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Bill

Bill

AB 2559

Solid waste: construction debris: diversion: deposits.

2025-2026 Regular Session Introduced by Chris Ward

AB 2559 requires cities/counties to promptly refund full refundable deposits or similar financial guarantees for debris-diversion compliance once verified, reducing delays and fina

Read second time. Ordered to Consent Calendar.
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WeVote Research Nonpartisan
Bill Summary · AB 2559

Summary of AB 2559 (2025-2026) – Solid waste: construction debris: diversion: deposits

Basic overview

  • Jurisdiction: California
  • Session: 2025–2026
  • Bill number: AB 2559
  • Introduced: February 20, 2026
  • Author/sponsor: Assembly Member Ward; co-sponsor: Chris Ward
  • Subject: Construction and demolition debris diversion, refundable deposits, and related financial guarantees

Purpose and intent

AB 2559 adds a new provision to strengthen clarity around refundable deposits or similar financial guarantees imposed as a condition of issuing construction, demolition, or building permits. The bill aims to ensure that when a project complies with applicable construction/demolition debris diversion requirements, the full amount of the deposit is returned promptly to the payer, thereby reducing financial burden and unnecessary delays in refunds once documentation demonstrating compliance is submitted and verified.

Key stated goals in the bill’s preamble:
- Aligns refundable deposits with state and local waste diversion requirements, including CALGreen.
- Prevents unnecessary financial burden on property owners, contractors, and small businesses due to delayed refunds.
- Promotes prompt return of deposits after verification of compliance.

Key provisions and changes proposed

  • New statutory article: Adds Article 3 (commencing with Section 48030) to Chapter 2 of Part 7 of Division 30 of the Public Resources Code.
  • Definition of “deposit” (Section 48030(a)): Expands to include refundable deposits, performance securities, or similar financial guarantees used to ensure compliance with a construction or demolition debris diversion requirement.
  • Refund timeline (Section 48030(b)): Requires a city or county that collects a deposit to return the full amount to the payer if, within a defined period, the payer submits documentation demonstrating compliance with the deposit’s terms.
    • The text provides a window of “within five three years” of final inspection, which appears to be a drafting artifact (likely intended to mean either five or three years; the exact legislative drafting should be clarified upon formal adoption). The core concept is a set period after final inspection for refunds upon compliance documentation.
  • Noncompliance caveat (Section 48030(c)): The refund right does not apply if the submitted documentation demonstrates noncompliance with diversion requirements; in such cases, a refund can be denied.

Who/what would be affected

  • Local jurisdictions: Cities and counties that issue construction, demolition, or building permits and require a refundable deposit or similar guarantee to ensure debris diversion compliance.
  • Developers, contractors, and property owners: Those who pay deposits to secure compliance with debris diversion requirements.
  • Regulatory framework: California’s Public Resources Code and its alignment with CALGreen and other waste diversion standards.

Procedural and timeline aspects

  • Legislative path (as of bill history):
    • Referred to Natural Resources Committee, then moved through amendments.
    • Proceeded to Appropriations and other standard committee stages with typical moving timelines (e.g., hearings and votes in committees).
    • The official action history indicates: introduced 2026, passed committee(s), and readiness for additional readings as of April 2026.
  • Effective date: Not specified in the excerpt provided. Typically, such provisions become effective on a date set in the statute or upon passage/ Signature, with potential phasing or deadlines for local adoption; this would be clarified in the final enrolled language.

Potential impact

  • Administrative simplicity and speed: Eligible refunds would be processed more promptly after compliance documentation is submitted, reducing financial strain on project stakeholders.
  • Incentive alignment: Reinforces compliance with construction and demolition debris diversion requirements by tying refunds to verified adherence.
  • Fiscal considerations for jurisdictions: Local agencies would need to manage timely review and refund processes; potential administrative cost considerations to implement a defined refund window.

If you’d like, I can compare AB 2559 to current CALGreen and Public Resources Code provisions to highlight exact statutory intersections and any drafting ambiguities for clarification.

Compiled from official sources — confirm details with the bill’s official record.

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