Amended  IN  Assembly  January 24, 2022
Amended  IN  Assembly  March 11, 2021

CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill
No. 661

Introduced by Assembly Member Bennett

February 12, 2021

An act to amend Sections 10333, 12102.2, 12200, 12201, 12203, 12207, and 12217 of, to add Section 12202 to, and to repeal and add Section 12209 of, the Public Contract Code, relating to recycling.


LEGISLATIVE COUNSEL'S DIGEST


AB 661, as amended, Bennett. Recycling: materials.
The California Integrated Waste Management Act of 1989, administered by the Department of Resources Recycling and Recovery, generally regulates the disposal, management, and recycling of solid waste.
Existing law relating to public contracting establishes the State Agency Buy Recycled Campaign (SABRC), which requires state agencies to ensure specific percentages of reportable purchases from prescribed product categories to be recycled products. Existing law requires, if fitness and quality are equal, each state agency to purchase recycled products instead of nonrecycled products whenever recycled products are available at the same or a lesser total cost than nonrecycled products. Existing law establishes minimum content requirements for recycled products. Existing law requires a state agency to report annually to the Department of Resources Recycling and Recovery its progress in meeting the recycled product purchasing requirements using a SABRC report format. Existing law requires the Department of General Services (DGS), if a requirement has not been met, in consultation with the Department of Resources Recycling and Recovery, to review purchasing policies and make recommendations for immediate revisions to ensure that the recycled product purchasing requirements are met.
This bill would require a state agency, if fitness and quality are equal, to purchase recycled products instead of nonrecycled products, without regard to cost. The bill would substantially revise product categories. The bill would require the Department of Resources Recycling and Recovery, in consultation with the DGS, to update a list of products and minimum recycled content percentages, as determined to be appropriate, commencing January 1, 2025, 2026, and every 3 years thereafter. The bill would require the Department of Resources Recycling and Recovery and the DGS to incorporate the updated list of products and minimum recycled content requirements into the State Contracting Manual, the Financial Information System for California, and the financial system of any department not utilizing the Financial Information System for California. The bill would require the Department of Resources Recycling and Recovery to maintain an internet website with current SABRC products and minimum recycled content requirements. The bill would establish product categories and minimum content and recyclability requirements, effective January 1, 2022, 2023, until updated by the Department of Resources Recycling and Recovery. The bill would delete the DGS review and recommendation process for unmet requirements and, instead, would require the Department of Resources Recycling and Recovery to report a state agency that does not meet SABRC purchasing requirements in each product category to the DGS. The bill would require all state agency procurement and contracting officers, or their designees, to participate in mandatory annual training, as prescribed, conducted jointly by the Department of Resources Recycling and Recovery and the DGS. The bill would require the DGS and the Prison Industry Authority to prioritize the use of recycled content products. The bill would require the DGS, in collaboration with the Department of Resources Recycling and Recovery, to establish a requirement to offer products that meet the SABRC postconsumer minimum percentage requirements to state agencies that utilize their statewide contracts. The bill would require the Prison Industry Authority, in collaboration with the Department of Resources Recycling and Recovery, to make every attempt to procure parts that meet the SABRC postconsumer minimum percentage requirements for the products it creates and sells to state agencies.
Existing law relating to SABRC applies to prescribed state agencies, including the California State University.
This bill would provide that the University of California is not subject to the SABRC procurement requirements, but would require the University of California to report on purchases of products reportable under SABRC and what percentage of those purchases meet the associated minimum recycled content requirements.
Existing law relating to the state acquisition of goods and services authorizes DGS to delegate purchasing authority to a state agency that meets specified requirements. Existing law relating to the acquisition of information technology goods and services authorizes the delegation of acquisition authority by the Director of General Services, in consultation with the Department of Technology, to a state agency that has been determined to be capable of effective use of that authority, as prescribed.
This bill would, with regard to both the state acquisition of goods and services and the acquisition of information technology goods and services, require the DGS to establish procedures for complying with SABRC, including procedures for meeting the minimum recycled content requirements and for complying with reporting requirements.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 10333 of the Public Contract Code is amended to read:

10333.
 (a) The department shall delegate purchasing authority, as specified in Section 10332, to any state agency that does all of the following:
(1) Designates an agency officer as responsible and directly accountable for the agency’s purchasing program.
(2) Establishes written policies and procedures, including procedures for ensuring and documenting competitive purchasing, complying with purchasing standards established pursuant to Section 10307, inspecting acquired products for compliance with specifications, reporting contractor failures to deliver products as specified in contracts, ensuring that agency contracting personnel are free from conflict of interest, and complying with other provisions of law as the department may require.
(3) Establishes procedures for complying with the provisions of the Small Business Procurement and Contract Act (Chapter 6.5 (commencing with Section 14835) of Part 5.5 of Division 3 of Title 2 of the Government Code). The procedures shall include procedures for meeting the goals for the extent of participation of small businesses in state contracting as established by the department pursuant to subdivision (a) of Section 14838 of the Government Code.
(4) Establishes policies for training personnel in purchasing law and procedures, controlling and reviewing purchasing practices, auditing purchasing activities, and delegating purchasing authority within the agency.
(5) Reports the data to the office that the department may require.
(b) The department shall conduct an audit of each state agency to which purchasing authority has been delegated at least once in each three-year period. The authority to acquire goods may be withdrawn by the department at any time that the department finds that the state agency to which authority has been delegated is not in compliance with the requirements of this section.
(c) The department shall establish procedures for complying with the State Agency Buy Recycled Campaign (Chapter 4 (commencing with Section 12153)). The procedures shall include procedures for meeting the minimum recycled content requirements in state contracting as established by CalRecycle pursuant to Section 12209 and procedures for complying with reporting requirements as established by CalRecycle pursuant to Section 12211.

SEC. 2.

 Section 12102.2 of the Public Contract Code is amended to read:

12102.2.
 (a) Contract awards for all large-scale systems integration projects shall be based on the proposal that provides the most value-effective solution to the state’s requirements, as determined by the evaluation criteria contained in the solicitation document. Evaluation criteria for the acquisition of information technology goods and services, including systems integration, shall provide for the selection of a contractor on an objective basis not limited to cost alone.
(1) The Department of Technology shall invite active participation, review, advice, comment, and assistance from the private sector and state agencies in developing procedures to streamline and to make the acquisition process more efficient, including, but not limited to, consideration of comprehensive statements in the request for proposals of the business needs and governmental functions, access to studies, planning documents, feasibility study reports and draft requests for proposals applicable to solicitations, minimizing the time and cost of the proposal submittal and selection process, and development of a procedure for submission and evaluation of a single proposal rather than multiple proposals.
(2) Solicitations for acquisitions based on evaluation criteria other than cost alone shall provide that sealed cost proposals shall be submitted and that they shall be opened at a time and place designated in the solicitation for bids and proposals. Evaluation of all criteria, other than cost, shall be completed prior to before the time designated for public opening of cost proposals, and the results of the completed evaluation shall be published immediately before the opening of cost proposals. The state’s contact person for administration of the solicitation shall be identified in the solicitation for bids and proposals, and that person shall execute a certificate under penalty of perjury, which shall be made a permanent part of the official contract file, that all cost proposals received by the state have been maintained maintained, sealed and under lock and key key, until the time cost proposals are opened.
(b) The acquisition of hardware acquired independently of a system integration project may be made on the basis of lowest cost meeting all other specifications.
(c) The 5 percent small business preference provided for in Chapter 6.5 (commencing with Section 14835) of Part 5.5 of Division 3 of Title 2 of the Government Code and the regulations implementing that chapter shall be accorded to all qualifying small businesses.
(d) For all transactions formally advertised, evaluation of bidders’ proposals for the purpose of determining contract award for information technology goods shall provide for consideration of a bidder’s best financing alternatives, including lease or purchase alternatives, if any bidder so requests, not less than 30 days prior to the date of final bid submission, unless the acquiring agency can prove to the satisfaction of the Department of General Services that a particular financing alternative should not be so considered.
(e) Notwithstanding Section 12100:
(1) Acquisition authority may be delegated by the Director of General Services, in consultation with the Department of Technology, to any state agency that has been determined to be capable of effective use of that authority. This authority may be limited by the Department of General Services. A state agency shall not conduct an acquisition for information technology goods and services related to an information technology project under delegated acquisition authority pursuant to this section unless the Department of Technology has done one of the following:
(A) Delegated project authority to that state agency pursuant to Section 11546 of the Government Code.
(B) Authorized the state agency to conduct the acquisition.
(2) Acquisitions conducted under delegated acquisition authority shall be reviewed by the Department of General Services on a selective basis.
(3) The Department of General Services shall establish procedures for complying with the State Agency Buy Recycled Campaign (Chapter 4 (commencing with Section 12153)). The procedures shall include procedures for meeting the minimum recycled content requirements in state contracting as established by CalRecycle pursuant to Section 12209 and procedures for complying with reporting requirements as established by CalRecycle pursuant to Section 12211.
(f) To the extent practical, the solicitation documents shall provide for a contract to be written to enable acquisition of additional items to avoid essentially redundant acquisition processes when it can be determined that it is economical to do so.
(g) Protest procedures shall be developed to provide bidders an opportunity to protest any formal, competitive acquisition conducted in accordance with this chapter. The procedures shall provide that protests must be filed no later than five working days after the issuance of an intent to award. Authority to protest may be limited to participating bidders. The Director of Technology, or a person designated by the director, may consider and decide on initial protests of bids for information technology projects conducted by the Department of Technology and telecommunications procurement made pursuant to Section 12120. The Director of General Services, or a person designated by the director, may consider and decide on initial protests of all other information technology acquisitions. A decision regarding an initial protest shall be final. If prior to If, before the last day to protest, any bidder who has submitted an offer files a protest with the department against the awarding of the contract on the ground that his or her their bid or proposal should have been selected in accordance with the selection criteria in the solicitation document, the contract shall not be awarded until either the protest has been withdrawn or the Department of General Services has made a final decision as to the action to be taken relating to the protest. Within 10 calendar days after filing a protest, the protesting bidder shall file with the Department of General Services a full and complete written statement specifying in detail the grounds of the protest and the facts in support thereof.
(h) Consistent with the procedures established and administered by the Department of General Services, information technology goods that have been determined to be surplus to state needs shall be disposed of in a manner that will best serve the interests of the state. Procedures governing the disposal of surplus goods may include auction or transfer to local governmental entities.
(i) A supplier may be excluded from bid processes if the supplier’s performance with respect to a previously awarded contract has been unsatisfactory, as determined by the state in accordance with established procedures that shall be maintained in the State Administrative Manual. This exclusion shall not exceed 36 months for any one determination of unsatisfactory performance. Any supplier excluded in accordance with this section shall be reinstated as a qualified supplier at any time during this 36-month period, upon demonstrating to the Department of General Services’ satisfaction that the problems that resulted in the supplier’s exclusion have been corrected.

SEC. 3.

 Section 12200 of the Public Contract Code is amended to read:

12200.
 For the purpose of this article, the following definitions shall apply:
(a) “CalRecycle” means the Department of Resources Recycling and Recovery, as defined pursuant to Section 40110 of the Public Resources Code.
(b) “Business” includes bidders, contractors, and other interested parties that provide services to, or sell products to, the state.
(c) “Department” means the Department of General Services.
(d) “Director” means the Director of General Services.
(e) “Postconsumer material” means a finished material that would have been disposed of as a solid waste, having completed its life cycle as a consumer item, and does not include manufacturing wastes.
(f) “Product categories” include paper products, printing and writing papers, soil amendments and soil toppings, erosion control products, glass, lubricating oils, plastic, paint, tires, tire-derived products, carpet, pavement surfacing, building finishes, and textiles.
(g) (1) “Purchase” means any contractual agreement that state agencies use to obtain goods or materials.
(2) “Purchase” includes service contracts where the contractor is purchasing reportable recycled products in the performance of the service contract. The specific recycled product categories purchased as part of service agreements that must be reported on are printing and writing papers, soil amendments and soil toppings, erosion control products, paint, and carpet.
(h) “Recycled products” mean goods or materials that meet the requirements identified in Section 12209, including any good or material that has been reused or refurbished without substantial alteration of its original form.
(i) “Reportable purchase” means the purchase of any goods or materials, with recycled content or not, that may be reported or categorized or classified within one of the product categories identified in Section 12207.
(j) “Reportable recycled product purchase” means the purchase of any goods or materials that meet the requirements identified in Section 12209, that may be reported or categorized or classified within one of the product categories identified in Section 12207, including any good or material that has been reused or refurbished without substantial alteration of its original form.
(k) “SABRC” means the State Agency Buy Recycled Campaign.
(l) “Secondary material” means fragments of finished products or finished products of a manufacturing process, that has converted a resource into a commodity of real economic value, but does not include excess virgin resources of the manufacturing process, such as fibers recovered from wastewater, trimmings of paper machine rolls, mill broke, plastic, or metal trimmings, or shavings, or other residue from a manufacturing process. Secondary material does not include postconsumer material, so that the secondary material plus the postconsumer material plus the virgin material adds up to 100 percent of the product.
(m) “State agency” means each entity identified in Section 11000 of the Government Code, and includes the California State University.

SEC. 4.

 Section 12201 of the Public Contract Code is amended to read:

12201.
 (a) The Legislature finds and declares that it is the policy of the state to conserve and protect its resources. The Legislature further finds and declares that the use of recycled products produced as the result of the superior waste management efforts by the state and local governmental entities will help conserve resources and reduce greenhouse gas emissions contributing to global warming pursuant to the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500) of the Health and Safety Code).
(b) It is the intent of the Legislature that the state pursue all feasible measures to improve markets for recycled products including, but not limited to, education and training of state agency purchasers and bid evaluation preferences for purchases made by the state.
(c) If fitness and quality are equal, each state agency shall purchase recycled products instead of nonrecycled products.

SEC. 5.

 Section 12202 is added to the Public Contract Code, to read:

12202.
 The University of California is not subject to the procurement requirements of this article but shall report, pursuant to Section 12211, on purchases of the products listed in Section 12207 and what percentage of those purchases meet the associated minimum recycled content requirements in Section 12209.

SEC. 6.

 Section 12203 of the Public Contract Code is amended to read:

12203.
 Each state agency shall ensure each of the following:
(a) (1) Before January 1, 2020, at least 50 percent of reportable purchases are recycled products.
(2) On and after January 1, 2020, at least 75 percent of reportable purchases are recycled products, except for paint and tires.
(3) On and after January 1, 2020, at least 50 percent of reportable purchases of paint and tires are recycled products.
(b) The requirements specified in this article apply to all reportable purchases of goods by state agencies for product categories listed in this article.
(c) The reportable purchases of state agencies shall meet each requirement for, and be applied to the total dollar amount of, each specified product category as defined in this article. The purchase of a recycled product from one category may not be applied toward the requirements for, or the total dollar amount of, any other category listed in this article.
(d) Each state agency shall require the businesses with whom it contracts to use, to the maximum extent economically feasible in the performance of the contract work, recycled products.

SEC. 7.

 Section 12207 of the Public Contract Code is amended to read:

12207.
 This article applies to the purchase of goods and materials from the following product categories:
(a) Paper products, including, but not limited to, paper janitorial supplies, cartons, wrapping, packaging, file folders, and hanging files, building insulation and panels, corrugated boxes, paper food serviceware serviceware, tissue, and toweling.
(b) Printing and writing papers including, but not limited to, copy, xerographic, watermark, cotton fiber, offset, forms, computer printout paper, white wove envelopes, manila envelopes, book paper, note pads, writing tablets, newsprint, and other uncoated writing papers, posters, index cards, calendars, brochures, reports, magazines, and publications.
(c) Soil amendments and soil toppings.
(d) Erosion control products.
(e) Glass products including, but not limited to, windows, test tubes, beakers, laboratory or hospital supplies, fiberglass (insulation), packaging, reflective beads, tiles, construction blocks, desktop accessories, flat glass sheets, loose-grain abrasives, deburring media, liquid filter media, and containers.
(f) Lubricating oils including, but not limited to, any oil intended for use in a crankcase, transmission, engine, power steering, gearbox, differential chainsaw, transformer dielectric fluid, cutting, hydraulic, industrial, or automobile, bus, truck, vessel, plane, train, heavy equipment, or machinery powered by an internal combustion engine.
(g) (1) Plastic products including, but not limited to, printer or duplication cartridges, diskette, carpet, office products, plastic lumber, buckets, wastebaskets, containers, benches, tables, fencing, clothing, mats, packaging, signs, posts, binders, sheet, buckets, building products, garden hose, plastic food serviceware serviceware, and trays.
(2) For purposes of this subdivision, “printer or duplication cartridges” has the same meaning as described in paragraph (2) of subdivision (f) of Section 12209.
(h) Paint, including, but not limited to, water-based paint, graffiti abatement, interior and exterior, and maintenance.
(i) Retread tires, including, but not limited to, truck and bus tires, and those used on fleet vehicles and passenger cars.
(j) Tire-derived products including, but not limited to, flooring, mats, wheelchair ramps, playground surfacing, sports surfacing, parking bumpers, bullet traps, hoses, bumpers, truck bedliners, pads, walkways, tree ties, wheel chocks, rollers, traffic-related products, mudflaps, accessibility ramps, paths and sidewalks, animal care products, including, but not limited to, horse arena surfacing, stall mats, cow mats, and equestrian barn and breezeway flooring, artificial turf, landscaping and rubber mulch, outdoor surfacing, pavers and tiles, and posts.
(k) Building finishes, including, but not limited to, open panel office systems.
(l) Carpet.
(m) Textiles, including, but not limited to, general purpose wipes.

SEC. 8.

 Section 12209 of the Public Contract Code is repealed.

SEC. 9.

 Section 12209 is added to the Public Contract Code, to read:

12209.
 (a) CalRecycle, in consultation with the department, shall update the list of products identified in this section and update the minimum recycled content percentages, as determined to be appropriate, commencing January 1, 2025, 2026, and every three years thereafter. In updating the list of products identified, CalRecycle shall take into consideration the standards in the United States Environmental Protection Agency Comprehensive Procurement Guidelines for Paper and Paper Products. CalRecycle and the department shall incorporate the updated list of products and minimum recycled content requirements into the State Contracting Manual, the Financial Information System for California, and the financial system of any department not utilizing the Financial Information System for California. CalRecycle shall maintain an internet website with current SABRC products and minimum recycled content requirements.
(b) For purposes of this article, effective January 1, 2022, 2023, and until updated pursuant to subdivision (a), the product categories and minimum content and recyclability requirements identified in subdivisions (c) to (p), inclusive, shall apply:
(c) (1) Recycled paper products shall consist of at least 30 percent, by fiber weight, of postconsumer recycled content fiber, as specified below. Printing and writing paper shall consist of at least 30 percent, by fiber weight, postconsumer recycled content fiber, subject to the following:
(A) White 20-pound printing and writing paper and white wove envelopes shall consist of 100 percent, by fiber weight, postconsumer recycled content fiber.
(B) Printed newspapers that meet the requirements of Chapter 15 (commencing with Section 42750) of Part 3 of Division 30 of the Public Resources Code shall be considered in compliance with the requirements of this section.
(2) Other paper products shall consist of at least 30 percent, by fiber weight, of postconsumer recycled content fiber, except as specified below:
(A) Toilet paper shall consist of at least 45 percent, by fiber weight, postconsumer recycled content fiber.
(B) Paper towels shall consist of at least 40 percent, by fiber weight, postconsumer recycled content fiber.
(C) Facial tissue shall consist of at least 10 percent, by fiber weight, postconsumer recycled content fiber.
(D) Toilet seat covers shall consist of at least 20 percent, by fiber weight, postconsumer recycled content fiber.
(E) General purpose paper wipers shall consist of at least 40 percent, by fiber weight, postconsumer recycled content fiber.
(F) Food serviceware, including, but not limited to, napkins, plates, bowls, food trays, takeout boxes, placemats, etc. shall consist of at least 40 percent, by fiber weight, postconsumer recycled content fiber.
(d) (1) For recycled soil amendments and soil toppings, at least 80 percent of the product shall consist of compost or mulch materials, or both, that would otherwise be normally disposed of in landfills.
(2) As used in this subdivision:
(A) “Compost” means a product that meets the following requirements:
(i) It results from the controlled biological decomposition of organic materials, including, but not limited to, yard trimmings, green materials, food materials, biosolids and wood byproducts that are separated from the municipal solid waste stream at the source of generation or at a centralized facility, or other source of organic materials.
(ii) It is produced by a public or private supplier that is in compliance with CalRecycle’s composting operations regulatory requirements.
(B) “Mulch” means a product that meets the following requirements:
(i) It results from the mechanical breakdown by chipping and grinding of materials, including, but not limited to, yard trimmings, untreated lumber, and wood byproducts that are separated from the municipal solid waste stream at the source of generation or at a centralized facility.
(ii) It is produced by a public or private supplier that is in compliance with CalRecycle’s composting operations regulatory requirements.
(iii) It results from the mechanical breakdown by chipping and grinding of dead and dying trees removed to reduce wildfire risk.
(e) (1) For recycled erosion control products, the recycled products shall be derived from no less than 100 percent California recycled organic materials diverted from the solid waste stream or from forest health management that consists of trees generated from the removal of dead and dying trees to reduce wildfire risk, and hydraulic mulch that includes compost made from 100 percent California recycled organic materials or recycled paper, or both, with 100 percent California content.
(2) As used in this subdivision:
(A) “Recycled erosion control products” mean compost filter socks, compost blankets, and other compost-related erosion products:
(i) Compost filter socks are a three-dimensional tubular sediment control and storm water stormwater runoff filtration device consisting of a mesh covering and a filtration medium made of fully composted materials. Compost filter socks come in 5, 8, and 12 inches in diameter. A 5-inch compost filter sock may be considered the functional equivalent of a 12-inch straw wattle.
(ii) A compost blanket is a layer of compost protecting bare soil surfaces with slope less than 1.5:1 from wind and water erosion that provides water conservation, weed control, and nutrients for long-term, sustainable vegetation. The blanket may or may not contain a tackifier or be seeded. The blanket may be spread by hand or using a blower truck.
(B) “Hydraulic mulch” means an erosion control process that uses a fiber slurry and a tackifier. The slurry is transported in a tank, either truck- or trailer-mounted, and sprayed on prepared ground. The slurry may also contain compost and seeds.
(3) When considering the costs of compost-based erosion control measures, state agencies may also consider performance, pollution prevention, and cost of deployment, although when pollutants are present, control of pollutants shall take precedence over cost.

(f)For recycled glass, the total weight shall consist of at least the following postconsumer material percentages:

(1)Glass food and beverage containers: 50 percent. Containers shall be free of incompatible materials that may impede their recyclability, such as ceramics, metals, or other contaminants to the glass recovery process.

(2)

Fiberglass insulation: 50 percent of total product weight.

(3)

All other glass products: 25 percent.

(f) For recycled glass, the total weight shall consist of at least 25 percent postconsumer material.
(g) Rerefined lubricating oil shall have a base oil content consisting of at least 70 percent rerefined oil.
(h) (1) For recycled plastic products, the total weight shall consist of at least 20 percent postconsumer material.
(2) Recycled printer or duplication cartridges shall be remanufactured such that they adhere to specifications equal to or exceeding original equipment manufacturer (OEM) cartridge specifications and approved remanufactured toner cartridge industry standards established by the Standardized Test Methods Committee (STMC), Committee, or comply with the general requirement for recycled plastic products set forth in paragraph (1). All printer or duplication cartridges shall comply with the requirements set forth in Section 12156.
(i) Recycled paint shall have a recycled content consisting of at least 50 percent postconsumer paint. Preconsumer or secondary paint does not qualify as “recycled paint” pursuant to this subdivision.
(j) Retreaded tires must use an existing casing that has undergone an approved or accepted recapping or retreading process, in accordance with Chapter 7 (commencing with Section 42400) of Part 3 of Division 30 of the Public Resources Code.
(k) For recycled tire-derived products, such as crumb rubber (as a singular, intermediate product), rubber mulch or bark, rubberized sidewalks or tree wells, loose-fill or pour-in-place playgrounds, tiled or rolled recreational flooring, floor and agricultural mats, sports tracks, or synthetic turf infill, the total content shall consist of at least 50 percent recycled used waste tires and the recycled products shall be derived from no less than 100 percent California recycled materials diverted from the solid waste stream.
(l) (1) For pavement surfacing, all materials shall be approved for each specific project by a licensed engineer prior to before use.
(2) Rubberized pavement surfaces, such as rubberized asphalt concrete and chip seal, the binder shall contain at least 15 percent recycled waste tires by weight and the recycled products shall be derived from no less than 100 percent California recycled materials diverted from the solid waste stream.
(3) Recycled asphalt pavement shall contain a minimum of 25 percent reclaimed asphalt pavement by weight.
(m) For reused or refurbished products, there is no minimum content requirement.
(n) For building finishes, open office panel systems shall meet the middle range requirements of department state contracts.
(o) Carpet shall contain a minimum postconsumer recycled content that shall be determined by the department and published in the State Contracting Manual by July 1, 2018, and subsequently updated by the department. The department shall include carpet recycling requirements for state buildings in the State Contracting Manual (SCM). Manual.
(p) For textiles in general, there is no minimum content requirement. For general purpose textile wipes, the total content shall consist of 100 percent recycled content.

SEC. 10.

 Section 12217 of the Public Contract Code is amended to read:

12217.
 (a) State agency procurement and contracting officers, or their designees, from all agencies shall participate in annual mandatory training that is conducted jointly by CalRecycle and the department. The training may be web-based and shall provide a complete review of the benefits of SABRC purchases, how to locate qualifying products, how to report information, and how to explain benefits and requirements to other employees making purchasing decisions.
(b) If a state agency does not meet SABRC purchasing requirements in each product category, CalRecycle shall report the state agency to the department.
(c) In determining purchasing specifications, with the exception of any specifications that have been established to preserve the public health and safety, all state purchasing specifications shall be established in a manner that results in the maximum state purchase of recycled products.
(d) If a recycled product, as defined in subdivision (h) of Section 12200, costs more than the same product made with virgin material, the state agency shall, if feasible, purchase fewer of those more costly products or apply the cost savings, if any, gained from buying other recycled products towards the purchase of those more costly products to meet the solid waste diversion goals of Section 41780.
(e) Each state agency shall establish purchasing practices that ensure the purchase of goods and materials that may be recycled or reused. Each state agency shall continue activities for the collection, separation, and recycling of recyclable materials and may appoint a recycling coordinator to assist in implementing this section. Alternatively, if a state agency determines it to be in the best interest of the state, the state agency may require that the vendor take back the product for proper management after it has been used.
(f) To assist the state in meeting the requirements of this article, each state agency, and the department, in consultation with CalRecycle, may also establish recycled product-only bids, cooperative purchasing arrangements, or other mechanisms to meet the requirements for recycled products and to encourage the maximum state purchase of recycled products.
(g) The department, in consultation with CalRecycle, shall review and revise the purchasing specifications and contract documents used by state agencies in order to eliminate restrictive specifications and discrimination against the purchase of remanufactured or recycled products and to ensure that they are drafted in a manner that results in the maximum state purchase of remanufactured recycled products. All contract provisions impeding the consideration of recycled products shall be deleted in favor of performance standards. Remanufactured products shall conform to performance standards to ensure they are essentially equivalent to new products that perform the same function.
(h) (1) In order for state agencies to easily procure SABRC-compliant products, ensure their success in the program, and support the recycled content industry, the department and the Prison Industry Authority shall prioritize the use of recycled content products.
(2) In collaboration with CalRecycle, the department shall establish a requirement to offer products that meet the SABRC postconsumer minimum percentage requirements to state agencies that utilize their statewide contracts, including products available and created by the Office of State Publishing.
(3) The Prison Industry Authority, in collaboration with CalRecycle, shall make every attempt to procure parts that meet the SABRC postconsumer minimum percentage requirements for the products it creates and sells to state agencies.
(i) Any state agency that is required to submit an SABRC report to CalRecycle, pursuant to Section 12211, is subject to a review conducted by CalRecycle or its designee.