews, and other data. It also authorizes CalRecycle to include departmental penalties (capped at current statutory limits) and sets an internal procurement compliance schedule tied to enforcement.
Procurement schedule and penalty trigger
This subsection sets a three-step procurement threshold tied to penalty exposure: jurisdictions must meet 30% of their recovered organic waste procurement target by 2023, 65% by 2024, and 100% by 2025, after which penalties may be imposed under the department’s authority. Practically, the clause translates recovered-product procurement into a phased timeline for compliance and gives CalRecycle a statutory basis to impose administrative civil penalties when procurement performance lags behind the specified percentages.
Rural exemption extension and renewal process
Recognizing logistical and economic constraints in rural areas, the bill keeps jurisdictions that held a statutorily defined rural exemption (as of Jan 1, 2024) exempt from the organic waste collection services and procurement rules through January 1, 2037. It requires CalRecycle to adopt regulations that establish a process to renew these exemptions in up to five‑year increments, preserving an explicit, time‑limited pathway to continued relief for qualifying rural jurisdictions.
Inclusion of pipeline biomethane in procurement eligibility
CalRecycle must amend Title 14 procurement rules by January 1, 2027 to allow jurisdictions to count pipeline biomethane that is converted exclusively from organic waste diverted from landfills, provided the product is consistent with the Public Utilities Code criteria cited. The provision requires CalRecycle to define eligibility and implies a verification regime to ensure the biomethane’s feedstock origin and diversion status before it can be counted for compliance.
Counting rules for compost, mulch, edible food, direct expenditures, and local studies
The bill creates specific pathways for counting recovered organic waste products: small-scale composting (including vermicompost and mushroom compost) can count toward procurement if the jurisdiction adopts enforceable procurement and land-application standards; jurisdictions may count up to 10% of their procurement target with mulch from local tree-trimming programs and edible food recovered from commercial generators if documented and governed by local ordinances. Direct jurisdictional expenditures for community composting or compost-application equipment may count toward targets until Dec 31, 2035, subject to departmental conversion factors (initially $21.38/ton). The statute also allows local per-capita procurement targets based on local waste characterization studies that meet departmental criteria and provides for five‑year procurement accounting beginning in 2027 for jurisdictions that elect that option.
Notification of intent to comply, 2022 penalty relief, and corrective action plans
Local jurisdictions with continuing violations that began in 2022 can submit a written, resolution‑adopted notification of intent to comply; upon CalRecycle approval and implementation of the proposed schedule, the department will waive administrative civil penalties for 2022. The notification must describe the violations, explain why compliance was not possible (with documentation), detail COVID‑19 impacts, and propose specific remedial actions and timelines. CalRecycle must respond within 45 business days and can revoke approval and impose retroactive penalties if a jurisdiction fails to follow its proposed schedule.
Emergency regulations, financing information, and declaratory gift-clause language
The bill authorizes CalRecycle to adopt emergency regulations to implement certain statutory changes and requires that those emergency regs be handled under the state’s emergency administrative provisions; it also directs CalRecycle, with two state finance authorities, to provide financing information to solid-waste facility owners/operators about funding options to reduce methane emissions. Finally, AB 70 declares that distribution of compost and mulch by a jurisdiction serves a public purpose and is not a prohibited gift of public funds, restating existing case law.
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Explore Environment in Codify Search →Who Benefits and Who Bears the Cost
Every bill creates winners and losers. Here's who stands to gain and who bears the cost.
Who Benefits
- Food-insecure residents and food-recovery organizations — stronger statutory emphasis on edible-food recovery and an explicit 20% recovery objective pushes jurisdictions to prioritize redirecting edible food to people.
- Local governments with community composting programs — the bill allows small-scale compost operations and certain direct expenditures to count toward procurement targets, creating a route to meet targets without always buying off‑the‑shelf products.
- Renewable gas producers and utilities — pipeline biomethane derived exclusively from diverted organic waste becomes an eligible procurement product, potentially expanding markets for biomethane and investment in anaerobic digestion and gas‑cleanup facilities.
- Jurisdictions with limited capacity (rural) — the extended rural exemption through 2037 delays collection-service and procurement obligations, providing breathing room for infrastructure or market development.
- Municipal tree maintenance programs and landscape managers — mulch produced from jurisdictional tree trimming can be credited toward procurement targets (up to 10%), creating a use pathway for local green waste.
Who Bears the Cost
- Local jurisdictions — increased procurement obligations, new tracking and reporting, potential penalties if phased thresholds are missed, and costs to adopt ordinances or invest in qualifying operations.
- CalRecycle and CARB — substantial administrative work to draft, implement, and verify complex counting rules, set conversion factors, approve notifications of intent to comply, and monitor rural exemption renewals.
- Waste haulers and service contractors — operational changes to meet new generator requirements, increased recordkeeping, and potential contract renegotiations to supply recovered organic waste products.
- Small-scale compost and community operators — while eligible to be counted, they will face compliance obligations to meet pathogen/contamination limits and documentation standards; capital costs may be necessary to qualify.
- Public budgets or ratepayers — jurisdictions may recover costs through fees, but meeting procurement targets and financing infrastructure can translate into higher program costs or redirected budget priorities.
Key Issues
The Core Tension
The central dilemma is between environmental integrity and pragmatic flexibility: the bill expands what jurisdictions may count toward procurement (including pipeline biomethane, small-scale composting, mulch, and direct expenditures) to accelerate compliance and accommodate local capacity, but those same flexibilities risk weakening diversion outcomes, creating verification and double‑counting problems, and privileging low-cost credits over durable infrastructure and source-reduction strategies.
AB 70 mixes ambitious diversion goals with a variety of counting and compliance flexibilities. That creates implementation complexity: permitting pipeline biomethane to count toward procurement targets requires a robust chain-of-custody and verification system to ensure the gas was produced exclusively from organic waste diverted from landfills and not double-counted as renewable gas by utilities or other programs.
The bill references consistency with Public Utilities Code requirements but leaves key verification mechanics and enforcement design to CalRecycle rulemaking.
The conversion-factor approach for counting direct expenditures and applying a monetary value to in‑kind activities (initially $21.38/ton) introduces a blunt instrument to translate investment into procurement credit. Without careful calibration, conversion factors can either overcredit jurisdictions that purchase equipment without demonstrating actual product application or under-credit jurisdictions that genuinely expand local capacity.
Similarly, permitting mulch and edible food to count toward up to 10% of procurement targets creates an incentive to prioritize low-cost credits over higher-integrity diversion pathways like widespread compost application or source reduction. The rural exemption extension addresses equity and capacity concerns but delays environmental benefits in those regions and raises questions about long-term accountability and how renewal decisions will be evaluated.
Administrative discretion in adopting adjusted procurement schedules and using emergency regulation authority raises procedural transparency concerns. The bill exempts adjusted schedules from the APA and sanctions emergency regulations for certain past statutory changes—tools that accelerate implementation but limit public notice and input.
Finally, operational detail is thin on how CalRecycle will intersect with PUC oversight of biomethane, how to prevent double-counting across jurisdictions and utility green‑gas claims, and how to verify small-scale operations’ compliance with pathogen and contamination standards—areas that will be litigation‑ and audit‑prone if not tightly specified in rulemaking.
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