MINUTES OF THE

      SENATE COMMITTEE ON NATURAL RESOURCES

 

      Sixty-seventh Session

      February 2, 1993

 

 

 

 

The Senate Committee on Natural Resources was called to order by Chairman R. Hal Smith, at 8:43 a.m., on Tuesday, February 2, 1993, in Room 224 of the Legislative Building, Carson City, Nevada.  Exhibit A is the Meeting Agenda.  Exhibit B is the Attendance Roster.

 

 

COMMITTEE MEMBERS PRESENT:

 

Senator R. Hal Smith, Chairman

Senator Dean A. Rhoads, Vice Chairman

Senator Ernest E. Adler

Senator Thomas J. Hickey

Senator Mark A. James

Senator Joseph M. Neal, Jr.

Senator Dina Titus

 

 

STAFF MEMBERS PRESENT:

 

Caren Jenkins, Senior Research Analyst

Rayanne Francis, Senate Committee Secretary

 

 

OTHERS PRESENT:

 

Jeffrey A. Fontaine, Supervisor, Public Health Engineering,

  Nevada State Health Division

Verne Rosse, Deputy Administrator, Bureaus of Chemical

  Hazards, Waste and Federal Facilities Management, Division of

  Environmental Protection, Department of Conservation and

  Natural Resources

Clare Schmutz, Manager - Environmental Health, Clark County

  Health District

Carl Cahill, Director of Environmental Services, Washoe County

  District Health Department

Ashley J. Hall, Lobbyist, Auto Recyclers/Dismantlers of Nevada

Allan Bloomberg, President, Automotive Recyclers and Dismantlers

  Association

Everett A. Jesse, State Water Planner, Division of Water

  Planning, Department of Conservation and Natural Resources

Peter G. Morros, Director, Department of Conservation and

  Natural Resources

 

      * * * * *

 

Jeffrey A. Fontaine, Supervisor, Public Health Engineering, Bureau of Health Protection Services, Department of Human Resources, introduced himself to members of the committee.  Mr. Fontaine's testimony is contained in Exhibit C.

 

During the course of his presentation, Mr. Fontaine directed the committee's attention to a 1-page handout, entitled "Safe Drinking Water Revenue" (Exhibit D).  He commented this handout demonstrated the State Health Division's program implementation costs and revenue for Fiscal Year 1994.

 

Mr. Fontaine then referred to a 1-page handout, entitled "1993 State Drinking Water Program Budgets" (Exhibit E).  He drew attention to the fact that only 3 percent of drinking water program costs come from Nevada's general revenue.

 

Mr. Fontaine drew attention to the remaining handouts, entitled "Summary - Drinking Water Regulations" (Exhibit F), "Status of EPA Regulations" (Exhibit G), and "The Regulation of Drinking Water" (Exhibit H). 

 

Senator Rhoads thought it might make more sense for Nevada to contract with private firms supplying bottled water, rather than spend millions of dollars in an effort to meet the standards of the Safe Drinking Water Act (SWDA).  Mr. Fontaine pointed out the number of bottled water manufacturers has been on the increase the past few years.  He continued by saying, the temporary use of bottled water makes more sense than establishing a water treatment system.  He said a good example of the cost-effective use of bottled water would be at an isolated mine site.

 

Senator Hickey inquired if the State Health Division enforced SWDA standards on federal lands.  Mr. Fontaine emphasized the State Health Division enforced SWDA requirements on all state and federal lands, with the exception of Indian-owned land.  He continued by saying the State Health Division had oversight responsibility on military installations, national parks and forests, etc.  Mr. Fontaine clarified the only federal funding Nevada receives, to fund the SWDA program, is through appropria-tions for state drinking water grants.

 

Chairman Smith requested that Senator Hickey give members of the committee an overview of the recent activities of the Subcom-mittee on Solid Waste.

 

SENATE BILL (S.B.) 97:  Makes various changes regarding regulation of and funding for management of solid waste.

 

Senator Hickey, chairman of the Subcommittee on Solid Waste, remarked Senators Adler and Rhoads were also members of the subcommittee.  He remarked several meetings had taken place to discuss proposed amendments to S.B. 97.  At this point, he asked Caren Jenkins, Senior Research Analyst, to briefly review the subcommittee's recommended version of the bill.

 

Ms. Jenkins referred to two separate handouts which had been supplied to members of the committee.  She explained the first handout (Exhibit I) reflected the redlined, deleted text and the highlighted, proposed text.  Ms. Jenkins explained the handout stamped "Preliminary Draft" (Exhibit J) reflected a more concise and uncluttered version of the subcommittee's recommended changes to S.B. 97.

 

During Ms. Jenkins' review of the changes to section 2 of S.B. 97, Senator James asked how the subcommittee arrived at the percentage division of the Solid Waste Management Fund.  Senator Hickey invited Verne Rosse to come forward and provide testimony on this issue.

 

Verne Rosse, Deputy Administrator, Bureaus of Chemical Hazards, Waste and Federal Facilities Management, Division of Environ-mental Protection, Department of Conservation and Natural Resources, introduced himself to members of the committee.  He answered Senator James' question by explaining each agency involved prepared a budget, which was based upon the fact that $1.5 million would be generated by the $1 per tire purchase fee.  He said the percentages were determined by what each agency figured it would need in its budget. 

 

During Ms. Jenkins' review of the subcommittee's changes to section 3 of S.B. 97, Senator Hickey asked Mr. Rosse if he would like to comment on this section.  Mr. Rosse explained section 3 designated the Department of Conservation and Natural Resources as the lead agency in implementing Nevada's permitting program for municipal solid waste landfills.  He said it would be this department's responsibility to file an application with the federal Environmental Protection Agency (EPA) for its approval of Nevada's solid waste disposal program.  Mr. Rosse said the department's recent conversation with the EPA was rather disappointing, because they [EPA] was not very helpful.  However, he continued by saying the Department of Conservation and Natural Resources felt confident they could submit the application and obtain EPA approval.

 

Referencing section 3, subsection 2 of S.B. 97, Senator Neal inquired if, in the larger counties, the district board of health would act as the environmental protection agency.  Mr. Rosse said this was an accurate statement as far as solid waste management was concerned.  He said the Department of Conservation and Natural Resources would have some oversight responsibility to assure the EPA that Nevada State has a consistent program at the state and local level.

 

Clare Schmutz, Manager of Environmental Health, Clark County Health District, introduced himself to members of the committee.  He explained the Clark County Health District, until just recently, had solid waste management authority in Clark County.  Mr. Schmutz said the Clark County Health District did not object to working cooperatively with the Division of Environmental Protection (DEP).  Senator Neal inquired if the Clark County Health District solid waste management standards were consistent with the state standards.  Mr. Schmutz said the district standards will soon comply with the state standards.

 

Carl Cahill, Director of Environmental Services, Washoe County District Health Department, introduced himself to members of the committee.  He emphasized that the Washoe County District Health Department will be required, by S.B. 97, to comply with the state's minimum standard.  He said Washoe County would strive to meet these standards as rapidly as possible in an effort to negate the federal law requiring the installation of liners in landfills, thus keeping costs down.

 

Senator Adler asked Mr. Cahill how Washoe County intended to address the compliance issue at the landfill in Storey County.  Mr. Cahill responded by saying existing statute allows a health district to sign agreements with other agencies or local govern-ments.  He said the Washoe County District Health Department currently has an interlocal agreement to oversee the operation of the Storey County landfill. 

 

Considerable discussion ensued regarding the affect section 11 of S.B. 97 would have on junk dealers, automobile wrecking yards, and the recycling industry.  Mr. Rosse testified the DEP should be able to address this issue through regulatory measures.  He suggested a solution to this problem might be to define the parameters of the term "recycling."  Rather than changing statute, to differentiate between recycling and solid waste, it was agreed the comprehensive program set forth in S.B. 97 would allow adequate regulatory control.

 

Senator Neal questioned the use of certified mail in the issuance of a subpoena, per section 9, subsection 1 of S.B. 97.  Senator James pointed out it was acceptable to issue a subpoena via certified mail when all other means of issuance have been exhausted.

 

Senator Adler asked for assurances that S.B. 97 would not inter-fere with large recycling businesses in Nevada State.  He was concerned this legislation would prohibit a junk yard dealer in southern Nevada from transporting recycling material to a steel mill in northern Nevada.

 

ASSEMBLY BILL (A.B.) 320

OF THE SIXTY-SIXTH SESSION:   Makes various changes regarding reducing, recycling and disposing of solid waste.

 

Mr. Rosse stressed it was very important to remove recyclables from the waste stream whenever possible.  He testified A.B. 320 mandated the encouragement of recycling activities.  Mr. Rosse assured members of the committee he felt the DEP could address the recycling issue on a regulatory basis.  Senator Hickey stressed junk dealers are just as interested in this recycling issue as the recycling industry.

 

Senator Neal inquired why was agricultural and mining waste excluded from the solid waste management system.  Mr. Rosse explained the new language contained in S.B. 97, proposed by the Subcommittee on Solid Waste, ensured that the state is not regulating inappropriate solid waste.  He explained waste straw from an agricultural activity or waste rock (overburden) at a mine site is not appropriate use of state resources.  Senator Adler clarified that hazardous waste or municipal garbage produced at a mining site is still regulated by S.B. 97. 

With the chairman's permission, Senator Hickey opened the hearing to public testimony.

 

Ashley J. Hall, Lobbyist, Auto Recyclers/Dismantlers of Nevada, introduced himself to members of the committee.  He complimented the subcommittee on their efforts to clarify the language contained in S.B. 97.  He mentioned seven individuals were in attendance at the day's hearing representing the various automotive, dismantling and recycling industries in Nevada State.  Mr. Hall said the combined experience of these seven individuals totalled 200 years.

 

Allan Bloomberg, President, Automotive Recyclers and Dismantlers Association, introduced himself to members of the committee.  He emphasized this association represented 90 small, independently-owned businesses located in all areas of the state.  He con-tinued by saying these businesses purchase wrecked or abandoned vehicles and recycle undamaged parts for resale.  Once the useful parts have been removed from the vehicles, he explained the remaining material (steel, plastic, aluminum, copper, brass, etc.) was shredded into small bits, melted down and formed into other useful products.

 

Mr. Bloomberg said it is extremely important to retain the viability of this automotive recycling effort.  He stressed there are very few parts on a vehicle which cannot be used in the recycling effort.  He admitted the most notable item which cannot be recycled are used tires.  Mr. Bloomberg asserted the industry felt the $1 fee on new tires, mandated by A.B. 320, should be utilized to develop new technologies for recycling used tires.  He objected to the fact that the $1 new tire fee was being routed to landfills to handle residential solid waste.

 

Mr. Bloomberg testified the use of the word "recycling" in Section 11 was misleading.  He also noted that the use of the term "solid waste" in Nevada Revised Statute (NRS) 444 includes automobiles.  Senator Adler explained that recycling is considered to be part of the solid waste program.  He continued by saying the legislature artificially set aside recycling in A.B. 320.  Senator Adler said recycling is actually part of the treatment of solid waste and properly belongs in the section of statute.  He commented Mr. Bloomberg had presented a very interesting issue regarding the EPA's classification of solid waste items, which are considered to be returnable or reusable.

 

Senators Adler and James asked if it would be possible to define "recyclable" in an effort to distinguish these items from solid waste.  After considerable discussion, Senator Hickey asserted the intent of S.B. 97 was to give the EPA enough flexibility to make this determination through rules and regulations.  Mr. Bloomberg said the Automotive Recyclers and Dismantlers Association's basic concern dealt with the legal problem that quite a few municipal entities have exclusive contracts with solid waste management firms.

 

Mr. Rosse felt confident the DEP could define recyclables and deal with this issue through regulatory means.  He continued by saying it was his understanding that recyclables would be exempted from the solid waste stream.  Mr. Bloomberg asked if it would be possible to make this terminology change in statute, rather than relying solely on regulatory control.  Mr. Rosse said he did not object to changing statute.

 

Senator Titus mentioned she understood the federal government was struggling with the problem of defining "recyclable."  Due to the fact the state program would have to comply with federal law, she pointed out it made more sense to wait and see what definition the EPA came up with.  Mr. Rosse agreed with the Senator Titus's observation and stressed regulatory enforcement allowed more flexibility.

 

Senator James insisted the definition of "recyclable" is an important policy decision which should not be left to the discretion of regulators.  He emphasized that "recycling" versus "solid waste" is on the cutting edge of environmental law.  He recommended this be dealt with on a legislative basis, rather than waiting for the EPA to make the differentiation.

 

Senator Adler pointed out S.B. 97 could be followed by a trailer bill defining the term "recyclable" after it is passed out of both houses and signed by Governor Miller.

 

Mr. Rosse pointed out A.B. 320 defined recyclable materials in NRS 444A.010 as:

 

      ...solid waste that can be processed and returned to the economic mainstream in the form of raw materials or products, as determined by the state environmental commission.

 

Mr. Rosse testified that he felt existing statute adequately addressed the state's regulatory control over what is considered to be recyclable.

 

Senator Hickey recommended S.B. 97 be amended to include the proposed amendment defining the term "vehicle" (Exhibit K).

 

Chairman Smith emphasized passage of the bill would also address the intent to attach a trailer bill to S.B. 97 with a definition of "recyclable."  Chairman Smith called for action on S.B. 97.

 

      SENATOR HICKEY MOVED TO AMEND AND DO PASS S.B. 97 AS AMENDED.

 

      SENATOR ADLER SECONDED THE MOTION.

 

      THE MOTION CARRIED UNANIMOUSLY.

 

      * * * * *

 

Everett A. Jesse, State Water Planner, Division of Water Planning, Department of Conservation and Natural Resources, introduced himself to members of the committee.  Mr. Jesse's testimony is contained in Exhibit L.

 

During the course of his testimony, Mr. Jesse referred to a publication he had provided to committee members, entitled "State Water Planning - Goals, Objectives, and Work Programs" (Exhibit M - original in research library).

 

Mr. Jesse said the Division of Water Planning is required, by statute, to develop forecasts of water supply and demand for future needs.  He stressed municipal and industrial water usage would steadily increase in the next 30 years.  To illustrate this increased water usage, Mr. Jesse directed committee members' attention to pages 38 and 39 of a booklet, entitled "Nevada Water Facts" (Exhibit N - original in research library).

 

SENATE BILL (S.B.) 360 OF

THE SIXTY-SIXTH SESSION:            Makes various changes relating to conservation of water.

 

ASSEMBLY BILL (S.B.) 359 OF

THE SIXTY-SIXTH SESSION:            Imposes certain minimum standards for plumbing fixtures in certain construction and expansions.

 

Mr. Jesse made reference to two significant pieces of legis-lation passed by the 1991 Legislature--S.B. 360 and A.B. 359.  He said the combined effect of this legislation would save 6 to 12 percent of Nevada's water supply.  Additional information is contained in Exhibit O.

 

Mr. Jesse described an educational program adopted by the Division of Water Planning, named "WET NEVADA (Water Education for Teachers)" (Exhibit P).

 

Mr. Jesse briefly reviewed Public Law 101.618, which mandates that Nevada State and the federal government provide enough water to support 25,000 acres of prime wetland habitat in Lahontan Valley (Exhibit Q).

 

Senator James inquired if the Division of Water Planning would be adversely affected by the proposed reorganization effort.  He also wondered how the Division of Water Planning could possibly plan for Nevada's future water needs without all of the tools necessary to accurately project future water usage and resources.  Senator James continued by pointing out many of the state's water resources are not under the management purview of the Department of Conservation and Natural Resources.  Mr. Jesse replied by saying any water that comes into the state is regulated by the State Engineer within the Division of Water Resources.  Based upon the fact the Division of Water Resources was currently understaffed, Mr. Jesse stressed it was performing as effectively as possible under the circumstances.

 

Senator James asked if it would be possible to create a central agency responsible for supervising the activities of the Colorado River Commission and water purveyors in southern and northern Nevada.  Mr. Jesse said these agencies and entities were working effectively at the present time, but was unsure about creating a new agency to supervise their activities.  He agreed it might be advantageous to devise an effective framework bringing all of these entities together to work toward a single goal of cooperative state water planning.

 

Senator Adler was concerned about the staffing cuts in the Division of Water Planning, as well as the Division of Water Resources.  He felt one of the major problems facing Nevada State in the future was the issue of identifying adequate sources of water.  Senator Adler expressed his concern about how these divisions could possibly keep up with what is required of them when they are understaffed and constantly having their budgets reduced.

 

Peter G. Morros, Director, Department of Conservation and Natural Resources, introduced himself to members of the committee.  He explained the proposed reorganization efforts would completely eliminate the Division of Water Planning and reduce existing staff by 40 percent, the remainder of which would be absorbed into the Director's office.  Mr. Morros assured members of the committee the water planning effort would continue, but at a greatly reduced capacity.

 

Senator Hickey asked Mr. Morros to provide members of the committee with a detailed report of the Department of Conservation and Natural Resources' structure and budget needs.

 

Chairman Smith told members of the committee that he viewed the Sixty-sixth Session as a "window of opportunity" to achieve many of the state's goals and anticipate its future needs.  He continued by saying the most essential asset in the state of Nevada is its water.  He emphasized the fact that water resources affect the state's economy, environment and social structure.  Chairman Smith insisted if the 1993 State Legislature did not objectively address the needs of the state and its citizens, Nevada's future outlook would be grim.

 

      * * * * *

 

There being no further business before the Senate Committee on Natural Resources, Chairman Smith adjourned the hearing at 10:48 a.m.

 

 

 

            RESPECTFULLY SUBMITTED:

 

 

 

                                    

            Rayanne J. Francis,

            Committee Secretary

 

 

 

APPROVED BY:

 

 

 

 

                                

Senator R. Hal Smith, Chairman

 

 

DATE:                           

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Senate Committee on Natural Resources

February 2, 1993

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