BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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                                 THIRD READING


          Bill No:  SB 456
          Author:   Simitian (D)
          Amended:  4/9/07
          Vote:     21

           
           SENATE ENV. QUALITY COMMITTEE  :  4-2, 3/26/07
          AYES:  Simitian, Kuehl, Lowenthal, Steinberg
          NOES:  Runner, Aanestad
          NO VOTE RECORDED:  Florez

           SENATE APPROPRIATIONS COMMITTEE  :  10-6, 5/31/07
          AYES:  Torlakson, Cedillo, Corbett, Florez, Kuehl, Oropeza,  
            Ridley-Thomas, Simitian, Steinberg, Yee
          NOES:  Cox, Aanestad, Ashburn, Dutton, Runner, Wyland
          NO VOTE RECORDED:  Battin


           SUBJECT  :    Diacetyl

           SOURCE  :     Author


           DIGEST  :    This bill prohibits, on and after June 1, 2008,  
          a person manufacturing, processing, or distributing a  
          product containing diacetyl.  This bill authorizes the  
          Office of Environmental Health Hazard Assessment, in  
          conjunction with the California Environmental Protection  
          Agency, to defer the effective date of the prohibition up  
          to a total of four years if specified conditions are met.

           ANALYSIS  :    

                                                           CONTINUED





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          Existing law:

          1.Under the Federal Toxic Substances Control Act of 1976  
            the U.S. Environmental Protection Agency is authorized to  
            regulate the manufacture, use, distribution in commerce,  
            and disposal of chemical substances produced or imported  
            into the United States.
          2.Under the United States Federal Food, Drug, and Cosmetic  
            Act the Food and Drug Administration is authorized to  
            oversee the safety of food, drugs, and cosmetics. 

          3.Under the Occupational Safety and Health (OSH) Act of  
            1970, created the Occupational Safety and Health  
            Administration (OSHA) to "assure safe and healthful  
            working conditions for working men and women," and  
            provides states the authority their own safety and health  
            programs as long as those programs were at least as  
            effective as the federal program.  Enforcement and  
            administration of the OSH Act in states under federal  
            jurisdiction is handled primarily by OSHA.

          4.Under the California Hazardous Substances Act, prohibits  
            the manufacture, production, preparation, compounding,  
            packing, selling, offering for sale, or keeping for sale  
            within the State of California of a package of a  
            misbranded hazardous substance or banned hazardous  
            substance.

          5.Under the California Labor Code, the California  
            Occupational Safety and Health Administration Standards  
            Board (Cal OSHA) is established and is required to adopt  
            occupational safety and health standards that are at  
            least as effective as federal standards promulgated under  
            the Occupational Safety and Health Act of 1970.

          This bill prohibits, on and after June 1, 2008, a person  
          from manufacturing, processing, or distributing in commerce  
          a product containing diacetyl.  The director of the Office  
          of Environmental Health Hazards Assessment (OEHHA) may  
          grant a temporary waiver as specified.

           Comments
           
          Diacetyl is an artificial flavoring that is mixed with  







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          other ingredients to produce a butter-like flavor in a  
          variety of food products.  It is used in hundreds of  
          consumer products, including, but not limited to, microwave  
          popcorn, pancake syrup, cakes, candies, and frozen foods.

          Exposure to diacetyl vapors has been associated with  
          constrictive bronchiolitis obliterans, or "popcorn worker  
          lung", a severe and potentially fatal lung disease that  
          causes inflammation and scarring in the small airways of  
          the lungs which leads to severe impairment of lung  
          function.  Most cases do not respond to medical treatment  
          and can only be cured by lung transplant.  In the last  
          year, the California Department of Health Services has  
          identified eight confirmed cases of workers in California  
          who have contracted bronchiolitis obliterans and is  
          currently investigating additional cases.  In the United  
          States, it is estimated, that there are thousands of people  
          who have been stricken with this illness and may not even  
          know that they were exposed to this chemical.  No safe  
          exposure level has been determined by either state or  
          federal governmental entities by which mitigation measures  
          can be developed and implemented.  According to the  
          author's office, by banning Diacetyl, this bill will  
          protect Californians from exposure to a known toxic  
          chemical. 

           Health effects  .  Inhalation of diacetyl vapors can lead to  
          bronchiolitis obliterans, a disease that literally  
          obliterates the lungs by scarring the airways.   There is  
          no treatment or cure for the disease.  The only option is a  
          lung transplant.  Employees from diacetyl manufacturing  
          plants nationwide have been diagnosed with bronchiolitis  
          obliterans.  
           
          Diacetyl Studies  .  In 2000 NIOSH (National Institute for  
          Occupational Safety and Health) did a study investigating  
          the occurrence of fixed obstructive lung disease in workers  
          at six microwave popcorn plants and through rat  
          experiments.  Rats developed similar airway damage with  
          inhalation of vapors of pure diacetyl.  These findings  
          implicated butter-flavoring chemicals as a likely etiologic  
          agent for obstructive lung disease in workers. 

          In 2002 a New England Journal of Medicine study of 117  







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          popcorn factory workers concluded that those workers had a  
          3.3 times-higher chance of an airway obstruction.

          To date there has been no research done on the potential  
          risk to consumers.  However, USEPA is currently conducting  
          an inhalation study that was due to be published in the  
          fall of 2006, but has yet to be released.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          According to the Senate Appropriations Committee:

                          Fiscal Impact (in thousands)

           Major Provisions                2007-08     2008-09     2009-10     
           Fund  
          Deferral Review          $87       $175      $175     
          General
          Cal/OSHA savings    (unknown, potentially thousands of  
          dollars) General

          Cal/OSHA has formed an advisory committee to make  
          recommendations to the Cal/OSHA board on potential actions  
          regarding diacetyl.  If this bill were enacted into law,  
          Cal/OSHA would no longer need to have an advisory committee  
          on diacetyl, mitigation measures, or adopt permissible  
          exposure levels (PEL).  Appropriations staff estimates that  
          savings from having to adopt a PEL for diacetyl and  
          mitigation measures would be about $40,000.  It is unknown  
          how much savings would be realized as a result of ending  
          the efforts of the advisory committee.  

           SUPPORT :   (Verified  6/1/07)

          American Federation of State, County and Municipal  
          Employees
          Breast Cancer Fund
          California Labor Federation
          California Teamsters Public Affairs Council
          Environment California
          Sierra Club California
          United Food and Commercial Workers' Union








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           OPPOSITION  :    (Verified  6/1/07)

          Department of Finance
          California Chamber of Commerce
          California Grocers Association
          California Manufacturers and Technology Association
          California Restaurant Association
          California Retailers Association
          Grocery Manufacturers/Food Products Association

           ARGUMENTS IN SUPPORT  :    Proponents argue that exposure to  
          diacetyl has been associated with many cases of a severe  
          lung disease among workers in microwave popcorn facilities  
          called bronchiolitis obliterans (BO).  So far, three  
          workers in California have developed BO, and at least one  
          has died. Five others have developed other lung obstructive  
          disorders which are inked to exposure to diacetyl.  While  
          the disease has been labeled "popcorn workers lung" the  
          disease is not limited to popcorn factories; cases of  
          work-related lung disease have also been reported among  
          diacetyl-exposed workers employed at factories where the  
          flavorings are produced.  These stricken workers are young,  
          non-smokers, and were exposed for relatively short periods  
          of time.  Most of the eight workers are severely impaired  
          and cannot work.  One of the impacted workers is on the  
          waiting list for a lung transplant.  Cases have been  
          occurring among workers in flavorings plants in California  
          since at least 2004 and given the lack of knowledge about  
          the users of diacetyl and the potential to misdiagnose this  
          disease, there could be many more cases of BO.

          According to supporters, there is strong evidence that BO  
          is caused by exposure to diacetyl.  This evidence comes  
          from studies done by the National Institute for  
          Occupational Safety and Health (NIOSH) at factories in  
          which workers have developed the disease, as well  
          laboratory studies in which animals have been exposed to  
          diacetyl or butter flavoring, and developed severe lung  
          damage.

          The proponents state, in 2004, NIOSH issued an official  
          alert about the connection between workplace exposure to  
          diacetyl and irreversible lung disease.  Furthermore, over  
          40 leading occupational and public health experts  







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          petitioned federal OSHA in July 2006 for an emergency  
          temporary standard.

          Supporters state that according to the Division of  
          Occupational Safety and Health (DOSH), there are more than  
          25 plants using diacetyl flavorings in the state of  
          California.  Moreover, thousands of California food  
          production workers may be exposed to diacetyl and/or other  
          chemicals that make up butter flavoring in industries  
          including food flavoring manufacture, microwave popcorn,  
          butter, cheese, cake mixes and flours, cookies and  
          crackers, candy, chocolate, flavored oils and syrups,  
          potato chips and other snacks and frostings.

          Supporters contend that since the science is still silent  
          on whether or not there even is a PEL for diacetyl, the  
          Legislature should prohibit, especially since alternative  
          flavorings that release less volatile chemicals are  
          available. In fact, some flavoring manufacturers have  
          already stopped using diacetyl. 

          The supporters also argue that while opponents of this  
          measure may argue that the regulatory process should be  
          allowed to run its course, immediate Legislative action is  
          necessary to ensure that additional workers do not fall  
          prey to this debilitating and sometimes deadly disease.

           ARGUMENTS IN OPPOSITION  :    The California Chamber of  
          Commerce argues that while there is currently a link  
          between exposure to diacetyl and workplace exposure, there  
          is no evidence that diacetyl is a health concern for  
          consumers. 
           
          The California Grocers Association (CGA) states that  
          Cal/OSHA has convened an advisory committee that brings in  
          members of organized labor, affected industries, state  
          agencies and other concerned parties to examine the issues  
          surrounding occupational exposures.  CGA believes that the  
          advisory committee process should be allowed the  
          opportunity to develop guidelines and/or regulations on the  
          use of diacetyl in the workplace and opposes a mandated  
          ban. 
           
          The Department of Finance is opposed to this for the  







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          following reasons:

          1.The bill's language would ban hundreds of consumer food  
            products no later than June 1, 2008, however, it appears  
            that harmful effects for diacetyl are restricted to  
            occupational exposures, making such a broad-based ban  
            unnecessary.

          2.The bill imposes costs upon the Office of Environmental  
            Health Hazard Assessment (OEHHA) and does not contain an  
            appropriation to cover these costs.

          3.It is unclear by what means or by what entity the bill's  
            provisions would be enforced.  No funding is included in  
            the bill for enforcement.

          4.Cal/OSHA, DHS, the federal government, and other  
            stakeholders are currently examining the issue of  
            exposure to diacetyl.  They are also looking at  
            occupational safety measures that might be required to  
            ensure worker safety.  Since their findings could result  
            in determinations of a PEL and effective mitigation  
            measures, a ban on products contain diacetyl may be  
            premature.

          5.It is unclear how OEHHA would determine that a  
            prohibition on the sale of a specific product would  
            "cause substantial economic hardship to the users of the  
            product," one of the conditions necessary to qualify for  
            an OEHHA authorization to delay ban implementation.


          TSM:nl  6/1/07   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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