SARATOGA CITY COUNCIL

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1 SARATOGA CITY COUNCIL MEETING DATE: April 2, 2014 AGENDA ITEM: DEPARTMENT: City Manager s Office CITY MANAGER: Dave Anderson PREPARED BY: Crystal Bothelio DIRECTOR: Dave Anderson City Clerk SUBJECT: Plastic Bag and Expanded Polystyrene Restrictions and Bans RECOMMENDED ACTION: Direct staff accordingly. BACKGROUND: At the March 19, 2014 City Council Meeting, Council Member Hunter, with support from Vice Mayor Miller, requested a discussion of single-use plastic bags and expanded polystyrene (EPS) bans. There are more than 100 California cities and counties that have enacted bans on single-use plastic bags. There are also numerous jurisdictions outside of California that have made efforts to reduce the number of single-use plastic bags. In California and elsewhere, there are also a number of municipalities that have adopted restrictions on carryout foam food containers and other products made of EPS or Styrofoam. Single-Use Plastic Bags In recent years, many cities in California and across the United States have adopted laws banning retailers from distributing free single-use plastic bags to customers. These laws have been adopted in an effort to reduce waste and litter and to protect waterways. A study of trash transported through urban runoffs in the San Francisco Bay Area found that 8% of litter consisted of single-use plastic bags. While single-use plastic bags were not the single greatest source of litter found, plastic bags have been particularly difficult to clean up and have had adverse effects on marine environments. Santa Clara County: The majority of cities in Santa Clara County have adopted an ordinance banning single-use plastic bags. The cities of Gilroy, Milpitas, Los Altos Hills, Santa Clara, and Saratoga have not adopted ordinances restricting single-use plastic bags. The Milpitas City Council rejected an ordinance that would have banned single-use plastic bags at Milpitas retail stores by a 3-2 vote in December Below is a summary of current activity in the County on single-use plastic bags. A more extensive summary of the activity in the County is provided in Attachment A. Page 1 of 6

2 Jurisdiction Campbell Cupertino Gilroy Los Altos Los Altos Hills Los Gatos Milpitas Monte Sereno Morgan Hill Mountain View Palo Alto San Jose Santa Clara Saratoga Sunnyvale Santa Clara County Action Adopted resolution discouraging use of single-use bags Generally, ordinances that have been adopted in Santa Clara County prohibit retailers from providing single-use plastic bags. Most cities allow retailers to sell paper bags with 40% postconsumer recycled content to customers for a small fee. The collected fees are kept by the retailer. Some cities adopted ordinances that introduce the fee for paper bags in a phased manner. The ordinance in San Jose, for example, allows retailers to provide paper bags at a fee of $0.10 per bag. After January 1, 2014, this fee was set to increase to $0.25 per bag. However, in December 2013, the City of San Jose decided to forgo the increase as the fee of $0.10 per bag has effectively reduced plastic bag litter. The City of San Jose reported that the single-use plastic bag ordinance has reduced plastic bag litter in storm drains by 89%, in creeks and rivers by 60%, and in streets and neighborhoods by 59%. Visual observations of customers leaving San Jose retail stores were also conducted. The observation records revealed that the number of customers using reusable bags increased from 4% prior to implementation of the single-use plastic bag ordinance to 62% after the ordinance became effective. Overall, the number of single-use bags per customer decreased from 3 bags to 0.3 bags. Furthermore, while there have been some complaints about the ordinance in San Jose, the City has not seen a noticeable decline in retail sales as a result of the ordinance. The City of San Jose also reported far fewer plastic bags and plastic film in its waste stream. California Waste Solutions, which collects recycling for 80% of San Jose s single-family residential customers, observed a 24% reduction in retail plastic bags. Similar to the ordinance in San Jose, the fee per bag in Campbell, Cupertino, Los Altos, and Mountain View will also increase from $0.10 per bag to $0.25 starting January 1, The Page 2 of 6

3 ordinance adopted by the County of Santa Clara, on the other hand, calls for a fee per bag that will remain consistent. The price per bag in Morgan Hill will start at $0.10 per bag with the option to increase the fee by $0.05 depending on changes to the Consumer Price Index. While ordinances in San Jose, Cupertino, and Los Altos affect all retailers, other cities have implemented ordinances that only apply to larger retailers or take effect in stages starting with bigger retailers. Palo Alto, the first city in the County to implement a ban on single-use plastic bags, prohibited supermarkets with gross annual sales of $2 million or more from providing single-use plastic bags. In 2013, the Palo Alto City Council expanded the ordinance to apply to all stores and restaurants. The expanded ordinance became effective July 1, 2013 for retail establishments and November 1, 2013 for restaurants. An ordinance adopted by the Sunnyvale City Council that took effect in 2012 was implemented in two phases. The first phase bans grocery stores, convenience stores, liquor stores, drug stores, stores that are 10,000 square feet or larger, and stores that generate gross annual sales of $2 million or more from providing single-use plastic bags. Customers may purchase paper bags with 40% post-consumer recycled content for $0.10 per bag. The second phase expanded the ban on plastic bags to all other retailers in March For the most part, jurisdictions in Santa Clara County that have adopted single-use plastic bag ordinances have consistently conducted environmental reviews. The City of Palo Alto, City of San Jose, County of Santa Clara, and City of Sunnyvale conducted Environmental Impact Reports (EIR) on their ordinances. An EIR conducted by the County of San Mateo included a total of 24 cities in San Mateo and Santa Clara Counties. Santa Clara County cities that participated in the EIR included Campbell, Cupertino, Los Altos, Los Gatos, Milpitas, and Mountain View. However, following a decision by the California Court of Appeals in October 2013 on a Marin County use of California Environmental Quality Act (CEQA) categorical exemptions for a single-use plastic bag ordinance, some cities are now forgoing the full EIR process. The Court supported Marin County s use of categorical exemptions for a plastic bag ban ordinance as these ordinances are considered to be an activity that protects natural resources and environment and is therefore exempt from CEQA. In 2013, Morgan Hill determined that the single-use plastic bag ordinance adopted in 2013 was categorically exempt from the pursuant to CEQA Guidelines Sections and There have been no challenges to the Morgan Hill ordinance. Additionally, cities that have adopted bans have also conducted considerable public outreach to educate the public and retailers and thereby minimize the impact to businesses and shoppers during the ordinance implementation. Costs associated with outreach are estimated at $10,000 to $20,000. The Town of Los Gatos spent roughly $13,000 for retailer and public outreach. This included printing of informational materials and advertisements in local newspapers. Many of the smaller cities, including Los Gatos and Campbell, have adopted a complaint-based enforcement strategy for their reusable bag ordinances. Page 3 of 6

4 San Mateo County: The majority of jurisdictions in San Mateo County have also adopted ordinances that restrict single-use plastic bags. Woodside is the only remaining jurisdictions in San Mateo County that has not adopted an ordinance. Expanded Polystyrene In addition to single-use plastic bag bans, many cities have adopted laws that limit or prohibit use of EPS containers for takeout food storage to reduce litter and protect wildlife. Lightweight EPS can travel easily from inland waterways to the ocean. As it travels, EPS breaks up into small pieces that are commonly mistaken as food by birds and other marine wildlife, resulting in harmful side effects. According to a study performed by the Bay Area Stormwater Management Agencies Association in 2012, EPS accounts for approximately 7.8% of litter in the storm sewer system. The majority of this EPS originated from foam food ware. Santa Clara County: In 2012, the Santa Clara County Recycling and Waste Reduction Commission recommended that cities adopt policies to reduce use of EPS. The Commission suggested that cities take a phased approach. During the first phase, the Commission recommended jurisdictions adopt a policy prohibiting use of EPS in the jurisdiction s cafeterias, facilities, and events, as well as by groups using parks or facilities in the jurisdiction. The Commission proposed adoption of an ordinance banning use of EPS food and beverage containers by all food vendors during the second phase. The last phase would include requirements for food vendors to use food and beverage containers that are accepted and processed by the landfill diversion program within the jurisdiction. Many cities in Santa Clara County, including Saratoga, have adopted internal policies that prohibit purchase of EPS products with city funds or use EPS containers at events or at facilities in the city. Several cities have also adopted ordinances that ban use of EPS food and beverage containers by food vendors. Below is a summary of actions related to EPS that have been taken by jurisdictions in the County. A more extensive summary of the activity in the County is provided in Attachment B. Jurisdiction Action Campbell Ordinance is expected to go before Council in Summer 2014 Cupertino Gilroy Los Altos Los Altos Hills Los Gatos Ordinance is expected to go before Council in Fall 2014 Milpitas Monte Sereno Resolution discouraging use of EPS adopted Morgan Hill Mountain View Palo Alto San Jose, phase 1 became effective January 1, 2014 and phase 2 will become effective January 1, 2015 Page 4 of 6

5 Saratoga Santa Clara Sunnyvale Santa Clara County Prior to the City of San Jose adoption of an ordinance that bans foam food containers, it conducted an Initial Study on the ordinance that included all the cities in Santa Clara County. The Initial Study/Negative Declaration received no challenges. As a result, cities that are considering adoption of an ordinance similar to the City of San Jose ordinance are also expecting to file an Initial Study/Negative Declaration. The City of Morgan Hill took this approach and both Campbell and Los Gatos are expected to as well. Staff has found that outreach costs associated with ordinances that ban EPS food and beverage containers are less significant than that of reusable bag ordinances. Because the restrictions on EPS food and beverage containers do not require a chance on consumer behavior, outreach is generally limited to restaurants and therefore does not require such broad outreach as the singleuse plastic bag ordinances. An ordinance that also bans other EPS products, such as EPS ice chests, may require more outreach. As with the plastic bag bans, many cities have decided to take a complaint-based approach to enforcement of their EPS restrictions. San Mateo County: A number of jurisdictions in San Mateo County have also instituted ordinances banning food establishments from providing customers with EPS takeout containers. As with the single-use plastic bag ordinance, the County of San Mateo prepared a model ordinance and an Initial Study/Negative Declaration on the ordinance for the County and participating cities. The cities of South San Francisco, Millbrae, San Bruno, and Pacifica adopted separate ordinances. All other San Mateo County cities, with the exception of East Palo Alto, Brisbane, and Woodside, adopted the San Mateo County model ordinance. Proposed State Legislation Currently, there is one bill before the State legislature that would ban single-use plastic bags and is expected to move through the legislature. Senate Bill (SB) 270 (Padilla) would prohibit stores with annual sales of $2 million or that have 10,000 square feet of retail space from providing single-use carryout bags to customers. The bill would allow retailers to sell recycled paper bags for $0.10 per bag. Currently, there are no bills before the legislature that would limit or ban EPS food ware or other EPS products. FISCAL IMPACTS: N/A CONSEQUENCES OF NOT FOLLOWING THE RECOMMENDED ACTIONS: Page 5 of 6

6 N/A ALTERNATIVE ACTION(S): N/A FOLLOW UP ACTION(S): Implement Council direction. ADVERTISING, NOTICING AND PUBLIC CONTACT: Pursuant to Government Code , this item was properly posted as a City Council agenda item and was included in the packet made available on the City s web site in advance of the meeting. A copy of the agenda packet is also made available at the Saratoga Branch Library each Monday in advance of the Council meeting. ATTACHMENTS: Attachment A: Summary of Activity Related to Single-Use Plastic Bag Bans in Santa Clara County Attachment B: Summary of Activity Related to Expanded Polystyrene Bans in Santa Clara County Page 6 of 6